You do not tiptoe gently into a thousand million tonne market. It has compartmentalised itself over the years thus:
The mineral is a key part of conglomerate production baskets, each still seeking to expand. Australia’s recent flirtation with taxes has disturbed matters but Rio Tinto still ploughs ahead there. It plans a further 20 Mtpy addition in the Pilbarra to lift its current 220 Mtpy to 353 by 2015. Rio estimates that world demand will increase by 100 Mtpy for the next 8 years, which compounds at about 6% p.a. China and India will remain the consumer growth engines.
About David Hargreaves
David Hargreaves is a mining engineer with over forty years of senior experience in the industry. After qualifying in coal mining he worked in the iron ore mines of Quebec and Northwest Ontario before diversifying into other bulk minerals including bauxite. He was Head of Research for stockbrokers James Capel in London from 1974 to 1977 and voted Mining Analyst of the year on three successive occasions.
Since forming his own metals broking and research company in 1977, he has successfully promoted and been a director of several public companies. He currently writes “The Week in Mining”, an incisive review of world mining events, for stockbrokers WH Ireland. David’s research pays particular attention to steel via the iron ore and coal supply industries. He is a Chartered Mining Engineer, Fellow of the Geological Society and the Institute of Mining, Minerals and Materials, and a Member of the Royal Institution. His textbook, “The World Index of Resources and Population” accurately predicted the exponential rise in demand for steel industry products.