NEWS RELEASE
Baar, 30 April 2020
First Quarter 2020 Production Report
and General Update
Glencore Chief Executive Officer, Ivan Glasenberg:
"The global impact of the COVID-19pandemic is an unprecedented challenge for individuals, governments and companiesalike. Disruptionsto our business have, to date, been manageable and the majority of our assets areoperating relatively normally, a credit to our peoplethat have stepped up to the challenge of a changed working environment, especially those who continue to carry out their work on site at our industrial assets - Glencore's frontline. Some industrial assets have been temporarily suspended, generally in line with national and regional lockdowns. Our updated full year production guidance reflects these impacts.
"A rigorous focus on optimising our asset portfolio has helped to preserve solid levels of overall Industrial Asset free cash flow generation in thecurrent operating environment. Focussed costcontrol,lower energy costs, favourablemovementsin producer currencies and higherpreciousmetals' by-product credits, have underpinned reductionsin forecast full year unit cash costsfor our key commodity departments. Copper unit costs are now guided lower to 105c/lb, zinc unit costs 39% lower at 14c/lb and thermal coal guided unitcash costs are $3/t lower at $42/t.We also expect a c$1.0 to $1.5 billion reduction in 2020 capex compared to our original 2020 guidance of $5.5 billion.
"Furthermore, notwithstanding global macroeconomic / demand headwinds , the volatile and complex commodity trading environment has provided opportunities for our Marketing business, such that,to date, we have generated annualised earnings within our $2.2 to $3.2 billion p.a.long-term guidancerange.
"Given our strong liquidity position and resilient businessmodel, we are well positioned to navigate the currentchallenges. We recognise theuncertainty caused by thecurrent environment and endeavour to supportour stakeholders,as appropriate."
Production from own sources - Total1
Q1 2020 | Q1 2019 | Change % | |||
Copper | - excl. African Copper | kt | 226.0 | 225.4 | - |
Copper | - African Copper, in development/optimisation phases | kt | 67.3 | 95.3 | (29) |
Copper | kt | 293.3 | 320.7 | (9) | |
Cobalt | kt | 6.1 | 10.9 | (44) | |
Zinc | kt | 295.6 | 262.3 | 13 | |
Lead | kt | 61.7 | 73.9 | (17) | |
Nickel | kt | 28.2 | 27.1 | 4 | |
Gold | koz | 199 | 202 | (1) | |
Silver | koz | 7,778 | 7,620 | 2 | |
Ferrochrome | kt | 388 | 402 | (3) | |
Coal - coking | mt | 1.8 | 2.6 | (31) | |
Coal - semi-soft | mt | 1.6 | 1.0 | 60 | |
Coal - thermal | mt | 28.5 | 29.6 | (4) | |
Coal | mt | 31.9 | 33.2 | (4) | |
Oil (entitlement interest basis) | kbbl | 1,806 | 1,145 | 58 |
1 Controlled industrial assets andjoint ventures only. Productionis ona 100% basis, except as statedlater in this report.
GlencoreQ1 2020 ProductionReportand General Update | 1 |
Highlights
continued
COVID-19 situation report and outlook
- The COVID-19 pandemic is an unprecedented challenge for all of us, including our colleagues, families, local communities and society at large. As a responsibleoperator, our top priority is to protectthe safety and health of our people and the communities that host our businesses.
- Glencore operates morethan 180 sites and officesin over 35 countries. The scale and diversity of our operationsmeans thatthe impact of the virus varies by location. In addition, many of our operationsare located in remote areas with limited public health care systems. Our teams areworking closely with governments, health agencies and otherskey responders to provide effective local solutions.
- We have introduced a number of precautionary measuresacross our officesand industrial assets in response to COVID-19.This includesthe implementation of enhanced hygiene and cleaning measures,application of social distancing and identification of higher risk groups. Our goal is to operate only when we can keep our people safe and healthy, while safeguarding jobs and providing support to our local communities. A near-total restriction on non-essential travel has been implemented as well as remote working,where possible.
- The majority of our industrial assets continueto operaterelatively normally, accountingfor the various changed practices noted above. Various operations have been temporarily suspended, where national/regional lockdowns or other circumstances have dictated such.
- The assets thathave been principally impacted are noted below:
Jurisdiction | Asset | Commodity | Expected impact in 2020 |
Canada | Raglan | Nickel | Operations stopped late March.Now recommenced and in process of being |
(Quebec) | ramped up. Impact isless than one month of output | ||
Canada | Matagami | Zinc | Operations stopped late March.Now recommenced and in process of being |
(Quebec) | ramped up. Directimpact islessthan one month of output | ||
Chad | Oilfields | Oil | On care and maintenancesince mid-April |
Colombia | Cerrejon JV | Coal | Mining operationsramped down from late March. See below |
Colombia | Prodeco | Coal | On care and maintenancesince late March. Seebelow |
DRC | Katanga | Copper / cobalt | Acid plant project commissioningdelayed from H1 2020 to H2 2020. No |
impact on 2020 production | |||
Kazakhstan | Kazzinc | Zinc | Zhairem mine developmentto be completed, butdelivery to market of |
expected zinc production beingintentionally delayed to 2021 | |||
New CaledoniaKoniambo | Nickel | The planned maintenance shutdown on one production line(of two) was | |
extended, with restart delayed by approximately two months | |||
Peru | Antamina JV | Copper and zinc Operations were initially halted for a two-week period from 13 April.This has | |
now been extended, with restarttiming subjectto Antamina beingable to | |||
ensure the workforce's ongoing health and wellbeing | |||
South Africa | Ferroalloys | Chrome and | All mining and smelting operations were suspended for the duration of the |
production | vanadium | lockdown, a staggered start-up is currently in progress | |
South Africa | SA Coal | Coal | Major complexes supplyingdomestic power and exports continued to |
operate. A smaller complex was temporarily closed | |||
South Africa | Astron Energy | Oil refining | The planned Q1 refinery maintenance turnaround has been extended |
Zambia | Mopani | Copper | Operating scenariosunder discussion with the Zambian government. |
- Colombian coal - given the continued pressure on European coal pricing, production volumesare at risk of further reduction.
- Volcan - excluded from Glencore's production statistics due to our relatively small equity interest (c.23%). Operations were suspended on 19 March due to national governmentrestrictions in Peru, and will restart when such restrictions are lifted.
GlencoreQ1 2020 ProductionReportand General Update | 2 |
Highlights
continued
Production guidance and updated financial outlook
- Full year 2020 production guidance, including accounting for latest expected business interruptions due to COVID-19 noted above, is set out below, with further remarks on page 19.
