Tinkler could offer $5.50 for Whitehaven

Nathan Tinkler could have a takeover deal for Whitehaven Coal ready within two weeks, with the offer coming in between $5 and $5.50 a share – a substantial premium to the closing price of $4.31 on Friday, according to the Australian Financial Review.

But the mooted figure isn’t a major premium to the three-month volume-weighted average price of $5.01 before news of the potential deal was announced.

Whitehaven shares last traded at $5.50 in late April, at the same time investors approved its takeover of Tinkler’s Aston Resources and Boardwalk Resources. But at this point, with the coal market having weakened and rival bidders looking unlikely, $5.50 is probably enough to gain the support of Whitehaven boss Tony Haggarty and his board.

An offer at $5.50 a share would value Whitehaven at $5.5 billion. Subtracting the stakes held by Tinkler and consortium member Farallon Capital Partners of 21.4% and 5.8% respectively, buying the remainder would cost them $4 billion.

Fair Work shift on major projects may curb unions

Workplace rules for new major projects would be changed to reduce the potential for delays caused by disputes between unions and employers under proposals to amend the Fair Work Act being examined by the federal government, according to The Australian.

Senior government sources said changes to the rules relating to greenfield agreements were under serious consideration by the government.

The sources said cabinet ministers believed the operation of the rules was "an issue" and the government was prepared to investigate action to ensure resource projects were not subject to "unreasonable delays".

Adani hires workers on short-stay visas

One of Australia's biggest international investors, the Indian-based Adani group, has been importing foreign employees for its $10 billion coal project on three-month restricted visas under a system to short-cut immigration approval for the long-stay 457 sponsored working program, according to The Australian.

The energy and mining giant, which is building the massive Carmichael project in central Queensland and last year bought the Abbot Point port, has been forced to "review and curtail" its practices after an internal audit raised compliance issues about the visas, qualifications and business methods of overseas recruits amid fears of an Immigration Department probe.

Labor accused of failing to address resources boom

Two leading economists have called for an inquiry into how the mining boom's benefits can be maximised, accusing the government of failing to respond adequately to its challenges and warning structural imbalances in the economy "continue to increase", according to The Australian.

In their annual State of the Regions report for the Australian Local Government Association, Peter Brain and Ian Manning also warn the impending carbon pricing scheme poses a risk to the balance of payments, with up to 50% of emissions permits capable of being sourced offshore.

The consultants from National Economics questioned the approach of importing abatement from overseas rather that driving the majority of emissions reductions from domestic action.

They said this could impose an enormous financing burden on the nation if it pushed ahead with its target of cutting emissions by 80% by 2050.

On the mining boom, Brain warned that the costs of the adjustments being forced on the non-resource sectors of the economy could outweigh the benefits of the mining boom once the construction phase of major projects passed.