REG - Central Asia Metals - 2025 Full-Year Results
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RNS Number : 2219X Central Asia Metals PLC 19 March 2026
19 March 2026
Central Asia Metals PLC
(the 'Group', the 'Company' or 'CAML')
2025 Full-Year Results
Central Asia Metals PLC (AIM: CAML) is pleased to announce its full-year
results for the 12 months ended 31 December 2025 ('2025' or 'the period').
2025 financial summary
- Financial performance
o Group revenue of $229.9 million (2024: $214.4 million)
o Group EBITDA(1) of $101.8 million (2024 restated(2): $102.4 million)
o EBITDA margin(1) of 44% (2024 restated(2): 48%)
o Net loss of $75.2 million (2024 restated(2) net profit: $51.2 million),
after an impairment charge of $117.8 million
o Group adjusted free cash flow (FCF)(1) of $56.0 million (2024: $65.7
million)
o 2025 final dividend 7.5 pence per share(3), resulting in a full-year
dividend of 12 pence (2024: 18 pence)
o Post period end completed share buyback programme of $10.0 million
- Flexible balance sheet
o At 31 December 2025, cash in the bank of $80.1 million(4) (31 December
2024: $67.6 million) and an overdraft drawn of $0.9 million (2024: $0.3
million)
o Balance sheet offers significant financial capacity for growth
2025 operational summary
- One lost time injury (LTI) at Kounrad and zero at Sasa; Group lost
time injury frequency rate (LTIFR)(5) of 0.39 (2024: 0.77)
- Kounrad copper production of 13,311 tonnes (2024: 13,439 tonnes) and
sales of 13,122 tonnes (2024: 13,521 tonnes)
- Sasa zinc-in-concentrate production of 17,881 tonnes (2024: 18,572
tonnes) and payable zinc sales of 14,961 tonnes (2024: 15,839 tonnes)
- Sasa lead-in-concentrate production of 25,156 tonnes (2024: 26,617
tonnes) and payable lead sales of 23,898 tonnes (2024: 25,560 tonnes)
1. See Financial Review section for definition of non-IFRS
alternative performance measures.
2. See Note 43 to the Financial Information for details
regarding the prior year restatement.
3. Subject to: (1) shareholders and the court approving the
capital reduction that was announced by the Company on 10 March 2026 and the
court order subsequently becoming effective; and (2), as expected thereafter,
the Company having at the time the dividend is made sufficient distributable
reserves to fund the dividend with reference to relevant accounts and
otherwise complying with the requirements of Part 23 of the Companies Act 2006
(Distributions).
4. Includes minor restricted cash - see Note 28 to the Financial
Information
5. The rate per million person-hours worked
2026 outlook
- Production guidance for 2026:
o Copper of 12,000 to 13,000 tonnes
o Zinc-in-concentrate of 18,000 to 20,000 tonnes
o Lead-in-concentrate of 26,000 to 28,000 tonnes
- Capex guidance for 2026 of between $14.5 million and $17.5 million,
compared with $19.0 million spent in 2025
- Continued implementation at Sasa of measures to improve productivity
and efficiency
- Work at Sasa aimed at increasing mine life, including exploration for
additional mineral resources and evaluation of ore sorting designed to unlock
additional value in the existing Mineral Resource
- Group exploration programme in Kazakhstan to include maiden drill
testing of targets; up to 5,500 metres planned, targeting high-grade base
metals
- Post period end CAML invested a further £0.85 million in Aberdeen
Minerals (CAML 32.6%), to fund drilling at the Arthrath base-metals project,
exploring for high-grade massive sulphide mineralisation
Gavin Ferrar, Chief Executive Officer, commented:
"CAML achieved solid operating results in 2025, with EBITDA of $101.8 million
almost unchanged compared with the preceding year. This was underpinned by our
low-cost Kounrad operation, with an improving contribution from Sasa over the
course of the year.
"Although we have reported a net loss for 2025, after adjusting for the
impairment charge and other exceptional items, our underlying attributable
profit amounted to $32.6 million, and our free cash flow generation was a
healthy $56.0 million. Consequently, the Board is pleased to recommend a final
dividend of 7.5 pence per share(3), bringing the total for 2025 to 12 pence,
representing the upper end of our policy range of between 30% and 50% of free
cash flow.
"2025 was a year in which we have sought to reset important elements of our
business. These include improving productivity and efficiency at Sasa, along
with prioritising exploration drilling at the operation, and, importantly, a
redoubling of our efforts to secure a material transaction through which to
grow.
"I look forward to 2026 to see the fruits of these efforts, and to the
drilling programmes planned at our Group exploration projects in Kazakhstan
and via our associate, Aberdeen Minerals, in Scotland, both of which have the
potential to yield exciting results."
Analyst conference call and webcast
A live conference call and webcast hosted by Gavin Ferrar (Chief Executive
Officer) and Louise Wrathall (Chief Financial Officer) will take place at
09:30 (GMT) today.
The conference call can be accessed by dialling 0808 109 0700 (UK toll free)
or +44 (0) 33 0551 0200; or +1 786 697 3501 (US local) and quoting the
confirmation code 'CAML FY25' when prompted by the operator.
The webcast can be accessed using the link:
https://brrmedia.news/CAML_FY25 (https://brrmedia.news/CAML_FY25)
The presentation will be available on the Company's website and there will be
a replay of the call accessible following the presentation at
https://www.centralasiametals.com (https://www.centralasiametals.com)
Presentation via Investor Meet Company
The Company will hold a live presentation via the Investor Meet Company
platform at 16:30 (GMT) today. The presentation is open to all existing and
potential shareholders. Questions can be submitted via the Investor Meet
Company dashboard at any time during the live presentation. Investors can sign
up to Investor Meet Company for free, and can add to meet Central Asia Metals
PLC via:
https://www.investormeetcompany.com/central-asia-metals-plc/register-investor
(https://www.investormeetcompany.com/central-asia-metals-plc/register-investor)
Investors who already follow Central Asia Metals PLC on the Investor Meet
Company platform will be invited automatically.
Market abuse regulations
This announcement contains inside information for the purposes of Article 7 of
Regulation 596/2014.
All dollar amounts in this announcement are US dollars unless otherwise
stated.
For further information contact:
Central Asia Metals Tel: +44 (0) 20 7898 9001
Gavin Ferrar
CEO
Louise Wrathall
CFO
Richard Morgan richard.morgan@centralasiametals.com
Investor Relations Manager
Peel Hunt (Nominated Adviser and Joint Broker) Tel: +44 (0) 20 7418 8900
Ross Allister
David McKeown
Emily Bhasin
BMO Capital Markets (Joint Broker) Tel: +44 (0) 20 7236 1010
Thomas Rider
Pascal Lussier Duquette
BlytheRay (PR Advisers) Tel: +44 (0) 20 7138 3204
Megan Ray CentralAsiaMetals@BlytheRay.com
Rachael Brooks
Rachael Brooks
Note to editors:
Central Asia Metals, an AIM-quoted UK company based in London, owns 100% of
the Kounrad SX-EW copper operation in central Kazakhstan and 100% of the Sasa
zinc-lead mine in North Macedonia. The Company also owns an 80% interest in
CAML Exploration, a subsidiary formed to progress early-stage exploration
opportunities in Kazakhstan, and a 32.6% interest in Aberdeen Minerals Ltd, a
privately-owned UK company focused on the exploration and development of base
metals opportunities in northeast Scotland.
For further information, please visit www.centralasiametals.com and follow
CAML on X at @CamlMetals and on LinkedIn at Central Asia Metals Plc
Chairman's Statement
The Annual Report is an opportunity not just to review the year past but also
to look forward to the year ahead. We entered 2026 with the copper price
reaching all-time highs, underpinned by constrained supply and growing demand.
Consumption is being driven by the continued electrification of the world's
energy use, boosted by the need for new infrastructure to handle the
exponential growth in data management.
Meanwhile, an almost universal awareness has developed of the vital role the
mining industry plays in producing raw materials fundamental to virtually
every aspect of modern life. This is shaping government policies and public
attitudes towards support for our industry.
Strategy informs Board decisions
In 2025, we maintained a sharp focus on our strategic objectives. Our Kounrad
operation remains in the lowest quartile of copper cash operating costs
worldwide. Nevertheless, we are not complacent, and our focus at Kounrad
remains on optimising the operation to maximise the recovery of copper.
Our rigorous approach to cost management and margin performance across the
Group necessitated a review of Sasa during the year. This was aimed firmly at
supporting profitability, and enhancing operational and financial resilience.
To this end, the Board decided to implement a limited hedging programme to
protect Sasa's margins during 2026. The review process also contributed to
changes in Sasa's life-of-mine plan, which led to a non-cash impairment
charge. Details of the hedging and the impairment charge can be found in the
Financial Review below.
We have invested significantly at Sasa in recent years to prepare the
operation for the future, and we are now taking decisive action to address the
challenges posed by geology, with better mine planning and improvements in
operational efficiency. The latter has obliged us to take some difficult
decisions regarding headcount, but we know this is the right course to protect
the long-term future of the operation for the benefit of all stakeholders.
Having returned approximately $380 million to shareholders over the preceding
13 years, prudent capital allocation came to the fore in 2025, as the Board
decided to bring the dividend back in line with our stated policy. Again, this
was not an easy decision, but one taken with the clear aim of balancing
returns to shareholders with conserving cash to fund future growth.
With this balance in mind, the Board has conditionally recommended a final
dividend of 7.5 pence per share(3) which, if approved, would bring the 2025
total to 12 pence per share. This represents 50% of adjusted free cash flow,
at the upper end of our policy range of between 30% and 50% in the absence of
a current material transaction.
At the time of the interim results, the Board also took the view that the
Company's share price did not adequately reflect the long-term value of the
business, and instigated a share buyback programme of up to $10 million. This
programme was completed in early 2026.
In common with all mining companies, we have always been conscious of the
depleting nature of our assets and the need to grow the business. Indeed, this
drives the long-term element of our strategy: delivering growth. That
objective lay behind our efforts during 2025 to acquire New World Resources
and its Antler copper project in the US. Our bid led to a highly competitive
process, from which we ultimately withdrew. Nevertheless, we drew a number of
positives, not least the support of the majority of our major shareholders
which was greatly appreciated.
We continue to allocate capital to exploration, which has the potential to be
highly value-accretive. With this aim, we exercised a portion of our warrants
in Aberdeen Minerals post year-end, to fund further drilling of a promising
target, and we continue to fund our own Group exploration in Kazakhstan, where
we look to 2026 for positive results.
Maintaining an experienced team
Following eleven years of service, David Swan stepped down from the Board in
2025, and we were delighted to welcome Alison Baker as an independent
Non-Executive Director, replacing David as Chair of the Audit Committee.
Alison's industry knowledge and extensive experience are already proving
invaluable to the Board, in terms both of its current operations and its
business development activities. The entire Board thanks David for his valued
contributions to CAML and wishes him well in future.
In September, we welcomed Jamie Karamatic as General Director at Sasa,
replacing Chris Colbourne. During his three years at Sasa, Chris led the
delivery of the Capital Projects, and we thank him for his efforts. Jamie is
an accomplished mining engineer with wide-ranging operational experience,
which will be of enormous value in the years ahead.
CAML's employees are key to the Group's success, and I would also like to take
this opportunity to thank each of you for your contribution over the past
year.
Looking ahead
I believe 2025 has demonstrated that we do not shy away from uncomfortable
realities or taking difficult decisions. Our actions at Sasa, combined with
our ongoing efforts to sustain the productive life of Kounrad and the ramp-up
in our exploration activities, position us strongly to benefit from the
exciting developments in commodity markets.
Nick Clarke
Non-Executive Chairman, 18 March 2026
Chief Executive Officer's Statement
The 2025 financial year, my first full year as CEO of your Company, further
reinforced my long-held confidence in the resilience of our employees and in
their abilities, as we faced both challenges and opportunities during the
period. I believe this reflects the strong culture we have developed over many
years.
Kounrad's copper production for the year was well within the guidance range we
set at the start of the year, despite the effect that adverse weather had on
production in the early months of 2025. This represents an outstanding
achievement by the site team, and was delivered at cash operating costs that
continue to be among the lowest in the copper sector.
At Sasa, we achieved a significant increase in ore production in 2025, though
the challenges posed by geology, in particular the increased variability of
the orebody, led to a reduction in mined grades and a revision to our zinc and
lead production guidance at mid-year. Our team rose to the challenge, with a
strong performance in the final quarter of the year helping Sasa to achieve
revised guidance, and we look to increased production in 2026.
Most importantly, I am pleased to report that this work was conducted safely,
continuing our excellent track record, with just one lost time injury (LTI) at
Kounrad and none at Sasa. Our resulting lost time injury frequency rate was
well below our target level.
In our corporate activities, the search for a material transaction again
provided both opportunity and challenge. Although our bid to acquire New World
Resources and its Antler project in the US was ultimately unsuccessful, it
served to demonstrate both our determination to execute such a transaction and
our capital discipline in withdrawing from the process at the appropriate
time.
I would like to thank both the CAML Board for their support in this
initiative, and CAML's business development team and our advisers for their
tireless efforts. Incorporating lessons learnt, our business development team
immediately resumed its programme of evaluating other potential projects that
would represent a material transaction.
Competition for high-quality assets in base metals remains fierce, especially
in copper, but we are confident that our existing cash resources and strong
cash flows allow us to maintain a favourable position in the market, backed up
by the technical expertise of our people, and we look forward to a positive
outcome.
Financial overview
The steady production from Kounrad and recovering output from Sasa, aided by
strong product prices, particularly in the final months of the year, resulted
in revenue of $229.9 million.
Despite inflationary pressures at both operations, and the impact of the
weakening of the US dollar on our operating costs at Sasa and at the corporate
level, we posted EBITDA of $101.8 million, at an EBITDA margin of 44%. This
reflects the financial strength of our business.
We continued to invest in our operations in 2025, with capital expenditure of
$19.0 million, of which $4.9 million was spent at Kounrad and $14.1 million at
Sasa. The expenditure at Sasa included $2.8 million on the final element of
the Capital Projects, which together have transitioned the operation to
paste-fill mining and dry-stack tailings, representing industry best practice.
As part of our efforts to restore Sasa to profitability, we have revised the
operation's life-of-mine (LoM) plan based on its year-end reserves and
resources. The consequent reduction in the LoM to 2034, along with updated
assumptions for other factors, resulted in a non-cash impairment charge
amounting to $117.5 million. Our current focus at Sasa is on measures to
improve the operation's performance, which I describe in detail below.
Kounrad
Kounrad finished 2025 with a strong production performance, resulting in
full-year output of 13,311 tonnes of copper, only fractionally below that of
2024 despite the natural limitations imposed by the physical characteristics
of a dump-leach operation.
Thanks to our site team's constant focus on efficiencies, this production was
achieved at a C1 cash operating cost of $0.82 per pound, which remains in the
bottom quartile of cash costs worldwide. This was aided by the control of
energy costs afforded by our Solar Power Plant, which supplied approximately
15% of Kounrad's total requirements in 2025, demonstrating the financial
benefits of our environmental commitments.
Mindful of our aim to maintain Kounrad's productive life for as long as
possible, we are encouraged by the continued production from the Eastern
Dumps, where Kounrad's operations began in 2012. According to the initial
estimates, the Eastern Dumps were scheduled to cease production in
approximately 2024; whereas in 2025, despite no fresh material available at
the Eastern Dumps, residual leaching contributed 14% of total production.
Overall, we have recovered approximately 16% more copper from the Eastern
Dumps than originally envisaged.
Our commitment to the endurance of our operations at Kounrad extends into the
community, where we aim to ensure a lasting impact well beyond the life of the
operation. The long-term projects funded through the Kounrad Foundation focus
on supporting education, vulnerable groups, infrastructure and sporting
initiatives.
Sasa
Mining volumes at Sasa recovered strongly in 2025, with ore production rising
4% compared with 2024 and returning throughput close to the 800,000 tonnes per
annum level. Meanwhile, the transition to new mining methods using underground
paste backfill and switching a significant portion of our surface storage of
tailings to the dry-stack method are both now firmly part of normal operations
at Sasa.
However, as mining has progressed deeper, the orebody has typically become
narrower. This change was anticipated, and indeed formed a key reason behind
the adoption of new, more flexible mining methods over the past two years. In
addition, the orebody is proving more variable with depth, both in grade and
geometry, with the latter contributing to greater dilution. Head grades were
lower in 2025, averaging 9% to 10% less than in 2024.
In response, significant efforts have been made to improve mine planning, in
both the short and longer term. These include increasing the intensity of
sampling of the working faces and additional external training of key
personnel involved in orebody modelling.
CAML carried out a comprehensive review of Sasa in the second half of 2025,
with the help of external consultants. A key area reviewed was ore production,
both in terms of volume and grade, resulting in a number of recommendations
which have been adopted.
Another area of focus has been cost control, and to this end the review
included an assessment of appropriate staffing levels. By the end of the year,
employees representing approximately 9% of the total workforce had agreed to
leave the business, and further reductions have followed in 2026.
As noted above, the year-end re-evaluation of Sasa's resource and reserve
resulted in a five-year reduction in the expected life of the operation and an
associated impairment charge against the carrying value of the asset. This was
due to a combination of a reduction in the Ore Reserve, driven mainly by
revisions to the mine design and higher assumptions for operating costs, in
addition to normal depletion, and the conservative decision to restrict the
revised mine plan to material from the Svinja Reka deposit.
Exploration continues at Sasa, targeting potential extensions to the known
mineralisation with the aim of increasing the Mineral Resource and extending
the LoM.
In addition, there is significant potential in the portion of Sasa's
mineralisation not included in the current mine plan. In this regard, a
project to test the viability of ore sorting is under way, which may unlock
more value in the lower-grade portions of the Mineral Resource, in particular
with respect to the Golema Reka deposit.
The Sasa Foundation continued its important work in 2025, using funds donated
by Sasa to assist in projects designed to support the local community, in
areas such as education, helping small-business start-ups, and in providing
facilities for young people and vulnerable members of society. Such projects
are typically conducted in partnership with local organisations, and are aimed
at making a lasting and positive impact on the lives of local people.
Outlook
Our production guidance for 2026 comprises between 12,000 tonnes and 13,000
tonnes of copper from Kounrad; and 18,000 tonnes to 20,000 tonnes of zinc, and
26,000 tonnes to 28,000 tonnes of lead from Sasa.
The guidance for Kounrad represents a modest reduction compared with
production in 2025, and chiefly reflects the characteristics of the resource
blocks scheduled to be leached in 2026.
At Sasa, the measures we have taken following the comprehensive review of the
business in the second half of 2025, and the improved performance recorded in
the final quarter of the year, have given us sufficient confidence to increase
our production guidance.
Meanwhile, following the commissioning of the Dry Stack Tailings Plant during
the first half of 2025, which represented the final element of the Capital
Projects programme at Sasa, and the completion of the minor earth-moving
project at Kounrad related to preparing Dump 15 for leaching, we expect
capital expenditure at both operations to return to normal levels of
sustaining capital.
2026 promises to be an exciting year for our exploration programmes, with
maiden exploratory drilling planned for our subsidiaries in Kazakhstan. Nearer
to home, post year end we invested a further £0.85 million in Aberdeen
Minerals, an unlisted associate company exploring for base metals in northeast
Scotland, with the investment to be used to fund drilling of a promising
target indicated by previous exploration.
We enter 2026 with a highly positive market environment for our principal
products, with the copper price reaching record high levels and zinc also
showing strong performance. The now widespread recognition of the essential
role these metals play in almost every aspect of daily life also serves to
give us every confidence in their long-term demand.
Gavin Ferrar
Chief Executive Officer, 18 March 2026
Operational Review
Kounrad
Reliable, low-cost production
CAML's 100%-owned Kounrad operation delivered another year of reliable,
low-cost production in 2025, at 13,311 tonnes of copper cathode, which was
well within guidance. This took cumulative production from Kounrad's solvent
extraction-electrowinning (SX-EW) plant to more than 178,000 tonnes since
production commenced in 2012.
Kounrad generated revenue of $129.7 million (2024: $121.8 million) and EBITDA
of $97.3 million (2024 restated: $89.4 million). The EBITDA margin of 75%
(2024: 73%) reflects Kounrad's industry-leading cost performance.
Leaching operations
Both the Eastern and Western Dumps were simultaneously leached during 2025,
with the production split amounting to 14% and 86%, respectively.
The average monthly area under leach at the Eastern Dumps during 2025 was 16.4
hectares, although during winter this reduced to 11.5 hectares owing to the
need to perform the irrigation under covers. During the summer period
irrigation flows were maintained at approximately 500 cubic metres per hour,
whereas during winter the flow rate was approximately 350 cubic metres per
hour.
Over the course of the year the average copper pick-up grade from the Eastern
Dumps was 0.58 grammes per litre of pregnant leach solution (PLS). This grade
was lower than in 2024, reflecting the fact that no fresh material remains at
the Eastern Dumps, with only previously leached blocks now under seasonal
rotation.
At the Western Dumps, the focus of irrigation remained on areas of Dumps 16,
21, 22 and 1A. The average daily area under irrigation was 35.2 hectares of
both fresh and previously leached material. The volume of raffinate pumped
around the site averaged 1,227 cubic metres per hour, virtually the same as
the average rate in 2024. As in previous summer periods, a proportion of the
off-flow solutions from the Eastern Dumps was recycled across to the Western
Dumps with the aim of maintaining broadly stable PLS grades to the SX plant.
Application rates of solution to the dumps were maintained at a standard level
of 2.5 litres per square metre per hour throughout the year. Under these
conditions the average pick-up grade of copper in the PLS was 1.77 grammes per
litre.
Regulatory legal and technical amendments to the approved Mining Operations
Plan were obtained, along with the appropriate environmental permit, to enable
earth-moving and irrigation works along the toe edge of Dump 15. This involved
the transfer of 112.5 hectares of territory from a third party for inclusion
within Kounrad's land allotment, and the co-operation of the third party
involved was much appreciated.
The earth-moving works were required to provide a minimum 30-metre safe
working zone from the dump edge to a railway line owned by the third party,
thus allowing the excavation of an interceptor trench 1,425 metres in length
which will be used to collect the PLS when Dump 15 is leached. Work commenced
in April and was completed by August, with 348,545 cubic metres of material
moved.
Adjacent to Block 15-22 a new transfer collection pond and pumping station was
constructed, with a capacity of 3,500 cubic metres. Lining of the trench with
high-density polyethylene (HDPE) will be completed during 2026, with first
irrigation of Dump 15 material planned for 2027.
New winter ore blocks 16-31 and 16-32 were fully prepared, with 40% of block
16-33 covered as a potential reserve area. This work required installing
247,834 square metres of HDPE sheet coverings, along with the now standard
double-strand dripper irrigation pipe.
During 2025 an additional 1,570 kilometres of dripper piping and over 12,800
metres of larger-diameter solution distribution pipes were installed.
SX-EW plant
The SX-EW plant continued to operate efficiently during 2025 and the overall
operational availability for the year was 99.7%.
With the average Western Dumps in-situ copper grade of around 0.1% and the
fact that the Eastern Dumps have already been extensively leached, the PLS
grade entering the SX plant averaged 1.99 grammes per litre for the year. The
average solution flow rate through the SX plant was 1,065 cubic metres per
hour, approximately 3% less than in 2024. Based upon operational experience,
this flow rate is considered an optimum level, without significantly
increasing the losses of the organic extraction reagents.
Significant repair work to the HDPE protective linings of the eastern and
western coalescer tanks was undertaken, along with the renewal of the lining
in the EW1 electrolyte tank.
One of the four extraction mixer-settlers underwent extensive maintenance
during the year, involving installation of reinforcing beams to stop vibration
of the agitator assembly and renewal of the protective chemical coatings.
At year-end, following the arrival of capital equipment, preparations were
advanced for the installation of a fourth Spintek filter unit which will
assist in maintaining cathode quality and reducing reagent consumption.
Extensive testing of alternative acid-mist suppressant reagents was also
completed, in order to improve air quality in the tank houses, with a
successful replacement identified.
In Q4 2025, operational adjustments were made to reduce the level of iron in
the electrolyte streams, resulting in both improved power efficiency and lower
entrainment of iron in cathode sheets.
During the course of 2025, a temporary reduction in quality was identified in
respect of Kounrad's copper cathode. Following discussions with the relevant
offtaker, an increased discount rate was agreed to be applied to address this
variance. In H2 2025, the proportion of below-specification cathode was
minimal, and had been largely eliminated by December.
In July, all the anodes and cathodes were renewed in the EW2 tank house, as
scheduled. Orders were subsequently placed for the complete renewal of the
anodes and cathodes within the EW1 tank house, with installation planned for
mid-2026.
As part of a campaign to maintain high-quality copper production, two
additional pieces of equipment were purchased from China for the
semi-automatic cleaning and straightening of the stainless-steel mother
plates. This process also extends the life of the mother plates, reducing the
frequency at which replacements must be purchased.
Water stewardship remains central to CAML's strategy of sustained resilience.
Kounrad operates a closed-loop in-situ dump leach system with minimal water
loss, primarily through evaporation and solution retention within the dumps.
Water is sourced from a combination of surface water and groundwater. During
2025, preparations commenced for a new surface-water abstraction point, which
will allow year-round abstraction from Lake Balkhash and thus improve
Kounrad's water resilience.
Water abstraction for leaching and SX-EW operations in 2025 totalled 847,004
cubic metres. This was 101% higher than in 2024 owing to the necessity of
operating mainly on fresh ore blocks which have previously not been irrigated.
When dry unleached materials are freshly irrigated, the in-situ moisture
content needs approximately to double before steady-state solution outflow is
observed.
Overall power consumption was 56.93 million kilowatt-hours, a reduction of
approximately 2% compared with 2024, equivalent to 4,316 kilowatt-hours tonne
of copper plated (approximately 1% lower than in 2024). Kounrad's total energy
consumption in 2025, which includes coal used in the boilers to maintain the
temperature of the PLS during the winter months, was approximately 4% less
than in 2024.
Solar Power Plant
The 4.77 megawatt Solar Power Plant operated without interruption during the
year, generating 8.8 million kilowatt-hours, approximately 9% more than in
2024. The 2025 total represented 15% of Kounrad's total annual power
consumption.
During the months April to August, the facility contributed an average of 19%
of Kounrad's total power requirement, with the lowest proportion in the month
of December at 5%.
