Cornerstone Capital Resources Inc. today announced that a Letter Agreement has been signed with Mountain Lake Resources Inc. ("Mountain Lake") to conclude a joint venture agreement for exploration of Cornerstone's 100% owned Bobby's Pond property in Central Newfoundland. The property partially surrounds Mountain Lake's 2.4 sq km Bobby's Pond Mining Lease where ongoing drilling is defining a significant polymetallic massive sulphide deposit.

Mountain Lake recently reported (www.mountain-lake.com) the results of a January 2007 resource estimate update that increased NI43-101 compliant resources in the Bobby's Pond deposit to an Indicated resource of 860,000 tonnes grading 0.93% Cu, 6.30% Zn, 0.53% Pb, 20.0 g/t Ag, and 0.24 g/t Au, and an Inferred resource of 480,000 tonnes grading 1.07% Cu, 6.36% Zn, 0.38% Pb, 15.0 g/t Ag, and 0.18 g/t Au. Mountain Lake also recently reported intersecting significant new mineralization up to 65 m vertically below known mineralization, demonstrating that the deposit remains open for extension.

Cornerstone's Bobby's Pond property comprises 62 claims (15.5 sq km) and hosts VMS-style alteration, disseminated and stringer base metal sulphide mineral occurrences, and airborne electromagnetic anomalies along the interpreted extension of the mineralized horizon which hosts the Bobby's Pond deposit, approximately 4 km and 2 km to the northeast and southwest respectively of the deposit. A map of the property is available at www.cornerstoneresources.com.

The joint venture agreement will grant Mountain Lake the right to earn a 51% interest in the property by spending $2.75 million on exploration over five years. The first year's $150,000 expenditure is a firm commitment and includes completion of a diamond drilling program. The agreement also calls for Mountain Lake to issue 200,000 common shares to Cornerstone over five years, including 25,000 to be issued on signing of the Letter agreement. With an active exploration program already underway on its Bobby's Pond Mining Lease, Mountain Lake will be operator of the joint venture during the earn-in period.

On Mountain Lake earning a 51% interest, a Joint Venture will be formed whereby both parties will have the right to maintain their respective interests by funding their respective share of exploration costs. Under certain conditions Mountain Lake may increase its interest by up to 75%. Either party may dilute its interest, based on exploration expenditures. If either party's interest falls to 10% or less, its interest will convert to a 2% NSR.

Bobby's Pond is one of a number of active projects in the Buchans area of Central Newfoundland known for its base and precious metal-rich VMS deposits, most notably the renowned and historic Buchans deposits themselves. The Bobby's Pond project is 25 km to the west of Aur Resources' Duck Pond deposit, which is commencing commercial production, and 50 km northeast of Messina Minerals' Tulks South property, the site of their 2004 Boomerang and subsequent discoveries.

Cornerstone's business model is based on maximizing the potential for exploration success with multiple high quality exploration projects that are financed primarily through joint venture partnerships and that have the potential to yield outstanding returns to the company and its shareholders. Current joint venture projects target nickel, gold, silver, uranium and VMS base-metal deposits with partners Cash Minerals, Phelps Dodge, Coastport, Cogitore, Kermode, Celtic, and Agnico Eagle.

This press release was prepared by Bruce Mitton, PGeo, Exploration Manager Canada for Cornerstone and a Qualified Person as per National Instrument 43-101.

On Behalf of the Board,

Glen H. McKay, President & CEO

The TSX Venture Exchange does not accept responsibility for the adequacy or accuracy of this release.


Contact:

Glen H. McKay
Cornerstone Capital Resources Inc.
President & CEO
(709) 745-8377 or Toll Free: 1-877-277-8377
Email: communications@crigold.com
Website: www.cornerstoneresources.com

Source: Cornerstone Capital Resources Inc.

The consultations include discussions around a life cycle analysis report that appears to recommend kerbside collection schemes or civic amenity sites for collecting batteries.

The Battery Directive was adopted by Europe last September, and will see battery manufacturers and importers funding collections and recycling for spent batteries (see letsrecycle.com story).

New requirements under the Directive include collection targets of 25% of all spent portable batteries by September 26, 2012 and 45% by September 2016.

The UK is currently collecting as little as 0.5% of household batteries for recycling.

"Brainstorm"
Minister Ben Bradshaw revealed last week that initial meetings with industry have been taking place since the New Year with the DTI and Defra, including a workshop on February 12 "to brainstorm initial ideas about the Directive".

Mr Bradshaw said: "This is a producer responsibility directive and we are discussing the implementation with the businesses likely to be affected."

As well as the collection costs, the Battery Directive sets "efficiency" targets to ensure high proportions of collected batteries are reprocessed into usable materials. These include recycling 65% of lead-acid batteries, 75% of nickel-cadmium batteries and 50% of other batteries collected by September 26, 2010, all targets calculated by weight.

Life Cycle
As well as noting the work being carried out by WRAP – the Waste and Resources Action Programme – to trial different collection options, the minister revealed that government officials are discussing a life cycle analysis report on batteries assembled by consultants ERM.

Mr Bradshaw said: "Both WRAP’s findings and ERM’s Battery Waste Management Life Cycle Assessment report will be discussed with producers and used to assist policy development in this area."

Scenarios
The ERM report looks at three collection scenarios for battery recycling – one using kerbside schemes, one using civic amenity sites and a final scenario where bring banks are set up in public places, schools and offices.

The report also looked at three scenarios for the reprocessing of alkaline and saline batteries – using UK facilities, sending batteries to Europe to be reprocessed and a mixture of the two options.

Although "no clear overall high performer" was identified among the scenarios, the report noted that collections using bring banks in various public places "perform relatively less well" compared to kerbside schemes and civic amenity sites.

This was mainly because of the transport network needed to service new public bring banks.

The research suggested that recycling batteries can generate between 198kg and 248kg of carbon-equivalent emissions savings for every tonne of batteries recycled, compared to current arrangements, assuming a 35% recycling rate.

source news : letsrecycle.com

Pacific North West Capital Corp., is pleased to announce that PFN and Stillwater Mining Company ('Stillwater') have entered into a non-binding Letter Agreement pertaining to ongoing exploration of the Goodnews Bay Platinum Project ("GBPP"), Alaska. The Letter Agreement also provides for Stillwater to fund reconnaissance on other Alaskan PFN exploration projects with the provision for Stillwater to enter into option/joint venture agreements on the Goodnews Bay Project and 1 or more of the reconnaissance projects.

The GBPP agreement is subject to approval by Calista Corporation. Calista Corporation is the second largest land owner of 13 regional Alaskan Native corporations formed in 1971 under the Alaska Native Claims Settlement Act (ANCSA). Calista Corporation's land entitlements exceed 6.5 million acres in Southwest Alaska and contain several significant mineral occurrences, including Goodnews Bay (platinum) and Donlin Creek gold project (16.6 million ounces Measured plus Indicated and 17.1 million ounces Inferred). For more information on Calista visit their website www.calistacorp.com.

Under the terms of the Letter Agreement, Stillwater will spend $4 million to earn 50% of GBPP by December 31, 2010. Stillwater may elect to increase its interest to 60% by incurring an additional $8 million in exploration expenditures within an additional two year period or upon completion of a Feasibility Study, whichever occurs first. Stillwater may increase its interest to 65% by arranging for 100% of the project financing required to place the Property into Commercial Production within an additional three years.

PFN will be the Project Manager during the option period, as defined in the Option Agreement, and will receive a management fee.

Reconnaissance Properties Option

Under the reconnaissance portion of the Letter Agreement, Stillwater will expend $500,000 in 2007 which will allow it to inspect several of PFN's proposed projects and after the field season Stillwater may elect to continue participation in 1 or more projects by committing to fund the following year's approved program for each elected project.

Stillwater Strategic Investment

On November 17, 2006, Stillwater acquired approximately 11% interest in PFN by completing a $2 million private placement. On December 12, 2006, PFN announced a $0.47 private placement for $1 million in which Stillwater maintained their position by a proportionate investment in the placement.

The Goodnews Bay Project

On April 12, 2006, PFN announced that it has acquired a 100% working interest in a long-term exploration and mining lease on the Goodnews Bay ultramafic platinum complex located on the southwest coast of Alaska (Figure 1), approximately 550 air miles south-southwest of Anchorage. The Goodnews Bay Project is located near year round ice free tidewater and is road accessible from the village of Platinum, which has a public airstrip.

complete this report click here

IBS, the leading provider of IT and consulting services in the Russian market, announces striking an Enterprise Agreement (EA) Program contract on corporate licensing of Microsoft software with Russia's leading mining and metallurgical company.

The supplier of the software for Mechel was chosen through a contest. IBS was favored because of its extensive expertise in rendering services of corporate licensing to companies with a sophisticated legal structure. Besides, IBS holds the ultimate partner status – Microsoft Gold Certified Partner – and is a member of the Microsoft Services Partner Advantage program in the Advantage Plus nomination. Integration of technology and industry specific expertise enabled IBS to offer an optimal licensing solution to Mechel.

This licensing agreement covers server software, operating systems, and office applications. The package to be supplied includes the following Microsoft products: Microsoft Windows XP Professional Upgrade, Microsoft Office Professional, Microsoft Core CAL (a set of client licenses to access Microsoft Windows Server, Exchange Server, SharePoint Portal Server and SMS Server).

By purchasing software through the EA Program, customers may use the latest Microsoft product updates at all desktop PCs (newly acquired inclusive) of the customer's organization throughout the entire term of the Agreement. The main advantage of the offered solution for the customer is flexible management of its entire array of licenses, which considerably reduces risks of breaching licensing agreements with Microsoft, and cuts technological risks, as well. License fees are paid on an annual basis, which optimizes IT infrastructure maintenance costs, and enables the enterprise to plan its expenses on purchasing software products, to avoid large one-off investments as well as to stop spending funds on buying new versions of the products.

