| The TEX Report Topics < Iron Ore > | |
| HOME >> Topics List >> May, 2009 >> 28 (Thu) |
| Major Events In May 09 Over Ferrous Raw Materials (1) |
|
May 1: <Vale's 1Q09 iron ore production down 37.1% to 46.86 Mt> Brazilian resources company Vale announced its Production Reports for Jan. to Mar. 2009. Iron ore production totaled 46.859 Mt, down 25.9% from the previous quarter and down 37.1% form the same period last year. The reduced iron ore production is due to having matched the unprecedented weak market demand. Vale has been focusing on operational flexibility simultaneously changing its priority from production maximization to cost minimization. Pellet production plunged 73.4% from the previous comparable period at 2.885 Mt. In line with waning pellet demand, Vale has been conducting reduced pellet plant operations. During the quarter, Vale's directly managed Tubarão I, Kobrasco, and Vargem Grande only were kept in operation. The Samarco plants operated in March. <U.S. Cliffs posts US$7.4 million net loss for 1Q09 quarter> U.S. Cliffs Natural Resources announced its operational results for the Jan. to Mar. quarter of 2009, with revenues of US$464.8 million (down 6.0% from the previous comparable period), operating income of $11.4 million (down 73.2%), and net loss of $7.4 million. The decrease was driven by lower year-over-year sales in Cliffs' North American Iron Ore and North American Coal segments, partially offset by higher sales in Asia Pacific Iron Ore and a $53.3 million revenue contribution from Cliffs' economic interest in Sonoma Coal, Australia. May 7: <Anglo American's iron ore production in 1Q09> Anglo American plc announced April 30 its Production Report for the Jan. to Mar. quarter of 2009, which shows iron ore production during the period totaled 9.992 Mt, up 1.802 Mt or 22% from 8.190 Mt in the previous corresponding period. The increase was mainly due to the additional production delivered by the Sishen Mine's jig plant, which continues to ramp up. The jig plant was introduced by Anglo American's South African iron ore mining subsidiary Kumba Iron Ore, and can process contaminated ore into commercially valuable one. Kumba remains on schedule to achieve an annualized rate of 13 Mt/a from the jig plant during the fourth quarter of 2009. May 12: <Iron ore imports into China's major ports in April 53.5 Mt> According to the statistical data released by the Ministry of Transport of China on May 5, iron ore imports into the country's large scaled ports in April reached 53.50 Mt, an increase of 24.2% from the same period last year. Meanwhile, iron ore stocks at major ports totaled approximately 62 Mt. <Vale posts US$1,363 million of net earnings in 1Q09> Brazilian resource company Vale announced its operational results for the January to March quarter of 2009 on May 6, according to which gross revenues, adjusted EBIT and net earnings all reduced by over 30% with respect to the previous corresponding period (net income was US$1,363 million), but maintained financial steadiness despite unprecedented economic environment: Adjusted EBIT margin at 31.6% and Total debt ratio to adjusted EBITDA at 1.0. <Bayuquan Steel Project starts No. 2 blast furnace operation> China's Ansteel started operation of its No. 2 blast furnace on April 26 at its Yingkou Bayuquan Steel Project it is advancing near Yingkou, Liaoning Province, China Iron and Steel Association (CISA) announced on May 5. The blast furnace is of the same type of No. 1 furnace that came into operation in Sep. 2008 having an inner volume of 4,038 m3. Designed production capacity at the Yingkou Bayuquan steelworks will be 2.0 Mt/a of wide and thick steel plates, and 2.96 Mt/a of hot-rolled coils, etc. Construction in particular of the world's largest 5,500 mm wide steel plate rolling machine \ the king of rolling machine \ will be sufficient to fill in the vacancy in the country, and its products will satisfy special demand in national economy. Crude steel production capacity will be 6.5 Mt/a. May 13: <Australian FIRB approves Gindalbie Metals' share placement to Ansteel> Australian iron ore company Gindalbie Metals Limited has taken a key step towards development of its mainstay Karara Iron Ore Project in Western Australia after Federal Treasurer Wayne Swan confirmed on May 8 the approval of the Company's $162.06 million share placement to its Chinese joint venture partner, Ansteel. After completion of the placement, Gindalbie will have 704,637,674 shares on issue, with Ansteel increasing its total shareholding from 12.6% to 36.28%. The FIRB approval for the share placement follows the release on April 28 by the Environmental Protection Authority (EPA) of Western Australia of its Reports for the Karara Project recommending approval for the world-class resources development. George Jones, Gindalbie's Chairman commented: "The Karara project is a textbook example of how Chinese investment can help maximise the value of Australia's resources." The final outstanding condition to be satisfied before the placement is complete is approval from the Chinese government authorities, which is expected to take approximately six weeks or until June. After all approvals will have been granted, construction of the project is expected to start during the December quarter of 2009. <WISCO to earn in its third iron ore project in South Australia> Australian Western Plains Resources Ltd (WPG) has announced that WPG and Wuhan Iron & Steel (Group) Co (WISCO) of China have concluded a legally binding Heads of Agreement pursuant to which WISCO will earn a 50% interest in WPG's Hawks Nest magnetite deposits, located south of Coober Pedy in South Australia. This is going to be WISCO's third iron ore development project in South Australia. May 14: < Vale launches out into natural gas exploration> Brazilian resource company Vale announced May 11 that its first gas discovery was confirmed through the formation test conducted in the Panoramix prospect, BM-S-48 concession, located in shallow waters, 185 kilometers off the coast in the Santos Basin, in the state of São Paulo. The concession is held by the consortium comprising Vale 12.5%, Repsol - the operator of the exploration consortium 40%, Petrobras 35% and Woodside 12.5%. The test performed this time in the Upper Santonian reservoir between 4,410 and 4,480 meters depth, has achieved a gas flow rate of 378,600 cubic meters of natural gas per day and 1,570 barrels of condensate per day. |
| last modified : Tue 02 Jun, 2009 [10:37] |
