Gold price surpasses $2,500 for first time ever

Published by admin on 05/08/2024



Gold surpassed $2,500 per ounce for the first time in history on Friday in the wake of rising geopolitical tensions and new data indicating a weakening US economy.

Gold contracts for December delivery reached an all-time high of $2,522.50 in the early trading hours, before shedding its gains to trade at $2,475.90 an ounce by 11:00 a.m. ET.

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Spot gold posted a marginal loss of 0.5% at $2,432.86 per ounce, having hit as high as $2,477.10 — just within grasp of its all-time peak of $2,483.73 set earlier this month.

Current AUD dollar prices for pure bullionGold AUD $ 3749.21
Platinum AUD $ 1498.65
Silver AUD $ 43.83

Ranking: Topmost Canadian Miners In Terms of Market Cap


Incidentally, Agnico Eagle operates the country’s biggest gold mines in terms of output- Detour Lake and Canadian Malartic.




SEATTLE (Scrap Monster): Agnico Eagle topped the list of Canada-based miners by market cap. The market cap of the company stood at C$51.4 billion as of late-July this year. Incidentally, Agnico Eagle operates the country’s biggest gold mines in terms of output- Detour Lake and Canadian Malartic.

The company was second in the ranked list of Canadian miners by net income in 2023. With a net income of $1.9 billion, it stood second to Barrick Gold Corporation, whose annual net income totalled $1.95 billion during the previous year.

Ammar Al-Joundi, President and CEO, Agnico Eagle commented that the company continues to remain focused on capital discipline. The company is currently advancing the former Hope Bay gold mine project in Nunavut. Also, it plans to undertake a $1 billion underground expansion at Detour Lake, which is expected to boost its annual output to 1 million ounces, he added.

In second and third place were Barrick Gold and Wheaton Precious Metals, with market cap of C$44.7 billion and C$37.9 billion respectively. The other miners in the top ten list along with their market cap in billion Canadian dollars are as follows: Nutrien (34.5), Franco-Nevada Corp. (33.3), Teck Resources (32.6), Cameco (27.7), Ivanhoe Mines Ltd. (24.8), Fist Quantum Minerals (13.7) and Kinross Gold (15).

Indian gold industry forms self-regulatory body with WGC backing

Reuters | August 6, 2024

Image: Pixabay

India’s gold industry, with the support of the World Gold Council (WGC), has established a self-regulatory organization in a bid to increase consumer confidence and restore trust, the WGC said on Tuesday.


The newly-formed Indian Association for Gold Excellence and Standards (IAGES) aims to promote fair, transparent and sustainable practices in the bullion industry, along with regulatory compliance, a code of conduct, and an audit framework, said Sachin Jain, CEO of WGC’s Indian operations.

India is the world’s second-biggest gold consumer after China, but the industry has a trust deficit with consumers and even the government due to poor practices by a small section of the business, he said.

“The purpose of this association is to provide accreditation based on a very strict audit. After the audit, the member will earn the IAGES logo, which they can display,” Jain told Reuters, without specifying details of the audit framework.

Industry bodies such as Indian Bullion and Jewellers Association (IBJA), All India Gems and Jewellery Council of India (GJC) and Gem and Jewellery Export Promotion Council (GJEPC) would be part of the IAGES, Jain said.

The WGC would take the initiative to popularize IAGES among retail consumers and would also finance the campaign, he added.

India’s gold demand in the June quarter fell 5% from a year ago, but consumption in the second half of 2024 is set to improve due to a correction in local prices following a steep reduction in import taxes, the WGC said last month.

(By Rajendra Jadhav; Editing by Varun H K)

IAMGOLD reaches commercial production at Ontario gold mine

Published by Jane Bentham, Editorial Assistant
Global Mining Review, Tuesday, 06 August 2024 

IAMGOLD Corporation has announced that the Côté Gold Mine has reached commercial production.

