Australian iron ore miner Fortescue Metals Group has announced that negotiations regarding the status of the memorandum of understanding for the formation of one or more joint ventures (JV) at key Chinese ports with Brazil-based miner Vale are continuing on an amicable and commercial basis, though it is looking less likely that any transaction will be completed.
In March this year, Fortescue signed a non-binding memorandum of understanding with Vale which proposes the formation of one or more joint ventures for the blending of selected volumes of iron ore from both companies to suit the long-term needs of Chinese customers and improve the efficiency of the supply chain for the steel industry.