That explains why the cap notes are up (those on my watchlist) Thanks, frugal.rock
Iron Ore
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DJUSST
Almost looking set to punch new ATH's, again.
Daily chart.
Almost looking set to punch new ATH's, again.
Daily chart.
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DJUSST is the Dow Jones index ticker or code.
ATH all time high
ATH all time high
Ahh, thank you, frugal.rock.......I've more than one brain freeze
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https://www.scmp.com/economy/china-...mentally-solve-iron-ore-shortages-cornerstone
And
www.scmp.com
Which i read as:
Get out of FMG, Rio and buy juniors who will be taken over.
And
Could Guinea’s junta sink China’s plans to wean itself off Australian iron ore?
Work is on hold at the China-backed Simandou mine, home to one of the biggest undeveloped reserves in the world.
www.scmp.com
Which i read as:
Get out of FMG, Rio and buy juniors who will be taken over.
I don't read it that way, qldfrog. I'd rather stick with the proven ones esp this day and age. Volatility is down a lot since the high, but risks are not entirely dead. Mining is a costly investment and upcoming mines are not in my trading strategy. Interesting article though, and what's the stock code, qldfrog?https://www.scmp.com/economy/china-...mentally-solve-iron-ore-shortages-cornerstone
And
Could Guinea’s junta sink China’s plans to wean itself off Australian iron ore?
Work is on hold at the China-backed Simandou mine, home to one of the biggest undeveloped reserves in the world.
Which i read as:
Get out of FMG, Rio and buy juniors who will be taken over.
By the way, Fe up Friday night.........
CommSec
@CommSec
·
6h
Good morning, iron ore rose by US$4.45 or 3% to US$151.35 a tonne after Beijing vowed to bolster capital markets and support the embattled property sector. Iron ore inventories at major Chinese ports fell for a fourth week
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Basically, when the chinese press specifically talk about removing its dependencies on Australian iron and ask its companies and financial institutions to help and investigate partnerships and full purchase of miners, and these will not be FMG, Rio or BHP, i believe it is a fair bet that the current situation might NOT persist in 2 or 3y times.
I do agree with you on volatiity and market fragility but wonder if a stake in a proven resources junior with African or Asian lease might be a better bet, medium to long term.
Of course, nothing will change next week or trimester
I guess it's worth a punt on juniors if one can afford to lose their lunch money, qldfrog. I don't enjoy losing my money, so I won't be punting. Sorry I'm a stick in the mud....I don't know the grade of ore in those unknown mines, the geopolitical risks etc isn't something I can tolerate.......we can strike it rich in the unknown for a little risk (I'd rather hold on to my retarded money and make it slowly) All the best, anyway, I admire your courage and enterprising spirit, good luck (will come back later, need to hit the road now)
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I do not say it is easy:
Need a lot of homework that i can not do either
African location, stable enough government or better one where China is already in charge, then proven resources ideally already operating.
What China can bring is $, infrastructure..aka railway to port, and stability via military financial strength.
Some will do the homework and benefit greatly, i will just try to avoid long and medium term iron miners in Australia.plenty of other miners resources to choose from
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i hope you are incorrect there i hold GRR and MGX and am quite happy there ( although at current prices i should crystallize a profit )https://www.scmp.com/economy/china-...mentally-solve-iron-ore-shortages-cornerstone
And
Could Guinea’s junta sink China’s plans to wean itself off Australian iron ore?
Work is on hold at the China-backed Simandou mine, home to one of the biggest undeveloped reserves in the world.
Which i read as:
Get out of FMG, Rio and buy juniors who will be taken over.
Chats open minds and I see with different eyes today. Just found out from divs post GRR and MGX pay divs. I've never bothered to look for alternatives before....always stuck on trading the 3 majors because I know them.
Divs, can you tell me the grade of ore in those mines? Thank you in anticipation.
Div, I thought a takeover will boost the price of your stocks, but in this case, you don't wish for that to happen. Why's that?
In another thread, you were looking for potential takeover targets. Have you found any?
