Vale bumps up 2024 iron ore production forecast, shares rise
Recasts, updates throughout with share reaction and analyst comments
RIO DE JANEIRO, Sept 11 (Reuters) -Brazilian miner Vale VALE3.SA on Wednesday bumped up its forecast for iron ore output this year after a stronger-than-expected first half, driving its shares higher.
The company, one of the world's largest iron ore producers, said in a securities filing it now expects output between 323 million and 330 million metric tons in 2024, raising a previous forecast of 310 million to 320 million.
The move comes after the mining giant said earlier this year it was confident about meeting the top end of the previous guidance, as in early 2024 production came in ahead of its own targets.
"We estimate changes to production guidance will raise full-year EBITDA (earnings before interest, taxes, depreciation and amortization) consensus expectations by 4%," RBC analysts said. "Vale remains our preferred exposure to the iron ore space."
The miner's Brazil-traded shares rose around 2% on Wednesday, also buoyed by higher global iron ore prices, making it one of the top gainers on benchmark stock index Bovespa .BVSP, which slid 0.3%.
Vale saidin a presentation that while it planned to produce 144 million tons of iron ore in the first half, output totaled 151 million tons. It cited greater operation stability and lower production deviation among the reasons for the strong performance.
"This guidance increase is a confidence confirmation," Wood Mackenzie analyst Artur Bontempo said, despite sayingthat Vale's higher output waslikely to bringadditional pressure on the already "moody" iron ore market.
Market players have voiced concerns about top consumer China's faltering demand outlook and economic recovery, which has led prices to drop year-to-date. Vale, however, sees a "balanced" market in 2024 and 2025.
Margins this year have been positive across all operations despite the price pressure, the firm said.
The Brazilian company slightly lowered its forecast for nickel output in 2024 to between 153,000 and 168,000 tons from between 160,000 and 175,000, a move it said reflected a partial divestment from Vale Indonesia completed in July.
Nickel and copper output costs this year are nevertheless expected to be lower than initially predicted, it said.
Reporting by Gabriel Araujo; Additional reporting by Marta Nogueira in Belo Horizonte; Editing by Jason Neely, Mark Potter and Angus MacSwan
免责声明: XM Group仅提供在线交易平台的执行服务和访问权限，并允许个人查看和/或使用网站或网站所提供的内容，但无意进行任何更改或扩展，也不会更改或扩展其服务和访问权限。所有访问和使用权限，将受下列条款与条例约束：(i) 条款与条例；(ii) 风险提示；以及(iii) 完整免责声明。请注意，网站所提供的所有讯息，仅限一般资讯用途。此外，XM所有在线交易平台的内容并不构成，也不能被用于任何未经授权的金融市场交易邀约和/或邀请。金融市场交易对于您的投资资本含有重大风险。
所有在线交易平台所发布的资料，仅适用于教育/资讯类用途，不包含也不应被视为用于金融、投资税或交易相关咨询和建议，或是交易价格纪录，或是任何金融商品或非应邀途径的金融相关优惠的交易邀约或邀请。
本网站上由XM和第三方供应商所提供的所有内容，包括意见、新闻、研究、分析、价格、其他资讯和第三方网站链接，皆保持不变，并作为一般市场评论所提供，而非投资性建议。所有在线交易平台所发布的资料，仅适用于教育/资讯类用途，不包含也不应被视为适用于金融、投资税或交易相关咨询和建议，或是交易价格纪录，或是任何金融商品或非应邀途径的金融相关优惠的交易邀约或邀请。请确保您已阅读并完全理解，XM非独立投资研究提示和风险提示相关资讯，更多详情请点击 这里。
