SKILLINGS MINING REVIEW MAY 2024

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Volume: 113. Issue.5. May 2024

22 Mergers & Acquisitions in Iron Ore Mining: 2024 The iron ore mining sector is experiencing a robust wave of Mergers and Acquisitions as companies strive to secure strategic assets amidst fluctuating global demands.

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Constructing a Lithium Refinery An Essential Achievement for the Advancement of Renewable Energy

INSIGHTS FROM EXPERIENCED PROFESSIONALS ON

Leadership, Career Progression, & Industry Trends Interview with Industry Leaders Muhittin Aslan & Barb Elinesky

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Revolutionizing the Green Hydrogen Sector

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Namibia’s uranium mining growth to slow in 2024 due to water shortages

Volume: 113. Issue.5. May 2024

Mergers and Acquisitions in Iron Ore Mining: 2024 Outlook

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The iron ore mining sector is experiencing a robust wave of Mergers and Acquisitions as companies strive to secure strategic assets amidst fluctuating global demands and a pressing need for resource efficiency.

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Clean energy: Global Collaboration on Green Hydrogen Key to Just Energy Transition, EU Official Emphasizes

Muhittin Aslan & Barb Elinesky INSIGHTS FROM INDUSTRY PROFESSIONALS Leadership, Career Progression, & Industry Trends

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Transforming Artisanal Mining: A Pathway to Sustainable Development & Shared Prosperity

Constructing a Lithium Refinery: An Essential Achievement for the Advancement of Renewable Energy

Artisanal mining, often overshadowed by larger-scale operations, emerges as a vital sector in the global mining landscape, particularly in developing countries like those in Africa.

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Building a lithium refinery is a complex undertaking that goes beyond simply constructing a production plant.

05 Minespider and Star Diamond Corp.

Partner to Launch Diamond Passport 06 EMP Metals Initiates Commissioning of DLE Pilot Plant 07 Vale Registers 9% Drop in Q Profit 08 African Mining Indaba: Integration of Collision Prevention in SA Mines 12 Metso Introduces Recycling Solution for Sustainable Mining in Chile

14 Lithium Australia and Centrex Forge Path for Domestic Plant 16 Fortune Minerals Announces Arrival of Samples at SGS Canada 20 Perseus Mining Finalizes Takeover Offer for OreCorp 31 Pambili’s Acquisition of the Golden Valley Mine Sparks Investor Interest 38 Mount Clear Mine Incident Reignites Concerns Over Mining Safety

40 Gold Price Skyrockets to Record Highs Amid Fed Rate Cut Speculation 41 Integra Resources Secures Financing 41 American Pacific Mining Corp Advances Palmer Project 42 WesTrac Marks Milestone 44 Australian Lithium Industry Poised for Growth Despite Price Volatility 46 Statistics

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Minespider and Star Diamond Corp. Partner to Launch Diamond Passport In response to the G7 countries’ direct ban on Russian diamonds and the imperative to establish a verification and certification mechanism for rough diamonds, Minespider and Star Diamond have joined forces to introduce the Diamond Passport.

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his innovative initiative aims to ensure the ethical sourcing of diamonds by providing comprehensive traceability and certification, bolstering confidence in the diamond industry amidst growing concerns over conflict minerals.

The G7 nations have imposed a ban on Russian diamonds and have agreed to implement a verification and certification mechanism to prevent the sourcing of diamonds from conflict zones. This

initiative underscores the importance of establishing transparent supply chains and verifying the origins of rough diamonds to uphold ethical standards within the industry.

enance data, unique DNA characteristics, certificates from gemological laboratories, and other pertinent documentation, ensuring transparency and accountability throughout the supply chain.

Minespider, a leading traceability platform with over six years of experience in mineral traceability, unveiled the Diamond Passport earlier this year. This digital passport contains vital information about each diamond, including prov-

Through their partnership, Minespider and Star Diamond Corporation aim to enhance the latter’s position in diamond mining, particularly in large-scale mining sites across Canada.

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Wood Secures Major Contract with Antofagasta Minerals

EMP Metals Initiates Commissioning of DLE Pilot Plant

ood, a leading consulting and engineering firm, has clinched a significant contract with Antofagasta Minerals S.A (AMSA) for the expansion of its Nueva Centinela copper project in Chile.

EMP Metals marks a significant milestone in Canada’s lithium extraction landscape as it begins the commissioning of its direct lithium extraction (DLE) pilot plant in Estevan, Saskatchewan.

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This strategic partnership underscores the critical role of copper in the global energy transition and the increasing demand for this essential mineral. As the world moves towards electrification, the project at Nueva Centinela aims to bolster copper production to meet the surging demand, aligning with discussions at the Critical Minerals Africa Summit 2024.

Wood has been selected as the strategic partner by AMSA to spearhead the expansion of the Esperanza Sur pit at the Nueva Centinela copper project. This partnership entails Wood’s involvement in various key aspects of the project, including managing the construction of a new concentrating plant, ore crushing facility, conveyor transportation systems, sea water pipeline, tailing disposal, and facility expansions.

Additionally, infrastructure enhancements at the Centinela port are also on the agenda. This project aligns with AMSA’s significant investment of US$4.4 billion into the Minera Centinela facility and underscores the pivotal role of copper in the global market. The expansion project at Nueva Centinela is strategically positioned to address the escalating demand for copper, driven primarily by the energy transition and the global shift towards electrification.

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his pioneering endeavor, in collaboration with Koch Technology Solutions, establishes a pivotal point in the nation’s pursuit of sustainable lithium production. The inauguration of EMP Metals’ DLE pilot plant heralds a new era in the extraction of lithium, a critical component in the production of batteries for electric vehicles and renewable energy storage. Located in Estevan, Saskatchewan, this pilot plant stands as a testament to Canada’s commitment to technological innovation and environmental stewardship in the pursuit of sustainable energy solutions.

EMP Metals, in partnership with ROK Resources, spearheads the Viewfield lithium brine project in the Duperow formation, with EMP holding a 75% ownership stake. The project’s strategic location and innovative approach position it as a cornerstone in Canada’s emerging lithium sector. ROK Resources holds the remaining 25% ownership stake, cementing a collaborative effort towards achieving operational excellence and sustainable resource development.

PAUL SCHUH, CHIEF Operating Officer of EMP Metals, underscores the significance of the pilot plant’s commissioning, emphasizing its role in generating invaluable operational insights.

Designed to mirror real-world field conditions, the pilot plant integrates cutting-edge technologies, including pre-filtration and heater circuits developed

by Saltworks Technologies. Operating 24/7, the plant is poised to collect comprehensive performance data crucial for advancing detailed engineering efforts for the stage 1 commercial facility.

As EMP Metals embarks on this groundbreaking venture, it underscores its commitment to advancing sustainable resource development practices. By leveraging state-of-the-art extraction technologies and adhering to stringent environmental standards, EMP Metals aims to maximize resource efficiency while minimizing ecological impact. The Viewfield lithium brine project, with an estimated lifespan of 23 years and an annual production capacity of 12,175 tonnes of lithium carbonate equivalent (LCE), promises to be a beacon of sustainability in Canada’s burgeoning lithium sector.

Brazil’s Vale Registers 9% Drop in Q1 2024 Profit Amid Commodity Price Decline Brazilian mining giant Vale has announced a 9% decrease in net income attributable to shareholders for the first quarter of 2024 (Q1 2024), reflecting the challenges posed by a decline in commodity prices.

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he company’s financial performance highlights the impact of fluctuating market conditions on one of the world’s largest mining firms.

Vale reported a net income attributable to shareholders of $1.67 billion in Q1 2024, down from $1.83 billion in the

same quarter of the previous year. Despite a marginal increase in net operating revenues, which reached $8.45 billion compared to $8.43 billion in Q1 2023, the company faced a decline in profitability.

The adjusted earnings before interest, taxes, depreciation, and amortization (EBITDA) for Q1 2024 stood at $3.44 billion, a decrease from $3.71 billion in Q1 2023. Vale’s adjusted EBITDA margin experienced a notable decrease, dropping to 41% in Q1 2024 compared to 44% in the same period last year.

Despite the challenging market conditions, Vale’s capital expenditures surged

by 23% to $1.39 billion in Q1 2024, reflecting the company’s ongoing investment in its operations. However, the average realized prices of key commodities declined, with nickel experiencing a 33% year-on-year drop and copper dipping by 18%.

Vale’s financial performance in Q1 2024 underscores the broader challenges facing the mining industry, including volatility in commodity prices and global economic uncertainty. The decline in profitability and EBITDA margin reflects the company’s efforts to navigate a complex operating environment.

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AFRICAN MINING INDABA

Integration of Collision Prevention in South African Mines Hinges on Human Factor IN THE REALM OF MINING SAFETY, South Africa leads the global charge in regulating collision prevention. However, despite the availability of cutting-edge technology, implementing effective solutions remains a challenge.

The recent Investing in African Mining Indaba in Cape Town shed light on this crucial issue, emphasizing the indispensable role of human collaboration in ensuring safety measures are upheld. Booyco Electronics CEO Anton Lourens underscored the significance of integrating technology with human engagement for optimal results.

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nton Lourens, CEO of Booyco Electronics, stresses that while technology plays a pivotal role in collision prevention, it is not the sole solution. He emphasizes the importance of recognizing the human element in the successful implementation of safety measures.

Chapter 8 of the Mine Health and Safety Act mandates strict compliance with safety regulations, particularly concerning Proximity Detection Systems (PDS).

Lourens highlights the necessity for mines to embrace technological advancements to mitigate risks to health and safety.

Despite significant progress in collision prevention strategies, disparities persist across different mine sites. Lourens points out the need for consistent adop-

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tion of safety measures throughout all departments within a mine, emphasizing the importance of clear communication and alignment of strategies.

to meet customer requirements. Lourens acknowledges the natural resistance to change but emphasizes the necessity of adapting to evolving safety standards.

The successful implementation of collision prevention strategies hinges on collaboration among stakeholders, including mine operators, suppliers, and regulators. Lourens stresses the importance of all parties working together to achieve the common goal of Zero Harm.

Modern PDS technology not only enhances safety but also generates valuable data on machine and pedestrian movements within mines. This data is instrumental in creating ‘digital twin’ simulations for mining operations, facilitating ongoing safety improvements.

South African mines face the challenge of engaging multiple Original Equipment Manufacturers (OEMs) and technology partners, adding complexity to the application of PDS technology. Lourens highlights the importance of close collaboration between PDS suppliers and OEMs

As South Africa leads the charge in regulating collision prevention in mining, it is evident that success in implementing effective solutions hinges on the collaboration of all stakeholders and the integration of technology with human engagement.

