Suppliers News (October 02, 2006)

CVRD shipping more iron to China

Rio de Janeiro-based mining powerhouse Companhia Vale do Rio Doce (CVRD) (RIO-N) has two new contracts in place to supply iron ore to Chinese steelmakers.

In one deal, CVRD extended its long-term contract with Beitai Iron & Steel. CVRD will ship 4.2 million tonnes of iron ore per year to Bentai until 2031. It’s the longest contract CVRD has with a Chinese customer. The volume can increase to 7.2 million tonnes after 2009.

In another agreement, Maanshan Iron & Steel will receive from CVRD shipments of 7.3 million tonnes of iron ore per year from 2007 until 2013. Shipments could go as high as 8.3 million tonnes per year after 2009. It’s the second-largest contract CVRD has ever had with a company in China.

The deals were signed during a visit to China by CVRD chief executive, Roger Agnelli.

In addition to these contracts, the company signed an agreement with Shougang Iron & Steel Group to find ways to further build a business relationship.

Anatolia hires SNC-Lavalin

Anatolia Minerals Development (ANO-T, ALIAF-O) has hired the engineering and consulting arm of Montreal-based SNC-Lavalin Group (SNC-T, SNCAF-O) to design and build the company’s pler gold project.

Richard Moores, Anatolia’s president, says the company is aiming to pour gold in the latter half of 2008.

A feasibility study at pler envisages an open-pit operation with proven and probable cyanide-leachable (oxide) reserves of 38.7 million tonnes containing roughly 2 million oz. gold and 5.8 million oz. silver, using a gold price of US$390 per oz. and a silver price of US$5.91 per oz., respectively. Anatolia expects to recover 1.4 million oz. gold and 1.9 million oz. silver over nine years.

The study adds another 44,000 oz. gold and 124,000 oz. silver during reclamation activities.

SNC-Lavalin has offices across Canada and in 30 other countries.

IUC signs up US contract miners

Private firm Reliance Resources will perform contract mining at Vancouver-based International Uranium’s (IUC-T, IUCPF-O) Pandora uranium mine, near LaSal, Utah.

Moab, Utah-based Reliance has operated in the area for several years.

Pandora last operated in the late 1980s.

Mining has resumed and ore shipments to the company’s 2,000-ton-per-day White Mesa mill in Blanding, Utah, should begin during the next few weeks.

IUC also hired Tomcat Mining to develop drifts at the Topaz mine, part of the Sunday mine complex, in eastern Colorado’s Big Gypsum Valley.

Development at Topaz consists of 1,300 ft. of access drift leading to several areas of undeveloped ore.

As part of the deal, Tomcat will begin mining at the past-producing West Sunday and St. Jude mines in Colorado, which were last mined in 1999 by IUC. Tomcat Mining is based in Naturita, Colo.

IUC is negotiating with a third contract miner for mining and development at other mines in Colorado.

IUC’s production from American operations during the first year is expected to be about 3.2 million lbs. uranium and 4.7 million lbs. vanadium.

IUC holds uranium deposits in Mongolia and uranium and vanadium deposits in the U.S., as well as uranium exploration properties in the Athabasca basin of northern Alberta and Saskatchewan.

PEOPLE

Aquarian Gold Andrew Bell appointed chairman.

Freegold Ventures — Morris Medd appointed director.

Global Gold — Michael Mason appointed COO but resigned as director.

Gold Canyon Res. — Vincent Della Volpe appointed director.

Industrial Mnrls — Cam Birge appointed president and director; and Robert Dinning appointed CFO and director; Larry Van Tol resigned as president and director.

Rockgate Capital — Lorne Warner appointed director and VP of exploration.

Latin American Mnrls — Waldo A. Perez appointed as senior VP of exploration and director.

Medallion Res. — William Bird, Donald Lay, David Haber and Roderick McKeen appointed directors.

Yukon Gold — Jose Guerra, Jr. appointed chairman; Warren Holmes resigned as chairman; director Howard Barth appointed president and CEO; Ken Hill appointed VP of mining operations after he resigned as president and CEO.

Yukon Res. — J. A. Kirk McKinnon appointed president, CEO and director; Richard Schler appointed VP, CFO and director; William Nielsen appointed director; Thornton Donaldson and Jeff Murdock resigned as directors.

Yukon Zinc — Lionel Labelle appointed manager of procurement and contracts.