By Joe Hoppe

 

Anglo American PLC said Monday that it has started commercial copper operations at its Quellaveco project in Peru, and narrowed 2022 guidance for copper from Chile.

The mining company said it expects the site, of which it owns 60%, to produce more than 300,000 metric tons a year of copper equivalent volume on average over its first 10 years. The mine alone is expected to lift the company's total global output by 10% in copper equivalent terms and take its total copper production close to 1 million tons a year.

Quellaveco is expected to ramp up fully over the next nine to 12 months, and following a commissioning and testing period and final regulatory clearance, the company has lowered 2022 copper guidance for the site to 80,000 to 100,000 tons from 100,000 to 150,000 tons. Guidance for Quellaveco for 2023 and 2024 remain unchanged.

The company also narrowed copper guidance for Chile to 560,000-580,000 tons from previous guidance of 560,000-600,000 tons, due to lower throughput at its Los Bronces operations. Unit cost guidance has been raised to 160 cents a pound, from 150 cents, reflecting lower volumes and inflation, the company said.

 

Write to Joe Hoppe at joseph.hoppe@wsj.com

 

(END) Dow Jones Newswires

September 26, 2022 02:32 ET (06:32 GMT)

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