Rio Tinto PLC continues to increase its iron ore production despite the recent history of poor prices and fears of a glut on world markets.
Q3 production of iron ore was 86.1 Mt, 12% higher than the same quarter of 2014 and 8% above the Q2 2015 quarter. This takes YTD production (100% basis) to 240.4 Mt, an 11% increase on the first nine months of 2014. The company reports that the increase was due to productivity gains and the ramp-up of operations. The key elements of the 40 Mt/y Pilbara infrastructure brownfield expansions were completed at West Angelas, Nammuldi and Brockman mines.
The Pilbara operations produced 227.6 Mt (Rio Tinto share: 185.1 Mt) in the first nine months of 2015, 11% higher than the same period of 2014. As well as the expansion, operations benefitted from favourable weather conditions.
Rio Tinto’s expected 2015 global iron ore shipments are unchanged at around 340 Mt (100% basis), from its operations in Australia and Canada.
Elsewhere, bauxite production was up 4% YTD and hard coking coal production was up 10%. Mined copper output, however, fell by 17% and thermal coal production was down 3% YTD. Lower copper production from Bingham Canyon and Grasberg was offset partially by increased production at Escondida and Oyu Tolgoi.
Rio Tinto expands iron ore production: RIO