The Solar Power Plant's direct operating costs are approximately $76,000 per
year (of which 64% is salary related), resulting in a direct production cost
for electricity generated of 0.83 cents per kilowatt-hour. If depreciation and
other costs are taken into account, the all-in unit cost is 3.8 cents per
kilowatt-hour, compared with an average of 5.6 cents per kilowatt-hour for
grid power. Based upon these outcomes the project payback is calculated at
under eight years from implementation.
Health and safety
In 2025, Kounrad recorded one lost time injury (LTI) and two total recordable
injuries (TRI), resulting in a lost time injury frequency rate (LTIFR) of 1.25
and a total recordable injury frequency rate (TRIFR) of 2.49. Incident,
near-miss and hazard reporting increased during the year, reflecting sustained
efforts over the past two years to strengthen safety culture and encourage
open reporting. This increased visibility of risk is a positive indicator of
workforce engagement and supports early intervention and injury prevention.
During the year, a site-specific safety culture plan was developed, aligned
with the Group's broader safety culture framework. Although the plan will be
formally launched in 2026, early implementation has already contributed to
improved reporting and engagement, demonstrating the impact of continued focus
on building a proactive and transparent safety culture.
During 2025, an occupational risk assessment was conducted for each role
across the Kounrad site, resulting in the implementation of a number of
measures aimed at preventing occupational health issues. New, more advanced
personal protective equipment is regularly tested and adopted to help reduce
occupational risks, and monitoring takes place to enforce mandatory use.
Copper sales
The Group continued to sell the majority (90%) of its copper production
through offtake arrangements with Traxys, and this arrangement has been
extended to the end of 2026 with Traxys having the option to extend for a
further year thereafter.
In a competitive end-use copper market, maintaining high-quality
specifications of product is particularly important. CAML ensured this was a
priority focus throughout the year, with a number of improvements made
throughout the production cycle and quality-control systems.
2026 production guidance
The guidance for Kounrad's copper cathode production in 2026 is between 12,000
tonnes and 13,000 tonnes. This represents a slight reduction compared with the
total produced in 2025, owing to the characteristics of the resource blocks
scheduled to be leached.
Sasa
Operational performance
In 2025, CAML's 100%-owned Sasa operation processed 799,080 tonnes, a
significant improvement over 2024, although average head grades were lower, at
2.61% zinc and 3.35% lead.
Sasa produces a zinc concentrate and a separate lead concentrate which also
contains silver. Total production for 2025 comprised 35,614 tonnes of zinc
concentrate at a grade of 50.2% and 35,643 tonnes of lead concentrate at a
grade of 70.6%. Following a challenging period mid-year, metal-in-concentrate
production recovered in the final quarter of 2025, bringing contained zinc to
17,881 tonnes and contained lead to 25,156 tonnes, meeting the Group's revised
guidance.
Sasa typically receives from smelters approximately 84% of the value of its
zinc-in-concentrate and 95% of the value of its lead-in-concentrate.
Accordingly, payable production in 2025 totalled 15,032 tonnes of zinc and
23,898 tonnes of lead. Payable metal-in-concentrate sales for 2025 were 14,961
tonnes of zinc and 23,898 tonnes of lead respectively.
During 2025, Sasa sold 380,433 ounces of payable silver to OR Royalties, in
accordance with its streaming agreement, for which it received approximately
$6 per ounce.
Sasa generated revenue of $100.1 million (2024: $92.7 million), resulting in
EBITDA of $25.7 million (2024: $32.2 million). Capital expenditure totalled
$14.1 million (2024: $18.0 million), of which $11.3 million was sustaining
capital and $2.8 million was spent on the final elements of the Capital
Projects programme, including establishing the Dry Stack Tailings (DST)
landform.
Production statistics
Units 2025 2024 2023 2022
Ore mined t 796,171 762,456 805,621 806,069
Plant feed t 799,080 760,514 805,819 806,653
Zinc grade % 2.61 2.87 2.97 3.15
Zinc recovery % 85.7 85.2 85.0 84.6
Lead grade % 3.35 3.71 3.70 3.63
Lead recovery % 94.1 94.4 93.1 93.4
Zinc concentrate t (dry) 35,614 36,967 40,226 42,824
Grade % 50.2 50.2 50.6 50.1
Contained zinc t 17,881 18,572 20,338 21,473
Lead concentrate t (dry) 35,643 37,595 39,136 38,439
Grade % 70.6 70.8 71.0 71.2
Contained lead t 25,156 26,617 27,794 27,354
2025 marked the completion of the Capital Projects programme at Sasa, when the
DST Plant entered operation at the end of Q1 2025. Meanwhile, the transition
to mining using paste backfill (PBF) has continued to be implemented, with the
move from sub-level caving to cut‑and-fill and long-hole stoping methods.
Transitioning from using conventional tailings storage facilities (TSFs) to
DST greatly reduces water consumption and the risk of tailings dam failures,
and improves long‑term geotechnical stability. The placement of tailings
underground in historical voids and in current mining areas, via backfilling,
offers significant environmental benefits, in particular a reduction in the
quantity stored on surface. It also enhances ground support, benefiting
safety, and maximises ore recovery and reduces surface disturbance. These
practices support more sustainable mining, improved community and regulatory
acceptance, and better alignment with modern environmental standards and best
available technology.
Comprehensive improvement programme
As mining has progressed deeper at Sasa, the geology has presented increasing
challenges. In particular, the orebody has become narrower, and the change in
mining methods has been designed to provide flexibility and thus control
dilution. In addition, the orebody has become more variable in both geometry
and grade, impacting head grades and metal production, which has adversely
affected profitability.
In response, in H2 2025 CAML undertook a comprehensive review of Sasa, with
the help of external consultants, critically examining the business. These
included mine planning and grade control, ore handling and processing plant
throughput, productivity and staffing levels, and other cost-control measures.
The changes in geology and the business review also prompted a re-evaluation
and reduction of Sasa's life-of-mine (LoM) to 2034, which now envisages mining
up to approximately 830,000 tonnes annually over the eight years commencing
2026, with a reduced volume in the final year. This is reflected in the
revised Ore Reserve estimate at 31 December 2025. The revised LoM plan
envisages production solely from the Svinja Reka deposit.
The comprehensive business review also resulted in a number of recommendations
designed to improve profitability.
In mining these have been aimed at both the long term, by improving
understanding of the orebody at depth, and at the short term in better mine
planning. Additional exploration drilling is a priority for 2026, and other
actions planned or already under way include increasing the density of
drilling used in mine planning and grade sampling; boosting the capacity of
on-site assaying; and additional training of personnel involved in mine
planning.
The drive for improvements in productivity has resulted in a reduction in
staffing levels of approximately 11%, and other initiatives include
improvements in development drilling, achieving greater advance from each
blasting round, and changes in maintenance planning. This has resulted in an
increase in productivity per employee-shift.
Cost control is a key focus, and measures taken include optimisation of
inventory management and the re-tendering of large procurement contracts.
A project to test the viability of ore sorting is also under way, which may
unlock value in lower-grade mineral resources, in particular with respect to
the Golema Reka deposit.
Mining
The mine produced a total of 929,693 tonnes of ore and waste during the year,
approximately 3.4% more than in 2024, including 796,171 tonnes of ore. The
material was transported to surface via a combination of hoisting via the
Golema Reka shaft and the Central Decline, the latter route using a fleet of
20-tonne haul trucks.
Ore development across the three working areas totalled 7,201 metres, a 2.6%
decrease compared with 2024, including long-hole stoping development in the
990 level, the 910 level and the 830 level areas.
Waste development for the year totalled 4,411 metres, approximately 29% more
than in 2024, generating 133,522 tonnes of waste rock, from a combination of
internal ramp access and crosscuts to the orebody, and raise development and
raise boring. The raise-boring activity is key to the provision of additional
ventilation raises as the mine is developed to deeper levels. Waste rock is
utilised in several applications after crushing, both underground (as road
base to replace purchased aggregates) and on surface.
The Central Decline, a direct haulage completed at the end of 2024, is making
a significant contribution to the efficient movement of ore and waste. During
December 2025, haulage by truck accounted for 79% of material moved, with the
balance hoisted by vertical shaft (which requires significant rehandling).
This compares with 49% hauled by truck at the start of the year. The
ventilation underground has also improved significantly.
Processing
Sasa processed 799,080 tonnes of ore during 2025, slightly above the planned
level and 5.1% more than the total processed in 2024. Overall plant
availability was 94.4%.
A significant number of improvement projects were implemented during the year
in the processing plant:
- The asset integrity project to improve and/or replace critical
infrastructure, principally supporting steel structures across the flotation,
crushing and milling circuits. This work will continue in 2026.
- The water security and re-use project, developed for optimising the
water supply to the processing plant. Changes are being implemented to re-use
water from the PBF Plant, the DST Plant and from underground (mine adits).
- Replacement of tanks for the preparation of reagents.
- The sprinkler system for fire extinguishing on the conveyor belts in
the crushing plant was extended.
Sasa's PBF Plant has been operating since late 2023. By the end of December
2025, a total of approximately 425,000 tonnes of tailings in the form of paste
had been placed underground. The DST Plant operated consistently from its
commissioning at the end of Q1 2025, and by the end of December over 260,000
tonnes of tailings had been filtered for placing on the initial landform.
Since the DST Plant became operational, tailings stored as dry tailings or
underground as PBF represent approximately 75% of the total generated,
compared with CAML's target of 70% by 2026.
Sasa's conventional TSFs are in conformance with the Global Industry Standard
on Tailings Management (GISTM), an internationally accepted set of best
practices for the management of TSFs. GISTM covers standards and practices
over the entire TSF life cycle.
In 2024, following three years of work towards meeting GISTM, CAML elected to
have Sasa TSFs and related management systems audited by an independent third
party, Knight Piésold, which confirmed that the GISTM requirements were
either in conformance or were met with 'a plan in place'. In 2025, Sasa
followed up this initial conformance, and by September had completed all items
that had been identified as met with 'a plan in place' in the 2024 audit.
At the time of the 2024 audit, the DST landform was not operational and thus
did not form part of the audit. However, Sasa's independent consultants,
Knight Piésold, were engaged throughout the construction of the DST landform,
undertaking site visits and reviewing the work related to quality control.
The DST Plant and landform became operational during H1 2025, and an internal
audit was completed during H2 2025. The results of this review are being
assessed and will be used to identify priority actions to support conformance.
Subject to progress, an external audit by an independent third party is
planned for late 2026 or early 2027.
During 2025, further additional piezometers were installed in the seismic
monitoring system for the conventional TSFs. The upgraded TSF management
system can also monitor processing and other water flows, water levels,
drainage flows, turbidity and other relevant information. Additional upgrades
are planned in 2026.
Maintenance
The development of a computerised maintenance management system for all
surface equipment continued during 2025, and approximately 90% of the
equipment had been entered into the system by the end of the year. The
computerised maintenance system for mobile equipment is already fully
operational.
During 2025, additional equipment was purchased to assist in maintaining
production and improve efficiency. The new equipment included a Simba
underground drilling unit ideal for long-hole stoping, a Paus Minca
underground truck for transporting fluids to service mobile equipment, and a
variety of other utility vehicles and mobile equipment.
Exploration
A total of 7,052 metres of advance drilling was completed during the year
across the five working areas, on the 990 level, the 910 level, the 830 level,
the 800 level and the 750 level, to provide additional information on the
grade and thickness of the three orebodies.
Exploration drilling included 2,749 metres completed from the 750 level to
improve the geological understanding of the mineralisation of the Svinja Reka
deposit at depth and along strike. (Note: levels are numbered in metres above
a zero datum below the orebodies.)
In March 2025, a geologist and a mining engineer from a third-party consulting
group visited Sasa to conduct an independent review of the Mineral Resource
estimate and the Ore Reserve estimate. No fatal flaws were identified in the
process, and recommendations for improvement have been actioned by the Sasa
team.
Health and safety
In 2025, the operation recorded zero lost time injuries (LTIs) and one medical
treatment injury (MTI) resulting in a total recordable injury frequency rate
(TRIFR) of 0.56.
In 2025, Sasa developed a site-specific safety culture plan, aligned with the
Group's broader safety culture framework, with the plan being formally
launched in 2026.
In H1 2025, Sasa engaged with the local community as part of the establishment
of an audio alarm system. A successful first alarm simulation was conducted in
May, led by the Delchevo Crisis Management Centre (an independent body which
acts on behalf of the government during national crises).
The audio alarm system is designed to alert people not just of potential
incidents involving Sasa's TSFs, but of natural disasters or any other
relevant danger that might affect the local community. As such, the system is
officially part of the national alarm system.
The system forms part of Sasa's Emergency Preparedness and Response Plan
(EPRP) for its TSFs, which is required under North Macedonian legislation and
was prepared in collaboration with the University of Stip.
2026 production guidance
CAML has raised its guidance for ore mined and processed in 2026
year‑on-year to between 800,000 and 820,000 tonnes. Expected metal
production in 2026 is 18,000 to 20,000 tonnes of zinc-in-concentrate and
26,000 to 28,000 tonnes of lead-in-concentrate.
This represents an increase compared with 2025 production, as the measures
introduced in H2 2025 as part of the comprehensive business review begin to
take effect.
Sasa Mineral Resource, Ore Reserve and LoM
During 2025, the technical services team updated Sasa's Mineral Resource
Estimate (MRE) for the Svinja Reka and Golema Reka deposits and the Ore
Reserve for the Svinja Reka deposit.
The updated work took into account recent additional drilling, mining
depletion and, where applicable, changes to the assumptions for metal prices
and transport charges used in the Net Smelter Return (NSR) calculations.
Sasa's MRE and Ore Reserve are shown in the following tables.
The total Svinja Reka Mineral Resource has increased marginally, to 11.9
million tonnes at grades of 2.9% zinc and 4.0% lead (2024: 11.8 million tonnes
at grades of 3.0% zinc and 4.2% lead), owing to additions resulting from
drilling and higher assumptions for metals prices offsetting mining depletion
and higher NSR cut-off values.
The total Golema Reka Mineral Resource is lower, at 8.6 million tonnes at
grades of 1.2% zinc and 3.9% lead (2024: 9.3 million tonnes at grades of 1.2%
zinc and 3.8% lead), owing principally to higher NSR cut-off values.
The Svinja Reka 2025 Ore Reserve is 6.9 million tonnes at grades of 2.5% zinc
and 3.5% lead (2024: 9.2 million tonnes at grades of 2.4% zinc and 3.4% lead).
The reduction in reserve tonnage is due principally to revisions to the mine
design; the application of higher NSR cut-off values in response to increased
assumptions for operating costs; revised assumptions for metals prices and
concentrate treatment charges (TCs); and normal mining depletion.
Based on the latest Ore Reserve and Mineral Resource, CAML expects Sasa to
maintain annual production rates of up to approximately 830,000 tonnes per
annum for an expected LoM of nine years until 2034.
Mineral Resource Estimate for Svinja Reka and Golema Reka
Sasa's technical services team has updated the MRE for the Svinja Reka and
Golema Reka deposits. This is given below, and has been reported in accordance
with the terms and definitions of the JORC Code. In order to limit this to
mineralisation that has reasonable prospects for eventual economic extraction,
NSR cut-off values for each mining method were applied as in the notes below.
Grades Contained metal
Classification Deposit Mt Zn (%) Pb (%) Ag (g/t) Zn (kt) Pb (kt) Ag (koz)
Indicated Svinja Reka 9.6 3.0 4.2 32.8 290 404 10,100
Golema Reka 1.8 1.3 4.1 13.8 24 75 810
Total Indicated 11.4 2.8 4.2 29.8 314 479 10,910
Inferred Svinja Reka 2.3 2.4 2.9 35.5 56 68 2,662
Golema Reka 6.8 1.2 3.9 13.2 82 263 2,880
Total Inferred 9.1 1.5 3.6 18.9 138 331 5,541
Total Mineral Resource 20.5 2.2 3.9 24.9 452 810 16,451
Notes
The Mineral Resource and Ore Reserve are reported in accordance with the
guidelines of the 2012 Edition of the Australasian Joint Ore Reserves
Committee Code for Reporting of Exploration Results, Mineral Resources and Ore
Reserves (JORC Code).
The Mineral Resource has an effective date of 31 December 2025.
The Competent Person for the declaration of the Mineral Resource is Graham
Greenway, BSc Honours (Geology), PGeo. Mr Greenway, CAML's Group Geologist, is
a Practising Registrant of the Professional Geoscientists of Ontario and has
over 37 years' experience in the exploration, definition and mining of
precious and base metal mineral resources, and has sufficient experience
relevant to the style of mineralisation and type of deposit under
consideration, and to the type of activity which he is undertaking, to qualify
as a Competent Person as defined by the JORC Code (2012) and as required by
the June 2009 Edition of the AIM Note for Mining and Oil & Gas Companies.
He has reviewed, and consents to, the inclusion of these matters based on the
information in the form and context in which it appears, and confirms that
this information is accurate and not false or misleading.
The Mineral Resource is reported inclusive of the Ore Reserve.
The Mineral Resource is based on an NSR cut-off of $53 per tonne for sub-level
caving, $65 per tonne for cut-and-fill stoping and $60 per tonne for long-hole
stoping. The NSR block values are based on metal price assumptions of $3,041
per tonne for zinc, $2,506 per tonne for lead and $31 per ounce for silver
(these prices allow the inclusion of mineralisation that has 'reasonable
prospects for eventual economic exploitation' but which is not economic
assuming the prices used for reporting the Ore Reserve).
The Mineral Resource is reported as undiluted. No mining recovery has been
applied in the Statement.
Tonnages are reported in metric units, grades in percent (%) or grammes per
tonne (g/t) and the contained metal in metric units or ounces. Tonnages,
grades and contained metal totals are rounded appropriately.
Rounding may result in apparent summation differences between tonnes, grade
and contained metal content.
Svinja Reka Ore Reserve Statement
The following Ore Reserve Statement, which has also been reported in
accordance with the terms and definitions of the JORC Code, has been prepared
by Sasa's technical services team based on a LoM plan that includes the
transition from the sub-level caving mining method to cut-and-fill and
long-hole stoping with paste backfill. The Ore Reserve Statement is a subset
of the updated Indicated Resource, constrained within a practical and economic
mine design. NSR cut-off values and design modifying factors for each mining
method were applied as in the notes below.
Grades Contained metal
Classification Deposit Mt Zn (%) Pb (%) Ag (g/t) Zn (kt) Pb (kt) Ag (koz)
Probable Svinja Reka 6.9 2.5 3.5 26.1 170 244 5,782
Total Ore Reserve 6.9 2.5 3.5 26.1 170 244 5,782
Notes
The Ore Reserve has an effective date of 31 December 2025.
The Competent Person who takes responsibility for the Ore Reserve is Scott
Yelland, CEng, FIMMM, MSc, who is an employee of, and Senior Technical Adviser
to, CAML. He is a mining engineer with over 43 years' experience in the mining
and metals industry, including operational experience in underground zinc and
lead mines, and as such qualifies as a Competent Person as defined in the JORC
Code (2012).
The Ore Reserve is reported using a NSR cut-off of $53 per tonne for sub-level
caving, $65 per tonne for cut-and-fill stoping and $60 per tonne for long-hole
stoping. The NSR block values are based on metal price assumptions of $2,644
per tonne for zinc, $2,179 per tonne for lead and $27 per ounce for silver.
The Ore Reserve has been estimated utilising 3D-modelling software (Deswik)
and includes the application of a minimum mining width and practical mining
shapes.
Rounding may result in apparent summation differences between tonnes, grade
and contained metal content.
Growth Opportunities
Continued focus on growth
CAML continued to place a high priority on its future growth during 2025, both
in seeking acquisition opportunities offering existing or near-term cash flow
and with respect to the Company's longer-term exploration investments.
The business development team assessed a number of advanced opportunities
within the Group's current areas of operation, as well as potential
transactions in other jurisdictions.
One such opportunity resulted in CAML agreeing terms to acquire New World
Resources, a company listed on the Australian Securities Exchange with a
copper project in Arizona. However, a third party intervened and, after a
series of offers and counter offers, ultimately CAML withdrew from the
process.
The Group enters 2026 with a number of selected opportunities to pursue, in a
range of jurisdictions, and remains focused on developing the business for the
long term.
Group exploration
Group exploration continued to be focused on Kazakhstan in 2025, targeting
high-grade, predominantly base metals prospects.
CAML X (80%-owned) undertook reconnaissance activity within four licence areas
during the year and, following this work, two of the areas, Otyar and Yuzhnoe,
are considered highly prospective and have been recommended for drill testing.
Of the two remaining licence areas, which do not fit CAML's selection
criteria, one area, Shaindy, is recommended for further delineation work and
possible farm-out to a third party, and the other has been returned to the
licensing authority as its prospectivity is regarded as limited.
CAML XD (100%-owned) also recognised the Tengiz Basin as highly prospective,
and in late 2025 was granted a licence in this region. In February 2026, CAML
XD signed a term sheet for an option agreement to acquire a 100% interest in
another licence area in this basin, which has potential for high-grade
sediment-hosted copper mineralisation.
The CAML Group's 2026 exploration programme in Kazakhstan will include up to
5,500 metres of drill testing, over two or three projects, within an overall
budget of between $3.0 million and $3.5 million, excluding administration
costs.
Aberdeen Minerals
Aberdeen Minerals ('Aberdeen'), an unlisted associate company in which CAML
owns a 32.6% interest, is exploring for base metals in Aberdeenshire,
northeast Scotland. The second CAML-funded drilling programme on Aberdeen's
wholly-owned Arthrath project commenced in May 2025. A total of 2,275 metres
over five holes was drilled with borehole electromagnetic (BHEM) surveys
conducted in all of the holes.
The drilling intersected thick intersections of sulphide-rich intrusive rocks,
including classic semi-massive and massive sulphide textures associated with a
dynamic conduit-related mineral system. Although these intersections are
currently considered sub-economic, the drilling, combined with the geophysical
survey results, has provided vectors for a target zone with high potential for
massive sulphides in an undrilled area to the southwest, outside the current
drilled footprint.
Post year end, CAML invested an additional £850,000 to test this target zone,
through a drilling programme of up to 2,600 metres plus geophysical surveys,
to be completed over approximately six months. To provide this funding, CAML
exercised a portion of the warrants received as part of its initial £3
million investment in Aberdeen in 2024, increasing CAML's shareholding to
32.6% from 28.4% previously.
The warrants allowed for a further investment of up to £2 million, and
agreement was also reached to extend the expiry of the remaining warrants to
allow sufficient time for the exploration work on this southwestern target
zone to be evaluated.
Financial Review
Financial performance
In 2025, CAML delivered consistent EBITDA compared with the prior year and
continued to generate robust cash flows. Revenue growth, driven by higher
copper and zinc prices, alongside lower treatment charges for zinc and lead
for Sasa, offset operational challenges.
At Sasa, lower head grades led to a mid-year revision of production guidance.
Updated assumptions in reserves and resources, and the updated cost base at
year end reduced the life-of-mine at Sasa to 2034, resulting in an impairment
charge. In response, CAML has taken decisive action to improve the future
financial performance of the mine.
Having completed the Capital Projects at Sasa, with commissioning of the Dry
Stack Tailings (DST) Plant and landform, key initiatives have been implemented
to optimise revenue and reduce costs through targeted headcount reductions now
totalling approximately 11% of the workforce, contract renegotiation and
further progress with the new mining methods. These measures support the
restoration of Sasa's profitability and cash flow generation, ensuring the
long-term financial sustainability of the operation for the benefit of
employees, the local community and wider stakeholders.
The Group remains effectively debt free, with a strong balance sheet, ending
2025 with cash in the bank of $80.1 million, and continues to provide
attractive returns to its shareholders. The Board has conditionally
recommended a final dividend of 7.5 pence per share, bringing the full-year
dividend to 12 pence per share.
These achievements and operational foundations position CAML strongly to
respond to market opportunities and challenges in 2026, supporting both
financial sustainability and future growth.
Macroeconomic environment
Copper prices
Copper prices strengthened significantly in 2025, reflecting expectations of a
shortage driven by concerns over disruptions at major mines and tariffs, as
well as the metal's role in electrification, energy transition and
infrastructure for artificial intelligence. Prices reached $12,300 per tonne
in December and they continued to rally post year end, reaching record highs.
Zinc prices
Zinc prices reached levels of $3,100 per tonne by year-end 2025, driven by
tight supply from production disruptions and Chinese smelter policies. Strong
demand from construction and renewable energy projects, combined with
constrained concentrate availability, supported further gains post year end.
Lead prices
Lead prices remained relatively stable in 2025, averaging approximately $1,975
per tonne. Prices rose post period end to around $2,020 per tonne, supported
in part by the weaker US dollar, but subsequently retreated below $2,000 per
tonne.
Treatment charges
Treatment charges (TCs) for both zinc and lead remained favourable to
concentrate producers in 2025. Zinc TCs fell to multi-year lows, as smelter
capacity outpaced available concentrate following mine closures and ongoing
production issues, particularly in Asia, reinforcing tight market conditions
and contributing positively to Sasa's financial performance.
Post year end, lead TCs have weakened further, turning negative owing to a
continued lag in lead concentrate supply versus refined lead output.
Conversely, zinc TCs are forecast to rise from 2025's historic lows, as
concentrate availability improves with ramp-ups at large projects and smelter
inventories rebuild. CAML's TC contracts commencing from 1 April 2026 reflect
these recent trends.
Currency fluctuations
The functional currencies of the Group's main operations are the Macedonian
denar (MKD) for Sasa, which is pegged to the euro, and the Kazakh tenge (KZT)
for Kounrad. During the year, the US dollar weakened materially against the
denar, increasing Sasa's cost base. Conversely, the tenge weakened against the
US dollar during the year, driven principally by lower oil prices. This
currency movement helped to offset cost pressures at Kounrad, partially
mitigating the high in-country inflation, before the tenge strengthened to
510:1 KZT:USD towards the year end.
Inflation
Inflation remained elevated in the countries in which the Group operates.
Inflation rates for the year averaged 12.3% in Kazakhstan and 4.1% in North
Macedonia.
Performance overview
Revenue
CAML's 2025 revenue was up 7% versus 2024, to $229.9 million (2024: $214.4
million). The increase was primarily driven by increased commodity prices for
copper and zinc, which rose by 10% and 3% respectively, as well as reduced TCs
for zinc and lead owing to a tightening in the concentrate market.
