PERTH (miningweekly.com) – Diversified major BHP Billiton has increased its full-year production guidance for iron-ore, helped by strong first-quarter performance from its Western Australia operations, and maintained its outlook for petroleum, copper and coal.

CEO Andrew Mackenzie said on Tuesday that the group’s quest for productivity gains was already yielding results, especially in its iron-ore business, where the deployment of mobile crushing units and the continued debottlenecking of the supply chain had underpinned a five-million-tonne increase in its 2014 financial year guidance to 192-million tonnes.

Iron-ore production for the first quarter to the end of September increased by 23% year-on-year, and by 2% quarter-on-quarter, to 49-million tonnes.

The Western Australian operations achieved record production of 54-million tonnes for the quarter under review, following the successful delivery of first production from the Jimblebar mine.

The Phase 1 capacity ramp-up at Jimblebar to 35-million tonnes a year would be completed by the end of the 2015 financial year.

The Western Australian operations were expected to deliver 212-million tonnes in the 2014 financial year.

BHP, which reported a record quarterly production from its petroleum division, maintained its outlook for petroleum at 250-million barrels of oil equivalent, its copper guidance at 1.7-million tonnes and its forecast coal production at 114-million tonnes.

The miner delivered 62.7-million barrels of oil equivalent in the September quarter. This was a 16% increase in liquids production on the previous corresponding period, which was underpinned by significant growth in onshore US volumes, and the start-up of a new production well at Atlantis.

An additional production well at Atlantis was scheduled for completion in the second half of the 2014 financial year.

For the quarter under review, total petroleum products increased to 62.7-million barrels of oil equivalent, which was a 2% increase year-on-year, and a 6% increase on the previous three months.

Copper production of 403 300 t during the quarter was up 6% on the previous corresponding period, but down 13% on the three months to June.

BHP explained that the decreased production, compared with the June quarter, reflected planned maintenance at the Escondida operation, in Chile; industrial action; and lower grades that were consistent with the mine plan.

Copper production from the Pampa North project also declined by 33% during the quarter under review, owing to lower grades and recoveries. Production from the Olymic Dam project, in Australia, was also affected by smelter reliability issues during the quarter.

As with copper, the group increased its metallurgical coal production on a year-on-year basis, but reported a quarter-on-quarter decline. Metallurgical coal production came in at 10.1-million tonnes, which was 14% more than the previous corresponding quarter, but 6% less than the June quarter.

BHP said that its September quarter performance was underpinned by the continued ramp-up of the Duania project, record quarterly production at South Walker Creek, and improved coal preparation plant performance at Blackwater and Saraji. However, this was partially offset by a planned longwall move at Crinum and scheduled maintenance at the plant at Goonyella Riverside and Peak Downs.

Illawarra coal production also decreased by 39% compared with the June quarter, and reflected an extended outage at Dendrobium and a scheduled longwall move at West Cliff.

Energy coal production improved by 3% on the September quarter of 2012 and by 6% on the previous quarter, to 20-million tonnes.