PERTH (miningweekly.com) – Tropical Cyclone Veronica is expected to cost major BHP between six-million to eight-million tonnes of iron-ore production, the miner warned on Tuesday.
The company noted that port and rail operations at Port Hedland were ramping up after being suspended due to Tropical Cyclone Veronica, and while no major damage has been reported, isolated flooding has occurred both on site and on sections of the rail leading into the port.
As a result, the port operations are currently operating at reduced rates, and would not return to full capacity until later this month.
BHP told shareholders that its 2019 financial year production and cost guidance was currently under review.
Fellow major Rio Tinto on Monday revealed that its full-year guidance would be reduced by some 14-million tonnes, to the lower end of between 338-million and 350-million tonnes, as its Cape Lambert A port facility sustained damage during Tropical Cyclone Veronica.