MMG LXML Sepon reported excellent production results for the fourth quarter 2014, achieving quarterly records in processing, production and sales.
Sepon produced 24,055 tonnes of copper cathode, 11% higher than the previous quarter due to record tonnes milled and consistent operations.
MMG LXML Sepon General Manager Suresh Vadnagra said, “I am pleased by the strong production achieved by the team at LXML Sepon and the continuing focus on safety, volume, and costs. I am very proud to have inherited such a strong team since assuming the role of General Manager in November 2014.”
Sepon produced a total of 88,541 tonnes of copper cathode in 2014, within annual production guidance of 88,000–93,000 tonnes. “Our challenge for 2015 will be to continue to deliver solid output while the Sepon mine plan transitions to processing lower grade, harder high carbonate, ores,” said Mr Vadnagra. “We have already made adjustments to the plant to maximise recovery of this ore and assist in offsetting lower feed grades.”
While these plant adjustments resulted in increased consumption of acid and grinding media, Sepon achieved C1 costs within guidance of US$0.95–US$1.05 at US$1.00/lb.
Consistent with the declining ore grades, the operation expects to produce 80,000–87,000 tonnes of copper in 2015 at a C1 cost of US$1.10–US$1.20/lb.
Sepon has contributed over US$1.3 billion dollars in direct revenue to the Lao Government, and hundreds of millions of dollars in community and local business development since commencing operations in 2003.
Sepon mine is located in the Savannakhet Province, Lao PDR, and is operated by MMG Limited (MMG), an international base metals miner headquartered in Melbourne, Australia and listed on the Hong Kong Stock Exchange (HKEx 1208).
MMG’s total copper production for 2014 was 191,307 tonnes, exceeding annual guidance of 175,000–187,000 tonnes.
