South Africa: Anglo American’s iron ore output declines 4% y-o-y in Q3CY’26

• Kumba’s lower output weighs on overall production
• CY’26 production guidance remains unchanged

Anglo American reported premium iron ore production of 13.80 million tonnes (mnt) in Q3CY’26, down 4% y-o-y from 15.94 mnt in Q3CY’25 and 10% q-o-q from 15.39 mnt in Q2CY’26. The decline was primarily driven by lower output from Kumba, partly offset by improved production at Minas-Rio on an annual basis.

Kumba production declines amid planned maintenance

Kumba’s iron ore production fell 19% y-o-y to 7.50 mnt in Q3CY’26 from 9.25 mnt in the corresponding quarter last year, and declined 15% q-o-q from 8.84 mnt in Q2CY’26. The decline was driven by planned shutdowns at Sishen’s dense-media-separation (DMS) plant to facilitate the main tie-in of the ultra-high-density media separation (UHDMS) project, alongside lower plant feedstock availability at Kolomela.

Kumba’s sales increased 9% y-o-y to 15.75 mnt from 14.41 mnt, although they declined 6% q-o-q. Finished stocks fell to 5.1 mnt from 7 mnt in Q2CY’26, reflecting a drawdown in mine inventories to 2.9 mnt from 4.8 mnt, while port stocks remained stable at 2.2 mnt.

Minas-Rio output rises y-o-y despite q-o-q decline

Minas-Rio’s pellet feed production increased 24% y-o-y to 6.30 mnt in Q3CY’26 from 5.1 mnt, supported by improved plant availability following the pipeline inspection shutdown in the previous year. However, output declined 4% q-o-q from 6.55 mnt in Q2CY’26.

Pellet feed export sales rose 21% y-o-y to 6.05 mnt from 5.02 mnt. The company’s reported q-o-q sales comparison requires clarification, as the supplied figures indicate an increase rather than a decline.

Realised iron ore prices remain under pressure

Anglo American’s average realised premium iron ore price declined 11% y-o-y to $82/wmt FOB in Q3CY’26. Kumba achieved an average price of $86/wmt FOB, while Minas-Rio realised $77/wmt FOB. Minas-Rio benefited from the premium associated with its approximately 67% Fe content, partly offset by sales redirected away from the Middle East conflict area and provisionally priced volumes.

CY’26 production guidance stays

Anglo American retained its CY’26 premium iron ore production guidance at 55–59 mnt, comprising 31-33 mnt from Kumba and 24-26 mnt from Minas-Rio. Kumba’s production is expected to be weighted towards the first half of the year due to the UHDMS project tie-in in the second half. Planned finished-stock drawdowns are expected to support sales, subject to third-party rail and port availability and performance.