Actual | Previous | Current | ||||||
FY | guidance | guidance | 2020 weighting | |||||
2019 | 2020 | 2020 | H1 | H2 | ||||
Copper - excl. African Copper | kt | 1,001 | 975 ± 25 | 975 ± 20 | 47% | 53% | ||
Copper - African Copper | kt | 370 | 325 | ± 25 | 280 ± 25 | 50% | 50% | |
Copper | kt | 1,371 | 1,300 | ± 50 | 1,255 ± 45 | 48% | 52% | |
Cobalt | kt | 46 | 29 ± 4 | 28 ± 2 | 48% | 52% | ||
Zinc | kt | 1,078 | 1,265 | ± 30 | 1,160 ± 30 | 1 | 50% | 50% |
Nickel | kt | 121 | 125 ± 5 | 122 ± 5 | 46% | 54% | ||
Ferrochrome | kt | 1,438 | 1,340 ± 25 | 1,000 ± 25 | 47% | 53% | ||
Coal | mt | 140 | 135 ± 4 | 132 ± 3 | 47% | 53% | ||
Oil | mbbl | 5.5 | 6.5 ± 0.2 | See below | 2 | n.a. | n.a. |
- Excludes Volcan
- Oil updated guidance under review, butwill be materiallylower as the fieldoperations in Chad have beensuspended, relating to COVID-19 disruptionin internationalmobility, transportation and supplychains
- Industrial Assets unit costguidanceupdated for changesto production and currentproducer currency levels, energy costsand by-product pricing, isas follows:
Actual | Previous | Current | FYE 2020 split | ||||
FY | guidance | guidance | |||||
2019 | 2020 | 2020 | H1 | H2 | |||
Copper - excl. African Copper | c/lb | 81 | 82 | 83 | 1 | 90 | 78 |
Copper | c/lb | 148 | 120 | 105 | 1 | 116 | 94 |
Zinc - excl. gold credit | c/lb | 47 | 58 | 58 | 2 | 65.1 | 50 |
Zinc | c/lb | 13 | 23 | 14 | 2 | 27 | 1 |
Nickel - excl. Koniambo | c/lb | 277 | 227 | 240 | 220 | 257 | |
Nickel | c/lb | 398 | 351 | 382 | 391 | 372 | |
Coal | $/t | 45 | 45 | 42 | 44 | 40 |
- Copper unit costguidance excludes costs associated with non-operating or significantlycurtailedassets, including those on care and maintenance. Inthis regard, anestimated combinedapproximately$400million of netoperating costs is expected to be incurred in relation to Mopani, Mutanda, Alumbrera and Polymetin 2020. Comparable to previous guidance, the 120c/lb cost would have been 106c/lb, plus approximately $300 million of net operatingcosts associated with the non-operatingorsignificantly curtailed assets
- Excludes Volcan.
- Industrial Assets capex for 2020 now expected to be in the $4.0-4.5 billion range (previous guidance: $5.5 billion) reflecting some assets curtailing production levels (with associated capex savings), various deferrals and lower equivalent USD costs due to generally weaker producercurrencies and lower input costs, particularly through oil price changes.
- Our Marketing businessis delivering annualised Adjusted EBIT performance within our through the cycle long-term guidance range of $2.2 to $3.2 billion p.a.
- As previously announced, Glencore's revolvingcreditfacilities have been refinanced and extended,effective 22 May 2020, on the same commercial terms as our2019 facilities. These comprise:
- a $9.975 billion 12-month facility, with a 12-monthterm-out option at Glencore's discretion; and
- a $4.65 billion 5-yearrevolving credit facility.
Q1 production highlights
- For the most part, the disruptions noted above took effect close to or after 31 March. Q1 production was therefore largely unaffected by them.
- Own sourced copper production of 293,300 tonnes was 27,400 tonnes (9%) lower than Q1 2019. No production was reported in the quarter for Mutanda (on care and maintenance) and Mopani (Q1 smelter restart processed 5.0kt (of 10.6kt) of copper contained concentrates produced and reported in H2 2019, while the smelter underwent a majormulti-month rebuild).
GlencoreQ1 2020 ProductionReportand General Update | 3 |
Highlights
continued
- Own sourced zinc production of 295,600 tonnes was 33,300 tonnes (13%) higher than Q1 2019, mainly relating to the Antamina joint venture, theIscaycruz mine in Peru that restarted in Q3 2019 and higher grades from Canada.
- Own sourced nickel production of 28,200 tonnes was 1,100 tonnes (4%) higher than Q1 2019, reflecting the offsetting effects of disruptions in the base period at INO and Koniambo, and maintenance in thecurrent period at Murrin Murrin.
- Attributable ferrochrome production of 388,000 tonnes was 14,000 tonnes (3%) lowerthan Q1 2019.
- Coal production of 31.9 million tonnes was 1.3 million tonnes (4%) lower than Q1 2019, mainly reflecting operating challenges in South Africa and mining sequencing in the Australian coking portfolio, partly offset by higher Australian thermal coal production.
- Entitlement interest oil production of 1.8 million barrels was 0.7 million barrels (58%) higher than in Q1 2019, primarily reflecting the drilling campaign in Chad and,from Q3 2019, the Bolongo field in Cameroon.
For further information please contact:
Investors | |||||
Martin Fewings | t: +41 | 41 709 2880 | m: +41 | 79 737 5642 | martin.fewings@glencore.com |
Maartje Collignon | t: +41 | 41 709 32 69 | m: +41 | 79 197 42 02 | maartje.collignon@glencore.com |
Media | |||||
Charles Watenphul | t: +41 | 41 709 2462 | m: +41 | 79 904 3320 | charles.watenphul@glencore.com |
www.glencore.com
Glencore LEI: 2138002658CPO9NBH955
Notes for Editors
Glencore is one of the world's largest global diversified natural resource companies and a major producer and marketerof more than
60 responsibly-sourced commodities that advance everyday life. The Group's operations comprise around 150 mining and metallurgical sites and oil production assets.
With a strong footprint in over 35 countries in both established and emerging regions for natural resources, Glencore's industrial activities are supported by a global networkof more than 30 marketingoffices.
Glencore's customers are industrial consumers, such as those in the automotive, steel, power generation, battery manufacturing and
oil sectors. We also provide financing, logistics and otherservices to producers and consumers of commodities. Glencore'scompanies employ around 160,000 people, including contractors.
Glencore isproud to bea member of theVoluntary Principleson Security and Human Rights and the International Council on Mining and Metals. We are an active participant in the Extractive IndustriesTransparency Initiative.
