The Australian - MINING giant Xstrata says it will stop immediately development spending of $586 million on its $6 billion Wandoan thermal coal project and its $600 million Ernest Henry underground copper project in Queensland.
"The decisions represent the initial findings from Xstrata's ongoing review of planned investment into its Australian operations and growth prospects as a result of the Australian Government's proposed Resource Super Profits Tax," the Swiss-based company said in a statement.
The decision came after the Rudd government said yesterday it was prepared to offer "generous" transition arrangements for miners affected by the proposed tax but won't back down on the key 40 per cent tax level.
And the rudd government told us with a straight face that the mining industry would grow due to their wonderful new tax.
Expect more companies to re-evaluate their investments in Australia and rudd to back away from this as the pressure and reality keeps biting his ass. He might refuse to back away from the tax now, but I doubt very much that kevin rudd has the balls to hold firm.
The man is a gutless wonder and once he realizes that he's going to be turfed out of office, he'll do anything, say anything and knife anyone to hold on to power. Sorry wayne swan, you'll go the way of peter garret and penny wong chump, kevin09 is looking for lambs.
Not to mention Australia, it'll be us who won't get the jobs that Xstrata just shelved and it'll be us paying for spruiking this new tax for this weasel of a prime minister.