Nippon Steel hires Mike Pompeo to advise on US Steel deal
Nippon Steel also faces objections from the powerful United Steelworkers (USW) union, which fears the deal could lead to job losses.
With prices down by nearly half this year and smaller players going out of business many in the industry (and politicians) are throwing around words like oligopoly, collusion and anti-trust.
That goes to far, but three years isn’t a long time when it comes to mining capital expenditure planning, especially not infrastructure-heavy projects like iron ore.
There had to be some method in the Big 3’s expansion madness.
“Our company has been very clear that the time for massive expansions of iron ore are over,” BHP Chief Executive Officer Andrew Mackenzie told reporters today after a shareholder meeting in Adelaide, South Australia.
While BHP is still increasing production, the company last approved spending on an iron ore expansion in 2011. It’s shifting investment into copper and petroleum, he said.
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