Republic of Mining

City eager to work with chiefs on rail link to Ring of Fire – by Len Gillis (Timmins Daily Press – February 5, 2015)

February 5, 2015

The Daily Press is the city of Timmins broadsheet newspaper.

TIMMINS – Mushkegowuk Grand Chief Lawrence Martin says the chiefs and Elders who gathered in Kashechewan last week agreed to the idea of taking over Ontario Northland Railway and extending rail service to the Ring Of Fire.

Along with that, Martin said he wants Timmins to be included in the venture with this city becoming the site of a new chromite ore refinery. Timmins Mayor Steve Black said he supports the Mushkegowuk initiative.

The idea, which was first revealed by The Daily Press two week ago, seeks to expand the Ontario Northland rail link north beyond Moosonee, to include other communities on the James Bay coast and on to the Ring of Fire.

Martin, who is meeting with government officials in Toronto this week, said he was more than pleased with the fact that the Mushkegowuk Tribal Council annual general assembly, held in Kashechewan last week, gave full support to the railway expansion idea.

“Yes, it went very well,” Martin said. “What we did first is show the people all the activity in and around the area, all the mining claims in our territories, some of the exploration work that is going on now and the expansion of De Beers and, of course, all this talk of the Ring Of Fire.”

Canadian’s trust in corporate leaders drops to lowest level since 2008, report says – by Theresa Tedesco (National Post – February 3, 2015)

February 5, 2015

The National Post is Canada’s second largest national paper.

Canadians want more government regulation of the food and beverage, banking and health industries at a time when public confidence in business and corporate leaders is waning, according to global research released by public relations giant Edelman.

Trust levels declined dramatically in the past year in Canada to thresholds not seen in this country since the financial crisis in 2008, according to the annual Edelman Trust Barometer. Only 47% of Canadian respondents said they trusted business, down significantly from 62% in 2014, while confidence levels for chief executive officers dropped to 28% in Canada in early 2015, down from 33% in 2014.

“These numbers signal the economic recovery may be over,” said Richard Edelman, chief executive of Edelman, which publishes the survey results. “Certainly Canada’s economy is softer this year than it was last year.”

In total, 33,000 people were surveyed in 27 countries and, overall, 57% of the respondents said they trusted business, slightly down from 59% in 2014. However, businesses’ credibility slide below the 50% threshold on a global scale was registered in more than half of the countries surveyed by Edelman– the worst reading since 2008. The largest double-digit declines of 10 percentage points or more were found in Canada, Germany, Australia, and Singapore.

The opposite was true in the U.S., where confidence in business rose to 60% from 58% in 2014, as the American economy continues its recovery.

NEWS RELEASE: [Edelman Trust Barometer] Trust in Institutions Drops to Level of Great Recession

February 5, 2015

http://www.edelman.com/insights/intellectual-property/2015-edelman-trust-barometer/

2015 Edelman Trust Barometer Finds Overly Rapid Pace of Change in Business Innovation

PUBLISHED JANUARY 19, 2015

The 2015 Edelman Trust Barometer reveals an alarming evaporation of trust across all institutions, reaching the lows of the Great Recession in 2009. Trust in government, business, media and NGOs in the general population is below 50 percent in two-thirds of countries, including the U.S., U.K., Germany and Japan. Informed public respondents are nearly as distrustful, registering trust levels below 50 percent in half of the countries surveyed.

“There has been a startling decrease in trust across all institutions driven by the unpredictable and unimaginable events of 2014,” said Richard Edelman, president and CEO, Edelman. “The spread of Ebola in West Africa; the disappearance of Malaysian Airlines Flight 370, plus two subsequent air disasters; the arrests of top Chinese Government officials; the foreign exchange rate rigging by six global banks; and numerous data breaches, most recently at Sony Pictures by a sovereign nation, have shaken confidence.”

FORD MOTOR COMPANY NEWS RELEASE: WHY BARRICK GOLD CORP. HAS ORDERED 35 ALL-NEW FORD F-150S AFTER SECRETLY TESTING F-150 ALUMINUM CARGO BOXES

February 5, 2015

FEB 2, 2015 | DEARBORN, MICHIGAN

Barrick Gold USA, one of three Ford customers chosen to blindly test two prototype F-150 pickups with experimental aluminum-alloy cargo boxes, has placed an initial order for 35 all-new 2015 F-150 trucks
Barrick testing helped improve the all-new, high-strength, military-grade, aluminum-alloy-bodied F-150 – the toughest, smartest, most capable F-150 ever
Barrick accumulated more than 100,000 miles on its two F-150 test vehicles, putting the trucks through the harshest challenges daily; workers would literally throw heavy pieces of equipment into the cargo bed, including large pumps, motors and specialty tools

After helping Ford torture test prototypes of aluminum pickup truck boxes, Barrick Gold USA is placing an initial order for 35 all-new F-150s – the toughest, smartest, most capable F-150 yet.

