Mining industry warns of skilled worker shortage – by James Keller (MacLean’s Magazine – December 16, 2013)

http://oncampus.macleans.ca/education/

Mines recruiting Aboriginals, temporary foreign workers

VANCOUVER – The Canadian Press – Glen Paul still remembers his first week on the job at a copper-gold mine in British Columbia’s Interior — a position, he says, he landed three years ago as a “fluke” after taking a course to operate heavy machinery.

Paul says he didn’t start his training with a specific plan to end up in the mining industry, but there he was at the New Afton project near Kamloops, which at the time was still two years away from full production.

By his second day, he was standing underground for an orientation of the mine site.

“It was slightly overwhelming, because I’ve never been to a mine before, I’ve never seen one,” says Paul, 24, who grew up on the Kamloops Indian Band reserve and was connected to the job through the B.C. Aboriginal Mine Training Association.

“When I was younger, I really liked geology. … I’ve always been interested in machines, and after I got to see everything underground and to see some of the machines I had a possibility of working on, I was hooked.”

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Chinese investors warned about African mining risks – by Toh Han Shih (South China Post – December 16, 2013)

http://www.scmp.com/business/commodities

Resource-rich continent attractive to China, but potential investors are told to proceed cautiously

Chinese companies are keen to pour money into mining projects in Africa, but investors have received a fresh warning about the risks in the continent’s mining sector. Speakers at the recent Global Resource Investment Conference in Shenzhen told of some of the problems that can beset projects in resource-rich Africa.

“There are many potential Chinese clients who are interested in investing in mines in Africa, but there are lots of challenges,” said Cindy Pan, a lawyer at international law firm Dentons.

Pan cited poor infrastructure, political instability, corruption, cultural differences, as well as other political and legal risks. She cited the case of a Chinese company that invested in a mine in the Democratic Republic of Congo, where officials made repeated demands for bribes.

One Chinese company bought a mine in Mozambique, where the acquisition contract included a clause that allowed the government to buy 15 per cent of the mine, Pan said.

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Nickel market may be missing the bigger picture – by Roskill Information Services (Mining.com – December 16, 2013)

http://www.mining.com/

With 2014 quickly approaching, all eyes in the market appear to be turned east to Indonesia.

As of the beginning of December, the Indonesian government has signalled that it would proceed with putting into effect a ban on unprocessed mineral ores.

Roskill’s nickel analyst, Thomas Hohne, answers some of the major questions related to the ban and its effect on the nickel market, and shares some of Roskill’s views of what other factors will be driving the nickel market in the years to come. What should we expect to happen come January 2014?

Shipments are set to be barred from January 12th onwards as proposals for a phased introduction of the ban have been discussed, but not adopted, as of yet. With Indonesia’s earnings from ore exports in the range of US$10 billion in 2013, much of which would evaporate overnight, pressure for some intermediate solution will remain. Because of this, however, any temporary solution is likely to be reached after the imposition of the ban, rather than before. Moreover, Indonesian officials have already indicated that even as the legislation will go ahead, implementation of the ban may allow for some amendments in practice.

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Wyoming uranium miners look to capitalize on end of Russian exchange program – by Benjamin Storrow (Casper Star-Tribune – December 15, 2013)

http://trib.com/

It is hard to imagine, staring out into the expanse of the Great Divide Basin, how events in Russia could shape the future of the Lost Creek uranium mine.

The closest town, Bairoil (pop. 106), is some 30 miles of bumpy dirt road away. The Wind River Mountains to the west and Green Mountain to the east offer the only break on the horizon, an otherwise unabated sea of rolling sagebrush. And the sole inhabitants, besides the bands of roving wild horses, are the Lost Creek miners themselves, though to call them miners is slightly disingenuous. Lost Creek is more oil field than it is mine, and those that work here are far more likely to tap a keyboard than wield a pickax.

But as unlikely as it may seem, this isolated facility in south-central Wyoming is inextricably linked to the land of Catherine the Great, Lenin and, more recently, Vladimir Putin.

