Otmane El Rhazi from Mining Weekly | Ferrous Metals Home.
Embattled iron-ore miner Atlas Iron on Friday announced that mining operations at its Aboydos and Wodgina project would continue during May, as the miner was able to reduce cash costs at the operations. Atlas in April announced plans to progressively suspend mining at all its Pilbara operations during the month, with iron-ore exports to cease shortly after, as iron-ore prices continued to tumble.
Thursday 30 April 2015
Otmane El Rhazi : Strategic minerals and the aerospace and defence industries
Otmane El Rhazi from Mining Weekly | Ferrous Metals Home.
The term “strategic minerals” is one that is much used but one that, in the words of Brazilian minerals lawyer Raquel Quaresma de Lima, “does not have a steady definition”, while the Science and Technology Committee of the UK House of Commons has observed that there is “no single definition of the term ‘strategic’.” Rather, de Lima points out, it is “a subjective feature being continuously subject to changes in view of different factors throughout time. It varies from product to product, from country to country and also depends on the development of new technologies, the uses of the mineral products and the availability of adequate and cost-effective substitutes. Notwithstanding, there are two characteristics which are most commonly used to define what is a strategic mineral. They are the vulnerability [risk of supply] and the criticality [the importance of the mineral for strategic industries in a country] ... .” The Science and Technology Committee decided that it “had to take a broad definition and we took strategically important metals ... to be those that may be of importance to any user within the UK.”*
The term “strategic minerals” is one that is much used but one that, in the words of Brazilian minerals lawyer Raquel Quaresma de Lima, “does not have a steady definition”, while the Science and Technology Committee of the UK House of Commons has observed that there is “no single definition of the term ‘strategic’.” Rather, de Lima points out, it is “a subjective feature being continuously subject to changes in view of different factors throughout time. It varies from product to product, from country to country and also depends on the development of new technologies, the uses of the mineral products and the availability of adequate and cost-effective substitutes. Notwithstanding, there are two characteristics which are most commonly used to define what is a strategic mineral. They are the vulnerability [risk of supply] and the criticality [the importance of the mineral for strategic industries in a country] ... .” The Science and Technology Committee decided that it “had to take a broad definition and we took strategically important metals ... to be those that may be of importance to any user within the UK.”*
Otmane El Rhazi : Brazil's Vale plans to substitute out old production
Otmane El Rhazi from Mining Weekly | Ferrous Metals Home.
Brazil's Vale said on Thursday it expects to replace some old higher-cost iron-ore production as new capacity comes on stream, the clearest sign yet the miner could cut future output forecasts due to weak prices. Any move to curb output growth by the world's largest producer of iron ore will be closely watched by a market currently in oversupply due to new capacity from Australia and Brazil combined with slower demand growth in China.
Brazil's Vale said on Thursday it expects to replace some old higher-cost iron-ore production as new capacity comes on stream, the clearest sign yet the miner could cut future output forecasts due to weak prices. Any move to curb output growth by the world's largest producer of iron ore will be closely watched by a market currently in oversupply due to new capacity from Australia and Brazil combined with slower demand growth in China.
Otmane El Rhazi : Iron-ore bearishness returning despite price rally
Otmane El Rhazi from Mining Weekly | Ferrous Metals Home.
Despite this week’s price rally, bearishness is quickly returning to the over-supplied iron-ore business. Brazilian iron-ore giant Vale on Thursday reported an all-time quarterly iron-ore production high of 74.5-million tonnes in the three months to March 31, and the supply tide is about to be lifted further by 60-million tonnes a year from Rio Tinto’s expansion in Australia’s Pilbara region and another 55-million tonnes a year as Gina Rinehart’s new Roy Hill iron-ore mine is commissioned.
Despite this week’s price rally, bearishness is quickly returning to the over-supplied iron-ore business. Brazilian iron-ore giant Vale on Thursday reported an all-time quarterly iron-ore production high of 74.5-million tonnes in the three months to March 31, and the supply tide is about to be lifted further by 60-million tonnes a year from Rio Tinto’s expansion in Australia’s Pilbara region and another 55-million tonnes a year as Gina Rinehart’s new Roy Hill iron-ore mine is commissioned.
Otmane El Rhazi : Australia won't pursue Fortescue over call to cap iron output
Otmane El Rhazi from Mining Weekly | Ferrous Metals Home.
Australia's anti-trust watchdog said on Thursday it will not take any action against Fortescue Metals Group for comments by its chairman last month urging bigger rivals to join it in capping iron ore output to shore up prices. Fortescue Chairman Andrew "Twiggy" Forrest upset the Australian Competition and Consumer Commission (ACCC) in March after he said at a dinner in Shanghai he was happy to challenge rivals to "cap our production right here and start acting like grown-ups".
Australia's anti-trust watchdog said on Thursday it will not take any action against Fortescue Metals Group for comments by its chairman last month urging bigger rivals to join it in capping iron ore output to shore up prices. Fortescue Chairman Andrew "Twiggy" Forrest upset the Australian Competition and Consumer Commission (ACCC) in March after he said at a dinner in Shanghai he was happy to challenge rivals to "cap our production right here and start acting like grown-ups".
Otmane El Rhazi : Kweyama steps down from Amplats, Kumba boards
Otmane El Rhazi from Mining Weekly | Ferrous Metals Home.
JSE-listed mining giants Anglo American Platinum (Amplats) and Kumba Iron Ore on Thursday informed shareholders that Khanyisile Kweyama would step down from her positions on their respective boards, effective immediately. Kweyama cited that her position as Business Unity South Africa CEO had rendered it difficult for her to dedicate the time required to execute her board responsibilities.
JSE-listed mining giants Anglo American Platinum (Amplats) and Kumba Iron Ore on Thursday informed shareholders that Khanyisile Kweyama would step down from her positions on their respective boards, effective immediately. Kweyama cited that her position as Business Unity South Africa CEO had rendered it difficult for her to dedicate the time required to execute her board responsibilities.
Otmane El Rhazi : Roster changes leave some Fortescue workers out of jobs
Otmane El Rhazi from Mining Weekly | Ferrous Metals Home.
Iron-ore miner Fortescue Metals has confirmed redundancies at its Cloudbreak operation, in Western Australia, after reports emerged that the company had sacked a number of truck drivers. In April this year, the iron-ore major announced an organisational review, which resulted in a change in work rosters across the company’s operations, to bring those in line with standard rosters worked in the Pilbara.
Iron-ore miner Fortescue Metals has confirmed redundancies at its Cloudbreak operation, in Western Australia, after reports emerged that the company had sacked a number of truck drivers. In April this year, the iron-ore major announced an organisational review, which resulted in a change in work rosters across the company’s operations, to bring those in line with standard rosters worked in the Pilbara.
Otmane El Rhazi : Evraz subsidiary joins parent company in business rescue proceedings
Otmane El Rhazi from Mining Weekly | Ferrous Metals Home.
Two weeks after itself filing for business rescue, vertically integrated steel and vanadium slag producer Evraz Highveld Steel & Vanadium announced on Thursday that subsidiary Mapochs Mine would also enter business rescue proceedings following “historical operational difficulties” that had rendered the Limpopo-based iron-ore mine unable to meet its short-term obligations. As Highveld’s integrated steelworks facility was Mapoch’s primary customer, Highveld’s filing for business rescue placed in doubt Mapochs’ ability to source funding that it had historically obtained from its parent company.
Two weeks after itself filing for business rescue, vertically integrated steel and vanadium slag producer Evraz Highveld Steel & Vanadium announced on Thursday that subsidiary Mapochs Mine would also enter business rescue proceedings following “historical operational difficulties” that had rendered the Limpopo-based iron-ore mine unable to meet its short-term obligations. As Highveld’s integrated steelworks facility was Mapoch’s primary customer, Highveld’s filing for business rescue placed in doubt Mapochs’ ability to source funding that it had historically obtained from its parent company.
Wednesday 29 April 2015
Otmane El Rhazi : Cliffs Natural blames Rio, BHP, Vale for weak iron-ore prices
Otmane El Rhazi from Mining Weekly | Ferrous Metals Home.
Cliffs Natural Resources, which is struggling to cope with an over-supplied iron-ore market, blamed industry leaders BHP Billiton, Rio Tinto and Vale for weak prices for the commodity. The prices are depressed "not by the fact that these guys produce a lot of iron ore, but by the fact that they are saying that they will produce a lot more," CEO Lourenco Goncalves said on a call with analysts on Wednesday.
Cliffs Natural Resources, which is struggling to cope with an over-supplied iron-ore market, blamed industry leaders BHP Billiton, Rio Tinto and Vale for weak prices for the commodity. The prices are depressed "not by the fact that these guys produce a lot of iron ore, but by the fact that they are saying that they will produce a lot more," CEO Lourenco Goncalves said on a call with analysts on Wednesday.
Otmane El Rhazi : Merafe shares up on Glencore buying Bafokeng stake
Otmane El Rhazi from Mining Weekly | Ferrous Metals Home.
The shares of the black-run Merafe Resources rose sharply following the announcement that Royal Bafokeng Holdings had sold its entire shareholding to Glencore, with which it has the Glencore-Merafe Chrome Venture in Limpopo province. The share price rose by 7.7% to 83 c a share in early morning trade.
