Register
Login:
Share:
Email Facebook Twitter

Stock Market news at lse.co.uk - RSS News Feeds

Bhp Billiton Share News (BLT)



Share News for Bhp Billiton (BLT)


Share Price: 1,610.50Bid: 1,605.00Ask: 1,606.00Change: 0.00 (0.00%)No Movement on Bhp Billiton
Spread: 1.00Spread as %: 0.06%Open: 1,642.00High: 1,648.50Low: 1,601.50Yesterday’s Close: 1,610.50




UPDATE 1-BHP to suspend Australia manganese operation

Thu, 23rd Feb 2012 01:58

SYDNEY, Feb 23 (Reuters) - BHP Billiton will suspend production at its TE
MCO manganese alloy smelter in Tasmania, Australia by early to mid-March and conduct a review of the business, citing stiff international competition and rising operating costs, the company said on Thursday.

'Recently, there has been further erosion of its international competitiveness due to the strong Australian dollar and steady increases in input costs, including in reductants and electricity,' the company said in a statement.

At the same time, manganese alloy markets in Europe and North America have been weak and global prices remain low, it said.

BHP is the world's largest producer of manganese, used to strengthen steel, mining 3.25 million tonnes of ore from operations in Australia and South Africa in the December 2011 half-year period.

The weak market situation for manganese was being exacerbated by a large stockpile of ore at Chinese ports and poor demand for steel long products, according to metals traders.

'While measures have been taken to make the operation as cost effective as possible, these have not been sufficient to counter shifts in the market, increased costs of production, or operating losses,' BHP said.

Over the next three months, BHP said it will review the long-term future of the operation.

Permanent employees of TEMCO will not be immediately affected by the suspension, though the number of outside contractors working at the facility will be cut, BHP said.

The operation began production in 1962 and remains the only manganese ferroalloy plant in Australia. It incorporates four furnaces and a sinter plant and produces high-carbon ferromanganese, silicomanganese and sinter. Production has run as high as a quarter-million tonnes per year.

BHP also mines manganese on the Australian mainland and in South Africa.

Roughly 80 percent of manganese ore production is sold directly to external customers. The remainder is fed to the TEMCO smelter and another facility in Meyerton, South Africa, according to BHP.

BHP earlier this month cited a 22 percent decline in ore prices and a 10 percent decline in alloy prices as a 'major drag on profitability' of its manganese division in the half-year period to December 31, 2011.

Recovery, particularly of the construction industries in Europe and North America, could lead to a firming of manganese ferroalloy prices starting in 2013, according to a report this month by London-based Roskill Information Services.



(Reporting by James Regan; Editing by Michael Urquhart) Keywords: AUSTRALIA BHP/

(jim.regan@thomsonreuters.com)(+612 9373-1814)(Reuters Messaging: jim.regan.thomsonreuters.com@reuters.net)

COPYRIGHT
Copyright Thomson Reuters 2012. All rights reserved.
The copying, republication or redistribution of Reuters News Content, including by framing or similar means, is expressly prohibited without the prior written consent of Thomson Reuters.


Related Shares: Bhp Billiton Plc (BLT) 





UPDATE 1-Workers at top Peru copper mine agree to talks over planned strike

(Adds context on strike, comment from company)LIMA, Oct 31 (Reuters) - Workers at Peru's top copper producer, Antamina, accepted management's invitati
[Yesterday 22:25]

Workers at top Peru copper mine agree to talks over planned strike

LIMA, Oct 31 (Reuters) - Workers at Peru's top copper producer, Antamina, accepted management's invitation to talk on Tuesday about the indefinite str
[Yesterday 21:16]

BHP offers little hope of revisiting giant copper mine expansion

By James ReganSYDNEY, Oct 31 (Reuters) - Expansion by BHP Billiton's giant Olympic Dam mine in Australia, once considered among its prized growth as
[Yesterday 07:00]

Australia & NZ stocks pop higher, on track for hefty monthly gains

* NZ stocks up 2.8 pct in Oct, largest gain in 7 months* Aussie shares up 4 pct this month* Macquarie & ANZ post strong results* 142 shares down, 45 s
[Yesterday 02:53]

UPDATE 3-Vale posts surprise loss, shares dive

(New throughout, updates share price, adds executive comment)By Stephen EisenhammerRIO DE JANEIRO, Oct 30 (Reuters) - Vale posted a surprise $1.44 bil
[Thu 16:41]

Asia Dry Bulk -Capesize rates to climb further after hitting six-month high

By Keith WallisSINGAPORE Oct 30 (Reuters) - Rates for capesize bulk carriers on key Asian routes could hold steady or climb higher next week after sur
[Thu 08:46]

Chinese iron ore slips, buyers cautious ahead of output cuts

* Iron ore down for fifth day in a row * Steel futures inch up amid policy support * Earnings announcements reveal mixed fortunes for steel fi
[Thu 08:05]

UPDATE 2-Steel-making coal market could be balanced by mid-2015 -Teck

(Recasts with conference call)By Nicole MordantVANCOUVER, Oct 29 (Reuters) - The steel-making coal market, where prices have plunged to seven-year low
[Wed 18:01]



Sign up for Live Prices
Home  |  Contact Us  |  About Us  |  Careers  |  Advertise with Us  |  Sitemap  |  Terms & Conditions  |  Cookies  |  Privacy


Datafeed and UK data supplied by NBTrader and Digital Look. While London South East do their best to maintain the high quality of the information displayed on this site,
we cannot be held responsible for any loss due to incorrect information found here. All information is provided free of charge, 'as-is', and you use it at your own risk.
The contents of all 'Chat' messages should not be construed as advice and represent the opinions of the authors, not those of London South East Limited, or its affiliates.
London South East does not authorise or approve this content, and reserves the right to remove items at its discretion.