Rio Tinto released its quarterly operational report for the fourth quarter ending December 31, 2024 which included Iron Ore Company of Canada ("IOC") production and sales information. Specifically, Rio Tinto announced that in the fourth quarter of 2024, IOC had total saleable iron ore production of 4.31 million tonnes, comprised of 2.50 million tonnes of pellets and 1.81 million tonnes of concentrate for sale ("CFS"). Rio Tinto also announced that IOC had total iron ore sales in the fourth quarter of 2024 of 4.25 million tonnes, comprised of 2.31 million tonnes of pellets and 1.94 million tonnes of CFS. Comparisons to prior quarters and Rio Tinto's commentary on the changes can be found in Rio Tinto's quarterly operational report which is posted on its website. Please note that the IOC sales tonnages are calculated slightly differently for Labrador Iron Ore Royalty Corporation's ("LIORC") royalty.
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Quarterly Activities and Cash Flow Report for the Quarter Ended 30 June 2023
Cyclone Metals Limited (ASX: CLE) (Cyclone or the Company) is an Australian domiciled mineral development and investment company. Cyclone Metals is focussed on developing its flagship iron ore project, Block 103 located in the Labrador Trough in Canada. The Company also has interests in several exploration and mining projects and companies, providing exposure to lithium, iron ore, copper and gold, assets globally (refer to Annexure 2) which include shares in listed ASX entities valued at $7.6m as of 28 July 2023.
Cyclone Metals’ strategy is to acquire and invest in undervalued and/or distressed mineral assets and companies (Projects) and:
- improve the value of these Projects, through a hands-on approach to management combined with extensive expertise in the mineral asset development process; and
- retain long-term exposure to these Projects through a production royalty and/or equity interest.
Cyclone Metals aims to deliver Shareholder value by adding value to these undeveloped Projects. If Projects are converted into cash, the Company intends to follow a policy of distributing surplus cash to Shareholders.
Board Changes
On 14 April 2023, the Company announced the appointment of Paul Berend as Executive Director and Chief Executive Officer with effective 1 May 2023. On the same day, the Company announced the resignation of Non-Executive Chairman Terry Donnelly effective 13 April 2023 and the transition of Tony Sage from Executive Director to Executive Chairman. The Board restructure was implemented to align with the future direction of the Company.
Shareholder Meetings
On 6 April 2023, the Company held a general meeting (GM) of shareholders. All resolutions were carried at the GM.
Conversion of Debt
The Company previously entered into loan agreements with European Lithium Ltd (ASX: EUR) and received funds from EUR totalling $2,250,000 (EUR Loans). On 2 June 2023, the Company issued 1,175,256,849 shares to EUR for the conversion of EUR Loans plus accrued interest into equity based on a share conversion price of AUD$0.002.
On 17 April 2023, following receipt of shareholder approval at the GM, the Company issued 161,111,096 fully paid ordinary shares to Directors of the Company to satisfy debts of $241,667.
Click here for the full ASX Release
This article includes content from Cyclone Metals Ltd., licensed for the purpose of publishing on Investing News Australia. This article does not constitute financial product advice. It is your responsibility to perform proper due diligence before acting upon any information provided here. Please refer to our full disclaimer here.
LABRADOR IRON ORE ROYALTY CORPORATION - RIO TINTO RELEASES IOC PRODUCTION AND SALES INFORMATION
News Provided by Canada Newswire via QuoteMedia
Iron Ore Price Forecast: Top Trends for Iron Ore in 2025
Iron prices started off strong at the beginning of 2024, but have since dropped steeply to two-year lows. Market watchers are looking for a turnaround in China’s economy.
Iron is one of the world’s most important industrial metals, and is primarily used in the production of ferrous metals including steel, cast iron, as well as alloys of iron with other metals.
