Archive | Canada Mining

CORRECTED-UPDATE 2-PNG puts Barrick, Zijin on notice over Porgera gold mine negotiations – by Jonathan Barrett and Mell Chun (Reuters Africa – August 19, 2019)

SYDNEY, Aug 19 (Reuters) – Papua New Guinea plans to take a larger share of the Porgera gold mine as part of lease-renewal talks, diluting the ownership of joint venture partners Barrick Gold Corp and Zijin Mining Group, the country’s commerce minister told Reuters on Monday.

The planned changes are part of a push by the South Pacific archipelago to transform its economy under new government leadership amid a perceived lack of benefits flowing from resources projects back to communities.

Porgera, located in PNG’s northern highlands region, is expected to produce 240,000 to 260,000 ounces of gold this year. Barrick and Zijin each own 47.5% of the mine, with the remaining 5% held by landowner group, Mineral Resources Enga. Continue Reading →

Barrick Gold eyeing sale of 50-per-cent share in Australian mine – by Niall McGee (Globe and Mail – August 12, 2019)

Barrick Gold Corp. is planning to sell its 50-per-cent share in the Kalgoorlie mine in Australia and has identified two Australian companies as possible buyers.

“There’s a lot of very interested parties in that asset, whether it’s Northern Star or Evolution [Mining]. Those mid-cap Aussie guys are doing extremely well,” Barrick CEO Mark Bristow said in an interview after the release of the company’s second-quarter results on Monday. Neither Northern Star nor Evolution responded to a request for comment.

After Barrick bought Randgold Resources Ltd. for US$6-billion earlier this year, the company said it intended to divest about US$1.5-billion in assets to concentrate on its highest-returning assets, such as its mines in Nevada and its massive Pueblo Viejo mine in the Dominican Republic, which needs about US$1-billion in capital expenditure over the next few years. Continue Reading →

Arizona copper mine ruling expected to have national impact (San Francisco Chronicle – August 13, 2019)

Associated Press – TUCSON, Ariz. (AP) — A federal court ruling against a planned Arizona mining project is expected to have national repercussions if upheld by higher courts, experts said.

The mining industry has decried the ruling against the proposed $1.9 billion Rosemont Mine, The Arizona Daily Star reported .

The U.S. Forest Service’s approval of plans for the new copper mine in southeastern Arizona was overruled July 31 by U.S. District Court Judge James Soto. Conservation and tribal groups praised the ruling, saying it recognized the Forest Service’s failure to protect public land and resources. Continue Reading →

‘A lot of boxes ticked’: Barrick roars through summer as rival Newmont struggles with former Goldcorp mines – by Gabriel Friedman (Financial Post – August 14, 2019)

On Monday morning, Barrick Gold Corp.’s chief executive Mark Bristow visited the mining giant’s Toronto headquarters to announce second quarter earnings, and to take a victory lap on what’s shaping up to be a good summer.

“It’s a been a fun six months,” Bristow told the assembled analysts, bankers, journalists and others. “Today, I’m glad to share with you the enormous progress our teams have made.”

Barrick recently negotiated to purchase its troubled subsidiary in Tanzania, trimmed overhead and helped make other cost saving moves that helped propel its stock up 50 per cent since June. Continue Reading →

Barrick posts profit jump, flags significant work ahead on Acacia – by Nichola Saminather and Shanti S Nair (Reuters U.S. – August 12, 2019)

(Reuters) – Barrick Gold Corp (ABX.TO) (GOLD.N) reported quarterly adjusted profit that nearly doubled on higher production on Monday, and said it has a “great deal of work” ahead resolving problems around its African unit, whose buyout the company expects to complete next month.

Barrick also said it plans to begin the sale process for its 50% stake in the Kalgoorlie operation in Western Australia in the third quarter. Newmont Goldcorp (NEM.N) owns the remainder.

The world’s second-largest gold producer reported adjusted profit of $154 million, or 9 cents per share, in the second quarter ended June 30, up from $81 million, or 7 cents per share, a year earlier. Continue Reading →

Iamgold under fire for alleged poor disclosure over miner death at Rosebel site in South America – by Niall McGee (Globe and Mail – August 9, 2019)

Shares in Iamgold Corp. fell 14.6 per cent Thursday – their steepest drop in nearly five years – as the Canadian miner faces heavy criticism for its alleged poor disclosure over the death of a miner at a South American mine site.

