Mining giant’s black hole

Mary Tudor was apparently convinced that on her death any interested observer would be likely to find the word Calais engraved upon her heart in memory of the greatest stuff-up of her reign. It would be fitting if former Anglo American CEO Cynthia Carroll’s organs were similarly to be found bearing the words Minas-rio.

The project has been a litany of woes since Anglo took it on, with huge cost over-runs and delay after delay meaning it will only hit full production a cheeky three years behind schedule.

It may be cold comfort to the shareholders who have had to put up with the debacle to learn that their travails have been minor compared with those suffered by Eike Batista, the flamboyant, model-marrying, powerboat-racing businessman who flogged them this shocker in the first place.

Batista’s net worth peaked at about Us$30bn in 2012, but has subsequently vanished, and the Federales have helped themselves to his Lamborghini. He’s been cooling his heels in the maximum-security nick at Bangu pending charges of corruption.

The latest technical hitch at Minasrio relates to the pipeline that is the only way of getting the iron-ore slurry from the mine to the port a mere

530 km away. This ambitious feat of engineering has sprung a couple of leaks in past months and Anglo has been forced to suspend operations while it checks the pipeline, a process that will take up to 90 days.

It remains unclear what the final cost implications will be and whether this is likely to be an ongoing issue with continuing negative implications for the company.