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Glencore (LSE:GLEN) reported its production results for the first quarter of 2016, noting that production cuts in 2015 led to lower copper, zinc, lead, coal and oil production for the quarter. As quoted in the press release: Production highlights The proactive production cuts announced and actioned in 2015 led to period on period production reductions …
Glencore (LSE:GLEN) reported its production results for the first quarter of 2016, noting that production cuts in 2015 led to lower copper, zinc, lead, coal and oil production for the quarter.
As quoted in the press release:
- Production highlights
- The proactive production cuts announced and actioned in 2015 led to period on period production reductions in copper, zinc, lead, coal and oil, reflecting our disciplined approach to supply at low points in the commodity cycle.
- Copper production from own sources of 335,000 tonnes was 4% down on Q1 2015, reflecting the suspensions / reductions in Africa, partly offset by increased production from South America.
- Zinc production from own sources of 257,100 tonnes was 28% down, reflecting the announced reductions in Australia, Peru and Kazakhstan.
- Nickel production from own sources of 27,600 tonnes was 16% up, reflecting a higher mix of own feed treated at Nikkelverk and a strong performance at Murrin Murrin.
- Coal production of 29.7 million tonnes was 5.9 million tonnes (17%) down, mainly due to loss of control of Optimum Coal from August 2015. In Colombia, some mining restrictions also contributed.
- Agricultural Products’ crush volumes were up 1.2 million tonnes (89%), due to improved macro-economic conditions in Argentina and the acquisitions in 2015 of the Becancour (Canada) and Warden (USA) plants.
- Full year 2016 production guidance is unchanged, except for E&P Oil where reductions in the drilling campaign have led to a 0.3 million bbl reduction compared to previous guidance.
- Marketing EBIT guidance range for 2016 unchanged at $2.4-2.7 billion.