MINEX Forum

Website: Eurasia.com

  • Eldorado Gold has increased the capital expenditure estimate of the Skouries gold project in Greece

    Eldorado Gold has increased the capital expenditure estimate of the Skouries gold project in Greece

    The company advanced to full construction last year following the closing of a €680-million project financing facility with two Greek banks. In addition, Eldorado completed a C$81.5-million strategic investment with the European Bank for Reconstruction and Development.

    After finalising key contracts last year, the capital cost estimate remained in line with the December 2021 feasibility study estimate.  However, more recent and pending contracts incorporate labour rates and labour hours that are higher than the feasibility study estimate, resulting in the capex rising from the initial $845-million.

    Further, the time it took to negotiate key contracts has had a “modest” impact on the production schedule, the company reports. Skouries is now expected to deliver its first copper/gold concentrate in the third quarter of next year, rather than the previously guided mid-2025.

    As such, Eldorado now expects to produce between 50 000 oz and 60 000 oz from Skouries in 2025, compared with the previously guided 80 000 oz to 90 000 oz range.

    Copper production from the new Greek mine is expected to be between 15-million and 20-million pounds in 2025.

    A steep ramp-up curve is expected over that second half of 2025 and remains on track for commercial production at the end of 2025.

    “We look forward to bringing online this world class copper/gold asset that will deliver an additional 40% of high-quality gold production growth for our company by 2027,” said CEO George Burns.

    In 2023, Eldorado produced 485 139 oz of gold from a portfolio of four operating mines. The company delivered a 7% production growth and lowered all-in sustaining costs by 4% to $1 229/oz.

    “We achieved this in a challenging inflationary environment and successfully delivered key initiatives across our operations. Kisladag successfully commissioned the new agglomeration drum and North Heap Leach Pad; Olympias started up its ventilation system and bulk emulsion explosives; and Lamaque converted a portion of the Ormaque inferred resources into indicated in preparation for an initial reserve later in 2024. By completing these critical activities we have set up our operations for success to deliver consistent, sustainable results through continued execution,” said Burns.

  • Montenegro’s largest zinc mine under review: Working group analyzes Brskovo project’s future

    Montenegro’s largest zinc mine under review: Working group analyzes Brskovo project’s future

    The Brskovo project will be one of the biggest zinc mines in Europe, according to its owner, Swiss-based Tara Resources. However, it has been facing severe criticism from non-governmental organisations and citizens in the northeastern town of Mojkovac, in close proximity to the mine, over environmental issues.

    The working group was formed following a government decision adopted in January, requesting a thorough analysis of the concession contract, all annexes and other documentation, with the aim of taking a final decision on the future of the project, the ministry said in a statement earlier this week.

    The working group’s first session took place on February 1, and a second meeting is scheduled for February 5.

    In 2010, the Montenegrin government awarded Australian mining company Sultan Corporation a 25-year exploration and mining lease rights for the Brskovo lead and zinc complex. In 2011, Sultan said it found an initial inferred resource of 9.2 million tonnes at Brskovo, and strong upside potential.

    In 2018, Tara Resources acquired the project and is now operating it via its local subsidiary Brskovo Mine.

    Tara Resources says on its website that it completed a preliminary economic assessment in 2019 and a pre-feasibility study in 2021, proving the strong economics of the project. It notes that construction of the Brskovo mine will involve a capital investment of some 180 million euro ($195 million), and will consist of two open pit mines, a processing plant, and an integrated waste management facility.

    The Brskovo mine will produce some 45,000 tonnes of zinc in concentrate, 13,000 tonnes of lead in concentrate, 3,000 tonnes of copper in concentrate and approximately 1 million ounces of payable silver in the copper and lead concentrates, according to Tara Resources. The project will employ 700 people in construction, and will create 550 direct jobs and 200 indirect jobs during operations.

    Last week, local daily Vijesti reported that at the first session of the working group formed to examine the project, the state body in charge of protecting the property rights and interests in Montenegro declared that the government has a legal basis to cancel the concession contract with Brskovo Mine since it has missed many of the deadlines for receiving urban and technical permits.

    The daily recalls that the concession holder has changed several times since 2010, while the original contract was amended six times via annexes that had extended the deadlines for meeting certain obligations.

    The report also says that the working group has 30 days to send its final recommendations on the future of the project to the government.

  • Russia is Becoming a Leader in Lithium Reserves

    Russia is Becoming a Leader in Lithium Reserves

    The exploration of the Kolmozero deposit of rare metals is being completed in the Kola Peninsula in Russia. As a result, the country will become one of the three leaders in lithium reserves, a strategically important element for modern industry.