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Revolutionizing the Green Hydrogen Sector

Lhyfe Launches Digital Marketplace for Seamless Trading

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n a significant development for the green hydrogen sector, Euronext-listed Lhyfe has unveiled a groundbreaking digital platform that revolutionizes the buying and selling of green hydrogen.

In a significant development for the green hydrogen sector, Euronext-listed Lhyfe has unveiled a groundbreaking digital platform that revolutionizes the buying and selling of green hydrogen. The Green Hydrogen Marketplace, hosted on Lhyfe’s online portal, promises to streamline transactions and foster collaboration between buyers and sellers, marking a milestone in the journey towards decarbonization.

A New Era of Green Hydrogen Trading With the launch of the Green Hydrogen Marketplace, the green hydrogen sector enters a new era of digital trading. Lhyfe, a French group dedicated to energy transition, has introduced a platform that facilitates seamless transactions and connects stakeholders across Europe. This digital marketplace represents a significant step forward in accelerating the adoption of green hydrogen as a sustainable energy solution.

Lhyfe’s Commitment to Decarbonization Lhyfe has been at the forefront of efforts to accelerate decarbonization through innovative initiatives. Since 2021, the company has been operating an industrial-scale green hydrogen production site connected to a wind farm. In 2022, Lhyfe expanded its portfolio with a platform for producing green hydrogen at sea. Now, with the launch of the Green Hydrogen Marketplace, Lhyfe further solidifies its commitment to driving the transition to sustainable energy solutions.

Empowering Buyers and Sellers The Green Hydrogen Marketplace empowers both buyers and sellers by providing a user-friendly platform for trading

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green hydrogen. Through a few simple clicks, users can access a map displaying supply points and relevant information, streamlining the process of selecting dates and sources.

This seamless interface saves time for all parties involved, enhancing efficiency and promoting collaboration.

Accelerating the Transition to Green Hydrogen Lhyfe’s founder and CEO, Matthieu Guesné, emphasized the importance of digitalization in accelerating the transition to green hydrogen. By leveraging algorithmic solutions and remote control methods, Lhyfe optimizes production processes and enables stakeholders to gain a better understanding of the sector. The Green Hydrogen Marketplace serves as a catalyst for collaboration, facilitating the exchange of ideas and resources to drive decarbonization efforts forward.

Enhancing Production and Accessibility For Lhyfe, the launch of the Green Hydrogen Marketplace opens up new opportunities to optimize production sites and enhance accessibility to green hydrogen. Operations director Antoine Hamon highlights the platform’s ability to provide greater guarantees in terms of availability, empowering both producers and consumers in the green hydrogen ecosystem.

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Metso Introduces Recycling Solution for Sustainable Mining in Chile SUSTAINABLE MINING PRACTICES ARE GAINING MOMENTUM globally, with countries like Chile, the leading copper producer, taking proactive measures to reduce environmental impact.

In response to the growing demand for sustainable solutions in the mining sector, Metso, a prominent supplier of mining equipment and services, is unveiling a groundbreaking circularity recycling solution in Chile.

Addressing Sustainability Challenges in Mining Mining operations often face sustainability challenges, including waste management and resource utilization. Metso’s new circularity recycling solution aims to tackle these issues by enabling the efficient separation of liner materials, such as Megaliner™, Poly-Met™, and rubber liners. By reusing valuable rubber and steel components in the manufacturing of new products or recycling them, the solution contributes to reducing waste and CO2 emissions.

Commitment to Sustainability Eduardo Nilo, President of South America at Metso, emphasizes the company’s commitment to sustainability and driving the mining industry towards more eco-friendly practices. With ambitious sustainability targets in mind, Metso’s recycling solution aligns with the goals of mining customers striving to achieve net-zero operations.

Metso’s recycling service, part of its Planet Positive offering, is the result of years of research and development. From feasibility studies to customer pilots, the company has continuously refined its recycling process.

Investment in Expansion and Technology Metso is expanding its factory in Concón, Chile, to enhance its production capabilities for rubber and Poly-Met liners. The

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installation of a mega-class compression press will significantly increase the production capacity for large Megaliner™ mill liners by up to 30%. Moreover, the factory will transition to using 100% renewable electricity to support CO2 emission reductions.

Chilean Mining Policy and Metso’s Contribution Chile’s 2050 National Mining Policy underscores the importance of sustainable mining practices and carbon neutrality.

Metso’s initiatives align with the country’s vision, aiming to grow the circular economy model and minimize environmental impact.

Global Impact and Future Expansion Heikki Metsälä, President of Consumables business area at Metso, highlights the company’s global commitment to

and maximize resource efficiency throughout the mining production process.

sustainability. The introduction of the mill liner recycling solution in Chile marks a significant milestone, with plans to expand the service to other regions, including North America.

Pioneering Recycling Service Metso’s recycling service, part of its Planet Positive offering, is the result of years of research and development. From feasibility studies to customer pilots, the company has continuously refined its recycling process. The innovative technology enables safe and efficient separation of rubber and metal liner components, paving the way for a more sustainable mining industry.

Closing the Circular Economy Loop Metso’s efforts extend beyond recycling liners; the company is exploring ways to increase the use of recycled materials in its products. By closing the circularity loop, Metso aims to minimize waste

Metso’s introduction of a unique recycling solution demonstrates its commitment to driving sustainable practices in the mining industry. With innovative technology and a focus on environmental responsibility, the company is poised to make a significant impact on reducing waste and CO2 emissions in mining operations.

As sustainability remains a top priority for the global mining sector, Metso’s initiatives set a new standard for responsible resource management and eco-friendly innovation.

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Lithium Battery

Lithium Australia and Centrex Forge Path for Domestic Plant IN A GROUNDBREAKING DEVELOPMENT POISED TO RESHAPE Australia’s energy landscape, Lithium Australia and Centrex subsidiary, Agriflex, have initiated discussions for a potential supply deal crucial for the establishment of a lithium battery plant.

Fueling Growth: Exploring Opportunities in Australia’s Battery Market

From Demonstration to Commercialization: Scaling Up Production

Lithium Australia and Centrex’s subsidiary, Agriflex, are charting a new course towards growth within Australia’s burgeoning battery market. Through a non-binding memorandum of understanding (MOU), the companies aim to harness synergies for the construction of a demonstration plant near Agriflex’s Ardmore phosphate rock mine in Queensland.

The envisioned demonstration plant, with an estimated capacity of 250 tonnes per annum (tpa) of LFP or LMFP, represents a crucial stepping stone towards commercialization.

Operating at this scale would necessitate approximately 200–300tpa of phosphoric acid, underscoring the significance of Ardmore’s potential as a key supplier. Should the demonstration plant prove successful, Lithium Australia aims to forge ahead with the construction of a commercial facility boasting an estimated capacity of 25,000tpa of LFP or LMFP, signaling a monumental leap forward in Australia’s battery manufacturing capabilities.

This pivotal step signifies a collective commitment to leveraging domestic resources for the production of cathode powders essential for lithium batteries, propelling Australia towards self-sufficiency in battery production.

Harnessing Innovation: Proprietary Technology for Cathode Powder Production Lithium Australia brings to the table proprietary technology poised to revolutionize cathode powder production for lithium batteries. With expertise in manufacturing lithium ferro phosphate (LFP) and lithium manganese ferro phosphate (LMFP), the company stands at the forefront of innovation in the battery industry. As phosphoric acid serves as a critical component in LFP and LMFP production, Ardmore’s strategic location positions it as a prime supplier for the forthcoming demonstration plant.

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Navigating Towards Partnership: Commitment to Binding Agreements

Should the demonstration plant prove successful, Lithium Australia aims to forge ahead with the construction of a commercial facility boasting an estimated capacity of 25,000tpa of LFP or LMFP, signaling a monumental leap forward in Australia’s battery manufacturing capabilities.

Both Agriflex and Lithium Australia have expressed their unwavering support for the MOU, with a shared objective of progressing towards a conditional binding offtake agreement for phosphoric acid.

Through technical collaboration and product testing, Lithium Australia seeks to ensure the suitability of phosphate samples from Agriflex for LFP and LMFP production. This alignment of interests underscores a mutual commitment to realizing the full potential of Australia’s lithium battery industry.

Localizing Supply Chains: Strengthening Australia’s Battery Sector

battery production appears clearer than ever. As the world transitions towards cleaner energy solutions, Australia stands poised to capitalize on this paradigm shift, spearheading innovation and driving economic growth in the process.

The MOU between Lithium Australia and Centrex marks a significant stride towards establishing a robust battery supply chain within Australia. By tapping into the nation’s vast lithium resources and emerging trends favoring LFP battery technology, the partnership aims to position Australia as a global hub for battery manufacturing.

Seizing the Opportunity: A Promising Future for Australian Battery Production As Australia’s lithium production base continues to expand, the prospect of establishing an LFP battery operation

on home soil looms large. With Lithium Australia and Centrex at the helm, supported by conducive regulatory frameworks and a conducive business environment, the path towards domestic

In conclusion, the collaboration between Lithium Australia and Centrex subsidiary Agriflex marks a significant milestone in Australia’s journey towards self-reliance in battery production. With a shared vision of harnessing domestic resources and pioneering technology, the partners are poised to usher in a new era of sustainable energy solutions, positioning Australia at the forefront of the global battery revolution.

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Koba Resources Secures Option Agreement for Harrier Uranium Project in Eastern Canada Koba Resources, a prominent player in the resource exploration sector, has recently inked a significant deal to acquire a 100% interest in the Harrier Uranium Project located in eastern Canada.

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he project, boasting 527 mining claims, is strategically situated in a region renowned for its high-grade uranium deposits, presenting Koba with a promising opportunity to bolster its portfolio in the lucrative uranium market.

The option agreement, brokered with a local geologist based in Newfoundland, grants Koba Resources the exclusive right to acquire full ownership of the Harrier Uranium Project.

To maintain this option over the next four years, Koba has committed to making staggered payments totaling C$350,000 in cash and issuing C$375,000 worth of shares by the agreement’s conclusion. Additionally, the company must adhere to a minimum exploration and development expenditure of $3 million (A$4.62 million) within the same timeframe.

Koba Resources has wasted no time in fulfilling its initial financial obligations under the agreement. By April 30, 2024, the company will make an initial payment of C$100,000 in cash and issue C$50,000 worth of shares. Over the subsequent years, Koba will incrementally increase its payments, culminating in the aforementioned totals by the fourth year.

Moreover, in line with its commitment to advancing the project, Koba will invest at least $3 million in exploration and development activities within the stipulated four-year period. This includes allocating C$200,000 in the first year and ramping up to C$1 million within the first two years, underscoring the company’s dedication to unlocking the full potential of the Harrier Uranium Project.

The acquisition of the Harrier Uranium Project marks a strategic move for Koba Resources as it seeks to capitalize on the growing demand for uranium, driven by its vital role in clean energy generation and nuclear technologies.

