Join our daily newsletter At The Bell to receive exclusive market insights
- GWR reports a record production monthly from its flagship C4 Iron Ore mine in Wiluna, dispatching about 330,000 tonnes of iron ore in February
- This is the company’s recorded fifteen successful iron ore cargo dispatched from the flagship mine
- GWR has a steady sales book in place with fixed price contracts of one vessel per month through to and including October 2022 and is well placed to increase volumes in future months should long term contracts be secured or should iron ore prices increase
- Haulage volumes from site to Port are now ramping up again to 2,500 tonnes per day with further increases planned in order to introduce a second vessel per alternative month
- GWR shares are down 1.59 per cent, trading at 15.5 cents per shar by the end of the day
GWR Group (GWR) has reported a record production monthly from its flagship C4 Iron Ore mine in Wiluna, Western Australia, having dispatched about 330,000 tonnes of iron ore in February.
This is the company’s recorded fifteen successful iron ore cargo dispatched from the flagship mine.
GWR now has a steady sales book in place with fixed-price contracts of one vessel per month through to and including October 2022, and is well placed to increase volumes in future months should long term contracts be secured or should iron ore prices increase.
These free on board (FOB) sales contracts have been fixed at US$110 (A$148) per tonne for March and US$111 (A$150) per tonne for April, May and June shipments and US$114 (A$153) per tonne for July shipments.
The company also has FOB sales secured at US$129 (A$174) per tonne for the August shipment, US$121 (A$163) per tonne for September and US$131 (A$176) per tonne for October.
Haulage volumes from site to Port are now ramping up again to 2,500 tonnes per day, with further increases planned in order to introduce a second vessel per alternative month.
GWR has also reported that Stage 2 of the C4 project is now well advanced, with waste material being stripped from the upper benches and high-grade ore now presenting for blending with the remainder of Stage 1 stockpiled ore.
The Ore body is continuing to perform to expectations with the February shipment
recording a preliminary shipping grade for the lump ore of 63.3 per cent Fe.
GWR Chairman Mr Gary Lyons expects that GWR will continue to ramp its haulage fleet and is looking to take advantage of alternative markets like Malaysia and China to export its “high-grade” iron ore.
The company recorded an additional 20 million tonnes available at the C4 project, indicating a capacity to increase in its supply chain.
Despite its successful shipment and optimistic outlook, GWR shares were down 1.59 per cent and trading at 15.5 cents per share by the end of the day.
