{"id":1112706,"date":"2019-04-25T16:16:23","date_gmt":"2019-04-25T16:16:23","guid":{"rendered":"http:\/\/www.mining.com\/?p=984359"},"modified":"2019-04-25T16:16:23","modified_gmt":"2019-04-25T16:16:23","slug":"canadian-miners-start-2019-off-on-the-right-foot-amid-mega-deals","status":"publish","type":"post","link":"https:\/\/juniorminingnews.com\/?p=1112706","title":{"rendered":"Canadian miners start 2019 off on the right foot amid mega-deals"},"content":{"rendered":"

Canada\u2019s mining industry started the year off on the right foot, with major deals including the Barrick-Randgold merger<\/a> and Newmont\u2019s acquisition of Goldcorp<\/a>, setting the tone for the sector.<\/p>\n

As a result, Ernst & Young\u2019s\u00a0Canadian Mining Eye index<\/a>\u00a0\u2014 which tracks the performance of 100 Toronto Stock Exchange and TSX Venture Exchange mid-tier and junior mining companies \u2014 rose 5% fin the January-March period, compared to the previous quarter, the consultancy\u00a0firm said Thursday<\/a>.<\/p>\n

Gold miners, in particular, recorded an improved performance, as prices for the metal increased by 1%, following an 8% quarter-over-quarter gain in October-December period.<\/p>\n

EY suggests that mining and metals deals will continue to shift from divestment-led to investment-led, with a focus on replenishing portfolio growth options.<\/q><\/p>\n

EY attributed gold\u2019s higher prices in the period partly to the possibility of fewer U.S. Federal Reserve rate hikes in 2019, and it believes the Fed factor will likely continue to benefit gold prices in the near-term.<\/p>\n

The consultancy also noted an increase in both production and exploration spend in the gold sector in Canada and globally.<\/p>\n

The country\u2019s gold output is set to grow by 6% this year<\/a>, compared to a previous estimate of 2%. This improvement, EY analysts say, stems from increased exploration spending resulting in a strong buildup of the project pipeline in 2019.<\/p>\n

Major projects slated to begin production this year include Newmont Goldcorp\u2019s Borden project in Ontario, Agnico Eagle Mines\u2019 Meliadine project in Nunavut and Barrick\u2019s Hemlo mine in Ontario.<\/p>\n

Base metal prices also fared well in Q1 2019. A surge in demand for electric vehicles (EVs) boosted nickel prices by 22% following a 15% decline in Q4 2018, says EY. The outlook for nickel remains positive with ongoing demand for stainless steel and reduced inventory levels.<\/p>\n

Similarly, zinc and copper prices increased by 19% and 9%, respectively, in Q1 2019 and are likely to benefit in the near-term from declining inventories and tight market conditions.<\/p>\n

\u201cImproving market conditions are inspiring new confidence in the mining and metals sector and putting growth back on the boardroom agenda,\u201d says\u00a0Jeff Swinoga, EY Canada Mining & Metals Leader. \u201cTo stay competitive in a transformed operating landscape, miners must develop bold strategies that accelerate productivity, improve shareholder returns and win investor confidence. The qualities that define long-term success aren\u2019t the same as they once were.\u201d<\/p>\n

The document suggests that mining and metals deal activity will continue to shift from divestment-led to investment-led with a focus on replenishing portfolio growth options in the near-term.<\/p>\n

The post Canadian miners start 2019 off on the right foot amid mega-deals<\/a> appeared first on MINING.com<\/a>.<\/p>\n","protected":false},"excerpt":{"rendered":"

Ernst & Young’s Canadian Mining Eye index — which tracks the performance of 100 Toronto Stock Exchange and TSX Venture Exchange mid-tier and junior mining companies — rose 5% fin the January-March period.<\/p>\n

The post Canadian miners start 2019 off on the right foot amid mega-deals<\/a> appeared first on MINING.com<\/a>.<\/p>\n","protected":false},"author":8,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"site-sidebar-layout":"default","site-content-layout":"","ast-site-content-layout":"","site-content-style":"default","site-sidebar-style":"default","ast-global-header-display":"","ast-banner-title-visibility":"","ast-main-header-display":"","ast-hfb-above-header-display":"","ast-hfb-below-header-display":"","ast-hfb-mobile-header-display":"","site-post-title":"","ast-breadcrumbs-content":"","ast-featured-img":"","footer-sml-layout":"","theme-transparent-header-meta":"","adv-header-id-meta":"","stick-header-meta":"","header-above-stick-meta":"","header-main-stick-meta":"","header-below-stick-meta":"","astra-migrate-meta-layouts":"default","ast-page-background-enabled":"default","ast-page-background-meta":{"desktop":{"background-color":"","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-gradient":""},"tablet":{"background-color":"","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-gradient":""},"mobile":{"background-color":"","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-gradient":""}},"ast-content-background-meta":{"desktop":{"background-color":"var(--ast-global-color-5)","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-gradient":""},"tablet":{"background-color":"var(--ast-global-color-5)","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-gradient":""},"mobile":{"background-color":"var(--ast-global-color-5)","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-gradient":""}},"footnotes":""},"categories":[421,419,506,405,404,369,2467,414,916,698,426,438,435],"tags":[25,33,48,288],"_links":{"self":[{"href":"https:\/\/juniorminingnews.com\/index.php?rest_route=\/wp\/v2\/posts\/1112706"}],"collection":[{"href":"https:\/\/juniorminingnews.com\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/juniorminingnews.com\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/juniorminingnews.com\/index.php?rest_route=\/wp\/v2\/users\/8"}],"replies":[{"embeddable":true,"href":"https:\/\/juniorminingnews.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=1112706"}],"version-history":[{"count":2,"href":"https:\/\/juniorminingnews.com\/index.php?rest_route=\/wp\/v2\/posts\/1112706\/revisions"}],"predecessor-version":[{"id":1112729,"href":"https:\/\/juniorminingnews.com\/index.php?rest_route=\/wp\/v2\/posts\/1112706\/revisions\/1112729"}],"wp:attachment":[{"href":"https:\/\/juniorminingnews.com\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=1112706"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/juniorminingnews.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=1112706"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/juniorminingnews.com\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=1112706"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}