RIO DE JANEIROSAO PAULO, Oct 15 Reuters Brazilian miner Vale reported on Tuesday a 5.5 increase in its thirdquarter iron ore production compared to a year earlier, reaching the highest level in almost six years.
The company, one of the world39;s top iron ore suppliers, reported output of 91 million metric tons in the three months ended Sept. 30, it said in a securities filing.
The volume of iron ore produced reached the highest level in a threemonth period since the final quarter of 2018, powered by improved performance at a trio of Brazilian mining projects S11D, Itabira and Brucutu according to the company.
Last month, the firm raised its 2024 forecast for iron ore output to between 323 million and 330 million tons after a strongerthanexpected first half.
Iron ore sales during the third quarter rose 1.6 from a year earlier to 81.8 million tons, mostly due to an increase in pellet shipments.
RBC Capital Markets analysts said Vale39;s production figures were above expectations across the entire portfolio and the miner was on track to achieve its fullyear guidance.
Although sales volumes lagged production, the company said inventory build at the iron ore division is expected to reduce this quarter. RBC analysts said that should translate into an upgrade of market estimates for 2024 core earnings.
The average realized price of Vale39;s iron ore fines was about 91 per ton in the quarter, down nearly 14 yearonyear, and 7.7 lower than the second quarter.
Vale noted…