Philex secures foreign investor for Surigao mine project

Philex Mining Corp. has secured a foreign investor for its Silangan mine project in Surigao del Norte province. This comes as the project prepares for its commercial launch next year. Manuel V. Pangilinan, the chair of Philex, stated the investor would hold a minority stake but did not disclose specific details about the deal. Pangilinan mentioned that the investor was attracted to Silangan because it is a newer project with high-grade ore. Philex's share price has increased significantly this year, up 153.76 percent since January. The firm's share price continues to soar, with a 53.58 percent rise this month alone. Philex's plans have been in the works for over three years. Last November, the company indicated it was looking for both foreign and local investors. The Silangan project aims to produce its first metal output by February 2026, with commercial operations expected to start in the first quarter of next year. Despite favorable metal prices, Philex faced challenges in 2024, with net income dropping by 20 percent to P810.2 million. Revenues also fell by 6 percent as operating costs rose. Philex is now focusing on advancing the Silangan project while managing older mines. Additionally, the company has secured a $70-million loan to aid in developing the mine's first phase, which includes the Boyongan ore deposit. Analysts expect significant recoverable resources from Boyongan, including copper and gold. Philex is also exploring further funding options for the project's second phase before commencing commercial operations for the first phase.