GlencoreQ1 2020 ProductionReportand General Update | 4 |
Metals and minerals
Production data
Production from own sources - Copper assets1
Q1 2020 | Q1 2019 | Change % | ||
Collahuasi2 | ||||
Copper in concentrates | kt | 66.5 | 57.3 | 16 |
Silver in concentrates | koz | 1,063 | 699 | 52 |
Antamina3 | ||||
Copper in concentrates | kt | 33.1 | 35.9 | (8) |
Zinc in concentrates | kt | 36.9 | 24.7 | 49 |
Silver in concentrates | koz | 1,316 | 1,180 | 12 |
Other South America (Antapaccay, Lomas Bayas) | ||||
Copper metal | kt | 18.4 | 19.9 | (8) |
Copper in concentrates | kt | 38.0 | 47.0 | (19) |
Gold in concentrates and in doré | koz | 22 | 18 | 22 |
Silver in concentrates and in doré | koz | 270 | 381 | (29) |
Australia (Mount Isa, Ernest Henry, Townsville, Cobar) | ||||
Copper metal | kt | 31.8 | 23.8 | 34 |
Copper in concentrates | kt | 11.8 | 10.4 | 13 |
Gold | koz | 22 | 27 | (19) |
Silver | koz | 273 | 390 | (30) |
Copper - excl. African Copper | 199.6 | |||
Copper | kt | 194.3 | 3 | |
Zinc | kt | 36.9 | 24.7 | 49 |
Gold | koz | 44 | 45 | (2) |
Silver | koz | 2,922 | 2,650 | 10 |
African Copper (Katanga, Mutanda, Mopani) | ||||
Copper metal | kt | 67.3 | 95.3 | (29) |
Cobalt4 | kt | 5.3 | 9.9 | (46) |
Total Copper department | 266.9 | |||
Copper | kt | 289.6 | (8) | |
Cobalt | kt | 5.3 | 9.9 | (46) |
Zinc | kt | 36.9 | 24.7 | 49 |
Gold | koz | 44 | 45 | (2) |
Silver | koz | 2,922 | 2,650 | 10 |
GlencoreQ1 2020 ProductionReportand General Update | 5 |
Metals and minerals
continued
Production from own sources - Zinc assets1
Q1 2020 | Q1 2019 | Change % | ||
Kazzinc | ||||
Zinc metal | kt | 43.3 | 40.3 | 7 |
Lead metal | kt | 5.5 | 7.9 | (30) |
Lead in concentrates | kt | - | 2.8 | (100) |
Copper metal5 | kt | 8.7 | 11.1 | (22) |
Gold | koz | 150 | 150 | - |
Silver | koz | 844 | 959 | (12) |
Silver in concentrates | koz | - | 88 | (100) |
Australia (Mount Isa, McArthur River) | ||||
Zinc in concentrates | kt | 153.7 | 150.9 | 2 |
Lead in concentrates | kt | 52.7 | 55.1 | (4) |
Silver in concentrates | koz | 1,813 | 1,949 | (7) |
North America (Matagami, Kidd) | ||||
Zinc in concentrates | kt | 33.8 | 24.8 | 36 |
Copper in concentrates | kt | 9.9 | 9.3 | 6 |
Silver in concentrates | koz | 517 | 258 | 100 |
Other Zinc: South America (Argentina, Bolivia, Peru)6 | ||||
Zinc in concentrates | kt | 27.9 | 21.6 | 29 |
Lead in concentrates | kt | 3.5 | 8.1 | (57) |
Copper in concentrates | kt | 0.4 | 1.0 | (60) |
Silver in concentrates | koz | 1,574 | 1,592 | (1) |
Total Zinc department | kt | 258.7 | 237.6 | 9 |
Zinc | ||||
Lead | kt | 61.7 | 73.9 | (17) |
Copper | kt | 19.0 | 21.4 | (11) |
Gold | koz | 150 | 150 | - |
Silver | koz | 4,748 | 4,846 | (2) |
GlencoreQ1 2020 ProductionReportand General Update | 6 |
Metals and minerals
continued
Production from own sources - Nickel assets1
Q1 2020 | Q1 2019 | Change % | ||
Integrated Nickel Operations (INO) (Sudbury, Raglan, Nikkelverk) | ||||
Nickel metal | kt | 14.5 | 13.3 | 9 |
Nickel in concentrates | kt | 0.1 | 0.1 | - |
Copper metal | kt | 3.4 | 3.9 | (13) |
Copper in concentrates | kt | 4.0 | 5.8 | (31) |
Cobalt metal | kt | 0.1 | 0.2 | (50) |
Gold | koz | 5 | 7 | (29) |
Silver | koz | 108 | 124 | (13) |
Platinum | koz | 12 | 17 | (29) |
Palladium | koz | 28 | 26 | 8 |
Rhodium | koz | 1 | 1 | - |
Murrin Murrin | ||||
Nickel metal | kt | 7.6 | 8.7 | (13) |
Cobalt metal | kt | 0.7 | 0.8 | (13) |
Koniambo | ||||
Nickel in ferronickel | kt | 6.0 | 5.0 | 20 |
Total Nickel department | kt | 28.2 | 27.1 | 4 |
Nickel | ||||
Copper | kt | 7.4 | 9.7 | (24) |
Cobalt | kt | 0.8 | 1.0 | (20) |
Gold | koz | 5 | 7 | (29) |
Silver | koz | 108 | 124 | (13) |
Platinum | koz | 12 | 17 | (29) |
Palladium | koz | 28 | 26 | 8 |
Rhodium | koz | 1 | 1 | - |
Production from own sources - Ferroalloys assets1
Q1 2020 | Q1 2019 | Change % | ||
Ferrochrome7 | kt | 388 | 402 | (3) |
Vanadium Pentoxide | mlb | 4.2 | 5.1 | (18) |
Total production - Custom metallurgical assets1
Q1 2020 | Q1 2019 | Change % | ||
Copper (Altonorte, Pasar, Horne, CCR) | ||||
Copper metal | kt | 123.0 | 113.3 | 9 |
Copper anode | kt | 127.4 | 123.4 | 3 |
Zinc (Portovesme, San Juan de Nieva, Nordenham, Northfleet) | ||||
Zinc metal | kt | 195.9 | 203.3 | (4) |
Lead metal | kt | 44.6 | 45.7 | (2) |
- Controlledindustrial assets and joint ventures only.Production is on a100%basis, exceptfor jointventures, wheretheGroup's attributable share of production is included.
- The Group's pro-ratashare of Collahuasi production(44%).
- The Group's pro-ratashare of Antamina production (33.75%).
- Cobalt containedinconcentrates and hydroxides.
- Coppermetal includes copper containedincopperconcentrates and blister.
- South Americanproductionexcludes Volcan CompaniaMinera.
- The Group's attributable 79.5% shareoftheGlencore-MerafeChromeVenture.
GlencoreQ1 2020 ProductionReportand General Update | 7 |
Metals and minerals
continued
Operating highlights
Copper assets
Own sourced copper production of 293,300 tonnes was 27,400 tonnes (9%) lower than Q1 2019. No production wasreported in the quarter for Mutanda(on care and maintenance) and Mopani (Q1 smelter restart processed 5.0kt (of 10.6kt) of coppercontained concentrates produced and reported in H2 2019, while the smelter underwent a majormulti-month rebuild).
Collahuasi
Attributable copperproduction of 66,500 tonneswas 9,200 tonnes (16%) higherthan Q1 2019, reflectinghighermilling throughput.
Antamina
Attributable copperproduction of 33,100 tonnes was 2,800 tonnes (8%) lowerthan Q1 2019,but attributable zinc production of 36,900
tonnes was 12,200 tonnes(49%) higher, in each case reflecting expected variationsin copper/zinc output as the mine plan progresses.
Other South America
Copper production of 56,400 tonneswas10,500 tonnes(16%) lower than Q1 2019, mainly reflecting lower grades processed at Antapaccay as a result of adverse weather and resulting pit sequencing.
Australia
Own sourced copper production of 43,600 tonneswas9,400 tonnes(27%) higher than Q1 2019, reflecting severe floodingin Queensland in thebaseperiod which impacted logisticsto smeltingand refining operations.
Custom metallurgical assets
Copper cathode production of 123,000 tonneswas9,700 tonnes (9%) higher than Q1 2019, reflecting stronger operations at CCR.
Copper anode production of 127,400 tonneswasin linewith Q1 2019.
African Copper - in development/optimisation phases
Own sourced copper production of 67,300 tonneswas 28,000 tonnes(29%) lower than Q1 2019. No production wasreported in the
quarter for Mutandaand Mopani, as discussed above. On a standalone basis, Katanga'scopper production of 67,300 tonnes was 10,100 tonnes(18%) higherthan Q1 2019, reflectingits anticipated ramp-up.
Own sourced cobaltproduction of 5,300 tonneswas4,600 tonnes(46%) lower than Q1 2019, reflecting Mutanda's care and maintenance. On a standalone basis,Katanga's cobalt production of 5,300 tonnes was1,800 tonnes(51%) higher than Q1 2019.
Zinc assets
Own sourced zinc production of 295,600 tonneswas33,300 tonnes(13%) higher than Q1 2019, mainly relating to the Antamina joint venture noted above, the Iscaycruz mine in Peru that restarted in Q3 2019 and higher grades from Canada.
Kazzinc
Own sourced zinc production of 43,300 tonnes was 3,000 tonnes (7%) higher than Q1 2019, asthe base period wasimpacted by a safety incident.
