Mining boom propels UK dividends to three-year high

UK firms rewarded shareholders with a £19.1 billion payout in the first quarter. gold cradle design plansThe figure, produced by Capita Registrars, was up 27%, on the previous year’s £15.1 billion and the largest cash payout by UK listed firms since the second quarter of 2008. Overall first half dividends totaled £34.1 billion, 19% higher on the previous year.

Consequently Capita has increased its full year dividend forecast by £1.8 billion to £66 billion, £9.6 billion than 2010. This would make it the highest annual total since 2008. Dramatic dividend increases by the mining sector are the major reason for Capita’s optimism. Overall the sector increased its payouts almost four fold, from £491 million in Q2 last year to £1.85 billion this year. A £540 million special dividend from Antofagasta, the payment of the first Anglo American final dividend in four years (£360 million), and big increases from all the other companies all contributed to the growth. However, support came from across the board. Life insurance companies and British American Tobacco made a notably large contribution, increasing their dividends £431 million and £231 million respectively...

Goldrush Announces 99 Percent increase of Gold Resource at the Ronguen Gold Deposit, Burkina Faso

Goldrush Resources is pleased to announce that it has received a new mineral resource statement for its Ronguen gold deposit in Burkina Faso. For oxide gold resources, the new rcedar rapids crushersesource contains 150,000 ounces of gold in the Measured category (4.143 million tonnes grading 1.12 grams of gold per tonne; 159,000 ounces of gold in the Indicated category (3.861 million tonnes grading 1.28 gpt Au); and 8,000 ounces in the Inferred category (136,000 tonnes grading 1.91 gpt Au) using a cut-off grade of 0.4 gpt gold. In addition, the bottom of the conceptual pit shell used to constrain the mineral resource statement for the Ronguen deposit is estimated to contain 23,000 ounces of gold in the Measured and Indicated categories in fresh rock (483,000 tonnes grading 1.51 gpt Au) and 44,000 ounces of gold in the Inferred category (754,000 tonnes grading 1.83 gpt Au), at a cut-off grade of 0.7 gpt Au.

Ronguen is located on Goldrush's Kongoussi 1 and Tikare permits, 100 kilometres north of the capital city of Ouagadougou, 45 kilometres east of Cluff Gold's Kalsaka heap leach gold mine and 10 kilometres northwest of High River Gold's Bissa gold mine which is currently in development. Ronguen enjoys proximity to paved highways and the Lac Bam water supply and is within three kilometres of the southern boundary of the regional centre of Kongoussi, (the capital of Bam province), which has an approximate population of 45,000.

Len Brownlie Ph.D, President and CEO of Goldrush commented: "The oxidized portion of the new gold resource, amenable to low processing cost heap leaching, has nearly doubled relative to the 2008 initial mineral resource statement from 160,000 inferred ounces to 309,000 combined measured and indicated ounces and an additional 8,000 inferred ounces. In addition to substantially increasing the size of the oxide mineral resource, the work completed by Goldrush has significantly increased the quality of the mineral resources as most of the oxide portion of the deposit is now classified into the Measured and Indicated categories, while the initial (2008) mineral resource statement contained only inferred ounces.

We are very encouraged by the potential to develop a heap leach, open pit operation at Ronguen. We intend to complete a Preliminary Economic Assessment as we continue to explore the "blue sky" potential related to this thrust fault hosted deposit where targets for additional mineralization are located on the potential extension of the South Zone, at depth in the Main Zone and on a parallel zone located within one kilometre to the north of the Main Zone, as well as at unexplored and underexplored areas of potential on the Kongoussi 1 and Tikare permits."

The mineral resource statement was prepared by SRK Consulting and relied on an exploration database consisting of 245 reverse circulation drill holes totalling 21,782 metres, 57 HQ core holes totalling 7,079 metres and 38 trenches totalling 3,862 metres. The vast majority of the drill holes are angled and shallow, with a total hole length of generally < 120 metres, and tested little of the fresh rock depth potential of the deposit.

