Back to the future for commodities

摘要

The big three miners, BHP Billiton, Rio Tinto and Vale, are battening down the hatches as hopes fade that this year's 23% fall in iron ore prices will soon reverse. They are busily reducing costs as they struggle to adjust to life after the demise of the China-led commodity boom. Brazil's Vale was the last of the trio to announce cutbacks in spending, slashing investments by $1.2bn for next year to $16.3bn, its lowest level since 2010. The retrenchment even included removing the vast Simandou iron ore development in Guinea from its list of investments after having agreed to pay $2.5bn for the concession over two years ago.