B08 Metal Ore Mining

Newcrest seeks time to fix its tailings dam

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Original article by Nick Evans
The Australian – Page: 24 : 1-May-19

Newcrest Mining has advised that it produced 623,000 ounces of gold during the March quarter, which is five per cent lower than in the December 2018 quarter. Its average all-in sustaining cost rose by $18 to $738 an ounce during the period, although its average margin on gold sales rose by $48 to $563 an ounce. Meanwhile, CEO Sandeep Biswas says Newcrest has accepted all of the findings and recommendations of an independent panel’s review of the partial collapse of a tailings dam wall at its Cadia mine in March 2018.

CORPORATES
NEWCREST MINING LIMITED – ASX NCM

BHP keeps its title as world’s top mine brand

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Original article by Melissa Yeo
The Australian – Page: 20 : 26-Apr-19

BHP’s brand value is estimated to be $US6bn ($8.6bn) in Brand Finance’s latest rankings for the global mining sector. The resources giant has topped the list for a second successive year, and is followed by ArcelorMittal and Glencore. BHP launched a rebranding initiative in 2017, accompanied by a new marketing campaign.

CORPORATES
BHP GROUP LIMITED – ASX BHP, BRAND FINANCE PLC, ARCELOR MITTAL SA, GLENCORE PLC, VALE SA

Coalition go-ahead for giant U-mine

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Original article by Nick Evans
The Australian – Page: 1 & 2 : 26-Apr-19

The Supreme Court of Western Australia has not released its ruling on a legal challenge to the state government’s decision to approve Cameco’s Yeelirrie uranium mine. However, it has been revealed that federal Environment Minister Melissa Price approved the project one day before the election was called. Mia Pepper, a spokeswoman for the Conservation Council of WA, has described Price’s decision to approve the mine as
"premature and highly political".

CORPORATES
CAMECO CORPORATION, AUSTRALIA. DEPT OF THE ENVIRONMENT AND ENERGY, SUPREME COURT OF WESTERN AUSTRALIA, CONSERVATION COUNCIL OF WESTERN AUSTRALIA INCORPORATED, WESTERN AUSTRALIA. DEPT OF WATER AND ENVIRONMENTAL REGULATION, WESTERN AUSTRALIA. ENVIRONMENTAL PROTECTION AUTHORITY, ADANI MINING PTY LTD, BHP GROUP LIMITED – ASX BHP

Grange raises property stake amid concerns

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Original article by Peter Ker
The Australian Financial Review – Page: 23 : 26-Apr-19

The decision by iron ore miner Grange Resources to diversify into property development continues to attract scrutiny. Grange is focusing on apartment developments in Melbourne suburbs such as Toorak and Prahran, where dwelling prices fell sharply in 2018. Some shareholders have expressed concern about the adequacy of Grange’s disclosures regarding its investment in the venture. CGI Glass Lewis has also urged investors to vote against Grange’s remuneration report at its upcoming AGM.

CORPORATES
GRANGE RESOURCES LIMITED – ASX GRR, CGI GLASS LEWIS PTY LTD, CORELOGIC AUSTRALIA PTY LTD

Electric cars lift nickel mines

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Original article by Nick Evans
The Australian – Page: 17 : 26-Apr-19

Several nickel producers may resume production at mothballed mines in Western Australia amid growing demand for ethically-sourced cobalt. The Democratic Republic of the Congo accounted for nearly 55 per cent of global supply of cobalt – a byproduct of nickel mining in WA – in 2016. However, BMW has signalled that its next generation of electric cars will only use cobalt from Australia or Morocco. The Democratic Republic of the Congo’s mining industry has been widely criticised for unsafe working conditions and the use of forced labour.