The shares of the black-run Merafe Resources rose sharply following the announcement that Royal Bafokeng Holdings had sold its entire shareholding to Glencore, with which it has the Glencore-Merafe Chrome Venture in Limpopo province. The share price rose by 7.7% to 83 c a share in early morning trade.
Otmane El Rhazi : Northern Iron still focused on shaving costs
Otmane El Rhazi from Mining Weekly | Ferrous Metals Home.
ASX-listed iron-ore miner Northern Iron has reported an 11% decline in production during the quarter ended March, with the company blaming lower ore grades and unplanned downtime at its Norwegian project. Concentrate production during the March quarter reached 501 000 t, compared with the 563 000 t produced in the previous quarter, while concentrate sales remained relatively unaffected at 550 000 t, compared with the 552 000 t shipped in the three months to December.
ASX-listed iron-ore miner Northern Iron has reported an 11% decline in production during the quarter ended March, with the company blaming lower ore grades and unplanned downtime at its Norwegian project. Concentrate production during the March quarter reached 501 000 t, compared with the 563 000 t produced in the previous quarter, while concentrate sales remained relatively unaffected at 550 000 t, compared with the 552 000 t shipped in the three months to December.
Otmane El Rhazi : Goa iron-ore mining resumption delayed again
Otmane El Rhazi from Mining Weekly | Ferrous Metals Home.
With the monsoon season ahead and dis-incentives of low international prices, iron-ore mining operations in the western Indian coastal province of Goa was not expected to resume before October or November, at the earliest. According to an official in the Goa Mineral Exporters’ Association (GMEA), if mining operations were to restart, production would have to be reduced within the next month or so with the onset of the monsoon rains.
With the monsoon season ahead and dis-incentives of low international prices, iron-ore mining operations in the western Indian coastal province of Goa was not expected to resume before October or November, at the earliest. According to an official in the Goa Mineral Exporters’ Association (GMEA), if mining operations were to restart, production would have to be reduced within the next month or so with the onset of the monsoon rains.
Tuesday 28 April 2015
Otmane El Rhazi : Petrobras, Vale underperform in quiet market
Otmane El Rhazi from Mining Weekly | Ferrous Metals Home.
Brazilian corporates including Petrobras and Vale extended losses on Tuesday, as investors sought to lock in profits after the recent rally in Latin American credits. "As far as we understand, people are just hitting bids and getting out of stuff that had rallied a lot," said a corporate bond trader in New York.
Brazilian corporates including Petrobras and Vale extended losses on Tuesday, as investors sought to lock in profits after the recent rally in Latin American credits. "As far as we understand, people are just hitting bids and getting out of stuff that had rallied a lot," said a corporate bond trader in New York.
Otmane El Rhazi : South32 weakness hidden – Investec
Otmane El Rhazi from Mining Weekly | Ferrous Metals Home.
Good overall third-quarter production performance by BHP Billiton hid the weaker performance of most of the assets that make up South32, Investec Securities mining analyst Hunter Hillcoat commented on Tuesday, ahead of the May 6 shareholder vote on the setting free of the new company as a demerged entity. BHP Billiton intends simplifying its portfolio by demerging the South32 metals and mining company, which the Investec analysts averred would almost certainly have seen a negative market reaction had it already been spun out.
Good overall third-quarter production performance by BHP Billiton hid the weaker performance of most of the assets that make up South32, Investec Securities mining analyst Hunter Hillcoat commented on Tuesday, ahead of the May 6 shareholder vote on the setting free of the new company as a demerged entity. BHP Billiton intends simplifying its portfolio by demerging the South32 metals and mining company, which the Investec analysts averred would almost certainly have seen a negative market reaction had it already been spun out.
Otmane El Rhazi : Ferrum mulls Moonlight infrastructure options
Otmane El Rhazi from Mining Weekly | Ferrous Metals Home.
Triple-listed Ferrum Crescent on Tuesday said its Moonlight iron-ore project, in Limpopo, would have access to an “almost complete” infrastructure solution. While negotiations for the project’s infrastructure access continued, the potential mine had access to the Thabazimbi railhead 220 km away, a proposed slurry pipeline route and established power, water, road and port infrastructure.
Triple-listed Ferrum Crescent on Tuesday said its Moonlight iron-ore project, in Limpopo, would have access to an “almost complete” infrastructure solution. While negotiations for the project’s infrastructure access continued, the potential mine had access to the Thabazimbi railhead 220 km away, a proposed slurry pipeline route and established power, water, road and port infrastructure.
Otmane El Rhazi : Petmin’s Somkhele mine continues solid performance
Otmane El Rhazi from Mining Weekly | Ferrous Metals Home.
Coal and iron-ore miner Petmin on Tuesday noted that the solid performance at its Somkhele metallurgical anthracite mine continued for the nine months to March 31, with the mine having produced one-milion tonnes of anthracite, a 23% increase from the 827 983 t produced in the comparative period the year before. The company further highlighted production cost had decreased by 9% year-on-year, from R694/t to R634/t.
Coal and iron-ore miner Petmin on Tuesday noted that the solid performance at its Somkhele metallurgical anthracite mine continued for the nine months to March 31, with the mine having produced one-milion tonnes of anthracite, a 23% increase from the 827 983 t produced in the comparative period the year before. The company further highlighted production cost had decreased by 9% year-on-year, from R694/t to R634/t.
Otmane El Rhazi : Australia keeps $60/t iron ore f'cst despite price jump
Otmane El Rhazi from Mining Weekly | Ferrous Metals Home.
Australia on Tuesday downplayed the chances of a strong recovery in iron ore prices, sticking with an earlier forecast of $60 for 2015 despite a 25% recovery in the market price this month. Shares of smaller iron ore miners have surged in recent weeks after the spot iron ore price rebounded from more than 10-years lows, although analysts are doubtful the higher prices can be sustained.
Australia on Tuesday downplayed the chances of a strong recovery in iron ore prices, sticking with an earlier forecast of $60 for 2015 despite a 25% recovery in the market price this month. Shares of smaller iron ore miners have surged in recent weeks after the spot iron ore price rebounded from more than 10-years lows, although analysts are doubtful the higher prices can be sustained.
Otmane El Rhazi : Glencore spends $114m on corporate social initiatives
Otmane El Rhazi from Mining Weekly | Ferrous Metals Home.
Diversified mining and marketing company Glencore spent $114-million on corporate social initiatives last year, representing 2.2% of group profit before tax, the company said on Tuesday. The 118 000-employee, 50-country Glencore, headed by CEO Ivan Glasenberg, said the investment helped to meet fundamental needs in education, health and infrastructure.
Diversified mining and marketing company Glencore spent $114-million on corporate social initiatives last year, representing 2.2% of group profit before tax, the company said on Tuesday. The 118 000-employee, 50-country Glencore, headed by CEO Ivan Glasenberg, said the investment helped to meet fundamental needs in education, health and infrastructure.
Monday 27 April 2015
Otmane El Rhazi : Creamer Media publishes Iron-Ore 2015: A review of the iron-ore sector electronic research report
Otmane El Rhazi from Mining Weekly | Ferrous Metals Home.
Creamer Media’s Iron-Ore 2015 report provides an overview of the global iron-ore market, with particular reference to pricing, supply and demand, as well as the trade in iron-ore. It provides information on not only the major mergers and acquisitions, and the trade of iron-ore in the sector, but also the major global iron-ore producing companies and other significant producers.
Creamer Media’s Iron-Ore 2015 report provides an overview of the global iron-ore market, with particular reference to pricing, supply and demand, as well as the trade in iron-ore. It provides information on not only the major mergers and acquisitions, and the trade of iron-ore in the sector, but also the major global iron-ore producing companies and other significant producers.
Otmane El Rhazi : Vale taps Barclays to advise on Australian asset sale – sources
Otmane El Rhazi from Mining Weekly | Ferrous Metals Home.
Brazil's Vale has chosen Barclays to advise it on the sale of some or all of its Australian coal assets, two people close to the situation said on Monday, as the company looks to raise money to ride out the commodities rout.
Brazil's Vale has chosen Barclays to advise it on the sale of some or all of its Australian coal assets, two people close to the situation said on Monday, as the company looks to raise money to ride out the commodities rout.
Friday 24 April 2015
Otmane El Rhazi : Weak commodity outlook puts revenue diversification at top of Gama’s Transnet agenda
Otmane El Rhazi from Mining Weekly | Ferrous Metals Home.
Acting Transnet CEO Siyabonga Gama, who was appointed to the position following the surprise secondment of Brian Molefe to Eskom, has placed revenue diversification at the top of his list of immediate priorities, with the weak commodity outlook seen as having the potential to undermine the State-owned company’s future prospects. In an interview with Engineering News Online, Gama said Transnet’s current reliance on a few commodities, such as coal and iron-ore, had increased the urgency to implement the group’s road-to-rail strategy in noncommodity sectors. He also confirmed that seasoned railways man Ravi Nair, who had been overseeing the road-to-rail strategy, had been appointed acting CEO of Transnet Freight Rail (TFR) in his absence.
