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January 27, 2023

What You Missed in the News This Week

St Barbara Minerals released their December quarterly report this week, with disappointing results.

Consolidated gold production was down from 63,700oz in the September quarter to 60,976oz.

The Leonora operations saw a reduction of gold production from 34,078oz last quarter to 32,175oz. The December quarter from the year before produced 16,462oz more gold than this quarter.

The amount of gold sold was 32,634oz, down 2,712oz from last quarter and 22,966oz less than the same quarter last year.

St Barbara’s share price dropped 21.348% to $0.70 after the report was released on Wednesday.

Pilbara Minerals has appointed John Stanning as Chief Development Officer.

In the newly created position, stanning will over see Pilbara Mineral’s corporate development, growth and exploration functions.

Managing Director and CEO, Dale Henderson said “John brings an impressive track record of lithium sector experience and relationships across the value chain. We are looking forward to having John join our executive team and working closely with him to further our growth objectives as an emerging leader in the provision of sustainable battery materials products.”

Pilbara Minerals has awarded Primero Group a $62m contract for construction work at its Pilgangoora project.

The contract is for the construction of a primary rejection facility and preliminary works for a new crushing and ore sorting facility.

Located 120km from Port Hedland, the project is located at one of the world’s largest hard rock lithium deposits.

Pilbara Minerals managing director and CEO, Dale Henderson said “We look forward to working closely with Primero for the safe and successful delivery of this package, which will step-up our production run-rate to the next level with a total of
680 kilo-tonnes per annum of spodumene concentrate across the combined Pilgangoora operation.

“The successful completion of this project will further cement Pilbara Minerals’ position as
an emerging leader in the provision of sustainable battery materials products.”

Fortescue Metals has released its December quarter report for 2022, announcing record shipments.

Andrew Forrest said “The Fortescue team delivered our highest ever December quarterly shipments of 49.4 million tonnes, our best ever half year, grew the mineral and green energy business globally, strengthened our balance sheet, kept costs low, all while maintaining our excellent safety performance.”

Fortescue’s cash balance increased to $4B USD on 31^st December 2022, compared to $3.3B USD for the September quarter.

The S&P/ASX200 markets finished up on Friday at 7,493.8 points, setting a new 100-day high.

The week started at 7,435 points before gaining 0.56% through the week.

Megaport Limited and Liontown Resources were the top performing stocks, gaining 7.22% and 5.19% respectively.

The All Ordinaries closed up at 7,707.5 points.

The top performing stocks were 88 Energy Limited and Develop Global Limited, gaining 18.18% and 12.68%.

Gold peaked at $1,951.15USD on Wednesday, continuing a 9-month high, and rounding off the week at $1,928.82USD.

Silver stumbled at the start of the week, falling from $24.18USD to $23.79USD on Tuesday, before it rose again to finish off the week at $24.07USD.

January 13, 2023

What you missed in the news this week

Hancock Energy has increased its offer to buy Warrego Energy from $0.28 cash per share to $0.36 cash per share, totalling $447m if the offer is approved.

Three of the Four Warrego directors have recommended shareholders accept the deal over an offer made by Strike Energy, offering one Strike share for every Warrego share.

Great Western Exploration will extend its Firebird Gold Project after gold anomalism was found at their Greenstone Belt site, located near Wiluna.

The announcement saw a 4% share price increase for Great Western Exploration to $0.052.

Fortescue CFO Ian Wells has announced his resignation in order to spend time with family and friends.

Wells is the ninth executive in two years to resign, not long after Guy Debelle resigned in November last year.

Wells said that despite his resignation, “Fortescue is in a strong position to be able to deliver on short-, medium- and long-term growth options through the Iron Bridge magnetite project, Fortescue’s decarbonisation, and FFI’s (Fortescue Future Industries) portfolio of opportunities.”

Everest Metals Corporation’s share price jumped 20.87% to $0.110 per share after an initial drilling program at their Mt Edon mining lease saw positive pegmatite levels, causing EMC to push to exercise its exclusive farm-in option to acquire the right to 100% interest in the Mt Edon Project.

Chief Operating Officer, Simon Phillips said “EMC is pleased to announce its decision to exercise its right to farm into the Mt Edon LCT Pegmatite Project, subject to Shareholder approval. The company is pleased to have the opportunity to take the next step towards 51% ownership in a project with such an extensive array of pegmatite outcrops over six kilometres. The recent reconnaissance drill program gave EMC the data it needed to commit to the next stage of exploration at this highly fertile pegmatite field as part of the Company’s commitment to its Battery Minerals project development strategy”

Lithium Power International has commenced its drilling program at its East Kirup Lithium Prospect this week.

