J2. Fossil Fuel Industry

Caliber, a Copenhagen-based stakeholder intelligence company, has released its 2023 Mining, Metals and Minerals Global Reputation Report which surveyed nearly 39,500 respondents of various professions including management, academia, the public sector and IT.

The report comprises data from 11,359 unique ratings of 49 mining, metals, and minerals companies across 13 markets – Australia, Austria, Brazil, China, Finland, France, Germany, Japan, Netherlands, Sweden, Switzerland, United Kingdom, and the United States, surveyed from September 25 to October 15.

The report found that globally, there are low levels of familiarity with companies in the mining, metals and minerals (MMM) sector.

Of all surveyed, only 15% could name at least one mining company.

The most well-known mining companies named are Vale, BHP and LKAB while the least well-known are Freeport McMoRan Antofagasta and CRH.

Globally, the MMM sector has a Trust & Like Score (TLS) – Caliber’s reputational metric – of 66 out of 100, which puts it on a par with the automotive and ehemicals sectors – and means it’s better perceived than the energy, banking and telecoms sectors.

“The sector’s middling reputation – on our scale, a Trust & Like Score of 66 is merely average – won’t raise many eyebrows either,” the authors said, noting extractive industries rarely win prizes for popularity or transparency.

Most people have a better perception of the sector than they did five years ago, the survey found — 39% of respondents said that they perceive the industry to have a more positive societal impact and just 13% say that they think the industry has a more negative societal impact than five years ago.

“Our expectation was that the industry would not have been seen to have been improving as much due to rising public expectations for companies related to their ESG performance and the very central position of the MMM industry in impacting climate change,” Søren Holm, senior advisor at Caliber said in an emailed response to MINING.com.

On average, MMM companies are perceived most favorably for their offering, ability to innovate, and leadership. Conversely, they are perceived less favorably for their impact on the planet, their relatability, and how ethically they conduct business, the report found.

Perceptions of the sector split on ESG — 40% of people have a very positive perception of MMM companies on offering and innovation while on average, 35% of people have a positive perception of MMM companies on ESG attributes, while 7-10% perceive them negatively – and most on environment.

What those surveyed pinpoint as serious issues for the sector to address are, unsurprisingly, reduction of carbon emissions and harm to people and the planet.

“[W]hat surprised us was the priority placed by respondents on the industry’s efforts to fight climate change over the industry’s ability to secure a steady supply of raw materials, “Holm said.

Most surveyed think the industry must do less environmental harm; with the sector’s use of water identified as the most serious issue.

“With a more transactionally bound group of informed stakeholders, we typically tend to see a sterner focus on delivering products, services, innovation, and bottom-line results rather than ESG-related metrics,” Holm noted.  

While 67% of respondents say improving efforts to fight climate change is at least as important or more important than ensuring a steady supply of raw materials needed for the green energy transition, 20% think it is most important for MMM companies to focus on fighting climate change.

Respondents say reducing the environmental impact of extraction is the primary issue to address — 38% of mention the negative impact on water usage and cleanliness as the most serious issue related to industry operations.

Overall, 80% of respondents think regulatory levels should stay as they are or be increased — but overarching regulation on a global scale would be difficult to impose and enforce, as most mining companies are subject to regulation by jurisdiction.

“We don’t see a framework for a regulator with a global reach. From a reputation perspective, the idea of conforming to a set of global standards or regulations is a double-edged sword,” Holm said.

“Adhering to global regulations shows that the company wants to do as much as other companies, which will be a good signal to send to its stakeholders if the standards or regulations are perceived to be sufficiently ambitious in all market operations,” Holm said.  

“However, that is a difficult scenario to imagine, as there are different levels of maturity of MMM operations in different markets, different worker regulations, [and] different environmental laws,” he noted. “A global regulator would be desirable, but the imagined route to establishing such a body will be long and full of obstacles – the COP is a good example of the difficult path to deciding on global standards, ambitions, and targets.”

When asked what the mining industry could do to improve its reputation, Holm said showing a reduction in CO2 emissions, having no negative impact on the local population in connection with mining sites and extraction of materials, and showing how the industry invests in better technology for more efficient extraction are top of mind.

“The industry’s low familiarity also presents a problem for its reputation,” Holm said.

“An important and much-debated industry means that people unfamiliar with any company are basing perceptions on limited information. By communicating publicly and establishing clearer positions on topics of public interest, companies can take more control of how their reputations are shaped.”

Ivanhoe Mines (TSX: IVN) has arranged a private placement worth C$500 million ($370m) to fund its upcoming exploration plans as well as provide working capital. The placement is expected to close by Dec. 18, 2023, subject to exchange approvals.

Last week, the Africa-focused miner announced it has quadrupled its exploration budget for 2024 to $90 million, most of which will go towards its Western Foreland project in the Democratic Republic of Congo.

The proposed financing will see Ivanhoe offer approximately 41.66 million Class A common shares for sale at C$12.00 each. BMO Capital Markets, acting as sole agent of the placement, will be granted a 15% overallotment option.

