NYSE: TC TSX: TCM, TCM.WT Frankfurt: A6R TORONTO, Nov. 6
/PRNewswire-FirstCall/ -- Overview (all in U.S. dollars): - A
significant rise in molybdenum sales in the third quarter resulted
in record quarterly net income of $100.6 million or $0.80 per basic
and $0.74 per diluted common share in the third quarter, up 66.6%
from $60.4 million or $0.52 per basic and $0.45 per diluted common
share in the second quarter of 2008. - Third-quarter net income was
approximately four times higher than the level of $24 million or
$0.21 per basic and $0.18 per diluted common share recorded in the
third quarter of 2007 when a lower-grade stockpile was being
processed in the mill at the Thompson Creek Mine. - For the nine
months ended September 30, 2008, net income rose 61.7% to $207.8
million or $1.75 per basic and $1.56 per diluted common share from
$128.5 million or $1.18 per basic and $1.03 per diluted common
share in the same period of 2007. - Mining operations continued to
perform well in the third quarter with total molybdenum production
rising 5.1% to 6.5 million pounds from 6.2 million pounds in the
second quarter of 2008. - The Company's molybdenum inventory was
reduced by approximately one million pounds as planned in the third
quarter. - Molybdenum production guidance for 2008 has been
increased to between 25 and 26 million pounds due to
higher-than-expected production at the Endako Mine. Previous
production guidance was 23 to 24.5 million pounds. - Cash costs for
the production of molybdenum oxide in 2008 are expected to be $7.30
per pound, comprising approximately $7 per pound at the Thompson
Creek Mine (up from previous guidance of $6 to $6.50 per pound) and
$7.50 to $8 per pound at the Endako Mine (down from previous
guidance of $9.50 to $10.25 per pound). - Cash flow generated by
operating activities was $110.3 million in the third quarter and
$236.6 million in the first nine months of 2008. - Cash balances
were $151.7 million and total debt was $4.7 million on September
30, 2008. Cash balances as of November 5, 2008 were $244.1 million.
- For 2009, the Company expects molybdenum production to rise to an
estimated 31.5 to 34 million pounds, consisting of Thompson Creek
Mine production of between 24.5 and 26 million pounds and the
Company's 75% share of Endako Mine production at between 7 and 8
million pounds. - Cash costs for the production of molybdenum oxide
in 2009 are estimated at between $6 and $7 per pound in 2009, with
cash costs at the Thompson Creek Mine between $5 and $6 per pound
and at the Endako Mine between $8 and $9 per pound (assuming an
exchange rate of US$1 = C$1.20). - Given current economic
conditions, the Company has decided to postpone development of the
Davidson Project until economic conditions improve. Note: A
conference call and webcast for analysts and investors is scheduled
for Friday, November 7, 2008 at 8:30 a.m. Eastern. Thompson Creek
Metals Company Inc. ("the Company"), one of the world's largest
publicly traded, pure molybdenum producers, today announced
financial results for the three and nine months ended September 30,
2008 prepared in accordance with Canadian generally accepted
accounting principles. All dollar amounts are in U.S. dollars
unless otherwise indicated. "Thompson Creek recorded strong
operating and financial performance in the third quarter with
molybdenum production up 5.1% from the second quarter and the
Company's revenues, cash flow and net income all at record
quarterly levels," said Kevin Loughrey, Chairman and Chief
Executive Officer. "However, as a result of the worldwide financial
crisis and economic downturn in recent weeks, there is significant
uncertainty regarding the near-term demand and price outlook for
molybdenum. Given the decline in the molybdenum price since
September, the fourth-quarter average sales price for molybdenum is
expected to be considerably lower than the company's third-quarter
average realized sales price of US$32.85 per pound. "Thompson Creek
is in the fortunate position of having a strong balance sheet, with
working capital of $355.6 million, including $151.7 million in cash
balances, and almost no debt as at September 30, 2008," Mr.
Loughrey said. "In addition, due to higher predicted ore grades at
the Thompson Creek Mine, the Company is expecting to benefit from a
substantial increase in total molybdenum production in 2009 to a
range of 31.5 to 34 million pounds with average per-pound cash
costs below those experienced in 2008. "Nevertheless, given the
sudden change in economic climate, the Company is in the process of
reviewing and revising future capital expenditures, development
projects and operating plans to ensure that adequate working
capital levels are maintained," Mr. Loughrey added. Third-Quarter
Financial Results The Company's revenues were $331.1 million in the
third quarter of 2008, compared with $243.9 million in the second
quarter of 2008 and $200.9 million in the third quarter of 2007.
