29Metals Copper Output Drops 8% as Costs Climb at Capricorn

29Metals' copper production fell to 37,000 tonnes in the June half, down 8% from a year earlier. Cash costs at the Capricorn copper mine in Western Australia rose to A$4.65 a pound, the company said in its half-year results released Tuesday.

The higher costs and lower volumes dragged group EBITDA to A$112 million from A$134 million a year earlier. The company held net debt at A$245 million, roughly flat from the prior half.

29Metals maintained its dividend at A$0.10 a share, in line with the December payout, against earnings per share of A$0.18.

Chief executive James Palmer said the July ramp-up at Capricorn would lift second-half volumes, though he acknowledged the cost pressure on margins. The company operates two copper-zinc mines in Western Australia and a third project in the state's Murchison region.

The stock traded at A$11.85 on the ASX, down 3% on the session.