MINEX Forum

Region: Europe

  • UK backs Ionic’s supply chain plans

    UK backs Ionic’s supply chain plans

    Ionic Rare Earths, listed on the ASX, has recently entered into a significant partnership agreement with Ford Technologies, Less Common Metals (LCM), and the British Geological Survey to establish a rare earth supply chain based in the UK, utilizing recycled magnets.

    Ionic’s subsidiary, Ionic Technologies, will employ recycling technology to produce high-purity, separated, and traceable rare earths from end-of-life magnets and swarf. These rare earths will be supplied to LCM for alloy production, which will then be converted into NdFeB magnets. Ford Technologies plans to use these magnets in the production of electric vehicles (EVs).

    The UK government has pledged £1 million in support for this partnership project, with an additional £1 million allocated for a feasibility study focused on the construction and supply side dynamics of a magnet rare earth recycling plant. This feasibility study will be conducted in collaboration with the British Geological Survey, and the funding will be provided under the UK government’s circular critical materials supply chains (CLIMATES) program.

    Tim Harrison, Managing Director of Ionic, expressed the significance of this initiative, emphasizing that it will accelerate the mining, refining, and recycling of critical magnet and heavy rare earths essential for energy transition, advanced manufacturing, and defense. He also highlighted Ionic’s strategy to establish a collaborative Western supply chain for rare earths in the UK and the European Union.

    Additionally, Ionic Technologies has received a CLIMATES grant from Innovate UK, further demonstrating their commitment to creating a sustainable supply chain for rare earths in partnership with Ford Technologies and LCM. Another CLIMATES grant will support Ionic Technologies in developing a business case and exploring the potential scale-up of a commercial magnet recycling facility in Belfast, in partnership with the British Geological Survey.

    It’s worth noting that Ionic Rare Earths also owns the Makuutu rare earths project in Uganda, further contributing to its involvement in the rare earths industry.

  • Rainbow signs strategic supply agreement with UK-based rare earth alloy manufacturer

    Rainbow signs strategic supply agreement with UK-based rare earth alloy manufacturer

    In its ongoing efforts to lead the establishment of an independent rare earth elements (REEs) supply chain in the UK, Rainbow Rare Earths, a London-listed company, has entered into a strategic supply agreement with Less Common Metals (LCM) to develop a Western supply chain for REEs.

    Under this agreement, Rainbow will provide LCM with REEs that are designated as critical minerals. LCM is the sole manufacturer of rare earth metals and alloys in the UK and one of the few facilities outside China with this capability.

    LCM holds a unique position in the rare earths industry as it is the only Western company commercially producing both highly specialized strip-cast alloys and all the necessary rare earth metals required for manufacturing high-performance neodymium iron boron magnets.

    The materials that Rainbow will supply to LCM, including neodymium, praseodymium, dysprosium, and terbium, are economically vital REEs due to their use in the production of permanent magnets. These magnets play a crucial role in decarbonization efforts as they are used in wind turbines and electric vehicles. These elements are also recognized as critical minerals in the UK’s Critical Minerals Strategy.

    Rainbow’s supplied rare earth oxides (REOs) will be used by LCM to create alloys, which will then be provided to permanent magnet manufacturers in the US and the European Union (EU).

    Rainbow’s goal of establishing an REE supply chain outside of China aligns with LCM’s plans to invest in expanded capacity in North America, the EU, and Asia.

    LCM sought a partner with similar values to ensure an ethical supply of the required feedstock for their business. Rainbow was selected after an extensive evaluation of various rare earth development companies globally, based on its capability to develop REEs to the separated rare oxide stage using proprietary technology developed by its partner, K-Technologies.

    George Bennett, CEO of Rainbow, emphasizes that LCM’s 30 years of experience in manufacturing and supplying metals and alloys to the permanent magnet industry makes it the preferred partner for Rainbow. He adds that LCM’s expertise in expanding its presence in the US and the EU will be instrumental in meeting the growing demand for permanent magnets.

    The companies will soon establish a framework for negotiating a binding offtake agreement for separated REOs from Rainbow’s Phalaborwa project in South Africa. The ultimate customer for rare earth permanent magnets will also be determined in due course.

