Republic of Mining

NEWS RELEASE: New York Times Best-Selling Author Launches Campaign Surrounding the Anniversary of Tragic Event That Killed 65 Men

February 19, 2014

VANCOUVER, BRITISH COLUMBIA–(Marketwired – Feb. 19, 2014) – Local New York Times Best Selling Author Napoleon Gomez, today launches a campaign across Canada to bring attention to a tragic event that happened eight years ago, taking the lives of 65 innocent workers, whose bodies remain unrecovered.

Retold in his acclaimed book Collapse of Dignity, Gomez recounts the explosion deep in a Mexican mine and the ensuing half-hearted rescue attempts and government cover-up. Inspired by examples of public solidarity for social justice both in Canada and around the globe, Gomez was compelled to launch a bold campaign to mark the anniversary this year.

The campaign kicks off in Gomez’ home-base of Vancouver on key transit routes, supplemented and rolled out across Canada in newspapers, social media campaigns and a personal call to Napoleon’s peers and colleagues within Canada’s most reputable and largest labour unions. His message is clear: there are bodies still buried underground today and the lost miners deserve justice. Their families have never received support and their plight has never been resolved.

Frustrating for Gomez is the stark contrast to the Chilean mine tragedy in 2010, which was highly publicized and celebrated when the 33 miners were safely rescued. A Hollywood film about the 33 miners is currently in production. The Chilean accident took place just four years after the Mexican mining tragedy that saw little media support.

Ring Of Fire Project Progressing Despite Setbacks Says Mining Minister – by Sunny Freeman (Huffington Post – February 14, 2014)

February 18, 2014

http://www.huffingtonpost.ca/news/staking-claim/

Ontario’s mining minister says Ring of Fire negotiations are “productive and encouraging,” despite a series of setbacks including the exit of the biggest player, the federal government’s lack of commitment and turmoil in the global mining industry. At a press conference on Friday, Michael Gravelle had a clear message: Talks between government, industry and First Nations are moving ahead.

“No matter what else happens, we are determined to see the Ring of Fire go forward,” he said. But there were scant details on the project’s timeline. Development hinges on the success of talks between First Nations and the province over environmental protection, infrastructure, revenue sharing and social assistance.

The province is keen on pushing ahead as it eyes the royalties and jobs that could flow into Ontario’s Far North, where an estimated $60 billion in mineral deposits lie within the 5,000-square-kilometre track of land.

Transportation to market from the remote location has been one of the key sticking points that has prevented development so far. Gravelle announced Friday that consulting firm Deloitte will help guide a development corporation that will be responsible for infrastructure.

Harper to push for Keystone approval as leaders gather for trilateral talks in Mexico – by Kim MacKrael (Globe and Mail – February 18, 2014)

February 18, 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.

MEXICO CITY — Mexico is pushing for a continental approach to energy, with a top official saying all three countries should use their resource wealth to boost the strength of the North American economy.

Ahead of this week’s “Three Amigos” summit, Ildefonso Guajardo, Mexico’s secretary of economy, told The Globe and Mail that the Keystone XL pipeline could benefit Canada, the United States as well as his own country.

“I think that if Keystone is helpful to Canada, it is helpful to the North American region,” he said, while avoiding comment on whether Mexico supports the project. “Because I think it is an additional strength that North America has, and we should be smart enough to use it strategically and to count on it in terms of what we have.”

This week’s talks in Toluca, where North American leaders are scheduled to meet on Wednesday, will provide another opportunity for Prime Minister Stephen Harper to press U.S. President Barack Obama on Canada’s bid for approval of Keystone, which would move oil from Alberta to the Gulf Coast.

How A Chicago-Born, Backwards Hat-Wearing Former Steve Jobs Instructor Plans To Dominate South African Mining [Robert Freeland] – by Tommy Humphreys (Business Insider – February 18, 2014)

February 18, 2014

http://www.businessinsider.com/

The reality distortion field, made famous by Steve Jobs’ biographer Walter Isaacson, is a personal intensity and vision so powerful it bends people to your will, convincing them of a project’s higher purpose. Isaacson describes this capacity for influence as a notorious trait of Steve Jobs, who, as founder and CEO of Apple, managed to ship mountainous innovation that consistently redefined the relationship between art and technology.

An interesting footnote here is the fact that Robert Friedland, one of the world’s most successful global resource developers, taught Jobs about the reality distortion field when Jobs was a college student in 1972. And he’s used it to promote a ton of successful mining ventures over the past 35 years—he’s found and developed them on nearly every corner of the globe. And became a multi-billionaire in the process.

I was actually on a trip with Friedland last week, touring three of his latest mining projects in South Africa and the Democratic Republic of Congo (DRC). I didn’t realize how privileged I was to be included in the crew, which consisted of members of Friedland’s family and a few investors, until on his Gulfstream jet on the way there, his 39-year-old geologist son Govind looked at me puzzled, then joked to his dad, “What is a blogger doing here?”