CITIC Metal Africa Investments and Zijin Mining Group, Ivanhoe’s two biggest shareholders, will have the right to purchase common shares to maintain their pro rata equity interests in the company, which are roughly 25.8% and 13.6% respectively.

Ivanhoe recently made an exploration breakthrough on the Western Foreland project with the Kitoko discovery, a high-grade copper mineralizing system that has drawn comparisons to the massive orebody being mined at Kamoa-Kakula.

Also in November, the company was granted greenfield prospecting rights in Angola covering about 22,195 km² of area, where it is looking to invest at least $10 million in the initial exploration.

Lion One Metals (TSXV: LIO ASX: LLO) is calling the latest drill results from its 100%-owned Tuvatu alkaline gold project “significant.” The best assay from drilling results is 1,968.23 g/t over 0.6 metre. And the bonanza grades do not end there. Lion One has also seen assays of 886.25 g/t, 135.60 g/t, 115.86 g/t, and more.

The Tuvatu gold project is located in the South Pacific island nation of Fiji. It is located near the country’s international airport and the second largest port. It is also only 35 km southeast of the Vatukoula gold mine, which has produced over 7 million oz. of gold over the last 87 years.

Lion One is intent on building Fiji’s second gold mine. The Tuvatu project has an indicated resource of 1 million tonnes grading 8.50 g/t gold containing 274,600 oz. plus an inferred resource of 1.3 million tonnes at 9.00 g/t gold containing 384,000 oz. of gold.

The original preliminary economic assessment for the project was made in 2015, but Lion One updated it in 2022. An underground mine is planned using longhole stoping with a small amount of jackleg stoping. The ore is amenable to gravity concentration and flotation followed by cyanidation. Based on metallurgical tests, gold recovery is expected to be about 87.5%.

The project made its first gold pour on Oct. 10, 2023. Mechanized mining will begin next year with zone 500 development beginning in 2025.

The International Council on Mining and Metals (ICMM ) announced on Wednesday the publication of its guidance to support mining companies to set impactful short-medium and long-term targets for reducing their Scope 3 emissions.

The Scope 3 Emissions Target Setting Guidance underscores the importance of transparency and engagement with suppliers, customers, investors and regulators in setting targets to help accelerate emissions reduction throughout the value chain, ICMM said in a statement.

In 2021, ICMM members committed to achieve net zero Scope 1 and 2 greenhouse gas (GHG) emissions by 2050 or sooner, in line with the ambitions of the Paris Agreement. They also committed to report on Scope 3 emissions and set reduction targets by the end of 2023.

Scope 3 emissions are a critical area of focus for the mining and metals industry, representing up to 95% of a company’s total emissions, compared to 75% across other sectors, the Council said, citing a study by Mining Technology.

In September 2023, ICMM published Scope 3 Emissions Accounting and Reporting Guidance, establishing a standardized framework for mining and metals companies to calculate and disclose their value chain emissions. This new target setting guidance builds on these accounting and reporting principles.

According to ICMM, this guidance defines target-setting principles tailored to the specific considerations of the mining and metals sector, and is drawn from current EU, US, UK, Canadian and Australian regulatory frameworks, as well as guidance from the United Nations’ High Level Expert Group on Net Zero Emissions Commitments of Non-State Entities.

Acknowledging the inherent differences in commodities and value chains, rather than endorsing a specific methodology, it provides mining and metals-specific context around commonly used approaches, ICMM added.

The guidance establishes a robust framework that sets out leading practice across four maturity stages, with each stage outlining minimum expectations across five key dimensions: accounting and reporting, identification of emissions ‘hotspots’, business integration and alignment, assessment of decarbonization pathways and organizational governance.

“As the discussions at COP28 have made clear, each sector bears the responsibility to understand its part in the broader system and extend beyond immediate boundaries to unearth solutions to stubborn sources of emissions. As the base products in almost every industry – from renewable energy and sustainable transport, to construction and tech – metals and minerals are critical to advancing the Sustainable Development Goals and meeting the goals of the Paris Agreement,” ICMM chief executive officer Rohitesh Dhawan said in a statement.

“At Antofagasta, our commitment to addressing climate change permeates every aspect of our strategy and decision-making. The introduction of ICMM’s Scope 3 Emissions Target Setting Guidance is an important step in enhancing transparency and catalyzing collaborative efforts across the industry to curb these emissions,” Iván Arriagada, member of ICMM’s Council Climate Change Advisory Group, and CEO of Antofagasta plc, added.

Find ICMM’s Scope 3 Emissions Target Setting Guidance here.

Vale’s ex-president Fábio Schvartsman may avoid trial for the Brumadinho dam collapse that killed more than 250 people in Brazil in 2019.

The former executive’s defense has filed a habeas corpus, which is set to be reviewed this Wednesday by the Federal Regional Court of the 6th Region in Brazil.

Schvartsman faces charges of qualified intentional homicide and environmental crimes related to the dam collapse at the Córrego do Feijão mine in Brumadinho, Minas Gerais.

He had led the company from May 2017 before taking a leave in March 2019 after federal prosecutors recommended his immediate exit.

