Anglo American Production Increased in 2Q -- Commodity Comment

By Jaime Llinares Taboada

Anglo American PLC on Tuesday reported production increases for the second quarter of 2021, as restrictions eased relative to the same period of 2020. Here's what the London-listed mining company had to say:

On platinum group metals:

"Platinum group metals production increased by 59%, with Mogalakwena production increasing by 11%, reflecting the relatively lower impact of Covid-19 lockdowns compared to 2Q 2020."

"The 1H 2021 average realized basket price of $2,884/PGM ounce reflects strong prices, particularly for rhodium and the minor metals, partly offset by higher than normal sales volumes of lower priced ruthenium."

On iron ore:

"Iron ore production increased by 6%, driven primarily by Kumba, reflecting the lower impact of Covid-19 lockdowns compared to 2Q 2020."

"The 1H 2021 average realized price of $200 [a metric] ton (FOB Brazil, wet basis) was higher than the Metal Bulletin 66 price of $165/ton (FOB Brazil, adjusted for freight and moisture), reflecting the premium quality of the product, including higher (67%) Fe content, and timing on provisionally priced volumes."

On copper:

"Copper production increased by 2% to 169,700 tons, driven by strong performance at Los Bronces, partly offset by lower grade at Collahuasi."

"Including the impact of Grosvenor and Cerrejon, copper equivalent production increased by 20% compared to 2Q 2020."

On diamonds:

"Rough diamond production increased by 134% to 8.2 million carats, reflecting planned higher production to meet stronger demand for rough diamonds, as well as the impact of Covid-19 lockdowns across southern Africa in 2Q 2020."

"Consumer demand for polished diamonds continued to recover, leading to strong demand for rough diamonds from midstream cutting and polishing centers, despite the impact on capacity from the severe Covid-19 wave in India during April and May."

On coal:

"The 1H 2021 average realized price for hard coking coal was $117/ton, lower than the benchmark price of $132/ton as sales consisted of a lower proportion of premium quality hard coking coal from Moranbah and Grosvenor."

Write to Jaime Llinares Taboada at [e-mail]; @JaimeLlinaresT

(END) Dow Jones Newswires

July 20, 2021 02:57 ET (06:57 GMT)

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