HK Stock Market Move | MMG (01208) falls nearly 4% as the company simultaneously lowers production guidance for Khoemacau and Rosebery

MMG (01208) fell nearly 4%, down 3.75% as of press time to HK$7.19, with turnover of HK$95.371 million. On the news front, MMG recently announced its third-quarter operating data. BOCI noted that MMG's third-quarter copper production rose 3% year-on-year to 131,200 tonnes, with ramp-up at its two African mines as the main growth driver. Based on the company's updated guidance, the bank estimates fourth-quarter copper production will fall 6% quarter-on-quarter, but still expects full-year copper production to rise 3% year-on-year. BOCI mentioned that Las Bambas copper production fell 3% year-on-year due to lower ore grades and recovery rates, but Kinsevere benefited from improved power supply and ramp-up of its sulphide processing line, while Khoemacau benefited from higher ore grades, with strong growth at both sufficient to offset the shortfall. Zinc production during the period fell 5% year-on-year to 55,900 tonnes, mainly due to mining restrictions at Rosebery following the July earthquake. The company lowered its full-year copper production guidance for Khoemacau by 9% to 10%, and cut its zinc production guidance for Rosebery by 29% to 33%.