INDIAN focused mining group Vedanta posted record quarterly production of iron ore and aluminium in its fourth quarter, helping it take advantage of rising metal prices.
Fourth quarter production of saleable iron ore, its second most profitable product, jumped 59 per cent to 7.8m tonnes, taking its annual output up 34 per cent.
Rising demand from steelmakers has resulted in an almost threefold increase in spot iron ore prices over the last 12 months.
Tim Huff, an analyst at RBS, said the production figures were fairly benign on the surface, but support the medium term volume growth and cost reduction story for Vedanta.
Aluminium output in the fourth quarter rose 19 per cent to a record 159,000 tonnes, with full-year production rising 15 per cent from 2009.
Output of refined zinc, the group’s most profitable product, was little changed at 150,000 tonnes.