14/12/2017 - 14:29

Citic hits 2017 target, outlines economic value

14/12/2017 - 14:29

Bookmark

Upgrade your subscription to use this feature.

Perth-based CITIC Pacific Mining has hit its 2017 production target of 15 million tonnes of magnetite concentrate at its Sino Iron project in the Pilbara, while also releasing a study that shows spending of $51 billion in Western Australia over the next 40 years.

Citic hits 2017 target, outlines economic value
The Sino Iron project has a 24mt capacity. Photo: Citic

Perth-based CITIC Pacific Mining has hit its 2017 production target of 15 million tonnes of magnetite concentrate at its Sino Iron project in the Pilbara, while also releasing a study that shows spending of $51 billion in Western Australia over the next 40 years.

The company reported a 36 per cent increase in production from 2016, however, the result is still significantly less than the site’s 24 million tonnes capacity.

Citc simultaneously launched its ‘better partnerships’ campaign, aimed at improving relations between the company and the local community, through the release of a report commissioned by Citic.

The study, conducted by Deloitte Access Economics, outline the significant benefits of the Sino Iron project to the WA economy highlighted by the $51 billion total spend and an estimated 3,123 direct jobs each year.

The report also predicts state government royalties of more than $5 billion and export earnings of $100 billion.

Indirectly, the company supports an additional 3,114 jobs in WA, and more than 4,000 across the country.

Deloitte also said the company would spend $8.7 billion on wages to its employees over the life of the project.

Deloitte estimates an indirect benefit of $29.9 billion to the state economy, while the project will boost consumer spending by $20.5 billion. 

Citic is currently deciding whether to appeal a recent Supreme Court ruling that ordered it to pay Clive Palmer nearly $US150 million in royalties on its Pilbara-based project.

Citic chief executive Chen Zeng said the company was hopeful of improving relations with WA.

“We’re proud to be delivering enormous value through our operations to date, in partnership with the State of Western Australia,” he said.

“Our challenges are well known.

“We remain focused on doing everything we can to place Sino Iron on a financially sustainable footing, to ensure the project reaches its full potential, for the benefit of all."

STANDING BY BUSINESS. TRUSTED BY BUSINESS.

Subscription Options