Australian Coal Tax May Cut Coal Industry Value By A$8 Billion
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Australia’s planned carbon tax may reduce the value of the coal industry by about A$8 billion ($8.7 billion) as producers including Xstrata Plc and Anglo American Plc bear higher costs, according to a research group Wood Mackenzie Ltd.
“This is an average of a 4 percent reduction in net present value of coal companies’ Australian portfolios,” Ben Willacy, Wood Mackenzie’s Australasia coal supply lead analyst said in an e-mailed report today.