Plans for Pilbara iron ore hit hurdle
The miner based in Hong Kong, Citic Pacific, announced an increase of 30 per cent in the capital necessary to finance the development of its iron ore mine Pilbara.
Citic Pacific Mining is developing a 5.2 billion dollar iron ore project 100 kilometres south-west of Karratha.
It is the largest operation planned magnetite mining and processing in Australia and an example of large-scale Chinese investment in Australian mines.
Crop production reached an obstacle yesterday when Citic Pacific Chairman Larry Yung announced an increase of 40 per cent of capital expenditure requirements, from $ 2.5 billion to $ 3.5 billion.
He said $ 1 billion of funding will be needed this year.
Mr. Yung told a press conference in Hong Kong, the increase was due to the appreciation of the Australian dollar against the American dollar.
