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Mitsubishi Buys into Stillwater's Marathon Project
Stillwater Mining announced in late March 2012 an agreement with Mitsubishi Corp. whereby Mitsubishi will acquire a 25% interest in Stillwater’s Marathon platinum group metals (PGM) and copper project in northwest Ontario for approximately $81.25 million. Mitsubishi also will meet the venture’s first cash call of $13.6 million, for a combined total cash payment of $94.6 million. Mitsubishi will be responsible for funding its 25% share of operating, capital and exploration expenditures on the Marathon properties and has agreed to cooperate and support efforts to secure project financing. Under a related...... read
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HudBay Advancing Reed Mine Project in Manitoba
VMS Ventures reported in early April 2012 that HudBay Minerals and Stantec Consulting have completed a positive NI 43-101 compliant prefeasibility study for the underground Reed joint-venture copper mine in Manitoba. The project is owned 70% by HudBay and 30% by VMS and is based on a high-grade copper deposit located 120 km east of Flin Flon, Manitoba. The project received HudBay board approval to proceed to full construction in December 2011, and first production is expected by late 2013. Mine life is currently projected at five years.... read more
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Energy Fuels Acquiring Denison's U.S. Assets
Energy Fuels and Denison Mines announced in mid-April 2012 an agreement whereby Energy Fuels will acquire all of Denison’s mining assets and operations in the United States in exchange for Energy Fuels shares valued at about C$106 million. The key asset in the transaction is Denison’s White Mesa uranium and vanadium mill near Blanding, Utah. Denison also operates the Beaver, Pandora and Daneros mines on the Colorado Plateau and the Arizona 1 mine on the Arizona strip and has a variety of U.S. development properties. The White Mesa Mill is the only conventional uranium mill currently operating in the United States. It is fully.... read
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AROUND THE
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Centaurus Targets 2013 Startup for Jambreiro Iron Ore Project
Centaurus Metals, a junior Australian company, has filed the environmental impact assessment (EIA) for its Jambreiro iron ore project with the Minas Gerais state environmental authority in southeast Brazil. The company is targeting approval of the EIA and receipt of a preliminary license for the project during October 2012, in line with its development timetable of producing first iron ore at Jambreiro by the end of 2013. The EIA is for an operation that can deliver up to 3 million mt/y of high-grade iron ore product…… read
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Changes Suggested to Minas Conga Water Storage Plan On April 17, 2012, the Peruvian government received an independent, 248-page report from contracted consultants analyzing the hydrologic aspects of Minera Yanacocha’s Minas Conga gold mine project in Cajamarca province, Peru. Minera Yanacocha is owned 51.35% by Newmont, 43.65% by Buenaventura, and 5% by the World Bank’s International Finance Corp. The project, which has estimated capital costs of about $4.8 billion, has been shut down since November 2011 due to protests directed primarily at its water storage plans, which…. read more
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AROUND THE
WORLD - Australasia |
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OZ Starts Underground Production at Prominent Hill
OZ Minerals fired the first production holes in the first stope of the Ankata underground mine at its Prominent Hill operations in South Australia on March 29, 2012. Development of the underground mine at Prominent Hill began in November 2010 to access the higher-grade Ankata deposit. The access decline reached the Ankata orebody in August 2011, and the first development ore was hauled to surface in September 2011. The underground Ankata operation will ramp-up over 2012 and is anticipated to reach its full 1.2 million-mt/y mining rate in the third quarter. The mine is expected to contribute 800,000 to 1 million mt of ore in the 2012 ramp-up year. The average…. read
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Consortium Takes 30% Interest in Roy Hill Iron Project Hancock Prospecting and a consortium comprising POSCO, Marubeni Corp., and STX Corp. jointly announced on March 30, 2012, agreements for the consortium to acquire a 30% equity interest in Roy Hill Holdings (RHH), the holding company of the Roy Hill iron ore project in Western Australia. The transaction is valued at about A$3.5 billion. Marubeni will take 12.5% of the project for A$1.5 billion, POSCO will take 15% for A$1.7 billion, and STX will take 2.5% for A$300 million. The consortium has also secured its proportionate share of project production, representing a combined 16.5 million mt/y of iron ore at full production …. read
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Ice Movement Limiting Kumtor Production
Centerra Gold announced in late March 2012 that increased ice movement in the southeast section of its Kumtor open-pit mine in the Kyrgyz Republic will delay scheduled access to the high-grade SB zone of the pit. Preliminary engineering analysis indicates Kumtor gold production during 2012 will fall to between 390,000 to 410,000 oz of gold, rather than the 575,000 to 625,000 oz previously forecast, the company said. Production at Kumtor is dependent on successfully maintaining the mining rates of the waste and ice in the southeast section of the pit to gain access to the higher-grade ore in the SB zone….
