Bidco issues a £3 billion cash takeover offer to Kaz Minerals
Bidco has issued a cash offer of 3 billion pounds, or 640 pence per share, to Kaz Minerals, a copper producer with Kazakhstan as its core business. Bidco is a Dutch private limited liability company indirectly owned by a consortium consisting of KAZ Minerals' current chairman Oleg Novachuk and non-executive director Vladimir Kim. Taking into account the uncertainty of the market and the corporate environment for continuous development projects, both executives believe that becoming a private company is most beneficial to the long-term interests of KAZ Minerals.
Lupaka Gold initiates US$100 million arbitration against Peru
Lupaka Gold has submitted an arbitration request to the International Investment Dispute Settlement Center of the World Bank. The company believes that the Peruvian government has lacked support in the social conflicts over the past two years, which caused the suspension of all projects at the Invicta mine. The Canadian miner is demanding more than US$100 million in compensation, which will be further quantified during the arbitration process.
Mali government will review mining contracts
Mali’s interim president Bah N’daw said on Friday night that after listening to the country’s auditor general’s advice, the Malian transitional government aimed to review the mining convention signed by the former government and mining companies. After submitting a report to the interim president, Samba Alhamdou Baby, the Auditor General of Mali, stated that the provisions contained in the convention establishing mining companies do not always guarantee the national interest, especially the non-distribution of dividends, non-payment of certain taxes, and the existence of non-compliance. Reasonable loans all deprive the country of financial resources. He added that reviewing these conventions would better protect national interests while respecting the incentives for mining companies.
Newmont's third quarter performance sets record
Benefiting from rising gold prices, Newmont Mining Company reported a record third quarter profit and cash flow. The company announced that it produced 1.5 million ounces of gold and 273,000 ounces of gold equivalent by-products in the third quarter. Revenue increased by 17% from the same period last year to 3.2 billion US dollars. In the third quarter, Newmont achieved a record adjusted profit before interest, tax, depreciation and amortization of US$1.7 billion and free cash flow of US$1.3 billion, which was the best quarterly performance in Newmont’s history. Newmont announced that the expected value of gold production this year will remain unchanged at approximately 6 million ounces.
Chile's National Copper Corporation's profits increase by 86% in the first three quarters
The world’s largest copper producer, Chile’s national copper company Codelco, reported on Friday that copper production in the first three quarters of this year increased by 4% year-on-year to 1.165 million tons. Cash costs fell 11.3% during the same period to $1.269 per pound. With the increase in production, the company's profits increased by 86% in the first nine months of this year, totaling $1.124 billion.
Glencore downgrades coal production guidance again
Glencore lowered its coal production guidance for the third time this year because of the company's long-term strike at an important coal mine in Colombia. Glencore said in a statement last Friday that it expects coal production this year to be approximately 109 million tons, compared with the previous target of 114 million tons. In the first nine months of 2020, Glencore's coal production fell by 20% year-on-year, mainly due to the production interruption related to the epidemic, the strike at the Cerrejon mine and the decrease in the output of Australia's portfolio during the weak market.
Anglo American's copper production in the third quarter increased by 4% year-on-year
Anglo American’s latest report shows that the company’s copper output in the third quarter totaled approximately 165,700 tons, an increase of 4% year-on-year, mainly due to the strong performance of the Collahuasi mine. Affected by the epidemic, Anglo American Resources has lowered its annual copper production target to 630,000 to 660,000 tons, compared with the previous production target of 620,000 to 670,000 tons.
Rio Tinto invests US$51 million in Canadian alumina refinery
Rio Tinto is investing US$51 million to upgrade the facilities of its Vaudreuil alumina refinery in Quebec, Canada. The project is expected to be completed in early 2021 and aims to improve employee safety and optimize factory operations. Two years ago, Rio Tinto pledged to invest 250 million Canadian dollars to extend its operating period to 2022. The plan includes the construction of a filter plant on site to manage bauxite waste.
Orsu plans to acquire more assets in Russia
Orsu Metals Corp has signed a non-binding letter of intent to acquire a core asset portfolio including the Alexandrovskoye open-pit gold mining project and GOK. GOK assets are located on the west side of the company's Sergeevoskoe project. According to the letter of intent, Orsu has the right to conduct due diligence and reach an agreement on the execution structure and terms of the final agreement before February 28, 2021.
Jupiter Mines will spin off Australia's Yilgarn iron ore assets
The board of directors of the Australian company Jupiter Mines has approved the spin-off of the company’s Yilgarn iron ore assets in Australia into a separate company. The split is expected to create a new ASX listed company. The new company will be committed to promoting the development of the Mount Mason DSO high-grade hematite mineralization project. Jupiter will realize the split by distributing shares of the new company to shareholders. After the spin-off is completed, Jupiter will become a "pure manganese company" whose goal is to maintain a strong balance sheet and high dividend payout ratio.
