REG - Antofagasta PLC - Q1 2026 Production Report
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RNS Number : 4782A Antofagasta PLC 15 April 2026
Q1 2026 PRODUCTION REPORT
STRONG net cash cost performance in a constructive copper price environment
Antofagasta plc CEO, Iván Arriagada said: "We are pleased to report another
strong quarter of cash cost performance. Our net cash costs during the quarter
were 108c/lb at the Group level, including 72c/lb and 34c/lb at Los Pelambres
and Centinela respectively, which demonstrates the quality of our portfolio,
including our meaningful exposure to gold and molybdenum.
"As we move through the year, we expect copper production to increase
quarter‑on‑quarter, supported by higher ore processing rates and improving
grades at Los Pelambres, in line with the mine plan.
"Our key growth projects continue to advance in line with expectations.
Pre‑commissioning activities are now underway at the Centinela Second
Concentrator Project, while progress across the Los Pelambres Growth Enabling
Projects continues to strengthen the operational platform for future
production growth, as we look to increase our copper production by 30%.
"Against a backdrop of higher energy prices, we remain focused on safety,
operational excellence, disciplined cost control and the timely execution of
our growth and development projects, while maintaining resilient supply
chains, and to date we have experienced no supply disruptions. The copper
price remains constructive in 2026, and the medium‑term fundamentals for
copper are compelling, underpinned by structural demand drivers and
constrained supply."
GROUP PRODUCTION AND CASH COSTS Year to date Q1 Q4
2026 2025 % 2026 2025 %
Copper production Kt 143.0 154.7 (7.6) 143.0 177.0 (19.2)
Copper sales Kt 137.0 170.2 (19.5) 137.0 201.0 (31.8)
Gold production Koz 46.5 42.9 8.4 46.5 66.3 (29.9)
Molybdenum production Kt 3.0 3.1 (3.2) 3.0 4.4 (31.8)
Cash costs before by-product credits ((1)) $/lb 2.77 2.37 16.9 2.77 2.44 13.5
Net cash costs ((1)) $/lb 1.08 1.54 (29.9) 1.08 1.05 2.9
(1) Cash cost is a non-GAAP measure used by the mining industry to express
the cost of production in US dollars per pound of copper produced.
HIGHLIGHTS
PRODUCTION
· Copper production in Q1 2026 was 143,000 tonnes, 8% lower on a
year-on-year basis, following lower processing rates, and lower copper grades
in line with the mine plan at the Group's two concentrators - Los Pelambres
and Centinela Concentrates.
· Gold production in Q1 2026 was 46,500 ounces, 8% higher on a
year-on-year basis, as a result of higher gold grades, which were partially
offset by lower ore processing rates at both concentrators.
· Molybdenum production in Q1 2026 was 3,000 tonnes, representing a
level broadly in line with the prior year period, and reflecting a balance of
higher molybdenum recoveries and lower ore processing rates.
CASH COSTS
· Cash costs before by-product credits in Q1 2026 were $2.77/lb, 17%
higher on a year-on-year basis, principally driven by higher costs at the
Group's concentrators (Los Pelambres and Centinela Concentrates).
· By-product credits in Q1 2026 were $1.69/lb, representing a 104%
increase year-on-year, with higher production of gold and pricing for both
gold and molybdenum.
· Net cash costs in Q1 2026 were $1.08/lb, 30% lower year-on-year,
driven by higher by-product credits.
GROWTH AND DEVELOPMENT PROJECTS
· All major projects remain on track and on budget.
· Centinela Second Concentrator Project: Work continued to progress on
track during the quarter, with recent activities including the electrical
energisation of various items of equipment and infrastructure, and the
completion of 15 out of 18 electrical rooms. Pre-commissioning work has now
commenced, with recirculation tests at a number of the project's pumping
stations, and the new water infrastructure has now delivered its first water
to Centinela as part of initial tests.
· Los Pelambres' Growth Enabling Projects:
o Concentrate pipeline: Work has continued along both the upper and lower
sections of the pipeline route, including welding, lowering-in and backfilling
of the pipeline, with additional work on tunnel sections. Work to install the
33 kV electrical line continues to advance.
o Desalination plant expansion: Recently completed activities include the
installation of the feed and backwash pumps and the project's marine works,
and structural work has now commenced on the Seawater Reverse Osmosis (SWRO)
building.
· Zaldívar Water Supply: The financial and technical evaluation of the
options for Zaldívar's long-term water supply system beyond 2028 continues,
with a decision expected during 2026.
