Iron ore prices rebounded slightly in response to threats of a strike at Port Hedland

Iron ore prices have returned to reasonable levels after hitting a nearly two-year low earlier this week. This is due to a warning from the largest iron ore miner BHP Billiton.

BHP Billiton said further reductions in the price of iron ore would lead to a strike by port workers. The action potential of a tugboat strike at Australia's key iron ore ports will cost steel ingredient exporters approximately US $ 94 million a day in lost sales.

The world's largest mining company said it is ready to ask for government intervention, as the current situation is likely to seriously affect operations. The main producers of iron ore in the country Port Hedland is used to ship more than 1 million tonnes of iron ore every day, at a value of around $ 100 million.

As a result, 62 percent iron ore delivered to the Chinese port of Tianjin rose 1 percent to $ 98.50 a tonne, according to data compiled by the Steel Index, after falling to its lowest level since September 2012.

Port Hedland is located in the Pilbara region of northwestern Australia. Recently, it has grown into one of the world's largest iron ore export terminals and companies such as BHP, Fortescue and Atlas have expanded their production to meet Chinese demand for the product. The port exported 34.8 million tons in April, up 33 from the same month in 2013.