News Archive


Lumina raises C$20M in upsized placement

The company originally agreed to issue up to 24.19 million shares at C62c each to raise up to C$15 million but increased the offering a day later due to positive institutional and retail demand.

Lumina updated the inferred resource for its Cangrejos gold-copper resource three weeks ago, more than doubling the contained gold to 8.8 million ounces.

Cangrejos also contains 1.1 billion pounds of copper, 8.2 million ounces of silver and 23 million pounds of molybdenum.

Southern Silver in sight of silver giants

Southern Silver in sight of silver giants


St Barbara: 'Ain't seen nothing yet'

St Barbara: ‘Ain’t seen nothing yet’


RESOURCEStocks QA: Thundelarra's Tony Lofthouse

RESOURCEStocks QA: Thundelarra’s Tony Lofthouse


Vic Gold sets the pace in Yukon

Vic Gold sets the pace in Yukon





Lumina expects to deliver a preliminary economic assessment for the project in mid-2018.

The company acquired an additional 615ha adjacent to the Cangrejos project two weeks ago.

It ended the September quarter with US$3.43 million in cash, compared with $12.3 million at the end of 2016, due to its increased exploration expenditure in Ecuador.

Lumina’s share price rose more than 3% to C66c at yesterday’s close, still a long way off the 52-week high of $1.20 reached earlier this year.

Article source: http://www.mining-journal.com/capital-markets/news/1309490/lumina-raises-cusd20m-upsized-placement

Golden Star named Ghana’s mining company of the year

Golden Star was also named best performer in corporate social investment for its breast cancer awareness programme that has screened more than 10,000 women in the past three years; and was runner-up in occupational health and safety.

COO Daniel Owiredu, who has been with the company for 11 years, won the inaugural mining personality of the year award and Prestea process manager Ahmed-Salim Adam won best graduate research.

Mustang Resources QA: Christiaan Jordaan

Mustang Resources QA: Christiaan Jordaan


RESOURCEStocks QA: MOD's Julian Hanna

RESOURCEStocks QA: MOD’s Julian Hanna


Explorer poised for triumph

Explorer poised for triumph


Sweet start for Manuka

Sweet start for Manuka





President and CEO Sam Coetzer said the company was delighted the awards and said the result reflected the “strong commitment to excellence” by the whole team.

Golden Star was also recently named one of the Prospectors and Developers Association of Canada’s seven awards winners for 2018, for its environmental and social responsibility.

The company has two operations in Ghana, with Prestea underground expected to achieve commercial production this quarter.

Higher operating margins at the two mines pushed gold revenues up 58% for the September quarter, compared with the previous corresponding period, to US$87.8 million.

Golden Star had $30 million in cash and equivalents at the end of September.

The company expects to produce between 255,000 – 280,000oz of gold this year at an all-in sustaining cost of $970 – $1,070/oz.

Shares in the company fell 2.6% in New York to 86c but remain near the upper end of its 52-week range of 59c-$1.01.

Article source: http://www.mining-journal.com/events-coverage/news/1309489/golden-star-named-ghanas-mining-company

Kazatomprom looks at London listing

Reuters reports Kazakhstan’s state-owned miner was aiming to float up to 25% of the company.

The country has started an ambitious privatisation programme after being hard hit by falling oil prices, the wire service said, and was preparing to privatise larger firms including oil producers KaMunayGaz and Samruk Energy.

Southern Silver in sight of silver giants

Southern Silver in sight of silver giants


St Barbara: 'Ain't seen nothing yet'

St Barbara: ‘Ain’t seen nothing yet’


RESOURCEStocks QA: Thundelarra's Tony Lofthouse

RESOURCEStocks QA: Thundelarra’s Tony Lofthouse


Vic Gold sets the pace in Yukon

Vic Gold sets the pace in Yukon





The merits or otherwise of a London listing has been a hot topic on Mining Journal this month. 

The uranium sector has been hit by over-supply in recent years and spot prices have hovered around US$20/lb mark for the past 12 months, about one-third of the price prior to the Fukushima disaster in 2011.

However the spot price rose to $25.50/lb on November 20 according to Ux Consulting, weeks after Canadian producer Cameco’s (US:CCJ) announcement earlier this month it would suspend its largest uranium operation.