The large-scale projects completed by IBS include licensing Microsoft products at MDM Bank, Federal Service for Intellectual Property, Patents and Trademarks (Rospatent), FGUP RosMorPort (Federal State Unitary Enterprise), Norilsk Nickel Group, Directstar et al.

Mechel is one of Russia's leading companis in mining and metallurgical industries. Mechel comprises producers of coal, iron ore, nickel, steel, rolled products, and high-level processing hardware located in Russia, Romania and Lithuania. Mechel incorporates two commercial ports, a transport company and an energy producing company. Mechel's products are marketed in Russia and abroad.

source news : russianewswire.com

The pygmies of Gabon's lush northeast equatorial forests may soon be learning Chinese.

Buried deep in thick jungle in the least populated corner of the oil-producing central African state is one of the world's biggest untapped reserves of iron ore, waiting to be developed.

But the country selected by Gabon to help exploit the huge Belinga iron ore deposit is not former colonial ruler France, or any other resource-gobbling Western industrial power.

The chosen partner is China, the newest and hungriest raw materials raider on the African continent.

The Belinga deal in Gabon is only the latest of a string of multi-billion-dollar energy and commodities contracts secured by the Asian economic giant to feed its ravenous economy. China is the world's top steel producer and biggest importer of iron ore.

After years of stagnation and neglect, people in and around the isolated Gabonese village of Belinga, surrounded by virgin forest, are agog with expectation about the arrival of the Chinese and how this can improve their lives.

Although the consortium chosen to develop the mine, led by state-owned China National Machinery & Equipment Import & Export Corp., is only just starting its work on the ground, locals are expecting a windfall in jobs and other economic benefits.

"All of the people's hopes are riding on the exploitation of the Belinga iron ore deposit ... the people are waiting for the work to get going," said Andre Nkoghe Ella, mayor of Makokou, the regional capital, around 110 km (68 miles) from Belinga.

The Chinese group plans to begin work this year and complete the project in three years. The Belinga deposit is reported to have proven iron ore reserves of more than 500 million tonnes.

The $3 billion total investment - about the level of Gabon's annual budget - foresees construction of a 560 km (350 mile) railway to carry the ore to Cape Santa Clara on the Atlantic coast, a bulk commodities and container port there and two hydroelectric power stations.

At the moment, the journey from Makokou to Belinga is either a muddy drive through hills on a dirt road or a more leisurely motor canoe trip up the Ivindo river, between banks choked with tropical foliage and teeming with game.

Local inhabitants, including pygmies living in neighbouring forests, eke out a meagre living by hunting, fishing or cultivating crops.

"There's everything to be done in this almost forgotten area - roads, electricity and even running water," says boatman Firmin Tcheka, 41.

It was the Chinese group's promises to tackle all of the basic infrastructure required to make the project work that won them the Belinga contract in the face of tough competition.

Brazilian mining giant Companhia Vale do Rio Doce (CVRD) and French nickel firm Eramet had originally been part of the consortium eyeing Belinga.

But they pulled out because they were unwilling to bear the cost of building the accompanying infrastructure in such a remote, undeveloped location more than 500 km (300 miles) east of Gabon's capital, Libreville.

The Chinese consortium picked for Belinga includes state-owned Export-Import Bank of China, which like its US, European and Japanese counterparts, helps finance its country's firms overseas.

Many African governments like the no-strings-attached approach of the Chinese, who offer aid or loans not linked to demands for good governance, transparency or improvements in human rights - the Western recipe for development packages.

"When the Chinese come they can provide financing, without a lot of strings or moralising," said a Gabonese government adviser when he accompanied President Omar Bongo on a visit to Beijing in November.

"They say, 'the Europeans will come with a lot of conditions, but we won't interfere'. That's very attractive to governments here," the adviser added.

Underpinning the Belinga project are more than three decades of cordial ties between Bongo, Africa's longest serving ruler, and China.

The two countries established diplomatic relations in 1974 and Bongo has visited China at least 10 times. Chinese companies have constructed roads and public buildings in Gabon and are also mining manganese and exploring for oil and gas.

Bongo hails the Belinga iron ore venture as "the project of the century" and has made clear he expects it to create thousands of jobs for his people.

Sensitive to suggestions that China might import its own technicians and skilled labourers to carry out the project, China's ambassador to Gabon, Xue Jinwei, says there should be more than enough jobs to go round - perhaps 20 000 or more.

"We're talking about a big project that includes the construction of a port, a railway, dams and the exploitation of the mine itself. That's a big job that is going to need a lot of people," the ambassador said.

In anticipation of finding work, miners who once worked at a now closed uranium mine at Mounana in the southeast of the country have travelled north to Belinga.

Once in operation, the Belinga mine will sell all its iron ore to Chinese steel mills.

China's hunger for iron ore has grown as its industry churns out steel for the ships that carry its exports, for the cars that crowd its roads, and the skyscrapers that crown its teeming cities.

But in the hamlets and villages around Belinga, the expectations are more modest.

"I hope that the Chinese can build a nice school, a library with lots of books," said Nicolas Essone, aged 8, one of several barefoot children studying at Belinga's mud-hut school.

source news : miningweekly.co.za

“PRIVATE equity,” Andrew Trounson writes in today’s Australian, “finally moved on the mining sector yesterday, as global heavyweight and dumped BHP Billiton (ASX: BHP) boss Brian Gilbertson returned to Australia to lead a $625 million offer to take 60 per cent of Perth manganese, chromite and nickel miner Consolidated Minerals (ASX: CSM). Backed by Russian oligarch Viktor Vekselberg and US private coal giant AMCI, Mr. Gilbertson is offering to put his aggressive deal-making credentials and his backers’ deep pockets behind a push to make Consmin into a multi-billion-dollar miner by pursuing acquisitions in Australia and globally.”

There are a couple of noteworthy aspects to this story. The first is the hunt for nickel deposits. It has taken place against the backdrop of soaring nickel prices. Nickel is to 2007 what uranium was to 2006, as least so far. “Nickel rose more than 5 per cent on Friday, buoyed by low stocks and a tight supply outlook,” reports Reuters. “Nickel closed at US$40,900, up $US2,000 from the previous day, before hitting a new peak of $US41,025 in late electronic trading.”

Russian oligarchs and private equity funds seem like odd bedfellows at first sight. But then, if you have cash and you’re chasing alpha, you have something in common with nearly everyone else in the world these days. So why not partner up and chase nickel projects in Australia? Even as the costs on mining projects blow out of control, the race for the actual resources in the grand is picking up speed.

Again being rational, you would think in an environment of rapidly rising mine development costs, developers would hesitate as the profit margins on projects fall. Only with metals prices rising faster than labour and energy costs with new mines, the margins must be doing okay (although Newmont and Barrick might beg to differ.)

With both precious and base metals it comes down to the same gamble these days really: if it’s a rising bull market with many more years ahead of it, owning the assets in the ground is more important than putting a precise valuation on them today. Until new mine supply swamps demand, it’s likely that base and precious metals prices will keep going up incrementally. Copper is up twenty per cent for the year, for example, but still nearly thirty per cent off its all time high.

All of this is happening without even factoring inflation. That is, while not reformed, the U.S. dollar has at least shown some self-respect in recent months. You can’t attribute rising metals prices to a falling dollar, yet. When you ad the prospect of a weaker U.S. dollar to a tight mine supply environment, and then, just for fun, throw in billions of dollars of private equity debt and cash, you get…you get what?

How about an inflationary boom in both metals futures and metals shares?

The whole thing reminds us of 1979 and Jimmy Carter and the taking of American hostages in Iran and the soaring of gold and oil prices and the blow-off top in hard assets. On the way to a 1979 redux, we estimate we are somewhere in the neighborhood of 1977. That was the year Hotel California, Dancing Queen, and Car Wash by Rose Royce all made it to the top of the music charts. Music was still vinyl and gold was still cheap and your editor was dressed in plaid, hip-hugging, nylon bell bottoms.

Just two years later, music was still vinyl but gold was not as cheap. Today, music is mostly digital and not as good. Fashion is about the same. But gold… well we think gold is right about where it should be, and right on the cusp of its famous run to over $800 in 1979 and 1980.

In May of 1979, gold fetched $284. In the next twelve months, it soared, eventually reaching over $850 in January of 1980. None of these figures are adjusted for inflation. Which is why in today’s dollar terms, a gold price of $1,000 or more is just another stop down the line to a new, much higher high.

At least that’s the way it looks from here at the Old Hat Factory. The gold price, we believe, represents a thermometer of sorts of the monetary psyche of the world, or the monetary wellness, if you will. When the gold price rises, confidence in paper currencies and the governments that issue them falls. Confidence in the entire monetary order is slowly eroded with inflation, the way syphilis eats at the brain. The gold price tells you these things, and indicates that a return to more fundamental, natural monetary order is in the making.

Of course the old order must die for the new one to emerge. Inflation kills the patient. It does not make him stronger. We have no idea what that order is, of course. But we reckon it won’t involve nearly as much debt and speculation as you see on today’s markets.

And while we track it, we’ve decided to follow gold on a daily basis through the headlines and stories about it at The 79 Times. Why the name, you may be wondering? Gold needs a biographer. And since it can’t write for itself, we will write for it. 1979 was an important year in its history, and a historical reminder to investors of gold’s crucial role in preserving your wealth in an inflationary bust.

But in one of those pleasant symmetries the universe sometimes offers up, gold’s atomic number, our physics and chemistry students will note, is also 79. So our site will track the yellow metal’s peculiar fortunes, as well as its parallels to its performance in 1979. And if you have a gold story you think other people might be interested in (coins, bullion, shares, mining, central bank reserves, or other) let us know at dr@dailyreckoning.com.au

By the way, what’s the difference between Dick Cheney and Vladimir Putin? Cheney’s airplane is funded by the U.S. taxpayers and had a mechanical breakdown after leaving Australia, forcing it to divert to Singapore. On Putin’s plane, we read over at The 79 Times ”The taps, the shower, washbasins, towel rail, table legs and even the seatbelt clasps are gold- plated.”

