BHP still sees greenfields
BHP Billiton iron ore boss Jimmy Wilson has dismissed suggestions that the era of multi-billion dollar greenfields iron projects in the Pilbara has come to an end, even as the mining giant focuses on extracting efficiencies rather than building new mines, according to The Australian.
MaxiTRANS profits hit by declining mining investment
Declining mining investment is expected to knock as much as 20% off the profits of road transport company MaxiTRANS this year, according to the Sydney Morning Herald.
The company had predicted it full-year net profit to be about $20.5 million. But on Wednesday managing director Michael Brockhoff said that number was likely to shrink to $16.5-17.5 million.
Brockhoff said that while the domestic market for trailers and vans had been ''held up reasonably well'', sales of tippers had not.
He attributes the decline to the winding down of the mining boom and Queensland drought.
“Low construction activity continues to have a detrimental impact on demand for tipper products. The recent closure of our independent dealer in the Northern Territory is indicative of the current market situation,” Brockhoff said.
China’s Landbridge builds up holding in WestSide
Chinese port operator Landbridge Group has shown it is serious about its $160 million ambition to take over Queensland coal seam gas player WestSide Corporation, building up an 8.7% stake through off-market purchases, according to the Australian Financial Review.
The shares were acquired from former director Angus Karoll, who resigned last month, as well as from the Mitchell and Skerman families, and were bought at 32-35¢ each.
Landbridge, chaired by Asian billionaire Ye Cheng, is thought to have approached other shareholders with a similar offer, and one source said some were set to sell, taking the stake to 10.3-10.4% by today.
Privately owned Landbridge, which is being advised by PwC, announced in March its intention to make a conditional offer at 36¢ a share.
WestSide’s board declared the proposal “manifestly inadequate” and instead sanctioned a major agreement to sell gas from the company’s coal seam gas fields west of Gladstone to Santos’s GLNG venture.
