Nickel – Page 90 – Republic of Mining

Vale to shut Manitoba nickel smelting, refining in 2018 – by Rod Nickel (Reuters U.S. – November 19, 2015)

November 19, 2015

http://www.reuters.com/

Nov 19 Brazilian miner Vale SA will close its nickel smelting and refining operations in the western Canadian province of Manitoba in 2018, but will continue mining and milling despite the plunge in the price of nickel, a company official said on Thursday.

Vale, the world’s biggest nickel producer, will cease smelting and refining in Thompson, Manitoba, once work is complete to allow it to produce and ship nickel concentrate from its mill, said Mark Scott, Vale’s director of mining and milling in Thompson.

Smelting and refining operations were originally scheduled for closure this year, until the company struck an agreement with workers and Canada’s environment department to keep them running until as late as 2019.

Iron Ore Crisis Could Be Followed By A Nickel Crisis For BHP Billiton And Vale – by Tim Treadgold (Forbes Magazine – November 13, 2015)

November 13, 2015

http://www.forbes.com/

The last thing two of the world’s biggest mining companies, BHP Billiton and Vale , need today is speculation that after the disaster at their jointly owned Samarco iron ore mine in Brazil they might also have to close big nickel-mining operations to stem a tide of heavy losses.

That, however, is precisely what has been suggested by research analysts at the investment bank Credit Suisse who have painted a depressing picture of demand for the metal which is largely used to make stainless steel.

Vale, as well as being the world’s biggest iron ore miner is the world’s biggest nickel producer thanks largely to its 2006 takeover of Canada’s Inco.

BHP Billiton is also a big nickel producer via its Australian business unit, Nickel West. The attraction of nickel to both is that buyers are essentially the same, with companies that buy iron ore also buyers of nickel to make stainless steel.

REFILE- China’s cashed-up Jinchuan unit seeks copper, nickel assets (Reuters U.S. – November 12, 2015)

November 12, 2015

http://www.reuters.com/

Nov 12 (Reuters) – A Hong Kong-based unit of China’s Jinchuan Group is hunting globally for quality copper and nickel assets, leveraging its access to capital at a time when Western rivals are finding it hard to secure finance, its chief executive said.

“People are running out of money. Whether it’s their balance sheets or they just can’t fund their operations, or their projects,” Peter Albert, CEO of Jinchuan Group International Resources, told Reuters on Thursday.

“Companies like ours, who do have access to capital, it’s an opportunity for us.”

Jinchuan International (JCI) is a unit of state-owned Jinchuan Resources, China’s biggest nickel producer and a major copper producer. China has urged its huge SOES to expand overseas for growth to combat struggling activity at home.

[Wallbridge Mining] Sudbury junior joint ventures with Lonmin on Sudbury PGM project – by Ella Myers (Northern Ontario Business – November 2, 2015)

November 3, 2015

Established in 1980, Northern Ontario Business provides Canadians and international investors with relevant, current and insightful editorial content and business news information about Ontario’s vibrant and resource-rich North.

Sudbury’s Wallbridge Mining Company started the next phase of exploration on its Parkin Properties in October, with funding from Lonmin. Wallbridge and Lonmin announced their agreement for the project in mid-September. Lonmin will be funding the project up to $11 million, with the potential to earn up to 50 per cent interest. This was an amendment to their existing North Range Joint Venture agreement (NRJV).

Lonmin is currently Wallbridge’s largest shareholder. The start date of Oct. 1 coincides with the beginning of Lonmin’s fiscal year.

Wallbridge initially worked with Impala Platinum Holdings Limited on the Parkin Properties. Josh Bailey, vice-president of exploration, said that in December, Wallbridge opted to purchase Implats’ 49.6 per cent interest in the joint venture by making cash payments over the next five years.

Can canoeing and mining coexist? Yes: Northland needs both mining and pristine nature – by Karl Everett (Duluth News Tribune – November 1, 2015)

November 2, 2015

http://www.duluthnewstribune.com/

Karl Everett of Duluth is a professional engineer, a geologist and a paddler. He has worked as a senior environmental manager; has consulted for mining and industrial clients; and has worked on many mining, metal and nonmetal projects.

We need mining for jobs and the economy in Minnesota. Mining continues to be one of the largest contributors to Northeastern Minnesota’s economy and directly employs thousands of men and women in high-paying jobs with medical benefits and supports additional people employed by vendors.

Part of the direct impact to the economy includes taxes and royalties paid by the mining industry toward Minnesota’s education.

Environmental management is a worldwide issue. After seeing pictures from Beijing during the Olympics, I think we are better at environmental management than most countries.

Pondering PolyMet, Dayton visits site of South Dakota mining disaster – by J. Patrick Coolican (Minneapolis Star Tribune – October 27, 2015)

October 28, 2015

http://www.startribune.com/

Gov. Mark Dayton returned from seeing the environmental aftermath of the Gilt Edge Mine in South Dakota on Tuesday with strengthened resolve to guarantee environmental and financial safeguards for a mine proposed by PolyMet Mining Corp.

Dayton said all contingencies must be prepared for and be backed by company money in case something goes awry.

