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Integrated approach required for modern mining, says CEO – by Lindsay Kelly (Northern Ontario Business – October 31, 2013)

http://www.northernlife.ca/

Training, infrastructure needed in Far North

“At the end of the day, it’s about the rocks.” It’s simple advice delivered by TMAC Resources CEO Catharine Farrow, but insight that’s carrying the company forward in its quest to become the next major gold mining camp in Canada.

As the second in a succession of visiting lecturers to the Goodman School of Mines at Laurentian University, Farrow spoke about how miners have to understand data gleaned from the rocks before they can be mined effectively, Farrow said.

Miners can no longer operate in silos, and integrating all the stages of mining, from exploration through to production and the selling of product, is integral, especially in the Far North territory of Nunavut, a developing gold mining jurisdiction.

“If you’re going to, in this day in age, manage your money and corporate strategy, and understand what you’re delivering to your shareholders, you really do have to have all of these working together,” said Farrow, the former chief operating officer of KGHM International and a current director at the Prospectors and Developers Association of Canada.

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Zimbabwe eyed as heir to platinum throne as SA loses grip – SFA Oxford – by Martin Creamer (MiningWeekly.com – October 31, 2013)

 miningweekly.com

JOHANNESBURG (miningweekly.com) – With South Africa’s once mighty grip on the world platinum market slipping, exasperated end-users are eyeing Zimbabwe as the heir to the platinum throne, top global platinum consultant Stephen Forrest said on Thursday.

Forrest, in South Africa for the Joburg 2013 Investing in Resources and Mining in Africa conference attended by South African mining’s who’s who, told Mining Weekly Online in an exclusive interview in Johannesburg that invested parties across the platinum value chain were viewing South Africa’s diminishing influence with concern.

Zimbabwe, Russia and North America had lower platinum group metal (PGM) ounce cash costs and received substantially higher by-product credits than South Africa, SFA Oxford’s director and principal consultant revealed.

Since 2009, there had been a fourfold increase in platinum recycling, from 500 000 oz in 2000 to more than two-million ounces a year. “Put simply, recycling is now offering the industry Lonmin-sized output incrementally every five years,” Forrest’s research showed.

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Having a [mining] blast – by Kelly Grinsteinner (Hibbing Daily Tribune – October 30, 2013)

http://www.hibbingmn.com/

EVELETH — Do not call mine blasting an art. Mike Indihar will tell you that it’s not, and give you several reasons why.
“The public thinks that what we do today is the same way we did it 30 years ago, but that’s not true,” said Indihar, senior mine engineer at Cliffs Natural Resources’ United Taconite in Eveleth. “It is so different today.”

And he’d know.

Indihar has been in the mining industry since 1979, and worked in various capacities within both operations and engineering. He’s been at United Taconite since 2006, and from that time on has focused solely on drilling and blasting.
The 56 year old calls himself a geek, and admits the job is still fun.

“I’m still challenged every day, and that’s what makes it exciting,” said Indihar. For those who like status quo, mining isn’t the ideal industry. “What’s really fun in engineering in mining is that it’s always changing,” he said. “You do a blast, and then it’s gone. Now you do a different one. You build a road, mine it down and then move on to build a new road. Things change all the time.”

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Editorial: Mexico, the great hope… for higher taxes on mining – by John Cumming (Northern Miner – October 30, 2013)

The Northern Miner, first published in 1915, during the Cobalt Silver Rush, is considered Canada’s leading authority on the mining industry. Editor John Cumming MSc (Geol) is one of the country’s most well respected mining journalists. jcumming@northernminer.com

If there’s been one consistent refrain in Canadian mining circles this millennium, it’s been mining personnel — from top executives to scruffy field geologists — singing the praises of Mexico and its rich mineral potential, easy permitting, mining-friendly culture, skilled population, low costs and enjoyable, snow-challenged lifestyle.

But that’s all changed in the last few months, and it accelerated in the last week of October, as Canada’s globe-trotting miners, especially executives in Vancouver and Toronto, have had to grapple with the dramatically higher federal mining taxes that are on the verge of becoming law in Mexico.

