MINING CORPORATIONS – AUSTRALIA

BHP may be tempted by ailing mining assets

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Original article by Peter Ker
The Australian Financial Review – Page: 24 : 14-Oct-15

Todd Warren of Colonial First State Global Asset Management says BHP Billiton seems to be becoming more keen to pursue mergers and acquisitions. A number of rival mining groups are believed to be considering asset sales, which could present buying opportunities for BHP. It already holds a 33.75 per cent stake in Glencore’s Antamina copper mine in Peru, which is one of the assets that Glencore may divest. BHP was among the bidders for Barrick Gold Corporation’s Zaldivar copper mine in Chile.

CORPORATES
BHP BILLITON LIMITED – ASX BHP, COLONIAL FIRST STATE GLOBAL ASSET MANAGEMENT, GLENCORE PLC, BARRICK GOLD CORPORATION, RIO TINTO LIMITED – ASX RIO, FORTESCUE METALS GROUP LIMITED – ASX FMG, ANTOFAGASTA PLC, ANGLO AMERICAN PLC, BP PLC, PEABODY ENERGY CORPORATION, TECK CORPORATION, MITSUBISHI CORPORATION, BLACKROCK INCORPORATED

OZ Minerals spruiks faster, cheaper Carrapateena plan

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Original article by Peter Ker
The Australian Financial Review – Page: 13 &18 : 7-Oct-15

OZ Minerals has indicated that developing the Carrapateena copper and gold deposit on a much smaller scale than originally planned is its preferred option. OZ estimates that it could reduce the cost of developing the mine to about $A1bn by focusing on higher-grade ore at the shallowest depths. A feasibility study in 2014 had estimated that the original plan for a block cave mine would cost about $A2.98bn. CEO Andrew Cole has stressed that three options for the project remain under consideration.

CORPORATES
OZ MINERALS LIMITED – ASX OZL, KKR AND COMPANY LP, ARGONAUT SECURITIES PTY LTD, ROYAL BANK OF CANADA, BHP BILLITON LIMITED – ASX BHP, PANAUST LIMITED, NEWCREST MINING LIMITED – ASX NCM

Gold stocks take off after gloomy report on US jobs

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Original article by Stephen Cauchi
The Australian Financial Review – Page: 31 : 6-Oct-15

Data showing that a lower-than-expected 142,000 jobs were created in the US during September 2015 has prompted a rally in the spot price of gold. It rose by 2.2 per cent to $US1,136 per ounce on 2 October, and in turn bolstered support for Australian-listed gold producers. Northern Star Resources rose by 5.9 per cent to a record $A2.85 on 5 October, while Newcrest Mining was 9.5 per cent higher at $A13.80. The jobs data has dampened expectations of a US interest rate rise in the near-term.

CORPORATES
NORTHERN STAR RESOURCES LIMITED – ASX NST, NEWCREST MINING LIMITED – ASX NCM, EVOLUTION MINING LIMITED – ASX EVN, BEADELL RESOURCES LIMITED – ASX BDR, UNITED STATES. FEDERAL RESERVE BOARD, RBC CAPITAL MARKETS, IG MARKETS LIMITED, STANDARD AND POOR’S ASX ALL ORDINARIES GOLD INDEX, BANK OF JAPAN, EUROPEAN CENTRAL BANK, SUMITOMO GLOBAL RESEARCH

Rio Tinto finds New Hope after early win on coal exit

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Original article by Amanda Saunders
The Australian Financial Review – Page: 23 & 28 : 1-Oct-15

Australian-listed New Hope Corporation will pay $A867m for Rio Tinto’s 40 per cent stake in the Bengalla thermal coal mine in New South Wales. Rio is also seeking to offload its stakes in the Mount Thorley Warkworth and Hunter Valley Operations coal mines in the Hunter Valley. A number of other companies submitted bids to acquire the stake in Bengalla, which produced 8.6 million tonnes of thermal coal in 2014.

CORPORATES
RIO TINTO LIMITED – ASX RIO, NEW HOPE CORPORATION LIMITED – ASX NHC, BENGALLA COAL MINES, COAL AND ALLIED INDUSTRIES LIMITED, MITSUBISHI CORPORATION, WESFARMERS LIMITED – ASX WES, TAIWAN POWER COMPANY, MITSUI AND COMPANY LIMITED, MORGAN STANLEY AUSTRALIA LIMITED, MACQUARIE EQUITIES LIMITED, SHAW AND PARTNERS LIMITED, DEUTSCHE BANK AG, GLENCORE PLC

Junior explorers under pressure

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Original article by Amanda Saunders
The Australian Financial Review – Page: 18 : 28-Sep-15

BDO estimates that about 20 per cent of the 780 smaller resources companies that are listed on the Australian sharemarket do not have active exploration programs. Smaller explorers spent an average of $A481,000 on exploration programs in the June 2015 quarter, compared with $A980,000 during the same period in 2013. Sherif Andrawes of BDO expects more junior explorers to go private or be subject to a reverse takeover.

