FMG now transacting in Chinese yuan
2011-07-14 09:14:20 [Print]
Australia's third biggest iron ore miner, Fortescue Metals Group has started selling some of its ore in Chinese yuan.
Mr Andrew Forrest CEO said that "Fortescue has started transacting in renminbi. We are exploring the possibilities of being paid with renminbi and purchasing equipment in renminbi from our renminbi bank accounts.”
Mr Forrest told a meeting of business leaders in Perth that Fortescue sells the lion's share of its iron ore to Chinese steel mills and until now only accepted payment in US dollars.
Mr Nev Power COO said that the company completed a business to business transaction in yuans but deal did not involve the sale of iron ore.
Global miner Rio Tinto has been studying the possibility of switching iron ore price settlements to Chinese yuan, the company's iron ore division chief Mr Sam Walsh said last month.
While Rio will be looking at the possibility of switching iron ore price settlements to yuan, Mr Walsh said the company had no initial plans to do it.
Iron ore sold to China, the world's biggest consumer of the steelmaking raw material is denominated in US dollars.
Mr Andrew Forrest CEO said that "Fortescue has started transacting in renminbi. We are exploring the possibilities of being paid with renminbi and purchasing equipment in renminbi from our renminbi bank accounts.”
Mr Forrest told a meeting of business leaders in Perth that Fortescue sells the lion's share of its iron ore to Chinese steel mills and until now only accepted payment in US dollars.
Mr Nev Power COO said that the company completed a business to business transaction in yuans but deal did not involve the sale of iron ore.
Global miner Rio Tinto has been studying the possibility of switching iron ore price settlements to Chinese yuan, the company's iron ore division chief Mr Sam Walsh said last month.
While Rio will be looking at the possibility of switching iron ore price settlements to yuan, Mr Walsh said the company had no initial plans to do it.
Iron ore sold to China, the world's biggest consumer of the steelmaking raw material is denominated in US dollars.
