Vale expects final agreement for Mariana dam reparations in first half of year

Reuters | April 24, 2024 | 

Reconstruction efforts at Samarco’s Fundão tailings dam in 2017. 

(Image courtesy of BHP)

Mining company Vale expects to reach a final agreement with authorities for reparations for the collapse of the Samarco tailings dam by the end of the first half of this year, the company told Reuters in a statement on Wednesday.


The collapse of the dam, which belonged to Samarco, a joint venture of Vale and BHP and located in the southeastern city of Mariana, caused a giant mudslide that killed 19 people and severely polluted the Rio Doce river, compromising the waterway to its outlet in the Atlantic Ocean.

Vale, BHP, and Samarco seek new deal on Mariana disaster

A new proposal for an agreement was presented by the mining companies to the federal government and the states of Minas Gerais and Espirito Santo, two sources close to the negotiations told Reuters, without giving any figures.

One of the sources, speaking on condition of anonymity, said that compared with the previous proposal of 42 billion reais ($8.16 billion), the amount had “improved a lot,” but still “falls short” of what was expected.

Neither Vale, BHP nor Samarco have confirmed they presented a new proposal.

In separate statements, the companies said they are committed in finding a solution for the reparations.

($1 = 5.1471 reais)

(By Marta Nogueira, Ricardo Brito and Steven Grattan; Editing by Leslie Adler)

Implats weighs 3,900 job cuts in South Africa as price rout takes toll

Reuters | April 26, 2024 | 

Image courtesy of Implats

Impala Platinum could cut 3,900 jobs as it restructures its South African operations due to lower metal prices, the miner said on Friday, with the news likely to pile more pressure on the government weeks before a general election.


Mining companies in the world’s top platinum supplier are shelving expansion projects, closing some operations, and letting go of thousands of workers in a bid to preserve cash as some metal prices plunge.

Implats said it was resorting to jobs cuts as its cost savings, deferment of capital projects, and a voluntary severance scheme had “not sufficiently offset the impact of persistently lower prices” on the business.

Platinum is 7% down so far this year, while palladium is 10% lower since the beginning of the year.

“This has significantly undermined Implats’ financial position, which in turn threatens future job security for the entire workforce,” Implats CEO Nico Muller said in a statement.

South African miners have also been impacted by a myriad of local challenges including power cuts and a crisis at the state port and freight rail company.

Job losses are hot-button issues in the lead-up to the May 29 election, where polls suggest the African National Congress could lose its parliamentary majority for the first time since the end of apartheid.

Implats’ restructuring could potentially affect 9% of the miner’s workforce at its Rustenburg, Marula and the newly acquired Bafokeng operations. It also targets a 30% reduction in head office costs, the company said.

In February, Implats’ rival Anglo American Platinum (Amplats) announced plans to lay off 3,700 people, while Sibanye Stillwater has said it will cut about 2,000 jobs in its platinum operations.

Amplats’ parent company, Anglo American rejected rival miner BHP Group’s $39 billion takeover proposal on Friday, saying the bid significantly undervalued the London-listed miner and its prospects.

(By Felix Njini and Nelson Banya; Editing by Olivia Kumwenda-Mtambo and Mark Potter)

Glencore bought aluminum from Rusal worth $1.06bn in 2023

Reuters | April 26, 2024 | 

Rusal smelter. (Image by Rusal).

Commodities group Glencore bought aluminum from Russian producer Rusal worth $1.06 billion in 2023 as part of their long-term contract, the Russian producer said in an annual report on Friday.


Although Rusal, the world’s largest producer outside China accounting for 5.5% of global output, itself is not a target of Western sanctions, some Western clients have been shunning new deals for Russia-made metals since Moscow invaded Ukraine in 2022.

Glencore has been under pressure to stop buying Russian metals. Its contract with Rusal expires this year unless it is extended.

Glencore declined to comment on Friday whether the contract would be extended into 2025. The group said in 2022 it would agree to no new contracts for Russian material but would meet existing obligations.

Last year’s purchases by Glencore from Rusal would amount to around 459,000 metric tons, according to a Reuters calculation based on the average London Metal Exchange cash price of $2,307 per ton for 2023.

It is a rough estimate because the price would also include regional premiums, which depend on the destination of shipments. Rusal’s 2023 aluminum sales totalled 4.2 million tons.

Dealing in Russian metals has become an increasingly complicated business for traders since 2023 as Western countries continue expanding sanctions on Moscow.

In the latest twist, Washington and London prohibited aluminum, copper and nickel made in Russia after April 13 from being delivered to the LME-registered warehouses.

