PERTH (miningweekly.com) – Iron-ore major Fortescue Metals on Thursday reported record shipments for the nine months ended March, following a strong third quarter.

Iron-ore shipments in the three months to March reached 42.3-million tonnes, which was on par with the record third quarter shipments reported last year, while year-to-date shipments reached 132.9-million tonnes, a 2% increase on the previous corresponding period.

Fortescue told shareholders that average revenue of $143/t was a 17% increase compared with the previous quarter, with revenue realization at 86% of the average Platts 62% CFR index.

“Fortescue’s excellent operating performance continues to drive strong results, with shipments of 42.3-million tonnes in the third quarter contributing to a record shipping performance for the first nine months of the financial year,” said CEO Elizabeth Gaines on Thursday.

“The commissioning of the Eliwana mine has contributed to an increase in both ore mined and processed during the quarter, despite the impact of significant rainfall across our operations in the Pilbara,” she added.

C1 costs for the quarter reached $14.90/t, an increase of 16% compared with the second quarter, owing to seasonally lower volumes and the strength of the Australian dollar, while year-to-date C1 costs reached $13.45/t.

For the full year, Fortescue has maintained its shipment guidance of between 178-million and 182-million, with C1 cost expectations of between $13.50/t and $14/t.

Meanwhile, capital expenditure for the full year has been revised from the previous estimate of between $3-billion and $3.4-billion, to between $3.5-billion and $3.7-billion, reflecting the ongoing strength of the Australian dollar, the continuation of critical path works at the Iron Bridge magnetite project, and ongoing investment by Fortescue Future Industries in decarbonisation initiatives.

“Fortescue announced during the quarter a target to achieve carbon neutrality by 2030, positioning us as a global leader in the battle against climate change,” said Gaines.

“We have set out clear priorities for our pathway to decarbonisation, including the establishment of a green mining fleet through the development and assessment of hydrogen and battery electric solutions.

“Fortescue Future Industries continues to assess a range of renewable energy and green hydrogen opportunities and is advancing projects internationally and across Australia.

“Against the backdrop of the record performance in our iron-ore business and our clean energy focus, Fortescue is well-placed to finish the financial year strongly, as we continue to meet demand from our customers and deliver value for all stakeholders,” Gaines said.