Archive | Junior Exploration Sector

Ex Glencore bosses try to snatch nickel asset – by Sarah Thompson and Anthony Macdonald (Australian Financial Review – August 19, 2018)

Mining giants Glencore and Barrick could have a prospective nickel and cobalt project taken from under their nose, if plans being hatched by ASX-listed Jervois Mining come to fruition.

As first reported by Street Talk on Sunday, Jervois has been making moves to win control of the Kabanga nickel and cobalt project in Tanzania, after the host government cancelled Glencore and Barrick’s joint hold of it in January.

The January cancellation was part of a broader push by the government to get a bigger share of its mineral wealth, but Glencore and Barrick have been upbeat in recent times about their chances of winning a fresh permit to explore and develop the asset. Continue Reading →

Ontario is a tough place to do mineral exploration – by Ian Ross (Northern Ontario Business – August 8, 2018)

Prospectors’ group wants revisions in provincial plans, permitting process to attract investment, improve Indigenous relations

An onerous permitting process, Indigenous relations and project financing continue to be a hindrance to Ontario’s exploration and prospecting community. Growing wait times for exploration permitting in Ontario and other provinces were the subject of a Fraser Institute report released in July.

The survey of mining executives, conducted in 2017, indicated industry and investors were losing confidence in the province’s exploration permitting regime with applications taking longer to be processed and approved.

The polling was done before the province officially made the switch from traditional claim staking to digital map staking earlier this year. Continue Reading →

Ontario court dismisses junior miner’s exploration permit over failure to consult – by Robert Hiltz (CIM Magazine – August 08, 2018)

Landore Resources and Ontario mines ministry failed to properly consult Eabametoong First Nation over drilling permit, court rules

The Ontario Superior Court threw out a junior mining company’s permit for drilling work on Eabametoong First Nation’s traditional territory in northern Ontario after ruling that the company and the province had failed in their duty to adequately consult with the Nation.

Justice Harriet Sachs wrote in a mid-July ruling that Landore Resources Canada and Ontario’s Ministry of Northern Development and Mines (MNDM) did not meet the required level of consultation to be seen as “upholding the honour of the Crown” when dealing with Eabametoong.

The judge wrote that both Landore and the MNDM dealt with Eabametoong in an opaque way that left the First Nation in the dark about why and how decisions were being made, and excluded them from parts of the process. Continue Reading →

The cobalt blues: A rival closes in on Vancouver’s eCobalt amid delays and shareholder backlash – by Gabriel Friedman (Financial Post – July 31, 2018)

The more cobalt prices rise, the more pressure companies with cobalt projects face. On Monday, Vancouver-based eCobalt Solutions Inc. found itself under siege from Australian rival Jervois Mining Ltd, which announced it has acquired 4.7 per cent of its shares — the potential rumblings of a hostile take over.

The announcement comes two days after Australian hedge fund Tribeca Investment Partners sent a stern letter to eCobalt’s board, rebuking its management for “unnecessary” delays and mistakes as it seeks to build a cobalt mine in Idaho.

The letter, obtained by the Financial Post from an industry insider, highlights the eCobalt’s struggling stock price, calling for a sale of the company and a change in management. Continue Reading →

Newmont Mining buys stake in Canadian gold project (Reuters/Globe and Mail – July 26, 2018)

Newmont Mining Corp, which topped Wall Street estimates for quarterly profit, said on Thursday it would acquire a 50 percent stake in a gold project in Western Canada as miners look for new reserves.

Major gold miners are racing to explore, expand and construct new mines as years of belt tightening have left them with diminishing reserves at their existing mines.

Newmont would pay $275 million to Novagold Resources Inc for its stake in the Galore Creek project. The remaining stake is held by Teck Resources Ltd. Continue Reading →

Ontario court quashes gold mining permit over lack of meaningful consultation with First Nation – by Jorge Barrera (CBC News Indigenous – July 17, 2018)

Court says company’s potential Barrick deal drove ministry’s decision to issue exploration permit

A ruling issued Monday by the Ontario Superior Court quashing a gold exploration permit should send a message to the new Doug Ford government that it can’t “bulldoze” its way into the mineral-rich Ring of Fire development, says the chief of Eabametoong First Nation.

