Kumba Production and Sales report for the first quarter ended 31 March 2026
28 April, 2026
Kumba’s Chief Executive, Mpumi Zikalala, said: “Safety is our first value, and we made excellent progress in the first quarter. Production was marginally lower as we managed our mine stockpiles to accommodate Transnet's planned logistics maintenance shutdown in May. Increased sales volumes were supported by improved finished stock levels and equipment availability at Saldanha Bay Port.
“In terms of our strategic priorities, as we position for a sustainable future, construction of Sishen's Ultra High Dense Media Separation project continues, with preparations underway for the main plant tie-in scheduled for the second half of 2026. Notably, Kolomela received its first wheeled renewable electricity from Envusa Energy, a joint venture between Anglo American plc and EDF Renewables, achieving a 72% reduction in scope 2 carbon emissions in March.
“More broadly, Kumba’s export sales routes to our markets in Asia and Europe remain open and have not been impacted by shipping disruptions caused by the conflict in the Middle East. Our supply chains have been secured for the remainder of this year, and we continue to closely monitor developments and manage potential associated risks, including cost inflation. Against this backdrop, we have maintained our full year 2026 guidance while staying focused on financial discipline and delivering sustainable stakeholder value."
Q1 2026 overview:
- Improved safety performance, while maintaining Sishen and Kolomela's fatality-free production record of nine years and more than three years, respectively.
- Total production of 8.8 Mt (Q1 2025: 9.0 Mt) was 2% lower, driven by Kolomela and partially offset by increased production at Sishen.
- Total sales increased by 3% to 9.3 Mt (Q1 2025: 9.0 Mt) on the back of improved logistics performance.
- Finished stock of 7.2 Mt (31 December 2025: 7.5 Mt) was comprised of 4.7 Mt (31 December 2025: 5.7 Mt) at the mines and 2.5 Mt at Saldanha Bay Port (31 December 2025: 1.8 Mt).
- Kumba achieved an average realised free on board (FOB) export iron ore price of US$93 per wet metric tonne (wmt) (Q1 2025: US$98/wmt), 8% above the Fastmarkets 62% Fe FOB equivalent price of US$86/wmt (Q1 2025: US$88/wmt).
| % change |
% change |
||||||
|---|---|---|---|---|---|---|---|
| Q1 | Q4 | Q3 | Q2 | Q1 | vs | vs | |
| 000 tonnes | 2026 | 2025 | 2025 | 2025 | 2025 | Q1 2025 | Q4 2025 |
| Waste mining | 39,158 | 41,088 | 44,175 | 39,817 | 40,485 | (3) | (5) |
| Production | 8,842 | 8,590 | 9,247 | 9,257 | 8,990 | (2) | 3 |
| Sales | 9,311 | 8,705 | 9,625 | 9,701 | 9,007 | 3 | 7 |
| Total waste mining | 39,158 | 41,088 | 44,175 | 39,817 | 40,485 | (3) | (5) |
| Sishen | 30,642 | 32,520 | 36,744 | 33,341 | 34,631 | (12) | (6) |
| Kolomela | 8,516 | 8,568 | 7,431 | 6,476 | 5,854 | 45 | (1) |
| Total production | 8,842 | 8,590 | 9,247 | 9,257 | 8,990 | (2) | 3 |
| Sishen | 6,257 | 6,560 | 6,347 | 6,427 | 5,955 | 5 | (5) |
| Kolomela | 2,585 | 2,030 | 2,900 | 2,830 | 3,035 | (15) | 27 |
| Total sales | 9,311 | 8,705 | 9,625 | 9,701 | 9,007 | 3 | 7 |
| Lump | 6,154 | 5,917 | 6,391 | 6,418 | 6,127 | - | 4 |
| Fines | 3,157 | 2,788 | 3,234 | 3,283 | 2,880 | 10 | 13 |
Safety
Kumba’s TRIFR improved to 0.49 (Q1 2025: 0.92) despite an 11% increase in hours worked, reflecting the meaningful progress made in strengthening our safety culture. This was driven by improved fatal risk management practices and reporting capability, leading to sustained increases in contractor utilisation.
