| Thu 23 Oct 2014, 8:00 | | ANGLO AMERICAN PLC - Interim Management Statement for the third quarter ended 30 September 2014 |
|
AGL 201410230012A
Interim Management Statement for the third quarter ended 30 September 2014
Anglo American plc
Incorporated in the United Kingdom
(Registration number: 3564138)
Short name JSE: Anglo
Share code JSE: AGL
Short name NSX: Anglo-AMRC NM
Share code: NSX: ANM
ISIN number: GB00B1XZS820
(the "Company")
23 October 2014
Anglo American plc
Interim Management Statement for the third quarter ended 30 September 2014
Overview
Q3 2014 Q3 2013 % vs. Q3 2013
Iron ore (Mt) 13.0 9.5 37%
Export metallurgical coal (Mt) 5.1 4.9 4%
Export thermal coal (Mt) 9.0 9.4 (4)%
Copper (t)(1) 176,900 207,300 (15)%
Nickel (t)(2) 10,700 9,500 13%
Platinum (equivalent refined) (koz)(3) 533 623 (14)%
Diamonds (Mct)(4) 8.2 7.7 6%
Kumba Iron Ore production increased by 37% to 13 million tonnes following implementation of
the production recovery plan at Sishen and record output at Kolomela. Waste removal at
Sishen continues to be the operational focus
Export metallurgical coal production increased by 4% to 5.1 million tonnes. Moranbah
recovered from the geotechnical issues reported in Q2 2014
Export thermal coal production decreased by 4% to 9.0 million tonnes owing to adverse
weather conditions in Colombia, partly offset by operational improvements in South Africa
Copper production decreased by 15% to 176,900 tonnes, with expected grade declines at
Los Bronces and Collahuasi being partially offset by improved throughput at Los Bronces
Nickel production increased by 13% to 10,700 tonnes driven by continued improved
operational stability at Barro Alto prior to the planned rebuild of the two furnaces, with the first
commencing at the beginning of October
Platinum ramp up at strike-affected mines (Rustenburg, Amandelbult and Union mines) was
completed, with normal production resumed by September. Platinum equivalent refined
production decreased by 14% to 532,800 ounces as a result of the post-strike ramp-up and
planned lower production at both Rustenburg and Union following the 2013 restructuring
Diamond production increased by 6% to 8.2 million carats, with higher production at
Debswana due to a strong performance at Jwaneng. This was partially offset by lower
production at operations in South Africa and Canada
(1) Copper production from the Copper business unit
(2) Nickel production from the Nickel business unit
(3) Equivalent refined is the mines’ production and purchases of metal in concentrate, secondary metals and other metals converted to equivalent refined
production using Anglo American Platinum Limited’s standard smelting and refining recoveries
(4) De Beers production on 100% basis
IRON ORE AND MANGANESE
Q3 2014 Q3 2014 YTD YTD YTD 2014
Q3 Q3 Q2
Iron Ore and Manganese vs. vs. 2014 2013 vs.
2014 2013 2014
Q3 2013 Q2 2014 YTD 2013
Iron ore 000 t 12,972 9,474 37% 11,465 13% 35,765 31,087 15%
Manganese ore 000 t 866 788 10% 868 - 2,427 2,455 (1)%
Manganese alloys 000 t 68 55 25% 73 (6)% 206 185 11%
Iron Ore – Production from Kumba Iron Ore increased by 37% to 13 million tonnes, due to
implementation of the redesign plan at Sishen to alleviate current pit constraints. Sishen
production was 9.3 million tonnes for the quarter, an increase of 44% and 11% compared with
the previous quarter. Waste removal increased by 14% and by 4% compared with the previous
quarter. Waste removal run rates are currently meeting targets. Additional contractor capacity
has been secured and the waste backlog from H1 2014 is expected to be caught up during Q4
2014 and Q1 2015. Waste mining at Sishen is anticipated to be between 190 million tonnes and
200 million tonnes for the year.
Anglo American Operating Model went live at Sishen in August. The aim of the model is to
reduce variation and improve stability through focus on planning and execution effectiveness
within the operating environment to ensure expected outputs are improved, delivered and
sustainable.
Kolomela mine increased production by 20% to 3.4 million tonnes due to a continued strong
operational performance.
Export sales decreased by 4% to 9.1 million tonnes following annual Transnet maintenance
shutdown in August and a slow start up thereafter. The logistics system is back to operating at
normal run rates. Domestic sales decreased by 14% to 1.1 million tonnes owing to reduced
offtake by ArcelorMittal S.A.
Total finished product stocks increased to 6.5 million tonnes as at 30 September 2014 compared
with 3.6 million tonnes at 30 June 2014 and 2.4 million tonnes at 30 September 2013, due to
production ramp-up and logistics constraints mentioned earlier.
Full-year production guidance for iron ore has been increased to 45 million – 46 million tonnes
(previously 44 million – 46 million tonnes).
Manganese ore – Manganese ore production increased 10% driven by improved ore recovery
and increased plant availability, in South Africa.
Manganese alloy – Manganese alloy production increased by 25% owing to improved smelter
stability at Metalloys and higher furnace availability, in Australia.
Iron Ore Brazil – Work on the Minas-Rio project continues, with significant progress made to
deliver FOOS (first ore on ship) within the $8.8 billion budget. Commissioning and testing
activities are ongoing, ore stockpiles are being built at the Port of Açu and first ore loading has
begun.
COAL
Q3 2014 Q3 2014 YTD YTD YTD 2014
Q3 Q3 Q2
Coal vs. vs. 2014 2013 vs.
