Anglo American Q1 2016 Production Report

RNS Number : 8806V

Anglo American PLC

21 April 2016

 

21 April 2016

Anglo American plc

Production Report for the first quarter ended 31 March 2016

Overview

	Q1 2016	Q1 2015	% vs. Q1 2015
Diamonds (Mct)(1)	6.9	7.7	(10)%
Platinum (produced ounces) (koz)(2)	567	544	4%
Copper (t)(3) (4) (5)	146,500	146,800	-
Nickel (t)(6)	11,200	6,700	67%
Iron ore - Kumba (Mt)	8.9	12.2	(27)%
Iron ore - Minas-Rio (Mt)(7)	3.3	1.2	185%
Export metallurgical coal (Mt)	4.5	5.0	(9)%
Export thermal coal (Mt)	7.7	8.7	(13)%

Mark Cutifani, Anglo American Chief Executive, said "The Q1 2016 operating results are in line with the equivalent period of 2015 on a copper equivalent basis⁽⁸⁾ and reflect the major restructuring programme under way and our ongoing efficiency and cost reduction strategy. They also demonstrate the market discipline we continue to show in our key markets, particularly diamonds and platinum, and are consistent with our restructuring plans as we focus on lower cost and higher margin assets.  We are encouraged that the actions we have taken in diamonds are continuing to have a positive effect, while operational productivity continues on an upward trajectory.  As a consequence of our solid progress, our production guidance for 2016 remains unchanged."

·       Diamond production decreased by 10% to 6.9 million carats, reflecting the decision to reduce production in response to trading conditions in 2015.

·       Platinum production (expressed as metal in concentrate)⁽²⁾ increased by 4% to 567,000 ounces driven primarily by increases at Amandelbult and Mogalakwena. Refined platinum production decreased by 52% due to a planned stocktake and a Section 54 safety stoppage at the Precious Metals Refinery (PMR) for 12 days.

·       Copper production from the retained operations (excluding the AA Norte assets that were sold effective 1 September 2015) was in line with Q1 2015. Overall production decreased by 15%.

·       Nickel production increased by 67% to 11,200 tonnes following the successful completion of the Barro Alto furnace rebuilds.

·       Iron ore production from Kumba decreased by 27% to 8.9 million tonnes as Sishen is being transitioned to a lower cost pit configuration.

·       Iron ore production from Minas-Rio increased to 3.3 million tonnes (wet basis) as the operation continues to ramp-up. Production increased by 3% vs. Q4 2015.

·       Export metallurgical coal production decreased by 9% to 4.5 million tonnes due to planned longwall moves taking place at both Moranbah and Grasstree, partially offset by improved operational performance at Dawson and development coal production at Grosvenor.

·       Export thermal coal production decreased by 13% to 7.7 million tonnes due to planned production cuts at Cerrejón as a result of market conditions and a change in mix at Landau to higher margin domestic sales.

 (1) De Beers production on 100% basis; (2) In keeping with industry benchmarks, production disclosure has been amended to reflect own mine production and purchases of metal in concentrate. Previous disclosure of own mine production and purchases of metal in concentrate was converted to equivalent refined production using standard smelting and refining recoveries; (3) Copper production from the Copper business unit; (4) Copper production shown on a contained metal basis; (5) Q1 2015 Copper production normalised for the sale of Anglo Norte. (6) Nickel production from the Nickel business unit; (7) Wet basis; (8) Copper equivalent production is normalised for the sale of Anglo American Norte and the Kimberly mine, and to reflect Snap Lake being placed on care and maintenance.

DE BEERS

Diamonds (100% basis)		Q1  2016	Q1 2015	Q1 2016 vs. Q1 2015	Q4 2015	Q1 2016 vs. Q4 2015
Diamonds	000 carats	6,866	7,665	(10)%	7,052	(3)%

De Beers - Diamond production decreased by 10% to 6.9 million carats, reflecting the decision to reduce production in response to trading conditions in 2015.

At Debswana (Botswana), production decreased by 5% to 5.3 million carats as a result of the strategy to align production to trading conditions.  There was lower production at Orapa, partially offset by an increase in production at Jwaneng. Damtshaa (a satellite operation of Orapa) was placed on care and maintenance from 1 January 2016.

Production at DBCM (South Africa) decreased by 12% to 0.9 million carats mainly due to the completion of the sale of Kimberley mines to Ekapa Minerals, as announced on 21 January 2016.

Production at Namdeb Holdings (Namibia) decreased by 4% to 0.4 million carats due to reduced grade at Namdeb.

Production in Canada decreased by 68% to 0.2 million carats due to Snap Lake being placed on care and maintenance in December 2015.

Consolidated rough diamond sales of 7.6 million carats in Sights 1 and 2 of 2016 reflected an improvement in trading conditions relative to H2 2015.  Sales volumes were 10% lower than in Q1 2015, however this was due to the number of Sights in the respective periods: 2 Sights in Q1 2016 vs. 3 Sights in Q1 2015.