East Kirup is located in the Greenbushes region, Southwest of Collie.

LPI Executive Director, Andrew Phillips said ““The results of this drilling program will be used − along with previously completed environmental surveys − to prepare a CMP to allow drilling on new tracks, the commencement of phase three.

The intention is to hit the ground running in 2023, and we are pleased that the commencement of the program is so early in the year.”

The S&P/ASX 200 started off the week slow at 1,178 points before falling to 7,126 points on Wednesday. The market picked up again, increasing 202 points to finish off at 7,328 points.

The All Ordinaries finished at 7,540 points. The top performing stocks where Poseidon Nickle and Andromeda Metals.

Gold had a slow rise this week, starting at $1,882.00 USD and rounded the week off at $1,898.90 USD at the close of the ASX.

Silver was more turbulent, falling from $24.30 USD to $23.89 USD on Tuesday, raising again to $24.17 USD on Wednesday, then falling again on Thursday to $23.88 USD before finishing off the week at $23.94 USD.

December 20, 2022

12 Months of Mining Recap

A lot has happened in 2022 so we’ve compiled some of this year’s biggest mining news:

January

Rio Tinto expects the introduction of battery-electric powered trains in the Pilbara will help them halve their emissions by 2030.

They hope the trial will pave the way for its entire fleet of 220 diesel locomotives to go electric.

Fortescue Metals Group also plans to replace diesel-powered vehicles by 2030 in their plan to decarbonise.

Then FMG chief executive Elizabeth Gaines said to achieve carbon neutrality: “we will have to replace our mining fleet, our rail fleet, shipping, all of those areas that are mobile that rely on the use of diesel.”

February

Lynas has received approval from WA Environment Minister Reece Whitby to build $500m rare earths refinery at Kalgoorlie.

The plant is scheduled to begin production next year and is expected to create over 120 jobs.

Kalgoorlie-Boulder Mayor John Bowler said he hopes the plant will operate for decades: “This is the next big metal, something totally different from gold and nickel … it’s a big occasion and great day for Kalgoorlie-Boulder.”

May

Ron Sayers, West Australian mining tycoon who founded the Perenti Group, has died after his battle with stomach cancer and Alzheimer’s disease.

Sayers began as a fitter on Kalgoorlie’s Golden Mile before founding his company Ausdrill in 1987.

Today the ASX200 listed company employs more than 8,000 employees across 12 countries.

Construction has begun on a 580km pipeline in WA that will take gas from the Perth basin to the Goldfields.

The $460m pipeline will form part of the Northern Goldfields Interconnect pipeline, aimed to significantly increase the volume of gas available inland.

June

The United States Department of Defence has awarded Lynas Rare Earths a $120USD contract to build a processing facility on the Gulf Coast in Texas.

The production of the facility aims to reduce the US’ reliance on China for rare earth minerals.

Lynas managing director Amanda Lacaze says the deal demonstrates the priority that the US is placing on “ensuring that supply chains for these critical materials are resilient and environmentally responsible”.

July

Australian mining company Lucapa has unearthed a rare 170-carat pink diamond, one of the biggest pink diamonds ever found.

“The Lulo Rose” is believed to be the largest found in 300 years.

October

Two people have died in 72 hours in separate mining incidents in WA.

The first died after a rock fall at the Hamlet underground mine at Saint Ives near Kambalda.

The second died at the Capricorn Metals’ Karlawinda gold mine near Newman when his vehicle was run over by a large dump truck.

November

A $750m community investment trust funded by WA’s big fish in mining has been set up by the state government to help fund infrastructure in remote communities and legacy projects.

The government hopes to eventually have $1b in the fund, so far Rio Tinto and BHP have contributed $250m each, Hancock Prospecting has contributed $100m, Woodside $50m, Chevron $50m and Mineral Resources has contributed $50m.

Projects to be funded include an Aboriginal Cultural Centre for Perth’s CBD, the refurbishment of the Perth Concert Hall and upgrades to the Perth Zoo as well as several projects in remote WA.

Swedish company, Epiroc, has agreed to acquire Kalgoorlie Boulder company, Remote Control Technologies Pty Ltd.

RCT was founded 50 years ago and provides automation solutions to mining companies.

RCT is the second Kalgoorlie Boulder company acquired by Epiroc this year, after their acquisition of JTMEC earlier in the year.

The acquisition is expected to be completed by the end of the year.

December

St Barbara and Genesis Minerals have announced their merger to create Hoover House,

St Barbara will acquire 100% of the shares in Genesis. Genesis shareholders will own 41% of Hoover House, with St Barbara shareholders owning 38%.

