Listing on Mining Salons

Magemi Mining is happy to announce that we have listed our company with Mining Salons, which is a global connecting platform for mining professional. We believe that listing on Mining Salons will make our technical and financial expertise, as well as our innovative products and services visible to Mining Salons’ broad international network of investors and users, and it will help to drive our business forward.

About Mining Salons

Mining Salons is a global connecting platform for mining projects, equipment, commodities and technologies which leans on an extensive network of international partners to connect mining professionals and help them achieve their goals.

To accredited investors, capital pool companies and institutional investors, Mining Salons offer curated content of international mining projects for sale at various stages of development. To mining executives who are looking to sell their projects, they bring successful deal sourcing execution and closing skills. They also partner with equipment vendors and mining cleantech vendors to showcase their processes and technologies.

Contact:

info@miningsalons.com

https://www.miningsalons.com/

Why Is Graphite a Hot Commodity?

According to the International Energy Agency, electric car sales around the world rose by 54 per cent in 2017, taking global stock across the three-million threshold. As the EV market grew, so did the strategic materials sector, namely lithium, graphite, cobalt and other materials that are used in the EV batteries.

There are already multiple signals that indicate that graphite will become one of the hottest commodities in the next decade. First of all, let’s explore current demand and supply of graphite in relation to the electric vehicle market.

Source: Magemi Graphite

One 75kwh battery requires 90 kilograms of coated spherical graphite which in turn requires 225 kilograms of natural flake graphite. Natural graphite mined in 2017 was 1,200,000 tpa, with China producing more than half of it. Of the total natural demand supply, flake graphite which is used in the EV battery production was 600,000 tpa.

Graphite, compared to a typical precious or base metals project, has an exceptionally quick timeline to get in production and incomparably lower Capex requirements. That makes graphite projects very low risk for investors with huge upside potential which comes from a small graphite market (about 450,000tpa) on the verge of quadrupling in the next couple of years. The exponential growth of graphite will mostly come from huge graphite anode Gigafactories producing Lithium Ion batteries for electric cars where graphite’s use in kilograms is four times higher than lithium’s. Some of these factories (Panasonic Tesla, LG Chem, CATL, Samsung SDI, Northvolt etc) have been commissioned and their construction and ramp-up are in progress but there are many more that are being built by LuiMao Graphite China in conjunction with BAIC Automotive Group Co., Ltd,  ShanShan Technology and BTR New Energy Materials for a total capacity of 300,000 tpa.

Source: Magemi Graphite

Another part of the increased graphite demand is expected to come from the commercialization of graphene, that miracle material of the future discovered at the University of Manchester in the beginning of the century, which promises to revolutionize aviation, electronics, medicine, and water desalination, among other things.

Last but not least, as China races to increase its own production of natural graphite and locks in strategic contracts for the supply of natural graphite with graphite-producing countries such as India, Brazil, Canada and Mozambique, both the U.S. and Europe have listed natural graphite as a critical mineral because they do not currently produce any.

In summary, we would like to highlight below some of the recent news behind the soaring demand for graphite:

Source: Magemi Graphite

  • Tesla plans to produce 500,000 Electric Cars until 2020 – this alone will increase the current graphite demand by 20%

  • Europe plans to ban combustion engine vehicles by 2040 – this will result in replacing approximately 300,000,000 cars and will increase the current graphite demand by 10 to 15 times

  • Graphite demand for batteries is estimated to multiply to more than 800,000 tons a year in 2030 from just 13,000 tons in 2015  (Source: Longer Term Investments Smart mobility, UBS 2017)

  • Graphene is called “material of the future”. New products using graphene are commercialized every day.

  • Bionic devices in living tissues can be connect directly to neurons. In such a way, people with spinal injuries, could re-learn how to use their limbs.