    The volumes of supply will be driven by LCM’s requirements for its expanded facilities, and pricing will be determined based on published REO prices at that time. Any surplus production from the Phalaborwa project will be sold on the open market to third parties.

    The Phalaborwa project contains approximately 35 million tonnes of gypsum resulting from historic phosphate hard rock mining, which contains REEs with an estimated average in-situ grade of 0.6% total rare earth oxides.

    In September, Rainbow successfully produced its first batch of mixed rare earth sulphate, totaling 3 kg, from a front-end pilot plant. This batch has been sent to the back-end pilot plant located at K-Technologies in Florida, USA, for separation into REOs during the last quarter of this year.

  • Five miners were found in the Pniówek mine

    Five miners were found in the Pniówek mine

    Rescue teams have successfully located five out of the seven miners who went missing during the incident at the Pniówek mine, owned by Jastrzębska Spółka Węglowa, in April of the previous year. According to the company’s statement, these five miners were discovered in the N-12 longwall area, situated behind the entrance to the N-6 longwall. The challenging conditions of the operation mean that it will take approximately 24 hours to transport these found miners to the surface.

    Efforts were also made to access the N-6 longwall, where the remaining two missing miners were believed to be located. Unfortunately, it was determined that the conditions within the wall did not allow for a safe rescue operation. Following the transportation of the found miners, the area of the wall will be secured again.

    To reach the position of the two remaining missing miners, an additional excavation (one or two cuts) will be made from the N-9 ramp to the N-6 wall. Preparing and executing this next step may take up to a month. Thus far, a total of 61 rescue teams have been involved in the operation, including 16 teams from CSRG.

    It is important to note that the initial methane explosion in the Pniówek mine occurred on April 20, just 12 minutes past midnight, during the mining activity near the N-11 road. At that time, there were 42 workers in the affected zone, including 16 in the vicinity of the N-6 wall. While 39 employees were able to evacuate during the operation, three individuals remained trapped within the wall. Three rescue teams were dispatched to their aid. Unfortunately, at approximately 3:10 a.m., a second methane explosion occurred, leaving seven people still within the danger zone.

    On April 21, at 7:40 p.m., yet another methane explosion transpired. The rescue operation concluded on May 2 at 7:43. Tragically, as a result of these methane explosions, nine employees lost their lives, seven sustained severe injuries, and 26 experienced temporary incapacitation. Furthermore, seven workers were unaccounted for within the isolated N-6 wall.

  • Norwegian Mineral Strategy to ramp up production of materials crucial to global industry

    Norwegian Mineral Strategy to ramp up production of materials crucial to global industry

    In 2021, Norway was revealed to be the location of another large deposit of critical raw materials (CRM),1 as 240 million MT of phosphate, vanadium, and titanium were estimated to be in Storeknuten. This would already be a vast resource of three of the 30 critical raw materials, but since then has been shown by drilling operations to be as much as 910 million MT. The global economy, industry, and the current state of world politics mean that Norway has been presented with an opportunity to take a more prominent role in supplying much of the world’s industrial innovations. This includes the EU and the US, and stands to give Norway a lot more political and economic power in the coming years via developing green industries, increasing exports and growing the number of jobs in the Norwegian industry.

    As the name suggests, the EU defines critical raw materials as materials that are critical to industry. Generally speaking, this includes metals and minerals that cannot be replaced by a more common material, that have a significant supply risk, and if there is a disruption of supply, will have economic consequences. For Norway, this will include aluminium, copper, cobalt, zinc, and much more. With the EU moving towards less dependence on China, Russia and other countries for importing, Norway has become a key player in supplying these materials.

    CRM in Europe

    The shift towards greater production of CRMs comes from a variety of factors, and the EU plan, known as the Critical Raw Materials Act, has a number of objectives. This act, introduced in March 2023, seeks to strengthen the EU’s CRM capacity, reduce dependency, increase preparedness, and promote supply chain sustainability and circularity.2 The reduction of dependency essentially means the diversification of Europe’s supply of materials. Ideally, no more than 65% of one critical material is to be imported from one source. This would lead to several advantages, including the facilitation of manufacturing more green energy solutions, as well as the political advantages of not relying too much on one country’s source. With political tensions in China and the war in Ukraine with Russia, this would be a significant development for the EU and is a key cause of the Critical Raw Materials Act’s existence.