Own sourced lead production of 5,500 tonnes was 5,200 tonnes(49%) lower than Q1 2019, reflectingmaintenance during the period.
Own sourced copper production of 8,700 tonneswas 2,400 tonnes (22%) lowerthan Q1 2019due to lower ore milled from the Maleevsky mine.
Own sourced gold production of 150,000 ounceswasin linewith Q1 2019.
Australia
Zinc production of 153,700 tonnesand lead production of 52,700 tonnes were broadly in linewith Q1 2019.
North America
Zinc production of 33,800 tonnes was 9,000 tonnes (36%) higherthan Q1 2019, reflectingstrong zinc grades at both operations. Copper production of 9,900 tonneswas600 tonnes (6%) higherthan Q1 2019.
South America
Zinc production of 27,900 tonnes was 6,300 tonnes (29%) higherthan Q1 2019,mainly reflectingthe contribution of the Iscaycruz mine in Peru, whereoperations restarted in Q3 2019.
Lead production of 3,500 tonneswas 4,600 tonnes(57%) lower than Q1 2019, reflecting that miningat Aguilar in Argentina has been curtailed for safety reasons.
European custom metallurgical assets
Zinc metal production of 195,900 tonnes and lead metal production of 44,600 tonneswere broadly comparable with Q1 2019.
Nickel assets
Own sourced nickel production of 28,200 tonnes was 1,100 tonnes(4%) higherthan Q1 2019, reflectingthe offsettingeffectsof disruptions in the base period at INO and Koniambo, and maintenance in thecurrent period at Murrin Murrin.
GlencoreQ1 2020 ProductionReportand General Update | 8 |
Metals and minerals
continued
Integrated Nickel Operations (INO)
Own sourced nickel production of 14,600 tonneswas 1,200 tonnes (9%) higherthan Q1 2019,reflectingthe impactof severe weather on transport and logisticsin the base period.Againstthe more comparable Q4 2019, production was broadly in line.
Murrin Murrin
Own sourced nickel production of 7,600 tonneswas 1,100 tonnes (13%) lower than Q1 2019, mainly reflecting a maintenance shutdown in February.
Koniambo
Nickel production of 6,000 tonnes was 1,000 tonnes (20%) higher than Q1 2019, reflecting variousdisruptions in thebaseperiod.
Ferroalloys assets
Attributable ferrochrome production of 388,000 tonnes was 14,000 tonnes (3%) lowerthan Q1 2019.
Vanadium pentoxide production of 4.2 million pounds was 0.9million pounds (18%) lowerthan Q1 2019,due to planned maintenancein February.
GlencoreQ1 2020 ProductionReportand General Update | 9 |
Energy products
Coal assets1
Q1 2020 | Q1 2019 | Change % | ||
Australian coking coal | mt | 1.8 | 2.6 | (31) |
Australian semi-soft coal | mt | 1.6 | 1.0 | 60 |
Australian thermal coal (export) | mt | 14.5 | 14.9 | (3) |
Australian thermal coal (domestic) | mt | 2.0 | 1.8 | 11 |
South African thermal coal (export) | mt | 3.7 | 3.8 | (3) |
South African thermal coal (domestic) | mt | 2.5 | 3.3 | (24) |
Prodeco | mt | 3.8 | 3.6 | 6 |
Cerrejón2 | mt | 2.0 | 2.2 | (9) |
Total Coal department | mt | 31.9 | 33.2 | (4) |
Oil assets
Q1 2020 | Q1 2019 | Change % | ||
Glencore entitlement interest basis | ||||
Equatorial Guinea | kbbl | 522 | 436 | 20 |
Chad | kbbl | 1,083 | 709 | 53 |
Cameroon | kbbl | 201 | - | n.m. |
Total Oil department | kbbl | 1,806 | 1,145 | 58 |
Gross basis | ||||
Equatorial Guinea | kbbl | 3,080 | 2,051 | 50 |
Chad | kbbl | 1,481 | 969 | 53 |
Cameroon | kbbl | 582 | - | n.m. |
Total Oil department | kbbl | 5,143 | 3,020 | 70 |
- Controlledindustrial assets and joint ventures only.Production is on a100%basis, exceptfor jointventures, wheretheGroup's attributable share of production is included.
- The Group's pro-ratashare of Cerrejón production (33.3%).
Operating highlights
Coal assets
Coal production of 31.9 million tonnes was1.3 million tonnes (4%) lower than Q1 2019, mainly reflecting operating challengesin South Africa and mining sequencing in the Australian cokingportfolio, partly offset by higherAustralian thermal coal production.
Australian coking
Production of 1.8 million tonnes was 0.8 million tonnes(31%) lower than Q1 2019, mainly reflecting the timing of cokingcoal extraction at Hail Creek(expected to be made up later in the year).
Australian thermal and semi-soft
Production of 18.1 million tonneswas0.4 million tonnes (2%) higher than Q1 2019.
South African thermal
Production of 6.2 million tonnes was 0.9 million tonnes (13%) lower than Q1 2019, reflectingcertain maintenance issues and wet- weather impacts in Jan/Feb 2020.
Prodeco
Production of 3.8 million tonnes was 0.2 million tonnes (6%) higher than Q1 2019, as improved mining changeswere realised.
Cerrejón
Attributable production of 2.0 million tonnes was0.2 million tonnes (9%) lowerthan Q1 2019, reflectingimposed dust restrictions.
Oil assets
Exploration and production
Entitlement interest oil production of 1.8 million barrels was0.7million barrels(58%) higherthan in Q1 2019, primarily reflecting the drillingcampaign in Chad and, from Q3 2019, the Bolongo field in Cameroon.
