Today's Business Headlines

Troops pact provokes China row

China has delivered a sharp rebuke to Washington and Canberra after the two allies bolstered defence ties to increase the US military presence in Australia. The Fin

Fair Work 'delaying' mine projects

The mining industry has warned that Labor’s Fair Work laws are delaying the start of construction for new resources projects and forcing employers to give construction workers the same generous wages and allowances paid on offshore oil rigs. The Aus

Gindalbie circles key WA port

Chinese-backed iron ore miner Gindalbie Metals is poised to swoop on the embattled Oakajee port and rail project in Western Australia, after it quietly began pegging out an alternative rail corridor to the port from its mine in the state's mid-west. The Fin

Stokes eyes succession

Kerry Stokes says Seven West Media expects to detail as early as next month a succession plan for chief executive and long-time Channel 7 boss David Leckie. The West

Forrest threatens High Court action

Andrew Forrest's Fortescue Metals Group has vowed to reveal before Christmas whether it will mount a High Court challenge to the federal government's minerals resource rent tax as it looks to build momentum to amend the impost.. The Fin

THE WEST AUSTRALIAN:

Page 1: US President Barack Obama will significantly step up America's military presence in the nation's north after being encouraged by Australia to muscle up in the region amid growing fears about the rise of China.

Page 4: Barack Obama has praised Julia Gillard's carbon tax as a “global strategy” but warned a climate change deal would be a “tough slog” unless emerging nations such as China and India also cut their carbon footprints.

Page 7: China's state-owned media has warned Australia not to get caught in China-US crossfire by choosing “to play China for a fool” as Julia Gillard announced the nation would host an increased US military presence.

Australia will continue to allow China to use a satellite station in the Mid West, despite the country's top electronic espionage expert finding that such use may boost Beijing's ability to target US and Australian warships.

Page 9: Premier Colin Barnett has defended the waterfront development after it was slated by a leading WA architect who said the designs were big rather than great.

Page 10: Mining sector wages are growing at their slowest pace in eight years in a further sign the entire economy is slowing in the face of Europe's financial woes.

Page 11: The City of Cockburn is considering the installation of shark nets at Coogee Beach in response to a spate of fatal shark attacks in WA.

Page 16: Opponents of live animal exports will use the Labor Party's national conference to try to shut the industry, or at least enshrine in party policy the compulsory pre-stunning of animals.

Page 19: Property development giant Mirvac has been awarded preferred tenderer status for a revitalisation of Karratha that the state government will help build a build a vibrant community in the North West town and arrest the growth of fly-in, fly-out practices.

Business: Kerry Stokes says Seven West Media expects to detail as early as next month a succession plan for chief executive and long-time Channel 7 boss David Leckie.

Outgoing Barminco chief executive Neil Warburton says he will leave the underground contractor in “pretty good shape” after announcing his surprise resignation, five months after the WA group pulled its float plans.

BHP Billiton has approved another $US1.2 billion investment in WA's iron ore sector as part of a planned expansion to take its annual production capacity in the Pilbara from 155 million tonnes to 240mt by 2014.

Mount Gibson Iron has put plans to address a declining production profile at the top of its agenda, earmarking at least some of its $400 million cash pile for acquisitions as it tries to shake the perception it is controlled by its Chinese backers.

Cash Converters may seek to raise fresh capital in coming months as it looks overseas to grow its payday lending business amid the Federal Government's planned fee curbs on short-term lenders.

The peak body representing Australia's energy utilities has called on the Barnett Government to move faster towards cost-reflective energy tariffs and hand price setting powers to an independent regulator.

iiNet is expected to announce as early as today that it has struck a deal to buy Canberra-based telco TransACT for a rumoured price of up to $80 million in a bid to branch out the the corporate and government sectors.

Market darling Silver Lake Resources has taken advantage of a 49 per cent jump in its share price this year to raise $70 million.

THE AUSTRALIAN FINANCIAL REVIEW:

Page 1: China has delivered a sharp rebuke to Washington and Canberra after the two allies bolstered defence ties to increase the US military presence in Australia.

The Gillard government has risked increasing economic tensions with China by backing US calls for Beijing to change its attitude to international rules on trade and commerce.

