Archive | Africa Mining

2017 PDAC Environmental & Social Responsibility Award: Teranga Gold Corporation

PDAC 2017 Environmental & Social Responsiblity Award: Teranga Gold from PDAC on Vimeo.


(L to R) Richard Young (Teranga Gold Corp.) and Don Lindsay (CEO Teck Corp.)

This award honours an individual or organization demonstrating outstanding initiative, leadership and accomplishment in protecting and preserving the natural environment and/or in establishing good community relations during an exploration program or operation of a mine.

Teranga Gold Corporation: For outstanding community relations and making proactive, lasting contributions to the communities and surrounding regions of its Sabodala Gold Mine in Senegal, West Africa.

The Sabodala Gold Mine is the first and only gold industrial mine in Senegal. Teranga Gold Corporation (Teranga) has operated the mine since 2009, and has established itself as a leader in community relations and responsible mining practices.

In its 2015 Sustainability Report, Teranga acknowledges that it is operating as a guest in Senegal, and the right to be there must be earned. This is reflected in the company’s approach to mining, which begins by creating a culture of risk mitigation and shared long-term value with host communities. Continue Reading →

Acacia Mining: Tanzania ban costs $1 mln daily in revenue – by Susan Taylor (Reuters U.S. – March 24, 2017)

http://www.reuters.com/

TORONTO – Acacia Mining is losing more than $1 million in revenue each day at two mines in Tanzania because of the country’s ban on exports of gold and copper concentrates, the London-listed company said on Friday.

Acacia, majority owned by Barrick Gold, said it can produce and store concentrate at its Bulyanhulu and Buzwagi mines beyond the end of April, but must assess how long that can continue if the ban remains.

“We are taking a range of actions to help manage this financial impact,” Acacia said in a statement, without specifying any measures. Acacia, the largest miner in Tanzania, said talks with government officials have failed to result in the ban being lifted. Continue Reading →

Here’s How Apple Is Doing On Conflict Minerals – by Caroline O’Donovan (BuzzFeed News – March 27, 2017)

https://www.buzzfeed.com/

Apple continues to pursue transparency around its supply chain as the Trump administration considers suspending requirements for businesses that buy conflict minerals.

Apple released its 2017 Supplier Responsibility Report today, as concern mounts over the potential impact of a draft directive from the Trump administration that would suspend legislation requiring companies to disclose whether their products contain conflict minerals.

Conflict minerals — substances like tantalum, tungsten, tin, and gold — are used in a variety of popular electronics, including smartphones. They are typically sourced from war-torn countries including the Democratic Republic of Congo, where their mining and sale has historically funded armed groups associated with murder, rape, and other human rights violations. Continue Reading →

In Sierra Leone diamond sale, echoes of corruption and conflict – by Eric DuVall (UPI.com – March 25, 2017)

http://www.upi.com/

March 25 (UPI) — After a pastor found the second-largest diamond ever in Sierra Leone this month, echoes have been heard of government corruption and the nation’s legacy of conflict or “blood” diamonds, leading to rampant speculation about the precious gem’s sale.

The Rev. Emmanuel Momoh was the leader of the freelance mining team that discovered a 706-carat diamond in Sierra Leone, a country known for producing some of the purest — and most lucrative — diamonds in the world. But in a country where the diamond trade financed a decade-long civil war that killed 50,000 people, finding the rare gem almost seems like the easy part when considering its sale.

The incredible find has set off wild speculation in the country about nearly every part of the story. Is Momoh the true finder, or is he a middleman? Was he mining legally when he found the diamond, or had his mining license expired? Is the gem itself, which Sierra Leone’s president showed off on television, even real? Continue Reading →

Vedanta Resources to invest US$1 billion in Konkola Copper Mines (Mining Review Africa – March 27, 2017)

https://www.miningreview.com/

LSE-listed Vedanta Resources has outlined its 50-year vision for mining in the Copperbelt and plans to invest US$1 billion for its next phase of growth. This investment by Vedanta Resources is expected to create 7 000 jobs.

“I want Konkola Copper Mines (KCM) to be the largest integrated copper producer in Africa, the pride of Zambia and Vedanta Resource’s hub for copper and cobalt production in Africa,” sates Vedanta Resources chairman, Anil Agrawal.

