Baku, Azerbaijan, Jan. 29
By Elena Kosolapova - Trend:
Kazakhstan's Metallurgical Corporation KAZ Minerals increased copper cathode output by 9 percent in 2014 to 83,500 tonnes, the company reported on Jan. 29.
The production level achieved the upper end of the guidance of 80,000-85,000 tonnes for the reporting period.
The production increase was supported by increase in copper in concentrate production, impacted by build-up of work in progress at the smelter during 2013 and increased recovery rate at Nikolayevsky concentrator following the modernization program.
In the forth quarter of 2014 copper cathode production from continuing operations increased to 24,100 tonnes as concentrate work in progress from the previous quarter was processed.
In 2014 KAZ Minerals mined 4.628 million tonnes in all the retained assets. The average copper grade in the company's assets was at the level of 2.35 percent in the reporting period.
The company's zinc in concentrate output of 121,400 tonnes in 2014 exceeded the guidance of 115,000-120,000 tonnes but this was a 9 percent decrease year on year, due to lower grades and lower zinc bearing ore production.
In 2014, silver granule production decreased by 27 percent to 3.435 million ounces compared to the prior year due to a 25 percent reduction in silver in concentrate production. This was anticipated in the full year guidance of 3.3-3.7 million ounces.
Silver in concentrate output decreased due to falling recovery rates resulting from processing of lower grade material. In the previous year the volume of silver processed was higher than silver metal in the ore extracted.
Gold bar production of 34,600 ounces in 2014 was below guidance of 37,000-42,000 ounces, reflecting the timing of the first concentrate shipment from Bozymchak. Total concentrate produced in the forth quarter of 2014 at Bozymchak contained 4,000 ounces of gold in concentrate, none of which was processed into finished goods in 2014.
KAZ Minerals PLC is a high growth copper company focused on large scale, low cost, open pit mining in Kazakhstan. It is a leading copper producer in Kazakhstan with five operating mines and four concentrators.
The group has two major copper projects under construction, Bozshakol and Aktogay, and a third, Koksay, at scoping stage. These projects are expected to deliver one of the highest growth rates in the industry and transform KAZ Minerals into a company dominated by world class open pit copper mines.
In October 2014, the group completed the disposal of certain mature assets in the Zhezkazgan and Central Regions to Cuprum Netherlands Holding B.V. Following completion of the restructuring, the company was renamed KAZ Minerals PLC.
The company retained mining and processing assets in the East Region, Bozymchak (the new mine and concentrator in Kyrgyzstan) and the three major growth projects Bozshakol, Aktogay and Koksay. As a result of the restructuring, KAZ Minerals is a smaller, focused group, with the potential for exceptional future growth as it develops its projects.
Edited by S.I.
Follow the author on Twitter: @E_Kosolapova