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Fortune Minerals Announces Arrival of Samples at SGS Canada Fortune Minerals Limited announced the successful delivery of ore samples from the NICO cobalt-gold-bismuthcopper deposit in the Northwest Territories to SGS Canada Inc. in Lakefield, Ontario.

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hese ores will be used to conduct additional metallurgical testing and pilot work to validate recent optimizations and support detailed engineering and an updated Feasibility Study for the vertically integrated NICO cobalt-gold-bismuth-copper Critical Minerals project in Canada (“NICO Project”).

Intermediate test products produced from NICO Project ores and concentrates will also be blended with metal precipitates sourced from Rio Tinto’s Kennecott Smelter in Utah to assess the feasibility of processing these materials to recover additional bismuth and cobalt at Fortune’s planned hydrometallurgical refinery in Alberta (“Alberta Refinery”).

Successful validation of the Fortune optimizations and processing of Rio Tinto precipitates would increase Critical Mineral production and revenues and reduce waste disposal costs for the planned Alberta Refinery.

The NICO Project is an advanced development stage asset comprised of a planned open pit and underground mine and concentrator in the NWT and a hydrometallurgical refinery in Alberta to process metal concentrates from the mine and other compatible sources to value-added products.

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Transforming Artisanal Mining

A Pathway to Sustainable Development & Shared Prosperity Artisanal mining, often overshadowed by largerscale operations, emerges as a vital sector in the global mining landscape, particularly in developing countries like those in Africa.

timated eight to nine out of ten miners engaged in this sector. In regions like Africa, artisanal mining ranks as the second or third-largest employer, following agriculture and retail trade.

Moreover, artisanal miners play a pivotal role in extracting Development Minerals crucial for construction and infrastructure, meeting a substantial portion of global demand.

Addressing Challenges and Exploitation Despite its economic importance, artisanal mining often operates in unregulated environments, exposing miners to hazardous conditions and exploitation.

While artisanal miners contribute significantly to the extraction of essential minerals, their work conditions, and environmental implications often raise concerns. However, a paradigm shift emphasizing fairness, sustainability, and empowerment can reshape the narrative around artisanal-mining.

Recognizing the Significance of Artisanal Mining Artisanal mining stands as a cornerstone of many economies, with an es-

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Artisanal mining holds immense potential as a driver of sustainable development and economic growth. By prioritizing fairness, empowerment, and environmental stewardship, countries can unlock the transformative power of artisanal mining, paving the way for a future where prosperity is shared by all stakeholders.

Health risks, accidents, and environmental degradation remain prevalent concerns, affecting both miners and neighboring communities. This exploitation underscores the urgency for comprehensive reforms to ensure the well-being of artisanal miners and mitigate environmental impacts.

A Call for Systemic Change Efforts to transform it require a multi-faceted approach, combining political will, legal frameworks, and sustainable practices. Governments must prioritize the administration of artisanal mining, providing adequate resources

for inspections, legalization, and technical support. Allocating a portion of revenues from large-scale mining can bolster funding for artisanal mining initiatives, fostering a more equitable distribution of resources.

Empowering Artisanal Miners for Sustainable Development Enhancing access to finance and technology emerges as a crucial step in improving the livelihoods of artisanal miners. By investing in productivity growth and income generation, countries can uplift miners and address social issues like child labor and gender-based violence. Moreover, facilitating transitions to other industries, such as manufac-

turing and construction, offers opportunities for economic diversification and long-term sustainability.

Balancing Economic Growth with Environmental Preservation As artisanal mining expands, environmental preservation becomes imperative. Strict enforcement of environmental protection laws and the designation of environmentally sensitive areas are essential to mitigate the ecological footprint of mining activities.

By safeguarding natural resources, countries can ensure the sustainability of artisanal mining while preserving vital ecosystems for future generations.

Shaping a Future of Inclusive Mining The envisioned transformation of artisanal mining heralds a shift towards shared prosperity and inclusive development. By elevating artisanal miners as valued partners in the industry, countries can foster a more equitable mining sector that benefits both local communities and the global economy.

Through collaborative efforts and sustainable practices, artisanal mining can emerge as a catalyst for positive change, driving sustainable development and lifting millions out of poverty.

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Perseus Mining Finalizes Takeover Offer for OreCorp Perseus Mining has declared its cash offer for OreCorp final and unconditional after securing a majority stake in the gold development company.

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he acquisition of OreCorp, listed on the ASX and owner of the Nyanzaga Gold Project in Tanzania, strengthens Perseus’s position in the gold mining industry. With plans to accelerate development and expand operations, Perseus aims to leverage synergies between its existing portfolio and the newly acquired assets.

Perseus Mining has announced the finalization of its cash offer for OreCorp, acquiring a stake of 51.03% in the gold development company. The offer, priced at A$0.575 per share, has received positive responses from OreCorp shareholders, allowing Perseus to declare the offer unconditional and best and final.

OreCorp’s flagship asset, the Nyanzaga Gold Project in Tanzania, boasts significant probable ore reserves of 2.60 million ounces of gold. Perseus’s acquisition of OreCorp provides a strategic entry into Tanzania’s gold mining sector, offering opportunities for further exploration and development in the region.

As part of the acquisition, Perseus will appoint representatives to the OreCorp board and management team. Jeff Quartermaine, CEO of Perseus Mining, will serve as chairman, while Lee-Anne de Bruin is slated to become OreCorp’s CEO and MD. These appointments signal Perseus’s commitment to seamless integration and effective management of the acquired assets.

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Sodium Metal Pioneers Green Transformation in Iron Ore Refining In a groundbreaking move towards sustainable mining practices, energy companies such as Israel-based Helios and Netherlands-based Alkalium are spearheading a revolutionary process that utilizes sodium metal to iron ore refining into direct reduced iron (DRI).

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his innovative approach not only eliminates harmful emissions traditionally associated with coal and hydrogen-based refining methods but also opens doors to a greener and more efficient future for the mining industry. At the forefront of sustainable mining initiatives, Alkalium CEO Rob Vasbinder introduces a pioneering process that replaces coal and hydrogen with sodium metal in the refinement of iron ore. This transformational approach, termed the Alkalium iron process, promises to revolutionize the iron ore industry by significantly reducing carbon footprint and environmental impact.

Central to the Alkalium iron process is the utilization of sodium metal as a catalyst for refining iron ore. Unlike traditional methods that generate harmful emissions such as carbon dioxide, this innovative process leverages sodium’s unique properties to facilitate a spontaneous reaction without the need for pressure or additional catalysts. By eliminating emissions and minimizing environmental footprint, sodium emerges as a key player in driving sustainable mining practices.

The Alkalium iron process comprises several distinct stages, each designed to maximize efficiency and minimize environmental impact. From the Natrolyzer, where renewable electricity separates sodium hydroxide into sodium metal, oxygen, and water, to the Reducer, where sodium metal reacts with iron ore to produce pure iron, every step prioritizes sustainability and resource optimization.

By embracing sodium-based DRI production, mining companies unlock a myriad of benefits beyond environmental sustainability. Notably, sodium’s high energy density makes it an ideal candidate for on-site energy storage, further enhancing operational efficiency and reducing reliance on external energy sources.

Moreover, the continuous recycling of sodium metal minimizes waste and maximizes resource utilization, cementing sodium’s position as a catalyst for sustainable mining practices. As the Alkalium iron process gains momentum, its potential for global scalability becomes increasingly apparent.

Iron Ore Futures Surge to 5-Week High Iron ore futures surged to a more than five-week high on Wednesday, propelled by a buoyant steel market and the anticipation of pre-holiday restocking by steelmakers in China, the world’s largest consumer of the commodity.

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he most-traded September iron ore contract on China’s Dalian Commodity Exchange (DCE) closed daytime trade 4.25% higher at 870 yuan ($120.20) per metric ton, marking the highest level since March 11.

This significant upswing follows a brief dip of over 1% observed on Tuesday, highlighting the resilience and upward momentum of iron ore prices. Similarly,

the benchmark May iron ore on the Singapore Exchange soared 5.63% to $115.55 per ton, reaching its peak since March 8, amidst bullish market sentiment.

Analysts attribute the surge in iron ore prices to multiple factors, including the improving steel market dynamics and the forthcoming May Day holiday break, which typically spurs pre-holiday restocking by steelmakers. The resur-

gence in steel mill profitability, driven by enhanced margins and robust downstream demand, has fueled an increasing willingness among mills to resume production, thereby bolstering near-term ore demand.

Analysts at information provider Custeel highlight the favorable conditions for coastal steel mills, projecting a potential gross profit of 300 yuan to 400 yuan per ton.

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The iron ore mining industry is at a pivotal juncture, with M&A activities playing a crucial role in shaping its future.

These transactions are not merely financial investments but strategic moves that will determine the industry's path in the coming years as it navigates the challenges and opportunities presented by the global shift towards sustainable and responsible mining practices.

Mergers & Acquisitions in Iron Ore Mining

Outlook

The iron ore mining sector is experiencing a robust wave of Mergers and Acquisitions as companies strive to secure strategic assets amidst fluctuating global demands and a pressing need for resource efficiency.

This trend, which gained momentum in 2023, is set to continue into 2024, driven by the industry's focus on critical minerals essential for the energy transition and technology sectors.

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Key Developments and Major Deals One of the landmark transactions in the recent M&A landscape is the acquisition by Cyclone Metals Limited of Labrador Iron Pty Ltd, which owns the Block 103 Magnetite Iron Ore project in Quebec, Canada. This site is notable for being the largest undeveloped magnetite iron ore project globally, boasting a historical mineral resource estimate of 7200 million tonnes at 29.2% iron.

Another significant player, Fortescue Metals, has made headlines not just for its substantial iron ore operations but also for its strategic expansions and sustainability initiatives. The company aims to triple its production capacity by 2040, focusing on both expansion and environmental sustainability.

towards sustainability and reduced carbon footprints. This strategic realignment within the sector is not only a response to immediate economic and environmental pressures but also a long-term investment in the future of mining, where the demand for strategic minerals will dictate market dynamics and growth trajectories.

The trends shaping the iron ore mining sector in 2024 stress strategic emerging alignments:

Strategic Consolidation in Response to Global Supply Chain Dynamics

The push towards consolidation is not just about increasing market share but also about enhancing the resilience of supply chains. The global mining industry is increasingly focused on reducing dependency on single-source markets, The sector is also witnessing large-scale integrations, such notably China, which has dominated the supply of many as the formation of Arcadium Lithium critical minerals. Efforts to diversify from the merger of Livent and Allkem. supply sources are evident in the straOne of the landmark This new entity now controls significant tegic moves by companies to secure transactions in the relithium mining assets critical for batassets in geopolitically stable and retery production, indicating a strategic source-rich regions. cent M&A landscape is pivot towards materials essential for the acquisition by CyTechnological Advancements the green economy.

