Shares of Glasgow-based global mining and engineering giant Weir Group edged 2% higher on Tuesday after it published a trading update for the third quarter ending September 30, 2020.
Weir said third-quarter orders were 11% lower on an underlying basis and full year guidance remains withdrawn due to ongoing Covid-19 uncertainty.
However Weir said demand strengthened towards the end of the quarter.
“Demand in mining markets remained broadly resilient, with demand strengthening towards the end of the quarter helped by both the essential status of the industry and supportive commodity prices,” said Weir.
Weir Group CEO Jon Stanton said: “Mining markets remained relatively robust in the third quarter and while Covid-19 continued to impact ore production levels and customer decision making, there was a strengthening in demand towards the end of the period.
“The positive long-term fundamentals for our markets are unchanged, including the key role of essential metals in building the new economy and the need for mining operations to reduce their environmental impact.
“This is reflected in our strengthening project pipeline, particularly for our smarter, more efficient and sustainable solutions.
“We were delighted to agree the sale of the Oil & Gas division, enabling the group’s transformation into a focused, premium mining technology business.
“The transaction remains on track for completion in 2020.”