New Atlas Salt strategic partnership with Sandvik includes electric mining fleet

Atlas Salt Inc has announced the signing of a comprehensive non-binding Memorandum of Understanding (MOU) with Sandvik Mining and Rock Solutions. This strategic partnership establishes Sandvik as the preferred underground mobile mining equipment supplier and Integrated Project Delivery (IPD) Partner for the Great Atlantic Salt Project.

Great Atlantic is described by Atlas Salt as a state-of-the-art ‘Salt Factory’ which would be the first new underground salt operation in North America in nearly three decades. Only one new mine has been built in the last 60 years, creating more than a dozen ageing mines and it argues contributing to a significant domestic production shortfall. Atlas has a target date of the first half of 2025 for securing project financing. Surface construction would commence in late 2025, then the boxcut, portals and decline development from mid-2026, the conveyor install from April 2027, with mine commissioning and operational readiness coming in 2028.

The mine will be accessed through two declines driven to 240 Level (nominally 240 m below surface) where the process plant and related infrastructure will be located. Internal declines will be developed as necessary to sustain the initial production rate of 2.5 Mt/y over an initial 34-year mine life. A total of seven production levels supported with internal declines and level-specific infrastructure will be constructed to support mining activities on each level. Room and pillar production mining will be executed in four cuts of 5 m height, resulting in a maximum room height of 20 m. Rooms will be 16 m wide, separated by 25 m square pillars. Processing of the salt will take place at a crushing and screening plant located within the underground mine and it will be transported to the surface via conveyor belts. On surface, a series of conveyor belts will transport the rock salt from the mine site to the port.

This partnership with Sandvik it says s a significant step forward in the development of the Great Atlantic Salt Project, enhancing the project’s operational capabilities with state-of-the-art equipment designed for safety, efficiency, and sustainability. Sandvik’s offerings include the integration of its AutoMine® automation system, which will elevate the mine’s operations through tele-remote and autonomous functionalities, thereby reducing operational risks and increasing productivity.

Key highlights of the MOU include firstly the purchase of advanced electric mining equipment. As part of this partnership, Atlas Salt will acquire a fleet of cutting-edge mining equipment from Sandvik. This includes three MB670-1 high-capacity continuous miners, one MT521 roadheader, five TH550B 50 t battery-electric haul trucks, two Toro™ LH518iB 18 t battery-electric loaders, and one DS412iE battery-powered bolter. The CM and roadheader are cable electric. The bolter charges its battery via cable while drilling then runs on battery for tramming but can also draw additional electric power for drilling from the onboard battery pack.

Included with the mining fleet will be the development of the AutoMine system for core fleet automation. This system will enable tele-remote and autonomous operations, making underground mining safer, more sustainable and productive. Additionally, the fleet will feature a suite of Newtrax hardware and complementary software products designed to provide proximity detection, collision avoidance, and data-driven productivity and safety modules, ensuring safe and efficient equipment operation. Supporting this digital transformation is Ambra Solutions’ advanced network infrastructure, which ensures seamless wireless communication and data distribution throughout the underground environment.

Sandvik’s innovative Battery Management Service will power Atlas Salt’s fleet with the latest battery technology, minimising downtime and enhancing productivity. This sustainable energy solution aligns with the project’s commitment to reducing its environmental footprint. Sandvik will also provide a comprehensive Full Maintenance Program, ensuring the continuous operation and peak performance of all equipment. This program includes preventative maintenance, regular inspections, and rapid response repair services, all designed to maximise equipment uptime and minimise operational disruptions.

To optimise the design and development of the Great Atlantic Salt Project, Sandvik will leverage Deswik’s leading mine design software and engineering consulting services. This will ensure that the mine’s layout and operations are fully optimised for Sandvik equipment, promoting efficiency, safety, and sustainability throughout the Life of Mine (LOM).

Finally, leveraging the expertise of DSI Underground, the partnership will implement customised ground support solutions and grouting services, tailored to the unique geological conditions of the Great Atlantic Salt Project. These solutions will ensure stability and safety in underground operations.

Sandvik will establish local warehousing facilities in Newfoundland to ensure the immediate availability of critical parts and components. Additionally, a dedicated technical support team will provide on-the-ground assistance, ensuring quick resolutions to any operational challenges that arise.

In connection with the product and service offering, Sandvik has offered a $73 million financing arrangement to support the acquisition and deployment of Sandvik’s advanced mining technology, equipment, and service solutions. The financing offer remains non-binding pending completion of the final purchase documents and is subject to customary due diligence.

Richard LaBelle, CEO of Atlas Salt, commented: “We are excited to partner with Sandvik, a leader in mining technology, to equip the Great Atlantic Salt Project with the most advanced underground mining systems available. This collaboration, along with the financing, marks a major milestone in our journey to establish Canada’s next salt mine.”

Peter Corcoran, Vice President of Sandvik Mining and Rock Solutions Canada, added: “Sandvik is proud to partner with Atlas Salt on the Great Atlantic Salt Project, bringing our cutting-edge mining solutions to one of the most significant salt developments in Canada. Our focus on automation and digitalisation aligns perfectly with Atlas Salt’s commitment to safety, efficiency, and sustainability.”