    Similarly, and since Norway is not an EU Member State, Norway has its own Green Industrial Initiative. This roadmap aims to increase investment and create jobs within green industries, as well as cutting pollution as it turns towards low-to-no emissions. Vital to this are critical metals and materials. Norway currently has a lot of these materials for not only themselves but also Europe.

    The Norwegian Mineral Strategy

    As such, Norway has had to change its strategy in terms of mining and processing these materials in order to keep up with the demand from the EU and themselves. In June, the Norwegian government unveiled the Norwegian Mineral Strategy. This strategy is a five-pillar process that aims to improve the Norwegian mineral industry and is a first step towards ‘the world’s most sustainable mineral industry.’3 Within this strategy are five key areas of focus.

    Faster implementation of mineral projects

    This is primarily concerned with the mapping of critical raw materials as well as reducing the time taken to process the mined materials. Obviously, this will reduce the time from mining the material or mineral to using it or exporting it for use, which in turn will reduce the time taken to develop green industries and grow profit for the economy.

    The mineral industry must contribute to the circular economy

    A circular economy is designed to minimise both the materials put in as well as the waste materials or pollution outputted. Norway’s circular economy is relatively low at 2.4% as of writing this, so an increase would be beneficial for green plans as well as profits. This will also decrease the cost of construction as material is recycled for use.

    A more sustainable mineral industry

    Similar to many countries and companies, Norway is aiming for its mineral industry to be zero emission or net zero by 2030. This will also specifically target the use of non-environmentally friendly chemicals in manufacturing processes. This will not only develop new industries as methods and constructions need to be updated or replaced, and therefore create new jobs, it will also benefit the planet and make the industry as a whole much more appealing to people conscious of the effects of industry on the planet.

    Private capital is a must

    Private capital will be key to funding these endeavours. Furthermore, all options will be explored to increase the profitability of mineral mining and processing, as well as increase the opportunities for communities, i.e. creating jobs. Altogether this aims to greatly stimulate the Norwegian economy.

    Norway will continue to supply international partnerships with green value chains

    This new strategy aims to change Norway’s global image to being a mineral nation and to further strengthen the ties between Norway and the rest of Europe in terms of trading critical materials. The mining industry has frequently overlooked value chains, leading to wasted resources and isolated operations, leading to miscommunication and bogged-down production.

    These five points constitute the Norwegian Mineral Strategy and are an excellent vision of Norway’s hope for its future in mining and processing critical raw materials. With these coming to fruition, Norway will occupy a spot of increasing power on the world stage.

    Europe’s position and Norway’s future

    As mentioned earlier, Europe currently has a tenuous relationship with China. The political issues in China under EU criticism range from the mistreatment of Uighur Muslims to China’s continued alliance with Russia after their invasion and sustained war in Ukraine. Yet, China is currently able to mine two-thirds of the 30 raw materials, giving them a dominating position in industrial endeavours.

    Similarly, Russia was a very contentious country even before the invasion of Ukraine, and most of Europe is on edge regarding a future with Russia. Still, Russia is in the top three countries for mining critical raw materials, with China at the top and the US between them. The EU being strong allies with just one of these three is a weak position, and one that they have started looking to rectify in recent years. Norway has an abundance of these materials and so it is easy to see how this will not only benefit the EU but Europe as a whole and especially Norway. With the EU diversifying their sources of critical raw materials, Norway stands to profit greatly from exporting to Europe, as well as its own industry developing both in economic terms and green industrial terms.

    All of these factors, along with the new Norwegian Mineral Strategy, mean that Norway may well be catapulted up in the ranks of top critical raw material exporters, and Norway itself will only benefit from this in profit and political power. The benefits to industry will also give the country a swathe of new jobs and the ability to develop green solutions and industries to benefit the world and humanity as a whole.

     

  • Vedanta ran “covert” lobbying campaign in India to weaken environment regulations

    Vedanta ran “covert” lobbying campaign in India to weaken environment regulations

    London-based mining and oil giant Vedanta ran a “covert” lobbying campaign in India to weaken environmental regulations during the pandemic, according to a new report by the Organised Crime and Corruption Reporting Project (OCCRP).

