Welcome back to your weekly mining news recap, where we catch you up on some of the news you may have missed. This week’s headlines include the Totten mine resuming operations, flexible supply chain management and a new mining method delivering results for Hecla Mining.

Russia’s invasion of Ukraine has sent shockwaves across the globe and throughout the mining industry. Russia-focused miners, including Canada’s Kinross Gold, have seen their share prices fall as a result of harsh sanctions imposed by the West, reports Mining.com. The value of specific commodities – including aluminum, palladium, potash and gold – have risen due to expected supply restrictions caused by the conflict.   

To improve supply chain efficiency while reducing carbon emissions, mining companies are prioritizing energy-efficient over-water shipping methods. Teck Resources recently entered an agreement with Oldendorff Carriers to use energy-efficient bulk carriers for shipments from its coal operations and Vale has invested in greener technologies for its carriers and cleaner marine fuels. For the industry to achieve its sustainability goals, it needs to consider all the links in its supply chains. 

After five months of downtime following the damage to the mine shaft at Vale’s Totten operation that required the rescue of 39 miners from underground, the mine has restarted production with new safety measures, as reported by CTV News. According to Gord Gilpin, head of Vale’s Ontario Operations, all the employees have returned to work at the mine and are being monitored to “make sure that everyone is in a good state.”

Cambrian R&D, a research arm of Cambrian College in Sudbury, announced that it had secured $1 million in funding toward the development of a battery electric vehicle (BEV) laboratory, as reported by Sudbury Mining Solutions. The investment was on behalf of the Canada Foundation for Innovation, a federal initiative investing $45 million into 150 projects. The 5,600-square-foot lab will be used to development technology for BEVs in cooperation with industry partners.

A new mining method deployed at Hecla Mining’s Lucky Friday mine in Idaho will allow the company to increase its projected silver production in 2022 by almost one million ounces, as reported by Mining Weekly. The Underhand Closed Bench method uses “bench drilling and blasting to fragment significant vertical and lateral extents of the vein beneath a top cut taken along the strike of the vein and under engineered backfill” and is accomplished without the use of drop raises or lower mucking drives. According to Hecla, the new method contributed to a 75-per cent increase in silver production in 2021.

Supply chain congestion has been affecting all industries, with mining being no exception. As a contract mining and engineering company, Redpath Mining is required to adapt to ever changing situations and geographies. Blair Lemcke, Redpath’s supply chain manager, explains how the current supply chain issues are affecting operations and how companies can stay one step ahead of potential disruptions.

As part of its fourth-quarter earnings report, Agnico Eagle announced the departure of its CEO, Tony Makuch, who had been formally installed in the position on Feb. 8 following the completion of the merger with Kirkland Lake Gold, as reported by Financial Post. Makuch was previously the CEO of Kirkland Lake. The reasons for leaving the company have not been stated, and his role as CEO has now been filled by Agnico’s president, Ammar Al-Joundi, who was considered a candidate for the position before the merger.

British Columbia-based Trilogy Metals has reported that the United States Department of the Interior filed a motion to remand the environmental impact statement and suspend the right-of-way permits issued for the Ambler Access project in Alaska. The project would have provided access to Trilogy’s exploration projects in the Ambler Mining District, known for its copper deposits. According to president and CEO Tony Giardini, the motion is “another step in the consultation process leading to the ultimate development of the [Ambler Access project].”

Caterpillar will be exiting the underground coal and soft-rock mining industry and will instead focus on its core surface-mining and underground hard-rock mining products, reports International Mining. The company’s longwall business will be divested to Germany’s Hauhinco Maschinenfabrik GmbH & Co KG, which has worked  with Caterpillar in the past. According to Caterpillar, the deal is expected to be completed in Q3 2022.

More fourth-quarter reports from some of mining’s biggest companies have been released. Here are some of the highlights:

Eldorado Gold reported gold production of 122,582 ounces in the fourth quarter at an all-in sustaining cost (AISC) of US$1,077 per ounce. The company reported a net loss of US$43.1 million due to the weakening of the Turkish lira, impairment losses, and other factors.

Newmont recorded a net loss of US$61 million in the fourth quarter, an $867 million decrease from the prior year, due to higher reclamation and remediation expenses related to non-operating Yanacocha sites. The company produced 1.63 million ounces of gold at an AISC of US$1,043 per ounce.

Agnico Eagle produced 501,227 ounces of gold in Q4 at an AISC of US$1,126 and reported its net income for the quarter at US$101.1 million. The company also recently completed its merger with Kirkland Lake Gold.

Hudbay Minerals produced 28,198 tonnes of copper, slightly above its Q4 2020 production, at an AISC of US$2.20 per pound. The company also reported a loss of US$10.45 million due to impairment charges related to an updated closure plan at Flin Flon.

Iamgold recorded a net loss of US$194.1 million in the fourth quarter, partially due to an updated life-of-mine plan and mineral reserve and resource estimates for the Rosebel mine. Iamgold produced 153,000 ounces of gold in the quarter at an AISC of US$1,537 per ounce.

Taseko reported a fourth quarter net income of $11.76 million. Its Gibraltar mine produced 28.8 million pounds of copper and 450,000 pounds of molybdenum from 7.7 million tons milled at $9.94 per ton.

Rio Tinto released its full year 2021 results, reporting record net earnings of US$21.4 billion, 116 per cent higher than the year previous. The company’s fourth-quarter production results released in January showed 84.1 million tonnes of iron ore and 321.6 million tonnes for the full year, as well as 757,000  tonnes of aluminum in the quarter and 3.15 million tonnes for the year.

That’s all for this week. We’ll be at SME in Salt Lake City next week, so say hi if you’re there too! If you’ve got feedback, you can always reach us at editor@cim.org. If you’ve got something to add, why not join the conversation on our Facebook, Twitter, LinkedIn or Instagram pages?