The triumph of communism! Lenin, hoping to abolish the role of money in his communist utopia, once described a world in which the urinals of public toilets would be coated with gold. Gold, being chemically inert, would certainly have long-lasting value as a urinal coating. But we think its role as money will prove even more valuable.

source news : dailyreckoning.com.au

WHAT: In an aggressive effort to curb pet overpopulation, the SPCA of Texas Village Fair spay/neuter clinic will be hosting “Neuter Scooter for a Nickel” for the first time this year. Held in conjunction with Spay Day USA, the SPCA invites cat owners to take advantage of this opportunity to have their male cats fixed for just five cents.

WHEN/WHERE: All three SPCA of Texas' clinics will neuter male cats for just a nickel on Tuesday.

Cat owners must make an appointment and bring proof of vaccinations or vaccines (rabies and/or FVRCP) will be administered at an additional charge on the day of the appointment.

All cats must be in carriers; no feral cats, please.

Appointments are required. To make an appointment at any of the three clinics listed below, call 214.742.SPCA (7722).

*Village Fair Spay/Neuter & Wellness Clinic, 4830 Village Fair Dr., Dallas, TX 75224

*Martin Spay/Neuter & Wellness Clinic, 362 S. Industrial lvd., Dallas, TX 75207

*Perry Spay/Neuter & Wellness Clinic, 8411 Stacy Road, McKinney, TX 75070

-Cat drop-offs at 7:30 a.m.; pick up at 3 p.m.

WHY: Spaying and neutering results in the prevention of millions of unwanted births. Neutering also reduces a cat's chances of developing testicular cancer, diminishes roaming tendencies and decreases the urge to mark territory by spraying. If left intact, two unaltered cats can produce more than 80 million cats over a 10-year period, and one male cat can sire an unlimited number of kittens in his lifetime.

James Bias is president of the SPCA of Texas.

The Society for the Prevention of Cruelty to Animals of Texas is the largest animal welfare organization in North Texas with two animal shelters and three spay/neuter and wellness clinics in McKinney and Dallas.

source news : courier-gazette.com

Rio Tinto Group, the world's third- largest mining company, may invest $2 billion, double an earlier estimate, developing its first nickel project in Indonesia to meet rising demand driven by steelmakers in China.

"We're still negotiating with senior levels of government in Indonesia,'' said Ian Head, a Melbourne-based spokesman for Rio. ``When it's concluded, Rio can then start a feasibility study and the costs of the project would be up to $2 billion."

Nickel producers are developing projects in Asia as prices surged to a record this month on concern shrinking supplies won't match demand. BHP Billiton Ltd., the world's largest mining company, may invest as much as $1.5 billion on a nickel project in the Philippines, a government official said today.

``BHP and Rio have said they're willing to go to riskier countries to tap resources there, and the nickel prices may be quite good for a while,'' said Peter Chilton, who helps manage the equivalent of $800 million at Constellation Capital Management in Sydney. ``Both Indonesia and the Philippines are certainly prospective in resources. Rio definitely wants to be in nickel.''

Shares of London-based Rio rose 30 cents, or 0.4 percent, to A$77.60 on the Australian Stock Exchange at the 4:10 p.m. Sydney time close. Shares of Melbourne-based BHP rose 16 cents, or 0.6 percent, to A$28.94.

2012 Start

The proposed BHP project in Davao Oriental province in the Philippines may start production in 2012, Reyes said today after meeting company executives in Manila. Officials from BHP at the meeting declined comment, as did BHP's Melbourne-based spokeswoman Samantha Evans.

Rio's proposed Indonesian venture, which includes a smelter, will produce the metal in refined form, not as concentrate, Simon Sembiring, director general of minerals at the energy ministry, said today in Jakarta. The project is sited at Asampala, straddling Southeast and Central Sulawesi provinces in the east of the Indonesian archipelago.

The investment is ``larger than initial estimate of over $1 billion as we need a big investment to refine the laterite ore, which has low content of nickel,'' said Budi Irianto, manager of external affairs at Rio's Indonesian unit. He said negotiations will continue next week over the payment of royalties.

Nickel futures have risen by 35 percent in the past six months, while stockpiles tracked by the London Metal Exchange have halved since the year began. Nickel is used to make stainless steel, sales of which are rising, especially in China, the world's fastest-growing major economy.

Sign Contract

On June 19, when Tom Albanese, Rio's then head of exploration, met Indonesian officials while negotiating for the contract, he said the project may produce as much as 46,000 metric tons of nickel a year, and cost $1 billion. Albanese will take over as Rio's chief executive officer in May.

Energy Minister Purnomo yesterday said that Rio Tinto and the government will next month sign a contract of between 20 and 25 years that sets out the operational conditions for the miner, as well as taxes, royalties and provisions for sale of ownership to local groups.

Rio will pay royalties similar to the amount that PT International Nickel Indonesia, referring to the country's largest nickel miner, and a unit of Brazil's Cia. Vale do Rio Doce, Sembiring said today.

According to data from the ministry, International Nickel Indonesia pays $0.015 per kilogram of nickel content in ore that contains less than 2.5 percent of the metal. For ore containing more than 2.5 percent, the royalty rises to $0.03 per kilogram.

The contract will ensure Rio Tinto will comply with taxes and regulations stipulated by central and local governments at the time the contract is signed, Sembiring said. The contract will not be subject to change should tax-related regulations change in the future, he added.

To contact the reporter on this story: Claire Leow in Jakarta at cleow@bloomberg.net ; Leony Aurora in Jakarta at laurora@bloomberg.net

Average price per gallon goes up over weekend.

You'll pay a little more to fill up the car this week.

Charlotte-area gas prices mushroomed about a nickel per gallon on average over the weekend, according to AAA data. Some individual stations have boosted prices close to a dime per gallon since late last week, as oil costs soared.

Charlotte's average for regular was $2.27 over the weekend -- a six-week high. On Sunday, many Charlotte-area stations already charged $2.30 or more a gallon for regular.

And gas prices should keep rising through April's Easter holiday and school spring breaks.

Gas typically rises nationwide in the weeks leading to Easter as demand picks up after the worst of winter and refineries curb production for regular repairs.

Prices got a jolt last week when oil traders were spooked by an unexpected fall in gas supplies and talk of sanctions against oil-rich Iran for its nuclear program.

Crude oil, which accounts for the bulk of pump costs, hit 2007 highs on Friday. Wholesale gas costs followed in tandem, reaching a near six-month high.

"This is a little scary because it's happening so early," AAA Carolinas spokesman Tom Crosby said. "But there's some anticipation about the spring built into these prices."

That could be good news for spring travelers. Easter-time fill-ups in Charlotte last year cost around $2.70 a gallon as oil prices spiked on supply fears.

This year, the markets have been calmer and gas prices should peak around $2.50, analysts said.

But area drivers did catch a small break: After spending much of the year with the Carolinas' priciest gas, Charlotte's weekend average of $2.27 was among the cheapest, minus state sales tax.

"Just as I couldn't understand why we had the highest prices, I can't see why we now have the lowest," Crosby said. "It appears there are some forces at play that have nothing to do with how much gas stations are selling."

Prices at the Pump

CURRENT MONTH AGO YEAR AGO
Charlotte $2.27 $2.19 $2.20
North Carolina $2.29 $2.12 $2.21
South Carolina $2.17 $1.96 $2.08
Nation $2.34 $2.15 $2.25


Note: Average for a gallon of regular

SOURCE: AAA

It is very hard to find an analyst who is not bullish gold. Mind you, a lot of analysts have been bullish for a while and had expected gold to pass through US$700/oz in 2006. It hasn't yet, but circumstances are conspiring to suggest such a move is almost inevitable.

For some reason, the world had begun to become far comfortable with the situation in Iran, which helped to send the oil price lower, despite little change in the stand-off. Focus has now returned as Iran refuses to give in to UN demands to cease its nuclear program. There is now a real fear the US may decide enough is enough, and look to a military solution.

This seems incongruous given the current opposition to the Bush Administration's plans to send more troops to Iraq. The Democrat-controlled Congress has already "censured" Bush by disagreeing with an increase in troop numbers. Congress is thus unlikely to approve any pre-emptive move on Iran.

However, the reality is that until there is a Democrat in the Whitehouse there's very little Congress can achieve. Bush has the mandate to do what he and his administration wants until the end of next year. And he is still the Commander-in-Chief. It remains a question of just how much he would be prepared to go out on a limb against world opinion.

But world opinion also tends to agree Iran 's president Mahmoud Ahmadinejad, an Islamic fundamentalist, is a loose cannon and very likely to be enriching uranium to make the bomb rather than for Iranian power needs as offered.

In such times of turmoil, gold becomes a traditional safe haven. However, over the last couple of decades, gold's safe haven appeal has suffered as investors turned instead to the US dollar. With the dollar's popularity on the wane, gold has once again come to the fore. And while European central banks are now deciding not to sell their allowed quotas of gold, central banks around the world are looking to diversify out of US dollars and into other currencies such as the euro or pound, and into gold.

The super-cycle that has seen all metal prices trade through the roof has also sparked a mining scramble. But where as base metal production is expected to eventually rise to even out demand imbalance – perhaps by 2008 – world gold production is actually on the decline.

South Africa is the world's largest producer of gold, but its production level peaked in 1970. ABN Amro reports that at 279t, South Africa 's 2006 gold production was 72% below the 1970 peak, and the lowest level since 1922. Gold consultancy GFMS calculates global gold production fell by 2% to 2,467t in 2006 – the lowest level in ten years.

