International Media Resource Articles – Page 407

[Rio Tinto Copper Mining] Will Bougainville Hold Its Independence Referendum? – by Grant Wyeth (The Diplomat – September 28, 2017)

September 28, 2017

Tensions between Papua New Guinea (PNG) and the Autonomous Bougainville Government (ABG) have again arisen concerning Bougainville’s independence referendum scheduled for June 2019. PNG Prime Minister Peter O’Neill has informed the national parliament that the criteria established in the Bougainville Peace Agreement of 2001 — which would enable the region to hold a referendum — have yet to be met.

According to O’Neill, the region has yet to establish a solid rule of law, maintain functional government structures, nor has it fully disarmed the island’s militias. However, the ABG has been arguing for some time that the PNG government has failed to live up to its financial obligations to allow the ABG the resources to fully implement the required conditions.

That the PNG government earlier this year had the power cut to government buildings due to unpaid bills, and lost its vote at the United National General Assembly because of a failure to make its annual contributions, could indicate that the ABG may be justified in its complaints.

Diamond Dealers Cling to the Old Days – by Thomas Biesheuvel and Franz Wild (Bloomberg News – September 28, 2017)

September 28, 2017

https://www.bloomberg.com/

Ashit Mehta was stunned. Without notice, the representatives of Dutch bank ABN Amro marched into the offices of his global diamond empire, confiscated $150 million of rocks, locked them in a vault and left with the key.

What began on that overcast December day in 2012 turned out to be just the start of the problems for the secretive family-run diamond trading houses that have defined the Belgian city of Antwerp for centuries.

They make up the invisible link between African mines and jewelry stores in New York, London and Hong Kong, and are being squeezed like rarely before. The banks whose loans they relied on to buy gems are pulling out of a business they no longer think is worth the risk in the post-financial crisis age of increased regulation and scrutiny.

Marikana: death and fear still stalk platinum belt – by Theto Mahlakoana (Business Day – September 27, 2017)

September 28, 2017

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

The eyes of SA and the world have turned away from the platinum belt, returning there only when the Marikana massacre is commemorated every August. Yet mine workers there are being continually snuffed out.

Union leaders, fathers, sons and brothers are being gunned down by unknown assailants for reasons that may never surface. Law enforcement authorities have not paid special attention to the region to solve the crimes, despite several pleas by civil society and political formations.

In the past two weeks, the bodies of four regional leaders of the Association of Construction and Mineworkers Union (Amcu) were found riddled with bullets at the Lonmin and Impala mines.

China to cancel a third of iron ore mining rights in fight against smog – by Muyu Xu and Manolo Serapio Jr (Reuters U.S. – September 27, 2017)

September 28, 2017

https://www.reuters.com/

QINGDAO, China (Reuters) – China will cancel about a third of its iron ore mining licenses, mostly belonging to small polluting mines as part of Beijing’s efforts to improve air quality, a mining association official said on Wednesday.

Over 1,000 mining rights will be eliminated under China’s campaign against pollution, Lei Pingxi, chief engineer at the Metallurgical Mines’ Association of China, told an industry conference.

“Some small miners who didn’t pay attention to environmental issues simply closed down temporarily to cope with inspections,” said Lei. “However, these small miners will be forced to upgrade their production processes in order to survive, otherwise they will be cleared out.”

Zimbabwe’s economy is worsening as food lines grow and investors are left frustrated – by Tawanda Karombo (Quartz Africa – September 27, 2017)

September 28, 2017

https://qz.com/

Harare – Dejection, hopelessness and desperation are written over the faces of the majority of Zimbabweans as they queue up for fuel and foodstuffs that have become scarce across the country amid fears that the country has started to slide back into the 2008 hyper-inflation era.

Even bitcoin rates, which some ordinary Zimbabweans have turned to as a storage of value, has started to soar on a local Zimbawean exchange Bitcoinfundi. It was up to $5,600 for a bitcoin versus $4080 per bitcoin on the Coinbase global index. The discrepancy is caused by the difficulty Zimbabweans will have in cashing out their bitcoins locally.

President Robert Mugabe on Monday (Sep.25) promised to deal with the current wave of foodstuff and fuel shortages in double quick time. He blamed “economic saboteurs” for the sudden worsening of the economic situation, ordering retailers to speedily reduce prices or face action from the government.