As the world’s largest producer and exporter of stainless steel, China is naturally the world’s largest consumer of iron ore. While the Asian nation may be the third largest iron-producing country, its domestic supply is not enough to meet demand. Hence, the country imports over 70 percent of global seaborne iron ore.
This makes the iron market highly sensitive to fluctuations in the health of China's economy, in particular its property sector. China’s ongoing property sector woes in recent years have weighed down the steel and iron ore markets.
As the new year approaches, the Investing News Network (INN) spoke to experts about the main trends in the iron market in 2024 and what the forecast is for 2025.
How did iron ore perform in 2024?
Iron ore spot prices are assessed based on iron ore fines containing 62 percent iron, an ideal standard specification for raw material in the production of high-quality steel.
Iron ore prices hit US$144 per metric ton (MT) in January, but then fell as low as US$91.28 per MT in September. Overall this year, the iron ore price has shrunk by 27 percent.
“The main reasons for the drop are: China’s lower pig iron production, steady seaborne shipments, rising port stocks and a subdued economic environment in China, but also in the rest of the world,” Erik Sardain, principal analyst at Project Blue told INN via email. Pig iron is produced via smelting and is an intermediate material in the production of steel.
According to the World Steel Association, during the first ten months of 2024, China’s production of crude steel declined by 3 percent year-on-year (y-o-y).
During this same period, Project Blue notes that China’s pig iron production dropped by 4 percent. “This is mostly due to a weak construction and persistent depressed property market. As for evidence, China’s rebar production (mostly exposed to construction) dropped 14.3 percent y-o-y during the January-October period,” said Sardain.
Globally steel production has fallen by 1.6 percent with four other top steel-producing countries join China in posting declining steel production over the same period, including Japan (-3.7 percent), the United States (-1.9 percent), Russia (-6.8 percent) and South Korea (-5.1 percent). Significant increases in steel production in India (5.6 percent), and Brazil (6 percent); however, both nations have sufficient domestic iron ore and so do not place demand on the global seaborne market.
Iron ore prices have been buoyed in 2024 on China’s strong iron ore imports. Project Blue reports that the country’s iron ore imports were up 4.9 percent y-o-y for the first 10 months of 2024. Domestically, the country’s iron ore production increased by 2.8 percent y-o-y, based on run-of-mine with an undisclosed iron content.
On the supply side, Project Blue sees iron ore shipments increasing slightly in 2024, primarily from Vale (NYSE:VALE) gradual recovery from the sharp dive in production following its Brumadinho 2019 accident. Meanwhile BHP’s (ASX:BHP,NYSE:BHP,LSE:BHP) production is also slightly increasing as itws new South Flank mine reaches full capacity. Both Rio Tinto (ASX:RIO,NYSE:RIO,LSE:RIO) and Fortescue’s (ASX:FMG) production will be flat for the year.
In late September, the Chinese government announced new stimulus measures that were on the way to juice its economy, namely the housing sector. Following the news, iron ore prices rallied by more than 21 percent to a fourth quarter high of US$112.39 per MT on October 7. However, by November 1 the excitement had worn off with prices falling back to US$102 per MT on persistent weakness in demand and rising inventory levels.
“Due to weaker end-user demand, softer downstream steel prices in the domestic Chinese market weighed on steelmaking margins, especially in the latter half of November,” David Cachot, Research Director, Steel & Raw Materials at Wood Mackenzie, told INN via email. “Chinese hot metal production remained high, which helped ease some pressure on iron ore fundamentals.”
Heading into the last few weeks of the year, iron ore prices are hovering around US$105 per MT. The expectation of worsening trade tensions with the United States following the election of President Donald Trump are also weighing down the outlook for Chinese iron demand.
“Another factor has been the subdued macro environment in China, with markets waiting for effective stimulus from the Chinese government to boost domestic consumption and revive the property market. Those expectations have been consistently disappointed in 2024 with most measures taken by the Chinese government having been using the monetary policy (lower interest rates). Fiscal measures would have been more effective,” explained Project Blue’s Sardain.