Schvartsman’s defense request aims to have the criminal action dismissed. Families of the victims plan a mobilization in front of the courthouse in Belo Horizonte during the trial.

In addition to Schvartsman, the case involves 15 other individuals.

Read More: Brazil’s comptroller general alleges Vale corrupted inspection in Brumadinho case

Dear readers,  

We are excited to tell you all about the recent change in ownership of The Northern Miner Group. On Dec. 1, The Northern Miner Group was officially acquired by EarthLabs Inc. (TSXV: SPOT; OTCQX: SPOFF). This acquisition represents an evolution of The Northern Miner Group’s brands: The Northern Miner, MINING.COM and Canadian Mining Journal, which combined can reach over 1 million users monthly across our news sites, e-digests and social media channels.  

It will also usher in a wave of innovation as EarthLabs was previously GoldSpot Discoveries, a startup that sold its AI mineral exploration technology division to ALS Global in late 2022. 

“We have long been reviewing opportunities in the media space, waiting for the right opportunity to expand our portfolio,” Denis Laviolette, executive chairman and CEO of EarthLabs, said in a release. “The TNM Group assets are highly complementary to our own, with mining news and media products that will now benefit from greater distribution, including millions of valued users on CEO.CA.” 

The power of our vaunted media brands meshing with the culture of a successful tech company has us all looking towards new ways that we can better serve our readers and our clients with more interactive news source and more market awareness.  

EarthLabs currently consists of CEO.CA, the largest social media platform for mining investors that boasts more than 12 million unique viewers since inception and a highly engaged audience; DigiGeoData, a mineral resource database and mapping tool that provides geological, claim, drill hole and other contextual information; and a precious metals royalty portfolio that includes nearly 2,500 sq. km of prospective ground in Newfoundland. 

The Northern Miner, established in 1915, along with Canadian Mining Journal, established 1882 and MINING.COM, established in 2008, have earned readers’ trust through our dedication to quality, unbiased journalism. That will not change as the media group will run independently under the same continued leadership.  

The Northern Miner Symposiums, our successful and growing events segment, has earned a strong reputation as a convener of some of the biggest names in mining. It will continue to provide exceptional networking opportunities and it will also grow as we and our partners, Precious Metals Summit Conferences, launch the Energy Transition Metals Summit in Washington D.C. from Apr. 29-30, 2024.

In the near term you will see an increased focus on multi-media journalism as we bring you more site visits and interviews with leaders making a difference in both video and podcast formats. In addition, our advertisers will benefit from a larger engaged audience spread across a broader geographic reach with unparalleled performance tracking reports. 

We also plan to enhance our data offerings such as TNM Marco Polo mining intelligence platform by leveraging data and insights from DigiGeoData. TNM Maps and DigiGeoData Maps will also combine forces, emerging as the industry standard for mining project “Hot Play”activity mapping. It will distribute to an online audience of over 1 million plus more at in-person events. 

We look forward to serving you with best industry insights, data and networking opportunities for the next 100 years of our story.

Anthony Vaccaro, president of The Northern Miner Group

Barsele Minerals (TSXV: BME) is buying Gold Line Resources (TSXV: GLDL) in an all-share deal to consolidate projects in Sweden and Finland, the companies said on Wednesday.

Gold Line gets 0.7382 of a Barsele share for each of its own. A rough calculation using Tuesday’s closing share price shows the deal is valued at about C$6.6 million ($4.8m).

Barsele is advancing a northern Sweden gold project in a 55%-45% partnership in favour of Agnico Eagle Mines, (TSX: AEM; NYSE: AEM) which is the operator. Gold Line has three early-stage projects sitting on more than 1,040 sq. km of properties in Sweden and the Oijärvi gold project in Finland, formerly held by Agnico.

The deal, creating one of the largest gold exploration holdings in Scandinavia, gives Barsele heft to seek more financing and cut costs. It will also see Gold Line CEO Taj Singh become CEO of Barsele.

“The Barsele team has done a tremendous job advancing the Barsele project from an exploration stage project to a joint venture with Agnico,” Singh said in the news release. “This combination gives Gold Line shareholders a more immediate re-rating and return potential through the advanced-stage Barsele project, while maintaining exposure to the new discovery potential across our district-scale gold exploration portfolio.”

The Barsele gold project, about 600 km north of Stockholm is estimated to produce 324,000 oz. gold from 5.5 million indicated tonnes grading 1.8 grams gold per tonne, according to a 2019 resource estimate filed according to Canadian regulations. It has 25.5 million inferred tonnes at 2.5 grams gold for 2.1 million oz. gold.

Agnico became operator in 2015 and has drilled 433 holes over some 166,000 metres on the property. Agnico can earn an additional 15% in the project through the completion of a pre-feasibility study. Barsele isn’t required to help pay for costs until a pre-feasibility study is completed.

Barsele also plans to raise about C$1 million in a non-brokered private financing to fund exploration programs, it said on Wednesday.

Shares in Barsele fell 2¢ to 17¢ apiece on Wednesday morning in Toronto, valuing the company at C$23.8 million. Shares in Gold Line were unchanged at 12¢ each, valuing the company at C$4.4 million.

