January 10, 2014 – Republic of Mining

Sudbury basin still fertile ground for base metal producer – by Jonathan Migneault (Northern Ontario Business – January 9, 2014)

January 10, 2014

Established in 1980, Northern Ontario Business provides Canadians and international investors with relevant, current and insightful editorial content and business news information about Ontario’s vibrant and resource-rich North.

Sudbury-based Wallbridge Mining has focused its gaze toward platinum group elements (PGEs) in the Sudbury basin.

“We’re almost entirely focused on the projects that have significant potential for PGEs,” Joshua Bailey, the company’s vicepresident of exploration, told Northern Ontario Business at the 2013 Ontario Exploration and Geoscience Symposium in Sudbury.

Bailey estimates approximately 20 million ounces of platinum group elements have been discovered in the Sudbury basin over the last 20 years. PGEs, which primarily include platinum and palladium, are important components for catalytic converters in vehicles and fuel cells.

“These are elements that are basically key for keeping emissions low and keeping smog down in big cities,” Bailey said. “I think demand is pretty strong right now.” South Africa and Russia are the world’s top PGE producers, but Sudbury has turned out to be a North American leader for the metals. Bailey said Sudbury has the advantage of labour and political stability over those two jurisdictions.

Indonesia’s ban on raw minerals exports threatens nickel shake-up – by Melanie Burton (Reuters U.S. – January 10, 2014)

January 10, 2014

http://www.reuters.com/

SYDNEY – Jan 10 (Reuters) – An Indonesian ban on raw minerals exports is set to hurt Chinese factories making stainless steel – used in everything from kitchenware to cars and buildings – in the biggest potential industry shake-up in more than five years.

The ban, due to come in force on Sunday, may also be a boon for battered nickel miners, dogged by prices that lost 19 percent last year and are sitting stubbornly near four-year lows.

Indonesia looks set to prohibit more than $2 billion worth of annual nickel ore and bauxite shipments as part of a plan to push miners into downstream processing and boost long-term returns from its mineral wealth.

The Southeast Asian country supplies about half the nickel ore used for stainless steel in China, the world’s biggest producer and exporter of the corrosion resistant material.

China mostly produces a lesser quality version, unlike high-end competitors in Japan, Germany and Korea, which is often used in the inside of buildings or internally in cars, where it reinforces framework.

Activist George Armoyan set for proxy fight at Sherritt after negotiations fall apart – by Peter Koven (National Post – January 10, 2014)

January 10, 2014

The National Post is Canada’s second largest national paper.

TORONTO – Activist investor George Armoyan is poised to take on Sherritt International Corp. in a proxy fight after attempts to reach a settlement with the Toronto-based miner fell apart.

Mr. Armoyan was livid on Thursday after meeting with Sherritt chairman Hap Stephen and board member Peter Gillin. In an interview following the meeting, he said the two men were unwilling to consider any of his proposals. He said he thought they could reach a compromise in which he would name one director and the two sides would jointly choose another, but that Sherritt reneged on the potential plan.

Mr. Armoyan went on to blast the entire board for allegedly enriching themselves while failing to create value for shareholders. “There’s no proper Canadian corporate governance standard that these guys meet. Nothing,” he said.

He said the directors only hold minimal shares, but are earning higher salaries than directors of some global giants. He also accused them of numerous other excesses, including buying an expensive private company jet and spending lavishly on board meetings in London.

Alcoa unit pleads guilty to Bahrain bribery – by Joe Mankak (USA Today – January 9, 2014)

January 10, 2014

http://www.usatoday.com/

PITTSBURGH (AP) — A subsidiary of Alcoa pleaded guilty Thursday and, along with the parent company, will pay a total of $384 million in penalties for bribing officials in the kingdom of Bahrain through a London-based middleman.

A company official on Thursday entered the plea on behalf of Alcoa World Alumina, which will pay $223 million in fines and criminal penalties for violating the anti-bribery provisions of the Foreign Corrupt Practices Act. The law governs the conduct of American businesses abroad.

Parent company Alcoa must guarantee those payments and on Thursday also agreed to a separate $161 million civil penalty for related Securities and Exchange Commission violations. “Alcoa lacked sufficient internal controls to prevent and detect the bribes, which were improperly recorded in Alcoa’s books and records as legitimate commissions or sales to a distributor,” the SEC said in a news release.

The U.S. Justice Department said Alcoa World Alumina earned $446 million in profits by using the middleman to cut a long-term deal to sell raw materials to Aluminum Bahrain BSC, through other affiliated companies, including Alcoa of Australia.

