Gold prices hit 2-week high as Trump-Fed feud escalates with Cook firing
Investing.com -- Shares of Anglo American (JO:AGLJ) (LSE:AAL) fell by 0.7% after the mining giant reported mixed production results.
The company’s copper production was slightly ahead of RBC Capital Markets estimates and in line with consensus, with higher grades at Los Bronces compensating for weaker performance at Collahuasi due to lower grades and throughput. However, refined PGM production was notably weaker than expected, falling 25% short of RBCe and consensus estimates, which contributed to the stock’s decline.
The detailed production report indicated that iron ore production from Kumba and Minas Rio was consistent with expectations, with Minas Rio outperforming due to better operational stability. Diamond output exceeded RBC and consensus predictions, although this pointed to a continued stockbuild, as sales did not match the level of production.
Nickel production was slightly higher than expected, while steelmaking coal output was significantly below RBC and consensus figures, largely due to an ignition incident at the Moranbah site.
Despite the mixed production results, there was no change to the company’s full-year 2025 production and unit cost guidance. In terms of pricing, realized prices for copper were ahead of RBC estimates due to provisional pricing adjustments, while diamond pricing fell short.
On the restructuring front, Anglo American expects the demerger of Amplats to be effective by May 31st, pending shareholder approval on April 30th. The transactions involving the steelmaking coal business with Peabody and the sale of the nickel business are anticipated to conclude by the third quarter of 2025. The company also continues to explore divestment options for De Beers, although no actions are expected this year.
RBC provided a comment on the company’s performance and restructuring efforts, stating, "Overall production and pricing largely inline at the assets remaining in the business. Restructuring in theory remains on track but there are market concerns on how Peabody can afford to refinance its bridge loan for the acquisition."
This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.