Central American mine resistance visits Vancouver – by Hayley Woodin (Business In Vancouver – December 10, 2019)

https://biv.com/

It was the first advocacy effort of its kind in a mining conflict that has spanned a decade, three countries and multiple legal challenges.

In November, a representative of Guatemala’s Indigenous Xinka people embarked on a weeklong speaking tour in Victoria and Vancouver to denounce what he sees as efforts by Vancouver-based Pan American Silver Corp. (TSX:PAAS) and the government of Guatemala to undermine Indigenous rights in his country.

“Pan American doesn’t have a social licence to operate,” Luis Fernando García Monroy told students, alumni and faculty at the University of British Columbia (UBC) on November 21. “We have been left out of the consultation process,” he said. “The company wants to promote a different kind of consultation.”

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Mini yet mighty, these nuclear power reactors have 3 Premiers becoming ‘besties’ with the Canadian uranium industry – by Ron Wortel (InvestorIntel.com – December 10, 2019)

https://investorintel.com/

Three Canadian premiers agreed they want more nuclear power in a meeting of like minds prior to the Council of Federation in December. Ontario, Saskatchewan and New Brunswick premiers signed a memorandum of understanding to work together to get small modular reactors (SMRs).

Mini yet mighty, these nuclear power reactors could replace coal and diesel power. In remote locations, they would give Canadians access to clean, green, stable energy and reduce their power pollution footprint.

And note to investors, if the government wants more nuclear power, they will want more uranium. In 2018, more uranium was mined in Canada than any other country – 531,608 tU, about one-fifth of the world total.

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Low grades, high power costs key snags to SA chromite sector’s competitiveness – by David Oliveria (Engineering News – July 14, 2017)

https://www.engineeringnews.co.za/

JOHANNESBURG (miningweekly.com) – Despite South Africa’s rich chromite endowment, the low chromium oxide (Cr2O3) grades in its orebodies and the high cost of electricity are significant barriers to the country becoming the dominant player in the global industry.

Mintek metallurgical project development consultant Dr Nic Barcza highlighted that the estimated global chromite production last year was about 30-million tons, with South Africa leading the charge at 14-million tons, followed by Kazakhstan at 5.5-million tons.

Barcza was giving a keynote address at the Southern African Institute for Mining and Metallurgy’s Chrome Colloquium at State-owned research organisation Mintek’s Randburg facilities, in Johannesburg, last month. He noted that South Africa and Kazakhstan, which collectively boast a shipping-grade chromite reserve of about five-billion tons, accounted for over 95% of global chromite resources.

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First Quantum quashes Rio rumour, says Jiangxi is no threat – by Danielle Bochove (Bloomberg News – December 10, 2019)

https://www.bnnbloomberg.ca/

First Quantum Minerals Ltd. says it hasn’t received any takeover approaches — including from Rio Tinto Group — since it last quashed rumors about a play in September.

The company’s president said that while executives were caught off guard by this week’s share purchase by Jiangxi Copper Co., there’s no chance that will lead to a takeover bid either.

The Vancouver-based miner has been in talks with Jiangxi for roughly a year about selling a minority stake in its Zambian operations to the Chinese company, but there’s no deal on the table yet, Clive Newall said Tuesday in a phone interview.

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A tectonic shift 45 years in the making: A fond farewell as retirement looms – by Marilyn Scales (Canadian Mining Journal – October 1, 2019)

http://www.canadianminingjournal.com/

It is time for me to retire. I was 25 when CMJ hired me; now I am turning 70 on Nov. 4, and I have chosen the end of that month to call a halt. Forty-five years seems like a good run as an observer of an industry I am passionate about and that has become a large part of my life. While retirement is a tectonic shift for me, I’m sure our geologist friends won’t be offering new theories about continental drift.

The first mine I visited was Sidbec Normines iron mine near Fermont, Que. It has come and gone, and iron ore production is coming back to that corner of the world. The first time I went to Saskatchewan I was underground at the Main mine in Flin Flon, Man. The first gold mine I visited was the old McIntyre mine in Schumacher, Ont.… I’m dating myself.

Some of our loyal readers probably weren’t born when I took up the pen – later to be computer. For those old enough to remember back to the mid-’70s, they will recall that women in mining were a novelty.

