Quarterly summary
• Continued focus on safety contributed to a Total Recordable Injury Frequency Rate (TRIFR) of 1.8 in the 12 months to 30 June 2022 (FY22), 10 per cent lower than 30 June 2021
• Record iron ore shipments of 49.5 million tonnes (mt) for the quarter and 189.0mt for FY22, exceeding full year guidance
• Average revenue of US$108/dry metric tonne (dmt) for the quarter, realising 78 per cent of the average Platts 62% CFR Index, and average revenue of US$100/dmt in FY22
• C1 cost of US$17.19/wet metric tonne (wmt) for Q4 FY22 and US$15.91/wmt in FY22
• Strong cash flow generation contributed to cash on hand of US$5.2 billion and net debt of US$0.9 billion at 30 June 2022, compared to net debt of US$2.4 billion at 31 March 2022
• Total capital expenditure for FY22 of US$3.1 billion, including the investment in the Iron Bridge Magnetite and Pilbara Energy Connect (PEC) projects
• Significant progress to decarbonise Fortescue’s mining fleet through the strategic partnership with Liebherr for the development and supply of green mining haul trucks
• FY23 guidance for shipments of 187 - 192mt inclusive of approximately 1mt from Iron Bridge
and C1 cost for hematite of US$18.00 - US$18.75/wmt
• FY23 capital expenditure guidance (excluding FFI) of US$2.7 - US$3.1 billion, inclusive of sustaining and development capital, exploration and studies, decarbonisation and major projects
• FFI is progressing a portfolio of green energy projects, manufacturing initiatives and technology
developments with FY23 expenditure anticipated to be US$600 - US$700 million.
Fortescue Chief Executive Officer, Elizabeth Gaines, said, “The Fortescue team has delivered
excellent results for the June quarter, with record iron ore shipments of 49.5 million tonnes. This
outstanding operating performance has resulted in record FY22 shipments of 189 million tonnes, exceeding the top end of guidance. This was achieved in a challenging operating environment due to the impact of COVID-19 throughout the financial year. Despite industry-wide and global headwinds, Fortescue’s unique culture and Values has delivered these exceptional results and I am immensely proud of the performance of the team.
“We maintain a strong focus on safety and a commitment to zero harm, with TRIFR improving to 1.8 in the 12 months to 30 June 2022, 10 per cent lower than 2.0 at 30 June 2021. This reflects our core Value of Safety and the commitment to look out for our workmates and ourselves.

“Fortescue continued to significantly advance its decarbonisation objectives in the quarter, as evidenced by the strategic partnership with Tier 1 global equipment manufacturer Liebherr for the
development and supply of zero emission green mining haul trucks. The agreement leverages the capabilities and value created through Fortescue’s acquisition of Williams Advanced Engineering.
“Building on another year of record performance, our guidance for FY23 reflects our ongoing
commitment to optimising returns from our integrated operations and marketing strategy, with total
shipments in the range of 187 - 192 million tonnes.
“We remain focused on innovation and productivity to maintain our industry leading cost position and deliver strong operational performance. Together with our focus on investing in growth through the Iron Bridge Magnetite project and Fortescue Future Industries, we are well placed to advance
our transition to a global green energy and resources company and ensure our stakeholders continue to benefit from Fortescue’s success,” Ms Gaines said.

Operations
Production summary
(m wmt) FY22 FY21 Var (%) Q4 FY22 Vs Q3
FY22 (%) Vs Q4 FY21 (%)
Ore mined 228.8 226.9 1 59.2 15 (9)
Overburden removed 314.6 295.2 7 66.9 (2) (19)
Ore processed 188.7 185.8 2 46.8 6 (8)
Ore shipped 189.0 182.2 4 49.5 6 0
C1 cost (US$/wmt) 15.91 13.93 14 17.19 9 13
Volume references are based on wet metric tonnes (wmt). Product is shipped with 8-9 per cent moisture.
• Fortescue’s Total Recordable Injury Frequency Rate (TRIFR) was 1.8 for the 12 months to 30 June 2022, a 10 per cent improvement on 2.0 at 30 June 2021.
• A comprehensive COVID-19 risk management plan and business continuity measures remain in place to safeguard Fortescue team members and communities.
• Fortescue’s outstanding operating performance continued in Q4 FY22, with mining, processing, rail and shipping combining to deliver record shipments of 189.0mt in FY22, four per cent higher than FY21 and exceeding the top end of guidance of 188.0mt.
• FY22 represents the third consecutive year of record shipments, reflecting strong performance
across the entire supply chain and the successful integration of Eliwana which commenced operations in January 2021.
• The C1 cost in Q4 FY22 of US$17.19/wmt was nine per cent higher than the previous quarter due to higher diesel costs, labour rates and other consumables.
• The C1 cost in FY22 of US$15.91/wmt maintains Fortescue’s industry leading cost position, supported by an ongoing focus on productivity gains through innovation and technology.
• FY23 C1 cost guidance for hematite of US$18.00 - US$18.75/wmt reflects the lag effect of ongoing inflationary pressures, with the increase driven by diesel, labour rates, ammonium nitrate and other consumables together with mine plan driven cost escalation.
see & read more on
https://www.fmgl.com.au/docs/default-source/announcements/june-2022-quarterly-production-report.pdf?sfvrsn=ba667d94_4