Archive | Canada Mining

Diamonds may be forever, but they are not an investor’s best friend – by David Dodwell (South China Morning Post – October 21, 2016)

Impetuous, romantic and old fashioned as it may seem, I got married last month. So diamonds have been much on my mind, and of course have knocked a large hole in my bank balance. No comfort, then, to discover how poor an investment diamonds are. I’m sure the quality of the marriage more than makes up for it.

It seems the world’s diamond business – very important to Hong Kong, as one of the world’s leading diamond trading centres after Antwerp and Tel Aviv and host to at least nine diamond and jewellery fairs every year – is in a bit of a tizz.

The value of worldwide sales last year fell by 2 per cent to US$79 billion – but the volume of sales of rough diamonds tumbled by around 30 per cent. In Hong Kong, jewellery-shop leader Chow Tai Fook has seen sales fall by 12 per cent this year, while Tse Sui Luen has reported an 8.6 per cent fall. Continue Reading →

Congo takes Freeport, Lundin to court over sale of Tenke Fungurume – by Cecilia Jamasmie ( – October 19, 2016)

In May Freeport-McMoRan Copper & Gold (NYSE:FCX) announced the sale of its Tenke Fungurume copper mine in the Democratic Republic of the Congo to China Molybdenum (CMOC) for up to $2.65 billion, a crucial part of the Phoenix-based company’s debt reduction program.

But exiting the DRC is proving to be as complicated as operating a mine in the troubled central African country. Now Gecamines, the state-owned mining company, is taking Freeport and Canada’s Lundin Mining (TSX:LUN) — which through a Bermuda-based company indirectly owns 24% of Tenke — to international courts.

The move, Agence Ecofin reports (in French), aims to force both companies to restructure the terms of their exit from Tenke, known as TFM, one of the country’s biggest mines. Continue Reading →

Alberta’s Notley promises details of coal phase-out plan coming this fall – by Dean Bennett (Halifax Chronicle-Herald – October 20, 2016)

Canadian Press – EDMONTON — Premier Rachel Notley says Alberta will roll out specifics this fall of its plan to phase out coal-fired electricity and promote renewable energy.

Notley, in a state-of-the-province speech Wednesday, said the plan will include financial help to coal emitters closing their plants and transitioning to cleaner forms of power.

There will also be details on how proponents will be able to bid to replace coal generation in the Alberta market. “And we will set out more detail on how we will promote the construction of clean, renewable energy — wind, solar, thermal and hydropower — efficiently, economically and without undue subsidy,” Notley said. Continue Reading →

In Mexico’s Murder Capital, Signs of Gold Rush Are Emerging – by Eric Martin (Bloomberg News – October 19, 2016)

In Mexico’s Guerrero state, a lot is hidden in the dirt, secrets both gruesome and wonderful. The unmarked graves that dot the rolling hillsides give Guerrero its moniker as Mexico’s murder capital. But there’s gold here, too — lots of gold.

Toronto-based Torex Gold Resources Inc. opened its first mine earlier this year, representing a rare victory in Mexico’s efforts to fuel economic growth in a state ravaged by drug gangs fighting over the opium crops that feed U.S. heroin habits.

Two other Canadian miners, Timmins Gold Corp. and Minaurum Gold Inc., have plans to explore and develop their own sites. In a region with very little going for it, local officials and workers hope the trio of investments could be the start of something bigger. Continue Reading →

Newmont, Barrick Agree More on Present Than Future Value of Mine – by Danielle Bochove (Bloomberg News – October 17, 2016)

(Bloomberg) — A split between the world’s two largest gold producers over the value of their jointly owned Australian mine is more about future economic expectations than what’s in the ground.

That’s the view of Newmont Mining Corp.’s Gary Goldberg, who has been saying for over a year he’d be interested in buying Barrick Gold Corp.’s half of the Kalgoorlie Super Pit — at the right price. Since Barrick officially started a sales process of the 50 percent stake in July, a wide field of potential bidders is said to have formed to vie with Newmont for the stake in Australia’s largest open-pit gold mine.