MinRes and Reed amend Mount Marion ownership structure

Australian diversified resmaquina trituradora de pet sencilla imagenources company Reed Resourceshas announced the signing of a binding Memorandum of Understanding with Mineral Resources Limited (MRL) to amend the contractual arrangements regarding the Mt Marion Lithium Project.

According to a Reed Resources statement, "Reed Resources and Mineral Resources have amended the ownership structure of the Mt Marion Lithium Project to achieve greater alignment of interests for the down stream processing of Spodumene to battery grade Lithium Carbonate."

Mineral Resources will convert a right to 40% of Mt Marion Project profits to 30% equity interest in Reed Industrial Minerals which holds 100% of the Mt Marion Project. The Mt Marion Project will have an initial capacity of 200,000tpa of chemical grade spodumene concentrate, 60,000tpa of mica and 30tpa tantalum concentrate. Reed Resources also reported that exploration targeting additional resources of 10-15Mt of 1.1-1.4% Li2O has commenced.

Current arrangements commit Mineral Resources to build, own and operate processing facilities, fund all development costs and operate the project, to earn 40% of the profits from the operation. Under the revised agreement Mineral Resources will continue to fund and operate the project with the profit right converted into an equity interest equivalent to 30% of the issued and allotted share capital in Reed Industrial Minerals. MRL will use reasonable endeavours to complete construction by 30 September 2011 and the commissioning of the plant on or before 15 December 2011.

Reed Managing Director Chris Reed said: “This binding MoU directly aligns the interests of Reed and MRL and provides a clear path to production for the world’s 2nd largest source of spodumene concentrate. We expect, with by-products the Mt Marion Lithium Project to be globally cost competitive and operate at the lower end of the cost curve. As joint equity owners of the underlying resources both parties are now incentivised to expand resources and evaluate increasing production rates.”

Following the recent final mining approval from the Department of Mines and Petroleum, the Mt Marion Partners (Reed Resources and Mineral Resources) have agreed to construct a plant with an initial capacity to recover 200,000 tonnes per annum of chemical grade spodumene concentrate, containing some 12,000 tonnes lithium oxide (Li2O). Total contained lithium oxide resources at present are 146,000 tonnes (Li2O). The plant will also recover some 60,000 tpa of mica and 30tpa of tantalum concentrate as accessory products.

Thiess awarded $2.3b Bowen Basin project

Thiess has entered a $2.3 billion agrement to extend operations at Jellinbah Group's Lake Vermont coal mine in Queensland.

Leighton Holding's mining services arm Thiess has won a $2.3 bibasalt rock dust used in concrete making blocksllion contract to extend operations at Jellinbah Group's Lake Vermont coal mine in Queensland's Bowen Basin.

The six-year agreement will increase production from four million tonnes to eight million tonnes a year and continues Thiess' responsibility at Lake Vermont for mine operations and maintenance.

"Thiess is very proud to continue its involvement at the Lake Vermont mine where we've been working with the Jellinbah Group from the very beginning to plan, build and operate the mine," Thiess managing director Bruce Munro said.

Executive general manager of Thiess' Australian Mining Michael Wright said the extended operations would bring opportunities for the people of Dysart, located 20 kilometres from Lake Vermont Mine.

The mine currently employs 350 people.

"The contract is reward for their performance, their daily commitment to the safety of our people and to meeting our clients' objectives," Mr Wright said.

"We are mobilising ultra-class mining fleets to meet the increased production requirements and we are truly excited by the opportunities this brings to the people of the Dysart area."

Jellinbah Group chief executive Greg Chalmers said the continuation of Thiess as the mine's long-term operator ensured its on-going delivery of competitively priced coal.

"We look forward to working closely with Thiess to maximise the value of Lake Vermont and continue the mine as a safe, reliable, responsible and productive operation," Mr Chalmers said.

Guinea eyeing bigger mine stakes, tougher rules

Guinea's new mining code would give the state adensity of crush sand used for construction free 15 percent stake in projects with an option to acquire another 20 percent, according to a draft obtained by Reuters on Tuesday.