Hoover House will have a production target of over 300,000oz of gold per annum.

St Barbara chair, Tim Netscher, said: “The merger with our Leonora neighbour, Genesis, to create Hoover House, will accelerate our Leonora Province Plan. Shareholders will reap the benefits of more production at lower cost and lower risk from this prolific mining district.”

Genesis Managing Director, Raleigh Finlayson, said: “By combining with St Barbara, we are creating Hoover House, the premium Australian gold company we envisaged, with sustainable, high-quality production.”

Elizabeth Gains is stepping down as CEO of Fortescue to become their ambassador for their global green hydrogen brand. Gains will remain a non-executive director.

Gains will be responsible for promoting green hydrogen, green ammonia and green energy.

Since Gains began leading the company in 2018, Fortescue’s share price has quadrupled, and shareholders have grown from less than 35,000 to 170,000.

“ I don’t see this as a departure of any shape or form. I think it’s just the opportune time for Fortescue who are genuinely transitioning,” Ms Gaines said.

December 16, 2022

What you missed in the news this week

St Barbara and Genesis Minerals have announced their merger to create Hoover House,

St Barbara will acquire 100% of the shares in Genesis. Genesis shareholders will own 41% of Hoover House, with St Barbara shareholders owning 38%.

Hoover House will have a production target of over 300,000oz of gold per annum.

The federal government has announced a cap on gas and coal prices as part of its Energy Price Relief Plan.

The plan includes the 12-month emergency gas price cap, a targeted energy bill relief for households and businesses, and investment in cleaner, cheaper and reliable energy.

Anthony Albanese said the action is designed to “provide all Australians with a buffer in unprecedented times.”

A South African researcher has developed a new way to remove contaminates from water used in mining.

The process involves small polystyrene beads that chemically bond with pollutants as the water passes through, cleaning the water and collecting the pollutants for reuse.

Ed Hardwick, owner of Cwenga Technologies said the beads extract valuable materials from the water: “What has been identified in some streams, especially coal mining streams, is that the acid that’s produced from the mine waters actually dissolves out some rare earth materials.”

Aruma Resources has announced its recently completed diamond core drilling program at their Salmon gums Gold Project has expanded the project’s Greenstone footprint to over 75km².

The drilling, located at their Norseman Gold Camp was designed to provide a deeper geological understanding of the project and opened up the potential for the project to host multiple horizons.

Kin Mining has completed their first deep diamond drill-hole at Helens-Rangoon Fault – which saw wide zones of shallow gold – to test an Induced Polarisation anomaly.

The drilling was completed at their Cardinia Gold Project near Leonora and has intersected significant zones of gold mineralisation.

Kin Mining Managing Director, Andrew Munckton, said: “This represents a strong start to the 5‐hole diamond drill program, which is designed to test the first generation of deeper targets at Cardinia with the aim of uncovering new, high‐grade discoveries within the exciting Eastern Corridor.”

S&P/ASX 200 markets started out the week a little lower, at 7,163 points before climbing to 7,253 points at the end of Wednesday. The markets saw a sudden drop Friday morning, falling from 7,209 points to 7,122 points before making a slight comeback to finish the week.

The All Ordinaries followed a similar trajectory, falling 91 points to 7,304 points Friday morning, before climbing again throughout the day.

Gold peaked at a 3-month high of $1,813.70USD on Wednesday, before dropping again to $1,787.85USD to round out the week.

Silver saw a 6-month high of $24USD on Wednesday before a slight decline to $23.35USD to end the week.

December 9, 2022

What You Missed in the News This Week

IGO’s Nova Mine will cease operations for several weeks after a fire started in the diesel engine room.

No one was injured in the fire, but the West Australian mine safety authorises have launched an investigation into the incident.

The mine is located in the Fraser Range, 160km east of Norseman.

IGO’s acting chief executive, Matt Dusci said “We are thankful that all our people are safe and unharmed. We have activated our contingency plans and will work to re-establish operations at Nova as quickly and safely as possible.”

The Saint Barbara Festival took place last week in Kalgoorlie.

The annual event consists of the Miners Memorial Service on Thursday 1^st December and the St Barbara’s Parade on Sunday 4^th December.

Codrus Minerals has announced high grades at their Niobium-Rich Karloning REE Project in north of Mukinbudin in the Wheatbelt.

Codrus Managing Director, Shannan Bamforth said: “We are excited by the high grades returned from 3 samples that exceeded the upper detection limit in the original assaying. Seeing grades for heavy REE elements of this magnitude is very positive, particularly given that these metals are intrinsically linked to the decarbonisation thematic.”