    Simultaneously, Russia has achieved a significant milestone by completing the development of a technology that allows the extraction of lithium from pegmatites with an impressive yield of 98%. This breakthrough in extraction technology enhances Russia’s capabilities in lithium production.

    Speaking on 28 December 2023, Russia’s Natural Resource Minister Alexander Kozlov told the  Interfax News Agency that Russia will retain its leading position in the world in gas and gold reserves, and for scarce mineral types such as tungsten, lithium, uranium and rare earth metals.

  • «Казахмыс» приобрёл 15 лицензий на разведку ТПИ

    «Казахмыс» приобрёл 15 лицензий на разведку ТПИ

    В 2024 году ТОО «Корпорация Казахмыс» получило 15 новых лицензий на разведку месторождений твёрдых полезных ископаемых в Казахстане. Недропользователь хочет расширить собственную минерально-сырьевую базу благодаря новым участкам, передаёт пресс-служба компании.

    В своём сообщении «Казахмыс» также опроверг информацию о том, что нарушает контрактные обязательства по недропользованию. Предприятие отмечает, что в 2020–2022 годах выполнило инвестиционные обязательства по 10 контрактам в полном объёме. Кроме того, за два года компания вложила порядка 45 млрд тенге в развитие Карагандинской и Улытауской областей.

    За последние пять лет корпорация инвестировала в 47 геолого-разведочных проектов свыше 31 млрд тенге. «Казахмыс» ведёт разведку в семи областях республики. Территория изученности за этот период составила 20 тыс. км².

    Новые участки, на которых недропользователь начнёт геолого-разведочные работы, по всей вероятности, располагаются рядом с месторождением Сокыркой (Балхашский рудный район). Контракт на добычу на нём меди и полиметаллов «Казахмыс» подписал в 2019 году.

  • Kazakhmys acquired 15 licenses for solid mineral exploration

    Kazakhmys acquired 15 licenses for solid mineral exploration

    In 2024, Kazakhmys Corporation LLP obtained 15 new licenses for exploration of solid minerals deposits in Kazakhstan. The mineral user aims to expand its own mineral resource base through these new areas, as reported by the company’s press service.

    In its statement, Kazakhmys also refutes the information that it violates contractual obligations regarding subsoil use. The enterprise notes that from 2020 to 2022, it fulfilled investment commitments under 10 contracts in full. Additionally, over the past two years, the company has invested around 45 billion tenge in the development of the Karaganda and Ulytau regions.

    Over the last five years, the corporation has invested over 31 billion tenge in 47 geological exploration projects. Kazakhmys conducts exploration activities in seven regions of the republic. The explored area during this period amounted to 20,000 square kilometers.

    The new areas where the mineral user will begin geological exploration work are likely located near the Sokyrka deposit (Balkhash ore district). The contract for the extraction of copper and polymetallic ores on this deposit was signed by Kazakhmys in 2019.

  • France’s $1.6bn uranium deal with Mongolia faces delays

    France’s $1.6bn uranium deal with Mongolia faces delays

    A $1.6-billion uranium mining deal between France and Mongolia, aimed at diversifying supplies for France’s nuclear reactors, faces political obstacles that may delay its finalization until after the upcoming elections in June, sources familiar with the matter revealed. The agreement, concerning the development and operation of the Zuuvch-Ovoo mine, was initially outlined during a visit to Paris by Mongolia’s President, Khurelsukh Ukhnaa, in October, with expectations for a final investment agreement by the end of last year and production commencement in 2028.

    However, setbacks including the resignation of Mongolia’s chief negotiator and concerns over safeguarding strategic resources have led to delays and necessitated the redrafting of the deal. The potential postponement or cancellation of the project poses challenges for Orano, the French uranium producer, which views the plan as vital for expanding its supply sources amidst increasing global demand.

    While Mongolian government representatives were unavailable for immediate comment on the contract delays, Orano affirmed ongoing negotiations and expressed optimism regarding finalizing the agreement promptly. The context of the deal underscores France’s efforts to bolster Mongolia’s strategic sovereignty amid its positioning between influential neighbors Russia and China, with the aim of reducing dependency on external energy sources.

    However, geopolitical tensions and Russia’s assertive stance in the region, coupled with Mongolia’s energy vulnerabilities, have added complexities to the negotiation process. The situation underscores the broader geopolitical dynamics at play, including heightened competition for access to critical resources and influence in strategic regions.

