Mining tax deal is close: Rio Tinto boss

A mining company boss has indicated a deal on the controversial resources tax is
close, as Prime Minister Julia Gillard promised a speedy agreement.
Rio Tinto iron ore chief executive Sam Walsh says the government is taking its
concerns seriously and he is hopeful of a quick resolution.
"Serious consultations, serious negotiations are under way. We are very hopeful of a
quick resolution," he told reporters on Wednesday.
"If a deal is put together, we've got to have the assurance that it will carry
through post the election if the government is re-elected."
The comment comes a day after mining magnate Andrew Forrest said he had struck a
deal with former prime minister Kevin Rudd on having the tax profit threshold raised
to 15 per cent from the proposed 6 per cent.
Negotiations with mining giants BHP Billiton, Rio Tinto and Xstrata took place in
Canberra as Julia Gillard moved into her the prime ministerial office.
Her deputy Wayne Swan and Resources Minister Martin Ferguson led the talks, with the
treasurer saying negotiations would continue for the rest of this week.
"The government has argued strongly its case and we are talking to the industry in
good faith," Mr Swan told reporters.
"We have said we would like to resolve it as soon as we can, and that's what we'll do."
Ms Gillard said she was happy with the progress.
"You know I am committed to a speedy outcome with regard to the Resources Super
Profits Tax," she said in a statement issued late Wednesday.
"I have been pleased by the constructive and disciplined approach that is being
taken by both sides."
The government accused Opposition Leader Tony Abbott of backflipping on the
resources tax after he said he would not speculate when asked if a coalition
government would scrap the tax.
But in the same media conference, Mr Abbott reiterated the coalition's pledge to
rescind the 40 per cent super profits levy.
"Look, the only good deal is to drop the tax. It is a big bad tax aimed at the heart
of our prosperity," he told reporters in Melbourne.



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