Antofagasta PLC said Monday that works on the Los Pelambres desalination plant project in Chile have been put on hold as a precautionary measure after sea swells overturned a construction platform on Aug. 15.
The mining company said that the Chilean environmental authority requested the suspension on Friday until the clean-up of the sunk equipment carrying fuel or lubricants is carried out to remove the rise of any environmental damage.
The severe sea swells overturned a construction platform, but there has been no significant environmental impact or damage to the works, Antofagasta said. The recovery of the lost equipment and materials is expected to be completed once weather conditions improve.
There has to date been no material impact to the expected completion date of the desalination plant project.
Write to Kyle Morris at kyle.morris@dowjones.com
(END) Dow Jones Newswires
September 12, 2022 02:37 ET (06:37 GMT) |
Yup hold on tight... |
Too right it is!! |
Woof! Woof! Woof!
Great share to short with Commodities looking to go into a downturn.
Target 750p.
Let us short this back to the Stone Age! |
I got a few earlier today as long term I think there is money to be made here.
The divi is still a good one too so let's see. Will add on dips too.
GLAH |
 Antofagasta PLC on Thursday reported a profit drop for the first half of 2022 and reiterated recently-revised guidance for the full year.
The Chile-focused copper mining company made a pretax profit of $679.6 million for the first six months of 2022, down from $1.78 billion a year earlier.
Earnings before interest, taxes, depreciation and amortization plunged 48% to $1.24 billion, reflecting lower copper production and prices, and higher costs. This was slightly below the market consensus of $1.26 billion--provided by Vuma and averaged from 13 analysts' estimates.
Antofagasta declared an interim dividend of 9.2 U.S. cents a share, down from 23.6 cents in 2021.
The group reiterated 2022 guidance, with copper production of 640,000-660,000 metric tons at a net cash cost of $1.65 a pound.
"We expect the remainder of the year to look very different from the first half--as production improves quarter-on-quarter, we ship and sell the concentrate that was impacted by the concentrate pipeline incident, and the desalination plant at Los Pelambres starts, significantly alleviating the issue of water availability," Chief Executive Ivan Arriagada said.
Write to Jaime Llinares Taboada at jaime.llinares@wsj.com; @JaimeLlinaresT
(END) Dow Jones Newswires
August 11, 2022 02:42 ET (06:42 GMT) |
Antofagasta PLC said Thursday that the capital cost estimate for its Centinela Second Concentrator Plant project in Chile has been revised to $3.7 billion from the previous $2.7 billion.
The mining company said this increase reflects design improvements, inflation, and the results of advanced engineering and a detailed execution plan.
Antofagasta is set to make a decision on whether to proceed with the project in early 2023.
The first phase of the project would add annual production capacity of 180,000 metric tons of copper equivalent. A further expansion would increase output to 250,000 tons a year.
As for the Los Pelambres project, Antofagasta said that the desalination plant remains on track for completion in the fourth quarter of 2022, with the concentrator plant expansion expected in early 2023.
Write to Jaime Llinares Taboada at jaime.llinares@wsj.com; @JaimeLlinaresT
(END) Dow Jones Newswires
August 11, 2022 02:44 ET (06:44 GMT) |
OUTLOOK
As previously announced, considering the impact of the concentrate pipeline incident and the risk of continued low water shortages at Los Pelambres, Group copper production guidance for the full year has been revised from 660-690,000 tonnes to 640-660,000 tonnes. The increased rate of production in H2 is based on the precipitation levels to date, the stockpiled concentrates at Los Pelambres and the expected increase in grade at Centinela Concentrates.
Following increases in diesel and other input prices, net cash cost guidance is increased to $1.65/lb, assuming market consensus estimates at the period end of by-product prices, the Chilean Peso exchange rate and inflation for the rest of the year.
The significant decline in the copper price since the beginning of June has reinforced our commitment to control costs, particularly during this period of higher input prices and general inflation.
