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Arrium says iron ore prices stabilising

Mining and materials group Arrium says improvements in supply and demand for iron ore have helped stabilise prices.

Releasing its September quarterly production report on Monday, Arrium said the average price it received for its iron ore slipped by $A1 to $A66 per dry metric tonne in the three months to September 30.

However, its total cash costs fell by nearly $A5 to $A57.40 per tonne.

"Pricing was less volatile than in recent periods due to improvement in the supply/demand balance. This was supported by continued low port stocks in China which fell below 80Mt," Arrium said.