IRON ORE – WESTERN AUSTRALIA

Atlas adds $86m but well short of target

roymorgansocial Leave a comment

Original article by Tess Ingram
The Australian Financial Review – Page: 17 : 21-Jul-15

The capital raising of Australian-listed Atlas Iron has fallen significantly short of its $A180m target. The iron ore producer has raised about $A30m from retail investors and around $A12m from institutional investors, while its contractors had previously agreed to subscribe to some $A44m worth of shares. Atlas shares were suspended from trading in April 2015, and the stock may resume trading on 27 July.

CORPORATES
ATLAS IRON LIMITED – ASX AGO, McALEESE LIMITED – ASX MCS, QUBE HOLDINGS LIMITED – ASX QUB, MACA LIMITED – ASX MLD, WESTERN ASSET MANAGEMENT COMPANY, FORTRESS INVESTMENT GROUP LLC, SANKATY ADVISORS LLC, MARATHON ASSET MANAGEMENT LIMITED

Atlas strikes deal to get Mt Webber mine going

roymorgansocial Leave a comment

Original article by Tess Ingram
The Australian Financial Review – Page: 16 : 3-Jun-15

Atlas Iron expects to resume production at its Mt Webber iron ore mine in Western Australia in July 2015. Atlas has secured a new deal with mining contractor BGC Contracting, which will be paid both cash and shares, although the value of the deal will be linked to Atlas’s proposed capital raising. Atlas previously struck new deals with other contractors, including McAleese. Atlas anticipates that Mt Webber’s break-even price will be $US50 when mining resumes. Annual production is slated to be six million tonnes.

CORPORATES
ATLAS IRON LIMITED – ASX AGO, BGC CONTRACTING PTY LTD, McALEESE LIMITED – ASX MCS, MACA LIMITED – ASX MLD, QUBE HOLDINGS LIMITED – ASX QUB, MOODY’S INVESTORS SERVICE INCORPORATED

Fortescue CFO hits back at Vale

roymorgansocial Leave a comment

Original article by Perry Williams
The Australian Financial Review – Page: 15 & 20 : 1-Jun-15

The break-even price for iron ore producer Fortescue Metals Group was about $US60 per tonne in late 2014, but the group aims to reduce this to $US41 during the next three months. CFO Stephen Pearce says Fortescue expects its break-even price to fall slightly below that of Brazilian rival Vale in the near-term. He has also rejected suggestions by the China Iron & Steel Association’s Li Xinchuang that Fortescue will need to take on an equity partner.

CORPORATES
FORTESCUE METALS GROUP LIMITED – ASX FMG, VALE SA, CHINA IRON AND STEEL INDUSTRY ASSOCIATION, BHP BILLITON LIMITED – ASX BHP, RIO TINTO LIMITED – ASX RIO, DEUTSCHE BANK AG, MINERALS COUNCIL OF AUSTRALIA

It’s ‘inevitable’ Fortescue will need a Chinese equity partner

roymorgansocial Leave a comment

Original article by Perry Williams
The Australian Financial Review – Page: 17 & 22 : 28-May-15

The China Iron & Steel Association’s deputy secretary Li Xinchuang believes that Fortescue Metals Group will eventually need an equity partner in order to be globally competitive. He argues that a Chinese partner would make sense for Fortescue, and notes that the iron ore producer’s high level of debt could become a problem unless it takes on an equity partner. Fortescue CEO Nev Power has stressed several times that an equity partner is not on the group’s agenda.

CORPORATES
FORTESCUE METALS GROUP LIMITED – ASX FMG, CHINA IRON AND STEEL INDUSTRY ASSOCIATION, CHINA METALLURGICAL INDUSTRY PLANNING ASSOCIATION, SHANGHAI BAOSTEEL GROUP CORPORATION, CITIC LIMITED, AUSTRALIA. FOREIGN INVESTMENT REVIEW BOARD, VALE SA, BHP BILLITON LIMITED – ASX BHP, RIO TINTO LIMITED – ASX RIO

Haoma Mining protects itself from Atlas Iron’s woes

roymorgansocial Leave a comment

Original article by Tess Ingram
The Australian Financial Review – Page: 16 : 10-Apr-15

