ok sure and you think there is just BHP, RIO and Vale supplying...

ok sure and you think there is just BHP, RIO and Vale supplying IO to China? there is plenty to chose from and invest in to lock in supply and they would be higher grade and less polluting than Flinders 58%Fe content..

from yesterday's Australian;

Recent falls in 58 per cent grade iron ore have been more severe than the benchmark, which contains 62 per cent iron. The lower grade ore fell to $US43.20 a tonne on Tuesday night, bringing its 2015 losses to 31 per cent.

“The 58 per cent iron price provides an idea of the iron ore price that Australian iron ore miners like Fortescue Metals and Atlas Iron realise,” Mr Dhar said.

“As Rio and BHP continue to increase production and as (Gina Rinehart’s) Roy Hill (and other higher-grade mines) come online in the next 18 months, we could see this discount widen further.”

Who is going to invest $1B to open a new IO mine in the next 5 years? The risk is skewed all to the financiers, also would the BBJV be changing the 30% participation fee given if FMS was operating today their sale price would be under $AUS60/t and they'd receive zero?

If mgmt can pull off this off they deserve alot more than what they are currently paid!

the next years will determine who can hang on in the pilbara not who will open a greenfield IO mine.. so i respectfully disagree.