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- Relief for Metals after CATL Cracks & Copper Cuts
Relief for Metals after CATL Cracks & Copper Cuts
Vale production increases looms of iron ore, IGO's talks up new strategy
The Pre-Start
IGO’s much-anticipated strategy day revealed its priority for lithium & copper, while it harvests Nova & continues to refine its exploration portfolio (IGO)
B2Gold has reached an agreement with the Malian government to be grandfathered at the Fekola mine, while regional & underground approvals are to be expedited (BTO.TO)
The operator of Karoon’s Who Dat has shut the wells & evacuated the platform as a precaution, in light of a hurricane in the area (KAR)
Resolute increased the resource at Tamboronkoto to 343koz contained, while publishing an initial Mansala MRE of 6.6Mt @ 1.6g/t (RSG)
Black Cat updated on Paulsens, with 200m of development drives completed, with load and haul gear on site (BC8)
Global Lithium will provide further info relating to Sincerity’s 249D attempt come a hearing on Sept 18 (GL1)
L1 has kept up the buying spree, going substantial on De Grey (DEG)
New World submitted an Arizona permit application, which it expects approval for in H1 25’, while its DFS progresses (NWC)
Horizon Minerals has entered a JV agreement with BML to develop & mine two open pits, while it awaits final approval (HRZ)
Acorn has emerged as a new substantial holder of Alto Metals (currently the subject of a takeover from Brightstar) (AME)
High Grade It
Lithium stocks roar back as short sellers scramble on CATL mine closures in China (AFR)
MinRes calls the bottom on lithium as pain spreads to China (AFR)
Iron ore’s plunge is about to test the view that it can find solid price support at $90/t+ as high-cost mines are nudged out (Bloomberg)
Vale raises forecast for 2024 iron ore production amid weak prices (Mining.com)
At-risk miners are feeling the pressure as iron ore tests price floor (West)
BHP spruiks $50b economic contribution in the past FY (BN)
Parsons and the Firefly team are ratcheting up promotion of its Pickle Crown gold project this week in North America (MiningNews)
The long-running process of winding up companies associated with Michael Fotios has progressed (BN)
Amplats fell after Anglo sold discounted shares as the parent company began to reduce its controlling stake (Bloomberg)
Copper output at Chile's Codelco slips nearly 11% (Reuters)
Oil slid to near 3-year low on weak demand outlook (CB)
Greatland Gold bound for the ASX in 2025 after Telfer deal (AFR)
Greatland is aiming to develop a “generational Australian Au-Cu mining complex” based around its $714m Telfer acquisition (Australian)
Some of Zimbabwe’s biggest miners are seeking US$182m to develop 200mw of locally-generated solar power (Bloomberg)
Union want BHP to hand FIFO workers a $10k bonus annually for staying at the company, plus bigger pay rises (West)
Dutton told an anxious mining industry the Albanese government will never do a deal with the Greens to establish an EPA (AFR)
US may block Indonesia nickel on forced labour issues (Asia Times)
Indigenous group takes fight against Rio Tinto Arizona copper mine to US Supreme Court (Reuters)
Wheelin’ n Dealin’
First-round offers have landed for Anglo American’s “US$4b” coal mines (Australian)
Sierra Rutile’s director reiterated to shareholders their recommendation to accept Leonoil’s takeover offer (SRX)
The PNX-Kin (now Patronus) scheme has been implemented, with PNX due to be taken off the ASX boards imminently (PNX)
Rattlin’ the Tin
Word on the Decline
IGO’s much anticipated Strategy Day materials have landed this morning. And there is plenty of discussion about lithium “opportunities” within the TLEA joint venture
On first glance, it stops short of addressing the largest concerns shareholders have about the JV structure, being:
What we believe is IGO’s requirement to only pursue lithium M&A within the TLEA JV; and
IGO’s (in)ability to influence JV decision-making when IGO’s shareholder interests differ from the strategic interests of Tianqi
They are holding a webcast which is live now talking through the strategy and we’ll be tuning in with interest (link)
Do you have some Word on the Decline? Reply to this email or shoot a message to [email protected] directly. We will always take your privacy seriously.
In the Weeds
Trillions of dollars of fossil fuel finance routed via tax havens (Reuters)
Miners dig 'best friend' Dutton with battlelines drawn (West)
Lithium finds a bottom, but beware Chinese whispers and false dawns (AFR’s Chanticleer)
Trump, Harris back mining, but producers unsatisfied (S&P)
Preparing for a China war in Australia (Asia Times)
BMW recall and VW job threat deepen German industry crisis (AFR)
US inflation falls to 2.5% in August, stage set for rate cuts (FT)
Today’s Top Tweet
@usuallyYJLee has updated his lepidolite industry cost curve and contextualised the Jianxiawo (枧下窝) supply curtailment.
China has a potential 321 ktpa LCE #lepidolite#lithium mine capacity in 2025 (and far higher thru 2030). But with prices at $10k/t, more than half of this is cash-unprofitable. Sources: Chinese media, company official Wechat, our calculations.
— Energy Transition Investor (@usuallyYJLee)
7:34 AM • Sep 11, 2024
Devil’s in the Detail
As part of the GGP deal, Greatland will also acquire Newmont’s equity stake in Antipa (~8.5%) and ~27m oppies exercisable at 2cps, seeing AZY up 7% yesterday.
As Vukasin points out, the abnormally high stockpiles will play a big role in go-forward mine plan hence ex-Havieron bolt-ons could take the backstage especially if Telfer drops a train too.
Separately, check out Mining News’ recent opinion piece...
Correction
If you read this far in yesterday’s edition of the Director’s Special, perhaps you’ll be here again today. In which case we should correct the record - Galena Mining did not have Receivers called in by its secured lender. The Board in fact appointed Administrators. Our mistake.
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