More job losses for the mining industry as Grange Resources announce possible job cuts even as it lifts its production to new heights.
More at ABCNews:
According to its latest quarterly report, Grange Resources was making a small margin on each tonne of iron ore it produced in the September quarter.
Grange said it cut the cost of production at its Savage River mine from $88 a tonne in the June quarter to $79 a tonne in the September quarter and it received an average price of $US63.08 a tonne ($86.72).
However, the $79 a tonne production figure for the September quarter does not include the cost of freight, royalties, and capital spending.
The price of iron ore has since slumped below $US40 a tonne, before a modest late December rebound. Grange’s financial results show the miner is taking a big hit from the falling iron ore price.
Grange made a nearly $80 million net loss for the six months to the end of June after it wrote down the value of its Savage River mine. It made a $110 million net loss in 2014.
No word yet on numbers of jobs, but best guess is by the end of year – all of them.
Share price almost at record low:
