Fortescue Metals has attributed a recent jump in its share price to media coverage of the possibility that the company could be listed on the Shanghai Stock Exchange.
Earlier this week Fortescue’s share price rose 43 cents to $3.07, a sudden rise which prompted the Australian Securities Exchange (ASX) to issue the miner with a price query.
Fortescue said that it was not aware of any information that was not announced, but that it was aware of the media reporting of its possible dual listing.
The iron ore miner also pointed out an official signing ceremony on April 29 in China to commemorate Huan Valin Iron & Steel Company becoming Fortescue’s second largest shareholder.
“At that ceremony, both companies reconfirmed their intent to work together,” the Fortescue statement read.
Despite the speculation, Fortescue said the dual listing was unlikely in the near future.
“The company has from time to time reviewed joint listings on other stock exchanges and with the strong relationship with Valin, Fortescue has been encouraged to review a listing on the Shanghai exchange,” the statement read.
“However, given existing restrictions on foreign company listings and other related regulatory approvals processes, such an action is not a current proposition.”