Baku, Azerbaijan, Feb. 27
By Elena Kosolapova - Trend:
Kazakhstan's Metallurgical Corporation Kazakhmys plans to reorganize through separation of Vostoktsvetmet into separate legal entity, the company reported on Feb. 27.
Kazakhmys Corporation will keep assets of Zhezkazgantsvetmet, Karagandatsvetmet and Kazakhmys Smelting and Kazakhmys Energy and will remain a private, non-public company following the reorganization.
"The Board of Directors and executive management of the Kazakhmys Group believe that the reorganization will ensure future successful long-term development of the assets," the company said.
Due to the planned reorganization the enterprises in the Karaganda region, they will conduct their own investment policies without experiencing debt burdens of a public company which will have a positive impact, according to Kazakhmys.
The main shareholder of Kazakhmys corporation Vladimir Kim will remain the main shareholder in both companies.
Kazakhmys PLC is a leading international natural resources group with significant interests in copper, gold, zinc, silver and power generation.
It is the largest copper producer in Kazakhstan and one of the top worldwide with 16 operating mines, eight concentrators and a copper smelter. Kazakhmys Mining's operations are fully integrated from mining ore through to the production of finished copper cathode and rod. Total copper cathode equivalent output from own ore was 294,000 tonnes in 2013. Production is backed by a captive power supply and significant rail infrastructure.
Kazakhmys Mining produces significant volumes of other metals, including zinc, silver and gold. In 2013, it produced 134,000 tonnes of zinc in concentrate. The group is amongst the largest global silver producers with output of 14 million ounces in 2013.
Kazakhmys Power operates three captive power stations which supply electricity to Kazakhmys Mining and third parties. In 2013, net power generated by captive power stations was 5,723 gigawatt hours.
Edited by CN