Throughout this report, production and sales volumes referred to are 100% of Sishen Iron Ore Company Proprietary Limited ('SIOC'), and attributable to shareholders of Kumba as well as the non-controlling interests in SIOC.

Overview:

  • Production down 2% to 11.5Mt as a result of a decrease in Sishen production.
  • Export sales up 4% to 10.8Mt due to delayed shipping.
Production summary
'000 tonnes % change % change
Q3 2017 Q3 2016 Q3 2017
vs
Q3 2016		 Q2 2017 Q3 2017
vs
Q2 2017
Total 11,486 11,760 (2) 11,382 1
- Sishen mine 7,786 8,349 (7) 7,872 (1)
DMS plant 4,607 5,325 (13) 4,909 (6)
Jig plant 3,179 3,024 5 2,963 7
- Kolomela mine 3,700 3,411 8 3,510 5
Sales summary
'000 tonnes % change % change
Q3 2017 Q3 2016 Q3 2017
vs
Q3 2016		 Q2 2017 Q3 2017
vs
Q2 2017
Total 11,427 11,050 3 10,348 10
- Export sales 10,783 10,343 4 9,423 14
- Domestic sales 644 707 (9) 925 (30)
Sishen mine 644 707 (9) 925 (30)

Sishen production decreased by 7% to 7.8Mt (3Q16: 8.3Mt). The higher production in 3Q16 was attributable to temporary access to low strip ratio ore and higher plant yields as per the mine plan. As planned, production for 3Q17 was in line with 1Q17 and 2Q17. Waste removal increased by 21% to 42Mt, compared to 35Mt in 3Q16. Sishen maintained its solid and consistent performance and ongoing improvements which have resulted in production guidance for 2017 being revised to 29-30Mt. Waste guidance remains unchanged at 155-165Mt.

Kolomela production increased to 3.7Mt, up 8% compared to 3Q16, mainly due to productivity improvements and the ramp up of the modular plant. Waste mined increased by 11% to 16Mt resulting from ongoing improvements in operational efficiency. Kolomela is on track to meet full year production and waste guidance for 2017 of 13-14Mt and 50-55Mt respectively.

Export sales increased by 4% to 10.8Mt mainly due to shipping of delayed volumes on hand at Saldanha at 30 June 2017. Total finished product stocks were 4.6Mt, compared to 4.4Mt at 30 June 2017. Full year sales guidance has been revised to 42-44Mt.

Download the Kumba Iron Ore Limited production and sales report for the quarter ended 30 September 2017.

Kumba Iron Ore Ltd. published this content on 24 October 2017 and is solely responsible for the information contained herein.
Distributed by Public, unedited and unaltered, on 24 October 2017 06:17:05 UTC.

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