South32 slashes capital expenditure

JOHANNESBURG – South32, the global mining and metals company, yesterday slashed its capital expenditure for the 2018 financial year.

At strategy and business update presentation in Perth, Australia, chief executive Graham Kerr said the sustaining capital expenditure for the 2018 financial year was now expected to be $470million (R6.42billion) down from a previously stated $500m.

He said two-thirds of the reduction was associated with the deferral of underground development at Appin, a section of Illawarra Metallurgical Coal in New South Wales, Australia.

The company also said that saleable production of 4.5million tons (3.35mt metallurgical coal, 1.15mt energy coal) was now projected for Illawarra …read more