RIO DE JANEIRO--Brazilian mining company Vale SA said on Monday
it ramped up production of iron ore and other key commodities in
the fourth quarter, despite sharply lower prices.
The world's largest iron-ore producer said its output of the
steel-making ingredient rose 2.1% in the fourth quarter from a year
earlier to 82.97 million metric tons. That brought Vale's 2014
iron-ore production to a record 319.22 million tons, up 6.5% from
the previous year and 7.2 million tons above Vale's own
guidance.
Iron-ore prices fell roughly 50% during 2014. The drop took
place largely in the final months of the year. Increasing output of
the commodity from mining companies like Vale, combined with a
slowdown in demand from China, have weighed on the market and
brought prices to their lowest level in almost six years.
Vale's nickel output rose 8.4% in the fourth quarter to 73,600
tons, thanks to sharply higher production in New Caledonia and
Brazil, where the company is ramping up new mines. For the full
year, Vale's nickel output increased 5.7% to 275,000 tons, the
highest since 2008 but 14,000 tons short of guidance due to
operational issues at several facilities.
Copper production rose 11% in the fourth quarter to 58,400 tons
and finished 2014 up 13% at 208,000.
Vale's fourth-quarter coal output increased 2.3% to 2.31 million
tons and finished 2014 at 8.65 million tons, down 1.4% on the
year.
Write to Paul Kiernan at paul.kiernan@wsj.com
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