It's pretty disturbing looking these clips, especially when have worked in WA mines. It can't get any more closer to modern slavery than this. But there is nothing to stop that. Lack of education in society and low living standards make it happening. World runs in massive debts and politicians filling government budget at all cost, no matter what, especially in low living standard countries and that makes competing for western countries truly hard. I assume that im Imdonesia, lower cost end of nickel mining is achieved by Chinese companies and western countries sit on higher cost end, because of policies etc.
But still I would support capitalism. No government intervinence, let economic subjects act freely. Even here in Australia. Companies should take full responsibility in opening a mine. If it's economically sustainable, go ahead, if not, then should carry the risk. It's also in government interest, long term sustainable mining, not mining at all cost, just to mine. Governments should make good investment environment like trading agreements etc. Everybody is worried about the jobs, totally understandable, but the more big mining companies benefit from government bailouts, the more painful will be future recession, because first comes costly tax support to help employees and then, during the recession they have to pay through centrelink anyways and there is bigger burden and bigger number of unemployed people.
We, in Ardea, have sustainable cheap mining for decades, we can compete with Chinese companies. If BHP has mining cost for nickel 18k and we have 6k, perhaps government should pay benefits - maybe 18k-6k - 12000$ per every mined ton. But instead, we probably get signals in future that your operations are not threat or burden for society and you don't qualify for any beneficial scheme. Instead we see that big companies like BHP, Rio Tinto etc can jump in blind eyed and do everything they want, even aquire other companies, because if something goes wrong, they are too big to fail and government bails them out, like banks in U.S. It's never that black and white that they are not responsible for anything but they can make loudest voice.
What I want to say is some investors, for example we in ARL, get punished for being good minded people - doing their analyzes and investment decisions. If it's unsustainable business/mine, ok clear, you go under care and maintenance, no market disruptions, no bailouts or supports, so You can keep providing, for example, nickel to market. Close your mine, market will make correctures and that's how other investors should benefit. I hope institutional investors see, what the heck we are running here.
(20min delay)
