Monday, February 2, 2009

OTZK Sees No Change In Production

Bulgaria's second largest lead and zinc smelter, OTZK, says that it expects to produce 27,000 tonnes of zinc this year, practically the same as it did in 2008 despite the global financial crisis.

Roberto Mladenov, chief executive of Intertrust, which controls OTZK, said the smelter, on the outskirts of Kardzhali in southern Bulgaria, also sees lead production to be similar to last year at 24,000-27,000 tonnes.

OTZK's lead production was 23,700 tonnes in 2008, down by 5.2 percent from its initial forecast of 25,000 tonnes.

"There will be no changes (in our output targets). We are not going to either increase or cut them," Mladenov told Reuters in a telephone conversation.

OTZK, which exports 85 percent of its production, plans to further reduce its staff by 150 people this year after cutting some 200 jobs in 2008.

Last month, Bulgaria's largest zinc and lead smelter, KCM, said it would cut zinc output by 16 percent to 63,000 tonnes and lead output by 9 percent to 59,000 tonnes.

Source: Reuters

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