“The ramp up of KCM is the centerpiece of my 50-year vision. It’s technically very challenging, because of the massive amount of water we have to pump out of the mine, but I’m determined to find technical solutions,” explains Agarwal. KCM is one of Zambia’s largest integrated copper producers. Continue Reading →

The truth about South Africa’s illegal mining industry – by Graeme Hosken, Shenaaz Jamal, Jan Bornman and Kyle Cowan (Rand Daily Mail – March 27, 2017)

https://www.businesslive.co.za/

It’s a multibillion-dollar transnational business empire with its own financial targets, line managers, security personnel and CEOs

It’s a multibillion-dollar transnational business empire with its own financial targets, line managers, security personnel and CEOs. The playing field is spread over 6,000 disused gold, diamond, chrome and platinum mines across South Africa.

With a workforce of up to 30,000 people – equivalent to the population of a small mining town such as Carletonville on the West Rand – the operations of illegal mining syndicates run day and night.

Many of the illegal miners are immigrants, often working in conditions reminiscent of slavery. Illegal mining has been identified as a national threat and a multi-agency team has been formed toco-ordinate government efforts to combat it, says the Chamber of Mines. Continue Reading →

[South Africa] Reviving King of Gold Means Getting Mine Workers Off Their Knees – by Kevin Crowley (Bloomberg News – March 24, 2017)

https://www.bloomberg.com/

During his early years as a miner in South Africa, Joas Mahanuque spent six hours a day on his knees drilling for Impala Platinum Holdings Ltd. The dust-filled tunnels half a mile underground were too low for him to stand, and temperatures reached 105 degrees Fahrenheit (40 degrees Celsius).

Today, he has essentially the same job 2.5 kilometers (1.5 miles) beneath the surface for Gold Fields Ltd. But unlike most of the precious-metals miners in the country, Mahanuque sits comfortably atop a new 7-ton vehicle, using a joystick to control an 8-foot drill as ventilated air blows behind him.

“It’s not hard,” the 37-year-old said while taking a break under the bright tunnel lights of South Deep, the country’s only fully mechanized underground gold mine. “You just sit and operate and make money.” Continue Reading →

Endeavour, Acacia talks break down – by Staff (Mining Journal – March 22, 2017)

http://www.mining-journal.com/

Two months after announcing they were in discussions about a possible merger, Acacia Mining (LN:ACA) and Endeavour Mining (CN:EDV) have called it quits, deciding a joint Africa-focused gold mining proposition is not in the best interest of shareholders.

The combination, which would have seen Acacia’s Tanzania operations joined with Endeavour’s West Africa assets, had been heralded as the first major piece of gold M&A in 2017 and got analysts and bankers, alike, very excited at the prospect of further corporate transactions.

In separate statements, the two said they had agreed to terminate discussions, with shareholder value seemingly the main sticking point. The deal was initially seen as a way for Barrick Gold (CN:ABX) to more than halve its 64% Acacia stake to a 30% level. Continue Reading →

Zambia Copper Miners Face $276 Million Bill in Power Dispute – by Matthew Hill and Taonga Clifford Mitimingi (Bloomberg News – March 20, 2017)

https://www.bloomberg.com/

Zambian copper miners including the local unit of Glencore Plc could face a power bill of more than $276 million if they lose a dispute with the government over electricity tariff rises, according to Copperbelt Energy Corp., their biggest supplier.

A resolution to the three-year battle could come by the end of the month, Copperbelt said in its 2016 annual report, published on Friday. If the High Court rules in favor of the energy regulator and its tariff increases, the supplier will be ordered to pay state-owned power producer Zesco Ltd. $276 million in outstanding fees. The company would in turn pass the cost onto customers, Copperbelt said.

A ruling could bring an end to a dispute that has raged in Africa’s second-biggest copper producer since April 2014, when Zambia’s Energy Regulation Board raised tariffs for mining operators by almost 30 percent. The Chamber of Mines of Zambia, which represents the companies, asked the High Court in Lusaka, the capital, to review if the increase was lawful. The regulator again raised prices in January, 2016. Continue Reading →

Australian mining firms closely watching after Tanzania imposes an export ban – by Daniel Flitton (Sydney Morning Herald – March 20, 2017)

http://www.smh.com.au/

A surprise export ban imposed on gold and copper concentrate by Tanzania’s President has forced several Australian mining firms to seek urgent assurances about the future of their operations in the African nation.

The export ban is seen by some as the latest manifestation of a populist drive affecting politics worldwide, amid a backlash to globalisation most obviously characterised by Donald Trump’s rise to the White House.

