February 15, 2017 / 10:22 AM / a year ago

BRIEF-Citic updates on Sino Iron project, expects impairment of $800 mln to $1 bln in 2016 accounts

Feb 15 (Reuters) - Citic Ltd

* Sino Iron Project update

* Estimated impairment of USD800 million to USD1 billion (net of tax) is likely to be made in 2016 accounts

* Impairment is a non-cash accounting item, but it will reduce company’s 2016 reported profits

* Despite recent increase in spot price of iron ore, independent forecasts of long-term prices have been lowered

* Appealed recent decision made by Western Australian Supreme Court requiring co to make interim payments in advance of royalty B trial

* Citic will to work on resolution of matters in dispute with mineralogy, result will have major bearing on long-term viability of sino iron, its profitability and cash flow Source text for Eikon: Further company coverage:

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