PERTH (miningweekly.com) – Iron-ore major Fortescue Metals has announced a $1-billion repayment of its 2019 term loan.
CEO Nev Power on Friday said the $1-billion payment continues the company’s debt reductions strategy, lowering Fortescue’s all-in cost position and reducing the 2019 debt to less that $1-billion.
“Productivity and efficiency initiatives have delivered sustained cost reductions and, combined with strong market conditions, are generating significant cash flow. We will continue to prioritise free cash flow for debt reduction, investment in our core iron-ore business and return to shareholders,” Power said.
The term loan repayment will be made on March 30, and will generate a yearly interest savings of around $38-million.