Ore penalty differentials still soaring as margins remain strong

摘要

High steel mill margins andincreased environmental pressure fromthe Chinese central government haveprovided steel mills with the cash flowand incentives to procure higher qualityiron ores with lower impurities. This hasimpacted iron ore pricing such as forthe IODEX index, 58% and 62% gradesas the spreads between the three haveincreased dramatically over the courseof 2017.