The country’s legislators approved this week a ruling that declares the region surrounding the mine a national park, affecting Glencore's ability to expand it.
Iron ore is down 34% this year over China fears, soft demand and surging supply. The copper market is equally exposed, but has so far defied fundamentals.
There’s a death match among iron ore producers, with the big Australian miners and Brazil's Vale increasing pressure on their high-cost Chinese rivals.
Michael Fowler, senior mining analyst with Toronto-based Loewen, Ondaatje & McCutcheon, says majors need development-stage companies with high-grade, near-term production assets