ENP Newswire -
Release date- 12022014 - Following completion of the
Total own sourced copper production up 26% to 1.5 million tonnes in 2013, driven by strong growth in African copper, Collahuasi, Antapaccay and
African copper up 43% to 398,600 tonnes, as the key expansion projects, Katanga and Mutanda, successfully grow production, both reaching 200,000 tonnes p.a. capacity at the end of 2013.
Collahuasi increased production 58% to 195,600 tonnes, with H2 2013 up 91% compared to H1 2013, as production ramped up, following the SAG mill restart and a return to higher grades.
The Antapaccay and
Perseverance and Brunswick mines reached the end of their mine lives in
Koniambo started production in Q4 2013 and is in the early stages of ramp-up.
Quarterly sequential (Q4 13 v Q3 13) increase in all Base Metal (Cu, Zn, Pb and Ni) own source production.
Ferrochrome production up 32% to 1.2 million tonnes based on higher utilisation of the smelters and furnaces and the successful commissioning of the Tswelopele pelletizing plant.
Own sourced gold production up 14% to 1,023,000 oz, driven by strong growth at Kazzinc and Antapaccay.
Coal production up 4% to 138.1 million tonnes during 2013, driven by a number of key expansion projects at Prodeco and various Australian thermal coal assets.
Successful commencement of production at
Successful sale of the pasta and malt businesses during 2013, acquired as part of Viterra.
The Group's resources and reserves report was also issued today, noting:
Significant growth in Mutanda copper ore reserves and mineral resources, up respectively, 23% and 25% to 2.0 million and 7.4 million tonnes of contained copper.
The recognition of ore reserves at Las Bambas, containing 6.9 million tonnes of copper.
An increase of 21% in iron ore mineral resources to 4.6 billion tonnes of contained iron (100% basis), mainly as a result of increased resources at El Aouj.
An increase of 129% to 87 mmboe in 2P net oil reserves, primarily through the recognition of acquired Chad reserves and an increase of 223% to 387 mmboe in 2C net contingent oil resources, mainly resulting from drilling in
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African copper produced 398,600 tonnes of copper in 2013, up 43% compared to 2012. The growth has been achieved across all the key assets, mainly relating to the expansion projects at Katanga and Mutanda, both reaching production capacity of 200,000 tonnes per annum at the end of 2013. Cobalt production was 16,000 tonnes, a 50% increase compared to 2012, driven primarily by Mutanda's expansion.
The group's share of copper production at Collahuasi was 195,600 tonnes, an increase of 58% compared to 2012. Production increased significantly since
The group's share of copper production from Antamina was 149,500 tonnes, in line with 2012. Zinc production was 87,900 tonnes, an increase of 19% compared to 2012, as a result of higher grades within the 2013 mine-plan. Antamina had a planned shutdown of the SAG mill during 2013 for a stator replacement; this was completed within 30 days, well ahead of schedule with a quick return to expected throughput level post the restart.
Production from other South American copper was 346,800 tonnes, 27% higher than 2012. This increase was driven by the ramp-up at Antapaccay, following commissioning in
Gold production was 392,000 oz, 3% higher than 2012. The small net increase relates to the ramp up at Antapaccay offset by declining grades at Alumbrera, although the latter is expected to hold up well in 2014.
Copper production was 249,600 tonnes in 2013, a 25% increase over 2012. This increase mainly relates to higher anode production at
Custom metallurgical assets
The copper custom metallurgical assets produced 514,500 tonnes of anode (Altonorte and Horne), an 11% increase over 2012, as Altonorte increased production by 14% to 309,000 tonnes in 2013, driven by higher concentrate grades. Cathode production was 750,600 tonnes during 2013 (Townsville, CCR and Pasar), an increase of 21% compared to 2012. This increase primarily relates to the contribution from Pasar, following the fire that impacted 2012. Pasar, however, ceased production following damages sustained by Typhoon Haiya and has remained closed since. It is currently expected to restart in Q1 2014.
Gold production from own sources was 579,000 oz, an increase of 22% against 2012, primarily relating to productivity improvements at Vasilkovskoye, plus some contribution from the gold mines Komarovskoye and Raigorodok (57,000 oz), acquired in 1H 2013. Zinc production from own sources was 216,200 tonnes, down 5% against 2012, reflecting an expected reduction in head grades. Own sourced lead and copper production was 29,800 tonnes and 50,900 tonnes, an increase of 11% and 3% respectively, mainly relating to a greater focus on processing inventories, in part driven by lower availability of third party feed material.