“We’re not misaligned in terms of where we see some of the value of the resource that’s there,” Newmont’s chief executive officer said in an interview with Bloomberg TV Canada. “But people have different assumptions on exchange rates, and gold price, those sorts of things.” Continue Reading →

Beneath the Surface: a look at early mining in Rankin Inlet – by Sarah Rogers (Nunatsiaq News – October 14, 2016)

Frank Tester’s new documentary premieres at the Inuit Studies Conference

It was the mid-1950s. Elizabeth Alareak had only just married her husband Edward Alareak when he was “summoned” to come and work at the Rankin Inlet nickel mine, among the first mines to operate in the Canadian Arctic, from 1957 to 1962.

“We didn’t understand what a mine was,” she recalled, laughing. “We simply agreed.” The Arviat elder, whose husband has now passed away, is one of the many voices featured in a new film documenting life at the mine and its impact on the region, called Beneath the Surface: Inuit miners at Rankin Inlet 1957-1962.

The film premiered Oct. 9 at the Inuit Studies Conference in St. John’s, Nfld. In the 1950s, the fox pelt market upon which so many Inuit relied for material goods had dropped so low that those who had made their living trapping could no longer survive that way. Continue Reading →

Canadian firm faces new forced labour claims over Eritrean mine – by Karen McVeigh (The Guardian – October 14, 2016)

Dozens of Eritreans are to join a groundbreaking civil action in Canada as plaintiffs in a lawsuit against Nevsun Resources, which majority-owns the Bisha mine in north-west Eritrea, following a ruling last week.

Two of them – Kadane, a security guard, and Aman, an administrator – spoke out for the first time about what they claim they experienced at the mine: forced labour, horrendous working conditions and a climate of fear and intimidation.

“The mine was like an open prison,” Kadane told the Guardian. “They can take you and do what they want with you. I was owned by them. We were like objects for the government and for foreign companies to do with us what they wanted.” Continue Reading →

New diamond mine brings hope to Canada’s northwest – by Pete Guest ( – October 13, 2016)

In Canada’s far north, the opening of the biggest new diamond mine for more than a decade could mean a revival of the region’s flagging fortunes

Canada’s Northwest Territory in Autumn is an endless wilderness of pine forests, carmine grass and trees turning yellow, pocked with copper-ringed lakes blooming with algae. The plane up from Calgary to the capital, Yellowknife, disgorges a handful of tourists from Japan who stop to take selfies in front of the stuffed polar bear on the baggage carousel.

The nascent tourism industry has been buoyed by a small but significant uptick in visitors from the Far East hoping to see the Aurora Borealis, which are considered auspicious in some quarters; children conceived under the Northern Lights are believed to be set up for a lucky life.

Locals may not always agree. After a mining-driven boom in the early-2000s, the territory’s economy hit the skids around the time of the global financial crisis, and has declined more than 15 per cent since its highest point in 2007. Continue Reading →

NEWS RELEASE: Positive Signs Put Junior Miners in a Good Position for Recovery – PwC report

Read the full report, which is now available at:

TORONTO, OCTOBER 12, 2016 – Mining companies once again make up over 50 % of the total market capitalization on the TSX Venture Exchange, up from 36% on June 30, 2015, according to PwC Canada’s 2016 Junior Mine report, Signs of Life. For the past 12 month period between June 2015 to June 2016, cash flows from financing activities increased significantly and cash flows from debt and equity financing increased to 45 % and 48 % respectively.

According to the report, investors have seen a rise in the market capitalization of top junior mining companies on the TSX Venture Exchange by more than 100% compared to last year. Continue Reading →

New mining money to be made as investment tide turns – by Henry Lazenby ( – October 11, 2016)

VANCOUVER ( – There is a noted general perception among the investment community, including private equity firms and high-net-worth individuals, that there is some money to make again in the rebounding mining industry, PearTree Securities president Trent Mell tells Mining Weekly Online.

“Following three years of net outflows from the precious metals sector, things have certainly reversed, to an extent, and that capital is being deployed. The several years of tough decisions not to . . . increase output at all costs and instead focus on cash flow metrics have reinstalled some of the faith in the investment community,” states Mell.

According to him, the industry as a whole has worked hard at gaining that trust back and, while he does not believe the industry to be there yet, there are certain signs it is improving. Continue Reading →

Liberals under fire for delay on asbestos ban – by Tavia Grant (Globe and Mail – October 11, 2016)

A year after the Liberals were elected with a promise to ban the use of asbestos in Canada, no such move has been made – inaction that is dismaying to health experts, labour groups and families affected by asbestos-related diseases.