The mining code would also toughen up procedures for securing mining permits, create a new 'Local Development Fund' fed by an existing 0.5-1.0 percent levy on minerals sales, and provide new tax breaks for companies engaged in exploration and mine construction. According to the draft code, taxes on iron ore and bauxite would be based on the London Metal Exchange LME 3-month selling price rather than FOB pricing. The government of the West African bauxite exporter is gathering feedback on the draft from miners, and is hoping to finalise the code by the end of June to replace the current law which dates from 1995. Rio Tinto and RUSAL are among the biggest international mining firms working in the country.

Kyrgyz H1 GDP nosedives on Kumtor gold mine troubles

Kyrgyzstan's gross domestic product shrank by 5.6 percent year-on-year in the first half of this year, following a declincassiterite ore beneficiation plante in output at the nation's flagship venture with Canada's Centerra Gold, the National Statistics Committee said on Tuesday.

The Central Asian nation's GDP expanded by 4.9 percent in the same period of 2011.

Last year, Centerra's Kumtor gold mine alone accounted for about 12 percent of Kyrgyzstan's GDP and more than half of all its exports, official data show.

Ice movement in the high-altitude pit, which lies about 4,000 metres above sea level, forced the government last month to slash its GDP growth forecast for this year to 1.8 percent from original 7.5 percent.

Kyrgyzstan, an impoverished nation of 5.5 million, is a neighbour of China and hosts Russian and U.S. military air bases. Violent revolts have toppled two presidents since 2005. About 500 people were killed in ethnic clashes in June 2010.

Adding to the Canadian investor's woes in Kyrgyzstan, the country's legislature last month passed a resolution ordering a renegotiation of the current contract with Centerra Gold, after a parliamentary commission found that the project had damaged the environment and human health.

Toronto-listed Centerra, in which Kyrgyzstan holds 33 percent and which also mines gold in Mongolia, said the commission's report was without merit and that the scandal had already cost its Kyrgyz partners hundreds of millions of dollars in losses due to a sharp fall in its share price.

Kyrgyzstan's industrial output plunged by 31.6 percent in the first half of 2012, compared to a 14.9-percent rise in the same period of last year, official statistics showed on Tuesday.

Without taking Kumtor's operations into account, Kyrgyzstan's GDP would have actually expanded by 3.9 percent and industrial output would have risen by 8.2 percent in the first half of this year, the National Statistics Committee said.

In March Centerra forecast output of 390,000-410,000 ounces this year, down from a previous estimate of 575,000-625,000. Kumtor accounted for more than 90 percent of the company's gold production last year.

Aust experts to conduct safety audit of NZ mines

Two Australian mining experts have beeexplorer wash plant goldn contracted to undertake a safety audit of New Zealand's underground coal mines following the Pike River tragedy. Twenty nine miners and contractors died after an explosion in the Pike River coal mine on the West Coast last month.

The Department of Labour has contracted Brett Garland and Tim Watson, both from Queensland, to audit the five mines and prepare a report on their health and safety. The audit was announced on November 29 by the Prime Minister in response to the tragedy at the Pike River mine. It will involve physical inspections of the mines, and a review of the health and safety systems and processes that are in place in each mine, the Labour Department said in a statement. Garland is the Chief Operating Officer of Caledon Coal in Queensland and is a Director of Queensland Mines Rescue Services. He has more than 20 years experience in mining including senior management roles in a number of Australian mining companies...

Ivory Coast rebel zones strike gold, await wealth

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Gold pouring from a mine in Ivory Coast's rebel-held northern zones since this week is offering new livelihoods for locals who have long seen themselves as neglected by successive southern governments.

The surge in mining interest coincides with a presidential poll -- heading towards a November 28 run-off -- that many Ivorians hope will put their drawn out crisis behind them, reuniting the country and spurring new investment in the process. At a gold mine in the hot, dry savannah of northern Ivory Coast, local workers donning helmets watch hot gold dribble from a kiln, their shiny protective outfits lit up by the flames. "For 40 years the development of this country was based on nothing but agriculture," Mines Minister Augustin Komoe said during a visit to the new site. "We don't want to abandon agriculture, but we must intensify our work in mining." Randgold Resources, poured its first gold from the West African nation on Monday, forecasting an average annual production of...