Acting Transnet CEO Siyabonga Gama, who was appointed to the position following the surprise secondment of Brian Molefe to Eskom, has placed revenue diversification at the top of his list of immediate priorities, with the weak commodity outlook seen as having the potential to undermine the State-owned company’s future prospects. In an interview with Engineering News Online, Gama said Transnet’s current reliance on a few commodities, such as coal and iron-ore, had increased the urgency to implement the group’s road-to-rail strategy in noncommodity sectors. He also confirmed that seasoned railways man Ravi Nair, who had been overseeing the road-to-rail strategy, had been appointed acting CEO of Transnet Freight Rail (TFR) in his absence.
Otmane El Rhazi : Indonesian tin smelter slashes output; doubts raised on industry quota
Otmane El Rhazi from Mining Weekly | Ferrous Metals Home.
Major Indonesian tin smelter PT Refined Bangka Tin (RBT) said it will slash output in April and May following a slump in prices of the solder material, although a key export group raised doubts about an industry wide effort to curb exports. Privately owned RBT will produce 200 t or less in May and 420 t in April, compared with an average of about 1 000 t to 1 200 t per month under normal conditions, company Petrus Tjandra told Reuters.
Major Indonesian tin smelter PT Refined Bangka Tin (RBT) said it will slash output in April and May following a slump in prices of the solder material, although a key export group raised doubts about an industry wide effort to curb exports. Privately owned RBT will produce 200 t or less in May and 420 t in April, compared with an average of about 1 000 t to 1 200 t per month under normal conditions, company Petrus Tjandra told Reuters.
Otmane El Rhazi : Mount Gibson reaffirms sales target, focuses on protecting cash flow
Otmane El Rhazi from Mining Weekly | Ferrous Metals Home.
Iron-ore junior Mount Gibson said on Friday that it would achieve its full-year sales target of between 4.8-million tonnes and 5.2-million tonnes, and reported that cash flows would be protected by further cost-cutting initiatives. “Mount Gibson continued to focus on capital preservation and cost reduction initiatives during the March quarter, as iron-ore prices declined further to their lowest point since the global financial crisis,” said CEO Jim Beyer.
Iron-ore junior Mount Gibson said on Friday that it would achieve its full-year sales target of between 4.8-million tonnes and 5.2-million tonnes, and reported that cash flows would be protected by further cost-cutting initiatives. “Mount Gibson continued to focus on capital preservation and cost reduction initiatives during the March quarter, as iron-ore prices declined further to their lowest point since the global financial crisis,” said CEO Jim Beyer.
Thursday 23 April 2015
Otmane El Rhazi : Mount Peake feasibility study started
Otmane El Rhazi from Mining Weekly | Ferrous Metals Home.
Australian resource company TNG earlier this month appointed mining services consultancy Snowden to complete the feasibility study (FS) needed to bring its Mount Peake titanium, vanadium and iron polymetallic project, in Australia, into production. Geotechnical drilling has already started with the FS stage also involving a mineral resource estimation update and geotechnical and mining studies aimed at releasing an updated mineral reserve.
Australian resource company TNG earlier this month appointed mining services consultancy Snowden to complete the feasibility study (FS) needed to bring its Mount Peake titanium, vanadium and iron polymetallic project, in Australia, into production. Geotechnical drilling has already started with the FS stage also involving a mineral resource estimation update and geotechnical and mining studies aimed at releasing an updated mineral reserve.
Otmane El Rhazi : Anglo American sees solid Q1
Otmane El Rhazi from Mining Weekly | Ferrous Metals Home.
Global miner Anglo American on Thursday reported that its first quarter for the year delivered a solid production performance, in line with expectations. Although its South African iron-ore mines were facing some challenges, compounded by a weak iron-price, the company reported a 71% quarter-on-quarter production increase, to 1.2-million tonnes, at its Minas-Rio mine, in Brazil.
Global miner Anglo American on Thursday reported that its first quarter for the year delivered a solid production performance, in line with expectations. Although its South African iron-ore mines were facing some challenges, compounded by a weak iron-price, the company reported a 71% quarter-on-quarter production increase, to 1.2-million tonnes, at its Minas-Rio mine, in Brazil.
Otmane El Rhazi : Kumba sees production increase, but outlook remains cautious
Otmane El Rhazi from Mining Weekly | Ferrous Metals Home.
JSE-listed Kumba Iron Ore’s production for the first quarter ended March increased 7%, to 12.2-million tons, on the 2014 comparative period, declining 2% quarter-on-quarter. The company highlighted that its total export sales volumes increased by 22% year-on-year, but also fell 2% compared with the previous quarter, at 11.5-million tons, owing to higher production, improved logistics performance and the use of the multipurpose terminal at the Saldanha port, in the Western Cape.
JSE-listed Kumba Iron Ore’s production for the first quarter ended March increased 7%, to 12.2-million tons, on the 2014 comparative period, declining 2% quarter-on-quarter. The company highlighted that its total export sales volumes increased by 22% year-on-year, but also fell 2% compared with the previous quarter, at 11.5-million tons, owing to higher production, improved logistics performance and the use of the multipurpose terminal at the Saldanha port, in the Western Cape.
Otmane El Rhazi : Fortescue relaunches bond offering
Otmane El Rhazi from Mining Weekly | Ferrous Metals Home.
Iron-ore miner Fortescue Metals has moved to capitalise on a slight rebound in the iron-ore price, launching a $1.5-billion senior secured note offering to finance the redeeming of notes due in 2017 and 2018. The launch of the high yield bond offering comes just a month after the miner scrapped a $2.5-billion senior secured not offering and refinancing plan.
Iron-ore miner Fortescue Metals has moved to capitalise on a slight rebound in the iron-ore price, launching a $1.5-billion senior secured note offering to finance the redeeming of notes due in 2017 and 2018. The launch of the high yield bond offering comes just a month after the miner scrapped a $2.5-billion senior secured not offering and refinancing plan.
Wednesday 22 April 2015
Otmane El Rhazi : Vale reports record Q1 iron-ore output despite price rout
Otmane El Rhazi from Mining Weekly | Ferrous Metals Home.
Brazil-based global miner Vale has reported record first-quarter iron-ore output despite a global supply glut that was being compounded by waning demand from China, the world’s top importer of the steel-making ingredient. For the three months ended March 31, total iron-ore output, excluding third-party purchases, rose 5% year-on-year to 74.5-million tons. The diversified miner, which also produces iron-ore pellets, coal, nickel, copper, potash and phosphate rock said its strong operational performance in iron-ore was underpinned by the Carajás operation, the largest iron-ore mine in the world, which produced 27.5-million tons and also set a new record for a first quarter.
Brazil-based global miner Vale has reported record first-quarter iron-ore output despite a global supply glut that was being compounded by waning demand from China, the world’s top importer of the steel-making ingredient. For the three months ended March 31, total iron-ore output, excluding third-party purchases, rose 5% year-on-year to 74.5-million tons. The diversified miner, which also produces iron-ore pellets, coal, nickel, copper, potash and phosphate rock said its strong operational performance in iron-ore was underpinned by the Carajás operation, the largest iron-ore mine in the world, which produced 27.5-million tons and also set a new record for a first quarter.
Otmane El Rhazi : China's Q1 iron ore imports from Australia up 22.2% on year
Otmane El Rhazi from Mining Weekly | Ferrous Metals Home.
China's iron-ore imports from Australia rose 22.2% to 144.4-million tonnes in the first quarter from a year earlier, customs data showed on Wednesday, as major producers ramped up production and increase shipments. Top miners Rio Tinto and BHP Billiton have boosted output, focusing on slashing costs to make returns and carve out market share as falling prices squeeze higher-cost miners.
China's iron-ore imports from Australia rose 22.2% to 144.4-million tonnes in the first quarter from a year earlier, customs data showed on Wednesday, as major producers ramped up production and increase shipments. Top miners Rio Tinto and BHP Billiton have boosted output, focusing on slashing costs to make returns and carve out market share as falling prices squeeze higher-cost miners.
Otmane El Rhazi : Black-owned Merafe reports upped ferrochrome output from venture with Glencore
Otmane El Rhazi from Mining Weekly | Ferrous Metals Home.
The black-owned and black-managed ferrochrome company Merafe said on Wednesday that its chrome venture with Glencore had lifted production by 15% in the three months to March 31. The company, headed by CEO Zanele Matlala, saw its share price rise by 1.32% to 77c a share in early morning trades.
The black-owned and black-managed ferrochrome company Merafe said on Wednesday that its chrome venture with Glencore had lifted production by 15% in the three months to March 31. The company, headed by CEO Zanele Matlala, saw its share price rise by 1.32% to 77c a share in early morning trades.
Tuesday 21 April 2015
Otmane El Rhazi : Canada’s mining industry welcomes federal budget
Otmane El Rhazi from Mining Weekly | Ferrous Metals Home.
Canadian miners’ national association on Tuesday welcomed the Conservative government’s balanced federal budget 2015, saying it was pleased with government’s renewed funding for key areas such as environmental assessment, the Major Projects Management Office, Aboriginal education and training, and geoscience. Finance Minister Joe Oliver on Tuesday tabled a national budget in Ottawa that had managed to keep the Conservatives’ 2011 election promise to return Canada to a surplus in 2015, with a federal budget that would see government spending C$1.4-billion less than it earned.
