Indonesia's PT Timah said that its net profit rose by 18% YoY to IDR 1.49 trillion in January to September 2008 period on high tin prices despite lower sales. It posted a net profit of IDR 1.26 trillion in January to September 2007 period.
In the first 9 months, its tin selling prices averaged USD 20,360.04 a tonne, up by 44% YoY from the average of USD 13,933.74 a tonne in the same period last year. High tin prices increased Timah's net profit despite a 28% fall in refined tin sales to 34,045 tonnes in January to September 2008 period from 47,270 tonnes in the same period last year. It produced 38,585 tonnes of tin in concentrate in the January to September 2008 period, down by 24% YoY from 50,851 tonnes last year.
Timah has said that it may produce between 45,000 to 48,000 tonnes of refined tin in 2008, below the initial target of 50,000 tonnes as many small miners that supply tin ore for the company have temporarily shut as lower tin prices could not cover production costs. It also sources tin from small miners that are permitted to operate in its concessions.
Tin exports from Indonesia had begun recovering the past few months after slowing down following a government clampdown on illegal mining in October 2006 in the islands. Indonesia exported an estimated 75,535.05 tonnes of refined tin in January to September 2008 period. There is no comparison for the same period last year, but Indonesia exported 78,744 tonnes of refined tin in 2007.
