Category: Companies

All images: Ramelius Resources. BY REUBEN ADAMS THE acquisition of Edna May in late 2017 represents a step change for Ramelius Resources. The estimated 54 per cent uplift in annual gold production pushes Ramelius through the 200,000ozpa ceiling, while a rock-solid balance sheet paves the way for further growth. Ramelius Resources chief executive Mark Zeptner presented at the Denver Gold Forum in September last year, just after a complex $90m agreement to acquire Evolution Mining’s Enda May gold mine in WA was locked in. The deal represented the next step in the company’s strategy to build on the strength of its existing WA operations at Mt Magnet and Vivien and establish itself as a profitable and sustainable mid-tier.  “Over the…

Image: GFG Alliance. Photography: Sean Kelly. BY ELIZABETH FABRI BRITISH billionaire Sanjeev Gupta’s GFG Alliance is on an Australian spending spree. The new owner of Arrium’s Whyalla has big plans to put Australia on the map as a global leader in vertically integrated steel and aluminium production — and the path to achieve this is nothing short of impressive. GFG’s landmark acquisition of Arrium’s Whyalla steelworks in August 2017 was just the first step in Sanjeev Gupta’s plan to transform Australia’s steel and aluminium industry, and become one of the country’s largest renewable energy producers. Mr Gupta has already made a big name for himself and his $14.5 billion business in the UK— and more recently the US and Europe…

All images: Rio Tinto. BY ELIZABETH FABRI IT capped off a strong 2017 calendar year with $US8.8 billion in profit, but Rio Tinto is increasingly focussed on reputation and its social license to operate, both here and abroad. Rio Tinto is riding high on the back of a 90 per cent increase in net profit compared to 2016. It was a successful year on many fronts, with Rio Tinto’s iron ore division celebrating the opening of the $US338 million Silvergrass mine. Iron ore prices were also working in its favour, as China’s increased appetite for higher grade ore continues following the nation’s winter steel curtailment policy. However, like many of its peers, the company’s global ‘social license to operate’ has…

All images: Western Areas. THE nickel market is in the midst of major disruption as two distinct commodity segments appear – nickel sulphate for the fast growing EV market, and the traditional stainless steel market, dominated by lower grade ferronickel. In Australia, Western Areas is very well placed to seize the advantage as high grade nickel demand continues to grow. BY REUBEN ADAMS It’s been more than a decade since nickel prices went into free fall from a peak of $51,600 per tonne (t). Now – despite continued price volatility and large supply inventories – market fundamentals are looking healthier than they have in years, with a burgeoning electric vehicle (EV) sector looks set to put a rocket under the…

All images: WPG Resources. BY ELIZABETH FABRI THE trials are far from over for WPG Resources, but with development finally moving ahead at Challenger Deeps, a planned mill expansion nearing completion, and on site contract issues easing, 2018 is set to be a turnaround year for the company. The 2017 year was tough for WPG Resources— perhaps its most disappointing to date. After acquiring full ownership of the Challenger Gold Operations in August 2016, all signs were pointing towards 2017 as a year of profit. But come 30 June 2017, the company’s balance sheet was in trouble. “Although we reported an EBITDA of a positive $0.8 million, our statutory loss of $9.1 million and total production of 50,882 ounces of…

All images FMG. BY ELIZABETH FABRI NEV Power is preparing to step down after six and a half eventful years at the FMG helm – leaving some mighty boots to fill. The seasoned executive reflects on his time at FMG and the company’s next chapter, as it embarks on the $US1.5 billion Eliwana project and examines diversification beyond iron ore. Rewind the clock four or five years and it’s hard to believe FMG is the same company that stands here today. In 2012/13, the iron ore miner was staring death in the face, drowning in a $US13 billion pool of debt just as the iron ore price was continuing its slow decline to late-2015 lows of $US38/t. Many outsiders feared…

All images: Pacific National. BY ELIZABETH FABRI RECENT worker strikes over employment conditions have not hampered Pacific National’s next round of developments under the fresh leadership of former BHP chief operating officer Dean Dalla Valle. It’s been an eventful six months for interconnected rail freight operator Pacific National. In July, veteran mining executive Dean Dalla Valle was appointed chief executive of the company to replace David Irwin; a defining moment as Pacific National lays the groundwork for its next wave of growth options. Best known for his four decade run at BHP and recent work taking personal control of the global miner’s response to the tragic Samarco dam disaster in Brazil, Mr Dalla Valle left BHP in March. His move…

All images: Rio Tinto. BY REUBEN ADAMS SURGING demand from Chinese alumina refineries is helping push the price of the bauxite back up – for now, anyway – ahead of the country’s aggressive winter shutdown policy. Yet the long term fundamentals are very promising, and Rio Tinto’s Amrun development is poised to take advantage. In August, Chinese bauxite and alumina imports increased 46 per cent and 123 per cent respectively. By late October the alumina price, based on Metal Bulletin’s FOB Australia index, had climbed 53 percent to $469.74 a tonne in two months; its highest level since the index was launched in 2010. In an October note, Wood Mackenzie senior analyst Ami Shivkar stated that there was still steam…