Lost Creek began production in June. On Dec. 3 the mine made its first shipment of yellowcake uranium to a conversion facility in Illinois. A few weeks prior, on the other end of the globe, the final shipment of weapons-grade uranium was packed into a shipping container in St. Petersburg and sent via boat to Baltimore.

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PolyMet mining project tears at DFL unity – by Baird Helgeson (Minneapolis Star Tribune – December 15, 2013)

http://www.startribune.com/

A copper mine that could provide hundreds of high-paying jobs on the Iron Range also is threatening to crack the fragile alliance of blue-collar Democrats up north and the environmentalists that are an influential part of Minnesota DFL’s base.

Iron Range Democrats are looking to the proposed PolyMet copper-nickel mine as a way to rejuvenate an area rocked by years of declining mining employment. But such mines also have a long history of pollution in other states and countries, and some have warned that a mine expected to last 20 years could result in centuries of cleanup.

All sides are closely watching as Gov. Mark Dayton’s administration faces a crucial decision on the project that could come near the election.

At risk is a political coalition that has made good on a string of high-profile DFL priorities like same-sex marriage, higher taxes for the rich and expanded union influence around the state. Dayton is depending on that same coalition to help him press for a second term and keep the state House in DFL hands.

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Slow, downsize Ring of Fire project – by Patricia McCormick (Thunder Bay Chronicle-Journal – December 14, 2013)

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

In response to Don Watson’s question “Why the Ring rush?” (letter, Dec. 4) and Kaleigh Bahlieda’s answer, “If you can’t grow it, it has to be mined!” (letter, Dec. 5) I’d like to agree with both of them and add my own question: When would be a good time to practise sustainability for minerals supply via recycling, totally?

I ask this because eventually we will exhaust our Earth’s deposits of minerals. We must ask ourselves how much or how many of our other precious resources, for example clean watersheds and boreal forest, are we willing to give up for a new versus a recycled supply of minerals?

How much of these new minerals do we really need? How much are destined solely to make money for shareholders and executives of large corporations via creation of consumer ‘need’ for, for example, stainless steel kitchen appliance replacements for the previous ‘must have’ white fridge, green fridge, gold fridge, back to the white fridge . . . and now stainless steel fridge?

I take issue also with Gary Laine’s article, Ontario’s Ring of Failure (Viewpoint, Dec. 2). “Our provincial leadership is badly stricken by analysis paralysis” Laine says.

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Think You’re Not Part of the Congo Conflict? Check Your Pocket – by Paul Dewar (Huffington Post – December 13, 2013)

http://www.huffingtonpost.ca/

Paul Dewar is the NDP MP for Ottawa Centre; Official Opposition Foreign Affairs Critic

As we prepare for the holiday season, many of us are thinking about how we can be responsible consumers. The choices we make about where we shop and what we buy have an important impact on the environment and on the people who make the products we enjoy.

Four and a half years ago, I visited the Democratic Republic of the Congo — a place of beauty and heartbreak, mountain gorillas and mass atrocities. For a decade and a half, government forces, rebel groups, and private militias have been competing for control of territory and natural resources.

I spoke with Congolese government officials to see what was being done to enable a future of peace and sustainable development. The most striking response was not an answer but a question — my question, turned back on me: “What are you doing?”

And it was a fair question, because the truth is that the tragedy of the Congo is not merely a Congolese or an African problem. It is our problem — and the reason is probably in your pocket.

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Chinese investors looking beyond slump in mine sector – by Toh Han Shih (South China Post – December 13, 2013)

http://www.scmp.com/business/commodities

Despite falling prices, those with a long view and deep pockets on the mainland and in HK are buying projects worldwide, especially for gold

Despite the bearish mood in the global mining sector, participants at a conference in Shenzhen this week said mainland and Hong Kong investors are snapping up mines around the world.