Full Year Guidance

Full year production guidance (on a 100% basis) remains unchanged at 26 - 28 million carats, subject to trading conditions.

 

PLATINUM

Platinum		Q1  2016	Q1 2015	Q1 2016 vs. Q1 2015	Q4 2015	Q1 2016 vs. Q4 2015
Refined
Platinum	000 oz	261	542	(52)%	745	(65)%
Palladium	000 oz	182	348	(48)%	468	(61)%
Rhodium	000 oz	48	65	(27)%	86	(44)%
Copper - Refined	t	3,300	3,900	(15)%	4,700	(30)%
Copper - Matte(1)	t	-	300	(100)%	-	-
Nickel - Refined	t	5,700	5,700	-	7,300	(22)%
Nickel - Matte(1)	t	-	400	(100)%	-	-
Gold	000 oz	28	30	(7)%	30	(5)%
Produced ounces(2)
Platinum	000 oz	567	544	4%	598	(5)%

(1)   Copper and nickel refined through third parties is shown as production of copper matte and nickel matte.

(2)   In keeping with industry benchmarks, production disclosure has been amended to reflect own mine production and purchases of metal in concentrate. Previous disclosure of own mine production and purchases of metal in concentrate was converted to equivalent refined production using standard smelting and refining recoveries.

Platinum - Production increased by 4% to 567,000 ounces driven primarily by higher production from Amandelbult, Mogalakwena and Unki, partially offset by lower production at Rustenburg.

Amandelbult production increased by 33% to 111,000 ounces due to improved mining efficiencies and increased concentrator recoveries. Mogalakwena production increased by 7% to 109,000 ounces due to higher grade and improved concentrator throughput. Production from Unki increased by 14% to 19,000 ounces due to improved running time of the concentrators and increased head grade. In total, production from retained own-mine operations increased by 18% vs. Q1 2015.

Rustenburg (including Western Limb Tailings Retreatment) production decreased by 15,000 ounces to 106,000 ounces due to difficult ground conditions and lower grade.

Independently managed production (mined and purchased), excluding third party purchase of concentrate, increased by 6% to 185,000 ounces driven by Kroondal, BRPM and Mototolo.

The refined platinum production for the quarter was materially impacted by a planned stocktake at the Precious Metal Refinery (PMR) and a Section 54 safety stoppage which also closed the PMR for 12 days and materially impacted production for a subsequent 37 days. The PMR was back to steady state operation from 6 April 2016. As a result refined platinum production decreased by 52% to 261,000 ounces with similar decreases for palladium and rhodium.

Platinum sales volumes decreased by 21%, reflecting the stoppages at the PMR in the quarter, partly mitigated by inventory draw-downs.

Full Year Guidance

Full year guidance of 2.3 - 2.4 million ounces of production remains unchanged, for both produced and refined platinum.

COPPER

Copper(1)		Q1  2016	Q1 2015	Q1 2016 vs. Q1 2015	Q4 2015	Q1 2016 vs. Q4 2015
Copper retained operations(2)	t	146,500	146,800	-	181,400	(19)%
Copper	t	146,500	171,800	(15)%	181,400	(19)%

(1)   Copper production shown on a contained metal basis

(2)   Anglo American Norte excluded for all periods

Copper - Copper production from the retained operations (excluding the AA Norte assets that were sold effective 1 September 2015) was in line with Q1 2015, or 15% lower on an absolute basis. Production decreased by 19% compared to Q4 2015 as a result of lower grades, consistent with the production plan for the year.

Production from Los Bronces decreased by 10% to 85,200 tonnes, driven by the expected decline in grades in the quarter.  In H1 2015, water restrictions were mitigated by increasing the cut-off grade, offsetting the impact of the reduced throughput at the plant.

At Collahuasi, attributable production increased by 11% to 51,100 tonnes due to improved plant stability and hence operating times, after rectification work undertaken in 2015, combined with higher grades.

El Soldado production increased by 67% to 10,200 tonnes due to the increasing availability of higher grade ore, in line with the revised mine plan.

Total copper sales from the retained operations were broadly in line with prior year at 137,500 tonnes.

Full Year Guidance

Full year production guidance remains at 600,000 - 630,000 tonnes.

 

NICKEL

Nickel		Q1  2016	Q1 2015	Q1 2016 vs. Q1 2015	Q4 2015	Q1 2016 vs. Q4 2015
Nickel	t	11,200	6,700	67%	10,500	7%

Nickel - Nickel production increased by 67% to 11,200 tonnes, following the successful rebuild of the Barro Alto furnaces which are now producing at nameplate capacity. Production from Codemin remained in line with Q1 2015 at 2,300 tonnes.

