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Toledo paves way for strategic alliance with China's Jinchuan in Philippines


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Toledo Mining Corporation Plc has signed a memorandum of understanding with China's biggest nickel producer that should lead to a strategic alliance for the exploration, mining, processing and sale of nickel products from Toledo's nickel interests on Palawan Island, the Philippines.


Under the MOU, Jinchuan Group Ltd will subscribe for new Toledo ordinary shares representing 29.9% of its enlarged issued share capital. Jinchuan will pay 42 pence per share, raising over 7.4m ($11.2m). Jinchuan will also enter into a direct ore shipping sales contract to buy at least 1Mtpa of nickel ore from 2013, increasing to at least Mtpa in 2016. The Chinese firm will provide a pre-payment purchase facility to assist with...

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Fortescue’s Forrest Sees Floor in Price Slump for Iron Ore


Fortescue Metals Group said prices for the steelmaking ingredient won’t drop much more from theamerican hpc gold and metal separatorir lowest level in 15 months.


“I don’t think they’ve got much lower to fall,” Chairman Andrew Forrest said in an interview with Bloomberg Television yesterday. “China has deliberately slowed its own growth to allow its economy to catch up to keep inflation down. You’ll still see growth rates going from 9.7 percent to 9.1 percent. That’s still massive growth.” Fortescue, controlled by Forrest, Australia’s third-richest person, is spending $8.4 billion to almost triple its export capacity to 155 million metric tons a year. The cash price of iron ore for immediate delivery to China, a benchmark for Asia, dropped the most in more than two years on Oct. 25 as demand from steelmakers waned. Iron ore prices had their biggest daily fall since...

China Xingang mulls friendly takeover of iron ore explorer Accent


Xgold ore gravity concentration process increase qualityingang Resources is in advanced stages of planning a possible friendly takeover bid for Australia-listed iron ore and gold explorer Accent Resources, the target company said Monday.


Xingang, the Hong Kong-based wholly owned subsidiary of China's Xingang Iron and Steel in Henan province,"has already arranged funding and received all necessary approvals in China" to proceed with a bid for Accent, said the Australian company in a statement. The Chinese pary has also obtained confirmation from Australia's Foreign Investment Review Board that it does not require approval if it decides to go ahead with the bid, Accent added. Xingang is among more than 10 Chinese companies that Accent has been negotiating with on the sale of its key asset -- the Magnetite Range project in the Mid-West region of Western Australia state. The 100% Accent owned Magnetite Range project is centred on the...

Continental Coal grows South Africa coal production assets in milestone deal


Continental Coal has significantly enhanced its portfolio of South African production assets with its subgold leach circuit for salesidiary Continental Coal Limited (CCL) entering into a binding heads of agreement to acquire 100% of the shares of unlisted South African thermal coal mining and export coal producing company Mashala Resources.


The acquisition provides Continental with immediate export coal production from the Ferreira open cast mine which exported approx. 600,000 tonnes in FY 2009. Also, the Richards Bay Coal Terminal (RBCT) allocation and Transnet rail contracts are in place, enhancing the company’s key logistics capabilities. Continental’s global in situ resources have increase by approximately 290% to 631Mt and will commence immediate development of the acquired and fully permitted Penumbra underground project into a 500,000tpa export thermal coal operation. The acquisition provides Continental with existing 300tph wash plant operation and rail siding only 3km from the existing open cast mine and Penumbra underground project.

Magellan lead trains halted


Magellan Metals has voluntarily delayed the resumption of lead shipments through the port of Fremantle after trains from its Wiluna mine deviated from thmini coal grinding machinese allowed route. A ban on the company's lead shipments was only lifted recently after they were halted on December 31 when lead carbonate was detected in air samples taken outside double sealed bags in rail containers.


WA’s Office of the Environmental Protection Authority is investigating the latest breach in lead handling procedures by the company. It involved trains carrying lead from the company's mine, 980km northeast of Perth, travelling via Kwinana in the city's south rather than straight to Fremantle, as agreed in an environmental management plan. In a statement from Canada, Ivernia, Magellan's parent company, said OEPA had advised the company that it had received information that trains had deviated. It said Magellan had investigated and learned that its rail transport contractor had diverted 10 trains carrying 159 containers of lead carbonate along a 12km rail section between November 10 last year and January 4...

Zambia Sees Higher Mining Tax Contributions By 2013 - Govt


Zambia's mining tax contributions are expected to increase to 1.2% of the country's gross domestic product by 2013, from the current mining ball mills in south africa0.7%, due to rising copper production and improving global copper prices, Zambia's Finance and Planning ministry said late Wednesday.