One of them is Samuel Chan Wing-sun, vice-chairman of YGM Trading, a Hong Kong-listed garment firm, who acquired 59 per cent of Crater Gold Mining about 12 months ago and was appointed Crater Gold chairman in February, John Hung, an adviser to Crater Gold, said at the Global Resource Investment Conference. Crater Gold is an Australian-listed firm with gold mines in Papua New Guinea and a metals mine in Australia.

Stewart Cheng Kam-chiu, a nephew of Hong Kong tycoon Cheng Yu-tung, had agreed to co-underwrite a continuing rights issue of A$2.1 million (HK$14.8 million) for Crater Gold, Hung said.

“Before Sam came in, the company suffered from a lack of funds,” he said. “At the moment, it is very difficult to raise funding in Australia because market sentiment is very soft for gold mining companies.

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Israeli billionaire Steinmetz sues campaigners Global Witness (Reuters India – December 16, 2013)

http://in.reuters.com/

LONDON – Dec 16 (Reuters) – Israeli billionaire Beny Steinmetz and three others working with the mining arm of his business empire, BSG Resources, have sued campaign group Global Witness, claiming damages for what they say are breaches of their human and data protection rights.

BSG Resources (BSGR) is battling for the right to develop half of the Simandou deposit in Guinea, one of the world’s largest untapped iron ore resources.

The government of Guinea, which is running a review of mining contracts allocated by previous administrations, says BSGR bribed officials to win a 2008 licence to develop the promising deposit. Global Witness, which campaigns for transparency in the resources industry, has on several occasions linked BSGR to corruption allegations.

BSGR denies it paid bribes for its Simandou concession and has criticised the contract review, which it says is designed to allow Guinea to renege on its obligations. It has also accused international advisers working directly and indirectly with the Guinean government, including financier and philanthropist George Soros, of orchestrating a smear campaign against it.

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NEWS RELEASE: Noront Santa gets set for special deliveries

Noront 2012 Ring of Fire Christmas Fund

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.

To donate to the Noront Ring of Fire Christmas fund, visit https://www.canadahelps.org/CharityProfilePage.aspx?charityID=s101217

Click “Donate Now” and then use the “Fund/Designation” drop down menu to pick “5. Noront Ring of Fire Christmas Fund”

or you can contact Kaitlyn Ferris at Noront Resouces (416 367 1444 ext 130) kaitlyn.ferris@norontresources.com

Thanks to the employees of Ontario Mining Association member company Noront Resources and its employees Fifth Annual Ring of Fire Christmas Fund, Santa will make a special early visit to some communities in the region. Over the past four years, Noront has raised more than$75,000 in donations to ensure that every child under 13 in Webequie and Marten Falls receives a wrapped Christmas gift.

This year, Noront has purchased and wrapped more than 350 Christmas gifts, which will be delivered to children living on and off reserve. If the weather cooperates, Santa and a team of Noront elves will be delivering gifts and festive pizzas in Webequie and Marten Falls First Nations on December 17 and 18, 2013. Along with these visits, the Christmas Fund takes Santa to Thunder Bay for celebration s and gift giving to people from the Webequie and Marten Falls First Nations living off reserve in that larger community.

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Barrick considers new executive compensation rules – by Rachell Younglai (Globe and Mail – December 16, 2013)

The 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.

Barrick Gold Corp. is seeking to align the bulk of its executives’ compensation with the gold company’s performance and is expected to require top managers to hold their stock until retirement.

After a tumultuous year where Barrick’s stock plummeted 50 per cent and the company recorded nearly $14-billion (U.S.) in writedowns, the miner is considering a plan that would require its executives to hold their shares until they leave the company.

Currently, executives are paid a mix of cash, stock options, restricted share units and performance-based share units. They are not required to hold their Barrick shares until retirement and can exercise their stock options at certain dates.

“That would be a step in the right direction,” said Chris Mancini, an analyst with the Gabelli Gold Fund, which holds 2.9 million Barrick shares. “To the degree that this could have executives think toward long term, that would be a positive development,” he said.

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MiningWatch appeals to [Ontario’s] province’s auditor general to revamp mining taxation – by Carol Mulligan (Sudbury Star – December 16, 2013)

The Sudbury Star is the City of Greater Sudbury’s daily newspaper.

