Equinox Minerals

Last updated
Equinox Minerals Limited
Type Public
Industry Mining
Founded1993
FounderCraig Williams
Defunct2011
Fatemerger
Headquarters
Toronto, Perth
,
Canada Australia
Key people
Peter TomsettCHAIR
Craig WilliamsPRES, CEO
David McAuslandDIR
Products Gold, copper, cobalt,
uranium
Revenue C$1,046.787 mil 2010Increase2.svg96.8% [1]
Increase2.svg C$269.105 mil 2010
over loss of 183 mil in '09 [1]
Total assets C$3,246.76 mil Dec'10
Increase2.svg96% qoq [1]
Total equity Increase2.svg C$1,931.01 mil 2010 [2]
Number of employees
179 (December 2010)
Divisions Zambia (LMC)
Website www.equinoxminerals.com

Equinox Minerals is a mining and exploration company with corporate offices in Perth, Australia and Toronto, Ontario, Canada. It has operations in Peru and Australia. In Zambia it owned the Lumwana Mining Company, but that was bought by Barrick Gold in 2011. [3] Through Liontown Resources Limited and Alturas Minerals Corp., the company has gold and copper-gold exploration interests in Peru and Australia. [4] The Lumwana project which had enough reserves to be productive for 37 years, cost the company one billion dollars to develop. [5] [6] In Zambia it has been credited with supporting social development through projects which aim to build schools, attract professionals to areas around its mine sites. [7] 2010 copper production was 323.4 million pounds (146,690 tonnes) 68% higher than in 2009 (192.1 million pounds). [1]

Contents

The company produced slightly more copper than it sells (In 2010 323.4 vs 290.2 million pounds up from 2009 when it was 290.42 vs 179.72 million pounds), 77% of production occurred during the first nine months of the year (production was 113 kt, sales were 98kt); capital expenditure amounted to $66 million. [1] In September 2010 company debt was $433 million, long term debt fell significantly in the last quarter of 2010 from $422 million down to $295.57 million. [1] [8] Even though Equinox doesn't produce gold Barrick Gold, the world's largest gold company (both in terms of reserves and production) acquired Equinox Minerals in April 2011; the deal will lower the fraction of revenue Barrick receives from the sale of gold to 80%. [9]

History

The company formed after a merger between Equinox and Equinox Resources in January, 2004, and was incorporated the same month as a Canadian company. [10] It began operations in Zambia in 1996. [11] Prior to being acquired by Equinox in 1999 at least 10 different companies failed in their attempts to develop the Lumwana project, which covers 2 major copper mines and 1355 km squared in area. [6] [12] In 2010 Equinox was involved in a couple major transactions; first it acquired the Jabal Sayid copper-gold-silver project 350 km from Jeddah, Saudi Arabia, capable of producing 2.6 million tons of ore per year starting in 2012. [13] In February it launched a $4.8 billion hostile takeover bid for copper producer Lundin Mining, at the same time Lundin was attempting its own takeover ($9 billion Inmet Mining merger which would result in the creation of Symterra Corp). [14] (As of April 2011 none of those deals have been finalized, combination with Lundin Mining would raise Equinox production growth rate 23%). In April 2011, Equinox rejected a takeover offer by China Minmetals, [15] but later accepted a bid by Barrick Gold. [16] On April 25, 2011, Barrick Gold Corporation announced the acquisition [17] of Equinox for $7.69 billion.

Exploration projects

See also

Related Research Articles

<span class="mw-page-title-main">Barrick Gold</span> Canadian mining company

Barrick Gold Corporation is a mining company that produces gold and copper with 16 operating sites in 13 countries. It is headquartered in Toronto, Ontario, Canada. It has mining operations in Argentina, Canada, Chile, Côte d'Ivoire, Democratic Republic of the Congo, Dominican Republic, Mali, Papua New Guinea, Saudi Arabia, Tanzania, the United States and Zambia. In 2019, it produced 5.5 million ounces of gold at all-in sustaining costs of $894/ounce and 432 million pounds of copper at all-in sustaining costs of $2.52/pound. As of 31 December 2019, the company had 71 million ounces of proven and probable gold reserves.

<span class="mw-page-title-main">First Quantum Minerals</span> Canada based mining company

First Quantum Minerals is a Canadian-based mining and metals company whose principal activities include mineral exploration, development and mining. Its main product is copper, which accounts for 80% of revenues as of 2016.

