Join +750K new investors every month who copy stock picks from billionaire's portfoliosSign Up Free

UPDATE 1-Vale notches record iron ore output in 2017, sales slip

Published 2018-02-16, 07:06 a/m
© Reuters.  UPDATE 1-Vale notches record iron ore output in 2017, sales slip
RIO
-
BHPB
-
VALE3
-

RIO DE JANEIRO, Feb 16 (Reuters) - Brazilian miner Vale VALE3.SA said on Friday that total iron ore output reached a record of 366.5 million tonnes last year, boosted by record high production from its so-called northern system, even as iron ore sales slipped slightly from 2016.

The northern system, composed of its Carajás, Serra Leste and its massive S11D mine, boasted output of 169.2 million tonnes of iron ore, the world's top iron ore producer said, reiterating guidance of 390 million tonnes for this year.

But iron ore sales slid 0.7 percent over 2016, even as Chinese steel mills chased top quality iron ore - produced by Vale and Australian rivals Rio Tinto (LON:RIO) PLC and BHP Billiton (LON:BLT) Ltd - to supercharge output and meet Beijing's tougher environmental standards.

Vale, also the world's top nickel producer, said nickel production slid 7.3 percent to 288,200 tonnes, due to Vale's "commitment to maximizing cash generation," the company said.

Facing oversupply, nickel prices have yet to take off, despite the metal's status as a key input for the lithium-ion batteries that power electric vehicles, along with lithium and cobalt.

In December, Vale dialed back its nickel output forecasts for the next five years and said it continued to seek an investor for its New Caledonia nickel mine, located on a Pacific island.

Vale said pellet production last year reached 50.3 million tonnes, 4.1 percent above 2016.

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.