Ontario Mining – Page 206 – Republic of Mining

Transition Metals announces new platinum discovery near Thunder Bay – by Henry Lazenby (MiningWeekly.com – January 27, 2014)

January 28, 2014

http://www.miningweekly.com/page/americas-home

TORONTO (miningweekly.com) – Project generator Transition Metals on Monday announced that a recent drilling campaign in partnership with South Africa’s Impala Platinum Holdings, at its 50%-owned Sunday Lake project, near Thunder Bay, Ontario, has confirmed platinum-group metals mineralisation.

TSX-V-listed Transition said that of the six diamond drill holes completed, for a total of 2 546 m, four returned intersections containing significant platinum-rich mineralisation, including hole SL-13-002, which intersected 20.2 m containing 3.22 g/t of combined precious metals platinum, palladium and gold (PGMs).

Transition president and CEO Scott McLean told Mining Weekly Online from the sidelines of the Mineral Exploration Roundup 2014, being held in Vancouver, that the company had found a large intrusion similar to other intrusions in the area that were known to be mineralised.

Those intrusions included Panoramic Resources’ nearby Thunder Bay North PGM project, Rio Tinto’s Tamarack, in Minnesota, and Lundin Mining’s Eagle mine, in Michigan, to which the Sunday Lake project had shown similarities.

KGHM International to cut back at Sudbury mine – by Carol Mulligan (Sudbury Star – January 28, 2014)

January 28, 2014

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

Employees at KGHM International’s McCreedy West Mine are waiting to learn their fate after hearing from company officials last week that as many as 70 of 100 members of United Steelworkers Local 2020 could be laid off Feb. 16.

Local 2020 members were told Jan. 17 that Glencore Xstrata’s Sudbury Integrated Nickel Operations was exercising the 30-day cancellation clause in its commercial contract with KGHM to process McCreedy West nickel ore. KGHM spokeswoman Kristina Howe said Glencore indicated that its processing facilities are at capacity and that it has a surface capacity, so it didn’t require additional custom feed ores for its mill.

“This has been a positive working relationship with Glencore, and the commercial arrangement, which has been in place since 2011, has allowed McCreedy to continue to mine nickel,” Howe said in an email. As a result, KGHM will have to figure out “the economics of continuing with the mine … if we can’t have our ore processed,” she said.

USW area co-ordinator Myles Sullivan said Local 2020 members were told that a large portion of McCreedy West was going to be closed and that a small zone would continue to operate with a reduced number of workers.

Ontario serves up miner with Statement of Defence – Ian Ross (Northern Ontario Business – January 27, 2014)

January 27, 2014

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. Ian Ross is the editor of Northern Ontario Business ianross@nob.on.ca.

The Ontario government says it’s not liable for any damages incurred by a Sudbury-based junior miner after a dispute between the company and First Nation forced it to abandon exploration work in northwestern Ontario.

The province submitted its Statement of Defence with the Ontario Superior Court of Justice on Jan. 21 in response to a $110-million lawsuit filed against the Crown last October by Northern Superior Resources (NSR).

The company accuses the government of failing in its legal duty to consult with the Sachigo Lake First Nation after a series of disagreements with the band caused the company to suspend exploration on a promising gold property in late 2011.

In an 18-page document outlining its position and version of the chain of events, the government calls the company’s claims for compensation “exaggerated, excessive, remote” and said they should be dismissed.

Stillwater re-evaluates Marathon PGM mine – by Ian Ross (Northern Ontario Business – January 24, 2014)

January 24, 2014

The construction of an open-pit base metals mine near the shores of Lake Superior could be three years away at the earliest, said the Montana mining company that is developing it.

“It is unlikely we will do anything on this in the very near term,” Mick McMullen, president and CEO of Stillwater Mining Company, told industry analysts in a Jan. 21 conference call on its Marathon PGM (platinum group metals) project.