Kazatomprom had also announced in January it would cut its 2017 output by 10%, equating to about 3% of global output due to the oversupply situation.

The company has a roadmap of transformation projects including automation and digitalisation for 2017-2018.

In a recent translated statement, chairman Galymzhan Pirmatov said the company must first transform the corporate culture and create new skills and tools to help make effective management decisions.

Article source: http://www.mining-journal.com/capital-markets/news/1309488/kazatomprom-looks-london-listing

Uber lawyer says board, ex-CEO knew of evidence withheld from Waymo case

SAN FRANCISCO (Reuters) – Uber Technologies Inc’s former chief executive and some board members knew of a letter alleging employees had stolen trade secrets, but the document was withheld from a high-stakes lawsuit, a company attorney testified on Wednesday.

The admission that the letter was not produced in the lawsuit drew a sharp retort from U.S. District Judge William Alsup, who is overseeing the case and has asked U.S. prosecutors to investigate it, raising the possibility of criminal charges.

“On the surface it looks like you covered this up,” Alsup told Uber in court, later adding he had never seen a case like this. “It seems like there are so many bad things that Uber has done in this case. Usually it’s more divided.”

Alphabet Inc’s (GOOGL.O) Waymo has accused the ride services company of stealing confidential information about its self-driving car designs, the highest-stakes challenge on a list of litigation and investigations inherited by Dara Khosrowshahi when he joined Uber as CEO in August.

The case has hobbled Uber’s self-driving car program and Alphabet is seeking hefty claims. Uber has denied that it used Waymo trade secrets in its autonomous vehicle program.

The company recently signed off on a multibillion-dollar investment from Japan’s SoftBank Group Corp (9984.T) that, if successful, would demonstrate confidence in Uber’s long-term prospects.

SoftBank launched a tender for Uber shares this week and the Japanese company has said some notable early investors planned to sell.

The letter from former Uber security analyst Richard Jacobs alleges Uber trained employees to steal trade secrets and hide their activities by using communications programs with disappearing messages and a separate computer system.

At the hearing in San Francisco federal court, Uber in-house attorney Angela Padilla testified she did not disclose the letter to Uber attorneys and an outside law firm that were defending Uber in the Waymo lawsuit.

“There was no effort to cover this up,” Padilla said, adding that she takes “full responsibility” for not circulating the letter more widely.

She said the allegations in the letter had seemed “quite fantastical” to her.

Jacbos testified in court this week that his lawyer sent a 37-page letter to Padilla describing a group within Uber called marketplace analytics aimed at acquiring trade secrets, code base and competitive intelligence.

Jacobs’ attorney also sent a letter with the allegations to the U.S. Department of Justice.

In his testimony, Jacobs described an intelligence operation inside Uber to research competitors and gather data about them, and use technology to avoid a paper trail.

Alsup has agreed to Waymo’s request to delay a trial, which had been scheduled for next week, to give the Alphabet unit more time to investigate the allegations. The trial is now scheduled to begin in early February.

In court on Wednesday, Padilla said Uber viewed the Jacobs letter as a tactic by a disgruntled former employee to secure money from the company.

“We felt that Jacobs was trying to extort the company,” she said.

Uber eventually settled the matter by paying Jacobs $4.5 million, including a year-long consulting contract, and a further $3 million to his lawyer.

“That is a lot of money,” Alsup said. “And people don’t pay that kind of money for BS. And you certainly don’t hire them as consultants if you think everything they’ve got to contribute is BS.”

Padilla said the company had weighed the distraction of a drawn-out battle with Jacobs, as well as security concerns for employees named in the letter. An Uber manager, Mat Henley, who also testified on Wednesday said that he had fired Jacobs for poor performance.

Much of the testimony surrounded Uber employees’ use of communications applications that did not store messages, including Wickr and Telegram.

Uber CEO Khosrowshahi weighed in by tweeting on Wednesday that he had changed the communications policy in September to forbid use of such applications to discuss Uber.

Henley said that the group that Jacobs alleged stole trade secrets is now focused on counterintelligence to protect Uber from rivals.

