Davis Index: Market Intelligence for the Global Metals and Recycled Materials Markets

Glencore’s 2020 production targets for copper remained unchanged despite a 6pc decrease in 2019 output. The miner reported a 2020 target for copper in the range of 1,250-1,350kt (1.25-1.35mn mt), against an actual output of 1,371kt in 2019.


The company raised its zinc production targets for 2020 to 1,235-1,295kt compared with actual production of 1,078kt in 2019. Its targets for nickel remain in the 2019 range of 120-130kt against an actual production of 121kt in 2019.


The decline in copper output, according to Glencore, was the result of decreasing outputs from its mines in Africa. Of the company’s total output, around 369,900mt of copper came from its African mines, indicating a decrease of 10pc, or 40,800mt, compared with 2018. 


Glencore has scaled down its Mutanda operations since November—at which point it will enter a temporary care and maintenance phase—which is reflected in the miner’s output. Production in the region was also impacted by a smelter refurbishment at Glencore’s Mopani mine, which saw the company shut it down in H2 2019 until the refurbishment project is complete. However, its Katanga mine continued to ramp up production, reaching 235,000mt at the end of 2019, compared with 152,400mt in 2018.


Compared to the year before, Glencore’s global zinc production was flat in 2019 at 1.07mn mt, largely due to a 14pc zinc output decline at Kazzinc following safety considerations, as well as mining schedules impacting production at its Antamina mine. 


The company reported higher outputs from its Australian and Peruvian zinc mines, which offset declines at Kazzinc and Antamina to keep zinc production at 2018-levels.


The miner’s nickel production declined 3pc to 120,600mt in 2019 compared with the previous year due to stoppages for maintenance at its Koniambo operations. 

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