While a rejuvenated gold price has led to a new surge in exploration, and the opportunity to process low-grade ores once considered uneconomic, the reality is there is a global scarcity of major new projects. So much so that the world's largest producer – Barrick Gold – told a gathering recently it intends to extend its diversification from copper to other base metals, platinum group metals, silver, and maybe even energy.

"So in the face of rapidly depleting resources, flat production, rising costs, and longer approval times to open new mines, [Barrick CEO Greg] Wilkins touted other developments besides gold, including a big nickel project in Tanzania, platinum-palladium projects in Russia and South Africa, along with a copper and gold property in Pakistan", reports the Toronto Star.

A continuing source of gold over years, outside of new production, has always been central bank selling of reserves. European central banks have always been keen sellers, such that sales were agreed to be limited by the Central Bank Gold Agreement of 1999 to a total of 500t. 2006 saw sales fall short by 104t – the first time there has been in shortfall in the CBGA's history.

Indications are, notes ABN, that 2007 could even see less selling. France is expected to be the major seller, while at the other end of the scale Germany has indicated it would only sell 10t for coins. The madness that is Italy may yet prove a wildcard. Italy is the world's fifth largest holder of gold.

But Italy is also a significant consumer of gold, representing 50% of European fabrication offtake in 2006. Europe accounts for 15% of global demand. The World Gold Council reports global jewellery demand has begun briskly in 2007, following a volatile 2006 which saw demand fall 16% by weight despite representing 14% more in dollar terms. The May peak and crash had a lot to do with jewellers giving gold a wide berth for a while.

However, it is volatility more than actual price that undermines jewellery demand, and many Asian market watchers believe demand is returning despite higher prices. Sales of gold trinkets during Chinese New Year celebrations have again been strong.

That only leaves gold's relationship with the US dollar, which has a tradition of being converse. However, it is not unusual for the gold price to decouple from the US dollar and trade higher as the dollar trades higher. This occurred during the price surge of late 2005/early 2006, and has occurred again as recently as last week.

Nevertheless, ABN notes a growing belief that the US dollar will break down against its trade-weighted index this year. It will not necessarily be sudden, and ABN could see a gradual 10% decline over two years. This can only be positive for gold. With a decline in the dollar, gold once again becomes attractive as a direct investment tool as the world looks for a place to park its surging excess liquidity.

ABN Amro is advocating exposure to gold for its clients – a view backed up today by Citigroup. Says Citigroup:

"We retain our positive view on gold based on global macro/monetary catalysts, the emergence of historically frustrated Chinese buyers and petro-dollar fuelled Middle Eastern consumers and the absence of aggressive shorts. We expect a test of the US$700/oz level in the coming months."

When it comes to investing in Australia 's gold sector, Citigroup notes increased costs, production disappointment and adverse hedge books have led to gold sector underperformance in the past 12 months. As 65% of Australia 's gold production is now controlled by offshore companies, Citi advocates sticking to the local majors, and that means Newcrest (NCM) and Lihir (LHG). Beyond these two there is a lack of investment-grade quality and exposures are highly speculative.

However, one mustn't forget that opportunities lie in the fact that sources of gold are scarce. While Citi does not cover the juniors, the analysts have made comparisons to suggest there is speculative value in Avoca (AVO), Dominion Mining (DOM), Perseverance (PSV), and St Barbara (SBM).

Citi also notes companies with "interesting" offshore exposures, being Allied Gold (ALD), Equigold (EQI), OceanaGold (OGD), Troy Resources (TRY) and Pan Australian (PNA).

Of the above stocks, four attract at least some coverage in the FNArena database. Most popular is Perseverance with a 5/2/0 B/H/S ratio, followed by Oceana (2/3/0), Equigold (2/1/0), Avoca (1/0/0) and Pan Australian (1/0/0).

source news : fnarena.com

Measured & Indicated resource rises 79%, grade up 14%; aggressive drill program underway.

Victory Nickel Inc. ("Victory Nickel" or the "Company")(TSX:Ni), www.victorynickel.ca today announced a 79% increase in the amount of contained nickel, and a 14% rise in grade, in the measured and indicated resource at its Mel sulphide nickel project on Manitoba's prolific Thompson Nickel Belt. In addition, the Company is actively exploring the Mel property with a $2.0 million winter drill program currently underway.

The new Mel resource estimate, conducted by Wardrop Engineering Inc., significantly enhances Victory Nickel's overall sulphide nickel inventory which stands at over 660 million pounds of in-situ nickel in measured and indicated resources and an additional 530 million pounds of in-situ nickel in inferred resources at its Mel, Minago and Lac Rocher deposits. The Mel resource is located near surface, within 180 metres of the overburden-bedrock interface.

source news : ccnmatthews.com

Dwyka Diamonds Ltd said BHP Billiton will invest 5.2 mln usd as exploration expenditure at the Muremera nickel project in Burundi, to earn up to 50 pct interest in Dwyka unit Danyland Ltd which holds the exploration rights for nickel and associated minerals at Muremera.

BHP Billiton's investment will be payable in three stages and its stake will be earned accordingly, added Dwyka.

Dwyka chairperson Melissa Sturgess said this agreement allows Danyland to fast-track the exploration programme at Muremera.

BHP's investment is expected to carry the project through to the concept study stage.

The Muremera target area is located within 2 km from the Xstrata/Barrick Kabanga Project, one of the largest known undeveloped nickel sulphide deposits in Africa, Dwyka added. DWYKA DIAMONDS SAYS BHP TO INVEST 5.2 MLN USD TO GET 50 PCT OF MUREMERA PROJECT newsdesk@afxnews.com jro/lam


Copyright AFX News Limited 2007

The Georgian government has pledged to allocate GEL 6 million (about USD 3.5 million) for infrastructure and other projects in Tbilisi-controlled villages in the Georgian-South Ossetian conflict zone last week.

Prime Minister Zurab Noghaideli signed a decree on February 21 encompassing several projects to implement in villages of the Didi Liakhvi and Patara Liakhvi gorges.

GEL 3.2 million will be allocated to bring natural gas to villages, GEL 1.05 million is allocated to rehabilitate the water supply system and GEL 1 million is to be spent for street lighting and the purchase of land necessary for the construction of an entertainment complex in the village of Tamarasheni.

Speaking at the news conference on February 23, President Mikheil Saakashvili said the government is striving to help the local population.

"We are doing our best to provide conditions there which will help the locals not to feel isolated and abandoned," Saakashvili said.

One initiative which can, according to the president, make the local population feel better about their lives is the opening of a disco-club in the conflict zone.

"When we have a disco-club in Tamarasheni in a month, with a cinema and a sports palace, where do you think the Ossetian youth will go in the evenings? Will they fire at the club, or will they lay down their arms and go to this club and dance with their neighbours?" he said.

The president hinted that the separatist government would find money to build another disco club in Tskhinvali, which he said would be a good thing, as two such disco-clubs in the conflict zone would be even better than one.

The de facto authorities of South Ossetia, meanwhile, are making their own plans to develop the region. In a recent interview, prime minister of the separatist South Ossetian government Yuri Morozov said the government will launch programmes to support small and medium businesses this March.

"Plans on development of small and medium businesses in Ossetia are vast," Morozov said adding the de facto administration plans to allot no less than RUB 10 million (about USD 381 000) for these projects.

Morozov said that the government is considering launching a privatization program soon. "We need to file a list of assets to privatize and this work will soon be implemented," he said.

The de facto authorities also plan to develop the mining industry, for example quarrying marble, as well as extracting oil.

"We had talks with Moscow [about the exploration for marble]. Moscow has a lot of interest in marble which can be used in construction," Morozov said.

Morozov also mentioned that South Ossetia wants to construct its own energy facilities, for example a small hydro-electric power station. He added that the de facto government has already been conducting negotiations with the Russian energy distribution company RAO UES and DagEnergo (Dagestan Energy) on this issue.


© The Messenger. All rights reserved

Britain's FTSE 100 (FTSE) index rose by mid-session on Monday as crude prices rose on the back of heightened tensions over Iran, boosting oil shares, and corporate results lent support.

At 1140 GMT the FTSE 100 was up 37 points, or 0.6 percent, at 6,438.5 points, rising for the third day but shy of this year's intraday high of 6,451.4. European share indexes were also higher, while Japan's Nikkei (N225) ended at its highest level in almost seven years.

Mining shares were also in demand as copper prices (MCU3=LX) rose 1.2 percent to $6,345 a tonne and nickel (MNI3=LX) put on 0.8 percent to $41,300 a tonne.

Kazakhmys (KAZ.L) gained 2.6 percent, Anglo American (AAL.L) put on 0.8 percent and Xstrata (XTA.L) tacked on 0.5 percent.

Oil stocks gained as crude prices rose for a fourth day, nearing a fresh 2007 high above $61 a barrel.

BP (BP.L) rose 1.9 percent, while Royal Dutch Shell (RDSa.L) added 0.8 percent and BG Group (BG.L) put on 1.5 percent. "The market has got some momentum behind it. Our view is that shares are somewhat overbought but not overvalued," said Jeremy Batstone, head of research at Charles Stanley.

"The company reporting season seems to be progressing positively, with companies making generally favourable noises regarding the outlook. An attempt on 6,500 and maybe even in due course the all-time high is not inconceivable."

Batstone said market conditions looked rosy but the FTSE would likely face some hurdles in the middle of the week when the United States releases its second reading of fourth-quarter economic data, which is expected to show an annual growth of 2.4 percent revised from an earlier 3.5 percent.

TOP GAINER

Associated British Foods (ABF.L) surged 5.3 percent, topping the gainers' list after it said it saw a rise in operating profit for its financial year to Sept. 2007 but weighted towards its second half, as it gave a trading statement for its half-year to March 3.

