{"id":860291,"date":"2018-07-19T10:43:09","date_gmt":"2018-07-19T10:43:09","guid":{"rendered":"http:\/\/juniorminingnews.com\/?p=860291"},"modified":"2018-07-19T10:43:09","modified_gmt":"2018-07-19T10:43:09","slug":"miners-wrote-off-almost-one-third-of-investments-over-last-decade-2","status":"publish","type":"post","link":"https:\/\/juniorminingnews.com\/?p=860291","title":{"rendered":"Miners wrote off almost one-third of investments over last decade"},"content":{"rendered":"

By Cecilia Jamasmie<\/a><\/span> <\/p>\n

\"\"<\/a><\/div>\n

While global miners invested almost $1 trillion in major projects over the last decade, almost one-third of that \u2014 $273 billion to be precise \u2014 was written off, research from Morgan Stanley shows.<\/p>\n

In a study carried out in conjunction with PricewaterhouseCoopers (PwC), the American investment bank found that the extent of the write-downs was almost as high as the dividends paid by the world’s top 40 mining companies by market capitalization between 2008 and 2017.<\/p>\n

Australian majors contributed to the high percentage of lost investments, the report shows, with Rio Tinto’s losses on aluminum and coal projects<\/a> and BHP’s multi-billion dollar write-off of shale oil assets<\/a> being the most significant ones.<\/p>\n

But the experts also say the industry has made key changes that suggest the \u201ccapital destruction\u201d of the last 15 years should not repeat.<\/p>\n

Dividend payout ratios sit now at a range of between 40%-50%, with more cash returned to shareholders when profits climb, which decreases the risk of throwing money around during booming cycles.<\/p>\n

\n

Courtesy of Morgan Stanley.<\/em><\/p>\n<\/div>\n

Morgan Stanley and PwC also say that miner now have more realistic growth assumptions, compared to the overly optimistic assessments in years previous to the 2015-2017 downturn, which were the catalyst for poor investment decisions.<\/p>\n

And boards also have stricter remuneration policies, extending the timeline for share-based incentives and increasingly using return on capital as a core performance metric.<\/p>\n

The post Miners wrote off almost one-third of investments over last decade<\/a> appeared first on MINING.com<\/a>.<\/p>\n

…read more<\/a> <\/p>\n

From:: Infomine<\/a><\/p>\n","protected":false},"excerpt":{"rendered":"

By Cecilia Jamasmie While global miners invested almost $1 trillion in major projects over the last decade, almost one-third of that \u2014 $273 billion to be precise \u2014 was written off, research from Morgan Stanley shows. In a study carried out in conjunction with PricewaterhouseCoopers (PwC), the American investment bank found that the extent of […]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"site-sidebar-layout":"default","site-content-layout":"","ast-site-content-layout":"","site-content-style":"default","site-sidebar-style":"default","ast-global-header-display":"","ast-banner-title-visibility":"","ast-main-header-display":"","ast-hfb-above-header-display":"","ast-hfb-below-header-display":"","ast-hfb-mobile-header-display":"","site-post-title":"","ast-breadcrumbs-content":"","ast-featured-img":"","footer-sml-layout":"","theme-transparent-header-meta":"","adv-header-id-meta":"","stick-header-meta":"","header-above-stick-meta":"","header-main-stick-meta":"","header-below-stick-meta":"","astra-migrate-meta-layouts":"default","ast-page-background-enabled":"default","ast-page-background-meta":{"desktop":{"background-color":"","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-gradient":""},"tablet":{"background-color":"","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-gradient":""},"mobile":{"background-color":"","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-gradient":""}},"ast-content-background-meta":{"desktop":{"background-color":"var(--ast-global-color-5)","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-gradient":""},"tablet":{"background-color":"var(--ast-global-color-5)","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-gradient":""},"mobile":{"background-color":"var(--ast-global-color-5)","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-gradient":""}},"footnotes":""},"categories":[360],"tags":[],"_links":{"self":[{"href":"https:\/\/juniorminingnews.com\/index.php?rest_route=\/wp\/v2\/posts\/860291"}],"collection":[{"href":"https:\/\/juniorminingnews.com\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/juniorminingnews.com\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/juniorminingnews.com\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/juniorminingnews.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=860291"}],"version-history":[{"count":0,"href":"https:\/\/juniorminingnews.com\/index.php?rest_route=\/wp\/v2\/posts\/860291\/revisions"}],"wp:attachment":[{"href":"https:\/\/juniorminingnews.com\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=860291"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/juniorminingnews.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=860291"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/juniorminingnews.com\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=860291"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}