Republic of Mining

[India Diamonds] Mine-swept out of the game – by M Ramesh (The Hindu – June 24, 2016)

February 6, 2020

https://www.thehindubusinessline.com/

India’s last functioning diamond mine faces closure next week. Where did it all go wrong for a country that was once the only supplier of diamonds? On June 29, Lesedi la Rona, the second biggest diamond ever discovered, will go under the hammer at the auctioneer Sotheby’s.

A day later, India — the first diamond miner and the world’s only supplier until the 18th century — will see the closure of its only diamond mine in production today. Supreme Court’s orders!

And so, it is a happening week for diamond enthusiasts in India. I was not one, would never have been one, given my inveterate dislike for jewels, but I slowly got sucked into the world of sparkling stones when I was researching for my novel, Silence of the Cicadas, which has something to do with diamonds.

In coal country, Trump holds sway despite failing to revive industry – by Don Lee (Los Angeles Times – February 6, 2020)

February 6, 2020

https://www.latimes.com/

WAYNESBURG, Pa. — More than 600 feet underground in the Appalachian region of southwestern Pennsylvania, it’s almost like John Morecraft, a 45-year-old history teacher turned coal miner, is back in a classroom.

Several of his former high school students work in the mine, still calling him Mr. Morecraft, or coach. Some of the older men who never got much of an education look to him to explain current events. And when it comes to presidential politics these days, in the words of another miner, “It’s pretty much Trump all the way.”

During the grinding impeachment process, Morecraft said, the miners were “watching it very closely. They’re passionate about it. And angry about what’s going on.” On the surface, that’s no surprise. In 2016, Trump won a whopping 68% of the votes here in Greene County, compared to Hillary Clinton’s 28%.

Blood, diamonds and dynasties on a little explored Indian plateau – by Ute Junker (Australian Financial Review – February 7, 2020)

February 6, 2020

https://www.afr.com/

The forgotten empires of the southern highlands left behind some of the subcontinent’s most remarkable ruins, temples and palaces.

They say it took months to sack the city. The palaces went up in flames; so did the elephant stables. The raging heat from the conflagration cracked the famous singing columns in the temples and the fearsome stone walls that ringed the city, and evaporated the water from the canals that sluiced water to the orchards and the ornamental pools. It was a spectacular fall, one that matched the dazzling rise of India’s richest city, Vijayanagara, the City of Victory, the hub of a mighty empire.

Never heard of Vijayanagara? You’re not alone. While the former princely strongholds of Rajasthan are among India’s most popular tourist destinations, the royal dynasties that flourished on the Deccan – the highlands that dominate much of India’s southern half – are far less well known. Yet for millenniums, empires rose and fell here.

The Pallava and Satavahana, Kakatiya and Maratha are names that are virtually unknown outside India, yet the dynasties of the Deccan offer some of India’s most remarkable sights to explore.

Barrick Gold denies Freeport-McMoran tie-up in the works – by Helen Reid (Reuters U.S. – February 6, 2020)

February 6, 2020

https://www.reuters.com/

CAPE TOWN (Reuters) – Barrick Gold is not looking to merge with copper miner Freeport-McMoran, CEO Mark Bristow said on Thursday, although he is interested in the company’s Grasberg mine in Indonesia, and indicated he wants to expand in the Pacific Rim.

Rumors the world’s second-largest gold miner planned to combine with Freeport are “completely wrong”, Bristow told Reuters on the sidelines of the Mining Indaba conference in Cape Town.

But he said he was interested in Freeport’s Grasberg mine in Indonesia – the world’s largest gold mine, and second-largest copper mine. “People say, are you interested in Grasberg? I say I have to be, it’s a tier one asset,” he said. Tier one assets refer to high-grade, long-life mines.

Silver screen engagement rings get second life in popular culture – by Madison Darbyshire (Financial Times – January 24, 2020)

February 6, 2020

https://www.ft.com/

Spoiler alert: If a couple gets engaged inside a Tiffany’s store or visits to pick out a ring at the beginning of a film, chances are they will not be together by the end. Yet though these two on-screen romances did not last, the jewellery featured lives on in the real world.

Tiffany’s still sells the diamond flower ring (shown above) used in Meg Ryan’s ill-fated Sleepless in Seattle proposal, as well as the exceedingly large diamond solitaire Patrick Dempsey gave Reese Witherspoon in Sweet Home Alabama. Tiffany & Co, with its little blue boxes, invented the modern engagement ring and became the jeweller most associated with romantic engagements in the popular culture.

