Herbert Wirth, the chief executive of Poland's copper and silver giant KGHM, said in an interview with TVN CNBC that the company expects capital expenditures for the Sierra Gorda mine to be no more than $4 billion, if the situation does not change within the 13 months left until the project's planned completion. Originally, KGHM had said it would spend $3 billion on project but had to increase its cost projections as a result of conditions in the Chilean market.
Even with increased costs, Mr Wirth said that the investment is “highly profitable.”
According to early estimates, KGHM's net profit for 2012 was supposed to be zł.4.744 billion, but Mr Wirth said that it could be even higher than that.
From Warsaw Business Journal
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