Full Year Guidance

Nickel production guidance remains unchanged at 45,000 - 47,000 tonnes.

NIOBIUM

Niobium		Q1  2016	Q1 2015	Q1 2016 vs. Q1 2015	Q4 2015	Q1 2016 vs. Q4 2015
Niobium	t	1,400	1,300	8%	1,600	(13)%

Niobium - Niobium production increased by 8% to 1,400 tonnes reflecting the continued ramp-up of the BVFR plant, which reached commercial production in March. Production decreased by 13% vs. Q4 2015 due to an extended plant stoppage to reduce stock levels and following a period of heavy rainfall.

Full Year Guidance

Production from current installed capacity is expected to increase to 6,800 tonnes once the BVFR plant reaches nameplate capacity in the third quarter of 2016. This, when combined with debottlenecking activities currently being implemented, will take the total annual capacity to 9,000 tonnes.

PHOSPHATES

Phosphates		Q1  2016	Q1 2015	Q1 2016 vs. Q1 2015	Q4 2015	Q1 2016 vs. Q4 2015
Phosphates
Concentrate	t	333,100	319,300	4%	355,700	(6)%
Phosphoric acid	t	79,100	63,200	25%	63,900	24%
Fertiliser	t	274,900	238,800	15%	303,400	(9)%
Dicalcium phosphate (DCP)	t	31,500	36,200	(13)%	38,700	(19)%

Phosphates - Concentrate production increased by 4% due to softer material feed to the plant. Fertiliser production increased by 15%, mainly due to strong performance at the granulation plants and good availability of phosphoric acid. Phosphoric acid production increased by 25% reflecting the non-recurrence of maintenance activities and strong plant performance at both sites. DCP production decreased by 13% due to the timing of an annual maintenance stoppage in Cubatão and lower demand in Catalão.

Full Year Guidance

Fertiliser and DCP production in 2016 is expected to be broadly similar to 2015. Phosphoric acid production is expected to increase to around 300,000 tonnes driven by improved performance at Cubatão following the maintenance repairs in the second half of 2015.

 

IRON ORE AND MANGANESE

Iron Ore and Manganese		Q1  2016	Q1 2015	Q1 2016 vs. Q1 2015	Q4 2015	Q1 2016 vs. Q4 2015
Iron ore - Kumba	000 t	8,925	12,167	(27)%	10,935	(18)%
Iron ore - Minas-Rio(1)	000 t	3,349	1,177	185%	3,253	3%
Manganese ore(2)	000 t	776	787	(1)%	596	30%
Manganese alloys(3)	000 t	32	73	(56)%	44	(26)%

(1)  Wet basis

(2)  Saleable production

(3)  Production includes medium carbon ferro-manganese

Kumba Iron Ore - Production from Kumba Iron Ore decreased by 27% to 8.9 million tonnes.

Sishen produced 5.8 million tonnes, a decrease of 34%. Waste removal decreased to 33.9 million tonnes vs. 49.3 million tonnes in Q1 2015. The reduction in production and waste volumes was consistent with the mine's lower cost pit configuration. Sishen continues to experience feedstock constraints, which has been exacerbated by higher levels of rainfall experienced during the quarter. Solutions are being implemented to increase mine flexibility.

Kolomela produced 2.7 million tonnes for the quarter, a decrease of 9% due to safety stoppages as a result of a fatal incident that occurred on-mine in January 2016.

At Thabazimbi, mining activities ceased on 30 September 2015 and processing activities ceased on 31 March 2016. Closure of the mine is proceeding according to plan.

Export sales decreased by 18% to 9.4 million tonnes due to lower production. Total finished product stocks were 3.2 million tonnes, compared with 4.7 million tonnes at year end as stocks were drawn-down to more optimal levels.

The Section 189 (headcount reduction) process is on track with consultations on the organisational structures completed. The material changes are due to the revised pit configuration and related restructuring.

Full Year Guidance

Guidance for Sishen remains unchanged at ~27 million tonnes production and waste volumes of 135-150 million tonnes, whilst Kolomela remains on track to produce ~12 million tonnes with waste mining forecast to be 46-48 million tonnes.

As previously indicated, detailed work to refine the Sishen life of mine plan based on the revised pit configuration is ongoing and will be finalised during 2016.

Iron Ore Brazil - Minas-Rio's ramp-up continues, with 3.3 million tonnes (wet basis) produced in Q1 2016, an increase of 185% vs. Q1 2015.  Production increased by 3% vs. Q4 2015 due to mining area confinement arising from current licensing constraints.

Full Year Guidance

Production guidance for 2016 remains at 15-18 Mt (wet basis).

Manganese ore - Manganese ore production was in line vs. Q1 2015, and was 30% higher than Q4 2015 when production had been temporarily suspended at the Wessels and Mamatwam mines. Following the strategic review, mining activity recommenced in Q1 2016. GEMCO ore production increased as the business took full advantage of drier weather conditions, and delivered record ore sales in Q1 2016. 