EBITDA
The Group generated consistent EBITDA, at $101.8 million (2024 restated:
$102.4 million), at an EBITDA margin of 44% (2024 restated: 48%). This
reflects higher revenue, partially offset by an increase in the cost base. The
higher costs were driven by the weakening of the US dollar, national
inflation-linked pay rises across the Group, operation from the end of Q1 2025
of Sasa's DST Plant and associated landform, as well as corporate exploration
and business development initiatives.
Kounrad's 2025 EBITDA increased to $97.3 million (2024 restated: $89.3
million), with an improved margin of 75% (2024: 73%). The increase reflects
higher revenue from stronger copper prices, partially offset by a rise in
costs, primarily due to higher MET charges and elevated payroll expenses,
mitigated by the generally weaker tenge.
Sasa's 2025 EBITDA was $25.7 million (2024: $32.2 million), at a margin of 26%
(2024: 35%). The margin decline was due predominantly to lower sales volumes
arising principally from production constraints, in which lower head grades
reflected variability in the orebody as mining progresses to deeper levels.
Additionally, there was an increase in costs driven by a rise in concession
fees, the weakening of the US dollar, national pay levels and the operation of
the DST Plant and landform. To address these challenges, steps were taken
towards the end of the year through targeted headcount reductions now
totalling approximately 11% of the workforce, and contract negotiations to
enhance operational efficiency and support future profitability.
Impairment of non-current assets
At 31 December 2025, the Group recognised an impairment charge of $117.5
million in respect of the Sasa operation. This reflects the completion of the
life-of-mine update at year end, incorporating the updated reserves and
resources, the exclusion of Golema Reka from the mine plan and an increase in
the cost base, which together reduced the life-of-mine to 2034.
Although this impairment reflects a reassessment of the long-term production
profile, management has taken decisive actions to optimise operations, improve
cash flow and maximise value over the remaining life of the mine.
Additionally, an impairment charge of $0.3 million was recognised against
exploration assets as the Group is no longer pursuing the Zhamantas licence in
Kazakhstan.
Earnings per share
Group loss before tax from continuing operations was $58.5 million (2024
restated: profit of $77.2 million), reflecting the impairment charge in
respect of Sasa, higher royalty costs for MET and concession fees, increased
salaries, labour settlement agreements and an adverse FX swing. Earnings per
share (EPS) was therefore negative at 42.56 cents (2024 restated: positive EPS
of 29.10 cents). Adjusted EPS of 18.51 cents is reported, which excludes the
hedge arrangements and non-cash impairment charge (see Note 18 to the
Financial Information for more information).
Free cash flow
CAML is highly cash generative and delivered adjusted free cash flow of $56.0
million in 2025 (2024: $65.7 million). Free cash flow was lower year-on-year
primarily owing to a $6.4 million increase in income tax paid. Tax instalments
are based on the previous year's taxation charge, resulting in higher cash tax
payments following improved profitability in 2024 and 2025 predominantly in
Kounrad. Additionally, sustaining capex and exploration increased by $3.1
million. Although free cash flow has declined, the Group had healthy year-end
cash in the bank of $80.1 million (2024: $67.6 million), supporting the
Board's conditional recommendation of a final dividend of 7.5 pence per share.
Business development activities
The Group continued to make significant investments in its future growth
through key projects. During the year, CAML capitalised $1.7 million as
exploration and evaluation in target-generative work.
Post year-end, CAML exercised a portion of its warrants to invest a further
$1.1 million in cash in Aberdeen Minerals ('Aberdeen') bringing its
shareholding to 32.6%. Use of these funds is predominantly for exploration
drilling. Aberdeen is classified as an associate for accounting purposes.
Additionally, business development costs of $3.6 million (2024: $2.0 million)
were incurred, primarily in relation to the bid for New World Resources (NWR),
as the Group continued to evaluate new growth opportunities.
Income statement
Revenue
CAML generated 2025 revenue of $229.9 million (2024: $214.4 million), which is
reported after the deduction of zinc and lead TCs and offtake fees.
Kounrad
Kounrad achieved revenue of $129.7 million for 2025 (2024: $121.8 million).
This improved performance is attributable to the higher average copper price
received, up 10% to $10,121 per tonne (2024: $9,219 per tonne), more than
offsetting lower sales of 13,122 tonnes (2024: 13,521 tonnes).
Sales were made primarily under the Group's offtake arrangement with Traxys,
which has been extended for a year from 1 January 2026 and commits a minimum
of 90% of Kounrad's annual production. The offtake fees for Kounrad increased
to $3.2 million (2024: $3.0 million) owing to the higher variable component
within the buyers' fees.
Sasa
Sasa realised revenue of $100.1 million in 2025 (2024: $92.7 million), driven
primarily by a significant reduction in TCs, which fell to $8.1 million (2024:
$14.8 million) owing to improved market terms for both zinc and lead
concentrates effective 1 April 2025.
Revenue also benefited from a higher realised silver price of $43/oz (2024:
$28/oz); however, this benefit was offset by a corresponding increase in cost
of sales in order to account for the streaming agreement with OR Royalties.
Under this agreement, silver production is effectively sold at a fixed price
of approximately $6/oz.
Zinc prices increased by 3% to $2,862 per tonne (2024: $2,766 per tonne),
supporting revenue growth, whereas lead prices declined by 2% to $1,977 per
tonne (2024: $2,023 per tonne). Sales volumes were also weaker, with payable
zinc-in-concentrate down to 14,961 tonnes (2024: 15,839 tonnes) and
lead-in-concentrate to 23,898 tonnes (2024: 25,560 tonnes), owing mainly to
lower head grades during the period.
Offtake fees for Sasa remained consistent at $0.9 million (2024: $1.0
million), and zinc and lead concentrate sales agreements have been extended
with Traxys on a one‑year rolling basis for 100% of Sasa's production.
Cost of sales
The Group cost of sales for the year was $124.0 million (2024 restated: $108.3
million). This figure includes depreciation and amortisation charges of $29.4
million (2024: $26.3 million). The rise was principally due to a combination
of:
- higher payroll costs at both Kounrad and Sasa designed to match
national pay rises;
- the introduction at Sasa of an underground allowance;
- an increase in the concession fees rate at Sasa and higher Mineral
Extraction Tax (MET) payments at Kounrad from the stronger copper price;
- an increase in the volume of material going to alternative methods
of tailings disposal at Sasa;
- currency effects from the weakening of the US dollar relative to the
Macedonian denar;
- and additional depreciation for the capitalised DST Plant.
In addition, cost of sales includes $14.2 million (2024: $10.1 million) in
open-market silver purchases to fulfil the silver stream commitment. However,
the increase corresponds to the higher silver revenue noted above.
Kounrad
Kounrad's cost of sales for 2025 remained materially the same at $33.0 million
(2024 restated: $33.4 million), owing to strong cost control and benefiting
from the tenge's devaluation. Costs for certain reagents and electricity
declined by $0.7 million overall, reflecting marginally lower production
levels. This was partially offset by a $0.2 million rise in payroll costs
driven by inflation-related salary increases.
The MET is a form of royalty charged by the Kazakh authorities at the rate of
8.55% on the value of metal recovered. MET charges for the year increased to
$11.4 million (2024: $10.3 million) reflecting higher copper prices. Looking
ahead, legislation has been passed to reduce the applicable MET rate for
man-made mineral formations, including Kounrad, to 0.855%, effective from 1
January 2026.
Sasa
Sasa's cost of sales increased by 22% in 2025 to $91.0 million (2024: $74.8
million) driven by a number of factors. Concession fees doubled to $4.9
million (2024: $2.4 million), following an increase in the applicable rate
from 2% to 4% effective 1 January 2025.
Employee-related costs rose by $2.5 million, reflecting a 10% general pay rise
and the introduction of an underground allowance for relevant employees. In
addition, the rise was driven partially by the weakening of the US dollar
against the denar, which impacted the entire local cost base.
The completion of the transition to paste-fill mining methods contributed to
additional depreciation of $3.0 million, and tailings disposal expenses rose
by $1.4 million, reflecting increased volumes from both the Paste Backfill
(PBF) Plant and the newly commissioned DST Plant and landform.
Finally, silver purchases made on the open market to satisfy the silver stream
arrangement significantly increased, to $14.2 million (2024: $10.1 million),
as a result of the silver price, which offsets the associated increase in
revenue.
Distribution and selling costs
There was an increase in distribution and selling costs to $2.3 million (2024:
$2.1 million), owing to an increase in shipping costs to customers further
afield during the year as CAML was able to benefit from contracts with reduced
TCs.
C1 cash cost of production
C1 cash cost of production is a standard metric used in the mining industry to
allow comparison across the sector. The method of this calculation and
assumptions are disclosed in the section on non-IFRS financial measures.
Kounrad
Kounrad's 2025 C1 cash cost of copper production was $0.82 per pound (2024:
$0.80 per pound), based on a C1 cash cost of $23.9 million (2024: $23.7
million), which remains amongst the lowest in the industry. The increase in
the C1 unit cash cost compared with 2024 was due to copper production being
128 tonnes lower, and an increase in the Traxys offtake fee by $0.3 million.
Overall, the cost of production reduced, owing to the devaluation of the
Kazakh tenge compared with the preceding year.
Sasa
Sasa's on-site operating costs increased by 13% to $55.4 million (2024: $49.2
million) and the on-site unit cost was $69.6 per tonne (2024: $64.6 per
tonne). The increase was primarily due to higher payroll costs, the weakening
of the US dollar and additional costs for the full operation of the DST Plant
and landform.
Sasa's total C1 cash cost base, including realisation costs, decreased to
$66.7 million (2024: $67.1 million), with higher operating costs offset by
lower TCs. Sasa's C1 zinc equivalent cash cost of production increased to
$0.79 per pound (2024: $0.76 per pound). The $0.03 per pound increase in the
C1 calculation was primarily due to the increase in the total C1 cash cost
base and the lower zinc production, plus the strength of the zinc price
relative to that of lead which determines the proportion of the overall C1
cost base that is attributed to the zinc production.
Group
CAML reports its Group C1 unit cash cost on a copper‑equivalent basis,
incorporating the production costs at Sasa with those of Kounrad and
correspondingly converting Sasa's zinc and lead production into copper
equivalents.
The Group's 2025 C1 copper-equivalent cash cost was $1.85 per pound (2024:
$1.73 per pound). The calculation is based on Sasa's payable zinc and lead
production converted to copper equivalents, added to Kounrad's copper
production of 13,311 tonnes (2024: 13,439 tonnes). The increase in Group C1
unit cash costs on a copper-equivalent basis was due to lower production,
higher aggregate costs at Sasa and the relative strength of the average copper
price compared with the prices of zinc and lead.
CAML also reports its fully inclusive cost, which includes sustaining capital
expenditure, local taxes (including the MET and concession fees), interest on
any loans, and applicable corporate overheads, as well as the C1 cost
component. The Group's fully inclusive copper-equivalent unit cost for the
year was $2.78 per pound (2024: $2.54 per pound). The increase was due
principally to higher C1 costs as detailed above, increased concession fees as
well as additional sustaining capex at Kounrad.
Administrative expenses
During the year, administrative expenses, which includes Corporate, Kounrad,
Sasa and CAML X, increased to $32.2 million (2024: $28.8 million). The
increase largely reflects the Group's business development activities of $3.6
million (2024: $2.0 million), primarily focused on the bid for NWR, $0.4
million of costs associated with the Copper Bay disposal, and a $0.4 million
increase in costs related to exploration activity in Kazakhstan not directly
attributable to a licence and thus not capitalised.
Foreign exchange gain/(loss)
The Group reported a foreign exchange loss of $4.2 million in 2025 (2024: gain
of $5.6 million) resulting from the re-translation of US dollar-denominated
monetary assets held by foreign subsidiaries with a local functional currency,
taking into account the weakening of the USD during the year.
Year-end rates 2025 2024 2023 Change 2025 vs 2024
Kazakhstan tenge 503 524 455 4%
Macedonian denar 52.31 58.88 55.65 13%
Fair value movement of share-based payment liability
A charge of $8.0 million (2024: $4.0 million) was recognised to reflect the
fair-value movement of the liability during the year. This reflects an
increase in CAML's share price at year end and additional shares options
granted.
Taxation
In 2025, the Group's income tax charges decreased to $16.2 million (2024:
$25.9 million). This includes the CIT charge, which only decreased marginally
to $21.1 million (2024: $22.0 million), owing to consistent profits at
Kounrad, where taxes are levied at a CIT rate of 20% (Sasa is taxed at a rate
of 10%). The impairment of the Sasa mineral rights contributed to a $10.9
million non-cash decrease in deferred income tax (2024: decrease of $1.3
million).
There was an increase in inter-group dividend distributions from Kazakhstan to
the UK, which incurred a 10% withholding tax (WHT), totalling $6.0 million
(2024: $5.1 million). From 1 January 2026, new legislation introduced in
Kazakhstan has updated WHT on dividends, and CAML expects to pay 15%
thereafter.
Discontinued operations
On 31 March 2025, the Company completed the sale of its 76.1% shareholding in
Copper Bay Ltd (CBL) to Guardian Metals (since renamed Halo Minerals) for its
proportionate share of $7.5 million in deferred payments. The entire
consideration is contingent on the potential future production of copper and
therefore at this stage has not been recognised in the financial information.
CBL, via its subsidiaries, held the mineral rights to a copper tailings
project in Chile. The project was fully impaired in prior years, and the
results of the Copper Bay entities were presented within discontinued
operations.
Hedging arrangements
In December 2025, the Group entered into derivative contracts to hedge a
portion of Sasa's 2026 zinc production and foreign exchange exposure. These
arrangements comprise forward sales covering approximately 50% of Sasa's
expected payable zinc production in 2026, at an average price of $3,011.5 per
tonne, and forward purchases of euro covering approximately 50% of expected
on-site cash operating costs, at an average exchange rate of $1.185 per euro.
Movements in market prices and exchange rates resulted in unrealised losses of
$1.0 million on the zinc commitments and $0.2 million related to the foreign
exchange contracts.
Statement of financial position
Financial assets at fair value through other comprehensive income (FVOCI)
During the year, CAML spent $16.7 million (A$25.6 million), including
brokerage fees, on shares in NWR, acquiring a 12.1% shareholding. This
investment initially represented an important strategic holding as part of the
proposed acquisition of 100% of the issued share capital of NWR, which was
expected to be concluded in September 2025 but failed to complete.
The shares were classified as financial assets measured at FVOCI because they
were held as a strategic investment rather than held for trading. The shares
were subsequently sold at a premium of $2.5 million recognised in other
comprehensive income.
Capital expenditure
During the year, there were additions to property, plant and equipment of
$19.0 million (2024: $20.8 million), as Sasa completed the Capital Projects
programme for its transition to paste-fill mining.
Kounrad
The capital expenditure additions of $4.9 million (2024: $2.5 million)
included one-off costs of $1.0 million incurred in relation to ore relocation
activities at Dump 15, including loading, hauling, backfilling and road
levelling. In addition, $1.2 million was incurred on the advance purchase of
dripper pipes for leaching, and $1.5 million on new anodes and cathode mother
plates for 2026.
Sasa
A total of $11.3 million (2024: $11.6 million) was spent on sustaining
capital, with an additional $2.8 million (2024: $6.4 million) in relation to
the completion of the transition to paste-fill mining. This included the DST
Plant and tailings landform, covering geosynthetics, preparatory and
construction works. The plant entered operation at the end of Q1 2025.
Capitalised mine development of $5.3 million reflected progress to access
future production areas at Sasa. In addition, $1.5 million was spent on raise
boring to establish new ventilation and ore access.
2026
CAML expects capital expenditure in 2026 of between $14.5 million and $17.5
million.
Exploration
The Group's policy is to capitalise exploration and evaluation costs that are
directly attributable to areas where legal exploration rights are held.
During the year, $1.4 million of expenditure by CAML X was capitalised related
to work at Yuzhnoye, Shaindy and Otyar, as well as $0.3 million at Sasa for
surface and underground drilling. In addition to exploration work carried out,
CAML X and CAML XD also undertook exploration-target generation, necessitating
$1.4 million in pre-licence activities to be expensed as administrative
expenses.
Looking ahead, the Group anticipates spending between $3.0 million and $3.5
million in 2026 on its exploration licences, including continued target
generation efforts in Kazakhstan.
Working capital
At 31 December 2025, current trade and other receivables, and income tax
recoverable totalled $11.7 million (31 December 2024: $8.7 million). The
increase from the prior year was mainly due to an increase in accrued income
of $3.3 million following a late shipment of concentrate not yet invoiced, and
the overpaid Group CIT balance of $1.6 million (31 December 2024: $0.9
million) which was offset against CIT liabilities arising in the same entities
in 2026. Additionally, this balance also includes trade receivables from the
offtake sales amounting to $1.7 million (31 December 2024: $1.9 million).
As of 31 December 2025, a total of $5.3 million (31 December 2024: $3.7
million) of receivable value-added tax (VAT) was owed to the Group by the
Kazakh authorities. Recovery is still expected through a continued dialogue
with the authorities for cash recovery and further offsets against VAT payable
on local sales.
At 31 December 2025, current trade and other payables totalled $23.7 million
(31 December 2024: $17.2 million). These have increased because of higher MET
payable of $1.4 million, owing to strong copper prices, and an additional $1.0
million for severance pay, and social security and taxes following targeted
headcount reductions at Sasa.
Prior year restatement
At 31 December 2025, inventory was $20.6 million (31 December 2024 restated:
$16.1 million). Inter-group sales and purchases at a mark-up between Kounrad's
subsidiaries were not previously correctly reversed for unrealised profit on
consolidation. This resulted in an understatement of inventory and a
corresponding overstatement of cost of sales in the prior years. The
comparative figures have been updated, with the cumulative impact reflected in
opening retained earnings (see Note 43 to the Financial Information for
details).
Cash and borrowings
At 31 December 2025, the Group had cash in the bank of $80.1 million (31
December 2024: $67.6 million) and $0.9 million (31 December 2024: $0.3
million) drawn under an overdraft facility.
Cash flows
Net cash flow generated from operations was lower, at $63.7 million (2024:
$74.3 million), reflecting higher CIT payments totalling $25.9 million (2024:
$19.6 million). This included $19.7 million (2024: $14.4 million) of Kazakh
CIT, and WHT of 10% on dividends amounting to $6.0 million (2024: $5.1
million) paid during the year. In North Macedonia, $0.3 million (2024: $0.1
million) of CIT was paid in cash, in addition to a $1.7 million (2024: $1.4
million) non-cash payment offset against VAT and CIT receivable.
Sustaining capital expenditure across Kounrad, Sasa and CAML X totalled $16.2
million, which excludes Sasa Capital Projects expenditure of $2.8 million. As
a result, CAML generated adjusted free cash flow of $56.0 million in 2025
(2024: $65.7 million). This was achieved while continuing to support capital
investments, covering operating costs and funding business growth in
exploration and business development initiatives.
In H2 2025, the Group commenced a share buyback programme, acquiring 2,512,804
Ordinary Shares for total consideration of $5.2 million by year end. The
programme was completed in Q1 2026, with total costs (including transaction
costs) amounting to $10.0 million.
Dividend
The Company's dividend policy is to return to shareholders a range of between
30% and 50% of the Group's free cash flow, defined as net cash generated from
operating activities less sustaining capital expenditure, plus interest
received and cash-settled share-based payments. During the year, the Company
distributed $31.4 million (2024: $40.9 million), comprising the 2025 interim
dividend of 4.5 pence per share and the 2024 final dividend of 9 pence per
share (2024: 2024 interim dividend of 9 pence per share and 2023 final
dividend of 9 pence per share).
In conjunction with CAML's 2025 annual results, the Board conditionally
proposes a final dividend for 2025 of 7.5 pence per Ordinary Share. This
would bring total dividends (proposed and declared) for the year to 12 pence
per share (2024: 18 pence per share) which represents 50% of free cash flow.
Subject to the conditions below being satisfied, the final dividend will be
payable on 29 June 2026 to shareholders registered on 5 June 2026.
Given that the Company does not currently have sufficient distributable
reserves to fund the recommended dividend, the payment of the dividend will be
conditional upon: (1) shareholders and the court approving the capital
reduction which was announced by the Company on 10 March 2026 and the court
order subsequently becoming effective; and (2) as expected thereafter, the
Company having at the time the dividend is made sufficient distributable
reserves to fund the dividend with reference to relevant accounts and
otherwise complying with the requirements of Part 23 of the Companies Act 2006
(Distributions).
This latest dividend will increase the amount returned to shareholders in
dividends since CAML's 2010 Initial Public Offering to 200 pence per share, a
cumulative distribution totalling $420.3 million including share buybacks.
Going concern
The Group sells and distributes its copper cathode product primarily through
an annual rolling offtake arrangement with Traxys Europe SA, with a minimum of
95% of Kounrad's forecast output committed under this contract. The Group
sells Sasa's zinc and lead concentrate product through an annual rolling
offtake arrangement with Traxys. The commitment is for 100% of Sasa's annual
concentrate production. The Group meets its day-to-day working capital
requirements through its cash-generative operations. The Group manages
liquidity risk by maintaining adequate committed borrowing facilities, and the
Group had substantial cash balances at 31 December 2025.
The Board has reviewed forecasts for the period to December 2027 to assess the
Group's liquidity, which demonstrate substantial headroom. The Board has
considered additional sensitivity scenarios in terms of the Group's commodity
price forecasts, expected production volumes, operating cost profile and
capital expenditure.
The Board has assessed the key risks that could impact the prospects of the
Group over the 'going concern' period, including commodity price outlook, cost
inflation and supply chain disruption, with stress testing of the forecasts in
line with best practice. Liquidity headroom was demonstrated in each
reasonably possible scenario. Accordingly, the Directors continue to adopt the
'going concern' basis in preparing the consolidated financial information.
Non-IFRS financial measures
The Group uses alternative performance measures that are not defined by
generally accepted accounting principles (GAAP), such as International
Financial Reporting Standards (IFRS), as additional indicators. These measures
are used by management, alongside the comparable GAAP measures, in evaluating
the Group's business performance. The measures are not intended as a
substitute for GAAP measures and may not be comparable to similarly reported
measures by other companies.
The following non-IFRS alternative performance financial measures are used in
this report.
Earnings before interest, tax, depreciation and amortisation
EBITDA is a valuable indicator of the Group's ability to generate liquidity
and is frequently used by investors and analysts for valuation purposes. It is
also a non-IFRS financial measure which is reconciled as follows:
2025 2024
$'000
$'000
(restated)
(Loss)/profit for the year (75,158) 51,165
Plus/(less):
Impairment of non-current assets(1) 117,765 -
Income tax expense 16,178 25,896
Depreciation and amortisation 30,350 27,088
Unrealised loss on financial derivatives 1,179 -
Share of post-tax loss of investment in equity accounted associate 140 76
Fair value movement of share-based payments liability 7,955 3,966
Foreign exchange loss/(gain) 4,216 (5,638)
Other income (2,121) (211)
Finance income (1,792) (2,364)
Finance costs 2,612 2,192
Loss from discontinued operations 474 183
EBITDA 101,798 102,353
1. Includes impairment of Sasa of $117.5 million and CAML X exploration costs
of $0.3 million.
Adjusted earnings per share
An adjusted EPS has been presented in Note 18 to provide a representation of
the underlying earnings of the Group by removing exceptional items and those
not expected to recur. This measure is reported to management on a monthly
basis to support decision-making in relation to operational performance and
dividend distributions. Adjusted EPS excludes the impairment of non-current
assets, the associated deferred tax movement arising from the impairment of
mineral rights, and losses on financial derivatives.
Revenue
Revenue is presented as the total revenue received from sales of all
commodities, after deducting the directly attributable TCs associated for the
sale of the Group's zinc, lead and silver, and offtake fees. This figure is
presented inclusive of total revenue received in respect of the sale of copper
cathode, and zinc and lead concentrates, and the revenue from silver sold to
OR Royalties through CAML's streaming agreement.
Net cash
Net cash is a measure used by the Board for the purposes of capital management
and is calculated as the total of the borrowings held, plus the cash and cash
equivalents held at the end of the year. This balance does not include the
restricted cash balance of $0.4 million (31 December 2024: $0.3 million).
31-Dec-25 31-Dec-24
$'000
$'000
Borrowings - bank overdraft (936) (252)
Cash and cash equivalents excluding restricted cash 79,673 67,318
Net cash 78,737 67,066
Free cash flow
Free cash flow is a non-IFRS financial measure calculated as net cash from
operations, less sustaining capital expenditure on property, plant and
equipment and intangible assets, plus interest received, business development
gains and cash-settled share-based payments.
2025 2024
$'000
$'000
Net cash generated from operating activities 63,663 74,264
Less: purchase of sustaining property, plant and equipment (16,195) (14,352)
Less: purchase of intangible assets (1,695) (459)
Add: cash-settled share-based payments 4,287 3,900
Add: business development gain of break-fee and profit on NWR shares 4,055 -
Add: interest received 1,835 2,374
Adjusted free cash flow 55,950 65,727
The purchase of sustaining property, plant and equipment figure above does not
include the $2.8 million (2024: $6.4 million) of capitalised expenditure on
the Capital Projects at Sasa. These costs are considered expansionary
development costs required for the transition to paste-fill mining, rather
than sustaining capital expenditure. Following the completion of these
projects in 2025, no further adjustments to free cash flow from expansionary
capex are expected going forward.
During the year, the Group amended the FCF to include the one-off business
development gains arising from the receipt of a break-fee and profit on
disposal of NWR shares, following the termination of the proposed acquisition
of NWR. These have been included as they directly offset costs incurred in
relation to business development costs.
C1 cash costs
C1 cash costs of production is a standard metric used in the mining industry
to allow comparison across the sector. In line with the industry standard,
CAML calculates C1 cash costs by including all direct costs of production at
Kounrad and Sasa (reagents, power, production labour and materials, as well as
realisation charges such as freight and treatment charges), in addition to
local administrative expenses. Royalties, silver stream commitments, taxes and
duties, depreciation and amortisation charges are not included in the
calculation of the C1 cash cost.
This is considered to be a useful and relevant measure, as it is a standard
industry measure applied by most major base-metal mining companies. It allows
a straightforward comparison of the unit of production costs of different
mines and an assessment of the position of each mine on the industry cost
curve. It also provides a simple indication of the profitability of a mine
when compared against the unit price of the relevant metal.
Sasa's C1 unit cash cost is measured in zinc equivalents, based on the Wood
Mackenzie pro-rata approach, with costs allocated to Sasa's zinc production
based on the relative revenue contributions of zinc, lead and silver revenue.
