Iron ore price

25

BHP’s grand delusion

Anyone that’s in the know understands that BHP is the round boy of the resources sector. It has an innovation-destroying middle management waste line that allows RIO to run operational rings around it. But even this stodginess does little to explain its slowness to adapt to a realistic outlook on China: BHP Billiton chief executive  Andrew Mackenzie has

6

Twiggy whinge returns

From Bloomie: “The logic that you keep expanding just because you can squeeze an extra ton out of your machines, applies well to mining juniors,” Chairman Andrew Forrest said in a commentary on Monday as the company reported a slump in full-year profit. But it “is market vandalism and self-harm when industry leaders do it,”

2

World steel output tanks

From World Steel: World crude steel production for the 65 countries reporting to the World Steel Association (worldsteel) was 133 million tonnes (Mt) in July 2015, a -3.8% decrease compared to July 2014. China’s crude steel production for July 2015 was 65.8 Mt, down by -4.6% compared to July 2014. Japan produced 8.8 Mt of

23

Cliffs CEO launches new rant

It’s never a dull moment with iron ore miner and Cliffs CEO Lourenco Goncalves, from Bloomie: “It’s like a bad virus…Australia continues to give iron ore to China almost for free, allowing them to produce more than they need.” “What China is exporting alone is bigger than the second-biggest producer of steel in the world: it

2

Miner probes chicken’s butt for profits

From the AFR: The iron-ore business is so lousy that one Canadian mining company is shelving its biggest project and starting a new venture: selling Australian eggs to China. The abrupt shift at Century Iron Mines was prompted by a global iron-ore surplus that sent prices plunging 68 per cent in four years. Chief executive officer