Tag Archives: Anglo American

Anglo American ends DMC Mining shaft sinking contract at Woodsmith project

Anglo American has confirmed its Crop Nutrients business has ended the contract of its shaft sinking contractor, DMC Mining Services UK Ltd, at the Woodsmith polyhalite project in the UK.

Anglo, which only took ownership of the asset earlier this year, said DMC staff were expected to transfer to Anglo American under the Transfer of Undertakings (Protection of Employment) Regulations, and construction progress was due to continue.

DMC was awarded the design and build contract for the construction of the deep shafts at the Woodsmith project back in February 2018 when the project was owned by Sirius Minerals.

This contract would have seen it engineer and construct four shafts at the project in North Yorkshire. Those shafts include a production and service shaft, each around 1,500 m deep, and two smaller shafts associated with the materials transport system, each approximately 350 m deep. It was to sink the deep shafts using Herrenknecht’s Shaft Boring Roadheader technology.

Herrenknecht developed the SBR for the mechanised sinking of blind shafts in soft to medium-hard rock. Based on the technology of the Herrenknecht Vertical Shaft Sinking Machine, the SBR offers improved safety performance compared with conventional shaft sinking methods while also achieving higher advance rates, according to the company.

DMC, itself, had become familiar with the technology after helping successfully sink two blind shafts to depths of -975 and -1,005 m, respectively, at the BHP-owned Jansen potash project in Saskatchewan, Canada.

Sinking activities with the SBRs at Woodsmith, meanwhile, were expected to start next year, with the machines having already arrived on site.

A spokesman for the Woodsmith project said of the DMC contract cancellation: “This new structure provides us with simpler internal processes and allows us to better manage the important transition between the sinking phase and ramp-up to steady state operations.

“It also gives us greater control over processes like local recruitment and training.”

GFG Alliance to take over TEMCO manganese alloy smelter following South32 pact

South32’s association with the Tasmanian Electro Metallurgical Company (TEMCO) is set to come to an end after it agreed to sell its stake in the manganese alloy smelter to an entity within the GFG Alliance.

The announcement from South32’s Groote Eylandt Mining Company (GEMCO) said completion of the transaction was subject to approval from Australia’s Foreign Investment Review Board. Upon satisfaction of this condition, GFG will make a nominal payment to GEMCO to acquire 100% of the shares in TEMCO, it said, without naming an acquisition price.

As a condition to the completion of the transaction, the parties have entered into an ore supply agreement from GEMCO to TEMCO.

The smelter, in Tasmania, Australia, is run by the Samancor Manganese joint venture, owned 60% by South32 and 40% by Anglo American.

South32 says TEMCO uses ore shipped from its GEMCO operations in the Northern Territory of Australia and produces ferromanganese for steelmaking. Most of the alloy produced is exported to customers in Asia and North America, with the remaining sold to steel producers in Australia and New Zealand.

South32 CEO Graham Kerr said the agreement represented another milestone for South32 as it continues to reshape its portfolio.

“Today’s agreement follows an extensive review of options regarding the future of our manganese alloy business,” he said.

“The transaction and our ongoing supply of ore to TEMCO will see the smelter, first established in 1962, continue to operate into the future.

“Looking forward, we are confident that GFG, a current TEMCO customer, is well placed to operate the smelter, with the acquisition representing an opportunity to further vertically integrate its steel business.”

The transaction does not include the Samancor Manganese JV’s South African manganese alloy smelter, Metalloys, which has separately been placed under care and maintenance, South32 added.

Fenner Dunlop ACE wins overland conveyor contract from Anglo American

Fenner Dunlop ACE has been contracted to deliver an overland conveyor system for Anglo American’s Aquila coal project in Queensland, Australia.

Aquila is an underground hard coking coal mine near Middlemount, which will extend the life of Anglo American’s existing Capcoal underground operations by six years. It comes with an expected capital cost of $226 million (Anglo American share), with first longwall production of premium quality hard coking coal expected in early 2022, according to Anglo.

