Republic of Mining

BHP open to potash partnership with Nutrien, leaves door open to new takeover attempt – by Niall McGee (Globe and Mail – March 14, 2023)

March 15, 2023

https://www.theglobeandmail.com/

BHP Group Ltd. is open to partnering with Nutrien Ltd., and isn’t ruling out making another takeover attempt of the Canadian fertilizer giant, a senior executive with the Australian miner told The Globe and Mail. “We’re happy to partner,” Rag Udd, president minerals Americas with Melbourne-based BHP, said in an interview.

“If you take a look at the majority of our businesses, there’s some form of partnership there with other companies.” When asked whether a partnership with Nutrien meant a joint venture, a takeover of the company, or both, Mr. Udd replied, “There’s a myriad of options that could be looked at.”

China to step up deep sea mining efforts – by Frik Els (Mining.com – March 14, 2023)

March 15, 2023

https://www.mining.com/

China Daily reports that the country will make renewed efforts to join the race to mine the deep sea for critical minerals. The English language government-run paper says China lags behind the West in terms of research, technology and hardware for seabed mining which it calls “a new frontier for international competition.”

Ye Cong of Wuxi-based China Ship Scientific Research Center, a subsidiary of the China State Shipbuilding Corp, said mining the metals found in nodules on the seafloor – mainly nickel, copper, cobalt and manganese – will “help us reduce the heavy reliance on foreign suppliers”.

Inside the Volkswagen deal: How Canada fought off the U.S. to land a coveted electric vehicle battery plant – by Tonda MacCharles (Toronto Star – March 15, 2023)

March 15, 2023

https://www.thestar.com/

OTTAWA—An intense Canadian lobbying effort to woo Volkswagen to build an electric vehicle battery plant in Ontario began more than a year ago, and ended with an hour’s notice on Monday when the global automaker finally made its decision public.

The German-based company capped months of speculation with a simple news release out of its headquarters in Wolfsburg. No fanfare or fancy political photo op with top global auto executives, the premier, the prime minister or the ministers who crisscrossed the Atlantic to plead Canada’s case even as the United States also fiercely competed for Volkswagen’s attention.

Credit Suisse CDS Reach Crisis Levels as Banks Rush to Buy Protection – by Abhinav Ramnarayan and Eliza Ronalds-Hannon (Bloomberg News – March 15, 2023)

March 15, 2023

https://www.bnnbloomberg.ca/

(Bloomberg) — The cost of credit derivatives linked to Credit Suisse Group AG are blowing out to levels reminiscent of the financial panic of 2008 after the lender’s biggest shareholder said it doesn’t want to boost its stake.

The moves are being exacerbated by banks rushing to buy protection against a possible default by the Zurich-based firm to reduce their counterparty risk on trades, according to people with knowledge of the matter.

Toronto stocks join global selloff as Credit Suisse sparks concerns (Globe and Mail – March 15, 2023)

March 15, 2023

https://www.theglobeandmail.com/

U.S. and Canadian stocks dropped on Wednesday as turbulence at Credit Suisse renewed fears of a banking crisis, while data hinting at economic weakness kept alive hopes of a less aggressive monetary policy move by the Federal Reserve in March.

U.S.-listed shares of Credit Suisse slid 24.3% to hit a record low, after the Swiss bank’s largest investor said it could not provide more financial assistance to the lender. Fuelling hopes of a less hawkish Fed policy, data showed U.S. retail sales fell 0.4% last month from a growth of 3.2% in January, while economists polled by Reuters had expected a contraction of 0.3%.

Column: Gold bulls hope short-term bank contagion sparks longer-term rally – by Clyde Russell (Reuters – March 14, 2023)

March 15, 2023

https://www.reuters.com/

LAUNCESTON, Australia, March 14 (Reuters) – The gold bulls are running again, hoping that a short-term boost from the collapse of Silicon Valley Bank can be translated into a longer-term rally for the precious metal.

The spot price of gold rallied strongly on Monday after U.S. regulators enacted a series of emergency measures after the failure of Silicon Valley Bank (SIVB.O) and Signature Bank (SBNY.O) in New York. Gold ended at $1,913.24 an ounce on Monday, having gained 4.5% since its close on March 9, and closing in on the high so far in 2023 of $1,959.60 on Feb. 2.

Philippine Miners Not Keen on Indonesia Nickel Alliance Plan – by Manolo Serapio Jr. and Ditas Lopez (Bloomberg News – March 14, 2023)

March 15, 2023

https://www.bnnbloomberg.ca/

(Bloomberg) — A plan by top nickel miner Indonesia to create an OPEC-like group to coordinate supply would not benefit the Philippines, the No. 2 producer, according to an industry group.

The Philippines mined a 10th of the in-demand metal that’s used in electric vehicle batteries last year, according to the US Geological Survey, and mainly exports nickel ore to China. That’s well behind Indonesia, which accounted for almost half of global output, and floated the idea of a producer alliance late last year.

A Modern Klondike: Northern Ontario’s fiery ring – by David Marks Shribman (Literary Review of Canada – April 2023)

March 15, 2023March 15, 2023

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To purchase Ring of Fire book: https://www.amazon.ca/Ring-Fire-High-Stakes-Lowlands-Wilderness/dp/1770416749

Consider the major collisions of contemporary life in North America: the tensions between financial investments and social ideals; the threat of climate change in conflict with the thirst for energy sources; the rights of Indigenous people versus the prerogatives of elected governments; the rivalries with trading partners in competition with the hunger for goods from abroad; and the impulses of the regulatory state in full combat with the appeal of free markets.