  • Kazakhstan and Turkey: new horizons of cooperation in the production of copper wires

    Kazakhstan and Turkey: new horizons of cooperation in the production of copper wires

    In line with the directive of President Kassym-Jomart Tokayev to bolster investor support, a meeting was convened between representatives of Kazakhstan’s industry committee and a delegation from the Turkish company Proton Otomasyon. The company, established in 2006 and specializing in cable product manufacturing in Denizli, Turkey, has expressed keen interest in establishing a copper wire production facility in Kazakhstan.

    Having executed numerous projects in the metallurgical and cable sectors over the past 16 years, Proton Otomasyon has cultivated partnerships across more than 20 countries on four continents. Kazakhstan is perceived as a pivotal location for the company’s business expansion. Apart from its primary operations, the company actively engages in the home textile industry and international trade, maintaining warehouse facilities in Germany and Spain.

    The realization of this venture hinges upon meeting the requirements of both parties, notably ensuring access to Kazakhstani raw materials at favorable rates, pivotal for the successful initiation and operation of the prospective production. Ongoing negotiations are underway, with both sides diligently addressing project intricacies, underscoring the aspiration for mutually advantageous collaboration and the fortification of economic bonds between Kazakhstan and Turkey.

  • Quest Critical Metals Provides Update on EU HORIZON-Funded EIS Project

    Quest Critical Metals Provides Update on EU HORIZON-Funded EIS Project

    Quest Critical Metals Inc. (formerly Canadian Palladium Resources Inc.) (“Quest Critical Metals” or the “Company”) is delighted to share the latest advancements in the EU HORIZON-funded Exploration Information Systems (EIS) Project. The project, in which the Company participates through its wholly-owned Czech subsidiary, Golden Pet SRO, aims to bolster Europe’s self-sufficiency in critical raw materials (CRM) with a focus on sustainable mineral exploration.

    The EU HORIZON-funded EIS Project, valued at €7.5 million, is dedicated to developing advanced exploration concepts and data tools to facilitate mineral exploration while minimizing its environmental impact. Moreover, the project seeks to raise awareness regarding the significance of critical raw materials and the challenges associated with exploring for them within the EU.

    James Newall, CEO of Quest Critical Metals, expressed his enthusiasm, stating, “We are privileged to have an abundance of geological and geophysical expertise analyzing our Klingenthal/Tisova project, all funded by the EU. Their validation of our geological interpretation is not only reassuring but also invaluable. Furthermore, being selected as a case study for the EIS Awareness Campaign will significantly amplify our project’s exposure.”

    Key Highlights:

    1. EU Funding Boost: Quest Critical Metals has received three tranches of EU grant funding, bolstering its exploration efforts.
    2. Top European Collaboration: The Company has collaborated with leading geologists and geophysicists in Europe, benefiting from their expertise. Notably, Professor Jiri Zacharias of Charles University, Prague, contributed to the understanding of the ore body evolution at Tisova.
    3. Data Contribution: Quest Critical Metals’ data has played a crucial role in creating the Volcanogenic Massive Sulphide (VMS) identifying model.
    4. Tisova Project Advancement: The EIS project is advancing into its testing phase in 2024, with Klingenthal/Tisova identified as the sole test site for planned drilling activities.

    EIS Project Awareness Campaign:

    The EIS Project aims to raise awareness of the importance of Critical Minerals and the challenges associated with their exploration within the EU. Golden Pet, the Company’s wholly-owned subsidiary, serves as a case study for this campaign.

    Objective: Targeting governments, corporations, and stakeholders, the campaign will culminate at the EU Raw Minerals Week in November 2024 in Brussels.

    Engagement: A dedicated workshop at the PDAC 2024 Convention in Toronto, Canada, will be led by EIS Project partners, engaging with leading mineral exploration and mining companies.

    Quest Critical Metals is poised for significant advancements, with its participation in the EIS Project and strategic acquisitions positioning the Company for growth and success in critical minerals exploration.

  • Boston Consulting Group представила итоги аудита Qarmet

    Boston Consulting Group представила итоги аудита Qarmet

    Международная компания Boston Consulting Group, специализирующаяся на управленческом консалтинге, с декабря прошлого года проводила аудит производства угля в Qarmet, сообщает корреспондент центра деловой информации Kapitak.kz со ссылкой на пресс-службу компании.

    «В рамках изучения деятельности Угольного департамента было замечено, что взрывы, пожары и газодинамические явления стали причиной 95% всех трагичных случаев в шахтах с 2021 года. Предложено внедрение комплексной работы по модернизации, которую необходимо начать с установки системы позиционирования на всех объектах. Для управления системами рекомендовано создать центральную диспетчерскую службу, которая позволит повысить эффективность консолидации данных производства и ускорить реагирование на внешние факторы, такие как геоколебания», – сообщили в Qarmet.

