ArcelorMittal, Marcegaglia win race for Italy's Ilva
ArcelorMittal and Marcegaglia won a bid to purchase Italian steelmaker Ilva International SpA, Reuters reported, citing a source with knowledge of the matter. The special commissioners handling the Ilva operation accepted the joint bid of just under €2 billion. The transaction now requires approval from two Italian government ministries and the European Union.
Codelco swung to a pretax profit of US$534 million in the first quarter, from a year-ago loss of US$151 million, as the Chilean state-run miner benefited from stronger copper prices and its continued push to reduce costs, Reuters reported. The company's total copper production, however, fell 11% on a yearly basis to 416,000 tonnes, driven by declining grades at its aging mines.
Adani to pay full royalties on Carmichael coal mine under new Queensland policy
Annastacia Palaszczuk, the premier of Queensland, Australia, said Adani Enterprises Ltd. will have to pay full royalties on its US$16.5 billion Carmichael coal project under a new policy unanimously agreed to by the state's Cabinet, for the development of the Galilee and Surat Basins and the North West Minerals Province. However, an unnamed source told Bloomberg that the new policy will enable the Indian group to defer royalty payments, with the length of such a deferment to be announced later.
* Based on current estimates, Glencore Plc may pay up to US$6 billion in cash in a possible merger with grains trader Bunge, Reuters wrote, citing Moody's. The rating agency, however, noted that it does not expect an outright acquisition.
* Meteoric Resources NL agreed to acquire Cobalt Canada Pty. Ltd., which holds the rights to acquire the Midrim, Mulligan and Iron Mask cobalt projects in Ontario. The properties also host copper, nickel, silver and bismuth mineralization.
* Brazilian copper producer Paranapanema SA is completing a deal for a definitive debt restructuring and for fresh capital, which includes the entry of a new foreign shareholder, Metal Bulletin reported.
* A pre-feasibility study on Avanco Resources Ltd.'s Pedra Branca East copper project in Brazil indicated the potential to add 24,000 tonnes to its annual copper output from a stand-alone mine, with an option for a further 10,000 tonnes from Pedra Branca West.
* A definitive feasibility study on the Silver Swan underground nickel mine, part of Poseidon Nickel Ltd.'s Black Swan operations in Western Australia, outlined an operation with a pretax net present value of A$27.8 million, at a 10% discount, offering an internal rate of return of 204%.
* Barrick Gold Corp. may review its full-year output guidance due to the recent extension of Tanzania's mineral concentrate export ban, which may affect two mines operated by its 63.9%-owned Acacia Mining plc . The two mines, Bulyanhulu and Buzwagi, account for about 6% of Barrick's production forecast.
* Separately, Acacia Mining rejected the findings and data presented in a report from a Tanzanian presidential committee covering the export of gold and copper concentrates. The committee accused the company of not fully declaring all minerals contained in concentrate. According to the company's verified data, the 277 containers at the Dar es Salaam port contain an aggregate 26,000 ounces of gold, while the committee's findings put the gold shipment content at 250,000 ounces.
* Novo Resources Corp. struck an initial deal to farm-in and joint venture gold rights with Artemis Resources Ltd. on the latter's 1,536-square-kilometer exploration package in Western Australia's Pilbara region. Novo also recently acquired, via staking, a 6,021-square-kilometer area in the same region targeting newly discovered gold mineralization.
* Impala Platinum Holdings Ltd. announced the final terms of its 3.25 billion South African rand and US$250 million unsecured convertible bonds, both due 2022. Net proceeds from these offerings will be used to refinance debt due 2018.
* Coeur Mining Inc.'s offer to buy back US$178 million in 7.875% senior notes due 2021 received an uptake of 66.26%.
* Geopacific Resources Ltd. is "quietly confident" that it will be successful in its takeover of fellow Australian gold explorer Kula Gold Ltd., saying all it will take is some negotiation to get it across the line.
* The Democratic Republic of Congo's Industry Ministry said that militiamen freed the remaining four workers abducted in March during an attack on Banro Corp.'s Namoya gold mine in the country, Reuters reported.
* BHP Billiton Group and Rio Tinto are facing a fresh tax threat in Western Australia after the state's premier Mark McGowan confirmed that its government would ask the mining majors to "buy out" the 25-Australian-cent lease rental fee imposed on every tonne of iron ore produced, The Australian Financial Review wrote. BHP and Rio collectively owe Western Australia about A$150 million a year in such fees, and that figure would rise to A$4.5 billion if the miners paid 30 years' worth of fees in a lump sum.
* Yancoal Australia Ltd.'s funding needs have ballooned to over US$4 billion after it put forward a binding offer of US$710 million to acquire Mitsubishi Corp.'s 32.4% stake in the Hunter Valley operations in New South Wales, Australia, The Australian reported.
* Chinese iron ore producer Hainan Mining Co. Ltd. is seeking to develop into a diversified mining company through acquisition and exploration, according to Chairman Liu Mingdong.
* National Aluminium Co. Ltd., or NALCO, signed a memorandum of understanding with India setting targets for production and revenue for fiscal 2017-18 at an all-time high for the state-owned company. The company is now targeting revenue of 81 billion rupees for the full year, which is 7 billion rupees higher than the previous year. The production targets for bauxite and alumina were set at 6.825 million tonnes and 2.1 million tonnes, respectively.
* Ncondezi Energy Ltd. suspended exclusive discussions with Shanghai Electric Power Co. Ltd. on a joint development agreement for the Ncondezi coal project in Mozambique as the latter has yet to provide funding after more than three years of negotiations. The company's board indicated that the ongoing funding delays are unsustainable.
* Evraz Plc agreed to divest Kadish Ltd., a holding company of Evraz Sukha Balka, to Berklemond Investments Ltd. for US$110 million. Proceeds from the transaction will be used for general corporate purposes, including debt reduction.
* Strategic Minerals Plc reported its maiden profit from operations of US$351,000 in 2016, reversing a loss of $880,000 booked in 2015, which it attributed to the US$675,000 settlement of its rail claim.
* Jindal Steel & Power Ltd., or JSPL, started up its 6-million-tonne-per-annum integrated steel plant in India's Odisha state with the commissioning of the blast furnace, the Press Trust of India reported. JSPL invested 330 billion rupees into the plant, and it would allow the company to overcome a loss in the wake of a coal block cancellation, Chairman Naveen Jindal said.
* Despite permitting delays, Beowulf Mining Plc is not giving up on its proposed Kallak magnetite-iron ore project in Sweden, Mining Weekly wrote, citing CEO Kurt Budge.
* Pro-Russia rebels in eastern Ukraine restarted steel output at two seized Metinvest BV units, Metal Bulletin wrote, citing sources. Operations at the group's Yenakiieve Iron & Steel Works and Makiivka wire rod unit have been suspended since late February due to supply disruptions created by illegal blockades.
* Kazakhstan, the world's largest uranium producer, will commence nuclear fuel production for Chinese power plants in 2019 via a joint venture created by the two countries, Reuters reported, citing a senior official at the Ulba Metallurgical Plant.
* BMI said Angola's continued dependence on the oil industry will lead to limited development of its mining sector between now and 2021, Mining Weekly reported. The country, however, is expected to continue diversifying into minerals in the longer term, the research company noted.
The Daily Dose is updated as of 7 a.m. Hong Kong time and scans news sources published in Chinese, English, Indonesian, Malay, Portuguese, Russian, Spanish, Thai and Ukrainian. Some external links may require a subscription.