TOP NEWS
First Quantum confirms Jiangxi Copper talks over possible Zambia assets stake
First Quantum Minerals Ltd. confirmed it is in talks with Jiangxi Copper Co. Ltd. for the possible sale of a minority stake in its Zambian copper assets, while denying recent media reports about a potential takeover bid. First Quantum shares on the TSX closed at a near 10% loss.
K+S flags cut in FY'19 potash output amid weak market
K+S AG is slashing its full-year 2019 potash production by up to 300,000 tonnes later this year due to a weak market driven by Chinese import restrictions on the material. As a result, K+S' full-year EBITDA is expected to be reduced by up to €80 million.
Rusal to enter US$750M sustainability-linked loan facility
Russian aluminum producer United Co. Rusal PLC plans to enter a five-year, US$750 million sustainability-linked pre-export finance facility to refinance debt. The company said it will be the first sustainability-linked syndicated facility arranged by international commercial banks in Russia.
BASE METALS
* A battery minerals expert said uncertain supply from Congo has swung sentiment in cobalt producers' favor since Glencore PLC announced in August that it would shut down the Mutanda cobalt mine at the end of 2019.
* Codelco issued 10-year and 30-year dollar-denominated bonds totaling US$2 billion to help fund its US$40 billion plan to overhaul mines through 2026, Reuters reported, citing IFR, Refinitiv’s capital markets news service.
* Abacus Mining & Exploration Corp. said KGHM Polska Miedź SA has started re-engaging stakeholders in their Ajax copper-gold joint venture in British Columbia after the government declined to issue an environmental clearance in December 2017.
* A preliminary economic assessment for Highland Copper Co. Inc.'s White Pine North copper project in Michigan defined a net present value, discounted at 8%, of US$416 million, a 16.8% internal rate of return and a 5.2-year payback period.
* The Indonesian Energy Ministry expects PT Freeport Indonesia's copper concentrate exports in 2020 to not change much from 2019, Bisnis Indonesia reported. Based on the revised business plan of Freeport, the miner aims to export around 740,000 tons of copper concentrates between March 2019 and March 2020.
* Millrock Resources Inc. granted First Quantum an exclusive right to enter an option to acquire up to 80% of the Dragonslayer porphyry copper-gold project in Alaska.
PRECIOUS METALS
* Newmont Goldcorp Corp. inaugurated the Borden gold project in Ontario, extending the operation of its Porcupine mining complex. The provincial and the federal governments each granted C$5 million for the electrification of the mine.
* IAMGOLD Corp. resumed mining operations in the southern pits of the Mayo and Royal Hill deposits at its Rosebel gold mine in Suriname, with full ramp-up expected within about 30 days. The company suspended operations in August after a clash between police and illegal miners that left one miner dead. Operations partially resumed later that month.
* Syndicated Metals Ltd. executed a farm-in agreement to acquire a 33-square-kilometer land package adjacent to its Newington gold project in Western Australia, securing key strike extensions to the Newfield and Dawsons prospects.
* Osisko Gold Royalties Ltd. entered into a definitive agreement to fully acquire Barkerville Gold Mines Ltd. through a plan of arrangement, with the planned share-exchange ratio implying a total equity value of about C$338 million on a fully diluted, in-the-money basis.
* China Hanking Holdings Ltd. unit Hanking Australia Investment Pty. Ltd. made a nonbinding indicative cash offer of between A$56 million and A$65 million to acquire a 100% interest in the Coolgardie gold project in Western Australia from Focus Minerals Ltd. The project is adjacent to China Hanking's McPherson's project
* Mexus Gold US is moving a new plant to its Santa Elena gold mine in Mexico since the Merrill Crowe gold recovery plant now in use has reached full capacity at 30 gallons per minute. The new plant will have the ability to run up to 500 gallons per minute. The new equipment is expected to be operational in October. Mexus poured first gold at the project in August.
* NV Gold Corp. expanded its Root Spring gold-silver project in Nevada by more than 50% after securing nearby claims.
BULK COMMODITIES
* Rio Tinto is now offering responsibly produced aluminum from all of its Canadian operations, certified by the Aluminium Stewardship Initiative, Mining.com reported.
* BHP Group is projecting to meet its iron ore shipment commitments as maintenance work at its Jimblebar and Newman mines in Western Australia has had a minor impact on production, Reuters reported, citing a statement from the miner.