Canadian miners’ national association on Tuesday welcomed the Conservative government’s balanced federal budget 2015, saying it was pleased with government’s renewed funding for key areas such as environmental assessment, the Major Projects Management Office, Aboriginal education and training, and geoscience. Finance Minister Joe Oliver on Tuesday tabled a national budget in Ottawa that had managed to keep the Conservatives’ 2011 election promise to return Canada to a surplus in 2015, with a federal budget that would see government spending C$1.4-billion less than it earned.
Otmane El Rhazi : Centaurus mulls diversification and divestment options in Brazil
Otmane El Rhazi from Mining Weekly | Ferrous Metals Home.
Australia-based developer Centaurus on Tuesday announced that it would explore opportunities to diversify its asset base in Brazil, while also hunting for joint venture partners or outright buyers for its Candonga direct shipping ore (DSO) or Jambreiro iron-ore projects. The ASX-listed company told shareholders that while Centaurus remained confident that the Candonga project was capable of generating positive cash-flows, even in the current iron-ore price environment, the miner had been unable to secure the necessary funding to develop the new production capacity.
Australia-based developer Centaurus on Tuesday announced that it would explore opportunities to diversify its asset base in Brazil, while also hunting for joint venture partners or outright buyers for its Candonga direct shipping ore (DSO) or Jambreiro iron-ore projects. The ASX-listed company told shareholders that while Centaurus remained confident that the Candonga project was capable of generating positive cash-flows, even in the current iron-ore price environment, the miner had been unable to secure the necessary funding to develop the new production capacity.
Otmane El Rhazi : Tawana a step closer to scoping report, ESIA submission
Otmane El Rhazi from Mining Weekly | Ferrous Metals Home.
ASX- and JSE-listed Tawana Resources expects to submit the scoping report and environmental- and social-impact assessment (ESIA) terms of reference document for its Mofe Creek iron-ore project to the Liberian Environmental Protection Agency by the end of May. This followed the conclusion of the first phase of consultations with national and regional government authorities, nongovernmental organisations and community stakeholders as part of its ongoing ESIA studies, which started in July last year.
ASX- and JSE-listed Tawana Resources expects to submit the scoping report and environmental- and social-impact assessment (ESIA) terms of reference document for its Mofe Creek iron-ore project to the Liberian Environmental Protection Agency by the end of May. This followed the conclusion of the first phase of consultations with national and regional government authorities, nongovernmental organisations and community stakeholders as part of its ongoing ESIA studies, which started in July last year.
Otmane El Rhazi : Marampa production ceased - Cape Lambert
Otmane El Rhazi from Mining Weekly | Ferrous Metals Home.
Production from the Marampa iron-ore mine, in Sierra Leone, has been ceased, ASX-listed Cape Lambert Resources reported on Tuesday. The company, which is due royalty payments from the operation, has told shareholders that reports of sabotage at the mine have emerged, however, these were yet to be verified.
Production from the Marampa iron-ore mine, in Sierra Leone, has been ceased, ASX-listed Cape Lambert Resources reported on Tuesday. The company, which is due royalty payments from the operation, has told shareholders that reports of sabotage at the mine have emerged, however, these were yet to be verified.
Otmane El Rhazi : Shandong acquires Tonkolili iron-ore mine from African Minerals
Otmane El Rhazi from Mining Weekly | Ferrous Metals Home.
Chinese steel company Shandong Iron and Steel Group said it had acquired the remaining 75% stake in the Tonkolili iron-ore mine in Sierra Leone from the mining company African Minerals for over $170-million. Shandong now has 100% of equity in Tonkolili, and will also own the associated infrastructure company African Port and Railway Services, it said in a press release.
Chinese steel company Shandong Iron and Steel Group said it had acquired the remaining 75% stake in the Tonkolili iron-ore mine in Sierra Leone from the mining company African Minerals for over $170-million. Shandong now has 100% of equity in Tonkolili, and will also own the associated infrastructure company African Port and Railway Services, it said in a press release.
Monday 20 April 2015
Otmane El Rhazi : New dust buster initiative sounds potential death knell for silicosis scourge
Otmane El Rhazi from Mining Weekly | Ferrous Metals Home.
A spectacular new dust control system announced at a Chamber of Mines (CoM) of South Africa conference on Monday is described as the closest the industry has come to a silver bullet to put an end to the curse of silicosis and other lung diseases that have plagued the South African mining industry for more than a century. Representatives of government, labour and business heard at the CoM-facilitated launch that the real-time airborne pollutant monitoring system is now in place to potentially bring an immediate halt to dust spikes that have posed a silent killer threat since the days of the Cousin Jack Cornish miners on the Witwatersrand in the late 1800s.
A spectacular new dust control system announced at a Chamber of Mines (CoM) of South Africa conference on Monday is described as the closest the industry has come to a silver bullet to put an end to the curse of silicosis and other lung diseases that have plagued the South African mining industry for more than a century. Representatives of government, labour and business heard at the CoM-facilitated launch that the real-time airborne pollutant monitoring system is now in place to potentially bring an immediate halt to dust spikes that have posed a silent killer threat since the days of the Cousin Jack Cornish miners on the Witwatersrand in the late 1800s.
Otmane El Rhazi : Arrium costs outstrip iron-ore prices
Otmane El Rhazi from Mining Weekly | Ferrous Metals Home.
Higher costs during the quarter ended March has resulted in ASX-listed Arrium Mining selling its iron-ore product at a loss. The miner reported on Monday that average costs loaded on ship reached A$48.2/t during the quarter, up by A$2.50/t from the previous quarter. The increase in costs was owing to a short-term increase in the waste-to-ore strip ratio in some pits, as the miner transitioned its work to focus on the lower-cost Middleback Ranges operation, in South Australia.
Higher costs during the quarter ended March has resulted in ASX-listed Arrium Mining selling its iron-ore product at a loss. The miner reported on Monday that average costs loaded on ship reached A$48.2/t during the quarter, up by A$2.50/t from the previous quarter. The increase in costs was owing to a short-term increase in the waste-to-ore strip ratio in some pits, as the miner transitioned its work to focus on the lower-cost Middleback Ranges operation, in South Australia.
Otmane El Rhazi : Grange ups pellet production in March quarter
Otmane El Rhazi from Mining Weekly | Ferrous Metals Home.
Pellet producer Grange Resources has reported record production during the quarter ended March, despite the significant decline in iron-ore prices. The miner on Monday reported that production during the three months to March reached 645 287 t, compared with the 595 429 t of pellets produced in the December quarter.
Pellet producer Grange Resources has reported record production during the quarter ended March, despite the significant decline in iron-ore prices. The miner on Monday reported that production during the three months to March reached 645 287 t, compared with the 595 429 t of pellets produced in the December quarter.
Otmane El Rhazi : Creamer Media publishes African Mining Projects in Progress 2015 report
Otmane El Rhazi from Mining Weekly | Ferrous Metals Home.
Creamer Media’s African Mining Projects in Progress 2015 report tracks developments taking place in Africa’s mining sector and across various mining sectors on the continent, including coal, copper, gold, iron-ore, platinum and uranium.
Creamer Media’s African Mining Projects in Progress 2015 report tracks developments taking place in Africa’s mining sector and across various mining sectors on the continent, including coal, copper, gold, iron-ore, platinum and uranium.
Friday 17 April 2015
Otmane El Rhazi : IMIC concludes bond restructuring to increase cash flexibility
Otmane El Rhazi from Mining Weekly | Ferrous Metals Home.
Aim-listed International Mining & Infrastructure Corporation (IMIC) has concluded a bond restructuring process at a cost of about $100 000, which IMIC chairperson Ethelbert Cooper said on Friday increased its cash flexibility over the next few years. The restructuring, which reflected a rate of 5% a year of the nominal value of the bond, introduced a cash payment profile that was more appropriate in the current economic environment.
Aim-listed International Mining & Infrastructure Corporation (IMIC) has concluded a bond restructuring process at a cost of about $100 000, which IMIC chairperson Ethelbert Cooper said on Friday increased its cash flexibility over the next few years. The restructuring, which reflected a rate of 5% a year of the nominal value of the bond, introduced a cash payment profile that was more appropriate in the current economic environment.
Otmane El Rhazi : South32 spin-off from BHP turns bearish
Otmane El Rhazi from Mining Weekly | Ferrous Metals Home.
Creamer Media's Shannon de Ryhove speaks to Mining Weekly editor Martin Creamer about the planned spin-off of South32 from BHP Billiton turning bearish, with an unprecedented number of ‘sell’ recommendations by analysts.
Creamer Media's Shannon de Ryhove speaks to Mining Weekly editor Martin Creamer about the planned spin-off of South32 from BHP Billiton turning bearish, with an unprecedented number of ‘sell’ recommendations by analysts.
Thursday 16 April 2015
Otmane El Rhazi : Walsh says Rio Tinto to continue with low-cost iron-ore expansions
Otmane El Rhazi from Mining Weekly | Ferrous Metals Home.
Diversified giant Rio Tinto has told shareholders that the group will continue to push with its iron-ore expansion in the Pilbara, despite the declining iron-ore price. CEO Sam Walsh said in London this week that the company would continue with a low-capital brownfield expansion as part of its efforts to grow capacity to 360-million tonnes a year.
