The City News: Rio Tinto plc (RIO), Antofagasta plc (ANTO), Prudential plc (PRU) & More

Editor’s Note: Related tickers: Rio Tinto plc (LON:RIO), Antofagasta plc (LON:ANTO), Anglo American plc (LON:AAL), Prudential plc (LON:PRU), MAN GROUP PLC ORD USD0.03428571 (LON:EMG), Glencore Xstrata PLC (LON:GLEN), BHP Billiton Limited (NYSE:BHP), Bank of America Corp (NYSE:BAC)

A Deeper Look at South Africa’s Commodity IndustryRio Tinto to press on with iron ore expansion plans (Reuters)
Rio Tinto plc (LON:RIO), the world’s No.2 iron ore miner, is set to press on with plans to boost production at its Australian mines by a quarter by 2015, shrugging off pressure to slow spending and conserve cash as the commodity boom cools. In spite of forecasts of a looming global supply glut, shareholders expect Chief Executive Sam Walsh to tell the firm’s annual general meeting in Sydney on Thursday that it’s full speed ahead with a 70 million tonnes-per-year increase that will take output to 360 million tonnes annually by 2015. The plan means that a major additional chunk of iron ore production will enter the world market in the next few years and will add to concerns about increased supply that could weigh on a recovery in prices.

Australia’s Biggest Coal Port Faces Industrial Action (WSJ)
Unions representing workers at Australia’s biggest coal-export terminal have threatened imminent industrial action as a row with Port Waratah Coal Services, or PWCS, over job security escalates. Rio Tinto plc (LON:RIO) and Glencore Xstrata PLC (LON:GLEN) are major shareholders in PWCS, which exports coal mostly to Japan and China. The terminal handles more than 105 million metric tons of coal annually at its facilities in the city of Newcastle in Australia’s New South Wales state. Both companies use the terminal for their coal exports.

Antofagasta plc Given Buy Rating at Beaufort Securities (ANFGY) (MideastTime)
Beaufort Securities reissued their buy rating on shares of Antofagasta plc (LON:ANTO) in a report released on Thursday, Analyst Ratings Network.com reports. Shares of Antofagasta plc (LON:ANTO) traded up 0.53% during mid-day trading on Thursday, hitting $30.59. Antofagasta plc has a 52 week low of $26.65 and a 52 week high of $45.31. The stock’s 50-day moving average is currently $30.5. The company has a market cap of $15.079 billion and a P/E ratio of 14.53. Other equities research analysts have also recently issued reports about the stock. Analysts at Morgan Stanley reiterated an underweight rating on shares of Antofagasta plc (LON:ANTO) in a research note to investors…

Antofagasta quarterly copper output rises 13pct on Esperanza Mine (SteelGuru)
Antofagasta plc (LON:ANTO) Q1 output rose 13% on increased production at its Esperanza mine. Copper output advanced to 183,800 tonnes from 162,900 tonnes a year earlier. Volumes declined 5.2% from the previous 3 months after maintenance in March caused lower production at its Los Pelambres mine. Production at Esperanza surged to 47,900 tonnes of copper from 30,500 tonnes a year earlier while declining from 49,400 tonnes in the previous three months.

Anglo American’s Hold Rating Reaffirmed at Liberum Capital (AAL) (UtahPeoplesPost)
Anglo American plc (LON:AAL)‘s stock had its “hold” rating reiterated by investment analysts at Liberum Capital in a note issued to investors on Friday, ARN reports. Anglo American plc (LON:AAL) traded up 4.30% on Friday, hitting GBX 1635.50. Anglo American has a 52-week low of GBX 1540.00 and a 52-week high of GBX 2399.50. The stock’s 50-day moving average is currently GBX 1907.. The company’s market cap is £20.852 billion. A number of other firms have also recently commented on AAL. Analysts at UBS AG cut their price target on shares of Anglo American plc (LON:AAL) from GBX 2,000 ($30.97) to GBX 1,720 ($26.64) in a research note to investors on Tuesday.

S.Africa’s coal exports fall in April (Reuters)
South Africa’s Richards Bay Coal Terminal (RBCT) exported 6.24 million tonnes of coal in April, down from 7.49 million tonnes the previous month, RBCT data showed on Monday. South Africa – a major exporter of coal to power stations in Europe and Asia – had 3.61 million tonnes of stock at the terminal at the end of April, RBCT said. Coal producers in South Africa include Anglo American plc (LON:AAL), BHP Billiton Limited (NYSE:BHP), Exxaro EXXJ.J and Xstrata XTA.L.

Prudential’s Sales Beat Estimates on Growing Hong Kong Demand (BusinessWeek)
Prudential plc (LON:PRU), the U.K.’s biggest insurer by market value, said first-quarter revenue rose 8 percent, beating analysts’ estimates on higher demand for life and health insurance in Hong Kong and Indonesia. Sales, measured on an annual premium equivalent basis, climbed to 1.04 billion pounds ($1.6 billion) from a year earlier, beating the 1.02 billion-pound average estimate of 15 analysts surveyed by the company. Profit from new business increased 5 percent to 563 million pounds, topping the 555 million-pound analyst estimate. …Prudential plc (LON:PRU)’s sales in southeast Asian countries such as Indonesia, Singapore and Malaysia has strengthened the firm’s position in what it called the most long-term profitable insurance market in the world and has raised its dividend by 53 percent since 2009.

Business needs action, not more legislation (Telegraph)
With pomp, ceremony and all the regalia of the Household Cavalry, the Queen will on Wednesday be escorted from Buckingham Palace to Westminster to deliver Her Most Gracious Speech. The performance has been played out since the 16th century but this year, with respect, it seems many of her loyal subjects rather wish that Her Majesty would stay at home. …It also promised that an independent commission would be established to look at breaking up banks into their retail and investment banking arms. In practical terms, the Bill has delivered. The new regulatory structure started on April 1 this year, when the Financial Services Authority was dissolved and replaced by the Financial Conduct Authority and the Prudential plc (LON:PRU) Regulation Authority.

Man Group PT Raised to GBX 170 at Bank of America (EMG) (DailyPolitical)
Analysts at Bank of America Corp (NYSE:BAC) boosted their price target on shares of MAN GROUP PLC ORD USD0.03428571 (LON:EMG) from GBX 150 ($2.33) to GBX 170 ($2.65) in a research report issued to clients and investors on Tuesday, Stock Ratings Network.com reports. The firm currently has a “buy” rating on the stock. Several other analysts have also recently commented on the stock. Analysts at Oriel Securities Ltd reiterated a “buy” rating on shares of MAN GROUP PLC ORD USD0.03428571 (LON:EMG) in a research note to investors on Friday. They now have a GBX 115 ($1.79) price target on the stock. Separately, analysts at Credit Suisse reiterated a “neutral” rating on shares of MAN GROUP PLC ORD USD0.03428571 (LON:EMG) in a research note to investors on Friday.

Man Group plc (LON:EMG) reveals disappointing first-quarter client outflows. (Fool)
The shares of MAN GROUP PLC ORD USD0.03428571 (LON:EMG) surged 9% to 116p during early London trade this morning, after the hedge fund firm revealed it will repurchase all of its debt securities with surplus cash. Man announced that after a change in the company’s regulatory status, a whole $470m of surplus cash would be freed up to redeem the debt, saving the group $78m a year in interest charges. However, this news masked…