November 15, 2012 – Republic of Mining

NEWS RELEASE: An open letter to all Ontario Liberal Party leadership candidates on behalf of stakeholders supporting the New Deal for Northern Ontario

November 15, 2012

Dr. Eric Hoskins, MPP, St. Paul’s; Mr. Glen Murray, MPP, Toronto Centre; Ms. Sandra Pupatello; Mr. Charles Sousa, MPP, Mississauga South; Ms. Kathleen Wynne, MPP, Don Valley West

NORTH BAY, ON, Nov. 15, 2012 /CNW/ – Dear Candidates,

We are writing you to make you aware of our plan to revitalize the Ontario Northland Transportation Commission (ONTC) and create significant new job and economic opportunities in Ontario’s North.

Our initiative, called the New Deal for Northern Ontario, will save existing transportation and communication services and hundreds of jobs in the North, while also creating thousands more jobs by providing rail access to the Ring of Fire mineral deposits. The plan, which includes the development of other competitive infrastructure components into the Ring of Fire region, will deliver significant benefits to First Nations, the region and the mining and related industries.

The New Deal calls for transferring ownership of the railroad and other assets of the provincially-held ONTC to a new ports authority to be operated under the Canada Marine Act. This will ensure that important infrastructure assets are kept in public hands for the benefit of all stakeholders. The first step in this process was recently completed with the creation of The James Bay & Lowlands Ports Trustee Corporation. The new Ports Authority will be led by Roy Hains, who successfully ran ONTC for several years and developed strategies to make Ontario Northland strong and sustainable.

Nickel Quest a reality: A Virtual Underground Mine Tour

November 15, 2012

This article was provided by the Ontario Mining Association (OMA), an organization that was established in 1920 to represent the mining industry of the province.

The “Nickel Quest” educational resource, was originally launched in June 2007, to complement aspects of the grade seven to grade nine curriculum.

The project was launched with the idea that it isn’t possible to provide all Ontario students with the educational experience of touring an underground mine. The Ontario Mining Association (OMA) took the route of using technology to create a virtual mine tour and take the underground mine experience to the classroom.

The development of Nickel Quest was led by the OMA Virtual Mine Tour Advisory Panel. This group, had representation from the mining industry, education and government, and worked together to produce an educational — and entertaining — resource that will help provide the link for students from mining activity to the products they use everyday and show why mining is important to all.

Qatar backing puts Glencore’s takeover of Xstrata on track – by Sarah Young (Mineweb.com – November 15, 2012)

November 15, 2012

http://www.mineweb.com/

Qatar said on Thursday that it will vote in favour of two key resolutions on the takeover aimed at creating a mining and trading powerhouse.

LONDON (REUTERS) – Commodity trader Glencore’s $32 billion takeover of miner Xstrata looked set to go ahead after Qatar Holdings – the bid target’s second-largest shareholder – backed the deal.

Qatar, an unexpected kingmaker in Glencore’s bid for Xstrata, said on Thursday that it would vote in favour of two key resolutions on the takeover aimed at creating a mining and trading powerhouse.

In a snub to Xstrata management, Qatar said that it will abstain from voting on a multimillion-pound management retention plan, which increases the chances of that aspect of the deal being voted down. “In a nutshell, this means the deal is all but done,” Liberum analysts said.

Qatar’s support for the deal, first announced in February, comes after its surprise opposition to terms in June and brings Glencore within weeks of sealing its long-running pursuit of the Swiss mining company.

Lights, camera, action: Let Season Five of Ontario Mining Association’s SYTYKM begin

April 5, 2015November 15, 2012

This article was provided by the Ontario Mining Association (OMA), an organization that was established in 1920 to represent the mining industry of the province.

So You Think You Know Mining (SYTYKM)

The Ontario Mining Association has launched season five of its province-wide high school video competition So You Think You Know Mining. Every year, this contest has grown in interest, in the number of entries and in prizes. This year is no exception. Available prize money for season five is $36,500, up from $33,500 last year.

The award for the Best Overall video is $5,000 and most other Oscar-type award categories carry $2,500 cash prizes for winners. “We strive to make SYTYKM interesting and innovative every year,” said OMA President Chris Hodgson. “The SYTYKM award prizes are like scholarships and we have been gratified at how past winners have utilized their prizes to help finance their post-secondary education and in some cases film and arts careers. We want to enable, inspire and engage the opinion makers and story tellers of tomorrow.”

Let’s not buy a power plant – Thunder Bay Chronicle-Journal editorial (November 15, 2012)

November 15, 2012

The Thunder Bay Chronicle-Journal is the daily newspaper of Northwestern Ontario.

THE devolution of central government has seen municipalities forced to pick up responsibilities and costs on many fronts. We don’t need more. Ottawa has been offloading programs onto provinces and “downloading” has become a dirty word in Ontario where municipalities with limited local tax bases have been expected to take on everything from selected health care to courtroom security.

