Glencore (GLNCY.US) maintains its full-year production guidance for metals and will decide next week whether to split its coal business.

Glencore (GLNCY.US) maintained its 2024 production guidance for most metals on Wednesday and raised its coal production guidance, reflecting the acquisition of Teck Resources' coal business. Glencore said it would announce whether it would spin off its coal assets in its next week's interim results.

The miner and trader completed the acquisition of most of Teck's coal business this month.

The CEO of the company said, "We are currently in consultation with our shareholders to assess their views on a potential spin off of our coal and carbon steel materials business," "We hope to announce the outcome of this engagement and the board's decision … (in) next week."

Glencore is already the largest thermal coal producer and expects its output this year to be between 98mn and 106mn tonnes. The steel coal output after the acquisition will increase from 700,000 tonnes to 19mn to 21mn tonnes in 2024.

It was reported in March that more Glencore investors want the company to continue mining coal instead of spinning off its expanding subsidiary, as they are concerned about the company's financial outlook and the environmental benefits of keeping coal inside.

Although a spin off could lead to higher share prices, critics say that assets spun off often end up in private hands, with longer operating times and less investor scrutiny, which could lead to worse climate outcomes.

Glencore said it would reduce its thermal coal assets responsibly.

Chris LaFemina, analyst at Jefferies, said: "A coal spin off is highly unlikely and … the acquisition of EVR from Teck would be a significant positive for Glencore as it is the world's highest quality coking coal business and has a large lead."

Glencore announced that its copper, nickel, zinc, coal and cobalt production fell below expectations in the first half.

Copper, a critical metal for energy transition applications, Glencore maintained its overall guidance for copper at between 950,000 and 1.01mn tonnes for 2024, with copper production of 462,600 tonnes in the first six months.