“If it does proceed, this emphasized the importance of doing it right with safeguards to make sure something like this doesn’t happen,” Dayton said upon returning. He added that the visit has made him no closer to a decision on the proposed Iron Range copper-nickel mine.

Dayton is visiting two mines this week on the counsel of opponents and supporters of the project to help guide his decision. Gilt Edge, a Superfund site that was once a former gold mine, has cost taxpayers more than $100 million in cleanup and is a model of what PolyMet opponents say could come to Minnesota.

Mining town Kambalda looks to 50th anniversary despite nickel turmoil – by Sam Tomlin (Australian Broadcasting Corporation – October 21, 2015)

October 21, 2015

http://www.abc.net.au/

Amid the toughest downturn the nickel town has ever seen, Kambalda residents say it is only a matter of time before the tide turns.

With an unprecedented slump in the nickel price leading to more than 100 job losses over the past 18 months, and the future of much of its infrastructure called into question, the mining town in Western Australia has faced a recent crisis of confidence.

But as the community looks at ways to celebrate the 50th anniversary of the area’s first nickel mines, locals say the town has plenty of life left in it.

And with the nickel industry starting to show some long-term optimism amid the gloom, they say the turnaround they have been hoping for is not too far away.

While mining has always been a fixture of the landscape, modern Kambalda had its genesis in a chance discovery by two prospectors in 1954.

Miners proving stubborn on output cuts despite price slide – by Eric Onstad (Reuters U.K. – October 21, 2015)

October 21, 2015

http://uk.reuters.com/

LONDON, Oct 21 (Reuters) – Base metal mines dipping into the red are proving unexpectedly resilient against output cuts, which is likely to prolong and deepen already weak prices.

Some mines are resisting cuts in production by hedging when prices pop higher, others are absorbing losses because shutdown costs are even steeper, while fear of painful job losses is keeping still other loss-making operations alive.

The London Metal Exchange index of its six main base metals has shed a fifth of its value over the past 12 months.

In some metals, such as nickel, about half of capacity is loss making after the rout on commodity markets, largely due to fears about slower growth in top metals consumer China.

“Given that so many nickel mines are out-of-the-money, we should reasonably expect to see a large supply-side response,” said analyst Joel Crane at Morgan Stanley.

Glencore likely to cut back nickel production, says analysts – Paul Ploumis (Scrap Monster.com – October 14, 2015)

October 16, 2015

http://www.scrapmonster.com/

After copper and zinc, Glencore may now announce production cut in Nickel, says analysts.

SEATTLE (Scrap Monster): According to analysts speculations, Glencore may cut back Nickel production. The company had earlier announced cuts to its copper and zinc production.

Gavin Wendt, analyst at Minelife commodities noted that cut in nickel output is likely to save millions of dollars for the company and lift the prices of the metal in the process. Production cut by Glencore will have immense impact on global nickel market and could lead to a rally in beaten-up nickel prices, he added.

According to UBS analyst Daniel Morgan, not many nickel miners have resorted to production cuts when compared with other commodities. The notable cut in production so far has come from Canadian Sherritt International Corp. which reduced its nickel production targets in July from earlier estimate of 80,000-86,000 tonnes to 78,000-82,000 tonnes. He added that nearly 50% of the world’s nickel production is at loss at today’s price. Moreover, LME warehouses hold excessive nickel inventory levels of 440,000 tonnes as on date.

[Minnesota] Gov. Dayton traveling to view best and worst of mining – by Josephine Marcotty (Minneapolis Star Tribune – October 15, 2015)

October 16, 2015

http://www.startribune.com/

His visits to Michigan and South Dakota are preparation for PolyMet decision.

Gov. Mark Dayton plans to visit two mines in other states — examples of good and bad environmental outcomes — as he prepares to decide whether Minnesota should move forward with a controversial project proposed by PolyMet Mining Corp. on the Iron Range.

The $650 million open-pit operation would be Minnesota’s first copper-nickel mine. It promises to bring some 300 to 350 jobs to northeastern Minnesota, but it also would bring unprecedented environmental risks to a region known for beautiful lakes and forests.

A 10-year environmental review of the project is due for completion in November, and shortly after that PolyMet is expected to apply for a permit to start construction. Dayton has called it “the most momentous, difficult and controversial decision I will make as governor.”

That’s why he is taking the unusual step of examining mines in other states on Oct. 27 and Oct. 30.

Nickel prices rebound, boosted by speculation of Glencore output cuts – by James Regan and MElanie Burton (Reuters U.K. – October 13, 2015)

October 13, 2015

http://uk.reuters.com/

SYDNEY/MELBOURNE – Oct 13 Nickel prices have rebounded after dropping to a near seven-year low last week, buoyed by market speculation that heavily indebted miner and trader Glencore Plc could curb output following cuts to its copper and zinc production.

Glencore is the world’s fifth-biggest producer of nickel, with operations in Australia, Canada, Norway, New Caledonia, and Dominican Republic, much of which was acquired in its 2013 takeover of Xstrata.

Glencore, whose shares have been hammered by worries about its debt burden, declined to comment on the speculation.

