Anglo American plc Production Report for the fourth quarter ended 31 December 2017.
Anglo American reports a 5% increase in total production on a copper equivalent basis for 2017. This was achieved despite actions taken to remove higher cost volumes in platinum and metallurgical coal, which resulted in a 2% decrease in Q4 2017 copper equivalent production compared to Q4 2016(1).
Mark Cutifani, Chief Executive of Anglo American, said: “We have delivered another strong operating performance in 2017. The 5% increase for the full year reflects our ongoing focus on productivity and was achieved despite the removal of unprofitable and higher cost platinum and metallurgical coal volumes, consistent with our disciplined, value-led approach to production. The ramp-up of Gahcho Kué and Grosvenor mines made positive contributions to our production profile in 2017, and a strong performance from Sishen resulted in an 8% increase in production from Kumba Iron Ore.”
Highlights
- De Beers production increased by 5% supported by stronger trading conditions, with Gahcho Kué operating at nameplate capacity since Q2 2017.
- Copper production increased marginally to 148,600 tonnes. Collahuasi achieved record production in the year, driven by continued strong plant performance and higher grades.
- Platinum production decreased by 4% and palladium by 5% following the decision in Q3 2017 to remove unprofitable ounces by placing Bokoni on care and maintenance. Mogalakwena delivered a record production year driven by further productivity improvements.
- Kumba Iron Ore production for the full year increased by 8% to 45 million tonnes driven by improved productivity.
- Metallurgical Coal production for the full year increased marginally to 19.7 million tonnes, with Grosvenor’s ramp-up and record productivity levels at underground operations offset by the removal of higher cost volumes at Dawson.
- Nickel production of 11,400 tonnes was a record quarter.
Production Summary
| |
Q4 2017 |
Q4 2016 |
% vs. Q4 2016 |
2017 |
2016 |
% vs. 2016 |
| Diamonds (Mct)(2) |
8.1 |
7.8 |
5% |
33.5 |
27.3 |
22% |
| Copper (t)(3) |
148,600 |
146,600 |
1% |
579,300 |
577,100 |
- |
| Platinum (produced ounces) (koz)(4) |
587 |
610 |
(4)% |
2,397 |
2,382 |
1% |
| Palladium (produced ounces) (koz)(4) |
375 |
396 |
(5)% |
1,557 |
1,539 |
1% |
| Iron ore – Kumba (Mt) |
11.6 |
11.9 |
(2)% |
45.0 |
41.5 |
8% |
| Iron ore – Minas-Rio (Mt)(5) |
4.0 |
4.9 |
(19)% |
16.8 |
16.1 |
4% |
| Manganese ore (kt)(6) |
980 |
804 |
22% |
3,486 |
3,133 |
11% |
| Export metallurgical coal (Mt) |
4.9 |
5.4 |
(8)% |
19.7 |
19.4 |
1% |
| Export thermal coal (Mt)(7) |
6.9 |
7.0 |
(2)% |
26.5 |
27.6 |
(4)% |
| Nickel (t)(8) |
11,400 |
10,900 |
5% |
43,800 |
44,500 |
(2)% |
This Production Report for the fourth quarter ended 31 December 2017 is unaudited.
(1) Copper equivalent production is normalised for the sale of Kimberley, Niobium & Phosphates, Foxleigh and Callide, and to reflect Snap Lake being placed on care and maintenance, and the closure of Drayton.
(2) De Beers production is on a 100% basis, except for the Gahcho Kué joint venture which is on an attributable 51% basis.
(3) Copper production from the Copper business unit. Copper production shown on a contained metal basis.
(4) Reflects own mine production and purchases of metal in concentrate.
(5) Wet basis.
(6) Saleable production.
(7) Export thermal coal includes export primary production from South Africa and Colombia, and excludes secondary South African production that may be sold into either the export or domestic markets.
(8) Nickel production from the Nickel business unit.
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