Brazil: Vale's iron ore production rises by 6% y-o-y in Q1CY23

Brazilian miner Vale has registered an increase of 5.8% y-o-y in iron ore production in Q1CY23 (January-March 2023) due to a stronger performance at S11D and better weather conditions in Minas Gerais. Meanwhile, pellet production volumes increased 20% y-o-y in the quarter, driven by higher availability of pellet feed and lower maintenance activities.

Highlights

• Iron ore production was recorded at 66.77 mnt in Q1CY23, an increase of 5.8% y-o-y compared to 63.12 mnt in Q1CY22 (January-March 2022). On a q-o-q basis, output decreased by 17.4% as against 80.85 mnt in Q4CY22 (October-December 2022).
  
  
• Iron ore sales stood at 45.86 mnt in Q1CY23, down by 10.6% y-o-y compared to 51.31 mnt in Q1CY22. Sales dropped by 43.5% q-o-q as against 81.20 mnt in Q4CY22.
  
  
• Pellets output was recorded at 8.3 mnt in Q1CY23, up by 20% y-o-y as against 6.9 mnt in Q1CY22. Production volumes were largely stable q-o-q compared to Q4CY22.
  
  

Other highlights

• Vale's iron ore production guidance remain intact at 310-320 mnt for CY23.
  
  
• Pellets production guidance for this year has been set at 36-40 mnt.