BHP Billiton Ltd, the world’s largest mining company has posted its performance report for the fiscal year ending June 30, 2010, saying its fourth-quarter iron ore production rose 16%, driven by expansions at its Australian mines and surging global steel demand.



The diamond miner's report said the company "continues to be cautious on the short term outlook for the global economy. Uncertainty surrounds the near term prospects for growth in the developed world as governments adjust fiscal policies following a period of significant stimulus and subsequent increase in sovereign debt levels."



BHP Billiton's iron ore divisions experienced a particularly good fourth quarter, said the report, with production of iron ore and metallurgical coal both up 16% on a year before.



The company's diamonds production, however, was lower than all comparative periods. BHP attributed the overall 5% drop primarily to lower average grade, adding that during the year, a higher proportion of ore was sourced from the Fox pit at Ekati (Canada) as mining of the higher gradePanda underground was completed.



Other figures indicated that the miner's Petroleum Division delivered its third consecutive annual production record, following the successful delivery of a series of growth projects in the Gulf of Mexico (USA) and Australia.



BHP Billiton Shenzi and Pyrenees operations (in the US and Australia respectively) performed above their design capacity, as well. Western Australia Iron Ore achieved its tenth consecutive annual production record, and the Samarco operations in Brazil also achieved quarterly and annual production records.