GUIDANCE
· Guidance for the year remains unchanged. Group copper production for
the full year is expected to be in the range of 650,000-700,000 tonnes.
· Group-level cash cost guidance, both before and after by-product
credits, is also unchanged at $2.30-2.50/lb and $1.15-1.35/lb respectively,
assuming fuel prices return to levels seen in January 2026 during Q2 2026.
· Capital expenditure guidance is also unchanged at $3.4 billion. 1
(#_ftn1)
SAFETY AND SUSTAINABILITY
· The Group is pleased to confirm that its operations remain
fatality-free in 2026, with continued strong performance in respect of the
Group's lost time injury frequency rate, in line with FY 2025.
· In accordance with the current Water Code regulations, a water
redistribution agreement approved by the DGA (Chile's water administration
department) is required to be in effect so that, if there is drought, certain
conditions are completed to enable Los Pelambres to be able to extract up to
400 litres per second consistently with its water rights at the point of
extraction in the Choapa river. This agreement requires a certain
administrative action from government to be in place, which is refreshed
annually, and as such, discussions have started to ensure timely renewal.
CORPORATE UPDATE
· The Company announced on 28 January 2026 that Andrónico Luksic Craig
had stepped down from the Board of Directors as of 27 January 2026, and the
appointment of Andrónico Luksic Lederer as a Non-Executive Director with
effect from 1 March 2026.
· In March 2026, the Group published its 2025 Annual Report,
Sustainability Report and Sustainability Databook, which are all available on
the Group's website (www.antofagasta.co.uk (http://www.antofagasta.co.uk) ).
The Company also published its 2025 Notice of Annual General Meeting (event to
be held on 7 May 2026).
Investors - London Media - London
Rosario Orchard rorchard@antofagasta.co.uk (mailto:rorchard@antofagasta.co.uk) Sara Powell antofagasta@fticonsulting.com (mailto:antofagasta@fticonsulting.com)
Robert Simmons rsimmons@antofagasta.co.uk (mailto:rsimmons@antofagasta.co.uk) Ben Brewerton
Telephone +44 20 7808 0988 Nick Hennis
Telephone +44 2037271000
Media - Santiago
Pablo Orozco porozco@aminerals.cl (mailto:porozco@aminerals.cl)
Carolina Pica cpica@aminerals.cl (mailto:cpica@aminerals.cl)
Telephone +56 2 2798 7000
MINING OPERATIONS
Los Pelambres
Copper production in Q1 2026 was 66,300 tonnes, representing a 5% decrease
year-on-year and a 16% decrease quarter-on-quarter, which reflects lower
throughput due to plant downtime and lower grades during the period. Following
the completion of major maintenance that is scheduled to take place during Q2
2026, quarterly production is expected to increase sequentially throughout the
remainder of the year.
In respect of by-products, on a year-on-year basis, molybdenum production was
in line with 2,300 tonnes, reflecting higher recoveries, offset by lower
processing rates. Gold production rose year-on-year by 4% to 12,100 ounces as
a result of higher gold grades, which was partially moderated by the lower
volumes processed. Quarter-on-quarter, output of molybdenum and gold fell by
38% and 19% respectively, as a result of lower processing rates, grades and
recoveries.
Copper sales during Q1 2026 were 65,200 tonnes, broadly matching the level of
production during the period.
Cash costs before by-product credits of $2.61/lb in Q1 2026 were 13% higher
than the same period in 2025, with this movement related to the lower level of
production, appreciation of the Chilean peso, and higher unit costs for key
consumables, such as electricity and diesel. On a quarter-on-quarter basis,
cash costs before by-product credits were 20% higher as a result of the lower
level of production, maintenance costs, higher unit costs for key consumables,
such as diesel, and appreciation of the Chilean peso, with these factors
partially offset by the settlement of a three-year collective bargaining
agreement in the prior period.
Net cash costs of $0.72/lb in Q1 2026 were 47% lower on a year-on-year basis,
following stronger realised pricing for both gold and molybdenum, and an
increase in gold production. On a quarter-on-quarter basis, net cash costs
were 9% higher following an increase in the underlying cash costs and lower
output of by-products, partially offset by stronger realised pricing for both
gold and molybdenum.
