Solid Energy

Pike River protestors get their marching orders

Their rag tag protest was never going to get that far and it seems it is illegal too.

Solid Energy has sent an official letter to protesters blocking Pike River Mine saying their occupation of the land is illegal.

The letter has been acknowledged by the landowner, who has advised the protesters that blocking the road is illegal and withdrawn permission for them to occupy the land.

Solid Energy raised the legal agreements in their letter that confirm the company has full rights of access. ? Read more »

What was Andrew Little’s role in Pike River?

Andrew Little 13

George commented last night:

Could you ever imagine John Key making such a childish statement when debating the recovery of the Pike River miners? Andrew Little at his contemptuous best. “Just this week, Mr Key sent Nick Smith to threaten the Pike families with arrest if they try to stop Solid Energy entombing their loved ones”. what a bonehead! It is statements like that which endorses the commonly held belief that he does not have the dignity, decorum or intelligence to lead the country. Whilst this braindead statement is a figment of his unionist imagination, the more disturbing aspect of this uttering is his belief that it will generate political capital. This is clear evidence how out of touch he is with the common decency of the average Kiwi.

Whilst we are on the issue of Pike River might I take the liberty to remind you Andrew of a few small details. At the time of the 2010 explosion you were head of the EPMU which represented approximately half of the 140 miners on the site. You said there had been no problems at Pike River Coal and defended its safety record. (21 Nov 2010 Morning Report RNZ) and (NZH 22 Nov). The question that needs to be answered is why you sat on your hands when members of your union had expressed concerns about the safety of the mine? ? Read more »

E Tu Union happy that Solid Energy will be kept in the family

15 Nelson Mail 23 February 2013 Solid Energy

15 Nelson Mail 23 February 2013 Solid Energy

The Labour Party is not happy about the sale of Solid Energy.

The liquidation of Solid Energy is a sad indictment of Government incompetence, which has destroyed the once valuable company…

-Labour Party Press release

The New Zealand First Party is happy on the one hand but not so happy on the other.

The sale of Solid Energy coal mines to a consortium and two private companies shows the government was wrong to sell the state coal miner…

?It?s heartening that New Zealand interests have bought some of the mines…

-New Zealand First Party Press release

Read more »

KiwiRail loses less money than last year, and everyone is excited..why?

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Oh yay, KiwiRail lost a little bit less than usual.

KiwiRail had a much better 12 months to June 30 than a year earlier, improving its earnings before interest, tax, depreciation and asset impairments to $91 million, 17 percent ahead of the previous financial year, which was marred by several one-off costs.

The result was achieved on total revenues of $721 million, down 3 percent for the year, with freight revenues falling 7 percent to $434 million in an environment where coal deliveries by Solid Energy fell, offset somewhat by higher levels of dairy production.

The forestry, import/export and domestic freight categories together performed slightly ahead of last year.

For the year ahead, chief executive Peter Reidy told BusinessDesk the state-owned rail business expected volatile trading conditions, with Solid Energy recently placed into voluntary administration and a sharp downturn in dairy prices expected to lead a reduction in milk solids production. ? Read more »

As I predicted, Government skittish over Landcorp not going the way of Solid Energy

The hole isn?t ?as big?. ?

But big enough to make sure ministers are a little more proactive this time.

The board of state-owned farming operator Landcorp Farming is in talks with ministers over its levels of debt, but isn’t in as big a hole as failed coal-miner Solid Energy, according to Prime Minister John Key.

The state-owned farmer faces growing scrutiny by the government as a slump in the global milk price creates unease over Landcorp’s debt.

Mr Key told his weekly post-cabinet press conference ministers are in talks with the SOE’s board, but he wouldn’t put it in the same boat as Solid Energy, which was put into voluntary administration last week after a collapse in coal prices compounded the company’s over-ambitious expansion strategy and high level of debt.

“Ministers are aware of the debt that Landcorp carries and are having active conversations about that,” he said. ?? Read more »

Panic that Landcorp is heading the same way as Solid Energy

Government owned Landcorp is facing the same problem: a world-wide crash in its commodity’s prices.

State-owned farm manager Landcorp is having a “good hard look” at a massive dairy conversion project it’s involved with in the wake of a plunge in dairy prices.