South Africa miners’ strike to drive up platinum over time – by Ed Stoddard and Jan Harvey (Reuters U.S. – February 18, 2014)

February 18, 2014

http://www.reuters.com/

JOHANNESBURG/LONDON Feb 18 (Reuters) – A face-off between platinum producers and striking miners in South Africa has had negligible impact on metals prices so far, but that is likely to change if the action grinds on past the end of the month and stocks are drawn down.

The strike by South Africa’s Association of Mineworkers and Construction Union (AMCU) against the world’s top three platinum mining companies has so far failed to ruffle traders. Platinum prices traded at around $1,422 an ounce on Tuesday, about 2 percent below its levels on the eve of the industrial action.

This is partly because the mining industry is better prepared than in 2012, when it was swept by a wave of rolling and violent illegal strikes. A spokesman for major producer Impala Platinum said last month it had enough in inventories to supply clients for six to eight weeks.

The strike began over three weeks ago when AMCU members downed tools at Anglo American Platinum, Impala Platinum and Lonmin. The two sides remain poles apart on the issue of wages, suggesting a prolonged stoppage.

COLUMN-Identical twins BHP and Rio start to differ – by Clyde Russell (Reuters India – February 18, 2014)

February 18, 2014

http://in.reuters.com/

Feb 18 (Reuters) – For the past 18 months BHP Billiton and Rio Tinto have appeared like identical twins, singing the same tune on cutting back spending, controlling costs and returning more to shareholders.

The latest financial results show the world’s two biggest diversified miners are finally hitting the right notes with investors, but are diverging in style.

BHP Billiton on Tuesday posted a 31 percent rise in first-half profit to $7.76 billion, beating the median analysts’ forecast of $6.93 billion. This was achieved on the back of annualised cost savings of $4.9 billion, lower capital expenditure and higher profits from expanding iron ore output.

It was a similar story for Rio Tinto, which on Feb. 13 reported a 45 percent jump in second-half profit to $5.99 billion, exceeding the median forecast of $5.49 billion.

As with BHP, much of the boost came from cuts to capex and operating costs, with the standout performer being iron ore, which provides about 90 percent of the company’s profits.

BHP mulled leaving London and dropping dual listing – by James Chessell (Sydney Morning Herald – February 17, 2014)

February 18, 2014

http://www.smh.com.au/

Has BHP Billiton been reconsidering its dual listing on the Australian and London stock exchanges?

The official line from the world’s largest diversified resources is that no serious work has been done on collapsing the dual-listed company structure. A BHP spokewoman said: “We think this structure has worked and continues to serve shareholders well”.

Yet there are those who remain convinced that in the second half of 2013 a team was assembled to look simplifying parts of the vast $121 billion business, including the dual listings.

The project was known as “unification”, according to multiple sources, and later focused on simplifying internal processes, financial management and legal entity structures. It had the blessing of chief executive Andrew Mackenzie, who assumed the top job in May and will hand down what is expected to be a $US6.9 billion interim profit on Tuesday.

Everyone agrees that it was eventually decided that it would be too difficult to collapse the dual-listed structure.

Bickering hides our resource failure – by Ian Verrender (Australian Broadcasting Corporation – February 17, 2014)

February 18, 2014

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

Both sides of politics have played a direct role in the demise of Australian industry and have wasted the proceeds of the resources boom, writes Ian Verrender.

What a spectacle: The self-righteous fury and finger pointing on both sides of the political spectrum that has greeted the long, slow and ultimately unavoidable death of the domestic auto industry.

Who is to blame? Who cares? The simple fact is that the hollowing out of the Australian economy is gathering pace while our bickering leaders thrash about with no plan on how to arrest the decline of manufacturing and precious little understanding of why it has occurred.

Of even more concern, neither side will acknowledge the direct role they have played in the demise of Australian industry. Nor will they admit to squandering the proceeds of the resources boom, cynically opting to enhance their electoral prospects by delivering instant gratification to taxpayers rather than formulate any long-term plan to enrich the nation.

Liberal Ring of Fire Plans Under Fire – by James Murray (Netnewsledger.com – February 15, 2014)

February 18, 2014

http://www.netnewsledger.com/

Getting the Ring of Fire Right is Complicated

THUNDER BAY – The Ring of Fire mining opportunities are massive. However the efforts to “Get it right,” as Minister Michael Gravelle has repeatedly stated are causing those efforts to come under fire. The New Democrats are accusing the Wynne Government of only governing by ‘Press Release’.

“The announcement that outside consultants have been brought in to guide the Ring of Fire Development Corporation is a stark reminder of the Liberal government’s inability to spur development in the mining sector”, charges NDP Northern Development and Mines Critic Michael Mantha.

“The Liberal government continues to govern by press release; all talk no action,” continued Michael Mantha, the MPP for Algoma-Manitoulin. “This latest announcement by Mining Minister Michael Gravelle further proves that this government is determined to create jobs anywhere but in the actual mining sector. We now see consultant companies profit while the mining companies are left on the sidelines and First Nations suffer.”

Ring development a ‘plan to make a plan,’ says MPP – by Carol Mulligan (Sudbury Star – February 15, 2014)

February 18, 2014

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

Ontario has hired a consulting firm to establish a development corporation for the Ring of Fire chromite deposits in the James Bay Lowlands. Northern Development and Mines Minister Michael Gravelle announced Friday the Liberals have hired a neutral third party, Deloitte LLP, to establish the development corporation he announced the creation of last November.