Persimmon gained 3.6 percent after Britain's biggest housebuilder posted a 17.5 percent rise in yearly pretax profit and said that it had not experienced any loss of buyer confidence after a surprise January interest rate increase.

Shares in International Power (IPR.L) gained 2.2 percent, buoyed by confirmation that private equity firms Kohlberg Kravis Roberts & Co [KKR.L] and Texas Pacific Group [TPG.L] were acquiring Texas power company TXU Corp. (TXU.N).

"The TXU bid in the U.S. gives more focus on them as a possible bid target again," a trader said.

Old Mutual climbed 4.4 percent after it met forecast with a 22 percent rise in 2006 operating profit and boosted its dividend, but it warned exchange rates and investment in Europe, Sweden and South Africa would hold back earnings growth in 2007.

3i Group (III.L) dipped 0.5 percent after a newspaper report said the private equity group hoped to buy British estate agency Foxtons for around 400 million pounds. 3i declined to comment.

BSkyB (BSY.L) also featured on the downside, shedding 0.4 percent after the pay TV firm said its annual operating profit would take a hit of up to 20 million pounds if it failed to reach a deal for its basic channels to be shown on rival Virgin Media (VMED.O).

Among mid-caps, Alfred McAlpine (MCA.L) nosedived nearly 19 percent after the support services firm said it had found an accounting error at its Slate business that would hit profits in 2006 and 2007. (Additional reporting by Sylvia Westall)

(c) Reuters 2007. All rights reserved

Duluth Metals Limited ("Duluth") (TSX: DM) (TSX:DM.U) is pleased to announce today that assay results have been received for the next 6 holes, MEX-09 to MEX-14, completed during the current 100,000 foot winter drilling program. Four drills are now in operation as part of a forty hole winter drilling program at Duluth's Maturi Extension project near Ely, Minnesota.

Drill holes MEX-09 to MEX-14 were drilled at various locations along the trend of mineralization throughout the Western Area of the Maturi Extension Project, where the objective of the current drill program is to define a NI 43-101 compliant resource. All drill holes intersected significant mineralization confirming the continuity of the mineralization between previously drilled holes, which are approximately 500 metres apart in this area of the property. Highlights of the 6 holes were MEX-12 and MEX -13. Within a total mineralized section of 185 feet, MEX-12 intersected 74 feet of 0.806% Cu, 0.25% Ni, 0.947 grams per tonne total precious metals(xx ) including 15 feet of 1.12% Cu, 0.316% Ni, and 1.496 grams per tonne total precious metals. Drill hole MEX-13, within a total mineralized interval of 150 feet, intersected 120 feet of 0.735% copper, 0.216% nickel and 0.673 grams per tonne total precious metals. (Using a 0.5% Cu cut-off. True thickness is estimated at about 90% of core length.)

<<
The following table contains a more detailed summary of the six holes:

Hole Zone From To Length Copper Nickel
(feet) (feet) (feet) % %
MEX-09 Total (x) 2545.3 2601.0 55.7 0.761 0.247

MEX-10 Total 2758.0 2878.0 120.0 0.496 0.151
Upper (x) 2758.0 2798.0 40.0 0.567 0.205
Lower (x) 2853.0 2878.0 25.0 0.796 0.156

MEX-11 Total 2754.2 2948.0 193.8 0.456 0.113
Upper (x) 2754.2 2808.0 53.8 0.690 0.173
Middle (x) 2823.0 2843.0 20.0 0.512 0.187
Lower (x) 2913.0 2948.0 35.0 0.524 0.072

MEX-12 Total 2493.0 2678.0 185.0 0.560 0.162
Upper (x) 2499.0 2573.0 74.0 0.806 0.250
including 2503.0 2518.0 15.0 1.127 0.316
Lower (x) 2638.0 2678.0 40.0 0.624 0.129

MEX-13 Total 2403.0 2553.0 150.0 0.661 0.213
including (x) 2408.0 2528.0 120.0 0.735 0.216
including 2483.0 2503.0 20.0 1.096 0.316

MEX-14 Total 2511.8 2618.4 106.6 0.558 0.203
including (x) 2529.8 2588.9 59.1 0.738 0.235
including 2554.5 2579.0 24.5 0.919 0.292


Hole Zone Palladium Platinum Gold TPM
(g/t) (g/t) (g/t) (g/t)
MEX-09 Total (x) 0.498 0.203 0.117 0.817

MEX-10 Total 0.297 0.124 0.070 0.492
Upper (x) 0.375 0.149 0.085 0.609
Lower (x) 0.429 0.190 0.107 0.726

MEX-11 Total 0.246 0.114 0.063 0.423
Upper (x) 0.374 0.172 0.086 0.633
Middle (x) 0.321 0.141 0.077 0.538
Lower (x) 0.238 0.109 0.064 0.411

MEX-12 Total 0.338 0.155 0.097 0.589
Upper (x) 0.524 0.249 0.175 0.947
including 0.738 0.354 0.404 1.496
Lower (x) 0.326 0.135 0.066 0.527

MEX-13 Total 0.354 0.155 0.089 0.599
including (x) 0.395 0.176 0.102 0.673
including 0.664 0.267 0.140 1.072

MEX-14 Total 0.380 0.154 0.083 0.617
including (x) 0.520 0.219 0.117 0.855
including 0.672 0.284 0.132 1.088

(x) At a 0.5% copper cut-off
(xx)Total Precious Metals equals Platinum+Palladium+Gold
>>

For the winter drill program, half core samples were prepared at ALS Chemex Ltd. Laboratories in Thunder Bay and then shipped to its analytical facilities in Vancouver. Samples were analyzed for Au, Pt, Pd using a standard fire assay with an ICP finish and for 27 other elements using a four acid (near total) digestion and a combination of ICPMS and ICPAES. ICP over limits were re-analyzed using sodium peroxide fusion, acid dissolution followed by ICPAES. The remaining half core samples are being stored in Minnesota.

"The fact that all six holes hit mineralization confirms the continuity of the mineralization in the Western Area," stated Dr. Henry ( Rick) J. Sandri, President and CEO of Duluth. "Our objective is to prove up a significant NI 43-101 compliant resource in our Western Area and the latest drill results are moving us in that direction."

Four additional holes (MEX 15, 16, 17 and 18) are in the final stages of completion. Duluth has engaged Scott Wilson Roscoe Postle Associates Inc.(Scott Wilson RPA) to conduct a Mineral Resource Estimate and prepare a Technical Report which complies with NI 43-101 requirements. It is expected this estimate will be completed by early June with a report to follow in late July 2007.

David Oliver, P. Geo. is the Qualified Person for Duluth, in accordance with NI 43-101 of the Canadian Securities Administrators, and is responsible for the technical content of this press release and quality assurance of the exploration data and analytical results. The Company will be issuing periodic updates on the drilling and releasing assay results in groupings of 5-6 holes.

About Duluth Metals

Duluth is committed to acquiring, exploring and developing copper, nickel and platinum group metal (PGM) deposits. Duluth's principal property is the Maturi Extension Property located within the rapidly emerging Duluth Complex mining camp in northeastern Minnesota. The Duluth Complex hosts one of the world's largest undeveloped repositories of copper, nickel and PGMs, including the world's third largest accumulation of nickel sulphides, and one of the world's largest accumulations of polymetallic copper and platinum group metals. Duluth is pursuing other advanced stage nickel, copper and PGM projects which can be put into production within a suitable time frame.

This document may contain forward-looking statements (including " forward-looking statements" within the meaning of the US Privacy Securities Reform Act of 1995) relating to Duluth's operations or to the environment in which it operates. Such statements are based on operations, estimates, forecasts and projections. They are not guarantees of future performance and involve risks and uncertainties that are difficult to predict and may be beyond Duluth's control. A number of important factors could cause actual outcomes and results to differ materially from those expressed in forward-looking statements, including those set forth in other public filings. In addition, such statements relate to the date on which they are made. Consequently, undue reliance should not be placed on such forward- looking statements. Duluth disclaims any intention or obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, save and except as may be required by applicable securities laws.

Source: Duluth Metals Limited

Jaguar Nickel Inc. ("Jaguar" or the "Company")(TSX: JNI) announced today that it intends to change the focus of the Company from a mineral exploration company to a merchant bank focused on creating value for Jaguar shareholders by making investments in undervalued companies in various industry sectors.

The Company believes that the new management team has very good merchant banking experience which will assist in making undervalued investments and realizing on such investments passively or proactively depending on the circumstances of the particular company. Proactive involvement by Jaguar could involve working with management or the directors of the particular company to implement necessary changes to create shareholder value, or by initiating change at the board level, or by implementing a change of control transaction.

In connection with the Company's change in business focus, the Company intends to propose a new corporate name of the Company, likely Jaguar Financial Corporation, at the next annual meeting of shareholders. The Company also intends to establish a governance agreement between the Company and its largest shareholder, Northern Financial Corporation ("Northern"). The governance agreement will govern the relationship between the Company and Northern and address any potential conflicts of interest between the Company and Northern which may arise in the course of the Company's merchant banking activities.

The Company also announced that Mr. Wes Roitman and Mr. Sheldon Esbin have resigned from the Company's board of directors. Messrs. Roitman and Esbin were very helpful in the process of creating change at the Board level at Jaguar, and the Company thanks them for their contribution. Jaguar intends to appoint two independent directors to its Board in the near term.

Mr. Vic Alboini, Chairman and Chief Executive Officer, stated: "Given management's track record in merchant banking, the change in focus of the Company to a merchant bank is designed to take advantage of that track record for the benefit of Jaguar shareholders. We believe in appropriate circumstances that Jaguar can act as a catalyst to create value in the investments made in companies."

About Jaguar

Jaguar is a Canadian merchant bank that invests in undervalued small capitalization companies in a variety of industry sectors. Jaguar's shares are traded on the TSX under the symbol JNI.

