Australian mining firms negotiate with Japanese mills

Australian mining firms negotiate with Japanese mills

According to recent news in the market, Australian mining companies BHP Billiton and Rio Tinto have restarted negotiations with Japanese steel producers with respect to iron ore supplies in 2005. It is stated that the price of coking coal by BHP Billiton and Rio Tinto will be $125 per ton effective as of April 1, 2005, the beginning of Japanese fiscal year. The price of subject raw material was $57 per ton in 2004. The price has been increased due to strong demand. Price of iron ore is expected to be increased by 25-30%.