BHP's coal production surges as latent capacity is released

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Anglo-Australian mining giant BHP Billiton saw iron ore output rise year-on-year in the third quarter, but fall from the previous quarter's production levels as a result of the planned shut-down associated with the Inner Harbour expansion project in Western Australia.

Iron ore production was up 1% year-on-year but down 3% quarter-on-quarter to 39.8m tonnes.

Production of metallurgical coal fell 4% year-on-year to 8.94m tonnes but was up 10% on the second quarter of 2012, as significant latent capacity was released across the supply chain.

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Production of energy coal in the third quarter was up 6% on the corresponding quarter of 2011 and the preceding quarter of 2012, at 19.61m tonnes.

JH