** Shares of diversified miner South32 fall as much as 4.1% to A$3.530, their lowest levels since Nov 15

** Co has pulled its production outlook for its Mozal Aluminium smelter in Mozambique amid ongoing violent protests in the African nation

** Morgan Stanley sees co stock at 'Equal-Weight', as brokerage believes a shut-in could allow for half of alumina sales to be made on spot, offsetting impact of shutdown.

** Brokerage maintains PT of A$3.30

** Stock posts its biggest intraday percentage fall since Aug 5

** Stock has risen 10.5% this year, as of last close

(Reporting by Nichiket Sunil in Bengaluru)

((Nichiket.Sunil@thomsonreuters.com))