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i try to avoid take-over targets ( but of course time catches up with investors ) there is a tendency for a take-over to crystallize a LOSS , OR eject you from a very comfortable position ( say EPX - Ethane Pipeline where i had a very cosy position as a reward for taking on extra risk )
take the API take-over now almost complete yes i make almost a 20 cent a share profit BUT i wanted a reasonable exposure to the healthcare industry and when the cash comes through a top five holding will be cash , which is very difficult to park sensibly in the current climate
LNK where i built a reasonable position is another LNK looks like it will be death by a thousand asset sell-downs
so yes looking but trying to avoid them ( most of the time )
am still watching the 'lesser banks ' there is regular urging that some should merge 'to take up the big four ' i hope not , the Hayne Royal Commission showed us what happens when certain businesses achieve 'pricing power '
another take-over space should be IT services ( especially the ones selling 'enhanced cloud storage ' ) there are plenty of synergies there
i used to hold RIO but sold out years ago , i usually like small/mid-sized companies because they have sensible paths of growth , and a well run company can be nimble and and take small but pivotal opportunities .. i bought EVN and NST back when each had a single operating mine
huge companies tend to get bogged down in complexity especially when trying to force growth ( 5% a year annual growth is very difficult when you are a whale in a fish tank , like say Australia , but a goldfish , not such a problem )
thanks for the thought but sometimes small and profitable is good for the portfolio as well ( look at examples like BHP or WOW as they strive to cut costs in the name of better margins )
the OTHER problem with take-overs is when they take the company private so all you get is devaluing currency ( not even the opportunity for scrip )
take the API take-over now almost complete yes i make almost a 20 cent a share profit BUT i wanted a reasonable exposure to the healthcare industry and when the cash comes through a top five holding will be cash , which is very difficult to park sensibly in the current climate
LNK where i built a reasonable position is another LNK looks like it will be death by a thousand asset sell-downs
so yes looking but trying to avoid them ( most of the time )
am still watching the 'lesser banks ' there is regular urging that some should merge 'to take up the big four ' i hope not , the Hayne Royal Commission showed us what happens when certain businesses achieve 'pricing power '
another take-over space should be IT services ( especially the ones selling 'enhanced cloud storage ' ) there are plenty of synergies there
i used to hold RIO but sold out years ago , i usually like small/mid-sized companies because they have sensible paths of growth , and a well run company can be nimble and and take small but pivotal opportunities .. i bought EVN and NST back when each had a single operating mine
huge companies tend to get bogged down in complexity especially when trying to force growth ( 5% a year annual growth is very difficult when you are a whale in a fish tank , like say Australia , but a goldfish , not such a problem )
thanks for the thought but sometimes small and profitable is good for the portfolio as well ( look at examples like BHP or WOW as they strive to cut costs in the name of better margins )
the OTHER problem with take-overs is when they take the company private so all you get is devaluing currency ( not even the opportunity for scrip )
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MGX
Through most of 2021, limited mining access in the floor of the Main Pit confined production to lower grade material (55-57% Fe) from the lateral extents of the deposit and nearby satellite pits. Ore production in the December quarter was limited as anticipated and totalled 0.5 Mwmt for the December 2021 half-year. One shipment of fines was completed in the quarter. Shipments and ore quality will rise during the March and June 2022 quarters towards the Ore Reserve grade of 65% Fe, with the sales target for Koolan Island for the 2021/22 financial year being 1.7 Mwmt.
Shine Final ore sales from Shine achieved an average realised price of US$63/dmt FOB and US$59/dmt FOB for standard lump and fines respectively (~61% Fe).
i am guessing plenty of the 55% Fe , not so much of the better stuff
GRR
Table 2 North Pit Mineral Resources as at December 2020
Measured Resources ..Indicated Resources ..Inferred Resources TOTAL Resources
Tonnes (Mt) 117.9 87.8 39.3 245.0
DTR (%) 56.4 42.8 44.9 49.7
Fe (%) 67.7 67.8 68.3 67.8
Ni (%) 0.04 0.05 0.05 0.05
TiO2 (%) 0.96 0.89 0.82 0.91
MgO (%) 1.99 1.69 1.42 1.79
P (%) 0.010 0.010 0.010 0.010
V (%) 0.35 0.33 0.34 0.34
S (%) 0.05 0.08 0.09 0.07
but since they are pelletizing and concentrating , i am guessing they are using some lower grade feed-stock as well
if the stuff is 67% ( as claimed ) how much processing does it need ??
That's great info, divs, thank you.
I guess if it's 67% they can go straight into the furnace? I'll put these two on watch list, thanks again.
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@eskys
You might want to have a gawk into CUF and GWR which I believe are both producing. (not held)
If your at all interested in potential Hancock connections, LCY and BCK
(I hold both of these)
Was getting ATH (all time high) alerts every night last week, mostly on opens...
See how we go this week...?
You might want to have a gawk into CUF and GWR which I believe are both producing. (not held)
If your at all interested in potential Hancock connections, LCY and BCK
(I hold both of these)
Was getting ATH (all time high) alerts every night last week, mostly on opens...
See how we go this week...?
Value Collector
Have courage, and be kind.
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GRR’s Ore only has about 33% Iron content doesn’t it? That’s why it is processed/concentrated into pellets before shipping.
Magnetite ores are generally very low grade, and require a lot of processing.
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well it has required processing even since i bought in ( about a decade ago ) and if turning it into pellets was essential for transport FMG and other WA mines would do it , so i suspect has to be concentrated to hit the higher grades ( making the pellets a value adding extra )
that said the BHP/Vale JV was a pellet operation as well so if the power costs are cheap near the mine processing ( and turning them into pellets makes commercial sense
some of those Pilbara miners have some incredibly low production costs but they don't seem to sell pellets ( or need to make them )
that said the BHP/Vale JV was a pellet operation as well so if the power costs are cheap near the mine processing ( and turning them into pellets makes commercial sense
some of those Pilbara miners have some incredibly low production costs but they don't seem to sell pellets ( or need to make them )
Value Collector
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The ore mines in the Pilbara is high grade Ore, in the industry it’s referred to as “direct shipping Ore”, meaning it is just mined and loaded on the ship with minimal processing.
However, low grade Ore (less than 50% FE content) is generally crushed, turned into a slurry, the Iron is pulled out of the slurry using magnets, then the “concentrate” is dried and baked into pellets that are 67%.
This is what FMG is doing at their new plant called “Iron Bridge”, and it’s what miners do all over the world when they run out of high grade shipping Ore, they begin mining the 90% of the other deposits that are low grade and pelletise them.
Watch this video, it’s an old video but it describes the process and reasons they invented it, at the 7 min mark in particular it describes it.
