Rabu, 06 November 2019

Barrick's profit nearly triples, but sees flat production for next five years - MINING.com

Barrick is the operator and 75% owner of the Turquoise Ridge mine in Nevada, pictured. Newmont owns the remainder. (Image courtesy of Barrick Gold.)

Canada’s Barrick Gold (TSX:ABX)(NYSE:GOLD), the world’s second largest producer of the yellow metal, saw its profit for the three months to September almost tripled as a result of higher output and prices.

The Toronto-based miner also bumped its payout to investors for the period by 25% to $0.05 per share, as adjusted profit rose to $264 million, or 15 cents per share. That compares to $89 million, or 8 cents per share, a year earlier.

In terms of output, Barrick churned out 1.31 million ounces in the third quarter from 1.15 million ounces in the three months to June 30.

The gold giant, however, expects production numbers to stay put through 2024, reaching between 5.15 and 5.6 million ounces of gold a year — in line with what it expects to produce this year.

The world’s second largest gold miner sees output reaching 5.15 to 5.6 million ounces a year between 2020 and 2024.

The company also predicted all-in sustaining costs (AISC) to be between $850 and $950 an ounce over the next five years, an improvement from the $984-million per ounce reported in the previous quarter.

Barrick has been looking to boost its reserves to address falling production. In July, the miner took a step in that direction by agreeing to combine its assets in the US state of Nevada with those of Newmont Goldcorp, the world’s No. 1 gold producer.

It has also taken over its subsidiary in Tanzania, Acacia Mining, which had spun off from the gold giant in 2010, paving the way for an end to long-dragged out tax dispute between the unit and the government of the African country.

A final settlement, which meant the creation of a new company — Twiga Minerals — was reached in October. Barrick has said it plans to sell about $1.5 billion in assets by the end of 2020. At the same time, it’s looking to buy more top-tier gold projects, in Canada and elsewhere, and invest in copper assets.



from Business - Latest - Google News https://ift.tt/32moasL
via IFTTT
November 06, 2019 at 09:59PM

SeaBus trips cut, bus cancellations loom in Metro Vancouver transit strike - CityNews Vancouver

VANCOUVER (NEWS 1130) – Commuters have been warned to expect some bus cancellations as job action by transit workers continues across Metro Vancouver, but SeaBus service connecting Vancouver and North Shore is already taking a hit.

Eight morning sailings have been cut so far at the Lonsdale Quay Terminal, out of a total of 14 cancellations on day six of the strike.

An overtime ban by Unifor maintenance staff began Friday, and bus drivers have been refusing to wear uniforms. The union is now considering an overtime ban for bus operators, which could result in thousands of bus trip cancellations.

In North Vancouver, the 7:20, 740, 8:40 and 9:10 a.m. SeaBus sailings have been cut so far on Wednesday. From Waterfront Station, the 7:25, 7:55 8:55 and 9:25 sailings have been cut.

There are six cancellations scheduled for the afternoon and into the evening.

Talks between Unifor and Coast Mountain Bus Company, which operates Metro Vancouver transit services on behalf of TransLink, broke off last week, leading to job action by roughly 5,000 Unifor transit drivers, SeaBus operators and mechanics.

The two sides are currently not at the bargaining table, six days into the job action, and no further talks are scheduled.

Dozens of SeaBus sailings have been cancelled since Friday, and there is the possibility some bus schedules will be affected this week.

With files from Lauren Boothby



from Business - Latest - Google News https://ift.tt/34GGGxD
via IFTTT
November 06, 2019 at 08:46PM

Another Canadian Oil & Gas Producer Bites The Dust - OilPrice.com

Calgary-based Houston Oil & Gas Ltd has become the latest victim of the struggling oil and gas sector in Canada, ceasing operations as lower oil and natural gas prices and an investor exodus continues to weaken Alberta’s energy sector.

Houston Oil & Gas Ltd operated some 1,200 wells in Alberta, of which 95 percent were gas wells and 5 percent, oil wells.

But Houston Oil & Gas has informed the Alberta Energy Regulator (AER) that it is halting operations and no longer has any employees, CBC News reports, citing court documents.

Some of Houston Oil & Gas’s wells have already been transferred to the Orphan Well Association (OWA), an industry-funded group that picks up the tab for decommissioning and cleaning up wells for companies that have gone bankrupt and can’t sell their assets.

The AER has estimated that if all of Houston Oil & Gas’s wells cannot be sold and thus designated as ‘orphaned’, the clean-up costs would amount to US$62 million (C$81.5 million), according to CBC News.

Houston Oil & Gas is not the first Canadian producer struggling in recent months amid low oil and gas prices and constrained market access in Canada’s energy patch.

