Nepal’s second largest iron ore mine in Parbat in the centre of the country, is about to come into operation again. Due to increasing deforestation to manage fuel for melting the ore, the government had shut the mine in 2007.
The group of Devi Pokherel is set to extract iron from the mine after taking permission from the Department of Mines and Geology. The mine is 24 kilometres long in Phalamkhani and is estimated to spread across into neighbouring Linkhu and Thanamaula VDCs.
According to a study carried out by the group, it contains two million tonnes of ore. Mr Arjun Pokharel a member of the group said that extraction will begin once the report of a technical group arrives.
Tests have found that the ore extracted from the mine contains 40% to 60% iron. The mine is considered the second-largest iron mine in the country after the Phulchowki mine. The reopening of the mine became possible after electricity supply reached the place.
Locals expect to find employment once the mine ore extraction resumes.
Source: Steel Guru
Tuesday, October 6, 2009
Onesteel On Track 6m MT Of Iron Ore Sales
Onesteel chief executive Geoff Plummer said the company is on track to achieve iron ore sales of six million tonnes this fiscal year.
The Sydney-based company, Australia's second-largest steel maker, has converted its Whyalla Steelworks, in South Australia, to use magnetite ore rather than hematite ore, so has been able to expand its hematite ore sales.
The company sold five million tonnes of ore in the year ended June 30, including two million tonnes under contract.
Mr Plummer told a JP Morgan conference presentation that OneSteel's long-term plan is to sell 80 per cent of its ore under contract.
Source: The Australian
The Sydney-based company, Australia's second-largest steel maker, has converted its Whyalla Steelworks, in South Australia, to use magnetite ore rather than hematite ore, so has been able to expand its hematite ore sales.
The company sold five million tonnes of ore in the year ended June 30, including two million tonnes under contract.
Mr Plummer told a JP Morgan conference presentation that OneSteel's long-term plan is to sell 80 per cent of its ore under contract.
Source: The Australian
Monday, October 5, 2009
Breakthrough Elusive In Chiria Iron Ore Dispute
A breakthrough in the three-year old dispute over ownership of Chiria mines between SAIL and the Jharkhand government remained elusive as a high-level meeting ended inconclusively today.
"The meeting remained inconclusive. The Jharkhand government is of the view that iron ore requirement projected by SAIL can be less while SAIL is justifying its demand. Therefore, no decision could be reached today," a senior government official told PTI after a meeting between Jharkhand Chief Secretary Sheo Basant and SAIL Chairman S K Roongta.
However, the Jharkhand government has agreed to process the immediate requirement of the steel major so that its Rs 70,000 crore expansion programme to take its capacity to 23 million tonnes is not hurt, the official added.
State-owned SAIL and Jharkhand government have locked horns over ownership of Chiria mines in the state.
SAIL is eyeing the control of Chiria mines, which is home to over 2 billion tonnes of high grade iron ore, to feed its expanded capacity of 23 million tonnes, which is scheduled to go on stream by 2010.
Another official said SAIL's demand for entire two billion tonnes of iron ore was termed excessive by Jharkhand.
Source: Business Standard
"The meeting remained inconclusive. The Jharkhand government is of the view that iron ore requirement projected by SAIL can be less while SAIL is justifying its demand. Therefore, no decision could be reached today," a senior government official told PTI after a meeting between Jharkhand Chief Secretary Sheo Basant and SAIL Chairman S K Roongta.
However, the Jharkhand government has agreed to process the immediate requirement of the steel major so that its Rs 70,000 crore expansion programme to take its capacity to 23 million tonnes is not hurt, the official added.
State-owned SAIL and Jharkhand government have locked horns over ownership of Chiria mines in the state.
SAIL is eyeing the control of Chiria mines, which is home to over 2 billion tonnes of high grade iron ore, to feed its expanded capacity of 23 million tonnes, which is scheduled to go on stream by 2010.
Another official said SAIL's demand for entire two billion tonnes of iron ore was termed excessive by Jharkhand.
Source: Business Standard
CIL Shortlists 10 To Develop Abandoned Coal Mines
Coal India Ltd has shortlisted 10 global majors, including steel behemoth ArcelorMittal, to develop its 18 abandoned mines spread across Jharkhand and Bihar.
