Canadian Media Resource Articles – Page 651

Barrick Gold CEO Sees Growth in Nevada Following ‘Reset’ – by Liezel Hill (Bloomberg News – May 27, 2014)

May 28, 2014

http://www.bloomberg.com/

Jamie Sokalsky has spent most of his tenure as Barrick Gold Corp. (ABX)’s chief executive officer retrenching and fighting fires. Now that the smoke is starting to clear, he’s refocusing on opportunities for growth.

The world’s biggest gold producer plans to expand in Nevada, where it got about 40 percent of its gold last year, Sokalsky said last week.

“Now that we’ve really reset the company, it’s time to talk about the future,” Sokalsky said in an interview on a Nevada hillside overlooking Goldrush, one of the projects at the top of the company’s investment plans.

Since Sokalsky, 57, took over in June 2012, Toronto-based Barrick has shed more than a quarter of its mines, raised $3 billion in a share sale and slashed its spending plans, while wrestling with a falling gold price. The company’s average costs in the first three months of 2014 fell to the lowest in at least two years, according to data compiled by Bloomberg.

While those austerity plans were overshadowed last month by news the company failed to buy its biggest competitor, Newmont Mining Corp. (NEM), Sokalsky says those talks are “finished” and Barrick is focused on its strategy as a standalone entity.

SIMSA aims to promote Saskatchewan [mining supply] industry – by Rachelle Odnokon (Regina Leader-Post – May 24, 2014)

May 28, 2014

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

The Saskatchewan Industrial & Mining Suppliers Association Inc. (SIMSA) is a non-profit organization consisting of Saskatchewan-based companies in the industrial and mining sectors. Founded one year ago by a small group of companies in response to opportunities arising from the province’s boom, SIMSA has been working tirelessly to promote Saskatchewan to potential investors.

As SIMSA president and general manager Tom Foster explained, the organization was created with the hopes of representing the diverse interests of the various individual companies within the sector, as well as promoting industry in Saskatchewan as a whole.

“A small group of companies were concerned about the new international companies and engineering firms coming to Saskatchewan and not being aware of or appreciating the capabilities of Saskatchewan’s design, manufacturing and construction support infrastructure.

Saskatchewan has developed a worldclass manufacturing base that supports the broad industry requirements ranging from forestry, mining, oil and gas to power and steel production, and Saskatchewan-based companies have the ability to not only compete for these projects, but also partner with each other when the scope is too large for an individual company,” Foster said.

2.5 kilometers beneath the Earth’s surface is the next frontier for space-suited miners [CEMI Mining Research] (National Post – May 20, 2014)

May 28, 2014

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

https://www.miningexcellence.ca/

As mining activities go deeper beneath the surface of the Earth, the harsher the environment becomes for people and machines. Intense heat, lack of fresh air, contaminants and structural instability is driving researchers’ efforts at the Centre for Excellence in Mining Innovation (CEMI) to design protective equipment that can stand up to the realities of a deep mining environment.

The next generation of integrated personal protective equipment (IPPE) will represent a remarkable feat of integration and collaboration by multiple industry partners. The suits and helmets will embody everything from thermal controls and air supply to communications and heads-up display capabilities. They will filter, cool, protect and monitor vital signs, while providing lighting, power supply and recording functions.

“All mines will have the same issues as we go deeper,” says Douglas Morrison, CEMI president and chief executive officer. “Many are at that Rubicon we call 2.5 kilometers. That’s typically the point where it becomes difficult to push cool air from the surface and keep it cool when it arrives. It’s a significant line in the sand.”

Bakan the USSR with ‘The Corporation’ – by Peter Foster (National Post – May 28, 2014)

May 28, 2014

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

Marking the 10th anniversary of a documentary that portrayed corporations as so many Godzillas

Communism and socialism were based on the delusion that economies can be run more efficiently and morally from the top. The left’s moral justification came from allegations that capitalism led both to unconscionable gaps in wealth and income and to dangerous corporate power.

It is intriguing that just as the latest example of gap obsession — from French economist Thomas Piketty — is being shot down, the anniversary of a particularly virulent example of its anti-corporate twin is being “celebrated.”

