Indonesian crunch could prompt rethink of protectionist mineral export policy

The Indonesian government's push to increase revenue from the troubled mining industry by 50% this year could force it to rethink bad policies, according to a lawyer from an Indonesian firm specialising in mining law, according to the Sydney Morning Herald.

The Indonesian mining industry is facing tough times due to the plummeting prices of some of its key exports including coal, tin and nickel and protectionist policies that ban the export of unprocessed minerals.

Vale surges as supply outlook seen improving

Vale, the world's largest iron ore producer, gained the most in four months on speculation that miners will start easing a production glut that sent prices to 10-year lows, according to the Australian Financial Review.

Shares of Vale surged as much as 8%, the most intraday since December 19, and were up 7.7% at 16.15 reals as of 1.52pm in Sao Paulo. The stock is the second-best performer among 47 metals, mining and steel companies in the Bloomberg Industries aggregate index for the day.

Standard & Poor's slashes Fortescue Metal Group's credit rating

Fortescue Metals Group has taken another blow in its fight against the falling iron ore price, with ratings agency Standard & Poor's slashing the company's corporate credit rating due to the company's weakening financial position, according to the Sydney Morning Herald.

S&P cut FMG's rating from BB+ to BB on Wednesday, with the ratings agency revising its assessment of Fortescue's financial risk profile from “aggressive” to “significant”