Archive | Gold and Silver

UPDATE 1-AngloGold to revive historic Ghana asset after illegal miners ousted – by Ed Stoddard (Reuters U.S. – February 20, 2018

https://www.reuters.com/

JOHANNESBURG, Feb 20 (Reuters) – AngloGold Ashanti will spend up to $500 million to mechanise its Obuasi mine in Ghana, capping a dramatic saga for an asset rendered worthless when it was invaded by thousands of illegal miners.

The company announced last year that Ghana’s military had cleared out the illegal miners, who had numbered up to 12,000 at one point, from Obuasi in the Ashanti region.

This paved the way for the company to carry out a feasibility study to see if fresh life could be breathed into the century-old mine. Continue Reading →

Exclusive: Acacia, China miners in talks over Tanzania gold deal – sources – by Nicole Mordant and John Tilak (Reuters U.S. – February 16, 2018)

https://www.reuters.com/

VANCOUVER/TORONTO (Reuters) – China’s Shandong Gold Mining Co Ltd and Zijin Mining Group Co Ltd are in separate talks with Acacia Mining Plc to form a joint venture for the London-listed company’s gold mines in Tanzania, three people familiar with the matter told Reuters.

Acacia’s majority shareholder, Barrick Gold Corp, is involved in the discussions, the people said. Acacia, caught in a near year-long tax dispute with the government of Tanzania, has also has held talks with state-owned China National Gold Group about such a partnership, two of the people said, although it was not clear if those talks are ongoing.

Shares in London-listed Acacia, which were down around 3 percent, rebounded after the Reuters report to trade up as much as 3.4 percent. They closed down 0.9 percent, at 162.95 pence. Continue Reading →

Burkina Faso expects record 55 tonnes of gold in 2018 – minister – by Tim Cocks and Ange Aboa (Reuters Africa – February 16, 2018)

https://af.reuters.com/

OUAGADOUGOU (Reuters) – Burkina Faso expects to produce a record 55 tonnes of gold in 2018, a two-thirds increase on five years ago, as new projects in the landlocked West African country come on tap, the mines minister told Reuters in an interview.

Speaking in his office in the capital Ouagadougou late on Thursday, Oumarou Idani said gold production had hit 45.5 tonnes last year. That puts it ahead of Tanzania as Africa’s fourth-biggest gold producer — after South Africa and Burkina Faso’s neighbours Ghana and Mali.

The forecast for this year represents a 20 percent increase on 2017, and at current levels would put its industrial production on a par with No.3 producer Mali. Continue Reading →

Barrick mulls selling copper business as it faces lower production, higher costs – by Niall McGhee (Globe and Mail – February 16, 2018)

https://www.theglobeandmail.com/

Barrick Gold Corp. is contemplating getting out of the copper business. President Kelvin Dushnisky said a sale of the copper assets is a possibility, although the company is not running a sales process at this time.

“Would we consider divestment in some point in time? Yes,” Mr. Dushnisky said in an interview with The Globe and Mail.

Barrick acquired its copper assets primarily through its US$7.3-billion purchase of Equinox Minerals Ltd. in 2011. The high-priced acquisition, timed shortly before a global slump in metals prices, proved to be a financial disaster, as Barrick wrote down the value of these assets by US$3.8-billion less than two years later. Continue Reading →

Pembridge grabs copper-gold-silver mine in Canada’s Yukon – by Cecilia Jamasmie (Mining.com – February 15, 2018)

http://www.mining.com/

Pembridge Resources (LON:PERE) said Thursday it was buying Capstone Mining’s (TSX:CS) Minto copper-gold-silver mine in Canada’s Yukon for $37.5 million in cash plus a 9.9% stake in the company.

The miner, which last year moved from the AIM to LSE main board, said the acquisition makes of Pembridge a cash flow generating copper producer.

The London-based company said it plans to raise $50 million via an equity placement. The money will be used to fund the proposed acquisition and provide resource development and working capital, it said. Continue Reading →

Harte Gold Triples Mineral Resource at the Sugar Zone Project (February 15, 2018)

HARTE GOLD CORP. (“Harte Gold” or the “Company”) (TSX: HRT / OTC: HRTFF / Frankfurt: H4O) is pleased to announce an updated Mineral Resource Estimate and significant increase over the NI 43-101 Mineral Resource Estimate contained in the Company’s Preliminary Economic Assessment (“PEA”), dated July 12, 2012.

