Bloomberg the Company & Products

Bloomberg Anywhere Login

Bloomberg

Connecting decision makers to a dynamic network of information, people and ideas, Bloomberg quickly and accurately delivers business and financial information, news and insight around the world.

Company

Financial Products

Enterprise Products

Media

Customer Support

  • Americas

    +1 212 318 2000

  • Europe, Middle East, & Africa

    +44 20 7330 7500

  • Asia Pacific

    +65 6212 1000

Communications

Industry Products

Media Services

Follow Us

Kagara Falls to Record After Copper Mine Halted: Sydney Mover

Don't Miss Out —
Follow us on:

April 12 (Bloomberg) -- Kagara Ltd., an Australian base-metal mining company, tumbled to its lowest on record in Sydney trading after suspending a mine in the northeastern state of Queensland to cut costs.

The stock fell 14 percent to 12 Australian cents today, the lowest close since the Perth-based company went public in December 1999.

Kagara, which had a loss of A$48.9 million ($51 million) in the six months ended Dec. 31, suspended the Baal Gammon copper mine in Queensland, according to a company statement today. The move follows an announcement last month to halt an underground mine and exploration activities in the state after lowering its zinc and copper output target for the year. Kagara also sold its nickel assets to Western Areas NL for A$68 million in March.

“Kagara continues to review business operations and focus on core producing assets,” according to today’s statement. “This includes a restructure of its banking arrangements which have impacted Kagara’s short-term cash flow. As a result of this tightening of cash flow, mining operations at Baal Gammon have been suspended.”

The stock has declined 53 percent this year and is the second-worst performer on the S&P/ASX 300 index.

To contact the reporter on this story: Soraya Permatasari in Melbourne at soraya@bloomberg.net

To contact the editor responsible for this story: Peter Langan at plangan@bloomberg.net

Please upgrade your Browser

Your browser is out-of-date. Please download one of these excellent browsers:

Chrome, Firefox, Safari, Opera or Internet Explorer.