Steel and mining group Arrium has accepted discounted prices on its iron ore shipments due to additional supply and tightening credit growth in China.
Arrium said it had received an average realised price of $US85 per dry metric tonne, down $US25 on the prior quarter.
"Market prices were under pressure in the quarter due to factors including increased discounting related to additional supply, the tightening of credit in China and higher port stocks in China," Arrium said in a statement on Monday.
Arrium said the total amount of ore shipped fell in the June quarter.
The company shipped a total of 3.16 million dry metric tonnes (DMT) of ore in the three months to June 30, up from 3.03 million DMT, Arrium's quarterly production report showed.
Costs were also lower, with Arrium recording a $A1.5 fall to $A45.9 per wet metric tonne.
Arrium said it is continuing to broaden its customer base in the North Asian region, both in and outside China.
The company recently announced that 100 jobs would be cut from its operations in Newcastle, NSW.
Source: The Sydney Morning Herald
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