PERTH (miningweekly.com) – Iron-ore major Fortescue has reported record iron-ore shipments for the full year ended June following a strong June quarter.

The miner on Thursday said that iron-ore shipments in the June quarter reached 48.9-million tonnes, up 6% on the previous quarter, bringing full-year shipments to a record 192-million tonnes.

C1 costs for the quarter ended June declined by 1% on the previous quarter, to $17.57/t, and reached $17.54/t in the full year, a 10% increase on the C1 costs achieved in the 2022 financial year.

Fortescue on Thursday reported average revenues of $96/t in the fourth quarter, realising 87% of the Platts 62% CRF index, with average revenue in the full year reaching $95/t.

“The Fortescue team has delivered outstanding results for the June quarter, with iron-ore shipments of 48.9-million tonnes, contributing to our highest ever annual shipments of 192-million tonnes, achieving the top end of shipments guidance. We did this while maintaining our strong focus on safety,” said CEO Fiona Hick.

“Fortescue recently celebrated several milestones, including first magnetite concentrate production from Iron Bridge. Iron Bridge is a large and complex project, and its successful construction is a true demonstration of our values.”

The $3.9-billion Iron Bridge will produce 22-million tonnes a year of high-grade magnetite concentrate and signifies Fortescue’s entry into the highest grade segment of the iron-ore market, providing an enhanced product range while also increasing yearly production and shipping capacity.

For 2024, Fortescue is anticipating shipments from Iron Bridge to reach seven-million tonnes, with the ramp-up to full production expected to take 24 months. Fortescue’s share of operating expenditure at Iron Bridge in the 2024 financial year is expected to be around $400-million.

Meanwhile, Hicks on Thursday said that Fortescue also continued to make strong progress at the Belinga iron-ore project in Gabon, with the first ore loaded on train and delivered to port during the quarter, less than six months from when the Mining Convention was signed.

“Geological mapping and sampling programmes continue to show that this project has the potential to be significant scale and high iron grade, and we have a major exploration drilling campaign underway.

“Building on another year of record performance, our guidance for 2024 is for total shipments in the range of 192-million to 197-million tonnes. Our hematite operations are performing strongly and we are focused on delivering growth through the safe and efficient ramp-up of Iron Bridge, unlocking the potential of Belinga and decarbonising our iron-ore operations.”

For the 2024 financial year, Fortescue is targeting C1 costs at its Pilbara operations of between $18/t and $19/t, with the miner to spend between $2.8-billion and $3.2-billion.

“We will continue to invest in green metals, green energy and green technologies, supported by our strong balance sheet and disciplined capital allocation,” Hicks added.

Fortescue Future Industries’ preliminary un-audited operating expenditure was $440-million, exclusive of expenditure incurred on behalf of Fortescue Metals for decarbonisation efforts.

For 2024, the green energy arm is expected to spend between $400-million and $500-million on capital expenditure, with a further $300-million on investments.