Higher than seasonally normal port inventories are also weighing on prices. “With higher iron ore imports and a lower implied demand, port stocks increased significantly in 2024, reaching 150.7 Mt mid-December, a 31 percent y-o-y increase,” he added.
What trends will move the iron ore market in 2025?
Investors interested in the iron market should continue to keep an eye on market trends coming out of China, specifically concerning inventory levels at its ports, economic stimulus measures, tariff measures coming out of the United States, and ongoing challenges to its property sector. Global iron ore production activity and steel demand out of key ex-China markets are also key factors to watch in 2025.
In the first quarter of 2025, Wood Mackenzie expects to see continued support for iron ore prices as mill restocking activity is expected to be higher than is typical for this time of year. Between November and February, construction in China hits its slow season and steel mills close down for maintenance and environmental regulations slow activity.
“The off-peak season will impact hot metal production, but expectations for winter stockpiling are likely to support iron ore prices. Additionally, seasonal environmental restrictions affecting steel-making hubs will benefit steel prices and tend to boost raw materials prices as well,” explained Cachot. “During this period, it is common for raw materials to outperform steel product prices.”
On the supply side, global iron ore mine production and exports are also seasonally weaker in the first quarter of the year. That’s because Australia’s cyclone season can disrupt port operations, and heavy rains in Brazil can lead to mining and rail disruptions. Australia and Brazil are the world’s top two iron producing nations, and their combined usable ore output represents 56 percent of global production.
“An increase in mill restocking activity, combined with the seasonally weaker iron ore supply in the first quarter, will likely reduce iron ore inventory. This trend is expected to support iron ore prices through January and into the Lunar New Year holiday,” said Cachot. “However, ample inventories at Chinese ports will limit such restocking efforts and gains in iron ore prices.”
China's property sector a must watch
Moving further into the year, analysts are advising that trade protectionism and further economic stimulus measures are important to watch in 2025. China’s property sector woes will continue to weigh heavily on iron ore demand unless the government can provide enough financial incentives to turn its economy around.
“China's housing market continues to struggle, and government stimulus has yet to significantly impact construction material markets. However, there is some optimism for further measures in the coming months to support prices,” Wood Mackenzie’s Cachot said. “Our base case view is that ongoing concerns about the Chinese property market and an oversupplied market will limit the potential for price increases.”
Project Blue’s base case is that China’s steel production will be lower in 2025, primarily due to lower steel exports. “We forecast that China could export 10Mt less steel in 2025 than in 2024, across markets. Our base case also expects a lower domestic steel production, in line with weaker macroeconomics,” Sardain said. “However, some mitigation could come from a stabilisation of the property market, that we expect to take place in H1 2025 with some mild recovery in H2 2025.”
Potential US tariffs could further disrupt iron ore prices
Traditionally, iron ore prices are strong in the second quarter as China’s construction season is in full swing. Although they mostly softened during the summer, the price of iron ore typically rises again in the months of September and October before sliding again in the winter months.
“However, this pattern could be very different in 2025 depending on the macro developments, the geopolitics and the implications of the US elections,” explained Sardain. His firm believes Trump’s proposed tariffs could bring about a 0.5 percent cut to China’s GDP growth in 2025, which would drag down steel production resulting in lower iron ore demand.
Ex-China steel demand
Outside of China, steel production may also continue to show signs of softening, especially in other parts of East Asia and Europe.
“Production shutdowns, delays in decarbonisation projects, geopolitical uncertainties, and bottom prices would lead to long term structural loss to the EU steel industry,” said Wood Mackenzie’s Cachot. “The outlook for Japan and South Korea remains subdued due to the consumption slowdown amid ongoing macroeconomic challenges. Speciality steel exports are expected to support production over the next decade.”