“In nickel, as in copper and zinc, an output cut by Glencore could have an immense impact,” said Minelife commodities analyst Gavin Wendt.

“It would not only send the right message to Glencore’s investors and bankers, it would be saving the company money and probably lift the nickel price in the process.”

BHP Billiton exec talks up Nickel West prospects – by Barry Fitzgerald (The Australian – October 9, 2015)

October 9, 2015

http://www.theaustralian.com.au/

BHP Billiton has served up a surprise by talking up the prospects of its Nickel West division in the face of depressed prices for the stainless steel ingredient.

Nickel West is the price-challenged division BHP withdrew from sale last year after failing to attract reasonable offers, and it is the division that was not good enough to be included with the other non-core assets spun off by BHP into South32 earlier this year.

Because Nickel West was seen internally as doubly non-core to BHP, it was to be run for cash and would not receive new investment, raising fears that the once proud business — spawned during the Poseidon nickel boom and a cornerstone of BHP’s 2005 acquisition, WMC — would be left to wither on the vine.

But at the Australian Nickel conference in Perth, Nickel West’s new asset president, Eddy Haegel, said there was a now sense of “nervous excitement’’ in the division. He said Nickel West had embarked on a journey to reinvent itself by adopting a junior miner mindset, while remaining inside the world’s biggest mining company.

Nickel to rise above $20,000/tonne by 2017 – Alto Capital (Mineweb.com – October 8, 2015)

October 8, 2015

http://www.mineweb.com/

A longer-term perspective supports price appreciation.

A bullish outlook that will see nickel climb out of its current price slump and double in value to in excess of US$20,000 a tonne before March 2017, has been forecast today by market observer, Alto Capital.

Addressing the Paydirt 2015 Australian Nickel Conference in Perth today, Alto Capital research analyst, Mr Carey Smith, said that while the sector was under substantial cost and price pain, nonetheless the trend factors and outlook were far more substantial than they appeared.

“The nickel market has been dismal due to a recipe of stockpiles are up, production is up and demand is down,” Mr Smith said.

“However, going forward, stockpiled Indonesian high grade laterite nickel in China has all been consumed, China Nickel Pig Iron (NPI) production is in decline, global nickel supply is decreasing with only Independence Group’s Nova Bollinger project on the horizon and most producers/miners are losing money – so they will minimise their operations and/or get out of the game,” he said.

For Environmentalists, Mines Near Wilderness Are Too Close For Comfort – by Kylie Mohr (National Public Radio – October 3, 2015)

October 5, 2015

http://www.npr.org/

Amy and Dave Freeman are willing to risk brutal winters, thin ice and hordes of hungry mosquitoes to raise awareness about impending mining operations on the border of public lands in northern Minnesota.

A year without a shower takes a tremendous amount of dedication and passion. Why do the Freemans believe the Boundary Waters Canoe Area Wilderness is worth the sacrifice?

“The Boundary Waters belong to all of us. It’s a national forest, it’s federal lands. It’s like a Yellowstone or a Yosemite,” Dave says. “There’s no other place like it on Earth.”

Amy, 33, and Dave, 39, are no strangers to strenuous outdoor adventures. Last year, they paddled and sailed from Ely, Minn., to Washington, D.C., a grand total of 101 days and 2,000 miles on the water, to raise awareness for the Boundary Waters. Their boat acted as a petition, garnering the signatures of thousands of people who oppose sulfide mining in northeastern Minnesota.

NEWS RELEASE: Horizonte consolidates Araguaia nickel project through acquisition of Glencore project

September 28, 2015

/PUBLICATION, RELEASE OR DISTRIBUTION, DIRECTLY OR INDIRECTLY, IN THE UNITED STATES OR ANY OTHER JURISDICTION IN WHICH SUCH PUBLICATION, RELEASE OR DISTRIBUTION WOULD BE UNLAWFUL./

LONDON, Sept. 28, 2015 /CNW/ – Horizonte Minerals Plc, (AIM: HZM, TSX: HZM) (‘Horizonte’, ‘HZM’ or ‘the Company’) the nickel development company focused in Brazil, is pleased to announce that it has reached agreement to indirectly acquire through wholly owned subsidiaries in Brazil the advanced high-grade Glencore Araguaia nickel project (‘GAP’) in north central Brazil (the ‘Proposed Transaction’). GAP combined with Horizonte’s 100% owned high-grade Araguaia nickel project (‘Araguaia’ or ‘Araguaia Project’) creates one of the world’s largest nickel saprolite projects in terms of size and grade, in a premier mining jurisdiction that has a defined path to feasibility.

Highlights

The combination of GAP and Horizonte’s Araguaia Project will create one of the largest saprolite nickel projects in the world (the “Enlarged Project”).
Additional resources with potential to provide ore grading 2% nickel for the first 10 years of mine life.
Higher nickel grades are expected to improve project economics delivering a shorter capital repayment period and a lower break even nickel price.
Upfront consideration on closing of US$2M to be satisfied through issue of HZM shares.
Total acquisition cost US$8M.
Placing of new shares to raise £1.55M through existing cornerstone shareholders.