Republic of Mining

And then there was one: Final CEO who made climate deal with Notley left to defend it – by Claudia Cattaneo (Financial Post – June 21, 2017)

June 21, 2017

http://business.financialpost.com/

With Brian Ferguson leaving as CEO of Cenovus Energy Inc. following a disastrous oilsands acquisition, only one of the four top oilsands leaders who made a secret deal with Alberta NDP Premier Rachel Notley to support her climate change agenda — including a hard cap on oilsands emissions of 100 megatonnes a year — is still around to defend it.

Of the four executives on the stage with Notley during the announcement 18 months ago, Lorraine Mitchelmore left as president of Shell Canada and was replaced by Michael Crothers, who sold Shell’s oilsands business to Canadian Natural Resources Ltd. Murray Edwards, the billionaire oil investor and top shareholder of Canadian Natural, moved to the U.K. and has become disengaged from the Canadian oilpatch, though he remains the company’s chairman.

Cenovus announced Tuesday that Ferguson will retire Oct. 31 and that it will search for a new leader. With its stock price shattered by the US$13.3-billion acquisition of ConocoPhillips’ oilsands assets, Cenovus is now vulnerable to being taken over at a bargain-basement price — if there’s still appetite for oilsands companies given Notley’s punishing carbon reduction regime.

Mining Charter `Little Benefit’ to South Africans, Group Says – by Paul Burkhardt (Bloomberg News – June 20, 2017)

June 20, 2017

https://www.bloomberg.com/

South Africa’s new mining charter, which is supposed to help spread the country’s mineral wealth more broadly, will offer little benefit to mining communities and was written without proper consultation, according to a group formed by Nobel laureate Desmond Tutu.

The charter, published June 15 by Minerals Minister Mosebenzi Zwane, increases the requirement for black ownership in local mining assets to 30 percent. Producers that don’t already comply with the prior minimum of 26 percent must sell at least 8 percent of their total shares to nearby communities as part of efforts to achieve the 30 percent.

Zwane’s Department of Mineral Resources “is guilty of misleading the public in claiming it has consulted communities” before gazetting the charter, and the document’s flaws and lack of clarity are likely to result in protests, said John Capel, executive director of the Johannesburg-based Bench Marks Foundation, which monitors corporate social responsibility.

Uranium mine ban for WA but existing four projects allowed to proceed – by Eliza Laschon and Courtney Bembridge (Australian Broadcasting Corporation – June 20, 2017)

June 20, 2017

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

The WA Government has delivered on an election commitment to ban uranium mining, but it will not stop four projects that already had approval from proceeding. A ban on uranium mining takes effect from today, with the exception of the four projects.

They are Cameco’s Kintyre and Yeelirrie projects, Vimy Resources’ Mulga Rock project and Toro Energy’s Wiluna project. Toro’s Wiluna project was the first to be approved in 2012, while Mulga Rock received approval last year.

Cameco’s Yeelirrie mine was initially knocked back by the Environmental Protection Authority due to the threat it posed to microscopic stygofauna present at the site. But those concerns were dismissed by former state development minister Bill Marmion, who overruled the EPA’s decision and approved the mine in January.

A real world education: Temagami pit reopening for aggregate production – by Ian Ross (Northern Ontario Business – June 19, 2017)

June 20, 2017

https://www.northernontariobusiness.com/

A once-dormant Temagami aggregate pit could become a beehive of activity this year. Randy Becker, a member of the Temagami First Nation and the new operator of the Frontenac pit, has ambitious plans to use the property as an active exploration site for base metals, establish an aggregate extraction operation, and utilize the site as a training ground for future Indigenous diamond drilling assistants and heavy equipment operators.

The former municipal pit is located just south from the Town of Temagami and west of Highway 11 at the 12-kilometre mark of the Lake Temagami Access Road. The permit to operate the pit was transferred to one of Becker’s companies, Nimkie Mining Services.

To advance the multi-faceted development, Becker has struck a number of agreements with business partners including Asabanaka Drill Services, a majority First Nation-owned outfit out of Kasabonika Lake First Nation, to assist with the startup of a 10-week diamond driller training course.

Failure of Water Treatment Plant at B.C. Coal Mine Raises Downstream Concerns – by Tristan Scott (Flathead Beacon – June 20, 2017)

June 20, 2017

As British Columbia’s downstream neighbour, Montana has long been concerned about mining pollution spilling across the international border and into its world-class watersheds — fears that a growing body of research and evidence confirms are well founded.

Most recently, conservation groups and scientists on both sides of the border have renewed their calls for Teck Resources to halt new coal mines in the Elk River Valley, a step they say gained urgency when an experimental water treatment facility designed to stem the flow of a mining contaminant called selenium was taken offline because it was releasing an even more biologically toxic form of the heavy metal.

The trouble brewing in the Elk River is equally worrisome for Montana, where the upstream waterways of British Columbia flow into two shared bodies of water straddling the international boundary — Lake Koocanusa and the Kootenai River.

