Glencore Books Strong Operational Quarter -- Commodity Comment

By Christian Moess Laursen

Glencore recorded its strongest three-month period this year after third-quarter production of most metals rose sequentially. For the first nine months of the year, however, output fell across its metals portfolio. Here is what the Anglo-Swiss commodity trading giant had to say.

On copper:

"On a like-for-like basis, removing 15,000 [metric] ton of Cobar (sold in June 2023) volumes from the prior period, own sourced copper production of 705,200 tons was 2% below the comparable 2023 period."

"Sequential quarterly copper production increased by 19,700 tons (9%) to 242,600 tons, reflecting progressive recovery at Antapaccay [in Peru] following a geotechnical event in 1H, higher feed grades at Collahuasi [in Chile] and improved Democratic Republic of Congo production levels."

On zinc:

"Own sourced overall zinc production of 643,600 tons was 28,500 tons (4%) below the comparable 2023 period, mainly reflecting lower zinc tons from Antamina [in Peru] (56,500 tons), given its current year expected copper/zinc mine sequence noted above, and the [Australian] McArthur River tropical cyclone impact in 1Q 2024 (10,900 tons), partly offset by the ramp up of Zhairem [in Kazakhstan] (38,800 tons)."

"Sequential quarterly zinc production increased by 14,800 tons (7%) to 226,400 tons, mainly reflecting Zhairem's ramp-up."

On nickel:

"Own sourced nickel production of 62,300 tons was 6,100 tons (9%) lower than the comparable 2023 period, reflecting Koniambo's [in New Caledonia] transition to care and maintenance (14,800 tons)."

Excluding Koniambo, own sourced nickel production of 57,300 tons was 8,700 tons (18%) higher than the comparable 2023 period."

On coal:

"Steelmaking coal production of 11.1 million tons reflects Canadian steelmaking coal production of 5.7 million tons during the quarter, accounting for 82 days of Glencore's ownership in Elk Valley Resources."

"Australian steelmaking coal production was moderately ahead of the comparable 2023 period."

"Energy coal production of 73.1 million tons was down 7% on the comparable 2023 period, reflecting the progressive impact of scheduled mine closures, longwall moves in Australia in 2024, export rail constraints in South Africa and permit delays at Cerrejon [in Colombia]."

Write to Christian Moess Laursen at christian.moess@wsj.com

(END) Dow Jones Newswires

October 30, 2024 10:16 ET (14:16 GMT)

Copyright (c) 2024 Dow Jones & Company, Inc.