Kaz Minerals defers Aktogay project construction costs payment

Nov 17 (Reuters) - Kazakh copper producer Kaz Minerals (LSE: KAZ.L - news) said on Tuesday it had agreed with its principal constructor Non Ferrous China (NFC) to defer by two years payment of $300 million in construction costs for its Aktogay project.

The London-listed company said the costs, which were scheduled to be paid in 2016 and 2017, would now be settled in the first half of 2018.

There was no change to the amount payable and the project budget remained unchanged at $2.3 billion, the company said.

"The deferral of $300 million to 2018 provides Kaz Minerals with additional liquidity during the construction and ramp up of Bozshakol and Aktogay," Chief Executive Oleg Novachuk said in a statement.

Kaz said last month it was on track to achieve its 2015 copper cathode production target of 80,000 tonnes to 85,000 tonnes.

The company is planning to increase its copper output to about 300,000 tonnes by 2018 through three new projects: Bozshakol, Aktogay and Koksay.

Kaz expects first copper cathode output from Aktogay in the fourth quarter of this year and the commissioning of its Bozshakol project is expected in the first quarter of 2016. (Reporting by Olivia Kumwenda-Mtambo; Editing by Mark Potter)