These full-year results from copper miner First Quantum Minerals (FQM) look exceptionally strong - but they were in line with analysts' expectations and were actually buoyed by a number of non-recurring factors. These included the recognition of previously unrecognised tax losses and a $1.2bn (£794m) settlement of legal claims in the Democratic Republic of Congo.
Copper production climbed 16 per cent in the year, but gross profit actually fell 16 per cent because of falling copper prices and rising operating costs. Looking toward 2013, First Quantum reiterated its previous guidance that copper production growth might stall this year - output of 302,000 to 330,000 tonnes of copper is expected, compared with a little over 307,000 tonnes in 2012. Meanwhile, costs are expected to keep rising. This is mainly due to the soaring cost of sulphur, which is a key component in the extraction process.