As the share of Russian aluminum in available stocks in the warehouses was at 91% as of the end of March, the existing stock was excluded from the measures.

However, the new rules defined the existing stock into two separate categories, which created a trading opportunity for Glencore and some other trading houses.

To profit from the rule change, Glencore aimed to take thousands of metric tons of Russian aluminum from the LME warehouses and return it at a later date, sources familiar with the matter told Reuters last week.

LME since then clarified the rules for these categories, aiming to stop gaming of the new rules for Russian aluminum.

(By Polina Devitt and Eric Onstad; Editing by Louise Heavens, Michael Erman and Andrea Ricci)

Nigeria revokes 924 dormant mining titles, seeks new investors

Reuters | April 24, 2024 | 

Idanre Hills, Nigeria. Stock image.

Nigeria has revoked 924 dormant mining titles immediately and invites investors to freely apply for the affected licences which will be offered on a “first come, first served” basis, its minister of mines said on Wednesday.


The affected titles include 528 exploration licences, 20 mining leases, 101 quarry licences, and 273 small-scale mining licences, Mines Minister Dele Alake said in a statement.

In November, more than 1,600 mining titles were revoked for non-payment of statutory fees as part of sweeping reforms in the sector.

Alake said the action was taken to curb “licence racketeering” where companies or individuals secure titles that hold minerals of commercial value and then offer the licences to the highest bidder.

“By creating a secondary, black market to pawn mineral licences, the unsuspecting and unwary investor is misled into believing that he can only obtain licence by patronizing the black market. This discourages investment,” Alake said.

“It is our belief that this decision will sanitize the licensing system by penalizing those who have commercialized the opportunities offered by the sector into a bazaar, he added.

Nigeria is seeking to woo investors to a mining industry that has long been underdeveloped, offering incentives such as tax waivers and full repatriation of profits to investors.

In the past, Nigeria has struggled to extract value from its vast mineral resources due to neglect and lack of investments.

Africa’s top oil producer, which is also rich in lithium, gold and limestone, will grant mining licences to only companies that process their minerals locally after toughening licensing rules for foreign companies last year.

(By Camillus Eboh; Editing by Elisha Bala-Gbogbo and Jonathan Oatis)

Glencore mulls mining investments in Nigeria

April 26, 2024

Miner and commodities giant Glencore (LON: GLEN) said on Friday the company was looking at investing in Nigeria’s mining sector, provided the government guarantees a stable business environment. 

CEO, Gary Nagle, who met the country’s minister responsible for solid minerals, Dele Alake, said his company is especially interested in nickel, cobalt, zinc and other metals.

This visit coincides with Nigeria’s efforts to attract foreign investors to its underdeveloped mining sector.

Blake highlighted the federal government’s push to attracting major international companies in order to accelerate the growth of the mining sector, similar to what the nation did with its oil industry.

“We are offering tax waivers on imported equipment; policy of full repatriation of profits to home countries; removing bottlenecks to ease of doing business. The ministry is also ready to address any concerns that Glencore might have to facilitate smooth operations in Nigeria,” Alake said.

The government cancelled this week inactive licenses and announced that it will only issue new mining licenses to companies that engage in local mineral processing. 

Glencore has had business in Nigeria in the past, which ended with corruption charges and penalties.

Between 2007 and 2018, Glencore inked multiple agreements to buy crude oil and refined products from Nigerian National Petroleum Corporation (NNPC) and its subsidiaries. 

The UK Serious Fraud Office said in 2022 that Glencore had paid more than $28 million in bribes across five African countries, including Nigeria, over five years to 2016. An English judge handed down a penalty of £276 million ($345 million) for Glencore’s corrupted conduct.

Nigeria, Africa’s leading energy producer, has faced challenges in extracting value from its vast mineral resources. This has been largely due to insufficient incentives and neglect of the mining sector. As a result, the country’s underdeveloped mining industry contributes less than 1% to Nigeria’s gross domestic product.

Copper juniors converge in British Columbia, Yukon Territories

Rick Mills - Ahead of the Herd | April 26, 2024 | 

Mount Robson Provincial Park. British Columbia, Canada. 

Credit: Don Paulson / Adobe Stock.

A junior resource company’s place in the mining food chain is to acquire projects, make discoveries and hopefully advance them to the point when a larger mining company takes it over. Discoveries won’t be made if juniors aren’t out in the bush looking at rocks.


Few exploration companies have the money or technical expertise to “go mining”. For many, the goal is to hit upon a deposit that’s good enough to attract a major that will acquire the asset. Another pathway is for the junior to partner with a larger company. An option or joint venture (JV) agreement is a way for juniors to gain access to the financial and technical resources needed to build the mine.

