Central Asia Metals PLC announced on that its copper, zinc and lead production has decreased in the first nine months of the year, primarily due to challenges associated with a new mining system at the Sasa zinc-lead mine in North Macedonia.
The London-based company, which operates the Kounrad SX-EW copper project in Kazakhstan and the Sasa mine, expects Sasa to achieve output toward the lower end of its 2024 guidance. Current projections estimate zinc-in-concentrate production between 19,000 and 21,000 tonnes, and lead-in-concentrate production between 27,000 and 29,000 tonnes.
In contrast, Kounrad is on track to meet its full-year copper production guidance of 13,000 to 14,000 tonnes.
Overall, copper production for the first nine months of 2024 fell by 1.2%, totaling 10,248 tonnes, down from 10,377 tonnes in the same period last year. Zinc production decreased by 7.4% to 13,782 tonnes, down from 14,891 tonnes, while lead production fell by 5.0% to 19,736 tonnes compared to 20,773 tonnes in 2023.
CEO Gavin Ferrar remarked, “Kounrad continued to perform well in the third quarter of 2024, maintaining its excellent safety record and aligning with last year’s production levels. The third quarter is typically Kounrad’s strongest, and we remain on track to achieve full-year production within our initial guidance.”
Ferrar also noted that Sasa showed improvement in the third quarter, with processed tonnage recovering from earlier lows. “This achievement is commendable given the transition to a new mining system designed for the operation’s long-term sustainability. We saw a recovery in head grades, particularly for zinc, and are optimistic about continuing this momentum into the fourth quarter, which we anticipate will lead to production at the lower end of our guidance range.”
Additionally, the capital projects program at Sasa is nearing completion. This program includes implementing paste backfill mining and dry-stack tailings, essential components of Sasa’s long-term strategy to maximize resource extraction and extend the lifespan of its tailings storage facility, thus avoiding the need for new conventional storage facilities. These advancements are expected to secure Sasa’s operational life until at least 2039.
On Wednesday morning, shares in Central Asia Metals were down 0.2%, trading at 190.30 pence each in London.