Cargoes from the world’s largest iron ore shipping hub, Australia’s Port Hedland have registered a growth of 7.9% in iron ore exports. Port Hedland exported around 39.5 MnT iron ore in Mar’16.
Volume of exports surged around 7.9% M-o-M as compared to Feb’16 which was 36.6 MnT. On similar lines, exports grew 7.9% on Y-o-Y basis too as it was 36.6. MnT in the same consecutive month last year.
Australia, being one of the largest exporter of iron ore, exports majority of the iron ore to China. In Mar’16, Port Hedland shipped around 82.2% of iron ore to China which is 32.5 MnT, up by 12% M-o-M basis. Last year in Mar’15, exports remained at 31.2 MnT to China.
Strong iron ore exports from Australia has supported an upturn in global iron ore prices in China. Currently, global iron ore prices for Fe 62% Australian fines are witnessed at USD 54/MT, CFR China, which is expected to remain within the range of USD 50-55/MT in April.
Adding supplies from Australia this year, Rinehart’s Roy Hill project, which is ramping up output of 55 MnT per year will also be supplied from Australia’s Port Hedland. Meanwhile, BHP Billiton and Fortescue Metals Group (FMG) has set a production target of 237 MnT and 165 MnT respectively for FY16, ending on June 30 (Australian financial year starts from 01 July and ends on 30 June). With the upcoming increased production plans from these big mining companies, iron ore exports from Australia is likely to increase in the coming fiscal.
Port Hedland has delivered a total throughput of around 446 MnT iron ore in 2015. BHP Biliton and FMG (Fortescue Metals Group) exports iron ore mainly from Australia’s Port Hedland.
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