Fortescue Metals Group (FMG), the world's fourth largest iron ore miner, shipped 49.4 million wet tonnes of iron ore during October-December 2024, or the second quarter of the company's fiscal year 2025 (FY25), according to its latest quarterly report released on January 23. This represented a 4% rise on a quarterly basis and a 1% increase from the same period last year, it noted.
The Q2 result meant that FMG's iron ore shipments totalled 97.1 million wet tonnes during the July-December half of FY25, rising by 3% on year and also marking the highest half-year shipment total in the company's history, the report said.
The strong performance in ore shipments was thanks to FMG's management of the impacts brought by wet weather in the Pilbara region and the healthy inventory that ensured a smooth supply chain, the report stated.
During Q2 FY25, Super Special Fines remained FMG's most popular product, with shipments totalling 20.2 million wet tonnes and accounting for some 41% of the total volume. The share of Fortescue Blend came as the second largest at 37%, with shipments of 18.1 million wet tonnes. For the full FY25, the firm's shipment guidance remains at 190-200 million wet tonnes, according to the report.
As for iron ore production, the total of ore FMG mined in Q2 FY25 was higher by 8% from the prior quarter at 61.9 million wet tonnes, driven by "output increases across both the hematite operations and Iron Bridge", the company said. Iron ore production during H1 FY25 amounted to 119 million wet tonnes, a gain of 7% from the comparable period in FY24.
During the December quarter, FMG's average C1 cost for Pilbara hematite operations declined by 10% on quarter to $18.24/wmt. "The decrease in costs reflected increased ore mining volumes and a lower strip ratio consistent with the mine plan," the miner said. The guidance for C1 costs for FY25 also remains unchanged at $18.50-19.75/wmt.