Republic of Mining

‘The Kuzbass is now just one big hole’: Siberian coal town residents on their failed effort to come to Canada – by Chris Brown (CBC News World – June 15, 2021)

June 16, 2021

https://www.cbc.ca/news/world/

The view from the top of Alps Street, the high point in the Siberian city of Kiselyovsk, makes it seem like surrounding neighbourhoods are being swallowed up by a succession of giant black holes.

Nine open pit coal mines encircle this city of 90,000 people in Russia’s Kuzbass region, the epicentre of the country’s coal production, 3,700 kilometres east of the capital, Moscow.

Daily, bone-rattling explosions from the pits reverberate across the blackened landscape, shifting buildings off their foundations and leaving structures crumbling. The spontaneous combustion of coal byproducts dumped in areas adjacent to neighbourhoods engulf homes in noxious fumes.

Opinion: Canada is abandoning national unity for ‘managed disunity’ – by J.J. McCullough (Washington Post – June 15, 2021)

June 16, 2021

https://www.washingtonpost.com/

Not long ago, “national unity” was the trendiest slogan in Canadian politics. Keeping the people of Canada united, regardless of race, culture, language or geography was every politician’s purported dream; “hurting national unity,” the darkest insult.

There’s much less of that these days, however, and Prime Minister Justin Trudeau’s tenure may wind up marking Canada’s formal abandonment of “national unity” as even an aspirational ideal in favor of a far humbler goal of “managed disunity.”

Rather than a single, unified country with a single, inclusive form of democratic citizenship, “managed disunity” would describe a Canada resigned to the notion that various prominent demographic groups will never see themselves as fully Canadian, with Ottawa — at best — merely aspiring to serve as their distant, supportive ally when asked.

Vale, Local 6500 ‘remain apart on important issues’ – by Jim Moodie (Sudbury Star – June 16, 2021)

June 16, 2021

https://www.thesudburystar.com/

Clawbacks to benefits and pensions are the main sticking points for Local 6500, union officials said Tuesday — a day after members resoundingly shot down a new offer from Vale.

“Times are good right now in Sudbury — in fact they’re very good,” said Myles Sullivan, assistant to USW District 6 director Marty Warren, during a press conference.

“Now is not a time to be forcing us out on strike, demanding concessions. So yeah, we’re disappointed and frustrated, but ready to roll up our sleeves and get back to the bargaining table. It takes two sides to do that and we’re ready.”

Empowerment is the key to FMG’s joint ventures – by Sarah Smit (National Indigenous Times – June 16, 2021)

June 16, 2021

https://nit.com.au/

Without the support of Fortescue Metals Group, Nygumarta businessman Ricky Osborne’s business wouldn’t be where it is today.

Mr Osborne owns Jatu Clothing and PPE with his daughters Yvonne Kelly-Osborne and Jummana Osborne. He has supplied clothing and personal protective equipment to the mining company for six of the eight years his company has been in operation.

“One of the most important things for me, and not just for our business, for Aboriginal businesses across the board, is the very strong corporate citizenry push the likes of (FMG chair) Andrew Forrest has promoted to go with Aboriginal people,” he said. “That commitment has had a very significant impact in opening up opportunities for Aboriginal businesses, particularly in WA.

Exploration roundup: The search for battery metals charges up these Temiskaming junior miners – by Staff (Northern Ontario Business – June 15, 2021)

June 16, 2021

https://www.northernontariobusiness.com/

Untapped resources of silver and cobalt bring out the drill rigs to historic northeastern Ontario mine properties

A surge of exploration activity is taking place in the historic mining camps of the Temiskaming area as junior miners poke holes and survey ground in looking for new veins of silver and bypassed stockpiles of cobalt, needed for the electric vehicle market and to feed the critical minerals supply chain.

A steady diet of high-grade silver results have been emanating from a former Temiskaming silver mine where Vancouver junior miner Brixton Metals has been exploring an unmined portion of its 3,200-hectare property.

The company released the last batch of drill results from an 18,000-metre fall and winter drilling program at its Langis Project, situated just north of Lake Temiskaming and very close to the Québec border.

OPINION: How to avoid the mining sector’s perpetual ‘boom and bust’ – Alexandra Horwood (Globe and Mail – June 15, 2021)

June 16, 2021

https://www.theglobeandmail.com/

Alexandra Horwood is director, wealth management, portfolio manager, and investment advisor at Richardson Wealth Ltd.

For most of the bear cycle in mining stocks during the past decade, financial advisors have had the ability to lower their clients’ tax bills by triggering a capital loss.

But things have changed as mining stocks have been on a tear since gold became a haven at the start of the COVID-19 pandemic – and advisors who serve Canadians invested in the mining sector should consider how to manage the windfall strategically.

Mining is a cyclical sector. It generates a lot of wealth for many people – including the jobs it creates in financial hubs like Toronto and Vancouver and the remote communities where the mines themselves are located. But along with the highs come the lows, and for investors, it’s important to be protected during these times of uncertainty.

WATCH: Thousands rush to dig for diamonds in South Africa – by Cecilia Jamasmie (Mining.com – June 15, 2021)

June 16, 2021

https://www.mining.com/

The South African government has launched a formal investigation into claims made on social media of the existence of massive diamonds within easy reach near the town of Ladysmith, about 360 kilometers (224 miles) southeast of Johannesburg.

