Fortescue consider Chinese float

Fortescue Metals have confirmed it is considering a float on either the Hong Kong or Shanghai stock exchanges.

The iron ore miner’s spokesperson said it is mulling the potential listing to strengthen its ties with Chinese steel mills, according to the Hong Kong Standard.

It has already begun conducting transactions in Chinese currency, the West reports.

"I can confirm, and proudly, that Australia has, through Fortescue, started transacting in (the Chinese currency) Renminbi,"

Fortescue head Andrew ‘Twiggy’ Forrest recently told the Boao Forum Asia that many Australian firms will do the same as it makes business easier in the growing nations.

"We’re now exploring the possibility of being paid in RMB, purchasing equipment in RMB, from our Chinese bank account."

The head forum, former Chinese ambassador to Australia Zhou Wenzhong,also asked Australia not to "demonise" China’s increasing levels of investment into the mining sector, describing the deals as "commercial transactions … just to make money".

While reports have emerged that the carbon tax may damage investment into the Australian mining industry, Peabody yesterday put a $5 billion bid forward for fellow coal miner Macarthur Coal.

Australian coal association chief executive Ralph Hillman told The Australian the carbon tax doesn’t change the fact Macarthur is a good asset.

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