Republic of Mining

Vale CEO Roger Agnelli Takes Technology Underground – by Susan Caminiti (NYSE Magazine)

March 25, 2011March 25, 2011

This article is from the First Quarter 2011 issue of NYSE Magazine, a quarterly publication of NYSE Euronext, provides insights into the world’s best companies, giving readers a close-up look at the distinguished leaders that constitute the NYSE community. Each issue centers around opinions, strategies and ideas from senior executives who lead the corporate world, focusing on what makes companies succeed.

“What we are investing in new technologies – to reduce emissions, to develop new products and to [be] more cost-efficient – will drive Vale’s growth.” – Roger Agnelli, president and CEO, Vale

Iron Man

With skills in banking and a passion for engineering, Agnelli aims to make Vale the biggest mining company in the world.

In northern Brazil, in the heart of the Amazon rain forest, is the Carajás mining complex, where a reported 300,000 tons of iron ore are extracted each day. To ensure that the mines at Carajás are working as efficiently as possible, owner Vale SA (VALE), Brazil’s largest mining company as measured by revenue, built an operational control center within the complex in 2007 that essentially acts like the mine’s brain, explains President and CEO Roger Agnelli.

He says everything to do with operations within the enormous mine — the equipment used there, treatment plants for the ore, and dispatch facilities — is monitored and controlled remotely through the use of satellites. Engineers, he points out, can see what’s happening at any stage of production: how a particular piece of equipment is working, for example, or how much ore is in a crusher at any given moment. They can also make corrections or changes in real time.

Walking through this control center and visiting Vale’s geologists and engineers to see what new ideas they have dreamed up is one aspect that Agnelli, 50, says he truly enjoys about his job. “I’m crazy about technology and innovation,” he says from the company’s Rio de Janeiro headquarters. “I love to visit the different operations to see what they’re working on and how they’re figuring things out.” Agnelli oversees a global mining empire with 115,000 employees (its own and contractors) spread across 38 countries on five continents.

Why I Support the People of Thompson, Canada — And You Should Too – by Michael Moore (February 25, 2011)

March 24, 2011

Michael Moore is an Academy-Award winning filmmaker and best-selling author. http://www.michaelmoore.com/

To people down here in the U.S., Thompson, Canada and its fight with the Brazilian mining giant Vale may seem very far away. It’s not.

(Don’t be embarrassed if you need a map to find Thompson, though — blame the U.S. media, which will only tell you about Canadians if they have some connection to Justin Bieber.)

Right now Thompson is fighting a frontline battle in a war that’s been raging for the past 30 years — the global war of the world’s rich on the middle class. It’s a war the people of Flint and all of Michigan know much too well. It’s a war going on right now in Wisconsin. And it’s a war where the middle class just won a round in Egypt. (You probably didn’t know — because the U.S. media was too busy telling you about Justin Bieber — that Gamal Mubarak, son of Egypt’s dictator and his chosen successor, worked for years for Bank of America.)

Here’s what’s happening in Thompson, and why it matters so much:

Mining for victory [Inco, Nickel, World War Two] – by Stan Sudol (National Post – August 25, 2005)

September 18, 2016March 24, 2011

Stan Sudol is a Toronto-based communications consultant who writes extensively on mining issues. stan.sudol@republicofmining.com

The Royal Canadian Mint last spring introduced the Victory Anniversary Nickel to commemorate the sacrifices and achievements of our fighting forces in the Second World War. In Sudbury and Port Colborne, Ont., that victory coin has many additional memories, especially for Inco Ltd and its work force.

During the war years, International Nickel Company of Canada, as it was known back then, and its employees in Sudbury and Port Colborne, supplied 95% of all Allied demands for nickel — a vital raw material critical for our final victory.

In fact, for much of the past century the leading source of this essential metal was the legendary Sudbury Basin; the South Pacific island of New Caledonia came a distant second. Until the mid-seventies, Sudbury supplied up to 90% of world demand during some periods.

