StockMarketWire.com - Anglo American said it remained 'broadly' on track to meet its full-year production target despite lowering its diamond production guidance and reporting a fall in iron ore production at its Kumba mine.

The miner reported that total production rose just 2% in the second quarter.

De Beers' diamond production decreased by 14% to 7.7m carats in the quarter, amid a softer demand backdrop and as its Venetia mine transitioned from open pit to underground.

The company revised down its diamond production guidance to about 31 million carats, in response to weaker trading conditions.

Kumba's iron ore production decreased by 9% to 10.5m tonnes due to plant maintenance, the miner said. While Minas-Rio's iron ore production rose to 5.9m tonnes for the quarter, up from 0.1MT as the strong ramp-up of the miner continued ahead of schedule.

Copper production increased 1% to 159,100 tonnes, reflecting strong performance at both Los Bronces and Collahuasi. Production guidance was unchanged at 630,000-660,000 tonnes.

Metallurgical coal production increased by 11% to 5.8m tonnes due to 'generally stronger performance and the completion of Q1 longwall moves,' Anglo said. While thermal coal production decreased by 8% to 6.6m tonnes which the company blamed on local drought conditions at Cerrejón.

'Production is up 2%(1) for the quarter, due to the successful ramp-up at Minas-Rio and strong performance at Metallurgical Coal following the longwall moves and plant upgrade work in Q1,' said Mark Cutifani, Chief Executive of Anglo American.

'Kumba Iron Ore continues to improve following Q1 production challenges. De Beers, in view of prevailing market conditions, will continue to produce to demand for the year. We remain broadly on track overall to deliver this full year's production targets, with an increase to Minas-Rio guidance offsetting two reductions at De Beers and Kumba Iron Ore.'

At 8:10am: [LON:AAL] Anglo American PLC share price was -18p at 2185p



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