The Billings-based miner said Marathon is undergoing a strategic review as the company laid out a 2014 strategy that’s focussed on investing in proven assets that make money for shareholders.

If Marathon meets certain financial hurdles, McMullen said the best case scenario is that construction could begin “within the next three years,” subject to the issuance of permits.

OMA NEWS RELEASE: Legislative Interns take to mining issues

January 24, 2014

This article was provided by the Ontario Mining Association (OMA), an organization that was established in 1920 to represent the mining industry of the province.

This year’s group of Ontario Legislative Interns appears to have taken on a keen interest in mining and mineral industry issues. Recently, two Ontario Mining Association staff members met with the 10 participants in the 2013-2014 Ontario Legislative Intern Program (OLIP) at Queen’s Park to discuss mining in Ontario and politics.

This program was established in 1975 and it welcomed the first group of interns at Queen’s Park in September 1976. OLIP is administered by the Canadian Political Science Association and it is supported financially by a grant from the Legislative Assembly and donations from private sponsors including several OMA member companies. It is open to candidates who are recent graduates of Canadian universities with an interest in and knowledge of the legislative process.

The program is designed to provide backbench Members of Provincial Parliament with highly qualified assistants. In turn, the interns gain practical experience in the day-to-day workings of the Legislature and supplement their academic training.

Why are Canadians ignoring the ‘North below the North’? – by Ken Coates (Globe and Mail – January 23, 2014)

January 23, 2014

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.

The Arctic Frontiers conference underway this week in Tromso, Norway, has attracted more than 1,000 registrants from around the Circumpolar world. The turnout is further distinguished by the impressive roster of participants, from the prime ministers of Norway and Greenland, many of the most powerful cabinet ministers responsible for Arctic affairs, and hundreds of the world’s leading Arctic scientists and social scientists. Arctic Frontiers is a sign, if one were needed, that this is the age of the Arctic.

Beyond Prime Minister Stephen Harper’s continued interest in the far North, Canadians certainly share the global preoccupation with the circumpolar world. There are good reasons, given climate change, boundary disputes, the Arctic’s resource potential, political transitions underway across the region and the curious mix of opportunity and crisis that permeates the Arctic.

But something important is missing. The North below the North, the vast expanse of the sub-Arctic that lies in the northern reaches of the provinces, attracts no comparable interest. From Labrador through to northern British Columbia, the “forgotten North” is at once the powerhouse of the Canadian economy and one of the most marginalized and troubled parts of the country.

Horwath doesn’t tip hand during Sudbury visit [Ring of Fire] – by Carol Mulligan (Sudbury Star – January 23, 2014)

January 23, 2014

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

Andrea Horwath won’t outright say she expects a spring election. But her New Democratic Party is about to start consultations with Ontarians from which the party will take its cues about whether to support another Liberal budget.

Before the last two Liberal minority government budgets, the NDP held town hall meetings and telephone town halls, conducted online surveys, while MPPs held meetings with constituents to get feedback on what they wanted from government in a budget.

“The people of Ontario chose a minority government,” Horwath said Wednesday in Sudbury. “We’ve done everything we could to make that government deliver for them.” Her party will seek that feedback again to inform its decision-making around the next budget process, expected shortly after the Legislature resumes Feb. 18.

Horwath was in Sudbury to meet with Sudbury riding candidate Joe Cimino and attend a fundraiser. While here, she toured Stack Brewery on Kelly Lake Road, where she said it was heartening to see entrepreneurs like owner Shawn Mailloux helping to diversify Sudbury’s economy.

Gold junior wants government settlement after First Nation conflict – by staff (Northern Ontario Business – January 21, 2014)

January 21, 2014

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.

A Sudbury-based junior mining company isn’t ruling out a settlement agreement with the province to relinquish its claims on its dormant gold properties in northwestern Ontario after a dispute with a First Nation community.

Northern Superior Resources is suing the Ontario government for $110 million for failing to consult with the Sachigo Lake First Nation after multiple disagreements with the band caused the company to abandon exploration on its mining claims in late 2011.

