Well who would have thought iron ore prices would be slashed by...

Well who would have thought iron ore prices would be slashed by about 30% in just three weeks?

Geez it's been an interesting month... I posted here a while back saying that I felt the deal with FMG at Iron Valley was better than an 80% chance to go ahead.

Now... I'd struggle to see it as being better than a 50/50 proposition, although there is plenty of water to go under the bridge between now and 1Q 2013.

FMG have announced today that they are cutting back on a number of their expansion plans but are committed to push ahead with Christmas Creek. Not sure if that necessarily includes Nyidinghu.

http://www.perthnow.com.au/business/fortescue-metals-cuts-costs/story-e6frg2r3-1226464677445