The mines which were abandoned earlier due to technical reasons have 1.6 billion tonnes of proven coal reserves, which includes approximately 350 million tonnes of coking coal.
According to a top CIL official, the resumption of production from these mines is expected to commence around three years from the signing of the contract. The company is optimistic about inking a contract with atleast a couple of the interested firms this fiscal, while the remaining are likely to be signed in the next financial year.
The official further added that the clearance for signing the contracts was expected from the Ministry of Coal in the near future.
Source: Construction Industry Online
The mines which were abandoned earlier due to technical reasons have 1.6 billion tonnes of proven coal reserves, which includes approximately 350 million tonnes of coking coal.
According to a top CIL official, the resumption of production from these mines is expected to commence around three years from the signing of the contract. The company is optimistic about inking a contract with atleast a couple of the interested firms this fiscal, while the remaining are likely to be signed in the next financial year.
The official further added that the clearance for signing the contracts was expected from the Ministry of Coal in the near future.
Source: Construction Industry Online
Mambare Exclusivity Extended
Proactive Investor reports that the exclusivity period agreed with Sydney-based Direct Nickel Private Limited in connection with assessing the possible joint development of Regency’s Mambare nickel/cobalt project in Papua New Guinea has been extended indefinitely by mutual agreement.
Regency and DNi signed a non binding MoU in August over developing Mambare and the partners granted each other a period of exclusivity up to October 1st 2009 in which they would not negotiate with or furnish information to any third parties on the project or the MoU.
Since the signing of the MoU, DNi has carried out a due diligence visit to Mambare and teams from the 2 companies have been working closely together to assess new drill data and digitize other data, look at possible outcomes and formulate exploration strategies.
Regency said that this work is regarded as having been productive by both parties and the exclusivity period has been extended indefinitely subject to one month's notice of termination on either side.
It said that “The size and grade potential of Mambare on the one hand and the technological leadership of DNi on the other have become more evident to the parties over the last weeks and it is their intention to continue to work together on the next stages of development. Further announcements will be made in due course.”
The MoU envisages that the partners work towards a proposed transaction which will pool Regency's interest in Mambare with DNi's lateritic nickel/cobalt treatment technology in a new company in which both parties will have shares which will have non exclusive licensing arrangements for the DNi process and which will raise funding for the further development of Mambare including a pilot plant.
DNi would assume the role as project operator in the new company and both parties would be represented on the board and in the management of the new company.
Source: Steel Guru/Proactive Investor
Regency and DNi signed a non binding MoU in August over developing Mambare and the partners granted each other a period of exclusivity up to October 1st 2009 in which they would not negotiate with or furnish information to any third parties on the project or the MoU.
Since the signing of the MoU, DNi has carried out a due diligence visit to Mambare and teams from the 2 companies have been working closely together to assess new drill data and digitize other data, look at possible outcomes and formulate exploration strategies.
Regency said that this work is regarded as having been productive by both parties and the exclusivity period has been extended indefinitely subject to one month's notice of termination on either side.
It said that “The size and grade potential of Mambare on the one hand and the technological leadership of DNi on the other have become more evident to the parties over the last weeks and it is their intention to continue to work together on the next stages of development. Further announcements will be made in due course.”
The MoU envisages that the partners work towards a proposed transaction which will pool Regency's interest in Mambare with DNi's lateritic nickel/cobalt treatment technology in a new company in which both parties will have shares which will have non exclusive licensing arrangements for the DNi process and which will raise funding for the further development of Mambare including a pilot plant.
DNi would assume the role as project operator in the new company and both parties would be represented on the board and in the management of the new company.
Source: Steel Guru/Proactive Investor
Sunday, October 4, 2009
Mitsui Zinc Output To Rise 7 Per Cent In October
Reuters reports that Japan's Mitsui Mining and Smelting Company plans to produce about 7% more zinc in October to March than a year earlier helped by a recovery in demand.
Japanese smelters began to cut production of copper and other base metals at the beginning of this year as the worst economic downturn in decades forced manufacturers to slash output.
Mitsui has a 34% interest in Pan Pacific Copper Company Limited which is due to soon release its latest output target next week.