Manganese alloy - Manganese alloy production decreased by 56% vs. Q1 2015 following the restructuring of South Africa Manganese operations, due to market conditions. In May 2015 operations were suspended at three of the four furnaces at Metalloys in South Africa.

COAL

Coal		Q1  2016	Q1 2015	Q1 2016 vs. Q1 2015	Q4 2015	Q1 2016 vs. Q4 2015
Australia
Metallurgical - Export	000 t	4,526	4,996	(9)%	5,484	(17)%
Thermal - Export	000 t	1,066	1,433	(26)%	1,154	(8)%
Thermal - Domestic	000 t	1,493	1,650	(10)%	1,979	(25)%
South Africa
Thermal - Export	000 t	3,976	4,342	(8)%	3,878	3%
Thermal - Domestic (Eskom)	000 t	6,392	6,951	(8)%	5,534	16%
Thermal - Domestic (Non-Eskom)	000 t	1,804	1,702	6%	1,822	(1)%
Colombia
Thermal - Export	000 t	2,610	2,975	(12)%	2,628	(1)%

Australia - Export metallurgical coal production decreased by 9% to 4.5 million tonnes due to planned longwall moves in the quarter at both Moranbah and Grasstree, partially offset by strong operational performance at Capcoal open cut mine, as well as the delivery of development coal from Grosvenor. In Q1 2015 Dawson was impacted by a maintenance shutdown at the coal preparation plant.

Australian export thermal coal production decreased by 26% to 1.1 million tonnes due to expected lower production from Drayton as it goes through a phased closure following the rejection of the Drayton South project by the NSW government.

On 20 January 2016 the agreement to sell the Callide thermal coal mine to Batchfire Resources was announced and remains subject to a number of conditions.

On 4 April 2016 the sale of Foxleigh open cut mine in Australia to Taurus Funds Management was announced.  The sale is subject to conditions.

South Africa - Export thermal coal production decreased by 8% to 4.0 million tonnes, driven in part by mix at Landau (producing more domestic coal which, at current prices, results in a higher margin). Goedehoop production was impacted by unfavourable geology and Greenside experienced some temporary power outage issues.  

Eskom production decreased by 8% to 6.4 million tonnes due to a planned longwall move at New Denmark and planned production reductions at Kriel.

Colombia - Cerrejón's production decreased by 12% to 2.6 million tonnes, due to planned production cuts to take out the highest cost capacity in response to market conditions.

Full Year Guidance

Full year production guidance remains unchanged at 21 - 22 million tonnes for export metallurgical coal and 28 - 30 million tonnes for export thermal coal from South Africa and Colombia.

EXPLORATION AND EVALUATION

Exploration and Evaluation expenditure totalled $46 million, a decrease of 38%.  Exploration expenditure for the quarter totalled $29 million, a decrease of 20%. Evaluation expenditure for the quarter totalled $17 million, a decrease of 55%.

NOTE

This Production Report for the first quarter ended 31 March 2016 is unaudited.

PRODUCTION SUMMARY

The figures below include the entire output of consolidated entities and the Group's attributable share of joint operations, associates and joint ventures where applicable, except for De Beers' joint ventures which are quoted on a 100% basis.

De Beers	Q1 2016	Q4 2015	Q3 2015	Q2 2015	Q1 2015	Q1 2016 vs. Q4 2015	Q1 2016 vs. Q1 2015
Carats recovered
100% basis
Orapa	2,001,000	2,516,000	1,959,000	2,792,000	2,610,000	(20)%	(23)%
Letlhakane	125,000	73,000	134,000	111,000	188,000	71%	(34)%
Damtshaa	-	59,000	45,000	60,000	57,000	(100)%	(100)%
Jwaneng	3,202,000	2,101,000	1,936,000	2,950,000	2,777,000	52%	15%
Debswana	5,328,000	4,749,000	4,074,000	5,913,000	5,632,000	12%	(5)%
Namdeb	72,000	119,000	148,000	131,000	96,000	(39)%	(25)%
Debmarine Namibia	372,000	286,000	318,000	300,000	366,000	30%	2%
Namdeb Holdings	444,000	405,000	466,000	431,000	462,000	10%	(4)%
Kimberley	68,000	242,000	192,000	182,000	221,000	(72)%	(69)%
Venetia	706,000	1,033,000	712,000	763,000	624,000	(32)%	13%
Voorspoed	158,000	184,000	132,000	172,000	216,000	(14)%	(27)%
DBCM	932,000	1,459,000	1,036,000	1,117,000	1,061,000	(36)%	(12)%
Snap Lake	3,000	280,000	283,000	352,000	328,000	(99)%	(99)%
Victor	159,000	159,000	153,000	150,000	182,000	-	(13)%
De Beers Canada	162,000	439,000	436,000	502,000	510,000	(63)%	(68)%
Total carats recovered	6,866,000	7,052,000	6,012,000	7,963,000	7,665,000	(3)%	(10)%
Sales volumes (1)
Total sales volume - carats (100%) (Mct)	8.1	3.6	3.0	5.4	8.6	125%	(6)%
Consolidated sales volume - carats (Mct)	7.6	3.6	3.0	4.9	8.4	111%	(10)%

