Rio Tinto to resume Simandou development; Anglo American exits Thungela

TOP NEWS IN METALS & MINING

* The Guinea government allowed Rio Tinto Group to resume development of the Simandou iron ore project after reaching a framework agreement to resolve infrastructure-related issues for the long-stalled operation, Reuters reported, citing a statement by the country's mines minister, Moussa Magassouba, on state television.

* Anglo American PLC sold its remaining shareholding in Thungela Resources Ltd. for US$115 million via a discounted accelerated bookbuild placing aimed at major financial institutions, Dow Jones Newswires reported.

➤ 7 out of 10 major gold miners beat EPS expectations in Q4'21

Major gold miners, led by Saudi Arabian Mining Company (Ma'aden), reported higher-than-expected earnings for the fourth quarter of 2021. Looking forward, high gold prices may offset negative impacts from rising input costs.

➤ Responsible cobalt from Congo artisanal mining proving a challenge for industry

Mining companies and broader supply chain players have yet to make meaningful progress in ensuring responsibly produced cobalt from an artisanal mining sector in Congo tainted by human rights issues.

➤ Gold could climb higher amid broader economic impacts of Russia's invasion

While the gold price has pulled back in recent trading following Russia's invasion of Ukraine, some analysts remain bullish amid potential for growing inflation and possible challenges in containing it.

EARNINGS SPOTLIGHT

* China Coal Energy Co. Ltd.'s full-year 2021 net profit rose to 14.72 billion Chinese yuan from 9.36 billion yuan in the prior year, while revenue rose 64% to 231.13 billion yuan, Dow Jones Newswires reported.

* Gold Road Resources Ltd.'s full-year 2021 net profit after tax fell to A$36.8 million from A$80.8 million in 2020, as revenue slipped to A$274.8 million from A$294.7 million.

* CITIC Resources Holdings Ltd. posted a full-year 2021 net profit of HK$1.10 billion, swinging from a net loss of HK$363.8 million in 2020, with revenue up 52.6% to HK$4.35 billion.

DIVERSIFIED

* Almonty Industries Inc., Korean Mine Rehabilitation and Resource Corp. and Hannae For T Co. Ltd. will collaborate to recycle rare metals, such as tungsten and molybdenum, to strengthen South Korea's domestic supply chain in the semiconductor and battery sectors.

BASE METALS

* The Peruvian community of Huancuire plans to launch legal and social measures to prevent the expansion of the Las Bambas copper mine, according to a document viewed by Reuters, after MMG Ltd. secured approval for the production increase.

* First Quantum Minerals Ltd. issued a notice of partial redemption of US$500 million of its outstanding 7.250% senior notes due April 2023.

PRECIOUS METALS

* The inclusion of Gazprombank on the U.K. sanctions list prevented Petropavlovsk PLC from making a US$560,000 loan payment and sell gold to the bank, Dow Jones Newswires reported. Petropavlovsk is considering the implications for the group's activities and financing arrangements.

* Hycroft Mining Holding Corp. raised approximately US$140 million through the sale of new shares following an investment by AMC Entertainment Holdings Inc. in the gold mining company, The Wall Street Journal reported, citing sources familiar with the matter.

* St Barbara Ltd. updated its fiscal 2022 group gold production guidance to between 275,000 ounces to 290,000 ounces, with the Simberi mine in Papua New Guinea expected to produce between 25,000 ounces to 30,000 ounces.

BULK COMMODITIES

* Iron ore prices in March rose to a seven-month high of US$162.75 per tonne, but later fell to US$135.66/t on the back of COVID-19 resurgence in China, data gathered by S&P Global Commodity Insights' Metals and Mining Research team showed.

* India plans to double metallurgical coal imports from Russia, contrary to the global trend of halting commodity imports from Russia in the wake of its invasion of Ukraine, Reuters reported, citing a statement from Steel Minister Ramchandra Prasad Singh.

* Operations at Anglo American's Moranbah North coal mine in Queensland, Australia, were suspended after an employee of Metarock Group Ltd. subsidiary Mastermyne was fatally injured.

SPECIALTY

* The 50/50 joint venture between Ganfeng Lithium Co. Ltd. and Firefinch Ltd. for the Goulamina lithium project in Mali was formalized, triggering a US$170 million funding package from Ganfeng.

* Neometals Ltd. invested US$500,000 in battery startup Tyfast Energy Corp., which is developing a long-life, fast-charging lithium battery using a proprietary vanadium-based anode technology.

INDUSTRY NEWS

* An independent board committee unanimously recommended majority shareholder HOCHTIEF AG's takeover offer for Australian multinational contractor CIMIC Group Ltd., Dow Jones Newswires reported.

READ MORE about the market reaction and industry impact of the evolving situation in Russia and Ukraine in our new Issue in Focus.

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