Fortress Minerals Limited (FMIL SP): Rebounding iron ore prices

  • BUY Entry – 0.49 Target – 0.60 Stop Loss – 0.44

    fortress minerals

  • Iron ore play. Fortress Minerals engages in the exploration, mining, production, and sale of iron ore concentrates.

    The company is also involved in the wholesale trade of various goods; transportation of iron ore and minerals; rental of transport equipment and vehicles; extraction, dredging, and dealing of industrial sand; acquisition of mines, mining rights, metalliferous land, and quarries; and provision of supporting services for transport equipment and vehicles. It sells its iron ore concentrate primarily to steel mills in Malaysia. The company also exports its products to China and Vietnam. 

  • Recovery in iron ore prices. Iron ore prices rose for the week as the war in Ukraine and recovering Chinese demand drove prices higher.

    Iron ore on the Singapore Exchange April 62% Fe futures settled near US$160/t. Chinese port data showed that iron ore inventory slipped 430,000 tonnes to 153.6mn tonnes.

    Blast furnaces have been building stocks as restrictions around the Winter Olympics have eased.

    The ongoing war and limited prospect for an immediate resolution may mean that iron ore prices may be supported for some time. 


  • Set to benefit. Fortress Minerals reported disappointing 3QFY2022 results, where net profit declined 35% YoY to US$2.8mn due to lower selling price.

    The group achieved an average realised selling price of US$87.44 in 3QFY2022 vs US$110.06 in the prior year period.

    However, we expect this decline to reverse in the next quarter due to rising iron ore prices. 

You may also be interested in:


You have no rights to post comments

Counter NameLastChange
AEM Holdings2.740-0.040
Avi-Tech Electronics0.250-0.005
Best World1.790-0.020
Broadway Ind0.0890.005
China Sunsine0.385-0.005
ComfortDelGro1.4000.010
Delfi Limited1.040-0.010
Food Empire1.410-0.040
Fortress Minerals0.260-
Geo Energy Res0.415-
GSS Energy0.029-
Hong Leong Finance2.540-
Hongkong Land (USD)3.3500.090
InnoTek0.425-
ISDN Holdings0.3500.005
ISOTeam0.035-0.001
IX Biopharma0.043-
Jiutian Chemical0.025-0.001
KSH Holdings0.240-
Leader Env0.053-
Medtecs Intl0.140-0.001
Nordic Group0.350-
Oxley Holdings0.092-0.001
REX International0.127-
Riverstone0.730-0.025
Sinostar PEC0.140-
Southern Alliance Mining0.580-0.005
Straco Corp.0.510-0.005
Sunpower Group0.210-
The Trendlines0.086-
Totm Technologies0.026-0.001
Uni-Asia Group0.865-0.035
Wilmar Intl3.2800.040
Yangzijiang Shipbldg1.680-0.010
 

We have 320 guests and no members online

rss_2 NextInsight - Latest News