Perth-based Tanga Resources director John Stockley will fly to Tanzania on Monday for talks with local ministers after the country slapped a ban on the export of mineral concentrates and ores for metallic minerals, including gold, copper, nickel and silver. Continue Reading →

Canadian mining companies turn bullish on Congo, despite its violence – by Geoffrey York (Globe and Mail – March 20, 2017)

http://www.theglobeandmail.com/

JOHANNESBURG – The Democratic Republic of the Congo, the vast war-torn country in the heart of Africa, has fascinated the world’s miners for decades. Its reputation for violence and corruption has long deterred most investors – but a growing number of Canadian miners are now convinced that the rewards outweigh the risks.

Companies such as Ivanhoe Mines Ltd., Banro Corp. and Alphamin Resources Corp. are expanding their operations in Congo, betting that the country’s huge mineral resources and improving transport links will unlock profits. Political unrest and lawlessness, however, are still major concerns for many companies in the country.

Congo’s enormous mineral wealth has been estimated to be worth trillions of dollars. With more than 1,100 minerals and precious metals identified, including the world’s largest cobalt reserves and huge deposits of gold and copper, it has “the potential to become one of the richest countries on the African continent and a driver of African growth,” the World Bank says. Continue Reading →

Trump order on conflict minerals would send warlords carte blanche signal, say critics – by Joan Leishman (CBC News World – March 18, 2017)

http://www.cbc.ca/news/world/

Others say regulation poses financial burden and some easily circumvent rule in Democratic Republic of Congo

A battle involving some of America’s most powerful men and some of Africa’s most powerful warlords is being waged in Donald Trump’s White House. At stake are billions of dollars, child labour, sexual violence, and the precious minerals that make our tech gadgets work.

Soon after Trump took office, his plan to suspend the law on what are known as conflict minerals was leaked to the media.

The law was part of former president Barack Obama’s 2010 financial reform package known as the Dodd-Frank Act. Section 1502 of the act requires U.S. companies to avoid using conflict minerals from Congo and surrounding countries that are used to fund war, perpetuating human rights atrocities. Continue Reading →

Take community engagement seriously, ARM’s Motsepe advises – by Martin Creamer (Mining Weekly.com – March 16, 2017)

http://www.miningweekly.com/

JOHANNESBURG (miningweekly.com) – The South African mining industry must take community engagement extremely seriously to prevent this country’s global competitiveness from being negatively impacted, African Rainbow Minerals (ARM) executive chairperson Patrice Motsepe urged on Thursday.

Speaking at question time after ARM reporting a basic earnings loss of R254-million in the six months to December 31, the ARM founder spoke of the importance of the mining industry building community trust and goodwill through creating employment, education and upskilling, including at senior level employment. (Also watch attached Creamer Media video).

Proper training, he said, would ensure that recruitment was strictly merit based, with communities being made fully aware of the losses suffered if mines were forced to close through a lack of profitability. Continue Reading →

Mining’s Biggest Loser Lonmin Is Burning Cash to Stay Alive – by Kevin Crowley (Bloomberg News – March 16, 2017)

https://www.bloomberg.com/

For most of the mining industry, 2017 is turning out to be another good year. The big exception is Lonmin Plc.

Investors are losing confidence in the world’s third-largest platinum producer as it burns through cash to stay afloat, just 15 months after raising about $400 million from shareholders. Platinum prices aren’t far from a seven-year low and Lonmin has its own set of operational problems, including higher costs and lower output at its biggest mining shaft.

The stock is down more than 30 percent in 2017, the most in the FTSE All-Share Basic Materials Index of 28 commodity producers. The overall index has gained 11 percent this year. Continue Reading →

Sierra Leone pastor finds huge diamond in Kono (BBC News – March 16, 2017)

http://www.bbc.com/

A Christian pastor has discovered one of the world’s largest uncut diamonds in Sierra Leone’s Kono district. The diamond, weighing 709 carats, is now locked up in Sierra Leone’s central bank in Freetown. It is one of the 20 largest diamonds ever found.

Freelance, or artisanal, miners are common in Sierra Leone’s diamond-rich areas, reports the BBC’s Umaru Fofana.

But there are questions over whether the community will benefit from the gemstone, he adds. Pastor Emmanuel Momoh’s discovery, which has not yet been valued, is the biggest diamond to be found in Sierra Leone since 1972, when the 969-carat Star of Sierra Leone was dug up. Continue Reading →