Nickel miner Western Areas reports a turnaround in H1

The result was boosted also by a one-off $20 million payment for allowing Kagara Ltd to access its project using a decline that leads to Western Areas' Flying Fox mine, south of Marvel Lock in Western Australia.

Western Areas on Monday said it had achieved net profit of $10.7 million for the six months to December last year, compared to a $12.3 million net loss for the same period in 2008.

Sales revenue totalled $85.5 million, up from $40.7 million previously.

Production was in line with guidance, at 125,049 tonnes processed at a grade of 3.4 per cent nickel, with 90 per cent recovery rates.

Western Areas is expected to announce soon an interim dividend of about three cents per share.