FORTESCUE Metals Group has recorded record shipments in the midst of the COVID-19 crisis.
Reflecting strong operating performance and resilient demand, the miner’s latest Quarterly Report showed record third quarter iron ore shipments of 42.3mt, 10pc higher than Q3 FY19, and year-to-date shipments at a record 130.9mt.
C1 costs of US$13.27/wet metric tonne (wmt) were 2pc lower than Q3 FY19 costs of US$13.51/wmt, while robust demand for Fortescue products delivered average revenue of US$73/dry metric tonne (dmt).
Based on the strong operating performance year-to-date, guidance for FY20 shipments has been upgraded to 175-177mt.
Fortescue Chief Executive Officer Elizabeth Gaines said the strong operating performance in the March quarter underpinned an upgrade to its full year guidance for shipments.
“Fortescue is a core supplier of iron ore to China and we see strong ongoing demand for our products and anticipate a steady recovery in economic activity in that market,” she said.
“While the global economic outlook remains uncertain, our balance sheet has never been stronger and we continue to generate sustained cashflows and jobs, invest in growth and focus on delivering returns to our shareholders.”
Ms Gaines highlighted FMG’s response to the unprecedented global COVID-19 health pandemic and economic crisis.
“We are committed to ensuring robust plans are implemented to prevent the spread of infection to any of our sites, with a temporary extended operational roster introduced to reduce people movement, as well as measures to monitor the health of all team members and support best practice physical distancing at our operations,” she said.
