Anglo to take $4bn hit on Brazil mine

Comment on this story
BR_CYNTHIA_CARROLL_110 .. Anglo American chief executive Cynthia Carroll.

London - Anglo American on Tuesday said it would suffer a one-off charge totalling $4.0 billion (3.0 billion euros) owing to delays at its Minas-Rio iron-ore mining project in Brazil that have sent costs rocketing.

The mining giant, which has been hit in recent months by slumping platinum output owing to violent strike action by workers in South Africa, said that it would “record an impairment charge of $4.0 billion” in its 2012 earnings.

“We are clearly disappointed that the diversity of challenges that our Minas-Rio project has faced has contributed to a significant increase in capital expenditure, leading to the impairment we have recorded,” chief executive Cynthia Carroll said in a statement.

“Despite the difficulties, we continue to be confident of the medium and long term attractiveness and strategic positioning of Minas-Rio and we remain committed to the project,” she added. - Sapa-AFP

sign up

Comment Guidelines

  1. Please read our comment guidelines.
  2. Login and register, if you haven’ t already.
  3. Write your comment in the block below and click (Post As)
  4. Has a comment offended you? Hover your mouse over the comment and wait until a small triangle appears on the right-hand side. Click triangle () and select "Flag as inappropriate". Our moderators will take action if need be.

  5. Verified email addresses: All users on Independent Media news sites are now required to have a verified email address before being allowed to comment on articles. You are only required to verify your email address once to have full access to commenting on articles. For more information please read our comment guidelines