Diversified giant Rio Tinto has told shareholders that the group will continue to push with its iron-ore expansion in the Pilbara, despite the declining iron-ore price. CEO Sam Walsh said in London this week that the company would continue with a low-capital brownfield expansion as part of its efforts to grow capacity to 360-million tonnes a year.
Otmane El Rhazi : Moody’s lowers iron-ore and met coal price forecasts, markets to remain under pressure to 2016
Otmane El Rhazi from Mining Weekly | Ferrous Metals Home.
Moody’s Investors Service expected iron-ore and metallurgical (met) coal prices to remain under pressure through at least 2016, prompting it to lower its price expectations for both. The firm fingered slower steel output growth in China and rampant oversupply, particularly in iron-ore, for holding prices down for these critical steelmaking ingredients.
Moody’s Investors Service expected iron-ore and metallurgical (met) coal prices to remain under pressure through at least 2016, prompting it to lower its price expectations for both. The firm fingered slower steel output growth in China and rampant oversupply, particularly in iron-ore, for holding prices down for these critical steelmaking ingredients.
Otmane El Rhazi : Apart from Big 3, iron ore miners face 'existential' threat -Goldman
Otmane El Rhazi from Mining Weekly | Ferrous Metals Home.
Up to half of iron-ore output by miners outside the three mega producers in Australia and Brazil is at risk of closure with global demand set to peak at about 1.4-billion tonnes next year, Goldman Sachs said. Production volumes among top miners - Vale, Rio Tinto and BHP Billiton - was not at risk, the bank said.
Up to half of iron-ore output by miners outside the three mega producers in Australia and Brazil is at risk of closure with global demand set to peak at about 1.4-billion tonnes next year, Goldman Sachs said. Production volumes among top miners - Vale, Rio Tinto and BHP Billiton - was not at risk, the bank said.
Otmane El Rhazi : Fortescue forecasts big drop in C1 cash costs
Otmane El Rhazi from Mining Weekly | Ferrous Metals Home.
A 9% reduction in C1 cash costs for the March quarter, compared with the previous quarter, has allowed iron-ore major Fortescue Meals to significantly lower its full-year cost guidance for the next financial year. During the quarter under review, Fortescue achieved a C1 cost of $25.90/t, compared with the $28.48/t achieved in the second quarter of the 2015 financial year. The March quarter C1 cash costs were also 26% below the C1 costs achieved in the previous corresponding period.
A 9% reduction in C1 cash costs for the March quarter, compared with the previous quarter, has allowed iron-ore major Fortescue Meals to significantly lower its full-year cost guidance for the next financial year. During the quarter under review, Fortescue achieved a C1 cost of $25.90/t, compared with the $28.48/t achieved in the second quarter of the 2015 financial year. The March quarter C1 cash costs were also 26% below the C1 costs achieved in the previous corresponding period.
Wednesday 15 April 2015
Otmane El Rhazi : Solidarity vows to protect members amid Evraz business rescue
Otmane El Rhazi from Mining Weekly | Ferrous Metals Home.
Trade union Solidarity said on Wednesday that it would protect the interests of its members at Evraz Highveld Steel and Vanadium, in eMalahleni, after the company announced on Tuesday that it had entered into business rescue proceedings. Solidarity, which represented 350 of the company’s 2 400 employees, confirmed that the steel producer had issued a notice to the trade union indicating that, owing to financial and operational challenges, it had “no choice” but to apply for business rescue.
Trade union Solidarity said on Wednesday that it would protect the interests of its members at Evraz Highveld Steel and Vanadium, in eMalahleni, after the company announced on Tuesday that it had entered into business rescue proceedings. Solidarity, which represented 350 of the company’s 2 400 employees, confirmed that the steel producer had issued a notice to the trade union indicating that, owing to financial and operational challenges, it had “no choice” but to apply for business rescue.
Otmane El Rhazi : Commission recommends approval of Assore, DCM deal
Otmane El Rhazi from Mining Weekly | Ferrous Metals Home.
The Competition Commission has recommended to the Competition Tribunal that it approve, without conditions, a transaction that would see mining holding group Assore acquiring African Rainbow Minerals’ 50% stake in the Dwarsrivier chrome mine (DCM), in Mpumalanga. Post-merger, Assore would have sole control over DCM. Assore, through its various joint venture entities and subsidiaries, was involved in the mining of manganese, iron-ore and chrome ore together, with other industrial minerals and the manufacture of manganese and chrome alloys.
The Competition Commission has recommended to the Competition Tribunal that it approve, without conditions, a transaction that would see mining holding group Assore acquiring African Rainbow Minerals’ 50% stake in the Dwarsrivier chrome mine (DCM), in Mpumalanga. Post-merger, Assore would have sole control over DCM. Assore, through its various joint venture entities and subsidiaries, was involved in the mining of manganese, iron-ore and chrome ore together, with other industrial minerals and the manufacture of manganese and chrome alloys.
Otmane El Rhazi : Australia's Fortescue under pressure as iron ore crashes
Otmane El Rhazi from Mining Weekly | Ferrous Metals Home.
Australia's Fortescue Metals Group has two stark choices to deal with a crash in the iron ore market and cut its $9-billion debt pile - sell off stakes in its mines or transport infrastructure, or sell new shares. Investors say the quickest capital-raising option for the world's No. 4 iron ore miner would be a rights issue, although that could lead to the dilution of the one-third stake held by chairperson Andrew "Twiggy" Forrest.
Australia's Fortescue Metals Group has two stark choices to deal with a crash in the iron ore market and cut its $9-billion debt pile - sell off stakes in its mines or transport infrastructure, or sell new shares. Investors say the quickest capital-raising option for the world's No. 4 iron ore miner would be a rights issue, although that could lead to the dilution of the one-third stake held by chairperson Andrew "Twiggy" Forrest.
Tuesday 14 April 2015
Otmane El Rhazi : Brazil's Vale approves $1bn dividend payment
Otmane El Rhazi from Mining Weekly | Ferrous Metals Home.
Brazilian miner Vale said on Tuesday it approved payment of a dividend instalment of 3.1-billion reais ($1.01-billion), easing investor concerns that it might slash the payment in the face of falling iron-ore prices. Vale and other major miners were put on credit watch negative by Standard & Poor's on Monday as the rating agency slashed its iron-ore price estimates for the next couple of years.
Brazilian miner Vale said on Tuesday it approved payment of a dividend instalment of 3.1-billion reais ($1.01-billion), easing investor concerns that it might slash the payment in the face of falling iron-ore prices. Vale and other major miners were put on credit watch negative by Standard & Poor's on Monday as the rating agency slashed its iron-ore price estimates for the next couple of years.
Otmane El Rhazi : Steel major Evraz Highveld files for business rescue
Otmane El Rhazi from Mining Weekly | Ferrous Metals Home.
Vertically integrated steel and vanadium slag producer Evraz Highveld Steel and Vanadium has initiated voluntary business rescue proceedings, citing an inability to meet its short-term obligations as a result of historical operating difficulties and sustained financial losses within a capital-constrained operating environment. The decision came despite the recent implementation of a turnaround plan that looked to improve the steelmaker’s fragile financial position, which had been negatively impacted by weakened global steel and vanadium markets and a “severe” reduction in domestic steel demand.
Vertically integrated steel and vanadium slag producer Evraz Highveld Steel and Vanadium has initiated voluntary business rescue proceedings, citing an inability to meet its short-term obligations as a result of historical operating difficulties and sustained financial losses within a capital-constrained operating environment. The decision came despite the recent implementation of a turnaround plan that looked to improve the steelmaker’s fragile financial position, which had been negatively impacted by weakened global steel and vanadium markets and a “severe” reduction in domestic steel demand.
Otmane El Rhazi : Mofe Creek MDA months away from finalisation
Otmane El Rhazi from Mining Weekly | Ferrous Metals Home.
The agreement set to formalise the legal and commercial conditions of the Mofe Creek project for the next 25 years was months away from finalisation, TSX- and JSE-listed Tawana Resources said on Tuesday. The iron-ore miner this week presented its Mineral Development Agreement (MDA) to the Liberian Interministerial Concessions Committee (IMCC) in what was deemed a critical step before the preparation of a final draft report for presidential signature and its subsequent passing into a Bill for parliamentary ratification.
The agreement set to formalise the legal and commercial conditions of the Mofe Creek project for the next 25 years was months away from finalisation, TSX- and JSE-listed Tawana Resources said on Tuesday. The iron-ore miner this week presented its Mineral Development Agreement (MDA) to the Liberian Interministerial Concessions Committee (IMCC) in what was deemed a critical step before the preparation of a final draft report for presidential signature and its subsequent passing into a Bill for parliamentary ratification.
Otmane El Rhazi : Talks with creditors 'positive' - Atlas
Otmane El Rhazi from Mining Weekly | Ferrous Metals Home.
Embattled iron-ore miner Atlas Iron on Tuesday told shareholders that discussions with the company’s creditors were continuing, and were ‘positive’. Atlas at the end of last week announced that it would suspend mining across all of its Pilbara operations, as iron-ore prices continued to tumble. Mining and crushing from the Mt Webber mine would be suspended this week, while activities at the Abydos project would cease within the next two weeks, followed by operations at the Wodgina mine, in late April.
