In the first quarter, mine production increased 12.6% year-on-year

This week, the four major mines (Rio, Vale, BHP Billiton, and FMG) have released production data for the first quarter. According to the statistics of this reporter, the output of the four major mines increased by 27.3 million tons in the first quarter, an increase of 12.6%. It is conservatively predicted that the annual output growth of the four major mines will exceed 100 million tons.

Rio Tinto's output increased 12% year-on-year

On April 21, Rio Tinto released its first quarter 2015 production report. The report pointed out that during the quarter Rio Tinto shipped 72.5 million tons of iron ore globally (57.3 million tons according to the shareholding of Rio Tinto), which was 9% higher than the first quarter of 2014, but was lower than the fourth quarter of 2014. 12%; The global iron ore production is 74.7 million tons (by Rio Tinto, which accounts for 59.4 million tons), which is 12% higher than the same period in 2014.

Says William Welsh, chief executive of Rio Tinto, said: "As Rio Tinto continues to improve efficiency at all levels of its business, production in the first quarter has grown steadily. By maximizing Rio Tinto's high quality assets, low cost, and operational and commercial capabilities. With such advantages, our goal is to ensure the company's profitability in the event of a price drop and maximize shareholder returns."

BHP Billiton production up 20% year-on-year

On April 22, BHP Billiton issued a report for the first three quarters of fiscal year 2015. The report shows that BHP Billiton's iron ore production during the quarter was 58.97 million tons, an increase of 20% year-on-year and a 5% increase from the previous quarter; in the first three quarters of fiscal 2015, BHP Billiton The output of iron ore reached 172 million tons, an increase of 17% compared with the same period in FY2014.

BHP Billiton CEO Mai Anzhe said: "In the iron ore field, our focus is to continuously improve efficiency in order to reduce the cost of iron ore mining in the Western Australian mining area. At present, our iron ore cash cost is less than 20 US dollars / ton. ”

In the report, it is expected that the output of the Western Australia Mining Area in fiscal year 2015 will reach 250 million tons. In addition, BHP Billiton pointed out that due to the unexpected construction of infrastructure, the Inner Harbor Debottlenecking project was temporarily postponed, which will not allow it to achieve the target production of 290 million tons so quickly.

FMG production increased 20% year-on-year

Recently, FMG released its report for the third quarter of 2015 fiscal year (January to March 2015). During the quarter, FMG's iron ore production was 35.5 million tons, a year-on-year increase of 20% and a month-on-month decrease of 19%. Shipping shipments were 40.4 million tons, a year-on-year increase of 28% and a month-on-month decrease of 2%.

It is reported that FMG increased its guidance for shipments in fiscal year 2015 to 160 million tons to 165 million tons. After the construction of the fifth berth at Port Elite was completed, FMG had completed all expansion investment and reduced future sustainable capital expenditures.

During the quarter, FMG’s cash cost was US$25.9 per wet-ton, which was a decrease of 9% from the previous quarter; landed cost was US$34 per ton, a decrease of 17% from the previous quarter. The company plans to reduce production costs to $20/wet ton in June 2015. The cash cost guidance for the next quarter is targeted at US$23/weetton to US$24/wet ton, and in FY2015 it is US$26/wet to US$27/wet ton (at an average exchange rate of 1 AUD and US$0.77), while The cash cost guidance target for FY16 is US$18/t.

In addition, on April 23, FMG issued an announcement that it will issue 2.3 billion U.S. dollars senior guaranteed notes at an interest rate of 9.75% per annum, with a issuance time of 7 years and no redemption for the first 3 years. The ** will be completed on April 27th. . FMG expects that this ** will bring approximately 2,203 million U.S. dollars in net income (in addition to discounts and commission costs) to FMG. This income will be used to redeem senior unsecured notes for 2017 and 2018, convert some of the 2019 notes, and pay, redeem, and buy back ** expiring in 2019.

FMG President Pannaway said: "Despite the market fluctuations caused by the oversupply of iron ore, we have made persistent efforts to reduce costs and ensure that we continue to create cash profits. At the end of the quarter, the cash balance has increased to $1.8 billion."

Vale's output hits a record high

On April 23, Vale released the first quarter production report. Vale's strong performance in the first quarter of 2015 resulted in an output of 74.5 million tons of iron ore (not including the acquisition of production from third parties and production at the Samarco joint venture plant), an increase of 4.8% from 71.06 million tons in the first quarter of 2014. The highest level in history over the same period. Among them, Carragaz's output reached 27.5 million tons, setting a record high in the same period in history.

In December 2014, the Carlos N4WS mine was put into operation, which will not only further increase production, but will also reduce the stripping ratio and shorten the average haulage distance. N4WS is part of the world-class project N4W orebody, with proven and possible reserves of 1.346 billion tons and an average iron content of 66.5%.

In the first quarter, the output of Vale's pellets reached 11.4 million tons (not including the 3.5 million tons of Samarco joint-venture production), which was the same as in the fourth quarter of 2014 and 1.5 million tons more than the same period of last year, thanks to the figure. Increased production at the Palang 8 pellet plant.