Engineering & Mining Journal

NOV 2018

Engineering and Mining Journal - Whether the market is copper, gold, nickel, iron ore, lead/zinc, PGM, diamonds or other commodities, E&MJ takes the lead in projecting trends, following development and reporting on the most efficient operating pr

Issue link:

Contents of this Issue


Page 13 of 83

REGIONAL NEWS - U.S. & CANADA 12 E&MJ • NOVEMBER 2018 which should allow us to generate high returns, higher margins, and strong cash fl ow with little incremental capital. The Wilco and Gold Ridge projects provide ad- ditional exploration upside. "By consolidating this land position, we look forward to conducting regional exploration in an area with known miner- alization that has received little attention historically." Coeur expects the transaction to close during the fourth quarter of 2018. Trans- fer of the Wilco project to Coeur is subject to a 30-day right of fi rst refusal in favor of a third party. Cleveland-Cliffs Reaches Tentative Agreement on New Labor Contract Cleveland-Cliffs Inc. and the United Steelworkers (USW) reached a tentative agreement for a new 4-year labor contract that became effective on October 1. The new contract will cover approximately 1,800 USW-represented miners at Cliffs' Tilden and Empire mines in Michigan, and its United Taconite and Hibbing Tac- onite mines in Minnesota. "We are pleased to reach a new labor contract that is fair and equitable to both parties, and provides Cliffs a competitive cost structure for future success," said Lourenco Goncalves, chairman, president and CEO, Cleveland-Cliffs. "This agree- ment once again reinforces that we have more in common with the USW than we have differences, and we look forward to continuing our strong partnership." "Cliffs acknowledges the sacrifi ces of our members during recent tough times and now that the industry is prospering, looks to give its dedicated workforce its fair share," said USW International Pres- ident Leo W. Gerard. "Cleveland Cliffs is a fundamental part of the steel industry, and we congratulate them for bargaining seriously to reach a fair agreement." The agreement is pending ratifi cation by USW local union memberships. IDM Mining Commences Underground Drilling at the Red Mountain Gold Project IDM Mining Ltd. announces that under- ground drilling has commenced using two core rigs at the advanced-stage Red Mountain Underground Gold Project, lo- cated west of Stewart, British Columbia. An estimated 7,600 meters in more than 30 holes are planned. The company has a winterized camp and shop facility to sup- port the program. Exploration drilling during this pro- gram will primarily test four areas: a near-surface synform between the Marc and 141 Zones; the northern and western extensions to the Smit and JW Zones; a projected high-grade connection between the Smit and 141 Zones; and the north- ern and eastern extensions to the SF Zone antiform. Additionally, drilling will target conversion of inferred resources to mea- sured and indicated classifi cation, pri- marily within the Smit and SF Zones. "With our EA Certifi cate recently re- ceived from British Columbia's Provincial Government, we are excited to be back drilling at Red Mountain, particularly to target areas identifi ed by our geological team's new interpretation of untested high-amplitude fold closures and limbs," said Robert McLeod, president and CEO of IDM Mining. "Each drilling program to date has systematically added high-grade measured and indicated resources that are amenable to underground bulk-min- ing methods." It is expected that the drill program will be completed by early December 2018. Bunker Defaults on Lease Payment Bunker Hill Mining Corp. defaulted on its payment obligations with respect to its lease with option to purchase agreement with Placer Mining Corp., the lessor of the Bunker Hill mine. As such, the agreement has been terminated. The default resulted from missed prop- erty payments, totaling $400,000, which were due at the end of September and on October 1, 2018. Bunker Hill had 15 days, from the date notice of default was provided (September 28, 2018), to reme- dy the situation and they failed to do so. During mid-September, Bruce Reid re- signed his position as President and CEO and as a Director of Bunker Hill Mining. John Ryan, Director of the company, as- sumed the position of President and CEO on an interim basis. Bunker Hill Mining Corp. was working toward restoring production at the his- toric Bunker Hill mine, which was once the largest producing mine in the Coeur D'Alene zinc, lead and silver mining dis- trict in northern Idaho. New Gold Sells Mesquite Mine New Gold plans to sell its Mesquite mine, located in California, to Equinox Gold for $158 million in cash. The transaction is expected to be completed in the fourth quarter of 2018. "Mesquite has generated signifi cant value for New Gold, averaging more than 135,000 ounces of gold per year over the last 10 years since Western Goldfi elds, a predecessor to New Gold, brought the mine back into production," said Renaud Adams, president and CEO of New Gold. Equinox intends to fund the transac- tion through a combination of committed debt and equity. The transaction is subject to customary closing conditions, but does not require an Equinox shareholder vote. IDM Mining's Red Mountain project includes a winterized camp and shop facility to support its underground drilling, which will total 7,600 meters.

Articles in this issue

Links on this page

Archives of this issue

view archives of Engineering & Mining Journal - NOV 2018