Rising commodity prices nearly quadruple 2004 Xstrata profit

0 Comments | AFP, March, 2005

ZUG, Switzerland (AFP) — Rising commodity prices helped nearly quadruple net profit at the Anglo-swiss mining group Xstrata to 1.05 billion dollars (800.58 million euros) in 2004, the firm said as it pressed ahead with its bid for Australia's WMC Resources.

The 277 percent increase in annual profit over 2003 was backed by a 47 percent increase in turnover last year to 6.46 billion dollars, Xstrata said in a statement Wednesday on its preliminary results.

The mining group said it had also been able to take advantage of greater diversification in raw materials following its expansion in recent years.

Xstrata took over mining companies in 2002 and 2003, including MIM Holdings, the operator of one of Australia's largest copper mines.

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