British Columbia Mining – Page 71

B.C. mining matters to everyone – by Karina Brino (Vancouver Sun – May 14, 2013)

May 14, 2013

http://www.vancouversun.com/index.html

Karina Briño is the president and CEO of the Mining Association of British Columbia.

Province is Canada’s largest producer of copper, largest exporter of coal, only producer of molybdenum

From the family fair in Princeton, to the Hudson Bay Lodge luncheon in Smithers, and the fundraising event for BC Children’s Hospital in downtown Vancouver, it was another successful BC Mining Week across the province.

As the president and CEO of the Mining Association of British Columbia, I had the privilege of attending a number of BC Mining Week events (April 28 to May 4) in towns and cities across the province, celebrating with communities the spirit and achievements of the province’s mining industry.

B.C.’s mining sector has much to be proud of. People who work in and with the industry do so with the satisfaction that they are making a difference in people’s lives, both in the province and around the world. As Canada’s largest producer of copper, its largest exporter of coal and its only producer of molybdenum, B.C.’s mining industry helps to provide the global community with a number of well-used and necessary products — from cars and cellphones to power lines and medical equipment.

Mining also creates wealth and opportunity at home here in B.C., through investment and job creation. In 2012, the industry generated $9.2 billion in revenues and directly employed more than 10,400 people.

Whoever wins in BC needs to take early action on environment – by Mark Hume (Globe and Mail – May 13, 2013)

May 14, 2013

Globe and Mail is Canada’s national newspaper with the second largest broadsheet circulation in the country. It has enormous influence on Canada’s political and business elite.

VANCOUVER – Whatever happens in the election this week, it is clear the newly elected premier, whether it is Adrian Dix or Christy Clark, will have to put the environment high on the agenda for early action.

Pipelines and liquefied natural gas development emerged as key, perhaps even defining, issues during the campaign, but there are more problems out there.

No. 1: Withdraw from the Environmental Assessment Equivalency Agreement that the province signed with the federal government. There is an exit clause in the deal, which essentially gives the National Energy Board the power to do environmental assessments for B.C. By opting out, the province will have a lot more say over pipeline proposals, natural gas processing plants and off-shore oil or gas facilities. The NDP has said it will get out within 30 days. A Liberal government should do the same.

No. 2: Scrap Site C. The province shouldn’t drown valuable farm land that can produce food for thousands of years to provide power to LNG plants that will be relatively short-lived.

B.C. vote a ‘plebiscite on prosperity’ – by Diane Francis (National Post – May 11, 2013)

May 13, 2013

The National Post is Canada’s second largest national paper.

VANCOUVER — On May 14, British Columbians face Hobson’s choice in their provincial election: Liberal leader Christy Clark is in trouble in her own riding and the NDP’s Adrian Dix is wobbly in polls and should be.

But voters must hold their noses and re-elect the Liberals (who are actually Conservatives) because it’s the only pro-development party on the ballot. The NDP, everywhere, is a coalition of vested interests, posing as a party with broad appeal, and without free enterprise smarts. Anywhere this party runs, voters must reject it out of hand.

This is no time to get even for the B.C. Liberal sales tax fiasco or to send a message to Ottawa. This is an unusually important vote for this province and for all Canadians. In fact, this is an “existential” moment for Canada.

If the NDP wins power in such a strategically important and rich jurisdiction such as this one — a keystone within the Canadian resource economy — B.C. voters will have chosen economic decline. This is as important as was Quebec’s referendums and yet this has not been acknowledged in the lead up.

British Columbia and Vancouver (and Canada) would find itself, if anti-development attitudes become its governance model, bypassed in terms of future growth.

The terrible truth about the B.C. Liberals’ B.C. Jobs Plan – by Jim Sinclair (Vancouver Province – May 9, 2013)

May 10, 2013

http://www.theprovince.com/index.html

Jim Sinclair is president of the B.C. Federation of Labour.

It is perhaps one of the more twisted ironies of this election that Premier Christy Clark and the B.C. Liberals are running on their record of job creation, a record they would probably be smarter to run away from.

Their much touted B.C. Jobs Plan has been discredited by the facts — more than 30,000 jobs have been lost since its inception. The latest figures show that B.C. lost 15,000 full-time jobs in March, setting off the largest rise in Canada. What to do when the facts don’t add up? Answer: buy ads.