Market Dynamics and Strategic Shifts

clone Metals Limited of Labrador Iron Pty Ltd, which owns the Block 103 Magnetite Iron Ore project in Quebec, Canada.

The intense activity in M&A is largely motivated by the need to bridge supply gaps for critical minerals like lithium, cobalt, and nickel, which are crucial for the burgeoning electric vehicle and renewable energy sectors. Companies are not only focusing on expanding their resource bases but also on enhancing their operational efficiencies to compete in a market that is increasingly sensitive to environmental and sustainability standards.

The competitive landscape is also being shaped by economic factors such as the cyclical nature of commodity prices and the strategic movements of major economies like China, which continues to play a significant role in the global supply chain dynamics for rare earth and other strategic metals.

Looking Ahead: 2024 and Beyond As we move further into 2024, the iron ore mining sector is expected to continue seeing robust M&A activity. Companies are likely to pursue acquisitions that allow them to not only secure valuable resources but also align with global trends

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Driving M&A

Technological innovation is a significant driver of M&A activities. Mining companies are keen on acquiring firms that have advanced mining and processing technologies. This includes everything from blockchain for mineral traceability to advanced robotics and automation that can enhance the efficiency and safety of mining operations. Such technologies not only optimize operations but also help in adhering to increasingly stringent environmental regulations.

Environmental, Social, and Governance (ESG) Factors Environmental, Social, and Governance (ESG) criteria are becoming critical factors in investment decisions within the mining sector. Investors are more frequently assessing potential M&A deals through the lens of sustainability.

This shift is prompting mining companies to not only improve their own ESG credentials but also to seek partners that align with these values, thereby enhancing their appeal to global investors looking for responsible investment opportunities.

Future Outlook: Evolving Market Dynamics The market dynamics of the iron ore sector are expected to keep evolving with the continued emphasis on green energy transitions. As nations worldwide commit to carbon neutrality, the demand for iron ore and other metals required for green technology solutions is anticipated to rise. This will likely spur further M&A activities as companies strive to meet these demands while ensuring sustainable and socially responsible mining practices.

Building on the current developments in the iron ore mining sector, further aspects and insights can be highlighted to provide a more comprehensive view of the industry in 2024:

Impact of International Relations on Iron Ore Supply International relations, especially trade policies and sanctions, could significantly impact iron ore supply chains.

For instance, tensions between major iron ore producing countries and consuming nations can lead to shifts in trade routes and strategies. Companies are likely to consider these geopolitical factors in their M&A strategies to mitigate risks associated with supply chain disruptions.

Investment in Infrastructure As mining companies expand their operations through mergers and acquisitions, there's a parallel increase in investment in infrastructure. This includes not only mining equipment and facilities but also transportation and logistics infrastructure, such as railways, ports, and shipping capabilities.

Enhancing this infrastructure is critical for companies looking to capitalize on newly acquired assets, especially in remote areas where existing infrastructure may be inadequate.

Focus on Rare Earth Elements and Byproducts While iron ore remains a primary focus, the mining sector's interest in byproducts like rare earth elements is growing.

These elements, often found in conjunction with iron ore deposits, are crucial for high-tech and defense applications.

Companies are assessing the potential to extract these valuable byproducts as part of their iron ore operations,

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Projections and Possible Outcomes for 2024 1. Increased M&A Activity As companies seek to secure resources necessary for the green energy transition, there's an expected increase in mergers and acquisitions.

This trend will likely concentrate market power in the hands of a few large players who can afford significant investments.

2. D iversification of Supply Sources Given the geopolitical tensions and supply chain vulnerabilities exposed by recent events, mining companies are projected to diversify their supply sources. This includes expanding op-

erations in politically stable countries and investing in infrastructure to support logistics and export capabilities.

3. A dvancements in Mining Technology Technological innovation, particularly in automation and ore processing, is expected to accelerate.

This could lead to more efficient extraction processes and reduced environmental impact, aligning with global sustainability goals.

4. Focus on Sustainability There will likely be a significant push towards improving environmental,

Companies failing to meet these standards may face investment shortfalls and regulatory pressures.

5. Volatility in Commodity Prices The prices of iron ore and associated commodities are expected to remain volatile due to fluctuating demand from major consumers like China and the global push towards renewable energy sources, affecting the profitability and strategic planning of mining companies.

which could significantly affect their M&A strategies and operational focus.

of these trends will be crucial for companies aiming to maintain competitive advantage and drive sustainable growth.

Advanced Exploration Techniques

Alliances and Competitors

To better assess potential M&A targets, companies are increasingly relying on advanced exploration techniques that offer more precise data on the quality and quantity of deposits. Techniques such as 3D modeling, seismic imaging, and satellite data are being utilized to minimize investment risks and ensure that new acquisitions are viable in the long term.

Alliances: Companies are forming alliances not only with local and international mining firms but also with companies in technology and renewable energy sectors. These alliances aim to leverage shared technology, infrastructure, and market access, enhancing the capabilities to meet new environmental standards and to tap into new markets.

There is a renewed focus on improving worker safety through automation and remote operation technologies. As mines become deeper and more geographically isolated, the push towards automating mining operations can not only improve safety but also increase efficiency. This trend is particularly relevant in the context of mergers and acquisitions, as integrating new technologies across acquired assets can present both challenges and opportunities for growth.

M&A activities are shaped not just by immediate financial gains but also by strategic considerations involving sustainability, technological advancements, and geopolitical dynamics. As the sector continues to evolve, staying ahead

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social, and governance (ESG) standards across the industry.

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Competitors: The competitive landscape is becoming increasingly concentrated with major players like Rio Tinto, BHP, and Vale continuing to dominate the market. However, new entrants and smaller players that can innovate in sustainability and technology are emerging as significant competitors.

Companies such as Fortescue Metals are also expanding their footprint and could challenge the status quo with their aggressive expansion and sustainability strategies.

The iron ore mining sector in the remaining 2024 is poised for a transformative period driven by technological, environmental, and economic changes.

CLEAN ENERGY

Global Collaboration on Green Hydrogen Key to Just Energy Transition, EU Official Emphasizes IN A RECENT HYDROGEN ECONOMY Discussion, stakeholders underscored the significance of local and international collaboration initiatives in advancing the green hydrogen agenda amid a global push for a just energy transition.

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eputy Ambassador Fulgencio Garrido Ruiz, representing the Delegation of the European Union (EU) to South Africa, highlighted the EU’s commitment to fostering partnerships to secure a sustainable supply of green hydrogen and promote economic growth.

To meet the demand for green hydrogen and support global energy transitions,

Ruiz reiterated the EU’s commitment to adding value to local economies through investments in green hydrogen projects.

By assisting partner countries in moving up the value chain, the EU aims to foster economic growth and promote sustainable development.

The Hydrogen Economy Discussion highlighted the importance of global collaboration in advancing the green hydrogen agenda and achieving a just energy transition.

Ruiz outlined the EU’s new growth and investment model for 2030, emphasizing its focus on building a robust economic base, reducing energy dependencies, and diversifying value chains.

Importance of International Partnerships:

Value Addition and Economic Growth:

These initiatives align with the broader goal of driving a just energy transition that prioritizes environmental sustainability and economic prosperity.

EU’s New Growth and Investment Model:

With projections indicating that up to 50% of the European hydrogen demand will be met through imports, Ruiz stressed the importance of international partnerships in ensuring a secure supply of green hydrogen.

in local economies and facilitating value chain development, the EU seeks to enhance the competitiveness and sustainability of partner nations.

Deputy Ambassador Ruiz’s remarks underscored the EU’s commitment to building international partnerships to secure a sustainable supply of green hydrogen and promote economic growth.

Ruiz emphasized the EU’s efforts to establish partnerships worldwide, including with South Africa. These collaborations aim to advance green energy transitions while contributing to the industrial strategies of partner countries. By investing

As nations strive to reduce carbon emissions and transition towards renewable energy sources, cooperation and partnership will be critical in realizing a more sustainable and equitable future.

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SKILLINGS MINING

INDUSTRY DIALOGUE Muhittin Aslan

S K I L L I N G S R O U N D TA B L E Q & A D I S C U S S I O N

UNIT MANAGER AT THE INVESTMENT OFFICE OF THE PRESIDENCY OF THE REPUBLIC OF TÜRKIYE Muhittin Aslan serves as a Unit Manager at the Investment Office of Türkiye, where he has honed his expertise over 17 years. His role involves promoting and facilitating foreign direct investment into Türkiye, with a keen focus on sustainable development and economic growth.

Muhittin's professional journey is marked by his deep involvement in investment facilitation, environmental compliance, and policy advocacy. He has a robust background in EU funding schemes and the EU environmental acquis, which he utilizes to align Türkiye’s policies with EU standards. Muhittin is also active in international forums, including the World Bank's Ease of Doing Business Türkiye Coordination Unit, advocating for legal and administrative reforms in the environmental and mining sectors.

Barb Elinesky DRILLING CONTRACT CONSULTANT AND PRESIDENT OF BE DIAMOND DRILL CONSULTING Based in Oakville, Ontario, Barb Elinesky has carved out a niche as a leading consultant in the drilling industry through her company, BE Diamond Drill Consulting.

With years of experience, Barb works closely with mining companies to source qualified drill contractors that meet high standards of efficiency and cost-effectiveness.

Her approach to consulting emphasizes collaboration, quality, and client satisfaction, ensuring that mining operations she partners with are equipped for success.

Barb's commitment to excellence is evident in her hands-on involvement in every project and her advocacy for transparency, inclusion, and diversity within the mining industry.

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Interview with Industry Leaders

Insights on Career Development & Leadership

In our recent discussion, we engaged with two seasoned professionals, Muhittin Aslan and Barb Elinesky, who shared their career experiences and insights based on a comprehensive questionnaire.

Their responses provide valuable perspectives on leadership, career advancement, and industry challenges, particularly relevant in today's evolving business landscape.

In our latest industry dialogue, we are privileged to feature insights from two distinguished professionals, Muhittin Aslan and Barb Elinesky.

Their extensive experience and strategic roles in their respective fields provide a rich source of wisdom and guidance for those navigating the complexities of the investment and mining industries.

Together, these leaders bring a wealth of knowledge and strategic insight into our discussion on career development, leadership, and industry challenges, offering valuable lessons for professionals at any stage of their career.

Muhittin Aslan: Navigating Investment and Policy in Türkiye How important have leadership skills been in your career?

Leadership is crucial—it not only motivates but also carries the heavy responsibility of achieving goals on behalf of the team.

Did your formal education prepare you adequately for your career?