“I have no ambition to go to court,” said company president and CEO Tom Morris. “It serves no purpose to any party. But we do need to get this resolved.” The gold exploration outfit claims the company was hurt by the inaction of the Ontario government and wants compensation for the $15 million invested in exploration since 2005 as well as the estimated value of its three gold properties located near the Manitoba border.

Northern Superior filed a statement of claim with the Ontario Superior Court last October. The company accuses the province of failing to protect its interests in a remote area of Ontario that’s become a hotbed for First Nation-industry conflict in recent years.

Anishinabek seek mining capacity – by Marlene Bilous (Anishinabek News – January 20, 2014)

January 20, 2014

http://anishinabeknews.ca/

Anishinabek First Nations involved in mining issues are united in expressing their need for increased capacity at the local level in order to handle the increased paper burden caused by new mining regulations.

“Why is MNDM (Ontario Ministry of Northern Development and Mines) not providing our five First Nations — as designated with high mining needs by MNDM — with a person for each of us?” Regional Grand Chief Peter Collins asked at October’s mining workshop for Northern Superior communities. “We have issues with the short notice period for claim staking and the very short response period for exploration plans and exploration permits.

“We are short of capacity at present and bogged down with paperwork and need at least one person for each First Nation in order to process all this extra paperwork required by the new mining regulations. We have a shortfall as there is mining exploration happening all across the territory. Furthermore, how do the other communities get on this list as many of the Northern Superior First Nations deal with mining?”

Participants at mining workshops in the four Anishinabek Nation regions all echoed the need for increased capacity at the First Nation level in order to protect Anishinabek and treaty rights and respond to the strict timelines required by Ontario’s new mining regulations.

Ring of Fire negotiations making good headway – by Laurel J. Campbell (North Bay Nipissing News – January 16, 2014)

January 17, 2014

http://www.northbaynipissing.com/northbaynipissing/

NORTH BAY – Former Liberal leader Bob Rae says the Ring of Fire has high quality natural resources and shows great potential “but it’s how we take advantage of this potential that counts.”

Rae was in the city on Jan. 9 as the keynote speaker for the Northern Gateway Branch of the Canadian Institute of Mining’s annual meeting and luncheon held at the Davedi Club.

Rae is currently negotiating with the Province of Ontario for First Nations communities that will be impacted by the Ring of Fire development project, a contract he started last summer.

As such he represents nine different communities and says they have concluded discussions about the regional framework around the proposed Ring of Fire. “I can’t be more specific than that, but we are making really good progress.”

He told the mining company representatives at the meeting that First Nations communities, and others in the Ring of Fire area “should be able to benefit economically through resource revenue sharing.

De Beers starts environmental studies at Attawapiskat mine – (CBC News Sudbury – January 16, 2014)

January 17, 2014

http://www.cbc.ca/sudbury/

De Beers is moving ahead with environmental studies on expanding its diamond mine in Attawapiskat.

Company spokesman Tom Ormsby said this is still early days, but he said there have been preliminary discussions with the Cree community about what this project, called the “Tango” extension would mean.

“We’re committed to staying the course here with the community and hopefully extending this mine.” Ormsby said De Beers and Attawapiskat appear to have moved past tensions related to roadblocks of the existing Victor mine from last winter.

He says if the diamond mining company goes ahead with this new project, there could be a re-negotiating of the impact benefit agreement with the James Bay first nation.

“We’re not there yet. We hope to make this go, but there’s still some hurdles we need to accomplish to get various approvals and the final data to say ‘Yes, this is going to be economic’,” Ormsby said.

If all goes well, he said, mining at the Tango site near Attawapiskat would begin in 2018.

Quebec’s Osisko comes out fighting against Goldcorp bid (CBC News Business – January 15, 2014)

January 16, 2014

http://www.cbc.ca/news/business

Calls $2.6B offer for gold miner too low and opportunistic

Osisko Mining Corp. is calling a hostile takeover bid for the company by Goldcorp Inc. “very low” and opportunistic. Company CEO Sean Roosen said Wednesday the Osisko board is continually seeks value for its shareholders.