2025 2025 Production 2025
$'000
%
t
$/lb
Kounrad C1 cash costs 23,924 100 13,311 0.82
Sasa C1 cash costs (zinc equivalent) 66,650 39 15,032 0.79
Group C1 cash costs (copper equivalent) 90,574 100 22,210 1.85
Reconciliation of Group C1 cash costs to Group costs (IFRS):
Group C1 cash costs 90,574
Plus:
Royalties (Note 7) 16,238
Taxes and duties (Notes 7, 9) 885
Depreciation and amortisation (Note 5) 30,350
Non-mining operations, unallocated EBITDA (Note 5) 19,888
Other items, including inventories variation (22)
Less:
Group technical, support and marketing costs(1) (489)
Silver stream commitment (Note 7) (1,028)
Offtake buyers' fee (Note 6)(2) (4,161)
Realisation charges(3) (8,050)
Group costs (IFRS) as shown below 144,185
Group cost of sales (excl. silver purchases) 109,738
Group distribution and selling costs 2,295
Group administrative expenses 32,152
Group costs (IFRS) 144,185
For 2024
2024 2024 Production 2024
$'000
%
t
$/lb
Kounrad C1 cash costs 23,740 100 13,439 0.80
Sasa C1 cash costs (zinc equivalent) 67,100 39 15,614 0.76
Group C1 cash costs (copper equivalent) 90,840 100 23,798 1.73
Reconciliation of Group C1 cash costs to Group costs (IFRS):
Group C1 cash costs 90,840
Plus:
Royalties (Note 7) 12,722
Taxes and duties (Notes 7, 9) 926
Depreciation and amortisation (Note 5) 27,088
Non-mining operations, unallocated EBITDA (Note 5) 18,258
Other items, including inventories variation 136
Less:
Group technical, support and marketing costs(1) (618)
Silver stream commitment (Note 7) (984)
Offtake buyers' fee (Note 6)(2) (3,929)
Realisation charges(3) (14,784)
Group costs (IFRS) as shown below 129,655
Group cost of sales (excl. silver purchases) 98,746
Group distribution and selling costs 2,142
Group administrative expenses 28,767
Group costs (IFRS) 129,655
1. Certain technical, support and marketing activities are conducted on a
centralised basis and recharged from the parent company to the operating
entities, and are therefore included in the C1 cash cost figures. They are
deducted to arrive at the Group cost (IFRS) reconciliation as transactions
between Group companies are eliminated on consolidation.
2. For accounting purposes, the revenue amount is reported after deduction of
offtake buyers' fees. Under the standard industry definition of cash costs,
offtake buyers' fees are regarded as an expense and form part of the C1 cash
costs figure.
3. For accounting purposes, the revenue amount is the net of the market value
of fully refined metal less the treatment and refining charges. Under the
standard industry definition of cash costs, treatment and refining charges are
regarded as an expense and form part of the C1 cash costs figure.
On behalf of the Board
Louise Wrathall
Chief Financial Officer, 18 March 2026
CONSOLIDATED INCOME STATEMENT
FOR THE YEAR ENDED 31 DECEMBER 2025
Group
Note 2025 2024
$'000
$'000
(restated)*
Continuing operations
Revenue 6 229,860 214,441
Cost of sales 7 (123,965) (108,267)
Distribution and selling costs 8 (2,295) (2,142)
Gross profit 103,600 104,032
Administrative expenses 9 (32,152) (28,767)
Impairment of non-current assets 19, 20 (117,765) -
Other income 10 2,421 863
Other losses 11 (1,479) (652)
Foreign exchange (loss)/gain (4,216) 5,638
Operating (loss)/profit (49,591) 81,114
Finance income 15 1,792 2,364
Finance costs 16 (2,612) (2,192)
Share of post-tax loss of investment in equity accounted associate 22 (140) (76)
Fair value movement of share-based payment liability 31 (7,955) (3,966)
(Loss)/profit before income tax (58,506) 77,244
Income tax 17 (16,178) (25,896)
(Loss)/profit for the year from continuing operations (74,684) 51,348
Discontinued operations
Loss for the year from discontinued operations, net of tax 24 (474) (183)
(Loss)/profit for the year (75,158) 51,165
(Loss)/profit attributable to:
Non-controlling interests 21 (104) (231)
Owners of the parent (75,054) 51,396
(Loss)/profit for the year (75,158) 51,165
(Loss)/earnings per share from continuing and discontinued $ cents $ cents
operations attributable to owners of the parent during the year
(expressed in cents per share)
Basic (loss)/earnings per share
From continuing operations 18 (42.29) 29.20
From discontinued operations (0.27) (0.10)
From (loss)/profit for the year (42.56) 29.10
Diluted (loss)/earnings per share
From continuing operations 18 (42.29) 27.24
From discontinued operations (0.27) (0.10)
From (loss)/profit for the year (42.56) 27.14
* See Note 43 for details regarding the prior year restatement.
Consolidated Statement of Comprehensive Income
for the year ended 31 December 2025
Group
Note 2025 2024
$'000
$'000
(restated)*
(Loss)/profit for the year (75,158) 51,165
Other comprehensive income/(expense):
Items that may be subsequently reclassified to profit or loss:
Currency translation differences 30 38,797 (27,261)
Items that will not be subsequently reclassified to profit or loss:
Remeasurements of defined benefit pension schemes 32 (25) -
Changes in the fair value of equity investments at FVOCI 23 2,455 -
Other comprehensive income/(expense) for the year, net of tax 41,227 (27,261)
Total comprehensive (expense)/income for the year (33,931) 23,904
Attributable to:
Non-controlling interests (104) (231)
Owners of the parent (33,827) 24,135
Total comprehensive (expense)/income for the year (33,931) 23,904
Total comprehensive (expense)/income attributable to owners of the parent (33,353) 24,318
arises from:
Continuing operations
Discontinued operations (474) (183)
Total comprehensive (expense)/income for the year (33,827) 24,135
* See Note 43 for details regarding the prior year restatement.
statements of financial position
as at 31 December 2025
Group Company
Note 2025 2024 1 Jan 2024 2025 2024
$'000
$'000
$'000
$'000
$'000
(restated)* (restated)*
Assets
Non-current assets
Property, plant and equipment 19 238,790 318,744 338,121 1,035 1,450
Intangible assets 20 22,896 21,371 25,425 - -
Investments 21 - - - 5,107 5,107
Investment in equity accounted associate 22 3,635 3,775 - 3,635 3,775
Financial assets at FVTPL 22 59 336 - 59 336
Other non-current receivables 25 6,546 6,616 13,801 - -
Loans due from subsidiary 26 - - - 153,737 263,210
Deferred tax asset 41 534 561 512 - -
272,460 351,403 377,859 163,573 273,878
Current assets
Inventories 27 20,597 16,112 17,940 - -
Trade and other receivables 25 10,338 7,730 5,474 1,260 1,435
Loans due from subsidiary 26 - - 22,641 22,094
Income tax recoverable 1,345 936 6,750 - -
Restricted cash 28 396 327 318 - -
Cash and cash equivalents 28 79,673 67,318 56,832 69,474 57,400
112,349 92,423 87,314 93,375 80,929
Assets classified as held for sale - 61 76 - -
112,349 92,484 87,390 93,375 80,929
Total assets 384,809 443,887 465,249 256,948 354,807
Equity attributable to owners of the parent
Ordinary Shares 29 1,796 1,821 1,821 1,796 1,821
Share premium 29 205,825 205,825 205,725 205,825 205,825
Capital redemption reserve 29 25 - - 25 -
Treasury shares 29 (13,885) (13,885) (15,413) (13,885) (13,885)
Currency translation reserve 30 (110,057) (148,428) (121,167) - -
Retained earnings 200,865 311,459 300,932 (8,983) 100,654
284,569 356,792 371,898 184,778 294,415
Non-controlling interests 21 (343) (1,485) (1,254) - -
Total equity 284,226 355,307 370,644 184,778 294,415
Liabilities
Non-current liabilities
Silver stream commitment 34 13,902 14,978 16,042 - -
Lease liability 715 1,056 1,325 579 875
Share-based payment liability 31 2,610 2,291 2,268 2,610 2,291
Employee benefit liabilities 32 575 728(†) 605(†) - -
Provisions for other liabilities and charges 36 37,190 25,272(†) 26,196(†) 113 99
Deferred tax liability 41 7,160 16,613 18,983 - -
62,152 60,938 65,419 3,302 3,265
Current liabilities
Borrowings and loans due to subsidiary 35 936 252 326 48,729 42,220
Silver stream commitment 34 1,130 1,082 1,002 - -
Trade and other payables 33 23,720 17,173 17,265 7,797 5,959
Lease liability 514 413 176 358 313
Share-based payment liability 31 11,984 8,635 10,206 11,984 8,635
Employee benefit liabilities 32 72 63(†) 55(†) - -
Income tax payable 75 - 62 - -
38,431 27,618 29,092 68,868 57,127
Liabilities relating to assets classified as held for sale - 24 94 - -
38,431 27,642 29,186 68,868 57,127
Total liabilities 100,583 88,580 94,605 72,170 60,392
Total equity and liabilities 384,809 443,887 465,249 256,948 354,807
* The statements of financial position as at 1 January 2024 and 31
December 2024 have been restated for a prior period adjustment, see Note 43
for more detail.
† Defined benefit schemes and jubilee awards have been reclassified from
provisions for other liabilities and charges to employee benefit liabilities
(see Note 32).
CONSOLIDATED Statement of Changes in Equity
for the year ended 31 December 2025
Note Ordinary Share Treasury Capital redemption reserve Equity investment reserve Currency translation reserve Retained Total Non- Total
Shares
premium
shares
$'000
$'000
$'000
earnings
controlling interests
equity
$'000
$'000
$'000
(restated)*
$'000
(restated)*
(restated)*
$'000
$'000 $'000
Balance as at 1 January 2024 (previously stated) 1,821 205,725 (15,413) - - (121,167) 297,871 368,837 (1,254) 367,583
Restatement of retained earnings 43 - - - - - - 3,061 3,061 - 3,061
Balance as at 1 January 2024 (restated)* 1,821 205,725 (15,413) - - (121,167) 300,932* 371,898* (1,254) 370,644*
Profit/(loss) for the year (restated)* - - - - - - 51,396* 51,396* (231) 51,165*
Other comprehensive expense - - - - - (27,261) - (27,261) - (27,261)
Total comprehensive income/(expense) (restated)* - - - - - (27,261) 51,396* 24,135* (231) 23,904*
Transactions with owners
Modification of cash-settled share-based payment - - - - - - 1,628 1,628 - 1,628
to equity-settled
Exercise of share options - 100 1,528 - - - (1,628) - - -
Dividends 39 - - - - - - (40,869) (40,869) - (40,869)
Total transactions with owners - 100 1,528 - - - (40,869) (39,241) - (39,241)
Balance as at 31 December 2024 (restated)* 1,821 205,825 (13,885) - - (148,428) 311,459* 356,792* (1,485) 355,307*
Loss for the year - - - - - - (75,054) (75,054) (104) (75,158)
Other comprehensive income/(expense) - - - - 2,455 38,797 (25) 41,227 - 41,227
Total comprehensive income/(expense) - - - - 2,455 38,797 (75,079) (33,827) (104) (33,931)
Transactions with owners
Disposal of subsidiary 24 - - - - - (426) (1,393) (1,819) 1,246 (573)
Transfer of gain on disposal of equity investments at FVOCI 23 - - - - (2,455) - 2,455 - - -
to retained earnings
Dividends 39 - - - - - - (31,386) (31,386) - (31,386)
Shares purchased for cancellation 29 (25) - - 25 - - (5,191) (5,191) - (5,191)
Total transactions with owners of the parent (25) - - 25 (2,455) (426) (35,515) (38,396) 1,246 (37,150)
Balance as at 31 December 2025 1,796 205,825 (13,885) 25 - (110,057) 200,865 284,569 (343) 284,226
* See Note 43 for details regarding the prior year restatement.
Company Statement of Changes in Equity
for the year ended 31 December 2025
Company Note Ordinary Share Treasury Capital redemption reserve Equity Retained Total
Shares
premium
shares
$'000
investment reserve
earnings
equity
$'000 $'000 $'000 $'000 $'000 $'000
Balance as at 1 January 2024 1,821 205,725 (15,413) - - 104,891 297,024
Profit for the year - - - - - 36,632 36,632
Total comprehensive income - - - - - 36,632 36,632
Transactions with owners
Modification of cash-settled share-based payment to equity-settled - - - - - 1,628 1,628
Exercise of share options - 100 1,528 - - (1,628) -
Dividends 39 - - - - - (40,869) (40,869)
Total transactions with owners - 100 1,528 - - (40,869) (39,241)
Balance as at 31 December 2024 1,821 205,825 (13,885) - - 100,654 294,415
Loss for the year - - - - - (75,515) (75,515)
Other comprehensive income - - - - 2,455 - 2,455
Total comprehensive income/(expense) - - - - 2,455 (75,515) (73,060)
Transactions with owners
Transfer of gain on disposal of equity investments at FVOCI to retained 23 - - - - (2,455) 2,455 -
earnings
Shares purchased for cancellation 29 (25) - - 25 - (5,191) (5,191)
Dividends 39 - - - - - (31,386) (31,386)
Total transactions with owners of the parent (25) - - 25 (2,455) (34,122) (36,577)
Balance as at 31 December 2025 1,796 205,825 (13,885) 25 - (8,983) 184,778
CONSOLIDATED STATEMENT OF CASH FLOWS
for the year ended 31 December 2025
Note 2025 2024
$'000
$'000
Cash flows from operating activities
Cash generated from operations 37 89,757 93,897
Interest paid (176) (66)
Corporate income tax paid (25,918) (19,567)
Net cash flow generated from operating activities 63,663 74,264
Cash flows from investing activities
Purchases of property, plant and equipment 19 (19,026) (20,786)
Proceeds from sale of property, plant and equipment 19 84 66
Purchase of intangible assets 20 (1,695) (459)
Purchase of investment in equity accounted associate 22 - (3,851)
Purchase of equity investment at FVOCI 23 (16,657) -
Proceeds from sale of equity investment at FVOCI 23 19,112 -
Receipt of break fee related to New World Resources (NWR) 23 1,600 -
Interest received 1,835 2,374
Increase in restricted cash (53) (57)
Net cash used in investing activities (14,800) (22,713)
Cash flows from financing activities
Drawdown of overdraft 35 20,463 3,563
Repayment of overdraft 35 (19,841) (3,621)
Payment of lease liabilities (536) (36)
Shares purchased for cancellation 29 (5,191) -
Dividend paid to owners of the parent 39 (31,386) (40,869)
Net cash used in financing activities (36,491) (40,963)
Effect of foreign exchange loss on cash and cash equivalents (77) (116)
Net increase in cash and cash equivalents 12,295 10,472
Cash and cash equivalents at the beginning of the year 28 67,378 56,906
Cash and cash equivalents at the end of the year 28 79,673 67,378
The consolidated statement of cash flows does not include the restricted cash
balance of $396,000 (2024: $327,000) (Note 28). The restricted cash amount is
held at bank to cover Kounrad subsoil user licence requirements. Under the
terms of the licence agreement, the release or use of these funds is
contingent upon obtaining written consent from the Kazakh government. The
prior year cash and cash equivalents at 31 December 2024 includes cash at bank
and on hand, included in assets held for sale, of $60,000 (Note 24).
Corporate income tax paid includes $5,977,000 (2024: $5,145,000) of Kazakhstan
withholding tax paid on intercompany dividend distributions.
The notes below are an integral part of the consolidated financial
information.
Notes to the financial information
for the year ended 31 December 2025
1. General information
Central Asia Metals plc ('CAML' or the 'Company') and its subsidiaries (the
'Group') are a mining organisation with operations in Kazakhstan and North
Macedonia and a parent holding company based in England in the United Kingdom
(UK).
The Group's principal business activities are the production of copper cathode
at its 100% owned Kounrad SX-EW copper project in central Kazakhstan and the
production of lead, zinc and silver at its 100% owned Sasa zinc-lead mine in
North Macedonia. The Company also owns an 80% interest in CAML Exploration
(CAML X), a subsidiary focused on early-stage exploration opportunities in
Kazakhstan, and a 28.4% interest (increased to 32.6% in January 2026) in
Aberdeen Minerals Ltd, a privately owned UK company focused on the
exploration and development of base metals opportunities in northeast
Scotland.
On 31 March 2025, the Company completed the sale of its 76% shareholding in
Copper Bay Limited (CBL) to Halo Minerals PLC (formerly Guardian Metals PLC)
(see Note 24). CBL, via its subsidiaries, held the mineral rights to a copper
tailings project in Chile. The project was fully impaired in prior years.
On 4 June 2025, the Company established CAML XD, a 100%-owned subsidiary
focused on advanced exploration projects and options for base metals in
Kazakhstan.
CAML is a public limited company, limited by shares, which is listed on the
AIM market of the London Stock Exchange and incorporated and domiciled in
England, UK. The address of its registered office is Masters House, 107
Hammersmith Road, London, W14 0QH. The Company's registered number
is 5559627.
2. Material accounting policy information
The material accounting policies applied in the preparation of the
consolidated financial information are set out below.
Certain amounts reported from the prior year have been restated. Details of
the restatement can be found in Note 43.
Basis of preparation of the financial information
The financial information set out herein does not constitute the Group's
statutory financial statements for the year ended 31 December 2025, but is
derived from the Group's audited financial statements. The auditors have
reported on the 2025 financial statements and their reports were unqualified
and did not contain statements under s498(2) or (3) Companies Act 2006, nor
did they contain a material uncertainty in relation to going concern. The 2025
Annual Report was approved by the Board of Directors on 18 March 2026, and
will be mailed to shareholders in April 2026. The financial information in
this statement is audited but does not have the status of statutory accounts
within the meaning of Section 434 of the Companies Act 2006.
The Group's consolidated financial statements have been prepared in accordance
with international accounting standards as adopted in the United Kingdom and
the Companies Act 2006. The consolidated financial statements have been
prepared under the historical cost convention with the exception of financial
instruments held at fair value through profit or loss (FVTPL) and held for
sale assets that have been held at fair value. The accounting policies that
follow set out those policies that apply in preparing the financial statements
for the year ended 31 December 2025. The Group financial information are
presented in US dollars ($) and rounded to the nearest thousand.
The parent company meets the definition of a qualifying entity under FRS 100
(Financial Reporting Standard 100) issued by the Financial Reporting Council.
The parent company financial statements have therefore been prepared in
accordance with FRS 101 (Financial Reporting Standard 101) 'Reduced Disclosure
Framework' as issued by the Financial Reporting Council. As permitted by FRS
101, the Company has taken advantage of the disclosure exemptions available
under that standard in relation to share-based payments, financial
instruments, fair value measurements, capital management, presentation of a
cash flow statement, new standards not yet effective, impairment of assets and
related party transactions. Where relevant, equivalent disclosures have been
given in the Group financial statements of CAML.
The preparation of the Group financial information in conformity with IFRS
requires the use of certain critical accounting estimates. It also requires
management to exercise its judgement in the process of applying the Group's
accounting policies. The areas involving a higher degree of judgement or
complexity, or areas where assumptions and estimates are significant to the
consolidated financial information, are explained in Note 3.
Going concern
The Group sells and distributes its Kounrad copper cathode product primarily
through an annual rolling offtake arrangement with Traxys Europe S.A. (Traxys)
with a minimum of 90% of the SX-EW plant's annual forecasted output committed
as sales. The Group sells Sasa's zinc and lead concentrate product through an
annual rolling offtake arrangement with Traxys. The commitment is for 100% of
the Sasa concentrate annual production. These arrangements support the Group's
forecast sales and expected operating cash inflows and are an important factor
considered by the Directors in their going concern assessment.
The Group meets its day-to-day working capital requirements through its
profitable and cash-generative operations at Kounrad and Sasa. The Group
manages liquidity risk by maintaining adequate committed borrowing facilities,
and the Group has substantial cash balances as at 31 December 2025.
The Board has reviewed forecasts for the period to December 2027 to assess the
Group's liquidity, which demonstrates substantial headroom. The Board has
considered additional sensitivity scenarios in terms of the Group's commodity
price forecasts, expected production volumes, operating cost profile and
capital expenditure. The Board has assessed the key risks that could impact
the prospects of the Group over the going concern period including commodity
price outlook and cost inflation with stress testing of the forecasts in line
with best practice. Liquidity headroom was demonstrated in each reasonably
possible scenario. Accordingly, the Directors continue to adopt the going
concern basis in preparing the consolidated financial information.
Please refer to Notes 6, 28 and 33 for information on the Group's revenues,
cash balances and trade and other payables.
Climate change considerations
The Group's TCFD-aligned approach to climate change and CAML's Board-approved
climate change strategy, that integrates the management of physical and
transition risks as well as opportunities into the Company's strategic and
operational planning processes are outlined in the CAML 2025 Sustainability
Report and our climate change factsheet. These reports also provide an
overview of potential impacts of the physical climate risk assessments
conducted at each of the assets.
In accordance with the Companies (Strategic Report) (Climate-related Financial
Disclosure) Regulations 2022 we provide transparent climate-related financial
disclosures in our annual financial statements. These disclosures comply with
the UK's climate-related reporting regulations, covering governance, strategy,
risk management, and metrics. The potential effect of global decarbonisation
scenarios and other transition risks, including the local operations' country
climate policies, the energy costs, and key mining inputs influenced by carbon
pricing, is an area that continues to be monitored and assessed.
The Group generates scope 1 GHG emissions directly through the combustion of
fuels and energy at its operations, and scope 2 emissions indirectly through
the consumption of electricity purchased from national grids that include
fossil-based energy in their electricity production. CAML also discloses its
Scope 3 emissions
The Company continues to implement its climate change strategy, with a primary
focus on developing and executing energy decarbonisation projects in support
of its objective of reducing 50% (Scope 1 and 2) GHG emissions by 2030 from a
2020 base year. As of 31 December 2025, the Company has achieved a 45% (2024:
44%) reduction. Additionally, we are committed to achieving net zero by 2050,
and we will apply this commitment through our business development activities
by ensuring that climate and carbon emissions are embedded in our
decision-making processes.
CAML first undertook structured climate scenario planning in 2022. In 2025,
the Group commissioned an updated scenario analysis to enhance transparency,
improve methodological rigour and strengthen alignment with TCFD and ISSB
requirements. The updated assessment evaluates three hybrid scenarios,
combining recognised transition pathways with IPCC physical climate
projections.
The potential impact of these scenarios on asset valuation for financial
reporting purposes has been assessed. Management has incorporated climate
change considerations into the preparation of the consolidated financial
information. These considerations, essential to the Group's strategy and
operations, were factored in across various areas, including:
‣ Impairment analysis and future cash flow projections in life-of-mine
models.
‣ Asset retirement obligations, including conceptual closure plans that
account for physical risks, such as potential impact from increased forest
fires and water stress, that has been factored into the water management
strategies as well as the tailings storage facilities, long-term monitoring
and climate change contingency provisions; and
‣ The inclusion of climate change targets and performance measures within
the Group's LTIP.
The impact of climate-related strategic decisions is integrated into
management's assessments and estimates, particularly regarding future cash
flow projections supporting the recoverable amounts of mining assets, once the
strategic decisions have been approved by the Board. While climate change
considerations did not significantly impact key accounting judgements and
estimates in the current year, the focus on climate-related strategic
decisions may have a substantial impact in future periods.
New and amended standards and interpretations adopted by the Group
The Group has adopted the following standards and amendments for the first
time for the annual reporting period commencing 1 January 2025. The following
have no impact on the current reporting period as they are either not relevant
to the Group's activities or require accounting that is consistent with the
Group's current accounting policies:
‣ Lack of Exchangeability (Amendments to IAS 21 The Effects of Changes in
Foreign Exchange Rates).
‣ Annual Improvements to IFRS Accounting Standards - Volume 11: Amendments
to IFRS 1 First-time Adoption of International Financial Reporting Standards,
IFRS 7 Financial Instruments: Disclosures and its accompanying Guidance on
implementing IFRS 7, IFRS 9 Financial Instruments, IFRS 10 Consolidated
Financial Statements and IAS 7 Statement of Cash Flows.
New standards, interpretations and amendments not yet effective
There are a number of standards, amendments to standards, and interpretations
which have been issued by the IASB that are effective in future accounting
periods that the Group has decided not to adopt early.
The following amendments are effective for the annual reporting period
beginning 1 January 2026:
‣ Classification and Measurement of Financial Instruments (Amendments to
IFRS 9 and IFRS 7).
‣ Contracts Referencing Nature-dependent Electricity (Amendments to IFRS 9
and IFRS 7).
‣ Annual Improvements to IFRS Accounting Standards - Volume 11: Amendments
to IFRS 1 First-time Adoption of International Financial Reporting Standards,
IFRS 7 Financial Instruments: Disclosures and its accompanying Guidance on
implementing IFRS 7, IFRS 9 Financial Instruments, IFRS 10 Consolidated
Financial Statements, and IAS 7 Statement of Cash Flows.
These standards are not expected to have a material impact on the Group in the
current or future reporting periods and on foreseeable future transactions.
The following standards and amendments are effective for the annual reporting
period beginning 1 January 2027:
‣ IFRS 18 Presentation and Disclosure in Financial Statements.
‣ IFRS 19 Subsidiaries without Public Accountability: Disclosures.
The Group is currently assessing the effect of these new accounting standards
and amendments.
IFRS 18 Presentation and Disclosure in Financial Statements, which was issued
by the IASB in April 2024, supersedes IAS 1 and will result in major
consequential amendments to IFRS Accounting Standards including IAS 8 Basis of
Preparation of Financial Statements (renamed from Accounting Policies, Changes
in Accounting Estimates and Errors). Even though IFRS 18 will not have any
effect on the recognition and measurement of items in the consolidated
financial statements, it is expected to change the presentation and
disclosure of certain items. These changes include categorisation and
sub-totals in the statement of profit or loss, aggregation/disaggregation and
labelling of information, and disclosure of management-defined performance
measures.
The Group does not expect to be eligible to apply IFRS 19.
Basis of consolidation
The Group financial information consolidate the financial statements of CAML
and the subsidiaries it controls drawn up to 31 December 2025. Control exists
where the Group has power over the investee, exposure or rights to variable
returns, and the ability to use its power to affect those returns.
Subsidiaries are consolidated from the date control is obtained until the date
control ceases. Intra-group balances, transactions, income and expenses are
eliminated on consolidation. Non-controlling interests are presented
separately within equity.
