CAPE TOWN Feb 4 The chief executive of South
Africa's Kumba Iron Ore expects iron ore prices to
remain stable in the first half of 2014 and then soften in the
second half, as more supply from large producers comes on
stream, he said on Tuesday.
"In the last two weeks prices have been moderating fairly
rapidly but we think they have stabilised now and we expect that
stability to continue for the first half of the year," chief
executive Norman Mbazima told Reuters in an interview.
"After that, I think that the (growing) supply from the
majors will start to soften the prices again."
Kumba, a division of Anglo American, also said it
expects to secure mining rights over logistics group Transnet's
rail properties, which are important for the expansion of its
large Sishen mine in Northern Cape province, in the first half
of this year.
Kumba, the major contributor to Anglo American's profit, is
battling technical constraints which curbed production at Sishen
mine and is aiming to expand its output from 31 million tonnes
in 2013 to 35 million in 2014.