Chromium/Platinum Group Metals – Page 41

[Ring of Fire’s] Black Thor deposit delayed – by Carol Mulligan (Sudbury Star – October 1, 2012)

October 1, 2012

The Sudbury Star is the City of Greater Sudbury’s daily newspaper.

Cliffs Natural Resources has moved the production start date for its Black Thor chromite deposit in the Ring of Fire back a year to 2016, because discussions about the location of Cliffs’ ferrochrome processing plant took longer than expected.

Cliffs spokeswoman Patricia Persico said “that’s fine” because the talks were about “necessary and important topics” such as the building of an all-weather road to the site, 540 kilometres north of Thunder Bay, as well as electricity prices.

Those discussions are continuing, said Perscico. The company has said all along its timelines to develop the project are estimates, she said. Cliffs is promoting a north-south road in its talks with the government of Ontario, said Persico. What that will mean in terms of shared capital is still being discussed.

Cliffs announced in early May it had selected a brown-field site north of Capreol, at the old Moose Mountain Mine, as its choice of location for the ferrochrome smelter.

That announcement moved development of Black Thor into the feasibility stage, “which allows us to really get deeper ” into the project’s scope and move the environmental assessment project forward, said Persico.

S.African mine labour strife halts slide in chrome – by Harpreet Bhal and Silvia Antonioli (Reuters.com – September 26, 2012)

September 28, 2012

http://af.reuters.com/

LONDON (Reuters) – The impact of South African mine labour unrest has spread beyond precious metals to UG2 chrome ore, a by product of platinum and key ingredient in stainless steel, with output cuts putting a floor under prices after four months of decline.

In recent months, violent labour unrest over pay has disrupted production at some of the largest South African platinum mines, including those owned by Anglo American Platinum, Lonmin and Aquarius Platinum.

South Africa accounts for more than 80 percent of global platinum supply, but it also produces over half of the world’s chrome. Both markets are in global surplus, but uncertainty created by production cuts has induced fresh buying.

Although disputes at some south African shafts have been resolved, strikes are in full force at others and continuing to spread, raising worries that prolonged disruptions might hit production further.

So far strikes have cut output of UG2 chrome ore by about 150,000-250,000 tonnes, market players said, a significant enough amount to have an effect on prices, even in an over supplied market.

Mine hearings to take place next year – by Carl Clutchey (Thunder Bay Chronicle-Journal – September 27, 2012)

September 27, 2012

The Thunder Bay Chronicle-Journal is the daily newspaper of Northwestern Ontario.

Public hearings into a proposed copper and palladium mine on Marathon’s outskirts could take place early next year if an independent panel reviewing the project decides it has enough information to proceed.

The three-member panel of two scientists and an engineer must decide by Nov. 26 if an environmental impact statement submitted this summer by Stillwater Canada is sufficient to set the stage for up to 30 days of public hearings.

Stillwater is proposing an open-pit operation just north of the town’s airport. The mine, with one main pit and four satellite pits, is projected to operate for nearly 12 years and provide about 400 direct jobs. Surrounded by the Pic River and some inland lakes, the mine site would require a new two-kilometre access road and a new four-km hydro transmission corridor.

If the panel decides that it does have enough information to proceed, the hearings could take place in January, Canadian Environmental Assessment Agency panel co-manager Marie LeGrow said Wednesday during an update in Marathon about the ongoing review.

[South African] Platinum output disruption – It ain’t over yet – by Lawrence Williams (Mineweb.com – september 21, 2012)

September 21, 2012

www.mineweb.com

As the platinum price discount to gold increases again following the Lonmin settlement it may yet be too early to write off the labour problems at the SA mines as being over.

LONDON (MINEWEB) – As the dust begins to settle at Lonmin’s Marikana platinum mine and workers drift back after the killings and walkouts, the platinum price has drifted back to a substantial discount to the gold price again. This morning the price for platinum was some $140 below that of gold, back from a deficit that had fallen to as low as the high $60s at the peak of the Lonmin upheavals.

But perhaps the quick new rise in the gold:platinum price ratio has been overdone given the amount of lost production to date, not just at Lonmin – and at Impala earlier in the year – but also at the other platinum mines in the Rustenburg area which have all been affected to some extent, as well as the potential for further loss of output ahead.

Notably, the world’s largest platinum miner, Anglo American Platinum (Amplats) has itself faced substantial disruption and had to temporarily suspend output for a few days and, perhaps more importantly, is still suffering in the fallout from the Marikana problems with militant miners blockading the streets and creating an atmosphere which is not conducive to their fellows returning to work.

