Kumba progresses Ultra-High Dense Media Separation project
Johannesburg – Kumba Iron Ore Limited in its ‘Overview of Q4 2025 and the full year 2025’ has reported that its production increased by 10% to 8.6 Mt in Q4 2025 (Q4 2024: 7.8 Mt), with full year output up by 1% to 36.1 Mt. Sales softened to 8.7 Mt in Q4 2025 (Q4 2024: 9.1 Mt), while increasing by 2% to 37.0 Mt for the year. Total finished stock remained unchanged at 7.5 Mt in Q4 2025 with 5.7 Mt on-mine and 1.8 Mt at port (Q4 2024: 7.4 Mt; 6.9 Mt on-mine; 0.5 Mt at port).
Kumba achieved an average realised free-on-board (FOB) export iron ore price of US$95 per wet metric tonne (wmt) (2024: US$92/wmt), outperforming the iron ore FOB benchmark price of US$85/wmt (2024: US$89/wmt) by 12%.
Fatality free record now exceeds nine years at Sishen and two years at Kolomela.
Kumba’s Chief Executive, Mpumi Zikalala, said: “Our solid performance in 2025 reflects the collective effort of our people and the resilience of our operations. As we strengthen the fundamentals of our business, we recognise the need to further improve asset reliability and enhance cost efficiency, while progressing the Ultra-High Dense Media Separation (UHDMS) project, a key enabler of long-term value creation. Our collaboration with Transnet, through the Ore Users’ Forum, combined with disciplined execution across the value chain, ensured delivery within the Company’s full year sales guidance and allowed us to benefit from a stable iron ore price environment. As we look ahead, we will continue to focus on our strategic priorities of safety, operational excellence and unlocking sustainable value for our stakeholders.”
Mining and production
Waste mining increased by 48% to 41.1 Mt (Q4 2024: 27.8 Mt), driven by a strong performance at both operations. Sishen increased by 30% to 32.5 Mt (Q4 2024: 25.1 Mt) and Kolomela delivered more than a three-fold increase to 8.6 Mt (Q4 2024: 2.7 Mt), This reflects the impact of the business reconfiguration in the comparative Q4 2024 period, as well as the planned ramp-up in waste mining. For the full year 2025, waste mining increased by 6% to 165.6 Mt (2024: 155.7 Mt). Volumes were at the lower end of the full year 2025 guidance of 166 – 182 Mt, largely due to asset reliability challenges.
Total production increased by 10% to 8.6 Mt (Q4 2024: 7.8 Mt), underpinned by a 15% uplift in Sishen’s production to 6.6 Mt (Q4 2024: 5.7 Mt), while Kolomela’s output decreased by 5% to 2.0 Mt (Q4 2024: 2.1 Mt). Kolomela’s production was reduced as planned to optimise plant feedstock levels and sustain a balanced value chain.
For the full year 2025, production increased by 1% to 36.1 Mt (2024: 35.7 Mt). Sishen’s output was marginally down by 1% to 25.3 Mt (2024: 25.7 Mt) due to a planned drawdown of on-mine stockpiles in the first quarter and plant maintenance interventions to facilitate the implementation of the UHDMS project. This was offset by a 7% increase in Kolomela’s production to 10.8 Mt (2024: 10.1 Mt), in line with our flexible approach to production.
Logistics, sales and the market environment
Ore railed to Saldanha Bay port increased by 2% to 8.6 Mt (Q4 2024: 8.4 Mt) in Q4 2025, despite two derailments following the ten day annual rail and port maintenance shutdown in October. Shipments were constrained by 26 days of single loading due to the planned refurbishment of a stacker reclaimer, as well as high wind speeds at the port.
As a result, sales in Q4 2025 decreased by 5% to 8.7 Mt (Q4 2024: 9.1 Mt). Notwithstanding this, sales for the full year 2025 increased by 2% to 37.0 Mt (2024: 36.3 Mt), supported by improved operational stability across the value chain.
Total finished stock ended the year flat at 7.5 Mt with 5.7 Mt (Q4 2024: 6.9 Mt) of on-mine stock and more optimal port stock levels of 1.8 Mt (Q4 2024: 0.5 Mt).
Iron ore market prices were underpinned by resilient Chinese pig iron production, on the back of strong export demand and stable supply from the major iron ore producers. Lump premium averaged US$0.14/dmtu for the year, despite pressure from high inventory levels and weak steel mill margins. Kumba achieved an average realised FOB export price of US$95/wmt, outperforming the benchmark FOB iron ore price of US$85/wmt by12% for the year.
Guidance
Kumba’s guidance is subject to Transnet’s logistics performance. Production guidance for 2026 is unchanged at 31–33 Mt and will be lower than 2025 reflecting the main tie-in of the UHDMS project, which is planned in the second half of 2026. Sales guidance for 2026 of between 35 – 37 Mt, includes the planned drawdown of finished stock. Production guidance for 2027 and 2028 are at 35 – 37 Mt.
