Republic of Mining

Head start in race to China – by Claudia Cattaneo (National Post – April 13, 2012)

April 14, 2012

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

CALGARY – With the future of the proposed $5.5-billion Northern Gateway oil sands pipeline proposed by Enbridge Inc. looking bleak because of hardening opposition, competitor Kinder Morgan Energy Partners LP surged from behind Thursday with a plan for a better-looking replacement – a $5-billion expansion of its Trans Mountain pipeline from Edmonton to Vancouver.

The expansion would increase the capacity of the 62-year-old line – the only one moving oil from Alberta to the West Coast and Asia – to 850,000 barrels a day, from today’s 300,000.

The expansion is bigger than under previous plans, which called for a $3.8billion, 600,000-bpd project, and would reduce the need for Northern Gateway, with a capacity of 550,000 bpd, at least for now. If approved by regulators, the expanded system would be operational by 2017, years before Northern Gateway’s planned startup.

The Kinder Morgan plan is backed by 20-year commitments from existing and new shippers after a so-called open season. They suggest that producers, refiners and offshore interests are backing a new horse in the race to diversify Canada’s oil market in Asia.

Technology boosts cache of known reserves [Canada oil and gas] – by Paul Brent (Globe and Mail – April 13, 2012)

April 14, 2012

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.

‘The whole game has changed,’ experts say as Canada’s oil and gas stockpile rises due to new techniques and ‘good work’

You wouldn’t know it by looking at gas prices at the pumps, but Canada’s oil and gas industry is in the midst of a technological revolution that is allowing access to previously unavailable petroleum deposits.

New drilling techniques, particularly the marriage of horizontal drilling and hydraulic fracturing of rock formations using high pressure water, have unlocked oil and natural gas from deposits that were uneconomic to tap even just a few years ago.

The result has been a dramatic decline in the price of natural gas in North America, a widening of the spread between oil prices in land-locked North America and the rest of the world, and expectations that there is much more oil and gas to be exploited on the continent.

The new technologies and discoveries of suddenly accessible “tight oil” and natural gas in shale deposits has U.S. politicians proclaiming that American energy independence is on the horizon and has pushed worries of Canadian energy depletion well into the future.

Resources ‘R’ Us [Canada] – by Philip Cross (National Post – April 13, 2012)

April 14, 2012

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

Philip Cross is the former chief economic analyst at Statistics Canada.

There seems to be more than the usual disconnect between the business community and economists in Canada these days. Open any business page or stock market report and they are positively gushing with stories about our natural resources: oil prices hitting near record highs, new plans for pipelines on what seem a daily basis, a revival of mining development on an epic scale, and land prices on the Prairies at stratospheric levels.

The trend is so pronounced, even governments have sat up and taken notice. Western Canada has long tied its economic development to natural resources. Newfoundland lifted itself out of “have not” status by adopting this strategy, starting with offshore oil and gas and more recently mining in its interior.

In their latest budgets, the federal and Quebec governments have clearly embraced natural resource projects as the road to prosperity, however ill-conceived their attempts to subsidize a booming sector. While the Premier of Ontario equivocates about the possibility of “Dutch Disease” in its manufacturing sector, investments in energy and mining in the real world of Ontario now total twice as much as in its manufacturing sector.

Canadian juniors’ cash holdings start to look fat as market caps sink – by Kip Keen (Mineweb.com – April 13, 2012)

April 14, 2012

www.mineweb.com

Junior market capitalization have sunk hard leaving some juniors sitting on hefty cash piles. Meanwhile some analysts suggest it’s time for investors to start hunting.

HALIFAX, NS (MINEWEB) – For juniors overall 2011 and 2012, so far, have been a veritable plague. Many a junior market capitalization has painfully shrunk. There are often individual reasons beyond general market malaise for that pain, of course. Some juniors have disappointed (former) investors with lackluster plans for minerals assets. Some may be in project development periods that are too boring for the gambler. But beyond those and other individual causes, it is hard to ignore the greater downward pressure on speculative investing over the past year or so as paramount. And this plague – symptoms of which include feverish risk aversion – has left some members of the broader junior population with, relative to market capitalization, fatty stores of cash.