LOS PELAMBRES Year to date Q1 Q4
2026 2025 % 2026 2025 %
Daily ore throughput kt 165.5 173.5 (4.6) 165.5 181.1 (8.6)
Copper grade % 0.52 0.53 (1.9) 0.52 0.53 (1.9)
Copper recovery % 90.4 88.3 2.4 90.4 91.1 (0.8)
Copper production kt 66.3 69.9 (5.2) 66.3 79.2 (16.3)
Copper sales kt 65.2 73.0 (10.7) 65.2 95.1 (31.4)
Molybdenum grade % 0.019 0.019 - 0.019 0.026 (26.9)
Molybdenum recovery % 81.4 75.8 7.4 81.4 84.4 (3.6)
Molybdenum production kt 2.3 2.3 - 2.3 3.7 (37.8)
Molybdenum sales kt 2.7 2.0 35.0 2.7 3.1 (12.9)
Gold grade g/t 0.038 0.035 8.6 0.038 0.042 (9.5)
Gold recovery % 70.3 71.2 (1.3) 70.3 72.5 (3.0)
Gold production koz 12.1 11.6 4.3 12.1 15.0 (19.3)
Gold sales koz 10.5 11.3 (7.1) 10.5 17.6 (40.3)
Cash costs before by-product credits((1)) $/lb 2.61 2.30 13.5 2.61 2.17 20.3
Net cash costs ((1)) $/lb 0.72 1.36 (47.1) 0.72 0.66 9.1
(1) Includes tolling charges of $0.01/lb in Q1 2026, ($0.04/lb) in Q4 2025 and
$0.11/lb in Q1 2025.
Centinela
Centinela produced a total of 48,700 tonnes of copper in Q1 2026, which
represents a level 12% lower year-on-year, following a reduction in output
from Centinela Cathodes related to copper grades, in line with the mine plan.
Total copper production during Q1 2026 was 23% lower on a quarter-on-quarter
basis, with a lower contribution from both Centinela Concentrates and
Centinela Cathodes.
At Centinela Concentrates, copper production was in line year-on-year at
35,700 tonnes, reflecting a balance of higher recoveries and lower copper
grades and a decrease in ore processing rates. Quarter-on-quarter, production
at Centinela Concentrates was 27% lower, which was the result of lower ore
processing rates and lower copper grades.
Total copper production at Centinela Cathodes was 13,000 tonnes in Q1 2026,
representing a result 34% lower year-on-year, following a reduction in copper
grades and recoveries. On a quarter-on-quarter basis, total copper production
declined by 9% as a result of a build-up of leach pad inventories, offset in
part by an increase in ore processing rates and higher copper grades.
In respect of by-products, gold production rose year-on-year in Q1 2026 to
34,500 ounces, following an increase in gold grades, and molybdenum production
declined to 700 tonnes as a result of lower grades. On a quarter-on-quarter
basis, gold production was 33% lower as a result of lower grades and ore
processing rates, and molybdenum production was in line following higher
grades, which were offset by the factors mentioned above.
Copper sales at both Centinela Concentrates and Centinela Cathodes were
broadly in line with the level of production during the period.
Cash costs before by-product credits were $2.73/lb in Q1 2026, 18% higher on a
year-on-year basis, reflecting higher input prices for key consumables, such
as diesel and electricity, increased levels of mining activity and
appreciation of the Chilean peso. On a quarter-on-quarter basis, cash costs
before by-products rose by 16%, with this movement related to increased costs
associated with the lower level of concentrate production, maintenance
activities, higher input prices for key consumables, such as diesel, and
appreciation of the Chilean peso.
Net cash costs fell to $0.34/lb, representing a 71% decrease year-on-year,
driven by increased by-product output of gold and realised pricing, and
partially offset by higher underlying cash costs before by-products. On a
quarter-on-quarter basis, costs were in line, reflecting a balance of lower
gold production and higher realised pricing.