Goodwill
Goodwill is not amortised and is tested annually for impairment and whenever
indicators of impairment arise. For the purpose of impairment testing,
goodwill is allocated to the cash-generating unit (CGU) expected to benefit
from the business combination in which the goodwill arose. See Notes 19 and 20
for management's determination of CGUs.
The carrying value of the goodwill generated by accounting for the business
combination of the Group acquiring an additional 40% in the Kounrad project in
May 2014 (the Kounrad Transaction) requires an annual impairment review. The
key assumptions used in the Group's impairment assessments and sensitivity
analysis are disclosed in Note 19 and Note 20.
Investment in equity accounted associate
The Group and the Company have accounted for the Aberdeen Minerals Ltd
('Aberdeen') shareholding of 28.4% (increased to 32.6% in January 2026) as an
associate using the equity method, as CAML is deemed to have significant
influence (see Note 22).
Financial assets at FVTPL
As part of the investment in Aberdeen, CAML was issued warrants to subscribe
for an additional 18,181,818 ordinary shares in Aberdeen at an exercise price
of 11 pence per share. These warrants are classified as financial assets
measured at FVTPL in accordance with IFRS 9. The fair value of these
instruments has been determined using the Black-Scholes valuation model,
incorporating the probability of various outcome scenarios and is categorised
as a level 3 measurement (IFRS 13).
Subsequent to initial recognition, the warrant is remeasured at fair value at
each reporting date.
Equity investments at fair value through other comprehensive income (FVOCI)
During the year, CAML invested $16,657,000 (AUD $25,500,000) in New World
Resources (NWR), acquiring a 12.1% shareholding. The shares were classified as
equity investments measured at FVOCI because, at date of purchase, they were
held for strategic investments rather than for trading. Therefore, in
accordance with IFRS 9, the Group made an irrevocable election at initial
recognition to present changes in fair value in OCI; a classification that is
most relevant to the Group's strategic objectives.
Equity investments at FVOCI are recognised on the date of acquisition of the
financial instrument at cost plus directly attributable transaction costs.
After initial recognition, they are remeasured at fair value at each reporting
date, with all realised and unrealised gains or losses movements recognised in
other comprehensive income. The fair value of these quoted securities is based
on published market prices (Level 1 valuation technique). On derecognition of
an equity investment, any cumulative gain or loss in OCI is transferred to
retained earnings rather than recycled through profit or loss. In July 2025,
the Company sold its shares in NWR, realising a gain of $2,455,000, which has
been transferred to retained earnings.
Segment reporting
Operating segments are reported in a manner consistent with the internal
reporting provided to the chief operating decision maker, which is considered
to be the Board. The Group's segment reporting reflects the operational focus
of the Group. The Group has been organised into geographical and business
units based on its principal business activities of mining production, having
three reportable segments as follows:
‣ Kounrad (production of copper cathode) in Kazakhstan
‣ Sasa (production of lead, zinc and silver) in North Macedonia
‣ Exploration (CAML X and CAML XD exploration activities) in Kazakhstan
Included within all other segments are corporate costs for Central Asia Metals
plc and other companies within the Group that are not separately reported to
the Board.
Foreign currency translation
The functional currency for each entity in the Group is determined as the
currency of the primary economic environment in which it operates. The
consolidated financial information is presented in US dollars, which is the
Group and Company presentation currency. The functional currency of the
Company is US dollars.
Property, plant and equipment
Property, plant and equipment are stated at cost less accumulated depreciation
and accumulated impairment losses. Cost comprises the aggregate amount paid
and the fair value of any other consideration given to acquire the asset and
includes costs directly attributable to making the asset capable of operating
as intended.
The cost of the item also includes the cost of decommissioning any buildings
or plant and equipment and making good the site, where a present obligation
exists to undertake the rehabilitation work.
Development costs relating to specific mining properties are capitalised once
management determines a property will be developed. A development decision is
made based upon consideration of project economics, including future metal
prices, reserves and resources, and estimated operating and capital costs.
Capitalisation of costs incurred during the development phase ceases when the
property is capable of operating at levels intended by management and is
considered commercially viable.
Costs incurred during the production phase to increase future output by
providing access to additional reserves are deferred and depreciated on a
units-of-production basis over the component of the reserves to which they
relate. Ore Reserves may be declared for an undeveloped mining project before
its commercial viability has been fully determined.
Development costs incurred after the commencement of production are
capitalised to the extent they are expected to give rise to a future economic
benefit. Development costs are not depreciated until such time as the areas
under development enter production.
Depreciation is provided on all property, plant and equipment on a
straight-line basis over its total expected useful life. As at 31 December
2025, the remaining useful lives were as follows:
‣ Construction in progress - not depreciated
‣ Land - not depreciated
‣ Plant and equipment - over 5 to 9 years
‣ Mining assets - over 2 to 9 years
‣ Motor vehicles - over 2 to 9 years
‣ Office equipment - over 2 to 9 years
‣ Right-of-use assets - term of lease agreement
Mineral rights are depreciated on a Unit of Production basis (UoP), in
proportion to the volume of ore mined in the year compared with probable
reserves as well as indicated and certain inferred resources that are
considered to have a sufficiently high certainty of commercial extraction at
the beginning of the year. Assets within operations for which production is
not expected to fluctuate significantly from one year to another or which have
a physical life shorter than the related mine are depreciated on a
straight-line basis.
Construction in progress is not depreciated until transferred to other classes
of property, plant and equipment.
Intangible assets
a) Exploration and evaluation expenditure
Capitalised costs include expenditures directly related to any Group
exploration and evaluation activities in areas of interest where the Group has
obtained the legal rights to explore. These costs are capitalised pending the
determination of the technical feasibility and commercial viability of the
project. Capitalised costs are classified as either tangible or intangible
exploration and evaluation assets, depending on the nature of the assets
acquired.
Exploration and evaluation expenditure capitalised includes acquisition of
rights to explore, topographical, geological, geochemical and geophysical
studies, exploration drilling, trenching, sampling and activities in relation
to the evaluation of the technical feasibility and commercial viability of
extracting a Mineral Resource. Administration costs not directly attributable
to a specific exploration area are charged to the income statement.
Exploration and evaluation assets are measured at cost less amortisation and
provision for impairment, where required. Amortisation is generally not
charged during the exploration and evaluation phase, except for licence costs
paid in connection with the right to explore, which are capitalised and
amortised over the term of the permit. Pre-licence costs are recognised in the
income statement as incurred.
b) Mining licences, permits and computer software
The historical cost model is applied, with intangible assets being carried at
cost less accumulated amortisation and accumulated impairment losses.
Intangible assets with a finite life have no residual value and are amortised
on a straight-line basis over their expected useful lives with charges
included in either cost of sales or administrative expenses:
Computer software - over 2 to 5 years
Mining licences and permits - over the duration of the legal agreement
Impairment of non-financial assets
The Group carries out impairment testing on all assets when there exists an
indication of an impairment. If any such indication exists, the Group makes an
estimate of the asset's recoverable amount. An asset's recoverable amount is
the higher of an asset's or CGU's fair value less costs to sell or its value
in use.
In assessing value in use, the estimated future cash flows are discounted to
their present value using a pre-tax discount rate that reflects current market
assessments of the time value of money and risks specific to the asset.
Revenue
Revenue is measured at the fair value of consideration received or receivable
from sales of metal to an end user, net of any buyers' discount, treatment
charges and value added tax. Revenue is net of treatment charges, as the cost
of smelting and refining is borne by the customer and the transaction price is
agreed to be net of these charges. The Group recognises revenue when the
control of the promised goods or services has been transferred to the
customer.
The value of consideration is fair value, which equates to the contractually
agreed price. The offtake agreements provide for provisional pricing, ie the
selling price is subject to final adjustment at the end of the quotation
period based on the average price for the month following delivery to the
buyer. Such a provisional sale contains an embedded derivative, which is not
required to be separated from the underlying host contract, being the sale of
the commodity. At each reporting date, if any sales are provisionally priced,
the provisionally priced copper cathode, zinc and lead concentrate sales are
marked to market using forward prices. Any significant adjustments (both gains
and losses) are recorded in revenue in the income statement and as accrued
income within trade and other receivables in the statement of financial
position. In addition to the provisional pricing adjustments, accrued income
also includes revenue that has been earned but not yet invoiced or received as
of the reporting date, based on the terms of the relevant agreements.
The revenue arising from silver relates to a silver stream arrangement with OR
Royalties Inc. (formerly Osisko Gold Royalties Ltd) where the Group has
agreed to sell all of its refined silver at approximately $6 per ounce for the
life of the mine, significantly below market value and arising from the silver
stream commitment inherited on the acquisition of the Sasa mine (Notes 6 and
34). The silver is produced by the Sasa mine as a by-product of the lead
concentrate and, because Sasa does not operate a refining process, the silver
is sold to smelters for further refining as part of the lead concentrate under
a separate lead concentrate sales agreement which is reported within revenue.
Consequently, all of the refined silver required to be delivered under the
silver stream arrangement must therefore be sourced through purchases of
silver on the open market which is reported within cost of sales.
Silver stream commitment
The silver stream arrangement has been accounted for as a commitment as the
Group has obligations to deliver silver to a third party at a price below
market value. On acquisition, following completion of the business
combination, the silver stream commitment was identified as an unfavourable
contract and recorded at fair value. Payments received under the arrangement
prior to the acquisition by the Group were not considered to be a transaction
with a customer. Management has determined that the agreement is not a
derivative as set out in IFRS 9 as it will be satisfied through the delivery
of non-financial items (ie. external purchases of silver), rather than cash or
financial assets. In addition, the contract meets the exceptions for contracts
entered into that continue to be held in accordance with the entity's expected
sale requirements (see Note 3). Subsequent to initial recognition, the silver
stream commitment is not revalued and is amortised on a UoP basis to cost of
sales.
Inventory
Inventories are initially recognised at cost, and subsequently at the lower of
cost and net realisable value. The cost of finished goods and work in progress
comprises raw materials, direct labour and all other direct costs associated
with mining the ore and processing it to a saleable product.
Restricted cash
Restricted cash is cash with banks that is not available for immediate use by
the Group. Restricted cash is shown separately from cash and cash equivalents
on the statement of financial position. The restricted cash amount is held at
a bank to cover Kounrad subsoil user licence requirements.
Share capital
Ordinary Shares are classified as equity. Incremental costs directly
attributable to the issuance of new shares are shown in equity as a deduction,
net of tax, from the proceeds.
Capital redemption reserve
On 10 September 2025, the Company announced the initiation of a share buyback
programme to purchase Ordinary Shares of $0.01 each in the Company for up to
a maximum aggregate consideration of $10,000,000. The share buyback programme
is in line with the general authority to re-purchase, in the market, up to
18,190,494 Ordinary Shares.
The capital redemption reserve (CRR) is a statutory reserve created to comply
with section 733 of the UK Companies Act 2006 when shares of a company are
redeemed or purchased wholly out of the company's profits. Amounts transferred
from share capital to CRR must be equal to the nominal value of the shares
bought back.
Treasury shares
Where any Group company purchases the Company's equity share capital (treasury
shares), the consideration paid, including any directly attributable
incremental costs (net of income taxes), is deducted from equity attributable
to the Company's equity holders until the shares are cancelled or reissued.
Where such Ordinary Shares are subsequently reissued, any consideration
received, net of any directly attributable incremental transaction costs and
the related income tax effects, is included in equity attributable to the
Company's equity holders.
The Company set up an Employee Benefit Trust (EBT) during 2009 for the purpose
of satisfying awards granted under the Company's Employee Share Plans. The EBT
is accounted for under IFRS 10 and consolidated on the basis that the parent
has control, thus the assets and liabilities of the EBT are included on the
parent company statement of financial position. Ordinary Shares allotted to
the EBT are treated as treasury shares as a deduction from equity in the
consolidated statement of financial position.
Share-based payments
The Group operates a share option scheme accounted for as cash-settled. The
share-based payment liability is measured at fair value at each reporting date
using the Monte-Carlo and Black-Scholes models which incorporate the terms of
the share options and the services rendered by employees. Any changes in the
liability, other than cash payments, are recognised in the consolidated income
statement. The fair value of the options includes the dividends employees
are entitled to during the vesting period, which are factored into the option
pricing model.
Since the settlement of share options remains at the Company's discretion,
future modifications may occur if the Company opts to settle the liability in
equity rather than cash. In such cases, the liability will be reclassified to
equity, with a corresponding adjustment made at the modification date.
Employee benefits liabilities
Pursuant to the labour law prevailing in the North Macedonian subsidiaries,
the Group pays retirement benefits to employees for an amount equal to two
average monthly salaries, at their retirement date. The Group is also obliged
to pay jubilee anniversary awards for each ten years of continuous service of
the employee.
Retirement defined benefit obligations arising on severance pay are stated at
the present value of expected future cash payments towards the qualifying
employees. These benefits have been calculated by an independent actuary in
accordance with the prevailing rules of actuarial mathematics and recognised
as a liability with no pension plan assets (Note 32). Actuarial gains and
losses arising from experience adjustments and changes in actuarial
assumptions are charged or credited in other comprehensive income and are not
recycled to profit or loss, with service cost recognised over the employees'
expected average remaining working lives.
Derivative financial instruments
In December 2025, the Company put into place commodity price and foreign
exchange hedging arrangements to reduce its exposure to risks from commodity
price and foreign exchange movements. The derivative financial instruments are
classified as FVTPL.
Derivative financial liabilities are initially recognised and measured at fair
value on the date a derivative contract is entered into and then subsequently
re-measured at fair value by reference to valuation models and the
probability of outcome scenarios and categorised as Level 2 measurements.
Provisions: asset retirement obligation
Provisions for environmental restoration of mining operations are recognised
when the Group has a present legal or constructive obligation as a result of
past events, it is probable that an outflow of resources will be required to
settle the obligation, and the amount can be reliably estimated. Provisions
are not recognised for future operating losses.
Provisions are measured at the present value of the expenditures expected to
be required to settle the obligation using a pre-tax rate that reflects
current market assessments of the time value of money and the cash flows
incorporate assessments of risk. The increase in the provision due to passage
of time is recognised as an interest expense.
3. Critical accounting estimates and judgements
The preparation of the consolidated financial information requires management
to make judgements, estimates and assumptions that affect the application of
accounting policies and the reported amounts of assets and liabilities, income
and expenses. Actual results may differ from these judgements and estimates.
The Group makes certain estimates and assumptions regarding the future.
Estimates and judgements are continually evaluated based on historical
experience and other factors, including expectations of future events that are
believed to be reasonable under the circumstances. In the future, actual
experience may differ from these estimates and assumptions.
Significant accounting estimates and judgements
The following are significant accounting estimates and judgements that have a
significant risk of a material change to the carrying value of assets and
liabilities within the next financial year:
Impairment of non-current assets
The carrying value of the goodwill generated by accounting for the business
combination of the Group acquiring an additional 40% in the Kounrad project in
May 2014 (the Kounrad Transaction) requires an annual impairment review. The
carrying values of property, plant and equipment are reviewed for impairment
or impairment reversal if updated events or changes in circumstances indicate
the carrying value has significantly changed. This review determines whether
the value of the goodwill and property, plant and equipment can be justified
by reference to the carrying value of the business assets and the future
discounted cash flows of the respective CGUs. The key assumptions used in the
Group's impairment assessments and sensitivity analysis are disclosed
in Notes 19 and 20.
Any change to operational plans or assumptions or economic parameters could
result in further impairment or impairment reversal if an indicator is
identified.
Estimates are required periodically to assess assets for impairment. The
critical accounting estimates are future commodity prices, treatment charges,
future ore production, discount rates and projected future costs of
development and production. Ore Reserves and resources included in the
forecasts include certain resources considered to be sufficiently certain and
economically viable. The Group's Mineral Resources Estimates include
additional resources that are not included in the life of mine plan.
Decommissioning and site rehabilitation estimates
Provision is made for the costs of decommissioning and site rehabilitation
costs (asset retirement obligation) when the related environmental disturbance
takes place. The Group periodically appoints external expert consultants who
conducted an independent assessment, and their judgement is used in
determining the expected timing, closure and decommissioning methods, which
can vary in response to changes in the relevant legal requirements or
decommissioning technologies. Judgement is applied in determining appropriate
contingency rates to cost estimates. Asset retirement obligations have
been updated using latest assumptions on inflation rates and discount rates
and revisions to the timing of close activities at Sasa driven primarily by an
updated life-of-mine to 2034.
The discounted provision recognised represents management's best estimate of
the costs that will be incurred, and many of these costs will not
crystallise until the end of the life of the mine/operation. Estimates are
reviewed annually and are based on current contractual and regulatory
requirements and the estimated useful life of mine/operation. Engineering and
feasibility studies are undertaken periodically and, in the interim,
management make assessments for appropriate changes based on the environmental
management strategy; however, significant changes in the estimates of
contamination, restoration standards, timing of expenditure and techniques
will result in changes to provisions from period to period.
The Group has performed a sensitivity analysis of reasonable possible changes
in the significant assumptions taking into account historical experience;
however, the estimates may vary by greater amounts. A 2% increase in the
discount rate would result in an impact of $6,883,000 (2024: $5,070,000) on
the provision for asset retirement obligation. A 2% increase in the inflation
rate would result in an impact of $6,983,000 (2024: $6,160,000) on the
provision for asset retirement obligation. A 20% increase in cost would result
in an impact of $7,241,000 (2024: $3,751,000) on the provision for asset
retirement obligation.
Mineral reserves and resources
The major value associated with the Group is the value of its mineral reserves
and resources. The value of the reserves and resources has an impact on the
Group's accounting estimates in relation to depreciation and amortisation,
impairment of assets and the assessment of going concern. These resources are
the Group's best estimate of product that can be economically and legally
extracted from the relevant mining property.
The Group's estimates are supported by geological studies and drilling samples
to determine the quantity and grade of each deposit. The Group estimates its
mineral reserves and resources based on information compiled by Competent
Persons as defined in accordance with the Joint Ore Reserves Committee (JORC)
Code. The Kounrad resources were classified as JORC Compliant in 2013 and
Mineral Resources were estimated in June 2017, and the Sasa JORC compliant Ore
Reserves and Mineral Resources were estimated on 31 December 2025.
The estimation of mineral reserves and resources requires judgement to
interpret available geological data to select an appropriate mining method.
Estimation requires assumptions about future commodity prices, exchange rates,
production costs, closure costs and discount rates. Mineral Resource and Ore
Reserves Estimates may vary from period to period.
Silver stream commitment
The Group acquired a Silver Purchase Agreement as part of the acquisition of
the CMK Group and inherited a silver stream commitment (Note 34) related to
the production of silver during the life of the mine. The Group has agreed to
sell to OR Royalties Inc. (formerly Osisko Gold Royalties Ltd) all its
refined silver at approximately $6 per ounce for the life of the mine,
significantly below market value.
The silver is produced by the Sasa mine as a by-product of the lead
concentrate and, because Sasa does not operate a refining process, the silver
is sold to smelters for further refining as part of the lead concentrate under
a separate lead concentrate sales agreement. Consequently, all of the refined
silver required to be delivered under the silver stream arrangement must
therefore be sourced through purchases of silver on the open market.
Management has concluded that the Silver Purchase Agreement and the related
open market silver purchases to fulfil the silver stream commitment were
entered into and continue to be held for the purpose of the delivery of a
non-financial item in accordance with the entity's expected sale requirements
in accordance with IFRS 9, commonly referred to as the 'own use exemption'.
The silver has effectively been presold to OR Royalties Inc. and consequently
the contract is directly and solely linked to the mine's production which
aligns with the own use exemption. Whilst the Group currently fulfils the
contractual obligations through open market purchases of silver, this approach
is purely logistical in nature as described above and does not alter the
contractual terms of the contract. CAML's silver purchases are made
back-to-back with the silver (refined from the lead concentrate) that is sold
to the offtaker and therefore no material profit or loss is made and the Group
is not exposed to fluctuations in the silver price and not exposed to risk.
Therefore, the arrangement does not meet the definition of a derivative and is
outside the scope of IFRS 9.
Climate change
As part of the Group's climate change strategy, the Company has committed to
reduce our Scope 1 and 2 emissions GHG emission reduction targets for Kounrad
and Sasa, aimed at reducing the carbon footprint and contributing to global
climate change mitigation efforts. Beyond these near-term targets, the Group
is committed to achieving emissions by 2050. This commitment is integrated
into the Group's long-term business development decisions and supported by the
ongoing development of scenario analysis using three scenarios; see Note 2.
The preparation of the Group's financial information requires making
judgements and estimates that may be influenced by climate change. The Group
has identified three key areas where such impacts may arise:
Physical risks: The potential for extreme weather events and long-term shifts
in climate patterns, which could affect the Group's operations and
sustainability of the Group's assets.
Transition risks: The shift in demand between commodities and the influence of
the Group's climate-related objectives, which may affect financial performance
through changes in cost structures and operational decisions.
Climate targets: The financial implications of meeting climate-related goals
and how these may influence estimates related to asset valuations and cost
projections.
The Group calculates its provision for mine closure and rehabilitation by
considering the current restoration requirements, practices, technologies and
anticipated climate conditions. These closure cost estimates are based on
studies conducted by external experts. Closure plans and associated costs are
reviewed and updated on a regular basis, with an increasing focus on
integrating projections of future climate conditions. Management actively
monitors the potential risks and uncertainties associated with climate change
and continually refines its approach to assessing its financial implications.
As a result, the carrying values of assets and liabilities may be subject to
change as management's assessments and forecasts evolve in response to
emerging climate-related factors and the Group's long-term sustainability
objectives.
Currently, the estimation of recoverable amounts for non-current assets
represents the most significant judgement impacted by climate change. Further
details on this estimate, along with additional considerations for other areas
that may be affected in the medium to long term, are provided below:
Physical risk
The cash flow forecasts used to determine the recoverable amount of the
Group's assets incorporate the Group's best estimate of the impact of material
physical risks. The most significant physical risks relate to the management
of water resources, with responsible extraction practices and efficient use of
water resources and the potential challenges that could affect production
levels.
Additionally, changing precipitation patterns, increased risk of wildfires and
water stress may influence the cost of rehabilitating our sites, and are
factored into the water management strategies as well as the tailings storage
facilities. These factors have been considered in the Group's cash flow
forecasts, reflecting the current best estimate of their potential impact.
Based on the Group's risk assessments to date and the risk mitigation
strategies in place, physical risks are not expected to materially affect the
useful economic lives of the Group's assets.
Transition risk
Transition risks may affect the useful economic lives of the Group's mining
properties, as changing commodity prices could extend or shorten the period
during which resources can be economically extracted, thereby influencing
depreciation charges. Additionally, a decline in commodity prices could lead
to an impairment if the net realisable value of inventory falls below the cost
of production. Transition risks could also impact the useful economic lives of
the Group's operations, affecting the present value of rehabilitation and
decommissioning provisions by altering the period over which future costs are
discounted. Additional transitional risks include the global effort to
transition to a low-carbon and sustainable society and economy, arising
through policy and regulation, market shifts, technology and reputational
impacts. However, after reviewing the sensitivity of these provisions to
changing asset lives, the Group has concluded that this does not present a
material estimation uncertainty. Technological advancements and innovations
offer a pathway to reduce energy needs alongside CAML's exposure to
emissions-related policy and regulation, potentially leading to reputational
benefits.
Climate targets
The Group's climate-related target of achieving a 50% reduction in Scope 1 and
Scope 2 emissions by 2030 has been integrated into the impairment assessment
process, alongside considerations for the potential cost of future carbon
taxes. This approach ensures that the financial impact of the Group's climate
initiatives is reflected in asset valuations, aligning the Group's long-term
climate objectives with the financial reporting of asset recoverability. By
factoring in these climate-related considerations, the Group provides a
comprehensive view of the potential risks and costs associated with meeting
sustainability goals.
Tax
Management makes judgements in relation to the recognition of various taxes
payable and receivable by the Group and VAT recoverability for which the
recoverability and timing of recovery is assessed. The Group operates in
jurisdictions which necessarily require judgements to be applied when
assessing the applicable tax treatment for transactions, and the Group obtains
professional advice where appropriate to ensure compliance with applicable
legislation. To the extent that a final tax outcome is different from the
amounts recorded, such differences will impact income tax in the period in
which such determination is made.
Contingent consideration - Copper Bay disposal
As part of the disposal of Copper Bay, the Group is entitled to contingent
consideration linked to future project milestones as outlined in Note 24. The
consideration is dependent on the achievement and timing of specified copper
production thresholds from assets that are not currently in production and are
outside the Group's control. Determining the fair value therefore requires
judgement in assessing the probability and timing of meeting those milestones
and the appropriate discount rate to apply. Given the significant uncertainty
surrounding the achievement of the specified conditions, management has
assessed the fair value of the contingent consideration as nil as at 31
December 2025.
4. Financial instruments - risk management
The Group's activities expose it to a variety of financial risks: market price
risk (including foreign currency exchange risk, commodity price risk and
interest rate risk), liquidity risk, capital risk and credit risk. These risks
are mitigated wherever possible by the Group's financial management policies
and practices described below. The Group's risk management is carried out by a
central treasury department (Group Treasury) under policies approved by the
Board. Group Treasury identifies, evaluates and hedges financial risks in
close co-operation with the Group's operating units.
Foreign currency exchange risk
The Group operates internationally and is exposed to foreign exchange risk
arising from various currency exposures. The primary Group currency
requirements are US dollar, British pound, Kazakhstan tenge and North
Macedonian denar, which is pegged to the euro. In December 2025, the Company
put into place hedging arrangements comprising forward purchases of euro
covering approximately 50% of Sasa's expected 2026 on-site cash operating
costs, at an average exchange rate of $1.185 per euro.
The following table highlights the major currencies the Group operates in and
the movements against the US dollar during the course of the year:
Average rate Reporting date spot rate
2025 2024 Movement 2025 2024 Movement
Kazakhstan tenge 521.03 468.96 +11% 502.57 523.54 -4%
Macedonian denar 54.85 56.70 -3% 52.31 58.88 -11%
British pound 0.76 0.78 -3% 0.74 0.80 -8%
Foreign exchange risk does not arise from financial instruments that are
non-monetary items or financial instruments denominated in the functional
currency. Kazakhstan tenge and North Macedonian denar denominated monetary
items are therefore not reported in the tables below, as the functional
currency of the Group's Kazakhstan-based and North Macedonian-based
subsidiaries is the tenge and denar respectively.