TransCanada CEO says Canada needs to resolve conflicts over pipelines – by Jeff Lewis (Globe and Mail – February 5, 2015)

February 5, 2015

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.

CALGARY — Canada’s push to become a global resource powerhouse is at risk of failing unless government leaders take action to resolve the many conflicts holding up key projects, the head of the company behind the Keystone pipeline says.

TransCanada Corp. chief executive officer Russ Girling said Wednesday that Canada faces fundamental choices about the future of the country’s economy, including questions around aboriginal relations, resource extraction and pipeline development.

Those issues have pitted industry against opponents, transforming once-staid pipeline hearings into a forum for oil sands critics. Meanwhile, infrastructure projects are shouldering long-standing aboriginal grievances with the federal government, Mr. Girling said in a meeting with The Globe and Mail’s editorial board.

“We’ve got to quit the little bickering that goes on between us and get to the bigger picture and let the institutions that we charge with managing the public good get on with doing their job,” he said.

His comments point to the growing frustration in the energy sector as Alberta’s oil patch braces for an extended slump due to the dramatic plunge in crude prices.

Opinion: As Plan Nord moves forward, warning signs from Yukon – by Jax Jacobsen (Montreal Gazette – February 4, 2015)

February 4, 2015

http://montrealgazette.com/

Philippe Couillard’s government announced Jan. 26 that it would host an international symposium at the end of February to advance its Plan Nord program.

The plan envisions spending $80 billion in investment over 25 years, with $33 billion going to expand the mining sector and $47 billion to develop energy resources. The plan was first introduced under Premier Jean Charest, and was resuscitated by Couillard’s Liberals with amendments and an additional $1 billion investment in Quebec contracting firms for the production of mining equipment.

The symposium will be held from Feb. 25 to Feb. 27 in Quebec City and will bring in international experts for discussions on economic development and sustainability in northern Quebec, all part of the soon-to-be unveiled Liberal plan to bring economic wealth to the north of the province.

These international experts — among whom will be the president of Iceland — will grapple with the challenge of developing the region’s mineral and other resource wealth, all while preserving the environment and countering the consequences of climate change, expected to have a larger impact on the northern community.

But as the Liberal government formulates its northern policy, it should keep a close eye on what has happened in the Yukon this week before they bank too heavily on counting on the mining sector to bring lasting prosperity to the north.

AME BC president: ‘Hang on to your seat’ in next upswing – by Matthew Keevil (Northern Miner – February 3, 2015)

February 4, 2015

The Northern Miner, first published in 1915, during the Cobalt Silver Rush, is considered Canada’s leading authority on the mining industry.

VANCOUVER — It’s been a tough few years for mineral explorers globally, and the junior markets in B.C. have been especially hard hit by stingy capital markets and industry-wide budget cuts. These circumstances set a rocky stage for the Association for Mineral Exploration British Columbia’s (AME BC) annual Mineral Exploration Roundup conference in Vancouver in late January, but according to president and CEO Gavin Dirom there are reasons for industry optimism.

To begin, there are some basic business metrics that AME BC relies on to determine how Vancouver’s third-largest annual trade convention is trending. The 32nd Roundup attracted more than 6,700 participants from 35 countries, blowing past the 5,000-delegate milestone, and up 100 from last year. Dirom added that, despite the industry’s challenging conditions, event sponsorship remained right on target.

“Of course exploration expenditures are down globally, as there just isn’t the capital to pursue these extensive programs,” Dirom said during an interview on the conference floor. “The big trend to watch, however, is the percentage of expenditures per jurisdiction. I think by that metric it’s quite interesting from a B.C. context.”

This approach removes variables like commodity prices and related factors, he said, and focuses on where the industry is willing to invest in exploration.

UPDATE: World top 10 gold producers – countries and miners – by Lawrence Williams (Mineweb.com – February 3, 2015)

February 4, 2015

http://www.mineweb.com/

The last year has seen some changes in global gold production rankings, both by country and by company.

It is interesting to see how the major producers of gold are faring in the grand scheme of things – both nationally and by company, given the continuing lowish gold prices pertaining over the past two to three years.