Nippon Mining & Metals Company Limited holds the remaining stake in the smelter.
Source: Steel Guru
Japanese smelters began to cut production of copper and other base metals at the beginning of this year as the worst economic downturn in decades forced manufacturers to slash output.
Mitsui has a 34% interest in Pan Pacific Copper Company Limited which is due to soon release its latest output target next week.
Nippon Mining & Metals Company Limited holds the remaining stake in the smelter.
Source: Steel Guru
Australian Miners Now Exporting To China
Australian coal companies say they are exporting to China for the first time as Beijing's latest push for mine safety has cut domestic output.
A new crackdown in Shanxi province has cut production sharply this year, creating the shortage, The Sydney Daily Herald said Sunday.
The shortage is expected to continue, the newspaper said, because Chinese officials appear serious about improving safety and are keeping dangerous mines closed for extended periods.
Around 3,200 miners were killed toiling in Chinese coal mines last year, The Herald said.
That has led to major increases in exports to China of both coking coal and thermal coal, used for power generation.
The bonanza for Australian exporters may not last, however. Industry executives say they are seeing increased demand for coal from throughout northeast Asia that is soaking up surplus tonnage.
Source: UPI
A new crackdown in Shanxi province has cut production sharply this year, creating the shortage, The Sydney Daily Herald said Sunday.
The shortage is expected to continue, the newspaper said, because Chinese officials appear serious about improving safety and are keeping dangerous mines closed for extended periods.
Around 3,200 miners were killed toiling in Chinese coal mines last year, The Herald said.
That has led to major increases in exports to China of both coking coal and thermal coal, used for power generation.
The bonanza for Australian exporters may not last, however. Industry executives say they are seeing increased demand for coal from throughout northeast Asia that is soaking up surplus tonnage.
Source: UPI
Baosteel Wants Stake In Minas Rio Iron Ore Mine
Baosteel, China's largest iron and steel conglomerate, wants to forge an alliance with Anglo American, the mining company that rejected a merger approach from rival Xstrata in June.
Baosteel has tabled a proposal to pay £1bn for a 30% stake in Anglo's huge Minas Rio iron ore mine in Brazil, which it acquired last year for £3.7bn.
If Anglo agrees a deal with Baosteel, the Chinese company could help it fend off bids from predators such as Xstrata, which was told last week by the City's Takeover Panel to make a formal bid for Anglo by 20 October or walk away.
Baosteel, which is based in Shanghai, employs 112,000 staff and generates annual revenue of $21.5bn (£13.5bn). It is keen to expand internationally and has been exploring opportunities in Africa and Asia as well as South America.
Anglo has made it clear that it is seeking a partner to help develop Minas Rio, which is expected to produce more than 35m tonnes of iron ore by 2011. Production could rise by another 50% within a decade. Two other companies are understood to have contacted Anglo about buying a stake in Minas – the Bahrain-based Gulf Industrial Investment Company and Sojitz, a Japanese conglomerate. But Baosteel is understood to be the frontrunner.
Latin America is Anglo's fastest growing region and this week the group will take shareholders and analysts to Brazil and Chile to review its operations there. The trip is being seen by the company as an "opportunity to showcase Anglo's most attractive assets and to outline future growth prospects". Observers believe Anglo's management want to emphasise the "hidden value" within the company to underline their opposition to Xstrata's proposal for a nil-premium merger, which would create a company worth £40bn.
Anglo's shareholders have made it clear to new chairman Sir John Parker, who took over from Mark Moody-Stuart in August, that Xstrata's offer is unacceptable because of the absence of any takeover premium. Insiders say Parker is implacably opposed to a deal with Xstrata on the basis of the terms outlined four months ago.
Xstrata, led by Mick Davis, is under pressure to add a cash component to any future offer for Anglo, but will need to raise funds via a rights issue to make additional cash available. If Xstrata can find the money for a premium, shareholders are likely to force Anglo's management into talks. However, that would require Xstrata to find up to £10bn and analysts are sceptical that the Anglo-Swiss firm can raise that amount. "It is hard to see how they can get funds to provide a premium, so the deal must be as good as dead," one analyst says.