Finance Minister Bill English says the project was put in place from 2005 and “the world looks a bit different now”.

“That’s something the government is digging into in a bit of detail because we do need to understand exactly what their obligations are and what choices they have,” he said.

Landcorp have indicated they’re having a good hard look at the project and they’re “a bit uncomfortable with it”, he says.

He did not name the project but Landcorp has been involved in a bold plan to convert 25,685ha of former forestry land to dairying in the central North Island.

The Wairakei Estate is the inspiration of three New Zealand families who set about creating one of the largest pastoral farms in the Southern Hemisphere, according to the Landcorp website.

It’s been dubbed one of the boldest developments in New Zealand’s agricultural history. Landcorp runs the farms when they are converted to dairying.

Dairy co-operative Fonterra has slashed its farmgate milk price for this season by $1.40 to $3.85 per kilogram of milk solids.

That’ll leave few farmers able to make a profit, with Dairy NZ estimating that $5.70/kgMS is the industry average break-even point.

Fonterra chief executive Theo Spierings has said the situation is serious.

Imagine owning a vege shop, and every time you sell a kilo of something, you have to not only give the customer the veges, but also a $2 coin. ? Read more »

Michael Cullen?s economic sabotage continues to bite

It was a dog when Labour bought it.

It?s required taxpayers propping it up to the tune of $2 billion plus, and now it turns out that they want to blackmail us into more, because without Kiwirail, its customers will no longer have taxpayer subsidised rail.

KiwiRail has been given two years sort out its finances or faces being shut down by Treasury, as the value of its network continues to decrease.

The company’s chief executive Peter Reidy says it’s not all doom and gloom and that rail continues to be a valuable commodity for the country.

The value needs to be measured not just in direct economic terms, but by what the cost would be if there was no rail network, he says. ? Read more »

NZ First?s Richard Prosser thinks an airline and a coal mine are the same thing

There must be times when Winston needs?a quadruple bypass before facepalming himself over the idiotic public statements that come from his colleagues.

But hey, if only the Government would put some more money into it, then Solid Energy would be saved. ?Because that will make people buy more coal.

The Government should rescue Solid Energy the same way its predecessor saved Air New Zealand, NZ First says.

The state-owned coal miner is crippled by debt and an announcement on its future is expected within weeks.

One of the options is liquidation – the Government doesn’t favour that but says banks will make the call.

NZ First’s Richard Prosser says Air New Zealand’s recovery is proof Solid Energy can be turned around.

“It’s lucky National wasn’t in government when Air New Zealand nearly went to the wall,” he said. ?? Read more »

Oh bugger, Solid Energy could be winding up

via Newstalk ZB

The company says no decision has been made and there is no timeline for the decision.

It has told staff three options are on the table.

“In our staff updates, we have explained that there are three potential paths for the company under consideration – some arrangement that would allow us to trade on, some kind of controlled sell-down, or liquidation,” the company said in a statement today.

The Engineering, Printing and Manufacturing Union, which represents miners, expects a decision within weeks, Radio New Zealand reports.

Solid Energy has been badly hit by falling international coal prices and has shed hundreds of jobs during the last two years.

In February, the board said that it could see an issue coming to do with the company’s ability to either repay or refinance its debt as it falls due from September next year, and had acted early in starting talks with its banks and shareholder. Read more »

Why I think I will vote No in the referendum

With the looming asset sales referendum I have thought long and hard about it.

Which way should I vote?

The question is:

“Do you support the Government selling up to 49% of Meridian Energy, Mighty River Power, Genesis Power, Solid Energy and Air New Zealand?”

Should I vote No? These would be my reasons for voting against the referendum:

  1. The government should be in the market owning as much as possible and these companies are a good start.
  2. Anything the Greens or Labour says is gospel.
  3. It sends a message to the government even though they won the election campaigning on asset sales and Labour campaigned against.

Or should I vote Yes?

The reason for voting yes would be:

  1. The Greens and Labour are attempting to re-litigate the general election.
  2. Anything the Greens support is loony.
  3. It is a pointless waste of time as the referendum isn’t binding and nor should they ever be.
  4. I agree with the question.

Now those are the two positions…which one to vote for?? Read more »