Two more killed in crackdown on South Africa mine strikes – by Carley Petesch and Michelle Faul (Globe and Mail – September 20, 2012)

September 20, 2012

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.

Rustenburg, South Africa — The Associated Press

South African police have killed two more people in a crackdown on striking miners, labour advocates said Thursday, with the victims being a ruling party municipal councillor who died of injuries from a rubber bullet and a miner who was run over by an armoured car.

Police threatened to take further action Thursday against illegally protesting strikers at the world’s biggest platinum producer, Anglo American Platinum. Wildcat strikes continued at several other mines even as miners returned to work at the Lonmin PLC platinum mine where police killed 34 miners on Aug. 16. The violence started Aug. 10 with a wage dispute and union rivalry.

Police in two water cannon trucks and several armoured cars moved in Thursday morning on a gathering of striking Anglo American Platinum miners at a shantytown where residents set up barricades of rocks and burning tires and logs. Strike leader Evans Ramokga told The Associated Press that one miner was run over Wednesday by a police armoured car and dragged several meters (feet) before it stopped. He said the man died overnight in the hospital.

Lonmin deal stirs more South Africa mine strife – by Sherilee Lakmidas (Globe and Mail – September 19, 2012)

September 19, 2012

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.

MARIKANA, South Africa — Reuters – South African police fired tear gas on Wednesday to disperse protesters near a mine run by top platinum producer Anglo American Platinum (Amplats), the first sign of unrest spreading after strikers at smaller rival Lonmin won big pay rises.

Within hours of Lonmin agreeing to a pay increase of 11 to 22 per cent, workers at neighbouring mines were calling for similar hikes, suggesting more trouble in store after six weeks of industrial action that has claimed 45 lives and threatened Africa’s biggest economy.

“We want management to meet us as well now,” an organizer for the militant Association of Mineworkers and Construction Union (AMCU) at Impala Platinum, the number two producer, told Reuters.

“We want 9,000 rand ($1,098 U.S.) a month as a basic wage instead of the roughly 5,000 rand we are getting.” He declined to be named for fear of recriminations from the company. Lonmin shares soared more than 9 per cent to levels not seen since police shot dead 34 miners on August 16 outside its Marikana mine, 100 km northwest of Johannesburg.

South Africa warns mine unrest could spur recession – by Justine Gerardy (Globe and Mail – September 17, 2012)

September 17, 2012

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.

JOHANNESBURG — Agence France-Presse – South African police barred firebrand Julius Malema from a rally of striking miners Monday, as President Jacob Zuma warned that the country could ill-afford a recession over mine stoppages.

Mr. Zuma told a conference of the country’s powerful Cosatu labour group that 4.5 billion rand ($548-million U.S.) had been lost in gold and platinum production this year and a further 118 million rand lost in the coal sector. “The impact goes beyond the mining sector,” he cautioned, saying the manufacturing sector was showing strain.

“We cannot afford to go into a recession, and revert to the 2008 and 2009 period where the country lost close to a million jobs, which we are still battling to recover.” The warning came as British mining group Lonmin PLC cut its platinum sales forecasts over the continuing strike at its Marikana mine, which has been blighted by a violent strike that has crippled production for more than a month.

Lonmin became the epicentre of a wave of unrest to hit the vital mining sector in recent weeks, with tensions forcing several firms to suspend operations in the country’s platinum belt of northwestern Rustenburg. The striking miners at the Marikana mine meanwhile have accepted for the first time to lower their monthly salary demand of 12,500 rands, the mediator in the dispute said Monday.

Opening Up The Ring Of Fire: Wes Hanson Discusses Noront’s Nickel-Copper-PGM Feasibility Study – by Kevin Michael Grace (Resourceswire.com – September 11, 2012)

November 3, 2015September 15, 2012

http://resourceswire.com/

Noront Resources Ltd V.NOT announced September 5 the results of a 43-101 feasibility study of its Eagle’s Nest nickel-copper-PGM mine at McFaulds Lake in the Ring of Fire, northern Ontario. Based on metals prices of $9.43 per pound copper, $3.60 per pound copper, $1,600 per ounce platinum, $599 per ounce palladium and $1,415 per ounce gold, the study forecasts an aftertax net present value (NPV) of $543 million (at an 8% discount rate), a 28% aftertax internal rate of return (IRR), a $609-million initial CAPEX, plus a $160-million life-of-mine sustaining CAPEX and a three-year payback period.

