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BHP Billiton Iron Ore Output Up 7%, Backs Full-Year Outlook

21st Oct 2015 04:49

MELBOURNE (Alliance News) - BHP Billiton PLC, the world's biggest miner, said its iron ore production for the first quarter rose 7% year-over-year to a record 61.32 million tons. The company affirmed its forecast for fiscal 2016 iron ore production of 247 million tons.

First-quarter production of metallurgical coal, which is used in steel making, was flat with last year at 10 million tons.

Energy coal production was also flat with the prior-year quarter at 8.85 million tons The company backed its energy coal and metallurgical coal production outlook for fiscal 2016 at 40 million tons each.

The miner said its total petroleum production for the quarter fell 4% from the year-ago period to 64.5 million barrels of oil equivalent or boe. The company maintained its forecast for 2016 production of 237 MMboe.

However, the miner lowered its petroleum capital expenditure for fiscal 2016 by 6% to USD2.9 billion from the prior guidance of USD3.1 billion.

Copper production for the quarter declined 3% to 377,000 tons. The company's total copper production for fiscal 2016 remains unchanged at 1.5 million tons.

BHP Billiton Chief Executive Officer Andrew Mackenzie said, "BHP Billiton remains on track to meet full-year production and cost guidance after a solid operational performance this quarter. In Petroleum, we continue to reduce costs in both our Onshore US and Conventional businesses, and will meet our production targets with USD200 million less capital investment."

Copyright RTT News/dpa-AFX


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