Fortescue (ASX:FMG) reports record half year shipments

Company News

by Lauren Evans

Fortescue Metals Group (ASX:FMG) shipped 47.5 million tonnes of iron ore in the first half of FY22, marking a 3 per cent increase from the corresponding period and a record for a half year.

Fortescue expects to ship 180 to 185 million tonnes of iron ore in FY22 and C1 costs of $US15 to $US15.50 per wet tonne. 

“Our C1 cost was in line with the previous quarter, reflecting our strong focus on cost management to mitigate inflationary pressures associated with strong demand for labour and resources, as well as supply chain constraints due to Covid-19,” said Fortescue chief executive officer Elizabeth Gaines.

The company said it expects to increase FY22 capital expenditure by $US200 million to $US3 to $US3.4 billion including the acquisition of Williams Advanced Engineering.

“The Fortescue team has again delivered an outstanding performance for the first half of FY22 with mining, processing, rail and shipping combining to deliver record second quarter shipments of 47.5 million tonnes, contributing to record performance for a half year of 93.1 million tonnes.”

Shares in Fortescue Metals (ASX:FMG) are trading 2.8 per cent lower at $19.95. 

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