vested
Miner MMG sets up to US$700m capexChinese miner MMG (1208) expects 2020 could be the peak year of capital expenditure, which is set to be between US$650 million (US$5.07 billion) and US$700 million, due to expansion in the Las Bambas mining fleet, costs related to the development of Chalcobamba, completion of the third ball mill project and expansion of the Las Bambas tailings dam facility.
The level of capital expenditure is expected to decline in later years, with total capital expenditure estimated at between US$500 million and US$600 million per year in the mid-term, MMG said.
The subsidiary of state-owned China Minmetals last night posted a net loss of US$230.4 million for 2019, compared with a net profit of US$68.3 million a year ago.
This was the result of lower commodity prices, reduced copper sales volumes due to social protests and road blockages near its mine site in Peru, and operational challenges in the first half at Kinsevere.
The company did not declare a dividend for the year.
The miner’s
revenue dropped by 22 percent to US$2.01 billion last year, while EBITDA also dropped by 17 percent to US$1.46 billion due to lower sales revenue at Las Bambas and Rosebery and operational challenges at Kinsevere in the first half last year, MMG said said.
The company said over
100 days of community disruption near its site Las Bambas last year resulted in lost production of about 20,000 tons and reduced sales volume of about 70,000 tons.
MMG expects to produce between 418,000 and 445,000 tons of copper and between 225,000 and 245,000 tons of zinc in 2020, slightly below 2019 levels, largely due to lower grades at Las Bambas before the start of mining at the Chalcobamba pit in the second half of 2020, and lower grades at Rosebery.
Source: The Standard
https://www.thestandard.com.hk/breaking ... 700m-capex
It's all about "how much you made when you were right" & "how little you lost when you were wrong"