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22 Pages

Brazil iron ore supply summary


Brazil iron ore supply summary

Report summary

Iron ore price hikes during the second semester of 2016 further encouraged growth from Brazil, the world's lowest-cost and second-largest exporting country. Cash margins increased by over 17% in 2016 which provided more than enough incentive for Vale to push on with its huge expansion plans. We estimate the country’s marketable production to rise by 6.4% in 2017 mostly as a result of Vale’s S11D ramp-up. But while Brazil's iron ore industry is faring better than most, it is far from being in boom times with falling investment, curtailments from junior producers and cost cutting being key themes. However, the benefits coming from cost-cutting measures are proving to be challenging as most efficiency and productivity gains were already reaped over the past two years. This, combined with a stronger Brazilian real and higher oil prices, will mean that Brazil's average total cash cost on a free-on-board (FOB) basis will increase by 2.3% in 2017.

What's included?

This report includes 2 file(s)

  • Brazil iron ore supply summary PDF - 3.93 MB 22 Pages, 2 Tables, 18 Figures
  • Brazil Iron Ore Supply Summary 2017.xls XLS - 453.50 KB

Description

This Iron Ore Supply Summary report details key producers, production levels, costs and margins for iron ore assets in this country. It also analyses industry trends and themes, giving insight into future cost direction.

Industry participants, advisers and financial institutions can use this report to understand key country data in order to identify operational efficiency and competitive drives, as well as identify acquisition opportunities.

Wood Mackenzie's cost methodology is the established global industry standard, relied on by the world’s leading investment banks and mining companies to make strategic, operational and investment decisions.

Our analysts are based in the markets they analyse, working with high-quality proprietary cost databases and cost curve analyses to create consistent and reliable analysis. Our database includes over 2,450 asset analyses covering more than 1,000 companies worldwide.

  • Executive summary
  • Location maps
  • Key companies
    • Vale
    • CSN
    • Anglo American
    • Samarco
  • Geology
  • Quality
  • Reserves and resources
  • Production
    • Quadrilatero Ferrifero:
    • Carajas Basin:
    • Urucum Basin:
  • Infrastructure
  • Costs
    • Cash costs
    • Capital costs
  • Margins
  • Fiscal terms

In this report there are 20 tables or charts, including:

  • Executive summary
  • Location maps
    • Brazil iron ore producing regions
  • Key companies
    • Attributable marketable production by company
  • Geology
    • Quadrilatero Ferrifero
    • Carajas Basin
    • Urucum Basin
  • Quality
    • Raw Fe grade 2017
    • Product impurities - alumina and silica 2017
  • Reserves and resources
    • Attributable marketable reserves by company (at 01/01/2017)
  • Production
    • Marketable production by product type
    • Costed production by status
  • Infrastructure
    • Port export capacity
    • Quadrilatero Ferrifero
    • Carajas Basin
    • Urucum Basin
  • Costs
    • Cash costs by key company
    • 62% Fe adjusted CFR cost curve to North China, Q2 2017
    • Cash costs
    • Capital costs
  • Margins
    • Average operating margin (US$/tonne)
  • Fiscal terms
    • Fiscal terms
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