Brazilian miner Vale reported a 3.7% increase in iron ore production in Q2, reaching 83.6 million metric tons. The growth was driven by record output at the S11D project and strong performance at the Brucutu mine. Vale expects to produce 325-335 million tons of iron ore this year.

Citi analysts praised Vale’s “solid quarter” and noted the company is on track to meet its guidance. They anticipate the stock to trade inline tomorrow based on the positive performance.

Vale’s iron ore sales in Q2 totaled 77.3 million tons, a 3.1% decrease. The average realized price of iron ore fines fell by 13.3% to $85.1 per ton. Sales were impacted by a strategy to prioritize medium-grade products and stock replenishment.

Vale’s copper production increased by 18% to around 92,600 tons in Q2, with sales rising by 17% to approximately 89,000 tons. The company attributed the growth to higher grades achieved at various plants and projects in Brazil and Canada.

Nickel production saw a significant rise of 44% to about 40,300 tons, with sales increasing by nearly 21% to approximately 41,400 tons. Vale credited the improved performance of its Canadian assets and Brazilian mining projects for the growth. Vale is set to release its full Q2 earnings on July 31.

Read more at Yahoo Finance: Vale’s iron ore output up 4% with record Q2 at key mine