Diversified miner Anglo American is targeting incremental yearly earnings before interest, taxes, depreciation and amortisation (Ebitda) of between $3-billion and $4-billion by 2022.

CE Mark Cutifani on Tuesday said the group had completely transformed the quality of its asset portfolio and its performance as a whole over the last five years.

The ambitious earnings will come from a combination of meeting or surpassing industry best-practice equipment performance across the company’s operations, volume growth from existing and new operations, such as the Quellaveco copper project, in Peru, and the deployment of Anglo’s FutureSmart Mining technologies and digitalisation.

“It is these technologies that will transform how we mine, process and market our products, providing the next step change in our performance.”

Meanwhile, Anglo expects production for this year to be 2% above previous guidance and costs about 5% below previous guidance. The company anticipates production to increase by 3% in 2019, with cost inflation fully absorbed by its productivity and cost improvements.

Subsequently, Anglo expects a 5% production increase in both 2020 and 2021.

Meanwhile, the group has managed to reduce its net debt by more than $9-billion over the last three years and it paid almost $2-billion in dividends to shareholders in the last 18 months.

Anglo reported that the group was well positioned to drive enhanced returns through its capital allocation options, maintaining a strong balance sheet while delivering attractive shareholder returns and value-adding, disciplined growth.

“Anglo’s portfolio spans the products and product qualities that will supply the needs of a cleaner, more electrified and richer world. We have a well sequenced range of high-returning, quick payback growth options, from life extensions in diamonds and metallurgical coal, to growth across our copper, diamonds and metallurgical coal businesses, in particular.

“Combined with our multistakeholder focus to create a truly sustainable business, we believe we are set to keep delivering on all fronts.”