2 Mining Companies Up Over 6% After Earnings

Royal Gold, Inc. (NASDAQ:RGLD) reported higher profit for the first quarter as revenue showed growth. Net income for Royal Gold, Inc. rose to $17.2 million (40 cents per share) vs. $11.8 million (21 cents per share) in the same quarter a year earlier. This marks a rise of 45.3% from the year earlier quarter.  Rose 42.2% to $64.5 million from the year earlier quarter. RGLD reported adjusted net income of 43 cents per share. By that measure, the company beat the mean estimate of 42 cents per share. It beat the average revenue estimate of $62.1 million.

Tony Jensen, President and CEO, commented, “Our record financial results are now reflecting the many investments we have made over the past several years, as well as strong metals prices. We anticipate further production increases over the next few quarters from Andacollo, Penasquito, Holt, Las Cruces and Canadian Malartic as they all work to achieve full design capacity. And, construction at two key development properties, Pascua-Lama and Mt. Milligan, remains on schedule. We expect these properties to play a significant role in driving future growth.”

Competitors to Watch: Newmont Mining Corporation (NYSE:NEM), U.S. Gold Corporation (NYSE:UXG), Allied Nevada Gold Corp. (AMEX:ANV), Barrick Gold Corp. (NYSE:ABX), Coeur d’Alene Mines Corp. (NYSE:CDE), Rio Tinto plc (NYSE:RIO), Vista Gold Corp. (AMEX:VGZ), and Paramount Gold and Silver Corp. (AMEX:PZG).

Alpha Natural Resources Inc. (NYSE:ANR) reported net income above Wall Street’s expectations for the third quarter. Net income for the industrial metals and minerals company rose to $66.4 million (29 cents per share) vs. $31.9 million (27 cents per share) in the same quarter a year earlier. This is a more than twofold rise from the year earlier quarter. Revenue rose more than twofold to $2.3 billion from the year earlier quarter. ANR reported adjusted net income of 35 cents per share. By that measure, the company beat the mean estimate of 18 cents per share. It beat the average revenue estimate of $2.07 billion.

“Alpha again demonstrated the success of its ‘Running Right’ approach to safety during the third quarter,” said Kevin Crutchfield, Alpha’s chief executive officer. “Both our Love Branch South and Enterprise operations were recognized with underground mine safety awards in Kentucky, and both operations had no lost-time accidents during 2010.”

Competitors to Watch: Massey Energy Company (NYSE:MEE), Peabody Energy Corporation (NYSE:BTU), Arch Coal, Inc. (NYSE:ACI), Patriot Coal Corporation (NYSE:PCX), Intl. Coal Group, Inc. (NYSE:ICO), CONSOL Energy Inc. (NYSE:CNX), Oxford Resource Partners, LP (NYSE:OXF), Alliance Resource Partners, L.P. (NASDAQ:ARLP), Alliance Holdings GP, L.P. (NASDAQ:AHGP), and Westmoreland Coal Company (AMEX:WLB).

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