Insight
South Africa: Proposed SARRT wipes 41% from iron ore and coal industries
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*Please note that this report only includes an Excel data file if this is indicated in "What's included" below
Report summary
We estimate that the proposed South African Resource Rent Tax (SARRT) would have a total negative impact of US$18.9 billion to coal and iron ore valuations under our base case. Iron ore is hardest hit with a US$11.1 billion (-49.5%) impact, compared to the US$7.8 billion (-33.5%) impact for coal. Compared to the Australian MRRT, this is almost twice the dollar impact and is almost ten times the percentage impact on Australian iron ore producers and 33 times the percentage for coal...
Table of contents
- Executive summary
- Impact on government revenue
- Impact on sector and company valuations
Tables and charts
This report includes the following images and tables:
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Figure 1: SARRT Revenue (Base Price Scenario)FIgure 2: SARRT Revenue (Price Scenarios)South Africa: Proposed SARRT wipes 41% from iron ore and coal industries: Table 1
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Table 2: Coal price assumptions, scenarios and exchange rate forecastFigure 3: Sector NPV ImpactFigure 4: Company NPV Impact (Base Price Scenario)
What's included
This report contains:
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