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Wednesday, 13 January 10
IRON ORE PRICE TIPPED TO RISE 40PC, SAYS ANZ


THE price battle in the controversial iron ore negotiations is expected to intensify.

ANZ senior commodities analyst Mark Pervan has increased his forecast for contract iron ore prices from a 20 per cent to a 40 per cent gain this year.

Mr Pervan said the prediction was at the top end of market consensus, which was on a 20 per cent to 40 per cent rise. But he said it could end up being conservative, with spot iron ore prices now 80 per cent above the current 2009 contract price.

"We expect the Chinese steel mills to negotiate the benchmark outcome, and early, on the fear of repeating last year's debacle when Japanese steel mills ended up striking an unpalatable outcome," he said.

"This creates more contract price upside, with little time left for super high spot prices to ease." Britain's Ocean Equities analyst Sam Spring said the balance of power in the negotiations remained with the major producers because the near- to medium-term outlook for iron ore remained supplied-constrained.

And it has been reported that the top three producers -- Rio Tinto, BHP Billiton and Brazil's Vale -- have not held significant pricing talks with China and are focusing on Japanese customers to reach a benchmark deal they can then present to China on a "take it or leave it" basis. To Read more
The Australian



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Recent News

Saturday, 02 January 10
INDONESIAS COAL OUTPUT RISES BY 5%
Indonesia, Asia’s largest coal exporter, produced 254 million tons of coal in 2009, a 5.8 percent increase from 2008 and well ahead of the gov ...


Saturday, 02 January 10
TAIPOWER FORECASTS COAL DEMAND TO SNAP DECLINE
Taiwan Power Co., Asia's biggest importer of thermal coal, expects its demand for the fuel to rise in 2010 after falling for two years as the islan ...


Friday, 01 January 10
COAL INDIA TO START IMPORTING DIRECTLY
According to sources, the coal major has already finalised tender document to import four million tonnes thermal grade coal for supplies to NTPC. Th ...


Thursday, 31 December 09
INDONESIA SEES 2010 MINING INVESTMENT UP 39 PCT
Reuters reported that, Indonesian mining investment is expected to hit $2.5 billion next year, up from $1.81 billion in 2009, supported by greater c ...


Thursday, 31 December 09
YANDICOOGINA BECOMES FIRST MINE IN AUSTRALIA TO PRODUCE 50 MILLION TONNES A YEAR
COALspot.com Press Release: Rio Tinto's Yandicoogina, Australia's largest-producing iron ore mine, has broken the 50 million tonne mark for annual ...


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