Guinea’s Simandou iron ore exports surged in May

Shipments from the Moribaya Port of the Simandou Project hit 2.2 million tonnes in May, a sharp rise from 1.3 million tonnes in April. Monthly shipments stood below 600,000 tonnes throughout the first three months of this year.

The Simandou Project is projected to reach an annual shipping volume of 120 million tonnes once operating at full capacity, though it has long been plagued by operational hurdles. Analysts noted that improved loading efficiency at the port and pressure from the Guinean government to push cooperation between the two consortiums have likely driven the recent export surge.

So far this year, the majority of iron ore exported from Guinea has been destined for China. It remains unclear whether these high-grade ores have been fully absorbed by steelmaking demand.

The surge in shipments comes amid weak steel demand and elevated inventories in China. Traders are closely watching whether supplies from Simandou will replace shipments from Australia and Brazil, or further exacerbate the existing oversupply in the market.