All posts by Paul Moore

BEUMER Group extends its operations in South America with integration of FAM

BEUMER Group has extended its presence in South America with the integration of the former FAM operations in Brazil, Peru and Chile. The move follows the acquisition of FAM Minerals & Mining GmbH in 2022. Now known as BEUMER Group South America, the former FAM operations have become an integral part of the BEUMER family and will offer customers access to the full range of BEUMER automated material handling solutions and services. This milestone the statement said “demonstrates BEUMER Group’s long-term commitment to customers throughout South America and represents a significant investment into the region.”

Continuity of service is assured as Paulo Costa, former head of FAM operations in the region, has been appointed as the new CEO of BEUMER South America. Paulo says: “FAM had a strong reputation within the mining and minerals industry in Brazil, Peru, Chile and beyond, which gives us a strong foundation to build upon. As part of BEUMER Group, we will continue to support our customers in mining and minerals, while also expanding our reach to offer high quality handling solutions for airports, ports and terminals, warehousing and logistics to customers throughout South America.”

Major recent projects completed by FAM include a mobile tailings stacker at La Coipa gold mine, Chile, owned by Kinross; plus a new a closed-loop ship loading system for copper ore from Anglo American’s Quellaveco mine in Peru, at Ilo port, just under 37 km northeast of Moquegua.

BEUMER Group says it offers global expertise through local presence and puts the customer at the heart of its business. “By combining the skills and expertise inherent in the FAM and BEUMER brands, the teams based in Brazil, Peru and Chile will support customers throughout South America to deploy handling solutions that improve efficiency and drive down operational costs. The strategically located offices further enable BEUMER Group to respond quickly and efficiently to support customers in the region, delivering outstanding solutions at every stage of the project life cycle to meet the necessary standards and certifications.”

TAKRAF provides conveying system for Limpopo backfill project

TAKRAF South Africa says it has provided design, engineering and construction support services for the third phase of a major backfill project for a coal mining complex in Limpopo, South Africa. The project comprises the extension of one of the mine’s backfilling systems, which are used to convey and deposit the plant discard materials in the mined-out area of the pit, behind the mining operations.

Currently, the mine processes an average of 5 Mt ROM per month, of which 50% is discard, and depends entirely on two backfilling systems for the disposal of its waste. These systems were commissioned in the first two phases of the original project and are being extended in phases.

Phase 3 included the design, fabrication and construction of a new extendable conveyor complete with auxiliary infrastructure. The design of the conveyor caters for the full final length of 2,082 m although only 615 m of conveyor length was installed during this project. The structural design had to cater for unstable ground conditions because the conveyor is installed on previously backfilled material. The structure of the tail drive station (which houses 4 x 500 kW of installed power) has a unique jacking mechanism that allows the height and level of the drive station to be adjusted in the event of ground settlement.

The scope also included transfer of the existing shiftable conveyor with its drive station and tripper car onto the new extendable conveyor, as well as the transfer of the existing spreader with its tripper car to the new location of the shiftable conveyor.

TAKRAF was responsible for the detail design, procurement support, construction planning and construction support for this brownfield project. Construction planning on the brownfield site was particularly complex and several factors had to be considered to ensure that the shutdown, tying the new equipment into the existing system, could be completed within 30 days.

“We are delighted to have been part of this multidisciplinary project and to support the mine in the successful implementation of its backfilling strategy,” says Richard Späth, TAKRAF South Africa Managing Director. “This project is not only crucial to the mine’s efficient production and waste disposal activities but also to achieve its environmental stewardship commitments by minimising the impact of the mining operations on the surrounding area.”

BHP set to receive first Caterpillar Early Learner battery electric mining truck

On June 11, members of BHP’s Operational Decarbonisation team visited Caterpillar’s Tucson Proving Ground to witness the CAT 793 battery-electric haul truck (BEHT) in action. The first Early Learner CAT 793 BEHT is on its way to BHP, crossing hemispheres and making its way ‘down under’ before rubber hits the haul road at the Jimblebar iron ore mine in Western Australia’s Pilbara in October 2024.

BHP Vice President Operational Decarbonisation, Dan Heal, said: “It’s incredibly exciting to be here in Tucson seeing this battery-electric truck in action. Not only do these trials represent an important step on BHP’s operational decarbonisation journey, but the technical outcomes could help to inform how we approach these challenges moving forward. As we progress towards potential deployments, we need to consider how we plan our mines, manage power demand, charge equipment, the skills we will need, and most importantly, safety.”