Embattled iron-ore miner Atlas Iron on Tuesday told shareholders that discussions with the company’s creditors were continuing, and were ‘positive’. Atlas at the end of last week announced that it would suspend mining across all of its Pilbara operations, as iron-ore prices continued to tumble. Mining and crushing from the Mt Webber mine would be suspended this week, while activities at the Abydos project would cease within the next two weeks, followed by operations at the Wodgina mine, in late April.
Otmane El Rhazi : SMC’s Blue Hills mine falls victim to price slump, enviro delays
Otmane El Rhazi from Mining Weekly | Ferrous Metals Home.
The falling iron-ore price has claimed another victim, with Sinosteel Midwest Corporation (SMC) announcing on Tuesday that the company would suspend its Blue Hills operation, in Western Australia, ahead of plan. The mine, which had initially been slated to cease production in October this year, would now be closed by mid-May.
The falling iron-ore price has claimed another victim, with Sinosteel Midwest Corporation (SMC) announcing on Tuesday that the company would suspend its Blue Hills operation, in Western Australia, ahead of plan. The mine, which had initially been slated to cease production in October this year, would now be closed by mid-May.
Otmane El Rhazi : Severstal needs partner to bring Liberia iron-ore mine online
Otmane El Rhazi from Mining Weekly | Ferrous Metals Home.
Russian steelmaker Severstal said on Monday that it will not be able to bring its Liberian iron ore project on line without a partner to help with investment and share risk amid a slump in world ore prices. Russia's second-biggest steel producer owns 100% of the Putu project – a 13 km (8 mile) long iron rich ridge around 130 km inland from the coast in eastern Liberia.
Russian steelmaker Severstal said on Monday that it will not be able to bring its Liberian iron ore project on line without a partner to help with investment and share risk amid a slump in world ore prices. Russia's second-biggest steel producer owns 100% of the Putu project – a 13 km (8 mile) long iron rich ridge around 130 km inland from the coast in eastern Liberia.
Monday 13 April 2015
Otmane El Rhazi : ARM reports two fatalities at Khumani
Otmane El Rhazi from Mining Weekly | Ferrous Metals Home.
JSE-listed African Rainbow Minerals on Monday reported that two fatalities had occurred at its joint venture Khumani iron-ore mine, in the Northern Cape, over the weekend. Production at the mine near the town of Kathu was halted on Sunday after the as yet undisclosed accident, with an investigation under way.
JSE-listed African Rainbow Minerals on Monday reported that two fatalities had occurred at its joint venture Khumani iron-ore mine, in the Northern Cape, over the weekend. Production at the mine near the town of Kathu was halted on Sunday after the as yet undisclosed accident, with an investigation under way.
Otmane El Rhazi : South32 turns bearish as tax inquiry, iron-ore put ‘sell’ skids under BHP
Otmane El Rhazi from Mining Weekly | Ferrous Metals Home.
With the shareholder vote just over three weeks away, the planned spin-off of South32 from BHP Billiton has turned bearish and BHP Billiton has itself fallen victim to an unprecedented number of analyst sell recommendations owing to the plummeting iron-ore price, worsened by the reputational damage that the world’s biggest mining company is suffering at a Senate tax inquiry into its Singapore marketing hub, where it is raising hackles by refusing to answer basic questions. The South32 demerging process is moving into an increasingly bearish commodity price market, Investec Securities cautioned on Monday, as Australia’s Treasurer, Joe Hockey, revealed that he was contemplating budgeting on an iron-ore price of $35/t.
With the shareholder vote just over three weeks away, the planned spin-off of South32 from BHP Billiton has turned bearish and BHP Billiton has itself fallen victim to an unprecedented number of analyst sell recommendations owing to the plummeting iron-ore price, worsened by the reputational damage that the world’s biggest mining company is suffering at a Senate tax inquiry into its Singapore marketing hub, where it is raising hackles by refusing to answer basic questions. The South32 demerging process is moving into an increasingly bearish commodity price market, Investec Securities cautioned on Monday, as Australia’s Treasurer, Joe Hockey, revealed that he was contemplating budgeting on an iron-ore price of $35/t.
Otmane El Rhazi : Fall in oil, commodity prices to exact toll on Africa’s 2015 growth
Otmane El Rhazi from Mining Weekly | Ferrous Metals Home.
A new World Bank report is forecasting that sub-Saharan Africa’s growth will slow to 4% in 2015 from 4.5% in 2014, owing to the weak commodity prices and the sharp fall in oil prices, which will exact a heavy toll on African oil exporters. Excluding South Africa, whose economic performance is described as “subpar”, the average growth for the rest of the region is forecast to be around 4.7%. South Africa is expected to grow by around 2.1% in 2015 having expanded by 1.5% last year, the slowest rate of growth since the country’s 2009 recession.
A new World Bank report is forecasting that sub-Saharan Africa’s growth will slow to 4% in 2015 from 4.5% in 2014, owing to the weak commodity prices and the sharp fall in oil prices, which will exact a heavy toll on African oil exporters. Excluding South Africa, whose economic performance is described as “subpar”, the average growth for the rest of the region is forecast to be around 4.7%. South Africa is expected to grow by around 2.1% in 2015 having expanded by 1.5% last year, the slowest rate of growth since the country’s 2009 recession.
Otmane El Rhazi : Citigroup sees iron-ore falling below $40 on supply, demand pressure
Otmane El Rhazi from Mining Weekly | Ferrous Metals Home.
Iron-ore will fall to $36 a tonne in the third quarter and stay below $40 for the rest of the year as big miners boost supply even further and China's demand declines, Citigroup said on Monday. Spot iron ore has lost 60% over the past 12 months, dropping below $50 a tonne this month for the first time since a key index pricing began in 2008, amid a glut as mega miners Vale, Rio Tinto and BHP Billiton expanded production.
Iron-ore will fall to $36 a tonne in the third quarter and stay below $40 for the rest of the year as big miners boost supply even further and China's demand declines, Citigroup said on Monday. Spot iron ore has lost 60% over the past 12 months, dropping below $50 a tonne this month for the first time since a key index pricing began in 2008, amid a glut as mega miners Vale, Rio Tinto and BHP Billiton expanded production.
Otmane El Rhazi : Australian Budget to suffer from iron-ore collapse, Treasurer tells media
Otmane El Rhazi from Mining Weekly | Ferrous Metals Home.
Australian Federal Treasurer Joe Hockey on Monday said he could have been “more prudent” with an iron-ore price forecast when announcing the mid-year Budget update, in December, and that he was factoring in a price as low as $35/t for next month’s Budget announcement. Speaking to the ABC TV from New York on Monday, Hockey said that there was no doubt that the falling iron-ore price would have an impact of Australia’s Budget, given that the commodity was the country’s largest export.
Australian Federal Treasurer Joe Hockey on Monday said he could have been “more prudent” with an iron-ore price forecast when announcing the mid-year Budget update, in December, and that he was factoring in a price as low as $35/t for next month’s Budget announcement. Speaking to the ABC TV from New York on Monday, Hockey said that there was no doubt that the falling iron-ore price would have an impact of Australia’s Budget, given that the commodity was the country’s largest export.
Friday 10 April 2015
Otmane El Rhazi : Atlas Iron pulls the plug as prices tumble
Otmane El Rhazi from Mining Weekly | Ferrous Metals Home.
Iron-ore miner Atlas Iron on Friday announced that it would progressively suspend mining at its Pilbara operations during April, with iron-ore exports expected to cease shortly after. The miner has blamed the significant fall in iron-ore prices. Atlas earlier this week suspended share trading, announcing a company-wide review of its operations.
Iron-ore miner Atlas Iron on Friday announced that it would progressively suspend mining at its Pilbara operations during April, with iron-ore exports expected to cease shortly after. The miner has blamed the significant fall in iron-ore prices. Atlas earlier this week suspended share trading, announcing a company-wide review of its operations.
Thursday 9 April 2015
Otmane El Rhazi : Indian iron-ore miners’ woes persist as govt disregards pleas to slash 30% export tax
Otmane El Rhazi from Mining Weekly | Ferrous Metals Home.
An unlimited power to tax involves, necessarily, a power to destroy; because there are limits beyond which no institution and no property can bear taxation.” – John Marshall (1755-1835) Indian iron-ore miners could well be lamenting that the country’s fiscal managers are seemingly unfamiliar with the words of this great American jurist and statesman.
An unlimited power to tax involves, necessarily, a power to destroy; because there are limits beyond which no institution and no property can bear taxation.” – John Marshall (1755-1835) Indian iron-ore miners could well be lamenting that the country’s fiscal managers are seemingly unfamiliar with the words of this great American jurist and statesman.
Otmane El Rhazi : Indian iron-ore miners’ woes persist as govt disregards pleas to slash 30% export tax and ...
Otmane El Rhazi from Mining Weekly | Ferrous Metals Home.
“An unlimited power to tax involves, necessarily, a power to destroy; because there are limits beyond which no institution and no property can bear taxation.” – John Marshall (1755-1835) Indian iron-ore miners could well be lamenting that the words of this great American jurist and statesman were seemingly unfamiliar to fiscal managers of the country.
“An unlimited power to tax involves, necessarily, a power to destroy; because there are limits beyond which no institution and no property can bear taxation.” – John Marshall (1755-1835) Indian iron-ore miners could well be lamenting that the words of this great American jurist and statesman were seemingly unfamiliar to fiscal managers of the country.
