INTERNATIONAL COAL NEWS

Anglo scrutinises capex

ANGLO American says it will review its capital expenditure on a project by project basis as it ti...

Angie Tomlinson

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The global miner said it was conducting a review of its project pipeline as well as driving asset optimisation and cost discipline.

The announcement came as it released its third-quarter results which saw an increase in production of metallurgical coal, Eskom coal and South American coal.

However, Australian coal production suffered during the quarter with a 24.6% drop in thermal coal output. Anglo blamed a fall in domestic demand from power utilities.

Australian metallurgical coal output rose 8.5% aided by the purchase of the Foxleigh mine and securing additional port entitlements.

Eskom in South Africa increased coal production by 8.8%, but thermal coal production in the country dropped 5.6% as the Goedehoop mine endured adverse geological conditions.

South American thermal coal output was 6.5% higher as mining recovery improved at Cerrejon. This was partially offset by lower production at CDG caused by lack of equipment spares availability and ongoing political and labour disruptions.

Overall Eskom coal production was 9.7 million tonnes, thermal coal totalled 12.4Mt and metallurgical coal totalled 3.6Mt.

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