Mining giant Rio Tinto this year has slashed its annual targets for the supply of Australian iron ore and coking coal for steelmaking, as well as bad weather and ongoing work to modernize its rail lines.
In 2017, exports of iron ore from Australia's west coast are expected to be around 330 million tonnes, below the previous target of 340 million for the year, according to Rio.
The miner also revised its expected share of coking coal for the year from 7.2 - 7.8 million tons to 7.8 - 8.4 million tons. The world's second largest mine said production fell 14% in the second quarter after Cyclone Debbie swept through eastern Australia in March, resulting in heavy rainfall and flooding.
Analysts, however, predict that rather high steel material prices will continue to provide generous profits and dividends in the first half and next month. Some even suggest that Rio's 2017 dividend will be the largest in the company's history thanks to a rebound in iron ore prices, according to an Australian financial review.
Rio Tinto iron ore export forecast for 2017
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