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Anglo posts jump in iron ore and copper production

The pit at Anglo
American’s Los
Bronces copper
mine in Chile “’
a rapidly growing
London, England — 19 April 2012 – Global miner Anglo American posted a jump in the production of iron ore in the first quarter of 2012, compared to the same period last year when heavy rain affected operations, and added that copper output had been boosted by the ramp-up in production at a key Chilean mine.

Reuters reports that iron ore production, a key element in the company’s growth strategy, was up 17% to 11.7Mt in the three months to the end of March, compared to the same quarter last year when heavy rains in the southern hemisphere hampered output.

Production of copper, which accounts for roughly a third of Anglo’s profit, grew 21% to 168,400t, boosted by the company’s expansion of its Los Bronces mine in Chile, but offset slightly by stoppages and lower grades at the Collahuasi mine, also in Chile.

The company said that all of the projects it delivered last year had been on track.

Investors are expected to focus concerns around Anglo’s high-profile growth project, the Minas-Rio iron ore operation in Brazil, where licences remain a concern, and around a legal battle with Chile’s Codelco over key assets there.

Shareholders could also quiz Anglo over its future, as it has been repeatedly named as a potential target for an enlarged Glencore-Xstrata , after the commodities trader and miner complete their merger later this year.

Anglo also said that platinum production had risen 5% to 593,200oz due to a lower number of safety stoppages and lower rainfall in Australia this year compared to last, while it had boosted the output of export metallurgical coal by 73% to 3.7Mt.

Source: Reuters. For more information, click here.