First Quantum stock jumps on Panama plans for mine audit

Reuters | July 2, 2024 |

President Jose Raul Mulino. Credit: Galeria del Ministerio de Defensa del Perú, Wikimedia Commons

Shares of Canadian miner First Quantum Minerals jumped 6% on the Toronto Stock Exchange in early trading on Tuesday, following news that Panama would conduct an environmental audit of the Cobre Panama mine to decide whether it can safely be reopened.


President Jose Raul Mulino officially took charge of the Panama government on Monday and made the announcement of an environmental audit in his first address as the head of the government.

“I will order a strict environmental audit of the mine, with the best international experts, so that the country knows the truth about the state of the site…,” President Mulino said in his speech on Monday. He added that Panama will choose an auditing company which will not generate any costs for the government.

“The plan to open and definitively close the mine in a safe and positive manner for our country will depend on the results of that environment study,” Mulino said.

First Quantum did not respond to an email query.

The Cobre Panama mine, one of the newest and biggest copper mines in the world, was ordered to be shut down by the Panama government last December after public protests. Last week, Reuters reported that First Quantum was planning to launch a formal arbitration proceeding against Panama this month.

(By Divya Rajagopal and Elida Moreno; Editing by Maria Sheahan and Chizu Nomiyama)

Rio Tinto in talks to prevent strike at copper mine in Mongolia

AKIPRESS.COM - Global miner Rio Tinto opens new tab is negotiating with workers at its Oyu Tolgoi copper operations in Mongolia to avert further industrial action over a sharp drop in wages that triggered an earlier strike in May, Reuters reported.

Changes in Mongolia's Labor Law, which came into effect at the start of 2022, prompted Rio Tinto to recalculate employee allowances. Wages have dropped by as much as 80%, according to non-governmental organization OT Watch, which is in contact with the mine workers.

"The key demand of workers is to bring wages to similar levels paid for the same type of work performed in other Rio Tinto mines," OT Watch said in a briefing note shared with Reuters, adding that workers were being paid a "miserable $1,596 per month for work far from home".

"Rio Tinto is committed to finding a resolution that benefits all parties involved," a Rio Tinto spokesperson said.

Oyu Tolgoi is a significant part of Rio Tinto's copper operations, contributing substantially to the company's output. It has been a crucial asset in Mongolia, with significant investments and collaborations with the local government and workforce.

Impala Platinum reports strike at Bafokeng operations

Reuters | July 2, 2024 |

Credit: Royal Bafokeng Platinum Ltd.

South Africa’s Impala Platinum on Tuesday reported a strike at part of its recently acquired Bafokeng operations in Rustenburg, which it said mostly involves contractors demanding permanent positions.


“Impala Platinum is closely monitoring an illegal work stoppage, which began on Thursday 27 June 2024, at the North Shaft of Impala Bafokeng’s BRPM operation in the North West province,” the miner said in a statement.

The company said it had obtained a court order against the job boycott. “The longer-term impact of this illegal strike poses a risk to sustainable employment, particularly given Impala Bafokeng’s recent underperformance,” Impala said.

Impala acquired the assets of smaller producer Royal Bafokeng Platinum last year following a protracted battle with Northam Platinum.

The group and its South African platinum group metal-producing peers Anglo American Platinum and Sibanye Stillwater, facing their worst crisis in decades, are cutting thousands of jobs to contain costs after metal prices plunged last year.

Prices of platinum – mostly used by automakers to curb toxic emissions – fell sharply amid concerns over weak global economic growth and destocking by manufacturers who built up inventories during Russia’s invasion of Ukraine.

Impala has said it could cut 3,900 jobs as it restructures its South African operations, while Anglo American Platinum plans to lay off 3,700 workers.

On Tuesday, Sibanye Stillwater said it had reduced its workforce by 14% from 81,500 employees at the end of 2022 to just over 70,000 currently through a combination of layoffs, natural attrition, a hiring freeze and a review of contractor arrangements.

(By Nelson Banya; Editing by Jan Harvey)

Rio Tinto completes construction of its solar power plant at Diavik Diamond Mine

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02 July 2024

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YELLOWKNIFE, Canada--(BUSINESS WIRE)-- Rio Tinto’s Diavik Diamond Mine has completed installation of its 3.5 megawatt capacity solar power plant in Canada’s Northwest Territories. The project represents the largest off-grid solar power plant across Canada’s territories.

