(Alliance News) - Central Asia Metals Ltd beat production guidance at one mine and nearly topped it at another, the company said on Thursday.
CAML produced 13,771 tonnes of copper during 2019 from the Kounrad mine in Kazakhstan, 2.0% lower than the year before, but ahead of guidance of between 12,500 tonnes and 13,500 tonnes.
At Sasa in North Macedonia, CAML produced 23,369 tonnes of zinc in concentrate and 29,201 tonnes of lead in concentrate. These were 3.7% higher and 0.6% lower year-on-year, respectively.
London-based CAML had previously guided for 2019 zinc production between 22,000 tonnes and 24,000 tonnes, with lead guidance 28,000 tonnes to 30,000 tonnes.
For 2020, the firm is guiding for copper production between 12,500 tonnes and 13,500 tonnes. Zinc is guided between 23,000 tonnes and 25,000 tonnes, with lead between 30,000 tonnes and 32,000 tonnes.
During the year, CAML begun a review of operations at Sasa, which included starting a process to replace the ageing mining fleet. It has also now decided to move to cut and fill stoping at the Svinja Reka orebody.
Cut and fill is safer and more flexible than sub-level caving, CAML said, and should also lead to higher recoveries, and thus production. It expects to complete engineering studies and an updated resource estimate for Svinja Reka during the second half of 2020.
It has not yet finalised costs for the change, but said costs would be spread over two years from 2021 and will be more than offset by not having to build any more downstream tailings facilities at Sasa.
The miner also said Thursday Nick Clarke will be stepping back to the role of non-executive chair, with day-to-day running of the business in the hands of Chief Executive Nigel Robinson and Chief Financial Officer Gavin Ferrar.
"I am pleased to report another strong year of production for CAML with guidance exceeded for copper and production delivered at the top end of the guidance range for zinc and lead," said Robinson.
"I would like to take this opportunity to thank Nick Clarke for his support and for his dedication as an executive of the company, and I look forward to continuing to work with him in his new role as our non-executive chair," Robinson added.
CAML will release 2019 financial results on April 1. Shares were 3.2% higher on Thursday morning in London at a price of 224.00 pence each.
By George Collard; georgecollard@alliancenews.com
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Central Asia Metals (CAML)