The S&P/ASX 200 closed on a lower note this week. Starting at 7,321 points on Monday, before finishing at 7,213 points on Friday.

Champion Iron and Sandfire Resources were top performing shares, gaining 5.15% and 4.81% respectively.

The All Ordinaries finished on 7,406 points, falling from the high of 7,551 from Monday.

Gold dropped on Tuesday from $1,810.70USD to $1,7744.54USD before rising again over the last few days to finish up at $1,798.80USD.

Silver also fell significantly on Tuesday from $23.49USD to $22.63USD but gained it back during the week to $23.44USD

December 2, 2022

What You Missed in the New this Week

Surbiton Associates has announced Australian gold production for the September 22 quarter is down 9% from the June 22 quarter.

The September quarter saw 76 tonnes compared to the 83 tonnes from the June quarter.

Surbiton Associates director, Dr Sandra Close said gold production for the quarter is somewhat disappointing and stated “some wet weather and Covid-19 problems affected output adversely” but is confident these effects are slowly receding.

Gold Fields has awarded their Barren Lands open pit project to establish a new mine at their Agnew Gold Mine, 150km Northwest of Leonora to MLG Oz.

The project will run alongside their current St Ives cooperation.

MLG founder and managing director Murray Leahy said “we are very proud to continue to support Gold Fields at their St Ives and Agnew operations extending what has, and continues to be, a long and rewarding relationship.”

Metal Hawk Limited has announced diamond drilling at their Berehaven Nickel Project has commenced.

The project, located 20km Southeast of Kalgoorlie Boulder, continued after high grade nickel sulphide was discovered in the area last year.

Minerals Resources is offering starting salaries of over $140,000 to New Zealanders in an entice them to Perth. The campaign is set to see several hundred New Zealanders over the next 6 months.

The S&P/ASX200 stumbled slightly on Monday before recovering to start the month on a high of 7,372 points yesterday. The markets finished off the week on 7,302 points, dropping 0.72% from yesterday.

The All Ordinaries peaked at 7,572 points yesterday, finishing at 7,504 points today.

Gold was relatively stable at the start of the week, before picking up on Wednesday to finish the week at the biggest high since August at $1,802.25USD/oz.

Silver followed suit, starting stable before reaching the biggest high since June at $233.04USD/oz.

November 18, 2022

What You Missed This Week in the News

BHP has offered Oz Minerals a takeover offer of $28.25/share, including $9.6B, three months after their initial unsolicited offer.

BHP offered a$25/share, $8.4m takeover offer in August, which Oz Minerals rejected, saying it failed to properly value the company’s portfolio.

The offer comes after the two renewed talks on Thursday, and Oz Minerals board have accepted the offer, OZ Minerals Managing Director and Chief Executive Officer, Andrew Cole said: “BHP’s Revised Proposal is a clear reflection of OZ Minerals’ unique set of highly strategic, quality assets in quality jurisdictions. We look forward to working with BHP in a collaborative way to progress the Revised Proposal in the best interests of OZ Minerals’ and its stakeholders.”

MetalsGrove Mining has announced that drilling contractor Topdrill has mobilised its drill rig in preparation to commence the inaugural drilling at their Upper Coondina Lithium Project.

The project is located 100km south of Marble Bar, near Port Hedland.

BHP, Curtin University and Greening Australia have partnered to trial vegetation barriers to improve air quality and capture dust in the West End scheme in Port Hedland as part of BHP’s Pilbara Air Quality Program.

Phase 1 which involved planting 80,000 seedlings, has been completed and another 80,000 is scheduled to be planted in the next few months.

The ”What’s Down the Track” Forum was held in Kalgoorlie Boulder on Thursday. The event, run by the Kalgoorlie-Boulder Chamber of Commerce, provides a 12-month forecast into the drivers that support the growth and opportunities that exist within the region.

The event included speakers and exhibitions from BHP, Kai Rho Contracting, Deep Yellow Limited, St Ives, Northern Star, Lynas Rare Earths, Evolution Mining and Epiroc.

The S&P/ASX200 markets stumbled at the beginning of the week, starting off on the month’s high of 7,196 points before falling to 7,106 points on Wednesday. The markets made a comeback to finish the week at 7,152 points. Oz Minerals was the top performing stock, up 3.92% after their takeover offer from BHP.

The All Ordinaries us up too, finishing the week on 7,355 points.

Gold is trading at $1,765.52USD after a stable week, and silver at $21.35USD, after peaking early on Tuesday at $22.28USD.

