Cantung Mine

Last updated
Cantung Mine Tungsten, Northwest Territories.jpg
Cantung Mine

Cantung Mine is a tungsten producer in the Nahanni area of the Northwest Territories, Canada, located northeast of Watson Lake in the Flat River Valley of the Selwyn Range close to the Yukon border. Tungsten was originally discovered in the area in 1954 by prospectors. [1] Cantung Mine operated from 1962 to 1986, again from 2002 to 2003, and from 2005. Production was suspended from October 2009 to October 2010. The mine owner, North American Tungsten Corporation, went bankrupt in 2015 and the mine closed in October of that year. The federal government of Canada now owns the mine and has to clean up the site. [2] As of December, 2017, the mine remained closed, with the possibility of being opened to process a nearby lithium deposit. [3] As of February 2019, the mine is still closed; the federal and NWT governments are trying to sell it. [4]

Contents

1962—1986

The original company that developed the mine was Canada Tungsten Mining Corporation Limited, with Cantung being a short abbreviated form of the company name. The small community of Tungsten was established for workers and their families along with the small, still open, Tungsten (Cantung) Airport. It was an open-pit operation until 1974 when the newly discovered underground deposit was brought to production. It closed due to low tungsten prices in 1986. It was purchased by North American Tungsten Corporation of Vancouver [5] in 1997. Stephen Leahy, Chair and CEO, recognized the potential for Cantung tungsten production because 85% of the world's tungsten reserves are in China: [6]

I just had to believe that at some point in time, something was going to happen -- and of course several years ago China passed a law against exporting raw material tungsten. They are moving up the value chain. They want to do the refining in the first state. Pretty soon they will want to sell you the finished goods, the saw blades, the drill bits. If you in the West have no raw material, how are you going to make those things?"

Stephen Leahy, 2007

2002—2003

With higher prices in the new millennium, the new owner, North American Tungsten Corporation, reopened the mine for production in 2002. The mine again closed in 2003 when the company's creditors recalled their loans, putting the company on the verge of bankruptcy.

2005—present

After a re-finance, the mine reopened September 1, 2005. By November 2007, North American Tungsten stated that Cantung had approximately two years of tungsten reserves left, but combined with its Mactung mine operation, the two hold 15% of the world's known tungsten. [7] Leahy is optimistic:

We've seen the price rise from $50 a unit (22 kilograms) to $250 a unit in two-and-a-half years... This mine started in the early 1960s and it has been taken care of quite well, but you are still dealing with very old equipment... China used to say it had an infinite amount of tungsten. Then a few years ago they said they had about 100 years' supply at the current rate. Then last year at the tungsten conference [China] said they were less than 20 years and they better start looking. Their grade has been dropping as mines mature. They haven't been reinvesting. They have environmental issues, and you can't just bring a mine on in two months. Even over there it takes years. Their costs are rising, as ours are.

Stephen Leahy, 2007, Having patience pays off in mining tungsten [8]

Related Research Articles

<span class="mw-page-title-main">Eldorado Gold</span>

Eldorado Gold Corporation is a Canadian company that owns and operates gold mines in Turkey, Greece and Canada. Since its merger with European Goldfields in 2011 the company has been pursuing the development of the Skouries mine, Olympias mine and Stratoni mine in Greece. The company previously developed and operated gold mines in China, Brazil and Mexico. Headquartered in Vancouver and listed on the Toronto and New York Stock Exchanges, Eldorado Gold has developed and operated assets from several merged companies HRC Developments Corporation, Afcan Mining Corporation, Sino Gold Mining, Brazauro Resources, Integra Gold, as well as European Goldfields.

<span class="mw-page-title-main">Teck Resources</span> Canadian mining company

Teck Resources Limited, known as Teck Cominco until late 2008, is a diversified natural resources company headquartered in Vancouver, British Columbia, that is engaged in mining and mineral development, including coal for the steelmaking industry, copper, zinc, and energy. Secondary products include lead, silver, gold, molybdenum, germanium, indium and cadmium. Teck Resources was formed from the amalgamation of Teck and Cominco in 2001.

<span class="mw-page-title-main">Tungsten, Northwest Territories</span> Abandoned company town in the Northwest Territories, Canada

The townsite of Tungsten is located at Cantung Mine in the Northwest Territories. It is accessible from Watson Lake, Yukon via the Nahanni Range Road.