Juniors are extremely important to major mining companies because they are the firms finding the deposits that will become the next mines. In this way, juniors help the majors to replace the ore that they are constantly depleting in their operating mines.
Where to look? BC and the Yukon

The mining industry is on the hunt for large copper deposits that have favorable grades and are in locations amenable to mine developments.

Over 80% of the world’s copper production comes from large-scale open-pit porphyry copper mines.

In Canada, British Columbia enjoys the lion’s share of porphyry copper/ gold mineralization. These deposits contain the largest resources of copper, significant molybdenum and 50% of the gold in the province.

Lured by copper, major miners drawn to Quesnel Trough and Golden Triangle – Richard Mills

In the table below by GlobalData, via Mining Technology, we note that of 10 major operating copper mines in Canada, six are in BC.

The province accounted for just over half (53%) of Canada’s copper production in 2022.

Eight mines currently produce copper in BC: Newmont and Imperial Metals’ Red Chris, Imperial’s Mount Polley, Taseko Mines’ Gibraltar, New Gold’s New Afton, Teck Resources’ Highland Valley, Hudbay Minerals’ Copper Mountain, Centerra Gold’s Mount Milligan, and Myra Falls on Vancouver Island.Source: Natural Resources Canada

BC focused companies in 2022 nearly doubled the amount of money spent on copper exploration. According to a study by accounting firm EY, the BC government and the Association for Mineral Exploration British Columbia (AMEBC), spending that year jumped to $235 million, an 85% increase over 2021.
Upswing in exploration in British Columbia

With so much geological potential throughout BC and the Yukon, it’s not surprising to see so many exploration companies setting up camps, hoping to make the next big discovery.

We see a coming huge upswing in new copper (and gold and silver), focused exploration in British Columbia, encompassing the Quesnel Trough/ Golden Triangle, a considerable increase in interest in the carbonate replacement deposits (CRDs) near the BC-Yukon border, and extending into the Yukon, home to the legendary Keno Hill silver district.

When new discoveries are made in a mining camp, the odds significantly improve on neighboring properties where similar mineral deposition has occurred. Companies that are holding ground on trend of the discovery, or even just located in the same mining camp, suddenly have access to funding for their exploration programs.

We think interest in exploration and/or development focused juniors operating within BC and the Yukon will get a lot hotter due to the region’s prevalence of red metal. The way the copper market is going, with structural deficits appearing that we’ve been warning about for years, and prices at +$4.40/lb, we believe we’re in for a resurgence of British Columbia and Yukon exploration, development, M&A’s and mining. That is why in our last article we looked at the majors buying copper mines and developing projects in BC, and why in this article, we are focusing on the juniors.

Below is a list of 13 juniors, while obviously not exhaustive, it does present many styles of mineralization spanning much of BC and the Yukon.
NorthWest Copper Corp (TSXV:NWST, OTC Pink:NWCCF)

Northwest Copper has three projects in BC, bookended by the Mount Milligan mine and the Kemess project, both owned by Centerra Gold.

The combined Kwanika-Stardust deposits potentially combine multiple mining centers from each deposit to feed a central processing facility. NorthWest plans to drill-test the “high-conviction” Kwanika Transfer and Kwanika Andesite Breccia targets.

Lorraine is a high-grade alkalic porphyry mineralized system. The Lorraine/Top Cat area is dominated by the Hogem intrusive complex, which hosts numerous alkaline and calc-alkaline porphyry Cu-Au occurrences. Other successful alkalic systems include Galore Creek, New Afton, and Mount Milligan. NorthWest plans to drill-test the Boundary target and a suite of other targets with historical data.

In 2021, NorthWest drilled the East Niv property for the first time, resulting in discovery of a new copper-gold porphyry system. The plan is to complete geological mapping, induced polarization geophysical surveys, and geochemical sampling programs over the 4 x 5-km Southwest target to define initial copper-gold porphyry drill targets.
Ascot Resources (TSX:AOT, OTCQX:AOTVF)

Ascot Resources has two projects in the Golden Triangle, Premier Gold and Red Mountain. The company plans to restart the past-producing Premier mine, which has three main deposits: Premier, Silver Coin and Big Missouri. A 2019 resource update shows 4.669 million ounces of silver and 1.099Moz of gold in the indicated category. A 2020 feasibility study outlines a restart plan to feed the Premier mill at 2,500 tonnes per day to produce approximately 1.1Moz of gold and 3Moz of silver over eight years. Ascot poured first gold at Premier in April 2024.

