Norm Tollinsky is editor of Sudbury Mining Solutions Journal, a magazine that showcases the mining expertise of North Bay, Timmins and Sudbury. This column was originally published in December, 2008 edition.
Euphoria pretty well summarizes the state of the mining industry in 2008 and the mood in the Ontario mining cluster of Sudbury, Timmins and North Bay. Our cover story this issue provides an overview of the capital investments, the spending on exploration and the impact of all this activity on the region’s mining suppliers. It’s a head-spinning story, but anyone who has ever been on a roller coaster ride or has been in the mining industry for more than five years knows that life and commodity prices don’t always follow an upward trajectory.
The last time the world’s mining community gathered at MINExpo in 2004, nickel was selling for a little more than $5 a pound. It peaked at more than $20 in early 2007 and remained above $12 until May, when it started to slide. At press time, it was holding steady at a still respectable $8.
Storm clouds caused by the sub-prime mortgage crisis, rising oil prices and the woes in the auto industry notwithstanding, commodity prices are holding their own and the mining industry continues to invest. Continue Reading →