Platinum	Q1 2016	Q4 2015	Q3 2015	Q2 2015	Q1 2015	Q1 2016 vs. Q4 2015	Q1 2016 vs. Q1 2015
Refined production
Platinum (troy oz)	260,800	744,900	610,900	560,600	542,400	(65)%	(52)%
Palladium (troy oz)	181,600	468,400	390,700	387,700	348,100	(61)%	(48)%
Rhodium (troy oz)	47,700	85,700	77,600	76,900	65,000	(44)%	(27)%
Copper  refined (tonnes)(2)	3,300	4,700	4,200	4,000	3,900	(30)%	(15)%
Copper  matte (tonnes)(2)	-	-	-	-	300	-	(100)%
Nickel refined (tonnes)(2)	5,700	7,300	6,400	6,000	5,700	(22)%	-
Nickel matte (tonnes)(2)	-	-	-	-	400	-	(100)%
Gold (troy oz)	27,900	29,500	23,000	30,400	30,100	(5)%	(7)%
Produced ounces
Platinum (troy oz)	567,000	598,000	614,300	580,900	544,100	(5)%	4%
4E built-up head grade (g/tonne milled)(3)	3.11	3.24	3.27	3.27	3.14	(4)%	(1)%
Platinum sales volumes	412,800	621,800	690,100	635,600	523,900	(34)%	(21)%

Copper (tonnes) on a contained metal basis unless stated otherwise(4)	Q1 2016	Q4 2015	Q3 2015	Q2 2015	Q1 2015	Q1 2016 vs. Q4 2015	Q1 2016 vs. Q1 2015
Collahuasi 100% basis (Anglo American share 44%)
Ore mined	14,858,200	22,468,800	18,879,300	20,130,700	18,094,700	(34)%	(18)%
Ore processed - Oxide	-	-	1,484,900	1,835,700	1,333,300	-	(100)%
Ore processed - Sulphide	12,102,800	12,801,300	9,464,800	10,464,200	11,060,300	(5)%	9%
Ore grade processed - Oxide (% ASCu)(5)	-	-	0.63	0.60	0.69	-	-
Ore grade processed - Sulphide (% TCu)(6)	1.15	1.25	1.09	1.15	1.08	(8)%	7%
Production - Copper cathode	1,900	3,100	6,000	6,600	6,500	(39)%	(71)%
Production - Copper in concentrate	114,200	136,800	92,800	105,500	98,000	(17)%	17%
Total copper production for Collahuasi	116,100	139,900	98,800	112,100	104,500	(17)%	11%
Anglo American's share of copper production for Collahuasi(7)	51,100	61,500	43,500	49,300	46,000	(17)%	11%
Anglo American Sur
Los Bronces mine(8)
Ore mined	10,487,900	13,252,200	10,112,600	13,345,700	13,548,000	(21)%	(23)%
Marginal ore mined	13,402,300	11,673,100	7,733,600	10,929,100	8,916,800	15%	50%
Ore processed - Sulphide	12,055,300	14,115,200	11,584,300	10,447,300	9,250,100	(15)%	30%
Ore grade processed - Sulphide (% TCu)	0.74	0.83	0.87	0.98	1.07	(11)%	(31)%
Production - Copper cathode	9,700	9,700	8,500	7,800	9,000	0%	8%
Production - Copper in concentrate	75,500	101,300	90,100	89,600	85,700	(25)%	(12)%
Production total	85,200	111,000	98,600	97,400	94,700	(23)%	(10)%
El Soldado mine(8)
Ore mined	1,448,000	1,280,000	951,600	1,915,700	1,060,800	13%	37%
Ore processed - Sulphide	1,836,100	1,557,500	1,441,800	1,752,100	1,214,000	18%	51%
Ore grade processed - Sulphide (% TCu)	0.75	0.79	0.90	0.71	0.66	(5)%	14%
Production - Copper cathode	-	-	-	-	200	-	(100)%
Production - Copper in concentrate	10,200	8,900	11,000	10,000	5,900	15%	73%
Production total	10,200	8,900	11,000	10,000	6,100	15%	67%
Chagres Smelter(8)						0%	0%
Ore smelted	35,900	35,900	39,900	36,200	37,100	0%	(3)%
Production	35,200	34,900	38,900	35,300	36,000	1%	(2)%
Total copper production for Anglo American Sur	95,400	119,900	109,600	107,400	100,800	(20)%	(5)%
Anglo American Norte
Mantos Blancos mine
Ore processed  - Sulphide	-	-	718,400	1,043,300	1,073,800	-	(100)%
Ore grade processed - Sulphide (% TCu)	-	-	0.75	0.79	0.75	-	-
Production - Copper cathode	-	-	5,000	8,500	6,900	-	(100)%
Production - Copper in concentrate	-	-	4,500	6,800	6,800	-	(100)%
Production total	-	-	9,500	15,300	13,700	-	(100)%
Mantoverde mine
Ore processed - Oxide	-	-	1,838,000	2,487,900	2,279,400	-	(100)%
Ore processed - Marginal ore	-	-	1,658,000	2,790,000	1,496,800	-	(100)%
Ore grade processed - Oxide (% ASCu)	-	-	0.51	0.54	0.51	-	-
Ore grade processed - Marginal ore (% ASCu)	-	-	0.20	0.21	0.22	-	-
Production - Copper cathode	-	-	8,500	12,500	11,300	-	(100)%
Total copper production for Anglo American Norte	-	-	18,000	27,800	25,000	-	(100)%
Total Copper segment copper production	211,500	259,800	226,400	247,300	230,300	(19)%	(8)%
Total Attributable copper production(9)	146,500	181,400	171,100	184,500	171,800	(19)%	(15)%
Total Attributable payable copper production	141,600	175,300	165,800	179,000	166,800	(19)%	(15)%
Total Attributable sales volumes	137,500	183,000	178,400	179,400	164,800	(25)%	(17)%
Total Attributable payable sales volumes	133,000	176,700	172,900	173,800	160,100	(25)%	(17)%
Third party sales - Mantos Copper(10)	9,200	41,400	-	-	-	(78)%	100%

