2nd Jun 2016 09:58
LONDON (Alliance News) - The chief executive of South32 Ltd has said the company is considering closing one of the biggest ferronickel mines in the world and confirmed another 270 jobs would be cut as he warned there is worse to come for the natural resources sector, the Financial Times reported Thursday.
Speaking on the one year anniversary of the company's spin-off from BHP Billiton PLC, South32 Chief Executive Graham Kerr said the job cuts would be on top of the 1,750 cuts that were announced back in February, stating he is not convinced the market is through the challenging price environment.
Kerr also said the company is considering shutting its Cerro Matoso ferronickel mine in Colombia, one of the world's biggest, where workers are threatening to strike over pay and conditions, the FT reported.
"We might look at mothballing it for a period of time until the nickel price returns or if we have unrealistic demands from unions, which we can?t afford to pay ? well, then you can't run the plant," he said in an interview with the FT.
http://www.ft.com/cms/s/0/3254f7d2-288f-11e6-83e4-abc22d5d108c.html#axzz4APixHoqB
By Joshua Warner; [email protected]; @JoshAlliance
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