December 12, 2011 / 5:43 PM / 7 years ago

UPDATE 2-Lundin sees higher copper output for 2013

* Sees higher copper output in 2013, 2014 on Tenke expansion

* Copper output at Neves-Corvo to stay lower for next few years

* Zinc production to rise on Neves-Corvo zinc plant

* Shares down 7.97 percent at C$3.81 on TSX (Adds background, details)

(Reuters) - Lundin Mining said on Monday that it expects its overall copper production to rise in 2013 and 2014 as an expansion project at the Tenke Fungurume mine in the Democratic Republic of Congo wraps up.

But the diversified miner warned that copper production at its wholly owned Neves-Corvo mine in Portugal will stay lower over the next few years, sending its shares down 7.97 percent to C$3.81 on Monday on the Toronto Stock Exchange.

The stock was also pressured by copper prices that neared two-week lows and as the European financial crisis weighed on global markets.

Lundin said it expects to produce 60,000-70,000 tonnes of copper from its wholly owned operations in 2013 and 2014. Adding in its 24 percent stake in Tenke, production will be in the range of 107,000-117,000 tonnes.

That is up from an expected 101,900 tonnes this year.

The Tenke project, which is operated by Freeport McMoRan, is in the midst of an expansion to boost total annual output to 195,000 tonnes of copper cathode. The expansion is expected to be completed in 2013.

In October, Lundin lowered its 2011 copper output forecast. At the same time, the company said it expected total attributable copper production in 2012 to be just 86,000-92,000 tonnes.

The Toronto-based miner sees zinc production rising to 125,000-135,000 tonnes in 2013 and 145,000-155,000 tonnes in 2014 from 109,000-125,500 tonnes expected in 2012, as it ramps up its zinc plant at Neves-Corvo.

Lundin also said that nickel production will be up in 2013, as the Aguablanca mine in Spain resumes full-scale production in late 2012.

$1=$1.03 Canadian Reporting by Julie Gordon in Toronto and Maneesha Tiwari in Bangalore; editing by Rob Wilson

0 : 0
  • narrow-browser-and-phone
  • medium-browser-and-portrait-tablet
  • landscape-tablet
  • medium-wide-browser
  • wide-browser-and-larger
  • medium-browser-and-landscape-tablet
  • medium-wide-browser-and-larger
  • above-phone
  • portrait-tablet-and-above
  • above-portrait-tablet
  • landscape-tablet-and-above
  • landscape-tablet-and-medium-wide-browser
  • portrait-tablet-and-below
  • landscape-tablet-and-below