BHP Vice President Global Mining and Services, Sebastian Greco said: “Taking action requires us to challenge the market to approach technology development differently. It requires the industry to innovate and adopt new collaborative methods, to identify solutions through studies and proof-of-concept trials, and it requires us to learn together as we go. Securing the first CAT Early Learner battery-electric haul truck is a reflection of the ongoing collaboration between BHP and Caterpillar and we are thrilled to be working together on this trial.”

In preparation, BHP’s Jimblebar mine is completing upgrades to site electrical transmission and distribution to enable high power charging infrastructure.

The mining group stated: “At BHP, we are taking action to decarbonise our operations, by seeking to reduce our Scope 1 and 2 greenhouse gas emissions in three keyways: diesel displacement, fugitive emissions elimination, and electrification. We have a plan to reach our operational GHG emission reduction medium term target and long-term goal at each of our operations. Our strategy aims to decarbonise our mining equipment and operations by switching from diesel to renewable electricity or more sustainable, lower emissions fuel sources.”

Water transportation supply plan for Centinela Second Concentrator transferred to consortium

Antofagasta PLC recently announced that, following the company’s earlier announcement dated 19 March 2024, the process to enter into a water transportation agreement by Minera Centinela, involving its existing water supply and future water supply to the Centinela Second Concentrator Project, has now been completed.

Under the terms of the agreement, Centinela’s existing water transportation assets and rights have been transferred to an international consortium formed of experienced partners, Transelec and Almar Water Solutions, with Centinela set to receive cash proceeds of US$600 million during 2024.

In addition, the planned expansion of the water transportation system will now be undertaken by the acquiring consortium, resulting in a reduction in the overall capital cost of the Centinela Second Concentrator Project by approximately US$380 million, with this reduction to be realised over the course of the project’s construction period. Following completion, the acquiring consortium will operate Centinela’s existing water infrastructure.

The company has assessed that the terms of the agreement are value accretive, as previously referenced in the company’s announcement in March. The acquiring consortium has a track record of building and operating infrastructure in Latin America, the Middle East and Asia, including existing projects in Chile.

Antofagasta’s CEO, Iván Arriagada said: “Following today’s news and the recently announced Centinela Second Concentrator Financing, we are in a good position to advance our growth ambitions in producing responsible copper for the global energy transition at a time when the global supply of copper has a limited ability to meet the expected medium-term rise in demand.”

Antofagasta’s CFO, Mauricio Ortiz said: “The agreement announced today is underpinned by our long-life resource base at Centinela and our capital allocation framework. By entering into this value accretive agreement, we have been able to reduce the capital intensity of the Centinela Second Concentrator Project, whilst protecting Centinela’s competitiveness.”

The Centinela Second Concentrator Project will add 170,000 t of annual copper-equivalent production, comprising 144,000 t of copper production and associated gold and molybdenum by-products. Through this expansion, it is expected that Centinela will improve its cost competitiveness through an increased focus on concentrator capacity that incorporates modern technologies, increased by-products and greater economies of scale. First copper production from the project is expected in 2027.

Antofagasta says it is focused on responsible water use as part of its purpose of delivering mining for a better future. The Second Concentrator Project is an opportunity to provide additional copper from the company’s existing resource base using 100% renewable electricity and raw sea water.

Transelec is the leading provider of high voltage systems in Chile, with over 11,000 km of transmission lines and more than 80 substations in Chile, powering 98% of Chile’s population. Transelec is also present in Peru, through its fully owned subsidiary Conelsur, and in the water infrastructure industry, through its 40% stake in Aguas Horizonte.

Almar Water Solutions, part of Jameel Environmental Services, is a leading company in the development of unconventional water infrastructure and production, distribution, and treatment services for both the municipal and industrial sectors. The company specialises in the development, design, management, financing, and operation of infrastructure, covering a wide range of solutions such as purification, desalination, treatment, and reuse.

VA Erzberg boosts Komatsu rigid truck fleet with HD785-8 addition

Iron ore (siderite) miner VA Erzberg in Austria continues to invest in its mining operation with the latest Komatsu equipment. A 100 ton class HD785-8 rigid dump truck has now been added to the fleet at the Erzberg iron ore mine.

The partnership between Kuhn Österreich, Komatsu, and VA Erzberg GmbH has existed for more than 20 years and they say is characterised by a strong foundation of trust. To celebrate this delivery at the Erzberg mine, top management from distributor KUHN and Komatsu Europe joined on-site for a handover ceremony.

High machine uptime is essential for the productivity of the plant. Therefore, VA Erzberg prioritises high-performance equipment with high availability. A focus on reliability and the quality of service by KUHN was cited as a major reason why Komatsu was once again the choice for this investment.

