BHP Billiton this morning released its production report for the quarter ended 30 September, 2001.
Aluminium production was 5% higher than the corresponding period last year and slightly lower than the June 2001 quarter. Compared to the September 2000 quarter, higher production largely reflects the commencement of full production at Mozal (Mozambique).
Copper production was 5% lower than the corresponding period last year and 20% lower than the June 2001 quarter. Compared to the September 2000 quarter, lower production was due to the write-off of BHP Billiton’s share of the net assets in the Ok Tedi copper project in PNG in June.
Iron ore production was in line with both the corresponding period last year and the June 2001 quarter. Increased production was recorded at Newman during the quarter following higher demand for iron ore fines, particularly from China. Record shipments of 18.9m wet tonnes were also made during the September quarter following strong demand for Newman lump and fines product from China and Korea.
Boodarie Iron (previously WA HBI) production was slightly higher than forecast reflecting consistent three-train operation and the continued ramp up of the facility. A successful four-train trial was run in October for six days, providing further information on the plant’s capabilities.
The realised price for Boodarie Iron product has improved over the past twelve months, reflecting increased delivery performance, higher quality and market acceptance of the product. Prices for Boodarie Iron product are now trading within the forecast range between scrap and pig iron, however the near term outlook for the underlying global steel market remains weak.
Metallurgical coal production was 5% higher than the corresponding period last year and 23% lower than the June 2001 quarter. Compared to the September 2000 quarter, increased production was recorded at Riverside and South Walker Creek in Queensland due to operational improvements.
Compared to the June 2001 quarter, the lower recorded production follows the equalisation of Queensland coal interests with Mitsubishi to form the BHP Billiton
Mitsubishi Alliance.
Energy coal production was 7% higher than the corresponding period last year and 3% lower than the June 2001 quarter. Compared to the September 2000 quarter, higher production was largely due to the acquisition of CDC and CZN in Colombia in September and November 2000 respectively.
Compared to the June 2001 quarter, lower production was reported at BHP Billiton’s New Mexico, USA, operations following planned maintenance shutdowns.