Central Asia Metals

CAML offers a compelling investment opportunity as a low-cost, multi-asset producer benefiting from structural demand growth across copper, zinc, and lead. Copper demand remains driven by global electrification, renewable energy infrastructure, and electric vehicles, while zinc and lead continue to play essential roles in galvanizing steel, energy storage, and industrial applications. With stable production of 13,000–14,000 tonnes of copper, 17,000–19,000 tonnes of zinc, and 25,000–27,000 tonnes of lead forecast for 2025, CAML provides strong exposure to these critical metals at highly competitive cost structures.

The company's long track record of operational outperformance and disciplined capital allocation makes it particularly attractive to income-focused investors. CAML’s approach emphasizes maintaining strong cash reserves, returning capital through dividends and buybacks, and selectively pursuing accretive growth opportunities. Its recent sale of New World Resources shares for $18.7 million, along with exploration progress in Kazakhstan and Scotland, highlights management’s ongoing strategy to expand its pipeline while preserving financial flexibility.

As base metals continue to benefit from the global energy transition and infrastructure spending, CAML's high-margin operations, low-risk jurisdictions, and sustainability leadership position the company to deliver strong long-term value.

CAML is led by a highly experienced leadership team with deep expertise across mining operations, finance, corporate strategy, and capital markets. At the helm is Chief Executive Officer Gavin Ferrar, who brings over 25 years of mining-sector experience. Gavin began his career with Anglo American in exploration, project evaluation, and feasibility work before moving into investment banking with Barclays Capital and Investec, where he specialized in mining-sector financing and equity investments. He joined CAML in 2014, served six years as CFO, and was appointed CEO in 2024, bringing a strong blend of technical, commercial, and strategic capability.

The company’s financial strategy is overseen by Chief Financial Officer Louise Wrathall, who has more than 20 years of mining and capital markets experience. Louise spent a decade as a mining equity analyst at Investec covering companies across the sector, from major producers to juniors. Since joining CAML in 2015, she has played key roles in investor relations and business development before transitioning to CFO in 2024.

CAML’s governance is strengthened by Senior Independent Director Mike Prentis, a seasoned investment professional with 33 years of experience at BlackRock and 3i Group. His background in fund management, private equity, and corporate governance brings valuable independent oversight to the Board.

CAML is executing a multi-faceted growth strategy targeted at strengthening cash flow from its core operations while building a pipeline of future value opportunities. Central to this strategy is the continuous optimization of Kounrad and Sasa. At Sasa, CAML is completing a major operational transition from sub-level caving to paste-fill and long-hole stoping. This shift is designed to improve grade control, reduce dilution, responsibly manage tailings, and extend the mine's life well into the next decade. The company completed the Central Decline at the end of 2024, significantly improving haulage efficiency and enabling more productive long-term mine development.

In parallel, CAML is advancing early-stage exploration across its 80%-owned Kazakhstan licences, where magnetic, geochemical, and induced polarization surveys conducted in 2025 have de-risked targets for the upcoming 2026 drill program. The company is also evaluating several advanced projects in Kazakhstan for potential acquisition. Its 28.4% equity interest in Aberdeen Minerals’ nickel-copper-cobalt project in Scotland provides exposure to future-facing battery metals, with Phase 2B drilling completed in Q3 2025 and results expected by year-end.

CAML remains open to strategic transactions, joint ventures, or acquisitions that complement its base-metals portfolio. The company's strong cash generation and debt-free balance sheet ensure it is well-positioned to pursue opportunities while maintaining its longstanding commitment to shareholder returns.

CAML delivered robust financial performance in H1 2025, reporting $99.5 million in revenue, $39.9 million in EBITDA (40% margin), and maintaining one of the strongest balance sheets in its peer group. Cash totaled $47.7 million at the half-year mark, further strengthened post-period by the divestment of non-core equity holdings. Kounrad continued to be the company’s largest contributor, generating $38.3 million in EBITDA, supported by low cash costs and stable production. Meanwhile, Sasa contributed $11.9 million, reflecting strong throughput and improved operational stability.

CAML’s capital expenditure remains disciplined, with $7.4 million spent in H1 2025 and full-year capex expected between $18–21 million, primarily supporting development and equipment upgrades at Sasa and sustaining capital at Kounrad. The company generated $16.2 million in adjusted free cash flow during the period, enabling continued capital returns to shareholders.

Longer-term financial strength is underpinned by stable production, low operating costs, strong metal prices, and a flexible balance sheet that supports both organic and strategic growth.

Central Asia Metals is a proven, high-margin base metals producer with a long record of operational success, disciplined capital allocation, and consistent shareholder returns. Its robust portfolio, anchored by the low-cost Kounrad copper operation and the long-life Sasa zinc-lead mine provides stable production, strong cash flow, and exposure to metals critical to the global energy transition.

With ongoing operational improvements, active exploration programs, and a strong balance sheet, CAML is well-positioned to pursue value-accretive growth while maintaining its focus on sustainability and community partnership. For investors seeking exposure to a reliable, diversified, and ESG-focused producer of essential base metals, CAML represents an attractive long-term opportunity.

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