In a statement, Secretary to the treasury Likolo Ndalamei said Zambia's total tax revenue collections are poised to rise to 18% of the country's GDP by 2013, from the current 15.9%, due to a surge in copper mining operations as well as higher global metal prices. Zambia is Africa's largest copper producer. "The growth in mining revenues is premised on a projected increase in production and the continuance of favorable copper prices," he said. In 2008, Zambia introduced a new mining tax regime which introduced an 18% variable profit tax and hiked corporation taxes for mining companies to 30% from 25%. However, the new taxation regime has been opposed by copper mining companies.

Business groups reject mining policy changes


Businessmen yesterday called on thmachnary for 600mesh grainding in indiae Aquino government to hold off from tightening regulations on mining, rejecting a plan by the Environment department to declare mines as "mineral reservations" to hike tax revenues. Four business groups submitted a consolidated position paper in a dialogue at the Philippines-Australia Ministerial Meeting here, urging the Aquino administration to issue a "clear statement on how the country intends to intensify the mining industry’s growth."


There should be a "stable investment environment without any additional tax imposition," the Australia-New Zealand Chamber of Commerce of the Philippines, Philippine Chamber of Commerce and Industry, Australia-Philippines Business Council and the Chamber of Mines of the Philippines said. They said the Aquino government should reconsider the plan to declare current mining operations and those in the advanced stages of development as mineral reservations, which would allow the collection of a 5% royalty on top of a 2% excise tax. The Environment department has estimated the tax take at P7 billion annually with an additional 21 sites turned into reservations...

Lake Shore Gold Expands Thunder Creek Rusk Zone


Lake Shore Gold Corp. today announced results from an additional 38 holes (3,463.1 m) of its ongoing underground drilling program at the Company's 100%-owned Thunder Creek Project (the "Project").


The Project is located approximately one kilometre southwest of the Company's gold mine grinding millTimmins Mine and is currently being explored underground from access drifts driven from the 200 and 650 levels in the Timmins Mine. The new holes being reported are from an ongoing program on the new access crosscut on the 300 Level drift at Thunder Creek that intersected the mineralized Rusk Zone (the "Zone") in June.


This program is designed to confirm and expand previously defined high-grade mineralization identified from wide spaced surface holes to support development along the Zone for bulk sampling. The majority of the reported holes targeted a 120 meter long by 40 meter high block surrounding the new access crosscut and contained positive results in all directions.


Tony Makuch, President and CEO of Lake Shore Gold, commented: "Today's results continue to confirm and expand the potential of the Thunder Creek Deposit. The underground drilling to date has confirmed the results of earlier surface drilling, and highlights the likely extension of the mineralization at Thunder Creek both along strike and at depth."


"Based on the excellent grades and widths intersected development has commenced to follow the Zone along strike at the 300 Level elevation, as well as to ramp up and down to elevations where sub-level development and additional drilling can be carried out. This work is being done in order to further delineate the Zone as part of a larger program designed to determine an initial National Instrument 43-101 resource for Thunder Creek in 2011. At this point, the development on the 300 Level has been advanced along the mineralization to points approximately 30 meters east and 15 meters west of the crosscut, and all material extracted will be processed at the Bell Creek Mill."


Drilling below the level was focused on a 30 meter high block east of the new access crosscut and returned excellent grades and continuity of gold mineralization. Significant results include: 16.02gpt over 7.10m in TC300-021, 12.30gpt over 8.10m in TC300-019, 12.15gpt over 7.40m in TC200-008 (including 22.61gpt over 3.40m), 12.46gpt over 5.60m in TC300-015 and 13.25gpt over 5.70m in TC300-010 from an area covering up to 40 meters below the 300 Level on the east side of the new access crosscut, in an area that had never been tested.


Mineralization intersected in the new holes occurs along a contact zone between pyroxenitic intrusive rocks and sedimentary rocks. The Zone, which trends northeast and dips 65 degrees to the northwest, is hydrothermally altered, carries increased sulphide mineralization, and is locally intruded by syenite porphyry dikes.


Drilling at the level elevation tested up to 70 meters east and 50 meters west of the 300 Level access crosscut and also contained excellent results. Drilling east of the access crosscut includes intercepts of 10.34gpt over 7.90m in TC300-013 and 14.09gpt over 3.00m in TC200-014. Significant values west of the new access crosscut include intercepts of 7.00gpt over 12.10m in TC300-012, 9.14gpt over 4.50m in TC300-003 and 9.67gpt over 4.10m in TC300-004. Based on the strength of alteration in holes near the limits of testing, the Zone is still considered open for further expansion in both directions.


In addition, 11 holes were drilled in the area above the 300 Level, which was previously considered as the top limit of mineralization. Significant results over the area east of the new access crosscut included values of 17.64gpt over 3.10m in TC 200-006, and 14.28gpt over 5.00m in TC300-018 and 3.30gpt over 6.25m, including 17.83gpt over 0.95m (with visible gold), in TC300-007. Significant results to the west included 9.04gpt over 2.20m in TC200-019A and 9.14gpt over 4.50m in TC300-003.


