The Story of the Golden Triangle in British Columbia
Connect with us

Mining

The Story of the Golden Triangle in British Columbia

Published

on

Golden Triangle in British Columbia

The Golden Triangle

In a hidden corner of Northwestern Canada lies some of the world’s most significant mineral potential.

Billions of dollars of undiscovered gold, silver, and copper still sit within an unexplored area that was once remote. However, only now can these world-class deposits be finally tapped.

Skeena Resources has generously helped us to put together the story of the famed Golden Triangle.

The History of the Golden Triangle

Even before Canada was officially a country, the area now known as the Golden Triangle was a hub for prospectors looking to strike it rich.

In 1861, Alexander “Buck” Choquette struck gold at the confluence of the Stikine and Anuk Rivers, kickstarting the Stikine Gold Rush. More than 800 prospectors left Victoria to go to the Stikine in search of gold.

A few short years later, an even more significant rush would occur just to the north in the Cassiar region – it’s where British Columbia’s biggest ever gold nugget, weighing in at 73 ounces, would be found. The Atlin Gold Rush, an offshoot of the world-famous Klondike Gold Rush, would also occur just north of the Triangle.

The First Discoveries

The companies that first worked in the Golden Triangle balanced its richness against the costs of its remote location.

1. Premier Gold Mine
The first big discovery in the Golden Triangle was at the Premier Gold Mine, which started operations in 1918.
The company that first owned it, Premier Gold Mining Company, returned as much as 200% on the stock market between 1921 and 1923. At the time the Christian Science Monitor called it “One of the greatest silver and gold mines in the world.”

2. Snip Mine
Discovered in 1964 by Cominco, the deposit stayed dormant until 1986, when it was drilled in a joint venture with Delaware Resources. Murray Pezim’s Prime Resources bought out Delaware after the stock ran from a dollar to $28 a share.

The high-grade Snip mine produced approximately one million ounces of gold from 1991 until 1999 at an average gold grade of 27.5 g/t.

3. Eskay Creek
In 1988, after a 109 drill holes, tiny exploration companies Stikine Resources and Calpine Resources finally hit the hole they needed at Eskay Creek: 27.2 g/t Au and 30.2 g/t Ag over 208m.

Eskay would go on to become Canada’s highest-grade gold mine and the world’s fifth largest silver producer, with production well in excess of 3 million ounces of gold and 160 million ounces of silver.

Grades:
Gold: 49 g/t
Silver: 2,406 g/t
Lead: 3.2%
Zinc: 5.2%

By the time it was all said and done, the stock price of Stikine Resources would go from $1 to $67, after it was bought by International Corona.

Why did these three rich mines shut down?

Despite the gold in the Triangle being extremely high grade, lower gold prices in the late 90s made the economics challenging. Meanwhile, the lack of infrastructure in this remote area of Canada meant that power, labor, and logistics costs were sky high.

Both of these things have changed today, and activity at the Golden Triangle is now fast and furious.

Gaining Access to the Triangle

The Golden Triangle is a hot area for exploration again. This is for three main reasons: higher gold prices, new infrastructure, and modern discoveries.

Higher gold prices

Average gold price (1999): $279 (Adjusted for inflation: $398)
Average gold price (2016): $1202

Gold prices are more than 3x as high today, even after adjusting for inflation. Combined with the Golden Triangle’s high grades, this becomes even more attractive.

New Infrastructure:

Today, road access to the area is easier than ever, and a new transmission line will dramatically reduce the cost of power for companies operating in the Triangle.

Recent improvements:

  • Completion of a $700 million high-voltage transmission line to the Golden Triangle. The Northwest Transmission Line goes 335km from Terrace to Bob Quinn Lake, and north to the Red Chris mine
  • Paving of the Stewart-Cassiar highway north from Smithers (Hwy 37)
  • Opening of ocean port facilities for export of concentrate in Stewart
  • Completion of a three dam, 277 MW hydroelectric facility located 70km northwest of Stewart

With new infrastructure in tow, the Golden Triangle is now open for business.

Modern Discoveries

The next gold rush at the Golden Triangle has already started.

Just some of the new discoveries in the area include Seabridge’s KSM project, Pretium’s Valley of the Kings deposit, and Imperial Metal’s Red Chris mine.

