Australian miner
Fortescue will pause its expansion in the Pilbara region of Western
Australia once its annual
iron ore output reaches 155 million mt next year, according to media reports.
The company's chief executive Neville Power is quoted as saying, "Once we achieve 155 million tons per annum, we will be generating enormously strong cashflows and we will look to pay back some of the debt we've used for this expansion phase."
Fortescue is planning to get an investment grade rating by repaying its debts.
Fortescue aims to increase its
iron ore output in Pilbara to 155 million mt per year by the middle of 2013. In March this year, the company raised US$2 billion through a bond sale to fund its Pilbara expansion.