The new company’s property in Sweden runs along the Paleoproterozoic greenstone belt and covers more than 100 km of strike length of the regional Gold Line structural corridor. This belt hosts the development-stage Faboliden deposit and the past-producing Svartliden and Blaiken deposits. Gold Line is exploring the Paubäcken and Storjuktan projects. 

Highlights of Paubäcken drill results include 22.5 metres grading 2.4 grams from 45 metres depth and 14.6 metres of 2.5 grams from 142 metres downhole in a program where just 600 metres of a 5-km structure has been tested, the company said.

In Finland, the Oijärvi project includes the Kylmäkangas gold-silver underground deposit with an indicated resource of 1 million tonnes grading 4.6 grams gold equivalent for 159,000 oz. of gold equivalent and an inferred resource of 1.6 million tonnes at 2.9 grams gold for 152,000 oz. of gold equivalent, according to a 2022 report.

“The Oijärvi project was purchased from Agnico in 2021 and significant opportunity exists for resource expansion and additional regional discoveries,” the company said.

White and green organic light-emitting diodes (OLEDs) displaying record high efficiency have been developed by researchers at Korea’s Dongguk University.

To be able to create the OLEDs, the scientists first manufactured a new environmentally friendly and cost-effective bright green light-emitting manganese complex called MnBz.

Until now, one of the most popular commercial methods for fabricating OLEDs was the solution processing approach. However, while the fabrication process of such LED itself is low-cost and simple, the raw materials used during the solution process often include precious and expensive metals driving up the fabrication costs.
 
Studies have shown that low-dimensional complexes of earth-abundant transition metals could be the key to solving this problem. Thus, to develop a promising solution using this approach, the Dongguk team led by Vijaya Gopalan Sree attempted to synthesize zero-dimensional manganese (Mn)-based complexes via solution processing.

“Replacing expensive metals like gold and platinum with crystalline earth-abundant transition metal complexes can help achieve lightning solutions or displays that are cheaper yet bright and vibrant,” Sree said.
 
In this study, which was published in the Chemical Engineering Journal, Sree and his colleagues synthesized MnBz by subjecting manganese bromide (MnBr2) and benzyl-triphenylphosphonium bromide (Ph3BzPBr) to solvent-free grinding, followed by dissolution in acetonitrile solvent. The resulting solution was slowly evaporated over days to obtain single crystals of MnBz. The obtained MnBz exhibited bright green-light emissions with a narrow emission spectrum and high quantum yield.
 
The team then used the single crystals of MnBz to design a novel Mn(II) complex-based warm-white light-emitting device, which exhibited an excellent colour rendering index (CRI) of 78. MnBz was also used to design a green phosphorescent OLED device, which exhibited excellent performance. These light emitters displayed a record-breaking quantum efficiency of 11.42% and a current efficiency of 56.84 cd A-1.
 
The exceptional brightness of these MnBz-based devices in response to low turn-on voltages can pave the way for energy-efficient OLED-based consumer electronics and lighting systems.

“Our new eco-friendly and cost-effective light emitter can facilitate developments towards a wider adoption of OLEDs and ultimately impact people’s lives by transforming the way we interact with and illuminate our world,” Sree said.

Shares in Eldorado Gold (TSX: ELD)(NYSE: EGO) fell on Wednesday on both the Toronto and the New York exchanges after the company announced a 5% decrease this year in proven and probable gold mineral reserves at specific assets within its Canadian portfolio.

The miner said its mineral reserve and mineral resource (MRMR) estimates as of September 30 this year totalled 11.7 million ounces. This compares to 12.3 million ounces in the same period of 2022 at the Lamaque gold complex in Quebec, which includes the Triangle Mine (upper and lower), the Ormaque deposit, the Parallel deposit, the Plug #4 deposit, and the Sigma Mill. 

The Canadian company highlighted that exploration results from the Ormaque deposit showed continuous growth and resource expansion opportunities.

“Supporting our development strategy in Quebec, plans are being advanced to declare initial Reserves for Ormaque in late 2024 with completion of a pre-feasibility study, and exploration drilling will continue to test resource expansion opportunities,” president and chief executive George Burns said in a separate statement.

Eldorado shares dropped 1.3% in early trading in New York to $11.78 each and were down 1.2% to C$16.06 in Toronto on the news, leaving the miner with a market capitalization of C$3.28 billion ($2.41bn).

After facing headwinds in Greece for years, Eldorado developed and kicked off production at its Lamaque gold mine in 2019.

In 2021, the miner completed key growth projects at two of its assets — the Lamaque mine in Val d’Or, Quebec, and Kışladağ gold mine in Turkey.

It was also able to settle an ongoing tussle with the Greek government and resumed construction at its Skouries gold-copper project in the country’s north.

“Our mergers and acquisitions strategy is focused on jurisdictions where we currently operate,” Eldorado said at the time. “This includes developing our Skouries and Perama Hill projects in Greece, which will contribute to the longer-term growth of Eldorado, as well as identifying early-stage opportunities that provide long-term growth potential in our core jurisdictions.”

