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Summary of Points North interviews about Solid Gold/First Nations Sudbury controversy – CBC Radio Sudbury (November 7 – 12, 2012)

http://www.cbc.ca/pointsnorth/

Points North interview Jason Turnbull conducted the following interviews after junior miner Solid Gold’s CEO and President Darryl Stretch gave a controversial presentation at the Ontario Prospectors Symposium in Sudbury Ontario on November 7, 2012. During that presentation, Mr. Stretch was accused of using disrespectful and racist language towards First Nations communities.

Wednesday November 7, 2012 – Tensions continue between First Nation and mining company

Mining can be a contentious issue in the north.

Click here for Wahgoshig Chief Dave Babin and NAN Grand Chief Harvey Yesno interviews: http://www.cbc.ca/video/news/audioplayer.html?clipid=2301643232

Thursday November 8, 2012 – Solid Gold responds to First Nations concerns

First Nation in the northeast raise concerns over comments made by Solid Gold president.

Click here for Solid Gold’s CEO and President Darryl Stretch and NAN Grand Chief Harvey Yesno interviews: http://www.cbc.ca/video/news/audioplayer.html?clipid=2302189668

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Boom bust cycle normal in mining industry [Jason Turnbull interviews mining analyst Stan Sudol] – CBC Radio Sudbury (November 1, 2012)

http://www.cbc.ca/pointsnorth/ Slumping nickel prices and a bit of slowdown on base metal prices have caused speculation that Vale is not interested in maintaining full operations in Sudbury. Points North’s Jason Turnbull interviews Toronto-base mining analyst Stan Sudol about the recent cutbacks by Vale at their Sudbury operations. Click here for the interview: http://www.cbc.ca/video/news/audioplayer.html?clipid=2299263418

Quebec budget: Marceau says mining royalties plan isn’t ready yet – by Lynn Moore (Montreal Gazette – November 20, 2012)

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

QUEBEC — A widely-anticipated hike in mining royalties didn’t make it into the Parti Québécois government’s first budget because of time constraints, Finance Minister Nicolas Marceau said on Tuesday.

But he and other cabinet ministers are hammering out that royalty framework for natural resources development, Marceau told the National Assembly.

“We want to bring in these changes in an orderly and responsible manner to ensure the stability of the mining sector. We will consult the industry and the stakeholders concerned about this issue so that everyone benefits from the changes that will be made,” he said.

Earlier, Marceau told reporters that the new regime will be unveiled “sooner rather than later.” “In the time I had at my disposal (since the election), it wasn’t possible to arrive here today with a royalties regime,” he said.

During the election campaign, the PQ said it would introduce a five-per-cent royalty on all mining operations, increasing it to 30 per cent if the mine’s profits reached a certain level. Marceau said he remains convinced that an “obligatory royalty based on the net value and a tax based on excess profits are still viable approaches.”

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Nickel Mining Like its 1864 – by Richard (Rick) Mills (www.aheadoftheherd.com – November 2012)

http://aheadoftheherd.com/

Nickel Sulphide Project Pipeline Empty

Nickel is present in over 3000 different alloys that are used in over 300,000 products for consumer, industrial, military, transport/aerospace, marine and architectural applications.

Nickel’s biggest use, about 65%, is in alloying – particularly with chromium and other metals to produce stainless and heat-resisting steels. Its primary function is to stabilize the austenitic (face-centered cubic crystal) structure of the steel. Normal carbon steel will, on cooling, transform from an austenite structure to a mixture of ferrite and cementite. When added to stainless steel nickel stops this transformation keeping the material fully austenite on cooling. Austenitic stainless steels have high ductility, low yield stress and high tensile strength when compared to carbon steel – aluminum and copper are examples of other metals with the austenitic structure.

Another 20% is used in other steels, non-ferrous alloys (mixed with metals other than steel) and super alloys (metal mixtures designed to withstand extremely high temperatures and/or pressures or have high electrical conductivity) often for highly specialized industrial, aerospace and military applications.

About 9% is used in plating to slow down corrosion and 6% for other uses, including coins, electronics, in *batteries for portable equipment and hybrid cars, as a catalyst for certain chemical reactions and as a colorant – nickel is added to glass to give it a green color.

