theflasherman Posted May 29, 2006 Author Share Posted May 29, 2006 CHINA IRON ORE BEIJING/SHANGHAI, May 29 Reuters - Chinese steel mills have decided to accept a 19 percent price hike for iron ore, putting an end to months of negotiations with the world's top miners, including Brazil's CVRD, industry sources said late on Monday. The sources said the decision came after a Beijing meeting of the country's top 16 mills, headed by Baosteel Group. This would put Chinese mills in line with top steel makers around the world, including Arcelor and South Korea's POSCO, which have already accepted the 19 percent price rise first settled by ThyssenKrupp AG. No comment was immediately available from Baosteel, which headed the negotiations with the miners, Companhia Vale do Rio Doce, (CVRD), Rio Tinto Ltd./Plc. and BHP Billiton Ltd./Plc. CVRD officials were also not immediately available to comment. Last year iron ore miners won a 71.5 percent price hike on the back of growing demand for ore to keep pace with China's expanding steel making sector. The Chinese industry had held off on accepting the price, even as other Asian and European steelmakers fell into line. China, the world's top importer of iron ore, had claimed the right to lead negotiations and resented that smaller mills had set the prices. The profits of Chinese mills have been squeezed in part due to fierce competition among mills that are fighting for survival following rapid expansion. Reuters tcs 30-05 0625 Link to comment Share on other sites More sharing options...
favshare Posted May 30, 2006 Share Posted May 30, 2006 HI guys, I am very new to the iron industry so please be patient with my questions. My questions have all come about because I heard something this morning from a Mining engineer that pricked my ears. He mentioned that iron is actually not that abundant that there is really only 3 large sources of Iron in the world, that being Brazil and two in Western Australia. My question is, does that information sound about right and could anybody share with me the name or share code of these companies that are involved especially any penny hopefuls. Any info would be great. http://www.sharescene.com/html/emoticons/biggrin.gif Link to comment Share on other sites More sharing options...
ewere Posted May 30, 2006 Share Posted May 30, 2006 have a look at the shn story it might cover the criteria you want. Link to comment Share on other sites More sharing options...
jaded Posted May 30, 2006 Share Posted May 30, 2006 In reply to: favshare on Tuesday 30/05/06 10:51am AQD is currently in a j/v with RIO with full facilities and infrastructure available, worth going over AQD's past 6 months asx announcements. Good luck http://www.sharescene.com/html/emoticons/wink.gif Link to comment Share on other sites More sharing options...
favshare Posted May 30, 2006 Share Posted May 30, 2006 Thanks so much guys for the info. http://www.sharescene.com/html/emoticons/biggrin.gif Link to comment Share on other sites More sharing options...
datum Posted May 30, 2006 Share Posted May 30, 2006 In reply to: favshare on Tuesday 30/05/06 11:51am the following thoughts are purely from memory, so buyer beware. i think iron ore is abundant, but the engineer might be refering to the quality/grade. The rio/bhp/cvrd cartel control 75% of the world"s seaborne trade. Grade is very important , for example 63% Fe i believe is considered high grade. But if it drops even slightly to say 55-58% Fe it is considered low grade or requires additional processing. I also read an article recently that the pilbara region in W.A. is the worlds single largest concentrated area for high grade iron ore. I.E. Their is probably a lot of high deposits around the world but they are smaller & spread over wide area. The chinese recently had an iron ore discovery , i believe from memory, it was a billion tonnes or in the billions. But it was only 40% grade, so it is uneconomic to mine. To draw a comparsion between the gold industry, as the gold price has risen uneconomic mines became profitable so were put back into production. The super pit in W.A. averages 5 grams per tonne, but gold mines now might be profitable at 3 grams a tonne. So the same thing might apply to lower grade iron ore mines, if the price keep rising Link to comment Share on other sites More sharing options...
theflasherman Posted May 30, 2006 Author Share Posted May 30, 2006 Iron-ore market to remain tight into 2007, but oversupply risk real ÃÆâ€â„¢ÃƒÆ’ƒâہ¡ÃƒÆ’‚¢ÃƒÆ’¢Ã¢Ã¢Ã¢Ã¢â€š¬Ã…¡Ãƒâ€šÃ‚¬ÃƒÆ’…¡Ãƒâہ¡ÃƒÆ’‚¬ÃƒÆ’¢Ã¢Ã¢Ã¢Ã¢â‚¬Å¡Ã‚¬Ãƒâ€¦Ã‚¡ÃƒÆ’‚¬Ãƒâ€Â¦ÃƒÆ’¢Ã¢Ã¢â‚¬Å¡Ã‚¬Ãƒâ€¦Ã¢â‚¬Å“ report http://metalsplace.com/metalsnews/?a=5319 Link to comment Share on other sites More sharing options...
early birds Posted June 11, 2006 Share Posted June 11, 2006 ugly resalts of this battle. my fear become to reality. http://www.dailytimes.com.pk/default.asp?p...1-6-2006_pg5_29 Link to comment Share on other sites More sharing options...
neutron Posted June 11, 2006 Share Posted June 11, 2006 BRAZILIAN iron ore giant Companhia Vale do Rio Doce is looking at expanding its mining and exploration operations in Australia, which will increase its head-to-head competition with BHP Billiton and Rio Tinto.... http://www.theage.com.au/news/business/bra...9964410584.html Link to comment Share on other sites More sharing options...
theflasherman Posted June 12, 2006 Author Share Posted June 12, 2006 Interesting interview with a chap from CVRD.... http://metalsplace.com/metalsnews/?a=5516 Link to comment Share on other sites More sharing options...
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