Kaz Minerals boosted both its profit and its revenue in 2019 as higher production rates and sales volumes offset a decline in copper prices.
Shares in the mining company rose almost a per cent today.
Operating profit increased eight per cent in 2019, up to $923m (£717.2m) from $851m the year before.
Revenue grew to $2.3bn, a five per cent increase on 2018’s $851m.
The Kazakhstan-focused miner saw its net debt increase to $2.8bn, almost $700m higher than in 2019.
The company announced a final dividend of 8 cents.
Why it’s interesting
Kaz said copper production would fall as much as 10 per cent in 2020 to around 280,000 to 300,000 tonnes, down from 317,000 tones in 2019, due to declining supply from existing mines.
The declining mines will be replaced by new projects, most notably the Baimskaya mine in the Chukotka region of Russia, which the firm bought for $436m in January 2019.
Kaz expects to complete its feasibility study for the new asset in the first half of this year.
What Kaz Minerals said
Andrew Southam, chief executive officer, said: “In 2019 Kaz Minerals has continued to build on its operational track record, delivering further growth in copper production and maintaining its industry leading cost position.
“Our large scale operations in Kazakhstan achieved record levels of production and our proven, low cost asset base provides a strong platform for investment into value-accretive growth projects.
“The Aktogay expansion project is on budget and on track to commence production in 2021. We look forward to releasing further details of our plans for Baimskaya when the bankable feasibility study is completed.”