Chinese-backed iron ore miner Gindalbie Metals is poised to swoop on the embattled Oakajee port and rail project in Western Australia, after it quietly began pegging out an alternative rail corridor to the port from its mine in the state's mid-west.

Federal Labor has intervened to back unions in a High Court test case that could allow judges to infer the “real reason” when management exercises its prerogative on issues such as staff discipline.

Page 3: The federal government has been asked to approve health insurance premium increases above inflation, even as industry profits rise.

Housing is as cheap as ever for professional singles, young earning couples with no children or dual income families – and many even have a few spare bedrooms for extra gadgets, grandparents and stay-at-home 20-somethings.

Page 4: The Australian Chamber of Commerce and Industry, Australian Industry Group and other business groups are concerned the federal government might narrow the focus of a long-awaited review of the industrial relations system.

Page 5: Andrew Forrest's Fortescue Metals Group has vowed to reveal before Christmas whether it will mount a High Court challenge to the federal government's minerals resource rent tax as it looks to build momentum to amend the impost.

Page 7: India could reduce its carbon emissions by more than 300 million tonnes by 2030 due to nuclear energy but critics of the plan for Australia to export uranium to the country claimed there were better ways of tackling climate change.

Page 8: The number of power stations built has stalled but new gas and wind projects under construction have already started to transform Australia's energy mix, a report shows.

Federal government rules that force international petroleum giants to “use or lose” their big gas reserve off Western Australia should be tightened to ensure the development of more gas for domestic businesses, the nation's main energy body says.

Page 10: The West Australian Supreme Court has approved a consolidation of Perdaman Chemicals' Federal Court and Supreme Court actions against its prospective coal supplier, Lanco Infratech.

Page 11: Labour costs are easing, adding to evidence that inflation is being driven down by weakness in much of the economy beyond mining and energy projects.

Page 17: The prospect of a euro zone break-up intensified as borrowing costs soared and the Dutch Prime Minister said it should be possible to expel some members from the currency union.

Page 21: BHP Billiton has approved the construction of the $US597 million Yarnima gas-fired power station to fuel its iron ore operations in the Pilbara from 2014.

Page 22: Woolworths and Coles have slashed prices on beer, wine and spirits as the battle for market share in supermarkets spills into the $16 billion packaged liquor market.

Page 23: Qantas has received a much-needed boost after major shareholder Capital Group raised its stake over two days of trading, while chief executive Alan Joyce said the company was in “very productive” discussions over its new premium airline to be based in Asia.

Page 24: QR National is positioning itself to replicate its extensive east coast coal transport rail network in the heartland of Australia's iron ore mining industry in a move that could unlock more than 100 million tonnes a year of exports from a range of small miners in Western Australia's Pilbara region.

Page 46: Property developer Mirvac Group is the preferred candidate to lead a $1.5 billion redevelopment of the Pilbara town of Karratha, including a new town centre and a 1500-dwelling coastal suburb.

THE AUSTRALIAN:

Page 1: Barack Obama yesterday hailed his country’s ‘‘indispensable’’ alliance with Australia as he stood shoulder-to-shoulder with Julia Gillard to announce a significant deepening of military ties between the nations.

A major employer group will launch action in the Federal Court to try to overturn a landmark workplace deal containing a job security clause at the heart of the long-running Qantas dispute.

The mining industry has warned that Labor’s Fair Work laws are delaying the start of construction for new resources projects and forcing employers to give construction workers the same generous wages and allowances paid on offshore oil rigs

Page 2: Once the dusty domain of hard-drinking single miners, the remote West Australian boom town of Karratha will undergo a billion-dollar transformation into a family-friendly city of 50,000 — with even a luxury Hilton hotel.

Page 8: Barack Obama has declared that the emerging economies of China and India must take decisive action to lower emissions if the US is to be a part of any multilateral climate change agreement.

Page 9: US President Barack Obama has praised Julia Gillard’s controversial decision to seek to overturn her party’s platform and sell uranium to India as ‘‘smart’’ foreign policy that is in accordance with international law.

