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Anglo reports 2Q16 coal production results

Published by
World Coal,


Anglo American has reported its export metallurgical and thermal coal production for 2Q16 (the second quarter ended 30 June 2016).

Export metallurgical coal production increased by 4% to 5.5 million t due to first longwall production at Grosvenor in May and a longwall move at Grasstree in the previous year, partially offset by ramp-up at Moranbah after the completion of the longwall move in the prior quarter. Export thermal coal production decreased by 6% to 8.1 million t due to ramping down production at Drayton where mining activities will cease in late 2016 and planned production cuts at Cerrejón, partly offset by higher production at most South African Export operations.

At Anglo’s Australian operations, export metallurgical coal production increased by 4% to 5.5 million tdue to first longwall production at Grosvenor in May and a longwall move at Grasstree in the previous year. These increases offset lower production at Moranbah, which was ramping-up after the completion of the longwall move in 1Q16.

Australian export thermal coal production decreased by 17% to 1.1 million t as Drayton moves towards ceasing mining operations in late 2016, following the NSW Planning Assessment Commission recommendation not to approve the Drayton South project.

South African export thermal coal production increased by 8% to 4.7 million t. Anglo reported that production increased across nearly all operations due to productivity improvements.

Eskom related production was broadly unchanged. Domestic non-Eskom production increased by 15% to 1.8 million t mainly due to Zibulo and Landau export production re-directed to the domestic market generating a higher margin.

In Colombia, Cerrejón's attributable production decreased by 21% to 2.3 million t due to heavy rainfall in May and June, and ongoing planned production cuts to take out the highest cost capacity in response to market conditions.

The company’s full year production guidance for export metallurgical coal remains unchanged at 21 – 22 million t. This is subject to the completion of any asset disposals. Full year production guidance for export thermal coal from South Africa and Colombia remains unchanged at 28 – 30 million t.

Edited from press release by Harleigh Hobbs

Read the article online at: https://www.worldcoal.com/coal/20072016/anglo-reports-2q16-coal-production-results-2047/


 

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