Today's Business Headlines

Reform call to 'reboot the boom'

The resources boom is in desperate need of ‘‘rebooting’’, as union-inspired provisions in Labor’s Fair Work Act, onerous environmental approvals and the return of infrastructure bottlenecks lead to crippling costs and delays that could force miners to abandon more projects. The Aus

Treasury to Swan: dump surplus plan

Federal Treasury is advising the government to dump its commitment to a budget surplus as a slump in Australia's nominal growth rate poses a threat to revenue. The Fin

WA house prices lead the way

Analysts predict the growth in Perth's property prices will be the biggest of all capital cities next year, with its median house price expected to jump 5 to 7 per cent. The West

Shell Browse plans boosted as BHP exits

PetroChina has expanded its international alliance with Royal Dutch Shell by snapping up BHP Billiton’s 10 per cent stake in the Browse gas venture, in a move that boosts plans to develop the huge project off the West Australian coast using Shell’s cutting-edge floating LNG technology. The Aus

Council pans light-rail line in city malls

The City of Perth has dug its heels in over the planned route for Perth's first light-rail network, saying that a line down the Hay Street or Murray Street malls would “destroy the identity and amenity of our central retail area”. The West

THE WEST AUSTRALIAN:

Page 1: Collie residents were warned last night to brace for major flooding after summer thunderstorms in one-in-100 year rains wreaked havoc across the southern half of WA.

Page 3: Analysts predict the growth in Perth's property prices will be the biggest of all capital cities next year, with its median house price expected to jump 5 to 7 per cent.

China has joined Japan Inc and bought into WA's biggest undeveloped gas project, underscoring the Asian country's insatiable demand for Australian liquefied natural gas.

Page 6: West Australians are rediscovering their state, making more than five million trips in their own backyard for the first time since 2007.

Page 14: The City of Perth has dug its heels in over the planned route for Perth's first light-rail network, saying that a line down the Hay Street or Murray Street malls would “destroy the identity and amenity of our central retail area”.

Business: Macmahon Holdings has uncovered huge losses on two more projects during a review which has led the contractor to propose closing its construction division and offloading the work to Leighton Holdings.

BHP Billiton has finally walked its talk, exiting the controversial Browse LNG consortium and allowing PetroChina to enter the fray, three years after the Chinese giant pulled out of a long-term $45 billion off-take deal covering WA's biggest undeveloped gas development.

Crucial guarantees underpinning the $1.2 billion sale of the Bluewaters power station in Collie have failed to materialise in time for today's trade deadline, leaving the transaction at the mercy of a separate legal action.

Grant Vernon is undecided about his next move following his amicable departure from Entrust Private Wealth Management after less than a year as chief executive.

The troubled $6 billion Oakajee port project has been handed a lifeline, after WA's enviroment watchdog extended the time needed to begin construction of the deepwater channel segment near Geraldton until February 2018.

The former chief executive of the ill-fated Compass Hotel Group faces a jail term after admitting that he breached his directors duties and misled the corporate regulator.

Shares in BC Iron jumped more than 10 per cent yesterday after the company closed a $47 million placement at a premium to its previous trading prices.

THE AUSTRALIAN FINANCIAL REVIEW:

Page 1: Federal Treasury is advising the government to dump its commitment to a budget surplus as a slump in Australia's nominal growth rate poses a threat to revenue.

The Gillard government threatened an inquiry into the Peter Slipper affair after the federal court dismissed the sexual harassment claims against the former speaker as a politically motivated attempt to damage him and, by extension, the government.

Page 5: Experts believe badly designed curriculums, low standards in primary school teacher training and adherence to “whole language” methods of teaching training are among reasons for Australia's abysmal performance in primary school literacy, revealed in an international study.

Page 8: Reserve Bank of Australia governor Glenn Stevens has weighed into the global debate over the so-called currency wars, saying Europe, the United States and Japan were being widely accused of “exporting their weaknesses” through the use of record low interest rates and quantitative easing.

Some central bankers are encouraging the Reserve Bank of Australia to consider heavy intervention if it wants to bring down the value of the dollar, which is at its highest in months.

Consumer confidence fell for the second time in three months, suggesting the community's concerns about the economy are outweighing the benefits of lower interest rates.

Page 9: Australia is the least efficient manufacturing nation in the world, the US Bureau of Labour Statistics reports.

Page 10: Business chambers across Australia have pledged to join forces for the first time against government policies and regulations they see as damaging to small business before next year's federal election.

Page 13: Cutting airfares and overhauling the federal government's unpopular passenger movement charge could be the next steps towards bringing Australia and New Zealand closer to becoming a $1.6 trillion economic powerhouse, the countries' top economic advisers say.

Page 14: A long-running dispute between Gina Rinehart's Hancock Prospecting and rival dynasty Wright Prospecting will linger in the courts until next year after a final verdict was delayed.

Page 15: BHP Billiton is selling its stake in the Browse LNG project to PetroChina for $US1.63 billion, removing another obstacle to development of the troubled venture and continuing the trend for miners to shelve non-core assets.

Page 18: Macmahon Holdings will be granted a waiver for its debt covenants after its biggest shareholder Leighton Holdings agreed to sub-underwrite a drastically discounted entitlement offer and buy part of its business.

Page 19: Workers building Australia's largest resources project have raised fresh concerns about plans to boost onsite productivity after it emerged power outages and a lack of supervisors have left staff unable to complete work.

