The iron ore price table for December 18,2013 is below:
It looks like Dalian futures are leading spot lower, at least for now.
In news, Gina Rinehart is rumoured to be almost there with her public subsidies for Roy Hill:
Gina Rinehart’s Roy Hill joint venture faces a pivotal 48 hours, with export credit agencies in the United States and Korea on the verge of approving billions of dollars in loans to the massive iron ore project.
The Roy Hill decision is top of the agenda for Thursday night’s meeting of the board of the Export Import Bank of the United States, which has previously indicated preliminary support for $US694 million ($774 million) of finance for Roy Hill.
There have been unconfirmed reports out of Asia that the Korea Exim Bank has approved $US1 billion of finance, with final decisions from similar agencies in Japan also expected to flow within days.
Roy Hill, expected to cost close to $US10 billion, is a joint venture between Ms Rinehart’s Hancock Prospecting, Korean steel giant POSCO, Japan’s Marubeni and China Steel Corporation.
Despite renewed speculation in Asia that the project could cost more, the partners are still expecting to raise close to $US7 billion for the mine, port and rail project, with $US4 billion from export credit agencies, and close to $US3 billion from commercial banks such as ANZ and NAB.
That’ll help with the capex cliff a little though it’s already priced into most models. The 2015/16 glut grows another 50 million tonnes. On the other hand, you’d think Gina would be well placed to join the Pilbara cartel.