GlencoreQ1 2020 ProductionReportand General Update | 10 |
Select average commodity prices
Market conditions
Select average commodity prices
Q1 2020 | Q1 2019 | Change % | |
S&P GSCI Industrial Metals Index | 301 | 334 | (10) |
S&P GSCI Energy Index | 158 | 196 | (19) |
LME (cash) copper price ($/t) | 5,632 | 6,221 | (9) |
LME (cash) zinc price ($/t) | 2,124 | 2,707 | (22) |
LME (cash) lead price ($/t) | 1,843 | 2,034 | (9) |
LME (cash) nickel price ($/t) | 12,689 | 12,393 | 2 |
Gold price ($/oz) | 1,582 | 1,303 | 21 |
Silver price ($/oz) | 17 | 16 | 6 |
Metal Bulletin cobalt standard grade, in-warehouse Rotterdam ($/lb) | 16 | 18 | (11) |
Ferro-chrome 50% Cr import, CIF main Chinese ports, contained Cr (¢/lb) | 69 | 83 | (17) |
Iron ore (Platts 62% CFR North China) price ($/DMT) | 84 | 79 | 6 |
Coal API4 ($/t) | 73 | 83 | (12) |
Coal Newcastle (6,000) ($/t) | 70 | 96 | (27) |
Oil price - Brent ($/bbl) | 51 | 64 | (20) |
GlencoreQ1 2020 ProductionReportand General Update | 11 |
Production by quarter - Q1 2019 to Q1 2020
Metals and minerals
Production from own sources - Total1
Q1 | Change | Change | ||||||
Q1 | Q2 | Q3 | Q4 | Q1 20 vs | Q1 20 vs | |||
2019 | 2019 | 2019 | 2019 | 2020 | Q1 19 | Q4 19 | ||
% | % | |||||||
Copper | kt | 320.7 | 342.3 | 352.8 | 355.4 | 293.3 | (9) | (17) |
Cobalt | kt | 10.9 | 10.4 | 13.1 | 11.9 | 6.1 | (44) | (49) |
Zinc | kt | 262.3 | 273.6 | 273.3 | 268.3 | 295.6 | 13 | 10 |
Lead | kt | 73.9 | 73.6 | 72.3 | 60.2 | 61.7 | (17) | 2 |
Nickel | kt | 27.1 | 28.3 | 34.0 | 31.2 | 28.2 | 4 | (10) |
Gold | koz | 202 | 221 | 199 | 226 | 199 | (1) | (12) |
Silver | koz | 7,620 | 7,870 | 8,243 | 8,285 | 7,778 | 2 | (6) |
Ferrochrome | kt | 402 | 397 | 231 | 408 | 388 | (3) | (5) |
Coal | mt | 33.2 | 35.0 | 35.8 | 35.5 | 31.9 | (4) | (10) |
Oil (entitlement interest basis) | kbbl | 1,145 | 1,095 | 1,398 | 1,880 | 1,806 | 58 | (4) |
Production from own sources - Copper assets1
Q1 | Change | Change | |||||||
Q1 | Q2 | Q3 | Q4 | Q1 20 vs | Q1 20 vs | ||||
2019 | 2019 | 2019 | 2019 | 2020 | Q1 19 | Q4 19 | |||
% | % | ||||||||
Collahuasi2 | Copper in concentrates | kt | 57.3 | 54.7 | 64.5 | 72.3 | 66.5 | 16 | (8) |
Silver in concentrates | koz | 699 | 538 | 731 | 910 | 1,063 | 52 | 17 | |
Antamina3 | Copper in concentrates | kt | 35.9 | 38.8 | 39.1 | 37.6 | 33.1 | (8) | (12) |
Zinc in concentrates | kt | 24.7 | 26.7 | 24.3 | 26.7 | 36.9 | 49 | 38 | |
Silver in concentrates | koz | 1,180 | 1,343 | 1,224 | 1,304 | 1,316 | 12 | 1 | |
Other South America (Antapaccay, Lomas Bayas) | |||||||||
Antapaccay | Copper in concentrates | kt | 47.0 | 53.5 | 49.6 | 47.5 | 38.0 | (19) | (20) |
Gold in concentrates | koz | 18 | 26 | 18 | 23 | 22 | 22 | (4) | |
Silver in concentrates | koz | 381 | 455 | 402 | 338 | 270 | (29) | (20) | |
Lomas Bayas | Copper metal | kt | 19.9 | 20.1 | 19.7 | 19.2 | 18.4 | (8) | (4) |
Total Copper metal | kt | 19.9 | 20.1 | 19.7 | 19.2 | 18.4 | (8) | (4) | |
Total Copper in concentrates | kt | 47.0 | 53.5 | 49.6 | 47.5 | 38.0 | (19) | (20) | |
Total Gold in concentrates | koz | 18 | 26 | 18 | 23 | 22 | (4) | ||
and in doré | 22 | ||||||||
Total Silver in concentrates | koz | 381 | 455 | 402 | 338 | 270 | (20) | ||
and in doré | (29) |
GlencoreQ1 2020 ProductionReportand General Update | 12 |
Production by quarter - Q1 2019 to Q1 2020
continued
Metals and minerals
Production from own sources - Copper assets1 continued
Q1 | Change | Change | |||||||
Q1 | Q2 | Q3 | Q4 | Q1 20 vs | Q1 20 vs | ||||
2019 | 2019 | 2019 | 2019 | 2020 | Q1 19 | Q4 19 | |||
% | % | ||||||||
Australia (Mount Isa, Ernest Henry, Townsville, Cobar) | |||||||||
Mount Isa, Ernest Henry, Townsville, Cobar | |||||||||
Copper metal | kt | 23.8 | 40.2 | 41.3 | 45.8 | 31.8 | 34 | (31) | |
Gold | koz | 27 | 27 | 28 | 18 | 22 | (19) | 22 | |
Silver | koz | 284 | 321 | 304 | 245 | 156 | (45) | (36) | |
Mount Isa, Ernest Henry, Townsville - total production including third party feed | |||||||||
Copper metal | kt | 38.1 | 60.3 | 60.9 | 61.2 | 53.2 | 40 | (13) | |
Gold | koz | 34 | 34 | 36 | 36 | 33 | (3) | (8) | |
Silver | koz | 296 | 335 | 363 | 395 | 331 | 12 | (16) | |
Cobar | Copper in concentrates | kt | 10.4 | 11.6 | 10.4 | 11.1 | 11.8 | 13 | 6 |
Silver in concentrates | koz | 106 | 120 | 116 | 119 | 117 | 10 | (2) | |
Total Copper metal | kt | 23.8 | 40.2 | 41.3 | 45.8 | 31.8 | 34 | (31) | |
Total Copper in concentrates | kt | 10.4 | 11.6 | 10.4 | 11.1 | 11.8 | 13 | 6 | |
Total Gold | koz | 27 | 27 | 28 | 18 | 22 | (19) | 22 | |
Total Silver | koz | 390 | 441 | 420 | 364 | 273 | (30) | (25) | |
Total Copper department - excl. African Copper | |||||||||
Copper | kt | 194.3 | 218.9 | 224.6 | 233.5 | 199.6 | 3 | (15) | |
Zinc | kt | 24.7 | 26.7 | 24.3 | 26.7 | 36.9 | 49 | 38 | |
Gold | koz | 45 | 53 | 46 | 41 | 44 | (2) | 7 | |
Silver | koz | 2,650 | 2,777 | 2,777 | 2,916 | 2,922 | 10 | - | |
African Copper (Katanga, Mutanda, Mopani) | |||||||||
Katanga | Copper metal | kt | 57.2 | 52.5 | 59.4 | 65.4 | 67.3 | 18 | 3 |
Cobalt4 | kt | 3.5 | 2.6 | 4.8 | 6.2 | 5.3 | 51 | (15) | |
Mutanda | Copper metal | kt | 28.0 | 25.7 | 31.5 | 18.0 | - | (100) | (100) |