Related: The Next Stage Of Trump’s Plan To “Secure The Oil” In Syria

In early October, Calgary-based Bellatrix Exploration Ltd said that it would start looking for a buyer or buyers of the company or part of its assets. The company also launched a court-supervised restructuring proceeding, citing “industry challenges facing the Western Canadian oil and natural gas sector, including prolonged and continued poor natural gas and natural gas liquids prices.”

While some smaller players go bust, larger companies are fleeing Canada.

In late October, Encana Corporation said it intends to move its corporate domicile from Canada to the United States and rebrand under a new name, amid a growing investor and company exodus from the Canadian oil patch plagued by pipeline capacity shortage and general anti-oil sentiment.  

By Tsvetana Paraskova for Oilprice.com

More Top Reads From Oilprice.com:



from Business - Latest - Google News https://ift.tt/2NPEnkL
via IFTTT
November 07, 2019 at 03:30AM

Ikea plans to open small stores in Toronto core as consumers crave convenience - CP24 Toronto's Breaking News


Aleksandra Sagan, The Canadian Press
Published Wednesday, November 6, 2019 6:50AM EST

Ikea Canada plans to open its first smaller, downtown store format in the country in Toronto within the next two years.

The focus on the new formats for the retailer known for massive stores that can feel like walking through a home furnishings and decor labyrinth comes as urban consumers demand spaces closer to them that don't require a long drive.

"Customers are changing," said Michael Ward, who assumed the role as president of the retailer's Canadian arm at the start of the year after more than three decades with the company.

"We're moving with customers and one part of that is that we want to penetrate the big cities."

In 2018, Ikea announced it planned to add small shops to 30 cities around the world.

The smaller shops come in three different formats.

One of the first opened in Madrid, Spain, in 2018. The city shops focus on different categories, such as bedroom or living room and tend to be roughly 2,500 square metres (27,000 square feet).

In New York City's Manhattan borough, Ikea took a different approach, focusing on services. The planning studio format is the smallest -- about 500 square metres (5,400 square feet).

The last store type -- dubbed extra small -- spans 5,000 square metres (54,000 square feet).

A typical Canadian Ikea store, by comparison, clocks in at between 25,000 and 35,000 square metres (269,000 to 377,00 square feet).

Ikea's not the only retailer to open downsized store formats in more urban areas.

Sleep Country Canada Holdings Inc. has been on a similar path. The mattress retailer started targeting locations inside malls within the past few years.

In August, the company opened its eleventh mall store at Edmonton's Kingsway Mall. Sleep Country operates a total of 276 stores as of the end of September, according to its most recent financial filings.

As part of its transformation, Ikea has already added 15 of the smaller stores across 10 city centres around the world.

Toronto will be the site of the first such Ikea store in Canada -- though the company has yet to lock into a lease.

"We're interested in the centre of course... but we're also looking in other areas in the city," said Ward.

The company envisions more than one location, he said, noting its current Toronto-area stores are mostly situated north of the city, so a little east or west could be interesting.

It's not limiting the Toronto urban expansion to one store. Ward envisions at least one extra-small format, as well as perhaps a planning studio.

"There's a very good chance it will be more than one."

While the company is focused on Toronto for now, "all of the larger metro areas in Canada are certainly of interest to us," said Ward.

People are increasingly living in cities and car ownership rates are dropping, he said, which makes it more difficult for people to travel to Ikea's big locations farther outside the downtown core.

He's careful to stress that doesn't mean foot traffic to Ikea's Canadian stores is falling. In its 2019 financial year, there were 31 million visits to its Canadian locations -- up 2.7 per cent from the previous year.

But he notes the company's been missing a way to offer easy access to a physical location for folks living in the city centre.

This report by The Canadian Press was first published Nov. 6, 2019.



from Business - Latest - Google News https://ift.tt/32i9cEd
via IFTTT
November 06, 2019 at 06:50PM

KFC hopes to avoid a hot mess with new bamboo buckets for poutine - Toronto Star

Poutine just might be one of the messiest snack foods known to humankind.

That also, apparently, makes it the ideal way to test new, environmentally friendly packaging.

The gravy and cheese curd-laden mass of fries will be front and centre next year as KFC launches a trial with bamboo packaging. Eventually, the bamboo buckets could hold everything from the company’s fried chicken to french fries and chicken strips. But first up? Canada’s goopy, rich snack food icon.

“If it can handle the poutine, it can handle other things,” said KFC Canada president and general manager Nivera Wallani as the company announced a trial to begin in early 2020.

