SEATTLE (Scrap Monster): Anglo American announced that the 3-week lockdown period declared by the South African administration to contain the spread of coronavirus is likely to have major impacts on its output. The iron ore and coal sector results will be impacted the most.
The production at Anglo American Kumba Iron Ore mine is expected to post a decline of up to 3 million tonnes in 2020. The Sishen and Kolomela mines are currently operating at half of its workforce. Also, thermal coal output is likely to decline significantly by nearly 1.5 to 2 million tonnes during the year.
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The company has also lowered its platinum and diamond mine output. It announced that the Amandelbult, Modikwa and Kroondal platinum operations as well as the Mortimer and Waterfall smelters have been placed onto care and maintenance. The Mototolo platinum mine and Mogalakwena palladium mine and the Venetia diamond mine will continue to operate with reduced staff levels.
Mark Cutifani, Chief Executive, Anglo American noted that the safety, health and wellbeing of its employees is the top priority for the company. The company will implement all appropriate measures across its South African operations, in line with the lockdown requirements, he added.
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