“Our position, and the evidence, is as clear as it can be: that asbestos is a carcinogen that is a major cause of cancer, including lung cancers, that kill many Canadians,” said Gabriel Miller, director of public issues at the Canadian Cancer Society. A ban “should be an as-soon-as-possible priority for the federal government,” he said.

Prime Minister Justin Trudeau has said the federal government is “moving forward on a ban,” although he gave no timeline and it was not an official announcement. “We are moving to ban asbestos,” he told a conference of building trades unions on May 10. “Its impact on workers far outweighs any benefits that it might provide.” Continue Reading →

Forced labour lawsuit against Vancouver mining company can proceed – by Mike Laanela and Farrah Merali (CBC News British Columbia – October 07, 2016)

The B.C. Supreme Court has given the go-ahead to three refugees to proceed with a civil lawsuit against a Vancouver-based company they accuse of using forced labour in the construction of an East African mine.

The lawsuit filed by three former Eritrean conscripts in B.C.’s Supreme Court accuse Nevsun Resources of being “an accomplice to the use of forced labour, crimes against humanity and other human rights abuses at the Bisha mine.”

The Vancouver-based miner had argued that the case should be dismissed and that any lawsuit should be heard in Eritrea, not Canada. But Justice Patrice Abrioux rejected that argument, concluding “there is a real risk that the plaintiffs could not be provided with justice in Eritrea.” Continue Reading →

Friedland a skeptic on lithium, rare earths – by Salma Tarikh (Northern Miner – September 30, 2016)

Robert Friedland, a renowned mining financier and promoter, took the stage at the recent Mines and Money Americas conference in Toronto to highlight the need for platinum and copper, as rapid global urbanization continues. Both are key metals in projects his company Ivanhoe Mines (TSX: IVN; US-OTC: IVPAF) is developing in Africa.

“I am not here to depress the gold bugs in this room. I’m just here to get you excited about copper and other metals that we need in our new society,” Friedland said.

The executive — who sold the large nickel-copper-cobalt deposit Voisey’s Bay in Labrador to Inco for $4.3 billion in 1996, and whose company discovered the large Oyu Tolgoi copper-gold deposit in Mongolia in 2001 — noted that there will likely be a billion more people living in urban environments by 2030. As a result, more people would live in cities filled with “toxic smog,” he said, citing that 6.5 million people die a year from air pollution. Continue Reading →

Baffin Inuit org to invest Mary River royalties within legacy fund – by Thomas Rohner (Nunatsiaq News – October 5, 2016)

The Inuit organization that represents Baffin-area beneficiaries wants to establish a legacy fund from the $24.2 million so far collected from Baffinland’s Mary River iron mine project.

That fund would “save for future generations of Inuit while providing benefits to current generations,” PJ Akeeagok, president of the Qikiqtani Inuit Association, said at the organization’s annual general meeting in Iqaluit Oct. 4.

During the presentation of his annual report to board members, Akeeagok said he would introduce a proposed policy on Oct. 5 to establish that fund. “It’s a very exciting time in QIA history, where we are safeguarding funds for future generations of Inuit while delivering programs based on the return on investment,” Akeeagok said from the Anglican Parish Hall.

Royalties from the north Baffin mining operation have been growing within QIA coffers since 2013, when the Inuit organization and Baffinland Iron Mines Corp. signed an Inuit Impact and Benefit Agreement. Continue Reading →

NEWS RELEASE: CEMI’s Rio Tinto Centre for Underground Mine Construction delivers industry & economic value

Setting the stage for large scale mining operations, now and in the future

Sudbury, ON (October 6, 2016) – CEMI (Centre for Excellence in Mining Innovation) and Rio Tinto celebrate the completion of the Rio Tinto Centre for Underground Mine Construction (RTC-UMC) at CEMI. This $10M investment in Canada’s mining innovation was created to undertake research in support of Rio Tinto’s Mine of the Future™ programme with a focus on underground mining infrastructure and footprint reliability.

This state-of-the-art research and knowledge centre played a role in the development and implementation of innovative step-change research and technology development for underground mines, designed to minimize delays and create value through speed and geo-risk mitigation. The results of this collaborative centre have set the stage for large-scale mining operations, now and in the future. CEMI 2016 Annual Report

Since being established in December 2010, the RTC-UMC interacts and collaborates with academics, consultants and representatives from a consortium of Rio Tinto operations worldwide. Continue Reading →