* Russian fertilizer producers PJSC Uralkali and URALCHEM Holding PLC agreed to become majority shareholders of Brazil-based Fertilizantes Heringer SA, which is currently under bankruptcy protection, Reuters reported, citing a securities filing. Uralkali and Uralchem will buy shares in Fertilizantes Heringer for 2 Brazilian reais apiece, resulting in a capital increase of up to US$110 million, the report said.
* Australia's Resources Minister Matt Canavan urged Korea Electric Power Corp. to continue talks with the New South Wales government over the Bylong coal mine, which was recently rejected by the state's planning commission due to environmental concerns, The Australian reported.
* State-owned Polish coal firm Polska Grupa Górnicza sp. z o.o. will spend 44 million Polish zloty, or about US$11 million, on one-off bonuses for miners this year after trade unions demanded more cash ahead of a parliamentary election, Reuters reported, citing CEO Tomasz Rogala.
* ArcelorMittal suspended operations at its mine near Fermont, Quebec, after a flash flood in a tunnel killed one worker and injured another, CBC News reported.
* En+ Group IPJSC urged
* Ferrexpo PLC CEO Kostyantin Zhevago was summoned for questioning as a suspect by Ukraine’s state prosecutor office, Reuters reported, citing a statement on the prosecutor website, which did not provide details. In August, Ferrexpo raised the possible misappropriation of its donations to Blooming Land Charitable Foundation following a probe.
* Cambrian Coal Corp. named Pristine Clean Energy LLC as the successful bidder for its Premier Elkhorn coal mining assets and told a bankruptcy court that it was reopening the auction process for its Perry County coal assets in Kentucky.
* Tunisia's highest court, the Court of Cassation, rejected Tunisian Mining Services' appeal challenging the orders of the Court of Appeal in favor of Celamin Holdings Ltd. in a dispute over the Chaketma phosphate project.
* The United Auto Workers Local 3462 ratified a new 46-month labor agreement covering about 300 employees at AK Steel Holding Corp.'s Coshocton works in Ohio.
* Strategic Minerals PLC wholly owned unit Southern Minerals Group LLC filed for arbitration in connection with a contract with its major client at the Cobre iron ore operation in New Mexico after negotiations with the client broke down.
* The fourth-quarter outlook for the thermal coal market, as well as for the whole of 2020, is expected to be weak amid tepid global energy demand and falling natural gas prices, S&P Global Platts wrote, citing Citi analysts.
* Producers in major steelmaking districts in China's Hebei province intend to cut output in the last week of September to improve air quality, Reuters reported, citing documents.
SPECIALTY
* Mining executives, including Piedmont Lithium Ltd. CEO Keith Phillips, expressed frustration on the stalling of a bill in the U.S. Congress that aims to streamline the mine permitting process to boost domestic production of lithium and other battery metals, Reuters reported.
* Arafura Resources Ltd. signed a memorandum of understanding with Baotou Tianhe Magnetics Technology Co., Ltd. for the supply of up to 900 tonnes per annum of neodymium-praseodymium from its Nolans rare earths project in Australia's Northern Territory.
* Petra Diamonds Ltd. recovered a rare 20.08-carat blue diamond from its Cullinan mine in South Africa.
* Mkango Resources Ltd.'s 75.5%-owned unit Maginito Ltd. signed a term sheet for an option to take up to a 49% stake in HyProMag Ltd., a private company that recycles rare earths magnets.
* Harvest Minerals Ltd. said the open pit mining area at its Arapua phosphate project in Brazil was expanded and exposed a further estimated 70,000 tonnes of weathered ore, with an increased run-of-mine storage capacity added next to the open pit.
* Lake Resources NL is aiming to start preproduction of initial lithium products at its flagship Kachi project in Argentina in early 2020 using a pilot plant under construction.
* Clean Commodities Corp. plans to spin out its cannabis unit, Western Hemp Corp., to shareholders, with the spinoff company to be listed on the Canadian Securities Exchange.
INDUSTRY NEWS
* Western Australia brought in a record A$78.2 billion in revenue from iron ore sales in its fiscal 2019. Gold sales were also at an all-time high of A$12 million on the back of a record Australian-dollar denominated gold price. Employment in the state's minerals sector grew to an average of 124,010 workers, from 112,008 workers in the prior year.
* Amid dozens of government and private sector announcements on new climate-change-related targets and financing, speakers at the United Nations Climate Action Summit in New York City acknowledged far more needs to be done to meet the goals of the Paris Agreement on climate change.
S&P Global Platts and S&P Global Market Intelligence are owned by S&P Global Inc.
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