Fortescue in halt on commercial deal

Shares in Fortescue Metals Group have been placed in a trading halt pending the completion of a "commercial negotiation".

The iron ore miner said it expects to make an announcement by Monday August 17.

Fortescue earlier this week declined to comment on reports it is in advanced discussions with sovereign wealth fund China Investment Corp to sell convertible bonds worth about $US1 billion ($A1.19 billion).

A Fortescue spokesman said yesterday the miner was "always in talks" but did not confirm whether the news reports about CIC were correct.

Fortescue later issued a statement saying it was holding discussions with a range of parties regarding matters including finance opportunities to fund its iron ore expansion plans.

The company wants to increase its throughput or a "run rate" - the rate at which ore is processed through its plant in the Pilbara - from about 36 million tonnes per annum (Mtpa) currently.

It says it plans to progressively ramp up to 45 Mtpa, then 55 Mtpa, hitting 95 Mtpa "within a medium-term horizon of 2012".

Shares in Fortescue were up 10 cents, or 2.3 per cent, at $4.45 at 1455 AEST.