Ten years ago, the documentary The Corporation, based on a book by University of British Columbia academic Joel Bakan, was released to the sort of copious praise from the same Chattering Classes that greeted Citizen Piketty’s Capital in the 21st Century.

The Corporation, both the book and the movie, might have been classified as hate literature. Their tedious central claim was that corporations — instead of generating wealth and welfare — were trampling over society like so many psychopathic Godzillas.

Nationalist drum-beating a threat to Indonesia’s prospects – by Andy Mukherjee (Globe and Mail – May 27, 2014)

May 27, 2014

The 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.

SINGAPORE — Reuters – Indonesian politicians are playing with the fire of economic nationalism. If actual policies mimic their pre-election rhetoric, the country’s long-term growth potential will suffer.

Both presidential hopefuls are chanting the mantra of self-sufficiency. Joko “Jokowi” Widodo, the Jakarta governor and front-runner in the July 9 poll, is calling for a “mental revolution” to reduce the country’s dependence on foreign investment and technology.

He also wants to restrict the sale of national banks to foreign investors, according to local media reports. His rival, ex-army general Prabowo Subianto, wants more of Indonesia’s mineral riches exploited domestically.

The mining issue has already proved problematic. In January, Indonesia banned exports of unprocessed nickel and bauxite, and imposed steep taxes on overseas shipments of raw copper, zinc and iron ore.

The government wants to nudge mining companies – particularly large multinationals – to put up local smelters and refineries; but the miners don’t seem to be interested. Users may switch to other suppliers if Indonesia prices itself out of the market.

KWG Resources pushing for the Ring of Fire to be an election issue (CBC North Sudbury – Points North – May 26, 2014)

May 27, 2014

http://www.cbc.ca/pointsnorth/ KWG Resources is hoping politicians will sign on to an agreement to use the Ontario Northland rail lines for the Ring of Fire. Click here for Points North host Jason Turnbull as he interviews KWG CEO Frank Smeenk and North Bay Mayor Al McDonald: http://www.cbc.ca/video/news/audioplayer.html?clipid=2460088451

Horwath, Wynne vow $1B for Ring of Fire during feisty debate (CBC News Thunder Bay – May 26, 2014)

May 27, 2014

http://www.cbc.ca/news/canada

Tough-talking NDP leader says people fed up with Liberal ‘betrayal and lies’

Ontario NDP Leader Andrea Horwath came out swinging at Liberal Leader Kathleen Wynne during Monday’s election debate in Thunder Bay — calling the Liberal government corrupt — before the pair addressed the economic needs of northern communities.

Horwath’s sharp tone came in her opening statement of the debate on northern issues, a one-on-one with Wynne in the absence of Progressive Conservative Leader Tim Hudak, who said a scheduling conflict kept him from taking part.

Wynne stayed focus on questions about northern communities, asked by local mayors, on what can be done about high energy costs, how to provide skilled workers for the mining sector, how First Nations can reap economic benefits from mining, and how long will it take to have infrastructure in place to mine the massive Ring of Fire region.

How Canada’s ad hoc approach to social licence is hindering resource development – by Claudia Cattaneo (National Post – May 27, 2014)

May 27, 2014

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

Some say social licence is now the most important determinant of successful resource development. Others argue the concept doesn’t belong in a market-based economy and that the national interest is more important.

In a paper for the Canada West Foundation, released Monday, Michael Cleland argues the ad hoc approach used so far is inadequate to meet the challenges ahead and that a new approach is needed.

Some of the things he says need fixing right away include: restoring public confidence in the regulatory system; developing a credible way forward on greenhouse gas management; building capacity so communities can share in the benefits of projects; and doing a better job of compiling and sharing independent information on environmental effects.

First, let’s acknowledge the obvious: like it or not, new forces are influencing resource projects and having a profound impact on industry’s ability to move forward.

Just ask those involved in building pipelines like Enbridge Inc., which is awaiting a response from the federal cabinet in the weeks ahead about whether its controversial Northern Gateway pipeline will get a permit; or those producing gas and oil using hydraulic fracturing techniques; or those building oil sands projects.

Barrick, Newmont share a ‘co-operative spirit’ in Nevada – by Rachele Younglai (Globe and Mail – May 26, 2014)

May 26, 2014

The 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.