2014 2013 2014
Q3 2013 Q2 2014 YTD 2013
Australia & Canada
Metallurgical - Export 000 t 5,090 4,912 4% 4,831 5% 15,974 13,922 15%
Thermal - Export 000 t 1,575 1,672 (6)% 958 64% 3,302 4,679 (29)%
Thermal - Domestic 000 t 2,074 1,752 18% 1,846 12% 5,148 4,551 13%
South Africa
Thermal - Export 000 t 5,008 4,505 11% 4,274 17% 13,430 12,429 8%
Thermal - Domestic
000 t 8,000 9,053 (12)% 8,147 (2)% 23,554 25,950 (9)%
(Eskom)
Thermal - Domestic 000 t 1,863 1,665 12% 1,611 16% 4,834 4,758 2%
(Non-Eskom)
Colombia
Thermal - Export 000 t 2,369 3,185 (26)% 2,908 (19)% 8,225 7,711 7%
Australia and Canada – Export metallurgical coal production increased by 4% to 5.1 million
tonnes. Grasstree completed a planned longwall move and Moranbah recovered from
geotechnical issues reported last quarter.
Australian export thermal coal production decreased by 6% to 1.6 million tonnes owing to lower
production from Drayton as the mine nears the end of its life.
Early September, Anglo American announced that Peace River Coal operations in Canada would
be placed on care and maintenance from the end of 2014 owing to weak market conditions.
Construction of the greenfield Grosvenor metallurgical coal project in Queensland is progressing
on schedule with first development coal cut in September. Longwall production remains on
schedule to commence at the end of 2016.
Full-year production guidance for export metallurgical coking coal has increased to
20 million – 21 million tonnes (previously ~20 million tonnes).
South Africa – Export thermal coal production increased by 11% to 5.0 million tonnes, with
increases across the majority of export operations, including export product quality optimisation,
productivity improvements at Greenside and favourable mining conditions at Zibulo.
Eskom production was 12% lower at 8.0 million tonnes owing to the New Denmark longwall
move and municipal protest action temporarily impacting production at Kriel. Domestic
non-Eskom production increased by 12% to 1.9 million tonnes as a result of higher production at
Zibulo.
Colombia – Cerrejón’s production decreased by 26% to 2.4 million tonnes, as a result of heavy
rainfall in August and September.
Full-year production guidance remains unchanged for export thermal coal from South Africa and
Cerrejon operations at 28 million – 29 million tonnes.
BASE METALS AND MINERALS - COPPER
Q3 2014 Q3 2014 YTD YTD YTD 2014
Q3 Q3 Q2
Copper vs. vs. 2014 2013 vs.
2014 2013 2014
Q3 2013 Q2 2014 YTD 2013
Copper t 176,900 207,300 (15)% 194,400 (9)% 573,300 560,600 2%
Copper – Copper production decreased by 15% to 176,900 tonnes.
Production from Los Bronces decreased by 10% to 95,700 tonnes, with the continued throughput
improvements at both plants being more than offset by the expected lower grades. Lower grades
are also expected in the fourth quarter, as mining moves to the southern areas of the Donoso pit.
At Collahuasi, production decreased by 24% to 48,500 tonnes. This was attributable to expected
lower grades, as well as reduced throughput due to planned maintenance stoppages.
El Soldado’s production decreased by 29% to 6,700 tonnes following expected lower grades
arising from the previously reported intersection with a geological fault.
Production from Mantos Blancos and Mantoverde decreased by a combined 6% to a total of
26,000 tonnes, with both operations experiencing a decline in grades, as well as lower recoveries
at the Mantos Blancos dump leaching operations.
Full year production guidance for copper has increased to 730,000 - 745,000 tonnes
(previously 725,000 – 740,000 tonnes).
BASE METALS AND MINERALS – NICKEL, NIOBIUM AND PHOSPHATES
NICKEL
Q3 2014 Q3 2014 YTD YTD YTD 2014
Q3 Q3 Q2
Nickel vs. vs. 2014 2013 vs.
2014 2013 2014
Q3 2013 Q2 2014 YTD 2013
Nickel t 10,700 9,500 13% 10,600 1% 30,500 24,200 26%
Nickel – Nickel production increased by 13% to 10,700 tonnes, driven by continued improved
operational stability at Barro Alto prior to the planned rebuild of the two furnaces.
Production from Barro Alto increased by 17% to 8,300 tonnes, reflecting this continued operational
stability as well as the impact of the Q3 2013 unplanned stoppages. The line 2 furnace rebuild is
under way and is scheduled for completion in Q2 2015.
Production from Codemin remained broadly flat at 2,400 tonnes.
Full-year production guidance for nickel has increased to 35,000 - 37,000 tonnes
(previously 32,000 – 35,000 tonnes).
NIOBIUM
Q3 2014 Q3 2014 YTD YTD YTD 2014
Q3 Q3 Q2
Niobium vs. vs. 2014 2013 vs.
2014 2013 2014
Q3 2013 Q2 2014 YTD 2013
Niobium t 1,200 1,100 9% 1,100 9% 3,400 3,300 3%
Niobium – Production of niobium increased 9% to 1,200 tonnes.
Boa Vista Fresh Rock project construction has been completed and commissioning is well
advanced. First production is expected during Q4 2014.
PHOSPHATES
Q3 2014 Q3 2014 YTD YTD YTD 2014
Q3 Q3 Q2
Phosphates vs. vs. 2014 2013 vs.
2014 2013 2014
Q3 2013 Q2 2014 YTD 2013
Phosphates
Concentrate t 362,700 355,000 2% 349,500 4% 1,060,100 1,052,900 1%
Phosphoric Acid t 81,300 79,500 2% 81,300 - 216,400 239,100 (9)%
Fertiliser t 284,700 326,300 (13)% 275,700 3% 827,600 900,000 (8)%
Dicalcium phosphate (DCP) t 44,100 43,100 2% 43,600 1% 119,300 121,000 (1)%
Phosphates – Concentrate, phosphoric acid and dicalcium phosphate were broadly flat.
