Republic of Mining

MEDIA RELEASE: SAMSSA Welcomes New President Mike Mayhew

September 5, 2018February 20, 2014

February 20 2014

Mike Mayhew was introduced at the SAMSSA Annual Meeting on December 4, 2013 as the new President for the next two years.

Mike was interviewed and responded with some further insights in his new role:

1. What background do you bring to the new leadership role as President of SAMSSA?

I am very fortunate and have a number of areas to draw from that put me in a favourable position as the new President of SAMSSA. Being nominated as the President of SAMSSA is truly an honour for me.

I have over 20+ years in the mining industry with a diversified background. I have a post-graduate degree in Mining Engineering and have worked for Toyota Canada, Inco, Atlas Copco, MacLean Engineering, and Rock-Tech previous to my current role as Director, Global Mining for Stantec Consulting Ltd.

I am an accomplished bilingual Executive with a proven track record for producing high results in a competitive industry. My passion is to build teams and I have a history of consistently growing business in the mining sector.

Ring of Fire must be a national priority: report – by Lisa Wright (Toronto Star – February 20, 2014)

February 20, 2014

The Toronto Star has the largest circulation in Canada. The paper has an enormous impact on federal and Ontario politics as well as shaping public opinion.

Ontario Chamber of Commerce says the promising metals-rich region will generate more than $25 billion in economic activity.

The highly touted Ring of Fire mineral belt in Northern Ontario is expected to generate nearly $2 billion in tax revenues and up to 5,500 full-time jobs in the first 10 years of mining activity, says a new report.

The Ontario Chamber of Commerce’s action plan and economic analysis, to be made public in Toronto Thursday, also calls on the federal government to make the Ring of Fire a national priority.

The report says that within the first decade of development, the mineral-rich area will generate up to $9.4 billion in GDP and nearly $6.2 billion for the province’s mining industry.

Hoping to spur activity in the stalled region, the chamber is calling on Ottawa to take a more active role in the financing of the lucrative mining camp, since it stands to be the primary benefactor of tax revenues — and that “should provide a compelling incentive to invest.”

Ontario chamber releasing Ring of Fire report – by Ian Ross (Northern Ontario Business – February 19, 2014)

February 19, 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 Chamber of Commerce will be weighing in on the untapped mineral and economic opportunities in the Far North Ring of Fire when it releases a report tomorrow.

The Royal Ontario Museum in Toronto will be the venue for the report’s official launch on Thursday followed by a Northern Ontario rollout of cities next week with panel discussions in Thunder Bay (Feb. 26), Sudbury (Feb. 27) and Timmins (March 7).

The Sudbury panel will be held at Dynamic Earth from 4 p.m. to 7 p.m. The comprehensive report will outline the economic benefits to Ontario estimated to be in the tens of billions of dollars.

The report is also intended to showcase this massive mineral opportunity and its spinoffs to southern Ontarians who know little of its potential to generate wealth and jobs in the province, a fact illustrated in an Ontario chamber survey of its own member businesses.

Ontario should apply for funding for Ring of Fire development: feds – by Bruce Cheadle (Global News – February 19, 2014)

February 19, 2014

http://globalnews.ca/

The Canadian Press – OTTAWA – Despite an absence of new funding in this year’s federal budget, the Conservative government says it still fully supports development of the Ring of Fire mining region in northwestern Ontario.

Greg Rickford, the federal minister responsible for the file, says it’s up to Ontario’s provincial government to apply for infrastructure funding under the new Building Canada fund announced last week.

“We have always been clear that the Build Canada fund contemplates these large-scale, economic development-based, responsible resource development projects,” Rickford said in an interview. “That’s what it’s intended to do.”

“But those resources have to align with the priorities of the province – so to the extent that the province says ‘this is our major file, this is where we want considerable resources to go into’ … then we can do that.”

That could eat up a huge portion of Ontario’s $2.4-billion share of the 10-year federal fund. Both levels of government have long touted the potential of the Ring of Fire, which is rich in chromite used to make stainless steel as well as other minerals, including nickel and copper.

