Copper Mountain Mining Corporation is expected to produce 70-75mn lb (31,751- 34,019mt) of copper this year, mostly in H2 2020, in tandem with higher grades and mine recovery areas, the company said in its revised outlook.

 

Copper Mountain, the company’s flagship British Columbia mine, is installing direct flotation reactors (DFR) to increase copper concentrate output by 25-28pc, thereby lowering concentrate transportation, smelting, and refining costs. The installation will cost $2.3mn and will be completed in early Q3.

 

However, the COVID-19 pandemic and drop in copper prices impelled the company to defer its ball mill expansion plans until copper markets rebound.

 

Copper output declined to 17.5mn lb in Q1 2020 from 18.6mn lb during the first quarter of last year. Copper sales last quarter also decreased to 17.9mn lb from 19.3mn lb in Q1 2019. 

 

The company also processed 3.5mn mt of ore with an average feed grade of 0.3pc copper in Q1, and while the former has not changed much from a year ago, the latter improved by 0.01pc. Copper grades last quarter also rose by 2pc over Q1 2019.

 

Copper Mountain’s revenue decreased drastically to $49.6mn in Q1 2020 from $86.9mn during Q1 2019. After achieving net income of $17.8mn in Q1 2019, the company reported a net loss of $43.5mn in the first quarter this year. The company declared a negative EBITDA of $39.7mn in Q1 2020 after being positive $31.9mn in Q1 2019.

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