Steelmaking Coal Production Declines as Anglo American Prepares Exit

February 7, 2025 – Anglo American reported a 49% drop in steelmaking coal production in the fourth quarter of 2024, primarily due to an underground fire at the Grosvenor mine in June 2024 and the planned longwall move at Moranbah. The decline also reflects the company’s sale of its Jellinbah stake in November 2024, finalized on January 29, 2025, after which production from Jellinbah was excluded from Anglo American’s results.

For the full year 2024, the company's steelmaking coal output stood at 14.5 million tonnes, a 9% decrease compared to 2023. Anglo American’s hard coking coal output also dropped by 12%. The company realized an average price of $241 per tonne for hard coking coal, aligning with market benchmarks.

Looking ahead, Anglo American has revised its 2025 production guidance downward to 10–12 million tonnes as it prepares to finalize the sale of its entire steelmaking coal business to Peabody Energy in a deal worth up to $4.9 billion, expected to close by Q3 2025.

Despite setbacks, the company is making progress on re-entering Grosvenor, pending regulatory approval, to assess damage and restart operations if feasible.