Brazilian government to help pay for potash mine – by Henry Lazenby (MiningWeekly.com – February 18, 2014)

February 19, 2014

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

TORONTO (miningweekly.com) – Brazil-focused fertiliser development firm Verde Potash on Tuesday said the Brazilian government would help fund construction of its flagship Cerrado Verde project, located within the country’s largest agriculture market.

The company announced that the project was selected to receive financing from a special financing programme of the government.

“Inova Agro’s decision is immensely important not only for Brazil, but for the world’s population, ever so reliant on Brazil’s food production. Thanks to a ground-breaking funding programme in the agriculture sector, Brazil takes a step towards reducing its economy’s debilitating dependency on imported potash,” president and CEO Cristiano Veloso said.

Inova Agro is a Brazilian government programme intended to fund innovative projects in the agriculture sector, including those focused on fertilisers. Selected projects would be considered for subsidised interest rates, equity investment and non-reimbursable project investment grants from the Brazilian Development Bank and/or the Financing Agency for Studies and Projects, both of which are arms of the Brazilian government with a mandate to support domestic projects.

Mining investments: know where to hold ’em – by Daina Lawrence (Globe and Mail – February 19, 2014)

February 19, 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.

As in real estate, mining is also about location, location, location. Investors have to consider where a project is situated when looking at this type of investment, as geopolitical issues, messy regulatory processes and heavy taxation or royalty rules are all things than can affect a mine, say analysts.

High risk and remote areas can be costly to operate in and some governments continue to demand enormous contributions from the mining sector. In recent years, some of the industry’s heavy hitters have been forced to abandon their projects due to these factors.

It’s expected that more mining companies are going to venture into riskier territory to explore new project prospects because areas in safer zones, such as the United States, Canada and Australia, are being rapidly depleted.

Investors must be aware of the risks in these regions because it could affect the projects and, as a consequence, the company share prices. It may also have an impact on how much a company’s stocks are valued, as experts expect the value of these projects to be closely linked with their geographical location, so investors may pay a premium for a less risky locale.

Ontario Grass roots exploration takes a hit – by Norm Tollinsky (Sudbury Mining Solutions Journal – February 2014)

February 19, 2014

Norm Tollinsky is editor of Sudbury Mining Solutions Journal, a magazine that showcases the mining expertise of North Bay, Timmins and Sudbury. This article is from the February 2014 issue.

Not for lack of quality projects

The good times couldn’t continue forever, and they haven’t. After three years in a row of feverish exploration activity in Ontario, 2013 turned in a dismal performance. Estimated exploration and deposit appraisal expenditures for Ontario fell approximately 30 per cent – from $961 million in 2012 to $688.5 million – but the reality is much worse, according to Garry Clark, executive director of the Ontario Prospectors Association.

The $688.5 million and the $961 million posted the year before include expenditures on mine development – not just exploration, he complained. Looking at exploration alone, “2013 was the worst year since I’ve been in the business,” said Clark. “I started as a consultant in 1987, and I’ve been through a lot of ups and downs, but this is probably the lowest I’ve seen.”

Risk capital dried up, many junior mining companies went dormant, drill rigs sat idle and geologists and prospectors were lucky to find a day or two of work here and there. Clark and others could see it coming despite three straight years of numbers just shy of or exceeding $1 billion.

[Noront] Keeping their eye on the ball – by Rob Learn (North Bay Nipissing News – February 19, 2014)

February 19, 2014

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

KOPER LAKE – Sticking to the basics, keep their eye on the ball and concentrate on making contact is the strategy Noront Resources is continuing as it continues to outpace all others in the most touted mining discovery in a generation – the Ring of Fire in Northern Ontario.

CEO and president of Noront Alan Coutts brakes down the complexity of his specific proposal to create a viable mine in one of the remotest parts of the province. “You don’t need to go for the grand slam homerun right away. You just need to get a base hit,” said Coutts.

After years standing in the on deck circle Noront is preparing to take its best swing for that base hit this year applying for permit approvals for a permanent road to the mine site about 500 km north of Timmins. The road would run east-west from Pickle Lake above Thunder Bay running mostly along a route that serves four First Nations communities via winter road.