The Group's exposure to foreign currency risk based on US dollar equivalent
carrying amounts at the reported date:
Group
2025
In $'000 equivalent USD EUR GBP
Cash and cash equivalents 9,450 1,241 7,655
Trade and other receivables - - 25
Trade and other payables (258) (599) (4,508)
Net exposure 9,192 642 3,172
Group
2024
In $'000 equivalent USD EUR GBP
Cash and cash equivalents 9,095 205 1,217
Trade and other receivables - - 14
Trade and other payables (184) (580) (3,283)
Net exposure 8,911 (375) (2,052)
Trade and other receivables exclude prepayments and tax receivable, and trade
and other payables exclude corporation tax, social security and other taxes as
they are not considered financial instruments.
At 31 December 2025, if the foreign currencies had weakened/strengthened by
10% against the US dollar, post-tax Group loss for the year would have been
$1,301,000 higher/lower (2024 profit: $648,000 lower/higher).
Commodity price risk
In December 2025, the Company put into place hedging arrangements comprising
forward sales for approximately 50% of Sasa's expected payable zinc in 2026,
at an average price of $3,011.5 per tonne.
The offtake agreement at Kounrad and Sasa provides for the option of
provisional pricing, ie the selling price is subject to final adjustment at
the end of the quotation period based on the average price for the month
following delivery to the buyer. This could result in fluctuations of revenue
recognised ultimately. The Group may mitigate commodity price risk by fixing
the price in advance for its copper cathode sales with the offtake partner;
however, this option was not utilised during the year and the prior year.
The following table details the Group's revenue sensitivity to a 10% increase
and decrease in the copper, zinc and lead price against the invoiced price.
10% is the sensitivity used when reporting commodity price internally to
management and represents management's assessment of the possible change in
price. A positive number below indicates an increase in profit for the year
and other equity where the price increases.
Group
Estimated effect on earnings and equity
2025 2024
$'000
$'000
10% increase in copper, zinc and lead price 22,288 22,033
10% decrease in copper, zinc and lead price (22,288) (22,033)
Liquidity risk
Liquidity risk relates to the ability of the Group to meet future obligations
and financial liabilities as and when they fall due. The Group currently has
sufficient cash resources and a material income stream from the Kounrad and
Sasa projects.
The following table sets out the contractual maturities (representing
undiscounted contractual cash flows) of financial liabilities.
Group
Future expected payments: 31 Dec 25 31 Dec 24
$'000
$'000
Trade and other payables within one year 15,138 13,191
Share-based payment liability within one year 11,984 8,635
Borrowings payable within one year (Note 35) 936 252
Lease liability payable within one year 591 496
Lease liability payable later than one year but not later than five years 1,188 1,138
Share-based payment liability later than one year but not later than five 2,610 2,291
years
32,447 26,003
Capital risk
The Group's objectives when managing capital are to safeguard the Group's
ability to continue as a going concern in order to provide returns for
shareholders and benefits for other stakeholders and to maintain an optimal
structure to reduce the cost of capital.
The Group manages its capital in order to provide sufficient funds for the
Group's activities. Future capital requirements are regularly assessed and
Board decisions taken as to the most appropriate source for obtaining the
required funds, be it through internal revenue streams, external fund raising,
issuing new shares or selling assets. In order to maintain or adjust the
capital structure, the Group may adjust the amount of dividends paid to
shareholders, return capital to shareholders, issue new shares or sell assets
to reduce debt.
Consistent with others in the industry, the Group monitors capital on the
basis of the following gearing ratio:
Net cash
Note 2025 2024 1 Jan 2024
$'000
$'000
$'000
(restated)* (restated)*
Cash and cash equivalents excluding restricted cash 28 79,673 67,318 56,832
Bank overdraft 35 (936) (252) (326)
Net cash 78,737 67,066 56,506
Total equity 284,226 355,307 370,644
Net cash to equity ratio 28% 19% 15%
* See Note 43 for details regarding the prior year restatement.
Changes in liabilities arising from financing activities
The total borrowings as at 1 January 2025 were $252,000 (1 January 2024:
$326,000). During the year, the Group drew down $20,463,000 (2024:
$3,563,000) on its unsecured overdrafts facility and made repayments of
$19,841,000 (2024: $3,621,000). Other changes amounted to an increase of
$62,000 (2024: reduction of $16,000) leading to a closing debt balance of
$936,000 (2024: $252,000). See Note 35 for more details.
The cash and cash equivalents brought forward were $67,378,000 (2024:
$56,906,000) with a net $12,295,000 inflow (2024: $10,472,000 outflow) during
the year and, therefore, a closing balance of $79,673,000 (2024: $67,378,000).
The prior year cash and cash equivalents at 31 December 2024 includes cash at
bank and on hand, included in assets held for sale of $60,000 (Note 24).
Credit risk
Credit risk refers to the risk that the Group's financial assets will be
impaired by the default of a third party. The Group is exposed to credit risk
primarily on its cash and cash equivalents as set out in Note 28 and on its
trade and other receivables as set out in Note 25. The Group sells a minimum
of 95% of Kounrad's copper cathode production to the offtake partner, which
pays on the day of dispatch and, during the year, 100% of Sasa's zinc and lead
concentrate was sold to Traxys which assumes the credit risk.
For banks and financial institutions, only parties with a minimum rating of
BBB- are accepted. 86% of the Group's cash and cash equivalents, including
restricted cash at the year end, were held by banks with a minimum credit
rating of A- (2024: 85%). The rest of the Group's cash was held with a mix of
institutions with credit ratings between A+ and BBB- (2024: A and BBB-). The
Directors have considered the credit exposures and do not consider that they
pose a material risk at the present time. The credit risk for cash and cash
equivalents is managed by ensuring that all surplus funds are deposited only
with financial institutions with high-quality credit ratings.
The expected credit loss for intercompany loans receivable is disclosed in
Note 26.
Interest rate risk
The Group's North Macedonian bank overdrafts denominated in euros are payable
at fixed interest rates ranging from 3.24% to 5.30%. Interest paid during the
year amounted to $99,000 (2024: $20,000).
There is some interest rate risk exposure linked to US dollar interest-earning
bank balances with variable rates. At 31 December 2025, if interest rates on
variable interest earning US dollar bank balances had been 150 basis points
higher/lower, loss after tax for the year would have been $855,000
lower/higher (2024 profit: $677,000 higher/lower). The Directors consider that
150 basis points is the maximum likely change in interest rates over the next
year, being the period up to the next point at which the Group expects to make
these disclosures.
Categories of financial instruments
Financial assets
Group
Cash and receivables 31 Dec 25 31 Dec 24
$'000
$'000
Cash and cash equivalents including restricted cash (Note 28) 80,069 67,645
Trade and other receivables 2,174 2,329
82,243 69,974
Trade and other receivables excludes prepayments and tax receivable as they
are not considered financial instruments. All trade and other receivables are
receivable within one year for both reporting years.
Financial liabilities
Group
31 Dec 25 31 Dec 24
Measured at amortised cost $'000 $'000
Trade and other payables within one year 15,138 13,191
Borrowings payable within one year (Note 35) 936 252
Share-based payment liability within one year 11,984 8,635
Lease liability within one year 514 414
Lease liability payable later than one year but not later than five years 715 1,056
Share-based payment liability later than one year but not later than five 2,610 2,291
years
31,897 25,839
Trade and other payables exclude the silver stream commitment, corporation
tax, social security and other taxes as they are not considered financial
instruments.
5. Segment information
The segment results for the year ended 31 December 2025 are as follows:
Kounrad Sasa All other segments Total
$'000
$'000
$'000
$'000
Exploration
$'000
Revenue 129,734 100,126 - - 229,860
Cost of sales (33,004) (90,961) - - (123,965)
EBITDA 97,341 25,722 (1,377) (19,888) 101,798
Depreciation and amortisation (4,100) (25,782) (46) (422) (30,350)
Foreign exchange (loss)/gain (2,920) (1,156) 174 (314) (4,216)
Impairment of non-current assets - (117,469) (296) - (117,765)
Other income 260 582 3 1,576 2,421
Other losses (4) (12) (7) (1,456) (1,479)
Fair value movement of share-based payment liability - - (7,955) (7,955)
-
Finance income 16 - - 1,776 1,792
Finance costs (456) (2,073) - (83) (2,612)
Share of post-tax loss of investment in equity accounted associate - - (140) (140)
-
Profit/(loss) before income tax 90,137 (120,188) (1,549) (26,906) (58,506)
Income tax (25,534) 9,356 - - (16,178)
Profit/(loss) for the year after tax from continuing operations 64,603 (110,832) (1,549) (26,906) (74,684)
Loss from discontinued operations (474)
Loss for the year (75,158)
The segment results for the year ended 31 December 2024 are as follows:
Kounrad Sasa Exploration All other segments Total
$'000
$'000
$'000
$'000
$'000
(restated)* (restated)*
Revenue 121,783 92,658 - - 214,441
Cost of sales (33,423) (74,844) - - (108,267)
EBITDA 89,346 32,248 (983) (18,258) 102,353
Depreciation and amortisation (4,493) (22,140) (35) (420) (27,088)
Foreign exchange gain/(loss) 5,634 157 (137) (16) 5,638
Other income 523 4 - 336 863
Other losses (128) (519) (1) (4) (652)
Fair value movement of share-based payment liability - - - (3,966) (3,966)
Finance income 14 - - 2,350 2,364
Finance costs (468) (1,626) - (98) (2,192)
Share of post-tax loss of investment in equity accounted associate - - - (76) (76)
Profit/(loss) before income tax 90,428 8,124 (1,156) (20,152) 77,244
Income tax (23,934) (1,962) - - (25,896)
Profit/(loss) for the year after tax from continuing operations 66,494 6,162 (1,156) (20,152) 51,348
Loss from discontinued operations (183)
Profit for the year 51,165
* See Note 43 for details regarding the prior year restatement.
A reconciliation between profit/loss for the year and EBITDA is presented in
the Financial Review section.
Group segment assets and liabilities for the year ended 31 December 2025 are
as follows:
Segment assets Additions to Segment liabilities
non-current assets
31 Dec 25 31 Dec 24 31 Dec 25 31 Dec 24 31 Dec 25 31 Dec 24
$'000
$'000
$'000
$'000
$'000
$'000
(restated)*
Kounrad 73,340 64,744 4,658 2,952 (21,109) (15,919)
Sasa 234,811 315,012 19,050 24,444 (55,890) (54,342)
Exploration 1,777 581 1,251 240 (131) (114)
Investment in equity accounted associate 3,635 3,775 - - - -
Assets classified as held for sale - 61 - - - (24)
All other segments 71,246 59,714 7 28 (23,453) (18,181)
384,809 443,887 24,966 27,664 (100,583) (88,580)
* See Note 43 for details regarding the prior year restatement.
6. Revenue
Group 2025 2024
$'000
$'000
International customers (Europe) - copper cathode 132,759 124,757
International customers (Europe) - zinc and lead concentrate (including silver 98,527 91,328
by-product)
Domestic customers (Kazakhstan) - copper cathode 208 -
International customers (Europe) - silver stream arrangement 2,527 2,285
Less: Offtake buyers' fees (4,161) (3,929)
Revenue 229,860 214,441
Kounrad
The Group sells and distributes its copper cathode product primarily through
an offtake arrangement with Traxys. The offtake arrangements are for a minimum
of 95% of the SX-EW plant's output going forward, the commitment will be 90%.
Revenue is recognised at the Kounrad site gate when the goods have been
delivered in accordance with the contractual delivery terms.
The offtake agreement provides for the option of provisional pricing, ie the
selling price is subject to final adjustment at the end of the quotation
period based on the average price for the month following delivery to the
buyer. The Group may mitigate commodity price risk by fixing the price
in advance for its copper cathode sales with the offtake partner.
The costs of delivery to the end customers have been effectively borne by the
Group through means of an annually agreed buyers' fee, which is deducted from
the selling price.
During 2025, the Group sold 13,122 tonnes (2024: 13,521 tonnes) of copper.
Sasa
The Group sells Sasa's zinc and lead concentrate product to smelters through
an offtake arrangement with Traxys. The commitment is for 100% of the Sasa
concentrate production. The agreements with the smelters provide for
provisional pricing, ie. the selling price is subject to final adjustment at
the end of the quotation period based on the average price for the month, two
months or three months following delivery to the buyer and subject to final
adjustment for assaying results.
The Group sold 14,961 tonnes (2024: 15,839 tonnes) of payable zinc in
concentrate and 23,898 tonnes (2024: 25,560 tonnes) of payable lead in
concentrate.
The revenue arising from the silver stream arrangement with OR Royalties Inc.
(formerly Osisko Gold Royalties Ltd) is where the Group has agreed to sell
all of its refined silver at approximately $6 per ounce for the life of the
mine, significantly below market value and arising from the silver stream
commitment inherited on acquisition (Note 34).
7. Cost of sales
Group 2025 2024
$'000
$'000
(restated)*
Reagents, electricity and materials 30,368 29,545
Depreciation and amortisation 29,416 26,269
Silver stream commitment (Note 34) (1,028) (984)
Royalties 16,238 12,722
Employee benefit expense 25,620 23,102
Open market silver purchases to fulfil silver stream commitment 14,227 10,055
Consulting and other services 8,615 6,976
Taxes and duties 509 582
123,965 108,267
* See Note 43 for details regarding the prior year restatement.
8. Distribution and selling costs
Group 2025 2024
$'000
$'000
Freight costs 1,918 1,856
Transportation costs 28 26
Depreciation and amortisation 1 1
Materials and other forwarding expenses 348 259
2,295 2,142
The above distribution and selling costs are those incurred at Kounrad and
Sasa in addition to the costs associated with the offtake arrangements.
9. Administrative expenses
Group 2025 2024
$'000
$'000
Employee benefit expense 14,011 13,569
Consulting and other services 8,141 7,259
Business development costs 3,553 2,004
Office-related and travel costs 2,104 1,815
Sponsorship and charitable donations 1,236 1,320
Insurance costs 989 931
Depreciation and amortisation 933 818
Auditors' remuneration (Note 12) 809 707
Taxes and duties 376 344
Total from continuing operations 32,152 28,767
Total from discontinued operations (Note 24) 45 162
32,197 28,929
10. Other income
Group 2025 2024
$'000
$'000
Break fee related to NWR (Note 23) 1,600 -
Other income 821 527
Changes in the fair value of the warrants at FVTPL (Note 22) - 336
2,421 863
11. Other losses
Group 2025 2024
$'000
$'000
Losses on financial derivatives 1,179 -
Changes in the fair value of the warrants at FVTPL (Note 22) 277 -
Other losses 23 652
1,479 652
In December 2025, the Group entered into hedging arrangements to manage the
Group's commodity price and foreign exchange risk. The derivative financial
instruments are classified as FVTPL.
12. Auditors' remuneration
During the year, the Group obtained the following services from the Company's
Auditor and their associates:
Group 2025 2024
$'000
$'000
Fees payable to BDO LLP the Company's Auditors for the audit of the parent 457 373
company and consolidated financial statements
Fees payable to BDO LLP the Company's Auditor and their associates for the 256 240
audit of the Company's subsidiaries:
‣ The audit of Company's subsidiaries
Fees payable to BDO LLP the Company's Auditor and their associates for other 84 74
services:
‣ Audit-related services: Interim review
‣ Non-audit services 12 20
809 707
13. Employee benefit expense
The aggregate remuneration of staff, including Directors, was as follows:
Group 2025 2024
$'000
$'000
Wages and salaries 28,759 27,110
Social security costs and similar taxes 4,343 3,624
Staff healthcare and other benefits 4,041 3,890
Other pension costs 4,961 4,545
Fair value movement of share-based payment liability 7,955 3,966
Total for continuing operations 50,059 43,135
Total for discontinuing operations 19 75
50,078 43,210
The total employee benefit expense includes an amount of $2,473,000 (2024:
$2,497,000), which has been capitalised within property, plant and equipment.
Company 2025 2024
$'000
$'000
Wages and salaries 7,025 7,396
Social security costs 1,965 1,532
Staff healthcare and other benefits 218 201
Other pension costs 181 165
Fair value movement of share-based payment liability 7,955 3,966
17,344 13,260
Key management remuneration is disclosed in the Remuneration Committee Report.
14. Monthly average number of people employed
Group 2025 2024
Number
Number
Operational 974 969
Management and administrative 192 190
1,166 1,159
The monthly average number of staff employed by the Company during the year
was 20 (2024: 21).
15. Finance income
Group 2025 2024
$'000
$'000
Bank interest received 1,792 2,364
1,792 2,364
16. Finance costs
Group 2025 2024
$'000
$'000
Provisions: unwinding of discount (Note 36) 2,347 2,020
Employee benefits: unwinding of discount (Note 32) 26 -
Interest on borrowings (Note 35) 99 20
Lease interest expense and bank charges 140 152
2,612 2,192
17. Income tax
Group 2025 2024
$'000
$'000
Current tax on profits for the year 21,142 22,014
Withholding tax on intercompany dividend distributions 5,977 5,145
Deferred tax credit (Note 41) (10,941) (1,263)
Income tax expense 16,178 25,896
The reasons for the difference between the actual tax charge for the year and
the standard rate of corporation tax applied to profits for the year are as
follows:
2025 2024
$'000
$'000
Group
(restated)*
(Loss)/profit before income tax (58,506) 77,244
Tax using the Company's domestic tax rate of 25% (2024: 25%) (14,626) 19,311
Tax effects of:
Expenses not deductible for tax purposes 8,674 4,841
Withholding tax on intercompany dividend distributions 5,977 5,145
Different tax rates applied in overseas jurisdictions 12,640 (3,839)
Movement on unrecognised deferred tax - tax losses 3,513 438
Income tax expense 16,178 25,896
* See Note 43 for details regarding the prior year restatement.
Corporate income tax is calculated at 25% (2024: 25%) of the assessable profit
for the year for the UK parent company, 20% for the operating subsidiaries in
Kazakhstan (2024: 20%) and 10% (2024: 10%) for the operating subsidiaries in
North Macedonia. From 1 January 2026, new legislation introduced
in Kazakhstan has increased withholding tax on intercompany dividends
from 10% to 15%.
Expenses not deductible for tax purposes include share-based payment charges,
transfer pricing adjustments in accordance with local tax legislation,
impairment and depreciation and amortisation charges.
There is no income tax relating to items recognised in other comprehensive
income.
Deferred tax assets have not been recognised on tax losses primarily at the
parent company as it remains uncertain whether this entity will have
sufficient taxable profits in the future to utilise these losses (Note 41).
18. Earnings/(loss) per share
(a) Basic
Basic earnings/(loss) per share (EPS) is calculated by dividing the
profit/(loss) attributable to owners of the Company by the weighted average
number of Ordinary Shares in issue during the year. The calculation excludes
Ordinary Shares purchased by the Company and held as treasury shares and the
Ordinary Shares held by the EBT, except for jointly owned EBT shares which are
included (Note 29).
Group 2025 2024
$'000
$'000
(restated)*
(Loss)/profit from continuing operations attributable to owners (74,580) 51,579
of the parent
Loss from discontinued operations attributable to owners of the parent (474) (183)
(Loss)/profit attributable to owners of the parent (75,054) 51,396
2025 2024
No.
No.
Weighted average number of Ordinary Shares in issue 176,341,692 176,645,177
2025 2024
$ cents
$ cents
(restated)*
(Loss)/earnings per share from continuing and discontinued operations
attributable to owners of the parent during the year (expressed in $ cents per
share)
From continuing operations (42.29) 29.20
From discontinued operations (0.27) (0.10)
From (loss)/profit for the year (42.56) 29.10
* See Note 43 for details regarding the prior year restatement.
b) Diluted
The diluted earnings/(loss) per share is calculated by adjusting the weighted
average number of Ordinary Shares outstanding after assuming the conversion
of all outstanding granted share options including the amount of additional
share options for dividends declared on those outstanding (Note 31).
Additionally, for share-based payment arrangements classified as cash-settled
under IFRS 2, the theoretical impact on profit attributable to owners of the
parent is also considered as if the arrangements were treated as
equity-settled. For the year ended 31 December 2025, the Group reported a
loss. In accordance with IAS 33, anti-dilutive potential Ordinary Shares are
excluded from the calculation of diluted earnings per share. Accordingly,
diluted loss per share is the same as basic loss per share for the year.
Group 2025 2024
$'000
$'000
(restated)*
(Loss)/profit from continuing operations attributable to owners (74,580) 51,579
of the parent
Loss from discontinued operations attributable to owners of the parent (474) (183)
(Loss)/profit attributable to owners of the parent (75,054) 51,396
Adjusted for: - (1,019)
‣ Adjustment to profit if share options were equity-settled
(Loss)/profit attributable to owners of the parent for diluted EPS (75,054) 50,377
If the share-based payment arrangements classified as cash-settled under IFRS
2 had been treated as equity-settled for the purposes of diluted EPS, profit
attributable to owners of the parent would have increased by $3,460,000 (2024:
decreased by $1,019,000). This adjustment has not been reflected in diluted
loss per share for 2025 as it would have been anti-dilutive in accordance with
IAS 33.
2025 2024
No.
No.
Weighted average number of Ordinary Shares in issue 176,341,692 176,645,177
Adjusted for:
‣ Share options - 9,013,024
Weighted average number of Ordinary Shares for diluted EPS 176,341,692 185,658,201
At 31 December 2025, the Group had 9,876,926 share options outstanding which
were excluded from the calculation of diluted loss per share as their
inclusion would have been anti-dilutive.
Diluted (loss)/earnings per share 2025 2024
$ cents
$ cents
(restated)
From continuing operations (42.29) 27.24
From discontinued operations (0.27) (0.10)
From (loss)/profit for the year (42.56) 27.14
* See Note 43 for details regarding the prior year restatement.
c) Adjusted basis earnings per share
To allow comparability, the Directors believe that the Adjusted EPS provides a
more appropriate representation of the underlying earnings of the Group,
adjusting for the impairment of non-current assets and the corresponding
deferred tax movement arising from the impairment of mineral rights and the
losses on financial derivatives.
The adjusting items are shown in the table below:
Group 2025 2024
$'000
$'000
(restated)*
(Loss)/profit from continuing operations attributable to owners (74,580) 51,579
of the parent
Adjusted for:
‣ Impairment of non-current assets 117,765 -
‣ Losses on financial derivatives 1,179 -
‣ Deferred tax movement resulting from impairment of mineral rights (11,241) -
Adjusted profit from continuing operations attributable to owners of the 33,123 51,579
parent
Loss from discontinued operations attributable to owners of the parent (474) (183)
Adjusted profit attributable to owners of the parent 32,649 51,396
2025 2024
$ cents
$ cents
(restated)*
Adjusted earnings/(loss) per share from continuing and discontinued operations
attributable to owners of the parent during the year (expressed in $ cents per
share)
From adjusted continuing operations 18.78 29.20
From discontinued operations (0.27) (0.10)
From adjusted profit for the year 18.51 29.10
* See Note 43 for details regarding the prior year restatement.
d) Adjusted diluted earnings per share
Group 2025 2024
$'000
$'000
(restated)*
Adjusted profit from continuing operations attributable to owners of the 33,123 51,579
parent
Loss from discontinued operations attributable to owners of the parent (474) (183)
Adjusted profit attributable to owners of the parent 32,649 51,396
Adjusted for: 3,460 (1,019)
‣ Adjustment to profit if share options were equity-settled
(Loss)/profit attributable to owners of the parent for diluted EPS 36,109 50,377
2025 2024
No.
No.
Weighted average number of Ordinary Shares in issue 176,341,692 176,645,177
Adjusted for:
‣ Share options 9,876,926 9,013,024
Weighted average number of Ordinary Shares for diluted EPS 186,218,618 185,658,201
2025 2024
$ cents
$ cents
(restated)*
Adjusted diluted earnings/(loss) per share
From adjusted continuing operations 19.65 29.20
From discontinued operations (0.27) (0.10)
From adjusted profit for the year 19.38 29.10
* See Note 43 for details regarding the prior year restatement.
19. Property, plant and equipment
Group Land Mineral Property, plant and equipment Construction in progress ROU Mining Total
$'000
rights
$'000
assets
$'000
$'000 $'000 $'000
$'000
Cost
At 1 January 2024 612 337,290 202,385 13,038 2,078 1,197 556,600
Additions - - 420 26,786 - - 27,206
Disposals - - (247) - (4) (1) (252)
Change in estimate - asset retirement obligation (Note 36) - - (576) - - - (576)
Transfers - - 12,650 (12,866) 216 - -
Exchange differences (34) (10,920) (11,425) (1,239) (13) (158) (23,789)
At 31 December 2024 578 326,370 203,207 25,719 2,277 1,038 559,189
Additions - - 440 21,827 - 992 23,259
Disposals - - (272) - - - (272)
Change in estimate - asset retirement obligation (Note 36) - - 6,863 - - - 6,863
Transfers - - 36,619 (36,716) 97 - -
Exchange differences 73 22,350 12,613 2,352 33 80 37,501
At 31 December 2025 651 348,720 259,470 13,182 2,407 2,110 626,540
Accumulated depreciation
and impairment
At 1 January 2024 - 131,612 85,642 - 544 681 218,479
Provided during the year - 10,685 14,440 - 397 39 25,561
Disposals - - (177) - - - (177)
Exchange differences - - (3,324) - - (94) (3,418)
At 31 December 2024 - 142,297 96,581 - 941 626 240,445
Provided during the year - 11,210 17,328 - 433 27 28,998
Disposals - - (224) - - - (224)
Impairment - 117,469 - - - - 117,469
Exchange differences - - 1,035 - - 27 1,062
At 31 December 2025 - 270,976 114,720 - 1,374 680 387,750
Net book value at 31 December 2024 578 106,626 25,719 1,336 412 318,744
184,073
Net book value at 31 December 2025 651 144,750 13,182 1,033 1,430 238,790
77,744
The increase in estimate in the asset retirement obligation of $6,863,000
(2024: decrease of $576,000), in relation to both Kounrad and Sasa, is due to
a combination of adjusting the provision recognised at the net present value
of future expected costs using latest assumptions on inflation rates and
discount rates as well as updating the provision for management's best
estimate of the timing of costs that will be incurred based on current
contractual and regulatory requirements (Note 36).
During the year, there were total disposals of property, plant and equipment
at a cost of $272,000 (2024: $252,000) with accumulated depreciation of
$224,000 (2024: $177,000). The Group received consideration of $84,000 (2024:
$66,000) for these assets and, therefore, a gain of $36,000 was recognised
(2024: loss of $9,000).