In a non-comprehensive selection of junior explorers holding cash worth at least 20 percent of their market capitalization – compiled over the course of a few hours research – you’ll find some truly astonishing figures. One junior, Gobimin (TSX-V: GMN), with a market capitalization around C$44 million held some $60-odd million in cash at last count (late last year.) Meanwhile seven other junior explorers on the list held, or were set to hold, cash worth more than half the value of their market capitalizations: Canaco Resources (TSX-V: CAN), Canada Fluorspar (TSX-V: CFI), Keegan Resources (TSX: KGN), Metalex Ventures (TSX-V: MTX), Southern Arc Minerals (TSX-V: SA) and a merged Regulus Resources (TSX-V: REG) and Pachamama Resources (TSX-V: PMA, merging now unfolding).

NEWS RELEASE: Champion Minerals Enters Into an Exclusive Memorandum of Understanding With the Takuaikan Uashat Mak Mani-Utenam Innus First Nation on the Potential Development of a New Multi-User Railway

April 14, 2012

TORONTO, ONTARIO–(Marketwire – April 2, 2012) – CHAMPION MINERALS INC. (TSX:CHM)(FRANKFURT:P02) (“Champion”, or the “Company”) is proud to announce that it entered into a memorandum of understanding with the Takuaikan Uashat Mak Mani-Utenam Innu First Nation (“ITUM”) of Uashat, Quebec, located near the Port of Sept-Iles.

“This memorandum of understanding confirms that ITUM has agreed to enter into exclusive discussions with Champion in connection with the potential development of an entirely new multi-user railway and the potential creation of a partnership, the equity of which would be opened to other users, in order to design, build and manage this new railway. The objective of this new railway would be to service the iron ore industry directly linking the Fire Lake North region to the planned multi-user Port Facility at Pointe Noire, in Sept-Iles, Quebec”, says Richard Quesnel, Senior Technical Advisor and Head of Champion’s Advisory Board.

At this stage, the intent of ITUM and Champion is that the interests and long term vision of ITUM will be integrated in the project planning as the parties desire to create a sustainable development project that will enable the economic development of the region and support mutual environmental and social responsibility objectives. “This railway project is the one that offers the best prospects for the development of my community. Negotiated with respect, this project offers sustainable economic benefits and constitutes an important asset that will create appealing jobs on our territory for our next generations”, said Chief Georges-Ernest Gregoire of ITUM.

Innu women march against Hydro-Quebec project [Plan Nord protests] – by Lorraine Mallinder (Toronto Star – April 14, 2012)

April 14, 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.

‘If Plan Nord goes through, we’re finished’

ST-HILARION, QUEBEC—Elise Vollant would not consider herself a political person. Yet, the former nursery school teacher is currently leading members of her Innu community on a 900-kilometre march to Montreal to protest the Quebec government’s Plan Nord, a multibillion-dollar scheme that will open the north to mining and energy companies.

The group, originally comprising 14 women, left Uashat Mak Mani-Utenam near Sept-Îles nearly two weeks ago. They plan to reach Montreal on April 22 to join wider environmental protests against the Plan Nord. Along the way, they’ve picked up supporters from other reserves and a French ethnologist. Now, midway, they are nearly 40 strong.

“I would never have imagined we’d get this far,” says Vollant, raising her voice against the din of passing trucks on a dismal stretch of Highway 138. Her political odyssey began last month after she joined a five-day blockade of a road running through her reserve to the $6.5 billion La Romaine hydroelectric project.

