Adds background on Guinea iron ore blocks
Adds background on Guinea iron ore blocks
Nov 14 (Reuters) – Fortescue Metals Group FMG.AX misplaced out in its bid to develop two blocks on the Simandou iron ore deposit in Guinea, the Australian miner stated on Thursday.
A China-backed consortium of French, Singaporean and Guinean pursuits received the tender by way of its $14 billion bid, sources informed Reuters on Wednesday.
The consortium – The Société Minière de Boké – dedicated to growing blocks 1 and a pair of of the biggest recognized deposit of its type, holding greater than 2 billion tonnes of high-grade ore.
Fortescue stated the Guinean authorities informed them it will go forward with “detailed negotiations” with the popular bidder within the coming months.
Simandou has been mired in protracted authorized disputes, whereas the excessive price of infrastructure to move the ore out of the distant southeastern nook of Guinea has additionally put a dampener on potential builders’ enthusiasm.
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