http://www.minews.ir/Mines Fri, 12 Jan 2018 10:30:04 GMT News Studio(News Distribution System http://www.minews.ir/skins/default/en/{CURRENT_THEME}/ch01_newsfeed_logo.gif http://www.minews.ir/ 100 70 en Produced by Minews Fri, 12 Jan 2018 10:30:04 GMT Iron Ore 60 http://www.minews.ir/en/doc/news/26996/iron-ore-in-retreat-as-weak-data-parade-cuts-fan-demand-concern (Minews) - Iron ore is poised for the first weekly drop in more than a month on concern that demand will ease in China as data showed further weakness in the economy and mills around the capital were ordered to curb output for a parade.Ore with 62 percent content at Qingdao is 1.6 percent lower this week after a run of five weekly advances, according to Metal Bulletin Ltd. Prices lost 1 percent to $55.84 a dry metric ton on Thursday, dropping for the fourth time in five days.Iron ore tumbled last month to the lowest level in at least six years as Rio Tinto Group and Vale SA boosted low-cost supplies, swelling a global glut just as China’s economy slowed. Some mills around Beijing have been ordered by the government to cut output to clean up the air for the parade in early September, with RBC Capital Markets LLC saying the curbs would hurt demand. A private gauge of Chinese manufacturing on Friday sank to the lowest level in more than six years.“Expectations that steel output cuts will translate to weaker demand for iron ore are weighing on prices,” Dang Man, an analyst at Maike Futures Co. in Xi’an, China, said by phone. “It will be difficult to see big rises in iron ore over the next two weeks. Beyond that, demand will still be weak.”The parade will be held on Sept. 3 to mark the 70th anniversary of Japan’s surrender in World War II. Before that, Beijing will host the world track and field championships. The restrictions on mills follow similar moves made last year for the Asia-Pacific Economic Cooperation meeting in Beijing.Lost OutputAs much as 6 million tons of steel output may be cut, more than was lost for the summit last year, according to Mysteel Research’s chief analyst Xu Xiangchun. The disruption -- which covers plants in Hebei, the top steel-making province -- may reduce iron demand by about 10 million tons, according to Australia & New Zealand Banking Group Ltd.The preliminary reading of China’s Purchasing Managers’ Index from Caixin Media and Markit Economics was at 47.1 for August, compared with the final print of 47.8 for July, private data showed Friday. The release is the first major indicator for August and follows weaker-than-expected data on investment, industrial output, retail sales and exports in July.Global steel production fell 3.8 percent to 132.9 million tons in July from a year earlier, according to the World Steel Association, which collates figures from 65 countries. In the first seven months, production dropped 2.1 percent.“The impact of weaker spot demand around Beijing appears to be taking its toll,” ANZ said in a report on Friday. Sentiment was also by hurt by the news that global steel output contracted, it said. ]]> Iron Ore Fri, 21 Aug 2015 04:38:39 GMT http://www.minews.ir/en/doc/news/26996/iron-ore-in-retreat-as-weak-data-parade-cuts-fan-demand-concern http://www.minews.ir/en/doc/news/26995/cheap-australian-iron-ore-feeding-china-steel-glut-like-a-bad-virus (Minews) - Rio and BHP Billiton have come under criticism both locally and abroad for expanding output into an oversupplied market.Steel exports from China will surge to more than 100 million metric tons this year as local mills benefit from cheap iron ore to produce more than Asia's top economy needs, according to Cliffs Natural Resources."It's like a bad virus," Lourenco Goncalves, chief executive officer of the largest US iron-ore producer, said in a phone interview from the company's headquarters in Cleveland. "Australia continues to give iron ore to China almost for free, allowing them to produce more than they need."Shipments from the biggest producer are headed for a record this year as slowing local demand prompts mills to seek overseas buyers, driving down prices and spurring trade tensions from the US to India. At the same time, the largest iron-ore miners including Australia's Rio Tinto Group are boosting output to expand sales. China's steel shipments were called extraordinary by Credit Suisse Group, which said last month they were now in line with total output from Japan, the No. 2 producer."What