Rio Tinto
(ASX:RIO) has dropped its iron ore Pilbara shipments guidance for 2019 by about 13 million tonnes.
It comes as it experiencing mine operational challenges, particularly in the Greater Brockman hub in the Pilbara.
It’s now targeting between 320 million tonnes and 330 million tonnes. Down from 333 million tonnes and 343 million tonnes.
Given the change in volume guidance, unit costs will be updated in its Q2 quarterly operations review (16 July 2019), with additional sales to be made in 2019.
Rio Tinto says the operational challenges have resulted in a higher proportion of certain lower grade products, partly to protect the quality of its flagship Pilbara Blend.
Shares in Rio Tinto
(ASX:RIO) closed 1.94 per cent higher at $105.71 yesterday.
