Gold and Silver – Page 315 – Republic of Mining

Timmins mining activity created a buzz in 1915 – by Karen Bachmann (Timmins Daily Press – October 22, 2011)

October 22, 2011

The Daily Press, the city of Timmins newspaper.

Karen Bachmann is the director/curator of the Timmins Museum and a local author.

HISTORY: Social activities also made big news in the Porcupine Camp

Out and about in the Porcupine in 1915 – here are a few items (OK, some serious, some gossip) that made the papers that year. Front page news for June of that year included the exciting announcement that the mill at Schumacher Mines was to be completed by July, and that they were very quickly sinking another 200 feet at the mine (they had already sank 300 feet).

Fifty men were working underground with another 14 on the surface, but it was predicted that many more men could look forward to steady employment at the site.

Not to be outdone, Pike Lake Gold Mines in Deloro Township, run out of New York City, was actively exploiting their six claims. A bunkhouse, kitchen, blacksmith’s shop and office were built. Twenty men were hired to sink the initial shaft by hand and to build the road into the property, located about four miles south of South Porcupine.

Agnico-Eagle writes off Goldex mine – Euan Rocha, Reuters (Globe and Mail – October 20, 2011)

May 16, 2012October 20, 2011

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.

Toronto— Reuters – Agnico-Eagle Mines Ltd. is suspending operations at its Goldex mine at Val d’Or, Que., indefinitely because of water inflow and ground instability, the Canadian gold miner said Wednesday, sending its shares sharply lower.

Toronto-based Agnico will write off its investment in Goldex, resulting in a pretax third-quarter charge of about $260-million (U.S.). On an after-tax basis, the charge will be about $170-million, or $1 a share, the company said.

The writeoff prompted analysts at Credit Suisse and Macquarie to downgrade the stock, while analysts at a number of other brokerage firms lowered their price targets on Agnico-Eagle shares. Dahlman Rose analyst Adam Graf, in a note to clients, said Goldex accounts for roughly 13 per cent of Agnico’s net asset value and about 14 per cent of next year’s gold production.

“This would appear to be a major blow to Agnico-Eagle,” Mr. Graf said. “While Goldex is only a minority of annual production and value, it is nonetheless quite significant.”

NEWS RELEASE: OSISKO PRESIDENT SEAN ROOSEN NAMED ERNST & YOUNG 2011 QUEBEC ENTREPRENEUR OF THE YEAR (October 7, 2011)

October 19, 2011

(Montreal, October 07, 2011) During a ceremony held yesterday, Sean Roosen, President and CEO of Osisko Mining Corporation (“Osisko”), was named Ernst & Young’s 2011 Quebec Entrepreneur of the Year. Furthermore, he is among the five individuals to be nominated for the national honor of Canada’s 2011 Entrepreneur of the Year, being announced in Toronto on November 23.

The Quebec Entrepreneur of the Year Award is given annually to an entrepreneur who has distinguished himself by his achievements, not only in terms of business success, but also in terms of socio-economic development within the community.

“I am extremely proud to receive one of Canada’s most prestigious awards”, noted Sean Roosen. “I humbly accept this award on behalf of the entire Osisko team—now counting over 700 employees—who are the ones truly responsible for the success of the Company.”

Future glitters for [Timmins] Lake Shore Gold – by Chris Ribau (Timmins Daily Press – October 14, 2011)

October 14, 2011

The Daily Press, the city of Timmins newspaper. Contact the writer at news@thedailypress.ca.

Company set for major expansion of Timmins operations

Lake Shore Gold reported higher commercial production from its Timmins operations and is poised for a bright future.

The Timmins Chamber of Commerce hosted its Inside Their Business Luncheon Thursday at the Days Inn. Guest speaker Dan Gagnon, vice-president and general manager of Lake Shore Gold Corp, discussed key assests in the Timmins area, including the Timmins West Complex, the Bell Creek Mine and Bell Creek Mill.

“I’m grateful to talk about Lake Shore and our operations. I think we have a good story, and I’m always looking forward to sharing it with the community, because we are here to stay,” said Gagnon.