NOVAGOLD is a Canadian company that is pursuing the development of the Donlin Gold mine in Alaska. Headquartered in Vancouver, the company is listed on the NYSE American and the Toronto Stock Exchange. The company was founded in Dartmouth, Nova Scotia, in 1984, to pursue exploration and development of mining properties. While the company bought and sold numerous exploration rights across North America, they have principally focused on four properties. They developed and operated the Murray Brook Mine in Nova Scotia from 1989 to 1992 and developed the Rock Creek Mine in Alaska but defaulted on financial obligations forcing it to close shortly after opening in 2008. They conducted exploration and development work on the Galore Creek mine in British Columbia between 2003 and 2018 but sold its interests. The development of the Donlin Gold mine has been pursued since the formation of a joint venture with Barrick Gold in 2012.

<span class="mw-page-title-main">Mining in Papua New Guinea</span>

Mining in Papua New Guinea is an important part of the Papua New Guinea economy.

<span class="mw-page-title-main">Gold mining in Nevada</span> Overview of gold mining in Nevada

Gold mining in Nevada, a state of the United States, is a major industry, and one of the largest sources of gold in the world. In 2018 Nevada produced 5,581,160 troy ounces, representing 78% of US gold and 5.0% of the world's production. Total gold production recorded from Nevada from 1835 to 2017 totals 205,931,000 troy ounces (6,405.2 t), worth US$322.6 billion at 2020 values. Much of Nevada's gold production comes from large open pit mining using heap leaching recovery.

China Minmetals Corporation is a Chinese metals and mineral trading company headquartered in Beijing. It is a state-owned corporation under direct supervision of the State-owned Assets Supervision and Administration Commission (SASAC). China Minmetals is engaged in the production and trading of metals and minerals, including copper, aluminum, tungsten, tin, antimony, lead, zinc, and nickel.

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 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">Copper in Africa</span> Overview of ore deposits and extraction

Copper is one of the world's most important industrial minerals, and Africa is an important world producer. While output is traditionally dominated by Zambia, South Africa and Katanga Province in the south of the Democratic Republic of the Congo, many African nations contribute to copper production, and many African nations have undeveloped ore resources.

There are different methods by which gold mining companies are ranked. One is by their annual production. Another is by their cash cost per ounce, that is, how much money it costs them to mine the gold. Since gold prices are the same everywhere, companies with lower costs per ounce make more profit. The most common method lists by market capitalization which considers the total value of capital holdings by that company. Also considered when comparing companies is their market capitalization per ounce of gold equivalent which takes the market value and total reserves and resources for each company as well as the price of gold into consideration. The figures for each company can be used to determine the value the stock market gives to each company's reserves on an ounce to ounce basis.

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.

Turquoise Hill Resources is a Canadian mineral exploration and development company headquartered in Montreal, Quebec, a majority-owned subsidiary of Rio Tinto Group. Its principal and only material mineral resource interest is a 66% share of the Oyu Tolgoi Copper-Gold Mine in Southern Mongolia 200 km east of Dalanzadgad. The company was called Ivanhoe Mines until August 2, 2012 when a financing agreement was completed with Rio Tinto.

<span class="mw-page-title-main">Abitibi gold belt</span> Region of Canada that extends from Wawa, Ontario to Val-dOr, Quebec

The Abitibi gold belt is a region of Canada that extends from Wawa, Ontario to Val-d'Or, Quebec. Located within the mineral-rich Abitibi greenstone belt, the gold belt is an established gold mining district having produced over 100 mines, and 170 million ounces of gold since 1901. Timmins, a town founded in 1912 following the Porcupine Gold Rush and subsequent creation of the Hollinger Mines, McIntyre Mines and Dome Mine, which was one area in the region that experienced a gold rush, beginning in 1909. The Kerr Addison Mine in Virginiatown was at one time Canada's largest gold producing mine. Many of the towns readily acknowledge gold mining as part of their history, some being named after gold. One of Canada's 'large roadside attractions' is a 12-foot replica of a 1908 gold sovereign built to commemorate Canada's first gold coin which was made using gold from the Kerr Addison owned Kerr-Addison mine.

Wheaton Precious Metals Corp. is a Canadian multinational precious metals streaming company. It produces over 26 million ounces and sells over 29 million ounces of silver mined by other companies as a by-product of their main operations.

<span class="mw-page-title-main">El Indio Gold Belt</span>

The El Indio Gold Belt is a mineral-rich region spanning the border between Chile and Argentina that contains large quantities of gold, silver and copper. On both sides of the border the belt is located within the Andes. The El Indio mine within the district was the first modern mine in Chile to produce gold as its main product. In Chile the main precious metal containing mineral is enargite. The El Indio belt is bordered in the north by another gold-silver mining district known as the Frontera District. Rodalquilarite, alunite and poughite are some of the minerals present in the area. The deposits of the belt formed during the Late Miocene period.