Although the copper price traded strongly at the beginning of the year averaging $4.49/lb in the first five months, it weakened rapidly in June, ending the half year at $3.74/lb as concerns about the speed of the economic recovery in China and the likelihood of a recession in the United States and Europe increased. These concerns were further heightened by the ongoing conflict in Ukraine and its impact on the availability of energy supplies, trade and stability, particularly in Europe. Given the current global environment of rising inflation and rising interest rates, commodity price volatility is expected to continue over the rest of the year, however the longer term fundamentals for copper remain strong. |
mixed..take your pick ;-)
22nd july Barclays overweight tp 1410p
21st july RBC underperform tp 1000p |
Yeah it seems to news was priced in already which would make sense after the recent share price performance.
Thought I may have seen a sub £10 price but not today so good luck all that hold 👍🏻 |
slightly up at open |
Antofagasta PLC on Wednesday downgraded 2022 production and cost guidance after an issue at its Los Pelambres project caused copper output to fall 6.5% in the second quarter.
The Chilean copper miner cut full-year production to 640,000-660,000 metric tons, down from its latest guidance of the bottom end of the 660,000-690,000 tons range--revised weeks after the issue at Los Pelambres was identified.
On May 31, Antofagasta detected a leak in the underground pipeline that transports concentrate from its Los Pelambres concentrator plant to the port.
In addition, the company on Wednesday raised 2022 net cash cost guidance to $1.65 a pound from $1.55, reflecting inflation in diesel and other input prices.
For the second quarter, the group reported copper production of 129,800 tons, down from 138,800 tons in the first quarter. Net cash costs a pound jumped to $1.90 from $1.75 in the period.
Write to Jaime Llinares Taboada at jaime.llinares@wsj.com; @JaimeLlinaresT
(END) Dow Jones Newswires
July 20, 2022 02:37 ET (06:37 GMT) |
Production lowered, costs up, copper price lower and tax uncertainty. Hardly a great mix, although maybe the market will view it as all priced in. We will find out shortly. |
It will be interesting to see how the market reacts to that.
I am done trying to call the outcome of trading statements!! |
Yeah maybe Steve but in these markets you just can't call anything really!!
Good luck to all holders 👍🏻 |
I think you may have missed anto's stint bellow £10.
The way it snapped back above £10 I can't see it doing so for long if at all. |
This one has come on my radar today and I am thinking of adding if I can get in at around 960.
I agree with some on here who think copper has a solid future and even though a divi of circa 11% may not last, it should still remain very high. Will only take a small position but alongside my RIO holding I think it's a good fit.
Good luck all. |
@waldron Probably no impact at all I should think.
@muscletrade Yes you make some very good points. I'm hoping the recession will be short lived. The energy transition and switch to electric cars should provide support to prices in the years ahead. If the stock falls to around 600p or so in the coming months then I'll happily keep buying. |
@peeks, you make a very good point as copper demand will only increase going forward and is reported to be running short a decade or so from now, more so as it takes approx 16 years to develop a new copper mine etc. Having said that 2030/35 is a long way off and the current fight against inflation is looking ever more likely to cause a recession. The negative effect on previously/free money induced high commodity prices and minerals in-particular is already significant, not made better by figures from China today as well as Rio Tinto etc etc
With reduced prices and increased costs margins will come down with reduced cashflow and in "Fags" case a likely reduced dividend(they have history on this).Is this priced in yet?
Maybe but personally I don't think so yet. |
DIVIDEND
Ex-div date 01 Sep 2022 (Thu)
Pay date 30 Sep 2022 (Fri) |
JULY/20/22 Interim 2022 Sales and Revenue Release - Production Report
AUGUST/11/22 Interim 2022 Earnings Release |
peeks
what impact do you think the change to fibre telephone land lines will have on the copper price
will they reuse the copper wiring to produce EV Batteries
HAD HOPED THAT CERTAIN FONE COS PROFIT SOME HOW |
I think the market has underestimated the demand for copper. Long term copper prices will be a lot higher than they are now. |
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