Increase in Anglo’s diamond and iron ore output

Anglo American Plc’s diamond and iron ore output rose in the second quarter as a new project in Canada began operations and volumes increased at iron mines in South Africa and Brazil. The company maintained most of its 2017 forecasts while boosting the outlook for iron ore. Second-quarter diamond output from Anglo’s De Beers unit jumped 36 percent as mining started at the new Gahcho Kue mine in Canada, while iron ore production climbed 27 percent to 15.7 million metric tons, the London-based company said in a statement Thursday.

The century-old company is seeking to produce more from fewer mines as it focuses on its best assets. Anglo has been pursuing a turnaround after its shares slumped to a record low in London in early 2016 as a rout in commodities sparked concerns about its debt position. Chief Executive Officer Mark Cutifani announced a plan to radically shrink the company through asset sales, but reversed the strategy earlier this year after recovering commodity prices revived profits.

Copper output declined 2 percent to 140,800 tons, while platinum rose 5 percent to 617,000 ounces. Thermal coal slipped 4 percent to 6.5 million tons and metallurgical coal output declined 19 percent to 4 million tons. The company raised its South African iron-ore forecast range for this year by 1 million tons to 41 million to 43 million tons, while leaving Brazil unchanged. It maintained projections for the rest of its commodities, but said coal output will probably be at the lower end of the targets.

Source: Bloomberg