To meet net-zero climate targets, the European steel industry is working to decarbonize its production processes. However, the sector is facing a number of challenges including rising energy prices, growing exports from China’s excess capacity and sliding domestic demand as economies in the region falter.
The downturn in steel demand is hitting Germany’s steel sector particularly hard. The nation is the top European steel producer and ranks in the top ten globally. According to Worldsteel, Germany’s domestic steel demand is expected to grow by a little less than 6 percent in 2025, after falling by 7 percent in the previous year.
Global iron ore production
Trouble is also brewing for iron ore prices on the supply side for 2025 and beyond, as new mines and planned expansions are expected to increase global iron ore production.
“On the supply side, we expect higher seaborne supply from the large miners, primarily from Vale and to a lesser extent from BHP,” said Sardain. “New greenfield project Simandou in Guinea could start production at the end of 2025 but should not have a major impact on the iron ore market in 2025. However, it could negatively impact the market sentiment if shipments start at the end of the year.” The Project Blue team also sees high port stocks maintaining pressure on iron ore prices.
By the end of the decade, market intelligence firm BigMint is predicting an iron ore supply surplus as new mines come online. One of those new supply sources is the high-grade Simandou in West Africa, considered the largest unmined iron ore deposit, which is anticipated to start operating in late 2025 or early 2026. Africa’s seaborne iron ore exports may in turn more than triple by 2028 to 2030. With new mines also on the horizon in Australia and Brazil, the global maritime ore supply market is headed toward a surplus by 2030.
Iron ore price forecast for 2025
Wood Mackenzie’s iron ore price forecast on a 62 percent Fe fines basis, CFR China, is pegged at US$99 for 2025 and US$95 for 2026. The firm also expects China’s steel demand to decline at a compound annual growth rate of negative 1.2 percent by 2034, dragged down by its shrinking construction sector.
For its part, BMI also sees weak demand out of China and is expecting iron ore prices to average US$100 per MT in 2025 and to decline to traded at an average of US$78 per MT by 2033.
Project Blue’s base case predicts iron ore prices dropping below US$100 in 2025, driven by lower steel/pig iron production, high port stocks, steady seaborne shipments and a weakened Chinese and global macro environment. If China can bring in effective fiscal measures and right its property market ship, the firm sees iron prices rising as high as US$120 to US$130 per MT, tempered by high port stocks. However, if such measures do not materialize, the property market continues to fall and the newly elected US administration imposes high tariffs, there is the risk that iron ore prices could fall to a range of US$75 to US$80 per MT.
Don’t forget to follow us @INN_Resource for real-time news updates!
Securities Disclosure: I, Melissa Pistilli, hold no direct investment interest in any company mentioned in this article.
Editorial Disclosure: The Investing News Network does not guarantee the accuracy or thoroughness of the information reported in the interviews it conducts. The opinions expressed in these interviews do not reflect the opinions of the Investing News Network and do not constitute investment advice. All readers are encouraged to perform their own due diligence.
BHP and Rio Tinto Face Class Action Sexual Harassment Cases in Australia
Mining giants BHP (ASX:BHP,NYSE:BHP,LSE:BHP) and Rio Tinto (ASX:RIO,NYSE:RIO,LSE:RIO) have both been served with class action lawsuits regarding sexual harassment and sex discrimination allegations.
According to Reuters, law firm JGA Saddler filed the cases in the Federal Court of Australia on December 11.
The firm has reportedly spoken to hundreds of women, and expects thousands to join the class actions.
“BHP and Rio Tinto sent female staff to these sites knowing there was a high risk of personal danger, and then punished them with demotion, dismissal, or discrimination when they reported it,” JGA Saddler lawyer Joshua Aylward told Reuters.
“These class actions will give a voice to these women, many of whom have been too afraid to speak out for fear of losing their jobs or workplace reprisals,” he added.
ABC News Australia outlines sensitive incidents in a December 11 report, including verbal abuse, men urinating on female colleagues and women being groped at sites run by BHP and Rio Tinto.
