Hi (Westcott),"Pellet,sinter and concentrate brings a lot higher...

Hi (Westcott),

"Pellet,sinter and concentrate brings a lot higher price.
Around $40 or more per tonne."

Surprisingly I found the FOB price for Iron Ore concentrate (+65%Fe) and Pellet Feed (+66%Fe) quite high:
For example I found the FOB for the above 2 categories from Brazil is US$67/t (Year 2009).

If I look at Gindalbie Reports (Dec 2009), their Kagara Concentrate Fob Price 2009 is A$97/t, which is US$120/t.

Their Concentrate price is derived from:
2009 Hamersley Iron FOB benchmark fines (97c/dmtu) adjusted for Karara quality 68.2%Fe versus benchmark 62%Fe, plus quality adjustment.

In our case, SDL Itabirite (+38Fe) when converted to concentrate will be of similar quality (from 65 to 68%Fe) meaning our estimates using a FOB price of $62.20/t for Itabirite concentrate is still conservative.

Cheers - BS