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(Sharecast News) - Anglo American reported a mixed operational performance for the first quarter on Thursday, with notable declines in several key commodities.
The FTSE 100 company said copper production fell 15% to 168,900 tonnes, as planned lower output in Chile offset higher grades in Peru.
Platinum group metals output dropped 17% to 696,300 ounces, impacted by reduced concentrate purchases and flooding at Amandelbult.
Steelmaking coal production was down 41% to 2.2 million tonnes, largely due to the lingering effects of the Grosvenor underground fire, although output rose 11% when excluding impacted assets.
Rough diamond production declined 11% to 6.1 million carats amid ongoing weak demand, while manganese ore output slumped 60% to 317,000 tonnes following cyclone-related damage to Australian operations, with exports expected to resume in the second quarter.
In contrast, iron ore production rose 2% to 15.4 million tonnes, driven by a strong quarter at Minas-Rio, and nickel output increased 3% to 9,800 tonnes, supported by continued stability at Barro Alto.
"We have had a strong start to the year in copper and iron ore, with both businesses performing in line with guidance," said chief executive officer Duncan Wanblad.
"In copper, Quellaveco and Los Bronces are both performing well, helping to offset the expected lower grades and variability in recoveries at Collahuasi.
"In iron ore, Kumba posted another solid quarter and increased iron ore sales as Transnet saw better rail logistics performance, and Minas-Rio had another excellent quarter."
Wanblad said the company's focus on operational excellence was delivering valuable stability to its simplified portfolio, providing a "strong base" for the rest of the year.
"Looking ahead, we are working at pace with Codelco to secure definitive agreements later this year to develop a joint mine plan for our respective Los Bronces and Andina copper mines - both world-class in their own right.
"We are also advancing our considerable pipeline of organic growth options, with the recent designation of our polymetallic Sakatti project in Finland as a 'strategic project' by the European Commission further increasing confidence in our growth path to one million tonnes of annual copper production."
Reporting by Josh White for Sharecast.com.