Brazil mineral output drops 17% in Q1

According to Mining News Pro - In Q1, mining companies in Brazil produced 220 million tonnes, reaching a production value of R$ 36 billion ($6.8 billion), with an emphasis on iron ore (63%) and gold (11%). Iron ore exports fell 16.5%, to 70 million tonnes.

“This reduction was mainly due to the heavy rains that hit the country earlier this year, declines in world growth rates and uncertainties in the financial markets,” Ibram said in a press release.

Ibram expects declines in production throughout 2020 with small resumes in production levels in the last quarter this year, and a gradual recovery in 2021.

The industry group expects a 45% drop in national mining production in 2020, according to a study from the Federation of Industries of the State of Minas Gerais.

Vale paid the most in mineral royalties — $541 million reals ($103 million).