No significant impact due to new Australian mining law: Adani
Adani Group Tuesday said the new tax proposed by the Australian government on profits from coal and iron ore mining will not have any "significant" impact on its coal business.
New Delhi: Adani Group Tuesday said the new tax proposed by the Australian government on profits from coal and iron ore mining will not have any "significant" impact on its coal business.
"We would like to put in record that the decision will not have any significant impact on our coal mining business for several years after the start of production," Adani Group said in a statement.
Adani Enterprises, the flagship company of the Adani Group, has recently begun coal mining exploration programme at the Galilee Basin in Queensland and would begin coal exports in next three years.
It is the largest Indian investor in Australia so far.
"The law allows the full capital expenditure incurred to be set off from the profits derived from its mining operations in the year it is made, and any unabsorbed excess is carried forward ( with no time limit). State royalties are allowed be set-off," it added.
Adani said it is fully-committed towards development of coal mines, railways and port infrastructure in Australia.
The group has coal mines in Australia's Queensland province and a port at Abbot, which it had bought two years ago for nearly USD two billion.
The diversified Group, which is into energy, ports, shipping, mining and power generation and agri business, had said it would invest USD 6 billion in overseas expansion by 2015, primarily in its Australian mining and related assets.
The shares of Adani Enterprises Tuesday closed at Rs 285.25 apiece, down 3.19 percent over the previous day's closing at the BSE.