- BHP Billiton (BHP +1.2%) says a proposed tax on producing iron ore in Australia would jeopardize development of its new South Flank project in the Pilbara region that may account for ~25% of its iron output from the country.
- The leader of Western Australia’s Nationals party has proposed a production-rental cost on BHP and Rio Tinto of A$5/metric ton, up from $0.25 currently, a move the companies say would put jobs and competitiveness at risk.
- BHP says South Flank could produce as much as 80M metric tons/year if approved; the company is targeting production of 290M tons/year from the Pilbara region and output from the new operation would replace the aging Yandi mine upon depletion.