Dec 4 (Reuters) - Europe's largest copper producer Aurubis reported annual earnings below market expectations on Thursday, weighed down by lower concentrate throughput at reduced treatment and
Aurubis Pushes for EU Metal Recycling Material Retention
By Bernadette Hogg and Orest Dovhan
Dec 4 (Reuters) - The CEO of Europe's largest copper producer Aurubis said on Thursday the European Union's Critical Raw Materials Act should have positive long-term effects for the sector, despite tough talks to ensure that recycling materials stay in the bloc.
The Critical Raw Materials Act came into force last year, with the 27-country bloc setting itself a target to mine 10%, recycle 25% and process 40% of its needs by 2030.
Aurubis CEO Toralf Haag said during a media call the company advocated for export restrictions and customs duties on an EU level to ensure that recycling materials remained in Europe, where he said they were urgently needed to fulfil very strong demand.
"We are in contact (with the EU) on this," Haag said, adding that he "would cautiously say that the discussions are very tough", but Aurubis was not letting up.
In an interview with Reuters, Haag said Aurubis had not seen much impact from the Critical Raw Materials Act so far, but in the longer term, it expected recycling markets in Europe to be better protected and mining exploration for copper and rare metals to increase.
Earlier on Thursday, Aurubis reported annual earnings below market expectations, weighed down by lower concentrate throughput at reduced treatment and refining charges.
Its operating pre-tax earnings fell 14% to 355 million euros ($414 million) in the year that ended on September 30, slightly below analysts' average forecast of 359 million euros in a company-provided poll.
Aurubis said the result was supported by high contributions from precious metals and sulphuric acid and high demand for copper products.
However, that was partially offset by a slight decline in recycling revenues and higher ramp-up costs and depreciation from strategic projects such as the expansion at its plant in Bulgaria, it added.
($1 = 0.8576 euros)
(Reporting by Bernadette Hogg and Orest Dovhan in Gdansk, editing by Milla Nissi-Prussak)