The Company held the following property, plant and equipment at 31 December
2025:
ROU and property, plant and equipment
Company Leasehold improvements Right-of-use assets Office equipment Total
$'000
$'000
$'000
$'000
Cost
At 1 January 2024 347 1,516 238 2,101
Additions - - 28 28
Disposals - (4) (34) (38)
At 31 December 2024 347 1,512 232 2,091
Additions - - 7 7
Disposals - - (8) (8)
At 31 December 2025 347 1,512 231 2,090
Accumulated depreciation
and impairment
At 1 January 2024 17 144 89 250
Provided during the year 69 306 46 421
Disposals - - (30) (30)
At 31 December 2024 86 450 105 641
Provided during the year 69 306 47 422
Disposals - - (8) (8)
At 31 December 2025 155 756 144 1,055
Net book value at 31 December 2024 261 1,062 127 1,450
Net book value at 31 December 2025 192 756 87 1,035
Amounts recognised in the income statement
The income statement shows the following amounts relating to leases -
depreciation charge right-of-use assets:
Group depreciation charge of right-of-use assets 2025 2024
$'000
$'000
Office 342 342
Other 91 55
Total depreciation 433 397
Interest expense included in finance costs 89 106
Impairment assessment
In accordance with IAS 36 Impairment of Assets a review for impairment of
property, plant and equipment is undertaken at each year end or at any time an
indicator of impairment is considered to exist. When undertaken, an impairment
review is completed for each cash-generating unit (CGU).
The recoverable amount of the CGU is assessed by reference to the higher of
value in use (VIU), being the net present value (NPV) of future cash flows
expected to be generated by the asset, and fair value less costs to dispose
(FVLCD). The FVLCD is considered to be higher than VIU and has been derived
using discounted cash flow techniques (NPV of expected future cash flows of a
CGU), which incorporate market participant assumptions. Cost to dispose is
based on management's best estimates of future selling costs at the time of
calculating FVLCD. Costs attributable to the disposal of the CGU's are not
considered significant. The methodology used for the fair value is a Level 3
valuation.
The discount rate applied to calculate the present value is based upon the
nominal weighted average cost of capital applicable to the CGU. The discount
rate reflects equity risk premiums over the risk-free rate, the impact of the
remaining economic life of the CGU and the risks associated with the relevant
cash flows based on the country in which the CGU is located. These risk
adjustments are based on observed equity risk premiums, country risk premiums
and average credit default swap spreads for the period.
The valuation models use a combination of internal sources and those inputs
available to a market participant, which comprise the most recent reserve and
resource estimates, relevant cost assumptions and, where possible, market
forecasts of commodity price and foreign exchange rate assumptions and
discount rates.
Sasa project
The Sasa project represents a single CGU and comprises mineral rights and
property, plant and equipment. Goodwill attributable to the Sasa CGU has been
fully impaired in prior periods and therefore no goodwill impairment or
reversal has been considered in the current year.
In accordance with IAS 36, the Group assessed the Sasa CGU for indicators of
impairment as at 31 December 2025. The assessment considered changes in
forecast commodity prices, treatment charges, operating and capital
expenditure, discount rates, foreign exchange rates and updated mineral
reserve and resource estimates.
At year end, management identified indicators of impairment following
completion of the updated life-of-mine (LoM) study. The study, completed at
year end, resulted in a reduction in economically recoverable Mineral
Resources and Ore Reserves and a shortening of the LoM. As a result,
management performed a detailed impairment assessment. The recoverable amount
of the Sasa CGU was determined using a fair value less costs of disposal
(FVLCD) methodology based on discounted future cash flows derived from the
updated life-of-mine plan. It has used quoted prices (Level 1) inputs for its
commodity price assumptions, inflation rates, exchange rates and discount
rate. The valuation also incorporates significant observable and unobservable
inputs, including Mineral Resources and Ore Reserves, long-term commodity
price assumptions, operating and capital cost forecasts and a risk-adjusted
discount rate. Accordingly, the fair value measurement is categorised as Level
3 within the IFRS 13 fair value hierarchy. At the balance sheet date, the
Board considers the base case forecasts to be appropriate and balance best
estimates.
The cash flow forecasts were based on projected production volumes, broker
consensus commodity prices for the near-term period with long-term prices
applied thereafter, forecast treatment charges, operating costs and capital
expenditure. The discounted cash flow model included Probable Reserves and
Indicated Resources, together with a limited portion of Inferred Resources
that were considered sufficiently certain and economically viable for
inclusion. Mineralisation not included within the production schedule has been
assigned a separate in-situ value, reflecting its potential future economic
benefit without assuming development or extraction within the current mine
plan. The forecast operating and capital expenditure reflected the current
mining plan and production profile. Climate-related risks were also
considered, including potential regulatory changes and physical risks to the
asset, and their impact on asset retirement obligations.
The following key assumptions were used in determining the recoverable amount
of the Sasa CGU:
‣ Discount rate of 9.95% (31 December 2024: 10.28%) supported by a detailed
WACC calculation and applied to discount projected cash flows.
‣ Zinc price: Five-year average nominal zinc price of $2,993 per tonne
(2024: $2,964) and a long-term nominal price of $3,366 per tonne, based on
market consensus.
‣ Lead price: Five-year average nominal lead price of $2,132 per tonne
(2024: $2,218) and a long-term nominal price of $2,353 per tonne, based on
market consensus.
‣ Life-of-mine and reserves: Life-of-mine shortened from 2039 to 2034, with
production based on Reserves, and a limited portion of Inferred Resources
included where economically viable. Mineralisation not included in the
production plan has been assigned a separate in-situ value, reflecting
potential future economic benefit without assuming development or extraction
within the current mine plan.
Other inputs, including lead prices, treatment charges, capital expenditure
and minor inflation assumptions, were included in the cash flow model but are
less sensitive to the recoverable amount.
An impairment charge was recognised during the year as a result of the
following key factors:
‣ Completion of the updated LoM study, in which Resources and Reserves are
reported using Net Smelter Return (NSR) cut-off values, resulting in a
reduction in economically viable Resources.
‣ Increased forecast operating costs, particularly new mining methods and
labour, reflecting current inflationary pressures and market-based inflation
assumptions.
‣ Removal of Indicated Resources and approximately 30% of Inferred Resources
at Golema Reka from the LoM plan, as these resources do not currently meet the
required level of confidence for economically viable extraction thereby
significantly reducing the LoM plan to 2034.
As a result of these factors, the carrying value of the Sasa CGU exceeded its
recoverable amount and an impairment charge of $117,469,000 was recognised in
the year. The recoverable amount remains sensitive to changes in key
assumptions and certain parameters were flexed upwards and downwards by
reasonable amounts for the CGU to assess whether this would increase the
impairment charge or reduce the impairment. The following sensitivities were
applied as part of the assessment:
Parameter Increased impairment Reduced impairment
$'000
$'000
Sensitivity applied
Zinc price (5%)/5% change 11,958 (11,946)
Lead price (5%)/5% change 14,621 (15,254)
Discount rate Increase to 12% discount rate/decrease to 8% 7,526 (7,678)
Treatment charges (20%)/20% change 7,098 (7,098)
Head grades (5%)/5% change 20,013 (20,013)
Capital expenditure 10%/(10%) change 6,494 (6,494)
20. Intangible assets
Group Goodwill Mining licences and permits Computer Exploration and evaluation Total
$'000
$'000
software and website
$'000
$'000 $'000
Cost
At 1 January 2024 28,468 33,941 446 - 62,855
Additions - - 26 432 458
Disposals - - (1) - (1)
Exchange differences (994) (2,262) (13) (17) (3,286)
At 31 December 2024 27,474 31,679 458 415 60,026
Additions - 65 - 1,642 1,707
Disposals - (17) - - (17)
Exchange differences 273 1,583 1 106 1,963
At 31 December 2025 27,747 33,310 459 2,163 63,679
Accumulated amortisation and impairment
At 1 January 2024 20,921 16,160 349 - 37,430
Provided during the year - 1,739 59 - 1,798
Disposals - - (1) - (1)
Exchange differences - (564) (8) - (572)
At 31 December 2024 20,921 17,335 399 - 38,655
Provided during the year - 1,648 12 - 1,660
Disposals - - - - -
Impairment - - - 296 296
Exchange differences - 171 1 - 172
At 31 December 2025 20,921 19,154 412 296 40,783
Net book value at 31 December 2024 6,553 14,344 59 415 21,371
Net book value at 31 December 2025 6,826 14,156 47 1,867 22,896
The Company has nil intangible assets at net book value as at 31 December 2025
(2024: nil).
Exploration and evaluation assets
An impairment charge of $296,000 was recognised within exploration and
evaluation assets in respect of an exploration licence in Kazakhstan,
following the decision to cease further exploration activities. The
capitalised expenditure, comprising geochemical sampling and assay costs, was
written down to nil.
Kounrad project impairment assessment
In accordance with IAS 36 Impairment of Assets, a review for impairment of
goodwill is undertaken at each year end. The Kounrad project, located in
Kazakhstan, has an associated goodwill balance of $6,826,000 (2024:
$6,553,000), the movement being solely due to foreign exchange differences.
The Kounrad cash flows have been projected until 2034, the remaining life of
operation, and the key economic assumptions used in the review were a
five-year forecast average nominal copper price of $11,318 per tonne (2024:
$9,877 per tonne) and a long-term price of $10,767 per tonne (2024: $9,364 per
tonne inflated at market inflation rates) based on market consensus prices and
a discount rate of 9.38% (2024: 8.07%). Assumptions in relation to
operational and capital expenditure are based on the latest budget approved by
the Board. The climate change impacts are also considered including potential
impact of regulatory changes and physical risks to assets such as
consideration of the impact on the Group asset retirement obligations.
The carrying value of the assets is not currently sensitive to any reasonable
changes in key assumptions to the fair value of the project. It would require
a reduction of 66% in the copper price or an increase of 308% in operating
costs for the financial model to trigger any potential impairment. Management
concluded that the net present value of the asset is significantly in excess
of the net book value, and, therefore, no impairment has been identified.
The Group has measured the FVLCD using various fair value measurements
obtaining inputs from market data. It has used quoted prices (Level 1) inputs
for its commodity price assumptions, inflation rates, exchange rates and
discount rate.
At the balance sheet date, the Board considers the base case forecasts to be
appropriate and balance best estimates. During the year, no impairment of
goodwill was required
21. Investments
Shares in Group undertakings:
Company 31 Dec 25 31 Dec 24
$'000
$'000
At 1 January / 31 December 5,107 5,107
Investments in Group undertakings are recorded at cost, which is the fair
value of the consideration paid, less impairment.
Details of the Company holdings consolidated in the financial information are
included in the table below:
Subsidiary Registered office address Activity CAML % Non-controlling interests % CAML % Date of incorporation
2025
2025
2024
CAML XD Limited 50/3 Turan Avenue, Office #5, Astana, District Nura, Z01C1E7, Kazakhstan Exploration 100 - - 4 June 2025
CAML Exploration Limited 50/3 Turan Avenue, Office #5, Astana, District Nura, Z01C1E7, Kazakhstan Exploration 80 20 80 18 August 2023
CAML KZ Limited Masters House, 107 Hammersmith Road, London, W14 0QH, Holding company 100 - 100 28 June 2021
United Kingdom
CAML MK Limited Masters House, 107 Hammersmith Road, London, W14 0QH, Seller of zinc and lead concentrate 100 - 100 5 September 2017
United Kingdom
CAML Limited Masters House, 107 Hammersmith Road, London, W14 0QH, Dormant company 100 - 100 25 April 2023
United Kingdom
CMK Mining B.V. Prins Bernhardplein 200 1097 JB Amsterdam, The Netherlands Holding company 100 - 100 30 June 2015
CMK Europe SPLLC Skopje Ivo Lola Ribar no. 57-1/6, 1000 Skopje, North Macedonia Holding company 100 - 100 10 July 2015
Kounrad Copper Company LLP Business Centre No. 2, 4 Mira Street, Balkhash, Kazakhstan Kounrad project 100 - 100 29 April 2008
(SX-EW plant)
Sary Kazna LLP Business Centre No. 2, 4 Mira Street, Balkhash, Kazakhstan Kounrad project (SUC operations) 100 - 100 6 February 2006
Rudnik SASA DOOEL Makedonska Kamenica 28 Rudarska Str, Makedonska Kamenica, 2304, Sasa project 100 - 100 22 June 2005
North Macedonia
Details of Company previous holdings that have been disposed of during the
year are:
Copper Bay Limited Masters House, 107 Hammersmith Road, London, W14 0QH, Holding company - - 76 29 October 2010
United Kingdom
Copper Bay (UK) Ltd Masters House, 107 Hammersmith Road, London, W14 0QH, Dormant company - - 76 9 November 2011
United Kingdom
Copper Bay Chile Limitada Ebro 2740, Oficina 603, Las Condes, Santiago, Chile Holding company - - 76 12 October 2011
Minera Playa Verde Limitada Ebro 2740, Oficina 603, Las Condes, Santiago, Chile Exploration - Copper - - 76 20 October 2011
Details of Company holdings that are not consolidated in the financial
information are:
Ken Shuak LLP Business Centre No. 2, 4 Mira Street, Balkhash, Kazakhstan Shuak project (exploration) 10 90 10 5 October 2016
CAML MK Limited
For the year ended 31 December 2025, CAML MK Limited (registered number:
10946728) has opted to take advantage of a statutory exemption from audit
under section 479A of the Companies Act 2006 relating to subsidiary companies.
The members of CAML MK Limited have not required it to obtain an audit of
their financial statements for the year ended 31 December 2025. In order to
facilitate the adoption of this exemption, Central Asia Metals plc, the parent
company of the subsidiaries concerned, undertakes to provide a guarantee under
Section 479C of the Companies Act 2006 in respect of CAML MK Limited.
CAML KZ Limited
For the year ended 31 December 2025, CAML KZ Limited (registered number:
13479896) has opted to take advantage of a statutory exemption from audit
under section 479A of the Companies Act 2006 relating to subsidiary companies.
The members of CAML KZ Limited have not required it to obtain an audit of
their financial statements for the year ended 31 December 2025. In order to
facilitate the adoption of this exemption, Central Asia Metals plc, the parent
company of the subsidiaries concerned, undertakes to provide a guarantee under
Section 479C of the Companies Act 2006 in respect of CAML KZ Limited.
Copper Bay Limited
In March 2025, the Company completed the sale of its 76% equity interest in
Copper Bay Limited and its subsidiaries (Note 24).
Non-controlling interests
Group 31 Dec 25 31 Dec 24
$'000
$'000
Balance at 1 January 1,485 1,254
Loss attributable to non-controlling interests 104 231
Disposal of subsidiary (1,246) -
Balance at 31 December 343 1,485
Non-controlling interests were held at year end by third parties in relation
to CAML Exploration Limited.
22. Investment in equity accounted associate
During the prior year, CAML invested $3,851,000 (£3.0 million) in Aberdeen
Minerals Ltd (Aberdeen). The primary business of Aberdeen is carrying out
mineral exploration for battery metals in north east Scotland, with a
particular focus on nickel, copper and cobalt.
% of ownership interest Carrying amount
Name of entity Country of incorporation/ 31 Dec 25 31 Dec 24 31 Dec 25 31 Dec 24
principal place of business
%
%
$'000
$'000
Aberdeen Minerals Ltd United Kingdom 28.4 28.4 3,635 3,775
Group and Company 31 Dec 25 31 Dec 24
$'000
$'000
Brought forward carrying value 3,775 -
Investment recognised at cost - 3,851
Share of post-tax loss of investment in equity accounted associate (140) (76)
Carrying amount of the Group's investment in equity accounted associate 3,635 3,775
The summarised financial information, prepared in accordance with IFRS, in
respect of Aberdeen are as follows:
Assets and liabilities 31 Dec 25 31 Dec 24
$'000
$'000
Non-current assets 2,907 1,371
Current assets 1,443 3,220
Current liabilities (150) (189)
Non-current liabilities (308) (140)
Net assets (100%) 3,892 4,262
Company's share of net assets (28.4%) 1,106 1,211
Acquisition fair value and other adjustments 2,529 2,564
Carrying amount of the Group's investment in equity accounted associate 3,635 3,775
Income statement 12 months to 31 Dec 25 9 months to
$'000
31 Dec 24
$'000
Losses (100%) (495) (264)
Company's share of losses (28.4%) (140) (76)
Financial assets at FVTPL
Group and Company 31 Dec 25 31 Dec 24
$'000
$'000
Balance at 1 January 336 -
Changes in the fair value of the warrants at FVTPL (Notes 10 and 11) (277) 336
Balance at 31 December 59 336
As part of the investment in Aberdeen, CAML was issued warrants to subscribe
for an additional 18,181,818 ordinary shares in Aberdeen at an exercise price
of 11 pence per share. These warrants are classified as financial assets
measured at FVTPL. The fair value of these instruments has been determined at
date of issue using the Black-Scholes valuation model, incorporating the
probability of various outcome scenarios and is categorised as a Level 3
measurement and subsequently revalued at year end. Subsequent to initial
recognition, the warrants are remeasured at fair value at each reporting date.
In January 2026, CAML exercised a portion of the warrants for $1.1 million
(£850,000), increasing CAML's shareholding to 32.6% from 28.4% previously
(Note 42).
23. Equity investments at FVOCI
In May 2025, the Company entered into a definitive Scheme Implementation Deed
(SID) with New World Resources (NWR) to acquire all of NWR's shares. In June
2025, the Company acquired 431,818,567 shares for a total consideration of
$16,657,000 (AUD $25,500,000), representing a 12.1% shareholding. The equity
investment was classified at FVOCI as set out in the Group's accounting
policies in Note 2.
Following a competing offer for NWR from a third party, the Company withdrew
its proposal in accordance with the SID terms. As a result, a break fee of
$1,600,000 was received which has been recognised within other income in the
income statement (Note 10). Additionally, the Company sold its shares in NWR,
realising a gain of $2,455,000, which has been transferred to retained
earnings.
24. Disposal of Copper Bay Limited
On 31 March 2025, the Company completed the sale of its 76.1% shareholding in
CBL to Halo Minerals PLC (formerly Guardian Metals PLC). CBL, via its
subsidiaries, holds the mineral rights to a copper tailings project in Chile.
The assets and liabilities of Copper Bay entities were presented as held for
sale in the audited financial statements for the year ended 31 December 2024.
The exploration assets and property, plant and equipment held in CBL were
fully written off in prior years.
The consideration for CAML's 76.1% interest will be its pro rata share of the
overall consideration for 100% of CBL, which comprises a total of $7,500,000
in cash payable in two equal deferred instalments. The first instalment of
$3,750,000 will become payable on the production of 7,500 tonnes of copper
(either in cathode or concentrate form) by the CBL assets, and the balance of
$3,750,000 will become payable when that production reaches 15,000 tonnes.
Given the early stage of the project, and the uncertainty over the quantity
and timings of production the fair value of the contingent consideration
receivable has been assessed as nil.
Group and Company 31 Dec 25
$'000
Consideration receivable:
Fair value of contingent consideration -
Carrying amount of net assets sold (19)
Reclassification of foreign currency translation reserve (426)
Loss on disposal (445)
The carrying amounts of assets and liabilities as at the date of sale (31
March 2025) were:
Assets and liabilities 31 Mar 25
$'000
Trade and other receivables 2
Cash and cash equivalents 34
Total assets 36
Trade and other payables (17)
Total liabilities (17)
Net assets 19
During the year the following have been recognised in discontinued operations:
Loss from discontinued operations:
Group 2025 2024
$'000
$'000
General and administrative expenses (45) (162)
Loss on disposal (445) -
Foreign exchange gain/(loss) 16 (21)
Loss from discontinued operations (474) (183)
The loss for the year from discontinued operations, net of tax, presented on
the face of the consolidated income statement of $474,000 includes the loss on
disposal and the losses incurred by the Copper Bay group up to the date of
disposal, 31 March 2025, of $29,000.
25. Trade and other receivables
Group Company
31 Dec 25 31 Dec 24 31 Dec 25 31 Dec 24
$'000 $'000 $'000 $'000
Current receivables
Receivable due from subsidiary - - 671 651
Trade receivables 1,732 1,873 - -
Prepayments 2,076 2,379 335 354
Accrued income 3,344 832 - -
VAT receivable 2,744 2,190 111 238
Other receivables 442 456 143 192
10,338 7,730 1,260 1,435
Non-current receivables
Prepayments 1,278 2,947 - -
VAT receivable 5,268 3,669 - -
6,546 6,616 - -
The carrying value of all the above receivables is a reasonable approximation
of fair value. There are no amounts past due at the end of the reporting
period that have not been impaired apart from the VAT receivable balance as
explained below. Trade and other receivables are accounted for under IFRS 9
using the expected credit loss model and are initially recognised at fair
value and subsequently measured at amortised cost less any allowance for
expected credit losses. No expected credit losses have been recognised.
The increase in accrued income reflects higher commodity prices comparing
periods and an increase in Sasa revenue recognised in the period but not yet
invoiced or received at the reporting date, in accordance with the terms of
the relevant agreements.
As at 31 December 2025, the total Group VAT receivable was $8,012,000 (2024:
$5,859,000), which included a non-current amount of $5,268,000 (2024:
$3,669,000) of VAT owed to the Group by the Kazakhstan authorities. The Group
considers that the amount is fully recoverable under the Kazakhstan tax
legislation and the Group is working closely with its advisers to recover the
remaining portion. The planned means of recovery will be through a combination
of the local sales of cathode copper to offset VAT recoverable and by a
continued dialogue with the authorities for cash recovery and further offsets
against VAT payable on local sales.
26. Loans due from subsidiary
31 Dec 25 31 Dec 24
Company $'000 $'000
Current receivables
Loans due from subsidiary 22,641 22,094
22,641 22,094
Non-current receivables
Loans due from subsidiary 153,737 263,210
153,737 263,210
Loans due from subsidiaries are accounted for under IFRS 9 using the expected
credit loss model and are initially recognised at fair value and subsequently
measured at amortised cost less any allowance for expected credit losses.
At 31 December 2025, the Company had three loans due from directly owned
subsidiaries.
A loan is due from CAML MK Limited for $286,138,000 (2024: $283,743,000).
During the year, an expected credit loss allowance of $114,431,000 was
determined based on an expected credit loss model estimating the future cash
flows available to repay the loan based on the life-of-mine plan for Sasa.
This calculation was performed following the impairment of the Sasa CGU using
the future cash flows applied in the impairment assessment of the Sasa group
discounted disclosed in Note 19, excluding the in-situ value assigned to
mineralisation not in the production schedule, and discounted using the
original effective interest rate method of 2.25%. The loan accrues interest at
a rate of 2.25% per annum (2024: 2.25%).
A loan due from CAML Exploration Limited for $4,348,000 (2024: $1,561,000),
which accrues interest at a rate of 6.90% per annum (2024: 6.90%).
A loan due from CAML XD Limited for $323,000 (2024: nil), which accrues
interest at a rate of 6.08% per annum (2024: nil).
The loans have been assessed for expected credit loss under IFRS 9; however,
as the Group's strategies are aligned, there is no realistic expectation that
repayment would be demanded early ahead of the current repayment plans. Aside
from the expected credit loss recognised on the loan due from CAML MK Limited,
the expected future cash flows arising from the asset exceed the intercompany
loan value under various scenarios considered, which are outlined in the
impairment assessment in Note 19. The Company considers these loans to be
recoverable and any additional expected credit loss to be immaterial.
27. Inventories
Group 31 Dec 25 31 Dec 24 1 Jan 24
$'000
$'000
$'000
(restated)* (restated)*
Raw materials and consumables 18,615 15,066 16,016
Finished goods 1,982 1,046 1,924
20,597 16,112 17,940
* See Note 43 for details regarding the prior year restatement.
The Group recognises all inventory at the lower of cost and net realisable
value. There were
write-offs to the income statement during the year totalling $nil (2024:
$224,000) for defective consumables inventory. The total inventory recognised
through the income statement was $5,793,000 (2024: $6,285,000).
28. Cash and cash equivalents and restricted cash
Group Company
31 Dec 25 31 Dec 24 31 Dec 25 31 Dec 24
$'000
$'000
$'000
$'000
Cash at bank and on hand 79,673 67,318 69,474 57,400
Cash and cash equivalents 79,673 67,318 69,474 57,400
Restricted cash 396 327 - -
Total cash and cash equivalent including restricted cash 80,069 67,645 69,474 57,400
The restricted cash amount of $396,000 (2024: $327,000) is held at bank to
cover Kounrad subsoil user licence requirements. Under the terms of the
licence agreement, the release or use of these funds is contingent upon
obtaining written consent from the Kazakh government.
The Group holds an overdraft facility in North Macedonia, and these amounts
are disclosed in Note 35.
Reconciliation to cash flow statements
The above figures reconcile to the amount of cash shown in the statement of
cash flows at the end of the financial year as follows:
Group 31 Dec 25 31 Dec 24
$'000 $'000
Cash and cash equivalents as above (excluding restricted cash) 79,673 67,318
Cash at bank and on hand in held for sale assets subsequently disposed - 60
Balance per statement of cash flows 79,673 67,378
29. Share capital and premium
Group and Company Number of Ordinary Share Capital redemption reserve Treasury
shares
Shares
premium
shares
$'000
$'000 $'000
$'000
At 1 January 2024 182,098,266 1,821 205,725 - (15,413)
Exercise of share options - - 100 - 1,528
At 31 December 2024 182,098,266 1,821 205,825 - (13,885)
Exercise of share options - - - - -
Shares purchased for cancellation (2,512,804) (25) - 25 -
At 31 December 2025 179,585,462 1,796 205,825 25 (13,885)
The par value of Ordinary Shares is $0.01 per share and all shares are fully
paid.
Capital redemption reserve - share buyback programme
On 10 September 2025, the Company announced the initiation of a share buyback
programme to purchase Ordinary Shares of $0.01 each in the Company for up to
a maximum aggregate consideration of $10,000,000. The share buyback programme
is in line with the general authority to re-purchase, in the market, up to
18,190,494 Ordinary Shares granted by the Company's shareholders at the 2025
AGM held on 15 May 2025 and will be carried out on the London Stock Exchange.
The Buyback Programme commenced on the date of the announcement and will
continue until 31 March 2026 or until the number of Ordinary Shares equal to
a maximum aggregate consideration of $10,000,000 have been purchased under the
Buyback Programme or the process is terminated or paused.
