Diversified miner Glencore has reported a 22% year-on-year decrease in steelmaking coal production to 6.5-million tonnes for the first quarter, primarily owing to pit sequencing at Elk Valley Resources, in Canada, wet weather in Queensland, Australia, and a planned longwall move at Oaky Creek, in Australia.

Elk Valley's output was 1.3-million tonnes, or 20%, lower year-on-year, while steelmaking coal output in Australia decreased by 500 000 t, or 29%, year-on-year.

Meanwhile, Glencore's energy coal production decreased by 2% year-on-year to 22.9-million tonnes, as higher output in Australia offset production cuts implemented at the Cerrejón mine, in Colombia, during 2025. 

Cerrejón produced four-million tonnes of thermal coal in the first quarter – a 20% year-on-year decrease.

Thermal and semi-soft coal output in Australia, meanwhile, increased by 4% year-on-year to 600 000 t, owing to lower strip ratios at the Rolleston, Bulga and Collinsville operations.

Glencore's South African operations delivered 4.1-million tonnes of thermal coal for the first quarter, which was broadly in line with production in the first quarter of 2025.

COPPER & COBALT
Glencore's own-sourced copper production increased by 19% year-0n-year to 199 600 t, owing to improved grades at its African copper operations and higher throughput and grades at its Antamina mine, in Peru.

Own-sourced cobalt production of 5 800 t was 39% lower year-on-year, owing to the introduction of the Democratic Republic of Congo’s (DRC's) export quota system in late 2025.

Glencore notes that its DRC assets are now prioritising copper production as existing finished cobalt inventories are sufficient to fully deliver into near-term quota levels.

The DRC cobalt export quota system will be in place until at least the end of 2027.

Cobalt produced at Glencore's KCC and Mutanda in excess of the allocated quotas is stored in-country and will be sold as circumstances allow. Both operations have sufficient cobalt inventories on hand to use their cobalt quotas over the near term.

Glencore expects to export 22 800 t of cobalt this year and 18 800 t in 2027.

CHROME
Glencore's attributable chrome ore production from its joint venture operation in South Africa was 830 000 t for the first quarter and broadly in line with that of the first quarter of 2025.

Chrome smelting operations remained on care and maintenance for most of the first quarter of this year, with a phased restart of operations under way at the Lion smelter. Accordingly, attributable ferrochrome production of 13 000 t was 95% lower year-on-year.

Commenting on the group's operational performance for the first quarter, CEO Gary Nagle said first-quarter production was largely in line with the group's expectations.

"Accordingly, full-year 2026 production guidance remains unchanged from that presented . . . in December 2025."

"While the Middle East conflict has created numerous dislocations, particularly around the supply of crude, refined products and sulphuric acid, our energy marketing business has supported the supply of fuels to our assets.

"In addition, our significant metallurgical asset footprint, across copper, zinc and nickel, puts Glencore in a net-long global sulphuric acid position.

"Although the impact of the conflict on our industrial business was limited in the first quarter, recent and emerging impacts are now manifesting, primarily as an increase in input costs, most notably diesel and acid consumption, and the generally weaker dollar," he says.

Nagle adds that, based on current stronger commodity prices, particularly for copper, zinc and energy coal, the group expects these cost impacts to be more than offset, which would result in margin expansion.

"In addition, extrapolating our first-quarter Marketing performance, would see this segment’s full-year earnings before interest and taxes performance comfortably exceeding the top end of our long-term adjusted Ebit guidance range of $2.3-billion to $3.5-billion a year.“