Social services are legislated by the province but the costs that are apportioned over every municipality in Thunder Bay District are staggering for some. In order to secure a new regional hospital, Thunder Bay taxpayers voted to assume $25 million of the cost. This week, Thunder Bay Mayor Keith Hobbs resurrected the idea of buying the provincial power plant located on Mission Island. Let’s not. Instead, let us insist the province fulfill its mandate to supply electricity.

As part of widespread cost-saving measures, the Ontario Power Authority is considering cheaper methods of providing electricity to Northern Ontario. It claims it can supply all the power needed — including that for a new mining boom — by expanding the main east-west transmission line. Closing the Thunder Bay Generating Station would save $400 million, OPA says. Local officials scoff at this notion and insist that planned conversion of the coal plant to natural gas is essential if the region is to provide all the power needed to feed dozens of existing and pending mines.

As bribery rules get tougher, resource firms put on notice – by Laura Cameron (Globe and Mail – November 15, 2012)

November 15, 2012

Globe and Mail is Canada’s national newspaper with the second largest broadsheet circulation in the country. It has enormous influence on Canada’s political and business elite.

U.S. regulations will force Canadian commodity extractors to disclose all payments made to governments over $100,000

For Canadian resource companies, the cost of doing business abroad is about to go up. New reporting requirements passed under the U.S. Dodd Frank financial overhaul bill will require resource extraction issuers to disclose all payments made to governments over $100,000, beginning in 2014. The Securities and Exchange Commission regulations will add new expenses for Canadian mining and energy companies listed in the U.S., and may hinder their competitiveness overseas.

Section 1504 of the bill is intended to empower citizens of resource-rich countries to hold their governments accountable for the money they receive, which often lines the pockets of corrupt officials rather than going to the betterment of the population. The regulations also seek to shed light on illegal payments made by companies to gain access to resources in developing nations.

The SEC’s new requirements are part of an international crackdown on corruption, which has been steadily gaining momentum since the Organization for Economic Co-operation and Development signed its anti-bribery convention in 1997. As part of its obligations as signatory, Canada passed the Corruption of Foreign Public Officials Act (CFPOA) in 1999. But it is only in the past five years that Canadian authorities have been taking serious steps toward enforcement.

Skittish investors abandon Iamgold – by Martin Mittelstaedt (Globe and Mail – November 15, 2012)

November 15, 2012

Globe and Mail is Canada’s national newspaper with the second largest broadsheet circulation in the country. It has enormous influence on Canada’s political and business elite.

Iamgold Corp. shares sagged nearly $3 or more than 19 per cent in active trading, after the gold producer reported weaker-than-expected third-quarter earnings and announced a major reduction in its production outlook for next year.

The stock tumble follows the recent pattern in the gold-mining industry, where companies that disappoint investors have seen their stocks get crushed as skittish owners rush for the exits.

Operating profit in the quarter fell to 16 cents (U.S.) a share, down almost half from 30 cents earned in the same period a year ago. The consensus estimate among analysts had been 24 cents.

“Execution in the gold space is very important and when you mis-execute, investors shoot first and ask questions later,” said Pawel Rajszel, an analyst at Veritas Investment Research Corp. who slapped a sell recommendation on Iamgold Wednesday.

Iamgold, which has mines in Suriname in South America and in West Africa, said gold output this year will be “at the lower end” of its guidance of 840,000 to 910,000 ounces; for next year the company is expecting between 875,000 to 950,000 ounces, a major reduction from previous forecasts that ranged up to 1.1 million ounces.

Quebec minister lashes out against plans to bring Alberta oil to province – by Nicolas Van Praet (Victoria Times Colonist – November 15, 2012)

November 15, 2012

http://www.timescolonist.com/index.html

MONTREAL – Quebec’s environment minister is expressing reservations about private-sector plans to import crude from Alberta’s oil sands to Montreal refineries, insisting Quebec will retain sovereignty over its land no matter what is decided by federal regulators.

Speaking to reporters in Quebec City Wednesday, Daniel Breton would not say outright if his Parti Québécois minority government opposes plans by Enbridge Inc. and TransCanada Corp. to ship Alberta oil eastward to Montreal. Rather, he attempted to flex a little muscle by saying nothing will move forward without Quebec’s blessing.

“There are some environmental risks with oil,” said Mr. Breton, a former environmental activist who helped found Quebec’s Parti Vert. “Given what happened [on the Kalamazoo River] in Michigan, we can’t take this lightly…. This is a question of protecting the environment that’s on our territory.”

A pipeline belonging to Calgary-based Enbridge ruptured at that location in 2010 in a spill the U.S. Environmental Protection Agency later estimated at larger than one million U.S. gallons. Cleanup costs have topped US$585-million.

Enbridge is planning a significant expansion of its pipelines that carry crude from the oil sands and the Bakken shale oil field to refineries in central Canada and the U.S. Midwest.