Rio Tinto plc
), reported strong production results for the fourth quarter of
2013. The company reported rise in production of iron ore, mined
copper, bauxite, hard coking coal, while the production of
aluminium, semi-soft and thermal coal and titanium dioxide
feedstock declined year over year.
The cyclone Christine at the end of Dec 2013 did not
significantly affect the production and the company reported
record production and shipments of iron ore for 2013. In the
year, Rio Tinto produced roughly 266 million tonnes of iron ore,
up 5% year over year.
The expansion of Pilbara operations to 360 million tonnes per
annum is on track and is expected to consummate by the first half
Bauxite production reached a record level of 43.2 million
tonnes in 2013, 10% higher than in 2012. The increase was mainly
in response to higher third-party demand.
The company has also been hiving-off its unproductive assets
to focus more on its core assets. In Oct 2013, Rio Tinto
completed the sale of stake in Clermont mine in central
Queensland for $1.015 billion.
Rio Tinto is expected to release the full-year 2013 results on
Feb 13. The Zacks Consensus Estimate for the same stands at
$4.99. With such strong production results, we expect the company
to report impressive results.
Another mining peer,
BHP Billiton Limited
), is scheduled to release the fourth-quarter 2013 operations
review on Jan 22, 2014.
With a Zacks Rank #3 (Hold), Rio Tinto currently has a market
capitalization of $97.9 billion. Some better-ranked stocks in the
General Moly, Inc.
Denison Mines Corp.
). While General Moly sports a Zacks Rank #1 (Strong Buy),
Denison Mines holds a Zacks Rank #2 (Buy).
BHP BILLITN LTD (BHP): Free Stock Analysis
DENISON MINES (DNN): Free Stock Analysis
GENERAL MOLY IN (GMO): Free Stock Analysis
RIO TINTO-ADR (RIO): Free Stock Analysis
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