B08 Metal Ore Mining

Bank scandals to impact all business: BHP

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Original article by Peter Ker
The Australian Financial Review – Page: 15 : 14-May-18

BHP CEO Andrew Mackenzie warns that the banking royal commission’s revelations about misconduct in the financial sector have implications for the broader business community. He says other companies will have to be more transparent and accountable, particularly with regard to remuneration. A survey has found that BHP’s reputation has risen strongly in the wake of a marketing campaign and rebranding in 2017. BHP and Rio Tinto have had their own scandals in recent years, including corruption investigations and tax disputes.

CORPORATES
BHP BILLITON LIMITED – ASX BHP, AUSTRALIA. ROYAL COMMISSION INTO MISCONDUCT IN THE BANKING, SUPERANNUATION AND FINANCIAL SERVICES INDUSTRY, RIO TINTO LIMITED – ASX RIO, SAMARCO MINERACAO SA, COMMONWEALTH BANK OF AUSTRALIA – ASX CBA, UNITED STATES. EXECUTIVE OFFICE OF THE PRESIDENT

Rio, Alcoa, Apple in green aluminium bid

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Original article by Matt Chambers
The Australian – Page: 21 : 11-May-18

Rio Tinto aims to commercialise a new aluminium smelting process that does not generate carbon dioxide emissions within six years. The resources group will develop the Elysis process in partnership with Alcoa and technology giant Apple. Aluminium generates carbon dioxide emissions from both the smelting process itself and the electricity that is consumer in its production. Rio Tinto and Alcoa claim that the Elysis process is the industry’s most significant innovation in more than a century.

CORPORATES
RIO TINTO LIMITED – ASX RIO, ALCOA INCORPORATED, APPLE INCORPORATED

Resources bull run ‘won’t last’

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Original article by Glenda Korporaal
The Australian – Page: 43 : 9-May-18

The Federal Government’s Budget bottom line has been bolstered by stronger-than-expected commodity prices, although its economic forecasts for coming years are based on expectations of a fall in the price of iron ore and metallurgical coal. The Budget papers also forecast that Australia’s terms of trade will rise by 1.5 per cent in 2017-18, followed by a decline over the next four years, including a 5.25 per cent fall in 2018-19. The Budget also notes that the global price of oil will have a greater influence on Australia’s export revenue in coming years as the nation’s LNG exports increase.

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Rinehart’s Roy Hill exports yo-yo in a struggle for consistency

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Original article by Peter Ker
The Australian Financial Review – Page: 17 : 7-May-18

Roy Hill Holdings has indicated that its iron ore export volumes in April 2018 were consistent with its target of shipping 55 million tonnes a year. Although Roy Hill does not usually release data on its export volumes, Port Hedland statistics suggest that it shipped less than 11.7 million tonnes in the March 2018 quarter, which implies an annualised rate of around 47 million tonnes. Peter O’Connor of Shaw & Partners says the end of the cyclone season should enable Roy Hill to achieve its target run rate over the next three quarters.

CORPORATES
ROY HILL HOLDINGS PTY LTD, PORT HEDLAND PORT AUTHORITY, SHAW AND PARTNERS LIMITED, BHP BILLITON LIMITED – ASX BHP, FORTESCUE METALS GROUP LIMITED – ASX FMG, ATLAS IRON LIMITED – ASX AGO, MINERAL RESOURCES LIMITED – ASX MIN, BCI MINERALS LIMITED – ASX BCI

Sandfire builds war chest for next big find

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Original article by Vesna Poljak
The Australian Financial Review – Page: 27 : 4-May-18

Sandfire Resources CEO Karl Simich is hopeful of more discoveries in the DeGrussa and Monty region, and he plans to boost exploration activity on the back of improved cash flow. Sandfire owns the DuGrassa copper and gold mine, which is currently slated to operate until 2022. Sandfire recently spent $A2 million to acquire a 7.7 per cent in Adriatic Metals, and Simich said he is looking forward to more exploration results from Adriatic’s zinc project, which is in Bosnia and Herzegovina.

CORPORATES
SANDFIRE RESOURCES NL – ASX SFR, ADRIATIC METALS PLC – ASX ADT, SIRIUS MINERALS PLC, INDEPENDENCE GROUP NL – ASX IGO

Pilbara red has Rinehart in the pink

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Original article by Jennifer Hewett
The Australian Financial Review – Page: 1 & 2 : 3-May-18

The Roy Hill iron ore mine has achieved its annual production target of 55 million tonnes. Mining magnate Gina Rinehart marked the milestone with events that were attended by Roy Hill employees and representatives of Hancock Prospecting’s offshore partners in the project. Rinehart also used the occasion to launch an additional two pink haulage trucks, which bear the names of breast cancer victims. Rinehart aims to increase annual production to 60 million tonnes.

