Posted on 28 Oct 2022
Australian iron ore producer Fortescue Metals saw its iron ore shipments for the first quarter of FY23 rise 4% to 47.5 million tonnes from the prior comparable period, Kallanish notes.
Fortescue says the growth reflects strong operating performance across the supply chain and availability of inventory.
The C1 cost of $17.69/ wet metric tonne (wmt) was 3% higher than the previous quarter, and 16% higher than Q1 FY22, largely reflecting the price escalation of key input costs, including diesel and labour rates, partly offset by a lower AUD:USD exchange rate.
Fortescue has maintained its Iron ore shipments guidance of 187mt to 192mt for FY23, including approximately 1mt from Iron Bridge.
The Iron Bridge magnetite project will deliver 22m t/y of high grade 67% Fe magnetite concentrate, with first production scheduled for the March 2023 quarter.
Meanwhile, capital expenditure (excluding Fortescue Future Industries) for FY23 is projected at $2.7 billion to $3.1 billion.
“Against this backdrop of a strong performance for the first quarter, we are well positioned to meet our guidance, execute on our strategy and ensure all our stakeholders continue to benefit from Fortescue’s success," Fortescue executive chairman Andrew Forrest AO says.
Source:Kallanish