Jewellery selected for film is carefully considered for both its aesthetic as well as narrative value. The use of a traditional diamond ring brand such as Tiffany’s in film is significant. “A diamond solitaire just signifies engagement,” says Laura Lambert, founder of online jewellery start-up, Fenton & Co. Yet, “there’s nothing special about it”.

Bill to ban copper-nickel mining draws sharp contrast between Boundary Waters, Iron Range – by Dan Kraker (Minnesota Public Radio News – February 6, 2020)

February 6, 2020

https://www.mprnews.org/

A bill that would ban copper-nickel mining on a huge swath of federal land near the Boundary Waters got its first hearing in Congress Wednesday in Washington.

But the fight over the legislation — and what it stands for — got underway on Minnesota’s Iron Range last week, in a packed union hall in the city of Virginia. “I am tired of the Iron Range having to endure these attacks on our way of life,” Pete Stauber, the Republican congressman who represents the region, told the crowd.

When Stauber says “our way of life,” he means mining. Iron ore mines have operated for well over a century in northeastern Minnesota. There are fourth-generation miners working there today, descendants of immigrants who mined the ore that made the steel that helped win world wars.

Teck joins the push toward net-zero emissions, but it’s unclear how it will get there – by Gabriel Friedman (Financial Post – February 6, 2020)

February 6, 2020

https://business.financialpost.com/

Pledge comes as it proposes an oilsands project that, if approved, would add an estimated four million tonnes of carbon per year to the atmosphere

Teck Resources Ltd. has joined a growing throng of companies that have formally pledged to cut their carbon emissions to net-zero as it awaits a federal decision on whether it can build a massive new project in the Alberta oilsands.

For Vancouver-based Teck, the promise made earlier this week to be carbon neutral — by reducing, eliminating and avoiding greenhouse gas emissions — came with a strong caveat: it’s giving itself until 2050, or 30 years, to reach net-zero carbon emissions. The date is so far out it simultaneously raises questions about the impact and makes the pledge look realistic.

“These announcements are quite positive because we know that’s where we need to go,” said Nikki Way, a senior analyst at the Pembina Institute, a Calgary-based clean energy think tank. “The remaining step is how do we get there?”

Northwest lithium deposit provides ‘spark’ for junior miner – by Staff (Northern Ontario Business – February 6, 2020)

February 6, 2020

https://www.northernontariobusiness.com/

A Sudbury lithium exploration company has posted a “maiden” resource estimate of a second high-grade deposit on its property in northwestern Ontario. Frontier Lithium released the numbers for its Spark deposit, located on its Pakeagama Lake Pegamatite (PAK) project, 175 kilometres north of Red Lake.

The company is evaluating if it can be mined by open-pit methods as they turn their attention toward building a plant to make lithium concentrate at the site.

Frontier’s PAK project is a 26,774-hectare property, strung out in a long corridor of claims that runs for 65 kilometres, up near the Manitoba border. The company has been promoting this remote area as an emerging premium lithium-metal district, dubbing it Electric Avenue.

UPDATE 1-China Feb copper output to fall on virus woes, zinc backlog builds – Antaike – by Tom Daly (Reuters U.S. – February 5, 2020)

February 6, 2020

https://www.reuters.com/

BEIJING, Feb 5 (Reuters) – China’s copper smelters will reduce output by more than 15% in February from last month due to the coronavirus outbreak, research house Antaike said, warning zinc production could also drop if transport restrictions aimed at curbing the spread of the disease are not eased soon.

Base metal prices slumped last week as the number of coronavirus deaths and infections rose, spurring fears the outbreak will reduce economic activity and metals demand in China, the world’s biggest copper and zinc consumer.

The death toll in China rose to 490 on Wednesday. Weak downstream demand, high inventories of sulphuric acid and logistical problems mean it is inevitable there will be some reduction in copper output this month, Antaike said in a note late on Tuesday, adding its estimate of more than 15% was conservative and March output may also be affected.

Teck’s Frontier oilsands mine has been taken political hostage over Alberta’s challenge of the carbon tax – by Colleen Collins and Patrick Smith (Financial Post – February 6, 2020)

February 6, 2020

https://business.financialpost.com/

Federal Environment Minister Jonathan Wilkinson recently linked the approval of Teck Resources’ Frontier oilsands mine to Alberta’s withdrawal of its court challenge of the federal carbon tax — essentially holding the project hostage to political negotiation.

The federal cabinet probably should not have power of approval over a project that is wholly within Alberta and subject to Alberta’s climate policy, which includes both limits on oilsands emissions and a carbon price for large emitters.

