Indian Copper prices declined by 0.59% to end the day at Rs 460.25 per kg. The prices of Copper tested ahigh of Rs 461.4 per kg and a low of Rs 455.3 per kg. In a major news, Southern Copper has released its Q1 results detailing overall net income 49.7 percent higher than Q1 2017. As reported by the company a higher price of copper (+19 percent) helped offset a decrease in overall copper production. Copper production decreased 4.2 percent in 1Q18 when compared with 1Q17, principally due to a lower production at the Buenavista SX-EW plant.
Southern Copper mentioned that obtaining lower ore grade in the pregnant leaching solution of this plant due to the lower solubility index in our new leach pads and the characteristics of the ore that is being deposited in such pads. The company has developed a 12-month corrective program to overcome this temporary reduction in production. While it works on this program, it is expected to produce 115,000 tons of copper from our SX-EW plants in Buenavista, which will reduce our copper production guidance for the year by 30,000 tons to 901,000 tons. It is important to note that this year, we will produce an additional 40,000 tons of copper contained from our new concentrator in Toquepala, which will start ramp-up in the 3Q18. Therefore, we are still expecting a 24,000 tons growth in copper production when compared to last years 877,000 tons.