Wrap Text
KIO - Kumba Iron Ore Limited - Kumba Iron Ore Limited production and sales
report for the quarter ended 31 March 2010
Kumba Iron Ore Limited
A member of the Anglo American plc group
(Incorporated in the Republic of South Africa)
(Registration number 2005/015852/06)
Share code: KIO
ISIN: ZAE000085346
KUMBA IRON ORE LIMITED PRODUCTION AND SALES REPORT FOR THE QUARTER ENDED 31
MARCH 2010
Kumba Iron Ore Limited ("Kumba") today released its production report for the
quarter ended 31 March 2010. Throughout this report, production and sales
volumes referred to are 100% attributable to Kumba.
FIRST QUARTER OVERVIEW
- 23% increase in total production year-on-year, to 11.5Mt (million metric
tonnes), as production from the Jig plant continues to ramp up,
increasing by 7% from the fourth quarter of 2009 to 3.3Mt, and reaching
levels above nameplate capacity during the quarter. The jig plant
remains set to deliver name plate capacity for the full year 2010.
- Export sales volumes of 9.3Mt in the first quarter increased by 21% from
7.7Mt in the fourth quarter of 2009, growing 54% year on year.
- Domestic sales volumes of 1.6Mt increased by 7% or 0.1Mt quarter-on-
quarter and by 10% year-on-year.
- Finished product stockpile levels at Sishen Mine, Saldanha and Qingdao
ports were 7.2Mt at 31 March 2010.
Production summary
`000 tonnes Quarter % Quarter % change
Ended change ended
Mar Mar Mar Q10 Dec Mar Q10
2010 2009 vs 2009 vs
Mar Q09 Dec Q09
Total 11,489 9,323 23 11,466 -
- Sishen Mine 11,006 8,693 27 10,705 3
DMS plant 7,678 6,653 15 7,586 1
Jig plant 3,328 2,040 63 3,119 7
- Thabazimbi 483 630 (23) 761 (37)
Mine
Sales summary
`000 tonnes Quarter % Quarter % change
Ended change ended
Mar Mar Mar Q10 Dec Mar Q10
2010 2009 vs 2009 vs
Mar Q09 Dec Q09
Total 10,932 7,523 45 9,247 18
- Sishen Mine 10,464 7,096 47 8,818 19
Export sales 9,315 6,056 54 7,729 21
Domestic 1,149 1,040 10 1,089 6
sales
- Thabazimbi 468 427 10 429 9
Mine
In the first quarter of 2010 total production increased by 23% year-on-year to
11.5Mt, remaining stable when compared to production in the fourth quarter of
2009. Sishen Mine`s production increased by 0.3Mt from the fourth quarter of
2009 to 11.0Mt for the quarter ended 31 March 2010. The 3.3Mt produced by the
jig plant accounted for 30% of Sishen Mine`s production.
Production from the jig plant increased by 7% or 0.2Mt in the first quarter of
2010 compared with the fourth quarter of 2009. The ramp up of the jig plant
to produce 12.5-13Mt during 2010 continues as planned.
Demand continues to recover in Europe, Japan and Korea, coupled with
continuing strong demand for ore in China. Kumba`s export sales in the
quarter were 9.3Mt, an increase of 21% from 4Q09, and an increase of 54%
compared with the first quarter of 2009, which saw a depressed level of export
sales due to the global economic downturn.
Finished product stockpiles at Sishen Mine, Saldanha and Qingdao ports
increased to 7.2Mt as at 31 March 2010, an increase of 0.5Mt from the 6.7Mt
stockpiled at 31 December 2009, due primarily to an increase in finished stock
at Sishen Mine and lower domestic offtake.
Production from Thabazimbi Mine decreased by 23% compared with production in
the fourth quarter of last year, to 0.5Mt. Sales from Thabazimbi Mine of
0.5Mt were impacted by demand from ArcelorMittal SA and logistics constraints.
Kumba reiterates its target of delivering a 5% increase in production volumes
from Sishen Mine in 2010, as the jig plant ramps up to its full capacity of
12.5-13.0Mt.
For further information contact:
Anna Mulholland
Investor Relations
(011) 373 6683
amulholland@angloamerican.co.uk
22 April 2010
Sponsor
RAND MERCHANT BANK (A division of FirstRand Bank Limited)
Date: 22/04/2010 08:00:10 Supplied by www.sharenet.co.za
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