NEW YORK Cliffs
Natural Resources Inc. expects to sell about 22 million to 23
million tons of iron ore from its domestic business in 2014 due
to a new supply agreement with one of its North American
iron ore and metallurgical coal producer is maintaining its
2013 expectations for iron ore sales and production at 21
million tons and 20 million tons, respectively.
third-quarter sales of nearly $1.55 billion, up slightly from
the same period last year on a 17-percent increase in global
seaborne iron ore pricing to an average of $133 per ton for
62-percent fines c.f.r. China, according to the companys
financial report. Revenue was offset slightly by lower market
pricing for metallurgical coal products and a 2-percent fall in
global iron ore sales volumes.
Net income in the
third quarter jumped 37.7 percent to $117.2 million from $85.1
million a year earlier, boosted by a higher consolidated sales
margin and significantly lower exploration expenses.
"During the quarter,
we cut costs across the board, improved year-on-year sales
margin and lowered our full-year capital expenditure outlook,"
chairman James Kirsch said in a statement.
U.S. iron ore pellet
sales fell to 6.3 million tons from 6.6 million tons a year
ago. The decrease was primarily seen in reduced tonnages
resulting from a customers force majeure and the
expiration of a contract. This was partially offset by
increased export sales, including pellet contracts previously
supplied from Cliffs Wabush Mine in Labrador, and
increased demand for domestic spot sales.
A version of the article was first published by AMM sister
publication Steel First.