Credit: REUTERS/DADO RUVICAdds details on production outlook, analysts estimates, background
July 19 (Reuters) - BHP Group BHP.AX on Tuesday missed estimates for fourth-quarter iron ore production and warned that a tight labour market, supply-chain snags and inflationary pressures would continue through fiscal 2023.
However, the midpoint of BHP's forecast for 2023 output of between 278 million tonnes (Mt) and 290 Mt came in marginally higher than the 282.8 Mt it produced this year.
Iron ore prices have come off their 2021 highs as recession risks grow and demand cools in top consumer China, which is trying to balance its zero-COVID strategy and economic growth.
Rival Rio Tinto RIO.AX had also posted disappointing results for the second quarter.
BHP, the world's largest miner by market value, said production of iron ore from Western Australia came in at 71.7 Mt in the three months to June 30, compared with a consensus estimate of 76 Mt. It had reported 72.8 Mt a year earlier.
(Reporting by Indranil Sarkar and Savyata Mishra in Bengaluru; Editing by Devika Syamnath)
((Indranil.Sarkar@thomsonreuters.com; Mobile: +91 7022132226;))
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