Annual Report 2007 - Antofagasta plc

More documents

Recommendations

Info

Five Year Summary continuedIFRSUK GAAP2007 2006 2005 2004 2003US$m US$m US$m US$m US$mConsolidated Net CashConsolidated Net DebtCash at bank and in hand 7.6Current asset investments 188.1Cash and cash equivalents 2,212.5 1,805.5 1,316.8 881.4 195.7Short-term borrowings (7) (101.8) (97.6) (97.2) (104.7) Loans due within one year (8) (166.7)Medium and long-term borrowings (7) (164.2) (261.1) (368.1) (498.1) Loans due after more than one year (8) (690.8)(266.0) (358.7) (465.3) (602.8) (857.5)Net cash at the year-end 1,946.5 1,446.8 851.5 278.6 Net debt at the year-end (661.8)(1) Turnover is presented net of tolling charges for concentrate sales and the comparatives for 2003 have been restated accordingly.(2) EBITDA refers to Earnings Before Interest, Tax, Depreciation and Amortisation and is defined in Note 5(a)(i)(vii) to the financial statements.EBITDA for 2006 and 2007 is reconciled to operating profit from subsidiaries and joint ventures in the Financial Review on page 26.(3) Earnings per share and dividends per share have been restated for the effects of the 4-for-1 bonus issue on 19 June 2006.(4) During 2003, Antofagasta plc demerged its 33.6% investment in Quinenco S.A. As a result of the demerger, ordinary shareholders inAntofagasta received a special dividend on one share in Andsberg Limited for each share held in Antofagasta. Andsberg is an unlisted Jerseyregisteredcompany which has as its principal asset the investment in Quiñenco. The Andsberg shares were redeemable for a limited periodat 22.2 cents per share (US$111 per share prior to the restatement for the 2006 bonus issue) and this value has been used to derive thevalue of the total dividend per share of 29.2 cents (restated) for 2003.(5) The order of presentation of items of the summary UK GAAP cash flow statements for 2003 has been amended to facilitate comparison withthe summary IFRS cash flow statements for 2004, 2005, 2006 and 2007.(6) Short-term cash investments maturing within three months of acquisition previously disclosed under UK GAAP as “current assetinvestments” are classified under IFRS as “cash equivalents”. Due to these differences in classification, the net increase in cash and cashequivalents under IFRS does not correspond to the net cash outflow in the year under UK GAAP. For the summary UK GAAP cash flowstatement for 2003, net cashflow in the year before movement in term deposits has been computed to provide a more comparable (but notequivalent) measure to net increase in cash and cash equivalents under IFRS.(7) Borrowings under IFRS include amounts due under finance leases and preference shares.(8) Loans under UK GAAP include amounts due under finance leases.FURTHER INFORMATION142Antofagasta plc Annual Report and Financial Statements 2007
Mining Production and Sales, Transport andWater StatisticsFor the year ended 31 December 20072007 2006Q1 Q2 Q3 Q4 Year YearGroup TotalTotal copper production volume (‘000 tonnes) 105.9 106.1 100.6 115.4 428.1 465.5Total copper sales volume (‘000 tonnes) 106.3 107.8 84.6 129.8 428.5 467.8Total molybdenum production volume (‘000 tonnes) 2.1 2.8 2.5 2.7 10.2 9.8Total molybdenum sales volume (‘000 tonnes) 2.2 2.7 2.5 2.6 10.0 9.9Weighted average realised copper price (cents per pound) 297.1 380.2 371.2 277.2 326.6 329.5Realised molybdenum price (dollars per pound) 27.4 33.6 33.5 32.0 31.7 24.6Weighted average cash costs (cents per pound)– excluding by-product credits and tolling charges 76.2 94.0 94.3 97.8 90.6 68.0– excluding by-product credits 93.4 115.3 116.7 117.0 110.7 95.6– net of by-product credits 35.8 24.8 30.1 35.5 31.6 40.2Los Pelambres (60% owned)Daily average ore treated (‘000 tonnes) 125.0 126.0 120.9 133.3 126.3 127.4Average ore grade (%) 0.71 0.70 0.68 0.73 0.71 0.81Average recovery (%) 92.5 91.9 91.1 93.6 92.3 88.7Concentrate produced (‘000 tonnes) 186.5 202.6 208.8 274.3 872.1 842.6Average concentrate grade (%) 39.6 36.5 32.9 30.7 34.5 39.9Fine copper in concentrate (‘000 tonnes) 73.1 73.6 68.9 84.5 300.1 335.2Payable copper in concentrate – production volume (‘000 tonnes) 70.7 71.1 66.6 81.6 289.9 324.2Payable copper in concentrate – sales volume (‘000 tonnes) 71.9 71.3 49.7 96.5 289.4 324.8Average moly ore grade (%) 0.033 0.030 0.027 0.030 0.030 0.028Average moly recovery (%) 66.7 75.6 78.7 76.8 74.2 76.1Payable moly in concentrate – production volume (‘000 tonnes) 2.1 2.8 2.5 2.7 10.2 9.8Payable moly in concentrate – sales volume (‘000 tonnes) 2.2 2.7 2.5 2.6 10.0 9.9Realised copper price (cents per pound) 304.8 392.6 387.2 267.9 328.3 335.0On-site and shipment costs (cents per pound) 64.7 82.0 77.3 80.6 76.3 56.4Tolling charges for concentrates (cents per pound) 25.7 31.9 33.8 27.3 29.6 39.7Cash costs (before by-product) (cents per pound) 90.4 113.9 111.1 107.9 105.9 96.1By-product credits (cents per pound) (86.3) (135.2) (130.8) (115.4) (116.7) (79.7)Cash costs (cents per pound) 4.2 (21.3) (19.6) (7.5) (10.8) 16.4El Tesoro (100% owned; 61% until 24 August 2006)Daily average ore treated (‘000 tonnes) 27.8 26.3 24.7 28.5 26.8 28.7Average ore grade (%) 1.21 1.25 1.27 1.19 1.23 1.16Average recovery (%) 77.4 77.3 79.4 77.0 77.8 78.1Copper cathodes – production volume (‘000 tonnes) 23.6 23.2 22.5 23.7 93.0 94.0Copper cathodes – sales volume (‘000 tonnes) 22.2 24.6 23.8 22.7 93.3 95.3Realised copper price (cents per pound) 278.9 360.5 358.7 307.1 327.6 316.4Cash costs (cents per pound) 87.4 106.5 116.9 128.6 109.8 78.6Michilla (74.2% owned)Daily average ore treated (‘000 tonnes) 15.2 15.4 15.1 13.7 14.8 15.2Average ore grade (%) 1.04 1.04 1.04 1.00 1.03 1.05Average recovery (%) 81.2 78.3 78.3 78.5 79.1 78.2Copper cathodes – production volume (‘000 tonnes) 11.6 11.8 11.4 10.2 45.1 47.3Copper cathodes – sales volume (‘000 tonnes) 12.2 11.9 11.1 10.6 45.8 47.7Realised copper price (cents per pound) 284.8 346.5 326.5 297.0 313.8 318.5Cash costs (cents per pound) 123.1 141.4 148.8 163.4 143.5 126.4Transport (100% owned)Rail tonnage transported (‘000 tons) 1,253 1,301 1,195 1,259 5,008 4,486Road tonnage transported (‘000 tons) 321 342 340 309 1,313 1,456Water (100% owned)Water volume sold – potable and untreated (‘000m 3 ) 10,069 9,740 9,679 10,369 39,858 37,798Notesa) The production figures represent the total amounts produced for each mine, not the Group’s attributable share for each mine.b) Los Pelambres produces copper and molybdenum concentrates, and the figures for Los Pelambres are expressed in terms of payable metal contained in concentrate.The copper concentrate also contains gold and silver, for which Los Pelambres is credited when the concentrate is sold. El Tesoro and Michilla produce coppercathodes with no by-products.c) Cash costs are a measure of the cost of operational production expressed in terms of cents per pound of payable copper produced. Cash costs are stated net ofby-product credits and include tolling charges for concentrate for Los Pelambres. Cash costs exclude depreciation, financial income and expenses, hedging gains andlosses, exchange gains and losses and corporation tax for all three operations. By-product calculations do not take into account unrealised mark-to-market gains formolybdenum at the beginning or end of each period.d) Water volumes include water transportation of 300,000 m 3 in Q1, 266,000 m 3 in Q2, 348,000 m 3 in Q3 and 343,000 m 3 in Q4, totalling 1,258,000 m 3 for 2007(2006 – 1,604,000 m 3 ).d) The Q4 2007 water volumes include 77,000 m 3 of water supplied during the first nine months of 2007 but not originally recorded within those periods.e) The totals in the table may include some small apparent differences as the specific individual figures have not been rounded.Antofagasta plc Annual Report and Financial Statements 2007 143FURTHER INFORMATION