CORPORATES
BMW AG, FIRST QUANTUM MINERALS LIMITED, PANORAMIC RESOURCES LIMITED – ASX PAN, INDEPENDENCE GROUP NL – ASX IGO, GLENCORE PLC, WESTERN AUSTRALIA. DEPT OF MINES, INDUSTRY REGULATION AND SAFETY, TOYOTA MOTOR CORPORATION, HONDA MOTOR COMPANY LIMITED, PANASONIC

Analysts predict iron ore prices have hit peak

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Original article by Cole Latimer
The Age – Page: 25 : 24-Apr-19

UBS has forecast that the iron ore price will average $US83 per tonne in 2019, warning that the steel input’s recent high of around $US93/tonne is not sustainable. The investment bank says recent supply disruptions in Australia and Brazil are unlikely to have a long-term impact on the iron ore price, forecasting that it will fall over the next 12 months. Expectations of a lower iron ore price have also contributed to UBS’s decision to downgrade its recommendation on BHP’s shares from ‘buy’ to ‘neutral’. PhillipCapital expects iron ore to average $US78/tonne in 2019.

CORPORATES
UBS HOLDINGS PTY LTD, BHP GROUP LIMITED – ASX BHP, PHILLIP CAPITAL LIMITED, VALE SA, FORTESCUE METALS GROUP LIMITED – ASX FMG

Cashed-up Fortescue flags higher dividend

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Original article by Nick Evans
The Weekend Australian – Page: 27 : 20-Apr-19

Fortescue Metals Group has advised in its production report for the March quarter that its average cost of production is now tipped to between $US13 and $US13.50 a tonne. It had previously advised that its average cost of production would be between $US12 and $US13 a tonne. CEO Elizabeth Gaines said its new 60.1 per cent iron grade West Pilbara Fines product has been well received by customers, while CFO Ian Wells said some of the spare cash generated by its Pilbara iron ore operations could be paid to shareholders in the form of higher dividends.

CORPORATES
FORTESCUE METALS GROUP LIMITED – ASX FMG

Iron ore players hit by Vale mine restart

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Original article by Nick Evans
The Australian – Page: 17 & 26 : 18-Apr-19

Shares in Fortescue Metals Group, BHP and Rio Tinto fell sharply on 17 April, after Vale was cleared to resume production at its Brucutu iron ore mine. News that Vale expects production to resume within days also weighed on the iron ore price. Meanwhile, BHP has advised that its iron ore production costs will rise due to the impact of Cyclone Veronica; full-year production guidance for its Pilbara operations has been reduced to between 265 and 270 million tonnes. BHP’s Pilbara iron ore shipments totalled 64 million tonnes in the March quarter.

CORPORATES
FORTESCUE METALS GROUP LIMITED – ASX FMG, BHP GROUP LIMITED – ASX BHP, RIO TINTO LIMITED – ASX RIO, VALE SA, RBC CAPITAL MARKETS, CITIGROUP PTY LTD

Rio cuts iron ore production guidance as port problem lingers

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Original article by Brad Thompson
The Australian Financial Review – Page: 17 : 17-Apr-19

Rio Tinto has advised that its iron ore production in the Pilbara is likely to be within the range of 333 million to 343 million tonnes in 2019. This compares with previous guidance of 338 million to 350 million tonnes. The downgrade follows disruptions caused by Cyclone Veronica and fires at two separate screening plants. Peter O’Connor of Shaw & Partners says the impact of these disruptions on Rio Tinto’s output should be offset by higher iron ore prices.

CORPORATES
RIO TINTO LIMITED – ASX RIO, SHAW AND PARTNERS LIMITED

Miners place big bets on copper to cash in on electric car boom

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Original article by Nick Evans
The Australian – Page: 17 & 28 : 16-Apr-19

Morgan Stanley has forecast that over 10 million electric vehicles will be sold each year by 2025, up from 600,000 in 2015. The rise in demand for electric cars has been tipped to lead to a corresponding increase in demand for copper, with electric vehicles needing around four times as much copper as an average-sized petrol-driven car. Rio Tinto is making copper a key focus of its future plans, having forecast a copper shortfall of eight million tonnes by 2020.

CORPORATES
MORGAN STANLEY AUSTRALIA LIMITED, RIO TINTO LIMITED – ASX RIO, BHP GROUP LIMITED – ASX BHP, OZ MINERALS LIMITED – ASX OZL, WESFARMERS LIMITED – ASX WES, AUSTRALIAN LABOR PARTY