MT Gibson Iron Ltd, an Australian iron ore producer, is seeking to sell shares to investors in China, Australia and the United Kingdom as the credit crunch slows sales and squeezes financing, two people familiar with the deal said.

Mt Gibson wants to sell stock at 60 Australian cents (39 US cents) each, a 48-percent premium to its last traded price, the people with direct knowledge of the plans said, declining to be identified before the talks are completed.