South32 shares advance on strong June production
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More news: Shares in South32 jumped in afternoon trade after the diversified mining company outperformed its production metrics for the June quarter, supported by a sales uplift driven by strong zinc and copper output.
Shares rose 3.2% to $4.02 at 1:40pm AEST.
South32 tops production guidance for June quarter
The news: South32 has exceeded its key production metrics in the June quarter across its operations, with its Sierra Gorda copper, Cannington and manganese assets outperforming expectations.
The context: The miner reported a 15% quarterly sales increase driven by significant output growth in copper and zinc across the Sierra Gorda and Hermosa projects.
Aluminium production exceeded FY26 guidance by 1%, while output at Sierra Gorda exceeded its previously targeted guidance by 2%, delivering annual distributions of USD401 million ($575 million).
The output at the Cannington site recorded a 29% year-on-year increase, exceeding FY26 guidance by 2%. Manganese production also beat guidance by 2%, supported by a 6% quarterly increase from its operations in South Africa.
The production report comes as the miner agreed to sell its global aluminium value chain assets to Alcoa Corporation for an upfront consideration of USD4.1 billion earlier this month, with the transaction expected to complete in the second half of FY27.
The source: ASX