Cobalt4 | kt | 6.4 | 7.0 | 7.2 | 4.5 | - | (100) | (100) | |
Mopani | Copper metal | kt | 10.1 | 10.3 | 1.2 | - | - | (100) | n.m. |
Copper in concentrates | kt | - | 4.0 | 3.3 | 3.3 | - | n.m. | (100) | |
African Copper - total production including third party feed | |||||||||
Mopani | Copper metal | kt | 21.3 | 27.5 | 2.5 | - | 5.6 | (74) | n.m. |
Copper in concentrates | kt | - | 4.0 | 3.3 | 3.3 | - | n.m. | (100) | |
Total Copper metal | kt | 95.3 | 88.5 | 92.1 | 83.4 | 67.3 | (29) | (19) | |
Total Copper in concentrates | kt | - | 4.0 | 3.3 | 3.3 | - | n.m. | (100) | |
Total Cobalt4 | kt | 9.9 | 9.6 | 12.0 | 10.7 | 5.3 | (46) | (50) | |
Total Copper department | |||||||||
Copper | kt | 289.6 | 311.4 | 320.0 | 320.2 | 266.9 | (8) | (17) | |
Cobalt | kt | 9.9 | 9.6 | 12.0 | 10.7 | 5.3 | (46) | (50) | |
Zinc | kt | 24.7 | 26.7 | 24.3 | 26.7 | 36.9 | 49 | 38 | |
Gold | koz | 45 | 53 | 46 | 41 | 44 | (2) | 7 | |
Silver | koz | 2,650 | 2,777 | 2,777 | 2,916 | 2,922 | 10 | - |
GlencoreQ1 2020 ProductionReportand General Update | 13 |
Production by quarter - Q1 2019 to Q1 2020
continued
Metals and minerals
Production from own sources - Zinc assets1
Q1 | Change | Change | |||||||
Q1 | Q2 | Q3 | Q4 | Q1 20 vs | Q1 20 vs | ||||
2019 | 2019 | 2019 | 2019 | 2020 | Q1 19 | Q4 19 | |||
% | % | ||||||||
Kazzinc | |||||||||
Zinc metal | kt | 40.3 | 48.7 | 45.0 | 38.5 | 43.3 | 7 | 12 | |
Lead metal | kt | 7.9 | 11.3 | 8.2 | 4.2 | 5.5 | (30) | 31 | |
Lead in concentrates | kt | 2.8 | - | - | - | - | (100) | n.m. | |
Copper metal5 | kt | 11.1 | 8.1 | 12.1 | 12.7 | 8.7 | (22) | (31) | |
Gold | koz | 150 | 161 | 146 | 177 | 150 | - | (15) | |
Silver | koz | 959 | 1,019 | 1,354 | 1,214 | 844 | (12) | (30) | |
Silver in concentrates | koz | 88 | 4 | - | - | - | (100) | n.m. | |
Kazzinc - total production including third party feed | |||||||||
Zinc metal | kt | 74.5 | 76.3 | 66.2 | 76.3 | 75.0 | 1 | (2) | |
Lead metal | kt | 32.4 | 35.5 | 31.3 | 29.8 | 29.8 | (8) | - | |
Lead in concentrates | kt | 2.8 | - | - | - | - | (100) | n.m. | |
Copper metal | kt | 16.5 | 11.6 | 17.1 | 19.9 | 14.9 | (10) | (25) | |
Gold | koz | 206 | 233 | 260 | 263 | 197 | (4) | (25) | |
Silver | koz | 4,946 | 5,533 | 6,594 | 6,056 | 4,704 | (5) | (22) | |
Silver in concentrates | koz | 88 | 4 | - | - | - | (100) | n.m. | |
Australia (Mount Isa, McArthur River) | |||||||||
Mount Isa | Zinc in concentrates | kt | 81.8 | 80.7 | 88.6 | 75.3 | 85.2 | 4 | 13 |
Lead in concentrates | kt | 41.0 | 40.6 | 42.6 | 33.8 | 38.1 | (7) | 13 | |
Silver in concentrates | koz | 1,525 | 1,422 | 1,463 | 1,108 | 1,341 | (12) | 21 | |
McArthur River Zinc in concentrates | kt | 69.1 | 70.0 | 61.7 | 70.4 | 68.5 | (1) | (3) | |
Lead in concentrates | kt | 14.1 | 13.3 | 11.9 | 16.0 | 14.6 | 4 | (9) | |
Silver in concentrates | koz | 424 | 403 | 323 | 525 | 472 | 11 | (10) | |
Total Zinc in concentrates | kt | 150.9 | 150.7 | 150.3 | 145.7 | 153.7 | 2 | 5 | |
Total Lead in concentrates | kt | 55.1 | 53.9 | 54.5 | 49.8 | 52.7 | (4) | 6 | |
Total Silver in concentrates | koz | 1,949 | 1,825 | 1,786 | 1,633 | 1,813 | (7) | 11 | |
North America (Matagami, Kidd) | |||||||||
Matagami | Zinc in concentrates | kt | 11.2 | 10.1 | 11.9 | 10.6 | 14.5 | 29 | 37 |
Copper in concentrates | kt | 1.3 | 1.6 | 1.4 | 1.3 | 1.8 | 38 | 38 | |
Kidd | Zinc in concentrates | kt | 13.6 | 17.6 | 20.6 | 15.8 | 19.3 | 42 | 22 |
Copper in concentrates | kt | 8.0 | 8.0 | 7.9 | 9.6 | 8.1 | 1 | (16) | |
Silver in concentrates | koz | 258 | 435 | 400 | 561 | 517 | 100 | (8) | |
Total Zinc in concentrates | kt | 24.8 | 27.7 | 32.5 | 26.4 | 33.8 | 36 | 28 | |
Total Copper in concentrates | kt | 9.3 | 9.6 | 9.3 | 10.9 | 9.9 | 6 | (9) | |
Total Silver in concentrates | koz | 258 | 435 | 400 | 561 | 517 | 100 | (8) |
GlencoreQ1 2020 ProductionReportand General Update | 14 |
Production by quarter - Q1 2019 to Q1 2020
continued
Metals and minerals
Production from own sources - Zinc assets1 continued
Q1 | Change | Change | ||||||
Q1 | Q2 | Q3 | Q4 | Q1 20 vs | Q1 20 vs | |||
2019 | 2019 | 2019 | 2019 | 2020 | Q1 19 | Q4 19 | ||
% | % | |||||||
Other Zinc: South America (Argentina, Bolivia, Peru)6 | ||||||||
Zinc in concentrates | kt | 21.6 | 19.8 | 21.2 | 31.0 | 27.9 | 29 | (10) |
Lead in concentrates | kt | 8.1 | 8.4 | 9.6 | 6.2 | 3.5 | (57) | (44) |
Copper in concentrates | kt | 1.0 | 0.8 | 0.5 | 0.4 | 0.4 | (60) | - |
Silver in concentrates | koz | 1,592 | 1,655 | 1,808 | 1,851 | 1,574 | (1) | (15) |
Total Zinc department | ||||||||
Zinc | kt | 237.6 | 246.9 | 249.0 | 241.6 | 258.7 | 9 | 7 |
Lead | kt | 73.9 | 73.6 | 72.3 | 60.2 | 61.7 | (17) | 2 |
Copper | kt | 21.4 | 18.5 | 21.9 | 24.0 | 19.0 | (11) | (21) |
Gold | koz | 150 | 161 | 146 | 177 | 150 | - | (15) |
Silver | koz | 4,846 | 4,938 | 5,348 | 5,259 | 4,748 | (2) | (10) |
GlencoreQ1 2020 ProductionReportand General Update | 15 |
Production by quarter - Q1 2019 to Q1 2020
continued
Metals and minerals
Production from own sources - Nickelassets1
Q1 | Change | Change | |||||||
Q1 | Q2 | Q3 | Q4 | Q1 20 vs | Q1 20 vs | ||||
2019 | 2019 | 2019 | 2019 | 2020 | Q1 19 | Q4 19 | |||
% | % | ||||||||
