The Chinese owners of miner Sinosteel Midwest Corporation Ltd. is witnessed to be concerned regarding the Federal Government's proposed resources super profits tax (RSPT), the Company's Chief Operating Officer Giulio Casello posts.
However, he claims that they remain devoted to mining in Western Australia's mid-west, considering the robust potential the region possesses in giving a spectacular supply of iron ore exports to China.
"So they're still supportive, but they're concerned, and they'll keep looking and seeing what impact it does to the cashflows," Mr. Casello told ABC Television's Inside Business program on Sunday.
The Chinese government-owned Sinosteel acquired Midwest Corporation in 2008.
In addition, Mr. Casello posted that nearly $17 billion worth of capital required to be raised in the next four years, with $5 billion of that planned to be diverted to rail and port facilities, and the proposed tax had triggered uncertainty related to raising the fund.
Mr. Casello is revealed to have addressed and consulted the problem of treating the alliance's proposed development of the region differently with the government panel. However, the topic was regarded as unconstructive.