'Lumwana is a mining town located in Mwinilunga District, within the North-Western Province of Zambia.

The mining landscape in Zambia covers production of multiple mineral raw materials, including copper, cobalt, gold, nickel, manganese, emeralds, beryllium, myriad gemstones, sulfur, zinc, coal, iron ore, steel, limestone, uranium and other platinum-group metals. Mining has long been a significant primary sector industry and contributor to the Zambian economy by providing export income, royalty payments and employment.

<span class="mw-page-title-main">Kerr Sulphurets Mitchell</span>

Kerr-Sulphurets-Mitchell (KSM) is an active mine exploration project 65 km northwest of Stewart, British Columbia. The property is 100% owned by Toronto-based Seabridge Gold. Denver-based royalty company Royal Gold owns a 2% net smelter return royalty on the mine. Since May 2011, the project has also been called Kerr-Sulphurets-Mitchell-Iron Cap due to the addition of significant reserves from the Iron Cap region.

Kinsevere is an open pit mine and Heavy Media Separation plant with an electric arc furnace formerly operated by Anvil Mining, and now operated by Minerals and Metals Group. It is located 30 kilometres (19 mi) north of Lubumbashi, Katanga Province, Democratic Republic of Congo.

The Lumwana mine is a large copper mine located in north-west Zambia in North-Western Province. Lumwana is owned by Barrick Gold and represents one of the largest copper reserves in Zambia and in the world having estimated 5.014 billion pounds of proven and probable copper reserves of ore grading 0.68% copper.

References

  1. 1 2 3 4 5 6 "Equinox Minerals 2010 Annual Report" (PDF). 2011-04-12.[ permanent dead link ]
  2. ↑ "equinox minerals google finance balance sheet" . Retrieved 2011-06-06.
  3. ↑ "Company Profile". Invest Smart Australia. Retrieved 2010-04-24.
  4. ↑ "Equinox Minerals Ltd". minesite. Archived from the original on 2010-04-29. Retrieved 2010-04-24.
  5. ↑ "Lumwana open pit mine 37 years to go". 2009-10-03. Archived from the original on 2011-07-21.
  6. 1 2 "$1bn Lumwana copper project raises Zambian hopes of resuscitating its economy". 2009-05-01.
  7. 1 2 "Equinox Pumped In $1 Billion Into Lumwana Despite Unfavorable Commodity Prices". 2009. Archived from the original on 2011-07-18.
  8. ↑ "Equinox Minerals 2010 Third Quarter Report" (PDF). February 2011. Archived from the original (PDF) on 2011-07-10.
  9. ↑ "Barrick, Equinox in pact". 2011-04-29.[ permanent dead link ]
  10. ↑ "Equinox Minerals on the Australian Stock Market". mysharetrading.com. 2008-07-31.
  11. ↑ "Zambia:No turning back for Lumwana". allafrica.com. 2008-11-18.
  12. 1 2 "Perseverance pays for equinox at Lumwana". 2008-04-21.
  13. ↑ "Jabal Sayid Mine Development Project" . Retrieved 2011-04-17.
  14. ↑ "Equinox proposed $4.8 billion takeover of Lundin Mining". 2011-02-28. Archived from the original on 2011-05-20. Retrieved 2011-04-17.
  15. ↑ "Equinox rejects Minmetals". 2011-04-11. Archived from the original on 2012-03-18. Retrieved 2011-04-11.
  16. ↑ "Barrick Gold beats Minmetals to buy Equinox Minerals". BBC News. 25 April 2011. Retrieved 25 April 2011.
  17. ↑ Donville, Christopher; Pasternak, Sean B. (2011-04-25). "Barrick Gold to Buy Equinox for $7.66 Billion, Topping Offer by Minmetals". Bloomberg. Archived from the original on 2012-07-13.
  18. ↑ "Equinox Restructures the Zambezi Joint Venture". 2005-06-14. Archived from the original on 2012-11-04.
  19. ↑ "Alturas Announces Second Tranche of Financing and Completion of Debt Settlement". about.com. 2010-04-01.
  20. ↑ "Equinox Minerals Lumwana Copper Mine" . Retrieved 2010-04-28.
  21. ↑ "Lumwana Mine". 2009-04-09. Archived from the original on 2009-04-14.
  22. ↑ "Lumwana production shoots up by 37 p.c." 2010-04-09.
This page is based on this Wikipedia article
Text is available under the CC BY-SA 4.0 license; additional terms may apply.
Images, videos and audio are available under their respective licenses.