Major European iron ore concentrate producer Northland Resources has announced its financial results for the third quarter and the first nine months of the current year, stating that, after a difficult second quarter when the future of the company was challenged and much time and resources were spent on finding a financial solution to continue operations, during the third quarter Northland was again able to move its focus back on the operations in Kaunisvaara, Sweden.
In the third quarter, Northland reported a net profit of $387.3 million, compared to a net profit of $3.7 million in the same quarter of the previous year. The company's sales amounted to $31.4 million and the sales volume was 297,000 dry mt, both negatively affected by capacity limitations at its production line No. 1 and delays in the ramp-up of its logistics chain.
During the first nine months, Northland registered a net profit of $271.6 million, compared to a net loss of $19.2 million in January-September 2012. In the given period, Northland's sales totaled $55.7 million and the sales volume amounted to 504,000 dry mt.
In the remainder of the current year, Northland said that it will complete a cost-optimized logistics chain, including buildings and ship loader in Narvik as well as additional deliveries of railcars from Kiruna Wagon. The company will continue to seek additional sources of funding for its Kaunisvaara project.