Glencore’s marketing business has lifted its full year adjusted earnings forecast to exceed $3.2bn, the mining giant’s CEO Gary Nagle said in the firm’s third quarter production update.
Shares dipped 0.8 per cent to 356.4p per share during early trading.
It follows Glencore’s recovery from reduced production as global energy markets have begun to rebalance amid soaring cost inflation.
“The asset base has largely performed in line with our expectations and our full year production guidance remains unchanged. Notably, as energy markets have improved, we are recovering from the market-driven production cuts initiated within our Australian coal portfolio in H2 2020,” Nagle said in a statement.
“Basis Marketing’s continued strong performance, we now expect full year 2021 Adjusted EBIT to exceed the top end of our $2.2bn to $3.2bn per annum long-term guidance range.”
Copper production dipped four per cent in comparison with 2020, coal production tumbled nine per cent, while nickel production sank 13 per cent.
The production of ferrochrome surged 65 per cent higher in the period, due to a ramp-up in production following a national lockdown in South Africa.