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| Grupo Mexico |
Grupo Mexico zinc output soars on a strategic pivot toward the Buenavista Zinc project. The company paused copper mining there in May–June. As a result, Grupo Mexico zinc output soars 56pc to 45,899t in 2Q, while copper slipped 1.3pc to 267,325t. Despite mixed metals performance, mining revenue fell 2.2pc year on year. The headline: Grupo Mexico zinc output soars, but copper softness trimmed the top line.
Zinc shift lifts tonnage, copper pause weighs on sales
Management prioritized zinc at Buenavista and halted copper mining temporarily. This drove the sharp zinc gain but cut copper volumes. Meanwhile, molybdenum, silver, and gold production rose modestly. However, the copper decline still outweighed these gains. Mining revenue eased to $3.32bn, reflecting the lower copper output.
Costs, earnings, and logistics round out the quarter
Earnings in the mining division edged lower alongside revenue. Therefore, EBITDA softened slightly year on year. The company’s railroad arm moved 491,257 carloads in May–June. That was down 6.5pc year on year, but slightly above first-quarter levels. Logistics trends remain mixed as industrial activity normalizes.
The Metalnomist Commentary
Zinc momentum shows the benefit of flexible mine plans when copper underperforms. Yet copper remains the core earnings lever. Watch copper run-rates post-pause and realized prices; they will set second-half cash flow cadence.
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