CENTINELA Year to date Q1 Q4
2026 2025 % 2026 2025 %
CONCENTRATES
Daily ore throughput kt 97.5 100.6 (3.1) 97.5 113.8 (14.3)
Copper grade % 0.50 0.51 (2.0) 0.50 0.58 (13.8)
Copper recovery % 83.1 81.4 2.1 83.1 83.4 (0.4)
Copper production kt 35.7 35.9 (0.6) 35.7 48.8 (26.8)
Copper sales kt 31.4 41.9 (25.1) 31.4 53.0 (40.8)
Molybdenum grade % 0.016 0.017 (5.9) 0.016 0.013 23.1
Molybdenum recovery % 81.8 67.2 21.7 81.8 52.3 56.4
Molybdenum production kt 0.7 0.8 (12.5) 0.7 0.7 -
Molybdenum sales kt 0.7 0.7 - 0.7 0.7 -
Gold grade g/t 0.19 0.17 11.8 0.19 0.23 (17.4)
Gold recovery % 64.7 66.8 (3.1) 64.7 67.2 (3.7)
Gold production koz 34.5 31.3 10.2 34.5 51.2 (32.6)
Gold sales koz 29.6 37.2 (20.4) 29.6 54.7 (45.9)
CATHODES
Daily ore throughput kt 59.8 57.8 3.5 59.8 50.1 19.4
Copper grade % 0.46 0.50 (8.0) 0.46 0.44 4.5
Copper recovery % 61.9 70.6 (12.3) 61.9 62.4 (0.8)
Copper production - heap leach kt 12.5 19.1 (34.6) 12.5 13.6 (8.1)
Copper production - total ((1)) kt 13.0 19.8 (34.3) 13.0 14.3 (9.1)
Copper sales kt 12.6 24.7 (49.0) 12.6 16.5 (23.6)
Total copper production kt 48.7 55.6 (12.4) 48.7 63.1 (22.8)
Cash costs before by-product credits((2)) $/lb 2.73 2.31 18.2 2.73 2.35 16.2
Net cash costs((2)) $/lb 0.34 1.18 (71.2) 0.34 0.36 (5.6)
(1) Includes production from ROM material
(2) Includes tolling charges of $0.02/lb in Q1 2026, $0.02/lb in Q4 2025 and
$0.10/lb in Q1 2025.
Antucoya
Copper production in Q1 2026 was 19,600 tonnes, 3% lower year-on-year,
reflecting a balance of lower recoveries and an increase in ore processing
rates. On a quarter-on-quarter basis, production was 15% lower as a result of
lower copper grades and throughput.
Cash costs during Q1 2026 were $3.03/lb, representing a 23% increase
year-on-year, with this increase related to costs associated with maintenance,
higher unit costs for key consumables, such as sulphuric acid and diesel, and
appreciation of the Chilean peso. On a quarter-on-quarter basis, cash costs
were in line, representing a balance of lower production, higher unit costs
for key consumables, such as diesel and sulphuric acid, and appreciation of
the Chilean peso, offset by the settlement of two three‑year labour
agreements in the prior period.
ANTUCOYA Year to Date Q1 Q4
2026 2025 % 2026 2025 %
Daily ore throughput kt 94.4 92.5 2.1 94.4 100.9 (6.4)
Copper grade % 0.31 0.31 - 0.31 0.35 (11.4)
Copper recovery % 68.0 71.9 (5.4) 68.0 69.8 (2.6)
Copper production kt 19.6 20.2 (3.0) 19.6 23.0 (14.8)
Copper sales kt 19.5 20.8 (6.3) 19.5 23.8 (18.1)
Cash costs $/lb 3.03 2.47 22.7 3.03 3.04 (0.3)
Zaldívar
Planned maintenance activities in Q1 2026, which were previously deferred
pending issuance of the enabling environmental permit for the life‑of‑mine
extension (granted in May 2025), resulted in lower processing rates during the
period. Additional related works are planned throughout the remainder of 2026.
As a result, total attributable copper production in Q1 2026 was 8,300 tonnes,
representing an 8% decrease year-on-year. The reduction in processing rates
was partially offset by an increase in copper grades and recoveries. On a
quarter-on-quarter basis, total attributable copper production was 29% lower,
reflecting the impact of planned maintenance completed during the period,
partly offset by higher recoveries.
Cash costs during the period of $3.61/lb were 17% higher on a year-on-year
basis, reflecting increased input costs and usage rates for key consumables,
such as sulphuric acid and diesel, and appreciation of the Chilean peso. On a
quarter-on-quarter basis, costs were 2% higher at $3.61/lb, following the
utilisation of lower cost inventory from prior periods, offset by lower
production volumes, costs associated with maintenance activities, higher unit
costs for key consumables, such as sulphuric acid and diesel, and appreciation
of the Chilean peso.
