3% #Nickel, about 2% #Copper and a little bit less than 1% of #Cobalt: #VoiseysBay 'exquisite,

"Most people don't find something as exquisite as this in their lifetime" 

Mineral deposits at Voisey's Bay 'exquisite,' says geology professor

Terry Roberts · CBC News · Posted: Jun 19, 2018 6:00 AM NT | Last Updated: June 19

5-6 minutes

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Questions about the fate of mining operations at Voisey's Bay over the past year have been replaced by unbridled hope and enthusiasm.

A green light for a multibillion-dollar underground expansion, a lifespan extended by many years, a workforce that will nearly double, and an operation poised to capitalize on what many expect will be an explosion in the demand for electric vehicles in the coming years.

Every nickel explorer's dream

You only need to pick up a metallurgical core sample from Voisey's Bay to understand what all the hype is about, and you don't need to be a geologist to know you're holding something unique.

Many times heavier than a similar-sized rock, these samples were drilled to test the ore body, and the first people to cast their eyes on them were likely very impressed.

Red areas indicate the location of confirmed mineral deposits at Voisey's Bay in Labrador. Underground mining operations are being established at Reid Brook and Eastern Deeps. The famous 'Ovoid' surface mine is expected to be exhausted in four or five years. (Wheaton Precious Metals)

"They probably went out and bought a lot of shares," Wilton joked.

The sample is rich in pentlandite and chalcopyrite. In more simple terms, it's every nickel explorer's dream, and a jaw-dropper if you're looking for copper and cobalt.

"Most people don't find something as exquisite as this in their lifetime," Wilton added.

• Al Chislett, co-discoverer of Voisey's Bay, dies at 69

Voisey's Bay was discovered by prospectors Al Chislett and Chris Verbiski in 1993. They were exploring for a company called Diamond Field Resources. 

Three years later, the discovery was sold to Inco, a Canadian mining company, for $4.3 billion. 

The mine opened in 2005, and a year later Inco was swallowed up in a massive $18.2-billion takeover by Vale, a Brazilian company.

A core sample from Voisey's Bay that was drilled to test the ore body of the Labrador discovery is described by Memorial University earth sciences professor Derek Wilton as 'exquisite.' (Terry Roberts/CBC)

Since mining began, some $15 billion in minerals has been hauled out of the famous Ovoid in northern Labrador, at very low cost.

"Usually in the Canadian context with mining operations it takes 10 years, maybe a little bit more, to pay back the amount of money that you put in there to start the mining operation," said Wilton.

"So apparently they paid this back within two or three years, which is just phenomenal. [That will] give you an idea how rich the ore was."

Going underground

But the surface mine will be exhausted in about four years.

So Vale is going underground, where ore bodies about the same size as the Ovoid have been found. And there's significant upside on the exploration front, with the potential for more expansion in the future.

#Cobalt27 Acquires US$300MM #Cobalt Stream on #Vale’s #VoiseysBay $KBLT

Cobalt 27 and $WPM will provide Vale an aggregate of US$690 million in upfront proceeds for a combined purchase of finished cobalt equal to 75% of Voisey's Bay cobalt production commencing January 1, 2021.

Cobalt 27 ($KBLT) Acquires US$300MM Cobalt Stream on Vale’s Voisey’s Bay Mine Expansion and Announces C$300MM Bought Deal Offering of Common Shares To Fund Stream Acquisition

• Vale will deliver to Cobalt 27, an amount of finished cobalt equal
  to 32.6% of the cobalt production from Voisey’s Bay commencing January
  1, 2021.

• Once an aggregate of approximately 10.8kt (23.8mmlb) of cobalt has
  been delivered to Cobalt 27, which would occur once Voisey's Bay cobalt
  production after January 1, 2021 reaches approximately 33.1kt
  (73.0mmlb), the proportion of cobalt production delivered to Cobalt 27
  will reduce to 16.3%. 

• Cobalt 27 will pay Vale cash consideration of US$300 million upon closing.

• Cobalt 27 will make ongoing payments (the "Ongoing Payments") equal
  to 18% of the Cobalt Reference Price for each pound of cobalt delivered
  under the Cobalt Stream, until Cobalt 27 has recovered the full value
  of the Advance Amount through Vale's deliveries of finished cobalt under
  the Cobalt Stream. After this time, the Ongoing Payments will increase
  to 22% of the Cobalt Reference Price.

See the whole press release here: Cobalt27 Capital Corp. - News Releases

Global #gold-backed #ETF holdings added 15 tonnes(t) to 2,484t in May, up 116t in 2018 led by Europe & Asia

From World @GoldCouncil:

Global gold-backed ETF holdings added 15 tonnes(t) to 2,484t in May. Europe and Asia drove inflows as European funds have responded strongly in the past two months. North American fund flows reversed their early 2018 trend as they lost 2.3% of assets, likely a result of the volatile prices in the gold market which left gold lower by 60bps (in dollar terms) on the month. 

Volatility and weakness in the gold market were largely driven by a stronger dollar (DXY +2.3% on the month). However, USD-hedged gold was higher by 1.4% on the month. This highlights our view that having some allocation to USD-hedged gold helps risk-adjusted returns by lowering price volatility in periods when currency prices fluctuate.

North American funds lost 30t (US$1.2bn, 2.3% of AUM)
European funds saw solid net inflows in May, growing by 26t (US$1.2bn, 2.8%)
Total fund holdings in Asia rose by 21t (US$862mn) growing assets by 20%
Funds in other regions lost 2t or 6% of assets

Global gold-back ETF holdings up 116t in 2018

European inflows have caught North American inflows on the year, while Asian funds have grown 20%, led by Bosera Gold ETF which has grown 114%

See all the data online here: https://www.gold.org/data/gold-etf-holdings

#Copper: @Codelco retains CEO Pizarro to lead ambitious, 10-year overhaul of sprawling, but aging mines of world's top #copper producer @Reuters

https://www.reuters.com/article/us-chile-codelco-ceo/codelco-retains-ceo-nelson-pizarro-at-helm-of-worlds-top-copper-producer-idUSKCN1IW33N

Codelco retains CEO Nelson Pizarro at helm of world's top copper producer

SANTIAGO (Reuters) - Chile's Codelco, the world's top copper producer, said on Thursday its board of directors asked Chief Executive Nelson Pizarro to stay at the helm and move forward with an ambitious, 10-year overhaul of its sprawling but aging mines.

Nelson Pizarro, Chief Executive Officer of Chile's state copper giant Codelco, attends a news conference in Santiago, Chile March 29, 2018. REUTERS/Ivan Alvarado

The board made the decision to retain Pizarro in its first meeting since Chile's conservative president, Sebastian Pinera, appointed Juan Benavides, a businessman and former CEO of retailer Falabella, as Codelco's chair.

"The board expressed its confidence in current CEO Nelson Pizarro, and appreciates his willingness to lead the process of transformation the company is facing," the state-owned miner said in a statement.

Pizarro, an industry veteran and ex-mining engineer, was first appointed under center-left President Michelle Bachelet in 2014. He helped spearhead a belt-tightening program at Codelco that allowed it to maintain productivity despite a 9 percent drop in ore grades since 2013.

The company last year delivered $3 billion in profits to Chile's coffers, accounting for 16 percent of the South American nation's exports and more than one-third of its copper production.

Reporting by Dave Sherwood; Editing by Peter Cooney

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