Reporting by Dan Levine, editing by Peter Henderson and Meredith Mazzilli

Article source: http://feeds.reuters.com/~r/reuters/businessNews/~3/wQ88Rsx1Mcg/uber-lawyer-says-board-ex-ceo-knew-of-evidence-withheld-from-waymo-case-idUSKBN1DT2XT

Softbank offers to buy more Flipkart shares at reduced $9 bln-$10 billion valuation: Mint

(Reuters) – Japan’s Softbank Group Corp (9984.T) offered to buy an undisclosed number of shares in Indian e-commerce giant Flipkart at a reduced valuation in the range of $9 billion to $10 billion, the Mint daily reported on Thursday.

Softbank offered to buy Flipkart shares from investors and former and existing employees for $85 to $89 per share, the paper reported, citing sources. bit.ly/2j2D9Ec

Flipkart could not be immediately reached for comment outside regular business hours. Softbank declined to comment.

Investment bank Goldman Sachs is managing the share sale, the Mint reported.

The Bengaluru-based company reported an $11.6 billion valuation in April, after a funding round from Tencent Holdings Ltd (0700.HK) and others.

Reuters reported in August that SoftBank’s Vision Fund would invest nearly $2.5 billion in Flipkart through primary and secondary share purchases.

Reporting by Sangameswaran S in Bengaluru; Editing by Amrutha Gayathri

Article source: http://feeds.reuters.com/~r/reuters/businessNews/~3/GGDDdxo9oFY/softbank-offers-to-buy-more-flipkart-shares-at-reduced-9-bln-10-billion-valuation-mint-idUSKBN1DU07I

"[Lonmin’s] confidential presentation … does not paint a pretty picture"

Earlier this month, Lonmin delayed the release of its financial results for the year to September 30 due to its operational review process, sending its shares down about 30% that day.

The South Africa-focused miner had announced it would look to sell off excess processing capacity, joint venture some projects and reduce overheads by a minimum of US$37.3 million following the initial conclusions of its operational review in August, designed to address its concerns over “persistent adverse macroeconomic conditions” and inflationary cost pressures.

Wellgreen positioned uniquely for market shift

Wellgreen positioned uniquely for market shift


Heron ready to fly

Heron ready to fly


Barminco raises the bar

Barminco raises the bar


Westgold build goes up-tempo

Westgold build goes up-tempo


Novo steals the spotlight

Novo steals the spotlight


Copper developer turning up the heat

Copper developer turning up the heat




The additional measures were outlined in an unpublished presentation to stakeholders, and reviewed by Reuters, which one attendee told the wire service did “not paint a pretty picture”.

Cutting expenditure on social and labour plans could be problematic as miners are required to meet meet housing and other service obligations to maintain their operating licences, Reuters pointed out.

Lonmin’s 30% shareholder, South Africa’s Public Investment Corporation, also wants two seats on the board by the end of 2017 and has suggested Lonmin shifts its main listing to Johannesburg, Reuters reported.

Meanwhile, South Africa’s High Court this week postponed its hearing on the country’s controversial revised mining charter, shifting it from December to February.

Lonmin shares last traded down 5.7% at 62.25p, close to a 52-week low and at about a third of their peak reached in January.

Article source: http://www.mining-journal.com/finance/news/1309481/-lonmins-confidential-presentation-paint-pretty-picture

Sulphide looks promising for Rye Patch

Among the highlights, one hole intersected 70.1m at 2.94g/t gold and a separate 56.4m grading 2.6g/t.

The above drill hole was on the northern portion of the sulphide body where existing assay information had suggested lower grades; while a second hole in an untested area between the Central and Main pits intersected three gold zones including 57.9m at 1.3g/t.

Oklo set for success

Oklo set for success


Polymetal delivers on flagship Kyzyl project

Polymetal delivers on flagship Kyzyl project


Sarama engineers wider Burkina footprint

Sarama engineers wider Burkina footprint


Silver Mines peers past Bowdens

Silver Mines peers past Bowdens





“Based on the drill results and our exploration model, management believes the sulphide blanket beneath Florida Canyon could host a substantive high-grade ore body beneath the oxide zone,” president and CEO William Howald said.

“By quantifying the sulphide mineralisation, Florida Canyon has the initial makings of a world-class ore body located in Nevada.”

Rye Patch started production at the previously-mined project earlier this year and produced 2,911oz of gold and 1,626oz of silver in October, mining 35% more tonnes of ore than planned.

It expects to achieve commercial production, update the oxide resource and outline mine expansion plans in the first quarter of 2018.

