Ontario Mining – Page 169 – Republic of Mining

Chromite tax helped kill Capreol plant: Tories – by Keith Leslie (Canadian Press/Sudbury Star – November 6, 2015)

November 6, 2015

The Sudbury Star is the City of Greater Sudbury’s daily newspaper.

TORONTO — Ontario’s Opposition says a Liberal government plan to tax the mineral chromite prompted Cliffs Natural Resources to pull out of the Ring of Fire mining project in the province’s north.

The U.S.-based Cliffs withdrew earlier this year from the Ring of Fire, a region 540 kilometres northeast of Thunder Bay that is rich in deposits of copper, nickel, platinum and chromite, which is essential for making stainless steel.

The company, which spent $550 million to buy land in the area, was in negotiations with the Ontario government for a $3.3-billion capital investment to develop the Ring of Fire until it pulled out last spring. It also cancelled a planned $1.8-billion chromite processing facility in Capreol.

Documents released as part of an investigation into cancelled gas plants in the Toronto-area four years ago revealed the province wanted to impose a royalty on chromite mined by Cliffs of between $6.6 million and $34.4 million a year.

AUDIO: Mine closure in Red Lake, Ont., surprises mining economist (CBC News Thunder Bay – Novemeber 5, 2015)

November 6, 2015

http://www.cbc.ca/

New strategy required for gold extraction, Lakehead postdoctural fellow says

The news of a temporary closure at the Rubicon Minerals mine in Red Lake, Ont., came unexpectedly to one mining economist at the Centre for Excellence in Sustainable Mining at Lakehead University.

The shutdown of the mine is leaving 330 workers without a job in the northern Ontario town with 5,000 residents.

In a paper highlighting key mining developments, Karl Skogstad said the Rubicon mine was one of the more promising projects in northern Ontario.

“That came as a bit of a surprise to me,” Skogstad said. “That was one of the two projects that we said, ‘this is going to open, you know, relatively on schedule, and it’s doing well.'”

The volatile price of gold is presenting challenges to companies such as Rubicon, he added.

[Noront] Junior miner wants faster government action on providing Far North infrastructure – by Ian Ross (Northern Ontario Business – November 6, 2015)

November 6, 2015

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. Ian Ross is the editor of Northern Ontario Business ianross@nob.on.ca.

Noront Resources president-CEO Alan Coutts isn’t enamoured with the provincial government’s glacial pace of infrastructure planning in the Ring of Fire, but his junior mining company has no immediate intention to mothball its nickel project in the region.

“We don’t have any plans to stop activities at this time,” said Coutts, a day after Noront announced the start of a modest $650,000 step-out exploration program, three kilometres from its flagship Eagle’s Nest nickel deposit.

A rather upbeat Coutts was beating back a Toronto newspaper report that the main mineral developer in the Ring of Fire was threatening to suspend exploration in an effort to speed up a government commitment to build mining-related infrastructure in the Far North.

The article, citing unnamed sources close to the company, said Resource Capital Funds, Noront’s main financier, is supportive and that such a work stoppage could be made within weeks.

Liberals killing $60M project – NDP – (North Bay Nugget – November 5, 2015)

November 5, 2015

http://www.nugget.ca/

Northern Development Minister Michael Gravelle came under fire in the provincial legislature Thursday for inaction at the Ring of Fire, with the NDP charging that the Liberals are on track to kill a $60-billion mining project.

The questioning followed a report earlier this week from the Financial Post that Noront Resources Ltd. warned the province that it will stop work unless they can show some progress has been made on First Nations agreements and infrastructure for the remote mining development.

The company has spent millions on the Eagle’s Nest project in the Ring of Fire but work and spending could stop by end of December if progress isn’t made.

“Minister, we attended Meet the Miners Day and you boasted of your government’s commitment to mining in Ontario. Last year, mining giant Cliffs, which spent $550 million in the Ring of Fire, said they can no longer do business with this Liberal government and sold their claims at a massive loss to Noront for $20 million,” charged Algoma-Manitoulin NDP MPP Michael Mantha.

Ring of Fire player feels pressure – by Carl Clutchey (Thunder Bay Chronicle-Journal – November 5, 2015)

November 5, 2015

Thunder Bay Chronicle-Journal is the daily newspaper of Northwestern Ontario.

Even as it starts a new exploration program in the Ring of Fire this week, the mineral belt’s lone main player admits it’s never been tougher to secure the funds for such projects.

“I don’t want to sound gloom-and-doom, but it is a tough market out there and investors want to see progress,” Noront Resources CEO Alan Coutts said Wednesday.

Noront has earmarked $600,000 to resume exploration in the area of its existing proposed Eagle Nest nickel mine about 500 kilometres northeast of Thunder Bay.