Fertiliser production decreased by 13% as a result of planned plant maintenance, operational
constraints and product mix changes to optimise margins.
PLATINUM
Q3 2014 Q3 2014 YTD YTD YTD 2014
Q3 Q3 Q2
Platinum vs. vs. 2014 2013 vs.
2014 2013 2014
Q3 2013 Q2 2014 YTD 2013
Refined
Platinum 000 oz 460 666 (31)% 421 9% 1,316 1,687 (22)%
Palladium 000 oz 316 369 (14)% 295 7% 868 953 (9)%
Rhodium 000 oz 48 85 (43)% 49 (1)% 158 211 (25)%
Copper (1)- Refined t 2,800 2,600 8% 3,900 (28)% 9,900 6,500 52%
Copper (1)- Matte t 1,300 300 333% 2,300 (43)% 4,800 4,400 9%
Nickel(1) - Refined t 5,200 4,900 6% 5,600 (7)% 15,700 11,600 35%
Nickel(1) - Matte t 1,800 300 500% 2,700 (33)% 5,900 5,700 4%
Gold 000 oz 15 34 (57)% 27 (45)% 67 73 (9)%
Equivalent refined
Platinum 000 oz 533 623 (14)% 358 49% 1,248 1,800 (31)%
(1) Nickel and copper refined through third parties is shown as production of nickel matte and copper matte. Nickel and copper matte, per the table, reflects
matte sold to a third party in Q2 2013 from 2012 and 2013 production stockpile
Platinum – Equivalent refined platinum production decreased by 14% to 532,800 ounces. The
principal reasons for this were the strike-affected mines being in ramp-up phase following
industrial action which concluded on 24 June, planned lower production from Rustenburg and
Union following the restructuring in August 2013, and two fatal incidents at Thembelani and
Dishaba in August and September respectively.
In the quarter platinum ounces lost due to the post-strike ramp-up was 92,000 ounces (total lost
production during the industrial action was 424,000 ounces, with a further 108,000 ounces lost
during the ramp-up of operations). The strike affected mines had completed ramp-up to normal
production levels by September.
The industrial action did not affect production at the Mogalakwena and Unki mines, nor at the
majority of the joint operations and associates. Mogalakwena mine’s production increased by 5%
to 86,900 ounces, due to higher achieved head grade and increased concentrator throughput,
supported by mining productivity improvement programmes. Unki production remained constant.
The joint venture and associate portfolio increased platinum production by 2% to 204,000
ounces.
Refined platinum production decreased by 31% to 460,000 ounces, due to lower mined supply
and the build-up in pipeline inventory following the drawdown on inventories during the first half
of 2014.
Full-year production guidance for refined platinum has decreased to 1.75 million – 1.8 million
ounces whilst sales guidance remains unchanged at 2.0 million – 2.1 million ounces.
As part of the on-going repositioning of Anglo American Platinum, significant progress has been
made in the execution of the Union mine optimisation plan. Preparations for the sale of Union
mine and concentrator have been finalised and the sale process has commenced.
Palladium, Rhodium and Nickel – Refined palladium production decreased by 14%, while
refined production of rhodium decreased by 43%, reflecting the change in mix of metals during
the ramp-up. Refined nickel production increased by 6% to 5,200 tonnes. Nickel and copper
matte production in Q3 2014 includes previously stockpiled nickel and copper matte delivered to
third parties for processing.
DIAMONDS
Q3 2014 Q3 2014 YTD YTD YTD 2014
Diamonds Q3 Q3 Q2
vs. vs. 2014 2013 vs.
(100% basis) 2014 2013 2014
Q3 2013 Q2 2014 YTD 2013
Diamonds 000 carats 8,193 7,732 6% 8,515 (4)% 24,239 22,027 10%
De Beers – Diamond production increased by 6% to 8.2 million carats. The increase was
primarily due to a strong performance at Jwaneng, where higher grade material was accessed.
This was partially offset by slightly lower production across operations in Canada and South
Africa, including Voorspoed, where a focus on waste movement to clear an area of unstable
ground resulted in lower output. In addition, a planned plant upgrade at Venetia and a 19-day
strike at Namdeb Land negatively impacted production volumes.
The Gahcho Kué project in Canada is progressing successfully through permitting and licensing,
recently securing the Land Use Permit and Ministerial approval of the Water Licence. First
production is expected in H2 2016, with full commercial production expected in 2017.
Full-year production guidance for diamonds has increased to ~32 million carats
(previously 31 - 32 million carats).
EXPLORATION AND EVALUATION
Exploration and Evaluation expenditure for Q3 2014 totalled $106 million, a decrease of 19%.
Exploration expenditure in Q3 2014 was $43 million, a decrease of $7 million compared with Q3
2013, mainly attributable to metallurgical coal and diamonds. Evaluation expenditure for the
quarter was $63 million, down by 21%. It was primarily focused on the Copper and Iron Ore
businesses.
SIGNIFICANT TRANSACTIONS
As disclosed in the 30 June 2014 Interim Press Release as an event occurring after the period
end the Group reached a binding agreement on 24 July 2014 to sell its 50% ownership interest in
Lafarge Tarmac Holdings Limited (Lafarge Tarmac) (included in the Corporate and other
segment) to Lafarge SA (Lafarge) for a minimum value of £885 million (approximately
$1.5 billion) in cash, on a debt and cash free basis and subject to other customary working
capital adjustments. The sale will be subject to a number of conditions, including the completion
of the proposed merger of Lafarge and Holcim Limited, the divestment of Lafarge Tarmac being
accepted as a suitable remedy for the UK market in respect of the merger, and approval of this
sale transaction by the necessary regulators.
