Log in
Forgot password ?
Become a member for free
Sign up
Sign up
New member
Sign up for FREE
New customer
Discover our services
Dynamic quotes 

MarketScreener Homepage  >  Commodities  >  LME Copper Cash       


SummaryMost relevantAll NewsOther languagesMarketScreener Strategies

Glencore's 2019 cobalt up, copper down; share price rises

02/04/2020 | 05:15am EST
FILE PHOTO: The logo commodities trader Glencore is pictured in Baar

Glencore said its 2019 copper output fell 6% and battery mineral cobalt rose 10% as it boosted production at its Katanga mine in the Democratic Republic of Congo, offsetting the impact of the early closure of another operation.

The news drove Glencore's shares 5% higher by 1000 GMT, outperforming London peers, as analysts took the view Glencore was overcoming operational problems in Africa.

The miner shut its Mutanda mine in Congo ahead of schedule in November in response to falling cobalt prices and rising costs and taxes.

Glencore, whose CEO Ivan Glasenberg has said he may be replaced this year, has been battling multiple issues, including political and operational issues in Congo and Zambia, and investigations by the U.S. Department of Justice and Britain's Serious Fraud Office.

The problems have weighed on Glencore's shares, which shed 19% last year.

Analysts now predict a rally, saying the company is too cheap and operational problems have been tackled.

"Glencore continues to screen as a strong value proposition," Tyler Broda of RBC Capital Markets said in a note.

Glencore on Tuesday said its 2019, copper output reached 1.37 million tonnes while cobalt climbed 42,200 tonnes. In the fourth quarter, copper output fell to 355,400 tonnes and cobalt production dropped to 11,900 tonnes.

It should benefit from the rise of electric vehicles, which use high volumes of copper and cobalt.

But the company, which is the world's biggest shipper of export quality coal, is under mounting pressure from investors concerned about the need to phase out fossil fuel to lower climate-warming emissions.

Production of zinc, ferrochrome and nickel fell slightly but the company kept its full year 2020 outlook unchanged.

Also on Tuesday, Glencore appointed former China Molybdenum International CEO Kalidas Madhavpeddi to its board. China Moly, like Glencore, operates in Congo.

(Reporting by Yadarisa Shabong and Zandi Shabalala; editing by Jason Neely and Barbara Lewis)

By Zandi Shabalala and Yadarisa Shabong

© Reuters 2020
Stocks mentioned in the article
ChangeLast1st jan.
CHINA MOLYBDENUM CO., LTD. 5.69% 5.94 End-of-day quote.17.39%
DOW JONES AFRICA TITANS 50 INDEX -1.59% 531.63 Delayed Quote.2.12%
GLENCORE PLC -6.75% 237.8 Delayed Quote.9.44%
JASON CO., LTD. -0.61% 654 End-of-day quote.-2.10%
S&P AFRICA 40 INDEX -2.27% 170.62 Delayed Quote.1.36%
All news about LME COPPER CASH
08:41aOROCO RESOURCE : OCO.V) "Extremely Pleased" With Survey At Santo Tomas Copper Pr..
01/26Lara Exploration Provides Production Update For Celesta Copper Mine in Brazil
01/26Libero Copper Shares Rise After Option of Esperanza Project
01/26FIRST QUANTUM MINERALS : Achieves Record 2020 Copper Production, Details 2021-20..
01/26Copper eases on U.S. stimulus uncertainty
01/25Copper inches higher as investors eye U.S. stimulus
01/25UPDATE : Libero Copper & Gold Down 4.5% On Hires New CEO, Execs And Expands Boar..
01/25Libero Copper & Gold Hires New CEO, Execs And Expands Board Of Directors
01/25CARAVEL MINERALS : Restarts Drill Programs at Bindi Copper Deposit
01/25CYPRIUM METALS : Intersects Shallow Copper Oxides at Nanadie Well Project
More news
Duration : Period :
LME Copper Cash Technical Analysis Chart | MarketScreener