My engineering background was foundational, though the career itself required building additional skills beyond my formal education.

How significant is fostering commitment to successful management?

Absolutely vital. Building a committed team is a prerequisite for success.

Barb Elinesky: Insights from the Front Lines of Mining Consultancy

Are job goals more defined now compared to when you started?

How have leadership skills impacted your career?

Not really. Career paths have typically been quite nebulous, surrounded by uncertainty.

Leadership has become more critical over time, especially as career responsibilities grow.

Was there a clear promotion plan in your career?

Has your perception of job goals changed since you started?

No, various factors influenced career progression, making it unpredictable.

Yes, goals are now more defined, reflecting changes in industry standards and expectations.

How crucial is it for new employees to integrate into the company culture?

Is there a clear promotion path within your field?

Extremely important, especially to bring fresh energy and perspectives.

N/A for self-employed consultants, but clear objectives and client satisfaction guide professional growth.

hould managerial promotions prioritize S technical skills over leadership qualities?

How important is fitting into company culture for new hires?

It’s a balance; while technical skills are essential, effective management often requires strong interpersonal skills.

Elinesky: It's not as critical in consulting, but alignment with client values and expectations remains important.

At this stage, how important is work/life balance?

On what basis should managerial promotions be decided?

It's critical. Maintaining balance is key to long-term professional and personal well-being.

Managerial skills should definitely take precedence, as leadership drives team and project success.

What challenges do you foresee in your industry or any advice for young professionals?

What advice would you give to those entering the industry?

Patience and continual learning are crucial. For Türkiye, specifically, developing clear strategies is essential for industry advancement.

Maintain balance and set boundaries. Also, the industry needs more transparency and should embrace diversity and inclusion.

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BOTH LEADERS EMPHASIZE THE evolving nature of leadership and career development in their fields. Aslan highlights the need for strategic clarity in Türkiye to enhance investment and policy effectiveness, while Elinesky calls for greater leadership in promoting industry standards and education in mining. These insights are particularly pertinent as industries worldwide face challenges of sustainability, technological disruption, and changing workforce dynamics.

Both Muhittin Aslan and Barb Elinesky offer further reflections on the state of their industries and provide advice for professionals navigating these sectors.

Q: What can be done to improve the image of your industry?

Aslan: For the investment sector in Türkiye, improvement hinges on clear, strategic planning and the consistent application of policies that align with international standards.

Enhancing transparency and demonstrating a commitment to sustainable practices are also key to attracting quality investments.

Elinesky: In the mining sector, we need leaders who can advocate effectively and educate the public and stakeholders about the realities of mining. Addressing misconceptions and highlighting the technological advancements and sustainability efforts within the industry are crucial for improving its image.

Q: What are the biggest challenges you face in your roles?

Aslan: One of the primary challenges is navigating the complexities of international standards while trying to meet local development goals. Balancing these can be difficult

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but is essential for the economic growth and sustainability of investments in Türkiye.

Elinesky: The challenge often lies in the fluctuating demand and regulatory changes that can impact drilling operations.

Keeping up with these changes and ensuring that all operations are compliant while still profitable requires a keen understanding of both the market and the technology.

Q: Any additional advice for young professionals entering your fields?

Aslan: Remain adaptable and eager to learn. The landscape of investment and policy is ever-changing, and success often depends on your ability to navigate these changes intelligently and ethically.

Elinesky: Do not hesitate to dive deep into the technical aspects of mining and drilling, but also focus on building strong relationships with clients and stakeholders. Your technical skills will get you in the door, but your interpersonal skills will ensure you thrive.

Reflecting Current Events The insights from Aslan and Elinesky are especially relevant considering recent global shifts. The investment climate in Türkiye has been particularly influenced by global economic pressures and geopolitical tensions, emphasizing Aslan's points on the need for strategic clarity and sustainable practices. Similarly, the mining industry, as Elinesky discusses, faces ongoing challenges with environmental concerns and the push for greener practices, which have been highlighted in recent industry conferences and in legislative changes around the world.

Pambili’s Acquisition of the Golden Valley Mine Sparks Investor Interest IN A SIGNIFICANT DEVELOPMENT within the mining and exploration sector, Pambili Natural Resources Corporation, has made waves with its recent acquisition of the Golden Valley mine in Zimbabwe.

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his strategic move not only marks a pivotal moment in Pambili’s development trajectory but also ignites international investor interest, underscoring the allure of the Golden Valley mine acquisition.

A Game-Changing Acquisition: Golden Valley Mine Enters Pambili’s Portfolio Pambili Natural Resources Corporation has firmly positioned itself for growth with the acquisition of the Golden Valley mine in Zimbabwe. This bold step reflects Pambili’s strategic vision to consolidate underexplored and underdeveloped gold projects, setting the stage for enhanced operational capabilities and shareholder value creation. With the

Golden Valley mine joining its portfolio, Pambili solidifies its presence in the natural resources landscape, offering investors a compelling opportunity to engage with its growth journey.

To fuel its ambitious objectives following the Golden Valley mine acquisition, Pambili has announced a non-brokered private placement of up to 2 million units, generating proceeds of C$100,000. This strategic initiative, priced at $0.05 per unit, presents investors with an enticing opportunity to participate in Pambili’s growth story. Each unit comprises one common share and one warrant, amplifying the potential returns for investors and infusing Pambili with the necessary financial impetus to advance its operational agenda.

Endorsement of Strategy: Insider Support and International Investor Interest While the private placement involves the participation of certain directors and officers, it also garners significant interest from international investors, signaling confidence in Pambili’s strategic direction. CEO Jon Harris underscores the importance of this offering as it not only secures support from insiders but also attracts attention from global investors intrigued by Pambili’s approach to value creation.

The participation of new international investors serves as a resounding endorsement of Pambili’s commitment to delivering attractive shareholder returns through strategic acquisitions and prudent financial management.

Strategic Allocation of Resources: Driving Sustainable Growth The infusion of capital from the private placement is earmarked for general working capital, underlining Pambili’s dedication to prudent financial management and strategic resource allocation.

With a focus on consolidating underexplored gold projects in Zimbabwe, Pambili remains steadfast in its mission to deliver sustainable shareholder value.

By leveraging the financial resources obtained through the private placement, Pambili aims to propel its operational initiatives forward.

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 Constructing a Lithium Refinery

An Essential Achievement for the Advancement of Renewable Energy Building a lithium refinery is a complex undertaking that goes beyond simply constructing a production plant. This endeavor represents advancement in the global transition towards renewable energy sources, achieved via strategic planning, environmental responsibility, and a commitment to ongoing innovation.

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Achieving Sustainability Excellence: The In-Depth Process of Constructing a Lithium Refinery Amidst a period characterized by advancements in technology and the increasing significance of sustainable energy sources, the establishment of a lithium refinery stands out as a crucial undertaking that embodies creativity, environmental consciousness, and cooperation within the community.

This comprehensive analysis emphasizes the crucial significance of lithium refineries in facilitating the transition to a low-carbon economy by providing a detailed account of the processes involved in their establishment.

Initial Stages: Strategic Planning and Initial Evaluations Comprehensive feasibility studies and planning are essential for establishing a successful lithium refinery. Specialists examine the increasing need for superior lithium goods and evaluate the economic worth of lithium ore reserves.

The important planning phase of the project involves the careful selection of appropriate technologies for extraction and refining, conducting thorough environmental impact studies, and analyzing the economic feasibility. This step is crucial in ensuring the project's sustainability and commercial success.

Mastering the Blueprint: Selecting the Optimal Site and Constructing the Infrastructure Site Selection and Design: The process of finding the best location takes into account the closeness to lithium supplies, advantages in terms of logistics, and the impact on the environment. The goal is to achieve a balance between operational efficiency and environmental regulations.

The design stages, guided by extensive knowledge, aim to create a plan that can accommodate ore processing, waste management, and community areas. The focus is on developing a strong infrastructure for utilities and transportation.

Managing Legal Environments: Obtaining Regulatory Authorizations and Involving Communities Obtaining regulatory permissions and licenses requires successfully navigating an intricate set of permits and laws related to the environment, mining, and water usage. This stage highlights the importance of engaging with the community,

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promoting open communication, and working together with local stakeholders to show dedication to the well-being of both the community and the environment.

From the initiation of the project to the start of operations, careful focus is placed on the building, installation of equipment, and hiring of people.

Construction and Development: The process of transforming architectural designs into a physical building necessitates meticulous planning and perfect implementation. The building phase involves the selection of vendors that have a proven record of adhering to safety and environmental standards. This phase concludes with the installation of specialized machinery for the extraction and processing of lithium.

Refinery Management: Initiating Operations and Improving Efficiency The commissioning phase initiates the commencement of the refinery's operations, during which all procedures, ranging from ore handling to waste management, undergo thorough testing. The use of a methodical approach to increase output focuses on ongoing enhancements to enhance efficiency, reduce environmental impact, and promote innovation.

Adopting Sustainability: Environmental Management and Quality Assurance The refinery's dedication to sustainability is demonstrated through the implementation of cutting-edge methods for water, pollution, and waste management.

Expanding Horizons: Optimizing Supply Chain and Market Engagement Effective and environmentally-friendly supply chain management is crucial, necessitating meticulous raw material choice, streamlined transportation, and strong supplier collaborations. Marketing strategies are developed based on market intelligence, with the goal of targeting certain sectors and building a strong brand identity.

Committed to Progress: Financial, Research and Development, and Community Engagement Emphasizing strategic financial planning and actively pursuing funding opportunities are top goals, with a specific focus on cost reduction and maximizing profitability in order to ensure success. The refinery's R&D endeavors are focused on pushing the boundaries of refining technology.

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These efforts are accompanied by a significant emphasis on community participation and corporate social responsibility, highlighting the refinery's contribution to local economic development and sustainable growth.

Embracing the Future: Surveillance, Assessment, and Adjustment Continuous performance monitoring, integration of feedback, and strategic modifications guarantee the ability to adapt to market fluctuations, technology progress, and the requirements of the community and stakeholders.

Advancing Technological Innovation: The Necessity of Research and Development The refinery's success is based on its unwavering dedication to constant innovation, with a focus on cost reduction, operational improvement, and environmental effect minimization. Partnerships with academic and research institutes guarantee remaining at the cutting edge of lithium technology, positioning the refinery to take advantage of growing sectors such as energy storage and electric transportation.

Creating a More Promising Future: Embracing the Obligation to Protect the Environment and Promote Social Well-being Sustainability and corporate social responsibility initiatives go beyond operational and financial measures, showcasing

a certain dedication to environmental conservation and community assistance. Initiatives focused on employment generation, education, and infrastructure enhancement bolster the connection between the refinery and its local community. By providing clear and open communication regarding environmental, social, and governance standards, the refinery aims to foster trust and position itself as a responsible leader in the industry.

