Investing.com - Financial Markets Worldwide
🧐 ProPicks AI October update is out now! See which stocks made the listPick Stocks with AI

Polish KGHM warns may suspend some projects amid low copper prices

Published 2015-08-14, 12:21 a/m
© Reuters. Polish KGHM warns may suspend some projects amid low copper prices
KGH
-
HG
-

WARSAW, Aug 14 (Reuters) - Europe's No.2 copper producer,
Poland's KGHM KGH.WA , may postpone or suspend some investment
projects if prices of the metal remain at current low levels in
the long term, the company said on Thursday.
The state-run firm also said it may need to review its
investment spending and be forced to lower its production assets
value if low prices of copper and silver persist.
KGHM said it would be obliged to run asset impairment tests
if the ratio of its market capitalisation to net asset value
fell below 0.8 in the long- term, which it defined as more than
a year.
Last month, the company's chief executive said it did not
plan any impairments on its copper projects this year, as it was
getting a boost from a weak peso and the zloty. ID:nW8N0ZV044
This week, three-month copper on the London Metal Exchange
CMCU3 hit a six-year low of $5,062 a tonne, which KGHM sees as
its "pain level".

Latest comments

Install Our App
Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.