Australia may lose $45 billion amid green steel rush, report says
Australia accounts for 56% of seaborne iron ore trade.
Kaz Minerals stuck to its target for copper production this year and declared a dividend on Tuesday but warned that risks to output remained from coronavirus.
The London-listed miner, which mines in Kazakstan, has largely managed to avoid massive disruptions this year despite coronavirus restrictions.
Kaz still expects to mine between 280,000 and 300,000 tonnes of copper this year, after producing 153,800 tonnes in the six months to June, which was in line market expectations.
Kaz declared a first-half dividend of 4 cents per share, the same as a year ago
“There is still risk to operations from covid-19 in the second half of the year but following our strong performance in the first half we maintained production guidance for the full year,” CEO Andrew Southam said.
“We have shown that we can (mine) in a covid environment and … Kazakhstan has reversed that (infection) trend in August and measures are starting to be relaxed.”
The company reported earnings before interest, taxes, depreciation and amortisation (EBITDA) of $559 million for the six months to June 30, down 10% from a year earlier, as sales of copper slid.
Kaz declared a first-half dividend of 4 cents per share, the same as a year ago.
Larger London peers such as BHP, Anglo American and gold miner Centamin also paid dividends while Glencore scrapped its payout.
Kaz said it would continue to invest in expansion projects, including the construction of a second concentrator at the Aktogay mine which will double its sulphide ore processing capacity by 2021.
Copper prices in the first half were down about 11% from a year earlier, Kaz said.
A combination of rebounding Chinese demand and fears of supply disruptions have pushed prices to two-year highs at around $6,400 per tonne.
(By Zandi Shabalala; Editing by Jason Neely)
Comments