The country’s Department of Mineral Resources and Energy ordered people on Tuesday to halt the search as thousands continue to travel from across South Africa to join villagers who have been digging in the area since Saturday.

The Department noted it was sending a team of geological and mining experts to the site to collect samples and conduct an analysis.

FMG Billion Opportunities program thriving 10 years on – by Sarah Smit (National Indigenous Times – May 19, 2021)

June 16, 2021

https://nit.com.au/

Balyku woman Elsa Derschow never thought in a million years that she would own a brand new grading machine, but Fortescue Metals Group’s Billion Opportunities program has made that a reality.

Derschow runs Brindabella Resources, a plant hire business servicing FMG’s Cloudbreak mine in the Pilbara, alongside four other female Pilbara Traditional Owners.

The business was awarded a three-year contract this year, tipping Fortescue’s Indigenous procurement program, Billion Opportunities, over the $3 billion mark.

BASF, Canada in early talks on EV battery production – source – by Steve Scherer and Christoph Steitz (Financial Post/Reuters – May 20, 2021)

June 16, 2021June 16, 2021

https://financialpost.com/

OTTAWA — Several companies, including Germany’s BASF SE, are in preliminary talks about tapping a federal clean tech fund to set up production for electric vehicle batteries in Canada, a government official with knowledge of the discussions said.

The talks are centered on understanding whether the goals of BASF and others fit with the aim of the C$8 billion ($6.6 billion) “Net Zero Accelerator” (NZA) fund, the source said. Canada has set a goal to reach net zero emissions by 2050.

BASF is a key supplier of cathode active materials (CAM) needed for the production of lithium-ion batteries in electric vehicles (EV), and is the world’s largest chemicals and plastics producer by sales.

Sudbury Local 6500 rejects latest offer from Vale – by Staff (Sudbury Star – June 15, 2021)

June 15, 2021

https://www.thesudburystar.com/

A new contract offer from Vale to its striking workers was rejected by a strong margin Monday. Eighty-four per cent of USW Local 6500 members participated in a vote Monday evening, with 87 per cent opposing the revised deal.

The union’s own bargaining team had called the offer “concessionary” and did not recommend it to members. In a release, Vale expressed disappointment that the union had taken this stance.

“The company was in active negotiations with Local 6500 when it was informed of this position,” the miner said. “Vale’s second offer addresses issues of concern that we heard from our employees, including wages, pensions and post-retiree benefits for new hires.”

China ban on Australian coal boosts Indonesian exports – by Emma Connors (Australian Financial Review – June 15, 2021)

June 15, 2021

https://www.afr.com/

Singapore/Jakarta | China’s determination to reduce its consumption of Australian exports has helped increase demand for Indonesian coal, according to the country’s peak industry body.

The Indonesian Coal Mining Association said this week that a mixture of domestic supply disruption in China and politically driven efforts to diversify source markets for coal – mainly coking for steel making – had benefited south-east Asia’s biggest economy.

“Imports by China have strengthened because their domestic [coal prices] are getting more expensive, partly because of bad weather that has disrupted domestic supply and partly due to the factors that are hampering exports from Australia,” said executive director Hendra Sinadia.

Harte Gold brings banker on board for strategic review of White River mine – by Staff (Northern Ontario Business – June 10, 2021)

June 15, 2021

https://www.northernontariobusiness.com/

Gold producer sets the bar high in seeking financing to expand mine, boost production, build more ounces

Scotiabank is assisting Harte Gold in a strategic review of its Sugar Zone Mine near White River.

The banker is working with the Toronto gold miner, which needs a cash injection to further develop the three-year-old mine, boost production, and meet its debt obligations to its lenders.

A month ago, the company launched the review after falling short in some key performance areas and failing to reach some ambitious targets at the underground mine over the last year.

South African ferrochrome furnaces need to regain competitive advantage, warns Roskill – by Simone Liedtke (MiningWeekly.com – June 15, 2021)

June 15, 2021

https://www.miningweekly.com/

The South African ferrochrome industry has benefitted from recent events in China, which commodity research consultancy Roskill says has removed significant global capacity through the closure of small furnaces.

While higher-cost furnaces in southern China have been able to fill the short-term gap, the demand expectations will require South African plants to remain operational throughout this year.

Taking this into account, Roskill predicts that the benchmark price for the third and fourth quarters of this year will maintain a premium to the South African cost structure.

G7 leaders look to counter China’s Belt and Road Initiative with rival Build Back Better World scheme (Australian Broadcasting Corporation – June 13, 2021)

June 15, 2021

https://www.abc.net.au/

The Group of Seven richest democracies has sought to counter China’s growing influence by offering developing nations an infrastructure plan that could rival President Xi Jinping’s multi-trillion-dollar Belt and Road Initiative.

The G7, whose leaders are meeting in south-west England, has been searching for a coherent response to the growing assertiveness of Mr Xi after China’s surging economic and military rise over the past 40 years.

US President Joe Biden and other G7 leaders hope their plan, known as the Build Back Better World (B3W) initiative, will provide a transparent infrastructure partnership to help narrow the $US40 trillion ($51.9 trillion) needed by developing nations by 2035, the White House said.