China is exporting alone is bigger than the second-biggest producer of steel in the world: it is crazy," Goncalves said on Wednesday. "With the massive sales of iron ore to China - enabling China to produce a lot more than China actually needs for consumption - there's a glut of exports."Shipments of steel from China surged 9.5 per cent to 9.73 million tons in July, according to customs data. In the first seven months, exports rose 27 per cent to 62.13 million tons, the highest ever for the period, data compiled by Bloomberg show.Exports from China are forecast to expand 21 per cent to 111 million tons in 2015, according to a projection from Colin Hamilton, head of commodities research at Macquarie Group. That compares with 53 million tons in 2013."The difficult condition in the Chinese steel market is the main driver for the export gains," said Anurag Soin, an analyst at Australia & New Zealand Banking Group. Still, the iron-ore miners' focus on market share at the expense of price has given Chinese mills a cheap avenue to overproduce, he said.Cliffs also owns iron-ore mines in Australia that Goncalves is seeking to sell. He took the helm in 2014 after an activist-investor revolt, promising to end Cliffs' vulnerability to the oversupplied seaborne market. Cliffs' stock fell 80 per cent in the past 12 months as iron and steel prices tumbled.Rio and BHP Billiton have defended their policy of expanding output into an oversupplied market. Rio's Sam Walsh said in February if it cut output, forfeited supply would be made up by rivals. Alan Chirgwin, iron-ore marketing vice president at BHP, said in May the miner's strategy was rational.Iron ore with 62 per cent content delivered to Qingdao fell 1 per cent to $US55.84 a dry ton on Thursday, according to Metal Bulletin Ltd. While prices rose 25 per cent since bottoming at $US44.59 on July 8, a record in data going back to 2009, they're still down 22 per cent this year. In 2014, they lost 47 per cent."Everyone is complaining about Chinese steel exports," Wang Yingsheng, deputy secretary-general of the China Iron & Steel Association, said in an interview. While the volume of shipments shows the good appetite from foreign clients, it also indicates overcapacity and weakening demand in China, Wang said. ]]> Iron Ore Fri, 21 Aug 2015 04:36:45 GMT http://www.minews.ir/en/doc/news/26995/cheap-australian-iron-ore-feeding-china-steel-glut-like-a-bad-virus http://www.minews.ir/en/doc/news/26884/iron-ore-rally-seen-overdone-by-anz-as-steel-demand-weakens (Minews) - The recent rally in iron ore is unlikely to be sustained, according to Australia & New Zealand Banking Group Ltd., which highlighted the risk of losses after prices capped the longest run of weekly gains in a year.While shipments to China were disrupted last week after explosions at Tianjin’s port, weak steel demand suggests price gains are overdone, the bank said in a report on Monday. Ore with 62 percent delivered to Qingdao rose 0.6 percent to $56.74 a dry metric ton last week to post a fifth straight climb, Metal Bulletin Ltd. data showed. The price hit $57.02 on Thursday, the highest since July 1, after the blasts late on Wednesday.Iron ore rebounded over the past five weeks from the lowest since at least 2009 as rebar prices advanced in China, and some mills were expected to boost output before state-ordered clean-air curbs for a parade in Beijing. Weakening demand for steel in the country this year is spurring mills to boost exports to a record, heightening trade tensions.“A slowdown in Chinese domestic steel demand has triggered a strong wave of steel exports,” ANZ said. “Exports are up 26 percent year-to-date, despite the removal of a supportive 10 percent export rebate at the start of the year.”ANZ backed bets on losses in iron ore in a note on Aug. 11, recommending that investors sell October swaps with a one-month target of $47 a ton. Iron ore supplies are set to expand, while steel demand in China slows, the bank said.The explosions in Tianjin, which killed more than 100, disrupted iron ore cargoes before normal services resumed. BHP Billiton Ltd. said on Friday that the iron ore berths in Tianjin were operating as normal, while Fortescue Metals Group Ltd. said there was no impact on shipments. Brazil’s Vale SA said no damage was reported to the Tianjin berths.Iron ore futures for September lost as much as 1.8 percent to $52.06 a ton on Singapore Exchange