The Vancouver-based company, which also has two producing mines in Turkey, said it was encouraged by the results of its 2023 exploration program. The miner noted it was particularly optimistic about growth prospects at Lamaque’s Ormaque deposit.

South Africa’s Petra Diamonds (LON:PDL) said on Wednesday it had signed a non-binding deal with an unnamed party for the sale of its loss-making Koffiefontein diamond mine in the home country.

The diamond miner, which did not disclose the terms of the potential sale, has been exploring options to offload Koffiefontein since April 2022. The operation, scheduled to reach the end of its life in 2025, was placed on care and maintenance in November 2022. 

Petra said it continued to transition the mine towards closure, with an application expected to be submitted to the Department of Mineral Resources and Energy (DMRE) in February 2024. 

The miner noted such application will only be withdrawn when the potential sale is completed. If the parties are unable to reach a definitive agreement, then Petra intends to proceed with decommissioning, rehabilitation and closure of the mine as specified in the plan to be submitted and pending DMRE approval.

“We are mindful of our obligations towards our stakeholders at Koffiefontein when considering a potential sale, which provides an opportunity to extend the economic life of the mine beyond the responsible closure process currently under way,” chief executive Richard Duffy said in the statement.

Burdened by debt and falling revenue, Petra Diamonds put itself up for sale in 2020, but reversed the decision later, opting instead for a debt-for-equity restructuring. 

The move allowed the company to cut net debt by two-thirds in the fiscal year ended June 30, 2021 to $228 million, down from just under $693 million the previous year. The diamond producer also resorted to shrink its share in the Williamson mine in Tanzania.

Petra said last week the results of its latest sale and some market signs indicate the decline in diamond prices experienced this year is likely over.

The miner believes actions taken by major producers to curb supply and the two-month Indian moratorium that ends on December 15 have helped. It also mentioned strengthened retail sales in the US as a factor that has improved market conditions and made it easier for inventory levels across the pipeline to rebalance. 

Barrick Gold (TSX: ABX; NYSE: GOLD) says a human rights group making allegations of forced expulsions to expand the North Mara mine in Tanzania is incorrect.

Ottawa-based MiningWatch Canada contends thousands of Indigenous Kuria people were driven from their homes in December last year and in August and September this year. The group initially published a report on its claims in October 2022 and say the abuses continue.

“The eviction process has been intimidating, coercive and sometimes violent and did not conform to human rights norms,” MiningWatch research coordinator Catherine Coumans said in a release on Tuesday. “Villagers were prohibited from using their land to feed and support themselves long before they received any compensation. When the bulldozers came to destroy their homes, they had nowhere to go.” 

Barrick has repeatedly said in letters to MiningWatch that the company and the mine haven’t conducted forced evictions. The government has implemented a land purchase and compensation plan that has paid more than 4,900 people. Outside actors are responsible for lawlessness, CEO Mark Bristow wrote in March.

“There are unscrupulous land speculators that undertake illegal activities and seek compensation outside the remits of the law. These speculators have been responsible for intimidation and violent conduct during the process, and seek to pressure the company through external organizations that echo their unfounded claims.”

Barrick didn’t immediately reply to a request for comment on Tuesday. The company acquired the mine near Lake Victoria and the border with Kenya in 2019. There are some 32 cases concerning the relocations in Tanzanian court, but they’re about how much they agreed to be paid, not whether they were forced out, Barrick said.

“We support the rule of law and the right for individuals to use the Tanzanian judicial system,” Bristow wrote. “Our response is categorical that there are no forced evictions.”

The North Mara mine, which began commercial operation in 2002, has faced allegations of police brutality for years. The latest batch arrived within days of Barrick being named Tanzania’s employer of the year by a country-wide business group. The mine was run by a London-based subsidiary of Barrick, Acacia Mining, before Barrick acquired it. It’s now run in partnership with the government, which holds 16%.

The mine was losing about C$31 million a year to organized crime helped by police before 2017, according to a consultant hired by Barrick. The consultant’s report was released in September at a court case in the United Kingdom. That case was brought by people living near the mine that allege Barrick routinely cooperated with police who caused the deaths and injuries of locals.

Police try to keep order outside the mine. Mines in poorer countries are regularly besieged by informal miners who trespass onto properties or pay guards to look the other way. Barrick has updated the mine’s security management and agreement with the Tanzanian Police Force (TPF) to align them with human rights, the company said.

“We recognized and have addressed the legacy issues, rebuilt trust and restored the social license to operate,” Barrick said in September. “Barrick does not, and cannot, control, direct or supervise the TPF which operates independently under their own chain of command.”

The displaced around North Mara enter the mine’s waste rock dumps to find residual gold, MiningWatch states. It alleges many of these Kuria are killed or maimed by mine police. Some of those are part of another lawsuit in the UK and one in Canada. The group cited a father with 11 people in his household as one of those relocated by government officials.

“They came and told the police ‘we are done and we want him to sign.’ I asked them, ‘why should I sign something that I do not understand?,’” the man said. “I was badly beaten that day. Then I signed without understanding what I was signing and they took a photo of me.”  

