Skillings Mining Review March 2020: March 2020 captured the early economic tremors of Covid-19 across mining and steel markets. In the Americas, U.S. Steel hit a 52-week low despite Trump’s tariffs, underscoring the limits of protectionist policies as global demand slumped. Indian majors Tata Steel and JSW raised prices by ₹500–800 per tonne, betting on regional consumption even as international iron ore markets wavered. Analysts pointed to a troubling imbalance: the best mining jurisdictions remained in developed economies, highlighting the financing challenges faced by emerging markets.
Commodity volatility defined the month. Coal shipping through the Twin Ports fell to its lowest in decades, even as wind cargo shipments surged, reflecting the accelerating energy transition. Iron ore markets fluctuated wildly—prices retreated on coronavirus fears, plunged almost 9% in a week, yet still managed a modest weekly rise, as supply disruptions clashed with uncertain demand. Fortescue’s profits soared on high iron ore prices, though its dividend policy was viewed as conservative, while innovation in battery metals was spotlighted as Bill Gates-backed funds invested in lithium mining technologies.
Equipment discussions reflected regional challenges as communities debated how to responsibly develop local resources, summarized in the rallying call: “Let’s Mine the Range, Let’s Do It Correctly.”
Globally, new projects and exits reshaped the landscape. Westgold Resources restarted underground mining at Big Bell in Australia, while major coal producers prepared to exit South Africa, leaving smaller players stranded by lack of financing. In the U.S., Vermillion Gold sought additional exploration leases in Minnesota, reflecting steady interest in nonferrous potential despite broader uncertainty.
The month’s statistics provided a mixed picture. Global crude steel output rose 3.4% year-on-year, but the November 2019 crude steel production report already hinted at pre-pandemic pressures. The contrast captured mining’s central dilemma in March: resilient production in some areas, set against rapidly deteriorating market sentiment as Covid-19 loomed.
The March 2020 edition reflects an industry straddling two worlds: volatile but profitable in iron ore, cautious in coal, and increasingly attentive to sustainability and energy transition trends.