While one may sometimes argue with the methodology, and findings, of GFMS’ global gold supply/demand statistics the consultancy’s latest report on gold includes its estimates of the world’s top gold producing nations and companies which are not so controversial and there are some changes in position and outputs which are certainly worth noting.

We last produced a similar listing based on 2012/2013 figures from rival precious metals consultancy, Metals Focus, last May and while some of the GFMS statistics may vary a little from those of Metals Focus they broadly follow the same pattern and the overall figures are comparable – perhaps not too surprising given that Metals Focus was started by ex GFMS analysts and marketers.

Notably here, according to the GFMS estimates, China has continued to see increased gold output and remains comfortably the World No. 1. But the No.2 position is now occupied by Russia, which appears to have leapfrogged over Australia to attain this ranking with 9% output growth last year.

Valcourt says yes to second Nunavut gold mine – by Thomas Rohner (Nunatsiaq News – January 28, 2015)

February 4, 2015

http://www.nunatsiaqonline.ca/

AND minister accepts review board’s recommendations for Meliadine project

Nunavut’s future appears flecked with more gold after the process leading towards a second gold mine in the territory took a big step forward this week.

That’s after the federal government accepted the Nunavut Impact Review Board’s recommendations — submitted in October 2014 and anchored by 127 terms and conditions — to approve the Meliadine gold mine in the territory’s Kivalliq region.

“It is evident that the board met its primary objectives … to protect and promote the existing and future well-being of the residents and communities of Nunavut, to protect the eco-systemic integrity of the Nunavut settlement area and to take into account the well-being of residents of Canada outside of the Nunavut settlement area,” Bernard Valcourt, minister of Aboriginal Affairs and Northern Development, said in a Jan. 27 letter to the review board.

The board issued its own letter Jan. 27, emphasizing the importance of the terms and conditions attached to its recommendations for the proposed project, owned by mining firm Agnico Eagle — which operates Nunavut’s only working gold mine at Meadowbank, about 70 km outside Baker Lake.

B.C. First Nations urge province not to cherry-pick from mine report advice – by Geordon Omand (Canadian Press/CTV News – February 4, 2015)

February 4, 2015

http://bc.ctvnews.ca/

First Nations leaders are urging the B.C. government to adopt each of the seven recommendations laid out in a review of the Mount Polley mine disaster.

First Nations Summit Grand Chief Ed John said the resulting “massive breach of public confidence” means the province cannot afford to cherry-pick from the conclusions of a report into a tailings dam failure in the province’s Interior.

“I think when you mix water and tailings it’s a recipe for disaster,” John told a news conference Tuesday, commending the work of a government-ordered expert panel that blamed poor dam design for the collapse at the open pit gold and copper mine.

The report, released last week, said building the mine’s tailings site on a sloped glacial lake failed to account for drainage and erosion.

It likened the ad hoc approach to the pond’s design and construction to loading a gun and pulling the trigger. “We urge the province of British Columbia ΓÇª to know and understand this is not a smorgasbord,” said Grand Chief Stewart Philip of the Union of B.C. Indian Chiefs about the seven recommendations.

He called on the B.C. government to take immediate action in implementing the panel’s conclusions.

House prices dive, food bank use is up as latest mining bust hits Labrador town – by Sue Bailey (Canadian Press/Brandon Sun – February 4, 2015)

February 4, 2015

http://www.brandonsun.com/

ST. JOHN’S, N.L. – Jason Penney knows the highs and lows of a miner’s life in Wabush, N.L., a one-industry town where the price of iron ore is discussed like the weather. But he says the community of 1,900 has reeled since its main employer shut down last year.

“We’ve never seen it quite this bad,” the president of United Steelworkers Local 6285 said from the office he now occupies alone. An administrative assistant and a safety officer were both let go along with about 500 other workers who lost their jobs when the Wabush iron ore mine closed.

Cleveland-based Cliffs Natural Resources Inc. blamed high production costs and nose-diving commodity prices as demand from prime steel buyers, such as China, waned. The company also confirmed last month that it had stopped production at its Bloom Lake mine in Quebec, about a half-hour drive from Wabush.

Penney said the move affects another 500 workers who flew in and out. For Wabush and nearby Labrador City, which bills itself as the iron ore capital of Canada, it means a loss of crucial spinoff and service jobs.

It’s all adding up to one of the most resounding busts ever for the region, Penney said. “There’s been a lot of people in sad, tough times. It was a rough Christmas on a lot of families.