Ltd., and traded at $52.50 at 11:53 a.m. local time. On the Dalian Commodity Exchange, most-active prices declined as much as 1.3 percent. ]]> Iron Ore Mon, 17 Aug 2015 07:20:43 GMT http://www.minews.ir/en/doc/news/26884/iron-ore-rally-seen-overdone-by-anz-as-steel-demand-weakens http://www.minews.ir/en/doc/news/26867/magnitogorsk-waits-for-iron-ore-rebound-to-sell-fortescue-stake (Minews) - OAO Magnitogorsk Iron & Steel plans to wait for a recovery in the iron ore market to sell its 5 percent stake in Fortescue Metals Group Ltd.Magnitogorsk is looking for higher prices, which may happen if there’s a merger between major iron ore suppliers that reduces some of the oversupply, Chief Financial Officer Sergey Sulimov said in an interview on Aug. 13. Without industry consolidation, low prices and slowing demand for the raw material used in steel production may persist for a decade, according to Sulimov.“We are ready to wait for the next chance,” he said from Moscow. “The current value of the stake is close to what we have paid for it.”Fortescue, the world’s fourth-largest iron ore miner, is trading near a six-year low after the shares plunged 35 percent this year. The company has been hit by a glut of iron ore around the world after the biggest producers expanded production in a bet on a higher demand from China, whose economy is now slowing down. Prices for iron ore are near the lowest since since at least 2009.Magnitogorsk, controlled by billionaire Victor Rashnikov, started to built the stake in Fortescue in 2006 and was considering a sale in 2014.The current market value of the holding is around $200 million, according to data compiled by Bloomberg. In the past, the company received offers of $1 billion, Sulimov said.Iron OreMagnitogorsk is benefiting partly from the decline in iron ore because it can buy the raw material, used in steel production, cheaply from suppliers, such as Kazakh Eurasian Natural Resources Corp. and Russia’s Metalloinvest Holding Co.In March, Magnitogorsk returned the license to mine the Prioskolskoye iron ore deposit in central Russia back to the state, Sulimov said. It had bought the license in 2006.Magnitogorsk may consider buying some distressed assets, including in coal. Sulimov said the company decided to keep and develop its OAO Belon coal unit, which supplies Magnitogorsk with as much as 40 percent of the coal it needs.While the company looked into selling it last year, rising borrowing costs in Russia after sanctions prevented the deal as none of the bidders was able to pay the fair value for the unit, according to Sulimov. ]]> Iron Ore Sun, 16 Aug 2015 21:49:54 GMT http://www.minews.ir/en/doc/news/26867/magnitogorsk-waits-for-iron-ore-rebound-to-sell-fortescue-stake http://www.minews.ir/en/doc/news/26577/kiocl-to-import-2-mn-tonnes-of-iron-ore-from-iran-brazil (Minews) - The state-owned KIOCL will procure one million tonne (MT) of iron ore each from private miner Anglo American from Brazil and Gol Gohar Mining Company of Iran with the first shipment expected next month. KIOCL (earlier Kudremukh Iron Ore Company) produces iron ore concentrates and iron oxide pellets for domestic firms and also exports the same to companies in Iran,Taiwan and others. The Mangalore-based company will import iron ore and make pellets, which will then be exported, primarily to Iran."We are procuring high grade iron ore from Anglo American from Brazil. The quantity is around a million tonnes and the first shipment is expected in September," KIOCL Chairman and Managing Director Malay Chatterjee told PTI. Last year, the government permitted KIOCL to export its own manufactured iron ore pellets either by itself or through any entity authorised by them for the purpose. "On the other hand, we are in the final stages of talks with Gol Gohar Mining company of Iran for a tie up to import about 1 MT of iron ore. It is expected to be formalised in a month, post which the first shipment can take another week to reach Mangalore port," he added. Anglo American -- which also mines diamonds through its arm De Beers -- will supply iron ore from its Minas-Rio mines in Brazil, while Gol Gohar will supply the mineral from its mine in the Kerman province of Iran. On importing iron ore from Iran, Chatterjee said iron ore from Iran can arrive in India in four days via port of Bandar Abbas and land at Mangalore. The firm expects to sell up to 2 million tonnes of iron