mgx and iron ore fundamentals

Just thinking,

With regards to the apparent slowdown in Steel production in China of late combining with BHP, RIO and CVRD aggressive expansion does anyone know or have references to whether the overall iron ore market will be in Surplus...maybe not immediately but maybe by 2010 or 2011

I own MGX shares and also (unfortunately) BNB&AFG. The drop in shares price of MGX recently is behaving in a very similar way to my other dogs before they hit "point of no return". I am already down like 82% on my MGX investment...then again its better than being down 95%.

Is there something that we small shareholders do not know either in terms of the company or the macro-economics of iron ore.

I also have mates who are geologists, miners and drill contractors who have recently been told to "pack your bags" ...so if this are the signs then Australia's mining industry will be in big trouble...maybe our politicians should wake up to reality and maybe assist the industry (especially WA where they have enjoyed huge royalties in the past decade)