Recently, iron ore prices exceeded $100 per ton, and world iron ore prices have risen by more than 44% since the beginning of the year. According to the forecast of several Australian mining consultants, iron ore prices are expected to break through the $110 per ton mark in the second half of this year. UBS commodity analysts have raised their iron ore forecast price for the second time this year, believing that the average price will be around $83 a ton this year. Recently, world iron ore prices have bottomed out, but they are still far below the record of $190 per ton set in February 2011.
Influenced by the rapid rise in iron ore prices, Australia's major mining enterprises have made a lot of profits, and have begun to increase the intensity of exploration and mining of new mines. FMG, Australia's third largest iron ore giant, plans to invest about $287 million to develop a new mining area in Queen's Valley in Pilbara, Western Australia, according to Australia-China Finance Online. This is to increase higher grade iron ore products to meet market demand, while improving the competitiveness of enterprises.