Apr 26, 2016

Chilean mining associations speak out against new constitution plans

Admin
1 min
President Michelle Bachelet was elected promising constitutional reform
Mining bodies in Chile have rounded on the government’s plans to draft a new constitution. Leading figures Alberto Salas of private m...

Mining bodies in Chile have rounded on the government’s plans to draft a new constitution.

Leading figures Alberto Salas of private mining association Sonami and Joaquín Villarino, head of the mining council representing the largest firms in the sector, have been speaking out at a trade fair in Santiago.

They claim the new constitution will further strain already tense relations between the government and private enterprise. This, they say, would then lead to more uncertainty which could put off investment into the country.

Plans for a new constitution do actually have a legitimate mandate, as this was in the manifesto of President Michelle Bachelet, elected in 2013.

"The political world and its relationship with the business world are covered by a blanket of doubt, sometimes with a good cause, sometimes not so much," Villarino said.

The idea that change caused by democratic process presents challenges to business is also hot on the agenda in Europe, driven by the uncertainty created by the UK’s upcoming referendum on EU membership.  

READ MORE: Can business cope with uncertainty caused by democracy?

Chile’s mining minister Aurora Williams backed up the President by stating that the proposed reform will provide fundamental change for the better, and is something the country has been asking for. 

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May 8, 2021

Global iron ore production to recover by 5.1% in 2021

Iron ore
BHP
Anglo American
GlobalData
2 min
After COVID-19 hit iron ore output by 3% 2020, GlobalData analysis points to 5.1% uptick in 2021

Global iron ore production fell by 3% to 2.2bnt in 2020. Global production is expected  to grow at a compound annual growth rate (CAGR) of 3.7% to 2,663.4Mt between 2021 to 2025. The key contributors to this grow will be Brazil (6.2%), South Africa (4.1%), Australia (3.2%) and India (2.9%). Key upcoming projects expected to commence operations include South Flank in Australia (2021), Zulti in South Africa (H2 2021), Serrote Da Laje in Brazil (H2 2021) and Gudai-Darri (2022), according to GlobalData, a leading data and analytics company.

Iron Ore

Vinneth Bajaj, Associate Project Manager at GlobalData, comments: “Declines from Brazil and India were major contributors to the reduced output in 2020. Combined production from these two countries fell from a collective 638.2Mt in 2019 to an estimated 591.1Mt in 2020. The reduced output from the iron ore giant, Vale, was the key factor behind Brazil’s reduced output, while delays in the auctioning of mines in Odisha affected India’s output in 2020.

“Miners in Australia were relatively unaffected by COVID-19 due to effective measures adopted by the Australian Government, while a speedy recovery in China led to a significant 10.4% increase in the country’s iron ore output.”

BHP

Looking ahead, the global iron ore production is expected to increase by 111.3Mt to 2,302.5Mt in 2021. Rio Tinto is expected to produce up to 340Mt of iron ore, while BHP has released production guidance of 245–255Mt, supported by the start of the Samarco project in December, which is expected to produce between 1–2Mt.The company has retained its guidance for Australian mines at 276–286Mt on a 100% basis, due to scheduled maintenance work at its ore handling plant and tie-in activity at the Area C mine and South-Flank mine.

Anglo American

Bajaj added: “The remaining companies are expected to produce more than 600Mt of iron ore, including FMG, whose production is expected to range between 175–180Mt supported by its Eliwana mine that commenced operations in late December 2020, and Anglo American, which is expecting to produce between 64–67Mt. Vale is expected to resume 40Mt of its production capacity, taking its overall production capacity to 350Mt in 2021, with production guidance of 315-335Mt.”

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