MiningWatch Canada is asking Ontario’s auditor general to conduct a review of the province’s mining tax with the goal of getting Ontarians more than 2% of the value of minerals mined in the province.

The lobby group wrote Bonnie Lysyk out of frustration, said its executive director Ramsey Hart, after waiting more than 18 months for the Liberal government to fulfil a commitment first made in its spring 2012 budget.

The Grits said the review was mentioned in both the 2012 and 2013 budgets, but when Hart called the Ministry of Finance this week to inquire about how it was progressing, he said he was disappointed with what he heard.

Not only has the review not begun, Hart said he was told. The approach for the review is still being conducted. “It’s complicated, but it’s not that complicated,” Hart said Friday.

In a letter, he appealed to Lysyk to conduct an impartial, non-partisan, independent review, saying MiningWatch is tired of waiting for the province to do it.

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Mining exploration not adequate, new law could bring in more funding – by Mansi Taneja (Business Standard – December 16, 2013)

http://www.business-standard.com/ [India]

 Canada and Australia spend maximum on mineral exploration with 19% and 12% respectively of global share

Despite being a mineral rich country, India’s share in global exploration budget has been less than 0.5% which might explain the fact the country’s proven reserves are only 5-10% of the total resources.

Canada and Australia are the top countries who spend maximum on mineral exploration with 19% and 12% respectively of the global share.

Exploration of minerals, except petroleum, has been primarily constrained by funding crunch, which is why unproven resources in India are more than twice the proven reserves.

For instance, India has gold resources of 490 million tonnes but only 17% of it has been explored and marked as reserves. Similarly for coal, out of total resources of 280 billion tonne, 40% are available as reserves and for iron ore with 25 billion resources, 28% are reserves. India produces about 87 minerals.

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Mineral exploitation in Odisha [India] low despite increased mining activity – by Sadananda Mohapatra (Business Standard – December 16, 2013)

http://www.business-standard.com/ [India]

The state has about 174 million tonne of nickel, which is yet to explored

Despite increased mining activity in Odisha, the mineral exploitation in the state remains low in last hundred years compared to its reserves.

Major minerals with sizeable reserves in the state include chromite, iron ore, bauxite and manganese. While only 13% of the total chromite deposits has been excavated so far, the same for iron ore and manganese are 9% each and for bauxite only three%.

Odisha currently possesses 159.40 million tonne of chrome ore that finds its usage in making stainless steel, out of 182.86 million tonne of preliminary proven reserve, according to the government statistics. About 23.50 million tonne of the mineral or 12.8% of the proven reserve has been excavated so far.

Nearly all of India’s chrome ore is found in Odisha with state-run Odisha Mining Corporation (OMC) having control over one-third of production. Few players such as Tata Steel, Indian Metal and Ferro alloys (IMFA), Ferro Alloys Corporation Limited (FACOR) and Balasore Alloys (formerly Ispat Alloys) have also their captive mines in the state.

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ONTC was given the short shrift – by Tom Mills (Sault Star – December 14, 2013)

http://www.saultstar.com/

Does it surprise anyone that this provincial government apparently didn’t bother to find out how much it would cost to shut down the Ontario Northland Transportation Commission before announcing the move?

Or that taxpayers will foot the bill for another Liberal financial “oopsy”? Auditor General Bonnie Lysyk reported Tuesday that costs of the ONTC selloff could top $820 million.

That makes the projected savings of $265.9 million over three years, which the government trumpeted in its 2012 budget, seem like a figure pulled out of a hat. Or perhaps it was pulled out of that part of a finance minister’s anatomy where the sun don’t shine.

A cynic might point out that the difference between a $266-million savings and an $820-million cost isn’t much more than the amount taxpayers have paid to give a succession of Crown corporation executives some of the most obscene golden parachutes and platinum-plated expense accounts around.

But in this case the money itself might not be the most disturbing revelation in Lysyk’s investigation.

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