In line with market expectations, iron ore has fallen back below US$100 a tonne, highlighting the foolishness of relying on low-margin speculative mining projects and snake oil salesmen.
Iron ore fell 14.5% today, bringing the total fall to 22.5% in just five days.
Iron ore traded at US$92.99 a tonne. Venture suspended operations in August 2014 with iron ore trading at US$92 a tonne.
Citibank predicts that the commodity "will average $86 a tonne this year before easing to $70 a tonne in 2020". (https://www.businessinsider.com.au/iron-ore-price-forecast-citi-2019-5)
"Venture Minerals' Riley Creek project is only viable at abnormally high iron ore prices, and that a high-risk proposition for Tasmania", said Bob Brown Foundation's takayna / Tarkine Campaigner, Scott Jordan.
"Too often we've seen carpet-baggers like Venture rolling in with great fanfare, just to leave taxpayers and the environment footing the bill a short while later when the commodity cycle turns".
"A wise government would avoid such risks and back the environmental values of takayna / Tarkine into the long term".
The price correction comes as Minister for Resources Matt Canavan announces plans for a 12-month review of mining regulation.
"We would welcome a genuine review of mining regulation, but unfortunately when Minister Canavan says review, he means cut. He's already foreshadowing the result".
"A true review is needed that would look at how time and time again questionable mining projects are approved at the cost of endangered species, Australia's farmland and a safe climate".
Scott Jordan 0428 300 324