Nickel (tonnes) unless stated otherwise(11)	Q1 2016	Q4 2015	Q3 2015	Q2 2015	Q1 2015	Q1 2016 vs. Q4 2015	Q1 2016 vs. Q1 2015
Barro Alto
Ore mined	457,000	453,200	1,351,700	903,300	235,300	1%	94%
Ore processed	598,100	566,400	330,700	281,100	294,600	6%	103%
Ore grade processed - %Ni	1.77	1.77	1.79	1.80	1.77	0%	0%
Production	8,900	8,100	4,700	4,100	4,400	10%	102%
Codemin
Ore mined	-	-	-	8,600	-	-	-
Ore processed	151,400	154,000	140,000	145,700	151,400	(2)%	0%
Ore grade processed - %Ni	1.68	1.69	1.70	1.71	1.66	(1)%	1%
Production	2,300	2,400	2,100	2,200	2,300	(4)%	0%
Total Nickel segment nickel production	11,200	10,500	6,800	6,300	6,700	7%	67%
Sales volumes	10,800	9,500	6,400	8,600	7,500	14%	44%

Niobium (tonnes) unless stated otherwise	Q1 2016	Q4 2015	Q3 2015	Q2 2015	Q1 2015	Q1 2016 vs. Q4 2015	Q1 2016 vs. Q1 2015
Niobium
Ore mined	690,300	637,700	597,300	605,600	291,100	8%	137%
Ore processed	484,800	580,700	578,400	570,400	501,800	(17)%	(3)%
Ore grade processed - %Nb	0.91	1.00	0.93	0.93	0.96	(9)%	(5)%
Production	1,400	1,600	1,800	1,600	1,300	(13)%	8%
Sales volumes	1,100	800	1,400	1,500	1,300	38%	(15)%

Phosphates (tonnes) unless stated otherwise	Q1 2016	Q4 2015	Q3 2015	Q2 2015	Q1 2015	Q1 2016 vs. Q4 2015	Q1 2016 vs. Q1 2015
Phosphates
Concentrate	333,100	355,700	363,100	303,300	319,300	(6)%	4%
Concentrate grade - %P2O5	36.6	36.7	36.8	36.9	36.9	0%	(1)%
Phosphoric acid	79,100	63,900	75,600	62,400	63,200	24%	25%
Fertiliser	274,900	303,400	294,400	274,200	238,800	(9)%	15%
High analysis fertiliser	47,800	36,700	42,400	56,100	37,500	30%	27%
Low analysis fertiliser	227,100	266,700	252,000	218,100	201,200	(15)%	13%
Dicalcium phosphate (DCP)	31,500	38,700	33,700	38,700	36,200	(19)%	(13)%
Fertiliser sales volumes	247,300	194,400	339,600	317,500	208,500	27%	19%

 

