Where has this 165m tonnes come from? I thought AF was happy to cap at 180m
question number one for Bernstein, if IO was still priced at >$100, which large, high quality deposits around the globe would currently be "doing a fortescue"? Do people seriously think Fe which is so abundant on earth, wouldn't be dug up at high cost to make $20-30 per tonne margin... and low and behold, end up with the same supply rate, but just spread over more numerous mine sites
if it had stayed that high (>$100), FMG would have stuck with their 330Mtpa strategy, no? oh that's right, they would have stopped adding tonnes to the market to prop up prices and enable more tax receipts for Australia and trusted all the other countries with IO on earth to play along
as for the half a trillion wiped from IO market caps... well, that's what happens to valuations during period where historic prices are hyperinflated and people forget what 'normal' is, they get super high until the inevitable correction. Are they suggesting those valuations were realistic?
FMG Price at posting:
$1.82 Sentiment: Sell Disclosure: Not Held
(20min delay)