Rio Tinto reduced iron ore production by 10.9% q/q in Q1

In January-March 2024, the British-Australian mining concern Rio Tinto reduced iron ore production at its Pilbara operations by 10.9% compared to the previous quarter – to 77.9 million tons. Compared to the same period in 2023, the figure decreased by 1.7%. This is stated in the company’s report.

Shipments of raw materials for this period decreased by 9.5% compared to the previous quarter, and by 5.5% y/y – to 78 million tons.

The company notes that the decline in production and shipments was primarily due to weather conditions. The decline in production at the Yandikugin mine was offset by increased productivity at other operations.

«We continue to work on asset management and mine condition and expect further productivity improvements over the remainder of the year,» the statement said.

The company expects iron ore shipments from the Pilbara region to remain at 323-338 million tons this year, as previously forecast. Rio Tinto will ship more low-grade iron ore (SP10) until replacement projects come online. The supply of raw materials remains dependent on weather conditions.

As a reminder, Rio Tinto increased iron ore shipments from the Pilbara region by 3% in 2023 compared to 2022, to 331.8 million tons. The company’s iron ore production increased by 2% year-on-year – to 331.5 million tons.