Yet, despite this track record of new discoveries and mines being built in the area, a British Columbia government report estimates that only 0.0006% of the Golden Triangle has been mined to date.

Click for Comments

Energy

The Top 10 Biggest Companies in Brazil

What drives some of the world’s emerging economies? From natural resources to giant banks, here are the top 10 biggest companies in Brazil.

Published

on

The Top 10 Biggest Companies in Brazil Oct 10 Share

The Top 10 Biggest Companies in Brazil

In 2009, the at-the-time emerging economies of Brazil, Russia, India, and China held their first formal summits as members of BRIC (with South Africa joining in 2010).

Together, BRICS represents 26.7% of the world’s land surface and 41.5% of its population. By GDP ranking, they’re also some of the most powerful economies in the world.

But what drives their economies? We’re highlighting the top 10 biggest companies in each country, starting with Brazil.

What Are the Biggest Public Companies in Brazil?

Brazil isn’t just one of the largest and most diverse countries in the world, it is also an economic powerhouse.

With over 213 million people, Brazil is the sixth most populous country on Earth and the largest in Latin America. It’s also the wealthiest on the continent, with the world’s 12th-largest economy.

Once a colony focused on sugar and gold, Brazil rapidly industrialized in the 20th century. Today, it is a top 10 exporter of industrial steel, with the country’s economic strength coming chiefly from natural resources and financials.

Here are Brazil’s biggest public companies by market capitalization in October 2021:

Top 10 Companies (October 2021)CategoryMarket Cap (USD)
ValeMetals and Mining$73.03B
Petróleo BrasileiroOil and Gas$69.84B
AmbevDrinks$43.87B
Itaú UnibancoFinancial$41.65B
Banco BradescoFinancial$34.16B
WEGIndustrial Engineering$29.43B
BTG PactualFinancial$25.01B
Banco Santander BrasilFinancial$24.70B
Rede D’Or Sao LuizHospital$23.79B
XP Inc.Financial$22.45B

At the top of the ranking is Vale, a metals and mining giant that is the world’s largest producer of iron ore and nickel. Also the operator of infrastructure including hydroelectricity plants, railroads, and ports, It consistently ranks as the most valuable company in Latin America.

Vale and second-ranking company Petróleo Brasileiro, Brazil’s largest oil producer, were former state-owned corporations that became privatized in the 1990s.

Finance in Brazil’s Top 10 Biggest Companies

Other than former monopolies, the top 10 biggest companies in Brazil highlight the power of the banking sector.

Five of the 10 companies with a market cap above $20 billion are in the financial industry.

They include Itaú Unibanco, the largest bank in the Southern Hemisphere, and Banco Santander Brasil, the Brazilian subsidiary of Spanish finance corp.

Another well-known subsidiary is brewing company Ambev, which produces the majority of the country’s liquors and also bottles and distributes PepsiCo products in much of Latin America. Ambev is an important piece of Belgian drink juggernaut Anheuser-Busch InBev, which is one of the world’s largest 100 companies.

Noticeably missing from the top 10 list are companies in the agriculture sector, as Brazil is the world’s largest exporter of coffee, soybeans, beef, and ethanol. Many multinational corporations have Brazilian subsidiaries or partners for supply chain access, which has recently put a spotlight on Amazon deforestation.

What other companies or industries do you associate with Brazil?

Correction: Two companies listed had errors in their market cap calculations and have been updated. All data is as of October 11, 2021.

Continue Reading

Mining

All the Metals We Mined in One Visualization

From iron ore to rare earths, over 3 billion tonnes of metals are mined each year. This chart shows them all on a relative scale.

Published

on

All the Metals We Mined in One Visualization

This was originally posted on Elements. Sign up to the free mailing list to get beautiful visualizations on natural resource megatrends in your email every week.

Metals are all around us, from our phones and cars to our homes and office buildings.

While we often overlook the presence of these raw materials, they are an essential part of the modern economy. But obtaining these materials can be a complex process that involves mining, refining, and then converting them into usable forms.

So, how much metal gets mined in a year?

Metals vs Ores

Before digging into the numbers, it’s important that we distinguish between ores and metals.

Ores are naturally occurring rocks that contain metals and metal compounds. Metals are the valuable parts of ores that can be extracted by separating and removing the waste rock. As a result, ore production is typically much higher than the actual metal content of the ore. For example, miners produced 347 million tonnes of bauxite ore in 2019, but the actual aluminum metal content extracted from that was only 62.9 million tonnes.