The nearby Red Mountain project was advanced by IDM Mining between 2014 and 2019. A substantial deposit of high-grade gold has been delineated, primarily in the measured and indicated categories, and is accessed by 2,000 meters of underground workings. With an average thickness of 15 meters and up to 40 meters in areas, the deposit is amenable to low-cost longhole stoping.
Scottie Resources Corp (TSXV:SCOT, OTCQB:SCTSF)

Scottie Resources has exploration rights to over 59,000 hectares in the southern part of the Golden Triangle. The Scottie Gold Mine project is located 20 km north of the Premier gold mine, 27 km south of the Brucejack mine, and 15 km east of the past-producing Granduc mine. It includes the Scottie gold mine that operated from 1981 to 1985, producing 95,426 oz gold at an average grade of 16.2 g/t, as well as other key targets, including Blueberry, Domino and the Bend Vein.

The Cambria project situated just outside of Stewart is bordered to the north by Newmont’s Brucejack mine, to the west by Ascot’s Premier gold project, and to the east by Ascot’s Red Mountain project.

The Georgia high-grade gold project is anchored by the Georgia River mine, which last operated in 1939 with a head grade of 22.6 g/t gold. According to Scottie, only a small part of this hydrothermal system was explored by the past-producing underground mine or drill tested.
Tudor Gold (TSX:TUD, USOTC:TDRRF)

Tudor Gold is focused on the Treaty Creek copper-gold project, which

borders the KSM property to the southwest and the Brucejack mine to the south. The past-producing Eskay Creek mine is 12 km to the west. The project hosts the Goldstorm deposit, which according to Tudor, is one of the largest gold discoveries of the past three decades.

A recent (April 2024) resource estimate for the Goldstorm deposit shows an indicated mineral resource containing 21.66Moz of gold at 0.92 g/t, 128.73Moz of silver at 5.45 g/t, and 2.87 billion pounds of copper at 0.18%.

Tudor says the deposit’s initial resource represents a large, structurally controlled gold-silver-copper porphyry mineralizing system that is open to further expansion with drilling. The Treaty Creek property also includes additional zones and showings of hydrothermal alteration and gold with or without base metals that have formed in porphyry and epithermal settings. The Eureka, Calm Before the Storm (CBS) and Perfectstorm zones are considered to be early- to advanced-stage exploration targets.
Enduro Metals (TSXV:ENDR, OTC:ENDMF)

Enduro Metals holds one of the largest land positions in the Golden Triangle, including the 688 square-km Newmont Lake property, which contains at least four mineralized systems with district-scale potential all starting from surface: Burgundy, McLymont, North Toe and Chachi.

A 2021 discovery hole at Burgundy Ridge intersected 331 meters of 0.71% copper-equivalent from surface. 2022 exploration focused on expanding the mineralized footprint at Burgundy, aiming to demonstrate an alkalic porphyry system with size and grade rivaling Galore Creek to the northwest. Field crews last summer were dispatched to conduct geophysical, geochemical, and geological mapping surveys at the flagship, Newmont Lake.

North Toe is a copper-gold porphyry target previously covered by a retreating glacier. North Toe is around 8 km northeast of Burgundy Ridge, and is believed to be part of a 20-km structural corridor controlling copper-gold mineralization known as the Copperline.
Kodiak Copper Corp (TSXV:KDK, OTCQB:KDKCF)

Kodiak Copper’s MPD copper-gold porphyry project consolidated four properties: Man, Prime, Dillard and Axe. MPD is located near Merritt, southcentral BC, in the Quesnel Trough. It is also midway between the operating Copper Mountain and Highland Valley mines.

Claudia Tornquist, President & CEO of Kodiak said, “Kodiak’s 2023 exploration program was a resounding success. We set out to demonstrate the potential of MPD beyond our initial discovery at the Gate Zone, and our drilling has now proven multiple kilometre-scale mineralized porphyry centres across the property. Importantly, 2023 results include high-grade intercepts and mineralization right from surface. The discovery of an entirely new porphyry centre at 1516 is a particularly positive development which we will certainly follow up on.”
Dolly Varden Silver (TSXV:DV, OTCQX:DOLLF)

Dolly Varden’s Kitsault Valley project is located at the southern end of the Golden Triangle. It represents the amalgamation of its original namesake silver property and its Homestake Ridge gold-silver property.

This 163-square-kilometer land package hosts one of the largest undeveloped high-grade precious metals projects in Western Canada.