Lure of mining leaves First Nations struggling [Goldcorp Musselwhite] – The Canadian Press (CBC Radio: Thunder Bay – April 13, 2012)

August 8, 2012April 13, 2012

http://www.cbc.ca/thunderbay/

Mining money is often spent on financing prescription drug addictions

Isolation often takes the blame as the source of many problems on remote reserves. But North Caribou Lake Chief Pierre Morriseau has decidedly mixed feelings about that.

His Oji-Cree community, 320 kilometres north of Sioux Lookout, Ont., is definitely remote. During the winter, an ice road connects it to other communities in the lake-soaked terrain of northwestern Ontario. The rest of the year, it’s fly-in only.

But the Musselwhite gold mine nearby flies many of the local residents in and out every two weeks. On paper, that means jobs, decent pay and training.

So even though official statistics show only 10 per cent of the population has graduated from high school, the band only relies on government money for 30 per cent of its revenue.

La hommage au “Plan Nord” – by Russell Noble (Canadian Mining Jounal – April 2012)

April 13, 2012

Russell Noble is the editor for the Canadian Mining Journal, Canada’s first mining publication.

I had to look up the meaning of the word “plan” to reassure myself that Quebec’s “Plan Nord” fits “Oxford’s” definition. And, thankfully, it does.

I say “thankfully” because so many gov¬ernment plans we hear and read about are just “schemes” (also part of Oxford’s definition), but in Quebec’s case, I believe “A formulation and detailed meth¬od by which a thing is to be done” truly spells out what’s in the works as the Government of Quebec moves ahead with its “Plan Nord” program.
For those of you not too familiar with the program, it’s an $80-billion project designed to open the province’s vast resources located north of the 49th parallel and north of the St. Lawrence River and the Gulf of St. Lawrence.

In a word, it’s an “immense” project that covers 1.2 million km2 and accounts for 72 per cent of Quebec’s geographic area. It’s an area where all of the province’s nickel, cobalt, platinum group metals, zinc, iron ore and ilmenite are found, as well as a sig¬nificant portion of gold production.

[Sudbury] Soils Study inspires textbook – by Carol Mulligan (Sudbury Star – April 13, 2012)

April 13, 2012

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

It would cost $15 million and take eight years to complete, but the Sudbury Soils Study is a milestone in Sudbury’s journey from mining-devastated landscape to a greener, healthier city, says the author of a new textbook.

Chris Wren, who headed up the study through his Sudbury Area Risk Assessment (SARA) Group, released the 450-page book on the study funded by Vale and Xstrata (formerly Inco and Falconbridge) at the Vale Living With Lakes Centre on Thursday.

The book has a title as weighty as its contents — Risk Assessment and Environmental Management: A Case Study in Sudbury, Ontario, Canada.

It compiles thousands of pages of research from three technical reports that Wren and the Sudbury Soils Study’s technical committee realize few people, “almost no one,” will read, said Wren. The textbook is aimed at students and scientists interested in conducting similar studies.

Results to be known within weeks [Sudbury miners’ deaths] – by Carol Mulligan (Sudbury Star – April 13, 2012)

April 13, 2012

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

Investigation into miners’ deaths forwarded to northern director

A report on the Ministry of Labour’s investigation into the June 8, 2011, deaths of Jason Chenier and Jordan Fram at Vale’s Stobie Mine is in the hands of the ministry’s legal services branch.

Chenier, 35, and Fram, 26, were killed when they were working in the No. 7 ore pass at the 3,000-level of the mine and were struck by a run of 350 tons of muck.

Environment Ministry spokesman Matt Blajer said the ministry has completed its investigation and forwarded its findings to its northern director and to the legal branch. Whatever action, if any, comes from that report will be known within weeks. By law, the ministry has a year to investigate on-the-job deaths and lay charges.

The ministry enforces Ontario’s Occupational Health and Safety Act and can lay charges that result in hefty fines and imprisonment.

