HISTORICAL – The Death of Mining [in America] (Business Week – December 17, 1984)

http://www.businessweek.com/

America is losing one of its most basic industries

Just south of Tucson, a two-lane highway rolls through the desert to Mexico. Along one 26-mile stretch, it skirts five open-pit copper mines amid the saguaro cactus, mesquite, and ironwood. This is U.S. 89, known as el camino de la muerte – “road of death” – for the toll it has taken on drivers zooming north of Nogales. But the macabre name might just as easily refer to the mines that line this lonely road. Once the workplaces of thousands, they are now either closed or up for sale – a stark reminder of the sad state not only of U.S. copper companies, but of most of the rest of the North American metals mining industry.

The recovery of the 1983-84 largely bypassed producers of copper, iron ore, nickel, lead, zinc, and molybdenum. Now, after a prolonged period of painful losses, these companies are reeling from what are clearly chronic problems: shrinking markets, huge debt, and depressed prices. Three or four major metals producers may even be forced out of the business over he next few years. In a very real sense the industry is dying.

The pangs of mining are the latest example of what may be an industrial megatrend: the inexorable shift of the production and processing of all basic materials from the industrial countries to the Third World. Like steelmaking, metals mining is vulnerable to some fundamental forces. It is an industrial activity in which, these days, the developing nations have an almost unbeatable pair of economic advantages: cheap labour plus very low cost reserves.

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Barrick Gold and North Mara: the search for common ground – by Aaron Regent (Globe and Mail Website – June 22, 2011)

The Globe and Mail is Canada’s national newspaper with the second largest broadsheet circulation in the country. It has enormous impact and influence on Canada’s political and business elite as well as the rest of the country’s print, radio and television media.

Aaron Regent is the president and CEO of Barrick Gold Corp. For Corporate Social Responsibility initiatives at Barrick, go to Beyond Borders.

The relationship between developing countries and Canadian mining companies has been the subject of much discussion in recent weeks and understandably so. As president and CEO of Barrick Gold Corp., it troubles me that events surrounding our company are part of that discussion.

In mid-May, we learned that five people had been killed by Tanzanian police following the invasion of the North Mara mine by as many as 1,500 people. Shortly after, this newspaper reported on our findings that police and security officers may have committed sexual assaults in the area around the mine. Barrick’s revulsion at discovering this evidence is deep. I have seen myself, from the men and women working on the ground to the most senior levels of management, enormous disappointment at these situations and a determination to act.

Barrick will not shy away from the challenges at North Mara, nor diminish them by failing to respond. Where we do encounter safety or human-rights concerns, we will act. We will aggressively investigate allegations of abuse or violence, and we will actively support the investigations of authorities. We will address concerns related to security and the safety risks posed by trespassing.

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For Cameco’s new CEO, patience is a priority – by Brenda Bouw (Globe and Mail – June 22, 2011)

The Globe and Mail is Canada’s national newspaper with the second largest broadsheet circulation in the country. It has enormous impact and influence on Canada’s political and business elite as well as the rest of the country’s print, radio and television media.

When Tim Gitzel takes over as chief executive officer at Cameco Corp.  next week he will become more than just head of the world’s largest publicly traded uranium company.

The 49-year-old Saskatoon-based executive will also be thrust into a leadership role in a global industry fighting to convince the world that nuclear energy is a clean, safe alternative despite the recent nuclear disaster in Japan.

He must also try to persuade investors that uranium – the price of which has fallen about 25 per cent since Japan’s earthquake and ensuing nuclear crisis struck in March – is heading for a recovery. Even more pressing for Mr. Gitzel will be trying to stage a rebound in Cameco’s stock, which has fallen nearly 40 per cent over the past three months.

Overall, Mr. Gitzel has his work cut out for him as countries such as Germany, Switzerland and most recently Italy have vowed to phase out their nuclear energy programs as a result of pressure from citizens nervous about the potential for a nuclear meltdown in their own country.

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Xstrata backs [Sudbury Laurentian] native centre – by Harold Carmichael (Sudbury Star – June 22, 2011)

Laurentian University’s $3 million Indigenous Sharing and Learning Centre is now almost halfway to becoming a reality.

“This is something that is very near and dear to Xstrata Nickel and our sustainable nickel developments,” Marc Boissoneault, vice-president of Xstrata Nickel’s Sudbury opera-t ions, said Tuesday as he announced a $1-million donation toward the centre.

The donation, part of the university’s Next 50 Campaign (a $50-million fundraising campaign to mark Laurentian’s 50th anniversary), was made during National Aboriginal Day celebrations at the university.

“We are always interested in building community sustain-ability, especially in the area of learning … It’s certainly understood in the many small mining operations in the North (to get First Nation people involved). It’s a win-win on all sides. “When you look at it from an industry position, an Xstrata Nickel position, a personal position, this just makes sense.”

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NEWS RELEASE: Xstrata Nickel shares $15.2 million of Raglan’s operating profit with Inuit communities

www.xstratanickel.com

Québec City (Québec) – June 1, 2011

Xstrata Nickel Raglan Mine today presented a cheque in the amount of Cdn$15.2 million to the Makivik Corporation and the Inuit communities of Kangiqsujuaq and Salluit. This sum represents the Inuit communities’ share of the profits generated in 2010 by the Raglan nickel mine operation, located in Nunavik, Northern Québec.

To date, more than Cdn$100 million in profit-sharing payments have been directed to an Inuit trust fund for economic and community development through the Raglan Agreement.

The comprehensive agreement signed in 1995 by the Raglan operation, the Makivik Corporation and local Inuit communities supports harmonious relations and fosters opportunities between Xstrata Nickel and local populations in areas such as training, hiring of local businesses and environmental management. 

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