In a challenging and competitive mining market, it’s not surprising that mining companies come and go.
However, in an unprecedented move in 2014 amidst market uncertainty, $3.75 billion has been raised by Xstrata’s boss to create a new mining company.
The ups and downs of mining operations in Australia have been widely reported in the media over the last 18 months or so. The downside is that mining’s problems have unfortunately been given maximum air time as media outlets battle to retain their distribution share.
The less positive side of mining tends to be frequently promoted and the positive stories that bring hope and optimism to those who have, or are seeking, a career in the industry, tends to remain hidden.
Our team at iMINCO look for the positive news stories coming out of the mining industry in Australia. Impacting local communities and entire regions, mining activity contributes to the livelihoods of hundreds of thousands of Australians.
“$3.75 billion raised to form new mining company”
So when we learned X2 had raised $3.75 billion which will be used to create a medium-sized diversified mining company, we though it should be featured on our website.
The investment cash was generated from five areas, consisting of $2.5 billion in committed equity capital funding and $1.25 billion of conditional funding.
X2 is one of many funds that have been created by former mining executives. Although many have yet to close any significant mining deals, they are being closely watched by the global markets.
“a big future in mining”
Investment and capital raising of this kind is another indication that despite popular media views, there are still highly committed individuals and investment managers who see a big future in mining – especially when it comes to coal.
X2 said it was in discussions with other investors to raise further funds. No plans for Australian mining operations have been released at this stage.
This is a UK based project, however, the opportunities to develop highly profitable mining operations in Australia are still appealing to an investment consortium who see a great deal of merit in developing coal projects to power the world’s energy needs.
Australian mining news – mining company information
Keep up to date with Australian mining companies and give yourself a free education in mining. Knowledge of the industry will give mining jobs seekers a new level of understanding, from which smart decisions can be made on where to look for the mining jobs of the future.