Here are all the metals and metal ores mined in 2019, according to the British Geological Survey:

Metal/OreQuantity Mined (tonnes)% of Total
Iron Ore3,040,000,00093.57%
Industrial Metals207,478,4866.39%
Technology and Precious Metals1,335,8480.04%
Total3,248,814,334100%

Miners produced roughly three billion tonnes of iron ore in 2019, representing close to 94% of all mined metals. The primary use of all this iron is to make steel. In fact, 98% of iron ore goes into steelmaking, with the rest fulfilling various other applications.

Industrial and technology metals made up the other 6% of all mined metals in 2019. How do they break down?

Industrial Metals

From construction and agriculture to manufacturing and transportation, virtually every industry harnesses the properties of metals in different ways.

Here are the industrial metals we mined in 2019.

MetalQuantity Mined (tonnes)% of Total
Aluminum62,900,00030%
Manganese Ore56,600,00027%
Chromium Ores and Concentrates38,600,00019%
Copper20,700,00010%
Zinc12,300,0006%
Titanium (Titanium Dioxide Content)6,300,0003%
Lead4,700,0002%
Nickel2,702,0001%
Zirconium Minerals (Zircon)1,337,0001%
Magnesium1,059,7361%
Strontium220,0000.11%
Uranium53,4000.03%
Bismuth3,7000.002%
Mercury2,4000.001%
Beryllium2500.0001%
Total207,478,486100%

Percentages may not add up to 100 due to rounding.

It’s no surprise that aluminum is the most-produced industrial metal. The lightweight metal is one of the most commonly used materials in the world, with uses ranging from making foils and beer kegs to buildings and aircraft parts.

Manganese and chromium rank second and third respectively in terms of metal mined, and are important ingredients in steelmaking. Manganese helps convert iron ore into steel, and chromium hardens and toughens steel. Furthermore, manganese is a critical ingredient of lithium-manganese-cobalt-oxide (NMC) batteries for electric vehicles.

Although copper production is around one-third that of aluminum, copper has a key role in making modern life possible. The red metal is found in virtually every wire, motor, and electrical appliance in our homes and offices. It’s also critical for various renewable energy technologies and electric vehicles.

Technology and Precious Metals

Technology is only as good as the materials that make it.

Technology metals can be classified as relatively rare metals commonly used in technology and devices. While miners produce some tech and precious metals in large quantities, others are relatively scarce.

MetalQuantity Mined in 2019 (tonnes)% of Total
Tin305,00023%
Molybdenum275,00021%
Rare Earth Elements220,00016%
Cobalt123,0009%
Lithium97,5007%
Tungsten91,5007%
Vanadium81,0006%
Niobium57,0004%
Cadmium27,5002%
Tantalum27,0002%
Silver26,2612%
Gold3,3500.3%
Indium8510.06%
Platinum Group Metals4570.03%
Gallium3800.03%
Rhenium490.004%
Total1,335,848100.00%

Percentages may not add up to 100 due to rounding.

Tin was the most-mined tech metal in 2019, and according to the International Tin Association, nearly half of it went into soldering.

It’s also interesting to see the prevalence of battery and energy metals. Lithium, cobalt, vanadium, and molybdenum are all critical for various energy technologies, including lithium-ion batteries, wind farms, and energy storage technologies. Additionally, miners also extracted 220,000 tonnes of rare earth elements, of which 60% came from China.

Given their rarity, it’s not surprising that gold, silver, and platinum group metals (PGMs) were the least-mined materials in this category. Collectively, these metals represent just 2.3% of the tech and precious metals mined in 2019.

A Material World

Although humans mine and use massive quantities of metals every year, it’s important to put these figures into perspective.

According to Circle Economy, the world consumes 100.6 billion tonnes of materials annually. Of this total, 3.2 billion tonnes of metals produced in 2019 would account for just 3% of our overall material consumption. In fact, the world’s annual production of cement alone is around 4.1 billion tonnes, dwarfing total metal production.

The world’s appetite for materials is growing with its population. As resource-intensive megatrends such as urbanization and electrification pick up the pace, our material pie will only get larger.

Continue Reading

Subscribe

Popular