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China Establishes Rare Earths Association
China’s rare earth industry established an industry association on April 8 with the aim of spurring healthy development in the sector, Xinhau News Agency reported. The association has 155 members, including Aluminum Corporation of China and China Minmetals, and was formed to promote sustainable and sound development in the sector, Su Bo, vice minister of Industry and Information Technology said. Gan Yong, now an academician at the Chinese Academy of Engineering and also president of the Chinese Society of Rare Earths, will be the president of the association. He said the association will work to form…. read
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Mali Mines Report 'Business as Usual' Following Coup
A negotiated settlement following a March 22, 2012, military coup in Mali installed an interim president and an interim prime as heads of the nation’s government in April. The settlement grew out of negotiations between the coup leaders and representatives of countries within the Economic Community of West African States (ECOWAS). However, the route back to stable civilian rule in Mali remained uncertain. Rebels seized control of the northern half of the country as political events unfolded in the capital, Bamako, and a near-term agreement to end the rebellion seemed unlikely. Mali’s gold mines, which are located in the south and west of the country…. read more
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Kibali Gold Mine Starts to Take Shape
Randgold Resources reported in mid-April 2012 that construction at the Kibali gold project in northeastern Democratic Republic of Congo is well under way, as its developers continue to target first production by the end of 2013. The plus-10-million- oz gold deposit is owned by Randgold (45%), AngloGold Ashanti (45%), and the Congolese parastatal, Sokimo (10%). The current life-of-mine plan envisages average production of approximately 600,000 oz/y of gold for the first 12 years, at an average grade of 4.1 g/mt.……
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Colombian Miners to Make Major Port Investment
Several major Colombain coal operators have reported progress on expanding port facilities, which is essential to meet their goals of growing production to 120 million metric tons per year (mt/y) in two years, according to La Republica. This year, Drummond, Cerrejón and Prodeco will invest more than $1.3 billion in construction projects and material handling upgrades. According to Alfonso Saade, executive director of Fenalcarbon, by 2030 the mines located in regions such as Cesar and La Guajira plan to produce as much as 200 million mt/y. Saade believes the existing investment allocated to ports and …. read more
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TransAlta Abandons Canada's Largest Carbon-Capture Project
TransAlta Corp., Canada’s largest publicly traded electricity generator, announced that it and several partners had decided to abandon the nation’s largest carbon capture and sequestration project. Project Pioneer was a joint effort by TransAlta, Capital Power, Enbridge Inc, Canada’s largest oil pipeline company and the federal and provincial governments to demonstrate the commercial- scale viability of CCS technology. The first step and an essential part of the project was to prove the technical and economic feasibility of CCS through a frontend engineering and design (FEED) study before making any major capital …. read more
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CONSOL Energy Restarts Idled Longwalls in U.S.
CONSOL Energy announced it will re-start the longwall at its Blacksville mine on May 1. "The company has largely concluded negotiations with thermal coal customers concerning deferred shipments, enabling us to resume our thermal guidance for the second quarter and beyond," said Brett Harvey, chairman and CEO, CONSOL Energy. "A similar situation exists in the coking coal markets, where overseas steelmakers have been taking advantage of a lull in the strong longer term market to pressure coal producers into accepting prices lower than the…. read
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