fortescue

Fortescue said it was "fully prepared to defend the matter in court" .

The jury is still out on exploratory projects, mainly led by Fortescue, in Western Australia.

More important is what it means for Fortescue, a six-year old company that has been shipping ore for a little over a year.

But Fortescue believes the case is "a technical discussion between lawyers, " and is one it has defended vigorously.

If Fortescue's production costs exceed the spot price, it would hardly be the only Australian commodities firm in trouble.

CIC is understood to be considering an even bigger investment to help Fortescue reduce debt.

In 2003 he assembled a new company, Fortescue Metals Group, out of a tiny investment in iron-ore tenements in Australia's Pilbara region.

In a statement, Fortescue said it remains confident the Australian regulator will approve its planned deal with Hunan Valin.

Former Australian Ambassador to China and current board member of Australian miner Fortescue Metals Geoff Raby had a different take.

Unlike Fortescue, Rio Tinto's survival was not in doubt, but it faced an extraordinarily difficult refinancing.

Where Rio is trumpeting a "Pioneering strategic partnership" , Fortescue's is a more muted "Share Subscription Agreement" .

"China needs its iron ore, " says Tony Swiericzuk, a local resident and a general manager at Australian mining outfit Fortescue Metals.

Mr Forrest agrees that to "double the size" of Fortescue with Solomon, new sources of finance will need to be found.

Fortescue has yet to rule out a fresh financing package with the Chinese, but Mr Forrest suggests capital is available from the US and Asia.

In return, Fortescue will get as much as $6 billion of financing from Chinese entities, to put toward its expansion aims.

The banker predicted that Chinese firms, including Hunan Valin Iron and Steel, could be interested in buying Fortescue.

Chinese enterprises also have substantial stakes in minerals heavyweights Rio Tinto and Fortescue Metals.

The billionaire Australian mining magnate and founder of Fortescue Metals is surveying a scene of frenetic activity.

Hagrid buys ice cream cones for Harry and himself. Perhaps this was at Florean Fortescue 's Ice Cream Parlor (PA3).

Less than five years after drilling commenced at Cloudbreak, Fortescue has shipped more than 40m tonnes of iron ore to China.

Fortescue, yet another Australian natural-resources firm, disclosed a $558m investment from a Chinese steel mill.

The focus on Fortescue comes as China attempts to make large investments in Australia's resources sector.

The agreed prices were about 3 per cent below the prices agreed by other Australian producers with non-Chinese steel mills, Fortescue said.

"There are lots of options, " he says, adding that relations with China, currently Fortescue's only iron ore customer, have not soured.

But it is unlikely the deal will prove a game-changer for this year's negotiations.

Fortescue is lucky to have got this far.

BHP and Fortescue Metals are also expanding.

Fortescue, which has a market value of more than A$8bn, has been linked to Chinese bid interest for years.

Miner Fortescue Metals Group Ltd. is doing the same, with plans to spend US$8. 4 billion to expand its operations here.

Mr Forrest and Fortescue face fines of A$4. 4m (US$3. 1m) and A$6m, respectively.

Australia's Fortescue Metals Group, a leading exporter of iron ore, plummeted 8. 1 percent.

Other mining stocks rose in Sydney as investors switched into them, with Rio Tinto rising 2. 8% and Fortescue Metals Group climbing 2. 6%.