Interesting article in The Australian today - sounds promising...

Interesting article in The Australian today - sounds promising for Calibre given its close relationships with Rio and BHP, and that it is doing the DES on the yet-to-be-approved Koodaideri mine and rail project which forms part of the Rio expansion to 360mtpa. Extra promising since the G&S Engineering (Operations Asset Management, maintenance and construction) and Urban and civil infrastructure parts of Calibre appear to be going along nicely….

Link: http://www.theaustralian.com.au/business/mining-energy/miners-plan-10bn-boost-for-iron-ore/story-e6frg9df-1226744830144

Miners plan $10bn boost for iron ore BULLISH BHP BEATS EXPECTATIONS

THE iron ore investment boom in Western Australia is set to roll on, with more than $US10 billion ($10.35bn) in new investment by global giants BHP Billiton and Rio Tinto on the cards.

Expansion expectations around BHP's Pilbara operations escalated yesterday in response to the group's stronger-than-expected September production report and commentary from chief executive Andrew Mackenzie, which followed recent messages by Rio that it would approve its own $US5bn-$US6bn expansion next month.

Mr Mackenzie gave no indication of when BHP could approve a potential expansion of its railways ports and mines, which the company has previously guided analysts could cost between $US4bn and $US6bn.

In its September quarter report released yesterday, BHP boosted 2013-14 WA iron ore production guidance by five million tonnes to 212 million tonnes.

It also said it now expected the 35 million-tonne-a-year first phase of the big Jimblebar mine expansion near Newman, and the installation of four mobile iron ore crushers, to expand capacity to more than previous guidance of 220 million tonnes a year.

Mr Mackenzie, who has promised strict capital discipline in the post-boom world, talked up further expansions. ``Longer term, a low-cost option to expand Jimblebar to 55 million tonnes per annum and the broader debottlenecking of the supply chain is expected to underpin capital efficient growth in capacity to approximately 260-270 million tonnes per annum,'' he said.

Resilient prices and iron ore boss Jimmy Wilson's successful sweating of existing assets are likely to give the board confidence to press the button on an expansion sooner rather than later, despite the recent focus on capital discipline. Analysts said it was possible that approval for some, or all, of the expansion could be given in late 2013-14.

BHP says it has no room for extra growth spending this financial year, but it could still approve the plans and budget for the lion's share of spending further out.

The potential iron ore investment comes amid growing signs that the resources investment boom is in rapid decline because of slowing growth in China.

But it shows there are still plenty of available funds for the best projects.

BHP's rival Rio left analysts who visited its operations last month in no doubt that it planned to this year approve an expansion of its operations to 360 million tonnes, from current plans to hit 290 million