ore pellets to Iran. "This can be a perfect example for 'Make in India'. We have already supplied 50,000 tonnes of high grade iron ore pellets to Iran and expect to sell 1-2 MT more," he added. KIOCL has sold iron ore pellets to the Mobarakeh steel company in Isfahan province of Iran. Iran produces around 22 MT of iron ore pellets and it imports close to 8-9 MT meet shortfall from MENA, Australia and South America. "KIOCL wants to import iron ore and make pellets and sell it to Iran to capitalise on this 8-9 MT opportunity. Besides, we are strategically located on the west coast with close proximity to markets in the Gulf region and Iran," Chatterjee said. Karnataka has also started the process for allotting captive iron ore mines to KIOCL. The company, under the Ministry of Steel, has a pellet plant of 3.5 MT per annum capacity and a pig iron plant of 2.6 lakh tonnes per annum capacity. ]]> Iron Ore Sun, 02 Aug 2015 18:03:00 GMT http://www.minews.ir/en/doc/news/26577/kiocl-to-import-2-mn-tonnes-of-iron-ore-from-iran-brazil http://www.minews.ir/en/doc/news/26478/iron-ore-seen-at-35-by-clarksons-as-port-stockpiles-rebound (Minews) - For a clue about where iron ore prices are headed, watch port stockpiles in China.Holdings will probably extend a rebound from a 19-month low as supply rises, according to Clarksons Platou Securities Inc., the world’s largest shipbroker, which says prices may slump to $35 a metric ton in the second half. Inventories, at 82.5 million tons last week, may climb to 95 million tons by September, said Australia & New Zealand Banking Group Ltd.“With our view that Chinese steel production will end the year down year-on-year, it has to go somewhere and port stocks are the logical place,” Jeremy Sussman, a New York-based analyst at Clarksons, said by e-mail.Iron ore’s been whipsawed this year, tumbling to the lowest level in at least six years earlier this month before rallying near to bull-market territory. The world’s biggest mining companies including BHP Billiton Ltd. and Vale SA raised output even as demand growth stalled in China, seeking to boost sales and cut costs. Further gains in low-cost production may cause prices to plunge into the $30s, according to Citigroup Inc.“Stock levels may start to grow modestly in the months ahead as supply growth accelerates once again but, in a buyers’ market, this is likely to come at the expense of further price declines,” Goldman Sachs Group Inc. said in a report on Monday. The bank sees iron ore dropping for the next four quarters.Record LowOre with 62 percent content delivered to Qingdao rose 2.1 percent to $53.45 a dry ton on Tuesday, the highest level in more than three weeks, according to Metal Bulletin Ltd. Prices that sank to $44.59 on July 8, a record in data going back to May 2009, gained 19.9 percent since then. A bull market is typically defined as a gain of 20 percent from a closing low.The port inventories contracted from a record 113.7 million tons in July 2014 to a low of 79.4 million tons in June after four quarterly declines, according to weekly data compiled by Shanghai Steelhome Information Technology Co. The 21 percent drop in the three months to June helped prices rally 16 percent.The principal reason for the port-stockpile buildup is a slowdown in China’s steel demand, according to ANZ analyst Anurag Soin. Activity will remain weak for the next two months, driving port stockpiles higher, he said in an e-mail.Steel output in China fell 1.3 percent in the first half after peaking last year, according to the China Iron & Steel Association. As apparent consumption dropped 4.7 percent in the first six months of 2015, more mills were looking for overseas sales, the group said in a statement this week.Mills in China are focused on exporting their surplus, triggering a series of anti-dumping investigations, said ANZ’s Soin. That poses the risk this avenue for the disposal of the surplus may slow, said Soin.Stock in Rio Tinto Group rose 1.4 percent to 2,440.5 pence in London, gaining for a second day as BHP advanced 1.1 percent. Earlier in Sydney, Fortescue Metals Group Ltd. rallied 7.4 percent to the highest close since July 2. ]]> Iron Ore Wed, 29 Jul 2015 13:45:17 GMT http://www.minews.ir/en/doc/news/26478/iron-ore-seen-at-35-by-clarksons-as-port-stockpiles-rebound http://www.minews.ir/en/doc/news/26261/iron-ore-supply-to-overwhelm-weak-china-demand-goldman-predicts (Minews) - Rising