Currently, 10 Komatsu rigid dump trucks are in use in production operations – seven of these machines are dump trucks from the HD785-5 or HD785-7 series with three 116 ton class HD985-5 trucks. The HD785-8 dump truck is replacing an older HD785 dump truck with around 60,000 operating hours. The mine also uses six Liebherr electric drive T 236 trucks that utilise a trolley line developed in conjunction with Liebherr.

Other Komatsu equipment includes loading tools in the form of WA800-3 and WA800-8 wheel loaders for main extraction and a PC1250 hydraulic excavator for overburden removal as well as the D155AXi intelligent crawler dozer for spreading material at the waste dump.

Photo courtesy Baublatt

Sandvik electrifies its largest intelligent rotary blasthole drill with the DR416iE

Sandvik Mining and Rock Solutions is introducing the electric Sandvik DR416iE, the next generation i-series rotary blasthole drill based upon the popular Sandvik DR416i. The Sandvik DR416iE joins the Sandvik DR410iE, Sandvik DR412iE and Sandvik DR413iE as the fourth and largest electrified rig in Sandvik’s intelligent rotary blasthole range.

The powerful electric drill is designed to deliver superior performance and sustainability in demanding mining conditions. Ideal for iron ore and copper applications, Sandvik DR416iE can drill a hole diameter range of 270 to 406 mm (10.6 to 16 in).

Powered by a robust 1,044 kW (1,400 HP) electric power group to meet the demands of high-altitude applications, Sandvik DR416iE boasts a sophisticated electric system that incorporates a soft starter to help reduce impact on the mine’s power grid, preventing disruptions to other equipment. The multi-voltage and multi-frequency electric motor offers outstanding flexibility, while the optional 420 m (1,378 ft) cable reel ensures ample capacity for connecting to the mine substation.

“Sandvik DR416iE represents a significant leap forward in electric blasthole drill technology and delivers rotary customers the option of a seamless transition from diesel to electric,” said Nellaiappan Subbiah, Product Manager, Rotary Drills at Sandvik Mining and Rock Solutions.

Sandvik says that operators will appreciate the familiar and intuitive DRi control system. This common system, featured across all Sandvik i-series surface drills, provides a consistent operating experience and simplifies operator training.  For tackling hard rock formations, Sandvik DR416iE is equipped with a heavy-duty feed system. This hydraulic motor-driven chain feed system delivers superior pulldown force and increased weight on bit, resulting in significantly faster penetration rates.

“Sandvik DR416iE uses the same modular platform as our largest diesel-powered rotary rig but with the added environmental benefits of electrification,” Subbiah said. “We now offer customers the ability to convert a diesel-powered unit to a fully electrified version in the field. This innovative drill delivers unmatched performance, reliability, and sustainability, making it an ideal choice for forward-thinking mining operations.”

Orica & Fertiberia report world first use of low carbon technical ammonium nitrate in Spain

Orica and Fertiberia have partnered to successfully execute the first blast using low-carbon Technical Ammonium Nitrate (TAN) at the Canteras de Santullán calcium carbonate quarry in Spain. This milestone follows the announcement in September 2023, where Orica and Fertiberia unveiled their collaboration to provide low-carbon TAN to customers seeking sustainable blasting solutions.

For the blast at the Canteras de Santullán, Orica used ammonium nitrate produced by Fertiberia using renewable hydrogen, resulting in a low-carbon explosive product. For the first time, conventional explosives were replaced with an innovative and more sustainable product, marking its first industrial-scale use.

Fertiberia’s Director for Industrial Development and Projects Gonzalo Fernández Ozalla said: “The decarbonisation of mining, a crucial sector for the energy transition due to its role in extracting copper and other essential industrial minerals, is set to begin with the first use of a more sustainable product. The blast marks a further step towards reducing the carbon footprint of mining activities.”

Orica says low-carbon TAN has the potential to transform the industry, as it provides a more sustainable and environmentally friendly solution to conventional TAN.

Pedro de Andrés Sáez, General Manager Canteras de Santullán, said: “We are proud that Fertiberia and Orica selected Santullán’s quarry for this pioneering moment in mining, both in Spain and Europe. The blast involves the use of ammonium nitrate produced with a lower carbon footprint. As a company, we are deeply committed to sustainability, environmental stewardship, and maintaining a strong relationship with the local community – This product supports that commitment.”

