Proposal to launch Iron ore 62% Australia-origin lump ore premium, cfr Qingdao: pricing notice

Given the prevailing specifications of mid-grade iron ore fines and mid-grade Australia lump in the seaborne spot market, Fastmarkets proposes to launch the index to track and reflect the spot price of 60-63% Fe iron ore lump over the spot price of 61% Fe iron ore fines in the CFR Qingdao spot market, aligning with the latest quality of mid-grade Australia iron ore lump commonly traded in the market.

The specifications would be as follows:

Iron ore 62% Australia-origin lump ore premium, cfr Qingdao, US cents/dry metric tonne unit
Quality: Fe content base 62% Fe, range 61-65%; silica base 3.8%, max 5%; alumina base 1.7%, max 2%; phosphorus base 0.10%, max 0.10%; sulfur base 0.02%, max 0.04%; moisture base 4%, max 6.5%; granularity max 13.5% <6.3mm, max 25% >31.5mm
Quantity: Min 30,000 tonnes
Location: CFR Qingdao, normalized for any Chinese mainland sea port
Timing: Within 2-8 weeks
Unit: US cents/dmtu
Payment terms: Letters of Credit on sight, other terms normalized to base
Publication: Daily at 6.30pm Singapore time

This price will be part of the Fastmarkets steelmaking raw materials package.

The consultation period for this proposed launch starts from September 16 and will end on October 15. The launch will take place, subject to market feedback, on October 20.

To provide feedback on the proposal, or if you would like to provide price information by becoming a data submitter to these prices, please email pricing@fastmarkets.com. Please add the subject heading “FAO: Alice Li, re: Iron Ore 62% Fe Australia-origin lump premium”.

Please indicate if comments are confidential. Fastmarkets will consider all comments received and will make comments not marked as confidential available upon request.

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