Republic of Mining

Pebble confirms potential for critical mineral production – by Jackson Chen (Mining.com – August 20, 2020)

August 21, 2020

https://www.mining.com/

Northern Dynasty Minerals’ (TSX: NDM) controversial Pebble project in southwest Alaska may turn out to be not just a prominent producer of base and precious metals, but also a strategic mineral required by the US to secure military dominance.

In an updated mineral resource estimate for the proposed mine in the Bristol Bay region, it was revealed that the Pebble deposit contains substantial quantities of rhenium – a metal used in jet engines and other military applications and for producing high-octane fuels – adding to the massive accumulations of copper, gold, molybdenum and silver already confirmed by previous studies.

The US Geological Survey (USGS) considers rhenium to be a strategic metal and confirms the US currently relies on foreign producers for 82% of its rhenium needs.

A dam big problem – by Warren Cornwall (Science Magazine – August 21, 2020)

August 21, 2020

https://science.sciencemag.org/

A string of catastrophic failures has raised alarm about dams meant to contain muddy mine wastes.

The dam, a 40-meter wall of rocks and dirt, gave way without warning, unleashing a torrent of mud. Within a day, some 21 million cubic meters of gray goo and water—the tailings waste left behind by 16 years of copper and gold mining at the Mount Polley mine in western Canada—escaped from a holding pond behind the dam, buried a creek, and poured into Quesnel Lake, home to one-third of British Columbia’s legendary Fraser River sockeye salmon.

The 2014 Mount Polley disaster shocked mining engineers around the world. Many considered Canada a leader in developing rules aimed at preventing the failure of such tailings dams, and respected the mine’s owner, Imperial Metals.

“That wasn’t supposed to be able to happen,” Jim Kuipers, an engineer and former tailings dam manager who now consults for environmental groups, recalls a colleague telling him.

Billionaire investor Mark Mobius recommends to wait for a correction before buying gold – by Neils Christensen (Kitco News – August 20, 2020)

August 20, 2020

https://www.kitco.com/

(Kitco News) – The chorus of hedge funds warning investors not to chase the gold market continues to grow as the precious metal struggles to find traction after the $2,000 an ounce level has proven to be stronger than expected near-term resistance.

Mark Mobius, founder of Mobius Capital Partners, is the latest fund manager to voice his concern regarding the price action in gold.

In a statement to U.K.-based Financial News, Mobius said that investors should wait for a correction in gold before jumping into the market.

NEWS RELEASE: The Task Force for Real Jobs, Real Recovery Releases Natural Resource-Focused Economic Recovery Plan (August 19, 2020)

August 20, 2020

For Full Report: https://realrecovery.ca/

Sector could create 2.6 million new jobs while setting the foundation for a low-emissions future

VANCOUVER, BC, Aug. 19, 2020 /CNW/ – Today, the national Task Force for Real Jobs, Real Recovery—which represents over a quarter of a million businesses and over 3 million workers across Canada—released Securing Canada’s Economic Future: Natural resources for real jobs and real recovery, a blueprint for Canada’s economic recovery in the face of the COVID-19 pandemic.

Economic modelling conducted for the Task Force indicates that with the right success conditions, natural resources and manufacturing could create up to 2.6 million new jobs and up to a 17 per cent increase in real gross domestic product (GDP). This could amount to a nearly $200-billion increase in potential labour earnings, while still moving Canada towards a low-emissions future.

“We need economic solutions that punch above their weight. It’s the only way to address the significant fallout to our economy caused by COVID-19,” said Stewart Muir. “Projections are for our economy to shrink from 6 to even 7 per cent if we see a second wave in 2020.

Trilogy-South32 venture delivers feasibility for $1bn Arctic project – by Mariaan Webb (MiningWeekly.com – August 20, 2020)

August 20, 2020

https://www.miningweekly.com/

Ambler Metals – a joint venture between Trilogy Metals and South32 – on Thursday announced the outcome of a feasibility study for the Arctic base and precious metals project, in north-western Alaska.