The Ontario Superior Court said in the ruling that the Ministry of Northern Development and Mines, under the previous Liberal administration, failed to properly consult with Eabametoong First Nation before it granted a gold mining permit to Landore Resources Canada, a subsidiary of U.K.-based Landore Resources Ltd.

The court found that the ministry “changed course without any explanation” to the First Nation and issued the permit to ensure Landore had it in hand for talks on a potential deal with gold mining behemoth Barrick Gold Corporation. Continue Reading →

Court cancels mining permit after Ontario failed to adequately consult First Nation community – by Gloria Galloway (Globe and Mail – July 18, 2018)

A permit for mineral exploration on the traditional territory of a remote First Nation has been cancelled by judges who say the Ontario government and the mining company failed to adequately consult with Indigenous people who hunt and fish in the area.

The decision issued this week by a three-judge panel of the Divisional Court of Ontario’s Superior Court of Justice reinforces the obligation of governments to reach out to First Nations, Inuit and Métis when development could affect their way of life.

The court said Landore Resources Canada will have to complete consultations with the Eabametoong First Nation before a permit can be issued for the company’s claim near Keezhik Lake in Northwestern Ontario. Continue Reading →

[Alexandria Minerals Proxy Fight] How a penny stock miner came to face a multimillion-dollar problem – by Jennifer Wells (Toronto Star – July 18, 2018)

It’s tough to get anyone to pay attention when you’re running a four-cent stock. But then the name Sprott Inc. shows up. And Institutional Shareholder Services. And Glass Lewis. And Joe Groia, the lawyer. And Navigator, the crisis management firm. And a wagonload of mud slinging. And a full-on proxy fight with a voting deadline of this week.

All of which leads the reasonable person to ask: what the heck is going on here? The company in question: Alexandria Minerals Inc., a penny miner with dreams of gold. The agitator: geologist and ousted CEO Eric Owens, who founded the company more than a decade ago.

Owens found himself turfed from the firm in February four days after he publicly announced his intention to call a shareholder meeting to remove three board members, in what the chairman of the board calls a “costly and distracting proxy fight.” Continue Reading →

Nautilus Minerals tanks on shipbuilding contract cancellation – by Cecilia Jamasmie ( – July 4, 2018)

Shares in Canada’s Nautilus Minerals (TSX:NUS), one of the world’s first seafloor miners, were hit hard on Wednesday after the owner of the shipyard where the company’s support vessel is being made said it had cancelled the contract with the supplier chosen by Nautilus to build its ships.

The Toronto-based company, which is in the last stages of developing its Solwara 1 gold, copper and silver project, off the coast of Papua Guinea, said Fujian Mawei Shipbuilding’s decision was in response to shipbuilder MAC Goliath Pte’s failure to pay the third instalment of the contract price — $18 million before interest.

The company’s stock fell almost 19% in Toronto on the news, hitting 15 Canadian cents at 12:21 PM local time, but between the average range it’s traded so far this year. In the last seven years, however, Nautilus’ shares have sunk around 90% and is now valued at just over Cdn $111 million. Continue Reading →

Forging new bonds with First Nations: Indigenous-led AurCrest Gold sees a shared future with remote communities in northwestern Ontario – by Ian Ross (Northern Ontario Business – July 5, 2018)

A pioneering First Nation-led gold exploration and sustainable energy company has moved beyond having a social licence to operate by forging deeper bonds with remote communities.

When Chris Angeconeb took the helm as AurCrest Gold’s president and CEO in March 2017, he was determined to build upon the good faith relationships the company had fostered with First Nation communities in northwestern Ontario, and then take it a step farther.