Adapting to Global Influences: Navigating the Future The necessity to possess flexibility and adaptability in order to effectively respond to evolving technology, laws, and market demands is indicative of the overarching problem faced by the sector in the era of sustainability. The refinery's ability to adapt is essential not only for its survival but also for its crucial role in facilitating the worldwide shift towards renewable energy sources.

The significance of lithium refineries in mitigating carbon emissions, facilitating the storage of renewable energy, and driving the advancement of electric vehicles is substantial, contingent upon their dedication to sustainability, innovation, and community engagement.

Establishing a lithium refinery necessitates a substantial financial commitment, which includes both the upfront expenditures of building and the continuing expenses for operation and maintenance. Comprehending the scale and characteristics of the expenditures required for a refinery entails taking into account multiple elements, including capacity, geographical location, technological intricacy, and compliance with environmental regulations.

Although the precise finance requirements may differ, a broad framework for study can offer valuable insights into the financial elements of refinery growth. Furthermore, when choosing the most suitable site for such a venture, factors to take into account encompass the availability of resources, the expenses associated with labor, the regulatory environment, and the pre-existing infrastructure.

Determining the most economically efficient region Thorough research is essential in order to identify the most cost-effective region for developing a lithium refinery. South America, including Chile and Argentina, have abundant lithium resources, particularly in the form of brine. This region enjoys the advantages of cost-efficient extraction

techniques and suitable weather conditions that facilitate evaporation procedures. There may be difficulties related to regulations and the amount of water used.

Australia has several advantages, including cutting-edge mining technologies, a dependable regulatory framework, and convenient access to Asian markets. Labor expenses are a substantial determinant.

China is an attractive place for the lithium and electric vehicle sectors due to government subsidies and a growing local market. However, there are ongoing concerns about environmental restrictions and intellectual property rights.

North America, specifically Canada and the United States, are prominent players in the lithium business. These countries possess cutting-edge technological infrastructure and adhere to rigorous environmental requirements. Potential financial incentives offset the increased operational costs.

South America is considered the most economically feasible choice for lithium refinery projects due to its advantageous circumstances for extracting and processing raw materials.

Nevertheless, factors such as geopolitical stability, environmental sustainability, and supply agreements are crucial, in addition to financial aspects. When making judgments on where to locate in the ever-changing global lithium market, sustainability, technical innovation, and supply chain resilience are also taken into account.

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Construction Funding Analysis 1. Feasibility Study and Planning: The first stage may need a substantial financial commitment, which will depend on the scale and intricacy of the project.

2. Site Acquisition and Preparation: The costs for obtaining or leasing property and preparing the site might vary significantly due to geographical and legal factors.

3. Design and Engineering: This phase, which usually constitutes 5-15% of the overall project cost, involves intricate design, environmental evaluations, and the selection of appropriate technologies.

4. Construction and Infrastructure Development: The construction expenditures, which make up 40-60% of the total budget, encompass the creation of the refinery as well as the necessary utilities and transportation infrastructure.

5. Equipment and Technology: Acquiring and setting up the necessary technology for extracting and processing lithium is a substantial cost, typically accounting for 20-30% of the overall expenses. More sophisticated solutions tend to be pricier.

6. The costs of regulatory compliance and licensing might fluctuate depending on the requirements for environmental permits, mining licenses, and other necessary regulatory approvals.

7. It is advised to provide 10-20% of the overall project cost as a contingency budget to cover unforeseen expenses.

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Continuing maintenance and operational expenses 1. Raw Materials: The expense of lithium ore is a significant recurrent cost that is influenced by market volatility and supplier agreements.

2. Utilities: Substantial expenses, especially for processes that include extensive thermal treatment and chemical processing.

3. Labor costs encompass the expenditure associated with compensating and educating personnel, ranging from specialized professionals to administrative employees, and constitute continuous financial obligations.

4. Equipment Maintenance: Consistent maintenance is crucial to prevent expensive periods of inactivity and sustain operating effectiveness.

Environmental management entails ongoing investment in waste treatment, emission control, and environmental monitoring, which is crucial for adhering to regulations and ensuring long-term sustainability.

MILESTONE ACHIEVED

Boliden, Epiroc, and ABB Pioneer Sustainable Mining with Electric Truck Trolley System IN A LANDMARK ACHIEVEMENT FOR the mining industry, Boliden, Epiroc, and ABB have reached a significant milestone by successfully deploying the first fully battery-electric truck trolley system in an underground mine test track in Sweden.

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his groundbreaking initiative marks a pivotal moment in the journey towards sustainable mining practices, offering a glimpse into the future of eco-friendly, productive operations with enhanced working conditions.

Electric Truck Trolley System: Driving Sustainability in Mining The collaboration between Boliden, Epiroc, and ABB signifies a concerted effort to address the pressing need for sustainability in the mining sector. As the industry grapples with the dual challenge of meeting increased demand for critical minerals and metals while minimizing carbon emissions, the introduction of the electric truck trolley system heralds a new era of sustainable mining practices.

Transformative Technology for the Future The successful deployment of the electric truck trolley system at Boliden’s Kristineberg mine underscores the transformative potential of innovative

technologies in shaping the future of mining. By leveraging battery-electric and dynamic charging capabilities, the collaboration partners have paved the way for enhanced productivity, reduced emissions, and improved health and safety standards in underground mining operations.

Collaboration Drives Progress At the heart of this milestone achievement lies the power of collaboration.

Each partner, Boliden, Epiroc, and ABB, has contributed unique expertise to the development process, emphasizing the value of industry collaboration in driving sustainable mining innovation. From dynamic charging systems to infrastructure design and vehicle interface standards, the collective efforts of all stakeholders have propelled the project forward.

Enhancing Efficiency and Safety Beyond reducing carbon emissions, the electrification of mining promises to deliver tangible benefits in terms of

efficiency and safety. By providing additional assistance to battery-electric mine trucks on challenging terrains, such as inclines, the electric truck trolley system enables extended travel distances and battery regeneration, thereby enhancing operational efficiency and reducing overall costs.

Setting a New Standard for Mining Operations The deployment of the electric truck trolley system at Boliden’s Kristineberg mine sets a new standard for sustainable mining operations. By harnessing cutting-edge technologies and embracing a holistic approach to electrification, the collaboration partners are not only reducing carbon emissions but also setting a precedent for future mining projects worldwide. This milestone aligns with Boliden’s vision to be the most climate-friendly and respected metals provider globally.

Scaling Up for Greater Impact Looking ahead, Boliden plans to implement a full-scale, autonomous electric trolley system in the Rävliden mine, further expanding the reach of sustainable mining practices.

With support from funding initiatives such as the Swedish innovation agency Vinnova’s ‘Sustainable Industry,’ Boliden aims to lead the charge towards a greener, more efficient mining industry. By scaling up electrification efforts, Boliden, Epiroc, and ABB are poised to make a lasting impact on the future of mining.

37

BA man has been trapped for more than 13 hours after a mine collapse in Mount Clear. Picture: NCA NewsWire/ Ian Wilson

Tragic Incident at Mount Clear Mine Reignites Concerns Over Mining Safety in Australia Australia’s mining industry has been shaken by a recent tragic incident at the Mount Clear gold mine in Ballarat, where an underground collapse claimed the life of a 37-year-old miner and left another fighting for his life.

T

dent, suggesting that it could have been avoided. Hayden raised concerns about the crew’s use of manual drilling on unsupported ground, emphasizing the need for safer practices in the industry.

Australia indicates that progress has stagnated since 2016. The mining industry still faces significant safety challenges, with ‘one-off’ incidents accounting for the majority of deaths and injuries.

The incident at the Mount Clear gold mine resulted in the loss of a miner’s life and left another with severe injuries. Described as “devastating” by city mayor Des Hudson, the tragedy has deeply impacted the local community and raised concerns about the safety of mining operations.

The incident at Mount Clear gold mine has reignited discussions about the state of safety reform in Australia’s mining sector. Despite efforts to improve safety standards over the past two decades, progress has stalled in recent years, leading to concerns that accidents like the one at Mount Clear may continue to occur.

Australian Workers Union Victorian Branch secretary Ronnie Hayden criticized the events leading up to the inci-

While there has been a decrease in mining-related fatalities over the past two decades, recent data from Safe Work

The tragic incident at Mount Clear gold mine underscores the need for continued efforts to enhance safety in Australia’s mining industry. Addressing the underlying causes of accidents and implementing stricter safety protocols are crucial steps to prevent future tragedies. Additionally, ongoing collaboration between industry stakeholders, government agencies, and workers’ representatives is essential to ensure that safety remains a top priority.

he incident has prompted renewed scrutiny of safety practices in the mining sector, with questions arising about the effectiveness of safety reforms and the prevalence of workplace hazards.

38

Skillings.net | May 2024

Murray & Roberts Secures $200 Million EPC Contract for Copper Mine in South America JSE-LISTED MURRAY & ROBERTS (M&R) has made a significant stride in the mining sector with the announcement of a major Engineering, Procurement, and Construction (EPC) contract awarded to Terra Nova Technologies (TNT), in a joint venture with Ingeniería y Construcción Sigdo Koppers.

V

alued at approximately $200 million, this contract underscores M&R’s commitment to delivering comprehensive solutions in the mining industry, particularly in South America.

Breaking Down the EPC Contract The EPC contract awarded to TNT, with a 51% stake in the joint venture, encompasses a range of critical components essential for the operation of a large copper mine in South America. The scope of work includes the construction of a primary crushing facility, a 6.3-kilometer-long overland conveyor, a 23 kV power transmission system, and associated infrastructure. This comprehensive approach highlights M&R’s expertise in delivering end-to-end solutions tailored to the specific needs of the mining sector.

Significance of the Project The project, scheduled to commence this month, is anticipated to span a duration of 27 months, emphasizing the scale and complexity of the undertaking. As one of

the largest EPC contracts in recent times, this project not only showcases M&R’s capabilities but also reinforces TNT’s position as a leading provider of materials handling systems in Latin America.

The contract comes as a welcome opportunity for M&R, particularly following a period of limited materials handling opportunities due to the impact of the Covid-19 pandemic.

Strength in Collaboration The joint venture between TNT and Ingeniería y Construcción Sigdo Koppers exemplifies the strength of collaboration in delivering successful projects in the mining industry.

By leveraging each partner’s expertise and resources, the joint venture is wellequipped to meet the project’s requirements and deliver value to the client.

This collaborative approach underscores M&R’s commitment to forging strategic partnerships to drive innovation and excellence in the mining sector.

