Western Australia breaks weekly iron ore export record

Exports from the four largest iron ore producers in the Pilbara region of Western Australia jumped to a record high in the week to 6 June at 32pc above average, as Rio Tinto and Roy Hill hit new weekly records, and BHP and Fortescue came close.

The four firms loaded vessels with 22.59mn deadweight tonnes (dwt) of capacity in the period, up from 16.82mn dwt the previous week and above the weekly average of 17.13mn dwt/week over the past year. The deadweight tonnage is the maximum capacity of the vessel and so overestimates actual shipments by around 5pc.

Rio Tinto shipped 9.44mn dwt in the week to 6 June, up from 5.97mn dwt a week earlier and almost 1mn dwt more than the previous record of 8.46mn dwt set in the week to 21 December. Exports increased to 37pc above the rolling weekly average, as the firm sought to catch up on shipments lost during inclement weather and maintenance. Rio Tinto's shipments have been inconsistent since the beginning of the year and may dip again amid ongoing maintenance this month.

Roy Hill shipped 1.62mn dwt in the latest week, up from 1.4mn dwt a week earlier, above an average of 1.04mn dwt/week and higher than the previous record of 1.52mn dwt set in August last year.

BHP and Fortescue are both expected to have a strong June ahead of the end of their financial year on 30 June. Both came in below previous record weeks, but 20pc and 33pc respectively above weekly averages. BHP's total shipments rose to 6.89mn dwt in the latest week from 5.94mn dwt a week earlier and were just short of the record of 7.07mn dwt in February following disruptions caused by Cyclone Damien earlier that month. Fortescue loaded vessels with 4.64mn dwt in the latest week, up from 3.51mn dwt in the week to 30 May and slightly below its record of 4.7mn dwt in the week to 29 June ahead of the end of its 2018-19 financial year.

The four producers loaded vessels with a combined 17.66mn dwt capacity bound for China in the latest week, up from 13.54mn dwt a week earlier and above the weekly average of 13.42mn dwt over the past year. China took 78pc of the total, down from 80.5pc in the previous week, and in line with an average of 78pc.

Rio Tinto loaded 7.6mn dwt bound for China in the latest week, up from 4.55mn dwt a week earlier. BHP's shipments to China eased to 4.85mn dwt in the latest period from 4.96mn dwt a week earlier.

Iron ore prices rose to a 10-month high of $105.75/t cfr China for 62pc Fe on 8 June from $99.95/t on 1 June, amid ongoing concerns about supply disruption in Brazil from Covid-19.

By Jo Clarke

WA iron ore loadings mn dwt