Mining has had a rough 2015 between bankruptcies, new regulations and now many big banks cutting off financing to coal miners, but the worst could be yet to come.
2016 is set to be another rough year for the mining sector according to a study of 88 listed mining companies by Ernst & Young, the professional services company.
The global commodity market has been hit by the perfect storm of excess supply and weakening demand. Unfortunately, this has come at the worst possible time for miners, which are overloaded with debt, a result of the sector’s decade-long borrowing binge fueled by access to cheap capital. With capital plentiful, miners committed themselves to large investments in new projects and consolidation to...
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