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New Quebec budget delays moves on mining royalties – by Louise Egan (Mineweb.com – November 21, 2012)

 http://www.mineweb.com/

The first budget from Parti Quebecois since it won a September election is being viewed as far more conciliatory than expected, especially toward business.

QUEBEC CITY (REUTERS) – The Canadian province of Quebec promised on Tuesday to overhaul its system of mining royalties next year in a budget that was otherwise seen as more business-friendly than expected.

After winning a September election, the separatist Parti Quebecois (PQ) ruffled feathers in the corporate sector with talk of increasing the financial burden on wealthy households and on companies in order to pay for tax breaks for low and middle-income households, as well as to cover the cost of reversing the previous Liberal government’s decision to raise university tuition and electricity rates.

While the PQ, which has a minority of seats in the legislature, says it still plans to follow through on some of those promises, it scaled back those ambitions somewhat in a budget seen as more conciliatory.

“If we listened to their promises during the election campaign and then look this budget, it’s not the same government,” said Carlos Leitao, chief economist at Laurentian Bank.

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Financing in place for Broken Hammer [Sudbury] project, says miner – by Star Staff (Sudbury Star – November 21, 2012)

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

Lively-based Wallbridge Mining Company Limited announced Tuesday it has secured financing to help develop its promising Broken Hammer Project, located north of Capreol.

The company said Callinan Royalties has agreed to provide Wallbridge with a line of credit for $2 million. In addition, Callinan will purchase 8,333,333 units of Wallbridge, at a price of $0.18 per unit, for gross proceeds of $1.5 million, subject to the approval of the Toronto Stock Exchange.

“We are pleased to have entered into this transaction with Callinan, a reputable royalty firm, for two reasons,” Marz Kord, president and CEO of Wallbridge, said in a release. “First, this new capital injection allows Wallbridge to accelerate the development plans for the Broken Hammer Project without significant equity dilution.

“Secondly, Callinan’s interest in financing the corporation at a premium to the current market in return for the option to purchase royalties on our 100%-owned Sudbury properties underscores the inherent value in these exploration assets, as well as broadening our already strong shareholder base.

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[Sudbury] Local likes [Glencore-Xstrata] mine deal – by Carol Mulligan (Sudbury Star – November 21, 2012)

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

The takeover of mining giant Xstrata Nickel by trader Glencore could be a good thing for Sudbury, says the president of the union representing 855 production and maintenance workers at Xstrata’s Sudbury operations.

The $31-billion takeover approved by Xstrata shareholders Tuesday could result in more investment in exploration and mine development, said Richard Paquin, president of Mine Mill Local 598/CAW.

The deal isn’t final, said Paquin, as it requires regulatory approval by several countries, including the European Union. But it is one step closer to a merger almost one year in the making.

Xstrata shareholders were expected to approve the takeover offer Tuesday and they did, but they surprised observers by failing to endorse a plan that would pay top Xstrata executives big money to remain with the merged company.

Those key executives won’t get that protection with this approval, said Paquin, adding that is not his and his union’s issue. Nor are Paquin and his union worried about being taken over by another foreign company.

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Northern leaders keep up ONTC fight – by Kyle Gennings (Timmins Daily Press – November 21, 2012)

The Daily Press is the city of Timmins broadsheet newspaper.

TIMMINS – The fight continues for the ONTC.

Kapuskasing Mayor and Federation of Northern Ontario Municipalities (FONOM) president Al Spacek spent Monday in Toronto meeting with Northern Development and Mines Minister Rick Bartolucci, fighting for a game changer that never came.

“We reiterated our concerns about the lack of information and transparency about the ongoing divestiture process,” he said. “I also communicated to him and his senior staff that we are hearing the same concerns from industry, a lot of time has gone by now and we still don’t have a comfort level with what the process is and where they are at with it.”

This lack of transparency regarding the sale has been a concern from the outset of the issue. Despite numerous pleas from FONOM representatives, Spacek said Bartolucci and his staff, along with the provincial cabinet, have not been forthcoming with information.

“His response continues to be the same, the divestiture is going ahead and did not directly address our concerns about transparency,” said Spacek. “Our reaction with this government has been one of much legislation and policy that has been very detrimental to the North.

