Oyu Tolgoi, Mongolia agree to develop Tavan Tolgoi-based power project
Rio Tinto's majority-owned Turquoise Hill Resources Ltd. reported the signing of a power source framework agreement between the Oyu Tolgoi copper mine and the government of Mongolia for the construction of a Tavan Tolgoi-based power project. The 300-megawatt plant will be majority owned by Oyu Tolgoi LLC and will be situated close to the Tavan Tolgoi coalfields. Construction is expected to start in 2020, and commissioning of the power plant is scheduled for mid-2023.
Zijin Mining acquires 89.37% stake in Nevsun
Zijin Mining Group Co. Ltd. holds 89.37% of all issued and outstanding shares of Nevsun Resources Ltd., satisfying the minimum tender requirement for its C$1.86 billion offer. The Chinese miner extended the offer period to Jan. 7, 2019. If Zijin is successful in acquiring 90% of Nevsun shares, it will move for compulsory acquisition of the company.
Tribune, Rand Mining turn down Northern Star's A$150M offer for East Kundana
Tribune Resources Ltd. and Rand Mining Ltd. rejected Northern Star Resources Ltd.'s unsolicited A$150 million offer for their combined 49% interest interest in the East Kundana gold joint venture in Western Australia, saying the offer significantly undervalues the interest.
* Vale SA's board of directors approved a contract renewal for CEO Fabio Schvartsman for a new term.
* Highland Gold Mining Ltd. completed the acquisition of the Valunistoye gold mine in Russia and related companies from Aristus Holdings Ltd. Highland Gold issued shares equivalent to a 10.61% stake in the company to Aristus.
* UrbanGold Minerals Inc. closed an initial public offering on the TSX Venture Exchange, raising C$2.5 million. The proceeds will fund the phase-one exploration work on the Monaco property in Quebec, as well as for general corporate purposes. Shares will start trading Dec. 31.
* Scotch Creek Ventures Inc. completed its IPO on the Canadian Securities Exchange, raising C$396,600. The company will use the proceeds to fund its exploration program on the Cupz property in Nevada's Esmerelda county, and for general working capital purposes. Shares will start trading Jan. 2, 2019.
* Aurcana Corp. completed its planned acquisition of Ouray Silver Mines Inc., which holds the Revenue-Virginius silver mine in Colorado.
* Sonoro Metals Corp. terminated an option deal with Northern Empire Resources Corp. for the Hilltop gold project in Alaska in order to focus exploration at Sonoro's properties in Mexico's Sonora state.
* Creditor rejected a bid of 5 billion Indian rupees from ArcelorMittal unit ArcelorMittal SA for Essar Group unit EPC Constructions India Ltd., which is under insolvency proceedings, as they deemed it too low, Live Mint reported, citing a banker aware of the development. New bids will now be submitted by Jan. 1. The banking source added that ArcelorMittal was the only bidder for EPC Constructions, and its bid was at a 93% discount to the company's loans of 72.68 billion rupees.
* The U.S. Environmental Protection Agency said the health benefits from the limits on mercury emissions from coal-fired power plants do not justify the cost, Reuters reported. According to the EPA, the monetized benefits of controlling the Hazardous Air Pollution emissions from coal- and oil-fired power plants total US$4 million to US$6 million per annum, while the compliance costs between US$7.4 billion and US$9.6 billion. A group of electric utilities said earlier that a roll back of the Obama-era rules was not necessary as they had invested billions to ensure compliance while costs are being recovered from consumers through regulated pricing.
* Industrial and Commercial Bank of China Ltd. confirmed that all conditions have been fulfilled for granting waivers to IRC Ltd. in connection with a US$340 million project finance facility entered with the company's Kimkano-Sutarsky Mining and Beneficiation Plant LLC unit and the bank, including obligations to maintain the debt service reserve account and obligations of K&S and its guarantor, Petropavlovsk PLC, to comply with certain financial covenants.
* Yancoal Australia Ltd. said that Morgan Stanley & Co. International plc partially exercised an overallotment option in connection with its global offering, for additional proceeds of just under HK$100 million. Morgan Stanley exercised the option for a total of 4,361,900 Yancoal shares at HK$23.48 apiece.
