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World-first nickel treatment process gets seal of approval

World-first nickel treatment process gets seal of approval

AUSTRALIAN producer Direct Nickel (DNi) has successfully completed a test program on its signature nickel laterite treatment process, calling the milestone a “major step” in its strategy to become a leading global nickel producer. Completion of the program has positioned the company for its first commercial plant, with a feasibility study underway on a nickel processing plant in Indonesia in partnership with the island nation’s largest nickel miner, PT ANTAM. Through 2013 DNi built and operated a 1t per day test plant at CSIRO’s Australian Minerals Research Centre in Perth, using a unique process to turn nickel laterite ores into final saleable products. The process uses nitric acid as a leaching agent and a patented recovery and recycling process to...

Prohibition notice issued after safety incident

Prohibition notice issued after safety incident

THE Department of Mines and Petroleum (DMP) has issued a prohibition notice to Fortescue Metals Group, ordering the cessation of blasting at its Christmas Creek mine in the Pilbara. The order was issued following a safety incident with a contractor in late January and Mining News reported that an investigation was underway. DMP executive director of mines safety Simon Ridge said the incident occurred during charging operations in a mining area. However, “no explosives were detonated and no one was injured as a result of the incident”. Fortescue assumed full ownership and operational responsibility for two ore processing facilities at Christmas Creek early this year, following two fatal incidents at the project in four months. The DMP investigation follows a...

Explorer expands holding in promising belt

Explorer expands holding in promising belt

JUNIOR explorer Ram Resources has picked up another five tenements in WA’s Fraser Range nickel-copper belt, adding an extra 163 square kilometres to its holdings in the area. The newly acquired Fraser Range North tenements lie 150km north of Ram’s Fraser Range project and Sirius Resources’ Nova nickel-copper deposit. Under the deal signed with an unnamed private prospector, Ram will pay $40,000 now and a further $40,000 within six months, with a final payment of $50,000 per tenement due in two years if the company wants to claim a 100 per cent stake in the licenses. The vendor will retain a 1.5 per cent net smelter royalty. In a statement, the company said it would undertake an aggressive exploration program...

Subsea miner terminates PNG agreement

Subsea miner terminates PNG agreement

THE world’s first seabed mining operation could be back on track after Nautilus Minerals ended months of uncertainty by terminating its agreement with the State of PNG. A statement released by the company made it clear that the PNG Government had failed to purchase a 30 per cent interest in the Solwara 1 project, contrary to an arbitrator’s award issued in October last year. In accordance with the State Equity Option Agreement (SEOA) signed by the parties in March 2011, Nautilus terminated the agreement and would now claim damages. “A commercial resolution with the state has not been achieved in a reasonable timeframe,” Nautilus reported in an 18 February investor update. “There was too much uncertainty created by the state’s...

Space agency seeks partner for moon exploration

Space agency seeks partner for moon exploration

NASA will work with the private sector to fast-track exploration of the moon for crucial fuel and mineral resources, such as helium 3 and rare earth metals. Private companies have submitted initial proposals for the Lunar Cargo Transportation and Landing by Soft Touchdown program (CATALYST), with at least one private company expected to secure a contract to build moon-bound prospecting robots. “The National Aeronautics and Space Administration (NASA) is releasing an announcement seeking proposals to partner in the development of reliable and cost-effective commercial robotic lunar lander capabilities that will enable the delivery of payloads to the lunar surface,” NASA said in a statement. “Such capabilities could support commercial activities on the moon while enabling new science and exploration missions...

Robust volumes return record half-year revenue

Robust volumes return record half-year revenue

DIVERSIFIED mining services and commodities production company Mineral Resources has announced record revenue for the 2014 half financial year, and a 10 per cent increase in earnings before interest, taxes, depreciation and amortisation. Citing a 90 per cent increase in iron ore volumes supported by a weaker Australian dollar, Mineral Resources recorded a 7 per cent rise in earnings from the previous half year, with a net profit after tax of $130.4 million. Mineral Resources further contributed debt repayments of $117 million across the term, with the company position becoming cash positive in January. The company has reportedly retained “significant” cash balance. The company’s contracting volumes were similarly reported as “robust”, and included crushing and processing services, polyethylene pipeline engineering...