On Oct. 29, Mexico’s Fiscal Reform Act — already passed the previous week by the lower Chamber of Deputies — was approved by the upper Senate in a late-night, 73 to 50 vote.

This fiscal reform package includes a special mining fee of 7.5% on profits (specifically, on earnings before interest, tax, depreciation and amortization), plus another 0.5% gross royalty for gold and silver. The act also wipes out generous accelerated depreciation of assets and immediate deduction of pre-development expenses.

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NEWS RELEASE: Royal Nickel to Capitalize on Upcoming Global Nickel Shortage

Fri, 25 Oct, 2013

(Vantagewire.com) – A very real structural shortage of nickel is coming in the second half of this decade. Nickel prices already spiked in 2006 and 2007, when the world ran into a similar structural shortage in supply. Now there’s plenty of reason to believe that we could be in for another one of those periods in the second half of the 2010s.

Beyond 2015, it’s believed that growing global demand will require over 500kt of new supply to meet the world’s needs. However, the “project cupboard” to meet this demand is almost bare. With not enough projects on deck, the world’s nickel markets will be challenged to overcome several years of under investment in new supply.

Among the few projects that look to be coming into stride when this supply differential truly hits is located in Quebec’s prolific Abitibi mining district. The Dumont nickel project, owned by Royal Nickel Corporation [TSX: RNX], is one of the world’s largest undeveloped nickel sulphide projects and could be around just in time as supply shortages start hitting their peak.

Royal Nickel and its Dumont project look to be one of the frontrunners to address the upcoming nickel shortage. Stacked with experienced senior management largely from Inco (former Canadian nickel producer taken over by VALE in 2006), Royal Nickel is capable of handling a project of this magnitude.

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E&Y sees AIM junior mining index flattening – perhaps bottoming? – by Lawrence Williams (Mineweb.com – October 31, 2013)

http://www.mineweb.com/

A flattening of Ernst & Young’s Mining Eye Index, which tracks LSE AIM listed junior miners and explorers, after several quarters of decline, could be a sign sentiment is improving.

LONDON (MINEWEB) – After a number of successive quarters of decline in Ernst & Young’s Mining Eye index (which tracks the London Stock Market’s AIM-listed junior miners), the latest quarter is flat to positive leading E&Y’s Global Mining Transactions Leader, Lee Downham to see light at the end of the tunnel for the sector.

Downham notes, on the issuing of the latest edition of Mining Eye, “Another subdued performance by the Mining Eye reflects ongoing funding challenges for AIM’s junior miners. However, as we look to the final quarter of an extremely challenging year, there are reasons to take the optimistic view that sentiment is turning. A relatively flat performance by the Mining Eye represents a welcome improvement from the last four quarters of consecutive declines.”

Indeed, deeper analysis of the figures shows that the quarter actually showed a 6% upturn in the index, largely helped by a significant capital raising success for African Minerals for its big Tonkolili iron ore project in Sierra Leone, and Archipelago Resources, which saw a £338 million cash offer for the company from its major Indonesian shareholder.

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Duluth [nickel mining] Complex – by Charles Ramsay (Mesabi Daily News – October 31, 2013)

http://www.hibbingmn.com/

DULUTH — By any method that the Duluth Complex is rated, several experts say the nonferrous potential embedded in the geologic region makes it the largest mineral deposits ever.

The complex stretches from near Duluth northeast and north to near the Canadian border. Copper, nickel and precious metals group elements (platinum-palladium) are a major part of minerals in the complex. Two companies, PolyMet and Twin Metals, are preparing for production or getting near that goal after environmental review and permits are obtained. More companies are busy exploring other locations for deposits.

“I have no doubt this will prove to be the biggest undeveloped deposit,” said Jim Miller, a geology professor at the University of Minnesota Duluth.

Another researcher, George Hudak, minerals division director at the Natural Resources Research Institute in Duluth, agreed. “This is the largest untapped copper-nickel deposit in the world,” he said.

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The Cremation of Sam McGee – by Robert W. Service [RepublicOfMining.com – Halloween Theme]

 

For some background on this classic poem, click here: http://en.wikipedia.org/wiki/The_Cremation_of_Sam_McGee

There are strange things done in the midnight sun
By the men who moil for gold;
The Arctic trails have their secret tales
That would make your blood run cold;
The Northern Lights have seen queer sights,
But the queerest they ever did see
Was that night on the marge of Lake Lebarge
I cremated Sam McGee.