* Fortescue Metals Group Ltd. selected NRW Holdings Ltd. as the preferred contractor for the first stage of earthworks, roadworks and drainage works at the company's Eliwana rail project in Western Australia. The contract is valued at around A$57 million.
* China will place scrap steel and aluminum on a restricted import list of solid waste products that may be used as raw materials, Reuters reported, citing a statement from the country's Ministry of Ecology and Environment. The restriction will take effect July 1, 2019, according to the ministry.
* China will likely impose monthly import controls as its top economic planning body, the National Development and Reform Commission, looks set to apply a firmer grip on imported coal volumes in 2019. At a meeting of the commission, officials discussed the country's supply and demand situation for coking and thermal coal, and highlighted the need to "firmly control imports," several market sources in China told S&P Global Platts.
* Adani Enterprises Ltd. filed a legal action against Wangan and Jagalingou man Adrian Burragubba, seeking more than A$600,000 in costs after the indigenous traditional owner's several failed legal attempts to stop the company's Carmichael coal mine in Queensland, Australia, the Australian Associated Press and SBS News reported.
* The Indian federal cabinet approved a plan to reduce the government's stake in Kudremukh Iron Ore Co. Ltd. via a share sale, Reuters reported, citing Law Minister Ravi Shankar Prasad. The minister did not disclose the timing of the proposed share sale.
* Australian Potash Ltd. CEO Matt Shackleton is eyeing the domestic market long term, having just delivered 3 tonnes of potassium-rich feeder salts to its Perth, Australia-based pilot plant to produce sulfate of potash trade samples for potential Chinese off-takers.
* Centrex Metals Ltd. agreed to sell its Port Spencer land holding to a rural investment business, FREE Eyre Ltd., for A$1.4 million. The sale, expected to close in late-February 2019, will complete Centrex's exit from its iron ore interests and transition to a fertilizer business.
* About 26 loss-making coal mines in Spain that rely on state financial support to continue operating are set to be closed at the start of 2019, in line with an EU order, Reuters wrote.
* India is in talks to secure exemptions from U.S. steel tariffs, Reuters reported, citing the country's steel secretary, Binoy Kumar. The country plans to apply for exemptions from Canada in January.
* Rescuers have been unable to recover 15 miners trapped in a 370-foot-deep coal mine in India, Press Trust of India reported. Divers from the Indian Navy and the National Disaster Response Force are jointly working to recover the miners from the flooded underground mine.
* Miao Wei, China's minister for industry and information technology, claimed the country would achieve its target of eliminating 150 million tonnes of steelmaking capacity by the end of 2018, two years ahead of the original timeline, Economic Daily reported.
* Galaxy Resources Ltd. is continuing negotiations with several potential strategic partners for the company's Sal de Vida lithium project in Argentina. The company said it would only proceed with a partnership offer if it "properly recognize[s] the fundamental underlying value" of the project.
* Westgold Resources Ltd. accepted a superior offer from Cobalt 27 Capital Corp. for the acquisition of a royalty at the Mount Marion project in Western Australia. Cobalt 27 offered A$250,000 and 200 tonnes of physical cobalt metal in a warranted LME warehouse. The company will terminate its conditional agreement with SilverStream SEZC for the sale of noncore lithium royalties at Mount Marion and Buldania for about A$15 million.
* MaxTech Ventures Inc. said it would not pursue a planned acquisition of American Strategic Metals, which holds the Lost Sheep fluorspar project and the Lost Sheep mine in Utah. Maxtech plans to continue its focus on strategic battery and technology metals, primarily with current properties that have potential manganese and vanadium mineralization.
* Syrah Resources Ltd. achieved first production of unpurified spherical graphite at its Battery Anode Material facility in Louisiana, using natural graphite from the company's Balama graphite project in Mozambique.
* Quantum Graphite Ltd.'s said that exploration license 6224, forming part of the Uley graphite project in South Australia, was renewed to until Oct. 12, 2020.
* Polls have closed for the presidential elections in the Democratic Republic of the Congo, amid the opposition parties' complaints of widespread irregularities after a chaotic vote disrupted by long queues, broken voting machines and torrential rain, Reuters reported. Partial preliminary results from the polls are expected over the next two days. Three main candidates are battling against the DRC's long-serving leader, Joseph Kabila, which may lead to the mineral-rich country's first transfer of power through voting since independence in 1960, Bloomberg wrote.
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