FIRST Quantum Minerals (FQM) Limited posted record quarterly copper production of over 211,000 metric tonnes in the third quarter of this year, up 10% from the same period last year, mainly driven by its unit Sentinel mining company based in Kalumbila.
And the FQM says it is working to manage the logistical challenges posed by closing trade borders in response to the coronavirus pandemic using other avenues where possible.
In a statement announcing its financial results for the third quarter of 2020, the FQM posted a total of 211,396 tonnes of copper during the period ending September 30, up from 192,510 tonnes produced during the period. corresponding last year, mainly driven by the increase in productive production at the Sentinel copper mine, among other units.
“211,396 tonnes of total copper production in the quarter, up 10% from the same period in 2019, due to record production at Sentinel and Cobre Panama. Sentinel performed exceptionally well during the quarter, achieving its strongest quarterly production on record of 70,829 tonnes and record cash costs. Increased throughput and rising grades resulted in a 25% increase in copper production compared to the same period in 2019, while lower maintenance costs, lower fuel prices and depreciation of currency have resulted in improved unit costs, ”the FQM said in a statement.
“Performance at Cobre Panama was strong as it went from preservation and safety maintenance in July to full production levels in August, slightly above expectations. Copper production during the quarter amounted to 62,055 tonnes, which is significantly higher than the same period in 2019. Kansanshi performed steadily during the quarter. Copper production of 54,430 tonnes was slightly lower than in the third quarter of 2019 due to lower grades and recoveries despite increased throughput. Treasury costs were lower due to currency depreciation and lower fuel costs. Production forecasts for 2020 have been updated. Total copper production forecast for 2020 has been increased to between 750,000 and 785,000 tonnes; gold production is now expected to be between 245,000 and 260,000 ounces and the forecast for nickel production has been reduced to 13,000 – 15,000 tonnes.
In contrast, sales revenue jumped 42% to over US $ 1.4 billion in the period ending September 30 from the corresponding period a year earlier, in part due to the increase in sales volumes of its Solwezi-based kansanshi Mining unit.
“Sales revenue for the quarter of $ 1,402 million, up 42% from the comparable period of 2019, was primarily attributable to Cobre Panama’s commercial copper and gold sales volumes,”
volumes in Kansanshi and higher metal prices, ”he said.
And the FQM said it was working to manage the logistical challenges posed by closing trade borders in response to the coronavirus pandemic using other avenues when possible.
“COVID-19 has had a direct impact in Cobre Panama where the operation was placed on preservation and security maintenance from April 7, 2020, following the Panamanian government restrictions related to COVID-19. The company’s other operations have not been significantly affected by the restrictions stemming from COVID-19. The company has not experienced any significant disruption to supply chains and product shipments since the start of the pandemic. The company is working to manage the logistical challenges of closing trade borders, using alternate routes where possible. The border restrictions, if ongoing, could cause delays in the supply chain, ”said the FQM.
Source: Tradings At