Barrick has argued that MiningWatch hasn’t offered details about abuse to substantiate its allegations.

“We are willing to investigate such specific information against our own records,” Bristow wrote in March. “We would invite you to reconsider your approach so that a more productive dialogue can be achieved.”

Australian space exploration company Fleet Space Technologies announced Tuesday that its CEO, Flavia Tata Nardini, has been appointed to Austmine’s Board of Directors.

Austmine is an association for Australia’s mining equipment, technology and services sector, representing over 700 companies advancing mining innovation around the world.

This year Fleet scaled its space-enabled mineral exploration technology, Exosphere by Fleet, and expanded the company’s global footprint to the US, Canada, Chile, and Luxembourg.

In November, Fleet announced that a variant of their Exosphere technology, SPIDER, will be deployed on the Moon by Firefly Aerospace’s Blue Ghost lunar lander to search for water ice deposits and deliver subsurface insight about the lunar regolith in 2026.

Shortly after, Fleet Space Technologies was named “Australia’s Fastest Growing Company” by the Australian Financial Review.

 “The mineral exploration sector is undergoing a revolutionary shift as it adapts to the unprecedented demand for the inputs needed for the renewable energy transition,” Tata Nardini said in a news release.

“We look forward to working with all Austmine members to enable the sustainable transformation of the mining industry and establish Australia as the industry standard for mining innovation globally.”

Pasofino Gold (TSXV: VEIN) is now the sole owner of the Dugbe gold project in Liberia after consolidating a 100% interest from Hummingbird Resources (AIM: HUM), a deal which the companies had agreed for over a year.

In November 2022, Pasofino announced its intention to exercise its right under an option agreement to cause Hummingbird to sell its 51% interest in the Dugbe project to become a 100% owner (prior to giving effect to the 10% carried interest of the government of Liberia).

As consideration, the Canadian-based Pasofino agreed to issue a certain number of common shares to Hummingbird such that 51% of its outstanding share capital will be held by its UK-based counterpart. In a press release last week, it was revealed that approximately 54 million common shares would be issued.

“With Pasofino now owning a net 90% interest in the Dugbe gold project, the company is in a position to progress with the development of the project,” Ian Stalker, former CEO and now lead advisor to Pasofino, stated in Tuesday’s news release.

The 2,302 km2 Dugbe gold project is situated within the southwestern corner of the Birimian Supergroup, which is host to most West African gold deposits. A mineral development agreement issued by the government of Liberia for the project secures its mining rights and terms for 25 years.

To date, two deposits have been identified on the property: Dugbe F and Tuzon discovered by Hummingbird entities in 2009 and 2011 respectively. The deposits are located within 4 km of the Dugbe shear zone, which is thought to have played a role in large scale gold mineralization in the area.

After 82,000 metres of core drilling plus fieldwork, a feasibility Study was completed in June 2022, outlining an open pit mineral reserve estimate of 2.76 million oz. of gold, planned to be mined over 14 years, with an output of 200,000 per annum for the first five years.

Following the completion of a feasibility study, the Dugbe project was subject to a joint venture agreement between Pasofino and Hummingbird, under which the former held a 49% economic interest. Earlier this year, the partners initiated a joint strategic review process to maximize value for the project.

With respect to this, Stalker noted that the company, now the 100% project owner, will continue its strategic review given interest expressed during the review process.

NexGen Energy (TSX: NXE; NYSE: NXE; ASX: NXG) is arranging an at-the-market equity offering to sell up to C$500 million ($367m) of common shares. The company intends to use the proceeds principally for continued development of its Rook I uranium mine in northwest Saskatchewan.

The sale will be made pursuant to the terms of an equity distribution agreement among NexGen, Virtu ITG Canada, and Virtu Americas on the TSX, NYSE, or any other exchange as agreed upon by the agents and the company. The current agreement terminated a previous similar agreement dated Jan. 5, 2023.

The Rook I project includes a new underground mine and mill in the southwestern part of the Athabasca Basin. The project received the environmental nod from the province in November, making Rook I the first approved greenfield uranium development in 20 years. NexGen has begun detailed work on the front-end engineering and design (FEED) for the mine and mill.

The deposit has measured and indicated resources of 3.8 million tonnes grading 3.10% uranium oxide (U3O8), containing 256.7 million lb. of U3O8, enough for a mine life of 11 years. The feasibility study gives production as 29 million lb. U3O8 per year for the first five years. The total capital requirement will be C$1.3 billion for both early works and pre-production expenditures.

NexGen anticipates the next steps in the Rook I approval process will be the receipt of provincial construction approval, a Canadian Nuclear Safety commission hearing, and finally, receipt of the federal environmental approval and licences.

South America-focused rare earth developer Aclara Resources (TSX: ARA) announced on Tuesday an inaugural mineral resource for its regolith-hosted ion adsorption clay deposit Brazil that is said to contain significant quantities of dysprosium (Dy), terbium (Tb), neodymium (Nd) and praseodymium (Pr).