Iron Ore and Manganese (tonnes)	Q1 2016	Q4 2015	Q3 2015	Q2 2015	Q1 2015	Q1 2016 vs. Q4 2015	Q1 2016 vs. Q1 2015
Kumba Iron Ore
Lump	5,669,700	7,029,100	7,322,300	6,761,800	7,889,900	(19)%	(28)%
Fines	3,254,800	3,906,100	4,068,600	3,622,900	4,277,500	(17)%	(24)%
Total Kumba production	8,924,500	10,935,200	11,390,900	10,384,700	12,167,400	(18)%	(27)%
Sishen	5,841,800	7,661,300	7,669,800	7,176,200	8,885,500	(24)%	(34)%
Kolomela	2,713,100	2,853,800	3,347,800	2,880,300	2,972,500	(5)%	(9)%
Thabazimbi	369,600	420,100	373,300	328,200	309,400	(12)%	(19)%
Total Kumba production	8,924,500	10,935,200	11,390,900	10,384,700	12,167,400	(18)%	(27)%
Kumba sales volumes
RSA export iron ore	9,376,100	10,509,300	9,846,500	11,732,600	11,471,600	(11)%	(18)%
RSA domestic iron ore	1,167,700	533,500	960,700	1,348,000	1,434,600	119%	(19)%
Minas-Rio
Pellet feed (wet basis)	3,349,400	3,252,500	2,918,800	1,826,200	1,176,700	3%	185%
Minas-Rio sales volumes
Export - pellet feed (wet basis)	3,714,400	3,035,000	2,793,900	1,344,400	1,294,300	22%	187%
Samancor
Manganese ore(12)	775,900	596,000	923,200	805,700	786,700	30%	(1)%
Manganese alloys(12)(13)	32,100	43,500	43,700	53,600	72,800	(26)%	(56)%
Samancor sales volumes
Manganese ore	870,900	720,200	813,900	720,700	829,900	21%	5%
Manganese alloys	42,800	42,000	42,400	55,300	63,600	2%	(33)%

 

Coal (tonnes)	Q1 2016	Q4 2015	Q3 2015	Q2 2015	Q1 2015	Q1 2016 vs. Q4 2015	Q1 2016 vs. Q1 2015
Australia
Metallurgical - Export Coking	3,378,900	4,302,100	4,115,000	3,743,800	3,746,900	(21)%	(10)%
Metallurgical - Export PCI	1,147,200	1,182,200	1,360,500	1,508,800	1,248,800	(3)%	(8)%
	4,526,100	5,484,300	5,475,500	5,252,600	4,995,700	(17)%	(9)%
Thermal - Export	1,065,900	1,154,300	1,366,400	1,326,600	1,433,200	(8)%	(26)%
Thermal - Domestic	1,492,900	1,978,800	1,800,500	1,622,400	1,649,900	(25)%	(10)%
	2,558,800	3,133,100	3,166,900	2,949,000	3,083,100	(18)%	(17)%
South Africa
Thermal - Export	3,976,000	3,878,000	4,887,200	4,296,700	4,341,700	3%	(8)%
Thermal - Domestic (Eskom)	6,392,000	5,533,500	6,763,000	6,774,000	6,950,700	16%	(8)%
Thermal - Domestic (Non-Eskom)	1,803,800	1,821,500	1,730,400	1,590,000	1,702,000	(1)%	6%
	12,171,800	11,233,000	13,380,600	12,660,700	12,994,400	8%	(6)%
Colombia
Thermal - Export	2,610,000	2,628,100	2,526,800	2,944,400	2,975,000	(1)%	(12)%
Total Metallurgical coal production	4,526,100	5,484,300	5,475,500	5,252,600	4,995,700	(17)%	(9)%
Total Export Thermal coal production	7,651,900	7,660,400	8,780,400	8,567,700	8,749,900	-	(13)%
Total Domestic Thermal coal production	9,688,700	9,333,800	10,293,900	9,986,400	10,302,600	4%	(6)%
Total Coal production	21,866,700	22,478,500	24,549,800	23,806,700	24,048,200	(3)%	(9)%
Sales volumes (own mined)
Australia
Metallurgical - Export(14)	4,815,800	5,396,000	5,480,900	5,103,100	5,113,400	(11)%	(6)%
Thermal - Export	1,173,000	1,341,700	1,638,600	1,505,800	1,418,200	(13)%	(17)%
Thermal - Domestic	1,506,800	1,915,800	1,871,900	1,670,500	1,591,000	(21)%	(5)%
South Africa
Thermal - Export	4,343,200	5,188,700	4,568,600	4,967,400	5,195,200	(16)%	(16)%
Thermal - Domestic	7,828,600	6,763,300	7,977,800	8,203,900	8,746,600	22%	(6)%
Colombia
Thermal - Export	2,339,000	2,565,100	2,853,400	2,765,700	3,005,100	(9)%	(22)%

 