In the event that a subsequent divestment of Lafarge Tarmac is agreed within 18 months of this
sale being completed, then Anglo American will participate in a minority proportion of the upside
beyond a small premium to the terms of this transaction.
NOTE
This Interim Management Statement for the third quarter ended 30 September 2014 is unaudited.
Financial Results for the year to 31 December 2014 will be announced on 13 February 2015.
This report forms Anglo American plc’s Interim Management Statement for the purpose of the UK
Listing Authority’s Disclosure and Transparency Rules.
PRODUCTION SUMMARY
The figures below include the entire output of consolidated entities and the Group’s attributable
share of joint operations, associates and joint ventures where applicable, except for De Beers’
joint ventures which are quoted on a 100% basis.
Q3 2014 Q3 2014 YTD 2014
YTD YTD
Iron Ore (tonnes) Q3 2014 Q2 2014 Q1 2014 Q4 2013 Q3 2013 vs. vs. vs.
2014 2013
Q2 2014 Q3 2013 YTD 2013
Kumba Iron Ore
Lump 8,235,700 7,480,100 7,505,000 7,369,500 5,990,000 10% 37% 23,220,800 19,717,100 18%
Fines 4,736,400 3,984,900 3,822,800 3,916,200 3,484,600 19% 36% 12,544,100 11,370,300 10%
Total Kumba
12,972,100 11,465,000 11,327,800 11,285,700 9,474,600 13% 37% 35,764,900 31,087,400 15%
production
Sishen 9,260,200 8,336,600 8,657,500 8,395,000 6,429,100 11% 44% 26,254,300 22,543,400 16%
Kolomela 3,379,000 2,948,400 2,512,900 2,739,500 2,806,100 15% 20% 8,840,300 8,069,300 10%
Thabazimbi 332,900 180,000 157,400 151,200 239,400 85% 39% 670,300 474,700 41%
Total Kumba
12,972,100 11,465,000 11,327,800 11,285,700 9,474,600 13% 37% 35,764,900 31,087,400 15%
production
Kumba sales volumes
RSA export iron ore 9,058,800 10,287,200 9,422,700 9,530,200 9,422,400 (12)% (4)% 28,768,700 29,545,800 (3)%
RSA domestic iron 1,129,200 1,374,000 1,414,800 1,305,700 1,312,200 (18)% (14)% 3,918,000 3,325,700 18%
ore
Samancor
Manganese ore(1) 866,000 868,300 692,200 846,000 788,100 - 10% 2,426,500 2,455,000 (1)%
Manganese
68,400 72,500 64,800 66,200 54,800 (6)% 25% 205,700 185,000 11%
alloys(1)(2)
Samancor sales
volumes
Manganese ore 853,000 854,100 833,900 837,900 766,100 - 11% 2,541,000 2,424,200 5%
Manganese alloys 68,400 74,400 79,200 60,400 56,800 (8)% 20% 222,000 188,300 18%
Q3 2014 Q3 2014
YTD YTD YTD 2014 vs.
Coal (tonnes) Q3 2014 Q2 2014 Q1 2014 Q4 2013 Q3 2013 vs. vs.
2014 2013 YTD 2013
Q2 2014 Q3 2013
Australia
Metallurgical – Export
3,196,200 2,917,700 3,964,000 3,133,900 3,053,000 10% 5% 10,077,900 8,577,700 17%
Coking
Metallurgical - Export PCI 1,493,900 1,441,800 1,659,300 1,241,900 1,444,700 4% 3% 4,595,000 4,018,300 14%
4,690,100 4,359,500 5,623,300 4,375,800 4,497,700 8% 4% 14,672,900 12,596,000 16%
Thermal - Export 1,574,600 958,400 769,300 1,584,700 1,672,400 64% (6)% 3,302,300 4,679,300 (29)%
Thermal - Domestic 2,074,400 1,846,000 1,227,900 1,688,800 1,752,300 12% 18% 5,148,300 4,550,500 13%
3,649,000 2,804,400 1,997,200 3,273,500 3,424,700 30% 7% 8,450,600 9,229,800 (8)%
Canada
Metallurgical - Export
385,000 439,200 409,200 339,300 412,500 (12)% (7)% 1,233,400 1,324,500 (7)%
Coking
Metallurgical - Export PCI 15,000 32,000 20,800 18,300 1,700 (53)% 782% 67,800 1,700 3,888%
400,000 471,200 430,000 357,600 414,200 (15)% (3)% 1,301,200 1,326,200 (2)%
South Africa
Thermal - Export 5,007,600 4,273,600 4,149,100 4,602,000 4,504,900 17% 11% 13,430,400 12,429,300 8%
Thermal - Domestic
8,000,200 8,146,800 7,406,900 7,617,800 9,053,200 (2)% (12)% 23,553,900 25,949,600 (9)%
(Eskom)
Thermal - Domestic
1,862,800 1,611,200 1,359,500 1,234,100 1,665,300 16% 12% 4,833,500 4,757,900 2%
(Non-Eskom)
14,870,600 14,031,600 12,915,500 13,453,900 15,223,400 6% (2)% 41,817,800 43,136,800 (3)%
Colombia
Thermal - Export 2,368,800 2,907,700 2,948,200 3,290,300 3,184,900 (19)% (26)% 8,224,700 7,711,200 7%
2,368,800 2,907,700 2,948,200 3,290,300 3,184,900 (19)% (26)% 8,224,700 7,711,200 7%
Total Metallurgical coal
5,090,100 4,830,700 6,053,300 4,733,400 4,911,900 5% 4% 15,974,100 13,922,200 15%
