Australia's Fortescue Says Share Surge a Mystery

Australian iron ore miner Fortescue Metals Group has no explanation for a 40% surge in its share price on Monday, the firm said in response to a stock-exchange query.

"The company does from time to time hold discussions with industry entities regarding product supply and investment opportunities which are confidential in nature and there are none that are progressed to a level that could be considered complete," Fortescue said.

Earlier, Fortescue shares rocketed on rumours that BHP Billiton may make a takeover bid or Chinese firms may seek a stake in Fortescue.

By Mark Bendeich, Reuters