OZ Minerals strikes Chile copper deal

The search of Melbourne's OZ Minerals for a new project to expand its portfolio beyond its South Australian copper-gold interests has led it to strike a deal on an advanced copper-molybdenum project in northern Chile.

The deal with Canada's International PBX Ventursilica vibrating plant south africaes, could earn OZ a 90 per cent interest in PBX's Copaquire project by making cash payments of $US90 million ($91.2m) and 30,000m in drilling commitments.

Copaquire is described by PBX as an advanced exploration project covering more than 2000ha of a "major" copper-molybdenum porphyry system. The region is host to 30 porphyry copper-molybdenum deposits and prospects, with Teck's Quebrada Blanca and Xstrata-Anglo American's Collahuasi mines within 15km of the property.

OZ has been out to rebuild its portfolio beyond the Prominent Hill copper-gold mine since being reduced to the single operation in 2009 with the sale of all of its other assets to China's Minmetals as part of its financial restructuring following the global financial crisis.

Last year it acquired the advanced Carrapateena copper-gold project in SA for $US250m. But like Copaquire, Carrapateena is a long way off from providing OZ a long-term replacement for Prominent Hill.

OZ has $750m earmarked for an acquisition to beef up its portfolio but has yet to find one that suits at the right price. OZ managing director Terry Burgess told the annual meeting yesterday that OZ was "very actively looking for an acquisition".

"We are seeing more opportunities in the last few months than we did in the previous two years, especially with the current uncertainty in the economy," Mr Burgess said.

"Our preference is to acquire assets that will deliver production in the short term but we also will review later dated opportunities."

It was against that strategy background that OZ made an offer for Cupru Min earlier this year. It lost out to another bidder for the Romanian state-owned company but that winning deal has not been consummated.

The PBX deal falls in to the longer dated option category.

Mr Burgess said OZ had followed PBX for a number of years.

"While this will not bring in copper production in the short term, it is an illustration of some of the projects that we are reviewing that will, for a modest cost, build our (project) pipeline for the future," Mr Burgess said.

Meanwhile, OZ told shareholders that copper production from Prominent Hill this year would be towards the bottom half of its previous forecast for 110,000-130,000 tonnes of copper. That is due to increased mining of waste material during the year. OZ shares closed 19c, or 2.3 per cent, higher at $8.31 a share despite the downgrade.

Resource Upgrade to Jorc Indicated Category at Dutwa Nickel Project, Tanzania

African Eagle Resources plc is pleased to announce a significant resource upgrade at its Dutwa nickel project in Tanzania. This resource upgracedar rapids crushersde, by independent geological contractors the Snowden Group, places more than three quarters of the Wamangola resource (the larger of the two nickel deposits that make up the Dutwa project) into the indicated category under the JORC code.

This is the first indicated resource at Dutwa and signifies a leap forward for the project, with increased confidence in the continuity of the orebody. Indicated resources can be used to derive formal mineral reserves for the feasibility study now underway.

Highlights of the resource statement upgrade are:

* 46.2 million tonnes (Mt) at 0.93% nickel and 0.03% cobalt (of the total Dutwa Project 98.6Mt) now in the JORC indicated category.
* Grade increase for the tonnes upgraded to indicated from 0.90% Ni to 0.93% Ni.
* 47% of the total Dutwa resource is now in JORC indicated category and more will be upgraded after further drilling at Ngasamo later in the year.
* Indicated resources can be used to derive probable mining reserves for the pre-feasibility study, due for completion by Q3, 2011.

African Eagle's Managing Director Mark Parker comments:

"This resource upgrade is another significant milestone in our Dutwa feasibility study. Snowden has converted a large portion of the Wamangola resource directly to the indicated category and we will only need to do infill drilling in areas of structural complexity such as fault zones and areas around cross-cutting dykes.

