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When the costs are more than mines can bear, iron ore closures ahead


When the costs are more than mines can bear, iron ore closures ahead

Report summary

With October 2014 prices falling to five-year lows, the current 62% Fe fines CFR spot price of US$80/tonne is below what we estimate to be the cash break-even price for many producers. Many of the non-traditional marginal suppliers of iron ore to China that emerged in response to high prices have already started retreating and we expect there will be more to come. 

What's included?

This report includes 2 file(s)

  • When the costs are more than mines can bear, iron ore closures ahead PDF - 302.75 KB 5 Pages, 2 Tables, 3 Figures
  • Iron ore mine closures.xls XLS - 146.50 KB

Description

This Metals Insight report highlights the key issues surrounding this topic, and draws out the implications for those involved.

For industry participants and advisors who want to look at the trends, risks and issues surrounding this topic, this report gives you an expert point of view to help inform your decision making.

Our analysts are based in the markets they analyse and work with high-quality proprietary data to provide consistent and reliable insight.

We provide unique in-depth analysis of the metals supply industry so you can make confident strategic decisions.

  • Executive summary
  • Prices
  • Mine closures

In this report there are 5 tables or charts, including:

  • Executive summary
  • Prices
    • Iron ore price forecast 62% Fe fines (US$/dmt)
    • Global percentage of iron ore exports by key country and companies
    • When the costs are more than mines can bear, iron ore closures ahead: Image 2
  • Mine closures
    • When the costs are more than mines can bear, iron ore closures ahead: Table 2
    • Adjusted margin curve at US$80/tonne CFR spot price
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