Anglo American releases 1Q24 Production Report

1Q24 highlights:

Copper production increased by 11%, reflecting higher throughput at Quellaveco, despite the impact of planned lower grades, as well as the benefit of higher grades and throughput at Collahuasi and El Soldado.

Steelmaking coal production increased by 7%, driven by the Aquila and Capcoal operations, partially offset by the Dawson open cut operation and ongoing challenges with the strata conditions at Moranbah.

Iron ore production was flat, with a strong performance from Minas-Rio, up 4%, offset by a planned decrease at Kumba to align with third-party logistics constraints.

Rough diamond production decreased by 23%, primarily due to changes implemented to lower production in response to market inventory levels. FY24 production guidance has been lowered to 26 – 29 million carats, with unit costs revised accordingly to approximately $90/carat.

Production from Platinum Group Metals (PGMs) operations was 7% lower, reflecting expected lower volumes from Kroondal (which is reported as third-party purchase of concentrate from November 2023) and lower production at Amandelbult.

Nickel production was broadly unchanged.

Duncan Wanblad, Chief Executive of Anglo American, said: “We were pleased with the performance in the first quarter, with copper production increasing by 11% as Quellaveco achieved its highest plant throughput rate, while Collahuasi and El Soldado in Chile benefitted from higher grades. Steelmaking coal production also increased by 7%, due to the performance at the Aquila longwall and Capcoal open cut operations. De Beers implemented changes to lower its diamond production for the year by approximately 3 million carats which, combined with lower production from our PGMs operations, resulted in flat production overall for the Group compared to the same period of last year.

“We are driving operational excellence across our assets, focusing on stability and effective cost management as levers to deliver significant value through the cycle. We are progressing through our asset review to optimise value by simplifying and improving the overall quality of the portfolio. With copper now representing 30% of our total production, and having the benefit of several well-sequenced and value-accretive copper growth options within our portfolio over the medium-term, we are also setting up the business to deliver and grow into the major demand themes.”

Read the article online at: https://www.globalminingreview.com/mining/23042024/anglo-american-releases-1q24-production-report/