He reported higher commercial production from the company’s 100% owned Timmins Mine in the third quarter of 2011 compared to the first two quarters. Total gold poured year-to-date was more than 60,016 ounces, while gold sales in the third quarter totaled 16,570 ounces at an average price of US$1,726.

No growth in North without respect, Edmonton conference told – by Dave Cooper (Calgary Herald – October 13, 2011)

May 16, 2012October 13, 2011

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

Manpower ‘a major concern’ because of region’s low population and lagging education levels

EDMONTON – With an estimated 30 per cent of the world’s undiscovered natural gas, about 13 per cent of its potential oil and big slice of its diamond production, Canada’s North holds a treasure chest of riches.

But the fast-growing region faces immense challenges that don’t register with most southern Canadians, including climate change, which is melting the ice sheets once used as virtual highways — forcing aboriginal inhabitants and the wildlife they depend on for food to adapt.

Economic opportunities for the small population scattered across the vast region are also significant, but a policy conference Wednesday was told that respect for the land and people of the North is the only way development will be sustainable and successful.

In the Yukon, 11 of 14 First Nations have land-claim agreements, modern treaties that give them considerable clout in economic development. Such arrangements with northern aboriginals now cover 40 per cent of Canada.

Gold industry awaits technology breakthrough – by Dewald van Rensburg (Miningmx.com – October 10, 2011)

October 10, 2011

http://www.miningmx.com/

[miningmx.com] — THERE is great excitement about a promising new technology which could make deep underground mining possible and ensure the future of South Africa’s gold industry.

Deep underground mines are engineering miracles, but the limitations of the available technology have long been evident to South Africa’s gold industry.

The world’s deepest mine is AngloGold Ashanti’s Mponeng, which extends about 4km underground. To be able to mine much deeper than this, where millions of currently inaccessible – or uneconomic – fine ounces of gold lie, would require a breakthrough.

Significantly, AngloGold was recently the first group to herald such a breakthrough with an apparently large degree of certainty. Within three to five years the group wants to develop machines to replace mineworkers at the stope face.

This target not only involves machines that can do the work of humans at the “coalface”, but also means the end of mining methods in standard use for more than a century.

Rails to the Ring of Fire – Stan Sudol (Toronto Star – May 30, 2011)

September 5, 2016October 5, 2011

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.

For the web’s largest database of articles on the Ring of Fire mining camp, please go to: Ontario’s Ring of Fire Mineral Discovery

“The Ring of Fire railroad should be subsidized by
governments as the huge economic impact will benefit
the economy for decades to come, help balance budgets
and alleviate aboriginal poverty in the surrounding
First Nations communities.” (Stan Sudol)

Notwithstanding the recent correction in commodity prices, near-record highs for gold, silver and a host of base metals essential for industry confirm that the commodity “supercycle” is back and with a vengeance.

China, India, Brazil and many other developing economies are continuing their rapid pace of growth. In 2010, China overtook Japan to become the world’s second largest economy and surpassed the United States to become the biggest producer of cars.

In March, Bank of Canada governor Mark Carney remarked: “Commodity markets are in the midst of a supercycle. . . . Rapid urbanization underpins this growth. . . . Even though history teaches that all booms are finite, this one could go on for some time.”

Quebec’s visionary 25-year “Plan Nord” will see billions invested in northern resource development and infrastructure to take advantage of the tsunami in global metal demand and generate much needed revenue for government programs.

In Ontario, the isolated Ring of Fire mining camp in the James Bay lowlands is one of the most exciting and possibly the richest new Canadian mineral discovery in more than a generation. It has been compared with both the Sudbury Basin and the Abitibi Greenstone belt that includes Timmins, Kirkland Lake, Noranda and Val d’Or.

Barrick Gold’s Tanzanian headache: Blood and Stone – by Geoffrey York (Globe and Mail – Report on Business Magazine – October, 2011)

September 29, 2011

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.

Across the cavernous pits and the mountains of waste rock, the alarm wails eerily, warning that an explosion is imminent. Dozens of villagers gather silently at the edge of a pit, past the holes that have been torn in the fence, waiting for their chance.

Then comes the blast. As a plume of smoke curls into the sky, the scavengers scramble into the pit, eager to prise a living from the freshly smashed rock.