The gain in revenues from the second quarter of 2008 was due to
higher sales volumes that in part resulted from the sale of
approximately one million pounds of inventory that had been built
up in the second quarter in connection with scheduled maintenance
shutdowns of the Langeloth and Endako roasters. The year-over-year
rise in revenues reflects generally higher production volumes and
sales from the company's mines in 2008 compared with 2007 when a
lower-grade stockpile was temporarily used in milling operations at
the Thompson Creek Mine. Total sales of molybdenum amounted to 9.9
million pounds during the third quarter, up from 6.1 million pounds
a year earlier. Of this, molybdenum sold from the Company's mines
in the third quarter of 2008 was 6.9 million pounds, up from 3.4
million pound sold in the same period in 2007, and sales of
third-party molybdenum purchased, processed and resold was 3
million pounds in the third quarter, up from 2.7 million a year
earlier. The average realized sale price for molybdenum products in
the third quarter of 2008 was $32.85 per pound, which was 2% higher
than $32.06 per pound a year earlier. After the deduction of
operating, selling, marketing, depreciation, depletion and
accretion costs, the Company generated income from mining and
processing operations totaling $159 million in the third quarter,
compared with $105.4 million in the second quarter of 2008 and
$60.9 million in the third quarter of 2007. Net income in the third
quarter of 2008 was $100.6 million or $0.80 per basic and $0.74 per
diluted common share, compared with $60.4 million or $0.52 per
basic and $0.45 per diluted common share in the second quarter of
2008 and $24.0 million or $0.21 per basic and $0.18 per diluted
share in the third quarter of 2007. The per-share figures are based
on a weighted-average number of shares outstanding of 125,045,000
(basic) and 136,754,000 (diluted) in the third quarter of 2008,
compared with 116,902,000 (basic) and 133,867,000 (diluted) in the
second quarter of 2008, and 112,875,000 (basic) and 129,743,000
(diluted) in the third quarter of 2007. At November 6, 2008, there
were 122,653,000 common shares, 24,505,000 warrants and 8,343,000
employee options outstanding. Cash flow from operating activities
was $110.3 million in the third quarter of 2008, compared with
$62.9 million in the second quarter of 2008 and $31.4 million in
the third quarter of 2007. Cash balances were $151.7 million at
September 30, 2008, compared with $79.3 million at June 30, 2008
and $113.7 million at December 31, 2007. Cash balances as of
November 5, 2008 were $244.1 million. The Company's total debt on
September 30, 2008 was $4.7 million in equipment loans. The
Company's mines produced 6.5 million pounds of molybdenum in the
third quarter of 2008, compared with 6.2 million pounds of
molybdenum in the second quarter of 2008 and 3.0 million pounds in
the third quarter of 2007. The Thompson Creek Mine produced 4.3
million pounds in the third quarter, up from 4.0 million pounds in
the second quarter and 1.1 million pounds in the third quarter of
2007. The Company's 75% share of the Endako Mine's production was
2.2 million pounds in the third quarter, compared with 2.2 million
pounds in the second quarter and 1.9 million pounds in the third
quarter of 2007. The production amounts reflect molybdenum produced
at the Thompson Creek and Endako mines but do not include
molybdenum purchased from third parties, roasted and sold by the
Company. The weighted-average direct production costs for
molybdenum pounds produced from the Company's mines during the
period were $6.63 per pound produced in the third quarter of 2008,
compared with $7.56 per pound produced in the second quarter of
2008 and $11.63 per pound produced in the third quarter of 2007. At
the Thompson Creek Mine, the direct production costs per pound
produced were $6.29 per pound in the third quarter, compared with
$7.02 per pound in the second quarter and $15.57 per pound in the
third quarter of 2007. The Endako Mine's direct production costs
per pound produced were $7.32 per pound in the third quarter,
compared with $8.53 per pound in the second quarter and $9.27 per
pound in the third quarter of 2007. The weighted-average cash
operating expenses for molybdenum sold from the Company's mines
during the period were $7.25 per pound sold in the third quarter of
2008, compared with $7.49 per pound sold in the second quarter of
2008 and $9.16 per pound sold in the third quarter of 2007. At the
Thompson Creek Mine, the average cash operating expenses related to
sales were $6.65 per pound sold in the third quarter, compared with
$7.83 per pound sold in the second quarter and $8.52 per pound sold
in the third quarter of 2007. The Endako Mine's average cash
operating expenses related to sales were $8.44 per pound sold in
the third quarter, compared with $6.99 per pound sold in the second
quarter and $9.63 per pound sold in the second quarter of 2007.
