President Iron Ore, Jimmy Wilson, said any action by MUAmembers would have severe consequences for Australian exports and would damagethe country’s international reputation, and its overall national interest.

“Industrial action by the MUA will stop all shipments outof the port and cost exporters like BHP Billiton, Fortescue Metals Group andAtlas Iron about AUD 100m ($92.6m) a day.

“Mining companies will not be able to make up theshipments lost during industrial action, and governments cannot recover thelost royalties and taxes.

“Any interruption to shipments of iron ore would have adetrimental impact on Australia’s international reputation as a stable andreliable supplier of critical resources.”

Wilson said BHP Billiton was concerned about the progressof conciliation talks between Teekay Marine and the maritime unions, includingthe MUA, for new enterprise bargaining agreements.

“BHP Billiton, and the resources industry acrossAustralia, is working hard to improve productivity and remain competitive in achallenging economic environment,” he said.

“The MUA is pursuing an unacceptably high salary rise ofalmost 10% a year and an increase in annual leave without any link to improvedproductivity.

“Teekay’s maritime union employees at Port Hedland arealready the highest paid in the towage industry in Australia.

“Their demands are unreasonable and out of touch with thecurrent economic conditions faced by Australian exporters.

BHP Billiton said it was actively pursuing the limitedoptions available to the company under the Fair Work Act to prevent industrialaction at Australia’s largest export facility.