MGT General and Off Topic Chat, page-1239

Just a question about iron grades. We know that the higher the grade the higher the sale price. Eg. 70% Fe sells for more than 65% Fe. And the more pure the grade, the better quality steel is produced.

I'm just wondering if there is a desirable grade level where an acceptable final steel product can be produced without spending an additional premium for a higher grade product.

For example, for those companies that are looking to buy iron ore, are they better off buying at 68% grade, or spending an additional premium to buy at 70%, or save some money and buy a product at say 66% which is still superior to 62%.

Is it more profitable for a company to produce and sell steel using a very high grade iron ore, or is there greater opportunity for companies producing at 62% Fe or 65% Fe? What's the market size for 68+% Fe?