The project – known as the Carina module – is estimated to contain 168 million tonnes of inferred material grading 1,510 ppm total rare earth oxide (TREO), containing an average Dy and Tb grade of 42.1 ppm and 6.9 ppm, respectively.

This resource was estimated using the results obtained from 201 auger drill holes (1,630 metres) and 1,418 samples. It complements the 27.5 million tonnes of measured and indicated resources and 1.7 million tonnes of inferred resources at the Aclara’s Penco module in Chile.

The average net smelter return value of the Carina module resource, based on company calculations, is $32.3/t when using a cut-off value of $7.4/t.

According to Aclara, the recovery of rare earths from its Brazilian project is fully compatible with the technology patented and successfully demonstrated on a pilot scale in Chile, which is designed to minimize both cost and environmental footprint.

“The combination of its large size and attractive grades makes the Carina module an outstanding deposit of ionic clays and significantly increases Aclara’s total resource base,” Aclara CEO Ramon Barua said in a news release.

The next step for the company is to produce samples by processing the project’s ionic clays at its pilot plant in Chile. A preliminary economic assessment is being targeted for completion in January 2024.

“The fact that we can apply our patented metallurgical recovery process, which combines competitive costs with superior environmental qualities, provides a promising backdrop for the upcoming preliminary economic assessment,” Barua said.

On top of the PEA, the company is also pursuing additional resources through the completion of a reverse circulation drilling campaign, which is already underway and scheduled to be completed in Q2 2024.

Shares of Aclara Resources rose by 7.5% as of 12:10 p.m. in Toronto on Tuesday, for a market capitalization of C$70.1 million ($51.5m).

Iron ore prices rebounded on Tuesday as hopes resurfaced for more stimulus from policymakers in China.

According to Fastmarkets, benchmark 62% Fe fines imported into Northern China rose 0.37%, to $137.60 per ton.

The most-traded May iron ore contract on China’s Dalian Commodity Exchange ended daytime trading 1.52% higher at 969.5 yuan ($135.12) a metric ton, following a fall of 0.37% a day before.

The benchmark January iron ore on the Singapore Exchange was up 0.63% at $135.85 a ton, as of 0758 GMT, surrendering some earlier gains after hitting an intraday high at $136.35 a ton, the highest since February.

China’s leaders started a closed-door meeting on Monday to discuss economic targets and map out stimulus plans for 2024, Reuters reported, citing four sources familiar with the matter.

This came after China’s consumer price index in November dropped 0.5%, both from a year earlier and compared with October, official data showed. This is a deeper fall compared to a Reuters poll of 0.1% declines both year-on-year and month-on-month.

Supporting the prices of the key steelmaking ingredient is also the expectation of a wave of winter stocking among mills with low raw material inventories.

“Ore consumption will maintain at a relatively high level, in part due to the lingering expectation of winter stocking for raw materials,” analysts at Huatai Futures said in a note.

(With files from Reuters)

Mining equipment manufacturer Komatsu and automaker General Motors announced on Tuesday they will jointly develop a hydrogen fuel cell power module for the Japanese company’s 930E electric drive mining truck.

“Mining trucks are among the largest, most capable vehicles used in any industry, and we believe hydrogen fuel cells are best suited to deliver zero emissions’ propulsion to these demanding applications,” Charlie Freese, executive director of GM’s Hydrotec business, said in the joint statement.

The two companies will work on a prototype of Komatsu’s hydrogen fuel cell-powered 930E mining truck, which has a nominal payload of 320 tonnes. The companies said they aimed to test it in the middle of the decade.

GM and Komatsu said these mining vehicles usually operate at just one mine throughout their lifetime, which should make it easier to roll out hydrogen refuelling infrastructure to service a vehicle fleet.

The trucks will provide an additional pathway for decarbonization beyond battery-trolley or battery-static charging solutions, without the need for additional charging infrastructure within mines, the partners said.

The Japanese construction and mining machinery maker has set a target of reducing its global emissions by 50% by 2030.

It aims to achieve carbon neutrality by 2050 through the reduction and elimination of emissions within the company’s product offerings, facilities and production of its products.

Komatsu also works closely with its customers on reducing and eliminating emissions during product use through optimization programs supported by its proprietary technology and service solutions.

Vehicles with hydrogen fuel cells, in which hydrogen mixes with oxygen to produce water and energy to power a battery, can refuel in minutes and have a much longer range than battery-powered electric vehicles. These features have boosted interest from fleet operators in recent months.

GM is involved in similar endeavours with other players in the sector. Just last week, the company and Autocar Industries announced they will start developing hydrogen-powered heavy vehicles, including cement mixers and dump trucks. The first of these machines should go into production in 2026 at Autocar’s plant in Birmingham, Alabama. 

New research shows that compound energy droughts – when the grid loses both wind and solar energy inputs – can last nearly a week in some parts of the United States.

In a paper published in the journal Renewable Energy, a team at the Pacific Northwest National Laboratory (PNNL) explains that grid operators need to know where and when energy droughts will occur and how long they will last so that they can prepare to pull energy from different sources and manage grid-level battery systems that can store enough electricity to deploy during times when energy is needed most.

