Australia/New Caledonia/Papua New Guinea Mining – Page 22

Chanticleer: Forrest won’t let BHP snatch his nickel prize – by James Thomson (Australian Financial Review – August 31, 2021)

August 30, 2021

https://www.afr.com/

Mining billionaire Andrew Forrest has hit back at BHP in their battle for a Canadian nickel explorer with big dreams and big challenges.

He might have a $27.5 billion fortune and a $2.35 billion dividend cheque coming from Fortescue Metals Group, but Andrew Forrest still has plenty of the underdog mentality that’s marked his career.

So having watched BHP waltz in and try to pinch Canadian nickel junior Noront Resources out from under him, Forrest was never going to take things lying down.

On Monday night, he launched a fresh bid for the Canadian business, beating BHP’s offer of C55¢ a share with a C70¢ pitch – and throwing in a history lesson to boot.

OPINION: Faced with fight or flight, BHP chooses to flee – by Stephen Bartholomeusz (WA Today – August 16, 2021)

August 16, 2021

https://www.watoday.com.au/

The confirmation of speculation of an imminent sale of BHP’s petroleum business to Woodside poses a question. What’s the better course for carbon-intensive businesses, fight or flight?

Rio Tinto opted for flight and the sale of its coal mines in 2018. BHP is in the process of exiting thermal coal, with the sale of its interest in the Cerrejon mine in Colombia in June and its Mt Arthur mine in NSW and its 80 per cent interest in the BMC joint venture with Mitsui in Queensland also on the market.

An exit from petroleum – Woodside disclosed on Monday, after intense recent speculation, that it was in discussion with BHP about a potential merger that would see it acquire BHP Petroleum by issuing Woodside shares to BHP shareholders – and a successful exit from thermal coal would mean that only BHP’s dominant metallurgical coal division would remain from its most carbon-intensive assets.

Canada’s first rare earth miner in trading halt on expansion rumours – by Cecilia Jamasmie (Mining.com – August 10, 2021)

August 11, 2021

https://www.mining.com/

Australia’s Vital Metals (ASX: VML), the first rare earths producer in Canada, has announced a trading halt until Thursday, August 12, on reports of negotiations to acquire two projects in Quebec, one of which is considered to be the world’s fourth largest dysprosium deposit.

The company, AFR reported, is said to be in final talks to acquire the Zues project and a 68% interest in Kipawa, two rare earths assets owned by Quebec Precious Metals Corp. (TSX-V: QPM).

Pushing the Aussie miner’s shares up, which have climbed 22% in the last week and an eye-popping 308% in the past year, was Vital’s announcement on Monday that it is actively seeking to expand into US capital markets.

‘We are shocked’: Miner blasts feds for blocking Grassy Mountain – by Ian Vandaelle (Bloomberg News – August 9, 2021)

August 11, 2021

https://ampvideo.bnnbloomberg.ca/

The Australian miner that’s looking to build a massive new metallurgical coal mine on the eastern slopes of the Rocky Mountains is vowing it will not give up its fight after Environment Minister Jonathan Wilkinson reaffirmed a joint-panel decision that effectively struck down the proposed project.

In a statement Monday, Benga Mining Ltd. said it is reviewing Wilkinson’s Aug. 6 decision regarding the Grassy Mountain project with its legal counsel, after the feds upheld a decision from the Joint Review Panel (JRP) and the Alberta Energy Regulator (AER) that determined the project would likely result in “significant adverse environmental effects” on water quality, the local trout population and vegetation.

In the release, Benga Mining Chief Executive Officer John Wallington said Wilkinson had made his determination in spite of the miner’s request he hold off action while the company pursued a legal appeal of the JRP decision, which halted development in June.

AUSTRALIA’S NUCLEAR DILEMMA – PROF. IAN LOWE – by Kerrod Trott (Westender – August 9, 2021)

August 10, 2021

https://westender.com.au/

Ian Lowe’s new book – Long Half-life – The Nuclear Industry in Australia – is a timely and riveting account of the political, social and scientific complexities of the nuclear industry, revealing the power of vested interests, the subjectivities of scientists and the transformative force of community passion.

