ALS.TO - Altius Minerals

[jjsto]

So, iron ore prices have finally collapsed, and continue to fall.  http://www.mbironoreindex.com/ Price yesterday was $122 for 62%. 

I had the idea that since there really isnt much of a speculative element in the iron-ore market (relative to other metals/commodities) that would lead to less volatility compared to say gold or oil.  I also thought that since marginal production costs in china are estimated over $130 per ton, that would provide something of a medium-term floor.  Seems like both of those ideas (at least in the short term) are wrong. 

The silver lining is the altius/alderon share price isnt really following iron ore prices.  And, a short-term collapse in iron prices might actually be good for alderon's development from the point of view that the lower iron prices might wipe out some of their competition trying to get access to the same rail.  It would however be nice to see a stronger share price in the short term for alderon if that would lead to a better off-take agreement. 

Anyone have any commentary to add?

Also, still no news regarding NLRC or the annual report.  And delaying the annual meeting one month due to "printing errors" on the proxy circular?  Not sure how common that is.....

[jjsto]

Anyone have any thoughts on this article:

http://ftalphaville.ft.com/blog/2011/10/28/715136/oh-the-iron-y/

[jjsto]

Interview with alderon ceo, Eldem, pulled off the stockhouse bullboards:

http://www.cbc.ca/labradormorning/episodes/2011/10/31/alderon-iron-ore-corporation---a-step-closer-to-a-new-mine-in-western-labrador/

[Liberty]

Thanks for posting!

[Liberty]

http://www.proactiveinvestors.com/companies/news/20588/millrock-resources-oodles-of-potential-within-its-project-generator-business-model-20588.html

[MrB]

27 Oct -- Commodore Research..."Chinese spot iron ore demand has remained under pressure as we have anticipated.  During the first four days of this week, only 8 vessels have been chartered to haul iron ore to China.  The weekly total is likely to come in close to the minuscule 11 vessels that were chartered to haul iron ore to China last week.  In comparison, an average of 23 vessels were chartered to haul iron ore to China during each week in September.  Chinese steel production has come under more pressure as we have predicted.  The decline in steel production and iron ore demand has not come as a surprise, as last week marked the sixth straight week that Chinese steel prices decreased and the eighth straight week that Chinese steel stockpiles increased.  For prices to find support and for stockpiles to be able to be drawn down, Chinese steel production had to come under pressure."

[Dazel]

http://www.benzinga.com/pressreleases/11/11/m2118105/century-iron-mines-announces-update-on-its-acquisition-from-altius-mine


This is quite a deal! I did not realize the potential here.

Dazel.

[Dazel]

http://www.mbironoreindex.com/


iron ore has rallied back from $116 to $137...It had a dramatic drop on China holding back purchases....taking Alderon and Altius down with it..we should see some realization that the price has stabilized and china has not disappeared quite yet!

Dazel

[biaggio]

Dazel, thanks for the update.

What's the opposite of a "black swan" i.e. an unexpected good outcome?

[Liberty]

Still waiting for the annual report.. wasn't it supposed to come out around August-September?