Twitter
Boston-Bay-Mines-Announcement

Vale

Inquiry into mining safety long overdue – by Brian MacLeod (Sudbury Star – September 19, 2013)

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

“Something’s wrong,” Sudbury Star mining reporter Carol Mulligan said upon returning from a Vale Canada press conference in January 2012 called to explain the deaths of two miners 3,000 feet underground the previous June. “We’re not getting the whole story.”

On June 8, 2011, Jason Chenier, 35, a father of two young children, and Jordan Fram, 26, were crushed under 350 tonnes of wet, broken ore, known as muck, that had become stuck in a tunnel known as an ore pass.

The nature of the press conference — reporters were allowed to look at information presented, but were not given copies — and the demeanour of the presenters, was odd. Reporters in Sudbury are accustomed to procedures in mining deaths. The report made 30 recommendations to improve safety and the company was acting on them, officials said.

Yet Mulligan’s instincts were right. On Monday, Vale Canada pleaded guilty to three charges under the Occupational Health and Safety Act. The company was fined $350,000 on each charge, plus a 25% surcharge. It was, Crown attorney Wes Wilson said, the largest ever fine levied under the act for health and safety issues. Six other charges were dropped, as were charges against a mine official.

Read more

Push for mine safety inquiry continues – by Jonathan Migneault (Sudbury Star – September 19, 2013)

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

Vale Canada Limited’s plea bargain with the Ministry of Labour Tuesday, regarding deaths of two Stobie Mine employees in 2011, has created a stronger case for a provincial inquiry on mine safety, said Nickel Belt MPP France Gelinas.

“Now that we’re not going to have our day in court it creates one more argument for an inquiry,” said Gelinas. Vale pleaded guilty to three charges under the Ontario Occupational Health and Safety Act Tuesday, and was charged $1.050 million as a deterrent. The company made a joint submission with the Crown that it be fined $350,000 per charge.

Gelinas said the families of Jason Chenier, 35, and Jordan Fram, 26, who were crushed by a 350-ton run of muck at the 3,000-foot level of the Stobie Mine on June 8, 2011, would never have the chance to hear the full story surrounding their deaths.

“A trial is an opportunity for many people to gain closure because you get to the bottom of the story,” Gelinas said. The provincial NDP and the United Steelworkers have long called for an inquiry into the province’s mining deaths.

Mike Bond, chair of health, safety and environment for the United Steelworkers Local 6500, said he was disappointed with Tuesday’s outcome.

Read more

Vale’s Manitoba Operations has reached 95 per cent of cost savings goal, Lovro Paulic says – by John Barker (Thompson Citizen – September 18, 2013)

The Thompson Citizen, which was established in June 1960, covers the City of Thompson and Nickel Belt Region of Northern Manitoba. The city has a population of about 13,500 residents while the regional population is more than 40,000. editor@thompsoncitizen.net

But smelter and refinery “base case” is still to close sometime in 2015

Vale, which is trying to find $100 million in cost savings at its Manitoba Operations in Thompson, has achieved 95 per cent of that goal over the last year – a cost savings of $95 million with $5 million still to go, vice-president Lovro Paulic told the Thompson Chamber of Commerce Sept. 11.

Paulic said $60 million was saved last year and $35 million has been saved so far this year. Ninety per cent of the money was saved between September 2012 and last April, while anther five per cent has been saved since then. That leaves another five per cent to go to reach the $100 million target.

The result of the collective cost-savings effort across the operation was a reprieve for Birchtree Mine from being mothballed again for a second time. Birchtree Mine, which was discovered for its nickel deposit in 1963 and opened in 1968, was previously on care and maintenance for nearly 12 years from 1977 to 1989, although regardless if it is mothballed or not, the current life of mine plan anticipates closure at some point in the next 10 years in any event.

Read more

NEWS RELEASE: Plea Bargain in Vale Mine Deaths Betrays Workers, Families

http://www.usw.ca/

17 SEPTEMBER 2013 – SUDBURY – A plea bargain dropping the majority of Occupational Health and Safety Act charges against mining giant Vale in the deaths of two miners is another betrayal of Ontario workers and their families, the United Steelworkers (USW) says.