Nishnawbe Aski Nation (NAN) Chief’s gather in Timmins to discuss resources – by Kate McLaren (The Daily Press, March 24, 2011)

March 24, 2011

Kate McLaren is a reporter for The Daily Press, the city of Timmins newspaper. Contact the writer at news@thedailypress.ca.

“The government has a responsibility to protect First Nations people, and it’s their
duty to consult. That duty should not be given to the industries themselves, unless
it’s agreed upon through talks between First Nations people and government officials.”
(Raymond Ferris – Ring of Fire co-ordinator for Matawa First Nation)

As First Nation chiefs from 49 Nishnawbe Aski Nation (NAN) communities gather this week for the 2011 Winter Chiefs Assembly, the theme of the conference — Our Land, Our Resources — reflects current frustrations in First Nations communities.

“The discussions are centred around resource development, as it applies to both the written and spirited intent of Treaty 9,” said NAN Grand Chief Stan Beardy. “A hundred years ago, we signed a treaty that gave us peaceful and shared land, and said we would share in any wealth generated from that land.”

The conference, which began on Tuesday and concludes Thursday, features various presentations. Beardy said one of the highlights was the discussion around proposed mining developments in the Far North.

“The focus is around the implementation of these various treaty rights. We’d like the government to be more respectful of those rights.”

[Canada Mining] Underground Takeover – by Mike Blanchfield (Sharp April, 2011)

March 23, 2011March 23, 2011

Sharp is Canada’s largest men’s lifestyle magazine, covering fashion, technology, cars, food, booze, culture and current events from an intelligent Canadian perspective. Subscribe to the magazine and the Sharp Insider newsletter at Sharpformen.com

Mike Blanchfield covers international affairs for The Canadian Press in Ottawa.

Underground Takeover – Mike Blanchfield

Foreign Companies are lining up to buy the extraction rights to Canadian oil, nickel and potash and spending billions in the process. Are we selling our birthright?

The town of Kitimat was born in the brash 1950s, the product of a successful marriage between herculean feats of engineering and unabashed visions of grandeur.

Canadian captains of industry carved the town out of old growth forest at the end of the Kitimat River, blasting an industry out of British Columbia’s rugged Coast Mountain range that would sustain its people for the next half-century. The engineers of Alcan – then the Aluminum Company of Canada – saw a rich future in this rugged northwestern BC terrain. The company built the town over four years, as 35,000 workers bored a 16-kilometre tunnel through the mountains and erected a massive hydroelectric dam and aluminum smelter. In August 1954, when Kitimat produced its first batch of aluminum, Prince Phillip was on hand to help celebrate the day.

Aboriginal Peoples Television Network (APTN) Ring of Fire Investigative Report (October 18, 2010)

March 23, 2011

Aboriginal Peoples Television Network (more commonly referred to as APTN) is a Canadian broadcast and cable television network. APTN airs and produces programs made by, for and about Aboriginal Peoples. It is noted as the first of its kind in the world and is based in Winnipeg, Manitoba. (Wiki) APTN Investigates, with host/producer Cheryl McKenzie, …

PDAC NEWS RELEASE: Prospectors and Developers Association of Canada welcomes extension of mineral exploration incentive in 2011 federal budget

March 23, 2011

TORONTO (March 22, 2011) – Scott Jobin-Bevans, president of the Prospectors and Developers Association of Canada (PDAC), expressed support for the inclusion of the Mineral Exploration Tax Credit (METC) in the Government of Canada’s budget, announced today.

“On behalf of our members, many of whom are involved in raising financing for grassroots exploration, I am pleased that the federal government has proposed that the Mineral Exploration Tax Credit be extended for another year,” said Dr. Jobin-Bevans. “Investment in mineral exploration is the first step in addressing Canada’s decline in mineral reserves and the METC program plays a critical role in encouraging investment in Canadian-based projects.”

