Rio Tinto Cut Output Guidance for Iron Ore Operations

SEATTLE (Scrap Monster): Rio Tinto has cut production targets for its Canadian iron ore operations. The company cited extended downtime at the plant as well as conveyor belt failures for the latest production cut.

According to the company, the output from the Iron Ore Company of Canada (IOC) is expected to range between 9.3 million tonnes and 9.8 million tonnes. This is significantly down from the production forecast of between 10 million tonnes and 11 million tonnes announced in July this year. It must be noted that IOC’s production dipped by 14% over the previous year to total 2.4 million tonnes in third quarter.

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The shipments are likely to see further disruptions as sections of the rail lines damaged by fire are still under repairs.

Meantime, the company maintained momentum at its Pilbara iron ore operations during the third quarter of the year. The Pilbara operations produced 83.5 million tonnes in the third quarter, down by 1% from Q3 last year. The shipments edged higher marginally by 1% year-on-year to total 83.9 million tonnes in the third quarter of 2023.

The company reported significant progress in ramping up of its Oyu Tolgoi underground copper mine. Rio Tinto announced return to full production at Kitimat aluminum smelter. In addition, it safely restarted the smelter and refinery at Kennecott after maintenance.