The world's largest mining industry has not been spared
2015 of the bells have not yet sounded, the call to "capacity" has been greatly prepared. Just entered the new year, the engineering machinery industry has a slight rise in the various enterprises, although there is no choice, but also hard to respond to the policy call.
However, excess capacity is more than the domestic situation, in the global association QianYiFaErDongQuanShen in the world's largest mineral company, BHP Billiton also failed to survive, the development of the industry accepted the fact, joined the magnificent "production team". The company recently announced a reduction of 10 million to 2.37 billion tons in the 2016 fiscal year (12 months by June 30th this year).
BHP Billiton CEO Andrew Mackenzie said today that in the first half of fiscal year 2016, the collapse of commodity prices depressed the whole natural resources industry. "BHP Billiton must strive to maintain the financial flexibility of the balance sheet to cope with the next market volatility."
Australia BHP and vale of Brazil, the company is located in Brazil of the joint venture company, Ma Ke early November large tailings breaching of the dike causing major pollution accidents, and at least 17 people were killed. BHP and Vale are 5 billion 200 million dollars in compensation litigation by the government of Brazil.
In the second half of 2015, the price of iron ore fell by 39% compared to the same period in the previous year. At the same time, the oil price was cut, copper prices also fell by 29%. BHP believes that the prices of iron ore and coal will not rebound in the coming years, but still hope that copper and oil prices will rebound.
Rio Tinto issued a statement yesterday that it expected its iron ore production in 2016 to increase by about 7% to 3.5 billion tons, significantly slower than the 11% in 2015. Last month, Vale also cut its annual output of iron ore by about 10% to 340 million -3.5 tons in a year of 2016.
BHP Billiton Sydney shares fell 3.5% to 14.21 Australian dollars a share, a new low in January 2005. In the past 12 months, the company's share price has fallen by 45%. BHP's iron ore production is a bit lower than expected. The market environment is not optimistic, which may cause its stock price to continue to go down.
Australia's Fat Prophets resource analyst said that a decline in output growth would be a good news, considering that the iron ore market is too saturated. However, because the Iron Ore Co is still increasing production, this year, the price of iron ore will continue to bear pressure.
Wonderful promotion:
China dragged the annual meeting of suppliers
At the end of the year award for all incoming workers
The 10 way to teach you how to repair the hydraulic excavator
