Coronavirus company news summary – Codelco to spend $210m to keep mines operating – Codelco to spend $210m to keep mines operating – Philippines mining industry maintains stability through pandemic

3 December 2020 (Last Updated December 3rd, 2020 10:04)

3 December

Hummingbird Resources expects the production from its Yanfolila gold mine in Mali this year to be lower than the guidance estimates. The mine poured around 93,000oz of gold in the January-November period as it withstood extreme weather conditions in a particularly difficult rainy season. Hummingbird is expected to fall short of its 2020 guidance of 110,000oz to 125000oz owing to various factors including a military coup in the country and logistical issues induced by the Covid-19 pandemic.

Chile’s state-owned miner Codelco is planning to spend $210m by year-end on implementing health protocols across all its mines to curb the spread of coronavirus. The company is taking this measure to ensure continuity of mining operations in the event of another wave of Covid-19. Copper production in Chile remained unaffected by the Covid-19 pandemic and the country maintained steady production even at the height of the crisis.

The government of Queensland has noted that coal exports from the state will drop by 8% in FY2020-21, compared with the same period last year due to the coronavirus pandemic and ambiguity over accessing the Chinese market. The exports are expected to drop from 206Mt in 2019-20 to 188Mt in the current year, before bouncing back to 211Mt in 2021-22.

The ongoing pandemic did not impact the mining sector in the Philippines, as the industry managed to maintain higher exports and fewer job cuts. The sector is also capable of propping up the country’s economy, which contracted by 11.5% in September. Despite a few large mines facing temporary suspensions, the industry workforce remained largely unaffected.