Fortescue Metals: 1st-Qtr Production Strong; Over 12 Million Tons Shipped

Fortescue Metals Group Ltd. (FMG.AU), the world's fourth-largest iron ore miner, said Friday that its production was strong in its fiscal first quarter, with more than 12 million metric tons of ore shipped during the three months ending Sept. 30.

Fortescue said that the shipments, which included third-party shipments, were the highest quarterly level achieved by the company.

Fortescue also transports and ships ore mined by BC Iron Ltd. (BCI.AU), which has a 50% stake in Fortescue's Nullagine joint venture mine.

The company said it is still selling all of its production with no cancellation or deferral of cargoes, and its sales price averaged $160 a metric ton, "subject to final adjustments," for its most recent shipments.

Concerns have arisen in recent weeks that iron ore consumers could attempt to slow or cancel deliveries, similar to an early warning of consumption slowdown that occurred in late 2008.

Rio Tinto PLC (RIO) Chief Executive Tom Albanese said last week that some customers had asked Rio Tinto to defer deliveries.

-By David Fickling, Dow Jones Newswires; [phone]; [e-mail]

Order free Annual Report for Rio Tinto PLC

Visit http://djnweurope.ar.wilink.com/?ticker=GB0007188757 or call [phone]