PERTH (miningweekly.com) – Mining giant Rio Tinto’s Pilbara expansions have delivered an 11% increase in production during the three months to June, with the company producing 73.1-million tonnes of iron-ore.

Iron-ore shipments were also up by 23% compared with the previous corresponding period, to a record 75.1-million tonnes.

During the half-year ended June, production was up 10% on the previous corresponding period, to 139.5-million tonnes.

“We achieved another half of very strong operating performance, powered by productivity gains across our business,” said CEO Sam Walsh.

“Our iron-ore expansion continues to deliver high-margin growth reinforcing our position as a low-cost producer. It has allowed us to increase shipments of our Pilbara blend products, providing our customers with reliable, long-term supply of stable quality.”

In May this year, Rio announced that its Pilbara operations had reached a run rate of 290-million tonnes a year, two months ahead of schedule. The rail duplication and trackwork required for an expansion to 360-million tonnes a year was now complete, and the port infrastructure remained on track for completion by the first half of next year.

Meanwhile, copper production for the quarter under review was up 28% on the previous corresponding period to 164 800 t. During the first half of the year, copper production was up by 23% on the previous comparable period, driven by higher grades and concentrator recoveries at the Kennecott Utah copper operation, in the US, and the ramp-up of the Oyu Tolgoi mine, in Mongolia.

Walsh pointed out that Rio had increased its full-year copper production guidance on the back of the first half, with the company now expecting to produce about 585 000 t, as opposed to the previously estimate of 570 000 t, while refined copper production would reach 300 000 t, compared with the previous estimate of 260 000 t.

Rio reported on Wednesday that hard coking coal production during the three months to June was up 6% on the previous corresponding period, to two-million tonnes, while semi-soft and thermal coal fell by 7%, to 6.7-million tonnes.

In the interim period, hard coking coal output increased by 9% to 3.9-million tonnes, while semi-soft and thermal coal increased by 2%, to 13.5-million tonnes.

The increase in coking coal production was driven by higher coal production at the Kestrel mine, in Australia, where the coal handling preparation plant had been shut for upgrade works during the first half of last year, as part of the extension project completed later that year.

Rio’s thermal and semi-soft coking coal production was affected by the absence of the Claremont mine, after Rio divested its stake in the Australian mine during the second quarter, as well as rail and port constraints in Mozambique.

Some 839 000 t of aluminium was produced during the quarter under review, as well as 10.1-million tonnes of bauxite and 372 000 t of titanium dioxide feedstock.

“With a relentless focus on achieving sustainable cost savings while delivering the highest quality growth, we continue to transform Rio into a stronger, more disciplined business that will consistently deliver strong cash flows and shareholder value,” Walsh said.