Rio Tinto cuts iron ore guidance after cyclone damage
Rio Tinto
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16:40 08/11/24
The impact of March's tropical cyclone in Western Australia has forced miner Rio Tinto to cut its guidance for annual ore shipments.
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The company on Tuesday said first quarter iron ore sales of 69.1m tonnes were 14% year on year due to lower production and damage to the port facilities caused by cyclone Veronica.
Annual iron ore shipments guidance was cut to 333m – 343m tonnes from a previous range of 338m – 350m.
Pilbara operations produced 76m tonnes in the first quarter, 9% lower than the same period in 2018, Rio said.
Production was also impacted by a fire at the company's Western Australia Cape Lambert port in January, which affected Robe Valley Lump and Fines production.
The impact of cyclones on Australian iron ore miners, combined with a waste dam burst at a Vale mine in Brazil, in January has caused a shortfall in the iron ore market.
Closures of other Vale mines and waste dams by authorities in Brazilian authorities has pushed iron ore prices more than $94 a tonne.