Electric vehicles trigger search for lithium and cobalt – by Chris Tomlinson (Houston Chronicle – September 27, 2017)

September 27, 2017

http://www.houstonchronicle.com/

Automakers this summer touted plans to offer more electric vehicles, with Mercedes-Benz announcing it will spend $1 billion to add a battery factory to its plant in Tuscaloosa, Ala.

Ford is investing $4.5 billion in electric vehicle production, Volkswagen has promised 30 electrified models, and Volvo plans to go all electric or hybrid by 2019. Even Porsche will offer a battery-powered sports sedan called Mission E in 2020.

Automakers expect to sell 20 million all-electric vehicles in 2030, according to conservative estimates, prompting questions about where the raw materials will come from to make all of those batteries.

[Australia Coal Mine] The hunt for Adani’s 10,000 jobs brings up ‘zero results’ – by Charis Chang (News.com.au – September 27, 2017)

September 27, 2017

http://www.news.com.au/

THERE’S a bit of an in-joke among Townsville residents about Adani’s mega coal mining project that if you ask them to explain, is an instant conversation killer. The first time I hear it is from a local scientist touching on some potential environmental concerns linked to the construction of railway line.

“Not having a go at it (the mine) but just making a point,” he says. “Coming from Townsville I’d be shot if I had a go at it.” There’s laughter among those listening but when I ask him later to clarify, the conversation takes on a serious tone and he’s reluctant to expand further.

He tells me opinion within Townsville is split and when I ask him if he feels he can’t be open he says: “I just feel like without having all the information I wouldn’t want to judge either way”.

Africa: Stage Set for African Countries to Renegotiate for Fair Mining Deals – by Socrates Mbamalu (All Africa.com – September 26, 2017)

September 27, 2017

http://allafrica.com/

The paradox of plenty is a reality for many African countries. There’s an abundance of natural resources such as oil, gas and minerals, but there hasn’t been much economic growth and development for many countries.

The natural resources abundant in most African countries tend to benefit not the communities and countries within which the minerals are extracted. Tanzania’s President John Magufuli has started the process of renegotiating the mining contracts his country has with various mining companies. Other African countries need to borrow a leaf out of Tanzania’s book.

The resource curse, also known as the paradox of plenty, is a reality for many African countries. The term refers to the paradox that countries with an abundance of natural resources such as oil and certain minerals, tend to have less economic growth, and worse development outcomes than countries with fewer natural resources, for various reasons.

Everyone wants cobalt, but few want to get tangled up in the world’s largest producing nation – by Lynsey Chutel (Quartz.com – September 27, 2017)

September 27, 2017

https://qz.com/

For too long, the Democratic Republic of Congo has known no competition in the cobalt market, to its detriment. The metal, which used to be just a byproduct of nickel and copper mining, is fast becoming one of the core ingredients of our technology-driven lifestyles. The instability in the DR Congo, however, is driving some investors to look to much smaller but more reliable cobalt sources.

Earlier this year, Canada began to notice the makings of a cobalt rush, starting in the town of Cobalt, Ontario—named for the mineral that was discovered there. More than a century ago, the region was the site of an old-fashioned silver rush, but its resources were soon eclipsed by Africa’s offering.

Prospectors are again returning to the town of Cobalt: By May this year, more than a dozen mining companies had staked their claim in the Canadian town, the Northern Prospectors Association told Canada’s CBC.

Indonesia’s Freeport victory sets tone for foreign miners – by Fergus Jensen and Ed Davies (Reuters U.S. – September 26, 2017)

September 27, 2017

https://www.reuters.com/

JAKARTA (Reuters) – For many Indonesians, investment banker-turned-minister Ignasius Jonan is the man who made trains run on time.

Months after being handed the mining portfolio, the minister notched up a bigger victory; securing majority local ownership of Grasberg – one of the world’s biggest gold and copper mines – following months of difficult negotiations with U.S. giant Freeport-McMoRan Inc.

Foreign control of mines has been sore point for many Indonesians, who view it as a legacy of an authoritarian past when a ruling elite cut sweetheart deals to carve up precious resources.

The framework agreement with Freeport on Aug 29 was seen as a victory for Indonesia and a political win for President Joko Widodo as the U.S.-based company agreed, among other measures, to cut its mine ownership from more than 90 percent to below 50 percent in favor of Indonesian owners.