Last week, the Toronto-based company suspended mining at its second-biggest mine, Rosebel in Suriname, after an “unauthorized” artisanal miner was killed, following a confrontation with police. Iamgold said the fracas, which involved an unspecified number of artisanal miners, also caused equipment damage. The company said there are continuing security concerns for its staff at Rosebel.

Artisanal mining is common in Africa and South America, often involving impoverished locals mining by hand. While occasionally legal, artisanal miners often trespass on concessions controlled by international mining companies. Continue Reading →

Returning investors see gold prices surge, but new M&A activity still unlikely – by Niall McGee (Globe and Mail – August 8, 2019)

Surging bullion prices might not stimulate blockbuster dealmaking, but there are signs generalist investors are wading back into gold stocks after a protracted period of shunning the sector.

“I hadn’t gotten a call about gold from a client in the better part of a year and a half, and I got one yesterday,” said Matt Barasch, portfolio manager with RBC Dominion Securities in Toronto, who manages money for retail clients.

Gold hit a six-year high on Wednesday north of US$1,500 an ounce, driven by escalating trade-war tensions between the United States and China, falling interest rates and a slowdown in global growth. Historically sought out as a safe-haven investment, gold has risen by 17 per cent in 2019, after languishing in the US$1,300 range for about three years. Continue Reading →

After protests, Alamos CEO defends Turkish mine project against misinformation’ – by Tuvan Gumrukcu (Reuters Canada – August 7, 2019)

ANKARA (Reuters) – Canada-based Alamos Gold has defended its environmental record at a mining project in western Turkey against a wave of protests, saying it had paid for future reforestation at the site and denying cyanide would leak into the surrounding area.

Thousands of Turks and opposition lawmakers protested on Monday in the Canakkale province against expected pollution from the mine, saying Alamos had cut down more trees than it had declared and would use cyanide, contaminating water in the region.

In an interview in Ankara, Alamos CEO John McCluskey said protests against the project near the town of Kirazli were based on politically-motivated misinformation. Continue Reading →

Deals by foreign buyers near $40-billion, set to eclipse last year’s pace – by Jeffrey Jones (Globe and Mail – August 6, 2019)

Acquisitions in Canada by foreign buyers are already approaching the dollar value for all of 2018, as confidence in the economy trumps rising global trade tension and a dearth of deals in the oil patch.

Deals announced in the first half of 2019 topped $39.3-billion, only slightly less than the $40.2-billion worth of deals in all of 2018, a year considered to have been brisk for deal-making by foreigners, according to figures from the law firm Torys LLP.

Based on announced transactions and those the firm knows are being discussed, it is shaping up to be a strong year, though it is too early to predict a record, said Cornell Wright, co-head of Torys’ mergers and acquisitions practice. Continue Reading →

‘Don’t come if you like gold’: Turks march against planned gold mine – by Birsen Altayli (Reuters U.S. – August 2019)

KIRAZLI, Turkey (Reuters) – Thousands of Turks including opposition lawmakers staged a peaceful and unusually large protest on the outskirts of a small western town on Monday against what they say will be pollution from a foreign-owned gold mine project.

Public opposition to the site owned by Dogu Biga Mining, the Turkish subsidiary of Canada-based Alamos Gold Inc, mounted after the firm allegedly cut down four times the number of trees than it declared in an environmental impact report.

Near the town of Kirazli in Turkey’s Canakkale province, a few dozen environmentalists have slept in tents since July 26 as part of what they call a “Watch for Water and Conscience”. Continue Reading →

Federal judge bars Rosemont Mine construction – by Tony Davis (Arizona Daily Star – Aug 1, 2019)

A federal judge stopped the planned Rosemont Mine in a ruling Wednesday evening, halting plans to start building the $1.9 billion project in August.

U.S. District Judge James Soto’s ruling in Tucson overturned the U.S. Forest Service’s 2017 decision approving the mine and its 2013 final environmental impact statement clearing the way for that approval.