Results from Dolly’s 2023 51,500m drill program contained some spectacular, “jewelry-box” silver grades. The highlight of a grouping of holes from the Wolf Vein was hole DV23-368, which intersected 1,898 g/t over 1.00m within 381 g/t Ag over 29.34m core length.

In February, Dolly announced that 2023 step-out drilling encountered a new gold-rich zone to the northwest of the Homestake Silver deposit.

In December, Dolly said it was acquiring the southern portion of the Big Bulk project from Libero Copper & Gold.

When combined with Dolly’s northern portion, it doubles the size of the Big Bulk project to approximately 6,000 hectares. The option gives Dolly a consolidated copper-gold porphyry project in the Golden Triangle.
Goliath Resources (TSXV:GOT, OTCQB:GOTRF)

Goliath’s Golddigger property covers 61,685 hectares of the Eskay Rift within the Golden Triangle; it is within 3 km of the Red Line. Over 65,000 meters of drilling at the newly discovered Surebet Zone has confirmed 1.8-square kilometers of multiple highly mineralized stacked zones containing bonanza gold grades that remain open.

In January, Goliath reported discovery of the new high-grade gold- copper Treasure Island target. The target contains channel samples that assayed up to 28.08 grams per tonne gold-equivalent, and grab samples up to 11.08 g/t AuEq. Treasure Island is located 36 km north of the Surebet discovery, 6 km to the east of, and on trend with, the Porter Idaho mine, and 9 km east of Stewart. The target has recently been exposed because of glacial retreat and will be drill-tested for the first time during the 2024 field season.

Goliath’s updated model at Surebet confirms six new gold veins for a total of 10, increasing the tonnage potential to 78-97 million tonnes.
Silver North Resources (TSXV:SNAG, OTCQB:TARSF)

Silver North’s underexplored Haldane project demonstrates high-grade, high-width potential akin to the veins being mined at the Yukon Territory’s Keno Hill, one of the most prolific silver districts in Canada.

In 2021, Silver North announced a new discovery at the West Fault Zone, where drilling intersected 311 g/t silver over 8.7 meters (true width), This was followed by 3.14m of 1,315 g/t silver.

According to Silver North, this new zone has been traced over a 100- by 90-meter area with room to expand along strike and at depth.

South of Haldane, Silver North is working with partner Coeur Mining to develop the Tim carbonate replacement deposit (CRD) property, located on the Yukon side of the Yukon-British Columbia border.

Silver North has an option agreement with Coeur Mining, which can earn 80% ownership in the project by spending $3.5 million on exploration over five years, making $575,000 cash payments and completing a feasibility study within eight years.

Coeur is funding a minimum $700,000 drill program of about 2,000 meters, expected to start in June.
Core Assets (CSE:CC, OTCQB:CCOOF)

Core Asset’s Blue property is in the last unexplored area of British Columbia’s Stikine Terrane. It consists of three projects with a combined 11 exploration targets. These targets span several mineral deposit types including Mo-Cu-bearing porphyries with associated with copper or copper-zinc-silver rich skarn deposits, silver-lead-zinc-copper rich massive sulfide carbonate replacement deposits (CRDs), and distal base metal-gold-silver vein assemblages.

At the center of the Blue property, the Silver Lime project contains one of the largest and highest-grade surface expressions of any early-stage CRD project. Silver Lime contains copper, molybdenum, silver, zinc, lead, and gold-bearing ore styles that span the full porphyry-skarn-carbonate replacement spectrum.

In 2023, Core Assets completed 4,245m of shallow, exploratory diamond drilling over 21 drill holes; 14.4 line-kilometers of a high-resolution 3D-DCIP geophysical survey over the high-grade Pete’s-Sulphide City-Gally Trend; and collected 89 surficial rock samples across the Silver Lime CRD-porphyry project footprint.
Skeena Resources (TSX:SKE)

Skeena is revitalizing the Eskay Creek and Snip projects, two past-producing mines located in the Golden Triangle.

Discovered in 1988, the former Eskay Creek mine produced about 3.3 million ounces of gold and 160 million ounces of silver at average grades of 45 g/t Au and 2,224 g/t Ag. It was once the world’s highest-grade gold mine and fifth-largest silver mine by volume.

The company completed a definitive feasibility study for Eskay Creek in November 2023 which highlighted high-grade, pit-constrained reserves of 4.6Moz AuEq at an average grade of 3.6 g/t AuEq. Skeena is aggressively advancing Eskay Creek toward production, with construction activities continuing in 2024.

