Marimaca eyes ASX dual listing to boost Chile project
The Canadian miner has reportedly engaged law firm Thomson Geer to finalize a prospectus for listing in the ASX before Christmas.
Canada on Friday formally blocked a proposal to build a steelmaking coal mine in the Rocky Mountains of Alberta, citing what it said would be the significant environmental damage.
The decision did not come as a surprise since energy regulators last month said the Grassy Mountain project, proposed by a unit of Australian billionaire Gina Rinehart’s Hancock Prospecting Pty Ltd, would not be in the public interest.
Environment Minister Jonathan Wilkinson, responsible for taking the final decision, said the project would harm surface water quality and threaten endangered animal and tree species.
“The Government of Canada has determined those effects are not justified in the circumstances and therefore, the project cannot proceed,” he said in a statement.
Hancock’s Riversdale Resources Ltd unit said that at its peak, the proposed C$800 million ($638 million) project would produce 4.5 million tonnes of steelmaking coal a year, generate C$1.7 billion in taxes and royalties over the 23-year mine life, and employ 400 people.
Last month Benga Mining Ltd, which is owned by Riversdale Resources, said it would launch an appeal against the earlier rejection by the energy regulator.
($1 = 1.2546 Canadian dollars)
(By David Ljunggren; Editing by Marguerita Choy)
Comments
Anthony Maw
Canada will be a difficult country to invest capital into the resource extraction for the foreseeable future, despite it’s historical record of mining excellence. Environmentalists and indigenous groups now have significant voice in the government decisions often leading to lengthy delays for multiple review and public consultation processes that can take years to complete, and ultimately end in permit application rejection. It has happened many times in recent decades and many companies have lost substantial exploration and development investments. In the present circumstances Canada is one of the riskiest countries for resource sector investments. Meanwhile the Canadian Liberal government ratchets up deficit spending without limits providing welfare and social benefits to the mining opponents.