Anglo American – one of the major global iron ore miners has recently announced its quarterly results. The miner’s iron ore output from Kumba increased by 10% to 10.6 mn t in Q1 CY’21 as compared with 9.6 mn t in Q1 CY’20. The increase in production was largely driven by improved plant availability and good progress on scheduled plant maintenance. The output increased by 6% at Sishen mines to 7.1 mn t and at Kolomela mines by 19% at 3.5 mn t.
On a sequential basis, output was 9% up against 9.7 mn t in Q4 CY’20.
Kumba iron ore sales down 6% in Q1 CY’21
Sales volumes decreased by 6% to 10.2 mnt in Q1 CY’21 as compared to 10.9 mn t in Q1 CY’20. The sales fell due to significant rail performance challenges, series of operational issues and delays caused by severe wet weather conditions, resulting in higher levels of stock which impacted throughput at the port.
Most of the material, about 10.1 mn t, was exported, and the remaining 0.1 mn t was sold in the domestic market.
Minas-Rio pellet production dropped 13% due to unplanned maintenance
Minas Rio mines, pellet production for Q1 CY’21 was at 5.6 mn t (wet tonne basis), down 13% against 6.5 mn t in Q1 CY’20 due to unplanned maintenance at the beneficiation plant which has now been completed. Volumes are expected to be recovered during the remainder of the year.
On a quarterly basis too, output dropped significantly as compared to 6.5 mn t in Q4 CY’20.
Minas Rio pellet sales fell in Q1 CY’21
Minas Rio pellet sales were recorded at 5.5 mn t (wet t basis) in Q1 CY’21, registering a decline of 10% as compared to 6.08 mn t in Q1 CY’20. On a quarterly basis, sales decreased compared to 6.3 mn t in Q4 CY’20.
Outlook for CY’21
Iron ore CY’21 guidance remains unchanged at 64.5-67.5 mn t (Kumba at 40.5-41.5 mn t and Minas Rio at 24-26 mn t). The guidance is subject to further COVID-related disruptions as well as rail performance for Kumba.
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