Minsur to sell Brazil tin mine to China’s CNMC
CNMC will pay about $340 million for the Taboca tin mine.
Chinese ferrous futures advanced on Tuesday, with coking coal surging more than 7% to its highest level in more than three months on tight supply, while recovering steel production and downstream demand also boosted sentiment.
The most-traded coking coal futures on the Dalian Commodity Exchange, for May delivery, soared 7.6% to 2,470 yuan ($388.25) per tonne, their highest since Oct. 27, following Zhengzhou thermal coal futures which ended up 10%.
“Imports of coking coal will fall significantly in February as portside inventory of Australian coal is being used up,” analysts with GF Futures wrote in a note, adding that supply could remain tight as blast furnaces had resumed operations.
Other steelmaking ingredients on the Dalian bourse also jumped. Coke futures rose 4.4% to 3,133 yuan a tonne at close.
Benchmark iron ore futures ended 1.1% higher at 821 yuan a tonne. They climbed as much as 3.5% earlier in the session, tracking a spot 62% iron ore, which gained $5 to $147.5 on Monday, data from SteelHome consultancy showed.
Read More: Iron ore price rises to $150 after China eases steel’s green targets
“Iron ore shipments from mainstream miners are normally weak in the first quarter, while molten iron production is expected to see a marginal recovery during this period,” said Cheng Peng, an analyst with SinoSteel Futures.
There’s still shortage in high-grade iron ore despite big stockpiles at ports, the analyst said.
Construction-used steel rebar on the Shanghai Futures Exchange gained 1.6% to 4,912 yuan a tonne.
Hot-rolled coils, used in cars and home appliances, were up 2.1% at 5,061 yuan per tonne.
Shanghai stainless steel futures, for March delivery, also increased 2.1% to 18,105 yuan a tonne.
($1 = 6.3619 Chinese yuan)
(By Min Zhang and Enrico Dela Cruz; Editing by Subhranshu Sahu)
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