Côté Gold is located in Ontario, Canada and is operated as a joint venture between IAMGOLD, as the operator, and Sumitomo Metal Mining Co., Ltd. Commercial production is defined as the achievement of reaching a minimum of 30 consecutive days of operations during which the mill operated at an average of 60% of nameplate throughput of 36 000 tpd.

“I would like to commend our teams at Côté Gold who have come together to achieve another great milestone as we progress and ramp up what we believe will be one of Canada's largest gold mines and a model for modern mining in Canada,” said Renaud Adams, President and Chief Executive Officer of IAMGOLD. “Since achieving the first pour of gold on 31 March 2024, our teams have spent the last four months methodically and iteratively testing and ramping up all facets of the mine. This process has required remarkable commitment, ingenuity and teamwork to bring all the systems online together to achieve this milestone.”

“With commercial production behind us we continue to focus on improving plant availability towards our goal of Côté exiting the year at 90% of nameplate throughput. Further, in May we completed our equity financing which has positioned us well to repurchase the 9.7% interest in Côté this November and return to 70% ownership thereby gaining more exposure to this foundational and keystone asset for the benefit of all our stakeholders.”

The ramp up of the plant continues to progress, with all major equipment demonstrating the capability to operate at or above design levels. After the initial pour, focus early in the second quarter was on testing the processing circuits to handle nameplate loads. The primary components of the overall plant responded well achieving at or above nameplate throughput, though availability of the dry-side of the processing facilities was limited, in particular in the crushing and screening circuits. The Company is planning a multi-day shutdown in September to address and mitigate the impact of traditional wear and tear on availability of the circuits, in support of the goal to ramp up throughput to 90% by the end of the year.

 

Calibre Announces Receipt of the Federal Environmental Assessment Approval for the Berry Pit at the Valentine Gold Mine,

VANCOUVER, British Columbia, 

Aug. 06, 2024

GlobeNewswire

 (GLOBE NEWSWIRE) -- Calibre Mining Corp. (TSX: CXB; OTCQX: CXBMF) (the "Company" or "Calibre") is pleased to announce that the Honorable Steven Guilbeault, Minister of Environment and Climate Change Canada, has approved the addition of a third open pit, the Berry Deposit (“Berry Pit”), at its 100% owned Valentine Gold Mine (“Valentine”). In August 2023, an environmental assessment update was submitted to the Impact Assessment Agency of Canada (“IAAC”) regarding proposed changes to Valentine to include the Berry Pit, and associated infrastructure changes. Following IAAC’s thorough analysis of the submitted update, including the results of consultation with Indigenous groups, communities, stakeholder organizations, and reviewing the results of IAAC’s public comment process, Minister Guilbeault signed an Amended Decision Statement approving the addition of the Berry Pit.

Darren Hall, President and Chief Executive Officer of Calibre, stated: “I am pleased to announce that we have obtained Federal Environmental approval for the development of the Berry Pit at Valentine. With this approval and the recent issuance of Provincial mining and surface leases for Berry and associated infrastructure, we now have the major approvals required for the three-pit mine plan included in the 2022 Feasibility Study."

“Since acquiring Valentine in January, we have progressed engineering to 98%, advanced construction from 50% to 77%, and employed an experienced operations team, positioning us to deliver first gold in Q2, 2025.”


To view the Amended Decision Statement and IAAC’s Analysis of the Berry Pit Expansion, please click the links below:

Link 1 – Amended Decision Statement

Link 2 – Analysis of Marathon Gold Corporation Proposed Changes to the Valentine Gold Project

About CalibreCalibre is a Canadian-listed, Americas focused, growing mid-tier gold producer with a strong pipeline of development and exploration opportunities across Newfoundland & Labrador in Canada, Nevada and Washington in the USA, and Nicaragua. Calibre is focused on delivering sustainable value for shareholders, local communities and all stakeholders through responsible operations and a disciplined approach to growth. With a strong balance sheet, a proven management team, strong operating cash flow, accretive development projects and district-scale exploration opportunities Calibre will unlock significant value.