Mining and production
Total waste mining decreased by 3% to 39.2 Mt (Q1 2025: 40.5 Mt), reflecting lower waste mining at Sishen. The decrease of 12% to 30.6 Mt (Q1 2025: 34.6 Mt) at Sishen was largely due to seasonal weather disruptions resulting in challenging mining conditions and low shovel reliability. Kolomela's waste mining increased by 45% to 8.5 Mt (Q1 2025: 5.9 Mt), in line with the planned ramp-up in waste mining and the higher strip ratio guided for 2026.
Kumba's total production decreased by 2% to 8.8 Mt (Q1 2025: 9.0 Mt), largely driven by a 15% decrease at Kolomela to 2.6 Mt (Q1 2025: 3.0 Mt), due to a planned drawdown of finished stock to accommodate production that will continue during the scheduled 10-day Transnet maintenance shutdown in May. Sishen's production increased by 5% to 6.3 Mt (Q1 2025: 6.0 Mt), driven by improved feedstock quality and plant performance.
Logistics, sales and marketing
Ore railed to port by Transnet decreased by 1% to 9.7 Mt (Q1 2025: 9.8 Mt) as adverse weather conditions led to a rail wash-away in February, impacting 0.4 Mt of iron ore rail volumes. Despite this, high port stock volumes and improved port equipment performance resulted in sales increasing by 3% to 9.3 Mt (Q1 2025: 9.0 Mt).
Following the drawdown of mine stockpiles at Kolomela and increased sales, total finished stock decreased to 7.2 Mt (31 December 2025: 7.5Mt). Stock at our mines was 4.7 Mt (31 December 2025: 5.7 Mt) with stock at Saldanha Bay Port at 2.5 Mt (31 December 2025: 1.8 Mt), which include shipments in-transit.
Iron ore market fundamentals remained supported by demand from China, Other Asia and Europe and supply was constrained by seasonal weather disruptions in the southern hemisphere towards the end of Q1. Iron ore prices and lump premium, which were initially under pressure due to weak steel mill margins in China, recovered in March on restocking and increased blast furnace utilisation rates.
Kumba's iron (Fe) content averaged 63.7% (Q1 2025: 64.2%), with an average lump to fine ratio of 66:34 (Q1 2025: 68:32), as fewer lump products were sold during the period of softer lump premium. This, combined with the iron ore market price dynamics in Q1, resulted in Kumba achieving an average realised FOB export price of US$93/wmt, 8% above the Fastmarkets 62% Fe FOB equivalent price of US$86/wmt.
Full year 2026 guidance update
Subject to Transnet's logistics availability and performance, Kumba’s full year 2026 guidance (announced at the Company’s annual results presentation on 19 February 2026) is unchanged. Sishen's production will be weighted to the first half of 2026, due to the tie-in of the UHDMS project in the second half of 2026, with sales not expected to be impacted owing to the planned drawdown of finished stock.
| Guidance | FY2026 |
| Total sales (Mt) | 35 - 37 |
| Total production (Mt) | 31 - 33 |
| Sishen | ~22 |
| Kolomela | ~10 |
| Waste stripping (Mt) | 180 - 195 |
| Sishen | 135 - 145 |
| Kolomela | 45 - 50 |
| On-mine unit cost (R/t) | |
| Sishen | 530 - 560 |
| Kolomela | 430 - 460 |
| C1 unit costs ($/t) | ~45 |
| Capital expenditure (Rbn) | 13.2 - 14.2 |
Volumes, excluding waste mining, and on-mine unit costs, are reported as wet metric tonnes (wmt). Product is shipped with ~1.5% moisture. The Group's sales volumes could differ to Kumba's results, due to sales to other Group companies. Foreign exchange rate used for 2026 costs is ~R16.00/US$.
Production and sales volumes for the period are 100% of Sishen Iron Ore Company Proprietary Limited (SIOC), and are attributable to shareholders of Kumba as well as the non-controlling interests in SIOC.
This announcement contains forward-looking statements which are based on the Company’s current assessment and expectations about future events, including the effects of the conflict in the Middle East. The operational and financial information contained in this announcement has not been reviewed and reported on by the Company's external auditors and is the responsibility of the board of directors of Kumba.
Johannesburg
28 April 2026
Sponsor
RAND MERCHANT BANK (A division of FirstRand Bank Limited)
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