TNT’s Track Record Headquartered in California, TNT has established itself as a trusted provider of materials handling design, consulting services, and general contracting to the mining and minerals processing industries worldwide. Acquired by Cementation Americas in 2019, TNT has been a key contributor to M&R group earnings, demonstrating its ability to deliver results even amidst challenging market conditions. The award of this EPC contract further solidifies TNT’s reputation as a leader in the field of materials handling systems.

Fueling Growth in Mining The EPC contract for the copper mine in South America aligns with M&R’s strategic focus on driving growth in the mining sector. As part of the M&R Underground Mining platform, Cementation Americas plays a pivotal role in delivering innovative solutions to meet the evolving needs of the mining industry.

With a strong track record of success and a commitment to excellence, M&R is well-positioned to capitalize on opportunities and drive sustainable growth in the mining sector.

A Vision for the Future As M&R embarks on this ambitious project, it reaffirms its vision to be a leader in delivering sustainable solutions to the mining industry. By leveraging its expertise, resources, and strategic partnerships, M&R is poised to make a meaningful impact on the global mining landscape.

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Gold Price Skyrockets to Record Highs Amid Fed Rate Cut Speculation The gold market surged to new heights as spot gold reached a historic peak of $2,265.53 per ounce, reflecting a 1.6% increase from closing price. This remarkable rally, fueled by expectations of a Federal Reserve interest rate cut in June, underscores the precious metal’s allure amid mounting inflation concerns and geopolitical tensions.

T

he latest surge in gold prices is primarily attributed to mounting speculation surrounding a potential interest rate cut by the Federal Reserve. With the release of US inflation data indicating a cooling in February, investors are increasingly anticipating a move by the Fed to lower borrowing costs. This sentiment has been reinforced by Fed Chair Jerome Powell’s remarks, suggesting a dovish stance towards monetary policy.

Multiple Factors Propelling Gold’s Momentum A confluence of factors has contributed to gold’s impressive rally in recent months. The prospect of monetary easing by major central banks, coupled with escalating tensions in regions such as the Middle East and Ukraine, has heightened demand for the safe-haven asset.

Additionally, robust purchasing activity by central banks, particularly in China, has further bolstered gold’s appeal amidst economic uncertainties.

Leading financial institutions have expressed bullish sentiments regarding gold’s trajectory, with projections of even higher prices in the near future. JPMorgan Chase has identified gold as its top commodity pick, forecasting a potential surge to $2,500 per ounce this year.

Similarly, Goldman Sachs Group anticipates a price target of $2,300, emphasizing the positive impact of a lower interest-rate environment on gold’s value.

Skillings.net | May 2024

Despite the optimism surrounding gold’s price hike, some investors remain cautious, particularly those favoring exposure through exchange-traded funds (ETFs). Global holdings in bullion-backed ETFs experienced a decline in the first quarter, reaching their lowest level since 2019.

While the current environment appears conducive to further gains in gold prices, potential challenges, such as a strongerthan-expected jobs report, could trigger a short-term pullback.

Nonetheless, the prevailing optimism among analysts underscores the resilience of gold as a preferred asset amid market volatility and uncertainty.

Analysts Bullish on Gold’s Outlook

40

Market Dynamics and Investor Sentiment

While solid demand and favorable market conditions support gold’s upward momentum, concerns persist regarding the potential impact of higher prices on jewelry demand and investor sentiment.

Outlook and Potential Challenges Ahead Looking ahead, investors are closely monitoring key economic indicators, such as the upcoming US jobs report, to gauge the trajectory of the economy and the Federal Reserve’s policy decisions.

While the current environment appears conducive to further gains in gold prices, potential challenges, such as a stronger-than-expected jobs report, could trigger a short-term pullback. Nonetheless, the prevailing optimism among analysts underscores the resilience of gold as a preferred asset amid market volatility and uncertainty.

The relentless surge in gold prices to new all-time highs reflects the ongoing strength of the precious metal as a safe-haven asset in turbulent times. With speculation of a Federal Reserve interest rate cut gaining traction and geopolitical tensions escalating, gold continues to attract investors seeking refuge from market volatility.

Integra Resources Secures Financing Integra Resources has been actively engaged in financing endeavors during the first quarter, positioning itself strategically for growth and development.

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ith a focus on raising funds to support ongoing activities and momentum, the company executed a two-step financing approach, culminating in substantial capital infusion and expansion opportunities.

In a significant move, Integra raised nearly C$28M through a two-step process, bolstering its financial capabilities for future endeavors. This included the sale of a 1.5% Net Smelter Royalty (NSR) on the DeLamar project to Wheaton Precious Metals (WPM, WPM.TO), alongside a bought deal financing priced at C$0.90 per share.

Initially, the terms of the royalty sale raised concerns, but a closer examination revealed the deal’s fairness. While Integra accepted approximately C$13M for the royalty, equivalent to about 0.45 times the pre-tax NPV6%, it provided crucial funding without significant share dilution. This strategic move ensured financial stability while minimizing the impact on existing shareholders.

With financing secured, Integra is now poised to advance its operations. The funds will facilitate the completion of a feasibility study at the DeLamar project, alongside ongoing permitting processes.

Additionally, Integra plans to initiate an exploration program at Wildcat, an underexplored deposit within its portfolio.

American Pacific Mining Corp Advances Palmer Project American Pacific Mining Corp, through its subsidiary Constantine North Inc., has taken a significant stride towards the development of the Palmer Project in Southeast Alaska.

T

he company has announced the submission of a comprehensive Plan of Operations (PoO) to the Alaska Department of Natural Resources, outlining the roadmap for the next five years of field activities until 2028. This pivotal move underscores American Pacific’s commitment to responsible resource development and marks a crucial step forward in the advancement of the Palmer Project.

By summarizing the next five years of field activities, American Pacific aims to gather pre-feasibility level data necessary for informed decision-making and project advancement. The submission of the PoO signifies a clear path forward for the Palmer Project, reaffirming the company’s dedication to responsible stewardship and sustainable development.

The Plan of Operations serves as a strategic blueprint, delineating the framework for future activities aimed at evaluating the environmental, social, technical, and economic aspects associated with the Palmer Project.

Located in the Porcupine Mining District of the Haines Borough in Southeast Alaska, the Palmer Project holds immense promise as an advanced-stage, high-grade volcanogenic massive sulphide (VMS) project. Under a joint venture partnership with DOWA Metals & Mining Alaska Ltd., American Pacific aims to unlock the full potential of Palmer’s mineral deposits while adhering to stringent environmental and regulatory standards. The project’s strategic location and geological significance position it as a cornerstone of Alaska’s mining sector.

Warwick Smith, CEO of American Pacific, emphasizes the significance of the Plan of Operations in charting a clear path forward for the Palmer Project. He underscores the company’s commitment to responsible resource development and the importance of gathering pre-feasibility level data to ensure a thorough assessment of the project’s potential. Additionally, Peter Mercer, VP of Advanced Projects for American Pacific, highlights the company’s dedication to environmental stewardship and community engagement.

41

Namibia’s uranium mining growth to slow in 2024 due to water shortages

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he Bank of Namibia says uranium mining growth is expected to slow in 2024 due to water supply issues. This was contained in the bank’s latest economic forecast.

Uranium mining in Namibia has contributed N$4.1 billion (2022) towards the national gross domestic product (GDP) and N$4.7 billion in 2023. In 2020, Namibia produced 11% of the uranium worldwide and was ranked as the second largest producer, behind Kazakhstan.

According to central bank governor Johannes !Gawaxab, diamond mining is expected to decline due to low production and international prices. Metal ores are also expected to decline due to resource depletion. !Gawaxab said Namibia’s economic outlook is a reflection of what is happening globally. “Global growth is projected to remain slow in 2024 at 3%, before improving slightly to 3.2% in 2025,” said !Gawaxab.

This sluggish global growth is attributed to factors like rising interest rates and limited government spending flexibility worldwide, he added. The report predicts a similar trend for Namibia, with domestic economic growth expected to decelerate to 3.7% in 2024 before picking up steam and reaching 4.1% in 2025.

“This slowdown is mainly due to weaker global demand and slower growth in the mining industry, a mainstay of the Namibian economy,” said !Gawaxab.

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Skillings.net | May 2024

WesTrac Marks Milestone Over 16,000 Cat Machines Delivered, Pioneering Innovation in NSW/ACT Region

WesTrac, the esteemed Caterpillar dealer for New South Wales (NSW) and the Australian Capital Territory (ACT), celebrates a monumental achievement, having delivered more than 16,000 Cat machines to support the mining and construction industries in the region.

A

drian Howard, Chief Executive of NSW/ACT, reflects on the century-long journey of Cat products shaping urban development and driving Australia’s exports. As WesTrac commemorates this milestone, it also underscores its commitment to technological advancement, sustainability, and fostering a diverse and inclusive business environment.

Since the arrival of the first Cat tractors in Sydney nearly a century ago, Caterpillar products have been integral to the development of cities, regions, and the nation’s export sector. Over the past two decades, WesTrac has been at the forefront of delivering Cat machines, meeting the escalating demand within the construction and mining sectors. Upon becoming the official Cat dealer for NSW and the ACT, WesTrac embarked on an ambitious expansion journey. The establishment of the purpose-built branch in Bathurst marked the beginning of a significant transformation. From a team of 50, WesTrac swiftly expanded to over 500 employees within just over two months. Presently, WesTrac boasts 18 branches, six Click and Collect lockers, and a workforce exceeding 1,500, serving over 6,500 customers annually.

WesTrac’s commitment to excellence extends beyond delivering exceptional machinery. With a focus on continuous improvement, the company has invested in its workforce and infrastructure, training over 2,400 apprentices through the WesTrac Institute. Moreover, the recent inauguration of the Tomago Technology Experience Centre and the implementation of cutting-edge technologies such as AI-powered AutoStore parts warehousing and an automated fluid analysis laboratory underscore WesTrac’s dedication to innovation.

Over the past two decades, WesTrac has witnessed significant shifts in customer needs and business operations. The rapid uptake of technology and the emergence of 24/7 working environments have necessitated adaptations in service delivery and support. In response, WesTrac remains committed to investing in its people and facilities to ensure that owning and operating Cat equipment is safe, efficient, and profitable for its customers.

De Beers Reports Surge in Rough Diamond Sales for Q3 De Beers, the renowned diamond subsidiary of Anglo-American, has announced a remarkable upswing in rough diamond sales for the third sales cycle of 2024.

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he provisional figures indicate a significant increase in sales value, marking a notable shift in the company’s sales trajectory amidst prevailing market conditions.

Rebounding from Previous Declines After facing a series of declines in rough diamond sales, De Beers has rebounded with vigor, showcasing resilience in the face of economic uncertainties. The company’s recent sales figures reflect a departure from the downward trend witnessed in previous cycles, signaling a potential resurgence in diamond market dynamics.

has instilled a sense of optimism within the industry. Despite prevailing caution among diamond businesses amidst uncertain economic landscapes and sluggish growth in key markets like China, De Beers’ robust sales performance signifies a potential shift in market sentiment.