production
Total Export Thermal coal
8,951,000 8,139,700 7,866,600 9,477,000 9,362,200 10% (4)% 24,957,400 24,819,800 1%
production
Total Domestic Thermal
11,937,400 11,604,000 9,994,300 10,540,700 12,470,800 3% (4)% 33,535,700 35,258,000 (5)%
coal production
1
Total Coal production 25,978,500 24,574,400 23,914,200 24,751,100 26,744,900 6% (3)% 74,467,200 74,000,000
%
Weighted average
achieved FOB prices
Australia and Canada
Metallurgical - Export(3)
105 109 124 133 129 (4)% (19)% 113 142 (20)%
US$/t
Thermal - Export US$/t 73 82 79 78 82 (11)% (11)% 77 86 (10)%
Thermal - Domestic US$/t 34 35 40 40 39 (3)% (13)% 36 39 (8)%
South Africa
Thermal - Export US$/t 70 73 77 76 74 (4)% (5)% 73 78 (6)%
Thermal - Domestic US$/t 19 19 18 21 18 1% 10% 19 19 -
Colombia
Thermal - Export US$/t 67 67 68 72 70 - (4)% 67 73 (8)%
Sales volumes
Australia and Canada
Metallurgical - Export(4) 5,003,800 5,152,600 5,386,200 5,182,200 4,859,000 (3)% 3% 15,542,600 13,862,300 12%
Thermal - Export 1,703,800 897,300 1,019,700 1,881,800 1,477,900 90% 15% 3,620,800 4,489,800 (19)%
Thermal - Domestic 2,102,300 1,870,000 1,331,400 1,632,000 1,684,300 12% 25% 5,303,700 4,493,400 18%
South Africa
Thermal - Export 4,473,700 3,982,500 3,977,300 4,660,200 4,877,600 12% (8)% 12,433,500 12,841,600 (3)%
Thermal - Domestic 9,690,900 9,677,500 9,078,500 8,805,800 10,429,100 - (7)% 28,447,000 30,238,300 (6)%
Colombia
Thermal - Export 3,076,800 2,858,100 2,647,100 3,067,000 3,154,800 8% (2)% 8,582,100 8,085,400 6%
Q3 2014 Q3 2014 YTD 2014
Coal by mine YTD YTD
Q3 2014 Q2 2014 Q1 2014 Q4 2013 Q3 2013 vs. vs. vs.
2014 2013
(tonnes) Q2 2014 Q3 2013 YTD 2013
Australia
Callide 2,318,500 1,844,600 1,229,200 1,688,800 1,752,300 26% 32% 5,392,300 4,628,900 16%
Capcoal (incl.
1,816,300 1,847,500 1,904,700 1,578,800 1,606,000 (2)% 13% 5,568,500 4,482,600 24%
Grasstree)
Dawson 1,041,400 1,101,200 1,022,800 1,162,700 993,300 (5)% 5% 3,165,400 2,823,100 12%
Drayton 817,000 708,500 659,100 976,400 1,055,900 15% (23)% 2,184,600 2,734,200 (20)%
Foxleigh 551,200 471,200 432,900 421,900 541,000 17% 2% 1,455,300 1,544,700 (6)%
Jellinbah 732,800 756,300 677,500 755,900 673,400 (3)% 9% 2,166,600 1,760,600 23%
Moranbah
1,061,900 434,600 1,694,300 1,064,800 1,300,500 144% (18)% 3,190,800 3,851,700 (17)%
North
8,339,100 7,163,900 7,620,500 7,649,300 7,922,400 16% 5% 23,123,500 21,825,800 6%
Canada
Peace River
400,000 471,200 430,000 357,600 414,200 (15)% (3)% 1,301,200 1,326,200 (2)%
Coal
400,000 471,200 430,000 357,600 414,200 (15)% (3)% 1,301,200 1,326,200 (2)%
South Africa
Goedehoop 1,210,200 1,177,200 1,138,400 1,228,300 1,194,600 3% 1%
3,525,800
3,452,500 2%
Greenside 1,003,400 806,500 803,500 923,700 862,800 24% 16%
2,613,500
2,345,900 11%
Isibonelo 1,380,100 1,329,100 1,248,900 1,139,700 1,421,600 4% (3)%
3,958,100
3,927,000 1%
Kleinkopje 1,011,500 1,142,700 807,500 935,600 1,106,900 (11)% (9)%
2,961,600
3,061,600 (3)%
Kriel 1,614,000 1,756,200 2,045,500 1,962,500 2,189,800 (8)% (26)%
5,415,600
6,140,100 (12)%
Landau 1,195,900 870,900 902800 1,079,800 1,065,800 37% 12%
2,969,600
3,004,500 (1)%
Mafube 525,400 413,500 321,800 416,200 475,400 27% 11% 1,260,700 1,409,200 (11)%
New Denmark 724,900 1,091,800 638,800 569,200 817,200 (34)% (11)%
2,455,500
3,017,700 (19)%
New Vaal 4,755,200 4,321,200 3,895,000 3,905,200 4,797,400 10% (1)%
12,971,500
13,200,400 (2)%
Zibulo 1,450,000 1,122,500 1,113,400 1,293,700 1,291,900 29% 12%
3,685,900
3,577,900 3%
14,870,600 14,031,600 12,915,500 13,453,900 15,223,400 6% (2)% 43,136,800 (3)%
41,817,800
Colombia
Carbones del
2,368,800 2,907,700 2,948,200 3,290,300 3,184,900 (19)% (26)% 8,224,700 7,711,200 7%
Cerrejón
2,368,800 2,907,700 2,948,200 3,290,300 3,184,900 (19)% (26)% 8,224,700 7,711,200 7%
Total Coal
25,978,500 24,574,400 23,914,200 24,751,100 26,744,900 6% (3)% 74,467,200 74,000,000 1%
production
Q3 2014 Q3 2014 YTD 2014
Copper (tonnes) unless YTD YTD
Q3 2014 Q2 2014 Q1 2014 Q4 2013 Q3 2013 vs. vs. vs.