When Angeconeb joined the Toronto junior miner as a director in 2011, his knowledge of mining was limited. A handful of his uncles and cousins had worked in the industry and he’d received an earlier indoctrination while taking a course at Algoma University in Sault Ste. Marie taught by MiningWatch co-founder Joan Kuyek. Continue Reading →

Critical Minerals Alaska – Chromite – by Shane Lasley (North of 60 Mining News – June 28, 2018)

Essential stainless-steel ingredient mined in Alaska during both World Wars

A vital ingredient in stainless steel and superalloys, chromium is considered by the United States Geological Survey as “one of the Nation’s most important strategic and critical materials.”

“Because there is no viable substitute for chromium in the production of stainless steel and because the United States has small chromium resources, there has been concern about domestic supply during every national military emergency since World War I,” the USGS explains.

Rich chromite deposits on Alaska’s Kenai Peninsula were able to ease some of these concerns by providing a domestic supply of chromite, the only mineral of chromium metal, to help fill America’s increased demand for chromium during both World Wars. Continue Reading →

Why Arizona Mining executives want to cash out early from one of the world’s top 5 mining projects – by Gabriel Friedman (Financial Post – June 19, 2018)

In one of the largest mining deals this year, the board of directors of Arizona Mining Corp., which is developing a zinc, lead and silver mine near the U.S.-Mexico border, agreed to a $1.8 billion buyout by Australia’s South32 Ltd.

The all-cash bid of $6.20 per share represents a roughly 50 per cent premium on Arizona’s Friday’s trading price — which has hovered around $4 for most of the year. The Vancouver-based company’s stock surged 48 per cent to $6.13 on the news in Toronto on Monday. South32 was down 1.6 per cent in Sydney.

The deal comes as the prices of zinc, silver and lead have been sliding, while trade tensions mount, casting doubt on global economic growth. Continue Reading →

Australia’s South32 bids $1.3 billion for rest of Canada’s Arizona Mining – Staff (Reuters U.S. – June 17, 2018)

MELBOURNE (Reuters) – Australia’s South32 Ltd has bid $1.3 billion to take full control of Arizona Mining, offering a hefty premium for the Toronto-listed firm which is developing zinc, lead, manganese and silver assets.

The offer of C$6.20 per share was pitched at a 50 percent premium to Arizona’s last close and implies a total equity value for Arizona Mining of $1.6 billion, South32 said in a statement. The Australian firm already holds a 17 percent stake in Arizona.

The directors of Arizona Mining, which owns the Hermosa Project in Arizona near the border with Mexico, unanimously recommended that shareholders vote in favor of the transaction, South32 said. Continue Reading →

Vale in deal with two Canadian companies to sell cobalt – by Nicole Mordant (Reuters U.S. – June 11, 2018)

(Reuters) – Brazil’s Vale on Monday unveiled a $690 million financing to expand a Canadian nickel mine, agreeing to sell unmined cobalt from Voisey’s Bay as a booming electric vehicle market propels demand for the critical battery ingredient.

Vale said it would sell cobalt mined after 2021 as a by-product from the mine in Canada’s northern Labrador region to Wheaton Precious Metals Corp and Cobalt 27 Capital Corp in a so-called stream financing deal.

The transaction is the world’s biggest cobalt stream to date, a form of alternative financing that allows an investor to make an upfront payment in exchange for future production at a discounted price. Continue Reading →

How technology has driven a stake through tradition of mining claims – by Gabriel Friedman (Financial Post – June 5, 2018)

Prospectors once tramped deep into the bush for months at a time, driving wooden stakes to stake their claim. Now they just click a mouse

TEMISKAMING SHORES — About two decades ago, Glenn McBride found himself in one of the most remote parts of northern Quebec. Surrounded by forests and marsh near the Davoust River, there were zero roads, zero towns and exactly zero development.

A fleet of 12 helicopters had dropped McBride and about 80 other men into the bush to whack a path through the thicket and swamps in one of the last great staking rushes in Quebec. Staking a claim is what it sounds like: gaining the exclusive right to explore for minerals on a defined plot of land. All Crown land, as well as some private land, can be staked for a fee.

For most of the past century, the staking process stayed pretty much unchanged. A person could stake land by driving four-foot-high squared-off posts into the ground at each corner of the desired plot, and then cutting a path through the trees to mark the claim’s boundaries. Continue Reading →