[miningmx.com] — KUMBA Iron Ore said on Friday it expects first-half headline earnings per share to rise due to higher export iron ore prices and sales volumes.
Kumba, a unit of global miner Anglo American Plc and the world’s 10th largest producer of iron ore, said headline earnings per share were expected to be between 1,900-2,055 cents, up from 1,076 cents in the comparable six-month period.
“The increase in earnings is largely attributable to an increase in export iron ore prices and a 10% increase in export sales volumes in the period,” Kumba said in a statement.
Kumba, currently involved in an iron ore supply dispute with ArceloMittal’s South African unit, said it had accounted for revenue at plus three percent of cost to the steelmaker in determining earnings for the period in the absence of agreement on an interim price.
Kumba in February terminated the long-term deal under which it sold ore to ArcelorMittal South Africa at a discount and said it would then sell to the steelmaker at market rates from March.