Otmane El Rhazi : New system from Tenova represents a shift in overland conveying
Otmane El Rhazi from Mining Weekly | Ferrous Metals Home.
Mining engineering company Tenova Takraf’s modular overland conveyor system can be moved once its purpose is fulfilled. It can easily be transported in assembled state by truck and placed by a small crane. This significantly reduces the labour and time required to build a conveyor system. It can be relocated with ease, bolstering the case for investment in the system. Capital spent on conveyors is not lost when the material transport route changes.
Mining engineering company Tenova Takraf’s modular overland conveyor system can be moved once its purpose is fulfilled. It can easily be transported in assembled state by truck and placed by a small crane. This significantly reduces the labour and time required to build a conveyor system. It can be relocated with ease, bolstering the case for investment in the system. Capital spent on conveyors is not lost when the material transport route changes.
Otmane El Rhazi : Iron-ore in fresh crisis as forward prices crumble
Otmane El Rhazi from Mining Weekly | Ferrous Metals Home.
Iron-ore is veering to a new crisis as prices for future delivery of the commodity slide 30% in the space of a month, and its outlook is now more bearish than oil and more dire than ever for miners struggling to just stay in business. Prices of the steel-making ingredient for immediate delivery have slumped 60% over the past year as demand, particularly from China, slowed rapidly.
Iron-ore is veering to a new crisis as prices for future delivery of the commodity slide 30% in the space of a month, and its outlook is now more bearish than oil and more dire than ever for miners struggling to just stay in business. Prices of the steel-making ingredient for immediate delivery have slumped 60% over the past year as demand, particularly from China, slowed rapidly.
Otmane El Rhazi : Kumba Iron Ore opens clinic as Minister visits award-winning housing complex
Otmane El Rhazi from Mining Weekly | Ferrous Metals Home.
Kumba Iron Ore top brass and Mineral Resources Minister Ngoako Ramatlhodi on Thursday launched a new R8.8-million clinic and visited the Anglo American company’s award-winning 718-employee-house complex in the Northern Cape. “We believe that these projects will go a long way in addressing the developmental and social challenges faced by the country and that it is only through partnership that we can make a bigger impact,” Kumba CEO Norman Mbazima commented in a media release sent to Creamer Media’s Mining Weekly Online.
Kumba Iron Ore top brass and Mineral Resources Minister Ngoako Ramatlhodi on Thursday launched a new R8.8-million clinic and visited the Anglo American company’s award-winning 718-employee-house complex in the Northern Cape. “We believe that these projects will go a long way in addressing the developmental and social challenges faced by the country and that it is only through partnership that we can make a bigger impact,” Kumba CEO Norman Mbazima commented in a media release sent to Creamer Media’s Mining Weekly Online.
Otmane El Rhazi : S Africa’s February mining output up 7.5% y/y
Otmane El Rhazi from Mining Weekly | Ferrous Metals Home.
South Africa’s mining production increased by 7.5% year-on-year in February. The main contributors to the increase were iron-ore, contributing 4.2 percentage points; platinum-group metals (PGMs), contributing 2.8 percentage points; and manganese ore, contributing 1.1 percentage points. Gold made the largest negative contribution of 1.5 percentage points.
South Africa’s mining production increased by 7.5% year-on-year in February. The main contributors to the increase were iron-ore, contributing 4.2 percentage points; platinum-group metals (PGMs), contributing 2.8 percentage points; and manganese ore, contributing 1.1 percentage points. Gold made the largest negative contribution of 1.5 percentage points.
Otmane El Rhazi : Nullagine reports strong quarter for BC Iron
Otmane El Rhazi from Mining Weekly | Ferrous Metals Home.
Despite wet weather conditions, the Nullagine iron-ore project, in the Pilbara, delivered at an above-expected run-rate, owner BC Iron reported on Thursday. During the quarter ended March, the Nullagine project shipped 1.46-million tonnes of ore, representing a run-rate of around 5.8-million tonnes a year. This was well above the targeted March quarter run-rate of 4.5-million tonnes a year, BC Iron said
Despite wet weather conditions, the Nullagine iron-ore project, in the Pilbara, delivered at an above-expected run-rate, owner BC Iron reported on Thursday. During the quarter ended March, the Nullagine project shipped 1.46-million tonnes of ore, representing a run-rate of around 5.8-million tonnes a year. This was well above the targeted March quarter run-rate of 4.5-million tonnes a year, BC Iron said
Wednesday 8 April 2015
Otmane El Rhazi : Quebec scales back plan to develop its resource-rich north
Otmane El Rhazi from Mining Weekly | Ferrous Metals Home.
The Canadian province of Quebec unveiled a scaled-back version of its long-touted plan to develop its vast, mineral-rich north on Wednesday as investor interest has waned due to weak commodity prices, particularly for iron-ore. The provincial government said it now expects its Plan Nord to attract C$50-billion in investment for the northern region of the French-speaking province over the next 20 years, down from its 2011 forecast of C$80-billion.
The Canadian province of Quebec unveiled a scaled-back version of its long-touted plan to develop its vast, mineral-rich north on Wednesday as investor interest has waned due to weak commodity prices, particularly for iron-ore. The provincial government said it now expects its Plan Nord to attract C$50-billion in investment for the northern region of the French-speaking province over the next 20 years, down from its 2011 forecast of C$80-billion.
Otmane El Rhazi : Management, NUM agree to end manganese strike
Otmane El Rhazi from Mining Weekly | Ferrous Metals Home.
Mine management and the local leadership of the National Union of Mineworkers (NUM) have reportedly jointly agreed to end the unprotected strike at the BHP Billiton-managed Hotazel manganese operations in the Northern Cape. BHP Billiton South Africa communications manager Patrick Wadula said in a media statement sent to Creamer Media’s Mining Weekly Online that the agreement meant that all employees were due to have reported for duty by today, Wednesday, April 8.
Mine management and the local leadership of the National Union of Mineworkers (NUM) have reportedly jointly agreed to end the unprotected strike at the BHP Billiton-managed Hotazel manganese operations in the Northern Cape. BHP Billiton South Africa communications manager Patrick Wadula said in a media statement sent to Creamer Media’s Mining Weekly Online that the agreement meant that all employees were due to have reported for duty by today, Wednesday, April 8.
Otmane El Rhazi : China plans to subsidise iron ore miners after price slump -paper
Otmane El Rhazi from Mining Weekly | Ferrous Metals Home.
China is drawing up plans to subsidise its struggling iron ore sector, official media reported on Wednesday, with many high-cost mines forced to shut as a result of a collapse in global prices. China, the world's biggest steel producer, has long been worried by its growing dependence on foreign miners and has tried to maintain a level of self-sufficiency in the key raw material, but its mines have been unable to compete with massive low-cost producers in Australia and Brazil.
China is drawing up plans to subsidise its struggling iron ore sector, official media reported on Wednesday, with many high-cost mines forced to shut as a result of a collapse in global prices. China, the world's biggest steel producer, has long been worried by its growing dependence on foreign miners and has tried to maintain a level of self-sufficiency in the key raw material, but its mines have been unable to compete with massive low-cost producers in Australia and Brazil.
Otmane El Rhazi : Iron-ore cap to cost Australia A$50bn in lost export revenue over 3 years
Otmane El Rhazi from Mining Weekly | Ferrous Metals Home.
The Minerals Council of Australia (MCA) has rejected the notion of capping iron-ore production in the Pilbara in the hopes of alleviating the price crash. MCA CEO Brendan Pearson pointed out to the Committee for Economic Development of Australia (CEDA) that Australia accounted for only 20% of global iron-ore production. If iron-ore production were to be capped at 2010/11 levels, about A$50-billion in export revenue would be lost within just three years.
The Minerals Council of Australia (MCA) has rejected the notion of capping iron-ore production in the Pilbara in the hopes of alleviating the price crash. MCA CEO Brendan Pearson pointed out to the Committee for Economic Development of Australia (CEDA) that Australia accounted for only 20% of global iron-ore production. If iron-ore production were to be capped at 2010/11 levels, about A$50-billion in export revenue would be lost within just three years.
Tuesday 7 April 2015
Otmane El Rhazi : Port Hedland iron-ore exports to China rise in March
Otmane El Rhazi from Mining Weekly | Ferrous Metals Home.
Iron-ore exports to China through Australia's Port Hedland, the world's biggest terminal for shipments of the steelmaking raw material, rose 3% in March from February, port figures released on Tuesday showed. The shipments climbed to 31.24-million tonnes in March versus 30.25-million in February from Port Hedland, which handles about a fifth of the world's seaborne trade in iron ore, according to Pilbara Ports Authority.
Iron-ore exports to China through Australia's Port Hedland, the world's biggest terminal for shipments of the steelmaking raw material, rose 3% in March from February, port figures released on Tuesday showed. The shipments climbed to 31.24-million tonnes in March versus 30.25-million in February from Port Hedland, which handles about a fifth of the world's seaborne trade in iron ore, according to Pilbara Ports Authority.
Otmane El Rhazi : Atlas initiates business review as iron-ore price slumps
Otmane El Rhazi from Mining Weekly | Ferrous Metals Home.
