Zinc Mining News

Connemara Mining – preliminary results for the year ended 31 December 2010

Good results continue to flow from drilling in the Stonepark region in Limerick

LME board struggles to reform metals warehousing logistics

The board of the London Metal Exchange has been unable so far to reach agreement on a way to resolve aluminum access issues from warehouses owned by a unit of Goldman Sachs. However, the U.K. Office of Fair Trading has determined there are no obvious competition issues meriting further investigation of complaints that ownership of warehouses give certain metals market players' unfair advantage.

Alexco restarts mill at Bellekeno silver mine after 3-day power cut

After three days without power, Alexco Resources (TSX: AXR) said that electricity is once again flowing and that it had re-started the mill at its Bellekeno silver-lead-zinc mine in the Yukon. Mid this week Alexco had reported there were three downed power poles along a remote section of the main transmission line upon which it depends. While Alexco had back-up generators to keep key safety and environmental systems going, it was forced to shut its mills down.

First decline in 2 years in Chinese car sales worries zinc market

Reuters reports that zinc prices ended May slightly firmer, recovering from an early rout but the prospect of a sizeable supply surplus this year and next will continue to weigh on the market, especially if other metals weaken. Ms Claire Hassall of consultancy CHR Metals said that market watchers were concerned about weakness in the Chinese economy. The general feeling is that demand is not particularly strong in China at the moment using latest car sales figures as an illustration of the source of these worries.

Belgium's Nyrstar makes friendly C$619mn all-cash bid for Canada's Breakwater

After talks began last September and no other offers materialized, Canadian zinc miner Breakwater Resources (TSX: BWR) announced early Wednesday that it had accepted Belgium based metals producer Nyrstar NV C$7 per share all-cash offer. Nyrstar will pay around C$619 million for Breakwater; an offer Breakwater CEO David Petroff called "an attractive and fair premium to the current share price," thanks to a 44% premium.

Baja says Boleo project on schedule

Mining Weekly reported that Baja Mining’s (TSE:BAJ) copper/cobalt/zinc project in Mexico is progressing on schedule. The market news is quoted as saying: “The Boleo project is currently meeting its scheduled milestones, with environmental compliance and surface mining activities continuing in targeted areas, the processing plant and road earthworks well underway, in addition to the site camp, utilities and services being finalized,” the company said in a statement.

Gold Mining in Eritrea

Gold miners are expanding their focus in Africa to the northeast of the continent, a region that in the past, was largely bypassed by gold explorers. Northeast Africa already has a few gold deposits in the threshold size of one million troy ounces (the size limit the usually piques the attention of bigger miners.)

Heatherdale closes $9.3 million financing

Heatherdale Resources announced that it has closed the previously announced non-brokered private placement of 11,314,255 units of its capital at a price of $0.83 per unit for gross cash proceeds of $9,390,831. Each unit consists of one common share and one warrant entitling the holder to purchase an additional common share at a price of $1.20 for a period of 18 months from the closing of the private placement. The common shares and warrants comprising the units are subject to a four month hold period from the closing date, which hold period expires on October 15, 2011.

Nyrstar to spend $639m on Breakwater

Nyrstar (NYR.BR: Quote), the world's biggest zinc producer, is to buy Canada's Breakwater (BWR.TO:Quote) for C$619 million ($639 million) as it carries out its strategy to buy more mines and increase its self-sufficiency. Belgium-based Nyrstar said on Wednesday it will pay C$7.00 per share in cash, and Breakwater shareholders will also get a special dividend of C$0.50 in cash.

Gold, silver, base metals. All feature in new Yukon drilling results

Get set for a pace of drilling and exploration results from the Yukon even more blistering this year than the last. By way of yardstick, 2010 was stellar for exploration in the Yukon, with about $150 million in such expenditures. But this year is looking even better, with exploration expenditures expected to top $250 million, according to Natural Resources Canada, which some months ago surveyed the 2011 spending intentions of mining and exploration companies. And with the shorter Yukon exploration season, many drilling campaigns in the Yukon are just getting underway.

China's asset managers rushing to launch resource investment funds

Chinese asset managers are rushing to launch funds that invest in natural resources and precious metals overseas, responding to feverish domestic demand for inflation-hedging tools.

Glencore shares dip on results, bid denial

Commodities trader Glencore (GLEN.L: Quote) is not considering a bid for embattled miner ENRC, its chief executive said, dismissing reports of a takeover after it disappointed the market with its maiden frst-quarter results. Shares in the world's largest diversified commodity trader dropped 2 percent as weaker-than-expected results from its metals and mining trading unit held back its operating profit.

