Canberra willing to back missing gas

The federal government may help underwrite the investment risk of a proposed $1.3 billion gas link that could see gas flow from northern Australia to NSW to stave off expected supply shortfalls from 2016, according to the Sydney Morning Herald.

Northern Territory Chief Minister Adam Giles says Industry Minister Ian Macfarlane has told him that if the 1000km pipeline, from Moomba in South Australia to Alice Springs, doesn’t stack up economically, the federal minister would propose underwriting the plan to the federal cabinet.

Nickel West a Glencore, Jinchuan race

Two frontrunners have emerged in the contest for BHP Billiton’s Nickel West, with the miner in talks with China’s largest nickel refiner, Jinchuan Group, and commodities trader Glencore, according to the Australian Financial Review.

BHP has also been mulling splitting the sale of its Nickel West unit, or selling part of it and closing the remainder. But any deal would have to ensure BHP a clean exit. Jinchuan is understood to be most interested in getting the smelter, while the prize for Glencore would be the refinery.

No firm timetable has been drawn up for bidding but BHP has narrowed the field to Jinchuan and Glencore.

Peru to become second-largest copper miner

Peru is set to become the world’s second-largest copper miner, behind neighbouring Chile, thanks to a $US20 billion ($A21.5 billion) pipeline of Chinese mining projects, according to officials in Lima, according to the Australian Financial Review.

Last month’s $7 billion acquisition of Glencore’s Las Bambas copper project in Peru by China Minmetals’ MMG subsidiary has reinforced links between the two countries, as Beijing seeks to secure more resources.

The Las Bambas deal means Chinese backers are behind one-third of all Peru’s new mining investments by value, estimated by the country at $61 billion.