The shares of ASX-listed Atlas Iron on Tuesday went into a voluntary trading halt as the miner announced a company-wide review after the iron-ore price fell to $47.50/t. The Australian miner reported that the iron-ore price had fallen by 24% since it released its half-year accounts on February 24.
The shares of ASX-listed Atlas Iron on Tuesday went into a voluntary trading halt as the miner announced a company-wide review after the iron-ore price fell to $47.50/t. The Australian miner reported that the iron-ore price had fallen by 24% since it released its half-year accounts on February 24.
Otmane El Rhazi : Centrex signs Kimba Gap MoU
Otmane El Rhazi from Mining Weekly | Ferrous Metals Home.
Metals developer Centrex Metals has signed a non-binding memorandum of understanding with its joint venture (JV) partner Baotou Iron & Steel over the Kimba Gap magnetite iron-ore project, in South Australia. Under the terms of the agreement, Baotou would undertake preliminary metallurgical test work on a 300 kg bulk iron-ore sample from the Kimba Gap project, at its own costs.
Metals developer Centrex Metals has signed a non-binding memorandum of understanding with its joint venture (JV) partner Baotou Iron & Steel over the Kimba Gap magnetite iron-ore project, in South Australia. Under the terms of the agreement, Baotou would undertake preliminary metallurgical test work on a 300 kg bulk iron-ore sample from the Kimba Gap project, at its own costs.
Monday 6 April 2015
Otmane El Rhazi : Australia chases BHP, Rio Tinto on Singapore tax shelter – AFR
Otmane El Rhazi from Mining Weekly | Ferrous Metals Home.
Australia is pursuing global miners BHP Billiton and Rio Tinto for shifting billions of dollars in iron-ore profits through marketing hubs in Singapore that pay almost no tax, the Australian Financial Review reported on Tuesday. The Australian Taxation Office was chasing multibillion dollar claims against each company, the newspaper said, citing a source with direct knowledge of the disputes.
Australia is pursuing global miners BHP Billiton and Rio Tinto for shifting billions of dollars in iron-ore profits through marketing hubs in Singapore that pay almost no tax, the Australian Financial Review reported on Tuesday. The Australian Taxation Office was chasing multibillion dollar claims against each company, the newspaper said, citing a source with direct knowledge of the disputes.
Otmane El Rhazi : As iron-ore slides, China buyers inflict more pain on small miners
Otmane El Rhazi from Mining Weekly | Ferrous Metals Home.
Chinese steelmakers are unwittingly helping the world's biggest iron-ore miners tighten their grip on global production by demanding to pay for shipments of the raw material based closely on depressed spot prices. The three largest and most profitable iron-ore producers - Australia's Rio Tinto and BHP Billiton, along with Brazil's Vale - have been happy to sell at or near spot despite plunging iron-ore prices, while their smaller rivals struggle to make money.
Chinese steelmakers are unwittingly helping the world's biggest iron-ore miners tighten their grip on global production by demanding to pay for shipments of the raw material based closely on depressed spot prices. The three largest and most profitable iron-ore producers - Australia's Rio Tinto and BHP Billiton, along with Brazil's Vale - have been happy to sell at or near spot despite plunging iron-ore prices, while their smaller rivals struggle to make money.
Otmane El Rhazi : Gunmen kidnap Romanian from Burkina Faso mine near Mali border
Otmane El Rhazi from Mining Weekly | Ferrous Metals Home.
Unidentified gunmen kidnapped a Romanian security officer on Saturday from a manganese mining project in northern Burkina Faso, near the border with Mali's lawless desert north, the company and a security source said. The incident took place at the Tambao project, which is run by Pan African Minerals, a subsidiary of Frank Timis's Timis Corporation. Timis is a Romanian-Australian businessman with investments in West African oil and mining operations.
Unidentified gunmen kidnapped a Romanian security officer on Saturday from a manganese mining project in northern Burkina Faso, near the border with Mali's lawless desert north, the company and a security source said. The incident took place at the Tambao project, which is run by Pan African Minerals, a subsidiary of Frank Timis's Timis Corporation. Timis is a Romanian-Australian businessman with investments in West African oil and mining operations.
Thursday 2 April 2015
Otmane El Rhazi : Market glut and low prices prompt Labrador Iron Mines to file for creditor protection
Otmane El Rhazi from Mining Weekly | Ferrous Metals Home.
Under pressure from spiralling iron-ore prices and a global supply glut, seasonal miner Labrador Iron Mines (LIM) on Thursday obtained an initial order from the Ontario Superior Court of Justice under the Companies’ Creditors Arrangement Act (CCAA) that would protect the firm from its creditors. A reduced appetite for the steelmaking ingredient in China, combined with excess supply from the large Australian producers such as BP Billiton and Rio Tinto as they fought to maintain market share, brought on slumping iron-ore prices that had made life grim for small-scale producers.
Under pressure from spiralling iron-ore prices and a global supply glut, seasonal miner Labrador Iron Mines (LIM) on Thursday obtained an initial order from the Ontario Superior Court of Justice under the Companies’ Creditors Arrangement Act (CCAA) that would protect the firm from its creditors. A reduced appetite for the steelmaking ingredient in China, combined with excess supply from the large Australian producers such as BP Billiton and Rio Tinto as they fought to maintain market share, brought on slumping iron-ore prices that had made life grim for small-scale producers.
Otmane El Rhazi : Striking manganese mineworkers urged to return to work
Otmane El Rhazi from Mining Weekly | Ferrous Metals Home.
Striking mineworkers at the BHP Billiton-managed Hotazel manganese mines were on Thursday urged to return to work in compliance with a court order, which declared the stay away illegal and unprotected. BHP Billiton said in a media release sent to Creamer Media’s Mining Weekly Online that workers had been away since March 27, following a prolonged engagement with the National Union of Mineworkers (NUM) over claims arising from an employee share ownership scheme (Esop).
Striking mineworkers at the BHP Billiton-managed Hotazel manganese mines were on Thursday urged to return to work in compliance with a court order, which declared the stay away illegal and unprotected. BHP Billiton said in a media release sent to Creamer Media’s Mining Weekly Online that workers had been away since March 27, following a prolonged engagement with the National Union of Mineworkers (NUM) over claims arising from an employee share ownership scheme (Esop).
Wednesday 1 April 2015
Otmane El Rhazi : BC Iron terminates Watpac contract early to cut costs
Otmane El Rhazi from Mining Weekly | Ferrous Metals Home.
Iron-ore miner BC Iron on Thursday announced it would terminate its mining contract with project house Watpac early in an effort to save between A$2/t and A$3/t in costs. The junior told shareholders that current market conditions and the competitiveness and pricing seen in the recent Warrigal hub contract tender had convinced the company to exercise its early termination rights over the mining, crushing and screening contract with Watpac.
Iron-ore miner BC Iron on Thursday announced it would terminate its mining contract with project house Watpac early in an effort to save between A$2/t and A$3/t in costs. The junior told shareholders that current market conditions and the competitiveness and pricing seen in the recent Warrigal hub contract tender had convinced the company to exercise its early termination rights over the mining, crushing and screening contract with Watpac.
Otmane El Rhazi : Iron-ore extends losing streak as spot hits $49
Otmane El Rhazi from Mining Weekly | Ferrous Metals Home.
Spot iron-ore prices tumbled below $50/t on Wednesday while Chinese iron-ore futures dropped a sixth straight session to a contract low on persistent worries that output cuts at steel mills would eat into demand for the raw material. Sluggish steel consumption and soaring environmental costs have combined to force mills in the world's largest steel producer and consumer to curb production and keep iron-ore stocks at a minimum.
Spot iron-ore prices tumbled below $50/t on Wednesday while Chinese iron-ore futures dropped a sixth straight session to a contract low on persistent worries that output cuts at steel mills would eat into demand for the raw material. Sluggish steel consumption and soaring environmental costs have combined to force mills in the world's largest steel producer and consumer to curb production and keep iron-ore stocks at a minimum.
Otmane El Rhazi : Nayega resource rises to 14Mt – Ferrex
Otmane El Rhazi from Mining Weekly | Ferrous Metals Home.
Aim-listed manganese and iron-ore developer Ferrex on Wednesday reported that its Nayega manganese project’s resource has increased to 14-million tons at 12.4% manganese. The company said this was a significant milestone for the mine, in northern Togo, which the company was developing into a 250 000 t/y mining operation.
Aim-listed manganese and iron-ore developer Ferrex on Wednesday reported that its Nayega manganese project’s resource has increased to 14-million tons at 12.4% manganese. The company said this was a significant milestone for the mine, in northern Togo, which the company was developing into a 250 000 t/y mining operation.
Otmane El Rhazi : BC takes up govt royalty offer
Otmane El Rhazi from Mining Weekly | Ferrous Metals Home.
The Western Australian state government has granted iron-ore miner BC Iron royalty assistance at its Nullagine joint venture. The assistance would be in the form of a deferral of 50% of the iron-ore royalties paid between December 2014 and September 2015, subject to BC Iron’s free-on-board price being less than A$90/t in the quarter.
The Western Australian state government has granted iron-ore miner BC Iron royalty assistance at its Nullagine joint venture. The assistance would be in the form of a deferral of 50% of the iron-ore royalties paid between December 2014 and September 2015, subject to BC Iron’s free-on-board price being less than A$90/t in the quarter.
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