Tyler Mitchelson, CEO of Anglo American’s Metallurgical Coal business, has previously said Aquila will become one of the most “technologically advanced underground mines in the world”.

Under the new contract award, Fenner Dunlop ACE will undertake the complete design, supply and installation of the ACV002 Overland Conveyor. Works will include the overland structure, belting, electrics and an elevated stacker to load coal onto the site stockpile. Several conveyor components, including mechanical supply, electrical supply and belting, will be manufactured in Australia.

Brendon Harms, Regional Manager ACE QLD, said: “After delivery of the initial underground development works, we are very excited to be working on this project. We believe we have created a culture of delivering on our promises. Completing the design, supply and installation give us a great opportunity to ensure effective conveyor operation for our client.”

Fenner Dunlop ACE will also be responsible for the complete install and commissioning of the overland conveyor, providing even further responsibility and ownership for the project. The overland conveyor project is expected to be commissioned in the second half of 2021.

Anglo American could use ‘green’ hydrogen power at Queensland open-pit coal mines

Anglo American has eyes on producing ‘green’ hydrogen to power the haul fleet at not only its Mogalakwena platinum group metals mine, in South Africa, but also at least one of its open-pit coal mines in Queensland, Australia, IM has learned.

The miner is part of the Macquarie Corporate Holdings Pty Limited shortlisted application for the next stage of the Australian Renewable Energy Agency’s (ARENA) A$70 million ($49 million) hydrogen funding round, a spokesperson confirmed.

BHP is also on this short list, all of which have been invited to submit a full application for ARENA’s funding for renewable hydrogen development projects in Australia.

While it is early days for the Anglo and Macquarie decarbonisation project, the spokesperson said the company’s approach in Queensland could be like the one the miner and ENGIE are developing at Mogalakwena.

The project in South Africa involves the delivery of a new Fuel Cell Electric Vehicle (FCEV), set to be the world’s largest hydrogen powered mine truck, and the ‘green’ hydrogen generation solutions to power it.

The 300 t payload FCEV haul truck will be powered by a hydrogen Fuel Cell Module paired with a Williams Advanced Engineering scalable high-power modular lithium-ion battery system. This arrangement, which replaces the existing vehicle’s diesel engine, is controlled by a high voltage power distribution unit delivering more than 1,000 kWh of energy storage.

Nel Hydrogen Electrolyser AS, a subsidiary of Nel ASA, is to deliver a 3.5 MW electrolyser to ENGIE as part of the project, while Plug Power Inc is to build a first-of-its-kind full compression, storage, and dispensing system to service the new hydrogen-powered vehicle.

In Queensland, where there is no shortage of solar power to provide this ‘green’ hydrogen, Anglo has two open-pit coal mines – Dawson (pictured) and Capcoal – that could potentially benefit from this solution.

In response to the ARENA shortlisting announcement, Anglo American said: “Anglo American has pioneered the development of hydrogen power solutions for mining operations and we are working on a number of hydrogen projects around the world as part of our pathway to carbon-neutral operations by 2040.

“We welcome ARENA’s potential support and will continue to work on this particular project’s feasibility over the coming months.”

Applicants invited to the full application stage by ARENA will have until January 2021 to prepare their application, with the agency expecting to select the preferred projects by mid-2021. Successful projects are expected to reach financial close by late 2021 and commence construction in 2022.

All applicants may also be considered for financing from the Clean Energy Finance Corp (CEFC) under the CEFC’s A$300 million Advancing Hydrogen Fund.

Anglo American to test pressure sensor tech following Grosvenor methane ignition incident

A trial of pressure sensors to remove power from the longwall face and the expedition of longwall automation are two of the areas Anglo American is hoping will improve safety at its underground coal mines in Australia, following a methane ignition incident that occurred at its Grosvenor mine, in Queensland, on May 6.

