There’s always an excuse but the message is clear enough, BHP is cutting back less efficient iron ore mines:
The trend for companies to manage their own mines instead of hiring external contractors goes on, with BHP Billiton confirming the last contractor working on its Pilbara iron ore mines will be relieved of its duties.
BHP said it would take full control of an iron ore mine called ‘‘orebody 18’’ by June, in a move ending nearly seven years of work on the site by mining services company Macmahon.
BHP started the trend back in 2011 when it acquired HWE Mining, which had been operating some of its Pilbara iron ore mines. As part of BHP’s move to control orebody 18, the company will suspend operations at the Yarrie mine, which ranks as its smallest in the Pilbara.
8 million tonnes per annum small. The great rationalisation of supply begins.
