Atlas Iron Confirmed What Everyone Thought: It Has Been Selling Iron Ore At A Loss

Iron ore. Image: Atlas Iron.

With falling iron ore prices many investors have been suspecting some mid-tier miners have been running at a loss.

Releasing its December quarter report today, Atlas Iron confirmed that suspicion.

The miner revealed its net sale price for the December quarter was $63 a tonne. For the same period its all in cash cost per tonne was $66.

Here’s the table.

Over the December quarter Atlas shipped 3.8 million tonnes of iron ore and reduced its cost per tonne to $66, down from $69 in the September quarter.

Atlas managing director Ken Brinsden said the cost reduction ensured the company closed out the quarter with a cash balance of $169 million despite the challenging market conditions.

“At the same time, operations are exceeding our production guidance and we are strongly leveraged to any uptick in the Australian dollar price of iron ore,” he said.

Atlas shares were trading down 5.263% a short time ago to $0.18 a piece.

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