Xstrata's net debt stands at about £7.5bn, against a market capitalisation of £25.5bn. It has already raised £4.1bn in a rights issue this year, which could restrict its future capital-raising potential.
Source: The Guardian
Baosteel has tabled a proposal to pay £1bn for a 30% stake in Anglo's huge Minas Rio iron ore mine in Brazil, which it acquired last year for £3.7bn.
If Anglo agrees a deal with Baosteel, the Chinese company could help it fend off bids from predators such as Xstrata, which was told last week by the City's Takeover Panel to make a formal bid for Anglo by 20 October or walk away.
Baosteel, which is based in Shanghai, employs 112,000 staff and generates annual revenue of $21.5bn (£13.5bn). It is keen to expand internationally and has been exploring opportunities in Africa and Asia as well as South America.
Anglo has made it clear that it is seeking a partner to help develop Minas Rio, which is expected to produce more than 35m tonnes of iron ore by 2011. Production could rise by another 50% within a decade. Two other companies are understood to have contacted Anglo about buying a stake in Minas – the Bahrain-based Gulf Industrial Investment Company and Sojitz, a Japanese conglomerate. But Baosteel is understood to be the frontrunner.
Latin America is Anglo's fastest growing region and this week the group will take shareholders and analysts to Brazil and Chile to review its operations there. The trip is being seen by the company as an "opportunity to showcase Anglo's most attractive assets and to outline future growth prospects". Observers believe Anglo's management want to emphasise the "hidden value" within the company to underline their opposition to Xstrata's proposal for a nil-premium merger, which would create a company worth £40bn.
Anglo's shareholders have made it clear to new chairman Sir John Parker, who took over from Mark Moody-Stuart in August, that Xstrata's offer is unacceptable because of the absence of any takeover premium. Insiders say Parker is implacably opposed to a deal with Xstrata on the basis of the terms outlined four months ago.
Xstrata, led by Mick Davis, is under pressure to add a cash component to any future offer for Anglo, but will need to raise funds via a rights issue to make additional cash available. If Xstrata can find the money for a premium, shareholders are likely to force Anglo's management into talks. However, that would require Xstrata to find up to £10bn and analysts are sceptical that the Anglo-Swiss firm can raise that amount. "It is hard to see how they can get funds to provide a premium, so the deal must be as good as dead," one analyst says.
Xstrata's net debt stands at about £7.5bn, against a market capitalisation of £25.5bn. It has already raised £4.1bn in a rights issue this year, which could restrict its future capital-raising potential.
Source: The Guardian
Mongolia To SIgn Oyu Tolgoi Deal This Week
Mongolia's government is going to sign a key investment agreement for the $4 billion Oyu Tolgoi copper-gold mine on Tuesday, Oct. 6, a spokesman for Mongolia's president said Saturday.
"On Tuesday will be the signing ceremony. This day is the best day to do a big job," the spokesman told Dow Jones Newswires, referring to the Buddhist calendar.
Mongolia is rich in a range of resources, including coal, gold, iron ore, zinc and uranium, and the agreement for Oyu Tolgoi will act as a blueprint for billions of dollars of investment into the impoverished country that shares a border with China.
Oyu Tolgoi's owner, Ivanhoe Mines Ltd. and joint-venture partner Rio Tinto PLC have been waiting for years to sign an investment framework, spelling out taxation and government involvement for the mine, set to produce 450,000 metric tons of copper annually with a mine life of 45 years.
Rio currently holds a 9.9% stake in Canada-based Ivanhoe, with an option to raise that to just over 45%.
Source: Marketwatch
"On Tuesday will be the signing ceremony. This day is the best day to do a big job," the spokesman told Dow Jones Newswires, referring to the Buddhist calendar.
Mongolia is rich in a range of resources, including coal, gold, iron ore, zinc and uranium, and the agreement for Oyu Tolgoi will act as a blueprint for billions of dollars of investment into the impoverished country that shares a border with China.
Oyu Tolgoi's owner, Ivanhoe Mines Ltd. and joint-venture partner Rio Tinto PLC have been waiting for years to sign an investment framework, spelling out taxation and government involvement for the mine, set to produce 450,000 metric tons of copper annually with a mine life of 45 years.