While the last provincial budget cut money from programs that train workers, the Liberals could find $16 million of taxpayers’ money to try and sell us on the failed jobs plan.

But perhaps the most blatant example of the betrayal by this government on the critical issue of jobs has been its role in promoting the use of temporary foreign workers in British Columbia. Today, our province is breaking Canadian records for growth in the use of foreign workers — more than 74,000 — while at the same time more than 200,000 British Columbians are struggling to find a job and thousands cannot get the training they need.

All-or-nothing attitude risks economic growth in B.C. – by Keith Sashaw (Vancouver Sun – May 5, 2013)

May 6, 2013

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Keith Sashaw is president and CEO of the Association of Consulting Engineering Companies of BC, representing 90 consulting engineering companies. Consulting engineers contribute $2.9 billion in annual revenue to the B.C. economy.

In this election, it seems that one option being presented to voters is to abandon our traditional resource-based economy by turning down projects such as mines, pipelines, and energy projects. While creating a stronger film and television industry is presented as an alternative, it is highly improbable that this industry can sustain sufficient jobs for a prosperous economy.

It is very unfortunate that complex issues such as the extraction and transportation of resources is being presented as an all-or-nothing proposition. Given the ongoing technological and engineering advances that have been made in the last few decades, and continue to be made every day, it is possible to discuss more robust solutions to the challenge of how we can protect our environment while at the same time utilizing our natural competitive advantage.

We do not have to categorically cut off discussion about alternatives. One immutable fact about British Columbia is that its prosperity is inextricably linked to the abundance and diversity of its resources. Forestry, mining and fishing are the foundations on which our province has been built and continue to rely on.

First Nation threatens to shut down B.C. copper mine – by Peter O’Neil (Vancouver Sun – May 1, 2013)

May 2, 2013

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Possible blockade of mine road across reserve could be start of ‘catastrophic’ uprising across Canada, think-tank warns

OTTAWA — A threat by a B.C. First Nation to shut down a B.C. mine is a small sign of a potentially “catastrophic” uprising in Canada if Aboriginal Peoples don’t become full participants in natural resource extraction, a prominent think-tank warned Wednesday.

On Tuesday, the Wet’suwe’ten First Nation threatened to shut down the $455-million expansion of the Huckleberry Mines Ltd. copper/molybdenum operation, 123 kilometres southwest of Houston, in northern B.C.

Wet’suwet’en Chief Karen Ogen said Wednesday the mine’s access road and power transmission line crosses her band’s reserve near Owen Lake. She said the Wet’suwet’en would likely start by charging a toll on mine workers and contractors using the road. But if the band’s demand for jobs for its members are not met, she threatened more drastic action.

“If we have to the hydro lines will come down,” she vowed. The warning of possible violence across Canada comes from Douglas Bland, a professor emeritus at Queen’s University in Kingston. Bland, in one of two reports on resource development and First Nations published by the Macdonald-Laurier Institute, argued Canadians should take heed of the Idle No More movement that held protests across Canada against federal inaction on key issues.

Commentary: Legal warning signals from the HD Mining case – by Kevin MacNeill, Sharaf Sultan and Daniel Mayer (Northern Miner – April 30, 2013)

May 1, 2013

The Northern Miner, first published in 1915, during the Cobalt Silver Rush, is considered Canada’s leading authority on the mining industry.

The HD Mining case, which is currently before the Federal Court of Canada, has a high media profile these days. It’s a story that weaves together two hot button legal issues for the labour movement: immigration and occupational health and safety (OHS).

Employers may wish to consider the issues the case raises and review existing practices for compliance, as cases like this will come under increasing regulatory scrutiny.

As background, in response to a chronic shortage of skilled labour, the number of temporary foreign workers in Canada has grown from 60,000 to over 250,000 during the last 13 years. In this context, HD Mining hired of hundreds of Chinese nationals to work at its Murray River Coal project in B.C., further to an approval by Human Resources and Skills Development Canada (HRSDC).

To secure permits for the Chinese workers, HD Mining had to apply to HRSDC for a positive Labour Market Opinion (LMO), an assessment of the local labour market to determine whether allowing a foreigner to work in Canada is justifiable in the circumstances.

Employers are required not only to undertake to comply with wage levels and working conditions promised under an LMO, but also to adhere to all rules and regulations relating to employment, including all OHS obligations in the jurisdiction where an employee will work.