Orica’s Lead Commercial for Southern Europe Jesus Domingo said: “Mining is a necessity as the world transitions, and it is crucial we mine safely, more efficiently, and more sustainably. The collaboration between Orica, Fertiberia, and Canteras de Santullán to use low-carbon ammonium nitrate represents a significant advancement in the explosives industry, and for the broader mining industry.”

 

Indonesian contract mining giant Delta Dunia grows owner operator business with US anthracite

PT Delta Dunia Makmur Tbk, through American Anthracite SPV I, LLC, a subsidiary under PT Bukit Makmur Internasional (BUMA International), has entered into a Stock Purchase Agreement (SPA) for strategic acquisition of Atlantic Carbon Group, Inc. (ACG), the second largest Ultra High Grade (UHG) anthracite producer in the US. The transaction is expected to complete in June 2024. Further details of the transaction will be announced upon completion of the transaction.

Delta Dunia Group is primarily known for its leading contract mining business which includes BUMA, which is the second largest mining contractor in Indonesia with a 20% plus market share. This business also includes BUMA Australia, which evolved out of the acquisition of Open Cut Mining East in 2021, formerly a business segment of Downer EDI Mining. BUMA Australia recently entered into a contract with Blackwater Operations Pty Ltd, a subsidiary of Whitehaven Coal Mining Ltd, to provide pre-strip mining services at Blackwater mine, a metallurgical coal mine in the Bowen Basin, in central Queensland, Australia.

The US$122.4 million deal secures ownership of four producing UHG anthracite mines in Pennsylvania – Jeansville, Spring Mountain, Stockton and Hazleton Shaft. After the acquisition, the Group will become a key UHG anthracite producer globally. The transaction further diversifies the Group’s business geographically and into future-facing commodities, it says in line with its transformation strategy.

It stated: “The transaction is financially attractive due to its favorable valuation, leverage, and earnings impact, and it broadens the Group’s relationships with key customers and stakeholders. With the transaction, the Group assumes control of ACG’s operations. UHG anthracite is essential for the commercial production of low-carbon steel (LC Steel) and can reduce carbon emissions from the production process by up to 74%3. The Group’s anthracite reserves are sufficient to support mining activities for more than 25 years, and in turn, production capacity of up to 25 million tons of LC Steel annually.”

Ronald Sutardja, President Director of Delta Dunia Group, stated: “This transaction is a significant milestone for the Group. Upon completion, we will achieve a number of our strategic objectives. The Group will become a mine owner for a commodity critical for the production of LC Steel. We will expand our geographic footprint into another key mining region. And, the deal further diversifies our revenue towards our ESG target of lowering our thermal coal revenue to below 50% of our total revenue by 2028.”

The Group’s expansion into the US enables it to capitalise on the increasing demand for UHG anthracite, which is used in electric arc furnaces (EAFs). Over the past decade, anthracite exports from the US have grown at a compound annual growth rate (CAGR) of 10.6% from FY2014 to FY2023. All forecast steelmaking capacity expansions in the US and Europe are for EAFs, and UHG anthracite from the US will be a crucial supply source for EAFs globally.

In addition, the governments in a number of key jurisdictions, specifically the UK and German governments, are incentivising the conversion of Blast Furnaces to EAFs. The transaction is supported by the Group’s strong cash position, and US$750 million syndicated financing facility with PT Bank BNI (Persero) Tbk and PT Bank Mandiri (Persero) Tbk.

The ACG operations are expected to add US$120-130 million of revenue per year. These projections are also incremental to the Group’s revenue guidance for FY2024 which was released previously based on existing operations.

Delta Dunia adds: “The transaction advances the Group’s strategic goal of diversifying its portfolio and reducing its dependence on thermal coal. With the addition of the ACG operations, revenue from future-facing commodities will increase from 19% in FY2023 to 28% in FY2024. In addition to cutting carbon emissions through the use of UHG anthracite in EAFs, ACG operations enhance environmental outcomes with sustainable mining practices that remediate historical environmental damage. ACG rehabilitates land mined over a century ago, transforming it into areas suitable for development, recreation, and conservation. This includes reopening old mining tunnels to remove remaining materials, implementing erosion and sediment control measures, reshaping the landscape to its natural contours, and reforesting areas with grass and trees.”

NRW Holdings participating in Caterpillar’s Pathways to Sustainability program

Finding a technology pathway to decarbonisation is just as important for mining contractors as it is for owner operators. Major mining and resources sector services provider NRW Holdings says it is committed to contributing to a sustainable future through active engagement in innovation and progressive industry practices.