Rio currently holds a 9.9% stake in Canada-based Ivanhoe, with an option to raise that to just over 45%.
Source: Marketwatch
Saturday, October 3, 2009
Russian Miners Hike Coking Coal Prices
It is reported that Russian coking coal producers will raise their prices this month representing their first price increases since the start of the global economic crisis.
The increase is seen as an indication the Russian coal sector is approaching the end of diffucult times and that the sector is registering a progressive reanimation.
The Russian coal mining company Belon Group is the first domestic company to announce an increase in its coking coal price, up almost 62% compared to the H1 price level. This week Belon completed the signing of coking coal supply contracts for the next four months at a price level of RUB 3,000 to 3,100 per tonnes FCA Kuzbass. Meanwhile other Russian mining companies will also increase their prices of coking coal by approximately 50% to 60%.
Source: Steel Guru
The increase is seen as an indication the Russian coal sector is approaching the end of diffucult times and that the sector is registering a progressive reanimation.
The Russian coal mining company Belon Group is the first domestic company to announce an increase in its coking coal price, up almost 62% compared to the H1 price level. This week Belon completed the signing of coking coal supply contracts for the next four months at a price level of RUB 3,000 to 3,100 per tonnes FCA Kuzbass. Meanwhile other Russian mining companies will also increase their prices of coking coal by approximately 50% to 60%.
Source: Steel Guru
Friday, October 2, 2009
Baobab To Launch Mozambique Exploration Project
A new exploration programme will be undertaken by Baobab Resources PLC on the Tete iron-vanadium and titanium project in Mozambique to expand on the established resource of 47.7 million tonnes of magnetite.
The resource statement and a statement from global consultant Coffey Mining on potential for between 400 to 700 million tonnes of magnetite-ilmenite mineralisation injected some life in share trading in Baobab on the London AIM board.
Technical director Ben James told Mineweb that Baobab had been a relatively lifeless stock on AIM until details of progress on the project were detailed last month - a factor that has also seen an appreciation in the share price.
The project is immediately north of the provincial capital of Tete and takes in five known vanadiferous-titano-magnetite deposits in what is known as the Massamba Group where there was the assessment for a major system by the mining consultant.
James said that drilling over about 500 metres of an established strike length of 8 kilometres at Tete has shown magnetite resource grades of 25% iron and can be upgraded to 64% Fe and 0.7% vanadium pentoxide.
Conceptual studies show that with a growth of resources, Baobab may have a resource that could produce a ferrovanadium product grading up to 68-69% Fe and 0.8% vanadium pentoxide, as well as a ferro titanium product.
The exploration progress detailed last month has seen several companies knocking on Baobab's door, including Chinese groups, but James said the company wants to undertake more work to prove scope for a major deposit - the first magnetite-iron mining project in Mozambique - before getting into serious discussions.
Baobab has a strategic partnership with International Finance Corporation which has taken a 15% direct stake in Tete.
In logistical terms, the company is well placed. The licences adjoin the substantial coal deposits being developed at Moatize and Benga by Vale and Riversdale. There is also a railway at the regional capital of Tete linking to the port of Beira, while hydro-power is available from the Cahora Bassa dam.
There is a strong Australasian influence in Baobab as Ben James is a product of what was New Zealand's Otago School of Mines, managing director Brett Townsend is a Western Australian, and so is the company's founding director and now marketing consultant Jon Crowe, a familiar face in southern Africa.
Source: Mineweb
The resource statement and a statement from global consultant Coffey Mining on potential for between 400 to 700 million tonnes of magnetite-ilmenite mineralisation injected some life in share trading in Baobab on the London AIM board.
Technical director Ben James told Mineweb that Baobab had been a relatively lifeless stock on AIM until details of progress on the project were detailed last month - a factor that has also seen an appreciation in the share price.
The project is immediately north of the provincial capital of Tete and takes in five known vanadiferous-titano-magnetite deposits in what is known as the Massamba Group where there was the assessment for a major system by the mining consultant.
James said that drilling over about 500 metres of an established strike length of 8 kilometres at Tete has shown magnetite resource grades of 25% iron and can be upgraded to 64% Fe and 0.7% vanadium pentoxide.
