Reuters reported that Aurubis, Europe's biggest copper smelter reiterated its forecast of satisfactory 2012 to 2013 results despite problems faced elsewhere in the European metals industry, anticipating offshore wind farm developments will boost copper demand.

 

Mr Peter Willbrandt CEO of Aurubis said that "We see a good business development in this year. We will enter the coming months with confidence and expect a satisfactory result for the full financial year."

 

Aurubis posted earnings before taxes of 140 million euros in the Q1 of its 2012 to 2013 financial year starting on October 1 up from EUR 86 million in the Q1 of the previous year but partly because of extraordinary effects.

 

Aurubis' confidence contrasts with the depressed picture in some other metals producers. German steelmaker Salzgitter a leading shareholder in Aurubis forecast lower than expected pretax earnings this year amid weak steel demand and intense competition.

 

Aurubis had on December 13 reported 4% rise in full year 2011 to 2012 earnings before taxes buoyed by higher sales and processing fees from mines despite a poor economic climate. Aurubis expects continued strong copper demand in 2013 and there are signs of improvements in copper product markets

 

Mr Willbrandt said that "We saw positive signals in the recently-completed negotiating season for annual contracts for product sales. Aurubis is a major producer of rolled and cast copper products. Programs in Germany and elsewhere to expand renewable energy generation would also be positive for copper demand as large new offshore wind farms will need extensive cable connections containing large volumes of copper.

 

He said that Japanese group Mitsubishi alone plans investment in four North Sea cable projects totalling EUR 776 million. Three other cables are under construction and tenders for three others have been issued. Ocean cables generally contain a very high volume of copper and windmills also contain a large amount of our metals. This is good for us."