With the current Mn ore price of US$8.13/dmtu S32 has a margin around AUD$250/tonne.
I don't think analysts realize this. The price is up more nearly 50% from last year. S32 produces more than 5 million tonnes from Australia and South Africa. A margin ofAUD$250/tonne equals a profit of $1.2billion.
Last year Mn ore price averaged US$4.91 to US$5.96/dmtu. The unit cost is US$1.55/dmtu. Therefore the current margin is around US$6.58/dmtu. Straightaway you can see that the increased margin has infact doubled.
Therefore the profit has doubled, plus the export volumes are UP.
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