Page 1:
ANTOFAGASTAAnnual Report and Financ
Page 4 and 5:
Highlights• Net earnings up 2.1%
Page 6 and 7:
Highlights continued471.8 498.4 467
Page 8 and 9:
CHAIRMAN’S REVIEWChairman’s Rev
Page 10 and 11:
Page 12 and 13:
A R G E N T I N ACHAIRMAN’S REVIE
Page 14 and 15:
Page 16 and 17:
Page 18 and 19:
Page 20 and 21:
Page 22 and 23:
Page 24 and 25:
Financial ReviewFINANCIAL REVIEWBas
Page 26 and 27:
Financial Review continuedFINANCIAL
Page 28 and 29:
Page 30 and 31:
Page 32 and 33:
Page 34 and 35:
Page 36 and 37:
Page 38 and 39:
Corporate Social ResponsibilityCSR
Page 41 and 42:
TransportationThe Antofagasta Railw
Page 43 and 44:
Other international and national st
Page 45 and 46:
Organisations of which Group compan
Page 47 and 48:
Compensation, recruitment and reten
Page 49 and 50:
CSR REPORTEl Tesoro promotes a cult
Page 51 and 52:
• health and safety issues are mo
Page 53 and 54:
Native vegetation at the Choapa Val
Page 55 and 56:
existing naturally in the Andean re
Page 57 and 58:
saponaria), Espino (Acacia caven),
Page 59 and 60:
• The “Together We Can Grow Mor
Page 61 and 62:
Awards and RecognitionDuring the ye
Page 63 and 64:
special dividend. The total cost of
Page 65 and 66:
EnvironmentThe Group seeks to ensur
Page 67 and 68:
Antofagasta Railway Company plc (ra
Page 69 and 70:
Information and professional develo
Page 71 and 72:
Company, for safeguarding the asset
Page 73 and 74:
Statement of Compliance withthe Det
Page 75 and 76:
Non-Executive Directors’ feesThe
Page 77 and 78:
Audited InformationDirectors’ rem
Page 79 and 80:
Basis of audit opinionWe conducted
Page 81 and 82:
Consolidated Balance SheetAt 31 Dec
Page 83 and 84:
Consolidated Statement of Changes i
Page 85 and 86:
2 Principal Accounting Policiesa) A
Page 87 and 88:
2 Principal Accounting Policies con
Page 89 and 90:
Page 91 and 92:
Page 93 and 94: 2 Principal Accounting Policies con
Page 95 and 96: 4 Revenue and Total Profit from Ope
Page 97 and 98: 5 Segment Information continueda) P
Page 99 and 100: 5 Segment Information continueda) P
Page 101 and 102: 6 Profit for the YearProfit for the
Page 103 and 104: 8 Net Finance IncomeNet finance inc
Page 105 and 106: 11 DividendsAmounts recognised as d
Page 107 and 108: 13 Property, Plant and EquipmentLan
Page 109 and 110: 16 Investment in Associate2007 2006
Page 111 and 112: 19 Inventories2007 2006US$m US$mRaw
Page 113 and 114: 22 Borrowings continued(ii)Other lo
Page 115 and 116: 22 Borrowings continuedd) Maturity
Page 117 and 118: 24 Financial Instruments and Financ
Page 127 and 128: 26 Deferred Tax continuedAt 31 Dece
Page 129 and 130: 29 Minority InterestsThe minority i
Page 131 and 132: 33 Notes to the Consolidated Cash F
Page 133 and 134: 37 Related Party Transactions conti
Page 135 and 136: 38 Contingent Assets and Contingent
Page 137 and 138: 40A Basis of Preparation of the Bal
Page 139 and 140: 40D Subsidiaries continueda) Invest
Page 141 and 142: 40G Independent Auditors’ Report
Page 143: Dividends to Ordinary ShareholdersD
Page 147 and 148: A ‘Measured Mineral Resource’ i
Page 149 and 150: Notes to Ore Reserve and Mineral Re
Page 151 and 152: GDPGross Domestic Product.Governmen
Page 153 and 154: TC/RCTreatment and refining charges
Page 155 and 156: Directors and AdvisorsDirectorsJ-P
show all

Annual Report 2007 - Antofagasta plc

Create successful ePaper yourself

Delete template?

Save as template?