Cleveland-Cliffs banks on Carrabba's Rio experience

Cleveland-Cliffs banks on Carrabba's Rio experience

North America’s largest producer of iron ore pellets, Cleveland-Cliffs Inc., on Tuesday (May 3) announced that Joseph A. Carrabba had accepted the position of president and chief operating officer of the company. The 52-year-old Carrabba joins Cleveland-Cliffs from global iron ore giant Rio Tinto, where he served for 22 years in a variety of leadership capacities. He was most recently president and chief operating officer of Rio Tinto's Diavik Diamond Mines, Inc., in Canada's Northwest Territory. Upon assuming his new role at Cleveland-Cliffs, Carrabba will be responsible for all operations of company as well as all operational support functions such as technical services and supply-chain management. Cleveland-Cliffs' Chairman and Chief Executive Officer John Brinzo said, "We feel extremely fortunate to have attracted a leader of Mr. Carrabba's caliber, and enthusiastically welcome him to the Cleveland-Cliffs team. Joe's vast experience in mining and mineral processing at locations world-wide, including Australia and Asia, aligns perfectly with our long-term strategic objective to extend our presence in the fastest growing iron ore markets in the world." Cleveland-Cliffs’ appointment of Carrabba comes two weeks after the company managed to acquire an 80.4% stake in Australia’s third largest iron ore producer, Portman Limited. While Cleveland-Cliffs A$675 million (US$533 million) offer, or A$3.85 (U$3.03) per share, failed to net the 90% stake required for compulsory acquisition under Australian law, the company hinted that it would continue looking into obtaining full ownership of Portman in the future. Explained Brinzo, “Acquiring a majority interest in Portman is an important milestone in Cliffs' long-term strategy for enhancing shareholder value. Through this acquisition, Cliffs now has a much broader customer base in China, the world's fastest growing iron ore market. Moreover, we are very pleased to also have gained an immediate presence in the Australian mining industry.”