Eagle’s Nest contains proven and probable resources of 11.1 million tonnes grading 1.68% nickel, 0.87% copper, 0.89 grams per tonne platinum and 3.09 g/t palladium. The mine is forecast to produce one million tonnes per year, producing 150,000 tonnes of nickel-copper concentrate annually over 11 years, at $97 per tonne or $2.34 per pound of nickel equivalent.

Noront President/CEO Wes Hanson spoke to Kevin Michael Grace September 5, 2012.

RW: What’s your path to production?

WH: In addition to the technical and social risks associated with building any mining project, on top of it for the juniors you always have a challenge of how you’re going to finance construction. We are fortunate enough that the capital costs aren’t overly onerous. We’re only looking at a range of $600 million.

Building a mining ‘hub:’ Is Thunder Bay ready for the big rush? – by Stephen Lindley and John Mason (Thunder Bay Chronicle-Journal – September 15, 2012)

September 15, 2012

The Thunder Bay Chronicle-Journal is the daily newspaper of Northwestern Ontario.

With the establishment of a chromite processing facility, currently planned for location
in Sudbury, Ontario’s production capacity could rival that of the top three global
producers, namely South Africa, Kazakhstan and India, making it one of the most
important sources of chromium in the world. (John Mason and Stephen Lindley)

John Mason leads the mining readiness strategy and is project manager of mining services at the Thunder Bay Community Economic Commission (CEDC). Stephen Lindley is project manager and vice-president of aboriginal and northern affairs with SNC-Lavalin in Toronto.

The City of Thunder Bay, the Thunder Bay Community Economic Development Commission (CEDC) and the Fort William First Nation (FWFN) have recently initiated a Mining Readiness Strategy — An Integrated Regional Economic Development Plan. Scheduled for completion in January 2013, with implementation throughout 2013-15 and beyond, the region of Thunder Bay is taking the necessary steps to develop a nationally and internationally acclaimed “hub” for mineral exploration, production and related economic activity in Northwestern Ontario.

Mining and its associated industries is an important sector of the global economy and Canada is recognized as a world leader. Ontario leads all provinces in mineral production, at over $10 billion annually. Growth rates in gold exploration alone, in Ontario, are quickly outpacing those of the historic global leaders such as South Africa, Peru and Russia.

S. Africa’s “Juju” jinxes Zuma over mines unrest – by Jon Herskovitz (Reuters – September 14, 2012)

September 15, 2012

http://www.reuters.com/

JOHANNESBURG, Sept 14 (Reuters) – South Africa’s ANC rebel Julius Malema has charged back from the political wilderness, seizing on a mines labour conflict to bait and harry President Jacob Zuma before an end-year leadership conference that will test stability in Africa’s biggest economy.

While Zuma has dithered over the industrial unrest that led to the Aug. 16 police killing of 34 striking miners, Malema is feeding his comeback with the discontent among South Africa’s poor and unemployed that poses the biggest threat to the ANC’s governing alliance since apartheid ended in 1994.

Wearing his trademark beret, the former ANC Youth League leader cast out by the ruling party for indiscipline this year has driven his upscale SUV into the heart of the dusty, scrub-covered platinum mining belt. Here, he heard the grievances of angry strikers carrying spears, machetes and clubs.

“Where are our leaders? Our leaders have sold out South Africa. Our leaders are sleeping with capitalists. Our leaders are enjoying dinners with capital. They have forgotten about us,” the 31-year-old, popularly known as “Juju”, told a raucous crowd of protesting miners this week.

South Africa cracks down on ‘illegal gatherings’ in wake of mining crisis – by Geoffrey York (Globe and Mail – September 14, 2012)

September 14, 2012

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.

JOHANNESBURG, South Africa — After weeks of an escalating national crisis in its mining sector, South Africa’s government has announced a sweeping crackdown on weapons and “illegal gatherings” by thousands of striking mineworkers. The government is refusing to say whether it will deploy the army or arrest key political opponents such as Julius Malema, but it left the door open to both options

Reports in the South African media today said the government could arrest Mr. Malema and send soldiers into the mining regions in an attempt to halt the violent wildcat strikes that have forced the closure of the mines of some of the world’s biggest platinum and gold companies.

Many of the striking workers have marched with machetes, spears, sticks and clubs as they hunt down those who fail to join the strike. Another body of a stabbed worker was found this week at a spot where the strikers have gathered. “It appears now that the mining industry is at stake,” Justice Minister Jeff Radebe told a press conference today.