    In 2021, Vedanta’s chairman, Anil Agarwal, wrote a letter to the then Environment Minister of India, Prakash Javedkar, saying the government could add “impetus” to India’s “rapid” economic recovery by allowing mining companies to boost production by up to 50% without having to secure new environmental clearances. According to the OCCRP report, Agarwal further recommended that the change could be made with “a simple notification”.

    By early 2022, the Ministry of Environment, Forest and Climate Change loosened the regulations to allow mining companies to increase production by up to 50% without holding public hearings for the same.

    Such a move would mean the mining industry would not require new environmental approvals when increasing production. Further, doing away with public consultations also meant silencing the only recourse for local people to raise concerns about expansion and the consequent impact on their livelihoods.

    The report also reveals minutes from an internal meeting in 2021 that show officials raising concerns that loosening the rules would break the law and give a free pass to unrestrained mining in ecologically sensitive areas. However, by April 2022, the Environment Ministry published a memo that scrapped all requirements for miners to hold public consultations when expanding production by up to 40%, requiring only written feedback up to 50%.

    Benefits to Vedanta’s oil and gas subsidiary

    The favours to Vedanta allegedly extended beyond the mining industry to benefit one of company’s subsidiaries, Cairn Oil and Gas. In 2021, Cairn lobbied to scrap public hearings for oil exploration projects.

    As the government quietly followed the course of amending law without public consultation, Cairn received six oil projects in the northern deserts of Rajasthan to date. The OCCRP’s analysis of official data shows Vedanta was a key benefactor of the government’s push to boost domestic oil exploration, gaining rights to 62 of the total of 220 blocks put up for sale across the country between 2018 and 2022.

    Vedanta told the OCCRP that as “one of the leading natural resources organisations in India”, the company operated “with an objective of import substitution by enhancing domestic production in a sustainable manner”.

    Vedanta’s operations in India contributed more than $18bn (£14.26bn) in revenues in 2022. Despite the country’s climate and sustainability pledges to reach net zero and reduce carbon emissions, the report says that “experts who reviewed OCCRP’s findings say they show his [Narendra Modi] government has prioritised the interests of oil and mining companies over the fight against climate change”.

    Vedanta was earlier also caught up in the Niyamgiri land conflict in India’s Odisha state, where thousands of indigenous people prevented the company from destroying their sacred land.

     

  • Environmentalists fret over Portuguese green light for lithium mine

    Environmentalists fret over Portuguese green light for lithium mine

    The Romano lithium mine, proposed for Montalegre in Portugal’s northern district of Vila Real, has received a favourable conditional environmental impact statement from the Portuguese Environment Agency, but environmentalists are concerned about its impact.

    One of Portugal’s largest environmental associations, Zero, reacted on Thursday with concern about the viability of the Romano lithium mine in Montalegre, saying it was “absurd” to separate the project between the mine and the refinery, which will be subject to a separate Environmental Impact Assessment (EIA).

    “It’s worrying, and we’re talking once again about a project with high environmental, social and economic impacts, which is the subject of a favourable conditional opinion,” Nuno Forner from Zero told Lusa on Thursday.

    “This opinion has a particular aspect, which is that part of the mining annexes complex is going to be the subject of a separate process, which we think is absurd, to say the least,” Forner added.

    “Separating the project into several parts doesn’t make any sense,” he said.

    The Portuguese Environment Agency (APA) issued a favourable report regarding the mine.

    The APA’s decision is “favourable conditioned for mining and solution two (to the south-east of the mining area) for the location of the waste facility.”

    As for the location of the refinery, washing plant and administrative buildings, the report said “it should be further analysed under a separate procedure” and should preferably focus on the location corresponding to solution A if “the project’s incompatibility with the Montalegre Municipal Master Plan is overcome”.

    “We are concerned that the compensation and minimisation measures mention the possibility of the population being compensated in monetary terms so that they can buy another house or another plot of land or even be compensated for ending their agricultural activity,” said Forner.

    This, in his opinion, “clearly shows that this is a project with major impacts”, particularly on the social component, which “can hardly be minimised” and that “the solution will be to push people out of the area.”

