Record production at BC Iron
BC Iron has reported a record production run at its joint-venture Nullagine project it operates with Fortescue.
The Nullagine project in Western Australia's Pilbara region shipped 1.6 million wet metric tonnes of iron ore in the June quarter, marking a 12 per cent increase on the corresponding period in 2012. Since production began in February 2011, the mine has shipped 8.8 million metric tonnes of iron ore, and is expected to surpass the 10 million metric tonne milestone during the September quarter.
BC Iron managing director Morgan Ball said the company's move in December to acquire another 25 per cent of the project from Fortescue - taking BC's share to 75 per cent - had created the momentum to improve production levels.
He added that cash flow of $85 million in the June quarter was pleasing amid a "volatile price environment and unseasonally wet weather".
The softening Australian dollar also helped BC accelerate its debt repayments.
The Nullagine mine is 140 kilometres north of Newman in the east Pilbara region.
BC Iron shares fell by 1¢ to $3.56.