South Africa’s Kumba Iron Ore on Tuesday reported a 12% increase in mineral railed to port in the September quarter on the back of improvements in freight rail performance, boosting quarterly sales volumes by 7%.
The Anglo American unit delivered 10.2 million metric tons to Saldanha port in the quarter, compared to 9.1 million metric tons during the same period last year.
As a result, Kumba’s total sales increased to 9.6 million metric tons in the quarter, from 9 million metric tons previously.
Kumba, Africa’s biggest iron ore miner, said in a production update that the improvements on the freight rail network were mainly due to the ongoing collaboration between bulk mineral producers and state-owned logistics firm Transnet to restore the ore export corridor.
The improved rail performance resulted in Kumba’s on-mine iron ore stockpiles reducing to 5.5 million metric tons, from 6.4 million metric tons in June. The stockpile at the port increased to 1.8 million metric tons at the end of September, from 1 million metric tons in June.
Transnet’s struggles, blamed on under-investment as well as cable theft and vandalism of its infrastructure, have forced miners such as Kumba to curb their production to match the logistics firm’s diminished capacity.
Transnet reported a 5% increase in its freight volumes after moving 160 million metric tons in the year ended March 2025. It targets hauling 180 million metric tons in the current financial year.
Kumba expects its annual sales to be closer to the upper end of its unchanged sales and production forecast between 35 million and 37 million metric tons.
(By Nelson Banya; Editing by Conor Humphries)