stated otherwise(5) 2014 2013
Q2 2014 Q3 2013 YTD 2013
Collahuasi 100% basis (Anglo
American share 44%)
Ore mined 16,442,500 16,248,500 17,560,100 23,120,000 19,421,500 1% (15)% 50,251,100 57,835,400 (13)%
Ore processed - Oxide 1,744,800 1,659,900 1,700,500 1,481,600 1,594,100 5% 9% 5,105,200 5,547,200 (8)%
Ore processed - Sulphide 11,689,600 13,194,500 12,060,400 14,019,700 13,467,600 (11)% (13)% 36,944,500 33,539,200 10%
Ore grade processed -
0.78 0.72 0.71 0.71 0.75 8% 3% 0.74 0.84 (12)%
Oxide (% ASCu)(6)
Ore grade processed -
(7) 1.12 1.03 1.09 1.23 1.21 9% (7)% 1.08 1.01 7%
Sulphide (% TCu)
Production - Copper
6,200 4,400 5,300 5,500 6,900 41% (10)% 15,900 22,900 (31)%
cathode
Production - Copper in
104,000 117,400 113,600 141,700 137,800 (11)% (25)% 335,000 297,200 22%
concentrate
Total copper production for
110,200 121,800 118,900 147,200 144,700 (10)% (24)% 350,900 297,200 18%
Collahuasi
Anglo American’s share of
copper production for 48,500 53,600 52,300 64,800 63,700 (10)% (24)% 154,400 130,800 18%
(8)
Collahuasi
Anglo American Sur
Los Bronces mine(9)
Ore mined 14,215,400 15,483,900 12,311,300 14,502,400 13,243,600 (8)% 7% 42,010,600 42,435,800 (1)%
Marginal ore mined 7,012,900 4,949,400 5,280,400 5,261,100 3,903,800 42% 80% 17,242,700 11,960,200 44%
Ore processed – Sulphide 14,202,100 13,911,500 13,295,100 12,940,500 13,168,200 2% 8% 41,408,700 39,020,000 6%
Ore grade processed -
0.71 0.81 0.88 0.87 0.83 (13)% (15)% 0.79 0.81 (2)%
Sulphide (% TCu)
Production - Copper
9,100 8,900 9,900 9,900 8,600 2% 6% 27,900 27,800 -
cathode
Production - Copper in
- - - - - - - - 600 -
sulphate
Production - Copper in
86,600 97,100 105,700 100,000 97,900 (11)% (12)% 289,400 278,000 4%
concentrate
Production total 95,700 106,000 115,600 109,900 106,500 (10)% (10)% 317,300 306,400 4%
El Soldado mine(9)
Ore mined 210,700 450,300 1,893,500 2,001,200 1,910,600 (53)% (89)% 2,554,500 6,575,500 (61)%
Ore processed - Sulphide 1,806,600 1,777,400 1,856,900 1,852,400 1,730,200 2% 4% 5,440,900 5,460,000 -
Ore grade processed -
0.53 0.58 0.67 0.90 0.65 (9)% (19)% 0.59 0.87 (32)%
Sulphide (% TCu)
Production - Copper
300 300 200 300 200 - 50% 800 900 (11)%
cathode
Production - Copper in
6,400 8,100 9,700 12,300 9,200 (21)% (30)% 24,200 38,100 (36)%
concentrate
Production total 6,700 8,400 9,900 12,600 9,400 (20)% (29)% 25,000 39,000 (36)%
Chagres Smelter(9)
Ore smelted 33,300 33,200 36,700 39,900 38,100 - (13)% 103,200 109,900 (6)%
Production 32,300 32,400 35,500 38,700 36,800 - (12)% 100,200 106,500 (6)%
Total copper production for
102,400 114,400 125,500 122,500 115,900 (10)% (12)% 342,300 345,400 (1)%
Anglo American Sur
Anglo American Norte
Mantos Blancos mine
Ore processed - Sulphide 1,156,100 1,109,000 1,078,000 1,099,500 1,073,300 4% 8% 3,343,100 3,230,100 3%
Ore grade processed -
(10) 0.62 0.60 0.69 0.69 0.69 3% (10)% 0.62 0.64 (3)%
Sulphide (% ICu)
Production - Copper
6,500 7,900 5,000 6,700 7,500 (18)% (13)% 19,400 22,800 (15)%
cathode
Production - Copper in
6,500 6,300 6,100 6,700 6,100 3% 7% 18,900 18,400 3%
concentrate
Production total 13,000 14,200 11,100 13,400 13,600 (8)% (4)% 38,300 41,200 (7)%
Mantoverde mine
Ore processed - Oxide 2,634,100 2,566,100 2,530,500 2,473,500 2,708,500 3% (3)% 7,730,700 7,911,700 (2)%
Ore processed - Marginal
2,077,300 2,189,100 2,105,200 1,729,100 2,179,000 (5)% (5)% 6,371,600 6,551,300 (3)%
ore
Ore grade processed -
0.47 0.48 0.50 0.52 0.55 (2)% (15)% 0.48 0.58 (17)%
Oxide (% ASCu )
Ore grade processed -
0.23 0.23 0.24 0.23 0.24 (1)% (5)% 0.23 0.25 (8)%
Marginal ore (% ASCu )
Production - Copper
13,000 12,200 13,100 13,600 14,100 7% (8)% 38,300 43,200 (11)%
cathode
Total copper production for
26,000 26,400 24,200 27,000 27,700 (2)% (6)% 76,600 84,400 (9)%
Anglo American Norte
Total Copper segment
238,600 262,600 268,600 296,700 288,300 (9)% (17)% 769,800 727,000 6%
copper production
Total Attributable copper
(11) 176,900 194,400 202,000 214,300 207,300 (9)% (15)% 573,300 560,600 2%
production
Attributable sales volumes 179,300 180,800 207,600 214,500 216,700 (1)% (17)% 567,700 553,700 3%
Q3 2014 Q3 2014 YTD 2014
Nickel (tonnes) unless YTD YTD
Q3 2014 Q2 2014 Q1 2014 Q4 2013 Q3 2013 vs. vs. vs.