Skeena acquired the past-producing Snip mine from Barrick Gold in July 2017. The property consists of one mining lease and eight mineral claims totaling approximately 4,546 hectares in the Liard Mining Division. The Snip mine produced approximately 1 million ounces of gold from 1991-99 at an average grade of 27.5 g/t.
Eskay Mining (TSXV:ESK, OTCQX:ESKYF)

Eskay Mining’s ESKAY-Corey property hosts several volcanogenic massive sulfide (VMS) targets and has the potential to host nickel-copper massive sulfide and several occurrences of vein-style mineralization. Main VMS target areas on the property include the SIB-Lulu, TV-Jeff, C10, GFJ and Spearhead zones.

A new model of the Eskay Mining District suggests the flanks of each of three anticlines are prospective for Eskay Creek-style VMS mineralization where favorable strata (rock layers) are exposed.

Precious metal-rich volcanogenic massive sulfide deposits are the focus of Eskay’s exploration.

Eskay says it received encouraging assay results from its 2023 diamond drill and exploration campaign. Drill intercepts of 6.28 g/t AuEq over 15m, 2.96 g/t AuEq over 22.52m, 2 g/t AuEq over 61.23m and 1.39 g/t AuEq over 45.67m were encountered at the Cumberland showing.

Rock chip samples of 37.23, 23.34, 20.34 and 20.23 g/t AuEq were taken from Scarlet Knob.
Decade Resources (TSXV:DEC)

Decade Resources has a 65% interest in the Red Cliff property, a former copper-gold producer from the early 1900s in the Golden Triangle.

Decade has identified four gold-bearing zones called Red Cliff, Upper Montrose, Lower Montrose and Waterpump within eight Crown-granted claims along Lydden Creek.

Six mineralization types have been identified: extremely fine grained pyrite in host rocks that have been pervasively altered to a mixture of sericite and quartz; a stockwork of quartz veinlets carrying coarse-grained pyrite and chalcopyrite plus or minus visible gold; a stockwork of fine pale yellow-brown sphalerite-galena with plus or minus chalcopyrite and plus or minus visible gold; massive pyrite veins with variable amounts of chalcopyrite and quartz with generally low to significant gold values; massive hematite veinlets with coarse cube pyrite along wide stockwork zones; and intensely silicified rocks, possibly intrusive with strong epidote and chlorite associated with quartz veins up to 5 meters wide, containing up to 25% coarse pyrite and local minor chalcopyrite.


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Panama completes process of mining concession cancellations

Staff Writer | April 26, 2024 |

Cobre Panama mine began producing and shipping copper concentrates in June 2019. (Image courtesy of Cobre Panama.)

Panama said on Thursday that it has completed the process of cancelling and annulling all metal mining concessions.


In November 2023, the Central American nation enacted Law 407, a mining moratorium in response to protests that erupted following the signing of a new contract between the government and the local unit of First Quantum Minerals, Minera Panamá.

“Compliance with Law 407 that established the mining moratorium for metallic materials has been fully [completed]. The [commerce and industries ministry] complied with its implementation,” minister Jorge Rivera Staff told newspaper La Prensa.

The minister noted that some companies are preparing legal actions against the annulment of their concessions.

In March, the ministry reported to the national assembly that 82 applications for metallic minerals exploration had been rejected to comply with the law, as reported by La Prensa.

In December, the ministry rejected Orla Mining’s request to extend the three concessions for its Cerro Quema gold and silver project and declared the cancellation retroactive. Consequently, the Canadian company notified the government in early April of its intention to initiate arbitration.

The minister said he is aware of arbitration considerations communicated by First Quantum regarding the closure of Cobre Panamá.

Four intentions are tied to investment, while one relates to trade, bringing the potential international mining lawsuits against Panama to six.

Staff also responded to comments from First Quantum’s CEO, Tristan Pascall, who said the company expects to receive, after the elections on May 5, 2024, the permit to export the 121,000 tonnes of copper concentrate stored at the mine.

“This is part of a media campaign that the company is conducting regarding the concentrate, but we are carrying out technical analyses on the concentrate,” said Staff.

Mining stoppage adds to Eramet’s New Caledonia woes

Reuters | April 25, 2024 | 

Weda Bay nickel operations. Credit: Eramet

Eramet subsidiary SLN’s nickel mining operations in northern New Caledonia have been suspended, adding to difficulties at the loss-making business that saw a slide in first-quarter output.


SLN is part of a struggling New Caledonian nickel industry that the French government is trying to salvage with a proposed rescue package.

Mining production at SLN was 1 million wet metric tons in the first quarter, down 32% from the same period last year, as issues over mining permits weighed on output.

SLN’s mining activities have now been suspended in the northern province of France’s South Pacific territory since mid-April, with an administrative process under way to resume operations, Eramet said in a first-quarter sales statement.