Page 20: PetroChina's second major equity investment in Australia is being regarded not only as an endorsement of the Woodside-led Browse project, but also a vote of confidence in the Australian LNG sector.

THE AUSTRALIAN:

Page 1: The resources boom is in desperate need of ‘‘rebooting’’, as union-inspired provisions in Labor’s Fair Work Act, onerous environmental approvals and the return of infrastructure bottlenecks lead to crippling costs and delays that could force miners to abandon more projects.

It may be a little slower but China’s national broadband network will reach 10 times more households than Labor’s rollout at less than one-third the price.

Tony Abbott faces calls to dump star candidate Mal Brough and explain his knowledge of the Peter Slipper scandal, after Mr Brough was linked to a plot to damage Mr Slipper’s reputation and further his political interests.

Page 5: The West Australian Aborigines whose ancestors fought for their land in the bloody Bunuba resistance 118 years ago have been recognised as owners of more than 6000sq km of Kimberley country in a bush sitting of the Federal Court.

Page 6: As nervous retailers take heart from a new report today predicting the best Christmas sales in three years, they will be hoping Australians take Reserve Bank governor Glenn Stevens’s advice to be more upbeat.

House prices are forecast to rise between 3 and 5 per cent across Australia in the year ahead, with Perth leading the charge as low interest rates spark a rush in buyer activity.

Page 7: Outraged Labor backbenchers are calling on the Gillard government to replace industry-appointed auditors with independent inspectors and CCTV cameras, saying the public cannot have confidence in current live export animal welfare protections.

Business: PetroChina has expanded its international alliance with Royal Dutch Shell by snapping up BHP Billiton’s 10 per cent stake in the Browse gas venture, in a move that boosts plans to develop the huge project off the West Australian coast using Shell’s cutting-edge floating LNG technology.

Qantas will next year face renewed competition from a rejuvenated Singapore Airlines offering customers new cabins and lounges and looking to expand its relationship with Virgin Australia.

Leighton Holdings chief executive Hamish Tyrwhitt is hoping a relatively small bet of $16.3 million will pay big dividends after it confirmed yesterday it would buy Macmahon Holdings’ construction business and take on the company’s more than $570m of work in hand.

China is continuing to demonstrate a willingness to take over unloved mining assets being shed by the western world’s major miners, with the country’s biggest steelmaker, Hebei Iron, leading a consortium that is to take control of the Rio Tinto-controlled Palabora copper mine in South Africa.

PetroChina's high-priced acquisition of a stake in the Browse LNG project cements the company as a significant player in Australia’s oil and gas industry and is unlikely to be the company’s last purchase here.

Shares in Aquila Resources gained more than 12 per cent after the minerals explorer said it would begin arbitration for its West Pilbara Iron Ore Project in February.

THE SYDNEY MORNING HERALD:

Page 1: The Gillard government is considering an inquiry into coalition links with former Peter Slipper staffer James Ashby, after a federal court judge dismissed his explosive sexual harassment claims. In his dying moments, hero cop Bryson Anderson reached out to help a fellow officer, mourners at his funeral heard. An unemployed former airline hostess has told a Sydney corruption inquiry she was surprised to learn her bank account had been used to channel millions of dollars to the family of former Labor MP Eddie Obeid. Trams will once again be a major part of the Sydney commute under the O'Farrell government's new transport plan.

Page 2: Geoffrey Watson, SC, counsel assisting in a Sydney corruption inquiry, has challenged businessman John Kinghorn over an intercepted phone call.

Page 3: A high-ranking navy officer could be jailed after he was found guilty of falsely claiming spousal allowances while carrying on several affairs.

Business: BHP Billiton's decision to quit its stake in the Browse project has bolstered consumer confidence that the $30 billion gas project will go ahead.

World: North Korea has angered the world with a surprise rocket launch.

Sport: Adam Gilchrist predicts one-day cricket will be over within three years.

THE DAILY TELEGRAPH:

Page 1: Fallen police officer Bryson Anderson, killed in the line of duty, has been mourned by hundreds of people and by his young children.

Page 2: Foreign Minister Bob Carr says 90 per cent of caucus sided with him about whether to support Israel in the recent United Nations vote on Palestine recognition.

Page 3: An unidentified 60-year-old Australian is the country's oldest new mum.

Business: The new boss of embattled casino group Echo Entertainment will build bridges with the NSW government.

World: A gunman has opened fire on Christmas shoppers in a mall in Portland, Oregon, in the US.

Sport: Football boss David Gallup says the major A-League All-Stars concept, launching with a Manchester United visit to Sydney, could become a major annual event.

THE ADELAIDE ADVERTISER:

Page 1: The SA government will be exposed to damage claims if any cancers have been missed among the tens of thousands of women whose mammograms must be reviewed because of fears over low diagnosis rates.

Page 3: Nine SA supermarkets have fallen victim to a conman who has capitalised on the shift to plain cigarette packaging to steal more than $30,000 worth of smokes.

World: US doctors say they have saved a seven-year-old girl who was close to dying from leukaemia with help from an unlikely ally - a modified form of the HIV virus.

Business: BHP Billiton has rid itself of looming risks with the controversial $30 billion Browse gas project after deciding to sell its interest to oil and gas giant PetroChina.

Sport: Former Adelaide key forward Kurt Tippett was at peace with his controversial departure from the Crows as he settled into his new role with the Sydney Swans on Wednesday.