India: Vedanta’s iron ore production falls by 17% y-o-y in Q2FY23

Vedanta Ltd has announced its operating results for Q2FY23. Total iron ore production for the quarter was 1.08 million tonnes (mnt). It may be noted here that the entire material was mined completely from the company’s Karnataka mines since the mines

in Goa remain closed due to a 2018 Supreme Court ruling prohibiting mining in the state.
Vedanta’s iron ore production registered a significant decline of 17% as against 1.3 mnt in Q2FY22. Similarly, the output decreased by 14% q-o-q compared to 1.26 mnt in Q1FY23.

Key highlights-

• Vedanta’s production decreased y-o-y and q-o-q as heavy rainfall impacted operations and ore handling in Q2FY23.
• There was no production from the Goa mines due to the continuation of the suspension of mining pursuant to the Supreme Court judgment dated 7 February, 2018, which directed all mining companies to stop operations in Goa with effect from 16 March, 2018.
• Total iron ore sales were recorded at 1.34 mnt in Q2FY23, inching up 2% y-o-y compared to 1.31 mnt in Q2FY22.
• The company’s pig iron production stood at 121,000 t in Q2FY23, down by 42% y-o-y compared to 208,000 t in Q2FY22 due to the shutdown of blast furnace.
• Total saleable steel production in Q2FY23 was at 325,000 t, a y-o-y rise of 11% compared to 293,000 t in Q2FY22.