Category Archives: Iron and steel

Fortescue under scrutiny as Australian crisis deepens

Michael Sainsbury Debt laden Fortescue Metals Group, the world’s fourth largest iron ore miner by production volume, is coming under growing market scrutiny amid slowing economic growth in China, the biggest importer of the commodity. Iron ore prices fell by more than half last year, from $134 in January to a low of $65.70 in

Read More

China loses grip on Indian Ocean as economy continues to sink

Michael Sainsbury Within the high walls of Zhongnanhai, the sprawling Chinese Communist Party leadership compound in central Beijing, there would have been conniptions after Maithripala Sirisena ran over the top of incumbent Mahinda Rajapaksa in last Thursday’s Sri Lankan presidential elections. Democracy had punched a hole in the CCP’s Indian Ocean strategy, commonly known as

Read More

BHP hopes productivity push can offset price slump

Michael Sainsbury As the global commodities cycle crashes with a reverberating thud, undercapitalised mining and energy companies are collapsing, mines are being closed to shore up cash flows and startup projects are being put on indefinite hold. After a decade in which prices and demand seemed destined to move ever upward, the slump is now

Read More

BHP says price to stay below $100 for foreseeable future

Michael Sainsbury Australia’s BHP Billiton, one of the world’s biggest mining companies, expects the price of iron ore to stay below $100 per metric ton for the foreseeable future, following a fall of nearly 50% this year. Two top executives from BHP Billiton, Jimmy Wilson, president of iron ore at left, and Mike Henry, president

Read More

Evolve ore die — the grim future of Australia’s steel industry

Michael Sainsbury The latest trade figures from China are in — and it’s not good used for our beleaguered Treasurer. As he prepares to release the Mid-Year Economic and Fiscal Outlook, Australian Treasurer Joe Hockey — May budget still not passed — could not have had worse news yesterday. He might, in fact, have felt queasy. China’s latest trade figures laid

Read More