KFC has 650 restaurants across Canada, including 190 in Ontario. The company has committed to sourcing all of its fibre-based packaging from certified or recycled sources by next year. It also promised to remove all plastic straws and bags from its restaurants before the end of this year.

Wallani, who said KFC Canada has been working on the project for six months, wanted to make sure the new packaging was solid enough to hold the gravy and melted cheese, but breathable enough to let some moisture escape so the fries wouldn’t go soggy. (The existing poutine bucket is made out of black polypropylene and the current chicken bucket is made out of polyethylene coated paper.)

“There’s sustainability, and there’s food integrity. We needed to find something that would work with both,” said Wallani.

While there’s sometimes a concern that new packaging doesn’t do as good a job as the existing stuff, in the case of bamboo, it’s actually better than paper for deep-fried foods, because its breathability allows steam to escape, preserving that crunch factor.

“Styrofoam was really the ideal. But most fast food places aren’t using it any more because of sustainability problems. Bamboo comes much closer than paper,” said Sylvain Charlebois, senior director of the agri-food analytics lab at Dalhousie University.

Packaging has always been a problem for poutine producers, said Charlebois, who’s writing a history of the calorie-laden snack food, called “Poutine Nation.”

“This not a new problem. Packaging has been an issue for poutine for 50 years. When it first came out, they’d put the gravy in a separate container so the fries didn’t get too soggy,” Charlebois said.

Poutine is also less risky a way for KFC to put the new packaging through its paces, because it’s less central to the company’s brand, Charlebois said.

“If it doesn’t work, there’s less damage to the brand. Their brand is about chicken. As soon as you change the material, you don’t know how it’s going to react,” Charlebois added.

Bamboo is more readily available than some other sustainable packaging options, meaning that there shouldn’t be any problems lining up suppliers for a wider rollout, Charlebois said.

“Bamboo is low-hanging fruit. It’s there, it’s available, it’s dirt cheap, and you can do a lot of different things with it,” said Charlebois.

Still, while it’s dirt cheap relative to other sustainable options, bamboo packaging is still roughly twice as expensive as traditional paper containers, Charlebois said.

KFC says there won’t be any price increase because of the new packaging, but there could be a problem if the company decides to tweak its pricing in the future, said York University marketing professor Alan Middleton.

“In survey after survey, when they’re asked about sustainable packaging or other green initiatives, people say ‘I’d rather do it, but I’m not prepared to pay a premium, or at least not much of one,’” said Middleton.

Still, there’s a marketing value in having environmentally sustainable packaging, Middleton said, particularly when a company announces its plans bit by bit, rather than a giant effort all at once.

Get more business in your inbox

Get the business news and analysis that matters most every morning in our Star Business Journal newsletter.

Sign Up Now

“There’s reputational value to be gained by doing this. Even if people get sick of hearing every little announcement, it eventually sinks in that ‘ooh, those guys are trying,’” said Middleton.

The fast food industry is struggling to deal with just how quickly the demand for environmentally sustainable packaging has grown, Charlebois said.

“This caught a lot of the big chains by surprise. They really weren’t expecting the reaction to be so visceral and so quick. Two or three years ago, nobody really spoke about it,” Charlebois said.

Josh Rubin

JOIN THE CONVERSATION

Error!We have suspended your account in accordance with our Code of Conduct. For more information please visit Code of Conduct

Q:

What do you think of KFC making a move towards bamboo buckets?

Conversations are opinions of our readers and are subject to the Code of Conduct. The Star does not endorse these opinions.


from Business - Latest - Google News https://ift.tt/32jvPrF
via IFTTT
November 06, 2019 at 04:27AM

Housing supply dwindling as more people move into Mississauga - insauga.com

 

The market is booming in Mississauga (and Toronto and the GTA overall), but the attractiveness of the region is offset by the persistent lack of housing inventory and the continued supply and demand imbalance that's driving up competition (and prices). 

The Toronto Real Estate Board (TREB) recently announced that GTA realtors reported 8,491 residential sales through TREB's MLS system in October 2019—a 14 per cent increase compared to the 7,448 sales reported in October 2018. 

TREB says sales were up on a year-over-year basis for all major home types.

"A strong regional economy obviously fuels population growth. All of these new households need a place to live and many have the goal of purchasing a home. The problem is that the supply of available listings is actually dropping, resulting in tighter market conditions and accelerating price growth," said Michael Collins, president, TREB, in a statement. 

"During the recent federal election, some parties committed to more flexibility on the mortgage lending front, including the reintroduction of a 30-year amortization period for insured mortgages and more flexibility in the application of the OSFI mortgage stress test. These and other housing-related policy options should be brought forth in the new minority Parliament." 