Insights from De Beers’ CEO Al Cook, CEO of De Beers, provides insights into the company’s sales dynamics, acknowledging the cautious approach adopted by diamond businesses amidst challenging market conditions.

Despite these challenges, Cook highlights a notable uptick in rough diamond sales during the third sales cycle, surpassing

expectations for a traditionally slower period in the market.

De Beers’ success in rough diamond sales is underpinned by its diverse portfolio of mining operations across Africa and Canada. Employing various mining techniques, including open-pit mining, alluvial mining, and coastal mining, the company extracts diamonds from a multitude of locations, including deep pits, riverbeds, beaches, and underwater sites near the shore.

This strategic approach to mining ensures a steady supply of rough diamonds, contributing to De Beers’ position as a leading player in the global diamond industry.

Analysis of Sales Trends A retrospective analysis of De Beers’ sales performance reveals a nuanced picture of market fluctuations. Despite a subdued performance in the second sales cycle of 2024, the company has managed to surpass the sales figures recorded in the first quarter of the year.

However, sales have yet to reach the peak levels observed during the 2023 holiday season, underscoring the lingering impact of economic challenges on consumer demand.

Positive Indicators Amidst Market Caution The recent surge in rough diamond sales, totaling around $445 million,

43

Australian Lithium Industry Poised for Growth Despite Price Volatility The global lithium market has experienced its share of ups and downs, but recent forecasts suggest a promising outlook ahead. The global lithium market has experienced its share of ups and downs, but recent forecasts suggest a promising outlook ahead. growing demand for lithium and solidifies its position as a significant player in the global supply chain.

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ccording to the Federal Government’s ‘Resources and Energy Quarterly’ (REQ) for March 2024, the demand for lithium is set to skyrocket in the coming years, driven primarily by the growing popularity of electric vehicles. With EVs projected to become increasingly mainstream, global lithium consumption is forecasted to more than double by 2029, reaching an estimated 2.3 million tonnes annually.

Australian Export Earnings Face Challenges While the global demand for lithium is on the rise, Australia’s export earnings for the metal are expected to decline significantly over the next five years.

The REQ highlights a projected decrease from $21 billion to $9 billion between

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Skillings.net | May 2024

now and 2029. However, it’s important to note that lithium prices are notoriously volatile, making precise predictions challenging. Despite the decline in export earnings, Australia remains optimistic about its position in the global lithium market.

Increased Production to Offset Price Declines One encouraging aspect of Australia’s lithium industry is the expected surge in mine production. The REQ forecasts a remarkable 70% increase in Australia’s lithium mine production by 2029, which is anticipated to help offset the impact of lower prices.

This boost in production reflects Australia’s commitment to meeting the

Australia is not alone in its efforts to ramp up lithium production. Large producers like China, as well as emerging players such as Argentina and Zimbabwe, are also investing in expanding their lithium operations. This collective effort is expected to ensure that global lithium supply remains sufficient to meet rising demand in the coming years.

Additionally, investments from companies like Mineral Resources, Albemarle, and Pilbara Minerals have contributed to an uptick in global lithium supply, despite recent price volatility.

Price Fluctuations and Future Outlook Price volatility has been a hallmark of the lithium market, with significant fluctuations in recent years. However, the REQ suggests that prices may have stabilized, with a projected steady rise expected until 2026, followed by a slight decline.

For instance, the spodumene price is forecasted to increase to approximately $US1360 per tonne, while lithium hydroxide could reach $US18,000 per tonne. These projections indicate potential opportunities for investors and industry stakeholders to navigate the market effectively.

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SKILLINGS MINING REVIEW STASTISTICS

MARCH 2024 CRUDE STEEL PRODUCTION

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orld crude steel production for the 71 countries reporting to the World Steel Association (worldsteel) was 161.2 million tonnes (Mt) in March 2024, a 4.3% decrease compared to March 2023.

Africa produced 1.9 Mt in March 2024, up 1.1% on March 2023. Asia and Oceania produced 118.3 Mt, down 5.8%. The EU (27) produced 11.6 Mt, down 4.3%. Europe, Other produced 3.9 Mt, up 11.0%.

The Middle East produced 4.8 Mt, up 4.0%. North America produced 9.5 Mt, down 1.4%. Russia & other CIS + Ukraine produced 7.8 Mt, up 1.5%. South America produced 3.5 Mt, down 0.2%. The 71 countries included in this table accounted for approximately 98% of total world crude steel production in 2023.Regions and countries covered by the table: Africa, Asia and Oceania, European Union (27), Europe,other, Middle East, North America, Russia & other CIS + Ukraine, South America.

Top 10 steel-producing countries China produced 88.3 Mt in March 2024, down 7.8% on March 2023. India produced 12.7 Mt, up 7.8%. Japan produced 7.2 Mt, down 3.9%. The United States produced 6.9 Mt, the same as in March 2023.

Table 1. Crude steel production by region

Russia is estimated to have produced 6.6 Mt, up 0.8%. South Korea produced 5.3 Mt, down 9.5%. Germany produced 3.5 Mt, up 8.4%. Türkiye produced 3.2 Mt, up 18.0%. Brazil produced 2.8 Mt, up 5.6%.

Iran produced 2.8 Mt, up 2.0%.

Table 2. Top 10 steel-producing countries

change feb % change jan-mar %jan-mar 2024(mt) mar 24/23 2024 (mt) 24/23

mar 2024 (mt)

% change mar24/23

jan-mar 24 (mt)

% change jan-mar 24/23

1.9

1.1

5.6

8.3

China

88.3

-7.8

256.6

-1.9

Asia and Oceania

118.3

-5.8

345.9

-0.4

India

12.7

7.8

37.3

9.7

EU (27)

11.6

-4.3

33.0

-1.4

Japan

7.2

-3.9

21.5

-0.8

Europe, Other

3.9

11.0

11.3

20.5

United States

6.9

0.0

19.9

-1.6

Russia

6.6

0.8

18.7

-0.2

South Korea

5.3

-9.5

16.2

-2.5

Germany

3.5

8.4

9.7

6.0

Africa

e

Middle East

4.8

4.0

13.7

12.1

North America

9.5

-1.4

27.2

-1.9

Russia & CIS + Ukraine

7.8

1.5

21.8

1.6

18.0

9.5

28.4

3.5

-0.2

10.6

Türkiye

3.2

South America

3.2

Brazil

2.8

5.6

8.3

6.2

Total 71 countries

161.2

-4.3

469.1

0.5

Iran

2.8

2.0

7.6

16.3

The 71 countries included in this table accounted for approximately 98% of total world crude steel production in 2022. Regions and countries covered by the table:Africa: Egypt, Libya, South Africa, Tunisia Asia and Oceania: Australia, China, India, Japan, Mongolia, New Zealand, Pakistan, South Korea, Taiwan (China), Thailand, Viet Nam,European Union (27),Europe, Other: Macedonia, Norway, Serbia, Türkiye, United Kingdom,Middle East: Iran, Qatar, Saudi Arabia, United Arab Emirates,North America: Canada, Cuba, El Salvador, Guatemala, Mexico, United States,Russia & other CIS + Ukraine: Belarus, Kazakhstan, Russia, Ukraine,South America: Argentina, Brazil, Chile, Colombia, Ecuador, Paraguay, Peru, Uruguay, Venezuela

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Skillings.net | May 2024

2023 GLOBAL CRUDE STEEL PRODUCTION TOTALS TOTAL WORLD CRUDE STEEL PRODUCTION WAS 1,888.2 MT IN 2023

Source – World Steel Association Rank Country

2023

2022

% 2023/ 2022

Rank Country

2023

2022

% 2023/ 2022

1

China

1,019.1

1,019.1

0.0

22

Poland (e)

6.4

7.4

-13.1

2

India

140.2

125.4

11.8

23

Austria

7.1

7.5

-5.0

3

Japan

87.0

89.2

-2.5

24

Belgium (e)

5.9

7.0

-16.1

4

United States

80.7

80.5

0.2

25

Ukraine

6.2

6.3

-0.6

5

Russia (e)

75.8

71.7

5.6

26

Netherlands

4.7

6.1

-23.9

6

South Korea

66.7

65.8

1.3

27

United Kingdom

5.6

6.0

-6.5

7

Germany

35.4

36.9

-3.9

28

Pakistan (e)

5.3

6.0

-11.3

8

Turkey

33.7

35.1

-4.0

29

Australia

5.5

5.6

-2.9

9

Brazil

31.9

34.1

-6.5

30

Thailand

5.0

5.3

-6.7

10

Iran

31.1

30.6

1.8

31

Bangladesh (e)

5.2

5.2

5.8

11

Italy

21.1

21.6

-2.4

32

Argentina

4.9

5.1

-3.2

12

Taiwan, China (e)

18.9

20.8

-8.9

33

Sweden

4.3

4.4

-3.3

13

Viet Nam (e)

19.0

20.0

-5.0

34

South Africa

4.9

4.4

10.6

14

Mexico

16.3

18.4

-11.6

35

Czechia

3.4

4.3

-21.1

15

Indonesia (e)

16.0

15.6

2.8

36

Kazakhstan

3.9

4.1

-5.5

16

France

10.0

12.1

-17.4

37

Slovakia (e)

4.5

3.9

15.4

17

Canada (e)

12.3

12.1

1.3

38

Finland

3.8

3.5

7.7

18

Spain

11.3

11.6

-2.7

39

Algeria

4.4

4.3

2.8

19

Malaysia (e)

7.5

7.2

4.1

40

United Arab Emirates

3.2

3.2

0.8

20

Egypt

10.4

9.8

5.4

Others

39.6

41.4

-4.4

21

Saudi Arabia

5.9

9.9

0.8

World

1,888.2

1,888.7

0.0

e – annual figure estimated using partial data or non-worldsteel resources. * The world total production figure in this table includes estimates of other countries that only report annually.

2023 Steel Statistical Yearbook published

T

he World Steel Association (worldsteel)’s Steel Statistical Yearbook 2023 contains comprehensive statistics from 2013 to 2022 on crude steel production by country and process, steel production by product, steel trade by product, apparent steel use and apparent steel use per capita by country, as well as production and trade of pig iron and

directly reduced iron. It also includes data on production and trade of iron ore and scrap.

It is available for purchase for €685 here.

Individuals access the data by logging into the worldsteel data platform with a personal username and password automatically issued at the time of purchase.

Access is granted once payment is confirmed. The data can be easily downloaded in Excel format once payment has been processed. A PDF version of all the data is also included. worldsteel members can access all the data for free via the extranet.

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