Billionaire John Paulson Targets Gold CEOs Over Pay – by Anders Melin, Danielle Bochove and Luzi-Ann Javier (Bloomberg News – September 26, 2017)

September 27, 2017

https://www.bloomberg.com/

Billionaire John Paulson is building a coalition of major investors in some of the world’s top gold producers to curb years of “value destruction” and excessive executive compensation in the industry.

“The days of CEOs getting rich while shareholders lose has got to end,” Paulson said Tuesday in an emailed statement ahead of a presentation by Paulson & Co. at the Denver Gold Forum. “Management must be accountable.”

The group, to be named the Shareholder’s Gold Council, aims to unify and amplify the voices of institutional investors on matters including board appointments, pay plans and merger activity, said Marcelo Kim, a partner at the hedge fund firm who oversees investments in natural resources.

Unfair Trade, Uncertainty Killing American Aluminum And Steel – by Leo W. Gerard (Huffington Post – September 26, 2017)

September 27, 2017

http://www.huffingtonpost.com/

Kameen Thompson started his workday Sept. 15 thinking that his employer, ArcelorMittal in Conshohocken, Pa., the largest supplier of armored plate to the U.S. military, might hire some workers to reduce a recent spate of overtime.

Just hours later, though, he discovered the absolute opposite was true.

ArcelorMittal announced that, within a year, it would idle the mill that stretches half a mile along the Schuylkill River. Company officials broke the bad news to Kameen, president of the United Steelworkers (USW) local union at Conshohocken, and Ron Davis, the grievance chair, at a meeting where the two union officers had hoped to hear about hiring.

ArcelorMittal wouldn’t say when it would begin the layoffs or how many workers would lose their jobs or which mill departments would go dark. The worst part for everyone now is the uncertainty, Kameen told me last week.

Treasures beneath the sea – by Chu Daye (Global Times – September 26, 2017)

September 26, 2017

http://www.globaltimes.cn/

China set to make breakthrough in deep-ocean mining of rare, hotly-demanded metals

Before mankind’s first commercial deep-sea mining endeavor begins in 2019, China’s Xiang Yang Hong 06 survey vessel is currently examining the seabed of the East Pacific for precious metals in a three-month-long voyage.

A leading expert in China’s seabed mining quest says of the voyage that the country is sailing toward a program that will see the extraction of 30 tons of minerals per hour from 1,700 meters beneath the sea by 2020, minerals that are much-needed in the country.

In August, the Xiang Yang Hong 06 vessel left Qingdao in East China’s Shandong Province for the Clarion-Clipperton Fracture Zone in the East Pacific, south of the Hawaiian Islands, to search for polymetallic nodules. Aboard the survey vessel are experts from China Minmetals Corp (CMC), in the company’s first voyage to search for mining opportunities for deep-sea rare metals.

Brazil abandons controversial bid to mine Amazon natural reserve after vehement criticism from conservationists (South China Morning Post – September 26, 2017)

September 26, 2017

http://www.scmp.com/

Agence France-Presse – The Brazilian government backed off a controversial proposal to authorise private companies to mine a sprawling Amazon reserve Monday after blistering domestic and international criticism.

President Michel Temer’s office will issue a new decree on Tuesday that “restores the conditions of the area, according to the document that instituted the reserve in 1984”, the Ministry of Mines and Energy said in a statement.

Last week, environmental activist group Greenpeace said at least 14 illegal mines and eight clandestine landing strips were already being used by miners in the Denmark-sized reserve known as Renca in the eastern Amazon.

Iron Ore Succumbs to Bear Market and May Extend Slump Into $50s – by Jasmine Ng (Bloomberg News – September 25, 2017)

September 26, 2017

https://www.bloomberg.com/

Iron ore has slumped back into a bear market after posting the biggest weekly loss in 16 months amid concern that record demand in China may ease off as mills enact winter output cuts just as data from the top user signals that the economy may be cooling.

Losses have probably been driven by “the realization that if, as planned, large amounts of steel capacity are taken offline during the winter months, this will mean lower demand for iron ore,” Caroline Bain, chief commodities economist at Capital Economics Ltd., said by email. “August activity and spending data suggested that the Chinese economy is starting to slow.”

Spot ore with 62 percent content in Qingdao slipped 0.8 percent to $63.06 a dry metric ton on Monday, after retreating 12 percent last week, according to Metal Bulletin Ltd. Prices have lost more than 20 percent since peaking near $80 in August, meeting the common definition of a bear market. Lower-grade 58 percent ore, which trades at a discount, has sunk into the $30s.