The 2011 federal budget proposes that the Mineral Exploration Tax Credit, known also as the super flow-through share program, that was due to expire at the end of March 2011 be extended for an additional year to March 31, 2012. As stated in today’s budget, exploration and development of Canada’s rich mineral resources offer important investment and employment benefits in many parts of the country, particularly in rural and remote regions.

PDAC NEWS RELEASE: Highlights from the 2011 PDAC International Convention, Trade Show & Investors Exchange

March 23, 2011

TORONTO (March 22, 2011) Where the world’s mineral industry meets just about sums up this year’s PDAC International Convention. Total attendance was a record-breaking 27,700, up by 26% or 5,000 from last year. Attendees included registered delegates, exhibitors, investors, speakers, sponsors, students, media, staff and volunteers.

In all, 1,000 companies showcased their discoveries and wares at the Trade Show and Investors Exchange in an exhibit space covering the equivalent of eight football pitches. Sixty companies were featured in the Core Shack.

More than 50 foreign delegations, many of them headed by government ministers, attended. The largest contingents came from Argentina, Chile, China, India, Mexico and Peru. Many countries booked rooms where their governments could promote mining and investment opportunities, and the crowds flocked to find out more about Armenia, Bolivia, Portugal, Australia, Greenland, Brazil. Ecuador, South Africa, Peru, Chile, Colombia and India.

Thompson Citizen Editorial: Hats off to the save-the-smelter team (February 23, 2011)

March 22, 2011March 22, 2011

This article was originally published in the Thompson Citizen which was established in June 1960. The Citizen 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.

February 23, 2011

While we haven’t written in this space about the local Vale refinery and smelter saga since Jan. 5, it hasn’t been for lack of interest in recent weeks. Rather, we stepped back to watch events unfold and see how things play out a bit before offering our two cents again from the cheap seats.

At the same time, however, we are cognizant that some things merit commenting on along the way before the final chapter is written in this story, which is likely some time away given the final shutdown isn’t scheduled until 2015. It’s probably trite but nonetheless true to observe the obvious: a lot can happen in four years.

Last week, the save-the-smelter team as they’re sometimes dubbed by us (it includes the refinery, too, of course, but there are only so many words you can include in a catchy headline), travelled to Toronto again to meet with Tito Martins, chief executive officer of Vale Canada and executive director of base metals for the international parent company, and his senior management team, and deliver proposals aimed at keeping the smelter and refinery open beyond 2015 with those 500 “value-added” jobs Thompson NDP MLA and Infrastructure and Transportation Minister Steve Ashton often mentions, rightly stressing those two words – value added.

Michael Moore delivers the goods for [Thompson NDP MP] Niki Ashton [on Vale Shutdown] – by John Barker (February 25, 2011)

March 22, 2011March 22, 2011

editor@thompsoncitizen.net

It took more than a month, but Churchill riding NDP MP Niki Ashton has got her wish: American left-wing filmmaker Michael Moore has featured Thompson and Vale’s plan to shutdown the smelter and refinery here by 2015 on his website.

But in an even bigger coup, The Huffington Post, perhaps the most important English-language liberal political blog in the world, picked up at 12:02 EST Moore’s blog entry today on Vale and Thompson — which is hitting the social media jackpot. New York City-based HuffPo was sold by founder Arianna Huffington earlier this month for $315 million to AOL Inc., formerly America Online, and had a reported 40 million unique visitors in January.

A Thompson Citizen online poll that ran from Feb. 9 to Feb. 15 asked readers, “What do you think of Churchill riding MP Niki Ashton’s attempt to enlist left-wing US filmmaker Michael Moore in the battle to save the Vale refinery and smelter in Thompson?”

North [Ontario] disrespected by urban dictatorship – by Wayne Snider (The Daily Press, March 22, 2011)

March 22, 2011

Wayne Snider is the city editor for The Daily Press, the city of Timmins newspaper. Contact the writer at news@thedailypress.ca.