Infill and step-out drilling to delineate the smaller Ngasamo deposit fully is planned in early 2011 and we will then ask Snowden to upgrade from inferred to indicated.

Meanwhile work for the pre-feasibility study is progressing well and we have shipped a large portion of the bulk ore samples from both the Wamangola and Ngasamo deposits to Perth, WA for metallurgical tests."

Centamin gold output rises, shares up

Centamin this week said quarterly production at its flagship Sukari gold mine rose 9laboratory scale ball mill grinder for crushing e waste price percent, sending its shares up as much as 4.5 percent.

Production at Sukari - the first large-scale modern gold mine in Egypt - rose to 49,071 ounces for the first quarter from 45,204 ounces a year earlier.

Centamin backed its production forecast of 250,000 ounces of gold for the year - 25 percent above last year's output. This would come at a cash cost of $550 per ounce, the company said in a statement.

"With our commitment to a continued capex and exploration programme, the periods ahead will see sustained growth on many fronts in both Egypt and Ethiopia," said Centamin Chairman Josef El-Raghy.

The company's pretax profit fell to $54.3 million for the quarter ended March 31 from $56.1 million a year ago, offsetting gains from higher average price, which rose nearly 21 percent to $1,694.

Centamin shares were up about 2 percent at 62.3 pence at 7.43 GMT on the London Stock Exchange. They touched a high of 63.75 pence earlier in the session.

By Reuters

Korea invests in South African mining company

Frontier Rare Earths said Wednesday that as of earlier this month, Korea Resources has bought an initial 10 per cent interest in the Zandkopsdrift rare earth project for $23.8 million – payable to Frontier in cash by September 30.

The Korean government-owned mining and natural resources company is responsible fosymons cone crusher repair manualr its share of all operating costs and expenses related to the Zandkopsdrift project, which is located in South Africa, proportionate to its initial 10 per cent interest in the rare earths property.

The news follows on from the initial strategic agreement announced between the two parties in December 2011.

"Frontier is the only junior company in the rare earths sector to have signed a definitive agreement with a significant strategic partner such as Kores, which we believe is a reflection of the potential of Zandkopsdrift," said Frontier president and CEO James Kenny.

"The matters confirmed today provide an indication of the positive and collaborative working relationship already established between our companies and we look forward to Kores’ continued involvement with Frontier and participation in the development of Zandkopsdrift."

Under the terms of the agreement, Frontier was required to file the NI 43-101 compliant positive preliminary economic assessment for Zandkopsdrift on SEDAR by 30 March.

The company noted that it satisfied this condition and the results of the PEA indicated that the proposed development of Zandkopsdrift "is both technically feasible and economically robust with a low risk profile."

As part of the deal, along with an initial 10 per cent interest in the project, Kores has off-take rights for 10 per cent of the rare earth production from Zandkopsdrift.

The agreement also provides that Kores may acquire a further 10 per cent interest in Zandkopsdrift and/or up to a 10 per cent share ownership of Frontier following completion of a definitive feasibility study, which together, if acquired, would give Kores off-take rights for an additional 21 per cent of rare earth production.

Frontier said the definitive feasibility study is scheduled for completion in the third quarter of 2013.

Kores can also form a consortium of Korean companies to jointly participate with it and Frontier in the development of Zandkopsdrift.

Korea's high tech sector is a prime target for rare earth mining companies outside China looking for a financial partner to help develop their assets as rare earths demand is driven, in large part, by two fast-growing sectors - energy and high technology.

Frontier has said in the past that Kores is expected to form a consortium to participate in the joint venture including Samsung Group, GS Caltex and Daewoo Shipbuilding. Kores has until the end of September to finalize the details of the consortium.

The rare earth company's flagship asset is Zandkopsdrift, which is located in the Northern Cape Province of South Africa and is one of the largest, highest grade undeveloped rare earth deposits worldwide.

At the end of June, the company received final assay results from its 2011 drilling program at Zandkopsdrift that yielded total rare earth oxide (TREO) grades as high as 19.5 per cent.

Frontier said the results confirmed the presence of "extensive high grade rare earth mineralization and continuity of mineralization" from surface to an average depth of about 80 metres.

