They’re falling like flies these mining projects. Following the merger of Xtrata and Glencore, it seems CEO Ivan Glasenberg was quite serious when described the great mining capex expansion as a mistake:
Glencore Xstrata has ceased work on its planned $1 billion-plus Balaclava Island Coal Export Terminal (BICET) development in Queensland effective immediately after a review of the project.
The mining company…cited poor coal market conditions, excess port capacity in Queensland, shipping limitations and concerns about the industry’s medium-term outlook.
Glencore has reviewed a suite of development projects in the Xstrata portfolio, with chief executive Ivan Glasenberg making it clear he is not keen on developing greenfields projects.
Another billion bites the dust.