The Toronto Stock Exchange does not accept responsibility for the adequacy or accuracy of this news release. This news release may contain certain forward looking statements which involve known and unknown risks, delays, and uncertainties not under Jaguar's control which may cause actual results, performances or achievements of Jaguar to be materially different from those implied by such forward looking statements.

source news : newswire.ca

Consolidated Minerals Ltd reported a 2007 first-half pretax profit of 14.8 mln aud after a loss of 12.9 mln in the second half of its 2006 fiscal year, adding that it is on track to continue its turnaround and growth.

The company posted sales revenue of 119.2 mln aud in the half-year to Dec 31 2006, against 110.6 mln in the previous six months as the company's nickel and manganese businesses recorded stronger revenue contributions.

'The second half outlook is encouraging and we are looking forward to capitalising on the current strength of commodity markets by continuing to strive to meet our production targets,' said managing director Rod Baxter.

'The recovery in our manganese earnings is under way with the stabilisation of the global manganese market following the price fall which adversely affected our results in FY06,' he added.

The company's manganese revenue grew by 8.0 pct to 63.7 mln aud, while EBITDA for the manganese division rose by 172.5 pct to 13.9 mln, reflecting increased prices and strong production volumes.

Nickel sales were up 19.2 pct to 30.4 mln aud, while EBITDA for the nickel division increased 10.6 pct to 11.5 mln. Chromite revenue was down 3.8 pct to 25.1 mln, reflecting marginally lower production, but EBITDA improved 42 pct to 9.8 mln.

The company reported first-half manganese production of 471,606 tonnes, up 8.4 pct; nickel production of 2,023 tonnes in line with the previous half; and chromite production of 126,015 tonnes, down 3.9 pct.

Consolidated Minerals also reinstated its interim dividend, which it set 1.75 cents.

In a separate release, the company said it has agreed to form a new Australian mid-tier mining company with units of Pallinghurst Resources and AMCI.

Consolidated Minerals shareholders will receive 1.38 aud a share and two shares in the new company for every 5 own shares. This values the company at an enterprise value of 625 mln aud or 2.28 aud a share, it said.

The company expects the proposed transaction to be completed in the second quarter of 2007.

The new company, which will continue to be named Consolidated Minerals Ltd and will be headquartered in Perth, Australia, will apply to be listed on ASX, AIM and FSE. newsdesk@afxnews.com tsm/jr/tsm/jr


Copyright AFX News Limited 2007

Augusta Resource Corporation ("Augusta" or the "Company") is pleased to announce the Company expects to file its fourth quarter and year-end financial statements next Thursday, March 1, 2007. The Company was successful in reaching a number of critical milestones in 2006 that have significantly advanced the development of its 100% owned Rosemont copper/molybdenum/silver project in Arizona. Augusta remains committed to advancing the Rosemont project as a cornerstone asset for growth, and has set a number of objectives for 2007 aimed at positioning the Company to become a mid-tier copper producer within the next five years.

Summary of 2006 Activities

After raising $44,099,000 in equity financing to complete the acquisition of the Rosemont property and fund development activities, the Company published the 2006 Rosemont Deposit Mineral Resource Statement(i). The resource is estimated to contain 6.4 billion lbs of copper ("Cu") equivalent (442,000,000 tons at 0.73% Cu equivalent) in measured and indicated resources and 1.9 billion lbs of Cu equivalent (145,000,000 tons at 0.67% Cu equivalent) in inferred resources at a 0.2% copper cut-off.

The Company completed a Preliminary Assessment and Economic Evaluation ("PA") in June, which reflected robust economics for the Rosemont deposit. The project holds a net present value of $442 million (8% discount rate), with an estimated annual copper production of more than 225 million pounds at $0.42 per pound. Following up on the positive PA, Augusta obtained a sustainable water supply source in the form of specific purchase and storage contracts with the Central Arizona Water Conservation District in June. The Company then filed Rosemont's initial Plan of Operations with the US Forest Service in July, and commenced a final feasibility study for the project in August. Stakeholder response to the initial Plan of Operations has been used to modify the current feasibility study, and a final comprehensive Plan of Operations will be filed when the feasibility study is complete.

In the second half of 2006, the Company completed a 20,000-meter drill program with the intention of moving inferred resources into the measured and indicated category, and concluded a concurrent program to re-log and re-assay historic drill core to define potential oxide copper zones, quantify a silver resource for the deposit, and upgrade the sulfide copper-molybdenum resource. Furthermore, Augusta graduated to the Toronto Stock Exchange, became listed on the American Stock and Options Exchange, and attracted analyst research coverage from two financial firms, Laurentian Bank Securities and BMO Capital Markets.

Throughout the year, Augusta also continued exploration activities on its Mount Hamilton and Shell Deposit properties in Nevada. The Company commenced a pre-feasibility study at Mount Hamilton to evaluate development of the Centennial Deposit, which is now being expanded to assess run of mine heap leaching methods and is expected in the fourth quarter of 2007. In addition, the Company launched a 3,000-meter phase I exploratory drilling program on the Shell molybdenum/tungsten deposit. To date the Company has completed three drill holes, and final assay results are pending.

(i) The mineral resource estimation work was performed by or under the direction of Mr. William L. Rose, P.E., Principal Mining Engineer of WLR Consulting, Inc. (WLRC) of Lakewood, Colorado. Mr. Rose is an independent Qualified Person under the standards set forth by Canadian National Instrument 43-101. Details of the Mineral Resource Estimate can be found in the technical report entitled Mineral Resource Estimate, Revised Technical Report for the Rosemont Deposit dated April 21, 2006 filed on SEDAR (www.sedar.com) and also available on the Company's website.

2007 Growth Objectives

Updated Resource Statement & Feasibility Study

After publishing the final drill results from the 20,000-meter drill program in December, Augusta expects to publish an updated resource statement in early March 2007. While the statement was originally scheduled for completion before the end of the year, third party assay processing delays have impacted the completion date.

The Company continues to work with consultants to advance the feasibility study, which is now expected for completion in the second quarter as a result of the delay in completing the updated resource statement. Metallurgical test work has largely been completed, and engineering is now 90% complete. The feasibility study will evaluate the project economics associated with processing sulfide ores as well as oxide copper processing.

Permitting

Concurrent with completing the feasibility study at Rosemont, the Company is preparing a detailed and comprehensive Plan of Operations for submission to the US Forest Service in the second quarter of 2007. Using this plan as a basis for permitting, Augusta will then move through the National Environmental Policy Act ("NEPA") permitting process, whereby the US Forest Service initiates an Environmental Impact Statement ("EIS") and public review process. The company continues to work with local interests to address relevant factual concerns and issues as part of the NEPA process.

The US Forest Service is the official agency in charge of leading the process of reviewing potential project impacts and identifying relevant mitigation plans resulting from the Plan of Operations. As such, the US Forest Service is responsible for issuing the final EIS and "Record of Decision" after pubic review and comment. These documents and findings are then considered by other federal and state agencies as they review the permits required to initiate mineral development on the property.

It normally takes anywhere from 12 to 18 months to complete the draft EIS and the initial public review process. Another three to six months are typically required to respond to public comments and prepare the final EIS, after which the US Forest Service will issue a "Record of Decision" either approving the plan or providing recommendations for modifications to the plan. Subsequent to the "Record of Decision", the Company will file a final Plan of Operations (incorporating any necessary modifications). It is then that permits would be issued allowing the Company to commence construction. Upon completion of this process, Augusta expects to receive approval to construct the mine in 2009 and to produce copper at Rosemont in 2010.

Marketing

Augusta expects to participate in several industry conferences throughout 2007. The management team also plans to expand relationships with both new and existing institutional investors to ensure our value is understood in the global financial community.

Corporate Development

The Augusta management team is committed to advancing the Rosemont project as a cornerstone asset for growth in becoming a mid-tier copper producer within the next five years. The Company continues to look for opportunities to acquire exploration, development and production stage projects, in an effort to position the Company as a major copper producer in the long term.

ABOUT AUGUSTA RESOURCE CORPORATION - Augusta is a mineral exploration and development company responsibly advancing copper and other base metal assets in the U.S. southwest. The Company's Rosemont Property is located in Pima County, approximately 30 miles southeast of Tucson, Arizona, and contains a potentially world class open-pit copper/molybdenum ("Cu/Mo") deposit. The Rosemont deposit contains 6.4 billion lbs of Cu equivalent (442,000,000 tons at 0.73% Cu equivalent) in measured and indicated resources and 1.9 billion lbs of Cu equivalent (145,000,000 tons at 0.67% Cu equivalent) in inferred resources. Please refer to the Company's news release dated January 24, 2006 for further details. Augusta has additional exploration properties in Nevada, and trades on the American Stock Exchange and Toronto Stock Exchange under the symbol AZC.

ON BEHALF OF THE BOARD OF DIRECTORS

Gil Clausen, President and CEO

CAUTIONARY STATEMENT REGARDING FORWARD-LOOKING INFORMATION

Certain of the statements made and information contained herein and in the documents incorporated by reference may contain forward-looking statements or information within the meaning of the United States Private Securities Litigation Reform Act of 1995 and forward-looking statements or information within the meaning of the Securities Act (Ontario). Forward-looking statements or information include statements regarding the expectations and beliefs of management. Forward-looking statements or information include, but are not limited to, statements or information with respect to known or unknown risks, uncertainties and other factors which may cause the actual results, performance or achievements of the Company, or industry results, to be materially different from any future results, performance or achievements expressed or implied by such forward-looking statements or information.

