Vale Declares Force Majeure for Iron Ore

The transcript discusses the impact of the Valley disaster on the iron ore market, highlighting a significant supply disruption due to a mine closure in Brazil. This has led to a potential threat to the supply-demand balance, with iron ore prices already rising by over 20%. The market is closely watching the situation, with key buyers like Mitsui expected to adjust their purchasing strategies. The discussion also covers the broader implications for the steelmaking industry.

What was the immediate consequence of the judicial ruling on the Brazilian mine?

• New mining contracts

• Mine shutdown

• Mine expansion

• Increased production

How much iron ore production is expected to be affected due to the mine closure?

• 10 million tons

• 40 million tons

• 20 million tons

• 30 million tons

What was the anticipated surplus of iron ore for 2019 before the mine closure?

• 24 million tons

• 34 million tons

• 44 million tons

• 54 million tons

By how much did iron ore prices increase following the disaster?

• 20%

• 15%

• 25%

• 10%

Which company is identified as a major buyer of iron ore from Valley?

• Vale

• Rio Tinto

• BHP

• Mitsui