The company began to brief its Queensland-based workforce on the progress of its expert investigation into the methane ignition last week, with Tyler Mitchelson, CEO of Anglo American’s Metallurgical Coal business, saying the company’s focus continues to be on providing ongoing support for the five personnel injured during the incident, four of whom have now been released from hospital, while the fifth remains in a stable condition.

While investigations were progressing and may take some time to formally conclude, Mitchelson said the company would continue to review controls in place across its underground mines as any technical or other findings become available from the investigations.

“We know from our expert analysis that there was a significant and unusual overpressure event on May 6, where a large amount of methane was released into the longwall area, and, seconds later, a brief ignition occurred,” he said. “At this stage, the ignition source has not been conclusively determined and testing continues.

“We also know that in the hours leading up to the incident, there were no non-compliant methane readings in the longwall area.”

Since 2016, the company has invested around A$230 million ($161 million) on gas drainage and gas management activities at the Grosvenor Mine, according to Mitchelson.

“Despite this investment, and extensive controls in place to prevent an underground ignition of methane, we need to further improve our controls to respond to the specific combination of factors of an unusual and large overpressure event in the vicinity of the longwall with a potential ignition source,” he said.

“By drawing on technical learnings and information as it becomes available from the investigations, we have begun a review of our site methane management controls, which includes assessing additional technology options and applying any further improvements across our underground mines.”

As a first step, the company is beginning a pilot study at its Moranbah North mine to assess the use of pressure sensors to remove power from the longwall face as an additional control if a significant overpressure event occurs, he said.

“Whilst pressure sensors are already in use today, across the industry they have not been integrated for this particular purpose,” Mitchelson explained. “Learnings from the pilot will be incorporated across our underground mines and shared with industry.”

Mitchelson said the company has already invested “considerably” in progressing the automation of its longwall equipment, and “expediting this work will also be part of the solution to reducing risks in underground mining”.

Among more recent elements of longwall automation the company has pursued is the ability to operate its longwall shear from an above-ground remote operating centre at the Grosvenor mine.

The company added: “As the largest underground coal miner in Queensland, Anglo American has been at the forefront of technical innovation and has invested significantly in technology to improve safety in its mines, including additional methane detection equipment above and beyond regulatory requirements, digitisation to improve underground communication, and automation of equipment.

“We will continue to prioritise this work.”

Mitchelson said it was unacceptable five personnel were seriously injured on May 6 and that the company would ensure all relevant learnings from investigations underway and the Board of Inquiry are incorporated across its business.

“We continue to support our injured colleagues and their families as they continue their recovery,” he said.

He reiterated that safety comes first, and mining would not resume until it was safe to do so.

While mining activities have been suspended, the Grosvenor workforce has continued to be supported on full pay since the incident to enable the company to work through its future plans, step by step.

MEDATech speeds up battery-electric mining charge

The potential for electric drivetrain specialist MEDATech Engineering Services to add another high-profile client to its list of mining company references is high given the developments the Collingwood-based company is currently working on.

Having helped Goldcorp (now Newmont) and several OEMs realise their vision of an all-electric mine at Borden, in Ontario, MEDATech is energising more electrification projects with its ALTDRIVE system.

The company has been developing electrification technology for heavy-duty, off-highway vehicles for about six years. Its current drive train technology, MEDATech says, is capable of being scaled for most heavy haul applications in mining and other industries.

These last six years have seen it help fellow Collingwood resident MacLean Engineering convert underground roof bolters, graders, water trucks and many other production support vehicles for Canada’s underground mining sector. MEDATech has also helped Torex Gold and its Chairman, Fred Stanford, develop the necessary equipment to take the Muckahi all-electric underground mining concept to testing phase. Similarly, it has played a role in Nouveau Monde Graphite’s all-electric open-pit mine vision as part of a Task Force Committee developing studies for the Matawinie project, in Quebec.

Aside from the Muckahi project, the ALTDRIVE system, having been engineered to replace internal combustion engines, has been the driving force behind this work, according to Jeff Taylor, Managing Director of MEDATech Engineering.