With an estimated initial capital requirement of $906-million and sustaining capital of $114-million, the project has a payback period of 2.6 years, Toronto-listed Trilogy said in a statement.

The study calculated that Arctic has an aftertax net present value (NPV) of $1.1-billion and an internal rate of return (IRR) of 27%, using long-term metal prices of $3/lb for copper, $1.10/lb for zinc, $1/lb for lead, $1 300/oz for gold and $18/oz for silver.

Tiffany will soon reveal everywhere your diamond has traveled – Kim Bhasin (Bloomberg News – August 18, 2020)

August 20, 2020

https://www.bnnbloomberg.ca/

Tiffany & Co. wants to ease customers’ concerns about human rights abuses in the diamond industry by providing them with an unprecedented amount of detail about the precious stones it sells.

Beginning in October, the 183-year-old luxury retailer will provide expanded origin details for newly sourced, individually registered diamonds that trace the stone’s path from the ground to the jewelry case.
The project, which the company says is an industry first, took nearly two decades to complete due to the challenges of tracking down sourcing information.

Scotiabank to pay US$127.5-million to settle charges in price-manipulation scheme – by Mark Rendell (Globe and Mail – August 20, 2020)

August 20, 2020

https://www.theglobeandmail.com/

The Bank of Nova Scotia will pay US$127.5-million to settle criminal and civil charges after investigators in the United States found Scotiabank traders illegally manipulated the price of futures contracts for precious metals over a period of eight years and the bank subsequently misled regulators about it.

Scotiabank has also agreed to oversight by an independent monitor for three years to ensure it addresses major failures the Commodity Futures Trading Commission uncovered in its compliance system.

The CFTC said it had grounds to “suspend or revoke” Scotiabank’s registration, and would do so if improvements are not made.

SQM posts record sales, boosts output despite weak market – by Cecilia Jamasmie (Mining.com – August 20, 2020)

August 20, 2020

https://www.mining.com/

Chile’s SQM (NYSE: SQM), the world’s second largest lithium producer, achieved record second-quarter output levels and saw sales volumes soar on renewed optimism about long-term demand for the metal used in the batteries that power electric vehicle batteries and high-tech devices.

The company said it is now producing at record levels of roughly 70,000 tonnes for the year, which has allowed it to build higher levels of inventory ahead of an expected demand boom.

“Given the demand growth expectations in coming years, we feel comfortable with the higher level of inventories that are being built,” it said.

Gold miners’ shares tumble following Mali military coup, but operators insist they can continue – by Niall McGee (Globe and Mail – August 20, 2020)

August 20, 2020

https://www.theglobeandmail.com/

A military coup d’état in Mali raised the possibility of eventual supply chain disruptions for B2Gold Corp., the Vancouver-based miner that operates one of West Africa’s biggest gold mines, and underscored the risks for Canadian companies operating in the politically unstable region.

On Tuesday, Mali president Ibrahim Boubacar Keïta resigned after being detained by mutinous military officers in the capital city of Bamako. The soldiers, who are part of a group called the National Committee for the Salvation of the People, vowed to cede power once democratic elections are eventually held.

The coup came after months of protests against the previous Mali government and amid periodic insurgency from terrorist groups. Internationally the coup was condemned.

NEWS RELEASE: Federal Government’s Castle Project Designation Brings Deteriorating Confidence in the Impact Assessment Act (Mining Association of Canada – August 20, 2020)

August 20, 2020

OTTAWA, ON, Aug. 20, 2020 /CNW/ – The Mining Association of Canada (MAC) is extremely disappointed in the federal government’s decision to designate Teck Resources Limited’s (Teck) Castle Project under the Impact Assessment Act (IAA). This project, which is already undergoing a rigorous provincial environmental review process with the BC Environmental Assessment Office, will extend Teck’s existing Fording River operation, a significant economic driver for BC and Canada in addition to being an important employer in the local community.

“We are very disheartened by the federal government’s decision on the Castle Project given the expansion fell well below the threshold to being subject to the IAA,” said Pierre Gratton, President and CEO of MAC. “This decision certainly has the potential to lead to longer timelines at a time of unprecedented global economic uncertainty.”

