Anglo American Faces Decline in Copper, Nickel, and PGM Output in 2024

Anglo American

Decreased Production from Chile, Peru, and South Africa Affects Key Metals

Anglo American, the UK-South African mining giant, reported a drop in its copper, nickel, and platinum group metals (PGMs) output for 2024. This decline, particularly from its assets in Chile, Peru, and South Africa, reflects challenges faced in production and ongoing operational adjustments.

Copper Production Decline Driven by Chile and Peru

Anglo American’s total copper output for 2024 decreased by 6%, reaching 772,700 tonnes. Copper production in Chile dropped by 8% to 466,400 tonnes, with a 20% decline at the Los Bronces mine, which was placed on care and maintenance in July. Additionally, production at the Collahuasi mine fell by 3%, though higher grades at El Soldado partially offset these declines, with a 22% output increase.

In Peru, the Quellaveco mine saw a 4% reduction in copper output to 306,300 tonnes, due to lower grades and recoveries. Anglo American’s Q4 copper output also saw a notable drop, decreasing by 14% to 197,500 tonnes compared to the previous year.

Looking ahead, the company projects copper production to range between 690,000 and 750,000 tonnes in 2025, with an expectation of increasing production to 760,000 to 820,000 tonnes in 2026 and 2027.

Nickel and PGM Production Challenges

Nickel output for Anglo American fell by 2% in 2024, totaling 39,400 tonnes. A 13% drop in production at the Codemin site in Brazil was partially offset by a 2% increase at the Barro Alto plant due to operational improvements. In Q4, nickel production declined by 10%, amounting to 10,000 tonnes, primarily due to planned lower grades.

The company also faced a 7% decline in PGM production from its operations, including mines in South Africa and Zimbabwe. Full-year production of PGMs in concentrate decreased to 3.55 million ounces. However, refined PGM production rose by 3%, reaching 3.92 million ounces in 2024. In 2025, Anglo American expects to produce between 3 million and 3.4 million ounces of PGMs.

Manganese Ore Decline and Future Expectations

Anglo American’s manganese ore production fell sharply by 38% to 2.29 million tonnes in 2024. This was largely due to the suspension of Australian operations following damage caused by Tropical Cyclone Megan in March.

Despite the setbacks in 2024, the company’s projections for future production of copper, nickel, and PGMs indicate a positive outlook for 2025 and beyond, as it continues to adjust operations and focus on optimizing output at key sites.