Baja Mining to focus on copper output at Boleo
(Reuters) - Canadian miner Baja Mining Corp BAJ.TO said it plans to focus on copper production at its Boleo project in Mexico after the project overshot budget by about 22 percent.
The company said it is looking at options to defer production of non-copper metals at the copper-cobalt-zinc project.
The Boleo project overshot its budget mainly because of design changes and higher steel and fuel costs.
Baja said it expects spending on the project, which it owns along with a Korean consortium, to be $246 million more than the $1.14 billion estimated in 2010.
The company is also reviewing key roles and will restructure as required, it said in a statement.
Shares of the company, which has a market value of about $130 million, were trading flat at 38 Canadian cents on Wednesday on the Toronto Stock Exchange.
(Reporting by Shounak Dasgupta in Bangalore; Editing by Sriraj Kalluvila)
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