stated otherwise(12) 2014 2013
Q2 2014 Q3 2013 YTD 2013
Barro Alto
Ore mined 1,019,300 736,600 354,000 321,300 885,200 38% 15% 2,109,900 1,677,600 26%
Ore processed 531,900 555,500 464,000 487,800 444,400 (4)% 20% 1,551,400 1,128,400 37%
Ore grade processed
1.86 1.78 1.78 1.82 1.87 4% (1)% 1.81 1.82 -
- %Ni
Production 8,300 8,600 6,900 7,800 7,100 (3)% 17% 23,800 17,300 38%
Codemin
Ore mined - 6,800 - - - - - 6,800 6,800 -
Ore processed 154,100 140,800 147,200 151,700 157,000 9% (2)% 442,100 450,700 (2)%
Ore grade processed
1.67 1.67 1.67 1.72 1.70 - (2)% 1.67 1.70 (2)%
- %Ni
Production 2,400 2,000 2,300 2,400 2,400 20% - 6,700 6,900 (3)%
Total Nickel segment
10,700 10,600 9,200 10,200 9,500 1% 13% 30,500 24,200 26%
nickel production
Sales volumes 8,800 8,900 10,000 11,200 9,200 (1)% (4)% 27,700 22,600 23%
Niobium Q3 2014 Q3 2014 YTD 2014
YTD YTD
(tonnes) unless Q3 2014 Q2 2014 Q1 2014 Q4 2013 Q3 2013 vs. vs. vs.
2014 2013
otherwise stated Q2 2014 Q3 2013 YTD 2013
Niobium
Ore mined 424,900 356,200 38,500 457,100 407,500 19% 4% 819,600 771,700 6%
Ore processed 237,900 238,700 229,700 224,400 239,900 - (1)% 706,300 738,700 (4)%
Ore grade processed
1.08 1.10 0.92 1.16 1.19 (2)% (9)% 1.04 1.17
- %Nb (11)%
Production 1,200 1,100 1,100 1,200 1,100 9% 9% 3,400 3,300 3%
Sales volumes 1,200 1,200 1,100 1,200 1,200 9% 9% 3,500 3,500 -
Phosphates Q3 2014 Q3 2014 YTD 2014
YTD YTD
(tonnes) unless Q3 2014 Q2 2014 Q1 2014 Q4 2013 Q3 2013 vs. vs. vs.
2014 2013
otherwise stated Q2 2014 Q3 2013 YTD 2013
Phosphates
Concentrate 362,700 349,500 347,900 353,400 355,000 4% 2% 1,060,100 1,052,900 1%
Concentrate grade -
37.3 37.1 36.8 36.7 37.1 1% 1% 37.1 37.3 (1)%
%P2O5
Phosphoric acid 81,300 81,300 53,800 78,000 79,500 - 2% 216,400 239,100 (9)%
Fertiliser(13) 284,700 275,700 267,200 299,000 326,300 3% (13)% 827,600 900,000 (8)%
High analysis
60,200 44,200 30,100 44,400 61,300 36% (2)% 134,500 165,000 (18)%
fertiliser
Low analysis
224,500 231,500 237,100 254,600 265,000 (3)% (15)% 693,100 735,100 (6)%
fertiliser
Dicalcium phosphate
44,100 43,600 31,600 38,700 43,100 1% 2% 119,300 121,000 (1)%
(DCP)
Fertiliser sales
311,700 241,000 266,500 340,100 280,300 29% 11% 819,200 823,200 (0)%
volumes
Q3 2014 Q3 2014 YTD 2014
YTD YTD
Platinum Q3 2014 Q2 2014 Q1 2014 Q4 2013 Q3 2013 vs. vs. vs.
2014 2013
Q2 2014 Q3 2013 YTD 2013
Refined production
Platinum (troy oz) 460,000 420,600 435,200 692,100 666,400 9% (31)% 1,315,800 1,687,400 (22)%
Palladium (troy oz) 316,400 294,600 256,700 428,200 369,300 7% (14)% 867,700 952,600 (9)%
Rhodium (troy oz) 48,400 48,700 60,600 83,500 84,900 (1)% (43)% 157,700 211,200 (25)%
Copper refined
2,800 3,900 3,200 1,800 2,600 (28)% 8% 9,900 6,500 52%
(tonnes)(14)
Copper matte
1,300 2,300 1,200 1,400 300 (43)% 333% 4,800 4,400 9%
(tonnes)(14)
Nickel refined
5,200 5,600 4,900 5,200 4,900 (7)% 6% 15,700 11,600 35%
(tonnes)(14)
Nickel matte
(14) 1,800 2,700 1,400 100 300 (33)% 500% 5,900 5,700 4%
(tonnes)
Gold (troy oz) 14,600 26,700 25,400 26,700 33,700 (45)% (57)% 66,700 73,300 (9)%
Equivalent refined
Platinum (troy oz) 532,800 358,200 357,000 520,300 622,600 49% (14)% 1,248,000 1,800,100 (31)%
4E built-up head grade
3.06 2.77 2.86 3.19 3.36 10% (9)% 2.92 3.28 (11)%
(g/tonne milled)(15)
Q3 2014 Q3 2014 YTD 2014
YTD YTD
Diamonds Q3 2014 Q2 2014 Q1 2014 Q4 2013 Q3 2013 vs. vs. vs.