Forward-looking statements or information are subject to a variety of risks and uncertainties which could cause actual events or results to differ from those reflected in the forward-looking statements or information, including, without limitation, risks and uncertainties relating to the Company's plans at its Rosemont Property and other mineral properties, the interpretation of drill results and the estimation of mineral resources and reserves, the geology, grade and continuity of mineral deposits, the possibility that future exploration, development or mining results will not be consistent with the Company's expectations, metal recoveries, accidents, equipment breakdowns, title matters, labor disputes or other unanticipated difficulties with or interruptions in production and operations, the potential for delays in exploration or development activities or the completion of feasibility studies, the inherent uncertainty of production and cost estimates and the potential for unexpected costs and expenses, commodity price fluctuations, currency fluctuations, failure to obtain adequate financing on a timely basis, the effect of hedging activities, including margin limits and margin calls, regulatory restrictions, including environmental regulatory restrictions and liability, the speculative nature of mineral exploration, dilution, competition, loss of key employees, and other risks and uncertainties, including those described under "Risk Factors Relating to the Company's Business" in the Company's Annual Information Form dated April 6, 2006. Should one or more of these risks and uncertainties materialize, or should underlying assumptions prove incorrect, actual results may vary materially from those described in forward-looking statements. Accordingly, readers are advised not to place undue reliance on forward-looking statements or information. We do not expect to update forward-looking statements or information continually as conditions change, and you are referred to the full discussion of the Company's business contained in the Company's reports filed with the securities regulatory authorities in Canada and the United States.


Contact:

Contacts:
Augusta Resource Corporation
Gil Clausen
President and CEO
(303) 300-0136
(303) 300-0135 (FAX)
Email: gclausen@augustaresource.com

Augusta Resource Corporation
Marlo Hamer-Jackson
Investor Relations Manager
(604) 687-1717
(604) 687-1715 (FAX)
Email: mhamer-jackson@augustaresource.com
Website: http://www.augustaresource.com


Source: Augusta Resource Corporation

Bill Ritter said Thursday he's considering a plan to tap mineral rights money the state gets from the federal government to provide more funding for education across the state.

Ritter said unless the state finds more money for schools, the education fund will go broke in the next five years.

"We took a serious look at the budget and said we have a serious issue with where K-12 funding is over time. We really believe we have to do something different in protecting the integrity of the state education fund," Ritter told editors and publishers at a Colorado Associated Press Editors and Reporters luncheon at the governor's mansion.

Ritter said his plan would freeze current spending levels from federal mineral lease funds and use a portion of any future increases for public education.

Sen. Josh Penry, R-Fruita, said the funds were designed to help local communities with the impact of increased oil and gas drilling operations and those funds need to be protected. He said he talked with Ritter about the plan and Ritter promised to work with the Western Slope to make sure those communities are not hurt.

Penry said the oil and gas boom has increased the state's federal mineral lease revenues from $60 million three years ago to $150 million this year. And if the federal government opens the gas-rich Roan Plateau of Western Colorado to drilling, "I don't think we could grasp the amount. It could be up to $1 billion."

Greg Schnacke of the Colorado Oil & Gas Association said the amount of money the state gets will depend on restrictions the federal government puts on drilling. He said oil companies would like to see the money used to compensate communities where the wells will operate, typically for 30 to 40 years.

"It's a policy call for the state. The trick will be to find some balance," Schnacke said.

The state education fund was set up to provide money for projects under Amendment 23, a constitutional amendment approved by voters that guarantees increased funding for schools. However, during the recent economic slump, the state used the money to balance the education budget.

Lawmakers have warned that unless the fund is replenished, it could go broke, forcing the state to take money from higher education, transportation and other programs that are not protected by the constitution.

Rep. Kathleen Curry, D-Gunnison, said she is opposed to any plan that would deprive oil and gas communities of the money they need to cope with drilling.

"I don't think the impact is self-limiting, it's going to increase. We would have to have some mechanism to make sure they are compensated," Curry said.

© 2007 The Associated Press

Sarasota County has acquired three more lots along Warm Mineral Springs Creek.

The creek, east of River Road and just west of the North Port city limits, flows from a natural, warm-water spring and is one of the few natural creeks within Sarasota County.

Each lot cost the county about $38,000. The county now has a total of 12 lots bordering the waterway.

The money came from the Environmentally Sensitive Lands Protection Program, approved by voters in 1999 and 2005.

The county has acquired more than 15,000 acres of natural habitats since 2000 through the program.


source news : heraldtribune.com

Target Chip Ganassi Racing with Felix Sabates (TCGRFS) driver Reed Sorenson is set to pilot the limited edition No. 41 Energizer(R) e(2)(R) Lithium(R) car during this year's AutoClub 500 at the California Speedway in Fontana, California. The car will feature the Energizer e(2) Lithium bold, high-tech blue and silver paint scheme along with the famous Energizer Bunny(R). The upcoming race gives racing fans a perfect opportunity to interact with the Energizer e(2) Lithium brand, the World's Longest Lasting AA/AAA batteries in High-Tech Devices. As an added bonus, the Energizer Bunny will be on hand during pre- race ceremonies and in the pits on Sunday to encourage Reed Sorenson and the No. 41 Energizer/Target team.

For a decade, Energizer has worked closely with Target Chip Ganassi Racing (TCGR) to showcase Energizer's long-lasting performance on both the NASCAR and IRL racing circuits. Late last season, Energizer partnered with TCGR and Reed Sorenson to bring a special delivery of Disney/Pixar's Cars DVDs to children of the Victory Junction Gang Camp, a camp that provides children with chronic medical conditions or serious illnesses with exciting, fun and empowering activities in a safe environment. Sorenson and some of the children took a few laps around the track, while the Energizer Bunny encouraged them to the finish line. After the race, Sorenson and the Energizer Bunny hosted a special DVD screening of the movie.

"Our on-going partnership with Target Chip Ganassi Racing is a fantastic complement to the constant innovation that is synonymous with the Energizer name," said Jeff Ziminski, Vice-President North American Marketing, Energizer Holdings, Inc. "The amazing team at Target Chip Ganassi Racing really reflects the spirit of perseverance and integrity that is so important to Energizer. We feel fortunate to have such a meaningful partnership with them."

Energizer e(2) Lithium batteries are the world's longest lasting AA and AAA batteries in high-tech devices from digital cameras to MP3 players to wireless headsets. For example, digital cameras using Energizer e(2) Lithium batteries take up to 630 pictures vs. up to 90 with leading ordinary alkaline batteries (AA only. Results vary by camera).

In addition to providing extremely long life, Energizer e(2) Lithium batteries offer several other advantages. First, both the Energizer e(2) Lithium AA and AAA are 33 percent lighter than their alkaline counterparts. The increased portability makes them ideal for travel and situations where every ounce counts. Second, Energizer e(2) Lithium batteries perform well in extreme temperatures, allowing your device to work from the Arctic to the Sahara. Lastly, Energizer e(2) Lithium batteries have a shelf life of up to 15 years versus 7 years with ordinary alkaline.

About Chip Ganassi Racing

Following a strong career as a driver, Chip Ganassi created his own one- car IndyCar team in 1990 and established a partnership with a new sponsor, Target Stores. Today, his teams include two IRL IndyCars, two Indy Pro Series cars and along with Felix Sabates he has three cars in the NASCAR NEXTEL Cup Series, a Daytona Prototype in the world of Grand American Rolex Sports Car Series racing and two entries in the NASCAR Busch Series. Ganassi's IndyCar teams have amassed five Championships and 50 wins since 1994; his NASCAR teams have nine wins and a Rookie-of-the-Year title; and the Grand American team has won two of the last three Rolex Series Daytona Prototype Championships and the 2006 Rolex 24 At Daytona. Chip Ganassi Racing operates out of state-of-the-art race shop facilities in Indianapolis, Ind., and Concord, N.C., with a corporate office in Pittsburgh, Pa.

About Energizer

Energizer Holdings, Inc. , http://www.energizer.com/ , headquartered in St. Louis, Missouri, is one of the world's largest manufacturers of primary batteries, battery-powered devices and flashlights. Energizer, a global leader in the dynamic business of providing portable power geared toward the new digital age, offers a full portfolio of products including, the Energizer(R) MAX(R) premium alkaline brand; Energizer(R) e(2)(R) Lithium(R) and Energizer(R) e(2)(R) Titanium Technology(R) performance brands; Nickel Metal Hydride (NiMH) Rechargeable batteries and chargers; and miniatures brand batteries.

The Energizer product line also includes specialty batteries for hearing aids and medical devices, as well as for keyless remote entry systems, toys and other uses. Through its flashlight unit, Energizer brings innovation to this important household device. Energizer continues its role as a technology leader as it launches Energizer(R) Energi To Go(R), portable battery-driven power packs for cell phones.

source news : theautochannel.com

Though Brien McMahon High School had more than twice as many athletes entered in Saturday's Connecticut Interscholastic Athletic Conference Track and Field State Open Championship, with six members of its team competing, Norwalk had more than twice as many victories, with senior Nickel Hay literally running away with the meet.

Hay not only competed in three events, he also managed to qualify for the New England Interscholastic Boys' and Girls' Indoor Track and Field Championship in two of them and just missed qualifying in the third by .04 second.

Norwalk boys' head coach Bill Martin said in the beginning Hay was thrown off by competing in the long jump and the 55-meter dash simultaneously, but one never would have guessed that from the final results. In the long jump, Hay exceeded his seed distance, and personal best, of 21 feet, 5 3/4 inches by leaping to 21-9 1/4 and digging his toes into third place.

He placed sixth in the 55 dash preliminaries with a time of 6.69 seconds and qualified for the finals, in which he finished seventh overall in the state, reducing his time even further to finish at 6.67. As only the top six proceed to the regional championship, Hay just missed qualifying in the 55 dash.

source news : norwalkcitizen-news.com

eResearch analysts, Adrian Manlagnit, B.Sc. (Mining Engineering), and Bob Weir, B.Sc., B.Comm., CFA, have written an Initiating Report on Richview Resources Inc. Richview Resources is a mineral exploration and development company focused largely on developing to production the former Thierry copper-nickel mine in the Patricia Mining District in northwestern Ontario. It also holds, through joint ventures or earn-ins, interests in other properties in Ontario's prolific gold mining districts.

