OREANDA-NEWS. Europe's No.2 copper producer KGHM is seen posting an 18-percent fall in its fourth-quarter net profit after higher copper sales boosted the year-ago figure, a Reuters survey showed on Tuesday.

The state-controlled miner is expected to show a net profit of 667 million zlotys (\$173.4 million) on sales 7 percent down at 4.54 billion, based on the average of estimates from eight banks and brokerages.

Thie would mean that the company, also the world's largest silver producer, booked a net profit of 2.42 billion zlotys in the whole of 2014, compared to 3.1 billion a year earlier. The weaker zloty takes only some edge off the falling metals prices.

The earnings estimates are for KGHM's unconsolidated results, generated only by the parent company. They are the basis for dividend payouts and KGHM's foreign subsidiaries still did not add much to the bottom line last quarter.

This will change thanks to KGHM's key overseas asset, the Sierra Gorda mine in Chile, which made its first shipment last year. Sierra Gorda, one of the world's largest copper projects, is, however, still at ramp-up stage.