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Glencore PLC on Friday delivered mixed performance across its portfolio of commodities ranging from coal to copper, gold, zinc and nickel in the second half of its financial year, and left its annual guidance in tact.
The Barr, Switzerland-based miner and commodity trader said copper production for the first six months of 2023 was 488,000 tonnes, down 4% from 510,200 tonnes in the corresponding period last year.
Over this period, coal output fell 2% to 54.2 million tonnes from 55.4 million tonnes.
However, gold production rose 10% to 369,000 ounces from 334,000 ounces, while silver production dropped by a quarter to 9.4 million ounces from 12.5 million ounces.
Cobalt grew 5% to 21,700 tonnes from 20,700 tonnes. But zinc declined 10% to 434,700 tonnes from 480,700 tonnes, while lead was 8% lower at 87,400 tonnes from 95,100 tonnes.
Ferrochrome decreased to 717,000 tonnes, down 9% from 786,000 tonnes. Nickel was worse off, falling by 20% to 46,400 tonnes from 57,800 tonnes.
‘We are pleased to report a solid first-half production performance from our underlying base business, where our key copper, coal and zinc assets performed in line with expectations and previously communicated guidance,’ Glencore Chief Executive Gary Nagle said.
Glencore maintained its annual production guidance unchanged.
Copper production is guided to drop to 1.04 million tonnes in 2023 from 1.05 million tonnes in 2022.
Coal output is expected to remain flat at 110 million tonnes.
On cobalt, production is estimated at 30,000 tonnes from 43,800 tonnes, and zinc is projected at 950,00 tonnes, compared to 939,000 tonnes.
Nickel production is expected to increase to 112,000 tonnes from 108,000 tonnes, but ferrochrome is forecast at 1.31 million tonnes from 1.48 million tonnes.
In its Marketing segment, Glencore continues to expect a full-year adjusted earnings before interest and tax to be above the top end of its $2.2 billion and $3.2 billion per annum long-term guidance range, likely in the $3.5 billion to R 4.0 billion range.
In 2022, adjusted Ebit was $6.4 billion.
Glencore shares lost 0.7% to 469.05 pence each in London on Friday morning. In Johannesburg, they eased 0.1% to R 107.97.
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