CORPORATES
ROY HILL HOLDINGS PTY LTD, HANCOCK PROSPECTING PTY LTD, MARUBENI CORPORATION, POSCO, CHINA STEEL CORPORATION, BHP BILLITON LIMITED – ASX BHP

Rio links coal exit to policy on climate

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Original article by Matt Chambers
The Australian – Page: 17 & 20 : 3-May-18

Rio Tinto chairman Simon Thompson has conceded that the potential impact of climate change policy on the future value of coal assets contributed to its decision to divest its thermal coal assets in New South Wales. Rio Tinto sold the Hunter Valley coal assets for $US2.69bn ($A3.58bn) in 2017. Thompson also noted at the AGM that Rio Tinto is in the process of exiting fossil fuels completely, and he highlighted the company’s progress in reducing its greenhouse gas emissions.

CORPORATES
RIO TINTO LIMITED – ASX RIO, YANCOAL AUSTRALIA LIMITED – ASX YAL, GLENCORE PLC, AUSTRALASIAN CENTRE FOR CORPORATE RESPONSIBILITY, LGSS PTY LTD, CHURCH OF ENGLAND, AUSTRALIAN SECURITIES AND INVESTMENTS COMMISSION, UNITED STATES. SECURITIES AND EXCHANGE COMMISSION, GREAT BRITAIN. SERIOUS FRAUD OFFICE

Rio Tinto climate policy resolution expected to fall short

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Original article by Peter Ker
The Australian Financial Review – Page: 17 : 1-May-18

A motion calling for Rio Tinto to review its relationship with industry groups will be put it shareholders at its AGM on 2 May. The motion has been filed by the Australasian Centre for Corporate Responsibility and has the support of investors such as HESTA and the California Public Employees’ Retirement System. However, other Rio Tinto investors are expected to vote against it, and the motion is not expected to secure a majority. Nonetheless, ACCR executive director Brynn O’Brien will deem the motion to have been a success if 10 per cent of Rio Tinto’s shareholders vote for it.

CORPORATES
RIO TINTO LIMITED – ASX RIO, AUSTRALASIAN CENTRE FOR CORPORATE RESPONSIBILITY, HEALTH EMPLOYEES’ SUPERANNUATION TRUST AUSTRALIA LIMITED, CALIFORNIA PUBLIC EMPLOYEES’ RETIREMENT SYSTEM, LGIM, AEGON ASSET MANAGEMENT LIMITED, BHP BILLITON LIMITED – ASX BHP, MINERALS COUNCIL OF AUSTRALIA, AUSTRALIANSUPER PTY LTD

Newcrest cuts gold forecast by 10pc

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Original article by Paul Garvey
The Australian – Page: 20 : 27-Apr-18

Newcrest Mining produced 576,000 ounces of gold and 19,000 ­tonnes of copper during the March quarter, with output falling by six per cent and 15.5 per cent respectively. Newcrest has downgraded its production guidance for 2017-18, with gold output expected to be within the range of 2.25 million to 2.35 million ounces. The downgrade follows the collapse of a tailings wall dam at its Cadia mine and a sharp fall in production at the Telfer mine during the quarter. Full-year copper output is now expected to be 70,000 to 75,000 tonnes.

CORPORATES
NEWCREST MINING LIMITED – ASX NCM, MACQUARIE GROUP LIMITED – ASX MQG

Newcrest gives up gold to replace tailings dam

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Original article by Paul Garvey
The Australian – Page: 20 : 24-Apr-18

Newcrest Mining was forced to halt operations at its Cadia mine in New South Wales after a wall in its northern tailings dam was partly breached in March. It has since resumed production, but at reduced levels, due to the limitations of its southern tailings dam. Newcrest has now been given conditional permission to dump tailings in part of its old Cadia Hill open pit mine while it looks at how best to fix the northern tailings dam. However, its decision means forgoing potential resources of up to 270,000 tonnes of unmined copper and up to three million ounces of unmined gold.

CORPORATES
NEWCREST MINING LIMITED – ASX NCM, RBC CAPITAL MARKETS