FMG sets new iron ore record

Fortescue Metals Group has shipped 60 per cent more ore this year than last year as the company hits its eighth straight quarterly record.

The company shipped 41.5 million tonnes of iron ore in the three months to September 30, a seven per cent increase on last quarter.

The company said it is on track to produce a total of between 155mt to 160 mt for the current financial year.

Dropping its costs to $US32 a tonne, the miner said it is targeting efficiencies across all its sites.

The company said it sees strong demand for its ores, with Chinese steel production to remain ‘strong”.

“During the September 2014 quarter Fortescue successfully launched its new product, Kings Fines, to add to our low phosphorous, high value-in-use ores that have been well accepted by steel mills including those with large capacity blast furnaces,” FMG said.

In July the company ordered four more very large ore carriers to its fleet at a cost of $280 million.

These VLOCs are scheduled for delivery from August 2016 through to April 2018.

FMG CEO Nev Power said he was pleased with the company’s performance.

“This has been a quarter of outstanding production and fiscal discipline,” he said.

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