“We can no longer tolerate acts of intimidation, illegal gatherings, the carrying of dangerous weapons in South Africa,” he said.

UPDATE 2: World’s biggest platinum producer Amplats hit by unrest – by Christy Filen (Mineweb.com – September 1, 2012)

September 12, 2012

www.mineweb.com

Anglo American Platinum spokesperson, Mpumi Sithole has confirmed the miner is working with police to contain an outbreak of intimidation but is unclear how many people are involved.

JOHANNESBURG (Mineweb) – Anglo American Platinum on Thursday said its employees are not on strike but that some were unable to report for night shift last night due to intimidation and threats by ‘unidentified individuals’.

In a move that would suggest an evacuation of sorts, Amplats have decided to ‘re-direct employees to a neutral place’ to ensure their safety and security.

“Our priority is to ensure the safety of our people while we find solutions to address the situation. We will provide update information as it becomes available,” said the company in an email to media.

This update comes after the miner announced last night that it was trying to contain an outbreak of intimidation at its Rustenburg mines and had been working 24/7 to try to prevent the unrest.

South Africa labor unrest spreads; 36,000 miners strike – by AP (Canadian Business Magazine – September 10, 2012)

September 10, 2012

Founded in 1928, Canadian Business is the longest-publishing business magazine in Canada.

MARIKANA, South Africa (AP) — Chanting miners wielding machetes, clubs and spears marched from shaft to shaft of South Africa’s beleaguered Lonmin platinum mine Monday, trying to intimidate the few workers who reported for duty in the fourth week of a crippling strike whose impact has already included dozens of miners killed by police.

At one point on their 10-kilometer (six-mile) trek, a striker lashed a whip at a man they accused of reporting for work. He took off across the scrubland with dozens of men waving machetes and clubs in pursuit. The man was saved by police officers who pulled him into their moving vehicle.

Meanwhile, labor unrest spread in the country, with an illegal strike by more than 10,000 workers halting operations at the west section of Gold Fields International’s KDC gold mine. The strikes are rooted in rivalry between the main National Union of Mineworkers and a breakaway union.

At the KDC gold mine, for instance, spokesman Sven Lunsche said the strike started Sunday night and that senior managers met Monday with strikers demanding the removal of NUM shop stewards and a minimum monthly wage of R12,500 ($1,560).

With Glencore deal on verge of collapse, Xstrata ponders growth options – by Clara Ferreira-Marque (Reuters/National Post – September 6, 2012)

September 8, 2012

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

LONDON — With Glencore’s US$34-billion takeover bid set to collapse on Friday, Xstrata boss Mick Davis will have to woo back disgruntled shareholders in the miner and push ahead alone with ambitious growth plans.

Chief Executive Davis aims to steer the fourth-largest diversified miner from its acquisition-fuelled first decade into a phase of organic, or self-generated, growth, which the miner hopes will boost volumes by 50% by the end of 2014 and cut average operating costs by a fifth.

The broad, bespectacled South African who has led Xstrata for the past decade has major hurdles ahead – unhappy minority shareholders demanding changes at the top and an even unhappier situation in Xstrata’s platinum investment Lonmin, the South African miner hit by a strike and soaring costs.

Davis will also have to find new working relationships with 34-percent shareholder Glencore – increasingly a competitor as the commodity trader’s mining presence grows – and with Qatar.

Bartolucci ‘very, very excited’ about the Ring of Fire – by Shawn Bell (Wawatay News – September 4, 2012)

September 5, 2012

Northern Ontario’s First Nations Voice: http://wawataynews.ca/

Concerns that Ontario is planning to give a special ministerial exemption to Cliffs Natural Resources so that the American company can export raw ore from the Ring of Fire out of Canada were raised in the provincial legislature Aug. 28.

The MPP for Timmins-James Bay who brought up the issue was left scratching his head over Northern Development and Mines Minister Rick Bartolucci’s response.

On Aug. 28 NDP MPP Gilles Bisson asked Bartolucci whether the government is “in any way in discussions with Cliffs resources to sign a ministerial permit allowing ore to be shipped out of Canada?” Instead of answering the question, Bartolucci explained the government’s position on the mining development.

“We are very, very excited about the Ring of Fire,” Bartolucci said in his response. “There are several aspects that the government is speaking to Cliffs about, which will be no surprise to the member from Timmins–James Bay, because we were very, very excited. I think members on both sides of the House were very, very excited when Cliffs decided that they were going to build their processing plant in Ontario.”