  • Graphene filters covered in tiny holes can be used for desalination of water. This will make sea and ocean water drinkable

  • People like Sir Richard Branson think that all aircraft will be constructed from super-light graphene within a decade. Much lighter and much stronger than the carbon fibre composites presently used, graphene has been attracting the attentions of Airbus, which is a member of the Graphene Flagship research group (1m2 of Graphene weighs 0.77mg)

  • Touchscreens that use graphene as conductor could be slapped onto plastic rather than glass resulting in unbreakable phones

  • Graphene can help charge phone batteries in five seconds!

Magemi Mining Awarded IBM Innovation Funding

We are pleased to share with you that Magemi Mining’s project titled “Data Analytics and Machine Learning to Optimize Ore Blending, GHG Emissions and Project Economics in the Mining Industry” has been selected as a winner of the Customer Demonstration Program administered by Ontario Centres of Excellence (OCE) on behalf of the Ontario Ministry of Economic Development and Growth (MEDG). As an integral part of the IBM Innovation Incubator Project, the Customer Demonstration Program provides an opportunity for disruptor companies participating to showcase to a potential client the value of their technology. 

All program funding administered by OCE is discretionary and awarded on the basis of a highly competitive process that attracts many applications. Eligible applications are reviewed on their merit and also assessed against program objectives and assessment criteria. Given the limited funding available, only projects that attain the highest recommendations and demonstrate the greatest likelihood of meeting program objectives are awarded funding.

This award has recognized Magemi Mining as a significant disruptor in the field of data mining and artificial intelligence, and has facilitated the licensing of our flagship product, Magemi Mine Optimizer, to another client.

Magemi Mining Inc. Awarded NSERC Grant

Magemi Mining Inc. is pleased to announce that NSERC has approved funding for the Company's project "Data Analytics for Ore Blending Schedules".

The project aims to develop novel data analytics models for optimizing ore blending schedules for Magemi Mining Inc. Ore blending is a key process in mining operations , where ores of distinct qualities are mixed from different stockpiles so as to balance the available mineral reserves with revenues obtained upon sale of the final products. In particular, higher-grade ore feed lead to products with higher prices, but they reduce the overall life-of-mine tonnage and production. Thus, medium to low grade ore must be often combined with high-quality ones. A key challenge is that such blends must be defined daily while considering a large variety of factors, such as quality restrictions and a complex revenue structure that relies on current and future market prices. This results in a difficult problem in which it is necessary to consider numerous different blending scenarios, currently addressed only by manual methods.

Magemi Mining recently developed a preliminary optimization tool to address this problem. Several case studies indicated that good solutions could conservatively lead to an increase in revenue of greater than 30% as compared to existing methods used by mining companies. Motivated by these results, the project focuses on blending methodologies using state-of-the-art optimization models that are the focus of the applicant’s research agenda and exploit machine learning and other predictive data analytics techniques to propose good solutions for large-scale problems.. The models will be incorporated into Magemi Mining’s proprietary software Magemi Mine Optimizer© to provide cutting-edge blending solutions to its clients. Moreover, the results of the proposed study will be published in academic papers as they represent an important and applicable optimization problem in industry.

How to Cut Your Carbon?

In May this year, Environment and Climate Change Canada published a technical paper on the federal carbon pricing backstop which seeks to inform Canadians and stakeholders about the federal carbon levy and the output-based pricing system that are going to take effect in 2018 and 2019, respectively. All elements of the backstop will apply in jurisdictions that do not have a carbon pricing system in place by 2018. The backstop will also supplement systems that do not fully meet the benchmark. In effect, a carbon pollution pricing system will take form in all provinces and territories in Canada as early as next year.

Coverage and rates of the carbon levy

Fossil fuels that will be subject to the levy include liquid fuels (e.g., gasoline, diesel fuel, and aviation fuel), gaseous fuels (e.g., natural gas) and solid fuels (e.g., coal and coke). Carbon levy rates will initially be set for the period from 2018 to 2022. Rates for each fuel subject to the levy will be set such that they are equivalent to $10 per tonne of CO2 e in 2018 and increase by $10 per tonne annually to $50 per tonne in 2022. These rates of levy correspond to increases in gasoline and diesel prices of ¢11.63 and 13.69, respectively.