Conceptual studies show that with a growth of resources, Baobab may have a resource that could produce a ferrovanadium product grading up to 68-69% Fe and 0.8% vanadium pentoxide, as well as a ferro titanium product.
The exploration progress detailed last month has seen several companies knocking on Baobab's door, including Chinese groups, but James said the company wants to undertake more work to prove scope for a major deposit - the first magnetite-iron mining project in Mozambique - before getting into serious discussions.
Baobab has a strategic partnership with International Finance Corporation which has taken a 15% direct stake in Tete.
In logistical terms, the company is well placed. The licences adjoin the substantial coal deposits being developed at Moatize and Benga by Vale and Riversdale. There is also a railway at the regional capital of Tete linking to the port of Beira, while hydro-power is available from the Cahora Bassa dam.
There is a strong Australasian influence in Baobab as Ben James is a product of what was New Zealand's Otago School of Mines, managing director Brett Townsend is a Western Australian, and so is the company's founding director and now marketing consultant Jon Crowe, a familiar face in southern Africa.
Source: Mineweb
Rio Tinto Completes Sale Of Wyoming Coal Mine
Diversified resources giant Rio Tinto has sold its Jacobs Ranch coal mine, in the US, to Arch Coal for $764-million, the group reported on Thursday.
Rio, which is selling non-core assets to pay down debt, agreed in March to sell the mine for $761-million in cash, but the price was adjusted to reflect the closing working capital balance, it said in a statement.
Rio has been divesting assets to ease the large levels of debt it took on to fund the acquisition of Canada's Alcan, in 2007.
Earlier this month, the group said it had agreed to sell a 56% stake in its Alcan Engineered Products' Cable division to Los Angeles-based Platinum Equity.
Also in 2009, Rio agreed to sell the majority of the Alcan packaging businesses for $2,03-billion, to Australian firm Amcor, sold its interest in the Ningxia aluminium smelter in China for $125-million, its potash assets and Brazilian iron-ore operations for $1,6-billion, as well as the Alcan Packaging Food Americas unit to Bemis.
Earlier this year, the group arranged a landmark $19,5-billion investment by Chinese State-owned metals firm Chinalco, but broke off the deal in June.
Rio opted instead for a $15,2-billion rights issue and a cash-saving iron-ore joint venture with larger rival BHP Billiton.
The Jacobs Ranch mine, in Wyoming, shipped 42,1-million tons of coal in 2008.
The mine had approximately 381-million tons of proven and probable reserves at December 31, 2008.
Source: Mining Weekly
Rio, which is selling non-core assets to pay down debt, agreed in March to sell the mine for $761-million in cash, but the price was adjusted to reflect the closing working capital balance, it said in a statement.
Rio has been divesting assets to ease the large levels of debt it took on to fund the acquisition of Canada's Alcan, in 2007.
Earlier this month, the group said it had agreed to sell a 56% stake in its Alcan Engineered Products' Cable division to Los Angeles-based Platinum Equity.
Also in 2009, Rio agreed to sell the majority of the Alcan packaging businesses for $2,03-billion, to Australian firm Amcor, sold its interest in the Ningxia aluminium smelter in China for $125-million, its potash assets and Brazilian iron-ore operations for $1,6-billion, as well as the Alcan Packaging Food Americas unit to Bemis.
Earlier this year, the group arranged a landmark $19,5-billion investment by Chinese State-owned metals firm Chinalco, but broke off the deal in June.
Rio opted instead for a $15,2-billion rights issue and a cash-saving iron-ore joint venture with larger rival BHP Billiton.
The Jacobs Ranch mine, in Wyoming, shipped 42,1-million tons of coal in 2008.
The mine had approximately 381-million tons of proven and probable reserves at December 31, 2008.
Source: Mining Weekly
Indian Iron Ore Exports Rise On Increased China Demand
India’s iron ore exports rose 1.7 per cent in the April to August period because of higher demand from steel makers in China, the biggest buyer of the raw material, an Indian mineral industry group said.
Overseas sales increased to 37.08 million tonnes in the five months ended August 31 from 36.47 million tonnes a year earlier, the Federation of Indian Mineral Industries said in a statement. Sales in August rose 40 per cent to 6.28 million tonnes from 4.49 million tonnes a year earlier and were little changed from 6.29 million tonnes in July.