    В разделы замечаний вошли также нерациональное инвестирование в ранние годы в приобретение неактуального технологического оборудования, отсутствие единого стандарта условий труда на шахтах и др.

    «По итогам аудита BCG по поручению акционера Qarmet Андрея Лаврентьева создана совместная рабочая группа по определению детального комплексного плана действий модернизации в Угольном департаменте до 2028 года. Цель масштабной кампании – внедрение лучших международных практик для повышения производительности и безопасности труда», – указывается в сообщении.

    Напомним, 28 октября 2023 года на шахте имени Костенко в Карагандинской области, ранее принадлежащей «АрселорМиттал Темиртау», прогремел взрыв. Погибло 46 человек.

    29 октября 2023 года был объявлен Днем общенационального траура. Президент поручил правительству прекратить инвестиционное сотрудничество с компанией «АрселорМиттал Темиртау». 8 декабря 2023 года стало известно о заключении Правительством РК и корпорацией ArcelorMittal сделки о передаче АО «АрселорМиттал Темиртау» Казахстану. Казахстанский государственный фонд прямых инвестиций АО Qazaqstan Investment Corporation приобрел все акции металлургических предприятий ArcelorMittal Temirtau JSC и ArcelorMittal Tubular Products Aktau JSC. Сумма сделки составила 286 млн долларов. Инвестором стал председатель совета директоров АО «Группа компаний Allur» Андрей Лаврентьев. По условиям сделки он должен вложить 3 млрд долларов в модернизацию комбината и шахт.

    Отметим, 17 августа 2023 года на шахте Казахстанская, которая принадлежала «АрселорМиттал Темиртау», произошло воспламенение конвейерной ленты. Пять горняков погибли. 3 ноября 2022 года в Шахтинске на шахте имени Ленина при бурении газодренажных скважин произошел внезапный выброс газа. В шахте находилось 106 работников. Пять человек погибли.

     

  • Boston Consulting Group presented the results of the Qarmet audit.

    Boston Consulting Group presented the results of the Qarmet audit.

    The international company Boston Consulting Group, specializing in management consulting, has been conducting an audit of coal production at Qarmet since December of last year, reports the correspondent of the business information center Kapitak.kz, citing the company’s press service.

    “During the study of the Coal Department’s activities, it was noted that explosions, fires, and gas dynamic phenomena have been the cause of 95% of all tragic incidents in mines since 2021. It has been proposed to implement comprehensive modernization work, starting with the installation of a positioning system at all facilities. To manage the systems, the establishment of a central dispatch service has been recommended, which will increase the efficiency of production data consolidation and accelerate response to external factors such as geological disturbances,” Qarmet reported.

    The observations section also included irrational investments in the early years for acquiring outdated technological equipment, the absence of a unified standard for working conditions in mines, and others.

    “As a result of the BCG audit commissioned by Qarmet shareholder Andrey Lavrentiev, a joint working group has been established to develop a detailed comprehensive action plan for modernization in the Coal Department until 2028. The goal of the large-scale campaign is to implement the best international practices to improve productivity and work safety,” the message stated.

    Recall that on October 28, 2023, an explosion occurred at the Kostyanko mine in the Karaganda region, formerly owned by ArcelorMittal Temirtau, resulting in the death of 46 people. October 29, 2023, was declared a National Mourning Day. The president instructed the government to cease investment cooperation with ArcelorMittal Temirtau.

    On December 8, 2023, it became known that the Government of the Republic of Kazakhstan and ArcelorMittal Corporation had concluded a deal to transfer ArcelorMittal Temirtau JSC to Kazakhstan. The Kazakh State Direct Investment Fund Qazaqstan Investment Corporation acquired all the shares of the metallurgical enterprises ArcelorMittal Temirtau JSC and ArcelorMittal Tubular Products Aktau JSC. The deal amounted to $286 million. The investor became the Chairman of the Board of Directors of Allur Group of Companies, Andrey Lavrentiev. According to the terms of the deal, he is required to invest $3 billion in the modernization of the plant and mines.

    It is worth noting that on August 17, 2023, a fire occurred on the Kazakhstan mine, which belonged to ArcelorMittal Temirtau, resulting in the death of five miners. On November 3, 2022, in Shakhtinsk, at the Lenin mine, during drilling of gas drainage wells, there was a sudden gas outburst. There were 106 workers in the mine, and five people died.