2014 2013
Q2 2014 Q3 2013 YTD 2013
Carats recovered
(100% basis)
Orapa 2,651,000 3,487,000 3,204,000 3,516,000 2,644,000 (24)% - 9,342,000 7,859,000 19%
Letlhakane 157,000 177,000 131,000 164,000 132,000 (11)% 19% 465,000 518,000 (10)%
Damtshaa 83,000 70,000 56,000 102,000 55,000 19% 51% 209,000 162,000 29%
Jwaneng 3,333,000 2,532,000 2,367,000 2,575,000 2,615,000 32% 27% 8,232,000 7,811,000 5%
Debswana 6,224,000 6,266,000 5,758,000 6,357,000 5,446,000 (1)% 14% 18,248,000 16,350,000 12%
Land 156,000 199,000 137,000 148,000 161,000 (22)% (3)% 492,000 454,000 8%
Marine 293,000 310,000 295,000 317,000 284,000 (5)% 3% 898,000 843,000 7%
Namdeb Holdings 449,000 509,000 432,000 465,000 445,000 (12)% 1% 1,390,000 1,297,000 7%
Kimberley 207,000 154,000 159,000 147,000 224,000 34% (8)% 520,000 668,000 (22)%
Venetia 776,000 834,000 531,000 1,403,000 891,000 (7)% (13)% 2,141,000 1,789,000 20%
Voorspoed 143,000 186,000 242,000 178,000 240,000 (23)% (40)% 571,000 539,000 6%
DBCM 1,126,000 1,174,000 932,000 1,728,000 1,355,000 (4)% (17)% 3,232,000 2,996,000 8%
Snap Lake 253,000 379,000 268,000 397,000 315,000 (33)% (20)% 900,000 915,000 (2)%
Victor 141,000 187,000 141,000 185,000 171,000 (25)% (18)% 469,000 469,000 -
De Beers Canada 394,000 566,000 409,000 582,000 486,000 (30)% (19)% 1,369,000 1,384,000 (1)%
Total carats
8,193,000 8,515,000 7,531,000 9,132,000 7,732,000 (4)% 6% 24,239,000 22,027,000 10%
recovered
(1) Saleable production
(2) Production includes medium carbon ferro-manganese
(3) Within export coking and export PCI coals there are different grades of coal with different weighted average prices compared to benchmark
(4) Includes both hard coking coal and PCI sales volumes
(5) Excludes Anglo American Platinum’s copper production
(6) ASCu = acid soluble copper
(7) TCu = total copper
(8) Anglo American’s share of Collahuasi production is 44%
(9) Anglo American ownership interest of Anglo American Sur is 50.1%. Production is stated at 100% as Anglo American consolidates Anglo American Sur
(10) ICu = insoluble copper (total copper less acid soluble copper)
(11) Difference between total copper production and attributable copper production arises from Anglo American’s 44% interest in Collahuasi
(12) Excludes Anglo American Platinum’s nickel production
(13) 2013 fertiliser includes updated production quantification methodology in the acidulation plant at Cubatão
(14) Nickel and copper refined through third parties is now shown as production of nickel matte and copper matte. Nickel and copper matte, per the table,
reflect matte sold to a third party in Q2 2013 from 2012 and 2013 production stockpiles
(15) 4E: the grade measured as the combined content of the four most valuable precious metals: platinum, palladium, rhodium and gold.
Note:
Production figures are sometimes more precise than the rounded numbers shown in the
commentary of this report. The percentage change will reflect the percentage change using the
production figures shown in the Production Summary of this report.
Forward-looking statements:
This contains certain forward looking statements which involve risk and uncertainty because they
relate to events and depend on circumstances that occur in the future. There are a number of
factors that could cause actual results or developments to differ materially from those expressed
or implied by these forward looking statements.
For further information, please contact:
Media Investors
UK UK
James Wyatt-Tilby Paul Galloway
Tel: +44 (0)20 7968 8759 Tel: +44 (0)20 7968 8718
Emily Blyth Edward Kite
Tel: +44 (0)20 7968 8481 Tel: +44 (0)20 7968 2178
South Africa Sarah McNally
Pranill Ramchander Tel: +44 (0)20 7968 8747
Tel: +27 (0)11 638 2592
Shamiela Letsoalo
Tel: +27 (0)11 638 3112
Sponsor: UBS South Africa (Pty) Ltd
Notes to editors:
Anglo American is one of the world’s largest mining companies, is headquartered in the UK and
listed on the London and Johannesburg stock exchanges. Our portfolio of mining businesses
meets our customers’ changing needs and spans bulk commodities – iron ore and manganese,
metallurgical coal and thermal coal; base metals and minerals – copper, nickel, niobium and
phosphates; and precious metals and minerals – in which we are a global leader in both
platinum and diamonds. At Anglo American, we are committed to working together with our
stakeholders – our investors, our partners and our employees – to create sustainable value that
makes a real difference, while upholding the highest standards of safety and responsibility
across all our businesses and geographies. The company’s mining operations, pipeline of
growth projects and exploration activities span southern Africa, South America, Australia, North
America, Asia and Europe.
www.angloamerican.com
Date: 23/10/2014 08:00:00 Produced by the JSE SENS Department. The SENS service is an information dissemination service administered by the JSE Limited ('JSE').
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