Subsequent to the end of the third quarter and through to the
current date, the Company, under a normal course issuer bid,
purchased 2.4 million of its common shares for cancellation at an
average price of C$8.21 per share. Approximately 9.9 million shares
remain available for purchase under this share-purchase program.
Nine-Month Financial Results The Company's revenues were $829.8
million in the first nine months of 2008, up 16% from $716.6
million a year earlier. The sales gain mainly reflected a 16% rise
in realized molybdenum sales prices which averaged $32.75 in the
2008 nine-month period versus $28.20 a year earlier. The total
volume of sales was 24.9 million pounds, up from 24.8 million
pounds in the nine-month period in 2007. This consisted of sales of
molybdenum from the company's own mines in the 2008 nine-month
period of 15.8 million pounds, down from 16.3 million pounds a year
earlier, while sales of third-party molybdenum purchased, processed
and resold amounted to 9.1 million pounds, up from 8.4 million
pounds a year earlier. After the deduction of operating, selling,
marketing, depreciation, depletion and accretion costs, the Company
generated income from mining and processing operations totaling
$341.7 million in the first nine months of 2008, compared with
$253.1 million a year earlier. Net income in the 2008 nine-month
period was $207.8 million or $1.75 per basic and $1.56 per diluted
common share, compared with $128.5 million or $1.18 per basic and
$1.03 per diluted share in the same period of 2007. The per-share
figures are based on a weighted-average number of shares
outstanding of 118,492,000 (basic) and 133,186,000 (diluted) in the
first nine months of 2008 versus 109,151,000 (basic) and
124,565,000 (diluted) in the first nine months of 2007. Net income
and earnings from mining and processing operations in the first
nine months of 2007 were negatively affected by the inclusion in
operating expenses of a non-cash acquisition expense related to the
inventory portion of the purchase price adjustment associated with
the Company's purchase of Thompson Creek Metals Company USA in
October 2006. This non-cash expense amounted to $29.6 million in
the first quarter of 2007. Cash flow from operating activities was
$236.6 million in the first nine months of 2008, compared with
$136.8 million a year earlier. Capital expenditures totaled $75.4
million in the first nine months of 2008 which primarily
represented new mobile equipment purchases at the Thompson Creek
and Endako mines together with the Endako mill expansion. The
Company's mines produced 18.3 million pounds of molybdenum in the
first nine months of 2008, up from 12.9 million pounds a year
earlier. The Thompson Creek Mine produced 11.9 million pounds in
the latest period, up from 7.3 million pounds a year earlier, while
the Company's 75% share of Endako Mine's production was 6.3 million
pounds in the first nine months of 2008, compared with 5.6 million
pounds a year earlier. The weighted-average direct production costs
for molybdenum pounds produced from the Company's mines during the
first nine months of 2008 were $7.31 per pound produced, compared
with $7.69 per pound produced in the year-earlier period. At the
Thompson Creek Mine, the direct production costs per pound produced
were $7.08 per pound in the 2008 period, compared with $7.20 per
pound a year earlier. The Endako Mine's direct production costs per
pound produced were $7.75 per pound in the first nine months of
2008, compared with $8.34 per pound a year earlier. The
weighted-average cash operating expenses for molybdenum sold from
the Company's mines during the first nine months of 2008 were $8.17
per pound sold, compared with $7.80 per pound sold in the prior
year period. At the Thompson Creek Mine, the average cash operating
expenses related to sales were $8.13 per pound sold in the 2008
period, compared with $7.58 per pound sold a year earlier. The
Endako Mine's average cash operating expenses related to sales were
$8.24 per pound sold in the first nine months of 2008, compared
with $8.20 per pound sold a year earlier. Outlook For 2008, the
Company is upgrading the target for the previously announced
estimated molybdenum production from 23 to 24.5 million pounds to
25 to 26 million pounds. The Thompson Creek Mine remains on target
for the previously announced estimated molybdenum production of
16.5 to 17 million pounds. The Company's 75% share of the Endako
Mine molybdenum production for 2008 is being increased from the
previously announced estimate of 6.5 to 7.5 million pounds to an
estimated 8.5 to 9 million pounds as a result of higher grades and
