FMG starts FY26 with record Q1 iron ore shipments

The miner's iron ore shipments in the September quarter, higher by 4% on year, created a new a record for a first quarter and marked a strong start to FY26, the report said. These shipments included 2.1 million tonnes from FMG's Iron Bridge Project in the Pilbara which were higher by a notable 30% on year.

The record shipments during July-September were supported by robust iron ore production, the miner said. Total ore mined was 60.1 million tonnes in Q1 FY26, higher by 5% on year, while the total ore processed also increased by 6% from Q1 FY25 to 50.8 million tonnes, the report showed.

During July-September, FMG's best-selling product was Super Special Fines, whose 19.6-million-wet-tonnes shipments accounted for 39% of the total volume. The share of Fortescue Blend came second at 37%, with shipments of 18.3 million wet tonnes.

FMG also revealed in the report that it planned to optimize its product mix by phasing out West Pilbara Fines (60% Fe) from FY27 while introducing a new product with 55% Fe content.

As for its financial performance, FMG's iron ore C1 cost for Pilbara hematite operations was $18.17/wmt on average during Q1, lower by 10% on year thanks to "favorable inventory movement, a lower AUD:USD exchange rate and strong operational performance", FMG said.

Guidance for FY26 shipments and C1 unit cost remains unchanged, the company added. It aims to ship 195-205 million tonnes of iron ore in FY26, including 10-12 million tonnes from Iron Bridge. Meanwhile, it expects its C1 cost for Hematite to range between $17.5-18.5/wmt.

Written by Irene Zhuang, zhuangailing@mysteel.com

Edited by Russ McCulloch, russ.mcculloch@mysteel.com