Anglo American lowers De Beers guidance; Q2 overall production up 2%

Anglo American

2,360.50p

15:40 08/11/24

-4.78%

-118.50p

Anglo American said it was lowering full year production guidance to the bottom end of forecasts at its De Beers diamond operation in response to weaker market conditions.

Mining

11,640.49

15:39 08/11/24

1.45%

166.37

The miner said overall second quarter production was up 2% due to the successful ramp-up at the Minas-Rio iron ore mine after a shutdown in 2018 and strong performance in metallurgical coal.

"We remain broadly on track overall to deliver this full year's production targets, with an increase to Minas-Rio guidance offsetting two reductions at De Beers and Kumba Iron Ore," said chief executive Mark Cutifani.

Minas-Rio iron ore production for the quarter to June 30 was 5.9m tonnes while metallurgical coal output increased 11% to 5.8m tonnes after the completion of maintenance in the prior quarter.

Production guidance at De Beers was is revised to around 31m carats, the lower end of the previous range (31m – 33m. Rough diamond output in the second quarter fell 14% to 7.7m carats driven by reductions in Botswana and South Africa.