His ruling, if it survives expected appeals to higher courts, would drive a stake into longstanding federal policies that say the Forest Service virtually can never say “no” to a mine if it would otherwise meet federal laws. It calls into legal question how the Forest Service has used the 1872 Mining Law to justify its approval of Rosemont — and by extension other mines on its land. Continue Reading →

EDITORIAL: Mining industry has role to play in carbon capture – by Marilyn Scales (Canadian Mining Journal – July 24, 2019)

The carbon neutral mine is on the horizon. That’s the aim of a collaborative program to test immobilizing carbon dioxide in mine tailings. Lab scale tests are promising, and now the research is moving into the field.

The technology could reduce – if not eliminate – greenhouse gas (GHG) emissions at mines and result in the world’s first carbon neutral mining operation.

The research is headed by the University of British Columbia, the University of Alberta, Trent University, and Institut national de la recherches scientifique. The program is financially supported by Geoscience BC, Natural Resources Canada’s Clean Growth Program, De Beers Group, FPX Nickel, Giga Metals, and the governments of British Columbia, Yukon and Northwest Territories. Continue Reading →

NEWS RELEASE: Orefinders Resources Launches ‘Innovation in Mining Scholarship’ (August 1, 2019)

Toronto, Ontario – August 1, 2019 – Orefinders Resources Inc. (“Orefinders” or the “Company”) (TSX.V: ORX) is pleased to announce that, in conjunction with Young Mining Professionals (“YMP”), the Company will provide a $4,000 scholarship to an innovative student that is studying in a mining related field in Canada.

“Our team is a big believer in innovation, whether it’s exploration, operations, data analytics or metallurgical systems there is a yet to be discovered process that will revolutionize the way we locate and extract orebodies. We are proud to support the Young Mining Professionals and the next generation of entrepreneurs they represent,” said Stephen Stewart, Orefinders CEO and the Chairman of the Young Mining Professionals organization.

Full details on Orefinders’ Innovation in Mining Scholarship is available at the link below:

About YMP Scholarship Fund

The Orefinders Innovation in Mining Scholarship is one of ten scholarships totalling over $44,0000 on offer from the YMP Scholarship Fund in 2019. The Fund’s mandate is to attract young talent to the exploration and mining industry by supporting their academic studies in Canada. Continue Reading →

Kinross Gold buys Russian gold development property for US$283-million – by Niall McGee (Globe and Mail – August 1, 2019)

Kinross Gold Corp. has struck a US$283-million deal to buy a Russian gold development project, its first gold acquisition in four years. In a statement after the close of markets on Wednesday, Toronto-based Kinross said it had reached a friendly arrangement with privately held N-Mining Ltd. to purchase the Chulbatkan project for a combination of cash and stock.

Kinross hopes to eventually develop the property, located in the Khabarovsk region of Russia’s far east, into a low-cost, open-pit gold mine. Cyprus-based N-Mining was founded by a number of former executives of Polyus Gold International Ltd., Russia’s largest gold producer.

Kinross said its own drilling, conducted over the past 16 months, indicates the Chulbatkan property contains a resource of 3.9 million ounces of gold. Over the next three years, Kinross plans to do more drilling to try to prove the project’s economic viability. Kinross’s early study points to a six-year mine life, with an all-in sustaining cost of US$550 an ounce and an initial capital cost commitment of half a billion dollars. Continue Reading →

Big win for foreign plaintiffs as Pan American settles Guatemala mine case – by Gabriel Friedman (Financial Post – August 1, 2019)

The cost of litigating these cases can make them prohibitively expensive to bring, so there’s unlikely to be a flood of similar litigation in the future

In a case likely to set new accountability standards for Canadian mining companies operating abroad, Vancouver-based Pan American Silver on Tuesday apologized to four Guatemalans who were shot in 2013 while staging a peaceful demonstration at the entrance to one of its mines.

The company also struck legal settlements, though terms remain confidential, with the Guatemalans to end ongoing litigation in British Columbia accusing it of negligence.

It marks one of three cases filed in Canada in recent years, in which a mining company has been sued for negligence because of alleged human rights abuses connected with its operations overseas. The other two cases are still pending in Canada. Continue Reading →