The lead applicants in the class actions, a former security guard at Rio Tinto and a machinery operator, have chosen to remain anonymous for security reasons. Both said that they complained, but were not entirely heard by superiors.
A complainant named Angela Green, a former explosives expert at one of BHP’s Queensland mine sites, said that company managment “locked the door and interrogated her about her sex life.”
ABC News reported that she was later terminated after refusing to sign a confidentiality agreement.
In response, BHP said that “sexual harassment has no place in (its) workplaces or indeed anywhere.”
The company also apologised to anyone who has ever experienced any form of harassment at BHP, saying that it is “committed to providing a safe and respectful workplace for everyone.”
In a Wednesday (December 18) press release acknowledging receipt of the class action, BHP added, “BHP’s absolute priority is the safety and wellbeing of its people. Any form of harassment is not tolerated at BHP."
Rio Tinto also confirmed receipt of a claim in Australia's federal court on Wednesday.
“We do not tolerate any form of sexual harassment or sex-based harassment. We take all concerns about workplace safety, culture and breaches of our values, or our Code of Conduct extremely seriously,” the company said.
“This extends to our entire network, including business partners, contractors, and suppliers. We are absolutely committed to creating safe, respectful, and inclusive workplaces.
According to BHP, the proceedings are at a preliminary stage and the amount of damages sought is unspecified.
The claims date back to 2003. Litigation financier Omni Bridgeway is funding the class actions.
“Women in mining don't want another independent review,” JGA Saddler's Aylward concluded. "They want change, and they deserve a safe and respectful workplace."
Don’t forget to follow us @INN_Australia for real-time news updates!
Securities Disclosure: I, Gabrielle de la Cruz, hold no direct investment interest in any company mentioned in this article.
CASH DIVIDEND FOR THE FOURTH QUARTER OF 2024 - $0.75 PER COMMON SHARE
The Directors of Labrador Iron Ore Royalty Corporation (the "Corporation") (TSX: LIF) declared today a quarterly cash dividend of $0.75 per Common Share. The dividend is payable to holders of record at the close of business on December 31, 2024 and is to be paid on January 29, 2025 .
About Labrador Iron Ore Royalty Corporation
The Corporation holds a 15.10% equity interest in IOC directly and through its wholly-owned subsidiary, Hollinger-Hanna Limited, and receives a 7% gross overriding royalty on all iron ore products produced, sold and shipped by IOC and a 10 cent per tonne commission on all iron ore products produced and sold by IOC.
SOURCE Labrador Iron Ore Royalty Corporation
View original content to download multimedia: http://www.newswire.ca/en/releases/archive/December2024/13/c5641.html
News Provided by Canada Newswire via QuoteMedia
Australian Workers Union Pushes to Re-unionise Pilbara Mine Workers
The Australian Workers Union (AWU) is looking to re-unionise mine workers in Western Australia's Pilbara region following the Labor government's new workplace laws, various news agencies said.
Ahead of the AWU National Conference, held last week in Perth, the Australian Financial Review reported that AWU National Secretary Paul Farrow called out major mining companies operating in the area.
“(The big miners) are having a tough time coming to terms with the fact we now have an Australian government that wants to help real Australians instead of just being the obedient servant of mining corporate interests,” he said. “Pilbara mine workers used to enjoy coverage under enterprise agreements and that’s the situation we need to get back to.”
Farrow was referring to companies like BHP (ASX:BHP,NYSE:BHP,LSE:BHP) and Rio Tinto (ASX:RIO,NYSE:RIO,LSE:RIO).
He also mentioned the Minerals Council of Australia, an advocate for the country's resource industry, saying that together the three entities have taken part in an "ultra-aggressive and misleading campaign” against unions.
“If they want to maintain the very profitable social license they have been granted by Australia to exploit our mineral wealth, they need to make sure that the Australians they employ are shown genuine respect,” Farrow added.