“That legislation and policy was developed without the consultation of the people most effected by it, Northerners.”

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Petronas revises bid for Progress Energy Resources – by Vanessa Lu (Toronto Star – November 21, 2012)

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.

Petronas, a Malaysian state-owned business, has revised its offer for Calgary-based Progress Energy Resources in hopes that Ottawa will sign off on the deal this time.

The deadline for approval has been extended to Dec. 30, the second extension since Industry Minister Christian Paradis rejected the initial $6 billion takeover proposal on Oct. 19. At the time, Paradis said he was “not satisfied that the proposed investment is likely to be of net benefit to Canada.”

No details have been released on how the latest bid for Progress, which has extensive shale gas holdings, differs from the earlier proposal.

The federal government is still pondering how it should handle the politically thorny issue of state-owned businesses from countries such as Malaysia, and more notably China, seeking to buy Canadian companies.

Ottawa is also weighing a proposed $15.1 billion takeover of Calgary-based Nexen Inc. by China National Offshore Oil Co. (CNOOC), China’s biggest offshore oil and gas producer. The deadline for approval is Dec. 10.

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The end of the oil world as we know it – by Jeffrey Simpson (Globe and Mail – November 21, 2012)

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.

The International Energy Agency’s report ricocheted around the world last week, and nowhere more so than in Canada.

The United States will become the world’s largest producer of oil by 2020, predicted the IEA, and North America will become a net oil exporter by 2030. So much for foolishness about the end of oil. So much for the comfortable assumption in Canada that the U.S. would always soak up every drop of oil we could export to them.

Hidden in the report, however, are two other implicit assumptions of immense importance for the future. First, for the first time since president Franklin D. Roosevelt made cozy with the Saud dynasty, the United States will not need, let alone be beholden to, oil-producing countries in the Middle East. Second, the international target of holding the increase in global temperatures to two degrees Celsius is a forlorn hope.

It would be simplistic to say that oil alone has driven U.S. interests in the Middle East, but it would also be simplistic to ignore that oil imports from that region have been critical for the U.S. economy. And with economic realities have gone geopolitical interests.

Oil helped to link the interests of sheikdoms and autocracies to the consumers of the United States – and through them to their democratically elected government.

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N. America’s energy renaissance more like a revival – by Peter Tertzakian (Globe and Mail – November 21, 2012)

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.

 Peter Tertzakian is chief energy economist and managing director with Arc Financial Corp. in Calgary and provides analysis on technology and energy-related businesses to fund managers and portfolio companies.

A large part of the oil and gas renaissance is a consequence of reviving old fields with new technology.

Pennsylvania, where the industry had its genesis in the mid-1800s, and mostly forgotten in favor of more prolific finds a century ago, is now repositioning itself to be a dominant supplier of natural gas. Light oil fields throughout Texas, Oklahoma and Alberta — thought to have peaked in the 1970s — are making such a vigorous comeback that North American energy independence is the new phrase du jour. And who would have said a few years ago that North Dakota, a small and stable producer up until 2007, would be the next energy superpower?

So, it’s with interest that we watch big dollars being attracted to one of the oldest North American oil fields, the Sahtu Region of Canada’s Northwest Territories.

Drilling 160 kilometers below the Arctic Circle, near Fort Norman, N.W.T., Theodore Link, a geologist for Imperial Oil, is credited for drilling the first commercial oil well in the region.

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Canada’s crude export pipelines clogged – by Nathan Vanderklippe (Globe and Mail – November 21, 2012)

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 — The surge in Canadian oil production must now face a new reality: The biggest mover of crude says the pipes out of the country are full.

In recent years, estimates by analysts and energy consultants predicted that Canada stood to run out of room on export pipelines some time between 2014 and 2018. And it has become clear that the pipes are filling, amid rising oil output from both the oil sands and fast-growing U.S. oil fields.

But Enbridge Inc. has now formally declared the pipes full, meaning that date has arrived far sooner than expected.

“All of the crude oil export pipelines are pretty much full, running at maximum capacity,” Vern Yu, a vice-president of business development and market development for Enbridge told a Petroleum Technology Alliance Canada conference in Calgary Tuesday. “And we’re not likely to see any meaningful capacity added to these networks until the end of next year.”