Bold Ventures Signs Memorandum of Understanding With Attawapiskat First Nation, Plans to Drill

April 12, 2012

Toronto, Ontario April 11, 2012 – Bold Ventures Inc. (BOL:TSX.V) (“Bold” or the “Company”) is pleased to advise that it has entered into a Memorandum of Understanding (“MOU”) with Attawapiskat First Nation (“ATFN”) to cover the initial drilling program of its Area 52,53,54 and 56 claim groups located within 100 kilometres of the area dubbed “The Ring of Fire” northern Ontario. The MOU allows for Bold’s initial drill program in that area to commence while respecting the environment and the traditional activities of the local people and addresses benefits for the local economy and job creation. The initial diamond drilling program will consist of approximately 2000 metres of NQ sized core drilling.

In late 2010 the Company staked the Area 52, 53, 54 and 56 claims to cover a number of high potential VTEM anomalies. Numerous anomalies were encountered with at least ten that are recommended for follow up drill testing. Three separate VTEM anomalies are favourably compared to the anomaly at Noront Resources Eagle One Ni-Cu-PGM discovery. Mr. Scott Hogg, a consultant and advisor to the Board of Bold concluded in his report dated November 23rd 2010 (which may be accessed by visiting the Company’s new web site) that:

“In general, anomalies within the Ring of Fire Area that have a significant time constant have proven to be associated with sulphide mineralization. The Eagle One nickel deposit had an associated time constant of just under 4 milliseconds (“msec”). Anomaly 53-A has a longer time constant of about 4.5 msec and presents an exceptional target from an airborne electromagnetic perspective.

Bonanza gold grades at Upper Canada, Monster Lake – by Marilyn Scales (Canadian Mining Journal – April 11, 2012)

May 4, 2015April 12, 2012

Marilyn Scales is a field editor for the Canadian Mining Journal, Canada’s first mining publication. She is one of Canada’s most senior mining commentators.

Like most CMJ readers, I get a shiver up my spine at the thought of bonanza gold grades. So it was with excitement I read that Toronto’s Queenston Mining (Queenston.ca) had intersected 42.4 g/t Au at its Upper Canada property in Kirkland Lake, ON. Better yet, that was the grade over 5.5 metres.

Not all the grades at Upper Canada were as high. There was also 22.9 g/t over 6.6 metres, 13.2 g/t over 5.5 metres, 4.47 g/t over 37.2 metres and 4.40 g/t over 26.2. These results came for diamond drilling in the Upper L zone as well as the H, M & Q zones. Queenston says the results expand both the underground and pit potential of a large gold system.

A few high grade drill intersections do not a gold mine make, but Queenston has already outlined 1.96 million tonnes averaging 2.38 g/t Au in the indicated resource (uncapped) and 5.38 million tonnes at 4.55 g/t Au in the inferred category (uncapped). Together the resource contains an estimated 937,000 oz of gold that will be recovered by both open pit and underground mining.

Treaty 3 ready to sit down with Miners United group – by Jon Thompson (Kenora Daily Miner and News – April 12, 2012)

April 12, 2012

http://www.kenoradailyminerandnews.com/

Treaty 3 has cautiously agreed to speak with 60 junior mining outfits who make up Miners United, provided the companies leave “racist” attitudes behind.

Last week’s resolution at Grand Council voted the companies “will not be tolerated” in Treaty 3 territory, due to media reports describing their “revolt” against First Nations consultation. Following a conversation with the Ontario Prospector’s Association, Treaty 3 Grand Chief Diane Kelly said defiant and ignorant approaches to consultation would not be tolerated.

“Those kinds of attitudes are not going to be tolerated by anybody. We’re not just wandering around in the bush looking for blueberries,” Kelly said, pointing to Miners United members’ public statements regarding unwillingness to look for arrowheads on behalf of First Nations communities.

“It’s just fuelling the fire when there’s comments like that in their press release,” she explained. “We’re not against economic activity, we just want to make sure our rights are respected and we’re part of it.”