CORPORATES
BDO AUSTRALIA LIMITED

BHP warns tax changes could result in double whammy

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Original article by Amanda Saunders
The Australian Financial Review – Page: 21 & 26 : 24-Sep-15

BHP Billiton has advised that its global tax bill for 2014-15 was $US7.3bn, with taxes and royalties in Australia accounting for $US5.2bn ($A7.3bn) of this total. CFO Peter Beaven says the resources group believes that the amount of tax it pays is "very fair", and said nearly all of its profits earned in Australia are subject to taxation in Australia. Beaven adds that while there is need for a debate on tax reform, he cautioned that unilateral tax reform could potentially lead to companies being taxed twice.

CORPORATES
BHP BILLITON LIMITED – ASX BHP, RIO TINTO LIMITED – ASX RIO, ORGANISATION FOR ECONOMIC CO-OPERATION AND DEVELOPMENT

Atlas Iron lifts, nickel miners slump

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Original article by Tess Ingram
The Australian Financial Review – Page: 19 : 11-Sep-15

Atlas Iron has reported higher margins for August 2015, while it has achieved its full-year iron ore production target four months ahead of schedule. Meanwhile, the sharp downturn in the nickel price over the last year has weighed heavily on smaller Western Australia-focused nickel producers. Some have scaled back production or closed mines, while there is speculation that others will do so as well.

CORPORATES
ATLAS IRON LIMITED – ASX AGO, INDEPENDENCE GROUP NL – ASX IGO, PANORAMIC RESOURCES LIMITED – ASX PAN, MINCOR RESOURCES NL – ASX MCR, POSEIDON NICKEL LIMITED – ASX POS, UBS HOLDINGS PTY LTD, GMP SECURITY PTY LTD, SIRIUS RESOURCES NL, BHP BILLITON LIMITED – ASX BHP, NICKEL WEST, McALEESE LIMITED – ASX MCS, QUBE HOLDINGS LIMITED – ASX QUB, MACA LIMITED – ASX MLD, PATERSONS SECURITIES LIMITED, WESTERN AREAS LIMITED – ASX WSA

Silver lining in mineral hunt cloud

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Original article by Tess Ingram
The Australian Financial Review – Page: 18 : 1-Sep-15

The national spend on exploration fell 33 per cent year on year to $A322 million in the June 2015 quarter, according to the Australian Bureau of Statistics. It fell to its lowest level in nine years as miners cut back on costs and expenditure in the face of declining commodities prices. But it was not all bad news. The number of metres drilled was down only nine per cent, suggesting the industry was getting more for its money as costs were slashed in the search for the next generation of mines.

CORPORATES
AUSTRALIAN BUREAU OF STATISTICS, MINEX CONSULTING PTY LTD, ASSOCIATION OF MINING AND EXPLORATION COMPANIES

WA chilling as big miners cut $20b spending

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Original article by Julie-anne Sprague
The Australian Financial Review – Page: 4 : 31-Aug-15

In the past three years, BHP Billiton, Rio Tinto and Fortescue Metals have reduced operational spending by $US14.3 billion ($A19.9 billion). Most cuts were made in their iron ore operations in Western Australia. The mining giants intend to continue their cost-cutting initiatives. They are even raising their cost-cutting targets, with Rio Tinto’s lifting its target for 2015-16 from $US750 million to $US1 billion.

CORPORATES
BHP BILLITON LIMITED – ASX BHP, RIO TINTO LIMITED – ASX RIO, FORTESCUE METALS GROUP LIMITED – ASX FMG, WESFARMERS LIMITED – ASX WES, CBRE PTY LTD, JONES LANG LASALLE AUSTRALIA PTY LTD

Update Report on Haoma’s Test Work at Bamboo Creek

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Original article by
Australian Stock Exchange Announcements – Page: Online : 26-Aug-15

Australian-listed minerals exploration company Haoma Mining has issued an update on progress on test work at its Bamboo Creek project in Western Australia. The company states in the announcement that, in its June 2015 Quarterly Activities Report, shareholders were informed that test work on Bamboo Creek Tailings and other ore samples had successfully produced concentrates which contained significant grades of precious metals – gold, silver and platinum group metals (PGM). Since the June Quarter Report test work has continued at both Bamboo Creek and the University of Melbourne on the two stages of recovering precious metals from Bamboo Creek Tailings and other ore samples. Samples of Bamboo Creek Tailings and various iron ore samples have been processed successfully using Haoma’s Elazac Process to produce concentrates which contain significant quantities of precious metals – without smelting and without acid digestion. Test work continues with a view to determining the best method of efficiently recovering the gold, silver and individual PGM from the concentrates produced; and the best partner for the commercial refining of those concentrates.

CORPORATES
HAOMA MINING NL – ASX HAO, THE ROY MORGAN RESEARCH CENTRE PTY LTD, UNIVERSITY OF MELBOURNE