The 6,620-panel facility is expected to generate 4.2 million kilowatt-hours of solar energy annually, reducing diesel consumption at Diavik by one million litres per year and cutting greenhouse gas (GHG) emissions by 2,900 tonnes of CO₂ equivalent. This is comparable to removing 630 cars from the road each year.

The solar power plant will provide up to 25% of Diavik’s electricity during closure work, with commercial production at the mine expected to end in 2026 and closure to run until 2029. The facility is equipped with bi-facial panels which not only generate energy from direct sunlight, but also from the light that reflects off the snow that covers Diavik for most of the year.

The solar project complements a wind power plant at Diavik, which has been operating since 2012 and is the largest wind power installation in Canada’s North, having generated over 195 million kilowatt-hours of electricity since activation.

Chief Operating Officer of Diavik Diamond Mine Matthew Breen said: “The largest off-grid solar power plant in Canada’s North is our latest commitment to the environment we live and work in, and will improve the energy efficiency of our operations at Diavik. We are proud to lead the way for large-scale renewable energy projects in Canada’s North.”

The project was supported by C$3.3 million in funding from the Government of the Northwest Territories’ Large Emitters GHG Reducing Investment Grant Program.

It is the first project in the Northwest Territories to benefit from funding from the Large Emitters Grant, which sets aside a portion of carbon tax paid by large operations such as Diavik for projects that commit to GHG reduction projects in the territory.

Northwest Territories’ Minister of Infrastructure Caroline Wawzonek said: “I commend Rio Tinto for the completion of the largest off-grid solar plant in Canada’s North at the Diavik mine. The project demonstrates Rio Tinto’s leadership when it comes to reducing emissions, and signals potential for leadership in the renewable energy sector in and by the North. The Government of the Northwest Territories is proud to have contributed to the project through the Large Emitters GHG Reducing Investment Grant program, which provides funding to industry to reduce emissions as part of our made-in-the-NWT approach to the federal carbon tax.”

Construction began in February 2024, contracted to Whitehorse-based Solvest Inc. and the Indigenous-owned Tłıchǫ Investment Corporation, with support from Diavik. Approximately 30% of the construction workforce came from the Tłıchǫ Investment Corporation.

CEO of Solvest Inc. Ben Power said: “Building off the success of their wind farm constructed in 2012, Diavik has taken another significant step forward in demonstrating the viability of renewable energy for Northern and off-grid mines. Solvest is proud to have had the opportunity to work with our partners at Tłıchǫ Investment Corporation to construct the largest off-grid solar power plant in Canada’s North. We believe this project provides a blueprint to facilitate the integration of solar into mines across Canada and in Northern regions.”

Diavik is working with the Government of the Northwest Territories and community partners to determine how its renewable energy infrastructure can best benefit the region following closure.

Rio Tinto is progressing decarbonisation initiatives across its global operations, with the aim of reducing its Scope 1 and 2 GHG emissions by 50% by 2030 and to achieve net zero across its operations by 2050.

Rio Tinto to build two solar farms on Australia’s Gove Peninsula

Staff Writer | July 3, 2024 |\

Rio Tinto Gove is located 650km east of Darwin in North East Arnhem Land. Credit: Rio Tinto

Rio Tinto (ASX: RIO) is looking to build two new 5.25-megawatt (MW) solar farms on Gove Peninsula in the Northern Territory, as the Australian miner works to secure a more sustainable power supply for the region beyond mining.


Rio Tinto’s Gove site in Australia’s Northern Territory has been supplying the global aluminum industry with bauxite for more than 40 years. The bauxite is shipped internationally as well as being used to supply the Queensland Alumina Limited and Yarwun refineries in Gladstone, Queensland. These refineries produce alumina as feedstock for Rio Tinto’s Australian aluminum smelting operations and for sale on the international market.

Bauxite mining operations in the Gove Peninsula are expected to end later this decade and work is already underway to support the closure of the operation and rehabilitation of the refinery, mine site and tailings facilities.

The two solar farms will be built on Gumatj and Rirratjingu country, the largest Traditional Owners groups who are signatories to the RTA Gove Traditional Owners Agreement. The solar farms will be built on Rio Tinto leases following agreements with the Traditional Owner groups on the location of the facilities.

The solar farms will help underpin a low-carbon future for the Gove community after mining operations cease, towards the end of the decade, Rio said.

Scotland-based mobile modular power provider Aggreko has been engaged to construct, own and operate the solar farms for Rio Tinto for up to 10 years, beginning construction in July 2024 and with completion scheduled for early 2025. The two sites will have a combined capacity of 10.5MW.

