Fortescue responds to speculation around minority stake sale

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Image credit: fmgl.com.au

Iron ore miner Fortescue Metals Group has responded to media speculation regarding the sale of a minority stake in its assets.

Image credit: fmgl.com.au

In a media release, the company said that it is open to discussions and stressed that it had not reached an agreement with any party to sell a minority interest in its mining assets.

“As previously reported, whilst there is no imperative, Fortescue is open to commercial discussions in relation to a minority interest in its mining assets with interested parties,” the company said.

“Fortescue’s position is unchanged, there is no agreement of such nature with any party at this time. Fortescue is aware of its continuous disclosure obligations to the ASX and the ongoing commitment to update the market, if and when, there are matters to disclose.”

The downturn in the iron ore price has spurred speculation that the iron ore miner is struggling, with Chairman Andrew “Twiggy” Forest trying to offload part of Fortescue’s mine, rail and port infrastructure.

This is not the first time this year the company was forced to respond to media speculation regarding potential asset sale.

Back in August, Fortescue issued a media release stating that it is open to commercial discussions with a range of groups on a regular basis at the mining asset level, but that no agreement of asset sale had been reached with any party.