While reintroducing 30-year mortgages and easing the stress test would get more people into the market, it's not yet clear if that would help solve the housing crisis, as it appears to be driven—at least partially—by a lack of available housing for interested buyers. 

TREB says that in October, new listings were down by 9.6 per cent compared to October 2018.

The tighter market conditions resulted in price growth across all major market segments.

Penelope Graham, the managing editor of real estate brokerage and website Zoocasa, said that sellers' market conditions prevailed across the Mississauga, Brampton, and Halton regions in October. 

According to Graham, the lack of inventory and high demand means that home prices are steadily on the rise, and buyers are finding that the competition is heating up with crowded open houses and multiple-offer situations becoming increasingly more common.

"Mississauga experienced sizzling market conditions in October, as the number of sales well outpaced the supply of new listings and transactions and price growth rose by double digits," Graham said. 

Graham says a total of 833 homes changed hands in the municipality, up 20.5 per cent compared to the same time frame in 2018. Coupled with a 5 per cent dip in new listings - just 1,137 homes were brought to market over the course of the month - that's pushed the city steeply into sellers' territory. 

Graham says the average home price rose by a whopping 17.6 per cent to $816,383.

According to TREB data, the average price of a detached house in Mississauga sits at $1,172,971. The average price of a semi-detached house is $753,410, the average price of a townhouse is $599,056 and the average price of a condo is $524,316. 

TREB is calling on all levels of government to work to produce more housing. 

"All levels of government affecting the GTA plus many international organizations have recognized that we continue to face a supply issue in our region for all types of housing," said TREB CEO John Di Michele in a statement. 

"TREB looks forward to continuing its work with policymakers at all levels to bring more supply online, which will help ensure a sustainable pace of price and rent growth over the longer term." 

The MLS Home Price Index composite benchmark was up by 5.8 per cent on a year-over-year basis in October 2019 - the strongest annual rate of growth since December 2017. 

The average selling price for all home types combined was up by 5.5 per cent to $852,142, compared to $807,538 in October 2018.

"As market conditions in the GTA have steadily tightened throughout 2019, we have seen an acceleration in the annual rate of price growth. While the current pace of price growth remains moderate, we will likely see stronger price growth moving forward if sales growth continues to outpace listings growth, leading to more competition between home buyers," said Jason Mercer, TREB's chief market analyst, in a statement.



from Business - Latest - Google News https://ift.tt/2pQ2U18
via IFTTT
November 06, 2019 at 03:40AM

Would McDonald’s CEO Steve Easterbrook have lost his job if he worked in Canada? - Financial Post

Would Steve Easterbrook, McDonald Corp.’s just ex-chief executive, be fired if he had worked in Canada?

McDonald’s has a policy that “employees who have a direct or indirect reporting relationship are prohibited from dating or having a sexual relationship.” Although we do not know yet who Easterbrook’s sexual relationship was with, we do know that, by definition, that person must have had at least an indirect reporting relationship to him.

With McDonald’s possibly facing a sexual-harassment class action, it had to be seen, from a branding standpoint, to “walk the walk” when the news emerged.

In such situations not so long ago, the subordinate in the relationship was quietly paid off and the rainmaker retained. Post #MeToo, that simply is not on. Imagine the public calumny in this case if the person Easterbrook dated was fired and he had stayed.

But would it be cause for discharge in Canada so as to deprive him of severance? Probably. C-suite executives have more stringent obligations than other employees. That is as it should be since they have to be role models as well as the individuals ultimately responsible for enforcing such company policies.

There is also a practical problem. If an executive is having a relationship with anyone subordinate to him (or her), others will assume the subordinate is getting ahead for that reason and be less motivated themselves. Suspicion will inherently fall on the subordinate’s evaluations and, if promoted, how that came about.

This suspicion is not without reason. As a psychological matter, someone emotionally involved with a subordinate will unconsciously rate them more favourably.

It is for this reason that most Canadian companies have prohibitions against superior-subordinate relationships and, at a minimum, an obligation to disclose any relationship so that the company can ensure that one is in no position to provide favours or benefits to the other.

Some Canadian courts have gone so far as to view any sexual relationship between a superior and a subordinate as inherently constituting sexual harassment.

There is another unhappy reality. What is consensual today, retrospectively, may appear otherwise, particularly if the relationship ends badly for one of the parties. This is reason enough to prohibit it entirely.

Howard Levitt is senior partner of Levitt LLP, employment and labour lawyers. He practises employment law in eight provinces. The most recent of his six books is Law of Dismissal in Canada.

• Email: hlevitt@levittllp.com | Twitter:



from Business - Latest - Google News https://ift.tt/32jSRPg
via IFTTT
November 05, 2019 at 11:58PM