China reaching “peak steel” isn’t all bad news – by Clyde Russell (Reuters U.S. – February 4, 2015)

February 4, 2015

http://www.reuters.com/

Feb 4 (Reuters) – A term gaining currency among China commodity watchers is “peak steel”, something that sounds ominous, especially to iron ore and metallurgical coal miners. The increasing market consensus is that China is at, or close to, reaching the maximum level of steel output and demand.

If this is the case, it means China’s steel consumption will peak at levels well below what many in the market had expected only a few short years ago. China produced a record 822.7 million tonnes of steel in 2014, roughly half of global output, according to data from the National Bureau of Statistics.

However, this was only 0.9 percent higher than the previous year, representing the slowest annual growth rate in 33 years. Even this modest increase in output was only achieved on the back of a surge in exports of steel products, which jumped 50.5 percent in 2014 to 79.35 million tonnes.

Apparent steel demand in China dropped 3.4 percent to 738 million tonnes, according to the China Iron and Steel Association (CISA).

These figures suggest that the “peak steel” proponents are probably on the right track, especially since a strong rebound in steel demand in 2015 is viewed as unlikely, given expectations of economic growth of around 7 percent and ongoing problems of oversupply in residential housing.

Documents missing, unanswered questions on Mount Polley dam breach – by Vaughn Palmer (Vancouver Sun – February 3, 2015)

February 4, 2015

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

What’s in the 150 pages of material withheld by the B.C. government?

VICTORIA — When a trio of engineering experts reported their findings on the failure of the Mount Polley tailings dam last week, they warned that not every document assembled by their panel could be released.

Some 100 of 850 documents were withheld on directions from the ministry of mines and the ministry of environment, which were still conducting their own investigations into the disaster.

Not wanting to compromise ongoing investigations was one reason, protection of privacy the other. But the result prevented publication, for now anyway, of the supporting documentation for the most telling findings in the report.

Still, one can make assumptions about the contents of the withheld documents by working backwards from the meagre details provided, coupled with the brief passages quoted in the panel report.

The government ordered the exclusion of most of the documents produced by BGC Engineering, the firm that was hired by the mine operator in 2013 to preside over the next raising of the dam to keep ahead of the rising water level in the tailings pond.

U.S. mining giant Cliffs eliminates Bloom Lake exposure – by Bertrand Marotte (Globe and Mail – February 3, 2-15)

February 4, 2015

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.

Montreal – U.S. mining giant Cliffs Natural Resources Inc. has “ring-fenced” its Bloom Lake iron ore mine under bankruptcy protection and no longer has any exposure to closing or clean-up costs, senior executives say.

After talks with potential buyers of the Bloom Lake assets over the past two months, it was decided the best action to take was to put them under protection of the Companies’ Creditors Arrangement Act (CCAA), Cliffs chairman and chief executive officer Lourenco Goncalves said Tuesday.

That means Cliffs’ Bloom Lake liabilities now stand at zero, he said on a conference call for analysts. Bloom Lake – in northeastern Quebec – is “the cancer that we have to take out” as Cliffs retrenches to focus on its U.S. iron ore business, Mr. Goncalves said in a telephone interview Tuesday.

The company said in November that it was “pursuing exit options” for its Eastern Canada iron ore operations, estimating its maximum exposure to close the Bloom Lake site at between $650-million (U.S.) and $700-million.

“We were going through chemotherapy and that didn’t do it. Now the [cancerous] limb has been cut off,” Mr. Goncalves said in the interview.

[Minnesota] Copper/nickel hearing passionate – by Julia Van Susteren (Mesabi Daily News – February 3, 2015)

February 4, 2015

http://www.virginiamn.com/

Iron Range nonferrous mining issue in St. Paul

ST. PAUL — Proposed copper/nickel/precious mining on the Iron Range, always controversial and stirring strong passions on both sides, once again visited the State Capitol on Tuesday.

Citizens and mining industry supporters all had their say at a Mining and Outdoor Recreation Policy Committee hearing in the Senate Office Building. The small meeting room was crowded wall-to-wall with attendees, including many anti-mining advocates, supporters of nonferrous projects, and even a few interested lawmakers.

Executive Director of MiningMinnesota Frank Ongaro opened the meeting by citing various economic and long-term environmental benefits mining contribute to the state, local communities and the world.

Representatives from PolyMet, which is in the environmental impact statement process in advance of permitting for its project at the former LTV Mining Co. site near Hoyt Lakes, and Twin Metals Minnesota, which is not as far along for their projects near Ely and Babbitt, further testified about the importance of their ventures.

Representatives of various citizens’ groups argued passionately against the proposed mining projects, citing loss of tourism interest, contamination of pristine environments, and loss of personal property.