Suddenly the police appear, careering over the rocky road from another corner of the vast mine. The pickup truck full of armed men in green uniforms bounces across the wasteland like a scene from Mad Max. The truck hurtles toward the scavengers, but is halted by a boulder that they have pulled across its path. By the time the police can leap down and move the boulder, the scavengers have scattered into the nearby trees, where they wait for their next opportunity.

This is the daily ritual of conflict at the North Mara gold mine in Tanzania: Intrude and retreat, pursue and withdraw—punctuated by flare-ups that sometimes leave people dead.

For an eyewitness, it’s difficult to reconcile this cycle of violence with the avowed community-friendly policies of the mine’s parent company, Barrick Gold Corp. and the professed goal of its founder, Peter Munk, of making good corporate citizenship the “calling card that precedes us wherever we go.”

Going deeper underground [Guatemala mining conflicts] – by Lyndsie Bourgon (Corporate Knights Magazine – Fall, 2011)

September 27, 2011

Corporate Knights: The Magazine for Clean Capitalism is a quarterly Canadian magazine dedicated to the promotion of responsible business practices within Canada and the advancement of social and environmental sustainability worldwide. (wiki)

In Guatemala, victims of human rights abuses involving Canadian mining companies are left to pick up the pieces. At home in Canada, company lawyers skirt around questions of accountability, and justice ultimately falls through the cracks.

Gory Wanless sits at his desk in downtown Toronto, flipping through photo after photo of burning huts and maimed bodies. He points out where Adolfo Ich was hacked in the arm with a machete before being shot in the head, and where the home belonging to one of 11 women allegedly raped once stood in Lote Ocho, a small village in Guatemala.

Wanless, a lawyer at Klippensteins Barristers and Solicitors, is working on two cases that have implicated Canadian mining company HudBay Minerals Inc. and its subsidiary, HMI Nickel Inc., in serious human rights abuses in Guatemala. Both cases concern Guatemala’s CGN security forces, employed by HMI Nickel. In Choc v. HudBay, it’s alleged that security personnel shot and killed Adolfo Ich, a well-known Mayan Q’eqchi community organizer, in public and in broad daylight on September 27, 2009.

His wife, Angelica Choc, has brought a wrongful death case forward against HudBay. In the other lawsuit, Caal v. HudBay, it’s alleged that CGN employees, the Guatemalan army and police took part in the gang rape of 11 Mayan Q’eqchi women during the forceful eviction of their homes in Lote Ocho. The women are suing HudBay for negligence.

Planning for a gold mine: Plan Nord’s impact on Quebec’s mining industry – by Nochane Rousseau (Canadian Mining Journal – September, 2011)

September 26, 2011

The Canadian Mining Journal is Canada’s first mining publication providing information on Canadian mining and exploration trends, technologies, operations, and industry events.

Nochane Rousseau, Leader, Mining Industry Services and Plan Nord Project – PwC. For more information, please visit PwC’s mining site at: www.pwc.com/ca/mining.

“The plan addresses these issues [infrastructure] by
outlining actions the Quebec government will take to
build the necessary strategic infrastructure in
territories with the highest economic potential—an
“if you build it, they will come” mentality.”

“Beyond being rich in resources, the province’s mining
industry is well established and affordable
hydro-electricity is a competitive advantage for miners
operating in Quebec.” (Nochane Rousseau, Leader, Mining
Industry Services and Plan Nord Project – PwC)

Twenty-five years may seem like a lifetime away, but the Quebec government’s Plan Nord could result in a huge transformation of Northern Quebec in what’s, in reality, a relatively short amount of time, given its ambitious objectives.

The numbers are nothing short of impressive. The Quebec Government projects Plan Nord to lead to over $80 billion in investments – $47 billion towards renewable energy and $33 billion for investments in the mining sector and public infrastructure such as roads, rail and airports. It will also create or consolidate about 20,000 jobs per year over a 25-year period. In its recently released plan, the government says it hopes the initiative will be to the coming decades what the development of La Manicouagan and James Bay were to the 1960-70s.

The mining industry could play a huge part in this investment. The 1.2 million km area the plan covers is a wealth of untapped opportunities that could surely captivate the interest of domestic and global mining companies. This territory produces all of Quebec’s nickel, zinc and iron ore, to name a few, and also represents a significant portion of gold production.

