No market for new uranium mines: Cameco

Original article by Nick Evans
The Australian – Page: 20 : 6-Nov-19

Canada-based Cameco will produce just nine million pounds of uranium in 2020; instead, the bulk of the uranium it supplies to customers will be sourced from the spot market. CEO Tim Gitzel says there is no economic case at present for the construction of new uranium mines, given the large amount of uranium that has been stockpiled. The spot price of uranium averaged $US25.68 a pound in the September quarter, which is well below the long-term price that is required for Cameco’s mines in Australia to be viable.

CORPORATES
CAMECO CORPORATION, BHP GROUP LIMITED – ASX BHP, ENERGY RESOURCES OF AUSTRALIA LIMITED – ASX ERA, PALADIN ENERGY LIMITED – ASX PDN, DEEP YELLOW LIMITED – ASX DYL

Lawyers probe Rio’s Mongolian maelstrom

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

US law firm Hagens Berman Sobol Shapiro has advised that it will investigate the market disclosures of Rio Tinto and Turquoise Hill Resources with regard to the Oyu Tolgoi copper mine in Mongolia. The market capitalisation of Turquoise Hill recently fell sharply after Rio Tinto warned of a blowout in the cost of an underground expansion of the mine. Law firm Baker & McKenzie has previously flagged plans to scrutinise Rio Tinto’s disclosures regarding the project.

CORPORATES
RIO TINTO LIMITED – ASX RIO, TURQUOISE HILL RESOURCES LIMITED, OYU TOLGOI LLC, HAGENS BERMAN SOBOL SHAPIRO LLP, BAKER AND McKENZIE

Mongolia anti-corruption squad seeks info from Rio unit

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

Turquoise Hill Resources has advised that the Mongolian Anti-Corruption Authority is investigating the potential abuse of power by "authorised officials" during negotiations for the Oyu Tolgoi investment agreement in 2008. Turquoise Hill, which has a 66 per cent stake in the copper mine, is in turn controlled by Rio Tinto. Turquoise Hill – which was called Ivanhoe Mines negotiations were being held – has stressed that there are no indications that Oyu Tolgoi itself is being investigated. Rio Tinto held a stake of less than 10 per cent in the company at the time.

CORPORATES
RIO TINTO LIMITED – ASX RIO, TURQUOISE HILL RESOURCES LIMITED, OYU TOLGOI LLC, MONGOLIAN ANTI-CORRUPTION AUTHORITY, MONGOLIAN TAX AUTHORITY, SOMO

Newcrest buys stake in Lundin Gold

Original article by Peter Ker
The Australian Financial Review – Page: 14 : 27-Feb-18

Newcrest Mining will acquire a 27.1 per cent stake in Canada’s Lundin Gold at a cost of $US250m ($A319m). However, the deal imposes restrictions on Newcrest’s ability to lift its stake above 32 per cent, making a takeover bid difficult in the near-term. Lundin’s assets include the Fruta Del Norte gold project in Ecuador, a country to which Newcrest already has exposure via its stake in Solgold. The Fruta Del Norte mine is slated to commence production in late 2019.

CORPORATES
NEWCREST MINING LIMITED – ASX NCM, LUNDIN GOLD INCORPORATED, SOLGOLD PLC, RBC CAPITAL MARKETS, NEWMONT MINING CORPORATION, BARRICK GOLD CORPORATION, GOLDCORP INCORPORATED

Kirkland Lake eyes Australian growth

Original article by Peter Ker
The Australian Financial Review – Page: Online : 1-Dec-17

$A4 billion Canadian mining firm Kirkland Lake Gold, the owner of the Fosterville gold mine near Bendigo in Victoria, began trading its securities on the ASX on 30 November. Fosterville was producing just 105,000 ounces of gold a year as recently as 2014, but Kirkland Lake Gold CEO Tony Makuch believes it could be producing 400,000 ounces of gold by 2020. Kirkland Lake Gold also has an interest in the Pilbara region of Western Australia through its stake in Novo Resources.

CORPORATES
KIRKLAND LAKE GOLD LIMITED, ASX LIMITED – ASX ASX, NOVO RESOURCES CORPORATION, TORONTO STOCK EXCHANGE

Jobs shock as mine to close

Original article by Nick Evans
The West Australian – Page: 1 : 10-Aug-17

First Quantum Minerals has advised that its Ravensthorpe nickel mine in Western Australia is likely to be placed in "care and maintenance" mode by October. The low price of nickel prompted the decision to mothball the mine, which the Canada-based group is believed to have been trying to sell since 2016. The mine has a workforce of about 500 employees and contractors.

CORPORATES
FIRST QUANTUM MINERALS LIMITED, BHP BILLITON LIMITED – ASX BHP, WESTERN AUSTRALIA. DEPT OF MINES AND PETROLEUM

Rio Tinto suspends Oyu Tolgoi shipments to China

Original article by James Thomson
The Australian Financial Review – Page: 15 : 5-Dec-16

Turquoise Hill Resources expects the Oyu Tolgoi mine in Mongolia to produce between 175,000 and 195,000 tonnes of copper concentrate and at least 255,000 ounces of gold in 2016. The Rio Tinto-controlled company has advised that the mine’s shipments to China have been put on hold in response to the introduction of new border regulations. A spokesman for Rio Tinto is optimistic that the issue can be resolved quickly. The mine’s copper production is expected to top 500,000 per annum when a $US3.5bn underground expansion is completed.

CORPORATES
RIO TINTO LIMITED – ASX RIO, TURQUOISE HILL RESOURCES LIMITED, UNITED STATES. SECURITIES AND EXCHANGE COMMISSION

Desert prawn blocks uranium mine

Original article by Andrew Burrell, Paul Garvey
The Australian – Page: 3 : 4-Aug-16

Canada-based Cameco will not be able to proceed with the Yeelirrie uran­ium mine in Western Australia due to concerns about its impact on the habitat of stygofauna. The state’s Environmental Protection Authority ruled that the proposed mine would put at risk the future of 11 species of the prawn-like crustacean, although Cameco is optimistic that the project can still gain environmental approval. However, it concedes that the project would not be economically viable given the current price of uranium.

CORPORATES
CAMECO CORPORATION, CAMECO AUSTRALIA PTY LTD, WESTERN AUSTRALIA. ENVIRONMENTAL PROTECTION AUTHORITY, WESTERN AUSTRALIA. DEPT OF ENVIRONMENT AND CONSERVATION, BHP BILLITON LIMITED – ASX BHP, VIMY RESOURCES LIMITED – ASX VMY

$2 sale adds to gloom in ailing coal sector

Original article by Sarah-Jane Tasker
The Australian – Page: 20 : 3-Oct-14

The benchmark price for metallurgical coal negotiated by Japanese steel producers with Australian mining groups has been set at $US119 a tonne for the final three months of calendar 2014. This compares with a peak of $US330 in 2011 and is a low last seen in 2008. The slump has already triggered widespread redundancies in Queensland by companies such as BHP Billiton. The malaise in the sector has now also been underlined by a deal in which Up Energy Development Group will pay just $US2 to Marubeni and Winsway Enterprises to acquire Grande Cache Coal in Canada

CORPORATES
BHP BILLITON LIMITED – ASX BHP, UP ENERGY DEVELOPMENT GROUP LIMITED, GRANDE CACHE COAL CORPORATION, WINSWAY COKING COAL HOLDINGS LIMITED, MARUBENI CORPORATION, SUMITOMO CORPORATION, VALE SA, DEUTSCHE BANK AG