    This is the second lithium project approved in Portugal after the favourable study conditioned on the Barroso mine (in May), proposed by Savannah for Covas do Barroso, in the neighbouring municipality of Boticas.

  • Pan Global Resources posts Honda and Zarcita drill results, Spain

    Pan Global Resources posts Honda and Zarcita drill results, Spain

    Both targets are located 4km north of the La Romana copper-tin-silver discovery where ongoing drilling is extending mineralization at Romana West. Three follow-up drill holes have been completed at the Cañada Honda copper-gold target and an additional 13 drill holes have been completed at the Zarcita copper target.

    “The follow-up drilling at Cañada Honda confirms copper-gold mineralization coincident with a gravity anomaly, and extends the copper-gold mineralization from surface to 600m down-dip where it remains wide open. The new results highlight additional gold potential in the hanging wall. The drilling is at the eastern end of a 2km long east-west gravity target, indicating potential for the mineralization to significantly expand, making this a compelling, high priority target for additional drilling,” said Tim Moody, president & CEO.

    Currently, drilling at Escacena is focused along the highly prospective western extension (Romana West) of the La Romana copper-tin-silver discovery. In addition to the 12 geophysical targets that are being sequentially prioritized for drill testing, exploration on the 5,760-hectare Escacena Project continues to identify new drill targets. Initial assay results from the first set of drill holes at Romana West are expected soon.

    Cañada Honda Highlights – New drill hole results include drill hole CHD05 that returned 20 metres at 0.5% copper, 0.8 g/t gold, 1.9 g/t silver, including 5.1 metres at 1.3% copper, 0.5 g/t gold, 3.9 g/t silver (reported July 4, 2023); and new results including 2 metres at 1.6 g/t gold.

    CHD06 returned 7 metres at 0.6% Cu, 0.8 g/t Au, 6.5 g/t Ag, including 3 metres at 1.1 g/t Au, 5.5 g/t Ag. CHD07 returned 5 metres at 1.1 g/t Au, 0.2% Cu, 2.3 g/t Ag.

    Surface rock samples ranged  up to 9g/t gold. There are new untested DHEM conductor anomalies

    The follow-up drill program included holes CHD05, CHD06 and CHD07. Drill hole CHD05, testing 150 metres down-dip from previous drill hole CHD04 and approximately 330 metres down-dip from a historical mine tunnel, confirmed copper-gold mineralization coincident with the targeted gravity anomaly. CHD06, located 100m east of CHD05, intersected copper-gold mineralization coincident with a DHEM target. Hole CHD07 tested a resistivity low anomaly 190 metres down-dip from CHD05. Each of the drill holes also intersected additional gold mineralization in the hanging wall.

    DHEM in holes CHD06 and CHD07 confirmed new off-hole conductor anomalies for future drilling to test the potential for stronger sulphide mineralization.

    Anomalous gold assays from 28 rock grab samples at Cañada Honda indicate a gold anomaly extending 200 metres west of the historical mine tunnel and up-dip from the recent drilling, with several samples reporting >0.1 g/t Au up to 9.0 g/t Au.

    “The recent exploration drilling and mapping at Zarcita has highlighted a 2.1km long trend with anomalous copper, lead, zinc, gold and silver. The highest potential remains centered on the historical Zarcita mine workings where drilling has intersected narrow intervals of higher-grade copper within a wider zone of stockwork and alteration. While untested down-hole electromagnetic (DHEM) conductors, gravity and IP anomalies define prospective targets for future campaigns at Zarcita, the Romana West and Cañada Honda targets are key near-term priorities,” said Tim Moody, president & CEO.

    New Zarcita drill hole results include drill hole ZAD05 that intersected copper mineralization from surface, including 14.45 metres at 0.2% copper before entering a 10.5-metre assumed historical mine cavity. ZAD06 returned 5.5 metres at 0.7% Cu from 106.2 metres, including 1.85 metres at 1.6% Cu, 0.15 g/t Au, 2.4 g/t Ag.

    The most promising results are from a 600-metre section of the 2.1km trend, coincident with the Zarcita mine workings. This includes thin bands of semi-massive and massive sulphide intervals within a wider zone of stockwork veining and chlorite-sericite alteration. DHEM in holes ZAD01 and ZAD05 identified untested off-hole and below-hole anomalies, representing potential nearby stronger sulphide mineralization.

