Launch of Metal Bulletin Iron Ore Index

London, May 13 2008

Metal Bulletin plans to publish a new index for the iron ore market, which offers the potential for derivative contracts to be offered on a widespread basis. The index would be developed using the foundation of the existing widely-used Metal Bulletin iron ore price series.

Metal Bulletin, published since 1913, is the world's leading publication for news and pricing information on the
seaborne iron ore trade. It has closely followed developments in the annual rounds of negotiations and reported
on the benchmark settlement prices in Asia and Europe as each supplier's negotiations were concluded.

In recent years the emergence of China as a massive consumer of iron ore to feed its rapidly expanding
steelmaking industry has radically transformed the supply and demand fundamentals. This has led to the
emergence of a substantial spot market for iron ore, dominated by the trade from India to China. As a result,
prevailing prices in this cargo-based spot market have recently far exceeded the annually-settled benchmark
prices that had for decades determined the price of the seaborne iron ore trade.

In 2005 Metal Bulletin became the first major independent organisation to publish a weekly transaction-based price series for the spot trade in this important commodity. This price series has lately received significant attention from the industry and financial institutions seeking price series on which to base derivatives contracts. The proposed robust methodology behind the new Metal Bulletin Iron Ore Index will aid price transparency, help resolve some of the anomalies that exist in the market presently, and enable participants in the industry, including miners, intermediaries and consumers, to hedge, or manage the price risk that has developed in recent years.

The high volume of spot trade in iron ore today has increased volatility to such an extent that annually-settled pricing simply cannot accurately reflect market conditions throughout the year. The Metal Bulletin Iron Ore Index will offer the iron ore industry - the largest dry bulk commodity in the world – the opportunity to utilise a pricing tool that will reflect the continually changing dynamics of the supply and demand fundamentals in the spot market. The planned launch of the new Metal Bulletin Iron Ore Index is expected in the third quarter of 2008.

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