“The Gove solar project is part of our shared vision with traditional owners to leave a positive legacy for the Gove Peninsula communities after bauxite mining ceases,” Rio Tinto Gove operations’ acting general manager Shannon Price said in a news release.

“We’re excited to work with the Gumatj and Rirratjingu clans to provide an opportunity to secure alternative electricity generation assets on their country and to discuss opportunities to commercialize energy infrastructure in the future,” Price said.

“We are working in partnership with the Northern Territory government and traditional owners to ensure a smooth transition of leased land and town assets and infrastructure as Rio Tinto prepares to stop mining at Gove later this decade.”

According to Rio, the group is committed to helping to plan for the region’s future, which includes providing options for reliable, affordable and environmentally sustainable infrastructure.

“The solar farms are also part of our ongoing commitment to decarbonize our business. Once operational, they are expected to reduce annual CO2e emissions at our Gove operations by up to 17%,” Price said.

“We intend for these farms to underpin sustainable power for the region beyond mining.”

When complete, the solar farms are expected to reduce the region’s annual diesel consumption by about 20%, or 4.5 million litres a year, and lower annual carbon emissions by over 12,000 tonnes, which is the equivalent of taking 2,800 internal combustion engine cars off the road, Rio estimates.

Gem Diamonds unearths 123-carat stone in Lesotho

Staff Writer | July 3, 2024 |

Letšeng is the world’s highest dollar per carat diamond mine. (Image from: Gem Diamonds’ presentation.)

Gem Diamonds (LSE: GEMD) has announced the recovery of a 123.2-carat type II white diamond at its Letšeng mine in Lesotho. This is the eighth greater than 100 diamond found at the operation in 2024, the company said.


Type IIa diamonds are the most valued and collectable precious gemstones, as they contain either very little or no nitrogen atoms in their crystal structure. Boart diamonds are stones of low quality that are used in powder form as an abrasive.

The 123.2-carat type II white diamond was recovered on June 29, the eighth stone over 100 carats found in 2024.

The prolific Letšeng mine is one of the world’s ten largest diamond operations by revenue. At 3,100 metres (10,000 feet) above sea level, it is also one of the world’s most elevated diamond mines.

The Letšeng mine is famous for the production of large, exceptional white quality diamonds, making it the highest dollar per carat kimberlite mine in the world, Gem Diamonds said.

Congo sells its own copper from joint ventures for first time

Bloomberg News | July 2, 2024 | 

Trucks at the Tenke Fungurume mine. Credit: CMOC

The Democratic Republic of Congo’s state miner has started selling its share of copper from joint-venture projects for the first time as the country seeks greater control over a metal key to the energy transition.


Gecamines holds minority stakes in large mines run by firms such as China’s CMOC Group and Glencore Plc. Until now, the joint ventures themselves have sold all the production. But the state company is taking a more active role in marketing its portion — totaling hundreds of thousands of tons a year – according to people familiar with the matter.

Gecamines is offering copper from CMOC’s giant Tenke Fungurume mine, in which it holds a 20% interest, the people said, asking not to be identified discussing private negotiations. The state miner is assessing bids — including from Glencore, Trafigura Group and Mercuria Energy Group — for 90,000 tons from the project, two of the people said.

The three trading houses declined to comment, while the Tenke JV and Gecamines didn’t respond.

Gecamines’ move creates opportunities for traders to bid on sizable new contracts at a time of heated competition for copper deals. Congo has recently become the world’s No. 2 producer and has seen exports almost triple since 2016. Yet many expect global demand — led by growth in electric vehicles, grid infrastructure and data centers — to outstrip investment in new supplies.

Gecamines also held a smaller tender earlier this year, with CMOC metals trader IXM buying copper from the Kambove mine, according to the people. Kambove is a joint venture between the Congolese state and China Nonferrous Metal Mining Group.

IXM didn’t respond to questions about the Kambove tender.

Gecamines plans to run similar processes for its share of copper from Glencore’s Kamoto operation and the Chinese-owned Sicomines project, one of the people said. Together, those two assets produced more than 400,000 tons of the metal last year.


By organizing the tenders, Gecamines hopes to gain more insight into whether its partners — some of which are both miners and traders — are selling their larger portions at the best possible price, two of the people said.

Benchmark copper prices surged to a record above $11,000 a ton in May, before retreating on a softening market in top consumer China.

The state company hasn’t yet sold any cobalt, a copper byproduct that’s used in EV batteries, according to the people. Congo accounted for about three-quarters of global output last year, but prices have tumbled amid a glut of supply.

