WE CAN HELP YOU MEET YOUR
TRAINING BENCHMARKS
Platinum
can help you meet your
training benchmarks for employers
sponsoring workers on a 457 visa.
For our complete list of over 40
industry training funds, contact us
1300 188 717
or email
platinum@polytechnic.wa.edu.au
The Polytechnic West Platinum team can
process employer payments to meet the
Department of Immigration and Citizenship
legislative requirements.
Your business can meet Training Benchmark
A by paying the equivalent of at least two
per cent of recent payroll expenditure to
an industry training fund for the training of
Australian citizens or permanent residents.
Our industry training funds include:
Auto Electrical
Auto Heavy
Auto Light
Bricklaying
Commercial Cook
Electrical
Engineering
Fitting and Machining
Heavy Vehicle Mobile Equipment
Mechanical Fitter
Occupational Health and Safety
Panel Beating
Plumbing
Refrigeration and Air Conditioning
Vehicle Painting
Welding
Global slowdown denting
ambitious expansion plans
Without an imminent rebound in demand for
commodities, miners are now retrenching and
reconsidering plans to invest billions of dollars on
new projects as they adjust to slowing demand, lower
prices and higher labour costs. Australia’s Aquarius
Platinum announced in June that it would indefinitely
suspend production at its “uneconomic” mine in South
Africa due to labour issues and falling prices. Likewise
in September, Fortescue Metals, the world's fourth
largest iron ore producer, announced it was slowing an
aggressive expansion of mines in Australia by slashing
spending and cutting jobs. Needless to say, cutting costs
wherever possible to retain profitability will remain a
topic high on the agenda among commodity producers
through the end of 2012 and into 2013.
Citing falling profits and rising debt levels,
commodity producers are looking for ways to conserve
capital to appease shareholders. In BHP Billiton’s latest
capital investment plans released in August, it scrapped
more than US$40 billion worth of investment plans,
including an expansion of its Olympic Dam copper mine
in South Australia, arguably one of the world’s most
important mining projects. While BHP Billiton shelved
plans for a new outer harbour at Port Hedland, which
would have doubled its iron ore exports in Western
Australia, it will now focus on expanding its capacity at
the port’s inner harbour – the company’s key iron ore
shipping point to China.
Small and mid-sized miners are also feeling the
pinch, as many now find themselves scrambling to
secure funding amidst falling commodity prices and
more cautious investors. However, pulling back on
big projects and slowing production poses additional
risks for Australia’s resources-dependent economy. Big
ticket investments are also an important source of job
creation for local economies; BHP Billiton's Olympic
Dam expansion alone would have created 25,000 jobs.
Chinese companies picking up
(
strategic) pieces
As others retrench and review their portfolio of assets,
Chinese mining companies are selectively exploring
the purchase of strategic assets overseas at attractive
prices. State-controlled Zijin Mining Group, the largest
gold producer and second largest copper producer in
China, recently bought a majority stake in Norton Gold
Fields, which perfectly aligns with Zijin’s international
ambitions. Company executives firmly believe they
will be able to draw useful lessons from Australia’s
mature market and advanced exploration and mining
technologies. The deal is also expected to help Zijin
familiarise itself with international markets and
improve the company’s management expertise.
While Chinese mining companies are scouting
potential acquisitions, Australian regulators are
busy debating how to properly deal with increased
Chinese investment in the country’s vital resources
sector. In 2011, Chinese enterprises invested US$9
billion in Australia’s commodities sector, more than
double the amount from 2010. At a China-Australia
Chamber of Commerce event held in August in
Beijing, Opposition Leader Tony Abbott expressed that
while Australia welcomes Chinese investment, it is
difficult to assume that China’s state-owned enterprises
will be allowed to resolutely buy out Australian assets.
While these comments are shared by many Australians,
the country must grapple with the reality that
increased Chinese investment is an irreversible trend;
ultimately, Chinese investments can benefit Australians
if carefully managed.
More Chinese investment equals
more collaboration opportunities
Increased Chinese investment creates more
opportunities outside the traditional buyer-seller
relationship. For example, while a local Australian
company should be responsible for overall project
management in mining projects, there is room
for considerable project participation by Chinese
contractors. Chinese contractors are particularly
strong in the areas of transportation and infrastructure
development, and have plenty of global experience.
According to ENR’s 2012 list of top international
contractors, five out of the top 10 international
contractors based on revenue earned from overseas
projects hail from China, including China Railway
Construction Corp, China Railway Group and China
Communications Construction Company.
Almost all Chinese contractors with the capital
and capabilities to build large infrastructure and
transportation projects overseas will be Chinese state-
owned enterprises (SOEs). Having strong connections
with Chinese mining entities, these SOEs will offer
financing in return for an offtake agreement or an