Deloitte will work with Ring of Fire partners — the federal and provincial governments, first nations and industry — to set clear paths and timelines for decision-making, create guiding principles for the corporation, and to seek consensus on the corporation`s next steps, said Gravelle.

Specifically, Deloitte will prepare a report assessing three proposals for a transportation system to move chromite, nickel and other ores out of the Ring of Fire, 500 km northeast of Thunder Bay, to other parts of the province and beyond for processing.

Gravelle, who made the announcement about hiring Deloitte in his home riding of Thunder Bay, didn’t say when Deloitte would deliver that report, what it would cost to produce or whether it would be a public document when it is completed.

Trapped South African miners refuse to leave pit (BBC News Africa – February 16, 2014)

February 18, 2014

http://www.bbc.co.uk/news/world/africa/

The operation to rescue illegal gold miners trapped in an abandoned mine in South Africa has been halted overnight. So far 11 miners have been rescued from the shaft near Johannesburg.

Other trapped miners refused to leave after discovering they faced arrest at the surface. It is unclear how many remain underground, with reports suggesting they could number 200.

A full rescue operation will not restart unless the miners request it, said an emergency services official. Werner Vermaak of ER24 told the BBC the mine site would be guarded overnight by a private security company, who can call for help if the miners change their mind. They could also prevent unauthorised rescue attempts.

Mr Vermaak said the miners would not be denied help if they called for it.”They will be offered rescue should they decide to come out,” he said, adding “but they will be arrested should they come to the surface again,” he said. Lacking ladders or ropes, they will not be able to leave the mine without help, he added.

Over 50 Saskatchewan miners spend night underground waiting out fire (Saskatoon Star Phoenix – February 15, 2014)

February 18, 2014

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

BY THE CANADIAN PRESS – VANSCOY, Sask. – Dozens of workers at a potash mine in Saskatchewan are safe after a fire broke out a kilometre underground and forced them to spend the night in emergency shelters. More than 50 people were forced to seek refuge in shelters at the Agrium facility near Vanscoy after the fire started during a shift Friday night.

The site’s general manager, Mike Dirham, said the fire started on a scoop tram, which is a type of underground loader. Dirham said the tram has a fire suppression system, but he says it couldn’t extinguish the flames. At that point, Dirham said the miners headed for the shelters to escape the smoke.

“There is food and water and telephones in there where we can communicate with the people in each shelter. They vary in size from a capacity of holding 10 people to a capacity of 60 people,” Dirham said, noting that miners don’t need to wear masks while they’re inside.

“They’re a self-contained shelter. They just need to go in and close the doors and wait for emergency response personnel.”

Brazil land disputes spread as Indians take on wildcat miners – by Lunae Parracho and Caroline Stauffer (Reuters India – February 14, 2014)

February 18, 2014

http://in.reuters.com/

JACAREACANGA, Brazil – Feb 17 (Reuters) – As Brazil struggles to solve land disputes between Indians and farmers on the expanding frontier of its agricultural heartland, more tensions over forest and mineral resources are brewing in the remote Amazon.

The government of President Dilma Rousseff gave eviction notices to hundreds of non-Indian families in the Awá-Guajá reserve in Maranhão state in January and plans to relocate them by April, with the help of the army if necessary, Indian affairs agency Funai says.

The court order to clear the Awá territory follows the forced removal of some 7,000 soy farmers and cattle ranchers from the Marãiwatsédé Xavante reservation last year, a process profiled by Reuters that resulted in violent clashes. [link.reuters.com/dew27t ]

Anthropologists say evictions from Awá territory could be even more complicated. It is thought to be a base for criminal logging operations and is also home to some indigenous families who have never had contact with outsiders, a combination that worries human rights groups lobbying for the evictions.

More at stake than a $1-billion mine – by Peter O’Niel (Vancouver Sun – February 16, 2014)

February 18, 2014

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

Decision on B.C.’s New Prosperity project will set national tone for Ottawa-aboriginal relations, First Nations warn

OTTAWA — Lobbying has intensified as the Harper government prepares to make a high-stakes decision on a controversial $1-billion B.C. mining project.

A delegation of West Coast First Nations leaders, accompanied by Assembly of First Nations Chief Shawn Atleo, spent the past week on Parliament Hill, trying to get across their message that approving the New Prosperity mine near Williams Lake would deal a huge setback to Ottawa’s relationship with aboriginal Canadians.

Ottawa must make a decision the end of the month. But the native leaders left for home Friday after meeting only B-list political players, people of similar rank to those who met pro-mine members of the Williams Lake community a week earlier.

That’s far different from the high-level arm-twisting during two recent visits here by B.C. Mines Minister Bill Bennett, an enthusiastic New Prosperity supporter. Bennett met with a total of 13 federal MPs, seven of them cabinet ministers, as he tried to convince Ottawa to endorse New Prosperity despite a federal review panel’s Oct. 31 call for the mine be rejected.