Using a 3.0 g/t Au cut-off, which will form the basis of the Company’s new mine plan, the Mineral Resource Estimate dated February 15, 2018 contains an Indicated Mineral Resource of 2,607,000 tonnes grading 8.52 g/t for 714,200 ounces of contained gold and an Inferred Mineral Resource of 3,590,000 tonnes, grading 6.59 g/t for 760,800 ounces of contained gold. Please see the table below for a sensitivity analysis.

Stephen G. Roman President and CEO of Harte Gold Corp. commented, “We are very pleased with the results of the Mineral Resource update based largely on the 2017 drill program. With the Middle Zone discovery and the extension of the Sugar Zone down dip we have now delineated 1.5 million ounces and have demonstrated this Deposit has significant size potential. Continue Reading →

Agnico Eagle CEO bullish on Canada as rivals falter overseas – by Gabriel Friedman (Financial Post – February 16, 2018)

http://business.financialpost.com/

Gold prices are rising after a prolonged period of sluggish performance, but not all gold producers will be able to use 2018 to grow — as three earnings announcements released this week by senior Canadian gold companies demonstrated.

Barrick Gold Corp., the world’s largest producer, cut its 2018 production outlook to 4.5 million to 5 million ounces whereas Goldcorp Inc., at nearly half the size, kept its production outlook unchanged at 2.5 million ounces. Meanwhile, the smallest of the pack Agnico Eagle Mines Ltd., increased its production guidance to 1.53 million ounces.

The different growth outlooks not only reflect the difference in size between the companies, but also varying approaches to risk management — whether related to the geography of operations, the approach to acquisitions and explorations or other aspects of management. Continue Reading →

Freeport, Amman awaiting green light on 2018 Indonesia copper exports – by Fergus Jensen and Wilda Asmarini (Reuters U.K. – February 15, 2018)

https://www.reuters.com/

JAKARTA (Reuters) – The Indonesian unit of Freeport-McMoRan Inc and fellow copper miner Amman Mineral Nusa Tenggara (AMNT) are waiting for last-minute mining ministry approvals to their applications to extend copper concentrate exports, company officials said.

Freeport’s export permit for Grasberg, the world’s second-biggest copper mine, is due to expire on Friday, as is Amman’s permit to ship ore concentrate from its Batu Hijau mine on the island of Sumbawa.

Current rules require Freeport and Amman to reapply for export licences every year, and extensions are often granted only once previous permits have expired, creating logistical headaches for the companies. Continue Reading →

Barrick Cuts Gold Output Forecast for Eighth Potential Drop – by Danielle Bochove (Bloomberg News – February 15, 2018)

https://www.bloomberg.com/

Barrick Gold Corp., the bullion producer that once towered over rivals, continues to shrink. The Toronto-based miner is predicting its eighth straight decline in annual production as it takes less gold out of the ground at its main mines.

The company expects to produce 300,000 fewer ounces in 2018 than it had previously forecast. It now projects total production will be 4.5 million to 5 million ounces this year, compared with a previous forecast of 4.8 million to 5.3 million ounces. Total gold output in 2017 was 5.32 million ounces.

Barrick also raised its forecast for all-in-sustaining costs to a range of $765 to $815 an ounce this year, compared with previous guidance of $710 to $770. Continue Reading →

UPDATE 2-Gold Fields to evaluate efficiency at loss-making South African asset – by Tanisha Heiberg (Reuters U.S. – February 14, 2018)

https://www.reuters.com/

JOHANNESBURG, Feb 14 (Reuters) – Gold Fields Ltd will continue to evaluate and focus on efficiency at its loss-making South African asset, South Deep, after production fell below guidance in 2017, the bullion miner said on Wednesday.

South Deep, which has faced operational challenges in an unforgiving geology 3 km (2 miles) beneath the surface, made a loss of 337.6 million rand in 2017 compared with a profit of 191.1 million rand the previous year.

