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The Markets
by Proactive
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The Markets
by Proactive
Proactive UK has moved.
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Mining

Antofagasta rises on 2024 expansion plans and strong cash flows

Antofagasta PLC (LSE:ANTO), the Chile-focused mining company, clambered onto the top FTSE 100 leaderboard after its shares rose around 2.5% following the release of its full-year results.

Operating cash flows jumped year-on-year from US$2.7 billion to US$3.03 billion, while underlying earnings lifted 5% annually to reach US$3.09 billion.

Looking ahead, the group said it had several expansion projects planned, including doubling the size of its Los Pelambres desalination plant and the construction of certain planned enclosures at the El Mauro tailings storage facility.

"Copper prices in 2023 showed reduced volatility, with prices displaying a high degree of stability in the second half of the year. Over the medium to long-term, we continue to believe in copper's fundamental role in the energy transition, helping to decarbonise the global economy," boss Ivan Arriagada said.

"The outlook for the Company and its shareholders is positive - we have a solid pipeline of copper growth projects, a strong balance sheet, a focus on costs that will underpin the delivery of those projects and long-standing relationships with local communities."

Analysts at SP Angel hailed the results, saying that "improved cashflows should aid the expansion programme where 2024 capital expenditure is expected to reach US$2.7bn".

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