FMG praises Asian Infrastructure Investment Bank announcement

Fortescue Metals Group has welcomed the Australian Government’s decision to become a founding member of the Asian Infrastructure Investment Bank.

The Asian Infrastructure Investment Bank (AIIB), based in Beijing, was created to help finance infrastructure projects across Asia using both public and private funding.

Yesterday, Treasurer Joe Hockey announced Australia would contribute $930 million into the bank over the next five years, making the country the sixth-biggest shareholder.

Hockey will travel to Beijing on Monday to sign-up to the initiative which is also being supported by 56 other countries.

FMG’s CFO Stephen Pearce said the AIIB was a positive step in furthering economic ties with China and other countries in the region.

“China has laid out a strong roadmap for the decades ahead through its visionary US$140 billion Belt and Silk Road Plan. The AIIB will provide critical investment funds for this transformative infrastructure plan for the benefit of the entire region, and it is encouraging to see that Australia will have a role as a founding member,” Pearce said.

"We see a bright outlook not only for China but also for other emerging economies in the Asian region as the urbanisation and industrialisation journey continues. A strong regional financial institution will be an important building block for this exciting future."

Separately, FMG was one of 37 companies to secure funding for drilling and prospecting projects in Western Australia.

Mines and Petroleum Minister Bill Marmion announced successful applicants for Round 11 of the Exploration Incentive Scheme (EIS) at the Association of Mining and Exploration Companies convention.

FMG will use the funding at its Trifecta Base Metals Project where the company is targeting lead, zinc, copper, silver and gold.

The tenement is about 130km east of the Exmouth Gulf.

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