If the mine’s production targets continue not to be met, the firm will look at alternatives, Chief Executive Nick Holland said during the company’s full-year results presentation. Continue Reading →

What it means to be a miner in the 21st century – by David Garofalo (Globe and Mail – February 15, 2018)

https://www.theglobeandmail.com/

David Garofalo is the CEO of Goldcorp Inc.

The mining industry has traditionally been a laggard when it comes to innovation. The 21st-century economy, however, dominated by emerging technologies like electric vehicles, green energy sources and ever-more advanced mobile devices, is demanding creative approaches to efficiently delivering the raw materials that will fuel modern economies.

Canadian mining is seeing a real drive to innovate that is bolstering our ability to get materials to global markets as efficiently and cost-effectively as possible. And it’s changing what it means to work in mining.

New technologies are enabling workers to make quicker, more informed decisions at the front lines of operations. Advancements in artificial intelligence and machine learning are giving geologists more options and the data to understand existing deposits differently, along with tools to make new discoveries. Increased automation is removing workers from the riskiest parts of the mine, making our mines safer as we strive for zero harm. Continue Reading →

Barrick sees drop in gold production ahead, putting its No. 1 spot at risk – by Niall McGee (Globe and Mail – February 15, 2018)

https://www.theglobeandmail.com/

Barrick Gold Corp. is on track to lose its long-held crown as the world’s largest gold producer after forecasting production for this year that will likely fall short of U.S. competitor Newmont Mining Corp.

In a release announcing its fourth-quarter results after the markets closed on Wednesday, Toronto-based Barrick said it expects to produce between 4.5 million to 5 million ounces of gold in 2018. In December, Newmont predicted that its 2018 gold production will be between 4.9 million to 5.4 million ounces.

While Colorado-based Newmont had already passed Barrick in terms of market capitalization, it had lagged Barrick in production. Continue Reading →

Going for Gold – Australia and Egypt working together to develop the Egyptian mining sector (Mareeg.com – February 13, 2018)

Mareeg.com

CAIRO, Egypt, February 13, 2018-Australian Ambassador Neil Hawkins is delighted that Australian mining companies are showing increased interest in Egypt’s mining sector. ‘Egypt has huge potential in mining, as the dozens of Australians working at the Sukari mine near Marsa Alam can attest’, he said. ‘We look forward to increasing cooperation between Australian and Egyptian mining officials and companies in 2018.’

To kick-start that cooperation, the Australian Embassy in Cairo, in collaboration with the Western Australian Department of Mines and the Egyptian Mineral Resources Authority, will be coordinating a two-day capacity building workshop on best practices for sustainable mining governance in Cairo from 14- 15 February 2018.

Egypt has strong potential to develop further its mining sector and attract significant international investment. Australia is an international leader in mining with years of experience and many strong, successful mining companies active around the world. Continue Reading →

[Timmins Cote Lake project] IAMGOLD set for restart – by Len Gillis (Timmins Daily Press – February 14, 2018)

http://www.timminspress.com/

TIMMINS – Timmins, Gogama, Mattagami First Nation and Sudbury are all expected to benefit from the creation of the North’s newest gold mine, the IAMGOLD Corporation Cȏté Lake project.

The property is located 27 kilometres south of Gogama and 132 kilometres south of Timmins. The company revealed Tuesday that ground-clearing is expected to happen there by this time next winter.

The construction phase could create as many as 1,200 jobs over two years with the operational phase having 400 to 500 jobs. It’s a brighter story now than it was back in August 2015 when IAMGOLD revealed it was temporarily suspending the project and laying off workers, going from 33 permanent employees down to two. Continue Reading →

‘Curveballs’ force Acacia Mining to ditch dividend, post $700M loss amid Tanzania dispute – by Gabriel Friedman (Financial Post – February 13, 2018)

http://business.financialpost.com/

From the Democratic Republic of Congo to Tanzania, a raft of new laws were passed in 2017 that challenge how mining companies have hewed to previous agreements

Acacia Mining produces gold and copper, both of which are surging in price, so why did the company ditch its dividend and post a $700 million loss?

“We were thrown … a lot of curveballs,” chief executive Peter Geleta said on an investor earnings call on Monday. “In fact, I don’t think many people would have faced what we faced last year in their whole careers.”

He blamed the company’s woes on the Tanzanian government, which wants to renegotiate how it shares in the wealth from minerals extracted inside its borders. Continue Reading →