The new intersection in TC200-006 is located in a gap approximately 60 meters above the 300 Level and west of a previously released intersection of 15.07gpt over 10.40m in TC200-004 (see press release dated June 29, 2010). A further gap of at least 50 meters in strike length remains open both to the west and upwards along the northeasterly trending plunge line.


Drilling at the present is continuing on the 300 Level with two drills that are focused on defining and expanding mineralization from the 300 Level access crosscut.

WHC slams SA for mining at heritage site


The UN World Heritage Committee has slammed South Africa for allowing an opencast coal mine, owned by Coal of Africa, at the 1100-year-old Kingdom of Mapungubwe World Heritage Site.


A report tabled at the annual World Heritage Committee meeting this week warnsearch for used crushers south africas that opencast coal mining by the Australian company poses a “major threat” to the integrity of Mapungubwe and could result in “unacceptable and irreversible damage” to huge strips of land in the vicinity.


The committee will be calling on South Africa’s government to explain this decision as a matter of urgency.


The site is protected by an international convention because of its “outstanding universal value”. Mapungubwe is an ancient stone citadel kingdom dating from around AD900 and is located on the country’s northern border with Botswana and Zimbabwe.


An expert monitoring team, which visited Mapungubwe earlier this year at the request of the UN World Heritage Committee warned that there was no effective way to mitigate the impacts of large-scale opencast mining by Coal of Africa, which would lead to “a highly detrimental impact” on the value of the Mapungubwe landscape.


They noted with concern that the Department of Mineral Resources recently authorised more than 20 other mine prospecting leases for coal, petroleum and gas in the area, and the South African government appeared to have ignored previous pleas to put the mining on hold by quietly giving the nod to the Australian company to carry on mining.


The monitoring team included Lazare Eloundou, chief of the Africa Unit of Unesco’s World Heritage Centre, and Dag Avango, a history researcher from the Swedish Royal Institute of Technology.


They were surprised to find that the Australian coal mining plant was 95% complete, despite an official government assurance that mining had been halted.


They were also handed lengthy protest notes from several cultural groups, which complained they had not been consulted properly by the government or the Australians.


Eloundou and Avango noted the committee had asked South Africa to wait on mine development until a more thorough heritage impact assessment was compiled. But when they visited the site it became “crystal clear” that the Australian company had resumed its operations and stockpiled large volumes of coal.


The monitoring team was also critical of the findings of the belated heritage impact assessment, which seemed to take the view that there was no possibility of protecting some of the archaeological sites other than by fencing off, recording and then “destroying them”.


Some of the statements made in the heritage report, which was financed by the company, diminished its legitimacy and also “call its objectivity into question”.


The monitoring team report is due to be presented later this week to the UN World Heritage Committee in St Petersburg, Russia, along with a draft recommendation urging South Africa to halt any further opencast coal mining in the area.


Instead, the mining company will likely be asked to sacrifice some of its profits by using more expensive, underground mining techniques.


Landscape around Mapungubwe would suffer “major devastation” from opencast mining and would be transformed into a “vast industrial landscape”.

Congo copper output to rise 25 pct next year


Expower plant coal handling plant maintenance pdfports from Congo's southern copperlands will rise 25 percent to over 1 million tonnes next year due to renewed investor confidence following a government mining contract review, the top official in the province told Reuters.


Moise Katumbi, governor of Katanga Province, said companies and their backers were boosting spending following the conclusion of the review last month, which resulted in Freeport-McMoRan Copper & Gold's conceding a small share of its huge Tenke Fungurume copper project to the state. The deal ended years of uncertainty in Congo's mining sector, and analysts widely viewed the outcome as positive for the company, which retained the bulk of its controlling interest in the project. "After Tenke got its revisitation, even the people who had a bit of fear are putting in money. Everyone is financing now, even the banks," Katumbi said. Katanga, Congo's sole copper-producing region and source of about 5 percent of the world's supply of the metal, is on track to produce 800,000 tonnes this year, he said.

Legend acquires prospective gold permit in Cameroon


Legend Mining Limited today announced that its 90% supictures of bauxite mining and machines used in the mining processbsidiary Camina SA has acquired the Tapare Gold Project from Cameroon General Mining SA (CGMSA).


Legend Managing Director Mr Mark Wilson said: “Legend is continually expanding its Cameroon database and in-country network. This gives us the ability to identify good prospects and secure them for future exploration opportunities. We are committed to our iron ore project at Ngovayang with the current drill programme in full swing. The gold project will be staffed and resourced by a new dedicated budget.”


Legend has paid USD 20,000 to CGMSA and the permit has been transferred to Camina. Legend then has until 1 July 2011 to carry out initial exploration programmes with provision for a further extension of three months. Upon the completion of these programmes to Legend’s satisfaction, a further payment of USD 130,000 and the issue of 5,000,000 Legend options exercisable @ AUD 0.08c per option on or before 30 June 2013 will be made to CGMSA.