recoveries than were originally expected. The Company experiences a
cycle of up to two and a half months between the time a pound of
molybdenum is recorded as produced and when the same pound is
recorded as being sold. As a result, the molybdenum sales that the
Company will record in 2008 will reflect production achieved over a
one year period starting early in the fourth quarter of 2007 and
ending early in the fourth quarter of 2008. Thompson Creek sold
15.8 million pounds of molybdenum from its own mines in the first
nine months of 2008 and currently remains on target to sell
approximately 22 million pounds from its own mines for all of
calendar 2008, as previously announced. For 2008, anticipated oxide
direct production costs per pound produced are expected to be $7.30
per pound. For each mine, costs have been revised from the previous
annual guidance, with the Thompson Creek Mine expected to be
approximately $7 per pound (compared to previous guidance of $6 to
$6.50 per pound) and the Endako Mine at $7.50 to $8 per pound
(compared to previous guidance of $9.50 to $10.25 per pound). This
assumes a change in the US$/C$ exchange rate from 1.0 for the
previous guidance for the Endako Mine to 1.2 for the fourth quarter
of 2008. For the first nine months of 2008, the oxide production
costs per pound produced were $7.08 per pound at Thompson Creek
Mine and $7.75 per pound at the Endako Mine. Oxide production costs
per pound produced represent the direct cost to produce molybdenum
oxide at each mine (mining, milling, and roasting) and do not
include adjustments for opening and closing inventory amounts,
amortization of deferred stripping costs and the effects of
purchase price adjustments, nor do they include additional costs
related to the production of downstream products produced by the
Company such as ferromolybdenum. For the Thompson Creek Mine, which
only produces sulfide on site, oxide production costs per pound
produced include an allocation of roasting costs incurred at the
Langeloth facility to process Thompson Creek Mine material from
sulfide to oxide. For 2009, the Company expects molybdenum
production volumes to be 31.5 to 34 million pounds, with the
Thompson Creek Mine at approximately 24.5 to 26 million pounds and
the 75% share of the Endako Mine at 7 to 8 million pounds. The
Company expects to sell 30 to 34 million pounds from its own mines,
which represents production achieved over a one year period from
the early part of the fourth quarter of 2008 through the early part
of the fourth quarter of 2009. The Company has some discretion in
building or depleting inventory levels depending upon economic
conditions and the related demand and sales prices for molybdenum.
For 2009, anticipated oxide direct production costs per pound
produced are estimated at $6 to $7 per pound, comprising $5 to $6
per pound at the Thompson Creek Mine and $8 to $9 per pound at the
Endako Mine (assuming a US$/C$ exchange rate of 1.20). For the
Endako Mine, a $0.01 change in the Canadian foreign exchange rate
results in a $0.10 change in the direct production cost per pound
produced. The Company and the other joint venture participant in
the Endako Mine approved the mill expansion project during the
first quarter of 2008 and the project has commenced with detailed
engineering, the ordering of major mill equipment and the earthwork
and site preparation. Through September 30, 2008, the Company's 75%
share of the capital expenditures for the Endako expansion project
totaled $24 million. Additionally, the Company had commitments
related to the purchase of major mill equipment for its 75% share
of the Endako mill expansion of approximately $69.9 million as of
September 30, 2008. The Company's total share of expansion capital
expenditures is expected to be C$280 million over the period 2008
to 2010. During 2007, mineral reserves were recalculated at a
long-term price of $10 per pound for molybdenum sales, resulting in
increases at both operating mines. Development drilling and reserve
analysis is continuing at the Thompson Creek Mine to complete the
second stage of its mineral reserve study which is expected to
further increase reserves when completed in 2009. The Company is
also conducting development and exploration drilling on the Endako
Mine property. The environmental application for the Davidson
Project has been submitted to the regulatory authorities. However,
given current economic conditions, the Company has decided to
postpone development of this project until economic conditions
improve. In August 2008, Thompson Creek signed an option with U.S.
