Q2 2014 Production and Capacity Expansion Update

RNS Number : 1364L

Central Asia Metals PLC

02 July 2014

 



2 July 2014

CENTRAL ASIA METALS PLC

("CAML" or the "Company")

Q2 2014 Production and Capacity Expansion Update

Central Asia Metals plc (AIM: CAML), a copper producing company focused on base metals in Central Asia, today announces its quarterly production and capacity expansion update for the Kounrad SX-EW copper recovery plant in Kazakhstan.

Summary:

·     Q2 2014 production of 3,188 tonnes of copper

·     H1 2014 production of 5,094 tonnes - 4.9% increase on H1 2013  

·     H1 2014 sales of 4,676 tonnes of copper

·     Boiler house expansion 75% complete - on schedule for commissioning Q3 2014

·     Stage One of the Expansion Program is underway

Kounrad Q2 2014 production of 3,188 tonnes of copper cathode brings the total H1 2014 production output to 5,094 tonnes. Production remains in line with the Company's expectations, given anticipated seasonal variations in output, as well as with 2014 full year production target of 11,000 tonnes.

H1 2014 sales of copper cathode were 4,676 tonnes, predominantly through Traxys, the Company's off-taker.

Construction and installation works on the boiler house expansion are 75% complete and remain on schedule and within budget. Concrete and steel works are completed, and the two additional boilers and all auxiliary equipment have been installed and are scheduled for commissioning towards the end of Q3 2014, facilitating increased production output during the winter months.

Stage One of the Expansion Program (as announced on 20 May 2014) is underway, and is in line with the announced budget and timeframe, with all relevant designs completed, the steel framework for the additional 5,000 tonnes per annum SX-EW facility ready for shipment to the site. The electrical sub-station upgrade contract has been awarded and the orders for EW anodes and cathodes were placed in June 2014. Site earthworks will commence this month with the Company's own construction management team overseeing the construction process.

For further information contact:

Central Asia Metals plc	Tel: [phone]
Nick Clarke, CEO Nigel Robinson, CFO
Peel Hunt LLP (Nominated Adviser & Joint Broker)	Tel: [phone]
Matthew Armitt Ross Allister
Mirabaud Securities LLP (Joint Broker)	Tel: [phone]
Peter Krens
Bell Pottinger	Tel: [phone]
Mark Antelme Lorna Cobbett

Note to editors:

Central Asia Metals is an AIM-listed UK company based in London. Its countries of operation are Kazakhstan and Mongolia. CAML is a copper producing company focused on base metals. The Company also has a 50% equity interest in Copper Bay Ltd, which is conducting a pre-feasibility study of the Chañaral Bay Copper Project in Chile. At the 2014 UK Stock Market Awards, the Company was named Best Basic Resources Plc. For further information please visit www.centralasiametals.com.

 

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