“We’re shareholders of the company ourselves. We’re focused on shareholder value 365 days a year and seven days a week. We look at our valuations on a constant basis and so does our board,” Roosen said in an interview with CBC’s The Lang & O’Leary Exchange.

“Osisko’s board of directors noted that the 15 per cent premium to Osisko’s unaffected share price implied by Goldcorp’s offer is very low and the price opportunistic in light of Osisko’s proven high quality asset base,” the company said in a statement.

Osisko urged shareholders to hold off from accepting the $2.6-billion bid until the board, which has formed a special committee including five independent members to review the offer, makes a recommendation on the proposal.

NEWS RELEASE: Future demand for mineral and metal products

January 15, 2014

This article was provided by the Ontario Mining Association (OMA), an organization that was established in 1920 to represent the mining industry of the province.

Okay, it looks like all the votes have been counted. It appears that experts, pundits, industry insiders and outsiders alike are almost unanimous in concluding that 2013 was not a great year for the mining industry around the world. Canada’s mining industry did not escape from the grips of downward trends.

Impacting Ontario’s mining industry particularly hard was the 20% decrease in nickel prices through 2013 and the 30% drop in gold prices. By value in recent years, gold accounts for about 42% of Ontario’s total metal production and 28% of the province’s total mineral production (metals and non-metals). Also, in recent years by value, nickel in an average year accounts for 22% of Ontario’s metal production and 13% of total mineral production.

On a global basis, the general consensus was that the slowdown in China’s economy in 2013 cast a broad shadow over global mineral production. Lessening demand lead to lower prices and companies found themselves struggling with controlling costs and boosting productivity.

New hoist, shaft hoped to push palladium miner toward profitability – by Ian Ross (Northern Ontario Business – January 13, 2014)

January 14, 2014

North American Palladium (NAP) is taking a breather before taking another deep dive at its Lac des Iles (LDI) mine in northwestern Ontario. The Toronto-based miner has chosen to take a sideways approach to extend the longevity and curb spending at its flagship property, northwest of Thunder Bay.

At the same time it was commissioning a new shaft and hoist last October, NAP announced it was deferring a second phase of mine expansion in the belief there’s more mineable and cheaper cost ore closer to surface.

“We had some encouraging exploration results and it shows some potential near-surface opportunities that we are looking at closely and investigating,” said NAP president-CEO Phil du Toit, “because closer to surface helps operating costs.” The company reported a $5.2-million loss in its third quarter, an improvement over the $8 million lost during the same period in 2012.

Goldcorp bid as good as it gets for Osisko: analysts – by Liezel Hill and Andy Hoffman (Bloomberg News/Montreal Gazette – January 14, 2014)

January 14, 2014

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

TORONTO — Osisko Mining Corp. investors wagering on a higher bid than Goldcorp Inc.’s $2.6-billion offer have few places to look other than Goldcorp itself.

Osisko closed yesterday 5.5 per cent above the C$5.92 a share value of Goldcorp’s unsolicited cash-and-stock offer. Based on closing prices before the deal was announced, the premium was 15 per cent, which could be viewed as low compared with historical gold-sector standards and might need to be raised to win over Montreal-based Osisko’s shareholders, said Michael Parkin, an analyst at Desjardins Group.

“There is room for Goldcorp to raise the bid, if needed,” Parkin said yesterday in a note. “With our view of a low potential for an emergence of a white knight, we view Goldcorp’s initial bid as a smart starting point.”

Gold-mining companies are reassessing their businesses following the biggest annual drop in the gold price in more than three decades. The companies are close to their cheapest relative to book value in at least two decades, according to data compiled by Bloomberg, providing opportunities for producers looking to replenish their reserves and acquire more profitable mines.