(By William Clowes, Michael J. Kavanagh and Winnie Zhu)

Anglo coking-coal mine blaze to have months-long impact

Bloomberg News | July 1, 2024 

Tunnel boring machine at Grosvenor mine. Image: Anglo American

A fire at Anglo American Plc’s biggest metallurgical coal project in Australia halted production, with the miner saying it may take months for it to be extinguished. Anglo, which is seeking to sell the mine as part of a turnaround plan, fell as much as 4%.


A methane explosion on Saturday caused the fire at the Grosvenor underground mine, which accounts for about 30% of the company’s annual production of coking coal in Queensland state, Anglo said in an emailed statement Monday. No one was injured.

The blaze may complicate the London-based company’s plan to sell its assets that mine the steelmaking fuel, after it rebuffed a $49 billion takeover by BHP Group. After the world’s biggest miner walked away in May, Anglo chief executive officer Duncan Wanblad announced a radical overhaul and restructure of the business, with analysts anticipating a swift sale of the coal portfolio due to its relatively high value.

Anglo’s shares fell as much a 4% in London and traded 3.1% lower at 2,423.50 pence by 8:30 a.m.

“The mine team is working with specialist teams from the Queensland Mines Rescue Service and the regulatory authorities to extinguish the underground fire, prior to being able to assess the steps toward a safe re-entry into the mine,” Anglo said in the statement. “These procedures are expected to take several months as a result of the likely damage underground.”

The fire could mean the sale of Grosvenor and the nearby Moranbah North coal project — among Anglo’s five mines of the fuel in Queensland — will take longer than expected and the bidding price will be lower, Jefferies analyst Christopher LaFemina said in a note on Monday. The researcher had expected those two mines to fetch about $3 billion.

The expected cut to production due to the fire would weigh on Anglo’s share price and the asset sale, RBC Capital Markets analyst Marina Calero said in a note.

Grosvenor reached first output in 2016 but was closed in mid-2020 after an explosion which seriously injured five workers. It only returned to production in February 2022.

The coal beds Anglo mines contain a relatively high level of methane. Anglo drains approximately 60% of the methane gas from the seams and then supplies it to the Queensland electricity grid.

(By Paul-Alain Hunt and Victoria Cavaliere)

Ivory Coast says Endeavour leak sickened people, killed fish

Bloomberg News | July 3, 2024 | 11:03 am News Africa Gold

Ity has the longest operating history of any gold mine in Côte d’Ivoire. 

Credit: Endeavour Mining Plc

Ivory Coast said a leak of a toxic substance from Endeavour Mining Plc’s operations in the southern part of the West African country sickened people and killed fish.


The London-based miner had said a valve ruptured on June 23, releasing 3,000 liters of mud containing cyanide into a canal within the perimeter of its Ity mine. The leak reached the Cavally River, the Ivorian Ministry of Environment said in a statement Wednesday.


“The source of the pollution has been brought under control by the mining company, which pledged to provide nearby communities with drinking water until the cleanup is complete,” it said. No human deaths have been reported so far, it said.

An Endeavour spokesperson declined to comment on the government’s update.

Endeavour, whose shares are traded in Toronto and London, where it’s the biggest listed miner, has all its assets in West Africa, with operations in Senegal, Ivory Coast and Burkina Faso.

(By Baudelaire Mieu)

Endeavour studying spill from Ivory Coast operation

Bloomberg News | July 1, 2024 | 2:05 pm News Africa Gold

Ity has the longest operating history of any gold mine in the Ivory Coast. (Image courtesy of Endeavour Mining.)

Endeavour Mining Plc says it’s studying the damage from the leak of poisonous liquid at its second-biggest mine located in southern Ivory Coast.


Early reports show that a broken valve leaked 3,000 liters of mud containing cyanide into a canal within the perimeter of the mine, Endeavour’s country manager Laetitia Gadegbeku-Ouattara told journalists in Abidjan Monday.


The contaminated liquid “didn’t leak into the Cavally River,” she said. The company, which took “immediate steps” to prevent the leak from polluting the river, is doing additional analyses to ascertain the scope of the damage, said Gadegbeku-Ouattara.

Cyanide is a poisonous chemical used to extract gold from ore. The Cavally River takes its source from Mount Nimba in Guinea before flowing through Ivory Coast and into the Gulf of Guinea.

