MENU

Why Fortescue Metals Group Limited (ASX:FMG) is championing China’s belt and road initiative

The CEO of iron ore production and exploration company Fortescue Metals Group Limited (ASX: FMG) has urged Australian companies to make the most of the “unprecedented investment in infrastructure” from China’s Belt and Road Initiative (BRI) according to The Australian.

The article reported the former Silk Route extends to a number of emerging economies with a combined population of 4.4 billion and opportunities for agriculture and food, education, tourism, medical services and infrastructure sectors.

Fortescue is a major supplier of iron ore to China with plans to expand sales in Asia, the report said, with many analysts saying it provides “an outlet for China’s steel production as one of the driving forces behind the BRI”.

Fortescue shares have been driven downwards in the last 12 months, back in the red today dropping 0.2% to $4.37 – down from its share price of $5.09 at this time last year.

Fortescue’s share price has suffered from tumbling iron ore prices while big gun producer BHP Billiton Limited’s (ASX: BHP) share price has held strong – up 1.8% at the time of writing to $33.77, with peer Rio Tinto Limited (ASX: RIO) shares also up 1.1% to $80.64.

Japanese Billionaire’s Prediction Will Give You Goosebumps

When a veritable investing and entrepreneurial genius speaks, it pays to listen.

In fact, he's now preparing a $100B "war chest" to invest entirely in this "terrifying" new technology, which could spell huge profits for investors.

Click here to learn about this technology and how you can profit!

Motley Fool contributor Carin Pickworth has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

The 5 mining stocks we’re recommending in 2019…

For decades, Australian mining companies have minted money for individual investors like you and me. But if you believe the pundits and talking heads on TV, those days are long gone. Finito! Behind us forever…

We say nothing could be further from the truth. To earn the really massive returns, you’ve got to fish where others aren’t fishing—and the mining sector could be primed for a resurgence. That’s why top Motley Fool analysts just revealed their exciting new research on 5 ASX miners they believe could help you profit in 2019 and beyond…

Including:

The best way we see to play the global zinc shortage… Our #1 favourite large-cap miner (hint: it’s not BHP)… one early-stage gold miner we think could hit the motherlode… Plus two more surprising companies you probably haven’t heard of yet!

For free access to our brand-new research, simply click here or the link below. But be warned, this research is available free for a limited time only, and we reserve the right to withdraw it at any time.

Click here for your FREE report!