Mills continue to buy cheap iron ore

Low-grade iron ore that has fallen out of favor with many of China's steelmakers is still in demand as mills keep buying the cheaper product, according to a junior Australian supplier.

BCI Minerals Ltd is selling all its lower-grade product at normal rates, its CEO Alwyn Vorster said last week in an interview in Perth.

"Mills are still buying, demand is there," he said. "There is not a major change in mills' buying."