By Jaime Llinares Taboada
Anglo American PLC on Thursday reported higher production for the third quarter of the year, but narrowed guidance for diamonds, copper and iron ore toward the lower end of the range. Here's what the mining company had to say:
On 3Q production:
"Production is up 2% compared to Q3 of last year, with our operating levels generally maintained at approximately 95% of normal capacity."
"The increase in production is led by planned higher rough diamond production at De Beers, increased production from our Minas-Rio iron ore operation in Brazil, reflecting the planned pipeline maintenance in Q3 2020, and improved plant performance at our Kumba iron ore operations in South Africa."
"Copper production decreased by 6% due to planned maintenance at Collahuasi, while total year to date production across all copper operations increased marginally by 1% despite ongoing water availability constraints caused by record drought conditions in Chile."
"Platinum Group Metals (PGMs) operations delivered a 39% increase in refined output, reflecting stable performance from the ACP Phase A unit"
"Iron ore production increased by 15%, driven primarily by a 22% uplift from Minas-Rio, reflecting the planned maintenance period in Q3 2020 for routine internal scanning of the pipeline."
"Export metallurgical coal production decreased by 11% to 4.3 million [metric] tons due to operations at Moranbah being impacted by challenging geological conditions for most of the quarter."
"Primary nickel production increased by 2% over the period and by-product nickel from our PGMs business increased by 20% to 6,000 tons."
"Rough diamond production increased by 28% to 9.2 million carats, reflecting planned higher production to meet stronger demand for rough diamonds."
"Manganese ore production increased by 7% to 1,003,600 tons, benefiting from improved productivity at the South African operations."
On 2021 guidance:
"We are broadly on track to deliver our full year production guidance across all products, while taking the opportunity to tighten up the guidance for diamonds, copper and iron ore within our current range as we approach the end of the year."
"[Diamonds] Production guidance is tightened to 32 million carats (previously 32-33 million carats) (100% basis), due to continuing operational challenges, subject to the extent of any further Covid-19 related disruptions."
"[Copper] Production guidance is tightened to 650,000-660,000 tons (previously 650,000-680,000 tons), due to plant performance challenges at Los Bronces, subject to water availability and the extent of any Covid-19 related disruption."
"[Iron ore] Production guidance (wet basis) is tightened to 64.5 million tons (previously 64.5-66.5 million tons) (Kumba 40.5 million tons (previously 40.5-41.5 million tons) owing to rail in South Africa performing below planned levels; Minas-Rio 24 million tons (previously 24-25 million tons) owing to lower plant availability). Both are subject to the extent of further Covid-19 related disruption and Kumba is subject to rail performance."
Write to Jaime Llinares Taboada at firstname.lastname@example.org; @JaimeLlinaresT
(END) Dow Jones Newswires