B08 Metal Ore Mining

Long-term deals key to iron-clad alliance

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Original article by Glenda Korporaal
The Australian – Page: 20 : 24-Sep-18

BHP Billiton, Rio Tinto and Fortescue Metal Group were among the Australian iron ore companies that were represented at the recent China International Steel & Raw Materials Conference. Australia currently supplies 62 per cent of China’s seaborne iron ore, with iron ore being Australia’s biggest export to China. Businesses involved in commerce between Australia and China are hopeful that the relationship between the two countries, which has been somewhat strained in recent times, will improve under new Prime Minister Scott Morrison.

CORPORATES
BHP BILLITON LIMITED – ASX BHP, RIO TINTO LIMITED – ASX RIO, FORTESCUE METALS GROUP LIMITED – ASX FMG, ROY HILL HOLDINGS PTY LTD, VALE SA, UNIVERSITY OF NEW SOUTH WALES, WORLD TRADE ORGANIZATION, AUSTRALIA. DEPT OF THE PRIME MINISTER AND CABINET

Rio Tinto goes off market for share buyback

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Original article by Peter Ker
The Australian Financial Review – Page: 17 & 22 : 21-Sep-18

Rio Tinto will repurchase around $US3.2bn worth of its shares, including $US1.9bn ($2.6bn) of its Australian-listed stock. The off-market buyback will be financed via the proceeds from the sale of Rio Tinto’s coking coal assets in Queensland. Don Hamson of Plato Investment Management says an off-market buyback is preferable to a special dividend, given that Labor intends to abolish cash refunds for excess franking credits if it wins the next federal election. Rio Tinto had previously announced $US2.4bn worth of buybacks.

CORPORATES
RIO TINTO LIMITED – ASX RIO, PLATO INVESTMENT MANAGEMENT LIMITED, AUSTRALIAN LABOR PARTY, AUSTRALIAN TAXATION OFFICE

Fortescue flags earlier start for higher grade iron ore exports

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Original article by Peter Ker
The Australian Financial Review – Page: 19 : 21-Sep-18

Pure-play iron ore producer Fortescue Metals Group has advised that it will begin exporting ore with an iron content of 60.1 per cent in December. Fortescue had previously expected to begin shipments of the higher-grade West Pilbara Fines product during the first half of 2019. Fortescue’s new Eliwana mine will be a key source of the new iron ore blend, and the company expects annual shipments of West Pilbara Fines to be around 40 million when production at Eliwana begins. Fortescue has forecast that it will export 5-10 million tonnes of West Pilbara Fines in 2018-19.

CORPORATES
FORTESCUE METALS GROUP LIMITED – ASX FMG, RIO TINTO LIMITED – ASX RIO, MACQUARIE GROUP LIMITED – ASX MQG

Billiton to go as BHP gets back to its roots

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Original article by Matt Chambers, Samantha Bailey
The Australian – Page: 24 : 19-Sep-18

BHP Billiton’s 2018 AGMs in Australia and the UK will include a resolution to formally drop "Billiton" from its name. The resources group has been referring to itself simply as BHP in marketing campaigns for the last 18 months. Many of the assets that BHP gained via the merger with Billiton in 2001 have since been sold or spun off into South32. Meanwhile, BHP chairman Ken MacKenzie has indicated that "social licence" will be taken into consideration when selecting directors in the future.

CORPORATES
BHP BILLITON LIMITED – ASX BHP, SOUTH32 LIMITED – ASX S32, ELLIOTT MANAGEMENT CORPORATION

Europe buyer pulls $438m offer for Rio aluminium assets

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Original article by Darren Gray
The Age – Page: 25 : 18-Sep-18

Rio Tinto has advised that Norway-based Hydro has terminated a deal struck earlier in 2018 to acquire its remaining aluminium assets in Europe for $US345m ($438m). The assets comprise an aluminium smelter in Iceland and Rio’s stakes in an anode plant in the Netherlands and an aluminium fluoride plant in Sweden. Competition concerns in Europe are believed to have prompted Hydro to withdraw from the deal. Rio may seek a new buyer for the assets.

