On Friday 4th of October the 12 month swap fell another .19 cents to $110.75. Chinese markets were still closed and reopen today. The odds favour a decent fall in spot this week with forwards down a few percent last week but what mood Chinese mills return in is anybody’s guess.
In news, the run of extraordinary bad fortune that has dogged the CITIC Sino Iron project, and turned it from a $2 billion doddle to a $6 billion, four years late dog, has a final twist:
Beleaguered former Leighton Holdings chief Wal King has made his first visit to the troubled West Australian iron ore project to which he has agreed to lend his engineering expertise.
The Australian Financial Review has confirmed that Mr King spent two days last week familiarising himself with the $US8 billion ($8.5 billion) Sino Iron magnetite project being developed by Chinese company Citic Pacific in the Pilbara.
Citic Pacific appointed Mr King as a “special adviser” in late August, saying his advice would be “particularly helpful” in respect to the long-delayed and severely over-budget project.
A Citic Pacific spokesman said on Sunday the company did not want to comment on the security of Mr King’s position in light of the media reports.
Production is reportedly ready to go as soon as the dispute with Australia’s new legislative overlord, Clive Palmer, can be resolved.
