Iron ore futures continue to climb steadily. The Singapore benchmark for iron ore futures exceeded U.S. $130 a ton on Monday. The increase was largely due to improved steel plant profitability and a positive demand forecast in China, the world’s largest steel producer. However, these increases in the price of iron ore remained restrained by regulatory worries.
The most-traded May iron ore on China’s Dalian Commodity Exchange DCIOcv1 ended daytime trade 0.5% higher, at U.S. $134.63 (929 yuan) a ton. According to Reuters, this came after the commodity posted its fifth consecutive weekly gain on Friday. On the Singapore Exchange, iron ore’s benchmark April contract SZZFJ3 was up 2.5% to U.S. $132 a ton. This represents its highest level since February 21.
Alien Metals Ltd (LON:UFO) is a global minerals exploration and development company that will shortly make the transition to iron ore producer. The company was formed from Arian Silver in late 2018, retaining some of the companies more valuable Mexican projects before embarking on an acquisition led strategy, headed up by an excellent geological team and targeted entirely on Western Australia.