(Reuters] -BHP Group fell short of its March quarter iron ore production estimates on Thursday, due to a labor crunch caused by a pandemic. The miner was unable to increase production in Western Australia’s mineral-rich Pilbara Region.

According to the world’s biggest listed miner, June quarter production of this steel-making commodity was also affected by worker absenteism. However, it said that it remains on track to reach fiscal 2022 volume and costs forecasts.

BHP’s large Escondida Chilean copper mine declined by 9% to 226.4000 tonnes (kt), in the third quarter. This is largely due to reduced worker numbers and roadblockades that restricted access to the site.

For fiscal 2022, the production guidance of the metal was reduced from 1,020 to 1,080 kt to 1,030 and 1,000 kt respectively.

Western Australia’s iron ore production was at 66.7 millions tonnes (Mt) during the same period. This is flat in comparison to last year but higher than the consensus of 70 mt, which Visible Alpha compiled.

It wasn’t until March that Western Australia was able to lift strict border controls put in place by the government to prevent the spread the pandemic. These measures left miners unable to find workers or train drivers, despite the fact that there was a lot of demand for them.

Rival Rio Tinto, (NYSE:), reported on Wednesday that iron ore shipping volumes for the three months ending March 31st were lower than anticipated. The company also raised concerns about sustained inflation, COVID-19 lockdowns and prolonged Russia-Ukraine conflict.

Mike Henry, Chief Executive of BHP, also stated that market volatility has increased and inflationary pressures are increasing due to the Ukraine crisis.

He said that while conditions should improve over the course of 2023’s calendar year, we still expect skills shortages to increase and a tight labour market in Australia, Chile, and the rest of South America to remain.