Strategic Minerals PLC (LON:SML) said it has increased underlying sales at its Cobre iron ore tailings project in New Mexico by almost 9% for the twelve-month period to March in spite of the coronavirus pandemic.
The Cobre operation introduced social distancing measures early, which has allowed it to stay open even though the copper mine next door has closed temporarily.
Strategic said its revenues in the three months to March were US$764,000, or US$2.7mln on a rolling basis compared to US$554,000 or US$2.5mln a year earlier.
This excludes any revenues from the customer against which Strategic has started legal action. A ruling by the arbitrator into this issue is expected no later than the end of May, Strategic said Wednesday.
In a statement, John Peters, managing director of Strategic Minerals said: "During this period, the company greatly appreciates both the continuity of activity at Cobre, due to its identification as an essential service provider, and the organic growth seen in sales over the past year.
“We expect this growth trend to continue in 2020 despite the unusual market conditions."
He added: "Our arbitration process remains on track and we expect a favourable outcome for the company to be confirmed later in May.”