Lake Shore Gold plans $80-million expansion – by Ron Grech (Timmins Daily Press – September 21, 2011)

September 21, 2011

Ron Grech is a reporter for The Daily Press, the city of Timmins newspaper. Contact the writer at rgrech@thedailypress.ca

Lake Shore Gold is spending $80 million over the next 14 months to expand the processing mill at its Bell Creek complex near Timmins. Production for the mine has reached a level where it is exceeding the mill’s capacity.

“We need to expand the mill,” said Dan Gagnon, vice-president and general manager of Timmins operations for Lake Shore Gold.

Gagnon along with Brian Buss, Lake Shore’s director of project development and technical services, made a presentation to Timmins council Monday night, detailing expansion plans and targets for production growth.

Lake Shore has three key mining complexes — Bell Creek, Timmins West and Thunder Creek — west of the city plus some other properties just east of Timmins.

Gold miners seek to close the gap with bullion – by Brenda Bouw (Globe and Mail – September 20, 2011)

May 16, 2012September 20, 2011

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.

VANCOUVER— The world’s top gold miners are forging ahead with expansion plans and higher dividend payments, despite worries that bullion is bound for a correction after a spectacular runup beyond $1,900 (U.S.) an ounce earlier this month.

The companies are vowing to tackle the issue of share values that lag gold prices through aggressive growth plans, rising margins and sweetened dividends, despite the challenges of rising costs and increased competition for investors.

Executives believe that the price of gold will continue to rise and that equities will soon catch up and could even surpass physical gold in returns to investors.

“I do think the equities will respond,” Barrick Gold Corp.chief executive office Aaron Regent told investors at the Denver Gold Show in Colorado Springs, Colo., on Monday. “The equities have not reflected the strong fundamentals of the underlying businesses.”

Northern [Ontario] debate the day’s priority – (Thunder Bay Chronicle-Journal editorial – September 16, 2011)

September 17, 2011

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

THE LIBERALS had to know this was coming. Yet they went ahead in spite of the downside, apparently preferring it to having party leaders debate Northern Ontario issues in Thunder Bay where the Liberals hold both seats. The political blowback is coming hard and fast, and with seven days to go it can only get worse.

Last month, three key regional organizations formally confirmed an invitation to provincial party leaders to debate northern issues at a conference here Sept. 23, in the midst of the provincial election campaign.

The Northwestern Ontario Regional Conference is hosted by the Northwestern Ontario Municipal Association (NOMA), the Northwestern Ontario Associated Chambers of Commerce (NOACC) and the Northwestern Ontario Development Network (NODN). It brings together municipal, business and economic development leaders from across the Northwest.

Placer Dome Incorporated History: 1910-2002 – by International Directory of Company Histories

September 29, 2011September 17, 2011

For a large selection of corporate histories click: International Directory of Company Histories

Company History: (Please Note that Placer Dome was taken over by Barrick Gold in 2006)

Placer Dome Inc., the fifth largest gold mining company in the world, produces approximately 3.5 million ounces of gold annually. Based in Vancouver, British Columbia, the company also mines silver and copper and has interests in 18 mines, many outside of Canada, in countries including South Africa, Australia, the United States, and Papua New Guinea. A leader in mine exploration, Placer Dome spent about $60 million in 2003 on exploration.

The Creation of a New Company

Placer Dome Inc. was formed in 1987 by the amalgamation of three Canadian mining companies, creating the largest gold producer in North America with an annual output of more than 800,000 ounces of gold. Dome Mines Limited, the oldest of the three predecessors and one of Canada’s most venerable gold producers, was incorporated in 1910, following the discovery of the Dome Mine, a hard-rock mine in northern Ontario, which was still producing gold in 1997. The mine and the company got their name from the shape of the gold-studded rock structure a band of prospectors literally stumbled over in 1909.

Placer Development Limited was incorporated in British Columbia in 1926 and made its first earnings during the 1930s, dredging gold from the gravel of a river in Papua New Guinea, then under Australian mandate. “Placer,” which was Spanish for shoal, referred to water-borne deposits of sand or gravel containing particles of gold or silver. Mining that deposit was no easy task.