Mothballed NT iron ore mines reopen amid soaring demand for steel in China

Northern Territory iron ore miners are making a comeback as Chinese demand for steel soars and prices sit at a seven-year high.

Two mothballed mines have restarted operations in the past few months and are expected to be in full production in 2021.

The revival of the NT’s iron ore sector comes as trade tensions rise between Beijing and Canberra and Chinese demand drives prices above $US135 a tonne.

“We need to be very careful, and I think there’s reason to be concerned, but the fundamental reality is that China’s reliance on imported iron ore is very high and rising,” Iron ore market analyst Philip Kirchlechner said.

Mothballed mines reopen