KGHM sells its small mines outside Poland

KGHM plans to sell smaller mines outside Poland, including the Carlota copper mine in the United States.

"We don't think smaller mines are suitable for our portfolio. It seems like an ideal time to sell assets, "Pawel Gruza, vice president in charge of foreign assets, said at a news conference."

The company plans to reinvest the proceeds in its domestic business.

KGHM has set up its factories in Europe, North and South America. With more than 38 million tons of copper ore resources in the world, it is one of the largest producers of copper and silver in the world.

The company has been mining in Poland since the 1950s and is 32 per cent owned by the government.

KGHM's international expansion has been questioned by the conservative Law and Justice (PiS) party, which came to power in 2015.

In march, the company announced no plans to change its 55 per cent stake in Chile's Seragorda (Sierra Gorda) mine. Last October, its Japanese partner Sumitomo Metal Mining (Sumitomo Metal Mining) sold a 45 per cent stake in the mine.

The company achieved its best operational and financial performance in nearly a decade in the first quarter of 2021. Copper production increased by 6.6% to 186000 tons compared with the first quarter of 2020.

The company's consolidated adjusted EBITDA for the first quarter was 2.608 billion zlotys ($692 million).