Between 10 September 2025 and 31 December 2025, the Company purchased and
cancelled 2,512,804 Ordinary Shares for a total consideration of $5,191,000
(£3,862,000), at a volume weight average price of $2.08 (£1.56) per share.
This share buyback programme was completed post year end (see Note 42).
Employee Benefit Trust
The Company set up an Employee Benefit Trust (EBT) during 2009 for the purpose
of satisfying awards granted under the Company's Employee Share Plans (Note
31). In prior years, the Company issued and allotted Ordinary Shares to the
trustee of the EBT. The shares allotted to the EBT are treated as treasury
shares and deducted from equity in the consolidated statement of financial
position. In addition, shares are held jointly with the Company's EBT and
certain employees under a joint share ownership plan.
The share option exercises during the year were cash-settled, amounting to
$4,287,000 (2024: $3,900,000). In the prior year, certain exercise of share
options were partly settled by selling treasury shares and the excess of the
proceeds from the sale of treasury shares over their purchase price was
recognised in share premium.
Group and Company Treasury shares EBT shares EBT joint share ownership
No.
No.
No.
At 1 January 2024 193,325 5,691,150 2,239,602
Disposal of treasury shares - (626,537) -
At 31 December 2024 193,325 5,064,613 2,239,602
Disposal of treasury shares - - -
At 31 December 2025 193,325 5,064,613 2,239,602
30. Currency translation reserve
Currency translation differences arose primarily on the translation on
consolidation of the Group's Kazakhstan-based and North Macedonian-based
subsidiaries whose functional currency is the tenge and denar respectively. In
addition, currency translation differences arose on the goodwill and fair
value uplift adjustments to the carrying amounts of assets and liabilities
arising on the Kounrad Transaction and CMK Resources acquisition, which are
denominated in tenge and denar, respectively. During 2025, a non-cash currency
translation gain of $38,797,000 (2024: loss of $27,261,000) was recognised
within equity.
31. Share-based payment liability
The Company provides rewards to staff in addition to their salaries and annual
discretionary bonuses, through the granting of share options in the Company.
The Company share option scheme has an exercise price of effectively nil for
the participants.
The share options granted during 2012 until 2018 were based on the
achievement, by the Group and the participant, of the performance targets as
determined by the CAML Remuneration Committee that are required to be met in
year one, with options then able to be exercised one third annually from the
end of year one. Options granted from 2012 to 2018 had straightforward
conditions attached, have all vested and are valued at each reporting date
using the Group share price at that date less the exercise price.
Share options granted in 2019 vested after three years depending on the
achievement by the Group of the performance target relating to the level of
absolute total shareholder return compound annual growth rate of the value of
the Company's shares over the performance period of three financial years
ending 31 December 2021.
Share options granted in 2020 to 2025 vest after three years depending on a
combination of the achievement by the Group of the performance target relating
to the level of total shareholder return compound annual growth rate of the
value of the Company's shares over the performance period of three financial
years relative to the constituents of a selected group mining index of
companies as well as sustainability performance targets.
The fair value at grant date of the 2019 to 2025 grants is independently
determined using a Monte Carlo simulation model that takes into account the
exercise price, the term of the option, the impact of dilution (where
material), the share price at grant date and expected price volatility of the
underlying share, the expected dividend yield, the risk-free interest rate for
the term of the option, and the correlations and volatilities of the share
price.
As at 31 December 2025, the share options granted in 2019, 2020, 2021 and 2022
(2024: 2019, 2020 and 2021) have vested. These options are valued at year-end
using the Group share price at that date, less the exercise price. As at 31
December 2025, the share options granted in 2023, 2024 and 2025 (2024: 2022,
2023 and 2024) have not yet vested. These unvested options have been fair
valued at the year-end using the Monte Carlo simulation model.
Group and Company 31 Dec 25 31 Dec 24
$'000
$'000
Vesting period 3 years 0 months 3 years 0 months
Exercise price $0.01 $0.01
Risk-free interest rate 3.93% 4.19%
Volatility 1.88% 3.81%
Share price at year end £1.88 £1.57
The volatility was determined based on the length of the vesting period, which
is three years, and the historical share price during this period at the date
of valuation. Additionally, since the vesting conditions of the share options
are based on CAML's share price compared to the relative total shareholder
return of constituents in a selected mining index, the model uses correlations
of the share prices to assign a value to the share option.
As at 31 December 2025, 7,629,584 (2024: 6,976,892) options were outstanding.
Share options are granted to Directors and selected employees.
Movements in the number of share options outstanding and their related
weighted average price are as follows:
2025 2024
Average exercise Options Average exercise Options
price in $ per
(number)
price in $ per
(number)
share option
share option
At 1 January 0.01 6,976,892 0.01 6,425,720
Granted 0.01 2,389,761 0.01 2,012,034
Exercised 0.01 (1,455,285) 0.01 (1,293,658)
Non-vesting 0.01 (281,784) 0.01 (167,204)
At 31 December 0.01 7,629,584 0.01 6,976,892
Non-vesting shares relate to options granted for which the performance targets
were not met. Out of the outstanding options of 7,629,584 (2024: 6,976,892),
3,172,810 options (2024: 1,972,648) were exercisable as at 31 December 2025
excluding the value of additional share options for dividends declared on
those outstanding. The related weighted average share price at the time of
exercise was $2.07 (2024: $2.73) per share. Share options exercised by the
Directors during the year are disclosed in the Remuneration Committee Report.
Share options outstanding at the end of the year have the following expiry
date and exercise prices:
Grant - vest Expiry date Option 2025 2024
of option
exercise
Options
Options
price $
(number)
(number)
22 Apr 15 22 Apr 27 0.01 212,121 212,121
18 Apr 16 17 Apr 27 0.01 227,312 227,312
21 Apr 17 20 Apr 27 0.01 168,279 168,279
2 May 18 1 May 28 0.01 265,091 309,031
30 May 19 29 May 29 0.01 193,616 273,340
16 Dec 20 15 Dec 30 0.01 97,147 198,223
15 Jul 21 14 Jul 31 0.01 152,969 584,341
22 Jun 22 21 Jun 32 0.01 540,807 1,339,979
12 Apr 23 11 Apr 33 0.01 1,644,022 1,652,232
9 Apr 24 8 Apr 34 0.01 1,922,422 2,012,034
29 May 25 28 May 35 0.01 2,205,798 -
7,629,584 6,976,892
The changes in the fair value of the cash-settled share-based payments of
$7,955,000 (2024: $3,966,000) have been reported within the consolidated
income statement.
Group and Company 31 Dec 25 31 Dec 24
$'000
$'000
Share-based payment liability 14,594 10,926
Classified as:
Current 11,984 8,635
Non-current 2,610 2,291
The total intrinsic value at the end of 31 December 2025 for which the share
options have vested is $7,994,000 (2024: $6,165,000) which includes the value
of additional share options for dividends declared on those exercisable.
32. Employee benefit liabilities
Group Employee retirement Jubilee benefits scheme Total
defined benefit scheme
$'000
$'000
$'000
At 1 January 2024 282 378 660
Change in estimate 85 121 206
Settlements (14) (19) (33)
Exchange rate difference (18) (24) (42)
At 31 December 2024 335 456 791
Change in estimate 44 (295) (251)
Remeasurements of defined benefit pensions schemes 25 - 25
Settlements (28) (5) (33)
Unwinding of discount (Note 16) 18 8 26
Exchange rate difference 45 44 89
At 31 December 2025 439 208 647
Non-current 393 182 575
Current 46 26 72
At 31 December 2025 439 208 647
Employee retirement defined benefit scheme
In accordance with IAS 19 Employee Benefits, the Group recognises defined
benefit obligations in respect of statutory retirement benefits and jubilee
awards in North Macedonia. Comparative balances at 31 December 2024 have been
reclassified in the statement of financial position, with $728,000 of
non-current and $63,000 of current obligations reclassified from provisions to
employee benefit liabilities to better reflect their nature.
All employers in North Macedonia are obliged to pay employees a minimum
severance pay on retirement equal to two months of the average monthly salary
applicable in the country at the time of retirement. The retirement benefit
obligation is stated at the present value of expected future payments to
employees with respect to employment retirement pay. The present value
of expected future payments to employees is determined by an independent
authorised actuary in accordance with the prevailing rules of actuarial
mathematics.
The Group is obliged to pay jubilee anniversary awards in North Macedonia for
each ten years of continuous service of the employee.
The employee benefit liabilities are recognised in accordance with actuary
calculations. Basic 2025 actuary assumptions are used as follows:
Discount rate: 5.20%
Expected rate of salary increase: 6.10%
33. Trade and other payables
Group Company
31 Dec 25 31 Dec 24 31 Dec 25 31 Dec 24
$'000
$'000
$'000
$'000
Trade and other payables 9,436 7,403 234 280
Accruals 5,702 5,792 5,049 5,397
Social security and other taxes 7,403 3,978 1,335 282
Derivative financial instruments 1,179 - 1,179 -
23,720 17,173 7,797 5,959
The carrying value of all the above payables is equivalent to fair value.
All Group and Company trade and other payables are payable within less than
one year for both reporting periods.
34. Silver stream commitment
The carrying amounts of the silver stream commitment for silver delivery are
as follows:
Group 31 Dec 25 31 Dec 24
$'000
$'000
Current 1,130 1,082
Non-current 13,902 14,978
15,032 16,060
On 1 September 2016, the CMK Group entered into a Silver Purchase Agreement.
The CAML Group acquired this agreement as part of the acquisition of the CMK
Group and inherited a silver stream commitment related to the production of
silver during the life of the mine. The reduction in the silver stream
commitment is recognised in the income statement within cost of sales as the
silver is delivered based on the units of production and is updated to reflect
the latest estimate of reserves.
35. Borrowings and loans due to subsidiary
Group Company
31 Dec 25 31 Dec 24 31 Dec 25 31 Dec 24
$'000
$'000
$'000
$'000
Current
Bank overdrafts:
Unsecured 936 252 - -
Loans due to subsidiary - - 48,729 42,220
Total current 936 252 48,729 42,220
The movement on the overdrafts and loans due to subsidiary can be summarised
as follows:
Group - overdrafts Company - loan due to subsidiary
31 Dec 25 31 Dec 24 31 Dec 25 31 Dec 24
$'000
$'000
$'000
$'000
Balance at 1 January 252 326 42,220 28,146
Drawdown of overdraft 20,463 3,563 - -
Repayments of overdraft (19,841) (3,621) - -
Advance of loan due to subsidiary - - 67,000 71,500
Repayments of loan due to subsidiary - - (60,500) (57,500)
Finance charge interest 99 20 1,637 1,750
Interest paid (99) (20) (1,628) (1,676)
Foreign exchange 62 (16) - -
Balance at 31 December 936 252 48,729 42,220
Group
The overdrafts are held with North Macedonian banks and are denominated in
euro and payable at fixed interest rates ranging from 3.24% to 5.30%.
Company
The Company has an outstanding loan due to its subsidiary, Kounrad Copper
Company LLP (KCC), an indirectly owned subsidiary. The initial loan, entered
into under a loan agreement dated 5 August 2024, was fully repaid in April
2025.
In June 2025, the Company entered into a new loan agreement with KCC with an
outstanding balance at 31 December 2025 of $48,729,000. The loan accrues
interest at a rate of 6.67% per annum and is repayable on demand.
The total interest paid on loans with KCC during the year amounted to
$1,628,000 (2024: $1,676,000).
The carrying value of loans due to subsidiary and overdrafts approximates fair
value:
Carrying amount Fair value
Group 31 Dec 25 31 Dec 24 31 Dec 25 31 Dec 24
$'000 $'000 $'000 $'000
Bank overdrafts 936 252 936 252
936 252 936 252
The carrying value of loans due to subsidiary and overdrafts approximates fair
value:
Carrying amount Fair value
Company 31 Dec 25 31 Dec 24 31 Dec 25 31 Dec 24
$'000 $'000 $'000 $'000
Loan due to subsidiary 48,729 42,220 48,729 42,220
48,729 42,220 48,729 42,220
36. Provisions for other liabilities and charges
Group Asset Leasehold dilapidation Legal Total
retirement obligation
$'000
claims
$'000
$'000
$'000
At 1 January 2024 26,100 94 2 26,196
Change in estimate (576) - - (576)
Unwinding of discount (Note 16) 2,013 7 - 2,020
Exchange rate difference (2,366) (2) - (2,368)
At 31 December 2024 25,171 99 2 25,272
Change in estimate 6,863 - - 6,863
Unwinding of discount (Note 16) 2,337 10 - 2,347
Exchange rate difference 2,704 4 - 2,708
At 31 December 2025 37,075 113 2 37,190
Non-current 37,075 113 2 37,190
Current - - - -
At 31 December 2025 37,075 113 2 37,190
The Company has $113,000 leasehold dilapidation costs associated with its
office premises at 31 December 2025 (2024: $99,000).
a) Asset retirement obligation
The Group provides for the asset retirement obligation associated with the
mining activities at Kounrad, estimated to be required in 2034. During 2022,
the Group engaged an external expert consultant to prepare a conceptual
closure plan and asset retirement obligation for the leaching and Kounrad
operation and associated infrastructure. The expected current cash flows,
including a cost contingency of 10%, were projected over the useful life of
the mining site and inflated using an inflation rate of 11.07% (2024: 7.61%)
and discounted to 2025 terms using a nominal pre-tax risk-free discount rate
of 6.25% (2024: 6.71%). The costs of the related assets are depreciated over
the useful life of the assets and are included in property, plant and
equipment.
The Group also provides for the asset retirement obligation associated with
the mining activities at Sasa, estimated to be primarily commencing in 2034.
The expected current cash flows, including a cost contingency of 10%, were
projected over the useful life of the mining site and inflated using a
compounded inflation rate of 5.05% (2024: 4.79%) and discounted to 2025 terms
using a discount rate of 8.84% (2024: 9.52%). The costs of the related assets
are depreciated over the useful life of the assets and are included in
property, plant and equipment.
The increase in estimate in relation to the asset retirement obligation of
$6,863,000 (2024: decrease of $576,000) is driven primarily by an updated
life-of-mine for the Sasa mine now assumed to be 2034 which accelerates the
expected timing of closure cash outflows. The movement also reflects revisions
to the timing of certain closure activities and the application of updated
discount and inflation rates at the Kounrad and Sasa operations based on the
Group's latest assumptions.
b) Legal claims
The Group is party to certain legal claims. Provisions are recognised where
management considers that an outflow of economic benefits is probable and can
be reliably estimated, based on the specific facts of each case, the stage of
proceedings and advice from external legal counsel. Matters are reassessed at
each reporting date and provisions updated as necessary.
37. Cash generated from operations
Group Note 2025 2024
$'000
$'000
(restated)*
(Loss)/profit before income tax including discontinued operations (58,980) 77,061
Adjustments for:
Impairment of non-current assets 19, 20 117,765 -
Depreciation and amortisation 30,350 27,088
Silver stream commitment amortisation 7 (1,028) (984)
Share of post-tax loss of investment in equity accounted associate 22 140 76
Cash-settled share-based payments 29, 31 (4,287) (3,900)
Fair value movement of share-based payment liability 31 7,955 3,966
(Gain)/loss on disposal of property, plant and equipment 19 (36) 9
Loss on disposal of Copper Bay Limited 24 445 -
Foreign exchange loss/(gain) 4,216 (5,638)
Other income (1,600) (336)
Other losses 1,456 882
Finance income 15 (1,792) (2,364)
Finance costs 16 2,612 2,192
Changes in working capital:
(Increase)/decrease in inventories (2,780) 2,716
Increase in trade and other receivables (5,369) (1,561)
Settlement of employee benefit liabilities (33) (34)
Increase/(decrease) in trade and other payables 723 (5,276)
Cash generated from operations 89,757 93,897
The increase in trade and other receivables includes a movement in the Group
VAT receivable balance of $1,652,000 (2024: $1,125,000), which is offset
against Group corporate income tax payable during the year. Comparative cash
flows relating to overdrafts have been presented on a gross basis to better
align with IAS 7.
38. Commitments
Significant expenditure contracted for at the end of the reporting period but
not recognised as liabilities is as follows:
Group 31 Dec 25 31 Dec 24
$'000
$'000
Property, plant and equipment 6,647 5,165
6,647 5,165
39. Dividend per share
During the year, the Company paid $31,386 000 (2024: $40,869,000), which
consisted of a 2025 interim dividend of 4.5 pence per share and 2024 final
dividend of 9 pence per share (2024: 2024 interim dividend of 9 pence per
share and 2023 final dividend of 9 pence per share).
40. Related party transactions
Key management remuneration
Key management remuneration comprises the Directors' remuneration, including
Non-Executive Directors, and is as follows:
2025 2025 2025 2025 2025 Employers' 2025 2024
Basic salary/fees
Annual
Pension
Benefits in kind
NI
Total
Total
$'000
bonus
$'000
$'000
$'000
$'000
$'000
$'000
Executive Directors:
Gavin Ferrar 566 387 8 10 162* 1,133 977
Louise Wrathall 436 300 9 5 105 855 853
Non-Executive Directors:
Nick Clarke 230 - - - 33 263 480
Mike Prentis 118 - - - 16 134 129
Dr Gillian Davidson 112 - - - 15 127 121
Roger Davey 112 - - - 15 127 121
Dr Mike Armitage 98 - - - 13 111 108
Nigel Robinson(1) 216 - - 3 216* 435 1,394
Alison Baker(2) 42 - - - 6 48 -
David Swan(3) 84 - - - 11 95 121
2,014 687 17 18 592 3,328 4,304
1 Held the position of Executive Director until 31 March 2025 and was
subsequently appointed as a Non-Executive Director on 1 April 2025.
2 Appointed on 21 August 2025.
3 Resigned on 2 September 2025.
* Employers' NI includes amounts payable on the exercise of share options as
disclosed below.
During the year, the Non-Executive Director, Nigel Robinson, and the Executive
Director, Gavin Ferrar, exercised 895,100 options for a total share option
gain of $1,809,000, as set out in the table below:
Name Position Number of options over shares exercised Share option
gain
$'000
Nigel Robinson Non-Executive Director 617,276 1,241
Gavin Ferrar Chief Executive Officer 277,824 568
895,100 1,809
The directors who hold an interest in the issued share capital of the Company
during the year received dividends amounting to:
Name Position 2025 2024
Dividends
Dividends
$'000 $'000
Nick Clarke Non-Executive Chairman 245 321
Nigel Robinson Non-Executive Director 115 151
Dr Mike Armitage Non-Executive Director 4 6
Mike Prentis Non-Executive Director 3 4
Dr Gillian Davidson Non-Executive Director 2 2
Louise Wrathall Chief Financial Officer 2 2
Gavin Ferrar Chief Executive Officer 2 2
David Swan Non-Executive Director 1 2
Alison Baker Non-Executive Director 1 -
375 490
CAML Exploration Limited
CAML X is owned 80% by CAML and 20% by Thaler Minerals LLP (Thaler). CAML X's
CEO is Vladimir Benes who is also a shareholder of Thaler. He is therefore an
ultimate beneficial shareholder of CAML X.
Kounrad Foundation
The Kounrad Foundation, a charitable foundation through which Kounrad donates
to the community, was advanced $608,000 (2024: $569,000). This is a related
party by virtue of common Directors.
Sasa Foundation
The Sasa Foundation, a charitable foundation through which Sasa donates to the
community, was advanced $303,000 (2024: $408,000). This is a related party by
virtue of common Directors.
41. Deferred tax asset and liability
Group
The movements in the Group's deferred tax asset and liability are as follows:
Group At Currency translation (Debit)/ At
1 January
differences $'000
credit to
31 December
2025
income
2025
$'000
statement
$'000
$'000
Other temporary differences (2,006) (84) (1,185) (3,275)
Fair value adjustment on Kounrad Transaction (3,457) (136) 242 (3,351)
Fair value adjustment on CMK (Sasa) acquisition (10,589) (1,297) 11,886 -
Deferred tax liability, net (16,052) (1,517) 10,943 (6,626)
Reflected in the statement of financial position as: 31 Dec 25 31 Dec 24
$'000
$'000
Deferred tax asset 534 561
Deferred tax liability (7,160) (16,613)
Group At Currency translation Credit to income At
1 January
differences $'000
statement
31 December
2024
$'000
2024
$'000
$'000
Other temporary differences (2,381) (4) 379 (2,006)
Fair value adjustment on Kounrad Transaction (4,259) 533 269 (3,457)
Fair value adjustment on CMK (Sasa) acquisition (11,831) 627 615 (10,589)
Deferred tax liability, net (18,471) 1,156 1,263 (16,052)
A taxable temporary difference arose as a result of the Kounrad Transaction
and CMK Resources Limited (Sasa) acquisition, where the carrying amounts of
the assets acquired were increased to fair value at the date of acquisition
but the tax base remained at cost. The Kounrad deferred tax relates to the
asset in mining licences and permits within intangible assets and the CMK
Resources Limited (Sasa) deferred tax relates to the asset in mineral rights
in plant, property and equipment.
The deferred tax liability arising from these taxable temporary differences
has been reduced by $12,128,000 during the year (2024: $884,000) to reflect
the tax consequences of impairing and depreciating the recognised fair values
of the assets during the year.
Group 31 Dec 25 31 Dec 24
$'000 $'000
Deferred tax liability due within 12 months (1,023) (1,568)
Deferred tax liability due after 12 months (6,137) (15,045)
Deferred tax liability (7,160) (16,613)
All deferred tax assets are due after 12 months. All amounts are shown as
non-current on the face of the statement of financial position as required by
IAS 12 Income Taxes.
Where the realisation of deferred tax assets is dependent on future profits,
the Group recognises losses carried forward and other deferred tax assets only
to the extent that the realisation of the related tax benefit through future
taxable profits is probable.
The Group did not recognise other potential deferred tax assets arising from
interest expenses disallowed under the UK Corporate Interest Restriction rules
and tax losses carried forward of $41,754,000 (2024: $36,952,000), arising
from asset retirement obligations of $4,162,000 (2024: $2,708,000) and in
respect of share-based payments $1,974,000 (2024: $nil) as there is
insufficient evidence of future taxable profits within the entities
concerned. Unrecognised losses can be carried forward indefinitely.
Company
At 31 December 2025 and 2024, the Company had no recognised deferred tax
assets or liabilities.
At 31 December 2025, the Company had not recognised potential deferred tax
assets arising from tax losses carried forward of $22,265,000 (2024:
$24,297,000) as there is insufficient evidence of future taxable profits. The
losses can be carried forward indefinitely.
At 31 December 2025, the Company had other deferred tax assets of $1,974,000
(2024: $nil) in respect of share-based payments and other temporary
differences that had not been recognised because of insufficient evidence of
future taxable profits.
42. Events after the reporting period
Share buyback programme
After the reporting period, the Company purchased and cancelled 1,681,181
Ordinary Shares for a total consideration of $4,732,000. Following the
cancellation, the total number of issued Ordinary Shares is 177,904,281 as at
18 March 2026. The buyback programme was completed on 4 March 2026.
Share premium cancellation
On 10 March 2026, the Company announced a proposed cancellation of the
Company's share premium account (the 'Share Premium Cancellation'). The Share
Premium Cancellation is being undertaken in order to restructure the Company's
balance sheet so as to increase the amount of distributable reserves available
(subject to the protection of creditors).
The Share Premium Cancellation will create further distributable reserves to
support the Company's ability to make future payments of dividends to its
shareholders and undertake potential further share buybacks (in each case
should circumstances mean it is appropriate or desirable to do so), as well as
other corporate purposes of the Company.
The Share Premium Cancellation is conditional upon the passing of a special
resolution by the Company's shareholders at an Extraordinary General Meeting
to be held on 30 March 2026, in addition to approval by the court. It is
expected that the effective date of the Share Premium Cancellation will be on
or around 29 April 2026.
In addition to the Share Premium Cancellation, in March 2026, $33,000,000 of
intercompany dividends were distributed from Kazakhstan to the parent company,
increasing the amount of distributable reserves available.
Aberdeen Minerals
In January 2026, CAML exercised a portion of the warrants received as part of
its initial £3 million investment in Aberdeen in 2024, for $1.1 million
(£850,000), increasing CAML's shareholding to 32.6% from 28.4% previously.
The warrants allowed for a further investment of up to £2 million, and
agreement was also reached to extend the expiry of the remaining warrants to
allow sufficient time for the exploration work on this southwestern target
zone to be evaluated.
43. Prior year restatement
Since the commencement of Kounrad's operations, the two Kazakh subsidiaries
have undertaken intercompany sales and purchases at a mark-up to account for
the copper contained within chemical solutions. As the Group cannot recognise
profit on internal trading until copper is sold to external customers, the
mark-up provision for unrealised profit (PURP) should have been reversed when
such external sales occurred. However, historically this reversal on
consolidation was not performed in full, leading to an understatement of
inventory and an overstatement of cost of sales, with the cumulative impact
reflected in retained earnings. The restatement had no impact on current or
deferred taxation. As a result, the Group has restated the 2024 financial
statements and the statement of financial position as at 1 January 2024 in
accordance with IAS 8. The consolidated financial statement line items
affected in the prior years are as follows:
Consolidated statement of financial position (extract) 31 Dec 24 Adjustment 31 Dec 24 1 Jan 24 Adjustment 1 Jan 24
$'000
$'000
$'000
$'000
$'000
$'000
(restated)
(restated)
(previously stated)
Inventories 12,517 3,595 16,112 14,879 3,061 17,940
Retained earnings 307,864 3,595 311,459 297,871 3,061 300,932
Total equity 351,712 3,595 355,307 367,583 3,061 370,644
Consolidated income statement (extract) 2024 Adjustment 2024
$'000
$'000
$'000
(previously stated)
(restated)
Cost of sales (108,801) 534 (108,267)
Profit for the year 50,631 534 51,165
Basic EPS from profit for the year, $ cents 28.80 0.30 29.10
Diluted EPS from profit for the year, $ cents 26.84 0.30 27.14
There was no impact on the parent company profit.
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Copyright 2019 Regulatory News Service, all rights reservedRecent news on Central Asia Metals
See all newsREG - Central Asia Metals - 2025 Full-Year Results
AnnouncementREG - Central Asia Metals Morgan Stanley - TR-1: Notification of major holdings
AnnouncementREG - Central Asia Metals - Proposed Share Premium Cancellation and EGM Notice
AnnouncementREG - Central Asia Metals - Transaction in Own Shares
AnnouncementREG - Central Asia Metals - Transaction in Own Shares
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