Coal by mine (tonnes)	Q1 2016	Q4 2015	Q3 2015	Q2 2015	Q1 2015	Q1 2016 vs. Q4 2015	Q1 2016 vs. Q1 2015
Australia
Callide	1,748,200	2,295,200	1,988,900	1,789,300	1,857,000	(24)%	(6)%
Capcoal (incl. Grasstree)	1,760,000	2,283,800	2,353,300	1,793,500	2,259,100	(23)%	(22)%
Dawson	1,006,000	1,025,800	1,249,400	1,375,500	663,800	(2)%	52%
Drayton	349,900	351,300	600,400	462,800	707,500	0%	(51)%
Foxleigh	434,500	376,300	494,800	511,200	478,300	15%	(9)%
Grosvenor	203,000	179,100	147,300	121,800	51,600	13%	293%
Jellinbah	758,400	872,700	798,400	766,400	763,900	(13)%	(1)%
Moranbah North	824,900	1,233,200	1,009,900	1,381,100	1,297,600	(33)%	(36)%
	7,084,900	8,617,400	8,642,400	8,201,600	8,078,800	(18)%	(12)%
South Africa
Goedehoop	1,001,300	896,000	1,151,200	1,106,100	1,133,800	12%	(12)%
Greenside	806,300	897,200	1,059,600	992,300	927,500	(10)%	(13)%
Zibulo	1,390,000	1,306,400	1,592,500	1,385,000	1,281,100	6%	9%
Kleinkopje	966,400	824,900	895,200	572,000	860,300	17%	12%
Landau	1,003,200	1,079,200	1,144,600	1,065,000	979,900	(7)%	2%
Mafube	379,100	366,500	370,100	344,500	361,500	3%	5%
New Vaal	3,521,800	2,811,500	3,576,700	4,211,200	3,548,600	25%	(1)%
New Denmark	604,300	643,000	881,600	441,100	872,600	(6)%	(31)%
Kriel	1,339,800	1,185,900	1,613,000	1,546,000	1,813,300	13%	(26)%
Isibonelo	1,159,600	1,222,400	1,096,100	997,500	1,215,800	(5)%	(5)%
	12,171,800	11,233,000	13,380,600	12,660,700	12,994,400	8%	(6)%
Colombia
Carbones del Cerrejón	2,610,000	2,628,100	2,526,800	2,944,400	2,975,000	(1)%	(12)%
Total Coal production	21,866,700	22,478,500	24,549,800	23,806,700	24,048,200	(3)%	(9)%

(1)         Number of Sights (sales cycles) in each quarter as follows:  Q1 2016: 2; Q4 2015: 3; Q3 2015: 2; Q2 2015: 2; Q1 2015: 3

(2)         Copper and nickel refined through third parties is now shown as production of copper matte and nickel matte

(3)         4E: the grade measured as the combined content of the four most valuable precious metals: platinum, palladium, rhodium and gold

(4)         Excludes Anglo American Platinum's copper production

(5)         ASCu = acid soluble copper

(6)         TCu = total copper

(7)         Anglo American's share of Collahuasi production is 44%

(8)         Anglo American ownership interest of Anglo American Sur is 50.1%. Production is stated at 100% as Anglo American consolidates Anglo American Sur

(9)         Difference between total copper production and attributable copper production arises from Anglo American's 44% interest in Collahuasi

(10)       Relates to sales made on behalf of Mantos Copper (previously Mantos Blancos and Mantoverde mines)

(11)       Excludes Anglo American Platinum's nickel production

(12)       Saleable production

(13)       Production includes medium carbon ferro-manganese

(14)       Includes both hard coking coal and PCI sales volumes

Note:

Production figures are sometimes more precise than the rounded numbers shown in the commentary of this report. The percentage change will reflect the percentage change using the production figures shown in the Production Summary of this report.

Forward-looking statements:

This contains certain forward looking statements which involve risk and uncertainty because they relate to events and depend on circumstances that occur in the future. There are a number of factors that could cause actual results or developments to differ materially from those expressed or implied by these forward looking statements.

For further information, please contact:

Media		Investors
UK James Wyatt-Tilby [e-mail] Tel: [phone] Marcelo Esquivel [e-mail] Tel: [phone]		UK Paul Galloway [e-mail] Tel: [phone] Ed Kite [e-mail] Tel: [phone]
South Africa Pranill Ramchander [e-mail] Tel: [phone]		Sheena Jethwa [e-mail] Tel: [phone]

Notes to editors:

Anglo American is a globally diversified mining business. Our portfolio of world-class competitive mining operations and undeveloped resources provides the raw materials to meet the growing consumer-driven demands of the world's developed and maturing economies. Our people are at the heart of our business. It is our people who use the latest technologies to find new resources, plan and build our mines and who mine, process and move and market our products - from diamonds (through De Beers) to platinum and other precious metals and copper - to our customers around the world.

As a responsible miner, we are the custodians of those precious resources. We work together with our key partners and stakeholders to unlock the long-term value that those resources represent for our shareholders, but also for the communities and countries in which we operate - creating sustainable value and making a real difference.

www.angloamerican.com

 

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