seaborne iron ore supplies over the next two quarters will probably overwhelm weak demand from mills in China, according to Goldman Sachs Group Inc., which said that a global glut was entering its second year.While housing starts in China have recovered and infrastructure has overtaken property to become the largest market for steel, an improvement this half may not be strong enough to support iron ore, the bank said in a report. Prices are seen dropping over the next four quarters, from $49 a metric ton through September to $44 by the April-to-June period of 2016, according to analysts Christian Lelong and Amber Cai.Iron ore sank to the lowest since 2009 this month amid concern that the biggest mining companies including Rio Tinto Group, BHP Billiton Ltd. and Vale SA are intent on boosting low-cost supply even as demand falters. Imports by China fell in the first six months of the year, while local mills sold a record amount of output overseas. BHP, which is set to report quarterly production data tomorrow, said on Tuesday it’s spending $240 million to upgrade tug-boat operations at Port Hedland.“We expect seaborne supply to increase sequentially over the next two quarters and to gradually overwhelm the weak demand from Chinese steel mills,” the analysts wrote in the July 20 report. “The next phase of rebalancing the iron ore market will play out primarily among marginal seaborne producers.”Iron ore with 62 percent content delivered to Qingdao rose 3.4 percent to $52.39 a dry ton on Monday, the highest since July 3, according to Metal Bulletin Ltd. The price sank to $44.59 on July 8, the lowest for data going back to May 2009, and is 26 percent lower this year.Stocks MixedIn London, Rio Tinto dropped 0.3 percent to 2,584.5 pence at 9:08 a.m. local time, while shares of BHP climbed 0.8 percent. Fortescue Metals Group Ltd., Australia’s third-biggest shipper, lost 0.3 percent in Sydney.Goldman’s team recently met in China with several banks, developers and producers in the steel, mining and building-materials industries to gauge the outlook, according to the report. While there was a widely held view steel demand would improve in the second half, any pickup may not be strong enough to support iron ore as seaborne supply gains, the bank said.Australian shipments will expand to 785 million tons in 2016 from 764 million tons this year, while Brazilian exports will rise to 411 million tons from 367 million tons, the bank forecast. Global iron ore demand will shrink 1.3 percent this year, before expanding 1.1 percent in 2016, it said.Kumba Iron Ore Ltd., Africa’s top producer, reported on Tuesday first-half profit fell 61 percent, axing its dividend for the first time since it began trading in 2006. Prices are expected to remain under pressure as Australian and Brazilian miners increase supply and demand growth slows, Kumba said.BHP plans to add six more tugs and carry out other works at Port Hedland, the Western Australian port it uses to export cargoes. The work will mitigate risks of a channel blockage at the port, the world’s biggest bulk-export terminal, Jimmy Wilson, BHP’s iron ore president, said in a statement. ]]> Iron Ore Tue, 21 Jul 2015 17:26:04 GMT http://www.minews.ir/en/doc/news/26261/iron-ore-supply-to-overwhelm-weak-china-demand-goldman-predicts http://www.minews.ir/en/doc/news/26093/iran-iron-ore-mining-royalties-down-70 (Minews) - China produced 327 million tonnes of coal in June, down 4.9 percent from the same period last year, with major producers slashing output to minimise losses, according to data from the country's statistics bureau.Production in the first six months reached 1.789 billion tonnes, down 5.8 percent compared with the same period of 2014, the National Bureau of Statistics said.Coking coal production in June also fell 6.9 percent on the year to 38.38 million tonnes.Beijing has been trying to ease its dependence on coal and encourage new sources of energy as part of its war on pollution, but it is the economic downturn that has had the biggest impact on the sector, with supply outstripping demand and prices down more than 20 percent so far this year. ]]> Iron Ore Sat, 18 Jul 2015 17:51:39 GMT http://www.minews.ir/en/doc/news/26093/iran-iron-ore-mining-royalties-down-70 http://www.minews.ir/en/doc/news/26091/vale-cuts-25-million-tonnes-of-high-cost-iron-ore-production (Minews) - Vale plans to cut 25 million metric tonnes of high