Though metal prices, including nickel, are down, Coutts said the Toronto-based company remains committed to getting its mine up and running about four years from now.

Despite reports, Noront says it’s not threatening to walk away from Ring of Fire – by Jamie Smith (tbnewswatch.com – November 4, 2015)

November 4, 2015

http://www.tbnewswatch.com/

Noront is not threatening to walk away from the Ring of Fire its CEO says.

The Financial Post ran a story with anonymous sources Tuesday saying the company has threatened to walk away from its Eagle’s Nest project if it doesn’t see progress from the province and First Nations soon. Alan Coutts said that same day the company announced a new exploration program in the area with nearby First Nations as participants.

“We don’t have any plans to shut down operations,” he said. “I don’t want to get into speculative stuff but we’re active.”

It’s a weak market out there, especially for a junior company like Nortont but Coutts said they’ve been finding the money they need and that’s happened because they’ve shown progress. “There’s activity, there’s alignment and there’s progress in the Ring of Fire,” he said.

Obviously the company would like to see firmer plans from the province on infrastructure for the project but Coutts said there are current discussions on those issues.

Deals will spur start-up of talc mine, says owner – by Ron Grech (Timmins Daily Press – November 4, 2015)

November 4, 2015

The Daily Press is the city of Timmins broadsheet newspaper.

TIMMINS – The owner of General Magnesium says he has just signed a deal that will accelerate the start-up of a new talc-magnesium mine in Timmins.

“We’ve been working for the last 16 months on due diligence with Hunter Douglas Metals” explained William Quesnel. “It’s a 15-year renewable contract with a sales value of $4.9 billion Canadian. So what it does is give us the security and stability to accelerate our project and start creating the jobs we promised previously.”

Three years ago, when Quesnel initially announced his development plans, he outlined a proposal to establish three facilities which would employ up to 1,000 people, combined.
Quesnel said he is already in the process of hiring people, adding that he could have up to 200 people working within the next 18 months.

The Quesnel Group owns a mining property located just southeast of Porcupine Lake in Whitney Township.

Iron miner eyes North American steel producers – by Ian Ross (Northern Ontario Business – November 3, 2015)

November 4, 2015

Sioux Lookout could get a huge economic jumpstart if a proposed $3.77-billion open-pit iron mine and mill operation in northwestern Ontario comes to fruition.

While North American steel demand has been sluggish and iron ore prices have reached historic lows, Armando Plastino, CEO of Rockex Mining, insists his company is better able to ride the troughs of the cyclical steel industry with its hot briquetted iron (HBI) operation.

“Every iron ore product is tied to steel pricing. We think HBI will be a lot more insulated and we’ll be able to market it to electric steelmakers. They do better through the cycle than the integrated producers.”

Thunder Bay-based Rockex recently updated its plans for a proposed $3.77-billion mine and mill project, centred on its Lake St. Joseph project and the Eagle Island iron deposit, located 100 kilometres northeast of Sioux Lookout.

NEWS RELEASE: Underground Activities Temporarily Suspended at the Phoenix Gold Project; Rubicon to Enhance Its Geological Model and Develop an Implementation Plan

November 4, 2015

Rubicon Minerals First Gold Pour: June 2015 from Rubicon Minerals on Vimeo.

http://www.rubiconminerals.com/

TORONTO, ONTARIO–(Marketwired – Nov. 3, 2015) – Rubicon Minerals Corporation (TSX:RMX)(NYSE MKT:RBY) (“Rubicon” or the “Company”) today announced it is moving to suspend underground activities at the Phoenix Gold Project (the “Project”) while it enhances its geological model of the F2 Gold Deposit and develops a project implementation plan.

“We believe in the potential of the Phoenix Gold Project,” said Michael Winship, interim President and Chief Executive Officer of Rubicon. “We have high-grade gold mineralization with extensive infrastructure, in one of the top producing gold camps in the world. Similar to other high-grade, narrow-vein, underground gold deposits, the geology can be quite challenging and requires additional analysis to be fully understood. During the trial stoping period, we have discovered that the F2 Gold Deposit is much more geologically complex compared to our understanding of it from historical drilling.”

Top ‘Ring of Fire’ miner threatens to halt project unless Ontario, First Nations make progress – by Peter Koven (National Post – November 4, 2015)

November 4, 2015

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

TORONTO — The dominant company in Ontario’s “Ring of Fire” mineral belt is threatening to suspend its work, sources say, putting a big question mark over future development plans in the region.

Noront Resources Ltd. has warned both the Ontario government and First Nations communities in recent days that it will stop working unless it can demonstrate some tangible progress to investors, according to sources.

The company and its key lender, Resource Capital Funds, are increasingly frustrated with a lack of movement on government infrastructure commitments, First Nations agreements and other matters. The longer these issues drag on, the harder it will be for Noront to raise new capital.