China’s steel makers are buying more iron ore as the government has implemented a $586 billion stimulus package to revive growth. China’s economy is forecast to expand 8.2 per cent this year, compared with a March estimate of 7 per cent, the Asian Development Bank said last month, easing concern that the nation may slow raw-material imports.
China may buy 20 per cent more iron ore than forecast next year, Canberra-based Australian Bureau of Agricultural and Resource Economics said on September 22. China may import 637 million tonnes of iron ore in calendar 2010, compared with its June prediction of 529 million tonnes, it said.
Source: Business Standard
Overseas sales increased to 37.08 million tonnes in the five months ended August 31 from 36.47 million tonnes a year earlier, the Federation of Indian Mineral Industries said in a statement. Sales in August rose 40 per cent to 6.28 million tonnes from 4.49 million tonnes a year earlier and were little changed from 6.29 million tonnes in July.
China’s steel makers are buying more iron ore as the government has implemented a $586 billion stimulus package to revive growth. China’s economy is forecast to expand 8.2 per cent this year, compared with a March estimate of 7 per cent, the Asian Development Bank said last month, easing concern that the nation may slow raw-material imports.
China may buy 20 per cent more iron ore than forecast next year, Canberra-based Australian Bureau of Agricultural and Resource Economics said on September 22. China may import 637 million tonnes of iron ore in calendar 2010, compared with its June prediction of 529 million tonnes, it said.
Source: Business Standard
Thursday, October 1, 2009
Crusader Expects Brazil Iron Ore Production In 2010
Crusader Resources' Posse iron ore project in Brazil could be in production by April 2010 after the company approved first stage of the project’s development.
Indicated mineral resource at Posse of 4.83Mt at 47.39% Fe and inferred mineral resource of 31.18Mt at 42.89% Fe.
With the project located only 30km from the regional capital and iron ore mining centre of Belo Horizonte, the project is close to infrastructure.
Rob Smakman managing director of Crusader said Posse plans to produce a high grade iron ore lump product for domestic sale as a first stage, followed by the production of iron ore treated through a wet beneficiation plant.
The development is subject to the granting of a mining lease by the Brazilian mines department. A customer has to be secured for the ore.
The first phase, which could be in production as early as April next year, is expected to cost less than $A1 million and process 300,000 tonnes of material a year. Contract mining and treatment of the ore is the key component in keeping the capital costs at a minimum at Posse.
Rob Smakman said all the work done to date indicates a simple, cheap and most importantly, profitable trial mining operation which will also enable Crusader to more carefully evaluate the expanded second stage.
“In anticipation of finalising the mining lease and securing a suitable customer, we are building the development and mining team, opening the tender process for both mining and treatment and finalising the economics of the project," he said.
Fines and lower grade ore will be stockpiled for treatment in Stage 2.
Project implementation and detailed engineering is underway, with the expected opening of the operation after the end of the rainy season in early April 2010.
Source: Proactive Investors
Indicated mineral resource at Posse of 4.83Mt at 47.39% Fe and inferred mineral resource of 31.18Mt at 42.89% Fe.
With the project located only 30km from the regional capital and iron ore mining centre of Belo Horizonte, the project is close to infrastructure.
Rob Smakman managing director of Crusader said Posse plans to produce a high grade iron ore lump product for domestic sale as a first stage, followed by the production of iron ore treated through a wet beneficiation plant.
The development is subject to the granting of a mining lease by the Brazilian mines department. A customer has to be secured for the ore.
The first phase, which could be in production as early as April next year, is expected to cost less than $A1 million and process 300,000 tonnes of material a year. Contract mining and treatment of the ore is the key component in keeping the capital costs at a minimum at Posse.
Rob Smakman said all the work done to date indicates a simple, cheap and most importantly, profitable trial mining operation which will also enable Crusader to more carefully evaluate the expanded second stage.
“In anticipation of finalising the mining lease and securing a suitable customer, we are building the development and mining team, opening the tender process for both mining and treatment and finalising the economics of the project," he said.
Fines and lower grade ore will be stockpiled for treatment in Stage 2.