A separate resolution introduced at the AWU event calls for regulations on silica exposure “that would bring mining into line with stonemasonry and tunnelling to mitigate the current risk of silicosis.”
AWU Western Australia Secretary Brad Gandy said that over the last year, all states and territories have agreed to ban the production and supply of high-risk engineered stone products and regulate silica exposure in tunnelling.
"But employers in mining are hiding behind the use of separate laws to regulate this industry to uphold outdated and inadequate WHS standards," he explained. "Mining workers deserve the same level of protection as workers in other industries. The AWU will keep fighting until it has secured justice for all workers exposed to silica-related harms."
Farrow said that both resolutions are critical to the union’s agenda, adding that most of the pay increases that BHP and Rio Tinto offer to Pilbara workers do not keep up with inflation.
Michaelia Cash, Western Australia's shadow minister for employment and workplace relations, characterised the AWU's re-unionisation push as “a direct threat to the competitiveness of WA’s leading resources industry." She also described it as “an attack on the productivity” of one of the state's most productive industries.
The Minerals Council of Australia also gave a response to the AWU.
Chief Executive Tania Constable said the unions “had been given too much power of intervention by government and rubbished suggestions that companies had avoided negotiating with unions in the region.”
Speaking ahead of the AWU's conference, Mike Henry, CEO at BHP, reiterated that the Labor government's “same job same pay” laws will cost it AU$1.3 billion a year, reducing competitiveness for the company and economy.
“We believe the dynamics that are being embedded currently create greater potential for conflict, including in some parts of the nation where there hasn’t been a real recent track record of industrial relations disputes,” he said. However, Henry also noted that the company will work with its employees to avoid that type of situation.
No further comments had been made by the AWU at the time of this writing.
Don’t forget to follow us @INN_Australia for real-time news updates!
Securities Disclosure: I, Gabrielle de la Cruz, hold no direct investment interest in any company mentioned in this article.
Top 5 Canadian Mining Stocks This Week: Black Iron Up 78 Percent on Offtake Deal
Welcome to the Investing News Network's weekly look at the best-performing Canadian mining stocks on the TSX and TSXV, starting with a round-up of Canadian and US news impacting the resource sector.
The S&P/TSX Venture Composite Index (INDEXTSI:JX) climbed 0.91 percent on the week to close at 608.54 on Friday (November 8). Meanwhile, the S&P/TSX Composite Index (INDEXTSI:OSPTX) was up 2.1 percent to 24,735.99.
Statistics Canada released its October Labor Force Survey on Friday (November 8). The announcement said there was little change to employment, with the economy adding just 15,000 jobs during the month and the unemployment rate holding steady at 6.5 percent.
South of the border, Donald Trump was declared the winner of the US presidential election in the early morning hours of Wednesday (November 6). Initially, experts expected the election to be too close to call, anticipating that counting would last days or even weeks.
How could his win affect the resource sector? Trump ran on a divisive platform that would see increasing tariffs, immigration reform and cuts to government spending. He’s also made broad promises for the resource sector, particularly oil and gas, that would see a lowering of environmental standards, access to protected federal land and a focus on exports.
The actual effects of these proposals won’t be known until well into 2025. Under the Biden administration, the US became the number one oil producer in the world, pumping more than 13 million barrels of crude per day in 2024, the most under any president.
How Trump’s policies will affect the metals and mining sector is unknown. His promise to pull back on climate laws could threaten the future of the Inflation Reduction Act, which has provided billions in targeted funding to projects tied to the energy transition. However, Trump is expected to support the industry by focusing on US-based projects and streamlining the permitting process.
Following the election, the US Federal Reserve held its November meeting on Wednesday and Thursday (November 7) and announced that it would make a 25-point cut to its benchmark Federal Funds Rate.