“Today’s decision highlights our government’s failure to take comprehensive, meaningful action to better protect workers and to ensure justice for families whose loved ones are needlessly injured or killed on the job,” said Rick Bertrand, President of USW Local 6500, representing 2,600 mining workers in Sudbury.

“Damning evidence was uncovered that showed the deaths of Jason Chenier and Jordan Fram, like so many other injuries and fatalities in Ontario mines, were preventable,” Bertrand said.

“Yet our government has refused to pursue the possibility of a criminal prosecution and rejected a public inquiry into mining safety. We’re left with a plea-bargain deal in which our government drops most of the health and safety charges in exchange for a fine against one of the largest corporations in the world.”

The plea-bargain agreement, negotiated between the Ministry of Labour and Vale, was accepted in the Ontario Court of Justice today.

Read more

Vale fined $1M in Sudbury miners’ deaths – CBC News Sudbury (September 17, 2013)

http://www.cbc.ca/sudbury/

Vale Canada Ltd. fined $1,050,00 after 2 workers fatally injured in 2011

Mining giant Vale Canada has been fined more than $1 million in connection with a double fatality in 2011 in which miners were buried in a torrent of mud. Jason Chenier and Jordan Fram were killed when wet mud and ore flooded the tunnel where they were working at Vale’s Stobie Mine in Sudbury, Ont., on June 8, 2011.

Chenier and Fram were working in an ore pass at the 3000 foot level, transferring broken rock and ore upwards when there was a sudden release of muck, sand and water. The run of muck came through a transfer gate, burying one working and hitting another causing massive crush injuries.

The Ministry of Labour laid charges under the Occupational Health and Safety Act in the accident after finding there had been a blockage of wet muck in the ore pass. It also said Vale had failed to deal with earlier water issues in the mine. The company was fined $1,050,000, the highest fine ever given under the health and safety act, by an Ontario court.

Read more

VALE STATEMENT REGARDING RESOLUTION OF CHARGES UNDER THE ONTARIO OCCUPATIONAL HEALTH AND SAFETY ACT STEMMING FROM THE FATALITIES AT STOBIE MINE IN JUNE 2011

For Immediate Release

SUDBURY, September 17, 2013 – This afternoon, Vale and Crown prosecutors representing the Ministry of Labour agreed to a resolution of charges under the Occupational Health and Safety Act in connection to the deaths of Jason Chenier and Jordan Fram at Stobie Mine in 2011. As part of this resolution, Vale entered a guilty plea on three counts, and agreed to a fine of $1,050,000 plus a 25% surcharge.

Kelly Strong, Vale’s Vice President of Ontario/UK Operations, released the following statement on behalf of Vale with respect to this matter:

“The deaths of Jason and Jordan have been extremely difficult for everyone involved, but no one more so than the families. Although the court proceedings have now been concluded, as a Company we cannot and will not ever forget what happened. We have a responsibility to the families, our employees, our Company and our community – all of whom have been deeply affected – to ensure we do everything we can to prevent this or any other tragedy from occurring in our operations again.

There is no higher priority than the safety of our people. We have concentrated significant efforts and resources on understanding what happened at Stobie Mine on June 8, 2011, and we have come very far in terms of implementing the recommendations that were made following this incident.

Read more

Vale’s Clean AER project forges ahead – by Laura Gregorini (Northern Ontario Business – September 2013)

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.

Installation of a converter at Vale’s Copper Cliff smelter in Sudbury, a major component of the company’s Clean AER Project, is nearly complete. The converter is the first of four converters to be replaced as part of the $1-billion project that will see sulphur dioxide, dust and metals emissions reduced by 85 per cent from current levels.

Citing volatile market conditions and cost challenges, Vale announced in January that it was scaling back the cost of its Clean AER (Atmospheric Emissions Reduction) project from $2-billion to $1- million. At the same time, Vale indicated it would move to a single-furnace operation from a two- furnace operation. Although a significantly less investment, Vale said that the environmental impact would be greater, by reducing emissions substantially more than previously anticipated.

“The original Clean AER project’s scope was designed for a two-furnace operation so it meant that when we made the decision, we had to go back and rescope the project to accommodate the one furnace,” said Vale spokesperson Angie Robson.

