London, July 1, 2026, 21:02 BST
- Antofagasta (LON:ANTO) closed at 3,778 GBX, slipping 1.10%. Shares moved between 3,706 and 3,840 GBX.
- Antofagasta has reached spot-indexed term concentrate deals with certain Chinese smelters, SMM reported. These deals have a floor, though Antofagasta said negotiations are private.
- The company’s guidance means copper production needs to run between roughly 169,000 and 186,000 tonnes per quarter from Q2 through Q4 to reach its 2026 range of 650,000-700,000 tonnes.
- Antofagasta will report Q2 production on July 15. Half-year results are set for August 13.
Antofagasta plc (LON:ANTO) dropped 1.10% to 3,778 GBX Wednesday, underperforming the FTSE 100 (INDEXFTSE:UKX) after Reuters, via Kitco, reported that the Chilean copper producer agreed on a spot-indexed concentrate sales contract with several Chinese smelters. Davy data showed the stock last traded at 21:02 London time, volume reached 2.2 million shares. Previous close was 3,820 GBX.
This price action wasn’t just about copper. The new detail for investors was on pricing: SMM said Antofagasta agreed to supply copper concentrate on spot-indexed prices with a minimum floor. Reuters reported this would shift from the old fixed TC/RC benchmark. Antofagasta said the talks were private and it hasn’t shared details with third parties.
TC/RCs are where the squeeze is landing in copper concentrates. Argus numbers via Reuters showed spot treatment charges at about minus $126.80 a tonne late last week. The 2026 benchmark sits at zero. That’s tilted talks toward miners with concentrate to sell, giving them more muscle with smelters. But Antofagasta’s reported deal didn’t disclose the floor price, so the direct impact on profits isn’t clear.
Albert Mackenzie, a copper analyst at Benchmark Mineral Intelligence, told Reuters that Antofagasta could see higher revenue with increased spot exposure. “The fact that they are seen as the benchmark negotiator does not necessarily help them,” he said. Mining
Antofagasta lagged a mixed pack of London miners in delayed Wednesday London trading, according to .
| Instrument | Google Finance ticker | Quote shown | Day change |
|---|---|---|---|
| Antofagasta | LON:ANTO | 3,778 GBX at last trade | -1.10% |
| BHP Group | LON:BHP | 3,109p sell, 3,111p buy | +0.29% |
| Anglo American | LON:AAL | 3,721p sell, 3,722p buy | +0.68% |
| Rio Tinto | LON:RIO | 7,096p sell, 7,097p buy | -0.35% |
| Glencore | LON:GLEN | 511.80p sell, 511.90p buy | -0.29% |
| FTSE 100 | INDEXFTSE:UKX | — | -0.18% |
Copper prices offered little support for Antofagasta. The metal dropped to $6.11 a pound on July 1, slipping about 1.3%. For the month, copper gave up roughly 8.1%. But it’s still ahead, up about 18.8% this year, after touching a record $6.67 in June, according to Trading Economics.
The big question is volume now. Antofagasta turned out 143,000 tonnes of copper in Q1, which was a drop of 7.6% year-on-year and down 19.2% from the previous quarter. The miner kept its full-year target at 650,000-700,000 tonnes.
| 2026 copper output path | Full-year target | Q2-Q4 copper still needed | Implied Q2-Q4 average | Average vs Q1 actual |
|---|---|---|---|---|
| Low end guidance | 650,000 tonnes | 507,000 tonnes | 169,000 tonnes a quarter | +18% |
| High end guidance | 700,000 tonnes | 557,000 tonnes | 185,700 tonnes a quarter | +30% |
Q1 wasn’t all bad. Net cash costs dropped 29.9% from a year ago to $1.08/lb, with by-product credits jumping to $1.69/lb as gold and molybdenum contributed more. But cash costs before those credits were up 16.9% at $2.77/lb, so higher input costs are still a factor even with more by-product income.
Chief Executive Iván Arriagada said in April production will go up “quarter-on-quarter” and that “pre-commissioning activities are now underway” at the Centinela second concentrator. Capital expenditure guidance stays at $3.4 billion.
Valuation looks tight. The average 12-month target on Investing.com is about 3,805p. Analysts are split, with five buys, five sells and a neutral overall call. Shares closed Wednesday at 3,778p, off 0.7% from the average target and 15.6% under the 52-week high of 4,475p.
Antofagasta is set to release its next production report on July 15. The half-year results are due out Aug. 13.
