Kaz Minerals reports 7.4% rise in copper output, reaffirms annual forecast

Kaz Minerals on Thursday reported record copper production in the third quarter as it ramped-up operations at its biggest mines in Kazakhstan, putting it on track to achieve full-year targets for copper output.

Adds details on production, net debt and shares

Oct 24 (Reuters) - Kaz Minerals KAZ.L on Thursday reported record copper production in the third quarter as it ramped-up operations at its biggest mines in Kazakhstan, putting it on track to achieve full-year targets for copper output.

The London-listed miner said copper production for the quarter ended Sept. 30 rose 7.4% to 82.9 kilo tonnes (kt).

Copper production also handily topped Jefferies estimates of 76.1 kt, as output at its open pit mine Bozshakol benefited from an increase in ore throughput and higher grades in the quarter, the Kazakhstan-focused miner said.

Production at its biggest mine Aktogay rose 6.9% to 37.3 kt in the quarter.

Kaz, which accounts for a large part of Kazakhstan's metal production, continues to expect annual copper output of about 300 kt, helped by higher quality ore from Bozshakol.

The affirmation of its guidance comes at a time when copper prices CMCU3 have been hit by this year by concerns over a prolonged Sino-U.S. trade war and a slowdown in the world's top metals consumer China.

The company's debt increased to $2.64 billion from $2.56 billion in last quarter, mainly due to higher spending to expand its Aktogay project.

Kaz Minerals is working on expanding Aktogay mine to double its processing capacity, which is expected to be completed by the end of 2021.

Shares of Kaz Minerals rose nearly 2% in early trade.

(Reporting by Shanima A in Bengaluru, Editing by Amy Caren Daniel)

((shanima.a@thomsonreuters.com; shanima.a.thomsonreuters.com@reuters.net ; +91 80 6749 3167; ;))

The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

Reuters

Reuters, the news and media division of Thomson Reuters, is the world’s largest international multimedia news provider reaching more than one billion people every day. Reuters provides trusted business, financial, national, and international news to professionals via Thomson Reuters desktops, the world's media organizations, and directly to consumers at Reuters.com and via Reuters TV.

Learn More