Capstone Mining Cuts Operating Costs, Suspends Work at Santo Domingo

Capstone Mining (TSX:CS) is planning to reduce mine site operating costs by $20 million and has suspended work on its Santo Domingo project, citing the weak copper price environment.
As quoted in the press release:

Overall production guidance remains unchanged, however the distribution by mine has been revised to reflect the outperformance at Mintoand the shortfall at Cozamin. Overall cost guidance has been reduced from $2.00-$2.10 per pound of payable copper produced to $1.95-$2.05 per pound, reflecting both expenditure reductions as well as efficiencies in operations at Pinto Valley and Minto.

Capstone president and CEO, Darren Pylot, said:

As copper prices continue to deteriorate, we have looked at a range of actions to preserve our financial flexibility. We have taken the steps we outlined with our initial 2015 guidance to reduce our overall capital expenditures and have reduced operating costs in order to enhance our financial position and provide sufficient liquidity to execute our operating plan in the current market environment. This includes reducing and deferring capital expenditures at our operating mines, suspending all work on the Santo Domingo project, eliminating non-essential operating and general and administrative expenses and reducing exploration expenditures.

Click here for the full press release.