Oil-by-rail gathers steam as new capacity comes on line – by Yadullah Hussain (National Post – January 10, 2014)

January 10, 2014

The National Post is Canada’s second largest national paper.

Canada’s first oil-sands unit train, loaded with MEG Energy Inc. crude, rolled out of Canexus Corp.’s Bruderheim, Alta. terminal just before Christmas, marking a new chapter in the country’s crude-by-rail phenomenon.

The 100,000-bpd terminal northeast of Edmonton is the first of many large-scale crude-loading terminals planned for Western Canada that will have a combined capacity of 890,000-bpd — more than the 830,00-bpd Keystone XL pipeline — as crude-by-rail terminal operators slowly embed themselves in the oil patch and expand their services to move away from being mere arbitrage plays.

The moves are viewed by some as a vote of confidence in the moving oil by rail, despite the increasing scrutiny the sector is under in the wake of numerous derailments of crude-carrying trains.

“There is no question the lack of pipeline capacity and with questions about Keystone, Trans Mountain and Northern Gateway, most people believe we are at least in a three- to five-year period of limited pipeline capacity, and therefore you will see persistent differentials that will justify rail,” said Gary Kubera, CEO of Canexus, who worries about an excess of oil-by-rail capacity.

PDAC announces six industry leaders in 2014 awards – by Henry Lazenby (MiningWeekly.com – January 9, 2014)

March 15, 2018January 10, 2014

http://www.miningweekly.com/page/americas-home

TORONTO (miningweekly.com) – The Prospectors and Developers Association of Canada (PDAC) on Thursday announced the names of six industry leaders that would receive the 2014 PDAC awards during the association’s yearly convention in Toronto, slated for March 2 to 5.

The yearly awards showcase the achievements of companies, individuals and groups in the mineral exploration and mining sector by highlighting the best in domestic and international mineral discovery, mine development, Aboriginal achievement, environmental and social responsibility, and distinguished service.

The PDAC awarded the Bill Dennis award for a Canadian mineral discovery or prospecting success to Ross McElroy for leading explorer Fission Uranium’s team of geologists in one of the most significant discoveries in the Athabasca basin in recent years.

The Patterson Lake South property is a high-grade, shallow-depth uranium discovery located on the south-western margin of the Athabasca basin, in northern Saskatchewan. McElroy has over 30 years experience as a professional geologist and, under his leadership, Fission’s uranium discovery had rejuvenated the exploration industry in the Athabasca basin.

First Nations seek benefit of [Ring of Fire] development – by Gord Young (North Bay Nugget – January 10, 2014)

January 10, 2014

http://www.nugget.ca/

Talks between the Ontario government and First Nations in and around the Ring of Fire are progressing well despite the challenges faced by companies trying to develop in the region, says Bob Rae.

The former federal Liberal leader and provincial Premier, who is now lead negotiator for the Matawa Tribal Council representing nine First Nations nearest the Ring of Fire mineral deposit, said hurdles including the recent move by Cliffs Natural Resources Inc. to indefinitely suspend all work on the project, haven’t slowed his efforts to ensure First Nations benefit from any development.

“We haven’t missed a step,” said Rae, noting his talks are with the province. “This discussion needs to happen if a mining company decides it’s going to invest tomorrow or next week or next year. We gotta be ready for that.”

The Ring of Fire is estimated to contain $60 billion in undeveloped minerals. But costly infrastructure is needed, including road or rail access to the region. And the province has been calling on its federal counterpart to contribute funding.

Ontario delivered on taxes. Business’s turn to step up – by Jeffrey Simpson (Globe and Mail – January 10, 2014)

January 10, 2014

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.

Hello, Queen’s Park. Hello, Toronto. Hello, Ottawa. Anybody home?

Ontario continues to stagnate while provincial politicians play games in a minority government, Torontonians are fixated by the Rob Ford gong show and the Harper Conservatives remained preoccupied by their western base.

Ontario’s task force on competitiveness and productivity recently released its 12th annual report and discovered that after inflation, Ontario’s gross domestic product has grown by just 6 per cent since 2002. That paltry growth has left the province 14th among comparable provinces and U.S. states, with only Florida and Quebec lower.

Sure, the task force has recommendations and the occasional critique of government. But what really stands out is its criticism of business, whose lobbyists and bullhorns in the media are always preaching for lower taxes.

Ontario has delivered. The province lowered corporate taxes. It harmonized the provincial and federal sales tax into the Harmonized Sales Tax.

