Japan Major 2 Cemented Carbide Tool Makers Eye Tungsten Interest

Japanese major 2 cemented carbide tool makers study investment in offshore tungsten mines. Mitsubishi Materials talks with Sojitz Corporation to purchase interest in Panasqueira mine of Portugal. Sumitomo Electric Industries studies investment opportunities including Mactung deposit of Canada. The makers try to secure mining interest for stable procurement of material when China represents around 80% of the world production.

Sojitz Corporation acquired 100% of Primary Metals, which holds 100% interest of Panasqueira mine. The mine produces annual 1,100 tonnes of concentrate. Sojitz Corporation confirms reserve for more than 20 years of operation for the mine after more than 100 years of operation.

Mitsubishi Materials already purchases tungsten concentrate from the mine. The firm apparently imported 180 tonnes of concentrate in 2011, according to Ministry of Finance. The firm smelting the concentrate at the subsidiary, Japan New Metals to make tungsten powder as material of cemented carbide tool. Mitsubishi Materials is domestic sole maker with integrated production system from ammonium paratungstate to powder and cemented carbide tool. The firm completes the integrated production chain by acquiring mining interest.

North American Tungsten has undeveloped Mactung deposit. The deposit can produce around 6,000 tonnes per year of tungsten trioxide at underground mining, according to feasibility study results released by the firm in February 2009. The firm expects the mining life is around 11 years and another 17 years for open cut mining.

The firm now operates Cantung mine in Canada. The mine produced 1,160 tonnes per day of ore as of autumn 2010. The firm expected the mine can be operated through October-December 2014. The firm seeks Muctang deposit development scheme including financing for the future operation.

Sumitomo Electric Industries uses tungsten materials from the subsidiary, A.L.M.T. Corp., which imports tungsten trioxide from China and other sources. Sumitomo Electric Industries eyes purchase of mining interest.