28th Jan 2021 09:35
(Alliance News) - Anglo American PLC on Thursday said production was down in 2020 across most categories, with copper and nickel being the only minerals to have shown an increase to the year before.
The blue-chip miner said diamond production in 2020 was down 19% to 25.1 million carats from 30.8 million carats a year prior.
Copper production was up 1.4% to 647,000 tonnes from 638,000 tonnes, driven by good production in the fourth quarter ended December 31. Production in the quarter climbed 5.7% year-on-year to 168,000 tonnes from 159,000 tonnes, largely due to secured access to industrial water at Los Bronces in Chile.
Platinum group metals production sunk 14% annually to 3.8 million ounces from 4.4 million ounces.
Iron ore production fell 6.7% to 61.1 million tonnes from 65.5 million tonnes.
Coal production took a dive with metallurgical coal production plummeting 27% to 16.8 million tonnes from 22.9 million tonnes. Thermal coal tumbled 22% to 20.6 million tonnes from 26.4 million tonnes.
Nickel production was up 2.1% to 43,500 tonnes from 42,600 tonnes.
Turning to guidance, diamond production in 2021 is expected to be between 32 million carats and 34 million carats, down from the previously expected 33 million carats to 35 million carats.
Copper production is expected to be between 640,000 tonnes and 680,000 tonnes.
PGM production is expected to be between 4.2 million ounces and 4.6 million ounces.
Iron ore production is expected to be between 64 million tonnes and 67 million tonnes.
Metallurgical coal production is expected to be between 18 million tonnes and 20 million tonnes. Thermal coal production is expected to be around 24 million tonnes.
Nickel production is expected to be between 42,000 and 44,000 tonnes.
Chief Executive Mark Cutifani said: "As we begin 2021, we are continuing to see positive demand for rough diamonds, supported by consumer demand for diamond jewellery in the holiday selling season. While it is still too early to signal a strong and sustained recovery, the resilience in demand in spite of ongoing Covid-19 impacts is very encouraging."
Anglo American shares were up 0.9% at ZAR492.70 each in Johannesburg on Thursday, and down 0.1% at 2,352.00 pence each in London.
By Greg Roxburgh; [email protected]
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