SYDNEY, Oct 9 (Reuters) - Rio Tinto said falling iron ore prices would lead to the elimination of 125 million tonnes of iron ore supply among higher cost producers in 2014.
The world’s second-biggest iron ore miner also said it intends to sell 85 percent of its 2014 iron ore output under term contracts and the rest on the spot market, according to a statement released on the Australian Securities Exchange.
The iron ore price ended September with a loss of almost 12 percent, its steepest monthly fall since May. The price has stabilised since and was sitting at $78.80 on Thursday .IO62-CNI=SI. (Reporting by James Regan; Editing by Ed Davies)