“SLN continues to face major challenges and its financial situation remains critical,” Eramet said.

SLN has been in dispute with the authorities of the northern province over the renewal of financial guarantees for the mines, with a one-year extension proposed by Eramet rejected as too short.

In contrast, Eramet is continuing to expand production at its Weda Bay nickel mine in Indonesia, operated in partnership with China’s Tsingshan group. First-quarter ore production reached 11.1 million wet metric tons, up 52% year on year, it said.

Eramet also increased output at its manganese mine in Gabon to 1.9 million metric tons, up 76% from a year-earlier.

While manganese ore prices fell year-on year in the first quarter, weather disruption to Australian production is expected to reduce market supply significantly in 2024, Eramet added.

For lithium, the group forecast output of between 5,000 and 7,000 metric tons of lithium carbonate equivalent in 2024 at its Centenario project in Argentina that is due to enter production around mid-year.

The group increased its forecast range for 2024 adjusted core earnings to between 750 million euros and 900 million euros ($803.25 million-$963.90 million), compared with an initial projection of 650-800 million euros in February.

($1 = 0.9337 euros)

(By Gus Trompiz; Editing by Tomasz Janowski)

Ghana miners seek termination of Future Global Resources’ lease

Bloomberg News | April 24, 2024

Bogoso-Prestea mine. Credit: Golden Star Resources

Ghana Mine Workers Union is demanding the termination of the mining lease of Future Global Resources Ltd. because the company lacks the finances to invest and operate the Bogoso-Prestea gold mine it acquired more than three years ago.


The 15,000-member union is planning demonstrations Thursday and Friday in the capital, Accra, to urge the government to withdraw the license of the unit of UK-based Blue International Holdings, Abdul-Moomin Gbana, general secretary of the union, said in a phone interview.

“Since FGR took over the business in 2020 it hasn’t invested anything in the business and clearly it has brought the business to its knees,” Gbana said. “Since December mining activity has been at standstill after the state energy producer cut supply to the mine for nonpayment of bills,” he said.

Acting General Manager of Future Global Resources Ltd. Ken Allen did not respond to phone calls and text message Wednesday seeking comment.

The company owes millions of dollars to mainly local suppliers and vendors, and workers have virtually been out of work in the past four months, he said. The mine, which was producing 150,000 ounces of gold a year prior to acquisition, now struggles to turn out 60% of that, he said.

Blue International Holdings formed FGR in 2020 as a wholly owned subsidiary to acquire high quality long-term mining assets in sub-Saharan Africa, according to its website. In October that year it took over the Bogoso-Prestea mine located in the Ashanti Region of Africa’s biggest gold producer for about $95 million.

“We take the view that the inability of FGR to invest into the business and thus the untold hardship that our members continue to go through, are what are accounting for our decision to embark on this demonstration,” Gbana said. “We want to bring to the attention of the government that FGR has not been able to comply with the dictates of the lease and for that matter the mining lease should be terminated so that the mine can be put on sale.”

Future Global Resources Ltd. owns 90% of the mine and the government of Ghana holds 10%. FGR bought the mine from Toronto-based Golden Star Resources Ltd., which was later acquired in 2022 by China’s Chifeng Jilong Gold Mining Co.

(By Moses Mozart Dzawu)

Eurasian Resources denies circumventing Congo subcontracting laws

Reuters | April 24, 2024 |

Chambishi plant. Image by Eurasian Resources.

Kazakh miner Eurasian Resources Group (ERG) has denied accusations it tried to bypass Democratic Republic of Congo’s subcontracting laws designed to boost local ownership in the mining sector, job creation, and benefits to the country’s economy.


In a statement published last week, Congo’s government accused ERG of passing off nine subcontracting companies as majority partners with “fictitious” shares in order to circumvent legislation requiring that Congolese shareholders own 50% of subcontracting shares.

The Regulatory Authority for Subcontracting in the Private Sector, a government body, said that more than $535 million in sales had wrongly gone to foreign-owned subcontractors in 2023.

It said it would “take appropriate measures followed by exemplary sanctions” against what it described as the “proven cases of fraud.”

The fraud has been discovered within ERG’s assets Metalkol, Comide, Frontier, Boss Mining and its subcontractors Rocada, Roche Solide, Standar Fiable, Technologies Global, Etalon SA, Surtek, Socom, Transversal and Vision, the regulator said.

On Wednesday, ERG responded to the accusations, stating that the subcontractors were not directly associated with it.

“ERG categorically denies any involvement in illicit activities,” the company said in a statement, adding that it has been exchanging information with the regulatory authority.

