August 7, 2015 – Republic of Mining

Whose Sovereignty? Gabriel Resources v. Romania – by Adam Cernea Clark (Huffington Post – August 6, 2015)

August 7, 2015

http://www.huffingtonpost.com/

Adam Cernea Clark is a writer on sustainable development issues and an environmental attorney.

Two weeks ago, a little-known Canadian gold mining company that has developed or operated exactly zero mines over 17 years announced to its investors that it had initiated international arbitration proceedings against the government of Romania for failing to permit what would be the largest open-pit gold and silver mine in Europe.

Claiming this right under Romania’s bilateral investment treaties (BITs) with Canada and the U.K. (the company consists of ten separate entities in half a dozen countries), Gabriel Resources opined that the Romanian government had unlawfully deprived them of their right to develop the project and extract the full value of their investment.

Using some 40 tons per day, Gabriel subsidiary Roşia Montana Gold Corporation’s project would have created a massive pool of cyanide over priceless archaeological gold mining sites dating back to the Roman Empire and possibly earlier. It would have destroyed the village of Roşia Montana and two adjacent villages, as well as four mountains in this remote corner of the Carpathians.

Almost two years ago, the project triggered historic street protests of tens of thousands of people around Romanian cities.

Carmichael mine: End green sabotage of coal, says Tony Abbott – by Jared Owens and Dennis Shanahan (The Australian – August 7, 2015)

August 7, 2015

http://www.theaustralian.com.au/

Bill Shorten has challenged Tony Abbott to propose “sensible” reforms to environmental laws, rather than “attacking the court system” for overturning the proposed Queensland Carmichael mega coalmine.

The Opposition Leader today accused Mr Abbott of “second-guessing our judges” by proposing a new environmental standard that “near enough is good enough”.

“If there’s a problem with the way the law is formed then we go back and debate it in parliament, but Mr Abbott seems to be creating a new test for environmental protection in this country that near enough is good enough – well it’s not,” Mr Shorten said.

“If Mr Abbott doesn’t like the law … he can always sit down with Labor and talk about sensible amendments which may need to be made … rather than just attacking the court system.”

Mr Abbott today touted the environmental benefits of Australian coal, describing it as “invariably … much better for the environment than the alternative”.

New Caledonia mining trucks protest over nickel export ban to China – by Cecile Lefort (Reuters U.S. – August 6, 2015)

August 7, 2015

http://www.reuters.com/

SYDNEY – Aug 7 Dozens of mining trucks on Friday took to the streets of Noumea, capital of the South Pacific island of New Caledonia, to protest the government’s ban on some nickel exports to China.

Last week, the heads of the national and local governments along with mining executives vetoed exports of nickel laterites to China because of New Caledonia’s longstanding supply agreements with Australia.

“The opening to China is against the mining strategy established in 2009 to maintain export volumes to traditional clients of New Caledonia,” Philippe Germain, president of New Caledonia said in a statement.

Germain also said exports to China were unpredictable and blamed the Asian giant for the substantial fall in nickel prices. Nickel prices hit a six-year low in July and are down 27 percent this year, largely on slowing demand.

The veto angered a large number of truckers who subcontract for mines such as Société Minière du Sud Pacifique SA (SMSP), Ballande Group and Gemini, saying the ban will force many of them to shut down in an already difficult environment with falling export volumes.

Embattled Barrick selling assets to cut debt, reduce costs – by Lisa Wright (Toronto Star – August 7, 2015)

August 7, 2015

The Toronto Star has the largest circulation in Canada. The paper has an enormous impact on federal and Ontario politics as well as shaping public opinion.

Gold miner cuts dividend and will shave another $2 billion from operations in pursuit of profitability.

Just about everything is for sale or on the chopping block – except for a handful of core mines – as Barrick Gold Corp. fights to stay atop the gold mining industry amid crippling debt and a tanking bullion price that has dragged its stock down to 26-year lows.

“If you have interested parties, be in contact with us please,” company co-president Kelvin Dushnisky said with a slight chuckle when an analyst asked on Thursday’s conference call if the miner’s equipment was up for sale at its now dormant Pascua-Lama site in Chile.

The Toronto-based gold miner said it will now target spending cuts across its operations at $2 billion before the end of 2016 — a move that tacks an extra $1 billion of cuts onto a previously announced target to lower expenses and improve productivity.