Nothing we probably dont already know(or guessed)BEIJING (Dow...

Nothing we probably dont already know(or guessed)

BEIJING (Dow Jones)--Three Chinese companies are in talks with Japanese conglomerate Mitsubishi
Corp. (8058.TO) to invest in the Oakajee port-and-rail project in Western Australia, the 21st Century
Business Herald reported Wednesday, citing an unidentified official with Sinosteel Group Corp., one
company it said was involved in the talks.
The other two companies are Anshan Iron & Steel Group Corp., the country's third-largest steelmaker
by output, and China Railway Materials Co., one of the country's largest construction companies, it said.
The three companies are jointly negotiating under the auspices of the National Development and
Reform Commission, the country's top economic planner, it added.
The Western Australia government has become frustrated by slow progress on the Oakajee project,
which is slated to become the state's second-largest iron-ore output hub after the Pilbara. Delays stem
largely from Murchison Metals Ltd.'s (MMX.AU) inability to fund its share of the project.
Murchison agreed last month to sell its 50% stake to Mitsubishi, giving it full ownership of the venture.
Western Australian Premier Colin Barnett expressed the state's welcome of Chinese participation in the
project in December, as "Chinese companies have major interests in Mid West iron projects and China is
likely to be the biggest customer for the region's iron ore."
Of the 14 iron ore projects currently in development or planned in the region, at least eight involve
significant Chinese interests, including Anshan Iron's iron-ore project with Gindalbie Metals Ltd. (GBG.AU)
and Sinosteel's Weld Range project.