Tumbler Ridge is a district municipality in the foothills of the B.C. Rockies in northeastern British Columbia, Canada, and a member municipality of the Peace River Regional District. With a population of 2,399 (2021) living in a townsite, the municipality encompasses an area of 1,558 km2 (602 sq mi) of mostly Crown land. The townsite is located near the confluence of the Murray River and Flatbed Creek and the intersection of Highway 52 and Highway 29 and includes the site of the Tumbler Ridge Secondary School and Tumbler Ridge Airport. It is part of the Peace River South provincial electoral district and the Prince George—Peace River—Northern Rockies federal riding.

<span class="mw-page-title-main">Nahanni Range Road</span> Highway in Yukon, Canada

The Nahanni Range Road was completed in the early 1960s from Watson Lake, Yukon along the present alignment of the Robert Campbell Highway to Miner Junction, thence along the Highway 10 route, across the border into the Northwest Territories to the privately owned mining town, Tungsten, and the Cantung Mine. The portion between Cantung Junction and Watson Lake has, since 1971, been part of the Robert Campbell Highway.

<span class="mw-page-title-main">PotashCorp</span> Company

The Potash Corporation of Saskatchewan, also known as PotashCorp, was a company based in Saskatoon, Saskatchewan. The company merged with Calgary-based Agrium to form Nutrien, in a transaction that closed on January 1, 2018.

<span class="mw-page-title-main">Mining industry of the Democratic Republic of the Congo</span>

The mining industry of the Democratic Republic of the Congo produces copper, diamonds, tantalum, tin, gold, and more than 70% of global cobalt production. Minerals and petroleum are central to the DRC's economy, making up more than 95% of the value of its exports.

<span class="mw-page-title-main">South Crofty</span> Tin and copper mine in Cornwall, England

South Crofty is a metalliferous tin and copper mine located in the village of Pool, Cornwall, England. An ancient mine, it has seen production for over 400 years, and extends almost two and a half miles across and 3,000 feet (910 m) down and has mined over 40 lodes. Evidence of mining activity in South Crofty has been dated back to 1592, with full-scale mining beginning in the mid-17th century. The mine went into serious decline after 1985 and eventually closed in 1998. After several changes of ownership, South Crofty is owned by Cornish Metals Inc, which is working to re-open the mine, as of November 2022, having received a permit for dewatering the mine.

Lundin Mining Corporation is a Canadian company that owns and operates mines in Sweden, United States, Chile, Portugal and Brazil that produce base metals such as copper, zinc, and nickel. Headquartered in Toronto, the company was founded by Adolf Lundin and operated by Lukas Lundin. While it was incorporated to pursue an interest in a diamond mine in Brazil, the company re-structured and raised funds to develop the Storliden mine in Sweden. It purchased the Swedish Zinkgruvan Mine from Rio Tinto and then merged with Arcon International Resources for its Galmoy Mine in Ireland and with Eurozinc for its Neves-Corvo mine in Portugal. The company subsequently purchased and operated the Eagle mine, Candelaria mine, and Chapada mine.

<span class="mw-page-title-main">Drakelands Mine</span> Tungsten and tin mine in Devon, England

Drakelands Mine, also known as Hemerdon Mine, Hemerdon Ball Mine or Hemerdon Bal Mine is a tungsten and tin mine. It is located 11 km northeast of Plymouth, near Plympton, in Devon, England. It lies to the north of the villages of Sparkwell and Hemerdon, and adjacent to the large china clay pits near Lee Moor. The mine had been out of operation since 1944, except for the brief operation of a trial mine in the 1980s. Work started to re-open it in 2014, but it ceased activities in 2018. It hosts the fourth largest tin-tungsten deposit in the world.

<span class="mw-page-title-main">Mining in Bolivia</span>

Mining in Bolivia has been a dominant feature of the Bolivian economy as well as Bolivian politics since 1557. Colonial era silver mining in Bolivia, particularly in Potosí, played a critical role in the Spanish Empire and the global economy. Tin mining supplanted silver by the twentieth century and the central element of Bolivian mining, and wealthy tin barons played an important role in national politics until they were marginalized by the industry's nationalization into the Bolivian Mining Corporation that followed the 1952 revolution. Bolivian miners played a critical part to the country's organized labor movement from the 1940s to the 1980s.

Red Back Mining Inc. is an unhedged Vancouver based mineral resource company. Its focus is West Africa where it operates the Chirano Gold Project in Ghana and the Tasiast Gold Mine in Mauritania. It has one division, Red Back Mining NL, based in Perth, Australia. While independent it was considered one of Canada's Largest gold companies with a market capitalization of $ 5.8 billion or 3/4 as much as the 10th largest gold mining company in the world however at the time its key mines hadn't yet reached full potential or critical mass.