With a 282 km route to cover across James Bay Lowlands the company is saying it is the best way to push their proposed Eagle’s Nest deposit from very expensive find to an active mine.

Ministers on the ground in Wabush – by Ty Dunham (St. John’s Telegram – February 18, 2014)

February 19, 2014

http://www.thetelegram.com/

Government pledges to help displaced workers transition into new jobs

Displaced mine workers in Wabush have been offered help from the provincial government with apprenticeship and worker development programs.

Approximately 400 mine employees have been worried about the future ever since Cliffs Natural Resources announced last week that the Wabush Scully Iron Ore Mine was being idled.

Advanced Education and Skills Minister Kevin O’Brien said his department has a range of programs for those affected. “We can train people not currently trained. We understand there is a highly skilled workforce at Wabush Mines as well,” he said.

Last week, Premier Tom Marshall said cabinet ministers will visit Labrador West regularly to work with the communities to help with the transition. Ministers have met with union officials, municipal leaders and companies to identify opportunities for skilled workers as quickly as possible.

SAMSSA celebrates ten years, 2003-2013 – by Dick DeStefano (Sudbury Mining Solutions Journal – February 2014)

September 7, 2018February 19, 2014

Dick DeStefano is the Executive Director of Sudbury Area Mining Supply and Service Association (SAMSSA). destefan@isys.ca This column was originally published in the February 2014 issue of Sudbury Mining Solutions Journal.

After 10 years of effort and service, the Sudbury Mining Supply & Service Association (SAMSSA) has become a significant presence in the Northern Ontario mining cluster.

SAMSSA’s annual meeting on December 4th was a testament to the association’s success, attracting 175 representatives from its 140-strong membership of corporate and associated companies and agencies.

There were two special honourees, the announcement of a new board of directors, and the attendance of Vale executives who announced the return of a local purchasing team to Sudbury, much to the pleasure of the audience.

SAMSSA has created a dynamic forum for it members to not only market and promote their expertise globally, but also to establish a community or network to further the members’ common goals.

[Northern Manitoba] Students drill down into minerals and mining – by Ian Graham (Thompson Citizen – February 19, 2014)

February 19, 2014

The Thompson Citizen, which was established in June 1960, covers the City of Thompson and Nickel Belt Region of Northern Manitoba. The city has a population of about 13,500 residents while the regional population is more than 40,000.

Prospectors and Developers Association of Canada brings its Mining Matters to Thompson and Nelson House

Students and teachers in Nisichawayasihk Cree Nation (NCN) and Thompson learned about minerals and mining from Feb. 10-14 as Mining Matters, in partnership with Vale’s Manitoba Operations, swept through Northern Manitoba to present its Mining Rocks Earth Science program, sponsored by the Prospectors and Developers Association of Canada in Toronto.

“This is incredible,” said Barbara Green Parker, the aboriginal education and outreach programs manager for Mining Matters, a charitable organization in existence since April 30, 1997 that seeks to spread knowledge about Canada’s geology and the careers available in the country’s minerals industry. “This is the largest Mining Matters program that we have ever done. We are maximizing our exposure in Northern Manitoba. It’s a phenomenal amount. We’re very pleased to be in such high demand.”

Parker was in NCN at Nelson House on Feb. 10-11, presenting the Mining Rocks program to students from Grades 4 to 8 at Otetiskwin Kiskinwamahtowekamik Elementary School on Monday and to high school students at Nisichawayasihk Neyo Ohtinwak Collegiate on the morning of Feb. 11, with the afternoon dedicated to a teacher training workshop.

Investment in First Nations Youth the Right Thing – Minister Valcourt (Netnewsledger.com – February 18, 2014)

February 19, 2014

http://www.netnewsledger.com/

THUNDER BAY – Federal Minister of Aboriginal Affairs Bernard Valcourt addressed the Thunder Bay Chamber of Commerce at a luncheon today in Thunder Bay. Here is what the Minister said:

Good afternoon ladies and gentlemen. Thank you for the warm introduction. It gives me great pleasure to speak with you today.