Project implementation and detailed engineering is underway, with the expected opening of the operation after the end of the rainy season in early April 2010.
Source: Proactive Investors
India Tries To Salvage Titanium JV
While uncertainty looms large over the Rs 1,150-crore titanium project, an Indo-Russian joint venture, after the Russian partners threatened to quit the project, the Government is making all-out efforts to bring the warring factions to a negotiating table.
The proposed titanium project came under cloud when the Russian partners - the Russian Federation and the JSC Technochem Holding - objecting to certain decisions of the Indian partners wanted to pull out of the project.
Sharaf Agencies Private Limited (SAPL) and Titanium Mineral Products Limited (TMPL), the two Indian promoters, floated a joint venture company called Titanium Products Private Limited (TPPL) in association with the Russian promoters for establishment of a titanium project at Chattrapur in Ganjam district. The promoters of TPPL signed a memorandum of understanding with the State Government on October 15, 2008.
The Russian promoters, having 55 per cent stake in the project, complained to the Government that their Indian partners had taken certain decisions in their favour at the cost of the joint venture. Besides being minor partner in the company, the Indian promoters have not consulted the major partners on certain issues having financial implications.
As per the MoU, land to be provided by the Government for the project should be leased out to TPPL while the lease deed had been executed in favour of TMPL, the Russian promoters said. Incidentally, chairman of SAPLSM Shroff is the father of TMPL director Rahul Shroff.
The Russian promoters have also taken objection to certain investments by their Indian partners in the area of research on sea beach deposits, preparation of feasibility report on the setting up of synthetic rutile plant saying such investments are not part of the project cost.
After hearing the Russian partners on September 17, Minister of Industries Raghunath Mohanty today discussed the matter with SAPL chairman SM Shroff.
On the land dispute, Shroff told the Minister that once the project comes under the special economic zone (SEZ), there is no need to worry about the status of the land provided by the Government for the project. He also claimed that the investment so far made on the project is as per the agreement.
The Minister said that both the Russian and Indian promoters have agreed to come to a common negotiating table here on October 5.
The titanium project will have the capacity to produce 1.08 lakh tonnes of titanium slag per day, pig iron of 68,000 tonnes per day (tpa), 40,00 tpa of titanium dioxide pigment and 10,000 tpa of titanium sponge.
Source: Express Buzz
The proposed titanium project came under cloud when the Russian partners - the Russian Federation and the JSC Technochem Holding - objecting to certain decisions of the Indian partners wanted to pull out of the project.
Sharaf Agencies Private Limited (SAPL) and Titanium Mineral Products Limited (TMPL), the two Indian promoters, floated a joint venture company called Titanium Products Private Limited (TPPL) in association with the Russian promoters for establishment of a titanium project at Chattrapur in Ganjam district. The promoters of TPPL signed a memorandum of understanding with the State Government on October 15, 2008.
The Russian promoters, having 55 per cent stake in the project, complained to the Government that their Indian partners had taken certain decisions in their favour at the cost of the joint venture. Besides being minor partner in the company, the Indian promoters have not consulted the major partners on certain issues having financial implications.
As per the MoU, land to be provided by the Government for the project should be leased out to TPPL while the lease deed had been executed in favour of TMPL, the Russian promoters said. Incidentally, chairman of SAPLSM Shroff is the father of TMPL director Rahul Shroff.
The Russian promoters have also taken objection to certain investments by their Indian partners in the area of research on sea beach deposits, preparation of feasibility report on the setting up of synthetic rutile plant saying such investments are not part of the project cost.
After hearing the Russian partners on September 17, Minister of Industries Raghunath Mohanty today discussed the matter with SAPL chairman SM Shroff.
On the land dispute, Shroff told the Minister that once the project comes under the special economic zone (SEZ), there is no need to worry about the status of the land provided by the Government for the project. He also claimed that the investment so far made on the project is as per the agreement.
The Minister said that both the Russian and Indian promoters have agreed to come to a common negotiating table here on October 5.
The titanium project will have the capacity to produce 1.08 lakh tonnes of titanium slag per day, pig iron of 68,000 tonnes per day (tpa), 40,00 tpa of titanium dioxide pigment and 10,000 tpa of titanium sponge.
Source: Express Buzz
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