Lead

Yellowhead Mining Inc. ("Yellowhead") (TSX VENTURE:YMI) is pleased to report Hole HC11-87 returned 242.52 m of 0.39 Cu, 1.6 g/t Ag and 0.037 g/t Au, including 33.45 m of 0.65% Cu, 2.1 g/t Ag and 0.071 g/t Au and 17.62 m of 0.96% Cu, 4.5 g/t Ag and 0.069 g/t Au.

Zambia has approved the proposed takeover of Equinox Minerals by Barrick Gold on condition the government keeps its 2.2 percent stake in Equinox, a regulatory body said on Friday. The Zambia Competition and Consumer Protection Commission granted final conditional authorisation of the acquisition as the deal did not raise any competition concerns, it said in a statement.

A Conference Board of Canada report says high energy and metals prices "are prompting resource companies to invest billions in iron ore projects, nickel processing and offshore oil developments" in Newfoundland and Labrador, generating the largest growth in real GDP this year of all the Canadian provinces." The board's Provincial Outlook - Spring 2011 report issued Wednesday also forecasts that Saskatchewan "will benefit from tax breaks and a hot mining industry."

Lundin Mining has abandoned its plans to sell, saying the bids did not fully value the company, according to a story reported in Bloomberg News. The decision also means CEO Phil Wright will resign; senior vice president of corporate development Paul Conibear will serve as interim CEO. The bids “did not adequately value the company or its assets,” Lundin said in a statement. “The best way to create shareholder value is to continue to manage and develop the company’s quality assets and to actively seek growth opportunities.”

Bloomberg reports that in London, Copper inched up for a second day as banks from Goldman Sachs Group Inc. to JPMorgan Chase & Co. backed the metal’s prospects. The market news is quoted as saying: Three-month delivery copper on the London Metal Exchange rose as much as 1.1 percent to $8,958 a metric ton and traded at $8,949.75 at 3:12 p.m. Singapore time. Stockpiles of the metal in Shanghai Futures Exchange warehouses declined to the lowest in more than seven months last week, a sign that demand may be picking up in the world’s biggest consumer.

Vancouver-based copper mining company Capstone Mining Corp. reported Tuesday a $18.9m profit for the first quarter, up from the Q1 2010 figure of $14.76m. Cash flow from operating activities was $6.7m, helping the company end the quarter with cash on hand of $181.2m. Darren Pylot, Capstone President and CEO said in a statement that the proposed acquisition of Far West Mining is expected to give the company 200% growth in anticipated copper production from 2011 to 2016 from its Santo Domingo project in Chile. The transaction, if approved by Capstone and Far West shareholders, is expected to close in mid-June.

BHP Billiton has dissolved a partnership with Blackthorn Resources to develop a mine in Zambia, according to a report in The Post Online: World's largest mining company BHP Billiton has finally withdrawn from the Mumbwa Iron Oxide Copper Gold project, aborting expectations that Zambia was to herald a new era of top tier miners. Its joint venture partner, Blackthorn Resources, announced that BHP Billiton had pulled out of a copper venture but would retain the right to a two per cent production royalty on any metal mined from the area.

Indian controlled and London listed diversified miner, Vedanta is reported to be poised to float off Konkola Copper Mines, its major Zambian copper producer for around US$7.3bn. Vedanta bought an initial 51% stake in Konkola Copper Mines in 2004 for a paltry US$261m, and subsequently increased its holding to the current 79.4% with the Zambian Government holding the balance, so an IPO valuing the company at over $7bn represents a huge gain for the multinational, founded and controlled by Indian entrepreneur Anil Agarwal.

The Rasp underground mine in the heart of one of Australia' most historic mining centres -- Broken Hill's Line of Lode -- should be operating by April next year. Development of the Rasp mine on Central Mining Lease 7 is in one of the most intensely worked areas between the Perilya Ltd North and South mining leases and it had a stop-start scenario with the big stall being when the zinc price crashed in during the global financial crisis.