Our valiant leader is up for a fight......Seaborne iron ore...

Our valiant leader is up for a fight......

Seaborne iron ore prices rebounded by 7% last Friday withthe 62% Fe Iron Ore Index at $139.10/dry mt CFR North China, up $8.9/dmt fromAug. 19, in line with tradable values. Amid price competition for September-arrival iron ore fines cargoes, more producers were switching to October-arrival shipments to attract buying interest. (Platts)

The race to supply automakers with nickel to power theirbatteries is pitting two of the biggest names in mining against each other. A company owned by Australian iron ore billionaire Andrew Forrest signaled its refusal to back down after a proposal to buy Canadian nickel developer Noront Resources Ltd. was trumped by the world’s biggest miner, BHP Group. And Forrest has been busy back home too: Australian nickel producer Western Areas Ltd. — which announced this week it’s in takeover talks with a local rival — revealed Friday the tycoon has become a substantial shareholder. Forrest’s Wyloo Metals Pty Ltd., which has amassed a stake of about 25% of Noront and holds a convertible loan, said Thursday it will refuse to sell its shares to BHP, setting the businessman up as a future — and potentially difficult — partner. He also suggested he could return with an increased competing offer if Noront were prepared to open its books for due diligence. (Noront retorted Friday it’s already offered to do so if Wyloo signs a confidentiality pact.) It’s not clear what Forrest’s plans are for the Western Areas investment. (Bloomberg).

The tug-of-war between BHP and Andrew Forrest for controlof nickel-rich mining projects in Canada has taken another twist with theirtakeover target – Noront Resources – blasting the Forrest camp. Noront accusedForrest-owned Wyloo Metals of making several “misleading statements” about itscapacity to thwart the BHP takeover and inability to engage in due diligence. (AFR)

Andrew Forrest has declared his intention to battle BHPfor nickel assets and is casting a big shadow over what could emerge as a biddingwar for Western Areas that has implications for BHP’s ambitions in batterymetals. Forrest-owned Wyloo Metals said it opposed BHP’s takeover bid for Noront Resources in Canada and is willing become involved in a bidding war for the promising nickel producer. (AFR)

Iron ore’s most spectacular collapse on record portendsmore volatility to come as investors grapple with a complex policy backdrop inChina and an uneven recovery in global demand. Once one of the hottest commodities in this year’s raw-material boom, iron ore’s ructions swiftly made it one of the most volatile. A brutal five-week rout for futures, and a 14% slump in the spot market on Thursday, has seen it lose about 40% of its value since May’s record as China seeks to reduce steel production to curb pollution. Attention is now turning to an uncertain outlook for consumption, raising the prospect of more sharp, short-term moves. China’s demand is showing signs of faltering, though expectations are building that authorities may turn to infrastructure to help prop up the economy. And rising virus cases are weighing on growth in many parts of the world. (Bloomberg)