Among the highlights was 6.9 per cent TREO over 11 metres, including the highest grade interval of 19.5 per cent TREO at a minimum interval length of one metre.

Frontier said that the new assay results will be included into an updated mineral resource estimate for Zandkopsdrift, in which a majority of the mineral resources at the project would be upgraded to the measured and indicated categories.

The company’s PEA, released in February, reported that Zandkopsdrift is estimated to contain roughly 950,000 tonnes of TREO applying a one per cent TREO cut-off, and gave a whopping net present value of $3.65 billion, after tax and royalties, at an 11 per cent discount rate.

Internal rate of return for the project was seen at 52.5 per cent, after tax and royalties, with a two year payback from start of production.

Average production was pegged at 20,000 tonnes of separated rare earth oxides per year over a 20-year mine life with production due to start in the second half of 2015.

Zandkopsdrift's "key to success" is mineralogy - as the property contains conventional rare earth minerals, with 97 per cent being monazite, for which commercial extraction processes already exist.

Capital costs for the project were calculated at $910 million for a one million tonne per annum open-pit mining operation, along with concentration and rare earth separation plant facilities. Two thirds of the capex is related to the Saldanha separation plant, with mining and shipping costs low due to the high grade and the availability of infrastructure.

Fortescue Announces New Billion Tonne plus Brockman discovery close to Cloudbreak

Fortescue Metals Group on Friday announced that it has made a new discovery of over 1 billion tonnes (Bt) of high grade Brockman iharga jual crusher batubara indonesiaron formation. This maiden estimate is expected to grow as further drill results come in. Named the Nyidinghu* project, it is 35 kilometres south of Fortescue’s Cloudbreak operation on the edge of the Hamersley Ranges and is open to the north where intersections of over 100 metres were encountered.

Early strip ratio calculations suggest it can be mined on a one to one basis. Already very valuable on a standalone basis, the proximity of Nyidinghu to Fortescue’s existing Chichester Hub mining operations and unique high performance modern infrastructure boosts their collective value significantly. The discovery provides Fortescue with a number of strategic opportunities. These opportunities include the ability to significantly increase Fortescue’s total production and to mix Nyidinghu’s higher phosphorus ore with the lower phosphorus ore.

Such low phosphorus “blend” ore is very valuable in the Pilbara and is typical of Fortescue’s multi-billion tonne Chichester discovery that hosts the major Cloudbreak and Christmas Creek mines. The new Nyidinghu discovery will create a new high value blend and thus extend the life of these mines. The addition of Nyidinghu takes Fortescue’s total resource portfolio to almost 7Bt of hematite - goethite mineralisation plus another 2.5Bt of magnetite mineralisation. Fortescue is commencing a Feasibility Study with a view to developing this deposit as rapidly as possible.

Fortescue’s proven front end development team is already working on options for maximizing the value of this major new discovery in conjunction with the company’s existing mines and infrastructure. The feasibility study will also involve infill drilling to support estimates of Indicated and Measured Resources, appropriate metallurgical testwork and necessary hydrological, environmental and other studies. The majority of the deposit is composed of bedded iron ore (BID) hosted within the Brockman Iron Formation. Mineralisation is hosted in the Dales Gorge, Whaleback and Joffre Members of this Formation and is overlain in some areas by some Channel Iron Deposits (CID).

Rwanda Sees Increased Mining Investments After Ban in Congo, Minister Says

Rwanda expects increased investment in its minerals industry following the suspension of mining in eastern parts of the neighboring Democrghana gold mine for saleatic Republic of Congo, according to Christophe Bazivamo, Rwanda’s minister for forestry and mining. “We expect investors who want to mine and trade minerals from Congo to now do that in Rwanda because of the ban,” he said in an interview in Kigali yesterday.