Minnesota officials tried to avoid another mining failure – by Don Davis (Duluth News Tribune – June 19, 2017)

June 20, 2017

http://www.duluthnewstribune.com/

ST. PAUL — Minnesota leaders hope a lease they are offering to a new mining company will reverse a decade of frustrating failure in one area they felt held lots of promise.

Officials who feel they were burned by Essar Steel Minnesota, which did not fulfill state taconite mining requirements, then declared bankruptcy, on Monday, June 19, folded what they hope are iron-clad guarantees into a new mineral lease. They hope the new mining company will produce taconite and turn it into an in-demand iron product where Essar Steel failed for years.

Also Monday, it appeared the White House is on the cusp of a major decision about whether to impose new restrictions on steel imports, a choice that has divided President Donald Trump’s administration while sparking global fears about a burgeoning trade war. Steel imports have been blamed for recent years’ economic woes on northeast Minnesota’s Iron Range, where taconite is told to produce steel elsewhere.

History of Mining – Stewart, B.C. (Python Mining Consultants – 2010)

June 20, 2017

Above Video: From the 1970’s CBC series ‘The Northerners’ with host Bob Switzer, remarkable footage of early gold and silver miners in the Stewart area, Anyox and Kitsault.

http://www.pythongroup.ca/

Stewart, B.C. is a small town tucked at the head of the Portland Canal District, in British-Columbia. The town was once as large as 10,000 people before the First World War yet now holds less than 500 permanent residents. This is largely due to the fact that the town once had an active mining industry. That is no longer the case today. This article looks to outline the mining activities that occurred in and around Stewart, B.C. in the past.

Exploration in the area began in 1898, when a group of 68 prospectors travelled to the area in search of placer gold deposits. Evidence suggests, however, that the Nass River Indians knew the area at the head of the Portland Canal well before this and referred to it as Skam-A-Kounst, meaning safe place. They would travel to this area as a retreat from the harassment of the coastal Hiadas.

Here, they would hunt birds and pick wild berries. In 1896, Captain D. Gilliard arrive in the area, exploring the area on behalf of the U.S. Army Corps of Engineers.

Three-year deadline to lay charges for Mt. Polley dam failure approaching fast – by Gordon Hoekstra (June 20, 2017)

June 20, 2017

http://vancouversun.com/

A deadline looms for provincial charges to be laid in the failure of the tailings dam at Imperial Metals’ Mount Polley mine, but the B.C. Conservation Officer Service says the investigation has not finished.

There is a three-year time limit to lay charges under B.C.’s Environmental Management Act. The deadline is less than two months away, on Aug. 4. The conservation service has been leading a joint investigation with the federal Environment and Fisheries departments.

Chris Doyle, deputy chief of the B.C. Conservation Officer Service, said Tuesday that when the investigation is complete, the findings will be forwarded to Crown counsel for review and to determine what charges will be laid, if any.

Rio Tinto recommends Yancoal coal offer over Glencore – by James Regan and Barbara Lewis (Reuters U.S. – June 20 2017)

June 20, 2017

https://www.reuters.com/

SYDNEY/LONDON – Rio Tinto (RIO.L) (RIO.AX) selected Yancoal (YAL.AX) on Tuesday to buy its Coal & Allied division in Australia for $2.45 billion, surprising commodities trading giant Glencore (GLEN.L) which had put in a higher bid.

Earlier this month, Glencore offered $2.55 billion cash for Rio’s coal mines in the Hunter Valley region of New South Wales, beating a previous offer from Yancoal, which is based in Australia and owned by China’s Yanzhou Coal Mining Company.

Glencore has long sought Rio’s high-quality thermal coal assets in the Hunter Valley. Despite environmental concerns about the carbon-intensive fossil fuel, Glencore expects continued demand, especially in Asia, as coal can still be the cheapest form of baseload power.

Nickel production to grow for first time since 2013 — report – by Cecilia Jamasmie (Mining.com – June 19, 2017)

June 20, 2017

http://www.mining.com/

If BMI Research predictions are correct, prices risk staying at painfully low levels for years.

Global nickel production will come out of negative territory this year for the first time since 2013, driven by Indonesia’s export ban moderation, a new report published Monday shows.

Along with Indonesia, Canada and Australia will lead growth output rates from until 2021, while major miners in the number one global producer, the Philippines, will benefit from the ousting of anti-mining minister Gina López from government, BMI Research analysts say.

World nickel production is expected to grow by an average 3.4% each year until 2021, the research arm of Fitch Group said in the report. However, production growth rates during the next five years will remain lower than the 5.3% average rates achieved between 2012 and 2016, they said, citing higher nickel prices experienced before the commodities slump as the main reason.