Now Sam McGee was from Tennessee, where the cotton blooms and blows.
Why he left his home in the South to roam ’round the Pole, God only knows.
He was always cold, but the land of gold seemed to hold him like a spell;
Though he’d often say in his homely way that “he’d sooner live in hell.”

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Mining Day at Queen’s Park – by Michael Gravelle (October 31, 2013)

http://www.netnewsledger.com/

Minister Michael Gravelle is the MPP for Thunder Bay Superior North and the Ontario Minister of Northern Development and Mines

QUEEN’S PARK – Today, I’m honoured to be joining the Ontario Mining Association as we host Meet the Miners Day at Queen’s Park. Meet the Miners Day, as I think many of you will know, is an annual tradition dating back more than 25 years that gives members of the Legislature and senior mining executives the opportunity to exchange ideas to help continue to build a healthy mining sector.

This year’s theme is “Mining Builds Communities,” something our province has excelled at by working with the mining industry to strengthen the economies of diverse communities across the province. Our government has worked very hard to advance our province’s standing as a preferred jurisdiction for mineral development. We’re working very hard to ensure that mining remains an important contributor to the provincial economy.

Here are some of the facts: Ontario is among the top-10 mineral investment jurisdictions in the world. As a result, 24 new mines have opened here over the last 10 years. That’s more than anywhere else in Canada. There are some notable examples. I could go on, but certainly we think of the De Beers Canada’s Victor diamond mine, Ontario’s diamond mine near Attawapiskat; the extraordinary Detour Gold project near Cochrane, one of the greatest gold deposits in North America; and the AuRico Gold Young-Davidson mine near Matachewan as well comes to mind—great examples of projects that are creating extraordinary employment.

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Matichuk: transportation key to unlocking Ring of Fire – by Darren MacDonald (Sudbury Northern Life – October 30, 2013)

http://www.northernlife.ca/

With development of the Ring of Fire seemingly stalled on all fronts, Greater Sudbury Mayor Marianne Matichuk is calling on the province to use its authority to get things moving again.

Specifically, Matichuk wants the government to ensure progress is made in building a transportation corridor linking the Black Thor site in remote northwestern Ontario to existing transportation networks.

“This is the holdup,” Matichuk said after Tuesday’s city council meeting. “I’m hoping (the province) can sit down with all the proponents and come up with a transportation corridor.”

The mayor’s motion comes after a Sept. 10 ruling by Ontario’s Mining and Lands Commission denying Cliffs Natural Resources access to land in the region so it could build a north-south road to its massive chromite discovery. Cliffs was seeking an easement to run a road on mining claims owned by junior miner KWG Resources.

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‘Ghost Mine’: Portlander Patrick Doyle talks about Season 2 of Syfy series – by Kristi Turnquist (The Oregonian – September 4, 2013) [RepublicOfMining.com – Halloween Theme]

 

http://www.oregonlive.com/

Click here for Ghost Mine episodes: http://www.space.ca/GhostMine.aspx

When he’s confronted by skeptics who doubt the possibility of ghosts, Patrick Doyle has a ready response. “I’m very much a skeptic as well,” says Doyle, who is one of two paranormal investigators featured on the Syfy series, “Ghost Mine.”

“I think you have to be honest with yourself and be a skeptic to be in the paranormal field,” says the 42-year-old. “You’re always questioning.” But for those who scoff at the concept of paranormal activity, Doyle says this: “I’d ask them first, have you had something that happened to you, heard something, seen something, that you can’t explain?”

Doyle has, and it’s those experiences that led him to his fascination with eerie phenomena. He continues to pursue his passion in Season 2 of “Ghost Mine,” which premieres tonight on Syfy.

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Quebec mining investments to fall 10 per cent in 2013, says report – Ross Marowits (Canadian Press/Lethbridge Herald – October 29, 2013)

http://lethbridgeherald.com/

MONTREAL – Quebec’s mining sector is expected to weaken this year with investments falling by at least 10 per cent, marking the first annual drop in a decade, the provincial statistics agency said Tuesday after surveying companies about their spending plans.

