The Briefing on Mining

The latest news, trends and data from the mining industry

In Data:

Mining in Numbers

$5bn

Anglo American and Mitsubishi plan to spend up to $5.3bn on the new Quallaveco copper project in Peru, which will take advantage of one of the world’s largest deposits of the mineral. The company expects to start production in 2022.

2,500

BHP’s South Flank iron ore mine project in the central Pilbara region of Western Australia will create 2,500 construction jobs and 600 permanent positions. The mine is scheduled to begin operations in 2021 and produce ore until at least 2046.

189km

Australian miner Adani and rail company Carmichael are working to construct a coal mine in the Galilee Basin in Queensland, Australia and connect it to the state’s rail system. The rail line will cover almost 190km, connecting the mines to the ports of Hay Point and Abbot Point.

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1,125 tonnes

The US was named the world’s ninth-largest uranium producer by Investing News Network in 2016, with an annual production of 1,125 tonnes. However, this figure is lower than the sector’s peak in 1980, when over 250 mines produced 16,800 tonnes of uranium.

Earlier in October, the South African Association of Mineworkers and Construction Union announced two deaths at mining operations, taking the total number of mining fatalities in South Africa this year to 71. In 2017, a total of 88 deaths were recorded from mining accidents.

Iamgold invests in blockchain firm

The investment will help the gold producer improve transparency in the supply chain

Canadian gold producer Iamgold has invested in financial technology company Emergent Technology (EmTech), which uses blockchain technology to track the provenance of responsibly sourced gold and improve transparency in the supply chain.

Known as Responsible Gold, the blockchain-based supply chain application automates the tracking of gold from mine to refinery to vault. The gold is then digitised into G-Coin tokens, which serve as digital certificates of title to responsibly sourced gold. The technology will also reduce costs related to gold tracking and trading, while also improving transparen cy.

Read the original article on the Iamgold website

In the News

Top Projects Kicking Off this Month

IDM starts drilling at Red Mountain project in Canada

IDM Mining has started underground drilling using two core rigs at the Red Mountain Underground Gold Project, which is located west of Stewart in British Columbia, Canada. The company has planned an estimated 7,600m drilling in more than 30 holes at the project. The exploration drill programme is expected to be completed by December.

BHP set to restart plant at Olympic Dam mine in Australia

BHP is reportedly planning to restart a plant at its Olympic Dam mine in South Australia later this month, after the completion of repairs related to the outage experienced in August. The company has also devised a plan to achieve improved returns from the asset as part of its focus on enhancing productivity, Reuters reported. The Olympic Dam mine is a poly-metallic underground mine containing uranium oxide, copper, gold and silver.

Ivanhoe Mines makes new copper discovery in DRC

Canadian mining company Ivanhoe Mines has made a new high-grade copper discovery on its wholly owned Western Foreland licences in the Democratic Republic of Congo. Known as Makoko, the discovery marks the first of multiple high-potential target areas identified by the miner’s exploration team to be tested by drilling. The company also recently commenced exploration drilling on other targets in the area to test for high-grade copper.

M&As:

This Month's Top Deals

Bis Industries acquires UGM

Bis Industries has acquired UGM for an undisclosed sum in a move to strengthen its existing underground services business. The transaction comprises the acquisition of all the businesses of UGM, including mining services, conveyor installation, underground plant hire, and diesel services workshops.

Source: The Citizen

Polymetal to acquire stake in Amikan

Polymetal International has entered an agreement to acquire a 31.7% stake in Amikan for $19.7m. Polymetal has agreed to issue approximately 2.5 million new ordinary shares to SIBPROJECT and Malakh, the two shareholders of Amikan, in return for the stake. Amikan holds the licence to the Veduga gold deposit in Russia; the deal will increase Polymetal’s interest in the deposit to 74.3%.

Source: Universe Today

Canuc gets approval for Circle Energy purchase

The TSX Venture Exchange has provided conditional approval for Canuc Resources Corporation’s proposal to acquire Circle Energy. Canuc Resources will combine its wholly owned subsidiary with Circle Energy and issue more than 11.8 million common shares to its shareholders. To be headquartered in Ontario, Canada, the newly merged company will operate as Full Circle Energy.

Source: New York Times

LKAB adds Francis Flower to portfolio

LKAB Minerals has signed an agreement to acquire Francis Flower as part of its growth strategy. The acquisition will enable LKAB Minerals to increase its iron ore production and expand within the industrial minerals market. Sweden-based LKAB Minerals is involved in the mining and processing of industrial minerals, while Francis Flower is a family owned industrial minerals company based in the UK.

Source: Science Alert