McAleese pulls over to find more from Atlas
McAleese Limited has requested a voluntary suspension of its shares from the Australian Stock Exchange, as the collapse of its major client Atlas Iron rocks the transport provider.
“The voluntary suspension was sought while the Company considered and reviewed the operational and financial implications, and commercial scenarios that could result from Atlas Iron Limited's... [announcement] that it intended to progressively place its Pilbara mines into care and maintenance,” a statement from McAleese says.
“McAleese Group's Bulk Haulage division is contracted to provide haulage and ancillary services to these mines.
“McAleese Group has held constructive discussions with Atlas and its stakeholders on a range of commercial scenarios with a view to supporting ongoing mining and haulage activities from Atlas' mines.
“The company will ensure that the market is informed of any material developments arising from these circumstances.”
The talks over whether McAleese can pick up more jobs for Atlas Iron are expected to last up to five days.
Atlas announced on April 10 that the recent decimation of the iron ore price would see it suspend mining operations over the month of April, with exports to cease shortly thereafter.
Atlas undertook a broad cost-cutting program, but still could not stay viable as the iron ore price dwindles.