Pellet Price, page-711

Prices high, AUD as soggy as wet paper and looking for sub 70 ... what could go wrong.

The low volume September qtr is eye catching and given 13 days into this 90 day qtr, it looks like another slow qtr.  

I am concerned that Shagang is being cautious with its procurement given US Chine trade war sabre rattling ... as by and large GRR's only real customer, this could hurt.  

What is more concerning is that GRR's apparent fall back customer base does not exist and is probably why not too many instos are interested in GRR ... Shagang's shareholding empowers Shagang to control sales volumes ex Savage River ... one of the unrecorded benefits.  

Watch this space ... full price means demand and if it's not raining and production capacity is available and there are no port issues, material should be going out at around 600 - 700 kT per month.  If all of the above are true, then the conflict of interest is in play!  

Stock (pellet & concentrate) holdings end of Sept qtr will be an interesting number.

Have a great day