Vale doesn’t anticipate moving to a single furnace before 2016. A team was formed to study various aspects of the change and revise plans to accommodate the change to a single furnace.

Read more

Vale Awaits Chinese Shipping Decision – by Colum Murphy and Chuin-Wei Yap (Wall Street Journal – September 10, 2013)

http://online.wsj.com/home-page

Beijing Considers Relaxing Policy Barring Iron-Ore Producer’s Supersize Vessels

SHANGHAI—Vale SA VALE5.BR +1.84% of Brazil is banking on a pickup in the Chinese economy to lift steelmaking demand, which could pave the way for the mining company’s supersize ships to supply directly the market that they were designed to serve but that now bars them from docking. A decision by Beijing to loosen restrictions on the cargo ships, known as Valemaxes, would be a boon for the world’s largest producer of iron ore, an ingredient in steel.

Valemaxes, the world’s largest cargo vessels, are about twice the size of the next-largest class of freighters, weighing in at about 400,000 deadweight tons. They were developed by Vale specifically to reduce the disadvantage from the company’s longer distance from the crucial Chinese market compared with the Australian operations of rivals BHP Billiton and Rio Tinto.

Threatened by the competition to their own fleets, Chinese shipowners including state-owned China Ocean Shipping (Group) Co. successfully lobbied Beijing early last year essentially to ban Valemaxes, describing the ships as “a matter of monopoly and unfair competition” and citing safety concerns.

Read more

Vale, Steelworkers to investigate Clarabelle fire – by Heidi Ulrichsen (Sudbury Northern Life – August 30, 2013)

http://www.northernlife.ca/

A joint investigation into an Aug. 28 fire at Vale’s Clarabelle Mill will be conducted by the company and the union representing mill workers, Steelworkers Local 6500.

“Typically, when we have an instance such as a fire, we do launch an investigation to determine the cause … so we can learn what we can from it and prevent something like that from happening again,” Vale spokesperson Angie Robson said.

“As per our protocol, we’ve launched an investigation jointly with the union to look into this.” Robson said she can’t speculate as to how long the investigation will take. She said the investigation team will write a report about the incident that will be circulated internally.

The fire was reported in one of the mill’s crushing lines at around 9:15 a.m., and the all-clear was given at around 10:50 a.m., at which time employees were allowed to return to the building.

Robson said she doesn’t yet know the cause of the fire, although Greater Sudbury Fire Services Public Safety Officer Leo Frappier said it was a conveyor belt that caught fire, causing thick, black smoke to stream from the buiding.

Read more

Vale workers rescued from rooftop: Final update – by Carol Mulligan (Sudbury Star – August 29, 2013)

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

Two employees working on a roof had to be rescued and were taken to hospital for examination, but there were no injuries after a $2-million fire broke out at Vale’s Clarabelle Mill on Wednesday at 9:15 a.m.

Thirty firefighters from five downtown stations responded in 10 vehicles and, in about 90 minutes, contained a fire that was belching black smoke into the area, said a fire official.

Leo Frappier, senior public safety officer with Greater Sudbury Fire Services, said at 11 a.m. the fire had been downgraded from a Level 2 to a Level 1, and was contained to the building. A Level 2 fire is one in which there could have been “contaminants in the air, but there’s none,” said Frappier.

Vale spokeswoman Angie Robson said no one was injured and there was no threat to public safety. By mid-afternoon, Robson said the fire seemed to have been confined to one of three crushing lines at the mill, so the impact on production was expected to be minimal.

The cause of the fire was unknown, she said, and there was no estimate of damage.

Read more

Potash Collapse Signals Buy Not Build for Vale: Corporate Brazil – by Juan Pablo Spinetto (Bloomberg News – August 26, 2013)

http://www.bloomberg.com/

Turmoil in the global potash market is creating an opportunity for Vale SA to buy assets at a discount as the mining company leads Brazil’s bid to become self-sufficient in crop nutrients.

Vale, whose output at Brazil’s only potash mine dropped for the past three years, should abandon plans for greenfield projects and consider instead purchasing existing producers or their assets, according to Stifel Nicolaus & Co. Potash companies are trading at a “great discount,” making acquisitions a cheaper option for Vale than starting from scratch, said Terence Ortslan, managing director of research firm TSO & Associates.

