Metals Exploration PLC on Wednesday posted sharply lower profit for the half year to June 30 as revenue decreased.

Metals Exploration is a mineral resources exploration and development company with assets in the Philippines.

Interim pretax profit fell to just $857,321 from $6.0 million a year ago. Revenue decline by 7.7% to $57.6 million from $62.4 million. Further, administrative expenses grew by 46% to $5.7 million from $3.9 million.

The London-based company produced 31,348 ounces of gold at its Runruno project in the Philippines, down 11% from 35,316 a year before. Gold sale price grew 4.5% to $1,878 per ounce from $1,797.

Positive cash flow dropped to $17.0 million from $21.3 million.

Looking ahead, Metals Exploration said: ‘The board of directors believes that the Runruno project will continue to operate successfully and produce positive cash flows for at least 12 months from the date of this interim report.’

Metals Exploration shares were 7.3% lower at 0.95 pence each in London on Wednesday afternoon.

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