Integrated Nickel Operations (Sudbury, Raglan, Nikkelverk) | |||||||||
Nickel metal | kt | 13.3 | 15.5 | 16.1 | 14.9 | 14.5 | 9 | (3) | |
Nickel in concentrates | kt | 0.1 | 0.2 | 0.1 | 0.1 | 0.1 | - | - | |
Copper metal | kt | 3.9 | 3.1 | 4.1 | 4.7 | 3.4 | (13) | (28) | |
Copper in concentrates | kt | 5.8 | 9.3 | 6.8 | 6.5 | 4.0 | (31) | (38) | |
Cobalt metal | kt | 0.2 | 0.2 | 0.2 | 0.1 | 0.1 | (50) | - | |
Gold | koz | 7 | 7 | 7 | 8 | 5 | (29) | (38) | |
Silver | koz | 124 | 155 | 118 | 110 | 108 | (13) | (2) | |
Platinum | koz | 17 | 16 | 15 | 3 | 12 | (29) | 300 | |
Palladium | koz | 26 | 32 | 29 | 25 | 28 | 8 | 12 | |
Rhodium | koz | 1 | 1 | 1 | 1 | 1 | - | - | |
Integrated Nickel Operations - total production including third party feed | |||||||||
Nickel metal | kt | 22.6 | 23.0 | 23.1 | 23.4 | 22.4 | (1) | (4) | |
Nickel in concentrates | kt | 0.1 | 0.2 | 0.1 | 0.2 | 0.1 | - | (50) | |
Copper metal | kt | 5.4 | 4.5 | 5.8 | 6.3 | 5.1 | (6) | (19) | |
Copper in concentrates | kt | 6.7 | 9.8 | 8.6 | 7.7 | 4.9 | (27) | (36) | |
Cobalt metal | kt | 1.0 | 1.0 | 1.2 | 1.2 | 0.9 | (10) | (25) | |
Gold | koz | 10 | 12 | 10 | 11 | 9 | (10) | (18) | |
Silver | koz | 187 | 211 | 189 | 162 | 174 | (7) | 7 | |
Platinum | koz | 21 | 23 | 21 | 19 | 21 | - | 11 | |
Palladium | koz | 49 | 65 | 61 | 53 | 69 | 41 | 30 | |
Rhodium | koz | 1 | 1 | 2 | 1 | 1 | - | - | |
Murrin Murrin | |||||||||
Total Nickel metal | kt | 8.7 | 7.4 | 10.8 | 9.7 | 7.6 | (13) | (22) | |
Total Cobalt metal | kt | 0.8 | 0.6 | 0.9 | 1.1 | 0.7 | (13) | (36) | |
Murrin Murrin - total production including third party feed | |||||||||
Total Nickel metal | kt | 9.8 | 8.6 | 11.7 | 10.6 | 8.6 | (12) | (19) | |
Total Cobalt metal | kt | 0.8 | 0.9 | 0.9 | 1.1 | 0.8 | - | (27) | |
Koniambo | Nickel in ferronickel | kt | 5.0 | 5.2 | 7.0 | 6.5 | 6.0 | 20 | (8) |
Total Nickel department | |||||||||
Nickel | kt | 27.1 | 28.3 | 34.0 | 31.2 | 28.2 | 4 | (10) | |
Copper | kt | 9.7 | 12.4 | 10.9 | 11.2 | 7.4 | (24) | (34) | |
Cobalt | kt | 1.0 | 0.8 | 1.1 | 1.2 | 0.8 | (20) | (33) | |
Gold | koz | 7 | 7 | 7 | 8 | 5 | (29) | (38) | |
Silver | koz | 124 | 155 | 118 | 110 | 108 | (13) | (2) | |
Platinum | koz | 17 | 16 | 15 | 3 | 12 | (29) | 300 | |
Palladium | koz | 26 | 32 | 29 | 25 | 28 | 8 | 12 | |
Rhodium | koz | 1 | 1 | 1 | 1 | 1 | - | - |
GlencoreQ1 2020 ProductionReportand General Update | 16 |
Production by quarter - Q1 2019 to Q1 2020
continued
Metals and minerals
Production from own sources - Ferroalloys assets1
Q1 | Change | Change | ||||||
Q1 | Q2 | Q3 | Q4 | Q1 20 vs | Q1 20 vs | |||
2019 | 2019 | 2019 | 2019 | 2020 | Q1 19 | Q4 19 | ||
% | % | |||||||
Ferrochrome7 | kt | 402 | 397 | 231 | 408 | 388 | (3) | (5) |
Vanadium pentoxide | mlb | 5.1 | 5.1 | 5.6 | 4.4 | 4.2 | (18) | (5) |
Total production- Custom metallurgical assets1
Q1 | Change | Change | ||||||
Q1 | Q2 | Q3 | Q4 | Q1 20 vs | Q1 20 vs | |||
2019 | 2019 | 2019 | 2019 | 2020 | Q1 19 | Q4 19 | ||
% | % | |||||||
Copper (Altonorte, Pasar, Horne, CCR) | ||||||||
Copper metal | kt | 113.3 | 109.8 | 100.8 | 109.0 | 123.0 | 9 | 13 |
Copper anode | kt | 123.4 | 137.3 | 117.7 | 132.3 | 127.4 | 3 | (4) |
Zinc (Portovesme, San Juan de Nieva, Nordenham, Northfleet) | ||||||||
Zinc metal | kt | 203.3 | 200.5 | 197.3 | 204.6 | 195.9 | (4) | (4) |
Lead metal | kt | 45.7 | 50.3 | 43.9 | 50.6 | 44.6 | (2) | (12) |
- Controlledindustrial assets and joint ventures only.Production is on a100%basis, except for jointventures, wheretheGroup's attributable share of production is included.
- The Group's pro-ratashare of Collahuasi production(44%).
- The Group's pro-ratashare of Antamina production (33.75%).
- Cobalt containedinconcentrates and hydroxides.
- Coppermetal includes copper containedincopperconcentrates and blister.
- South Americanproductionexcludes Volcan CompaniaMinera.
- The Group's attributable 79.5% shareoftheGlencore-MerafeChromeVenture.
GlencoreQ1 2020 ProductionReportand General Update | 17 |
Production by quarter - Q1 2019 to Q1 2020
continued
Energy products
Production from own sources - Coal assets1
Q1 | Change | Change | ||||||
Q1 | Q2 | Q3 | Q4 | Q1 20 vs | Q1 20 vs | |||
2019 | 2019 | 2019 | 2019 | 2020 | Q1 19 | Q4 19 | ||
% | % | |||||||
Australian coking coal | mt | 2.6 | 1.7 | 1.8 | 3.1 | 1.8 | (31) | (42) |
Australian semi-soft coal | mt | 1.0 | 2.3 | 1.8 | 1.3 | 1.6 | 60 | 23 |
Australian thermal coal (export) | mt | 14.9 | 16.1 | 16.8 | 16.4 | 14.5 | (3) | (12) |
Australian thermal coal (domestic) | mt | 1.8 | 2.2 | 2.2 | 2.4 | 2.0 | 11 | (17) |
South African thermal coal (export) | mt | 3.8 | 2.9 | 3.4 | 2.9 | 3.7 | (3) | 28 |
South African thermal coal (domestic) | mt | 3.3 | 4.1 | 3.7 | 2.8 | 2.5 | (24) | (11) |
Prodeco | mt | 3.6 | 3.7 | 4.0 | 4.3 | 3.8 | 6 | (12) |
Cerrejón2 | mt | 2.2 | 2.0 | 2.1 | 2.3 | 2.0 | (9) | (13) |
Total Coal department | mt | 33.2 | 35.0 | 35.8 | 35.5 | 31.9 | (4) | (10) |
- Controlledindustrial assets and joint ventures only.Production is on a100%basis, except for jointventures, wheretheGroup's attributable share of production is included.
- The Group's pro-ratashare of Cerrejón production (33.3%).
