- Steelmaking coal output drops 41% y-o-y
- Divestment, safety efforts continue at Grosvenor, Moranbah
Anglo American has reaffirmed its steelmaking coal production guidance for 2025 at 10-12 million tonnes (mnt), maintaining a stable outlook despite recent operational challenges.
The guidance excludes production from the Grosvenor mine, where operations remain suspended following an underground fire incident in June 2024.
The company continues to assess the implications of a temporary stoppage at Moranbah, while a scheduled walk-on/walk-off longwall move at Aquila in the third quarter of 2025 is expected to have minimal impact on production.
Production impacted by Grosvenor suspension
In Q1 2025, steelmaking coal production declined by 41% y-o-y to 2.2 mnt. This decline was primarily driven by the suspension of longwall mining at Grosvenor and the sale of Anglo American’s minority interest in the Jellinbah mine, which was finalised in January 2025.
Underlying production growth excluding major impacts
When adjusted for the effects of Grosvenor and Jellinbah, Anglo American recorded an 11% increase in production compared to the same period last year. This growth was supported by improved output from the Dawson open cut and Aquila underground operations.
However, this was partially offset by lower output at Moranbah, attributed to challenging strata conditions and a prolonged ramp-up of the new longwall system.
Ongoing safety and recovery efforts
On 31 March, a contained ignition occurred in Moranbah, prompting the precautionary and safe withdrawal of all underground personnel. Following comprehensive safety assessments and consultation with regulators, initial re-entry was achieved on 19 April.
At Grosvenor, Anglo American continues to make significant progress toward enabling the safe re-entry of personnel and equipment, with safety remaining the company’s top priority.
Strategic exit from Australian coal assets
As part of its ongoing portfolio simplification strategy, Anglo American has entered into definitive agreements to sell its remaining Australian steelmaking coal assets to Peabody Energy. The transaction is subject to regulatory approvals and is expected to complete by the third quarter of 2025.
Outlook
Strong performance from Dawson and Aquila is expected to offset near-term impacts from Moranbah and the ongoing suspension at Grosvenor. The company remains focused on operational recovery, safety, and completing the strategic divestment to Peabody Energy by Q3 2025.
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