Strategy
Our strategy to create value for our shareholders and shared benefits for our stakeholders rests on three core pillars:
- Continuous improvement in the quality of our assets
- Organic growth from our extensive pipeline of projects
- Growth through mergers and acquisitions
Each pillar is vital to our success but the emphasis we give to each depends on the options available to us and the market conditions in which we are operating.
From the inception of Xstrata plc in 2002, our immediate focus was on effectively identifying, acquiring and integrating businesses to provide us with the scale and diversity across products, operating regions, currencies and customer segments that we believe are essential for success in our industry. In the early years of Xstrata’s history, we pursued these strategic objectives through a series of acquisitions.
At the same time, we have always focused on continually enhancing the value of our assets, by reducing real unit costs every year, by extending the life of our operations and our resource base, and by embedding market-leading social and environmental standards in our business.
We are now delivering the next stage of growth from an extensive portfolio of organic growth projects. Today, we are constructing 19 major expansions or new mines that, by the end of 2014, will increase production volumes by 50% over 2009 levels and reduce average operating costs by around 20%.
Our strategic priorities
- To deliver a Tier 1 portfolio of projects on time and on budget to increase our production volumes and meet society’s demands
- To increase the net present value of our business by improving the quality of our assets and by operating safely and efficiently
- To maintain our industry-leading standards of health, safety and environmental performance and to be viewed as a responsible partner within the communities in which we operate
- To attract the highest potential talent and build the capabilities necessary to deliver our strategy
- To foster a high performance, entrepreneurial, non-hierarchal culture that attracts the best people and empowers them to succeed
- To conduct our business activities in an ethical and commercially transparent manner
- To maintain a strong and flexible capital structure capable of supporting our growth plans
- To identify and take advantage of opportunities to deliver value through strategic partnerships, acquisitions or divestments
News
- 01/05/2012 Chairman’s AGM 2012 Opening Address
- 01/05/2012 Interim Management Statement And First Quarter Production Report
- 01/05/2012 Xstrata Zinc: Lady Loretta and Handlebar Hill Mines Expanding
- 26/04/2012 Xstrata Coal Seeks Operating Partner for Donkin Coal Interest
- 03/04/2012 Xstrata Copper partners with Origin Energy to advance Energía Austral’s clean energy projects in Chile
Xstrata in
action
Our people play a vital role in helping us achieve our strategy.
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