ATAC Resources Ltd. drills significant new silver-lead-zinc discovery at its Ocelot target, Rackla Gold Project, Yukon

ATAC Resources Ltd. (TSX VENTURE:ATC) is pleased to announce it has made a significant silver-lead-zinc discovery at the Ocelot target beneath a known but previously undrilled surface gossan. The target is located within the Rau Trend in the western portion of ATAC's 100% owned Rackla Gold Project in the Keno Hill Mining District, Canada's second largest primary silver producer. Image by ATAC Resources Ltd.

Goldman, Clive Capital to launch commodities index-FT

Goldman Sachs is to launch a commodities index with Clive Capital, the world's largest commodity hedge fund, the Financial Times reported on Monday citing a source familiar with the product.

Planned Exxaro strike off but union will show ‘no mercy'

A strike of about 7,000 workers over jobs cuts at miner Exxaro due to start on Monday has been postponed, South Africa's National Union of Mineworkers said in a statement on Sunday. Exxaro, which mines […]

Guyana Frontier Reports Drilling Results from Favourable Lake Project

Guyana Frontier Mining Corp. ("Guyana Frontier", formerly known as Shoreham Resources Ltd.) is pleased to announce the results of a diamond drilling program on the Borland Lake target area at the Favourable Lake Project in Ontario, Canada. The Favourable Lake Project, located approximately 200 kilometres north of Red Lake, Ontario, is a joint venture between Guyana Frontier, which holds a 70.3% interest, and Gold Canyon Resources Inc., which holds a 29.7% interest.

S&P raises gold and base metals price assumptions for 2011

Standard & Poor's has raised its metals price assumptions for 2011 and beyond, citing the increased volatility of the markets but worries about sharp risk of fall in investor demand for gold.

Commodity prices should snap higher in H2, dollar unlikely to recover until 2012 – Morgan Stanley

Ron Leven of Morgan Stanley has recently delivered a presentation under the auspice of ETF Securities Ltd. in which he outlined his expectations for the major currencies.

Today in Commodities: USDA big news today

No curve balls from the USDA but as for food prices look for prices to stay elevated. Crude will settle approximately 1% higher in today’s session trading briefly over $102/barrel in the July contract. We […]

Commodity prices should snap higher in H2, dollar unlikely to recover until 2012 – Morgan Stanley

Ron Leven of Morgan Stanley has recently delivered a presentation under the auspice of ETF Securities Ltd. in which he outlined his expectations for the major currencies. He argues that it was perhaps inevitable that […]

Selwyn completes $12,784,500 special warrant offering

Selwyn Resources today announced that it has closed the third tranche of its Special Warrant offering through Paradigm Capital Inc. as lead agent on behalf of a syndicate including Canaccord Genuity Corp., raising an additional CAD$990,000 from the sale of 3,960,000 Special Warrants. With the closing of the third tranche Selwyn raised a total of CAD$12,784,500, and had earlier completed the acquisition of ScoZinc Limited.

Chieftain commences barging for summer construction schedule

Chieftain Metals has initiated an important step in its 2011 operations plan by transporting heavy machinery and equipment via barge to the Tulsequah Chief mine site in north-western British Columbia.

Selwyn eyes thick, high grade zinc-lead in uncharted territory

Drilling results suggest to Selwyn Resources (TSX-V: SWN) that two key, high grade zones of zinc-lead mineralization may be connected at its namesake project in the Yukon, a joint-venture between it and Yunnan Chihong Zinc and Germanium. Two drillholes collared at the Don deposit hit thick intercepts rich in zinc-lead mineralization. Hole 180 cut 30 metres @ 9.27 percent zinc and 3.48 percent lead, while nearby hole 192 returned as much as 43 metres @ 8.94 percent Zn and 3.16 percent Pb. The drillholes respectively started 642 and 586 metres downhole.

Profit margins at world’s top 40 mining companies fall

Profit margins for the world's top 40 mining companies are below the historical peaks of 2006 and 2007 as higher costs outweigh record commodity prices, PricewaterhouseCoopers said on Tuesday. Revenues for the world's 40 largest […]

China's increased dominance of global commodities market carries risk-S&P

Standard & Poor's expressed concerns Wednesday that record commodity prices could represent an "unsustained bubble, subject to a sudden correction."