Griffin Mining Limited ('Griffin' or the 'Company') has today published its annual report and accounts for the year ended 31 December 2022 which will be available shortly on the Company's web site wwww.griffinmining.com and will be posted to shareholders on 25 May 2023.
Despite operations being suspended by the Chinese authorities for external events for nearly five months of 2022, the Company and its subsidiaries (together the 'Group') recorded;
Revenues of $94,397,000 (2021: $121,648,000); Gross profit of $38,252,000 (2021: $58,424,000); Operating profits of $15,625,000 (2021: $36,925,000); Profit before tax of $15,272,000 (2021: $36,526,000); Profit after tax of $7,704,000 (2021: $25,376,000) and Basic earnings per share of 4.41 cents (2021: earnings per share 14.53 cents).
The results for 2022 were severely impacted by various suspensions in operations for nearly five months of the year. First quarter results were impacted by the enforced suspension of all operations at the Caijiaying Mine for the Chinese Lunar New Year holiday celebrations, the Winter Olympics and the subsequent Winter Paralympics. Mining recommenced on the 23 March 2022 and processing on the 25 March 2022. Operations were again suspended by the Chinese authorities restricting the supply and use of explosives for the duration of the Chinese Communist National Party Congress from 22 September 2022 to 17 November 2022.
As a result of the suspensions in operations in 2022, Group profits before tax decreased from $36,526,000 in 2021 to $15,272,000 in 2022 with metal in concentrate production down on that produced in 2021, whilst zinc, gold and lead metal in concentrate prices achieved in 2022 were higher than those achieved in 2021.
With the suspension in operations during 2022 mining, haulage, and processing costs (cost of sales) were down 11.2%. This reduction is less than the reduction in tonnes milled of 15.6% as a result of fixed costs and higher depreciation charges as assets are brought into use.
Operating (administration) costs excluding minority service charges interests rose by 14.9%, reflecting inflationary costs in China, additional fees on the appointment of new directors and the resumption of travel.
Overview
Production in the first quarter of 2023 was a record for a first quarter of any year since the commissioning of the Caijiaying Mine in 2005. Production output was unimpeded this quarter by the usual Chinese New Year holidays. Mining and processing rates have been ramped up to now run consistently at the equivalent of circa 1.5 million tonnes of ore per annum bringing with it the expected financial returns.
Chairman Mladen Ninkov commented, What another extraordinary result. The Caijiaying Mine is now clearly showing what it can achieve when it is unencumbered by extraneous events outside the Company's control. I look forward to an event free 2023 and the results which will thereby be generated.'
About Griffin Mining Limited
Griffin Mining Limited's shares are quoted on the Alternative Investment Market (AIM) of the London Stock Exchange (symbol GFM). Griffin Mining Limited owns and operates through its 88.8% owned Joint Venture in China the Caijiaying Zinc Gold Mine, a profitable mine producing zinc, gold, silver, and lead metals in concentrates.
Contact:
Tel: +44(0)20 7629 7772
GRIFFIN MINING LIMITED 
