Foreign Correspondence

[fuagf]

Palmer backs down from super tax claims

Right-wing, big business scare campaign against Rudd
super-profit tax on mining has hiccup, Palmer admits lie.

Updated Mon Jun 7, 2010


Backflip: Mining magnate Clive Palmer.
(AAP: Alan Porritt)

* Video: Four Corners looks at the mining super profits tax. (ABC News)
http://www.abc.net.au/reslib/201006/r579480_3631307.asx
* Map: Karratha 6714
http://www.abc.net.au/news/maps/map.htm?lat=-20.7403&long=116.8416&caption=Karratha%206714
* Related Story: Swan accepts miners' concerns are legitimate
http://www.abc.net.au/news/stories/2010/06/07/2919687.htm
* Related Story: It's me or him, Rudd tells voters
http://www.abc.net.au/news/stories/2010/06/07/2919672.htm
* Related Link: Four Corners website
http://www.abc.net.au/4corners/

Mining magnate Clive Palmer has retreated from his earlier claim that he had scrapped
mining projects because of the Federal Government's proposed resource super profits tax.

Mr Palmer owns one of the largest deposits of iron ore in the world, carved out in five separate projects.

The investment for the first development was secured before the super profits tax was announced.

Mr Palmer, a Liberal National Party donor, told Lateline last month he had
canned two projects in Western Australia's Pilbara region because of the tax.

He said one of those projects would employ about 3,000 people and generate about $2 billion a year in exports.

But nowMr Palmer has told tonight's Four Corners program that he was probably exaggerating.

"Probably, it should have been, '[I am] slowing them down, waiting to see what happens'," he said.

Mr Palmer says he still strongly opposes the tax.

But Federal Small Business Minister Craig Emerson says Mr Palmer has
revealed that he is part of a scare campaign against the plan for a resources tax.

"Clive Palmer's admission today that he is not cancelling projects just exposes
as a scare campaign his activities and those of Tony Abbott and some other elements of
the mining industry - a scare campaign against tax reform in this country," Mr Emerson said.

Federal Treasurer Wayne Swan told Four Corners some of the concerns mining companies had about the tax were legitimate.

http://www.abc.net.au/news/stories/2010/06/07/2919984.htm