Amendment of specs for Fastmarkets’ 62% Fe Iron Ore Port Index

Following a one-month consultation, Fastmarkets has amended its 62% Fe iron ore port index base specifications to more closely reflect the chemical composition of mainstream mid-grade ores produced in Australia’s Pilbara region

Fastmarkets has amended the base silica and alumina specifications of its index for iron ore 62% Fe fines, fot Qingdao, yuan/wet tonne (MB-IRO-0011) and its corresponding currency-converted index for iron ore 62% Fe fines, fot Qingdao, $/tonne conversion (MB-IRO-0022).

The previous chemical specifications of this index were:

Fe content: Base 62%, range 60% to 63.5%
Silica: Base 3.5%, maximum 8.0%
Alumina: Base 2.0%, maximum 4.0%
Phosphorus: Base 0.10%, maximum 0.15%
Sulfur: Base 0.02%, maximum 0.06%
Moisture: Base 8.0%, maximum 10.0%

The amended new specifications are:

Fe content: Base 62%, range 60% to 63.5%
Silica: Base 4.0%, maximum 8.0%
Alumina: Base 2.3%, maximum 4.0%
Phosphorus: Base 0.10%, maximum 0.15%
Sulfur: Base 0.02%, maximum 0.06%
Moisture: Base 8.0%, maximum 10.0%

The changes to the silica and alumina base specifications aim to more closely reflect the chemical composition of mainstream mid-grade ores produced in Australia’s Pilbara region.

In the calculation of the index, pricing data for material with specifications different from that of the base specification is normalized using in-house developed models based on regression analysis. These changes of base specifications also intend to increase the predictability of the index calculation by helping reduce the degree of normalization required to adjust prices for the most-liquid Australian mid-grade products to the index’s base specification.

All other chemical and physical specification details outside of silica and alumina base levels remain unchanged.

The amendment took effect from Tuesday November 1.

To provide feedback on this price, or if you would like to provide price information by becoming a data submitter to this price, please email pricing@fastmarkets.com with the subject heading “FAO: Jane Fan, re: Iron Ore 62% Fe Port Index.”

To see all of Fastmarkets’ pricing methodology and specification documents, go to https://www.fastmarkets.com/about-us/methodology.

What to read next
Fastmarkets will launch a European Spruce #2 2x4 16-foot assessment to add transparency to the most imported lumber item from Europe into the United States.
After a month-long consultation period, Fastmarkets has discontinued this price due to low market liquidity. All short-term forecasts associated with this price (or these prices) produced by the Fastmarkets research team, if any, have also been discontinued. If you have any comments on the discontinuation of this price, please contact Natasha Porter by email at: pricing@fastmarkets.com. Please […]
US President Donald Trump’s decision to impose 25% tariffs on imports of steel products into the US has generated a strong reaction in the EU, with market sources expecting a domino effect and a subsequent trade war, Fastmarkets heard on Tuesday February 11.
This price is part of the Fastmarkets Scrap package. For more information on our North America Ferrous Scrap methodology and specifications please click here. To get in touch about access to this price assessment, please contact customer.success@fastmarkets.com.
Fastmarkets proposes to amend the load port of its hard coking coal and pulverized coal injection (PCI) spot prices, fob DBCT, to fob eastern Australian ports, from the current basis of Dalrymple Bay Coal Terminal, Australia.
The amendment to the name of the price assessment for nickel ore 1.8% basis 15-20% Fe water content: 30-35% Si:Mg ratio<2 lot size 50,000 tonnes, cif China has been delayed following a reporter error. Fastmarkets decided to amend the name of the price assessment, shortening it to nickel ore with 1.8% nickel content, following a […]