ON BEHALF OF THE BOARD


“Darren Hall”

Darren Hall, President & Chief Executive Officer

For further information, please contact:

Ryan KingSVP Corporate Development & IRT: 604.628.1012E: calibre@calibremining.comW: www.calibremining.com

Calibre’s head office is located at Suite 1560, 200 Burrard St., Vancouver, British Columbia, V6C 3L6.

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The Toronto Stock Exchange has neither reviewed nor accepts responsibility for the adequacy or accuracy of this news release.

NEWS RELEASE TRANSMITTED BY Globe Newswire

 

EDM Provides Progress Report at the Scotia Mine

Newsfile Corp.

Tue, Aug 6, 2024, 

• 
  

Halifax, Nova Scotia--(Newsfile Corp. - August 6, 2024) - EDM Resources Inc. (TSXV: EDM) ("EDM" or the "Company") is pleased to announce that it continues to make significant progress for a restart of operations at the Scotia Mine.

"We are pleased to update our investors that EDM continues to make significant progress on an extensive range of tasks that are necessary to advance the Scotia Mine to production," said, Mr. Mark Haywood, President & CEO. "Whilst completing the application to the Department of Fisheries and Oceans is one of the major tasks our teams are working on, we are also busy advancing several other important and necessary steps in parallel so that the mine can be ready for a production decision as soon as permitting is completed," he added.

• Completion of all seasons of sampling for Atlantic Salmon DNA as required by the Department of Fisheries and Oceans ("DFO").

• Ongoing reconnaissance work to identify additional potential locations for stream and/or river restoration required by the DFO for the fish habitat offsetting plan.

• Widespread outreach to our First Nation Stakeholders in Nova Scotia as part of the important social license initiatives for re-starting the Scotia Mine.

• Ongoing surface and ground water modelling as part of the application for DFO.

• Preparation of Mine Plans for the geotechnical assessment work prior to mine production.

• Launch of our new company website at www.EDMresources.com.

• Preliminary assessment of high-grade ores that will be used in the Density Media Separation pilot plant testing. Results of the DMS Study are expected to be available in mid-September.

About EDM Resources Inc.

EDM is a Canadian exploration and mining company that has full ownership of the Scotia Mine and related facilities near Halifax, Nova Scotia. Through its wholly owned subsidiary, EDM also holds several prospective exploration licenses near its Scotia Mine and in the surrounding regions of Nova Scotia.

The Company's common shares are traded on the TSX Venture Exchange under the symbol "EDM". For more information, please contact:

BC

Locals mark 10 years since Mount Polley disaster

By Lauren Stallone
Posted August 5, 2024 

It’s been 10 years since the worst mine waste disaster in Canada’s history.

On Aug. 4, 2014, a massive tailings dam at the Mount Polley copper and gold mine in B.C.’s Interior collapsed. The incident about 56 kilometres northeast of Williams Lake sent over 20 million cubic metres of wastewater into nearby Quesnel Lake, Polley Lake, Hazeltine Creek, and surrounding waterways.

Despite a decade having passed, residents in nearby Likely, B.C., say they’re still struggling with unresolved emotions about what happened and should be held accountable.

“The quality of the lake and the water have been and are continuing to deteriorate,” said Doug Watt, an area resident. “Frankly it’s a very strong feeling of frustration.”


Watt was there when disaster struck, and recalls the moments vividly.

“I was asleep and got a call around 6 o’clock in the morning from Likely Fire and Rescue and they told me that the dam had burst,” he told CityNews.

An aerial view shows the damage caused by a tailings pond breach near the town of Likely, B.C. Tuesday, August, 5, 2014, after the Mount Polley mine disaster a day prior. THE CANADIAN PRESS/Jonathan Hayward

“I could hear it just like Niagara Falls from seven or eight kilometres down the lake.”

