[miningmx.com] — Global resources giant BHP Billiton’s CEO Marius Kloppers said Thursday that that the company is encouraged by the comments of newly-appoinmted Australian Prime Minister Julia Gillard that her government will open the door for negotiations with the objective of achieving consensus.
“The industry has consistently been calling for the Government to properly engage on all aspects of the tax and we welcome the opportunity to do so. We agree with the Prime Minister that ‘the uncertainty around the introduction of the proposed super mining tax must be ended’,” said Kloppers.
“BHP Billiton has consistently stated that any new resources tax must be prospective, competitive, differentiated and resource based,” Kloppers said.
“It is very important that this issue is resolved quickly and consistently with these four principles for the benefit of all Australians. They underpin investment decisions, are central to Australia’s reputation and affect our employees and shareholders.”
In response to the Prime Minister’s request, BHP Billiton has immediately asked our agencies to suspend all advertising as a sign of good faith.
“We look forward to working with the Government in this new way so as to quickly find a solution that is in the national interest”, Kloppers said.
Dow Jones Newswires reports that Gillard on Thursday called for a truce in the battle between the mining industry and the government over its planned new tax but said she remained committed to meeting the budget targets underpinned by the tax.
Gillard said the government would cease the advertisements it was running in favour of the proposed Resource Super Profits Tax and asked the miners to cease their own advertising campaigns.
“Australians are entitled to a fairer share of our inheritance, the mineral wealth that lies in our grounds,” she told reporters.
“But to reach a consensus we need to more than consult, we need to negotiate and we must end this uncertainty that is not good for this nation.”
Gillard said she was throwing open the government’s door to the industry and asked that in return they open their minds.
However, Gillard also recommitted the government to returning the budget to surplus by 2013, a forecast underpinned by the funds the government expects to raise from the tax.
Gillard became Australia’s first woman prime minister on Thursday after Kevin Rudd stepped aside as leader of the governing Labour Party. The Welsh-born 48-year-old former trial lawyer was elected unopposed as leader of the center-left Labour party, a post that carries with it the premiership. Wayne Swan was appointed as her deputy and will retain his Treasury post.
