IGO suspends annual dividends from Tianqi JV amid market downturn
The JV experienced a build in lithium hydroxide inventory at Kwinana over recent months.
The Blue Mountains Gazette reports the Australian Coal Association says $1.3 billion in proposed government compensation would delay by only one year the premature closure of four of the 21 mines that an industry survey found were under threat from the government’s carbon tax.
On top of the carbon tax set to kick in mid-2012, Australian miners also have to contend with the new minerals resource rent tax set at an effective 22.5% rate on the so-called super-profits of the extractive industries.
The Blue Mountains Gazette reports in a submission to the Senate committee inquiring into the carbon tax, the association says the net impact of the carbon tax on the coal industry over the first 10 years is $16.9 billion.
Rio Tinto executive director Sam Walsh said last week the mining industry has to live with the new resources tax as the best deal that could be done with the current government. The final tax rate of the MRRT had been reduced from 40% to an effective 22.5% rate Walsh told a meeting organised by the American Chamber of Commerce in Australia.
MINING.com reported earlier this month New South Wales plans to increase the royalties it receives from coal companies to offset some $400 million in extra costs to the state’s coal-fired electricity generators due to the carbon tax.
MINING.com reported last week Friday on the first wave of coal plant closures in the US due to the American Environmental Protection Agency’s new, stricter, regulations. A recent industry-sponsored study showed the US coal ash industry could suffer $110bn in lost economic activity and cut 300,000 jobs over the next 20 years under the new rules and between 50,000Mw and 70,000Mw of coal-fired power generation throughout US could be retired.