Mining magnate loses private land to joint venture

Mining magnate loses private land to joint venture

BILLIONAIRE Andrew Forrest has lost a bid to stop a mineral sands joint venture from mining on his family’s Pilbara-based cattle station, after nearly three years of dispute. Perth-based explorer Onslow Resources and project partners Yarri Mining and Quarry Park were granted conditional approval to mine the Ashburton River bed, 100km south of Newman, in late January. Mr Forrest, founder of iron ore giant Fortescue Metals Group, had argued against the approval, stating the development would damage the Ashburton River environment and surrounds, and would prevent him from effectively using the land at his privately owned pastoral property, Minderoo. According to The Guardian, Mr Forrest’s submission to the WA Warden’s Court stated the mining operation would “sterilise and degrade the...

Extra time for Australia’s biggest open pit gold mine

Extra time for Australia’s biggest open pit gold mine

THE decision to process low grade stockpiles will see Australia’s largest open pit gold operation continue to process gold until 2029. Kalgoorlie Consolidated Gold Mines (KCGM) previously expected to continue mining the Kalgoorlie Super Pit until 2019 and processing gold until 2021. However in 2012 the stockpiles were deemed a mining reserve in accordance with NI43-101 standards, allowing the processing of ore to continue for an additional eight years. “While current plans have us stopping open pit mining in 2019, processing the low grade stockpiles has now become part of our long-term plan,” KCGM general manger Russell Cole said. “The inclusion of the stockpiles means KCGM currently plans to process gold until 2029. Of course this may change as the...

Nickel junior cuts deal for lucrative deposits

Nickel junior cuts deal for lucrative deposits

BASE metals junior Sirius Resources has taken full ownership of its Nova and Bollinger deposits, after negotiating a $210 million acquisition deal with 30 per cent company shareholder Mark Creasy. The company entered a binding agreement with Mr Creasy – Australia’s richest mining prospector – via his company Ponton Minerals in mid February, to gain full proprietary of exploration licences across the nickel-rich Fraser Range in WA’s Yilgarn Craton – including Sirius’ famed Nova-Bollinger tenements. The acquisition, which remains conditional on shareholder approval, comprises 70.6 million fully paid, ordinary Sirius shares exchanged for $28 million in cash, and a 0.5 per cent net smelter royalty payable on production made from any future discoveries within the region. Royalty payments exclude any...

Environmental updates pending for WA mining legislation

Environmental updates pending for WA mining legislation

PROPOSED changes to the WA Mining Act will clarify environmental obligations, increase transparency for the industry and community, and remove unnecessary duplication. WA Department of Mines and Petroleum (DMP) environmental executive director Phil Gorey said the proposed changes to the Mining Act 1978 would also help clear up environmental responsibilities. “These amendments will increase our ability to introduce risk and outcomes-based environmental regulations,” Dr Gorey said. “This places the onus on operators to identify and address environmental risks associated with their project. “It will also assist industry in proactively identifying and managing environmental impacts and risks, and clarify DMP’s role in environmental regulation.” Dr Gorey said the changes would help WA regulate the impacts of mining into the future. “The...

Profit falls soften outlook for year ahead

Profit falls soften outlook for year ahead

BRITISH multinational Anglo American has given a subdued outlook for the global coking coal and iron ore industries following profit falls in 2013. In its 2013 preliminary results, Anglo reported US$2.7 billion in earnings for the full year, up 7 per cent from the previous year. However according to The Australian, the company wrought a US$961 million overall loss for the year, inclusive of a US$232 million after-tax writedown from its Foxleigh coal mine in Queensland’s Bowen Basin. Anglo also noted currently depressed coking coal prices, stating that strong production from the US and Australia had created an oversupply. However, while US exports had started to fall, Australia’s coal production remained at record highs. Anglo’s preliminary results reported its metallurgical...