Energy Corp. ("USE") to acquire up to 75% of the Mount Emmons
molybdenum property in the U.S. state of Colorado. Under the
agreement, Thompson Creek made a $500,000 payment to USE upon
signing and, unless the agreement is terminated earlier, the
Corporation will pay $1 million annually to USE for six years
beginning January 1, 2009 and ending January 1, 2014. Thompson
Creek can earn the right to acquire a 15% interest in the property
by spending a total of $15 million on the property, including the
direct payments to USE, by June 30, 2011. Thompson Creek can earn a
50% interest in the property by spending a cumulative total of $50
million on the property by July 31, 2018. Thompson Creek has the
right to terminate the agreement during the option period, with any
advance or shortfall payments made to that date being forfeited and
Thompson Creek remains obligated to maintain the property in good
standing for a period of three months thereafter. Should Thompson
Creek obtain a 50% interest in the property, it may elect to form a
50/50 joint venture with USE, or may elect to increase its interest
in the property to 75% by incurring an additional $350 million in
project expenditures, for a cumulative total of $400 million in
expenditures and payments. Thompson Creek management is currently
developing a long-term strategy for a complete evaluation of the
Mount Emmons property. As a result, Thompson Creek expects to spend
the required expenditures under this earn-in agreement of $2.5
million for the remainder of 2008 and $5 million for 2009, which
includes the direct payments to USE. In January 2008, a payment of
$100 million was made to the former shareholders of Thompson Creek
Metals Company USA to settle an acquisition price adjustment
recorded in 2007 related to the market price of molybdenum in 2007.
The Corporation may be responsible for a further contingent payment
in early 2010 of $25 million if the average price of molybdenum, as
reported by Platts Metals Week, exceeds $15 per pound in 2009.
Additional information on the Company's financial position is
available in Thompson Creek's Financial Statements and Management's
Discussion and Analysis for the period ended September 30, 2008,
which will be filed with SEDAR (http://www.sedar.com/) and posted
on the Company's website (http://www.thompsoncreekmetals.com/).
Conference call and webcast Thompson Creek will hold a conference
call for analysts and investors to discuss its third quarter 2008
financial results on Friday, November 7, 2008 at 8:30 a.m.
(Eastern). Kevin Loughrey, Chairman and Chief Executive Officer,
and Pamela Saxton, Chief Financial Officer, will be available to
answer questions during the call. To participate in the call,
please dial 416-644-3420 or 1-800-731-6941 about five minutes prior
to the start of the call. A live audio webcast of the conference
call will be available at http://www.newswire.ca/ and
http://www.thompsoncreekmetals.com/. An archived recording of the
call will be available at 416-640-1917 or 1-877-289-8525 (Passcode
21285677 followed by the number sign) from 10:30 a.m. on November 7
to 11:59 p.m. on November 14. An archived recording of the webcast
will also be available at Thompson Creek's website. About Thompson
Creek Metals Company Inc. Thompson Creek Metals Company Inc. is one
of the largest publicly traded, pure molybdenum producers in the
world. The Company owns the Thompson Creek open-pit molybdenum mine
and mill in Idaho, a metallurgical roasting facility in Langeloth,
Pennsylvania and a 75% share of the Endako open-pit mine, mill and
roasting facility in northern British Columbia. Thompson Creek is
also evaluating two high-grade underground molybdenum deposits, the
Davidson Deposit near Smithers, B.C., and the Mount Emmons Deposit
near Crested Butte, Colorado. The Company has approximately 800
employees. Its principal executive office is in Denver, Colorado,
and it has other executive offices in Toronto, Ontario and
Vancouver, British Columbia. More information is available at
http://www.thompsoncreekmetals.com/. Cautionary Note Regarding
Forward-Looking Statements
---------------------------------------------------- This news