Luxembourg-Based ERG is owned jointly by 3 private shareholders and the government of Kazakhstan which has the remaining 40% stake.

The firm is addressing identified discrepancies in contracts with suppliers found ineligible under applicable laws, and actively seeking alternative suppliers, ERG said.

Congo state miner Gecamines said in February it had made an offer to buy three of ERG’s copper and cobalt assets in the country.

(By Ange Kasongo, Felix Njini, Sonia Rolley and Portia Crowe; Editing by Anait Miridzhanian and Elaine Hardcastle)

 

Steel Cut for Sail Cruise Ships with Brunvoll Added to Propulsion Systems

Work is beginning on the first of two sail cruise ships for Orient Express (rendering by Maxime d'Angeac & Martin Darzacq for Orient Express, Accor)

PUBLISHED APR 26, 2024 5:25 PM BY THE MARITIME EXECUTIVE

 

 

Construction work is now underway for the world’s largest sailing cruise ships which are being developed for Accor’s Orient Express to provide a new level of luxury in cruising. The first steel has been cut for the first of two ships on order in France and today additional details were announced for the vessel’s propulsion system.

French hospitality company Accor Group announced its intent to enter the cruise business in January 2023 signing a letter of intent with Chantiers de l’Atlantique for the construction of two of the world’s largest sailing ships. The order was confirmed last fall and on March 28 the first steel was cut for the vessel which will be named Orient Express Corinthian. She is the first of two ships ordered for the Orient Express brand and the company also has an option for two additional vessels.

“This ship, a technological marvel which will revolutionize the world of luxury cruising, will represent the quintessence of Chantiers de l’Atlantique’s know-how and will be a benchmark from an environmental point of view,” said Arnaud Le Joncour, Commercial Director of Chantiers de l’Atlantique and Program Director during the steel cutting ceremony.

Known as Silenseas, the concept was first profiled in 2018 by Chantiers de l’Atlantique. The order calls for vessels that will measure approximately 722 feet (220 meters) and be 22,300 gross tons. They will have 54 luxury suites, with an average of 70 square meters of space. There will be a monumental 900 square meter Presidential Suite as well as two swimming pools, two restaurants, and a speakeasy bar.

 

During the ceremonial steel cut last month in France for the cruise sail cruise ship (Chantiers)

 

The ships will be the first equipped with the SolidSail system which will consist of three 1,500 square meter rigid sails. The masts will be mounted on three separate tilting and rotating balestron rigging to increase the efficiency of sail propulsion.

Brunvoll reports that it will be supplying a propulsion system consisting of a twin-screw configuration with a controllable pitch propeller with a diameter of 3.9 meters (12.7 feet). The propellers will have direct electrical drive, where Brunvoll will supply their Thrust-OD Box, which works as a thrust bearing with a hydraulic system for the controllable pitch propellers. The propellers are designed to be fully feathering to limit drag while sailing. 

“This project confirms Brunvoll being one of the front-runners concerning propulsion design and main propulsion efficiency where our skilled hydrodynamicists have been working closely together with Chantiers de l’Atlantique on the development and assessment of different propulsion solutions for these spectacular vessels,” said Arnfinn Brautaset, Sales Manager at Brunvoll.

Last fall it was reported that Wärtsilä will supply its new 25DF dual-fuel (LNG) engine for the new sail-assisted cruise ships. The vessels will need an alternate power system from when sailing is not possible and to meet the “safe return at sea” regulations. Wärtsilä reported that its engines would feature a two-stage turbocharging system, common rail fuel injection, and cylinder-wise combustion control. This will enable unparalleled power density and efficiency across the full operating range, delivering low fuel consumption and reduced emissions.

Ingeteam will design and manufacture five motors and five converters for each vessel’s propulsion systems. Two motors will drive the main propulsion plus the three transverse thrusters, together with the frequency converters for all of them, which will provide optimum onboard comfort thanks to their low vibration and noise. Ingeteam said it will also develop two propulsion remote controls, to enable maximum propulsion management and efficiency with SolidSail technology, and also provide connections for shore power.

The first cruise ship, Orient Express Corinthian, is scheduled for delivery in March 2026. The second ship is scheduled for September 2027. Accord’s decision to enter the luxury cruise market follows similar efforts by Four Seasons which has ordered two yacht cruise ships from Fincantieri and Aman which is building a luxury yacht cruise ship with T. Mariotti. The Ritz Carlton Yacht Collection launched its first ship in 2023 and is building two larger cruise ships at Chantiers de l’Atlantique.