Bonjour Mesdames et Messieurs et je vous remercie d’être ici avec avec nous aujourd’hui pour discuter du Plan d’Action Économique 2014. As a Minister in Prime Minister Harper’s Government, it is my privilege to meet with you to discuss our Government’s Economic Action Plan 2014.

I am proud to confirm that our Government is on track to return to balanced budgets in 2015, with new measures that will create jobs and opportunities. We are on track to balance the budget while keeping taxes low and protecting the programs and services Canadians count on.

Since the inception of Canada’s Economic Action Plan in 2009, Canada has achieved the best job creation record and one of the best economic performances in the G-7 over the recovery. Economic Action Plan 2014 builds on this record of achievement with positive measures to grow the economy and help create jobs by;

‘You can forgive, but you don’t forget’: Goldcorp-Osisko friendly deal unlikely – by Nicolas Van Praet (National Post – February 19, 2014)

February 19, 2014

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

MONTREAL – The relationship between the management of Goldcorp Inc. and Osisko Mining Corp. has become so strained it’s difficult to imagine the two companies ever doing a friendly deal if Goldcorp’s current unsolicited bid fails.

For four years leading to the fall of 2013, the miners held enough on-again, off-again merger talks to develop a certain comfort with each other. A two-year confidentiality agreement under which they most recently shared private information had the sole purpose of evaluating a negotiated takeover.

But things soured after Goldcorp concluded that Osisko was no longer negotiating in good faith. Goldcorp went hostile with a $2.6-billion offer on Jan.14, with Osisko chief executive Sean Roosen getting less than 30 minutes of warning. Osisko countered with a lawsuit that alleges Goldcorp misused confidential information. It is asking the Quebec Superior Court to block the bid.

“Obviously we were not anticipating the hostile takeover given what we understood of the relationship and the effort and time that we were putting into that,” Mr. Roosen said in an interview Tuesday. “And you can forgive, but you don’t forget.”

COLUMN-Zinc and lead; beauties in the eye of the beholder? – by Andy Home (Reuters U.S. – February 19, 2014)

February 19, 2014

http://www.reuters.com/

Feb 19 (Reuters) – Not so long ago, zinc and lead were the “ugly sisters” of the London Metal Exchange (LME) base metals suite, both burdened by consecutive years of surplus and high inventories.

The peak of the commodities super-cycle has come and gone, and you’d be hard pressed to discern its passage through the prism of these two industrial metals. With no spectacular bull runs such as seen in copper and iron ore, they went through a long, long period of largely sideways grind.

Sentiment is now changing, particularly for zinc, which is currently the “belle of the ball” on the LME. Three-month zinc was the best relative performer last year, an act it is repeating in the early part of 2014.

This turnaround in fortunes appears to be borne out by the latest figures from the International Lead and Zinc Study Group (ILZSG), assessing both markets as shifting to production-usage deficits in 2013. It was the first year of lead deficit since 2009 and the first year of zinc deficit since 2006. The previous sentence should probably include the word “probably”.

Australians to dig Gold Fields out of trouble at mechanised mine – by Ed Stoddard (Reuters India – February 19, 2014)

February 19, 2014

http://in.reuters.com/

WESTONARIA, South Africa, Feb 19 (Reuters) – Down under the South African earth, Australian accents are leading a drive to unlock the wealth one of the world’s largest gold reserves.

Gold Fields has brought in a crack Australian engineering team to help overcome one of its most daunting challenges: ramping up production on its mechanised South Deep mine, its last and troublesome South African asset.

“With the improved operating skills that we’ll get, particularly with the Australian team, we think we can make it,” chief executive Nick Holland told journalists and analysts on Tuesday during a visit to the mine just west of Johannesburg.

He was referring to the South Deep target of full production of 700,000 ounces a year, which has been a moving one to the annoyance of investors, shifting from 2014 under previous owners to 2016 and now the end of 2017.

South Deep descends to three kms (almost two miles) and South Africa, with the world’s deepest mines, has over a century of experience when it comes to extracting ore far below the surface with a large, unskilled workforce.