release contains "forward-looking information" within the meaning
of the United States Private Securities Litigation Reform Act of
1995 and applicable Canadian securities legislation which may
include, but is not limited to, statements with respect to the
timing and amount of estimated future production. Often, but not
always, forward-looking statements can be identified by the use of
words such as "plans", "expects", "is expected", "budget",
"scheduled", "estimates", "forecasts", "intends", "anticipates", or
"believes" or variations (including negative variations) of such
words and phrases, or state that certain actions, events or results
"may", "could", "would", "might" or "will" be taken, occur or be
achieved. Forward-looking statements involve known and unknown
risks, uncertainties and other factors which may cause the actual
results, performance or achievements of Thompson Creek and/or its
subsidiaries to be materially different from any future results,
performance or achievements expressed or implied by the
forward-looking statements. Such factors include those factors
discussed in the section entitled "Risk Factors" in Thompson
Creek's current annual information form which is available on SEDAR
at http://www.sedar.com/ and is incorporated in its Annual Report
on Form 40-F filed with the United States Securities and Exchange
Commission which is available at http://www.sec.gov/. Although
Thompson Creek has attempted to identify important factors that
could cause actual actions, events or results to differ materially
from those described in forward-looking statements, there may be
other factors that cause actions, events or results to differ from
those anticipated, estimated or intended. Forward-looking
statements contained herein are made as of the date of this news
release and Thompson Creek does not undertake to update any such
forward-looking statements, except in accordance with applicable
securities laws. There can be no assurance that forward-looking
statements will prove to be accurate, as actual results and future
events could differ materially from those anticipated in such
statements. Accordingly, readers are cautioned not to place undue
reliance on forward-looking statements. Readers should refer to
Thompson Creek's current annual information form which is available
on SEDAR at http://www.sedar.com/ and is incorporated in its Annual
Report on Form 40-F filed with the SEC which is available at
http://www.sec.gov/ and subsequent continuous disclosure documents
available at http://www.sedar.com/ and http://www.sec.gov/ for
further information on mineral reserves and mineral resources,
which is subject to the qualifications and notes set forth therein.
Consolidated Balance Sheets (US dollars in millions - Unaudited)
September 30 December 31 2008 2007 Assets Current assets Cash and
cash equivalents $ 151.7 $ 113.7 Accounts receivable 168.3 84.1
Product inventory 90.5 131.3 Material and supplies inventory 37.3
32.9 Prepaid expense and other current assets 2.6 4.6 Income and
mining taxes recoverable - 13.4 ------------- ------------- 450.4
380.0 Other assets 0.4 2.4 Restricted cash 13.3 10.0 Reclamation
deposits 27.2 26.8 Property, plant and equipment 603.7 566.8
Goodwill 120.6 123.7 ------------- ------------- $ 1,215.6 $
1,109.7 ------------- ------------- ------------- -------------
Liabilities Current liabilities Accounts payable and accrued
liabilities $ 69.9 $ 60.4 Acquisition cost payable - 100.0 Income
and mining taxes payable 12.2 - Current portion of long-term debt
3.1 67.2 Future income and mining taxes 9.6 6.4 -------------
------------- 94.8 234.0 Long-term debt 1.6 170.2 Other liabilities
25.4 30.0 Asset retirement obligations 27.6 26.4 Future income and
mining taxes 156.8 161.5 ------------- ------------- 306.2 622.1
------------- ------------- Shareholders' Equity Common shares
494.6 268.1 Common share warrants 35.0 35.0 Contributed surplus
37.9 26.5 Retained earnings 337.6 129.8 Accumulated other
comprehensive income 4.3 28.2 ------------- ------------- 909.4
487.6 ------------- ------------- $ 1,215.6 $ 1,109.7 -------------
------------- ------------- ------------- Consolidated Statements