Oil assets
Q1 | Change | Change | ||||||
Q1 | Q2 | Q3 | Q4 | Q1 20 vs | Q1 20 vs | |||
2019 | 2019 | 2019 | 2019 | 2020 | Q1 19 | Q4 19 | ||
% | % | |||||||
Glencore entitlement interest basis | ||||||||
Equatorial Guinea | kbbl | 436 | 423 | 439 | 597 | 522 | 20 | (13) |
Chad | kbbl | 709 | 672 | 884 | 1,106 | 1,083 | 53 | (2) |
Cameroon | kbbl | - | - | 75 | 177 | 201 | n.m. | 14 |
Total Oil department | kbbl | 1,145 | 1,095 | 1,398 | 1,880 | 1,806 | 58 | (4) |
Gross basis | ||||||||
Equatorial Guinea | kbbl | 2,051 | 2,113 | 2,166 | 2,906 | 3,080 | 50 | 6 |
Chad | kbbl | 969 | 919 | 1,209 | 1,511 | 1,481 | 53 | (2) |
Cameroon | kbbl | - | - | 216 | 514 | 582 | n.m. | 13 |
Total Oil department | kbbl | 3,020 | 3,032 | 3,591 | 4,931 | 5,143 | 70 | 4 |
GlencoreQ1 2020 ProductionReportand General Update | 18 |
Full year 2020 production guidance
Actual | Actual | Actual | Previous | Current | ||||||
FY | FY | FY | guidance | guidance | 2020 weighting | |||||
2017 | 2018 | 2019 | 2020 | 2020 | H1 | H2 | ||||
Copper - excl. African Copper | kt | 1,071 | 1,043 | 1,001 | 975 ± 25 | 975 ± 20 | 47% | 53% | ||
Copper - African Copper | kt | 239 | 411 | 370 | 325 | ± 25 | 280 ± 25 | 50% | 50% | |
Copper | kt | 1,310 | 1,454 | 1,371 | 1,300 | ± 50 | 1,255 ± 45 | 48% | 52% | |
Cobalt | kt | 27.4 | 42.2 | 46 | 29 ± 4 | 28 ± 2 | 48% | 52% | ||
Zinc | kt | 1,090 | 1,068 | 1,078 | 1,265 | ± 30 | 1,160 ± 30 | 1 | 50% | 50% |
Nickel | kt | 109 | 124 | 121 | 125 ± 5 | 122 ± 5 | 46% | 54% | ||
Ferrochrome | kt | 1,531 | 1,580 | 1,438 | 1,340 ± 25 | 1,000 ± 25 | 47% | 53% | ||
Coal | mt | 121 | 129 | 140 | 135 ± 4 | 132 ± 3 | 47% | 53% | ||
Oil | mbbl | 5.1 | 4.6 | 5.5 | 6.5 ± 0.2 | See below | n.a. | n.a. |
1 Excludes Volcan.
Production guidance reflects the known conditions at the time of preparation. Such conditionsmay change, in particular, in relation to any further government and/or Glencoremeasures to control the spread of COVID-19and/or production adjustmentsin response to prevailing market conditions.
Changes in guidance reflect:
- Copper overall 1,255kt, down 3%: currently no changesin excl African Copperguidance, subject to further review upon restart at Antamina.
- African Copperdown 45kt (14%) due to slower ramp-up of the Mopani smelter in Q1,postan extensive rebuild during H2 2019 and potential placement of mining activitiesinto care and maintenanceduringH2 2020.
- Cobalt: modest 1kt reduction.
- Zinc: 1,160kt own sourced zinc, down 105kt (8%) - primarily reflects continuing to develop the new Zhairem mine in Kazakhstan as planned, however latest scheduling is to rather deliver the previously expected zinc production units to market on a delayed (2021) basis, owing to the currentperiod of heightened uncertainty. Thelatest estimate also accounts for the COVID-19 related production curtailments in Canada, Peru, Argentina and Bolivia.
- Nickel: 122kt own sourced nickel, down 3kt (2%) - primarily reflects the mandatory temporary suspension atRaglan (Quebec).
- Ferrochrome: 1,000kt attributable production, down 340kt (25%) - suspension of operations from 26 March 2020, in accordance with South Africa's national lockdown, with a staggered restart occurringfrom 1 May.
- Coal: 132 million tonnes equity production, down 3mt (2%) - temporary suspensions of Prodeco and Cerrejon in Colombia. Given the continued pressure on European coal pricing, Colombian volume levelsare at risk of further reductions.
- Oil: Updated guidance under review, but will be materially lower as the field operations in Chad have been suspended, relating to COVID-19 disruption in international mobility, transportation and supply chains.
GlencoreQ1 2020 ProductionReportand General Update | 19 |
Important notice concerning this documentincluding forward lookingstatements
This documentcontains statements that are,or may be deemed to be, "forward lookingstatements" which areprospective in nature. Theseforward lookingstatements may be identified by the useof forward looking terminology, or the negative thereof such
as "outlook", "plans", "expects" or "does not expect", "isexpected", "continues", "assumes", "is subjectto", "budget", "scheduled", "estimates", "aims", "forecasts", "risks", "intends", "positioned", "predicts", "anticipates" or "does not anticipate",or "believes", or
variations of such words or comparable terminology and phrases or statements that certain actions, events or results "may", "could", "should","shall", "would", "might" or "will" be taken, occur or be achieved. Forward-lookingstatements are not based on historical
facts, but ratheron current predictions, expectations, beliefs, opinions, plans, objectives, goals, intentions and projections about future events, resultsof operations, prospects, financial condition and discussions of strategy.
By their nature,forward-looking statements involve known and unknown risks and uncertainties, many of which are beyond Glencore's control. Forward looking statements are not guaranteesof future performance and may and often do differ materially
from actual results. Importantfactorsthatcould cause these uncertaintiesinclude, but are not limited to, those disclosed in the last published annual report and half-year report, both of which are freely availableon Glencore'swebsite.
For example, our future revenues from our assets, projects or mineswill be based, in part, on the market price of the commodity
products produced,which may vary significantly from current levels.These may materially affect the timing and feasibility of particular developments. Other factors include (without limitation) theability to produceand transportproducts profitably, demand
for our products, changesto the assumptionsregardingthe recoverable value of our tangibleand intangible assets, theeffect of foreign currency exchange rates on market prices and operating costs, and actionsby governmental authorities, such as changesin taxation or regulation, and political uncertainty.
Neither Glencore nor any of its associates or directors, officers or advisers, providesany representation, assurance or guaranteethat
the occurrence of the events expressed or implied in any forward-looking statementsin thisdocument will actually occur.You are cautioned notto place undue reliance on these forward-looking statementswhich only speak as of the date of thisdocument.
Except as required by applicable regulationsor by law, Glencore is not under any obligation and Glencore and itsaffiliates expressly disclaim any intention, obligation or undertaking, to update or revise any forward looking statements, whether as a result of new
information, futureeventsor otherwise. This document shall not, under any circumstances, create any implication that there has been no changein the businessor affairsof Glencore sincethe date of thisdocument or that theinformation contained herein is correct as at any time subsequentto its date.
No statement in this document isintended asa profitforecast or a profit estimate and past performance cannot be relied on as a
guide to future performance. Thisdocument does not constitute or form part of any offer or invitation to sell or issue, or any solicitation of any offer to purchaseor subscribe for any securities.
The companiesin which Glencore plc directly and indirectly hasan interest areseparateand distinctlegal entities. In this document,
"Glencore", "Glencoregroup" and "Group" are used for convenience only where references aremade to Glencore plc and its subsidiaries in general. These collective expressions are used for ease of referenceonly and do not imply any other relationship
between the companies. Likewise,the words "we", "us" and "our" are also used to refercollectively to members of the Group or to those who work for them. These expressions are also used where no useful purpose is served by identifyingthe particular company or companies.
GlencoreQ1 2020 ProductionReportand General Update | 20 |
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Glencore plc published this content on 30 April 2020 and is solely responsible for the information contained therein. Distributed by Public, unedited and unaltered, on 30 April 2020 06:07:18 UTC