Australian-listed Haoma Mining has put a caveat on two of Atlas Iron’s iron ore tenements in the Pilbara region of Western Australia. Haoma holds the exploration rights for non-iron ore minerals, and chairman Gary Morgan says the group wanted to protect its interests should Atlas sell the tenements. Shares in Atlas Iron were placed in a trading halt in early April 2015, pending a review of its operations

CORPORATES
HAOMA MINING NL – ASX HAO, ATLAS IRON LIMITED – ASX AGO, BC IRON LIMITED – ASX BCI

Rinehart blames high costs on government

roymorgansocial Leave a comment

Original article by Julie-Anne Sprague
The Australian Financial Review – Page: 19 & 24 : 12-Mar-15

Billionaire Gina Rinehart says high labour costs have a bigger impact on the profitability of Australian mining companies than low commodity prices. She stated on 11 March 2015 that the regulatory burden is too heavy and costly for companies. Roy Hill Holdings CEO Barry Fitzgerald revealed that the company had to seek more than 4,000 approvals for its iron ore mine in the Pilbara region of Western Australia

CORPORATES
ROY HILL HOLDINGS PTY LTD, POSCO AUSTRALIA PTY LTD, MARUBENI AUSTRALIA LIMITED, CHINA STEEL AUSTRALIA LIMITED, CLIFFS NATURAL RESOURCES INCORPORATED, BHP BILLITON LIMITED – ASX BHP, RIO TINTO LIMITED – ASX RIO, VALE SA, WESTERN AUSTRALIA. DEPT OF THE PREMIER AND CABINET

Fortescue pledge to hammer costs

roymorgansocial Leave a comment

Original article by Amanda Saunders
The Australian Financial Review – Page: 15 : 18-Feb-15

Australian-listed Fortescue Metals Group has posted a 2014-15 interim net profit of $US331m, which is 81 per cent lower than previously. The group received an average of $US66 per tonne for its iron ore in the half-year, compared with the benchmark price of $US82. CFO Stephen Pearce says Fortescue hopes to reduce its cash costs to $US20 per tonne in the next 15 months. Shareholders will received a half-year dividend of $A0.03

CORPORATES
FORTESCUE METALS GROUP LIMITED – ASX FMG, BHP BILLITON LIMITED – ASX BHP, RIO TINTO LIMITED – ASX RIO, VALE SA

Roy Hill delays put schedule in doubt

roymorgansocial Leave a comment

Original article by Tess Ingram
The Australian Financial Review – Page: 15 : 16-Feb-15

The Roy Hill iron ore project in Western Australia is slated to commence shipments in September 2015. However, CEO Barry Fitzgerald has conceded that some elements of the $A10bn project have been hit by delays. A series of safety problems since mid-2014 have contributed to the delays, and some analysts believe that the project will not reach full capacity for some time

CORPORATES
ROY HILL HOLDINGS PTY LTD, WESTERN AUSTRALIA. DEPT OF MINES AND PETROLEUM, PATERSONS SECURITIES LIMITED, AUSTRALIAN WORKERS’ UNION-FEDERATION OF INDUSTRIAL, MANUFACTURING AND ENGINEERING EMPLOYEES

Atlas boss backs royalty easing

roymorgansocial Leave a comment

Original article by Paul Garvey
The Australian – Page: 19 : 21-Jan-15

Atlas Iron has advised that it lost around $US3 for each tonne of iron ore that it shipped in the December 2014 quarter, due to the sharp decline in the price of the steel input. MD Ken Brinsden has welcomed the Western Australian Government’s temporary measure of a 50 per cent rebate on iron ore royalties for smaller producers. He adds that the royalty relief should boost Atlas’s quarterly cash flow by about $A8m in 2015

CORPORATES
ATLAS IRON LIMITED – ASX AGO, FORTESCUE METALS GROUP LIMITED – ASX FMG

Mine probe over poisoned fruit

roymorgansocial Leave a comment

Original article by Alex Massey
The West Australian – Page: 17 : 19-Dec-14

Western Australian police are investigating allegations that fruit supplied to workers at the Roy Hill iron ore mine was poisoned. A contractor on the site reported that a piece of fruit he was eating looked discoloured and had a bad taste, although he suffered no ill-effects. Several workers have claimed that the fruit was laced with cyanide, which is not used at the site, although police have yet to confirm the nature of the chemical involved

CORPORATES
ROY HILL IRON ORE PTY LTD, WESTERN AUSTRALIAN POLICE SERVICE, WESTERN AUSTRALIA. DEPT OF HEALTH