Fortescue achieves record year-to-date shipments of iron-ore
24th April 2023
By: Marleny Arnoldi
Creamer Media Contributing Editor Online
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Australian iron-ore miner Fortescue Metals has achieved record iron-ore shipments in the nine months ended March 31 of 143.1-million tonnes.
A strong performance in the quarter ended March 31, in particular, of 46.3-million tonnes shipped, will help the company achieve an average C1 cost for hematite at the lower end of the yearly guidance range.
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The C1 cost guidance is between $18/t and $19.75/t, while iron-ore shipment guidance is maintained at between 187-million and 192-million tonnes.
Fortescue recorded an average revenue of $109/t, realising 87% of the average spot price in the third quarter of the financial year.
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Notably, Fortescue produced the first wet concentrate from the Iron Bridge magnetite ore processing facility on April 21, ahea of being pumped to Port Hedland. This marks a significant milestone for the company, as Iron Bridge represents its entry into the highest grade segment of the iron-ore market, providing an enhanced product range, while increasing production and shipping capacity. Iron Bridge will deliver 22-million tonnes a year of high-grade 67% magnetite concentrate.
The company also completed construction at the Fortescue Future Industries (FFI) electrolyser manufacturing facility, in Gladstone, while other priority FFI projects are under way in the US, Australia, Brazil, Kenya and Norway.
FFI is taking a global leadership position in green energy and products.
Next, work on fitting out the electrolyser manufacturing facility in Gladstone with an automated production line and testing facilities will start soon, as well as a zoning plan process for a 300 MW green hydrogen and green ammonia facility at the Norwegian Holmaneset project.
Fortescue has also signed an investment support and implementtion agreement with the Kenyan government, which outlines a commercial framework for the potential development of a 300 MW green ammonia and fertiliser facility in the country.
Meanwhile, Fortescue’s gross debt remains unchanged at $6.1-billion as at March 31, with net debt sitting at $2.1-billion.
