Mainly thanks to rising nickel and oil prices, Canadian mining and
energy concern Sherritt International reported a 116-percent rise in
profit on a 29-5-percent increase in revenues in the first quarter.
Sherritt is Cuba's single largest private foreign investor and a main
driver of nickel export revenues.
Nickel sales by volume stagnated around 9.4 million pounds, but average
realized prices rose from $9.20 per pound in Q1 2010 to $11.73 this
quarter. Meanwhile, cobalt sales by volume rose from 907,000 pounds to
1.014 million pounds, but prices per pound dropped from $20.16 to $17.55.
Electricity sales of Sherritt's Energas power plants in Cuba dropped 14
percent, from 172 gigawatt-hours to 148 gw/h. The company blamed turbine
and rotor failures at the Boca de Jaruco facility and "intermittent gas
supply shortages" at the Varadero power plant.
Total revenues were $474.5 million for the quarter, up from S366.4
million in the same quarter last year. Net income rose to $63.6 million,
from $29.4 million.