Watt says some residents have lived by the lake for over 50 years and are devastated to see what has happened since the collapse.

“The water’s cloudy, there’s algae bloom that never occurred before, there’s slime on the rocks,” he described.

He says many locals have opted to no longer drink the water from Quesnel Lake, which was their main water source. Despite these concerns, the government says the water meets drinking standards.

However, residents aren’t buying it.

“They’re polluting the lake, we are not going to drink it anymore,” said Watt.


Related articles:

Regulator fines engineers 8 years after Mount Polley disaster in B.C.
Mount Polley mine disaster five years later; emotions, accountability unresolved
Mount Polley mine disaster could happen again if laws don’t change: report

In a statement to CityNews, Minister of Energy, Mines, and Low Carbon Innovation Josie Osborne says “the government has taken significant steps to ensure the company responsible continues restoring and monitoring the impacted areas.”

“They have reformed B.C.’s regulations to establish what they say are some of the world’s most stringent safety and environmental standards,” Osborne continued.

The statement goes on to say “it was clear that B.C. had allowed a regulatory framework to exist that did not adequately protect the environment or people.”

“Economic development cannot happen without responsible management of industry, and we must maintain a world-class regulatory system to bring peace of mind to the mining sector and British Columbians,” Osborne’s statement concluded.

But even with the improvements made, the residents affected by the Mount Polley disaster are wary of the potential for things to go wrong.

“There are many mines in B.C. with very, very large tailings ponds. Every one of them is a liability,” said Watts.

 British Columbia

Residents worry about waterways 10 years after Mount Polley spill

'We're still picking up levels of metals like copper flowing down Quesnel River,' researcher says

Courtney Dickson · CBC News · Posted: Aug 04, 2024 

A aerial view shows the debris going into Quesnel Lake caused by a tailings pond breach near the town of Likely, B.C., on Aug. 5, 2014. (The Canadian Press)

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The local fire department was on the line when Doug Watt reached for his phone the morning of Aug. 4, 2014.  

"The lady at fire and rescue said that there's been an accident at the mine, the dam is broken, it's pouring into the lake, nobody knows what's happening so get your boat out of the water, don't drink the water and be prepared to evacuate because you don't know whether the lake is going to flood or not," he recalled. 

After he got off the phone with the fire department, Watt stepped outside and heard the roar of the dam breach about seven kilometres away from his home in Likely, B.C.

"It was quite disconcerting," he said.

The tailings dam at the Mount Polley mine, about 231 kilometres north of Kamloops, B.C., failed that day, sending toxic mine waste into nearby lakes and streams. It is widely regarded as one of the worst — if not the worst — mine disasters in Canadian history. 

Hazeltine Creek, B.C., on Aug. 27, 2014, three weeks after the Mount Polley Mine tailings spill. (Kieran Oudshoorn/CBC)

Mount Polley mine records filed with Environment Canada reported that hundreds of tonnes of arsenic, lead, copper and nickel flowed out in the sludge. 

• Mount Polley mine disaster 5 years later; emotions, accountability unresolved

On the 10-year anniversary of the spill, residents worry not enough has been done to remediate the site and prevent future disasters. 

WATCH | Perfect storm of problems, engineer says: 

Why the Mount Polley tailings pond breached

10 years ago

Duration2:25

Designers overlooked or dismissed test results

10 years later

Researcher Phil Owens said about 25 million cubic metres of tailings material ended up in Hazeltine Creek and Quesnel Lake — the equivalent of 10,000 Olympic-sized swimming pools, he said. 

And most of that is still sitting at the bottom of the lake, researchers have found. 

"This was an instantaneous catastrophic failure ... and yet still 10 years later, we're still picking up levels of metals like copper flowing down Quesnel River and getting into the water column of the lake," he said. "That is quite surprising."