Sioux-to-Sault partnership forms for Ring of Fire – by Elaine Della-Mattia (Sault Star – June 19, 2017)

June 20, 2017

http://www.saultstar.com/

The proposal calls for a trans-load facility to be established in Sioux Lookout, where raw materials can be trucked and transported via rail across the region. Sault Ste. Marie was selected as the ideal partner for the project because of its location, history and infrastructure, said EDC CEO Tom Dodds.

Dodds was recently in Sioux Lookout to tour the proposed trans-load facility location and discuss integrated transportation systems and the commercial and industrial networks that could benefit from the proposal. “Our concept is the same and we see the synergies that could be created from an east west route,” Dodds said.

That east-west route, would run along an old winter road system that is already in place to service communities to Pickle Lake. The closest community with reliable infrastructure becomes Sioux Lookout, which currently serves as a hub for that region’s remote communities, includes a hospital and the necessary infrastructure for a staging point, Dodds said.

A revival takes shape in B.C.’s Golden Triangle – by James Kwantes (CEO.ca – April 4, 2016)

June 20, 2017

https://ceo.ca/

This is a story about past, present and future in a mineral-rich corner of the North American continent. High-grade gold mines like Snip and Eskay Creek helped give northwestern British Columbia its Golden Triangle moniker. If those two operations are symbolic of the region’s rich past, Red Chris holds a strong claim on the present.

The Imperial Metals (III-T) mine is the latest to go into production. This year Imperial expects to pull out more than 90 million pounds of copper and more than 60,000 ounces of gold from Red Chris, a large copper-gold porphyry deposit.

Red Chris feeds into the government funded Northwest Transmission Line, a 344-km 287-kilovolt power line completed in 2014 at a cost of more than $700 million. Imperial Metals built a 93-km extension to the new power line to feed Red Chris. So the infrastructure push — the power line, roads and new Hydro projects — in the Golden Triangle is a major reason for present-day optimism about revitalization.

British Columbia’s Golden Triangle – by Lawrence Roulston (Kitco.com – September 24, 2012)

June 20, 2017June 20, 2017

http://www.kitco.com/

[While a bit dated, this article is very informative. Stan Sudol-RepublicOfMining.com]

With a strong financial backer, Calpine was able to carry out a comprehensive
exploration program. They drilled more than 100 holes that were geologically
encouraging, but which would not have attracted the attention of most investors.
It was hole number 109 that convinced investors of the significance of the Eskay
Creek discovery. That hole, one of the most impressive drill holes of all time,
encountered an extraordinary 208 meters that assayed 27 grams per tonne gold
and 30 g/t silver.

A corner of Canada’s western-most province hosts one of the richest mineral belts in the world. Few investors yet appreciate the enormous value of that region.

British Columbia, long recognized for its exceptional mineral wealth, is regaining prominence among mining investors. Canada in general is looking increasingly attractive as the mining industry faces mounting challenges in many jurisdictions around the globe.

NEWS RELEASE: [American] National Mining Hall of Fame Names 2017 Inductees (April 28, 2017)

June 20, 2017

https://www.mininghalloffame.org/

LEADVILLE, Colo.–(BUSINESS WIRE)–2017 National Mining Hall of Fame Inductees – The National Mining Hall of Fame and Museum (NMHFM) today announced the 2017 National Mining Hall of Fame inductees. This year’s inductees, selected by the National Mining Hall of Fame’s Board of Governors, represent exploration and extraction of new frontiers, environmental stewardship, leadership in formulating U.S. mineral policy, education, and research and development, including the use of computers in planning, designing, and managing mineral industry operations.

The contributions of these individuals have undoubtedly had a significant and lasting impact on the mineral and mining industry; these individuals were selected for being visionary leaders, innovators, authors, pioneers in corporate social responsibility, and long-standing advocates for the U.S. mining industry.

Dr. Thomas V. Falkie, Leonard Harris, Dr. Vincent E. McKelvey, and Gordon R. Parker will join 236 other mining industry luminaries when formally inducted into the National Mining Hall of Fame on Sept. 23, 2017. The 30th Annual Induction Banquet and Ceremony will be held at the Pinnacle Club, Grand Hyatt in Denver, CO.

Mining’s role in Canada’s next 150 years – by Alisha Hiyate (Canadian Mining Journal – June/July 2017)

June 19, 2017

http://www.canadianminingjournal.com/

On July 1, Canada celebrates its 150th anniversary. Of course, I would normally take this opportunity to recognize the mining sector’s contribution to Canada’s wealth and its importance in our history. However, CMJ’s news editor Marilyn Scales did an excellent job tracing some of the industry’s history and accomplishments in her editorial in our February issue.

So rather than rehashing the sector’s contribution to Canada’s first 150 years, I’d like to take a moment to imagine what our industry could contribute to Canada’s future.

Most Canadians – even if they are aware of the vast amount of wealth mining has contributed to the nation and the role the sector played in establishing Toronto as a global mining finance centre – associate it with our past. But the mining sector is in the midst of a seismic transformation.