Central Asia Metals plc (CAM) minimised losses during 2020 as it increased cash in the bank while paying off more debt.
The company owns 100% of the Kounrad SX-EW copper project in central Kazakhstan and Sasa zinc-lead mine in North Macedonia.
For full year results for the 12 months ended 31 December 2020, the company reported group gross revenue of $170.3 million (2019: $180.8m), and group net revenue of $160.1m (2019: $171.7m).
Group EBITDA was $95.7m (2019: $108.6m) with EBITDA margin of 56% (2019: 60%).
Profit before tax was reported at $59.8m (2019: $67.8 million).
Group net debt was at 31 December 2020 of $36.2m (2019: $80.2m) with cash in the bank of $47.9m (2019: $32.6m).
The company made gross debt repayments of $38.4m during 2020 (2019: $38.4m).
In 2020, CAM reached two significant milestones in 2020; in April the company produced our 100,000th tonne of copper cathode from Kounrad and in September 2020, CAM marked 10 years as an AIM-listed company.
CAM recorded concentrate production of zinc at 23,815 tonnes (2019: 23,369 tonnes); lead at 29,742 tonnes (2019: 29,201 tonnes); and copper production of 13,855 tonnes (2019: 13,771 tonnes)
SASA TAILINGS LEAKAGE
During 2020, $0.7 million was spent in relation to the Sasa leakage at the tailings storage facility 4 into the River Kamenka.
The cost covered dam repairs to the facility, environmental aspects for riverbed remediation and includes a €65,000 fine for the environmental impact associated with the leakage.
There was also $0.2 million capitalised in respect of infrastructure work and engineering improvements.
A further $0.3 million is expected to be incurred in expenses to complete the remediation works during 2021.
OUTLOOK
CAM’s production guidance for 2021 includes: zinc in concentrate 23,000 – 25,000 tonnes; lead in concentrate 30,000 – 32,000 tonnes; Kounrad copper production 12,500 – 13,500 tonnes
Chief executive Nigel Robinson said that costs at both operations were well controlled and capital expenditure was almost 30% below initial guidance.
“We move into 2021 in a strong position with significantly improved commodity prices, producing the base metals which are essential for modern living, profitably and in a safe and sustainable environment for all our stakeholders,” he added.