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South African mines grind to halt as floods worsen power crisis – by Helen Reid (Reuters U.S. – December 10, 2019)

https://www.reuters.com/

JOHANNESBURG (Reuters) – Mines across South Africa are shutting down after flash flooding caused the largest power blackouts in more than a decade, threatening a key export sector in a further blow to the country’s already slowing economy.

Heavy rains across parts of South Africa have submerged whole neighborhoods, leading to mass evacuations and aggravating problems at state-owned utility Eskom, which has been struggling to keep the lights on since 2008.

Harmony Gold, Impala Platinum, and Sibanye-Stillwater all said they had been forced to cut production since Monday owing to power shortages. “There are very few underground mines that operated overnight and will be operating normally today,” said a spokesman for the Minerals Council, an industry body.

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Backes expects China may get New Caledonia nickel stake (RNZ.co.nz – December 9, 2019)

https://www.rnz.co.nz/

New Caledonia’s Southern Province president has indicated that the Brazilian miner Vale may well have no option but to sell its assets in New Caledonia’s south to Chinese investors.

Sonia Backes said this year Vale had lost $US200 million. She said in its current state, Vale would not find a buyer and therefore she was in favour of the company adopting a new strategy.

Ms Backes made the comment in an interview with the Nouvelles Caledoniennes days after Vale put its plant at Goro up for sale, with yet to be determined job losses.

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COLUMN-China’s imports of major commodities show accelerating trend – by Clyde Russell (Reuters U.S. – December 9, 2019)

https://www.reuters.com/

LAUNCESTON, Australia, Dec 10 (Reuters) – The growth rate of China’s imports of major commodities has accelerated in recent months, indicating Beijing’s stimulus efforts may be bearing fruit and that the impact of its trade dispute with the United States may not be as bad as feared.

On the surface, China’s imports of major commodities in November presented a mixed picture, with month-on-month gains in crude oil and copper, and declines in iron ore and coal.

But it’s probably more useful to look at the prevailing trends in the year-on-year and year-to-date movements, and here a clearer pattern emerges. Chinese crude oil imports reached a record 11.13 million barrels per day in November and are up 10.5% for the first 11 months of the year compared to the same period last year, customs data showed on Monday.

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Kirkland Lake CEO sees no need to raise Detour Gold bid after stock tops purchase price – by Gabriel Friedman (Financial Post – December 10, 2019)

https://business.financialpost.com/

Speculation that rival bidder could emerge

Toronto-based Kirkland Lake Gold Ltd. chief executive Anthony Makuch said on Monday his company is not interested in raising or changing the offer it made last month to purchase Detour Gold Corp., after one analyst speculated that a new bidder may emerge.

In November, Kirkland announced an all-stock buyout that valued Detour shares at $27.50, or about a 24 per cent premium to its prior closing price, and pegged the entire transaction at about $4.89 billion.

Both companies operate gold mines in eastern Ontario, but have had starkly different trajectories over the past three years. Kirkland operates two high grade underground mines, including one in Australia, that produce gold at some of the lowest costs in the sector, and has been one of the best performing stocks on the TSX during that time.

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Barrick Gold sells Senegal project to Teranga in $430 million deal – by Neils Christensen (Kitco News – December 10, 2019)

https://www.kitco.com/

(Kitco News) – Barrick Gold (NYSE: GOLD, TSX: ABX) is well on its way to achieving its goal of raising $1.5 billion in cash as it sells its stake in another non-core asset.

On Tuesday, the gold-mining juggernaut announced that it was selling its 90% stake in the Massawa project in Senegal to Teranga Gold Corp (TSX: TGZ). for $430 million.

The company said that the stock-and-cash deal consists of $300 million in cash with $80 million worth of Teranga shares. The sale also includes a contingent payment of up to $50 million, which is based upon the average gold price for the three-year period immediately following closing.

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First Quantum shares jump after China’s Jiangxi Copper takes 18% stake (Reuters U.S. – December 9, 2019)

https://www.reuters.com/

(Reuters) – Shares of Canada’s First Quantum Minerals Ltd (FM.TO) rose as much as 5% to their highest since May on Monday after Jiangxi Copper Co Ltd (600362.SS)(0358.HK) agreed to pay $1.1 billion to become the miner’s largest shareholder.

State-backed Jiangxi Copper, one of China’s biggest copper producers, said on Monday it would buy Cupric Holdings Ltd from Pangaea Investment Management Ltd.

The target held around 18.015% of First Quantum’s issued share capital as of Dec. 9, according to a separate Jiangxi Copper filing to the Hong Kong stock exchange on Tuesday.