But, given that it is, approval should be granted or not on its merits as assessed by the expert regulatory review, not as part of a strategy to strong-arm a province to fall in line with federal policy demands in an area of shared jurisdiction.

Conversation With Legendary Junior Mining Investor Rob Cudney Of Northfield Capital – by Goldfinger (CEO.ca – February 4, 2020)

February 6, 2020

https://ceo.ca

Dislosure: Author owns shares of CORE.V and may choose to buy or sell at any time without notice.

Forty years is a long time in any industry, however, in the junior mining sector forty years is the equivalent of multiple lifetimes. One of my favorite investors/characters in the junior mining sector is Rob Cudney, a man who has been involved as an investor in the sector since 1980.

Mr. Cudney has a colorful personality and an impressive track record as an investor which includes multiple big wins and new discoveries. His forty years of investing experience means that he has more knowledge and experience in his little finger than most investors accumulate in entire lifetimes.

He has literally seen it all.

Just in the last year Cudney saw his stake in Cantex Mine Development (TSX-V:CD) soar to a more than $30 million valuation, only to fully roundtrip back to less than his total cost basis:(go to original article for chart).

Infrastructure Bank to advise on proposed $1.6-billion Manitoba-Nunavut hydro link – by Bill Curry (Globe and Mail – February 5, 2020)

February 6, 2020

https://www.theglobeandmail.com/

The Canada Infrastructure Bank will advise proponents of a plan to bring hydroelectricity and broadband internet from northern Manitoba to several communities in Nunavut.

Known as the Kivalliq Hydro-Fibre Link project, it would lead to the construction of a 1,200-kilometre, 150-megawatt transmission line joining Gillam, Man., to four Nunavut communities on the northwestern shore of Hudson Bay, as well as inland to Baker Lake. The project would also include a fibre-optic link, bringing broadband internet to the region.

Proponents say the project would bring environmental benefits by replacing diesel power, while also supporting Agnico Eagle Mines Ltd.’s gold mining activity in the region.

JPMorgan’s Role in Metals Spoofing Is Under U.S. Criminal Probe – by Tom Schoenberg and Liam Vaughan (Bloomberg News – February 5, 2020)

February 5, 2020

https://www.bloomberg.com/

U.S. authorities that accused six JPMorgan Chase & Co. employees of rigging precious-metals futures are building a criminal case against the bank itself, two people familiar with the situation said.

The previously unreported investigation of the global bank’s parent company, part of a wide-ranging federal clampdown on market manipulation, raises the prospect of criminal charges and significant fines against America’s largest bank.

No formal accusations have been made against JPMorgan. A bank spokeswoman, Jessica Francisco, declined to comment and pointed to company filings from last year disclosing that the Justice Department’s Criminal Division was investigating “trading practices in the metals markets and related conduct.”

Bringing medical care to remote mining camps – by Len Gillis (Northern Ontario Business – February 5, 2020)

February 5, 2020

https://www.northernontariobusiness.com/

Dr. Tony Kos has created a medical service contract business for remote mining operations

Back in the day, when major mining properties were being discovered, workers would follow. Town sites would pop up. Think of Cobalt, Timmins, Kirkland Lake and Elliott Lake.

Merchants, engineers, bankers, lawyers, teachers, and even homebuilders would arrive to set up shop. So would doctors. There was always someone getting hurt or getting sick.

Things have changed. Often as not, when new mining properties are discovered these days in a remote area, it means a temporary residential camp is created. Workers are brought in on rotation with schedules of 14 days on and 14 days off, for example.

Ivanhoe’s giant Kamoa-Kakula copper project in DRC keeps getting bigger – by Cecilia Jamasmie (Mining.com – February 5, 2020)

February 5, 2020

https://www.mining.com/

Canada’s Ivanhoe Mines (TSX:IVN) has unveiled a fresh set of mind-boggling figures from its flagship copper project in the Democratic Republic of Congo, confirming that the already large asset has room to grow.

The updated mineral resource estimate (MRE) puts the combined Kamoa-Kakula project at 423 million tonnes grading 4.68% copper, at a 3% cut off. Indicated mineral resource, in turn, now stands at 1.4 billion tonnes grading 2.7% copper, at a 1% cut-off.

The 400 km2 mining concession comprises two large, near-surface, flat-lying, stratiform copper deposits. One of them, Kakula, is being fast-tracked to commercial production, with the initial 3.8-million-tonne-a-year mining operation scheduled to produce first concentrate in the third quarter of 2021.