There is no comprehensible policy justification on the federal government’s decision to designate the Castle Project under the IAA as the BC Environmental Office is fully able to contend with any relevant issues.

‘Hot’ copper is attracting plenty of deal buzz, executive says – by James Attwood (Bloomberg News – August 19, 2020)

August 20, 2020

https://www.bnnbloomberg.ca/

The pandemic hasn’t damped deal-making enthusiasm in copper. In fact, interest — if not actual deals — is on the rise, according to JPMorgan Chase & Co. investment banker-turned-mining executive Hayden Locke.

“I feel like there’s more going on because corporate development teams can’t travel — they have more time on their hands to review what’s going on in the market,” Locke, the recently appointed president of explorer Marimaca Copper Corp., said in an interview. “I don’t know if that will translate into execution, but copper is very hot.”

Prices of the metal used in wiring have surged to two-year highs as producers struggle to keep up with strong demand in China.

A heroic sacrifice at the East Sullivan mine – by Tijana Mitrovic (CIM Magazine – August 10, 2020)

August 20, 2020

https://magazine.cim.org/en/

The forgotten story of a Polish immigrant who saved the lives of his colleagues after an underground accident

In 1950, CIM president-elect A.O. Dufresne handed the CIM Medal for Bravery to Father Titus Wiktor of Val-d’Or, Quebec. “This particular ceremony,” it was reported in the CIM Bulletin from the time, “was this year more significant than usual due to the fact that the Medal had been awarded posthumously and for an extraordinarily brave deed.”

Wiktor received the award on behalf of his countryman and friend Watsik Koltan, who had valiantly sacrificed himself to save the lives of his coworkers in an accident at the East Sullivan mine in Val-d’Or, Quebec.

Koltan, who also went by Waclaw, grew up in Poland during the tumultuous years of the early-20th century. In 1939 he fought for his country in the Second World War and was imprisoned by the Russians for several months. He was later captured again by the Germans and held from 1943 to 1945.

California Reveals That the Transition to Renewable Energy Isn’t So Simple – by Alex Trembath and Zeke Hausfather (Slate.com – August 19, 2020)

August 20, 2020

https://slate.com/

The recent “heat storm” in California has pushed grid operators to impose rolling blackouts for the first time since 2001.

A combination of heavy air conditioning usage, the unplanned unavailability of some power plants, limited options for importing power from neighboring states, and insufficient solar and wind generation have led to an imbalance of electricity generation and consumption.

As Stephen Berberich, president of the California Independent System Operator, or CAISO, which oversees operation of the state’s electric grid, told Sammy Roth of the Los Angeles Times, “We thought there would be adequate power to supply the demand. … We were wrong.”

BHP defers decision on Jansen potash mine – by Cecilia Jamasmie (Mining.com – August 18, 2020)

August 18, 2020

https://www.mining.com/

BHP (ASX, NYSE: BHP), the world’s largest miner, will decide whether to go ahead with its long-delayed $17 billion Jansen potash project in Canada by mid-2021, about a decade after completing the feasibility study for the operation.

The company had planned to make an investment decision in February 2021, but delays relating to the completion of shafts have pushed out the date by a few months.

BHP said initial challenges with placement of shaft lining, rectified since, as well as the group’s covid-19 response plan impacted Jansen’s progress during the quarter ended June 30.

With forest fire contained, Red Lake mine developers resume activity – by Staff (Northern Ontario Business – August 18, 2020)

August 18, 2020

https://www.northernontariobusiness.com/

Anglogold Ashanti increases new ownership stake in Pure Gold’s Red Lake Mine

Two Red Lake mine builders are back at work with a major forest fire near the northwestern Ontario mining camp now under control.

The Municipality of Red Lake has rescinded the community evacuation order stemming from out-of-control fires south of town.

Vancouver’s Pure Gold Mining reports it is unaffected by the temporary shutdown at its Red Lake Mine site southwest of town.