November 11, 2022

What You Missed This Week in the News

Mining magnate Twiggy Forrest at the Egypt COP27 climate summit this week, is pushing to restrict seabed mining until it has the same protections as land mining.

In sentiments echoed by conservationist groups, Forrest voiced concerns about the environmental impact of seabed mining – which could begin as early as mid 2023.

“The deepest seabed supports some of the least understood ecosystems on the planet.” He said and argues that seabed mining should not commence “until we can match existing regulations placed on mining on land.”

QX Resources is scheduled to commence drilling at their Turner River hard rock lithium project by the end of the month. The project is located in the Pilbara Region, Southeast of Port Hedland.

OD6 Metal’s share price skyrocketed on Wednesday by 97.84% to $0.459 after announcing outstanding results from their recently completed drilling campaign at their Splinter Rock project northeast of Esperance.

BHP have announced record shipments from their iron ore in WA for the third year running. In their AGM this week, BHP released their income figures, including $33.9B EBITDA from iron ore.

In the AGM, BHP CEO Mike Henry and Chairman Ken MacKenzie also announced their commitment to a total elimination of sexual harassment, racism and bullying in BHP workplaces.

“That is why I want to apologise to all those who have experienced or continue to experience, any form of sexual harassment, racism or bullying anywhere at BHP,” MacKenzie said.

“We are determined to eliminate these harmful behaviours. At BHP, we are committed to providing a safe, inclusive, and supportive workplace culture where everyone can bring the best of themselves to work.”

The S&P/ASX200 jumped sharply today to 7,143.10 points, jumping 2.79% (194.0 points). The markets rounded out the week by following the upward trend that started on the 11^th of this month.

All Ordinaries followed suit, gaining 204.40 points (2.86%) to 7,350.10

Gold had a good week, ending on a high compared to the start of the week. The spot price rose 2.45% from $2591.72oz t to $2655.23oz t.

Silver rose from $32.36oz t to $33.37oz t this week.

April 14, 2021April 14, 2021

Drilling Commences At Ravensthorpe

Drilling commenced yesterday at the Medallion Metals Ravensthorpe Gold Project, between Hopetoun and Ravensthorpe in the South East of Western Australia. The 32,000m drill program will include around 26,000m at the Kundip Mining Centre which according to 2012 JORC gold Mineral Estimates entails around 674,000oz. Further targets at Kundip centre on known deposits of Flag, Harbour View and Kaolin, while also looking at near mine potential sites of Gem Restored and Gift South.

Drilling Commences at Medallion Metals Ravensthorpe Gold Project

The Managing Director Paul Bennett commended the team for the swift approach and earmarked the first results “It’s a credit to the Project team to get up and running safely and within this short timeframe. With drilling now underway, we’re looking forward to reporting the first drill results in May and the pace of that reporting increasing as the second rig to site next week.” he said.

Medallion Metals has opened on the markets at $0.250.

April 7, 2021April 7, 2021

New Nickel Discovery At Kambalda’s Beta Hunt Mine

A new high grade nickel discovery has occurred at Karora Resources Beta Hunt Mine at Kambalda in Western Australia. Named the 50C Nickel Trough, the discovery is the second new nickel discovery at the mine in the last six months and compliments an increasing gold system at the mine.

With a key nickel intersection of 11.6% Ni over 4.6 metres, including 18.4% Ni over 2.2 metres, the 50C Nickel Trough has the potential to repeat the Beta zone which has delivered over 32,000 tonnes of nickel to date. While the results for nickel have been quite promising, the drilling for nickel also intersected gold. In the key nickel intersection above, a gold intersection included 5.2 g/t Au over 3.2 metres. However the highlight of gold intersects included 2.7g/t Au over 12.0 meters, including 10.1g/t Au over 1.4 metre. The recent gold drilling has also indicated extensions to the known gold mineralised system at Beta Hunt to be over 3.5km along strike.

Paul Huet, Chairman and CEO of Karora said, “I am very excited with the latest set of drill results from Beta Hunt, which continues to return outstanding intersections and now a second new nickel discovery, all within close proximity to existing mine development. While we are focused on gold production as our core strategy, the potential by-product credits from these nickel grades, as high as 18%, are undoubtedly substantial. While our drilling in the 50C discovery area was aimed at nickel targets, our efforts also returned some meaningful gold assays including 5.2 g/t over 3.2 metres in hole G50-22-005E. These gold results demonstrate yet another potential area to add to the growing gold resource at Beta Hunt in the near term and have extended the strike extent of Beta Hunt gold mineralisation to 3.5 kilometres from 3.1 kilometres previously.”