“When we have a completely decarbonized grid and depend heavily on solar and wind, energy droughts could have huge amounts of impact on the grid,” Cameron Bracken, lead author of the article, said in a media statement.

Bracken noted that in the past, researchers studied compound energy droughts on a state or regional scale. However, not much has been studied on a nationwide scale. 

To find out more about the risk of energy droughts over the entire continental US, Bracken and his colleagues dug into weather data and then used historical energy demand data to understand how often an energy drought occurs when that energy is needed the most.

The team examined four decades of hourly weather data for the continental US and homed in on geographical areas where actual solar and wind energy plants operate today. Weather data included wind speeds at the height of wind turbines as well as the intensity of solar energy falling on solar panels. Times when the weather data showed stagnant air and cloudy skies translated into lower energy generation from the wind and solar plants—a compound energy drought.

“We essentially took a snapshot of the infrastructure as of 2020 and ran it through the 40 years of weather data, starting in 1980,” Bracken said. “We are basically saying ‘Here is how the current infrastructure would have performed under historical weather conditions’.”

The researchers found that energy droughts can occur in any season across the continental US, though they vary widely in frequency and duration. In California, for instance, cloudy and windless conditions might last several days, whereas the same conditions might last for only a few hours in Texas. 

Utah, Colorado, and Kansas experience frequent energy droughts both over several-hour timescales as well as several-day timescales. The Pacific Northwest and Northeast, meanwhile, seem to experience energy droughts that last several hours more frequently than several days. The different timescales (hourly versus daily) will help inform the energy drought’s impact on the grid.

Overall, researchers found that the longest potential compound energy drought on an hourly timescale was 37 hours (in Texas), while the longest energy drought on a daily timescale was six days (in California).

Simply knowing the where and how of energy droughts is just one piece of the puzzle. Bracken stressed that a drought of solar and wind power won’t necessarily cause an energy shortage. Grid operators can turn to other sources of energy like hydropower, fossil fuels, or energy transmitted from other regions in the US.

But as the nation aims to move away from fossil fuels and rely more on solar and wind power, grid operators must understand whether energy droughts will occur during times when the electricity demand might exceed supply. Climate change brings hotter summers and more intense winter storms, and these are times when people use more energy.

To understand the possible connection between energy droughts and energy demand, the team mapped their historical, hypothetical generation data onto 40 years of historical energy demand data that also covered real power plants across the continent.

The data showed that “wind and solar droughts happen during peak demand events more than you would expect due to chance,” Bracken said, meaning that more often than not, windless and cloudy periods occurred during times when power demand was high. For now, Bracken isn’t certain that the correlation means causation.

“This could be due to well-understood meteorological phenomenon such as inversions suppressing wind and increasing temperatures, but further study is needed,” Bracken said.

Solaris Resources (TSX: SLS) has secured $80 million in funding from Orion Mine Finance Management for the Warintza copper-gold project in Ecuador.

The deal is made up of $60 million in senior secured debt, an offtake with a buyback provision, a subscription for $10 million in equity and a commitment for $10 million in additional equity financing, Solaris said in a release on Monday.

“This financing package funds the advancement of Warintza through studies and permitting, leading to a substantially de-risked project,” Solaris executive chairman Richard Warke said in the release. “It unlocks one of the last remaining major greenfield copper districts at low elevation and adjacent to infrastructure in the entire mining industry.”

Solaris, with investors including entrepreneur Ross Beaty and the Lundin family, is part of the Vancouver-based Augusta Group that has earned C$4.5 billion from investments in Equinox Gold (TSX: EQX), Arizona Mining (TSX: AZ), Augusta Resource, and Ventana Gold. The company is pursuing the exploration trail left by the late David Lowell, credited with about a dozen major discoveries including the giant Escondida in northern Chile now mined by BHP (NYSE: BHP; LSE: BHP; ASX: BHP).

The loan has a four-year term, offers an initial $30 million within weeks then more in staggered amounts when an environmental impact assessment and a prefeasibility study have been completed.

New York-based Orion, which has raised some $8 billion for mining projects over the past decade, has an offtake agreement for 20% of production for 20 years after it starts at the 268 sq. km property in the country’s southeast.

The initial $10 million in equity financing is at a Solaris share price of C$5.11. Shares in Solaris opened on Tuesday at C$4.60 apiece, valuing the company at C$681 million. They’ve traded in a 52-week window of C$7.53 to C$4.57.

Solaris also has the early-stage Ricardo and Tamarugo projects in Chile, the Capricho and Paco Orco projects in Peru, and a 60% interest in the La Verde joint-venture project in Mexico with Teck Resources (TSX: TECK.A, TECK.B; NYSE: TECK).

Warintza’s central deposit has 579 million indicated tonnes grading 0.47% copper, 0.03% molybdenum and 0.05 gram gold per tonne (0.59% copper equivalent), according to an April 2022 resource update. It has 887 million inferred tonnes grading 0.39% copper, 0.01% molybdenum and 0.04 gram gold (0.47% copper equivalent).