CORPORATES
RIO TINTO LIMITED – ASX RIO, NORSK HYDRO ASA, EUROPEAN COMMISSION, LIBERTY HOUSE GROUP, UC RUSAL LIMITED

Gold mother lode unearthed underground in Kambalda delivers $15 million in just four days

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Original article by Jarrod Lucas
abc.net.au – Page: Online : 10-Sep-18

RNC Minerals still intends to sell its Beta Hunt mine near Kambalda in outback Western Australia, despite what has been described as a "once-in-a-lifetime discovery" of gold-bearing rock. Local miner Henry Dole has been credited with the discovery, with the rocks being discovered around 500 metres below the surface. Mine workers retrieved over $15 million worth of gold-encrusted rocks in just four days, with one rock weighing 90 kilograms and another weighing 60 kilograms. RNC, which is based in Canada, put the Beta Hunt mine on the market some months ago.

CORPORATES
ROYAL NICKEL CORPORATION

BHP buys Solgold stake as battle with Newcrest heats up

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Original article by Peter Ker
The Australian Financial Review – Page: Online : 6-Sep-18

BHP Billiton has purchased a 6.1 per cent stake in Solgold, which operates a copper-gold project in Ecuador. It had previously sought to acquire a 10 per cent in Solgold in late 2016, but lost out to Newcrest Mining. Newcrest Mining is currently Solgold’s largest shareholder, owning around 14.5 per cent of the Brisbane-based company. BHP and Newcrest both have interests in Ecuador apart from their Solgold investment, while Fortescue Metals Group and Hancock Prospecting also have exploration tenements in Ecuador.

CORPORATES
BHP BILLITON LIMITED – ASX BHP, SOLGOLD PLC, NEWCREST MINING LIMITED – ASX NCM, FORTESCUE METALS GROUP LIMITED – ASX FMG, HANCOCK PROSPECTING PTY LTD, GUYANA GOLDFIELDS INCORPORATED

Gold production beats forecasts to hit highest level in 20 years

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Original article by Matt Chambers
The Australian – Page: Online : 3-Sep-18

Australia’s gold miners produced 310 tonnes of the precious metal in 2017-18, according to consulting firm Surbiton. This represents the highest output since 1997-98, while production for the June quarter totalled 81 tonnes, nine per cent up on the previous quarter. Newmont’s Boddington mine in Western Australia was the biggest gold producer in 2017-18, with output of 733,000 ounces. The federal Industry Department’s Office of the Chief Economist is forecasting gold production will increase to 322 tonnes by 2019-20.

CORPORATES
SURBITON ASSOCIATES PTY LTD, NEWMONT AUSTRALIA LIMITED, AUSTRALIA. DEPT OF INDUSTRY, INNOVATION AND SCIENCE, BARRICK GOLD OF AUSTRALIA LIMITED, NEWCREST MINING LIMITED – ASX NCM, DACIAN GOLD LIMITED – ASX DCN, GASCOYNE RESOURCES LIMITED – ASX GCY, GOLD ROAD RESOURCES LIMITED – ASX GOR

Woodside blasts Rio’s call on wage rise

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Original article by Peter Ker, Julie-anne Sprague
The Australian Financial Review – Page: 3 : 31-Aug-18

Woodside Petroleum CEO Peter Coleman contends that recent comments by Rio Tinto CEO Jean-Sebastien Jacques about rising labour costs in Western Australia’s Pilbara region have alarmed investors. Coleman says he can see no signs that "cost inflation" is rampant in the region, while BHP Billiton CEO Andrew Mackenzie said that while there were indications of inflation in the Pilbara, he was not "fazed" by it. Coleman says any talk that the new investments in the region can be likened to the previous mining boom are way off the mark.

CORPORATES
WOODSIDE PETROLEUM LIMITED – ASX WPL, RIO TINTO LIMITED – ASX RIO, BHP BILLITON LIMITED – ASX BHP

Ellison puts halt to speculation of BCI bid

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Original article by Brad Thompson
The Australian Financial Review – Page: 20 : 28-Aug-18

BCI Minerals plans to divest its iron ore assets in the Pilbara in order to focus on its salt and potash assets. Mineral Resources MD Chris Ellison has indicated that the company will not bid for the BCI assets, which could fetch around $100m, preferring to focus on its existing Pilbara assets. Mineral Resources recently secured a joint venture agreement regarding Brockman Mining’s Marillana project, while it bought the Koolyanobbing mine from Cleveland-Cliffs earlier in 2018.

CORPORATES
BCI MINERALS LIMITED – ASX BCI, MINERAL RESOURCES LIMITED – ASX MIN, BROCKMAN MINING LIMITED – ASX BCK, CLEVELAND-CLIFFS INCORPORATED, ATLAS IRON LIMITED – ASX AGO, WROXBY PTY LTD