24th Oct 2019 08:57
(Alliance News) - Russian miner KAZ Minerals PLC said Thursday it expects to beat gold guidance for 2019 after a "record" third quarter of the year.
Shares in the FTSE 250 company were 6.8% higher on Thursday morning at a price of 482.42 pence each.
KAZ, which operates in central Asia, has previously guided for 2019 gold production between 170,000 ounces and 185,000 ounces. However, it now expects to beat the top end of that range by 5%. In 2018, KAZ produced 183,400 ounces of gold.
This comes after third-quarter gold production of 58,500 ounces for the three months to September, 32% higher than the quarter before. Copper production was 82,900 tonnes, 6.8% higher than the prior three months.
KAZ said the rises in production came after strong performances from the Aktogay mine in eastern Kazakhstan and the Bozshakol mine in the north of the country.
KAZ has reiterated 2019 guidance for copper, which is for around 300,000 tonnes. In 2018, it was 294,700 tonnes.
"I am pleased to report a record quarter from our large-scale, low-cost open pit mines, delivering 83,000 tonnes of copper and 59,000 ounces of gold," said Chief Executive Andrew Southam.
"Following output growth of 6% in the first nine months, the group is well positioned to deliver full year copper production in line with guidance of around 300,000 tonnes, whilst gold production is now forecast to exceed guidance of 170,000 ounces to 185,000 ounces. The group's operating assets provide a strong platform to support our growth pipeline."
By George Collard; [email protected]
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