This marks the second time the central bank has cut interest rates, with the first being a 50 point cut in September, since it started raising them in February 2022 in response to rising inflation. In the announcement, the Fed cited an easing inflation rate, close to the 2 percent target, and a job market that has become less restrictive.
A surging US dollar and rising treasury yields pushed the price of gold down following the election. Although it recovered some ground on the Fed announcement, it ultimately lost 1.85 percent on the week, closing the period at US$2,685.10 on Friday at 4:00 p.m. EST. Silver took a harder hit, shedding 3.7 percent to US$31.24 on Friday. Copper was also down, dropping 1 percent to US$4.35 per pound on the COMEX.
The S&P GSCI (INDEXSP:SPGSCI) saw a slight increase of 0.67 percent to close at 539.73.
The election pushed major US indices to record highs this week, with the Nasdaq-100 (INDEXNASDAQ:NDX) surging 5.51 percent to close Friday at 21,110.08, the S&P 500 (INDEXSP:INX) jumping 4.72 percent to finish at 5,995.53, and the Dow Jones Industrial Average (INDEXDJX:.DJI) gaining 4.72 percent as well to reach 43.989.98.
Find out how the five best-performing Canadian mining stocks performed against that backdrop.
1. Black Iron (TSX:BKI)
Weekly gain: 77.78 percent
Market cap: C$24.33 million
Share price: C$0.08
Black Iron is an iron development and exploration company focused on advancing its Shymanivske project in Southeastern Ukraine.
The mineral resource estimate in the 2020 preliminary economic assessment for the project included measured and indicated resources grading 18.8 percent magnetic iron and 31.6 percent total iron from 645.8 million metric tons of ore, with additional inferred resources of 18.4 percent magnetic iron and 30.1 percent total iron from 188.3 million metric tons.
The report suggested that the project's development would have an after-tax net present value at 10 percent of US$1.44 billion, with an internal rate of return of 34.4 percent and a payback period of 3.33 years.
Shares in Black Iron saw gains this past week after it announced on Thursday that it had signed binding royalty and offtake agreements with Anglo American (LSE:AAL,OTCQX:AAUKF). Anglo American will invest US$4 million in return for a 1 to 1.5 percent royalty, dependent on the price of iron, as well as offtake rights to whichever is higher: 60 percent of Phase 1 production or 2.4 million metric tons of iron per year for the life of the mine.
Among other terms, the agreement also provides Anglo American with the opportunity to further invest at least 15 percent of the Phase 1 construction costs, which would increase its offtake rights to 100 percent of Phase 1 production or 4 million metric tons of iron per year following the end of the conflict between Russia and Ukraine.
2. Patagonia Gold (TSXV:PGDC)
Weekly gain: 60 percent
Market cap: C$16.28 million
Share price: C$0.04
Patagonia Gold is a precious metals production and development company primarily focused on advancing its Cap-Oeste and Calcatrau underground projects in Argentina.
Located in Santa Cruz province, Cap-Oeste hosted open-pit mining operations until 2018. While Patagonia is working on the exploration and development of the underground resource at the site, it has been able to recover gold and silver from residual leaching on site.
In the company’s management discussion and analysis, released on August 28, it reported that it had produced 889 ounces of gold and 42,363 ounces of silver from Cap-Oeste during the first six months of 2024.
According to the company’s website, a 2018 mineral resource estimate for Cap-Oeste reported measured and indicated values of 704,300 ounces of gold and 21.43 million ounces of silver from 10.56 million metric tons of ore with average grades of 2.07 grams per metric ton (g/t) gold and 63.2 g/t silver.
Acquired in a deal with Pan American Silver (NYSE:PAAS,TSX:PAAS) in 2017, the Calcatreu project is located in Argentina’s Rio Negro province and covers approximately 90,000 hectares. A 2018 mineral resource estimate for Calcatreu reported measured and indicated values of 669,000 ounces of gold and 6.28 million ounces of silver from 9.84 million metric tons of ore with average grades of 2.11 g/t gold and 19.8 g/t silver.