The powertrain consist of a hybrid, or completely electric means of propelling the machine with industrial batteries, and can be adapted to heavy equipment such as commercial trucks, tractors, excavators, buses, haul trucks, light rail and – most important in this context – mining vehicles.

ALTDRIVE leverages battery systems from Akasol and XALT, chargers and power electronics from Bel Power Solutions and Dana TM4’s electric motors. The balance of the power electronics, control systems and sub systems, thermo management systems, VMU (a software component critical to the power management of the battery, electric motor charging and regenerative capabilities), and integration engineering is developed by MEDATech.

Taylor says it is the battery chemistry and charging philosophy of the ALTDRIVE technology that differentiates it from others on the market.

“The battery chemistry is really quite advanced and is all based on the future of fast charging,” he told IM. “In this scenario, we don’t want the batteries to be brought down to a high depth of discharge (DOD). We instead want operators to carry out quick, opportunity charging on the go.”

Most of the machines the company has been involved in manufacturing to date have been equipped with 25-100 kW on-board chargers, yet Taylor thinks its new breed of fast-charge battery-electric solutions could eventually require up to 1 MW of power and be charged through an automated system.

Such powerful charging systems may be the future of MEDATech’s ALTDRIVE drivetrain technology, but for now it is focused on leveraging the system for the conversion of a diesel-powered Western Star 4900 XD truck (pictured).

Part of a collaborative project with a Western Star dealer in Quebec where the dealer (Tardif) has donated the truck and MEDATech has provided its materials and engineering expertise, the truck is equipped with a 100 kW capacity on-board charger, 310 kWh of battery capacity, loaded gross vehicle weight of 40,824 kg and 25% more horsepower than its diesel-powered equivalent.

Loaded, the truck can cover 85 km (0% grade) on a single charge (80% DOD). This vehicle is ideal as a pit master unit for short run material moving, road maintenance, water hauling/spraying and snow plowing activities, according to the company. The truck can be on-board charged (2.5 hours) and fast charged (1 hour) during idle periods (at 80% DOD).

The machine will be ready for demonstrations at a gravel pit around 15 km away from the company’s Collingwood headquarters in September, and it has already caught the attention of some major miners.

According to Taylor, Anglo American (Chile), Teck Resources (British Columbia) and Vale (Ontario) are scheduled to see the BEV 4900 XD unit in September at the Collingwood facility. “Each company is looking at an electric machine(s) for their operations,” he said. “They might end up with a different truck, built to their exact specifications, but they want to test this machine out to experience a battery-electric conversion.”

After the 24 t payload truck, the company has eyes on converting a 40 t payload Western Star 6900 XD diesel truck to battery-electric mode.

“This will just be a bigger conversion on a bigger truck,” Taylor explained. “We’ll have extra room on the truck for placing batteries and the extra motor that will be required. It will also be an all-wheel drive vehicle, as opposed to the real-wheel drive of the 4900 XD, which will need some extra engineering.”

While Taylor said work on converting this 40 t machine would not start until the all-electric 4900 XD had been tested, he saw plenty of opportunities for scaling up and down the ALTDRIVE technology to create more customised ‘green’ vehicles for the mining industry.

“If you look at any mine site in Canada, there are five or 10 vehicles you could replace with electric versions,” he said.

Eastgate Engineering to turn up the current at Woodsmith polyhalite project

Eastgate Engineering says it has been awarded the electrical installation contract for the Woodsmith mine project, in the UK.

Recently acquired by Anglo American, the Woodsmith polyhalite project, in north Yorkshire, is envisaged to be a 10 Mt/y mine with the potential to ramp up to 20 Mt/y at full production.

The project will see product extracted via two mine shafts and transported to Teesside, in the northeast of England, on a 37 km-long underground mineral transport system. It will then be granulated at a materials handling facility, with the majority being exported to overseas markets.