Vale suspended two potash projects in Argentina and Canada worth $8.9 billion in the past year as cost increases made the ventures unfeasible. Fertilizer producer shares have slumped 14 percent on average since July 30 when OAO Uralkali ended output restrictions through a venture with Belaruskali, triggering speculation prices would tumble. Their average price-to-book ratio fell to 1.69 yesterday from 2.55 at the end of last year.

“It’s tough to justify the economics of a new project at today’s pricing,” Stifel Nicolaus analyst Paul Massoud said by telephone from Washington.

Read more

Iron ore prices moving higher as China steel production rises – by Lawrence Williams (Mineweb.com – August 15, 2013)

http://www.mineweb.com/

After a bit of a dip, iron ore prices are on the rise as Chinese steel production begins to increase again and the world’s top diversified miners will be the likely principal beneficiaries.

LONDON (MINEWEB)  – It should not have escaped anyone who follows the global mining sector’s attention that the world’s three biggest mining companies by a long way, BHP, Rio Tinto and Vale, are also the three biggest miners of high grade iron ore.

There had been much discussion of how these would fare in a Chinese downturn, given that China is by far the world’s largest importer of iron ore and there was comment that iron ore prices would fall dramatically, thus decimating the big three’s revenues and profits – exacerbated perhaps by the fact that they are all growing production with the inevitable additional costs that involves.

What the observers seemed to have failed to take into account is that China, in a recession, is still the equivalent of anyone else in a mega growth phase! Growth falling perhaps from 10% plus per annum to maybe 6 or 7% – figures western economies would give their eye teeth for!

Read more

A Custom Fit [for Vale’s Newfoundland nickel project] – by Marianne Dupla and Dave Oliphant (Canadian Mining Journal – August 2013)

The Canadian Mining Journal is Canada’s first mining publication.

While it was rigorously testing a customized use of hydrometallurgical technology to assure commercial viability for its mammoth nickel-mining project, Vale Canada Ltd. was also testing a comprehensive effluent treatment program that incorporates new high-rate softening and clarification technology to help protect the environment.

International mining company, Vale, is nearing completion of its US$3.7-billion nickel processing plant at Long Harbour, on Newfoundland’s Placentia Bay. The Brazilian mining company’s wholly owned subsidiary, Vale Canada Limited, formerly known as Vale Inco, is directing the construction of the processing plant, which began in April 2009.

Start-up of the plant is scheduled for August 2013. Once fully operational, it is expected to annually produce 50,000 metric tons of nickel, 4,700 metric tons of copper, and 2,500 metric tons of cobalt.

The mined ore will first undergo a concentrating process at the Voisey’s Bay mine site in Labrador before it is transported by ship to the processing plant at Long Harbour. By processing ore concentrate at the plant, Vale anticipates achieving higher metal recoveries while also eliminating the time and expense of shipping to Ontario or Manitoba for refining.

Read more

Glencore, Vale should join forces, analyst says (CBC News Sudbury – August 9, 2013)

http://www.cbc.ca/sudbury/

For an indepth radio report, click here: http://www.cbc.ca/video/news/audioplayer.html?clipid=2400108515

Merging the two mining giants will help reduce redundancies, particulary in Sudbury operations

In a search for cost cutting measures, one mining analyst says a merger between Vale and Glencore should be an option that’s considered. Brazilian mining company Vale released its second quarter results Thursday, which showed an 84 per cent drop in profits.

Base metal prices are also down across the board. Terence Ortslan, managing director with TSO and Associates, an independent mining, metals and fertilizer research firm, said combining operations could help reduce redundancies.

“I think the question is, is it going to be out of necessity, or is it going to be creative in doing things? I think the assets have to be put in a pool to see who can do better and how it’s going to be streamlined in terms of a critical path.”

Glencore recently took over Xstrata — a firm that took over Sudbury’s Falconbridge Ltd. in 2006. Sudbury residents have, for decades, heard and talked about mergers between Falconbridge and Inco Ltd., the company now known as Vale.

Read more