Insight

Will the lifting of sanctions benefit Iran's iron ore industry?

Loading current market price

Get this report

Loading current market price

Get this report as part of a subscription

Enquire about Subscriptions

Already have subscription? Sign In

Further information

Pay by Invoice or Credit Card FAQs

Contact us

For further information about this report submit the form below.

Report summary

We estimate average cash costs for Iranian iron ore concentrate exports of US$50.50/tonne (FOB vessel) which is approximately breakeven at 2016 prices. Our cost estimate is at the higher end of the Wood Mackenzie global cost curve primarily due to inefficient processes high transport costs and a lack of water. We forecast Iranian concentrate exports to decline over the next few years as competition in the seaborne market intensifies. A lack of iron ore pellet capacity is a bottleneck for Iran.There are a large number of pellet plants in various stages of construction but a lack of funds has stalled their development.In order to expand capacity in its iron ore sector Iran needs to attract foreign investment but despite the lifting of sanctions we think this will be a long and difficult process as investors tread cautiously in a highly risky market.

What's included

This report contains

  • Document

    Will the lifting of sanctions benefit Iran's iron ore industry?

    PDF 661.60 KB

Table of contents

No table of contents specified

Tables and charts

This report includes 7 images and tables including:

Images

  • Iran's iron ore mines
  • Iron ore exports from Iran and the Middle East
  • Iran iron ore on the China breakeven cost curve
  • Will the lifting of sanctions benefit Iran's iron ore industry?: Image 4

Tables

  • Estimated Iranian iron ore production costs
  • Will the lifting of sanctions benefit Iran's iron ore industry?: Table 2
  • Will the lifting of sanctions benefit Iran's iron ore industry?: Table 3

Questions about this report?

  • Europe:
    +44 131 243 4699
  • Americas:
    +1 713 470 1900
  • Asia Pacific:
    +61 2 8224 8898