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UNDRIP says First Nations can say no to development. But we also need to be able to say yes – by Dale Swampy (Financial Post – December 10, 2019)

https://business.financialpost.com/

Dale Swampy is president of the National Coalition of Chiefs and a member of the Samson Cree Nation.

“We have seen in the past 15 years, after the duty to consult was affirmed
by the Supreme Court of Canada, how environmentalist and radical NGOs
have used First Nations’ treaty and constitutional rights as a strategy
to block resource development.

They come into our communities with misinformation, pressure tactics,
and promises of legal support. But too often their interest is, not in assisting First Nations to get better deals, but in appropriating our voices and credibility
for their own self-interested end of blocking all development.”

Last month a new milestone in Canada’s journey to reconciliation was achieved with the introduction of Bill 41 in the B.C. legislature. The bill requires B.C.’s government to bring its laws into line with the provisions of the United Nations Declaration on the Rights of Indigenous Peoples (UNDRIP). This legislation will provide another tool for First Nations to ensure they are adequately consulted and engaged in resource development projects and share in their benefits.

I believe the intent of this legislation is noble and I support, in particular, the sentiment expressed in a joint statement by B.C.’s Minister of Indigenous Relations and Reconciliation, B.C. First Nations leaders and MLAs:

“It is time we recognize and safeguard Indigenous peoples’ human rights, so that we may finally move away from conflict, drawn-out court cases and uncertainty, and move forward with collaboration and respect … we will create more certainty and opportunity for Indigenous peoples, B.C. businesses, communities and families everywhere.”

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Flurry of mining deals has industry watchers wondering if Pretium is next – by Niall McGee (Globe and Mail – December 9, 2019)

https://www.theglobeandmail.com/

With deal-making in the gold sector heating up once again, attention is turning to which company might be swept up next. Some industry players wonder about Pretium Resources Inc.

In the past two weeks, three big gold deals have been unveiled. On Nov. 25, Kirkland Lake Gold Ltd. reached a friendly agreement to acquire Detour Gold Corp. for $4.9-billion. This past week, China’s Zijin Mining Group Co. Ltd. announced it was buying Canada’s Continental Gold Inc. for $1.4-billion, and Canada-listed Endeavour Mining Corp. made an unsolicited $2.5-billion proposal to acquire Centamin PLC.

If Detour disappears, Vancouver-based Pretium would be one of the last large single-asset gold companies left in Canada – making it a prime target. “Pretium is certainly the asset that sticks out now,” said Jon Case, precious metals portfolio manager with Sentry Investments Inc.

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Miner M&A Monday’s big return to the gold space – by David Erfle (Kitco News – December 6, 2019)

https://www.kitco.com/

Speculation about asset divestitures among global miners after recent M&A deals began to come to fruition on Monday, November 17th, when Barrick Gold (GOLD) sold its 50% stake in the Kalgoorlie Super Pit gold mine to Saracen Mineral Holdings for $750 million.

Trendsetter and high-profile Barrick CEO Mark Bristow has been quite adamant recently about selling off assets that it does not own 100% of, along with projects that do not produce over 500,000 ounces per year for at least 10 years.

The following Monday, Australia’s Evolution Mining Ltd agreed to buy the Canadian gold mining complex Red Lake from the world’s largest gold miner Newmont Goldcorp (NEM) for US$375 million in cash plus a US$100M contingent payment tied to new resource discoveries. The Red Lake mine has an incredible mining history and was the foundation of Goldcorp, but does not move the needle much for a company the size of Newmont Goldcorp.

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Liberal leader candidate admits launching Ring of Fire not an easy thing to do – by Rocco Frangione (MyNorthBayNow.com – December 8, 2019)

North Bay News, Events & Radio

There’s a frank admission from Steven Del Duca, the Ontario Liberal leadership candidate over the Ring of Fire project. Del Duca says as the Liberals learned during their years in power, it was very difficult to deliver on the huge chromite discovery.

And the former Liberal MPP says it’s no different with the Ford Progressive Conservative government. While he was in Opposition, Nipissing Tory MPP Vic Fedeli regularly criticized former Premiers Dalton McGuinty and Kathleen Wynne for not being able to pull off the Ring of Fire.

However, Del Duca says the Tories will and are running into the same difficulties and challenges. “I think the challenges we had with the Ring of Fire, and it’s not partisan, is we were all very excited about the economic development potential,” Del Duca said.

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