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Kumba Iron Ore continues shipments from mines and stocks

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It also had 6.4-million tonnes of processed ore stockpiled by the end of 2019 as domestic demand dried up

Kumba Iron Ore, Africa's largest supplier of the steelmaking mineral, will continue mining, railing and shipping of its products, tapping into its stockpiles at the Saldanha port to supply customers.

It had 6.4-million tonnes of processed ore stockpiled by the end of 2019 as domestic demand dried up because of the closure of ArcelorMittal's Saldanha steel mill. Kumba has received permission from the department to continue mining, but with a 50% reduction in staffing levels, while Transnet Freight Rail has agreed to provide trains and port facilities to move ore out of SA.

Prices of ore with a 62% iron content have increased and are now about $84/tonne, with contracts for May deliveries to China rising above $93/tonne.

 

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