Barrick Gold Corp. and Newmont Mining Corp.’s chief executives still want to find ways to join forces in Nevada after the gold companies’ plans to merge dissolved spectacularly.

“There are opportunities to work together from an operating standpoint, particularly in Nevada, given we are partners there and given we are neighbours,” Barrick’s chief executive, Jamie Sokalsky, said in an interview. “Both myself and [Newmont chief executive] Gary Goldberg are very open to reopening those discussions,” he said.

It’s been a month since Barrick and Newmont’s merger talks imploded with the companies’ chairmen publicly accusing each other of ruining their $13-billion (U.S.) union. Since then, the world’s two largest gold producers have taken a breather from each other and are mending their relationship, with Mr. Sokalsky and Mr. Goldberg as de facto emissaries.

Mr. Sokalsky said there “certainly aren’t any” merger discussions currently taking place. But he said there was a “friendly, co-operative spirit” between the companies after the public spat between Newmont’s chairman, Vincent Calarco, and Barrick founder Peter Munk and chairman John Thornton.

Ontario Liberals promise $1-billion for Ring of Fire – by Kaleigh Rogers (Globe and Mail – May 26, 2014)

May 26, 2014

The 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.

THUNDER BAY, Ont. — Ontario’s Liberal Party has recommitted to spending $1-billion to build a highway to the province’s remote, northern Ring of Fire region, regardless of federal government spending.

The funding was the only deviation from the 2014 budget — which marked the Ring of Fire project as contingent on matched federal funding — in the Liberal platform released by party leader Kathleen Wynne in Thunder Bay on Sunday.

“We are making it a priority for my government,” Ms. Wynne said to cheers from the local crowd. “We will commit $1-billion with or without the federal government involvement.”

The funding, which would start paving roads to spur industry in the area that contains large mineral deposits, was announced earlier this year. When the 2014 budget was released, the Liberal party made the project contingent on matched funding from the federal government. But Ms. Wynne said Prime Minister Stephen Harper has shown little interest in contributing, so her party has re-committed to getting the ball rolling on their own. They pledged to have a development corporation established within 60 days of being re-elected, including First Nations, local communities, private partners, the province and perhaps the federal government.

Ring of Fire a hot topic in Ontario election – by Jody Porter (CBC News Thunder Bay – May 26, 2014)

May 26, 2014

http://www.cbc.ca/news/canada

Chief, candidates at odds over right to say no

First Nations consent is required before the Ring of Fire mining development can go ahead, according to a chief in northern Ontario. “If I’m given a bottle of anti-freeze, I have a right to say no, I don’t want to die,” said Neskantaga Chief Peter Moonias.

“It’s the same thing with all these impacts that are going to come out of the chemicals of the mining company.” Politicians of all stripes tout the chromite and nickel deposits in Treaty 9 territory as the economic opportunity of a century.

All agree that consultation with First Nations is important, but neither the NDP, Liberals or Progressive Conservative candidates in the Thunder Bay Superior North riding will commit to requiring First Nations consent.

“First Nations have done a very good job of saying we have a right to be consulted, [that] doesn’t mean consent,” said PC Derek Parks. “There has to be middle ground and there has to be some negotiations.”

Q & A with Pam Schwann executive director of the Saskatchewan Mining Association – by Robyn Tocker (Regina Leader-Post – May 24, 2014)

May 26, 2014

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

Saskatchewan’s mining industry is an important part of the province’s economy. Pam Schwann, executive director of the Saskatchewan Mining Association (SMA), answered what everyone wants to know about the province’s mining industry.

What does Saskatchewan’s mining industry produce? Saskatchewan produces a diversity of minerals that ultimately help feed and fuel the world.

Potash is produced from the Prairie Evaporite Formation at ten mines in central and southern Saskatchewan, including eight conventional underground operations and two solution mines. In 2013, uranium was produced from two underground mines in the Athabasca Basin of northern Saskatchewan with a third, the Cigar Lake mine, coming into production in the 1Q of 2014. Gold was produced from two mining operations in the Precambrian Shield of northern Saskatchewan in 2013, although currently, only one gold mine is in production.