ZALDÍVAR Year to date Q1 Q4
2026 2025 % 2026 2025 %
Daily ore throughput kt 29.1 40.7 (28.5) 29.1 46.9 (38.0)
Copper grade % 0.74 0.59 25.4 0.74 0.81 (8.6)
Copper recovery % 58.1 54.4 6.8 58.1 53.5 8.6
Copper production - heap leach ((1)) kt 6.1 6.0 1.7 6.1 8.9 (31.5)
Copper production - total ((1,2)) kt 8.3 9.0 (7.8) 8.3 11.7 (29.1)
Copper sales ((1)) kt 8.3 9.8 (15.3) 8.3 12.6 (34.1)
Cash costs $/lb 3.61 3.09 16.8 3.61 3.53 2.3
(1) Group's 50% share.
(2) Includes production from secondary leaching.
Transport Division (FCAB)
The total tonnage transported during the period was 15% lower on a
year-on-year basis at 1.3 million tonnes, which follows a reduction in both
rail and road tonnages.
Rail volumes declined by 12% in Q1 2026 to 1.1 million tonnes, with this
decrease relating to a lower level of customer activity and heavy rains in the
northern region of Chile. Road transport tonnages during the period declined
by 27% on a year-on-year basis to 251,000 tonnes, reflecting the same factors
as outlined above.
TRANSPORT Year to date Q1 Q4
2026 2025 % 2026 2025 %
Rail kt 1,069 1,213 (11.9) 1,069 1,333 (19.8)
Road kt 251 344 (27.0) 251 346 (27.5)
Total tonnage transported kt 1,320 1,557 (15.2) 1,320 1,679 (21.4)
Commodity prices and exchange rates
Year to date Q1 Q4
2026 2025 % 2026 2025 %
Copper
Market price $/lb 5.83 4.24 37.5 5.83 5.03 15.9
Realised price $/lb 5.83 4.69 24.3 5.83 5.78 0.9
Gold
Market price $/oz 4,875 2,859 70.5 4,875 4,145 17.6
Realised price $/oz 5,264 3,098 69.9 5,264 4,363 20.7
Molybdenum
Market price $/lb 25.7 20.5 25.4 25.7 22.9 12.2
Realised price $/lb 31.0 19.3 60.6 31.0 18.3 69.4
Exchange rates
Chilean peso per $ 886 963 (8.0) 886 935 (5.2)
Spot commodity prices for copper, gold and molybdenum as at 31 March 2026 were
$5.52/lb, $4,581/oz and $26.5/lb respectively, compared with $5.67/lb,
$4,308/oz and $22.7/lb as at 31 December 2025 and $4.39/lb, $3,118/oz and
$20.0/lb as at 31 March 2025.
The provisional pricing adjustments for copper, gold and molybdenum for the
quarter were negative $3.8 million, positive $9.0 million and positive $49.2
million respectively.
The provisional pricing adjustments for copper, gold and molybdenum for the
year to date were negative $3.8 million, positive $9.0 million and positive
$49.2 million respectively.
_________________________________________________________________________________________
Cautionary Statement
This announcement may contain certain forward-looking statements. All
statements other than statements of historical fact are, or may be deemed to
be, forward-looking statements.
These forward-looking statements are based upon current expectations and
assumptions regarding anticipated developments and other factors affecting the
Group. They are not historical facts, nor are they guarantees of future
performance or outcomes. Readers should not place undue reliance on
forward-looking statements.
Forward-looking statements involve known and unknown risks, uncertainties,
assumptions and other factors that are beyond the Group's control. Given these
risks, uncertainties and assumptions, actual results could differ materially
from any future results expressed or implied by these forward-looking
statements.
These forward-looking statements speak only as of the date of this document.
Except as required by any applicable law or regulation, the Group expressly
disclaims any obligation or undertaking to release publicly any updates or
revisions to any forward-looking statements contained herein to reflect any
change in the Group's expectations with regard thereto or any change in
events, conditions, or circumstances on which any such statement is based. No
assurance can be given that the forward-looking statements in this document
will be realised. Past performance cannot be relied on as a guide to future
performance.
This document does not contain or comprise profit forecasts, investment,
accounting, legal, regulatory or tax advice nor is it an invitation for you to
enter into any transaction. You are advised to exercise your own independent
judgement (with the advice of your professional advisers as necessary) with
respect to the risks and consequences of any matter contained herein.
Any securities mentioned in this communication have not been registered under
the U.S. Securities Act of 1933, as amended, and may not be offered or sold in
the United States absent registration or an applicable exemption from
registration requirements.
1 (#_ftnref1) Note: Capital expenditure guidance figure excludes Zaldívar,
in line with previous years.
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