The US does not expect global economic turmoil to disrupt its plans to increase its presence in the Asia-pacific region.

Business: The prospect of rising costs in the banking industry, thanks to Australia’s response to global banking reforms designed to avoid a repeat of the 2008 financial crisis, could put upward pressure on interest rates as banks pass on the costs to customers.

As the pace of Asia-Pacific economic integration steps up, Australia is about to conclude a crucial free-trade agreement with its third-largest export buyer, South Korea, the first deal with a big Asian partner.

BHP Billiton has approved an extra $US1.42 billion ($1.39bn) of ‘‘sustaining capital’’ for its West Australian iron ore operations, boosting the total cost of increasing its capacity to 240 million tonnes a year.

Resources and Energy Minister Martin Ferguson warned yesterday the electricity sector needed greater certainty after releasing figures that showed the completion of new power stations had plunged.

Supermarket giants Woolworths and Coles are waging a new price war in the $16 billion beer, wine and spirits market.

Indian tycoon Pankaj Oswal has asked the Federal Court to scrutinise insolvency firm PPB Advisory for charging $8.1 million in fees in just six months to manage his company, Burrup Fertilisers.

iiNet is preparing to carve out a new niche in the government and corporate telecoms sector after offering up to $80 million to acquire Canberra-based telco Transact and its assets.

The head of Royal Dutch Shell’s Australian operations, Ann Pickard, has joined other top female directors in arguing for a boost to unskilled migration levels, a move she says would allow women to hire nannies and return to work earlier after giving birth.

ANZ has raised $US1.25 billion ($1.24bn) from the first issue of covered bonds from an Australian lender, ahead of an expected wave of issuance.

THE SYDNEY MORNING HERALD:

Page 1: A decision to increase the US military presence in Australia is a clear signal to the Asia-Pacific that the US is here to stay, Barack Obama says.

Page 2: Fairfax Media chief has disputed the need for major changes to the Australian media industry at a media inquiry.

Page 3: The federal government's deadline for withdrawing from Afghanistan risks making the job of training Afghan soldiers more difficult, the commander of Australia's mentoring program in Oruzgan province says.

World: As Fatah and Hamas announced fresh moves towards ending their rift, Israel's military chief has warned it was considering a large-scale military assault on Hamas-controlled Gaza.

Business: Research houses will have to keep their advice free from commercial influence and reveal more about how they come to their conclusions on investment products under new rules proposed by the corporate watchdog.

Sport: The independent commission is finally set to take over control of rugby league.

THE DAILY TELEGRAPH:

Page 1: A US combat force of 2500 will be deployed in northern Australia.

Page 2: Fairfax Media's chief executive has questioned the basis for proposed changes to the way the media industry is regulated, arguing an inquiry has heard no evidence of serious invasions of privacy by journalists.

Page 3: Police will be given the power to prevent sex offenders, prisoners and parolees from changing their name.

World: Syria has been further isolated after neighbour Turkey threatened it with power cuts and halted joint oil exploration on the eve of talks with Arab leaders about ending the civil bloodshed.

Sport: Australian captain Michael Clarke faces the prospect of ending his predecessor Ricky Ponting's career.

THE CANBERRA TIMES:

Page 1: Barack Obama embraces Australia. Stability priority as US forces get the nod.

Page 2: US marines' move to Top End welcome.

Page 3: Third time lucky as US chief finally visits Australia.

World: Shots fired on US campus.

Finance: Slow wage rises points to rates cut.

Sport: Williams lets rip at Woods again.

THE COURIER MAIL:

Page 1: Police are being pulled off the beat to supervise prisoners in watchhouses.

Page 2 & 3: US president Barack Obama visits Australia and Julia Gillard announces US marines will be stationed in Darwin.

Page 5: Overcrowding jails are reaching breaking point with the state government struggling to find beds for displaced prisoners.

World: Germany has called on Britain to be less selfish towards the EU in the wake of the financial crisis facing European countries.

Business: The head of the National Australia Bank has warned the threat of a new credit squeeze is "increasingly real".

Sport: Australian golfer Jason Day wants to make his mark on American golf in the Presidents Cup at Royal Melbourne which starts on Thursday.