    The Escacena Project comprises a large, contiguous, 5,760-hectare land package controlled 100% by Pan Global in the east of the Iberian Pyrite Belt. Escacena is located near operating mines at Las Cruces and Riotinto and is immediately adjacent to the former Aznalcóllar and Los Frailes mines where Minera Los Frailes/Grupo Mexico is in the final permitting stage with construction anticipated to start in 2023. The Escacena Project hosts the La Romana copper-tin-silver discovery and a number of other prospective targets, including, Romana West, Cañada Honda, Bravo, Barbacena, El Pozo, Zarcita, Hornitos, La Jarosa, Romana Deep, Romana North, and San Pablo.

  • The State Property Fund of Ukraine has sold the Murafskiy limestone quarry

    The State Property Fund of Ukraine has sold the Murafskiy limestone quarry

    The State Property Fund of Ukraine has sold the Murafskiy quarry in the Vinnytsia region for 25 million UAH. Three investors participated in the trade.

    As a result of the auction, the initial price grew 5-fold.  In addition to 25 million UAH, the winner of the auction has to pay more than 11 million UAH of the company’s debts to the budget and employees.

    Limestone extraction at the quarry was suspended 10 years ago.

  • Poland’s JSW has no plans for acquisitions on energy market

    Poland’s JSW has no plans for acquisitions on energy market

    Polish miner JSW will focus on increasing the extraction of coking coal, and does not plan on expansion through energy company acquisitions, CEO Tomasz Cudny said on Thursday.

    “Today our actions are directed to increase extraction of our type of coal, we’re speaking of coking coal. When it comes to the energy market, we are not planning any acquisitions,” said Cudny on a conference call.

    Cudny’s comments that the company plans to focus on boosting coking coal extraction, which is used in steelmaking, follow a fire in one of its mines in March, which prompted it to cut its 2023 production output forecast by 250,000 tons.

    In November, it forecast production of 14 million tons this year. In the first six months, JSW produced 6.7 million tons.

    On Wednesday, the company reported second-quarter coking coal production edged up 1.4% to 2.7 million tonnes from the prior quarter, while revenue from sales to external recipients slumped to 1.87 billion zlotys ($436.74 million) from 2.16 billion in the first quarter.

    Net profit in the second-quarter fell 67% to 780.6 million zlotys from the prior year, with core profit tumbling to 3.33 billion zlotys versus 5.97 billion zlotys in the same period last year.

    Members of the management board pointed out on the call that last year’s results had benefited from favourable macroeconomic conditions, including a spike in the price of coal after Russia’s invasion of Ukraine.

    “We had used that moment and the effects could be seen in our results from the year 2022,” Cudny said.

  • Sweden’s H2 Green Steel raises $1.6bn for Boden plant

    Sweden’s H2 Green Steel raises $1.6bn for Boden plant

    The plant in the northern town of Boden will use hydrogen produced from renewable electricity – rather than coal – to deliver steel in a process emitting as much as 95% less CO2 than steel produced with traditional blast furnace technology, the company says.

    The transaction was a “big leap” towards the start of steelmaking operations in Boden by the end of 2025, the company said.

    H2 Green Steel aims to ramp up production to 5 million metric tons of steel during 2026 and already has contracts for about half of its planned production despite green steel being more expensive than that produced by carbon-intensive methods.

    “The willingness to pay more for green steel has increased quarter by quarter,” said chief executive Henrik Henriksson.

    “The first contracts we signed were maybe at a 20% premium; the most recent are more like a 30% premium.”

    Henriksson said that traditional steel production emits about 2 tonnes of CO2 per ton of steel compared with H2 Green Steel’s predicted 200 kilograms of CO2 per ton.

    Last month H2 Green Steel announced that it had signed multi-year deals with miners Rio Tinto and Vale for the supply of iron ore pellets from Canada and Brazil.

    Over the longer term the company aims to reduce the roughly 40kg of CO2 per ton of steel from transport of ore by sourcing in Sweden and utilizing cleaner transport methods, Henriksson said.

    Morgan Stanley acted as sole financial adviser to H2 Green Steel in the private placement.