Impact on the mining industry

Mining companies, such as Agnico Eagle, have estimated the impact of the federal carbon tax in the range of tens of millions of dollars over the next six years for their remote operations locations in Nunavut. With energy representing about 25% of production costs, mining companies are very motivated to reduce their carbon footprint. One way to do that is through renewable energy and long-term investments in wind, solar and other renewable energy projects which can cut expenses and clean up their operations. Companies such Rio Tinto PLC and Glencore Xstrata have wind-farm projects in the Northern Territories under way that will reduce energy costs and the expected carbon tax.

How can we help?

One thing that all miners seem to agree on is that the cost of inaction will be very high. Magemi Mining can help your company address effectively the looming carbon taxes. Our team of experienced mining and computer sciences professionals has developed a software scheduler called Magemi Mine Optimizer that optimizes handling and re-handling costs in all areas of mine operations and eliminates or substantially reduces GHG emissions from re-handling. Initial results show that Magemi scheduler can result in 50-80% of fuel for handling and re-handlingand GHG emissions reduction in the mining and processing areas and contribute to over $1.1M of savings a year in an average mine project. Now that’s worth having a conversation about.  If you are interested in learning more about Magemi Mine Optimizer, feel free to contact our CEO: 

georgi@magemi.com

(647) 267 2241

Bankable Feasibility Study

As commodity prices have remained stagnant for the last five years or so, financing deals in the mining industry are drying up. According to Business Vancouver, money raised in the mining sector in British Columbia alone dropped 40% compared with 2015: from $6.14 billion to $3.69 billion. Companies have to become more competitive in their search for money – but how?

One way to achieve that is through a truly “bankable” feasibility study. Typically, a bankable feasibility study is a comprehensive forward analysis of a project’s economics in the range of +/- 10% precision that seeks to convince investors of the credit-worthiness for project financing. The format prescribed by NI43-101 has largely remained unchanged for decades and that gives innovative mining companies an opportunity to differentiate themselves by preparing feasibility studies that run through many sensitivity tests and identify with objectivity the best-case scenario for profitability. Sensitivity analysis, such as Monte Carlo simulations, performed by an external vendor on stockpile blending, can run through multiple scenarios and combination to determine the optimal tonnage and time to blend different grade stockpiles in order to maximize processing plant performance. That will result in savings in final products penalties and improvement in the project financials above and beyond back-of-the envelop calculations.

Magemi Mining Inc has developed Magemi Mine Optimizer with that purpose in mind. With a click of a button, the optimizing software runs through multiple blending strategies and finds the optimal blends that maximize revenue and cash flows. The software goes through multiple sensitivity scenarios in the mine and plant production parameters, CAPEX, OPEX, prices, foreign exchange rate, and discount rate to produce a truly “bankable” solution that gives mining companies a unique competitive advantage in their feasibility studies.

The mining industry is tired of the gloom and doom and senior miners have already embraced forward-thinking technology solutions and consulting services in search of cost savings and optimal performance. That is the only way to go in a world of low commodity prices and reduced pool of investment options. Contact Magemi Mining to get started today.

2017 PDAC is around the corner

The Prospectors & Developers Association of Canada (PDAC) is the leading voice of the mineral exploration and development community. With over 8,000 members around the world, the PDAC’s mission is to promote a globally responsible, vibrant and sustainable minerals industry. Optimism and opportunity abounded in PDAC 2016 Convention which was attended by more than 22,000 attendees.

2017 PDAC Convention is going to take place during March 5-8 at Metro Toronto Convention Centre in Toronto, Canada. It should all but exceed the expectations and rebound set in 2016 PDAC as commodity markets continue to trend up. You can purchase your 2017 PDAC tickets here.