It is one the first large mining contractors to participate in Caterpillar Inc.’s Pathways to Sustainability program, designed to foster industry learning opportunities to support the energy transition. NRW said its participation in this program will ensure it remains at the forefront of industry knowledge, allowing it to better support its clients, and its own people, to drive changes towards a better future.

NRW Holdings CEO Jules Pemberton

IM spoke to NRW Holdings CEO Jules Pemberton who stated: “At NRW, our dedication to a sustainable future drives us to actively engage in innovation and industry best practices. We recognise that achieving a lower carbon footprint in the mining industry requires collaboration across the board, including between OEM fleet manufacturers, mine owners, and mining contractors. Last year, we signed on to participate in Caterpillar’s Pathways to Sustainability program. Participation in this important program provides NRW with access to resources and information that are essential to ensuring our business remains at the forefront of industry knowledge with regards to fleet electrification. This allows us to better support our clients, and our people, in driving positive changes towards a better future.”

He added: “For a diversified services provider like ours, this opportunity is especially critical. We are aware that Tier 1 mine owners are soon to be trialling large Caterpillar battery-electric haul truck technology in the Pilbara to evaluate its performance and productivity. These trials will significantly impact the people, processes, infrastructure and technology requirements associated with fleet ownership, operation and maintenance. Participation in Caterpillar’s program ensures that contracting organisations like NRW are equipped with the necessary information to position ourselves for success in a changing market landscape, ensuring our viability across traditional mining services in the long term.”

In terms of mobile mining fleets, NRW Holdings includes NRW Civil & Mining which is one of the leading contractors in the Australian resources and infrastructure sectors. It grew significantly via the acquisition of BGC Contracting in 2019.

NRW Holdings also owns Queensland-based Golding, whose mining division delivers a full range of open cut mining services to the coal and metalliferous mining sectors. This spans from site establishment, through topsoil removal, drill and blast, excavator/truck and dragline waste removal, and coal and ore mining, coal processing and mine site rehabilitation works.

In addition, NRW Holdings also offers a comprehensive original equipment manufacturer capability, providing refurbishment and rebuild services for earthmoving equipment and machinery via AES Equipment Solutions.

 

 

Large rope shovel overhauls at Lomas Bayas, Bulga and Jwaneng

Large electric mining shovels represent major multi-year investments for mining operations and as such their maintenance planning, particularly in relation to major overhauls, plays a crucial role over the lifetime of these machines. Three major mining operations have recently given updates in relation to repairs and service of these prime loading tools – namely Glencore’s Lomas Bayas copper mine in Chile, its Bulga coal mine in NSW, Australia and Debswana’s Jwaneng diamond mine in Botswana. This work comes with major challenges given the size of the machines, such as the lifting expertise involved in accessing the major components safely.

Starting with Lomas Bayas, in a record time of 38 days, the mine maintenance department at Glencore’s Lomas Bayas copper mine in Chile recently completed major repairs of Shovel 202, a P&H (Komatsu) 4100XPB, aligning with strategic planning, technological innovation, efficiency and continuous improvement. This crucial asset has 23 years of operation and more than 140,000 hours of activity. Thanks to the synergy between areas, teamwork and operational excellence, this overhaul was carried out in a minimum of time, maintaining the highest standards of safety and operation.

Wilson Melgarejo Gálvez, Mine Maintenance Planner and project leader, highlighted that “there was a remarkable deployment of our own technical staff and that of four external companies. We used state-of-the-art technology in synchronous lifting, lifting and machining, which significantly reduced human exposure to risks.” The mining company said the success is a testament to its commitment and ability to overcome challenges and stay ahead in the industry.

Barloworld Equipment Botswana’s operation at Debswana’s Jwaneng diamond mine is currently undergoing a 50,000-hour Midlife Planned Component Replacement (PCR) for the Bucyrus (Caterpillar) 495HR electric rope shovel, which is number 212. This involves replacing the swing machinery and center pintle according to OEM specifications. The machine will be completely stripped and de-decked for access. This is the second project of its kind in Africa, with the first done on electric rope shovel 210 in 2022. The project is expected to run from May to September 2024.

Finally, a major overhaul of a Komatsu 4100XPC AC P&H electric rope shovel was recently carried out at Glencore’s Bulga coal operation. With 60,000 hours in the books, across its 10-year life, the method of overhauling the 1,536 t machine is unique as the entire machine is pulled away from the car body. The team installed a rail system, lifted the machine, and moved the upper structure (hose and revolving frame) away from the car body and undercarriage. This method makes it easier to disassemble and assemble the undercarriage and reduces delays on the upper structure work. About 30,000 working hours went into the shutdown with the rebuild giving the machine another 10 years of operating life.