Xstrata and Anglo merger to boost Queensland coal industry
Thursday, 25 Jun 2009
ABC quoted the central Queensland business group as saying that the merger between mining companies Xstrata and Anglo American would be a boost for the local coal industry.
Xstrata said that it has approached Anglo American's board about a possible amalgamation.
Anglo said that talks are at a very early stage.
Rockhampton Regional Development's Mr Gary Kerr said that such a merger would counter the impact of a possible deal between BHP Billiton and Rio Tinto.
He said that "For them to remain competitive, I think they need to certainly look at something along this type of merger. There'd be a lot more resources behind that much larger company to further operate and develop the mines in central Queensland."
Mr Kerr said that he does not believe a merger would threaten jobs. He said that “Like any merging organization any threats to employment I believe would tend to be more in the sort of higher end administration in head offices.”
