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Coal production in 3Q17 as expected for Glencore

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World Coal,

Glencore reported coal production of 91 million t for 3Q17, indicating this was in line with the comparable period, as expected increases from productivity improvements and Glencore's higher equity share in certain mines were offset by the impacts of industrial action in New South Wales and unusually heavy rainfall in Colombia.


Australian metallurgical coal production totalled 4.5 million t, which was 0.9 million t (25%) ahead of the comparable period. Glencore reported this was affected by geological issues at Oaky Creek. The restart of the Integra mine contributed 0.4 million t.

Australian thermal and semi-soft coal production was 45.5 million t and was in line with the comparable period, as expected increases from the higher equity ownership of the Newlands and Collinsville mines, productivity increases in 1H17 and the ramp-up of Rolleston, were offset by planned mine closures and the impact of industrial action in New South Wales.

Glencore’s South African thermal coal production came in at 21.6 million t. The company indicated this was in line with the comparable period as stronger operating performances at Tweefontein and Goedgefonden were offset by planned smaller mine closures. Prodeco production of 11.7 million t was 1.3 million t below the comparable period, mainly relating to the impact of unusually heavy rainfall in the region in Q2 and Q3.

Cerrejón produced 7.7 million t, which was in line with the comparable period, as the easement of restrictions related to dust emissions in 2016, was offset by disruption related to heavy rainfall.

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