Annual Report 2000 in PDF - Antofagasta plc

Financial ReviewBasis of Financial StatementsThe Group’s financial statements on pages 36 to 75 have been prepared in accordance with United Kingdomapplicable accounting standards and the requirements of the Companies Act 1985. The Group’s accountingpolicies and details of new accounting standards adopted in the period are set out in Note 1 to the financialstatements.This financial review is presented in US Dollars, the functional reporting currency of the Group, the principalcurrency in which the Group operates and in which assets and liabilities are held.Review of PerformanceTurnover2000 1999US$mUS$mMining 696.1 93.6Railway and other transport services 70.0 51.9766.1 145.5Group turnover reflected the increased production of the mining division following the start-up ofcommercial production at Los Pelambres. Group copper production rose from 60,500 tonnes in 1999 to351,100 tonnes in 2000. Los Pelambres contributed 298,900 tonnes to production and US$603.9 million toturnover. The mining division also benefited from higher copper prices which averaged 82.3 cents per poundin 2000 compared with 71.3 cents per pound in 1999.Turnover from railway and other transport services increased from US$51.9 million to US$70.0 million,principally due to the inclusion for the first time of revenues from Bolivian operations which amountedto US$12.1 million. These revenues are now consolidated following a restructuring of investments at thebeginning of the year. Turnover from existing operations also increased by US$6.0 million, mainly becauseof growth in road transport and ancillary services. Rail tonnages from existing operations also increasedand reached 3.3 million tons compared with 3.1 million tons in 1999.ANTOFAGASTA PLC Annual Report 200018