For the energy industry, the likelihood of choked market access for months to come stands to cut off billions in profits as oil shipments back up behind stuffed pipelines. A growing glut of product waiting for export is pressuring prices for Canadian crude.

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The SAMSSA brings strength and prosperity – by Karen Kornelsen (Mining and Exploration Magazine – July 20, 2012)

http://www.miningandexploration.ca/

The SAMSSA’s No. 1 goal is to promote the expertise of its mining supply and service members

The Sudbury Area Mining Supply and Service Association(SAMSSA) represents the interests of the greatest concentration of expertise in mining supply products and services from within what is considered to be the most recognized centre of excellence worldwide.

The SAMSSA’s executive director, Dick DeStefano, is one of the founders of the association, which currently represents 120 members, including organizations in North Bay and Timmins as well as Sudbury.

The SAMSSA started in 2003 when DeStefano recognized there were more than 350 mining supply and service companies situated in Sudbury, yet they had never formed an organization or chamber to join together to create an international brand.

“Historically, this was not a pattern for independent business people in any regional area,” said DeStefano. “It was very competitive and companies did not want to reveal their networks or intelligence.”

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Cliffs Natural Resources idles iron-ore production on weak demand – by Henry Lazenby (MiningWeekly.com – November 19, 2012)

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

TORONTO (miningweekly.com) – New York- and Paris-listed Cliffs Natural Resources on Monday said it would idle mine expansion in Quebec and a portion of production at two US operations as a result of weak iron-ore prices.

The company, which is the largest producer of iron-ore pellets in the US, said it would idle iron-ore production at its Bloom Lake mine Phase 2 expansion, in Quebec, and at two of its US iron-ore operations, Northshore Mining, in Minnesota, and at the Empire mine, in Michigan.

Cliffs said it was adjusting its 2013 operating plans for its North American iron-ore businesses to align with expected sales volumes. These production decreases were driven by increased iron-ore pricing volatility and lower North American steelmaking utilisation rates.

“Disciplined capital allocation is core to our operating strategy and reducing higher cost production will enhance our financial flexibility in both the short and longer term. Despite today’s announcement, we are still committed to our investments in Canada and believe Bloom Lake will deliver significant long-term value over time,” Cliffs chairperson and CEO Joseph Carrabba said.

At the Bloom Lake mine, Cliffs had suspended certain components of the second phase of expansion, including the completion of the concentrator and load-out facility. As a result, construction related to these activities was halted and third-party contractors were demobilised immediately.

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Chamber and Unions unite to push for Duluth Complex base/precious metals mines – by Lawrence Williams (Mineweb.com – November 20, 2012)

http://www.mineweb.com/

Mining on the environmentally sensitive Duluth Metallurgical complex in Minnesota is gleaning strong local support from a union/Chamber of Commerce alliance.

LONDON – In what must be a welcome development for prospective miners, PolyMet and Duluth Metals, Minnesota’s Chamber of Commerce and local mining unions will be mounting a combined campaign to try to ensure that mining of what has to be one of the world’s most significant mineral deposits, is given the go-ahead by state and federal bodies.

According to a report in the Duluth News Tribune, The Minnesota Chamber of Commerce, the state’s largest business group, and the Minnesota Building and Construction Trades Council have formed “Jobs for Minnesotans” to promote development of the state’s first-ever massive base and precious metals mining operations on the Duluth Metallurgical Complex which hosts one of the world’s largest potential polymetallic orebodies and which could see large scale mining for the next century, with its associated employment and tax benefits for the state and federal economies.

The Duluth Complex hosts an enormous resource of relatively low grade polymetallic mineralisation, which in combination represents perhaps the world’s largest ever discovery of an orebody containing copper, nickel, cobalt, pgms and gold – and Polymet and the Duluth Metals 60:40 jv with Antofagasta – the Twin Metals project – are the two most advanced projects on the Complex at the moment. However the area where these enormous deposits is hosted lies in an environmentally sensitive locality between the Boundary Waters recreational area and brownfields mining and processing sites left over from the still significant Minnesota taconite iron ore mines and process plants.

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