The company's most recent news came on Thursday when it announced it had received full and final permitting approval to advance with construction at Calcatreau. The company is working to complete studies to develop heap leach operations at the site.
3. Trilogy Metals (TSX:TMQ)
Weekly gain: 54.44 percent
Market cap: C$238.14 million
Share price: C$1.39
Trilogy Metals is a polymetallic exploration and development company working to advance its Upper Kobuk mineral projects in Northern Alaska, US, which it owns in a 50/50 joint venture with South32( ASX:S32,OTC Pink:SHTLF).
Its most advanced asset is the Arctic copper, zinc, lead, gold and silver project, which is in the feasibility stage. In an updated feasibility study from February 2023, the company reported annual payable production volumes of 148.68 million pounds of copper, 172.6 million pounds of zinc, 25.75 million pounds of lead, 32,538 ounces of gold and 2.77 million ounces of silver.
After tax, the study pegged the net present value at US$1.11 billion, with an internal rate of return of 22.8 percent and a payback period of 3.1 years.
Trilogy’s other key asset is the Bornite copper-cobalt project located 25 kilometers southwest of its Arctic project. The site hosts widespread mineralization and has seen historic exploration dating back to the 1950s. A January 2023 technical report estimates inferred resources at 6.51 billion pounds of copper from 202.7 million metric tons of ore with an average grade of 1.46 percent.
Trilogy’s share price rose this past week, although the company’s most recent news was its Q3 results in October.
4. Jervois Global (TSXV:JRV)
Weekly gain: 50 percent
Market cap: C$30.02 million
Share price: C$0.015
Jervois Global is working to advance a global portfolio of nickel and cobalt projects. It owns the Idaho Cobalt Operations in the US, at which it suspended mine construction in 2023 due to low cobalt prices.
According to Jervois, the Idaho Cobalt Operations host the largest US cobalt resource. A 2020 feasibility study shows that they have a measured and indicated resource of 50.1 million pounds of cobalt from 5.24 million MT grading 0.44 percent, with inferred values of 12 million pounds of cobalt from 1.57 million MT grading 0.35 percent.
The company announced in June 2023 that it had entered into a US$15 million agreement through the US Department of Defense’s Defense Production Act for exploration activities at its property.
In its most recent announcement from the project, released on July 31, Jervois reported that extensional drilling at the Idaho Cobalt Operations had shown positive resource growth potential, with cobalt, gold and copper mineralization at depth. In the announcement, the company provides a highlighted result of 1.1 percent cobalt, 1.18 percent gold and 0.69 g/t gold over 1.8 meters.
Shares in Jervois Global gained this past week, but the company did not release any news.
5. Adex Mining (TSXV:ADE)
Weekly gain: 50 percent
Market cap: C$10.16 million
Share price: C$0.015
Adex Mining is maintaining its past-producing Mount Pleasant polymetallic project in Charlotte County, New Brunswick, Canada.
Mount Pleasant is composed of 102 mining claims covering 1,600 hectares., and hosts two primary zones of mineralization. According to the company’s website, the Fire Tower zone is home to deposits with indicated grades of 0.33 percent tungsten and 0.21 percent molybdenum from 13.49 million metric tons. The North Zone hosts indicated grades of 0.38 percent tin, 0.86 percent zinc, and 64 parts per million iridium.
While shares of Adex saw gains this week, the company has not released news.
Data for this 5 Top Canadian Mining Stocks article was retrieved at 1:00 p.m. EDT on November 8, 2024, using TradingView's stock screener. Only companies trading on the TSX and TSXVwith market capitalizations greater than C$10 million are included. Companies within the non-energy minerals and energy minerals sectors were considered.
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Securities Disclosure: I, Dean Belder, hold no direct investment interest in any company mentioned in this article.
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