Previous owner Pegasus Gold had done an internal pre-feasibility study on the sulphide mineralisation in 1996 using a gold price of US$400/oz but Rye Patch said not enough work had been done to qualify it as a resource or reserve.

The company had C$16.5 million (US$12.8 million) in its treasury at the end of October and its shares were unchanged yesterday at 21.5c.

Article source: http://www.mining-journal.com/discovery/news/1309475/sulphide-looks-promising-rye-patch

When bad news is good news: BMO

The bank says the mining companies in its coverage universe have all missed BMO expectations for most metals, even factoring in forecast reductions throughout the year. Copper and zinc estimates, for example, were revised lower by 7% and 7.65%, respectively.

“When coupling quarterly production shortfalls with production estimates that have already been revised downward, the 2017 production misses thus far are that much more magnified,” said analyst Alex Terentiew.

Copper developer turning up the heat

Copper developer turning up the heat


Wellgreen positioned uniquely for market shift

Wellgreen positioned uniquely for market shift


Heron ready to fly

Heron ready to fly


Barminco raises the bar

Barminco raises the bar


Wellgreen positioned uniquely for market shift

Wellgreen positioned uniquely for market shift


Copper developer turning up the heat

Copper developer turning up the heat


Barminco raises the bar

Barminco raises the bar


Heron ready to fly

Heron ready to fly




Of the 10 commodities BMO tracks, all but one missed forecasts, with bauxite being the exception with a 0.3% outperformance.

The upside of all this, of course, is that these misses in the midst of tight markets have been supportive for metals prices, and to a larger degree than many appreciate, says Terentiew.

“While positive demand sentiment on the back of a better-than-expected global economy has provided a backdrop for higher metal prices, we think supply-side challenges and production shortfalls potentially have been a more important driver of the current price strength,” he said.

The good news for those worrying that the recent strength of copper and zinc has about run its course, is that Terentiew expects production misses – and risk-driven fear of the same – to continue into the new year. New copper and zinc supply next year should be dominated by three new mines (Dugald River in Australia, Gamsberg in South Africa, and Cobre Panama in Panama) that each come with the risks attached with start-ups and potential delays.

“Add to this expectations for elections in the (Democratic Republic of Congo), a new president in Chile, Grasberg’s ultimate ownership not yet fully resolved, along with the potential for additional copper mine strikes and uncertain weather impacts from a possible La Nina, and the trend of supply-side disruptions may extend into 2018,” he said.

Meaning prices may surprise the market again with their continued strength.

 

Article source: http://www.mining-journal.com/base-metals/news/1309473/bad-news-news-bmo?source=miningjournal

Wisconsin county’s credit rating cut over Foxconn financial aid

(Reuters) – A decision by Wisconsin’s Racine County to give financial assistance to Taiwan-based Foxconn to build a massive liquid-crystal display plant has led to a credit rating downgrade for the county.

Moody’s Investor Service on Wednesday dropped the rating one notch to Aa2 from Aa1, citing anticipated growth in the county’s debt burden after it authorized up to $764 million in financial incentives to support the $10 billion plant.

In September, Wisconsin Governor Scott Walker signed into law legislation for a $3 billion incentive package for Foxconn.

The 20 million-square-foot LCD plant would initially employ 3,000 people, but Walker and Foxconn said the company could ultimately employ 13,000 at the site.

Officials in the Racine County executive’s office did not immediately respond to requests for comment.

The rating action came as Racine County expects to sell $79.2 million of taxable bond anticipation notes to finance land purchases for the project.

Mount Pleasant, the site of the plant, also plans to sell up to $113 million of bonds for Foxconn, in a move that will increase the county’s overlapping debt burden, Moody’s said.

“Based on current borrowing plans, we expect the county’s direct and overlapping debt burdens will remain in line with the current rating. Additional borrowing would present more significant credit challenges,” the credit rating agency said in a report.

Foxconn, an electronics manufacturer formally known as Hon Hai Precision Industry Co Ltd (2317.TW), is a major supplier to Apple Inc (AAPL.O) for its iPhones.

Reporting by Karen Pierog in Chicago; Editing by Matthew Lewis

Article source: http://feeds.reuters.com/~r/reuters/businessNews/~3/cLFFOlIYS8U/wisconsin-countys-credit-rating-cut-over-foxconn-financial-aid-idUSKBN1DT3KR