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The trend of weaker prices and still-rising costs has
battered the major miners that have reported so far, including Brazil's Vale
which posted its worst earnings in two years when it reported second-quarter
results earlier this week.
Anglo, the first UK-listed mining major to report first-half
earnings, came in below expectations with a 38% drop in operating profit to
$3.7bn, below a company-compiled consensus forecast of $4bn.
Underlying earnings per share came in at $1.38, almost half
the level for the same period last year and again below expectations.
Anglo units Kumba Iron Ore [JSE:KIO], Anglo Platinum [JSE:AMS] and De Beers have all
reported a weak first half.
Kumba, which Anglo regards as one of its most promising
assets, saw profits drop 18%, while Anglo's share of De Beers profits fell over
40% and earnings at the platinum unit were down almost 80%.
Anglo, facing challenges in its efforts to secure licences, has also been forced to delay the shipment of first ore from its key Minas Rio iron ore project in Brazil to the second half of 2014.
Anglo American shares were down 2.76% to R248.75 on Friday morning.
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