Congolese President Joseph Kabila on Sept. 9 suspended most mining in the North Kivu, South Kivu and Maniema provinces in an effort to wrest control of the industry from “mafia groups.” The suspension will continue while the Congolese army tries to stabilize the area around Bisie, the region’s biggest tin-ore mine, Mines Minister Martin Kabwelulu said on Oct. 25. “We will determine the impact of the ban on our exports in January,” said Bazivamo. “But we know that investors can get the minerals they were getting from Congo here in Rwanda.”

ArcelorMittal deal annoys workers

Workers in the Northern Cape has added their voice to criticism orotary kiln design manualsf ArcelorMittal SA's empowerment deal in Kumba's Sishen mine in the province. The Congress of SA Trade Unions (Cosatu) in the province said it was "totally disgusted" by the empowerment deal which would benefit a handful of individuals.

"What is of serious concern in this deal is the fact that a bigger chunk of the R9 billion deal is said to be going to a handful of individuals that include Duduzane Zuma, who is the president's son," it said in a statement. The comments relate to the department of mineral resources awarding prospecting rights at Kumba Iron Ore's Sishen mine to Imperial Crown Trading (ICT), which has close links with Duduzane Zuma. ArcelorMittal SA recently announced the sale of a 26 percent stake in its assets to black investors, including the owners of ICT. Cosatu's provincial secretary Anele Gxoyiya said the deal creates the impression that only the politically connected stand to benefit from the country's economic resources...

MDM is awarded the Gold Fields Tarkwa (E)PCM Project in Ghana

MDM Engineering is pleased to annouused sand wash machine plants in dubaince that it has been awarded the Gold Fields Ghana Limited (E)PCM contract for their Tarkwa project in Ghana, which will include the provision of services for the CIL Crushing Plant Expansion Project.

GFGL owns and operates the Tarkwa gold mine located in south-western Ghana, about 300 km by road west of Accra, the capital. It is situated 4 km west of the town of Tarkwa with good access roads and an established infrastructure. The site consists of multiple open pits, two heap leach facilities and a CIL plant.

MDM completed a Conceptual Study for the CIL crushing optimisation in September 2010. The Conceptual Study examined the existing test work, plant operations and plant equipment in order to develop the flow sheets to best achieve the optimisation. In March 2011, detailed engineering and design was submitted and based on this, MDM will be moving forward with expanding the project.

Mining M&A doubles in H1 - report

Mining mergers and acquisitions doubled in tgold ore detector undergroundhe first half, coming close to the total for the whole of last year, although the pace was tempered by concerns over global macroeconomics and resource nationalism, advisory and accountancy firm Ernst & Young said on Monday.

Total deal value jumped to $96.3 billion from $47.9 billion in the year-earlier period, in part reflecting the larger size of deals in the sector. There were $113.7 billion of deals made in the whole of last year. Coal deals led the way in terms of value while gold transactions were tops by volume. "Momentum is growing," Lee Downham, Ernst & Young's global mining & metals transaction advisory leader told Reuters, adding that he expects more deals to be completed in the second half than the first. "We could see over $2 billion worth of deals by the end of the year," he said. The number of initial public offerings in mining & metals rose 30 percent to 73 in the first half, while total proceeds more than doubled to $13.0 billion, mainly on the $10 billion listing of commodities trader Glencore...

All Grade Mining Signs Letter of Intent to Acquire Copper Mining Project in Chile

All Grade Mining announced that the Company has signed a Letter ofcomo hacer un triturador casero Intent to acquire a copper mining project, Jose Del Transito, in Chile.

The Jose Del Transito Project is located approximately 3 kilometres north east of Ovalle. The mountain ranges surrounding the city are known for its minerals, gold, silver, copper and iron ore. The project currently has three substantial sets of artisanal workings and several small shafts in the project area, which indicates that the property is ideal for both open pit and stope mining. The mine is currently producing 1,100 tons per month and the Company has estimated a production lifespan of 15 years.

Gary Kouletas, CEO of All Grade Mining commented, "The opportunity on the Jose Del Transito Project enables the Company to acquire the project at a low cost with an immediate revenue stream which we expect to increase the monthly production over the next several months. We hope to complete the acquisition of the project and take control of the mining operation in the coming weeks."

