Page 1

June 2021 Quarterly Production Report FMG Fortescue 29 July 2021 Outstanding operating performance delivers record shipments for the June Quarter and FY21 Quarterly highlights • • • • • • • • • Total Recordable Injury Frequency Rate ( TRIFR ) improved to 2.0 in the 12 months to 30 June 2021 , 17 per cent lower than 2.4 at 30 June 2020 Record iron ore shipments of 49.3 million tonnes ( mt ) for the quarter and 182.2mt for FY21 , exceeding guidance of 182mt Record average revenue of US $ 168 / dry metric tonne ( dmt ) for the quarter , realising 84 per cent of the average Platts 62 % CFR Index , and US $ 135 / dmt for FY21 C1 cost for Q4 FY21 of US $ 15.23 / wet metric tonne ( wmt ) , two per cent higher than the previous quarter , with C1 cost for FY21 of US $ 13.93 / wmt in line with guidance Strong free cashflow generation contributed to cash on hand of US $ 6.9 billion and net cash of US $ 2.7 billion at 30 June 2021 , compared to net debt of US $ 1.0 billion at 31 March 2021 Total capital expenditure for FY21 of US $ 3.6 billion with first production achieved at Eliwana and continued development of the Iron Bridge and Pilbara Energy Connect ( PEC ) projects Fortescue Future Industries ' ( FFI ) stretch targets achieved to support Fortescue's pathway to decarbonisation Fortescue's Billion Opportunities procurement initiative celebrated its ten - year anniversary , with more than A $ 3 billion in contracts awarded to Aboriginal businesses and joint ventures FY22 guidance for shipments of 180 - 185mt and C1 cost of US $ 15.00 - US $ 15.50 / wmt FY22 capital expenditure guidance ( excluding FFI ) of US $ 2.8 - US $ 3.2 billion , inclusive of sustaining and development capital , major projects and exploration FFI is progressing a global portfolio of renewable green energy projects and decarbonisation technologies with FY22 expenditure anticipated to be US $ 400 - US $ 600 million . Fortescue Chief Executive Officer , Elizabeth Gaines , said " The Fortescue team has delivered excellent results for the June quarter , with record quarterly shipments of 49.3 million tonnes contributing to our highest ever annual shipments of 182.2 million tonnes in FY21 . " This was an outstanding performance despite the impact of wet weather , as well as COVID - 19 restrictions requiring many of our team members to remain on site for extended periods during WA's lockdowns . We greatly appreciate the ongoing cooperation of the entire Fortescue family as we continue to manage the impacts of COVID - 19 . " The strength of the operating performance , combined with record average revenue resulted in strong free cashflow generation in the June quarter as demonstrated by the movement from a net debt position at the end of March of US $ 1.0 billion to net cash of US $ 2.7 billion at 30 June . Fortescue Metals Group Ltd ABN 57 002 594 872 PO Box 6915 , East Perth , Western Australia 6004 Level 2 , 87 Adelaide Terrace , East Perth , Western Australia 6004 P +61 8 6218 8888 E fmgl@fmgl.com.au W www.fmgl.com.au Page 1 of 6