Then consider that all of these clashes — the stuff of debate in Ottawa and provincial capitals, the topics of animated conversation in universities and coffee shops across the country — are playing out, every one of them and all at once, in a remote 5,000-square-kilometre swath of northern Canada. It’s a place that’s home to the second-largest temperate wetland in the world, that’s packed with nickel and copper, and that’s known as the Ring of Fire.

Gold price surges above $1,900 as U.S. grapples with banking turmoil, Biden seeks to reassure the public – by Anna Golubova (Kitco News – March 13, 2023)

March 13, 2023

https://www.kitco.com/

(Kitco News) The gold market jumped above $1,900 an ounce as U.S. markets reacted to the growing banking turmoil after the collapse of Silicon Valley Bank and Signature Bank. The precious metal attracted investors as the equity market tumbled, the U.S. dollar index dropped, and the U.S. Treasury yields fell. The two-year U.S. Treasury yield posted the biggest one-day drop since 1987 and was last at 4.12%

U.S. President Joe Biden made an urgent appearance to reassure the markets that the U.S. banking system is “safe” and seeking stronger bank regulations.

BHP inks $188m contracts with First Nations at Jansen potash project in Saskatchewan – by Staff (Mining.com – March 10, 2023)

March 13, 2023

https://www.mining.com/

BHP (NYSE: BHP, ASX: BHP) announced Friday that as construction progresses at its Jansen potash project in Saskatchewan, it has awarded three new contracts in partnership with local First Nation communities.

Covering camp management, site services and raw ore/handling foundation, the contracts include representation from the six First Nations surrounding the Jansen site, with whom BHP has opportunity agreements in place.

Panama Says First Quantum Deal Protects Against Copper Sell Off – by Michael McDonald (Bloomberg News – March 10, 2023)

March 13, 2023

https://www.bnnbloomberg.ca/

(Bloomberg) — A proposed new mining contract between Panama’s government and Canada’s First Quantum Minerals Ltd. would protect the company against a drop in copper prices, while giving the nation a boost in revenue from its mineral wealth, according to the government.

The deal is a “win-win” for both sides, and will serve as the standard for future mining contracts in the country, Panama’s Minister of Commerce and Industry Federico Alfaro Boyd said Friday, in a phone interview.

Government touts Manitoba as mining-friendly province at mineral industry conference – by Ian Graham (Thompson Citizen – March 10, 2023)

March 13, 2023

https://www.thompsoncitizen.net/

Province is giving $3.5 million in various grants to mining, Indigenous and economic development organizations as well as to companies conducting mineral exploration in the province.

Manitoba’s government touted its credentials as a mining-focused and mining-friendly jurisdiction in the first week of March, sending a delegation to the Prospectors and Developers Association of Canada conference in Toronto and announcing mineral-related funding for various organizations and companies.

Economic Development Minister Jeff Wharton said in a March 6 press release that Manitoba’s representatives at the conference, which attracted more than 1,100 visitors, 2,500 investors and 23,000 attendees, would be holding discussions and meetings with industry stakeholders and also distributing technical and marketing materials to conference participants.

Northwestern MPP jumps on proposed changes to the Mining Act – by Ian Ross (Northern Ontario Business – March 10, 2023)

March 13, 2023

https://www.northernontariobusiness.com/

Sol Mamakwa accuses Ford government of not consulting with First Nations

Kiiwetinoong MPP Sol Mamakwa took the Ford government to task in the Ontario Legislature March 9 for proposing changes to the provincial Mining Act, accusing them of not consulting with First Nations.

Mines Minister George Pirie announced the first of an upcoming raft of amendments to the act with more industry-friendly measures designed to put into new mines into commercial production faster.

Teck Coal appeals B.C. fines for contaminating Kootenay waterways (CBC British Columbia – March 12, 2023)

March 13, 2023

https://www.cbc.ca/news/canada/british-columbia/

Local Ktunaxa First Nation upset mining company seeking reduction to $16 million in penalties

A local First Nation says it’s “disappointed” Teck Coal is seeking to reduce the $16 million in fines it was assessed by the B.C. Ministry of Environment in January for polluting waterways in B.C.’s East Kootenay.

In January, the province imposed three administrative penalties on Teck Coal Limited, a subsidiary of Teck Resources, citing the company’s failure to have water treatment facilities ready by a required date. The company had been asked to have the facilities ready in order to limit emissions of nitrate and selenium from its Fording River operations in the Elk Valley.

China’s Lithium Probe Puts Spotlight on Reserves and ESG Risks – by Annie Lee (Bloomberg News – March 9, 2023)

March 13, 2023

https://www.bnnbloomberg.ca/

(Bloomberg) — If it’s grown, drilled or dug up, chances are there’s not enough of it in China. Beijing’s ability to manage the mismatch between its scarce natural resources and vast industrial output is now playing out in the market for lithium, a mineral crucial to the world’s transition away from fossil fuels.

It’s an effort complicated by skyrocketing prices, geopolitical tensions and the environmental devastation that can be wrought by a pell-mell approach to extraction. China is the world’s biggest producer of new energy vehicles but holds only a modest slice of global reserves of lithium, used in the batteries that power electric cars.