The new Bracemac-Mcleod mine (part of the Matagami complex with Perseverance) is ramping up and produced 32,900 tonnes in 2013. This mine will only offset approximately half the lost production from the larger Perseverance operation. The Group has exploration rights in the region and is assessing options for potential new mine sites.
The Kidd mine produced 67,800 tonnes of zinc and 36,900 tonnes of copper in 2013. 2013 production was impacted by reduced volumes of ore mined as it reaches lower levels, with greater operational complexities (currently mining at depths of between 2,100m and 2,900m), partly offset by higher grades.
These assets produced 291,700 tonnes of own sourced zinc and 58,100 tonnes of own sourced lead, up 17% and 18% respectively against 2012, primarily relating to Rosh Pinah (acquired in 2012) and Perkoa (started production in 2013).
European custom metallurgical assets
The zinc custom metallurgical assets produced 745,000 tonnes of zinc metal and 174,100 tonnes of lead metal during 2013, an increase of 2% and 11% respectively compared to 2012. The key driver was higher production at Portovesme due to commissioning of the zinc SX plant and restart of the lead plant.
Nickel production was 98,400 tonnes in 2013, a 4% decline versus 2012. The reduction mainly relates to the former XNA and Falcondo operations placed on care and maintenance, in response to low nickel prices, offset by a record year of production from
Integrated Nickel Operations ('INO')
The output from the
INO also produced 54,300 tonnes of own sourced copper production, representing a 6% reduction compared to 2012. The reduction in copper reflects a known steady decline in copper grades at the Nickel Rim South mine.
Falcondo was placed on care and maintenance in
Construction of Line 1 and Line 2 is now complete. Line 1 produced 1,400 tonnes of nickel in ferronickel during 2013.
First ore to Line 2 will take place in Q1 2014. As reported earlier, the first export shipment took place in
Attributable ferrochrome production was 1.2 million tonnes, a 32% increase over 2012. The increase was driven by higher utilisation at the smelters and better operating results from the furnaces, including the successful commissioning of the Tswelopele pelletizing plant which enables more efficient use of ore. The 2012 and 2013 results were also impacted by Eskom's power buyback programmes, which restricted production by approximately 130,000 tonnes in 2013 and 100,000 tonnes in 2012.
PGM (4E) production was 156,000 oz, 11% higher than 2012. The 2013 production is made up of 112,000 oz from
Vanadium pentoxide (V2O5) production was 21.6 million lbs, slightly up on 2012. V2O5 production is either sold directly to the aerospace industry or converted into ferrovanadium (FeV) and sold to the steel industry. The production split in 2013 was 6.1 million lbs V2O5 with the remaining 15.5 million lbs converted into FeV.
Total Manganese (ferro and silicon) production was 191,000 tonnes in 2013, the first full year of production under
Alumina production was 1.6 million tonnes during 2013, a 16% increase over 2012. This reflects a strong plant operational performance, marking a return to historical levels of production achieved.
Iron Ore assets
A number of Iron Ore projects are being assessed, including:
Total coal production was 138.1 million tonnes in 2013, a 4% increase over 2012. The increase mainly relates to the growth projects at Prodeco and
Australian thermal and semi-soft
South African thermal
Prodeco produced 18.6 million tonnes of coal in 2013, a 26% increase over 2012. The increase reflects the continuation of the expansion project which is expected to increase production to c.21 million tonnes per annum, in line with the capacity specified in the Puerto Nuevo port concession. Puerto Nuevo (
Cerrejon produced 11.0 million tonnes of coal (
Oil E&P assets
Oil E&P produced 22.5 million barrels of gross oil production during 2013, broadly in line with 2012. The 2013 production includes the first year of production from
Agricultural products processed 9.3 million tonnes in 2013, 26% higher than 2012. The increase in volumes mainly relates to the key expansion projects at Rio Vermelho and Timbues. Rio Vermelho crushed 2.3 million tonnes of sugarcane in 2013, an increase of 79% over 2012, driven by the multi-year investment in processing capacity and sugarcane planting, while Timbues, a new large-scale soyabean crushing plant in
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