In describing the book, Ian Lowe said:

The discovery of large uranium deposits in the Northern Territory suggested that Australia could become a major exporter of radioactive minerals.

The Fox Report, commissioned by the Whitlam government to study the environmental impacts of the proposed Ranger uranium mine, broadened into an inquiry into the social and political issues of producing uranium.

Chinese iron ore demand slips as steel curbs bite – by Michael Smith (Australian Financial Review – August 19, 2021)

August 10, 2021

https://www.afr.com/

China’s iron ore imports have fallen for the fourth consecutive month by volume, in the latest sign that Beijing’s restrictions on steel output are sapping demand for Australia’s most valuable export commodity at a time when Scott Morrison is betting on a quick economic recovery.

China’s demand for iron ore is also being clouded by growing concerns about the impact of its worst COVID-19 outbreak since early last year, inflationary pressures and a slowing manufacturing sector on its economic recovery.

While analysts attributed earlier decreases to supply issues from Australia and Brazil, they said on Monday that the latest trade data indicated the Chinese government’s directive to lower steel production was starting to filter through to iron ore volumes.

Australia and Guinea to drive global bauxite production growth – report – by Editor (Mining.com – August 2, 2021)

August 5, 2021

https://www.mining.com/

New projects coming online in key producers Guinea, Indonesia and Australia as well as a ramp-up in Indian and Indonesian production will drive bauxite production growth in 2021 after the covid-19 pandemic in 2020, Fitch Solutions predicts in its latest industry report.

Australia’s bauxite sector will maintain steady output growth, supported by a solid project pipeline. Australia holds 12 of the 32 new bauxite projects in Fitch’s Key Mines Projects Database, more than any other country.

Rio Tinto’s expansion at the Amrun project will drive bauxite production in the country over the coming years, Fitch says. The Amrun project achieved first production in December 2018 and ramped up operations to the full production rate of 22.8mn tonnes per annum (mtpa) in April 2019.

Potential ‘cold war’ with China could wreak havoc for mining – by Nickolas Zakharia (Australian Mining – August 4, 2021)

August 5, 2021

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Oxford University professor of globalisation and development Ian Goldin has warned the Australian mining sector that tensions with China could escalate into a ‘cold war’ with further impacts on supply chains.

Goldin, the European Bank principal economist and former World Bank vice president, said the ramifications would be detrimental if tensions with China continue to grow.

In a presentation at Diggers & Dealers 2021, Goldin said a global cold war with China could have greater ramifications than the COVID-19 pandemic or climate change.

BHP to expand nickel operations to meet soaring demand – by Cecilia Jamasmie (Mining.com – August 3, 2021)

August 4, 2021

https://www.mining.com/

BHP (ASX, LON, NYSE: BHP) will make a final investment decision on a major expansion of the processing plant at its Mt. Keith nickel mine in Western Australia as it invests further in battery metals to meet expected soaring demand.

Nickel is a key component for EVs cathodes, and the world’s no. 1 miner sees nickel demand growing faster than anticipated due to a spike in the adoption of electric vehicles (EVs), as governments commit to decarbonizing their economies and set end dates for combustion engine sales.

“We believe that over 2020 to 2030, overall nickel demand will grow at 5% compound annual growth rate, and that nickel-in-battery demand will grow at a rate of 21% CAGR,” BHP Nickel West president Eddy Haegel told the annual Diggers and Dealers conference on Tuesday.

Copper price: After China ban, Australia had no problem finding new concentrate buyers – by Frik Els (Mining.com – July 29, 2021)

July 30, 2021

https://www.mining.com/

Copper was an early victim of the increasingly fraught relations between Canberra and Beijing and Chinese imports of concentrate have fallen off a cliff since November last year under a ban that was never made official.

Australia is the fourth-largest producer of copper concentrates globally. The country produced 3.5 million tonnes last year, with just under half of that exported.

