MMi Daily Iron Ore Report (September 13)

White Energy has agreed to acquire the South Galilee thermal coal project in Queensland from the AMCI Group for AUD500,000, plus milestone and royalty payments of up to AUD19.5 million. AMCI Investments will receive a further AUD1.5 million upon the grant of a mining lease and a royalty of AUD2/t of coal mined and sold from the project, capped at AUD18 million. The project received Commonwealth environmental approval in 2015 and comprises two exploration permits and a mining lease application. Completion is expected four business days after the limited conditions precedent are satisfied.

Nucor (NYSE:NUE) issued quarterly guidance pointing to stronger earnings alongside rising product costs, as firmer steel prices met higher input costs. Steel mills and steel products improved while raw materials softened, underscoring the differing pace across three arms that turn recycled scrap into steel via electric-arc furnaces nationwide. Scrap, energy and alloying costs feed cash costs directly, trimming part of the gain from firmer selling prices. Cooler inflation eased expectations of further rate hikes and the S&P 500 edged higher in early October, though trade measures on imported steel remain unsettled. The stock traded at 235.98 USD, up 2.23 USD, or 0.954%. Nucor keeps expanding and upgrading mills to lift capacity; results later this month will test pricing and costs.