1. Bloomberg.com: BHP, Rio Iron Ore Venture Scraps Joint Marketing Plan (Update 2)
Rio Tinto and BHP Billiton abandon plans to jointly market iron ore. The Australian miners are focusing its joint venture to production and development. The proposed plan to combine the miners’ Western Australian iron ore assets is expected to save more than $10 billion.
2. Reuters: Peru miners lukewarm on strike, eyes on Congress
Miners use its industry 48-hour strike as an appeal to Congress for improved worker’s benefits. Peru’s miners have demanded the government lower the age for retirement and lift caps on profit sharing.
3. The Associated Press: EPA plans to veto surface mining permit in W.Va
The Environmental Protection Agency plans to revoke a permit issued for Mingo Logan Coal’s Spruce No. 1 mine. The permit was issued in 2007 and the mine would have been the largest authorized mountaintop removal operation in Appalachia. The EPA has not used its authority to review a previously permitted project since 1972.
4. Bloomberg.com: Fortescue May Seek Ore-Blending Venture with Vale (Update 1)
Fortescue Metals Group considering blending its ore with that of Brazil’s Vale. Brazil has a declining supply of lump ore leading Fortescue officials to suggest a possible pairing in the future. The companies have not held talks about a venture.
5. The Hindu Business Line: Govt allows Coal India to hike prices by 11%
Coal India’s prices allowed to increase by 11% on average as of October 16. The Government allowed the decision to help the company end the year with positive profits. The highest price rises will affect Coal India’s subsidiaries Bharat Coking Caol and Eastern Coalfields.
6. The Age: BHP faces $360m loss from Olympic Dam
BHP Billiton estimates it will take more than three months to restore production at its Olympic Dam copper, uranium, and gold mine. The operation’s main haulage shaft was damaged in early October. Ore haulage has been reduced to 25% of its normal capacity, the miner is expected to face revenue losses around $330 million.
7. The Associated Press: Caterpillar 3Q profit drops 53 pct, sees recovery
Caterpillar looks to its Asian customers for increased sales, company hesitantly optimistic for a recovery. The U.S. based company generates about 70% of its sales overseas. Slow sales resulted in a 53% drop in third-quarter profits.
8. Brisbane Times: BHP Billiton iron ore output soars to record
BHP Billiton sets a new iron ore production record for the September quarter. Production increased 1% to 30 million tonnes from last year.
9. The Charleston Gazette: Mining protesters arrested outside governor’s office
Seven mountaintop removal protesters arrested while trying to persuade Governor Joe Manchin to stop Massey Energy mining operations in the Coal River Valley. The protestors refused to leave the Governors reception area at the close of the business day.
10. Reuters: Brazil gov’t studying iron ore export tax: source
An unnamed government sources reports Brazil is considering adopting an export tax on iron ore. There has been recent tension between the government and miner Vale.