The company is expected to halt spending on its Eagle’s Nest project in the Ring of Fire by the end of the year if it does not see any progress. In that scenario, Toronto-based Noront would lay off most of its workers and go down to a skeleton staff.

Rubicon Minerals shares plunge on Phoenix gold project suspension – by Peter Koven (National Post – November 4, 2015)

November 4, 2015

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

The meltdown at Rubicon Minerals Corp. highlights the risk of building a gold mine without getting to know the deposit as well as possible.

The Toronto-based miner’s shares plunged as much as 68 per cent on Tuesday after it halted underground development of the Phoenix gold project. Rubicon said it needs to do further work to understand the deposit in order to mine it most effectively.

“We believe there is considerable room for improvement in the development of the Phoenix gold project,” interim chief executive Michael Winship said on a conference call. He added that it is a complex, narrow-vein deposit that is more difficult to mine than surface drilling suggested. The company is now studying a mix of possible mining methods.

The stock closed down 55 per cent at 26 cents Tuesday. The problem, experts said, is that Rubicon may have identified these problems much sooner if it hadn’t moved so quickly.

Premier secures financing from venture partner for gold project – by Heather Campbell (Northern Ontario Business – November 2, 2015)

November 3, 2015

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.

As Premier Gold Mines of Thunder Bay completes the final stages of a feasibility study for its Hardrock project, another influx of capital has been added to its treasury by venture partner Centerra Gold. Last month, Centerra announced a contribution of just over $11 million as part of its contribution agreement. This adds to the $85 million they entered the partnership with last spring. Overall, the project costs are estimated at $150 million to $200 million.

The partners formed a new corporation, Trans-Canada Property, which encompasses four deposits. The Hardrock Project, located just outside of Geraldton in northwestern Ontario, at the intersection of Highway 11 and Michael Power Boulevard, and Brookbank, located in the Beardmore area, are two of those deposits getting attention.

Premier, a leading exploration and development company with gold projects in Canada and the U.S., also owns the Hasaga Project in Red Lake that is proving significant and prolific gold trends in Nevada.

[Wallbridge Mining] Sudbury junior joint ventures with Lonmin on Sudbury PGM project – by Ella Myers (Northern Ontario Business – November 2, 2015)

November 3, 2015

Sudbury’s Wallbridge Mining Company started the next phase of exploration on its Parkin Properties in October, with funding from Lonmin. Wallbridge and Lonmin announced their agreement for the project in mid-September. Lonmin will be funding the project up to $11 million, with the potential to earn up to 50 per cent interest. This was an amendment to their existing North Range Joint Venture agreement (NRJV).

Lonmin is currently Wallbridge’s largest shareholder. The start date of Oct. 1 coincides with the beginning of Lonmin’s fiscal year.

Wallbridge initially worked with Impala Platinum Holdings Limited on the Parkin Properties. Josh Bailey, vice-president of exploration, said that in December, Wallbridge opted to purchase Implats’ 49.6 per cent interest in the joint venture by making cash payments over the next five years.

Mining veteran brought in to reboot palladium mine – by Ian Ross (Northern Ontario Business – November 2, 2015)

November 2, 2015

The last two years at North American Palladium’s Lac des Iles mine, Jim Gallagher has experienced a major company refinancing, an ownership changeover, a management reshuffle, a tailings pond issue, a round of layoffs, and the tragic death of a worker.

As the newly anointed president-CEO, Gallagher is hoping the streak of bad luck has run its course and he can now focus on the positives. “We’re setting the goal of becoming one of the best mines in the world.”

Earlier this year, the Toronto-headquartered miner was struggling under a crushing debt load until Brookfield Capital Partners recapitalized and restructured the company. Gallagher was promoted to the top job last August, replacing Phil du Toit, who resigned.

Lake Shore Gold’s future in Timmins is bright despite falling gold prices, CEO – by Sarah Moore (Timmins Daily Press – November 2, 2015)

November 2, 2015

The Daily Press is the city of Timmins broadsheet newspaper.

They may be the new kids on the block in the Timmins mining community, but Lake Shore Gold foresees an extremely prosperous future in the city.

“We see ourselves as being able to grow to be much larger,” Tony Makuch, CEO of Lake Shore Gold, said in an interview on Friday, “and to go from a junior producer to an intermediate to maybe a more senior producer” that is still producing gold in Timmins “and still being profitable even beyond the next five years.”

At a luncheon at the Dante Club on Friday afternoon, Makuch provided an update on the Lake Shore Gold operations at the Timmins West mining complex by Highway 101 west, and the Bell Creek mine in Porcupine.

As one of the newest gold mining operation in Timmins, Lake Shore Gold has produced almost 650,000 ounces of gold since going into full operation back in 2011. They hit a record last year, producing 185,000 ounces in 2014 alone.