Anglo American plc

Production Report for the second quarter ended 30 June 2023

Duncan Wanblad, Chief Executive of Anglo American, said: "Production increased by 11%(1) compared to the second quarter in 2022, reflecting the ramp-up of our new Quellaveco copper mine in Peru, which has now reached commercial production levels. We also delivered a strong performance at our Minas-Rio iron ore operation in Brazil, as well as higher production from our open cut operations in Steelmaking Coal in Australia. These were offset by temporary lower production from De Beers' Venetia mine, as it transitions from open pit to underground, and expected lower PGMs production, as well as the impact of lower copper throughput and grades in Chile.

"Our focus remains resolutely on safely achieving our full year production guidance through the seasonally stronger second half of the year. The recent changes to our executive leadership team, coupled with re-organising how we manage our production businesses and the functional expertise that supports them, better positions us to drive safe and consistent operational performance and strategic delivery over the longer term."



Q2 2023 highlights

• De Beers and the Government of Botswana reached an agreement in principle(2) on a new 10-year sales agreement for Debswana's rough diamond production (through to 2033) and a 25-year extension of the Debswana mining licences (through to 2054).

• Copper production increased by 56%, reflecting the ramp-up to commercial production levels at our new Quellaveco mine in Peru, while production from our operations in Chile decreased by 2%.

• Steelmaking coal production increased by 28%, reflecting higher production at the open cut operations, which were impacted by unseasonal wet weather in Q2 2022.

• Iron ore production increased by 9%, principally driven by a strong operational performance at Minas-Rio where production increased by 29%.

• Nickel production decreased by 4%, reflecting the impact of lower grades.

• Rough diamond production decreased by 5%, as a strong operational performance was offset by expected lower production from Venetia, as it transitions to underground operations.

• Production from our Platinum Group Metals (PGMs) operations decreased by 9%, mainly driven by short-term operational challenges and 2022 planned infrastructure closures at Amandelbult, as well as the planned ramp-down of Kroondal.

Production

Q2 2023 Q2 2022 % vs. Q2 2022 H1 2023 H1 2022 % vs. H1 2022

Copper (kt)(3) 209 134 56% 387 273 42%
Nickel (kt)(4) 9.9 10.3 (4)% 19.6 19.6 0%
Platinum group metals (koz)(5) 943 1,032 (9)% 1,844 1,988 (7)%
Diamonds (Mct)(6) 7.6 7.9 (5)% 16.5 16.9 (2)%
Iron ore (Mt)(7) 15.6 14.4 9% 30.7 27.5 12%
Steelmaking coal (Mt) 3.4 2.6 28% 6.9 4.8 42%

Manganese ore (kt) 970 980 (1)% 1,811 1,783 2%

(1) Total production across Anglo American's products is calculated on a copper equivalent basis, including the equity share of De Beers' production and using long-term consensus parameters.

(2) The final agreement will constitute a related party transaction under the UK Listing Rules, and therefore will be subject to approval by Anglo American's shareholders in due course.

(3) Contained metal basis. Reflects copper production from the Copper operations in Chile and Peru only (excludes copper production from the Platinum Group Metals business).

(4) Reflects nickel production from the Nickel operations in Brazil only (excludes 6.1 kt of Q2 2023 nickel production from the Platinum Group Metals business).

(5) Produced ounces of metal in concentrate. 5E+Au (platinum, palladium, rhodium, ruthenium and iridium plus gold). Reflects own mined production and purchase of concentrate.

(6) De Beers Group production is on a 100% basis, except for the Gahcho Kué joint operation which is on an attributable 51% basis.

(7) Wet basis.

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