Iron ore giant Fortescue posts cash on hand of $6.9B on record shipments and revenue

Gold & Silver

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image(Kitco News) – Fortescue Metals Group (ASX:FMG) today reported record iron ore shipments of 49.3 million tonnes (mt) for the June quarter 2021 and 182.2mt for fiscal 2021, exceeding guidance of 182mt.

The company also announced record average revenue of US$168/dry metric tonne (dmt) for the quarter, realising 84 per cent of the average Platts 62% CFR Index, and US$135/dmt for FY21.

Fortescue said that strong free cashflow generation contributed to cash on hand of US$6.9 billion and net cash of US$2.7 billion at 30 June 2021, compared to net debt of US$1.0 billion at 31 March 2021.

The company added that its fiscal 2022 guidance for iron ore shipments is 180 – 185mt and C1 cost of US$15.00 – US$15.50/wmt.

Fortescue Metals Group is a global leader in the iron ore industry developing its world-class mining assets in the Pilbara, Western Australia. Fortescue’s wholly owned and fully integrated operations in the Pilbara include the Chichester and Solomon mining hubs and the company is also developing the Western Hub, home to the new Eliwana mine.

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