Molycorp Inc. was an American mining corporation headquartered in Greenwood Village, Colorado. The corporation, which was formerly traded on the New York Stock Exchange, owned the Mountain Pass rare earth mine in California. It filed for bankruptcy in June 2015 after changing competitive circumstances, declining prices on output and a 2014 restructuring. It was purchased by its largest creditor Oaktree Capital Management and was reorganized as Neo Performance Materials.

The world's largest producer of uranium is Kazakhstan, which in 2019 produced 43% of the world's mining output. Canada was the next largest producer with a 13% share, followed by Australia with 12%. Uranium has been mined in every continent except Antarctica.

Mining in North Korea is important to the country's economy. North Korea is naturally abundant in metals such as magnesite, zinc, tungsten, and iron; with magnesite resources of 6 billion tonnes, particularly in the North and South Hamgyong Province and Chagang Province. However, often these cannot be mined due to the acute shortage of electricity in the country, as well as the lack of proper tools to mine these materials and an antiquated industrial base. Coal, iron ore, limestone, and magnesite deposits are larger than other mineral commodities. Mining joint ventures with other countries include China, Canada, Egypt, and South Korea.

The Mactung Project is a planned open pit tungsten mine located in the Selwyn Mountains of eastern Yukon, Canada, on its border with the Northwest Territories. Mactung represents one of the largest tungsten resources in Canada having estimated reserves of 33 million tonnes of ore grading 0.88% WO3. The Mactung Project completed the Yukon Environmental and Socio-economic Assessment process in July 2014, and the Yukon government approved construction of the mine (pending mining and water licence applications, and subject to a number of conditions) in September 2014. North American Tungsten Corporation estimated the capital cost of the mine's construction to be approximately CA$400 million. In November 2015, the Government of the Northwest Territories purchased the mineral deposit.

<span class="mw-page-title-main">Sangdong mine</span> Mine in Yeongwol County, Gangwon Province, South Korea

The Sangdong mine located in South Korea is one of the largest tungsten mines in the world. The mine is located 187 km southeast of Seoul, approximately three hours’ drive via expressways and local sealed highways. Temperatures rise to a maximum of about 30 °C during the wet summer months of June to August. The winter period is relatively dry and extends from October to March, with freezing temperatures occurring during the period December to March.

<span class="mw-page-title-main">Mining industry of Uganda</span>

The mining industry of Uganda, documented as early as the 1920s, witnessed a boom in the 1950s with a record 30 percent of the country's exports. It received a further boost when mining revenues increased by 48 percent between 1995 and 1997. However, the World Bank reported that the sector's contribution to gross domestic product (GDP) dropped from 6 percent during the 1970s to below 0.5 percent in 2010. Uganda's extractive industry activities have been identified by the Natural Resource Governance Institute as focused on "extraction of cobalt, gold, copper, iron ore, tungsten, steel, tin and other industrial products such as cement, diamonds, salt and vermiculite". Limestone is sold in local markets whereas gold, tin, and tungsten are major exports.

Almonty Industries is a global mining company focused on tungsten mining and exploration. Its primary operations are in Spain, Portugal, and South Korea. The company is listed on the Toronto Stock Exchange.

Tempiute is a ghost town in Lincoln County, Nevada United States.

References

  1. "Overview". infomine.com. 2007-04-21. Archived from the original on 2011-07-13. Retrieved 2007-11-16.
  2. Herb Mathisen, "The GNWT's case for buying Mactung"   Uphere Magazine, November 19, 2015.
  3. Beers, Randy (2017-12-26). "Exploration company eyes new life for Cantung mine mill". Canadian Broadcasting Corporation . Retrieved 2018-09-23.
  4. Radio Canada International, 2019
  5. "TUNGSTEN EXPLORATION - Mactung project advances". Canadian Mining Journal. November 7, 2007. Archived from the original on July 21, 2012. Retrieved 2007-11-16.
  6. Scott Simpson (2007-10-31). "Having patience pays off in mining tungsten". Vancouver Sun. Archived from the original on 2007-11-02. Retrieved 2007-11-16.
  7. "High tungsten prices light up interest in new northern mine". CBC.ca. 2007-11-05. Retrieved 2013-11-12.
  8. Having patience pays off in mining tungsten from The Vancouver Sun

Further reading

61°57′25″N128°12′10″W / 61.95694°N 128.20278°W / 61.95694; -128.20278