Coal is mined from three open pit mines in southern Saskatchewan. Other minerals including salt, sodium sulphate, silica sand, bentonite and clay are also produced in Saskatchewan. Deposits of diamonds and rare earth elements have been identified, but have not yet been developed. Historically, Saskatchewan has also produced copper, zinc, platinum, palladium, nickel and silver.

Boost Quebec-Ontario hydro trade, experts urge – by John Spears (Toronto Star – May 24, 2014)

May 26, 2014

The Toronto Star has the largest circulation in Canada. The paper has an enormous impact on federal and Ontario politics as well as shaping public opinion.

Ontario and Quebec have a chance to forge stronger energy links, a panel of experts told a York University forum

It doesn’t make sense to sell gasoline for twice as much in some provinces as others, and it doesn’t make sense to do it for electricity, a Quebec business professor says.

Electricity costs less than 5 cents in Quebec, and more than 10 cents in Ontario, Pierre-Olivier Pineau told a forum organized by York University’s Sustainable Energy Initiative on Friday.

“That wouldn’t be accepted for gasoline,” he said. But Canadian provinces act like energy separatists when it comes to electricity, he said. Pineau said there’s an opportunity today to forge some sensible national policies over energy.

That’s something has hasn’t happened since the early 1980s, when the federal Liberals’ ill-fated National Energy Policy outraged western Canada. But Pineau said many regions of the country now have something to gain from greater energy co-operation:

• Alberta and Saskatchewan want to pipe oil to the east coast through Ontario, Quebec and New Brunswick (and expand pipelines through B.C.);

Mining in Saskatchewan helps feed the world (Regina Leader-Post – May 24, 2014)

May 26, 2014

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

Potash mining in Saskatchewan is more than a proud tradition. It fuels Saskatchewan and Canada’s economic engine and provides thousands of career opportunities in science and technology. Perhaps most importantly, potash fertilizers help grow crops to feed families all over the world. While recent market conditions have resulted in reduced global demand for potash, the investments made in both expansion (brownfield) and new start-up (greenfield) projects by mining companies in Saskatchewan will ensure that these operations are able to respond quickly to future market demands.

Potash Corporation of Saskatchewan Inc. (PotashCorp) In 2003, PotashCorp embarked on a major expansion initiative that includes projects at each of their operating mines. By its anticipated 2015 completion, this approximately $8.3 billion expansion program is expected to increase PotashCorps’s sustained output capacity to 18.1 million tonnes. All but one of PotashCorp’s Canadian operations are in Saskatchewan.

The Rocanville expansion is the largest of all PotashCorp projects and, because of its close proximity to the US border, it will play an instrumental role in serving PotashCorp’s North American customers’ needs. This expansion will add a new shaft at Scissor’s Creek, approximately 15 km from the existing site as well as a new mill to process the additional ore.

The wrong reasons to kill a merger – by Eric Reguly (Globe and Mail – May 24, 2014)

May 26, 2014

The 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.

Bidding companies with a history of breaking investment and employment promises
of the companies they buy should be treated like a hostile witness under
questioning from a prosecutor. Foreign buyers of big Canadian companies have
a dismal record at keeping promises. Demanding ironclad commitments from
buyers, perhaps backed by performance bonds, is not unreasonable.
Eric Reguly (Globe and Mail – May 24, 2014)

ROME — Merger mania is back and the great wailing and gnashing of teeth that typically go with such festivals of ego, greed and, very occasionally, corporate logic have returned with it.

What’s different this time is that the proposed deals would be financed with a mix of cash and shares, all the better to avoid the leverage that pummelled so many debt-soaked deals struck before the 2008 crisis. What is not different is that nationalistic emotions will again play a big role in their outcomes. The “national interest,” that hoary euphemism for protectionism, should never be discounted by CEOs, shareholders and employees.

In Europe, the national interest argument seems to have already wrecked one deal and may yet derail another. The first is in France, where the French economy minister, Arnaud Montebourg, published a decree that would allow the state to block takeovers in allegedly strategic industries, from transport to water (although not in the wine, cheese and lingerie industries, which any self-respecting French citizen would consider more strategic than the navy).