WATCH | Fishers worry about salmon following Mount Polley spill: 

Mount Polley spill salmon concerns

10 years ago

Duration2:19

Fraser River fishermen say they're worried

Copper, he added, has been detected in zooplankton, a key food source for salmon and trout in the river.

"I would be concerned about eating the fish, particularly those fish that live in the system for a long time because it's now been 10 years," Owens said.

• Ecological impact of Mount Polley mine disaster confirmed by new study

Watt, who used to work in mining, said that while he still supports the industry, he believes the environment needs to be the top priority. 

"It's certainly opened my eyes to the immediate effect that a mine can have locally," he said.

WATCH | Residents raise concerns days after Mount Polley dam breach: 

Mount Polley: residents speak out

10 years ago

Duration2:26

People living near tailings pond aren't convinced it's safe

In 2014, B.C.'s environment ministry said it had repeatedly warned mining company Imperial Metals about the level of wastewater in the tailings pond at its Mount Polley mine prior to the breach, and then-NDP leader John Horgan said a previous report on Mount Polley's tailings pond noted a tension crack in the earthen dam.

A scathing auditor general report was released in May 2016, calling for an independent compliance and enforcement unit for the mining industry that would protect the environment from future disasters. 

Changes

Likely resident and biologist Richard Holmes said that shortly after the spill, he had high hopes for remediation and change in B.C.'s mining industry. But 10 years later, he said there's been little action. 

According to Imperial Metals, it has spent $70 million to clean up the Mount Polley spill site, which has gone toward removal of tailings and rebuilding the Hazeltine and lower Edney creeks, and building a new fish spawning and rearing habitat in Hazeltine Creek.

Mount Polley spill remediation work as seen from a back road near Quesnel Lake in August 2021. (Betsy Trumpener/CBC)

The company also says it repaired the Quesnel Lake shoreline, planted native trees and shrubs in the area and built an on-site rainbow trout hatchery to raise more trout for Polley Lake.

In 2021, two engineers were disciplined for actions that led to the breach. Engineers and Geoscientists B.C., the regulatory body that oversees engineers in the province, found that both had demonstrated unprofessional conduct. 

• B.C. could see more dam failures like Mount Polley without better regulation, report says

Last week, Minister of Energy, Mines and Low-Carbon Innovation Josie Osborne released a statement explaining what the province has done following the Mount Polley breach. 

Osborne said the province has created a chief auditor role, Mines Audit Unit and a Mines Investigation Unit. It has also established financial penalties for companies and, Osborne said, the province has reformed B.C.'s mining regulations. 

"For many people, that day 10 years ago is hard to forget," Osborne said in her statement, adding that the NDP government will continue to strengthen mining regulations and oversight. 

Damage caused by a tailings pond breach near the town of Likely, B.C., Tuesday, Aug. 5, 2014. (Jonathan Hayward/Canadian Press)

But residents of the central B.C. community of about 350 people have watched Quesnel Lake continue to deteriorate in the years since the spill, Watt said. 

"People that have been here for 25 or 50 years can see that and lots of concern and very much frustration with the fact that the [province] is not listening to what we see out here."

Holmes said he would like the province to give legal standing to rivers and streams in B.C., similar to Magpie River in Quebec, which was granted legal personhood in 2021 for protection. 

Holmes also thinks provincial funding should be made available for independent research.

"Very little has changed as a result of this disaster and certainly not enough has changed, that's for sure."

First Quantum to trim work hours at stalled Panama copper mine

Bloomberg News | August 6, 2024 | 

Aerial view of Cobre Panama mine. Credit: First Quantum Minerals

First Quantum Minerals Ltd. is trimming working hours at its stalled copper mine in Panama in a bid to rein in the cost of preserving the site following last year’s shutdown order, the union said.


The Canadian firm will reduce extraordinary hours available to workers and end Sunday activities, according to a union statement. Changes will take effect Aug. 15. First Quantum declined to comment.

“The company is executing this action without support from the workers that are still there to keep the project afloat,” union leader Michael Camacho said in a text message Tuesday.

