Oct. 19, 2017 - Vale announced that its iron ore production achieved a quarterly record of 95.1 Mt in 3Q17, mainly due to the better operational performance in the Northern System and the S11D ramp-up.
The Northern System, which comprises Carajás, Serra Leste and S11D, achieved a quarterly record of 45.0 million tonne in 3Q17, 8.5% and 16.4% higher than in 2Q17 and 3Q16, respectively, mainly due to the ramp-up of S11D, which is advancing according to plan, plus better operational performance in the mine and plant at Carajás and the weather-related seasonality.
Sales volumes for 3Q17 were lower than the production volumes, implying a slight inventory build-up as a result of operational needs and market strategies. However, the sales/production volume ratio were higher than in 2Q17.
As announced in the 2Q17 Production Report, production of ore with high silica content from the Southern and Southeastern Systems was reduced by an annualized rate of 19 million tonne.
Production will therefore be within the lower end of the 360-380 million tonne guidance range for 2017, in line with the ongoing strategy to maximize margins. Vale reaffirms its long-term base case target of 400 million tonne of total production per year.