“The general situation in the mining sector at this time is a bit depressed so the investment has gone down a lot in different regions of the world, but what’s particular in Quebec is that two major commodities are still very strong – gold and iron – so I think that helps us a lot,” said Raymond Beullac, an official with the statistics institute.

Investments are expected to decrease to about $4.63 billion, mainly due to weak metal prices and the maturity of several large projects. Despite the decline, it is still expected to be the second-best year for mining investments in Quebec.

However, Beullac said the actual investments could fall below forecasts based on conversations with mining executives. Last year, mining companies spent a record $5.12 billion in Quebec, including $621 million for exploration. Almost half the exploration activity was focused in northern Quebec.

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Marois reassures Alcoa employees, says she’ll step in to Hydro talks – by Kevin Dougherty (Montreal Gazette – October 30, 2013)

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

Aluminum giant has threatened to close three Quebec smelters if electricity rates jump by 60%

QUEBEC — In the Quebec National Assembly, in response to opposition questions, Premier Pauline Marois said she would get involved personally in negotiations with Alcoa Inc., which has said its three Quebec smelters will no longer be competitive if Hydro-Québec raises the price it pays for electricity.

“We should reassure Alcoa employees, not scare them,” Marois said, answering opposition questions. She said “discussions at the highest level” are underway between the Quebec government and Alcoa, led by Jean St-Gelais, who as secretary-general of the executive council is Quebec’s highest civil servant.

Earlier Marois said she would not negotiate in public with Alcoa. “This is a major industry for Quebec,” Marois said, adding aluminum smelting has been established in Quebec “for decades,” providing “very good jobs.”

“And we will continue to do so,” the premier told the assembly.

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Where Zombie Miners Lurk – by Kerianne Sproule (Calgary Herald – October 25, 2013) [RepublicOfMining.com – Halloween Theme]

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

Blown up in explosions, smothered in collapsing shafts, crushed by heavy carts, the ghosts of coal miners are said to linger at the Atlas Coal Mine Historic Site just outside the tiny town of East Coulee. There, a short 15-minute drive from Drumheller, a tall wooden structure looms against the starkly beautiful backdrop of the Badlands. It is the last wooden coal tipple in Canada, protected, with the outbuildings and tunnels that surround it, as a national historic site and a reminder of the dangerous and dirty days of Canadian coal mining.

Dating back to 1936, the height of the coal-mining boom in Canada, the Atlas Coal Mine saw thousands of men pass through it before it closed. Over 200 perished on the job. Today, the site provides the ideal setting for haunting tales of disappeared miners and lingering spirits every October when it plays host to two Halloween-themed events held over two weekends.

The more docile Little Boo event, which takes place in broad daylight and is designed for children, takes small, costumed participants on a lighthearted stroll through the site. It includes a ride on a battery-powered 1936-era train and a visit to an underground tunnel. The other event, Big Boo, is reserved for more courageous souls over age nine. The events, now in their ninth year, raise funds for the preservation of buildings on the site.

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Barrick Gold may raise Pascua-Lama costs once more – by Allison Martell (Reuters Canada – October 29, 2013)

http://ca.reuters.com/

TORONTO (Reuters) – Barrick Gold Corp (ABX.TO: Quote) will likely raise the cost estimate for its huge Pascua-Lama mine project in South America for the third time in less than two years when the world’s top gold producer reports results on Thursday.

Much has changed since November, when Toronto-based Barrick pegged the cost of the gold and silver project at $8.5 billion, and markets are anxious to see the company’s new capital cost estimate.

High in the Andes, on the border between Chile and Argentina, Pascua-Lama is Barrick’s biggest and most important growth project. It’s risky, but the potential is great: when and if the mine is completed, it is expected to have exceptionally low operating costs, which could pay dividends for years to come.

Since Barrick released its November estimate, regulators have halted construction on the Chilean side of the project, citing serious environmental violations. Barrick has agreed to build a new water management system to meet their concerns, and said in June it would defer some spending that had been scheduled for 2013 and 2014.

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