Xstrata reports production increases across most commodities

Xstrata has released its production results for the first half of 2010, reporting increased volumes in coking and semi-soft coal, refined nickel, zinc concentrate and lead concentrate.

 Xstrata has released its production results for the first half of 2010, reporting increased volumes in coking and semi-soft coal, refined nickel, zinc concentrate and lead concentrate. 

The company said its consolidated coal production for the six months was similar to the corresponding period in 2009. 
Production from the new Oaky No.1 longwall operations were included for the first time, meaning the overall results increased by 73% or 1.6 million tonnes.
Thermal coal production, including semi-soft coal, was also in line with the first half of 2009.
Semi-soft production in New South Wales increased by 50% or 1.3 million tonnes to take advantage of higher prices.
However, this production was offset by a loss of around two million tonnes of thermal coal caused by the flooding at Rolleston during the cyclone season.
The miner produced 45,458 tonnes of refined nickel in the first-half of the year, an increase of 8%. 
According to company, this was achieved by processing the entire feed through Xstrata Nickel Australasia (XNA).
Nevertheless, nickel concentrate fell by 9% because of the deferral of the Sinclair underground development in April last year, thanks to the poor market conditions.
The company has now recommenced underground development at Sinclair and expects production to begin late this year. 
Zinc concentrate production totalled 168,148 tonnes, an increase of 9%, while lead concentrate production rose by 10%.
Among these increased results, the company’s copper and gold production decreased by 3% and 21% respectively. 
The miner said the reduced volumes were caused by declining copper and gold ore grades at Mount Isa and Ernest Henry.

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