of Income (US dollars in millions, except per share amounts -
Unaudited) Three months ended Nine months ended September 30
September 30 2008 2007 2008 2007 Revenues Molybdenum sales $ 325.9
$ 195.9 $ 815.7 $ 697.9 Tolling and calcining 5.2 5.0 14.1 18.7
---------- ---------- ---------- ---------- 331.1 200.9 829.8 716.6
---------- ---------- ---------- ---------- Cost of sales Operating
expenses 155.2 125.5 447.5 415.0 Selling and marketing 3.0 2.4 8.0
7.5 Depreciation, depletion and amortization 13.6 11.7 31.2 39.8
Accretion 0.3 0.4 1.4 1.2 ---------- ---------- ----------
---------- 172.1 140.0 488.1 463.5 ---------- ---------- ----------
---------- Income from mining and processing 159.0 60.9 341.7 253.1
Other (income) expenses General and administrative 6.6 2.6 15.7 9.4
Exploration and development 1.2 1.1 2.5 5.3 Interest and finance
fees 0.1 7.8 14.9 35.4 Stock-based compensation 4.8 3.1 13.0 11.5
Interest income (0.7) (1.8) (2.3) (6.0) Other (3.1) 1.4 (5.9) 2.8
---------- ---------- ---------- ---------- 8.9 14.2 37.9 58.4
---------- ---------- ---------- ---------- Income before income
and mining taxes 150.1 46.7 303.8 194.7 Income and mining taxes
(recoverable) Current 39.5 14.7 90.5 86.5 Future 10.0 8.0 5.5
(20.3) ---------- ---------- ---------- ---------- 49.5 22.7 96.0
66.2 ---------- ---------- ---------- ---------- Net income $ 100.6
$ 24.0 $ 207.8 $ 128.5 ---------- ---------- ---------- ----------
---------- ---------- ---------- ---------- Net income per share
Basic $ 0.80 $ 0.21 $ 1.75 $ 1.18 ---------- ---------- ----------
---------- ---------- ---------- ---------- ---------- Diluted $
0.74 $ 0.18 $ 1.56 $ 1.03 ---------- ---------- ----------
---------- ---------- ---------- ---------- ---------- Consolidated
Statements of Cash Flows (US dollars in millions - Unaudited) Three
months ended Nine months ended September 30 September 30 2008 2007
2008 2007 Operating Activities Net income $ 100.6 $ 24.0 $ 207.8 $
128.5 Items not affecting cash: Depreciation, depletion and
amortization 13.6 11.7 31.2 39.8 Accretion 0.3 0.4 1.4 1.2
Amortization of finance fees - 0.7 5.4 7.1 Stock-based compensation
4.8 3.1 13.0 11.5 Future income and mining taxes 10.0 8.0 5.5
(20.3) Unrealized gain on derivative instruments (3.9) (1.2) (5.3)
(2.6) Change in non-cash working capital (15.1) (15.3) (22.4)
(28.4) ---------- ---------- ---------- ---------- Cash generated
by operating activities 110.3 31.4 236.6 136.8 ----------
---------- ---------- ---------- Investing Activities Property,
plant and equipment (26.1) (3.9) (54.7) (9.5) Deferred stripping
costs (7.8) (9.9) (20.7) (25.5) Restricted cash 0.6 (0.1) (3.3)
(1.5) Reclamation deposit (0.2) (1.8) (0.7) (2.6) Acquisition cost
- - (100.0) - ---------- ---------- ---------- ---------- Cash used
in investing activities (33.5) (15.7) (179.4) (39.1) ----------
---------- ---------- ---------- Financing Activities Proceeds from
issuance of common shares, net - 4.8 223.8 48.5 Repayment of
long-term debt (0.8) (17.4) (238.2) (150.9) ---------- ----------
---------- ---------- Cash used in financing activities (0.8)
(12.6) (14.4) (102.4) ---------- ---------- ---------- ----------
Effect of exchange rate changes on cash and cash equivalents (3.6)
(1.1) (4.8) 3.0 ---------- ---------- ---------- ----------
Increase (decrease) in cash and cash equivalents 72.4 2.0 38.0
(1.7) Cash and cash equivalents, beginning of period 79.3 94.4
113.7 98.1 ---------- ---------- ---------- ---------- Cash and
cash equivalents, end of period $ 151.7 $ 96.4 $ 151.7 $ 96.4
---------- ---------- ---------- ---------- ---------- ----------
---------- ---------- CONTACT: Wayne Cheveldayoff, Director of
Investor Relations, Thompson Creek Metals Company Inc., Tel: (416)
860-1438, Toll free: 1-800-827-0992, ; Dan Symons, Renmark
Financial Communications Inc., Tel.: (514) 939-3989, DATASOURCE:
Thompson Creek Metals Company Inc. CONTACT: Wayne Cheveldayoff,
Director of Investor Relations, Thompson Creek Metals Company Inc.,
Tel: (416) 860-1438, Toll free: 1-800-827-0992, ; Dan Symons,
Renmark Financial Communications Inc., Tel.: (514) 939-3989,
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