Epiroc says it has banked its largest order contract ever with an agreement to supply a large fleet of electric drill rigs to Fortescue Metals for use at the miner’s iron ore operations across the Pilbara.
The five-year, circa-SEK2.2 billion ($220 million) contract will see the company deliver both cable-electric Pit Viper 271 E (PV271 E) blasthole drill rigs, as well as battery-electric SmartROC D65 BE drill rigs, starting from next year. More than 50 machines will be supplied.
The contract, which does not currently include any aftermarket/support services, surpasses Epiroc’s previous record, booked in the September quarter of 2023, which amounted to SEK700 million and was for the Kamoa-Kakula copper operation in the Democratic Republic of the Congo.
The announcement was made at a signing ceremony at Fortescue’s headquarters in Western Australia, where both Fortescue Metals CEO, Dino Otranto, and Epiroc President and CEO, Helena Hedblom, were present.
Fortescue has committed to eliminate fossil fuels with a target to achieve Real Zero terrestrial emissions (Scope 1 and 2) by 2030, without carbon offsets. To do this, it has installed a significant amount of renewable power infrastructure, as well as committed to major agreements with OEMs such as Liebherr (autonomous and electric trucks), MacLean Engineering (battery-electric graders) and XCMG (battery-electric wheel loaders, wheel dozers, water carts, float prime movers and graders) for zero-emission equipment.
Otranto said: “To decarbonise, we’re aiming to swap out around 800 pieces of heavy mining equipment with zero emissions alternatives by the end of the decade, as well as deploy 2-3 GW of renewable energy and battery storage across the Pilbara.”
Marking a key milestone in Fortescue’s decarbonisation journey, the PV271 E has since been deployed at Fortescue’s Pilbara iron ore operations. It is expected to start drilling soon, making it the first electric PV271 E in Australia to operate on a mine site.
This versatile drill rig is designed to enhance productivity while eliminating the need to operate on diesel. With the ability to drill single-pass holes up to 18 m deep and 270 mm in diameter, the drill rig has a 34 t bit load capacity, ensuring reliable operation across diverse mining conditions, Epiroc says.
Enhanced automation features also maximise safety and productivity, making the PV271E a crucial step forward for reducing emissions in mining practices, Epiroc says.
Wayne Sterley, Epiroc Australia General Manager and Managing Director, said the company is already a leader in surface drilling automation and that electric drilling (via cables) is already being carried out at mining operations in countries including Canada and Zambia.
“On top of that, we already operate 32 Pit Vipers at various Fortescue operations, operating alongside competitor fleet,” he said. “This order will provide us with full market share across the Fortescue fleet.”
A SmartROC D65 BE demonstrator, based on the SmartROC D65 surface drill rig, is expected to begin testing at the Sukari gold mine in Egypt later this year as part of an agreement between Epiroc and contractor Capital Drilling.
Besides the low emissions, this rig is billed as providing the same range of on-board smart features, and delivers high safety, reliability and performance – in a quieter working environment – as the diesel-powered equivalent. The demonstrator is equipped with a battery which drives the tramming motors and an electric cable to hook it up to provide power for drilling.
The use of these electric drill rigs could eliminate some 35 million litres of annual diesel consumption at Fortescue’s operations, the miner says. The rigs are also expected to be operated autonomously with oversight from Fortescue’s Remote Operations Centre in Perth.
Helena Hedblom, President and CEO of Epiroc, said this major order is the culmination of a close working relationship between the two companies.
“Fortescue has been a major customer of ours for many years and has been a key technology collaborator,” she said. “It is pleasing to see them continue pushing boundaries and bringing all of the technology advances together by committing to fully-autonomous and fully-electric mining operations.”
Epiroc has previously partnered with Fortescue to test and evaluate the autonomous SmartROC D65 MKII at its Iron Bridge operation, while Epiroc’s first off-grid mobile solution – available in 10-25 kW units that are powered by Radlink Communications batteries and genZ Energy solar fit out conversions – was developed in collaboration with Fortescue.
“We hope more miners witness what Fortescue is doing to lead the industry on mine automation and electrification,” Hedblom added.