https://www.engineeringnews.co.za

Covid-19 to slow mining industry development project momentum

17th April 2020

By: Tasneem Bulbulia

Deputy Editor Online

     

Font size: - +

The share of global mining projects that progressed to their next stage of development has decreased from 3.8% in the fourth quarter of 2019 to 2.8% in the first quarter of this year, and is expected to slow further in the second quarter as a result of the coronavirus outbreak, says data and analytics company GlobalData.

“With several countries entering complete lockdown, mining companies have minimised their workforce to temporarily suspend operations and development activities. As of April 13, the progress of 35 mines currently under construction globally was disrupted due to such lockdowns.

"These projects account for around 9% of total mines under construction and around 10.5% of total capacity as measured by run-of-mine (RoM),” comments GlobalData mining analyst Vinneth Bajaj.

Anglo American slowed development on its $5.3-billion Quellaveco copper mine, in Peru, withdrawing employees and contractors amid the country’s lockdown.

The company also temporarily put Woodsmith, its newly acquired potash project in the UK, on hold from March 27.

In Canada, Vale initially placed its Voisey’s Bay mine on care and maintenance for four weeks, but has since extended this for up to three months – delaying the development of its mine expansion project and transition from openpit to underground mining.

Similarly, in Chile, Teck Resources has suspended construction works at its Quebrada Blanca Phase 2 project in the wake of the country’s lockdown measures.

On the other hand, the updated feasibility study work of the Prieska copper/zinc project in South Africa is continuing remotely, with the site having been temporarily shut down.

“Around 76 mineral projects advanced in the first quarter of this year, down from the 101 projects in the fourth quarter of 2019. Assets moving forward into construction include the El Pilar copper project, in Mexico; the Zaldivar copper/molybdenum mine, in Chile; and North star iron-ore, in Australia,” indicates Bajaj.

Edited by Chanel de Bruyn
Creamer Media Online Managing Editor

Article Enquiry

Email Article

Save Article

Feedback

To advertise email advertising@creamermedia.co.za or click here

Showroom

Industrial Nozzles & Systems (Pty) Ltd
Industrial Nozzles & Systems (Pty) Ltd

Industrial Nozzles & Systems (Pty) Ltd (Est. 2000) exclusive representative in Southern Africa for LECHLER GmbH (Est. 1879) - Europe's leading...

VISIT SHOWROOM 
ATI Systems
ATI Systems

ATI systems comprises five divisions: electrical assemblies, drives and controls, feedback sensors, enclosures, and strip guiding.

VISIT SHOWROOM 

Latest Multimedia

sponsored by

Option 1 (equivalent of R125 a month):

Receive a weekly copy of Creamer Media's Engineering News & Mining Weekly magazine
(print copy for those in South Africa and e-magazine for those outside of South Africa)
Receive daily email newsletters
Access to full search results
Access archive of magazine back copies
Access to Projects in Progress
Access to ONE Research Report of your choice in PDF format

Option 2 (equivalent of R375 a month):

All benefits from Option 1
PLUS
Access to Creamer Media's Research Channel Africa for ALL Research Reports, in PDF format, on various industrial and mining sectors including Electricity; Water; Energy Transition; Hydrogen; Roads, Rail and Ports; Coal; Gold; Platinum; Battery Metals; etc.

Already a subscriber?

Forgotten your password?

MAGAZINE & ONLINE

SUBSCRIBE

RESEARCH CHANNEL AFRICA

SUBSCRIBE

CORPORATE PACKAGES

CLICK FOR A QUOTATION







301

sq:0.048 0.793s - 140pq - 2rq
Subscribe Now