JAN29-09

Page 1

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Volume 5, Wednesday January 28th, 2009

Proud Aussies

Big Numbers attend Australia Day Celebrations

a families came wearing Roxby Downs Australn alia str Au of iety var a in ia Day Celebrations had thing with the Australe their biggest attendanc clo h flag worn as a sarong wit ian since its inception pular with the over 400 people gather being po x ple ls. com gir ol ing at the po After the off icial anon Monday morning. an ali str Au ncement of the local e nou fre e Th ppo y ver s Australia Day and SportBreakfast wa re ular with a long queue sperson awards kids we sthe Au of l t cia par spe ly a to ear d the for treate morning as the volun tralia Day Birthday Cake teer chefs worked fever- followed by games. The ishly to keep up with the pool was a popular spot unexpected demand. all day. Th e par ty go ers deThe Australia Day cele, voured 60 kilos of bacon brations are presented by 280 eggs and an unknown the Roxby Leisure and the quantity of sausages. Roxby Downs Council. Individuals and entire

Andries Neimann received the Junior Sports Person of the Year Award, Casey Potts received the Young Citizen of the Year Award, Maree Jackson received the Citizen of the Year Award, and Phillipa Weltner received the Senior Community Sports Person Award and Steve Edwards accepted the award for Community Event of the Year on belhalf of the Relay for Life.

The uncertainty continues

B

HP Billiton’s Olympic Dam operations received not more than a scratch when the company announced last week that 6,000 jobs would go globally, of which 3,300 would be within Australia. Only 200 jobs have been lost in South Australia, which come from the team working on the expansion project in the Company’s Adelaide Offices. The value and efficiencies of the Olympic Dam operations has been reinforced considering the comparatively low number of jobs lost over the three months. A company spokeswoman says that the cuts will not affect production which will bring a degree of confidence to the Olympic Dam workforce. The cut does raise some concerns for the expansion project which is being scaled back because of the global economic uncertainty.

Adding further fuel to the concerns is a statement by the company’s chief financial officer Alex Vanselow saying, “There is some uncertainty about the (expansion) project’s environmental assessment.” Industry analyst Toby Grimm reported on the ABC that there is a risk the expansion could be mothballed if the global crisis continues. “The conditions for resources companies and miners in general has deteriorated quite considerably over the past twelve months; metal prices a have fallen across the board by a least 30 and in some cases 20 percent” he said. “This does indeed put a lot of overhang on expansion plans from mining companies everywhere in the world. BHP is no different.” Premier Mike Rann is still very confident the project will go ahead stating, “It’s not going to be mothballed, ultimately it takes four to five years to actually get to the ore body before

you start production and they’re going to be shifting a million and a half tonnes of rock of day,” he said. “They’ve got great confidence about this. This is the world’s biggest mine, it’s the world’s greatest deposit of uranium, which is still being sought by China and other nations around the world as they switch to nuclear power.” The Premier went as far as to say: “Production targets at Olympic Dam are unchanged and planning continues for the expansion of what will be the world’s largest open cut mine.” Premier Rann said the formal indenture negotiations begin next month and that he expectes the Environmental Impact statement on the expansion of Olympic Dam to be available for 40 business days of public comment from May. Other concerning comments have been Mr Vanselow’s warning last Wednesday that more mines could be closed down given the uncer-

tainty in commodity prices, and the Federal Treasurer talking about an unwinding of the mining boom. Jason Kuchel, Chief Executive of the South Australian Chamber of Mines and Energy, while upbeat about the current situation said, “I think it (improvement) depends to some extent on just how long it takes for renewed demand to come back, particularly from China for commodities.” The operations of the current Olympic Dam mine, which has a solid production output, looks relatively safe. The expansion, however, still lies on a bed of uncertainty, not as to whether it will happen but more as to when and to what degree. Years of planning and modelling must have been turned on its head since October 2008 and we still don’t know if the crisis has bottomed out.


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JAN29-09 by The Monitor Inc - Issuu