Sishen rights for ICT ‘will raise stakes for Kumba’

The government is adamant that Imperial Crown Trading (ICT) is the holder of valid pcommercial peanut butter machine sale 2012rospecting rights in Kumba Iron Ore’s Sishen mine, which were snatched from ArcelorMittal South Africa last year after the steel producer failed to reapply for the licence on time. Kumba released a statement last week in which it objected to the acceptance by the Department of Mineral Resources (DMR) of an application from ICT for mining rights.

Kumba did not believe the acceptance of the application was lawful, pending a high court review initiated last May over the prospecting rights awarded to ICT.Kumba, a subsidiary of Anglo American, learnt about the development on Wednesday last week. Analyst Barend Ritter at Sanlam Investment Management said yesterday that Kumba had objected strongly to the DMR’s acceptance of the application. “This could be due to the fact that ICT was not allowed access to the Sishen property to perform prospecting work. “(Kumba) will have to start another process to appeal the decision of the DMR… This appeal will be on top of the existing legal disputes they have with the DMR about the award of the prospecting licence to ICT and the legal dispute with ArcelorMittal SA.”

Chalice and Newmont Conclude Agreement for Eritrea Regional Joint Venture

Chalice Gold Mines Limited is pleased to announce it has agreed principle terms100 tph gold trommel for sale with Newmont Ventures Limited, a subsidiary of Newmont Mining Corporation, to enter into a regional venture to explore for gold in Eritrea, East Africa covering areas outside of its Zara Gold Project.

The proposed venture, the formation of which is subject to formal documentation, is to be between Chalice subsidiary Keren Mining and Newmont and is for the exploration and evaluation of regional gold opportunities in Eritrea.

The area the subject of the venture covers approximately 24,000 square kms and is currently subject to applications for grant from the Eritrea Government.

The venture excludes Chalice’s Zara Gold Project (615 sq km), where a Feasibility Study is currently nearing completion on the high‐grade, open pit Koka Gold Deposit (Ore Reserve of 760,000oz @ 5.1g/t Au).

Under the proposed venture, Newmont will fund an initial US$1 million reconnaissance exploration program taking advantage of proprietary exploration techniques developed by Newmont and successfully utilised in other jurisdictions, and Chalice’s extensive experience in Eritrea. At the conclusion of this program, Newmont and Chalice will select areas to be retained in the venture, with the interests of the parties being Newmont 75% and Chalice 25%.

The parties will then contribute to exploration on a pro rata basis, subject to rights of dilution. An interest falling below 10% will revert to a net smelter royalty interest of between 1% and 1.25%.

Chalice is able to acquire, in its own right, any areas the parties decide not to pursue, with Newmont having a right of first refusal (“ROFR”) on the disposal by Chalice of any area it takes up. The ROFR (on an area‐by‐area basis) expires following the completion of 5,000 metres of drilling on the relevant area by Chalice.

If the venture declares a gold mineral resource of greater than 500,000 oz but less than 1,000,000 oz and the venture does not advance the same within 18 months, either party can carve this out from the venture and at an agreed value. Chalice will manage the initial exploration program under a joint Newmont‐Chalice management committee. Newmont may elect to become manager following the initial program.

Chalice has the right to increase its interest to 30% in venture areas if the Eritrean Government elects not to exercise the right it has under Eritrean law to acquire a further 20% interest in the event of mining. This additional interest can be acquired by Chalice at a pro rata cost based on previous exploration.

Commenting on the new joint venture, Chalice Managing Director, Dr Doug Jones, said: “We are very pleased to welcome Newmont as a partner in Eritrea. We see this venture as beneficial to both companies, providing Newmont with our in‐country presence and knowledge base and Chalice with Newmont’s financial strength and cutting‐edge technological expertise."

“It also reflects the growing recognition amongst the gold majors that the Arabian Nubian Shield, which underlies a large part of Eritrea, is a highly prospective yet underexplored geological province with tremendous potential for new gold discoveries."

“The joint venture is also in line with Chalice’s commitment to Eritrea and our ongoing engagement with the country and its people”.