In the Report, the Analysts state: "Commencing in 2007, Richview has an ambitious $30-million development plan to bring the Thierry mine to production by 2009. From 1976 until operations ceased in 1982, the Thierry mine produced, from open pit and underground mining, approximately 113.6 million pounds (Mlbs) of copper and 2.8 Mlbs of nickel, as well as lesser amounts of platinum, palladium, and precious metals."

The Analysts go on to say, "The Company is now undertaking the Stage 1 development program at Thierry. Since it is going to require a total of about $30 million over the next 2-3 years to bring Thierry back into production, the Company may be challenged to raise these funds without causing undue share dilution or loss of outright ownership."

eResearch is Canada's primary source for independent, quality, investment research, focused primarily on small- and mid-cap companies. Our research and analysis is of institutional quality, and has the potential of reaching millions of global investors through our extensive Internet distribution network. eResearch does not trade in the securities of the companies it covers, nor does it accept any stock related compensation for research services. eResearch does not engage in retail or institutional sales, trading, or corporate finance activities, nor does it conduct investment banking or investor relations services for the companies covered. Our sole business is providing quality, unbiased research.

Richview Resources Inc. paid eResearch a fee of C$18,500 + GST to conduct research on the Company, on an Annual Continuous Coverage basis.


Contact:

Michael Newbury
Richview Resources Inc.
President and CEO
(416) 703-5435
Email: mnewbury@richviewresources.com
Website: www.richviewresources.com

Bob Weir, CFA, Director of Research
eResearch
(416) 643-7643
Email: bweir@eresearch.ca
Website: www.eresearch.ca
To subscribe to eResearch and then view/download the report

Source: eResearch

The global steel giant Arcelor Mittal has said on Friday that it intended to invest 2.2 billion dollars (1.69 billion euros) in developing an iron mine and infrastructure in Senegal, considering West Africa to be a major centre for its mineral supplies.

The investment plan covers development of a mine near Faleme in the south east of the country, the construction of a port near Dakar and the development of about 750 kilometres (470 miles) of rail infrastructure to link the mine to the port.

The mine would begin production in 2011 and would have an annual capacity of 15-25 million tonnes.

Arcelor Mittal also said that it was also considering investing in steel-making facilities in the country.

An agreement for the investments, signed with authorities in Senegal on Thursday, would take effect once certain formalities had been completed, company chairman Lakshmi Mittal said.

The investment was an important step in the group's strategy of making West Africa a major pole of iron ore supplies.

The company also intended to make Senegal a strategic point for extension of it presence on growing markets in West Africa.

In 2005, Mittal Steel, before it acquired Arcelor, signed an agreement for access to iron ore resources in Liberia.

But the contract was criticised by non-governmental organisation Global Witness. Liberian President Ellen Johnson Sirleaf said after her election in November 2005 that she would re-negotiate contracts signed by the previous administration and considered disadvantageous, and she did so with regard to the contract with Mittal Steel.

In Liberia, Arcelor Mittal is to invest nearly one billion dollars and will have access for 25 years to one billion cubic metres of iron ore in the west of the country.

(AFP)

Liberty Mines Inc. (CDNX:LBE.V - News) ("Liberty or the Corporation") is pleased to announce that underground drilling at the Redstone Mine continues to intersect high grade nickel ("Ni") mineralization to the 1506-foot (459m) level. Drilling from within the mine to establish a National Instrument 43-101 reserve to approximately the 1500-foot (457m) level will be completed shortly. The reserve calculation for the deposit will include the ore remaining to be mined in the 600-800-foot (183m-244m) levels down to the 1500-foot level and will be released as soon as it is received. Historical reserves previously reported for the mine included drilling to the 1100-foot (335m) level.

Borehole R06-01 was extended from last years drilling and intercepted 3.45m of 3.9% Ni at 2214 feet (675m) vertically below the surface of the mine.

The core lengths presented in the table are the intersected lengths, and the composite lengths are core weighted.

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Unicorn Theatre joins the public debate about minimum-wage jobs-and who fills them-by continuing their 2006-2007 season with Joan Holden's skillfully crafted adaptation of Barbara Ehrenreich's best selling book Nickel and Dimed.

The production opens March 9, 2007 and runs through April 1, 2007. Producing Artistic Director Cynthia Levin leads a cast of Kansas City favorites including Peggy Friesen, Cheryl Weaver, Lynn King, Jennifer Aguilar, David Fritts and newcomer Katie Kalahurka in this humorous and poignant tale of the working poor. Unicorn's production of Nickel and Dimed by Joan Holden is underwritten by The Women's Foundation of Greater Kansas City and the Mollie and Frank Zoglin and Sons Family Fund for the Arts. Tickets are now on sale and can be purchased at the box office by calling 816-531-PLAY or through Central Ticket Office on our website www.unicorntheatre.org.

visit at : infozine.com

Rio Tinto Group, the world's third- largest mining company, may invest $2 billion, double an earlier estimate, developing its first nickel project in Indonesia to meet rising demand driven by steelmakers in China.

"We're still negotiating with senior levels of government in Indonesia,'' said Ian Head, a Melbourne-based spokesman for Rio. "When it's concluded, Rio can then start a feasibility study and the costs of the project would be up to $2 billion.''

Nickel producers are developing projects in Asia as prices surged to a record this month on concern shrinking supplies won't match demand. BHP Billiton Ltd., the world's largest mining company, may invest as much as $1.5 billion on a nickel project in the Philippines, a government official said today.

``BHP and Rio have said they're willing to go to riskier countries to tap resources there, and the nickel prices may be quite good for a while,'' said Peter Chilton, who helps manage the equivalent of $800 million at Constellation Capital Management in Sydney. ``Both Indonesia and the Philippines are certainly prospective in resources. Rio definitely wants to be in nickel.''

Shares of London-based Rio rose 30 cents, or 0.4 percent, to A$77.60 on the Australian Stock Exchange at the 4:10 p.m. Sydney time close. Shares of Melbourne-based BHP rose 16 cents, or 0.6 percent, to A$28.94.

2012 Start

The proposed BHP project in Davao Oriental province in the Philippines may start production in 2012, Reyes said today after meeting company executives in Manila. Officials from BHP at the meeting declined comment, as did BHP's Melbourne-based spokeswoman Samantha Evans.

Rio's proposed Indonesian venture, which includes a smelter, will produce the metal in refined form, not as concentrate, Simon Sembiring, director general of minerals at the energy ministry, said today in Jakarta. The project is sited at Asampala, straddling Southeast and Central Sulawesi provinces in the east of the Indonesian archipelago.

The investment is ``larger than initial estimate of over $1 billion as we need a big investment to refine the laterite ore, which has low content of nickel,'' said Budi Irianto, manager of external affairs at Rio's Indonesian unit. He said negotiations will continue next week over the payment of royalties.

Nickel futures have risen by 35 percent in the past six months, while stockpiles tracked by the London Metal Exchange have halved since the year began. Nickel is used to make stainless steel, sales of which are rising, especially in China, the world's fastest-growing major economy.

Sign Contract

On June 19, when Tom Albanese, Rio's then head of exploration, met Indonesian officials while negotiating for the contract, he said the project may produce as much as 46,000 metric tons of nickel a year, and cost $1 billion. Albanese will take over as Rio's chief executive officer in May.

Energy Minister Purnomo yesterday said that Rio Tinto and the government will next month sign a contract of between 20 and 25 years that sets out the operational conditions for the miner, as well as taxes, royalties and provisions for sale of ownership to local groups.

Rio will pay royalties similar to the amount that PT International Nickel Indonesia, referring to the country's largest nickel miner, and a unit of Brazil's Cia. Vale do Rio Doce, Sembiring said today.

According to data from the ministry, International Nickel Indonesia pays $0.015 per kilogram of nickel content in ore that contains less than 2.5 percent of the metal. For ore containing more than 2.5 percent, the royalty rises to $0.03 per kilogram.

The contract will ensure Rio Tinto will comply with taxes and regulations stipulated by central and local governments at the time the contract is signed, Sembiring said. The contract will not be subject to change should tax-related regulations change in the future, he added.

To contact the reporter on this story: Claire Leow in Jakarta at cleow@bloomberg.net ; Leony Aurora in Jakarta at laurora@bloomberg.net

Kennecott Minerals Co. will have to obtain at least one federal permit before drilling a nickel and copper mine in Michigan's Upper Peninsula, the U.S. Environmental Protection Agency says.

The company plans to install an underground infiltration system to dispose of treated wastewater, said Jo Lynn Traub, director of the water division in the EPA's Chicago regional office. That will require a permit to ensure the mine complies with the federal Safe Drinking Water Act, she said Wednesday.

Thus far, regulation of the proposed mine has been handled entirely on the state level, through the Michigan Department of Environmental Quality. Federal involvement is a new wrinkle that could further delay the project, said Michelle Halley, an attorney for the National Wildlife Foundation, which opposes the mine.

"This really brings in a whole new layer of protection for our groundwater resources," Halley said.

Kennecott spokeswoman Deborah Muchmore said the Salt Lake City-based company didn't expect the EPA's involvement to pose a serious obstacle.

Much of the information needed for the federal permit is readily available because it also was required for a state groundwater discharge permit the company is seeking, Muchmore said.

"We're going to do whatever is required, whether by the EPA or DEQ," she said.

The DEQ last month tentatively approved Kennecott's application for three permits, including one for groundwater discharge. The department has scheduled public hearings for Marquette and Lansing next month and could make a final ruling as early as May.

Traub said it would take about six months for the EPA to process an application for an Underground Injection Control permit. A 45-day period would be set aside for public comment and a hearing might be conducted, she said.

source news : lansingstatejournal.com