cost iron ore from its portfolio, but analysts say the move will do little to help the depressed price of the commodity.Vale’s executive director, Peter Poppinga, says the decision is based on predictions that the iron ore market will remain oversupplied into 2016.However, even with the production cuts, Vale says it still aims to produce 340 million tonnes of iron ore in 2015.This means the 25 million tonnes it stops producing will be replaced by low-cost supply- a move which could trigger the further collapse of iron ore prices.Last week the price of iron ore hit a new record low of $US44.10 per tonne. The commodity has since gained some ground to last close at $US49.90 per tonne.Vale’s stocks were up 8.8 per cent on the NYSE, but analysts warn not to expect a major price rise for iron ore."This will not lead to higher iron ore prices in the short term - it could even have the opposite effect," Morgan Stanley analysts wrote in a report.This is because it means more low-cost material will be hitting the market, doing little to impact supply and demand. ]]> Iron Ore Wed, 15 Jul 2015 17:09:40 GMT http://www.minews.ir/en/doc/news/26091/vale-cuts-25-million-tonnes-of-high-cost-iron-ore-production http://www.minews.ir/en/doc/news/26071/little-joy-for-iran-s-private-iron-ore-exporters-from-nuclear-deal (Minews) - Its nuclear deal with world powers bodes well for Iran's crude oil sales but offers less for Tehran's second biggest export, iron ore, as low prices squeeze private miners out of business.Most of Iran's private iron ore mines face shutting down if prices remain at or below current levels, hurting its exports and ceding even more market share to the world's top miners, an Iranian industry executive said.Iron ore has lost about a third of its value this year. Prices tumbled 11.3 percent last Wednesday to a decade low of $44.10 per ton as major miners boost output amid falling demand in a bid to push out smaller producers."Almost the total production of private iron ore mines will shut down if iron ore keeps below $45 or $50 a ton level. I heard from a few private mine owners that they will shut down," said Keyvan Ja'fari Tehrani, who oversees international affairs at the Iranian Iron Ore Producers and Exporters Association.Iran's Ministry of Mine, Trade and Industry was not available for immediate comment.Small, higher-cost miners are under immense pressure from the price rout.Goldman Sachs has said that up to half of the world's iron ore output by miners outside the top three producers - Vale, Rio Tinto and BHP Billiton - is at risk of closure.Consultants Wood Mackenzie estimate that by 2020, Vale, Rio Tinto, BHP Billiton and Fortescue Metals Group will account for 69 percent of global iron ore exports, up from 55 percent in 2010.Iran and six major world powers reached an historic nuclear deal on Tuesday to lift sanctions in return for Tehran agreeing to long-term curbs on its nuclear program.The deal could bring a rapid economic boom to Iran's moribund economy, but it wont help private iron ore miners near term as it would likely boost the rial currency, hurting their export competitiveness, according to Tehrani.Iranian iron ore is also of a lower grade than cargoes from Australia and Brazil and so has to be deeply discounted.Roughly 6 million tonnes of private iron ore output in Iran shut down late last year, and Tehrani said another 4 million could shut down this year out of total capacity of 11-12 million tonnes.Shutdowns would hurt exports in particular. Private mines accounted for around half of Iran's iron ore exports last year despite producing only about a fifth of the country's total output of 45 million tonnes."It is moving, but that which is moving (is from) public sector mines, not private mines," said Jalal Tabrizi, managing director of Iranian shipping agency Seacargo Co Ltd.Most of Iran's iron ore exports go to China, the world's largest ore consumer.In the first five months of this year, Iran's iron ore exports to China fell by almost 50 percent, Chinese customs data showed. Other small producers have also been displaced as Australia and Brazil, home to BHP, Rio and Vale, accounted for 83 percent of China's iron ore imports between January and May, up from 77 percent from the same period last year. ]]> Iron Ore Wed, 15 Jul 2015 17:04:23 GMT http://www.minews.ir/en/doc/news/26071/little-joy-for-iran-s-private-iron-ore-exporters-from-nuclear-deal