B.C. First Nation threatens mine shutdown over lack of jobs – by Mark Hume (Globe and Mail – May 1, 2013)

May 1, 2013

Globe and Mail is Canada’s national newspaper with the second largest broadsheet circulation in the country. It has enormous influence on Canada’s political and business elite.

VANCOUVER — A small band in central British Columbia is threatening to shut down a big copper mine because the rapidly expanding operation does not employ anyone from the Wet’suwet’en First Nation.

“The Wet’suwet’en chief and council were instructed by their members to take whatever action is necessary, including direct action and legal action, to stop further mine expansion,” a statement by the band said.

Chief Karen Ogen said the band is determined to shut down the mine if Imperial Metals Corporation and its partner, a Japanese consortium, do not address Wet’suwet’en demands.

“I guess we are having to get tough with industry,” Ms. Ogen said in an interview on Tuesday. “We’re going to need to get [their] attention.” A forest service road used by the mine crosses Indian Reserve number 7, and she hinted that may be the focus of future direct action by the band.

Ms. Ogen said the band is upset because none of its 250 members have found work at the Huckleberry Mine, 123 kilometres southwest of Houston.

NEWS RELEASE: Earnings down, but 2012 marks another prosperous year for BC mining industry: PwC survey

May 1, 2013

Click here for full report: http://www.pwc.com/ca/en/mining/publications/pwc-mining-survey-bc-2013-04-en.pdf

Lower commodities prices and higher costs for labour, energy and raw materials trimmed profits

VANCOUVER, April 30 — It was another thriving year for BC’s mining industry in 2012, including mineral exploration and development, despite profits being lower than 2011, according to PwC’s BC Mining Industry Survey for 2012.

“BC’s mining industry faced significant headwinds in 2012, including lower commodity prices as a result of global market jitters and a range of rising costs — labour, raw materials and energy,’ said Michael Cinnamond, survey co-author and leader of PwC’s Mining practice at PwC. “Lower capital expenditures, revenues and a drop in operating cash flows resulted.”

Gross mining revenues were reported as $9.2 billion in 2012. That is down 7% from $9.9 billion in 2011, when the price of copper reached a new high and coal was near its peak. Commodity prices slid as a result of slower global economic growth and a deepening debt crisis in Europe. The prices of BC’s two largest revenue generating commodities, coal and copper, experienced slides as a result, causing a drop in aggregate BC mining revenues and profits for PwC survey participants in 2012.

Discoveries, joint ventures, expected to revive B.C. mining investment – by Gordon Hamilton (Vancouver Sun – April 29, 2013)

May 1, 2013

http://www.vancouversun.com/index.html

Industry sees positive signs despite downturn in grassroots exploration

The mining industry faced a significant increase in exploration costs in 2012, particularly machinery and construction materials, said Marianne Carroll, manager of PwC’s mining practice, resulting in net income of $1.8 billion, down from $3.7 billion in 2011.

Despite record expenditures in mineral exploration in British Columbia last year, almost no new exploration took place by junior companies, a trend that is not sustainable, the president of the Association for Mineral Exploration said Tuesday.

Gavin Dirom told a PwC conference on the state of the mining industry that only one to two per cent of the $680 million spent on mineral exploration in 2012 was for grassroots or greenfield projects. The rest of the money went to mature or advanced-stage mining projects owned by major companies.

“That’s not a sustainable formula. Usually, eight to 10 per cent, even pushing 20 per cent, is where we need to go in terms of having sustainability in this sector and having new projects feeding in,” Dirom said.

Despite the drought in exploration investment — the result of the eurozone crisis and falling commodity prices — Dirom said 2013 is shaping up to be a positive year, if not a record year, for exploration.

Lower mineral, energy prices bound to hurt B.C., economist says – by By Gordon Hamilton (Vancouver Sun – April 25, 2013)

April 26, 2013

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Analysts differ on timing and effect of the end of commodities ‘super-cycle’

Commodities, the lifeblood of the British Columbia economy, are at the beginning of a long, downward trend that is bound to affect both government and households, says a Simon Fraser University economist.

“We have seen the best days in terms of dramatic increases in commodity prices,” David Jacks, an economic historian at the university, said in an interview.