The decision may put some pressure on the new administration of President Jose Raul Mulino as authorities review First Quantum’s plan to safeguard the site. Mulino has floated the possibility of reopening the mine for an unknown period to cover the cost of a permanent closure.

As a precursor to those talks, Mulino has asked the company to drop arbitration proceedings against Panama. First Quantum said it spent $115 million on care and maintenance at the site from January to June. Panamanian authorities have set the shutdown cost at $800 million.

Mulino’s predecessor ordered the shutdown of the Cobre Panama mine last year after weeks of public protests culminated in the country’s top court ruling that First Quantum’s contract was unconstitutional.

(By Valentine Hilaire and Jacob Lorinc)

Deutsche Bank sells down coal mine loan to private credit funds

Bloomberg News | August 5, 2024 | 

Illawarra metallurgical coal. Image: South32

Deutsche Bank AG has sold a portion of a $600 million loan being used to finance an Australian coal mine’s acquisition to some private credit funds, according to people familiar with the matter.


The German lender in recent weeks sold about $120 million — half of its exposure — to Australian and Asian credit funds including Income Asset Management Group Ltd., Regal Funds Management, and Keyview Financial Group, said the people, who requested anonymity as the matter is private.

The bank plans to retain its remaining portion of the loan that’s supporting a Golden Energy and Resources-led consortium’s acquisition of the Illawarra coking coal mine in Australia. It originally held about 40% of the loan, the people said.

The transaction underscores the growing role of private credit funds as an alternative funding source for coal and and other fossil fuel-related projects, which banks are increasingly avoiding due to environmental, social and governance concerns.

Deutsche Bank, Income Asset and Regal all declined to comment when contacted by Bloomberg. Keyview did not respond to emails requesting comment.

The Golden Energy-led consortium signed the $600 million loan in July with Deutsche Bank and private credit funds namely Davidson Kempner Capital Management LP, Farallon Capital Management LLC, King Street Capital Management LP, Washington H. Soul Pattinson & Co., and Broad Peak Investment Advisers Pte.

The consortium also raised a separate $150 million working capital loan and a A$150 million ($100 million) guarantee facility.

GEAR M Illawarra Met Coal, the entity acquiring the mine from Australia-based South32 Ltd. for $1.65 billion, mandated Grant Samuel as an adviser in its fund-raising efforts, Bloomberg reported in March. Singapore-based Golden Energy, controlled by Indonesia’s Widjaja family, owns a 70% stake in GEAR M Illawarra Met Coal, with M Resources Pty. holding the rest.

(By Megawati Wijaya and Sharon Klyne)

CHART: Did the EV battery metals industry peak in 2022?

Frik Els | August 2, 2024 | 

Stock image.

The promise of electric cars has occupied the mining industry (and these pages) going on seven years now.


Recall when Glencore heralded a new dawn for mining thanks to EVs – telling the audience at its 2017 investors day that “as early as 2020, when electric vehicles would still make up only 2% of new vehicle sales, related metal demand already becomes significant.”

That prediction proved conservative – global penetration reached over 5% in 2020. The data is still trickling in, but the second quarter of this year is on course to set a new record for the electrification of the global car parc with 26% of passenger vehicle sales either full electric, plug-in or conventional hybrids.

Traditional hybrids remain a meaningful source of battery metals demand (thanks to large volumes and the widespread use of nickel metal hydride batteries) and even when stripping out Priuses (Pria?) with new owners, nearly one in five vehicles sold worldwide in Q2 was electrified.

Yet, when pairing robust metals demand with often volatile prices in the EV battery supply chain the picture looks very different.

The graph from Adamas Intelligence below shows the monthly dollar value of lithium, nickel, cobalt, manganese and graphite contained in the batteries​​ of EVs based on global end-user EV registrations, battery capacity and chemistries.

