Vedanta: Iron Ore Production Up 7.3 MnT, Apr-Dec’16

Mining conglomerate – Vedanta has recently announced its production performance for Q3 FY17. The company reported saleable iron ore production of 2.7 MnT iron ore in Q3 FY17 against 1.4 MnT in the previous quarter.

It is to be noted that Vedanta remained the largest iron ore exporter in FY16. As per customs data maintained with SteelMint, Vedanta exported 2.29 MnT iron ore. So far in FY17 (till Dec’16) Vedanta has remained the largest exporter at 4.89 MnT.

Below are company’s key performance highlights in FY17:

1. The company reported saleable iron ore production of 2.6 MnT in Q3 FY17, up 86% Y-o-Y. In Q3 FY16, its iron ore production was recorded at 1.4 MnT.

2. From Apr-Dec’16, Vedanta produced 7.3 MnT saleable iron ore against 2.4 MnT in the same period last fiscal.

3. Out of 7.3 MnT saleable iron ore produced so far in this fiscal, 5.2 MnT was from mines in Goa and remaining 2.1 MnT was produced from its Karnataka mines.

4. Mining activities in Goa resumed post monsoon season and hence production was significantly higher.

5. Company’s annual mining allocations of 5.5 MnT and 2.3 MnT for Goa and Karnataka, respectively, are expected to be achieved in the current month. Vedanta has been engaged with the respective state governments for an increase in the mining caps. The Goa government has granted additional mining allocation to Vedanta for the current fiscal year, and the company expects to produce an additional 2 to 3 MnT this year.

Vedanta’s iron ore production & sales in FY17

Fig in MnT
Source: Company reports