He said commodities, particularly minerals and energy, are characterized by long-term trends related to global industrialization and urbanization. That growth runs up against capacity constraints, particularly in minerals and energy, leading to rising prices. New capacity to meet the new demand then leads to prices easing.

The current cycle, which has been going on since 1998, is being driven by Asian, specifically Chinese, economic growth and urbanization. Jacks has written a paper, From Boom to Bust, on the super-cycle, which he prepared for a recent conference in Australia on commodity price volatility. Jacks said his is not the only voice warning that commodities are beginning to trend downward in price — investment bankers Goldman Sachs and Citybank have done the same.

Sliding commodities hit Teck – by Pav Jordan (Globe and Mail – April 24, 2013)

April 24, 2013

Globe and Mail is Canada’s national newspaper with the second largest broadsheet circulation in the country. It has enormous influence on Canada’s political and business elite.

Canada’s largest diversified miner is feeling the weight of reeling global commodities markets. Vancouver-based Teck Resources Ltd., a major supplier of steel-making coal to China, said on Tuesday that first-quarter profit – adjusted for a one-time charge last year – tumbled 40 per cent, dragged down by falling prices for the metals it produces.

“With continuing uncertain global economic conditions, prices for all of our major products were down compared to the first quarter of last year, resulting in lower profits and cash flows,” Teck president and chief executive officer Don Lindsay said in the company’s statement of results on Tuesday.

Vancouver-based Teck, which produces coal, copper, zinc, molybdenum and some specialty metals, reported adjusted profit of $328-million or 56 cents a share, compared with $544-million or 93 cents in the same period a year ago.

From the first quarter last year to the same period this year, prices for coal, which accounts for 45 per cent of Teck revenue, plunged 28 per cent to $161 (U.S.) a tonne. At the same time, copper prices fell 5 per cent, molybdenum sank 21 per cent and silver dipped 9 per cent.

Large supporting cast key to making mines work – by Michael Riis-Christianson (Vancouver Sun – April 18, 2013)

April 24, 2013

http://www.vancouversun.com/index.html

Resource industry depends on thousands of service companies for everything from metal fabrication to design to trucking needs

PRINCE GEORGE — B.C.-based metal supplier and plate processor A.J. Forsyth has two of Western Canada’s largest press brakes at its Prince George facility, machines capable of forming half-inch steel plate using nothing but brute force.

While these two massive pieces of equipment helped make the company a key link in the northern supply chain, they still weren’t enough to meet the rigorous demands of B.C.’s burgeoning mining industry. To do that, A.J. Forsyth had to purchase a giant, computerized plasma cutting station that could also produce custom-cut, drilled, and machined steel plate. Approximate cost: $1 million.

Making an investment of that magnitude wasn’t an easy decision, even for a company with nine locations in B.C. Yet according to Kevin McCormick, A.J. Forsyth’s Prince George branch manager, it proved to be the right one. Eighteen months later, the million-dollar plasma table is bring run three shifts per day, five days a week.

“It was a big decision for everybody,” notes McCormick, who at the time was trying to develop A.J. Forsyth’s business relationship with the mining industry.

Modern mining is much more than ‘dirty’ work – by Paul Farrow (Vancouver Sun – April 23, 2013)

April 23, 2013

http://www.vancouversun.com/index.html

Outdated image is driving young skilled workers away from an exciting industry that calls for a wide variety of skill sets

Paul Farrow is the senior vice-president for people and safety at Goldcorp, based in Vancouver. For more information, visit goldcorp.com/careers.

Canada’s resource sector is facing a skilled labour shortage due to an aging workforce and a scarcity of new skilled workers. In the next five to 10 years, it’s estimated the global mining industry will need well over 55,000 new workers to meet demand.

In B.C. alone, according to the Mining Association of B.C., the industry will need to fill nearly 6,000 positions by 2016. As The Vancouver Sun’s BC2035 series attests, competition to attract the best talent is intense. For instance, Goldcorp typically has more than 100 job openings at any given time across operations in Canada, the U.S., Mexico and South America.

What’s preventing the mining industry from attracting skilled workers? In part, our sector has struggled to overcome misconceptions about mining practices and the type of work experience we can offer our employees. Outdated ideas about mining as an old-fashioned or “dirty” industry persist, even though our sector has made significant progress in advancing technologies, improving environmental performance and ensuring positive, lasting social benefits in the communities where we operate.