Local authorities have warned residents in the area to abstain from eating fish or drinking from the river until further notice. No human deaths have been reported, said Abdallah Toikeusse Mabri, the president of the Tonkpi region.

Endeavour, whose shares are traded in Toronto and London, where it’s the biggest listed miner, has all its assets in West Africa, with operations in Senegal, Ivory Coast and Burkina Faso. Its Ivorian mine is expected to produce 260,000-290,000 ounces (8.1 to 9.1 tons) of gold this year.

The company’s Ivorian output is expected to increase in the second half of the year with the ramp-up of its Lafigue project in the country’s east.

Endeavour’s shares rose 0.1% Monday in Toronto and 2.1% in London.

(By Baudelaire Mieu)

 

Crowley Given Contract to Continue Defense Freight Transportation Services

PUBLISHED JUL 3, 2024 1:28 PM BY THE MARITIME EXECUTIVE

 

[By: Crowley]

Extending its trusted relationship with the U.S. Government, Crowley today announced the award by U.S. Transportation Command (USTRANSCOM) of a $2.3 billion, seven-year contract to continue serving the military’s transportation and logistics needs under the Defense Freight Transportation Services program.

Crowley was awarded the original Defense Freight Transportation Services (DFTS I) contract in 2017. One of the largest logistics contracts under the federal government, DFTS encompasses all forms of surface transportation throughout the continental U.S., Alaska and Canada, including less than truckload (LTL), full truckload (FTL), expedited, time definite and rail services as well as cross-docking and warehousing.

“There is no greater honor than to serve the logistics needs of our nation’s military service members with the trust of the U.S. Department of Defense. The lasting partnership built with USTRANSCOM is a privilege that the people at Crowley never take lightly as we ensure an efficient and effective supply chain for the military and other agencies’ needs,” said Ray Fitzgerald, Chief Operating Officer, Crowley. “We are humbled and immensely proud to continue delivering this critical transportation service for America’s defense safely and reliably.”

During its ongoing DFTS services, Crowley has received multiple high-performance ratings from USTRANSCOM and praise from the Defense Logistics Agency, and the company put in place technology solutions to maximize freight transportation efficiency and value. 

As it enters the new contract (DFTS II), Crowley will also continue to utilize small businesses and diverse suppliers that help drive investment and resiliency in communities coast to coast, exceeding $600 million in diverse small business contracting. Crowley grew its network of carriers and suppliers by over 500%, tripling the minimum capacity needed to effectively service 300,000 movements annually of critical equipment and supplies.

The products and services herein described in this press release are not endorsed by The Maritime Executive

 

HamiltonJet Breaks Ground on New State-of-the-Art Production Facility

HamiltonJet groundbreaking event

PUBLISHED JUL 3, 2024 1:13 PM BY THE MARITIME EXECUTIVE

 

[By: HamiltonJet]

Works began today on a new state-of-the-art production facility for capacity expansion for HamiltonJet, the New Zealand manufacturer of innovative marine propulsion technology. This morning’s groundbreaking ceremony was held on site in Lunns Road, Christchurch and marks an exciting new chapter for the organisation.

HamiltonJet has over 70 years of experience designing and manufacturing waterjet propulsion systems. It was founded in the 1950s by Sir William Hamilton - who pioneered the first commercial waterjet - and the company remains a market leader of waterjets and vessel controls, producing some of the most advanced and innovative high performance propulsion technology in the world.

The new plant, which will be situated on the same site as the organisation’s existing facility, will have a footprint of 7,320 square metres. It is being built in response to the firm’s continued growth both here in New Zealand and in the global market - HamiltonJet now exports to the US, Europe, Middle East and Asia.

With an estimated 12-15 month build time, and a six-month window for the equipment install, the production facility aims to be fully operational by April 2026. It will house new technologically-advanced facilities including CNC (computer numerical control) machining equipment, temperature controlled and a safer, more efficient paint process. The facility will be built with ready capacity for future rooftop solar panels.

By investing in these significant upgrades to its manufacturing and production HamiltonJet aims to deliver significant efficiencies for the business and uplift production capacity by up to 40%, allowing for much shorter lead times for customers.

HamiltonJet’s Managing Director, Ben Reed, says: “We are delighted to see the ground works beginning for the new factory. As it is with projects of this size and scale, it has been years of planning, designing and consenting to get to this stage. HamiltonJet has been going from strength to strength, with increasing demand from the global market, so this is the next exciting chapter in our 85-year history as we look ahead to the future growth of the business.”

The products and services herein described in this press release are not endorsed by The Maritime Executive.