Fortescue Metals Group Ltd (ASX:FMG) is gearing up to sell iron ore to Chinese in their own currency, Yuan.
The miner’s CFO, Stephen Pearce, has told the Australian Financial Review that it can see itself doing so once the Chinese currency market is more fully developed.
Mr Pearce says over time the Yuan will become more internationalised and pricing ore in Yuan is a natural evolution.
According to Mr Pearce Chinese customers prefer paying in Yuan because it is the currency of their cost base.
While the AFR says it maybe months or years before Fortescue moves to pricing in Yuan, Reuters reports CEO Andrew Forrest says that the miner has already started.
In the first half of the 2011 financial year, Fortescue Metals generated a net profit of $309 million.