When looking at a streamgraph you don’t want the bulge to be at the start, but a chart that looks like an ink blot Rorschach test like the one below is hardly better.

December 2022 saw a record $4.2 billion worth of battery metals business done.

December is usually a blowout month for the global EV industry and the final month of 2023 was no exception. During December 2023 battery metals consumption was up another 20% year-over-year to a combined 140,000 tonnes on the back of a 23% increase in total giga-watt hours of battery capacity hitting the world’s roads that month.

However, more than $2.8 billion had disappeared from the value chain as metal prices capitulated.

During calendar 2022, the monthly value of combined battery metals deployment averaged $2.6 billion. In 2023, that number was $2.1 billion. So far this year? Down to $1.5 billion.

In the analysis below, materials deployed constitute installed terminal tonnes and do not take into account yield losses during conversion, refining and manufacturing processes, or production scrap.

This means that at the mine mouth the required tonnes (and values) to feed the supply chain are considerably higher.

Also, with 2023’s slump still in the rearview mirror, there is growing consensus that battery metals prices have bottomed out.

And combined with still healthy, albeit slowing EV sales growth should provide battery metals miners some comfort. But right now, that’s mostly cold comfort.

Canada hits surprise trade surplus on energy, gold exports

Bloomberg News | August 6, 2024 | 

Westridge Marine Terminal in Burnaby, BC. Credit: Ledcor Group

Canada unexpectedly recorded a C$638 million ($461 million) trade surplus in June as an expanded crude oil pipeline and surging global demand for gold drove exports higher.


Economists in a Bloomberg survey had expected the country to record a trade deficit for the fourth month in a row, with a median estimate of C$2.04 billion. Statistics Canada noted in Tuesday’s release the size of the surplus was “close to the typical bounds of monthly revisions,” having revised the previous month’s trade balance upward by about C$320 million.

Exports rose 5.5% overall in June, outpacing a 1.9% rise in imports.

The report was released at the same time as US data that showed the country’s trade defict narrowed in June for the first time in three months. Canadian government two-year bond yields rose about three basis points on the day to 3.213%, while the loonie fell about 0.1% to C$1.384 per US dollar as of 8:45 a.m. in Ottawa.

The rise in exports captures the impact of the Trans Mountain pipeline’s expansion, which began commercial operations in May. Prime Minister Justin Trudeau’s government spent billions to complete the near-tripling in capacity of a line that runs from Alberta’s oil sands to a Vancouver-area port.

Exports of energy products were up 11.7% in June, led by higher exports of crude oil. While crude oil prices rose in June, volumes were the largest contributor to the increase, driven largely by higher shipments to Asian countries.

“Despite robust export activity in June, trade will likely act as a headwind to second-quarter gross domestic product growth, as April and May data came in on the weaker end,” Marc Ercolao, an economist at Toronto-Dominion Bank, said in a report to investors.

“That being said, the hand-off into next quarter could prove to be significant. The effects of the Trans Mountain pipeline expansion are now flowing through the data, with strong crude oil exports expected in the coming months.”

Strong international appetites for gold also pushed up Canadian exports, with metals and non-metallic mineral deliveries up 11.8% in June following a 7.3% decline in May. Statistics Canada noted that in the first half of the year, large monthly fluctuations were observed in export values of unwrought gold due in part to geopolitical turmoil. In June, gold exports to the UK rose considerably, it said.

June’s rise in imports points to resilience in consumer demand, with passenger vehicles and consumer goods driving the gain. Imports of passenger cars and light trucks rose 8.2% to a record C$6.8 billion in June, a fourth increase in five months. The growth occurred amid a recovery from production disruptions and delayed deliveries in the United States in late 2023 and early 2024, Statistics Canada said.

In volume terms, Canada’s exports rose 3.8% in June while imports increased 1.3%. The country’s trade surplus with the US widened for a third consecutive month, to C$9.4 billion from C$8.8 billion.

(By Laura Dhillon Kane)