WARSAW, March 18 (Reuters) - Europe's No.2 copper producer,
Poland's state-run KGHM KGH.WA , said its 2016 market
expectations are cautious, adding it is working on further cost
cuts at its mines after the group booked a record loss in 2015
due to write-downs.
"We are making cautious macroeconomic assumptions,
especially regarding copper prices," Stefan Swiatkowski, KGHM's
chief financial office, said in a statement posted on the
company website, adding that the group's financial situation is
stable.
"At the same time ... we are working on further cost cuts at
our assets."
KGHM expects 2016 copper prices CMCU3 to fall further,
averaging $5,000 per tonne compared with $5,495 last year.
The miner also signalled plans to cut its copper output by 9
percent this year after record writedowns pushed its 2015 net
loss higher than expected to 5.01 billion zlotys ($1.33
billion).
($1 = 3.7799 zlotys)