“Show us [Northern Ontario] the respect we deserve. The urban dictatorship is destroying
the beautiful cultural mosaic that makes our country unique — and great.”
(Wayne Snider, March 22, 2011)

Recently, the Town of Cochrane sent a strongly worded letter to Natural Resources Minister Linda Jeffrey. The topic of discussion was the Ontario government’s plan to protect massive

amounts of land in the North — stretching from the Manitoba border to James Bay — from future resource development under the Endangered Species Act in a bid to re-establish the range of the woodland caribou.

In a nutshell, the town said it would not consider supporting the policy unless:

* Northern municipalities and First Nation communities are given the chance to provide “meaningful consultations” on the issue;

* A socio-economic assessment — overseen by the province and the Federation of Northern Ontario Mayors — is done to determine the impact of the legislation;

NEWS RELEASE: Natural Resources Canada News – Government of Canada Strengthens Commitment to Mineral Exploration

March 21, 2011

March 7, 2011

TORONTO — Canada’s world-leading exploration and mining industry, an important source of employment and an economic driver for the country, will benefit from a new federal investment in mineral exploration geoscience.

Speaking at the annual Prospectors and Developers Association of Canada conference, the Honourable Christian Paradis, Minister of Natural Resources, today announced the third renewal of the Targeted Geoscience Initiative (TGI). The Government of Canada will provide funding of $25 million over five years ― more than double the original two-year allocation of $12 million ― to help develop new ways of exploring for deep mineral deposits.

“The Government of Canada recognizes that modern geoscientific information can help lower industry’s exploration risks and support the search for undiscovered natural resources,” said Minister Paradis. “We are committed to fostering economic growth throughout Canada, improving our global competitiveness and helping create local employment in mineral-based communities.”

Canada’s mining sector has pulled up its environmental SOx

March 21, 2011

This article was provided by the Ontario Mining Association (OMA), an organization that was established in 1920 to represent the mining industry of the province.

Canada’s mining industry has made significant improvement in its environmental performance on many fronts from 1998 to 2008, according to a federal government publication. The “Mining Sector Performance Report” was produced by Natural Resources Canada in consultation with an external advisory committee. It included representation from industry, academia, provincial governments, Aboriginal groups and non-governmental organizations.

“One cannot report on the industry’s performance without noting the significant progress in environmental protection,” said the report. “The mining sector, through multi-stakeholder initiatives, regulatory and financial instruments and science and technology has demonstrated its environmental commitment through reductions in energy intensity, air emissions and greenhouse gas emissions, as well as increases in environmental expenditures, including remediation and decommissioning.”

“This change in performance has taken place against a backdrop of rising public expectations, which has challenged the industry to extend its practices beyond regulatory compliance to environmental stewardship.”

There has been a tremendous growth in investments in the environment. Between 1997 and 2006, environmental expenditures on operating costs rose from $796.1 million to $960.9 million and environmental capital expenditure increased from $420.9 million to $453.6 million over the same time period.

Kirkland Lake gold district seeing strong activity – by Nick Stewart

March 21, 2011

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. This article is from the March, 2011 issue.

Gold adding a shine to exploration

As a camp which has lived and died on the back of gold, it’s perhaps no surprise that the Kirkland Lake district is thriving on the fortunes of the precious metal. Related exploration continues to shine in the region, as more and more drills are put into the ground to suss out the next major gold deposit or resource expansion.

“With the price of gold being between $1,300 and $1,400 an ounce, it makes it pretty easy to raise money on the market for gold projects,” said Gary Grabowski, resident regional geologist for the Kirkland Lake district. “That’s what’s being looked at here, as you can imagine. Kirkland Lake is about gold.”

To put it into perspective, Grabowski says that the value of assessment work filed for the district in 2010 was $19 million; comparatively, it reached $27 million in 2009 and $17 million in 2008. “In previous years, we used to think if we got $8 million to $10 million that it was a really good year.”