1. Reuters: UPDATE 1- China bankrolls another iron ore upstart
MMX and Wuhan Iron and Steel reach agreement: iron ore miner to sell 21.5% of its capital for $400 million. The investment, which is awaiting regulatory approval, is expected to boost MMX’s iron ore output and provide raw material access to the Chinese steelmaker.
2. The Associated Press: Noront ups offer for Freewest in duel with Cliffs
Noront Resources responds to Cliffs Natural Resources’ bid for Freewest Resources Canada. Noront’s latest, and final, offer has an implied value of $207 million, toping Cliff’s bid valued at $142 million.
3. AFP: China charges 58 over cover-up: state media
Forty-eight government and mining officials along with 10 journalists are charged with covering up a deadly mine accident in July 2008, shortly before last year’s Olympics. Chinese officials claim mine bosses and regulators destroyed evidence, relocated bodies, and paid off journalists and relatives.
4. The Sydney Morning Herald: Territory hunts for acquisitions
Territory Resources embraces iron ore’s positive price outlook: expects 2010 spot prices to be at least 20% higher on this year’s price. The miner is actively seeking acquisitions to expand the limited operating life of its sole iron ore mine at Frances Creek.
5. Bloomberg.com: BHP Won’t Bid for Rio, Needs Buyback, Southern Cross Says
Southern Cross Equities views BHP Billiton and Rio Tinto’s iron ore joint venture in a more favorable light compared to BHP’s hostile bid for Rio last year. Southern officials point out BHP will be extracting maximum synergies under the current proposal while protecting itself from Rio’s market exposure in the aluminum industry.
6. The Australian: Fortescue asks more for ore after Chinese funding deal fails
Fortescue Metals Group decides to sell its ore at the Asian benchmark contract or at spot prices after a proposed $6 billion funding deal from China collapsed. The miner was previously selling ore to China at a 3% discount on contract prices in the previous quarter. Spot prices are running nearly 40% higher than contract prices
7. Reuters: Vale to open $573 mln steel mill in Brazil –report
A Brazilian newspaper reports Vale has agreed to invest $573 million in a planned steel rolling plant in the Rio de Janeiro state. The iron ore miner holds a 27% stake in the project. Vale has yet to confirm the purported investment.
8. AFP: Barrick Gold eliminates its gold hedges
Barrick Gold hopes to profit from rising gold prices: eliminates its hedges on its gold production and reserves. The hedges were used to sell gold it expected to produce in advance for a fixed price.
9. Bloomberg.com: BHP Seeks Variable Coking Coal Price in Japan, Nikkei Says
Nikkei English News reports BHP Billiton is urging Japanese steelmakers to allow coking coal prices be linked spot rates, rather then set by yearly benchmarks. The miner reportedly wants the system in place for Japan’s fiscal year starting April 1.
10. The Canadian Press: Judge hands down picket line restrictions on striking Vale Inco workers
A Canadian Judge orders protesting miners to follow picketing regulations. Cars entering Vale Inco facilities can only be delayed 15 minutes. The United Steelworkers have been on strike since July over issues over a bonus tied to the price of nickel and pension plan changes.
