Champion Iron posts Q1 production lift, record sales
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The news: Champion Iron posted a boost to Q1 production and record sales for the period, as the miner's Bloom Lake site in Canada returns to full operation after being hit by forest fires earlier this month.
The numbers: Champion reported quarterly production of 3.9 million wet metric tonnes, up 18% on the previous quarter and a 14% rise year on year.
Iron ore concentrate sales of 3.4 million dry metric tonnes (dmt) was a quarterly record for the miner, up 16% quarter over quarter and 34% year over year.
Champion's net realised selling price of USD99.20 ($151.71) per dmt represented a 20% increase on the March quarter and a 15% lift on Q1 2023. EBITDA of $181.2 million was a 175% increase year on year as earnings per share rose 433% to $0.16.
The context: Champion said that production during the period benefited from the completion of work programs to solidify operations, combined with no major scheduled semi-annual shutdowns.
The company noted that forest fires are subsiding in the region around its Bloom Lake operation in Quebec, Canada. After a preventative evacuation from the site earlier this month, Champion confirmed that the fires did not impact its facilities or third party infrastructure.
What they said: Champion CEO David Cataford said: "I am happy to report robust quarterly production, record sales and strong financial results for the period".
"In conjunction with this, we continue to advance our DRPF [direct reduction pellet feed] project, which is expected to significantly reduce emissions in steelmaking, support higher premiums for our products and aligns with the government of Canada's recent recognition of high purity iron as a critical mineral."
The source: ASX announcement