Guest editorial: A heap of trouble for the junior sector – by Ed Thompson (Northern Miner – January 8, 2014)

January 10, 2014

The Northern Miner, first published in 1915, during the Cobalt Silver Rush, is considered Canada’s leading authority on the mining industry.

A pillar of the Toronto mining community, Ed Thompson kicked off the new year by resigning from his many directorships in junior mining companies. As he tells The Northern Miner, part of the reason for doing so all at once was that he is “trying to make a statement to regulators and government bodies that drastic corrective actions are necessary, or a thousand juniors are going to die or be dormant. Probably won’t help but you gotta try.” The following are his thoughts on the state of the junior sector:

2014 will be a very slow year for mineral exploration as both the senior and junior mineral exploration companies face a plethora of problems. It is not just one or two problems facing the industry but a multitude as the industry comes off its highs of 2003-08.

For the seniors, they have all faced cost overruns on their projects due to a combination of permitting delays, environmental and social costs and delays, and poor engineering supervision in their attempt to develop projects in remote areas of the world.

Virtually no major mining project in the world performed to specs and the financial markets have downgraded these companies. This negative publicity has rubbed off on the junior markets. If the majors can’t perform, why should we risk our money with the juniors.

How the Polar Vortex revealed the hubris in Newfoundland’s leadership – by Konrad Yakabuski (Globe and Mail – January 9, 2014)

January 10, 2014

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.

Mother Nature just forced two of Canada’s premiers to show what they’re made of, after winter storms left thousands of their citizens without electricity.

Ontario’s Kathleen Wynne was sugar, spice and everything nice, delivering groceries and feeling everyone’s pain. Even when she bungled a gift-card distribution to the powerless, she showed that her heart was in the right place.

Newfoundland and Labrador’s Kathy Dunderdale, however, seemed to lead her province through the outages with neither heart nor head. With most of the Rock in the dark, she dismissed the situation as a non-crisis that underscored the wisdom of her government’s controversial Muskrat Falls hydroelectric project. “Would I have done things differently? Absolutely not,” she insisted after power was mostly restored.

Newfoundland premiers have rarely been known for humility, and Ms. Dunderdale seems to be keeping the tradition alive. But her self-assurance is misplaced.

NEWS RELEASE: Employees and OMA member Vale join forces for fundraising success

January 10, 2014

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.

Ontario Mining Association member Vale and United Steelworkers Local 6500 worked together to reach the fundraising goal of three-quarters of a million dollars for United Way/Centraide Sudbury and Nipissing Districts. The company and the union jointly announced this $750,000 charity-supporting success earlier this week.

“Achieving this fundraising goal speaks to the incredible generosity of our employees and their ongoing commitment to our community,” said Kelly Strong, Vice President of Vale’s Ontario and U.K. Operations. “It is an accomplishment we can all be proud of.” Mr. Strong is also serving as the 78th chairman of the Ontario Mining Association, which will be celebrating its 94 anniversary later this year.

Mr. Strong kept his promise to employees when the fundraising target was reached to acknowledge the achievement with a ceremonial head shaving. Patricia Mills, Publisher of Northern Ontario Business and Sudbury Mining Solutions Journal, who is United Way chair, performed the tonsorial manoeuvre at a public event.

BRAZIL’S VISION: BUILD HUMAN CAPACITY IN SCIENCE & TECHNOLOGY: Impacting Laurentian University – by Dick DeStefano (January 2014)

September 7, 2018January 10, 2014

Dick DeStefano is the Executive Director of Sudbury Area Mining Supply and Service Association (SAMSSA). destefan@isys.ca

Science without Borders (SwB)

Funded primarily by the Brazilian Government, the SwB scholarship program was launched in July 2011. The program to send 101,000 Brazilian students to study internationally in the science, technology, engineering, and mathematics (STEM) subjects by 2015. The Government of Brazil is funding 75,000 scholarships and a further 26,000 are being funded by the private sector.

During his official visit to the Federative Republic of Brazil from April 22 to 28, 2012, His Excellency the Right Honourable David Johnston, Governor General of Canada, announced that Canada will welcome 12,000 Brazilian students at the undergraduate, doctoral and post-doctoral levels under the SwB program by 2015.

I would like to applaud the vision and commitment Brazil has demonstrated by implementing such an innovative and brilliant strategy that will make them a major force within the next decade in the global marketplace.

In the past ten years as executive director of SAMSSA I have attended workshops and seminars lamenting the lack of solutions we have in Canada to rebuild our human capacity and solve our long term need for new highly skilled personnel. The Brazilians are showing us that the answer lies in a concentrated investment in its newest generation of undergraduate students.