Australia: FMG's iron ore shipments edge up by 6% q-o-q in Q2CY'23, guidance increases

Fortescue Metals Group (FMG), Australia's leading miner, has released its operational results for the June quarter. Iron ore shipments in second quarter of calendar year 2023 (Q2CY'23) were recorded at 48.9 million tonnes (mnt), up by 6% q-o-q.

However, shipments fell by 1% y-o-y as against 49.5 mnt in Q2CY'22.

Iron ore production rise in Q2

Total mined ore for the second quarter rose to 52.7 mnt, increased by 5% q-o-q. Output decreased by 11 % y-o-y compared to 59.2 mnt in the same quarter last year.

FMG's production

Production guidance

Shipment guidance for FY'24: Based on the continued strong operating performance in Q2CY'23, the guidance for iron ore shipments has increased to 192- 197 mnt against previous 187-192 mnt.
Cost guidance for FY'24: Cost guidance remained unchanged at $18.00-19/wmt.

Fiona Hick, Fortescue Chief Executive Officer, said: "The Fortescue team has delivered outstanding results for the June quarter, with iron ore shipments of 48.9 million tonnes, contributing to our highest ever annual shipments of 192 million tonnes, achieving the top end of shipments guidance.'

"Fortescue recently celebrated several milestones, including first magnetite concentrate production from Iron Bridge. Iron Bridge is a large and complex project, and its successful construction is a true demonstration of our Values. I want to thank everyone who has been involved. It signifies Fortescue's entry into the high-grade iron ore market segment which enables us to provide our customers with an enhanced product offering," Fiona Hick further said.