Unlike the iron ore market, where the countries’ steel mills and iron ore miners are joined at the hip, Australian concentrate only made up some 5% of Chinese imports. China was Australia’s no. 1 customer, however, and in the past sucked in more than half the country’s exports.

China escalates plans to crush Australian iron ore industry – by David Llewellyn-Smith (News.com.au – July 28, 2021)

July 30, 2021

https://www.news.com.au/

On Tuesday on the Australian Stock Exchange, large iron ore miners drove prices to record highs.

This feat came about because of two factors. Iron ore is trading just off record highs and the Australian dollar is much lower than it ever has been during such previous booms. This has led to record fat margins for miners.

But, even as this trade hits new highs, there are clear signs that good times are on notice. Indeed, China is determined to crush iron ore prices in both the short-term and the long, and there are good reasons to conclude that it will succeed sooner rather than later. There are three reasons why.

New Australian technology tracks down gold thieves and blood diamonds – by Jessica Sier (Australian Financial Review – July 30, 2021)

July 30, 2021

https://www.afr.com/

Geologist and chemical scientist John Watling can tell you exactly where your diamonds come from.

Not just what the Tiffany’s or Cartier packaging says, or the murky certification offered by the world’s largest diamond miners, De Beers and Alrosa, but right down to the exact patch of dirt in the exact mine.

Used for more than 20 years by West Australian police investigators to catch gold and diamond thieves, Watling’s provenance company Source Certain this week announced a deal with SCS Global to become the embedded technology in a new international standard to combat blood or conflict diamonds – gems mined illegally in war zones.

BHP charges up Nickel West with clean energy – by Nickolas Zakharia (Australian Mining – July 30, 2021)

July 30, 2021

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BHP plans to install two solar farms and a battery storage system to power the Mt Keith and Leinster mines at its Nickel West operations in Western Australia.

The clean energy sources are expected to cut emissions from electricity at the two mines by 12 per cent based on its 2020 financial year levels.

The Northern Goldfields Solar Project will include a 27.4-megawatt solar farm at Mt Keith, and a 10.7-megawatt solar farm and 10.1-megawatt battery at Leinster to reduce diesel and gas power.

Ancient Sites, Sacred Snake Raise Risks for Australian Resources – by James Thornhill (Bloomberg News – July 29, 2021)

July 30, 2021

https://ampvideo.bnnbloomberg.ca/

(Bloomberg) — Sacred sites, endangered sawfish and mythical rainbow serpents are the latest challenges confronting commodities powerhouse Australia as the nation’s top mining companies meet for their biggest annual conference.

Since the destruction last year by Rio Tinto Group of a 46,000-year-old Aboriginal rock shelter at Juukan Gorge, the industry has been scrambling to deal with a backlash over heritage protection and environmental issues.

A national enquiry into the incident and new laws being drafted by the Western Australia government could have an impact on some A$18 billion ($13 billion) in projects planned by mining giants operating in the Pilbara, the nation’s iron-ore heartland, as well as other resources projects.

BHP and Forrest may be better together on nickel play (Australian Financial Review – July 28, 2021)

July 28, 2021

https://www.afr.com/

BHP might have trumped Andrew Forrest’s bid for a Canadian nickel miner, but there’s no reason the pair can’t form a partnership on this project.

The prospect of iron ore titans Andrew Forrest and BHP duking it out over a Canadian nickel junior is obviously delicious. But the rational move is for the old foes to get into bed together on what both clearly see as a great opportunity amid a broader rush for battery minerals.

BHP announced on Tuesday night a $C325 million ($351 million) bid for Noront, which has a highly rated nickel project called Eagle’s Nest in Ontario’s Ring of Fire region (how Game of Thrones is that?) some 1200 kilometres north of Toronto.

The Big Australian’s bid, which has the support of the Noront executive team (which owns 9.9 per cent of the company), is pitched at a 75 per cent premium to the takeover bid by Forrest’s Wyloo Metals in May.