Eastgate, which did not disclose the contract award value, says it is a specialist electrical and instrumentation services contractors providing engineering, construction, commissioning and maintenance services to a broad range of sectors.

Mining-focused consortium delves into mine closure ‘transition’

The University of Queensland’s Sustainable Minerals Institute (SMI) has published the first six project reports of the Social Aspects of Mine Closure Research Consortium.

Researchers at SMI’s Centre for Social Responsibility in Mining (CSRM) led the mine closure-related projects, which, they say, examined Indigenous employment opportunities, public participation and government engagement processes, integrating social aspects into industry partners’ closure planning, governance and regulation and mining as a temporary land use.

“The consortium is a multi-party, industry-university research collaboration established to conduct research that challenges accepted industry norms and practices and demands new approaches that place people at the centre of mine closure,” SMI said.

CSRM Director Professor, Deanna Kemp, said publishing the reports contributed significantly to the mine closure literature and provided stakeholders with the latest information.

“In the consortium’s first year of operation, we focused on establishing data and knowledge to inform subsequent research. This strategy is evident in the diversity of projects undertaken,” she said.

“A core theme has been around ‘transition’; that is, viewing closure not merely as an end-point of mining, but as a transition to a post-mining future in which social change continues long after a mine ceases to be productive.”

She said the consortium was now developing its 2020 research plan, “which will build on this solid foundation and deliver on our consortium partners’ priorities”.

Major mining companies such as Anglo American, BHP, MMG, Newcrest, Newmont, OceanaGold and Rio Tinto are consortium members, with the work sitting under the SMI’s Transforming the Mine Life Cycle strategic research program as one of three research themes (transitioning through closure).

Under the ‘Indigenous groups, land rehabilitation and mine closure: exploring the Australian terrain’ project, two challenging areas at the interface of mining and Indigenous communities in Australia are being addressed.

This includes, one, the persistent lack of direct employment of Indigenous landowners on mines operating on their land; and, two, increasing expectations that mining companies engage local communities in closure planning and closure criteria setting as a prerequisite for relinquishment.

“The approach taken seeks to build on one of the greatest assets Indigenous people possess; their attachment to and knowledge of their land,” the SMI said.

In the ‘Integrated mine closure planning: A rapid scan of innovations in corporate practice’ project, the study aims to identify novel approaches used by consortium member companies to integrate social dimensions into closure planning.

Identifying these approaches promotes knowledge exchange between the companies and provides direction for future research and innovation for mine closure performance, according to the SMI.

“We found that the companies are at various stages of integrating environmental, social and economic factors into planning (at all stages of the mine lifecycle),” it said.

The ‘Participatory processes, mine closure and social transitions’ project examines the fact that, in closure planning, the focus of public participation is on identifying and managing the changes brought about by closure.

The project will ask: “What participatory processes contribute to a smooth transition to a post-mining future? How can public participation contribute to a positive socio-economic legacy of mining?”

Undertaken as part of the Social Aspects of Mine Closure Research Consortium, this project will address these questions.

The SMI said: “Researchers found few studies documenting the specific application of participatory processes to mine closure. Even fewer provide analysis to glean broader insights beyond time- and context-specific details.”

This project was designed as an exploratory, desktop study to ascertain what is known and documented about participation in mine closure. It is intended to provide an overview of key principles and to function as a repository of case studies to support future research, according to the consortium members.

The ‘Government engagement: insights from three Australian states’ project sought to establish current state priorities for socially responsible mine closure and smooth regional post-mining transitions in the Australia state jurisdictions of New South Wales, Queensland and Western Australia.

It concentrated on priorities that are not yet evident in legislation and cultivating state authorities’ interest in the work of the consortium, according to the SMI.

“The project aimed to: better understand current and emerging expectations and role of Australian governments in ensuring attention to social aspects of closure; identify government strategies for improving the ‘afterlife’ for mining communities and regions; articulate regulator roles in protecting the public good and ensuring a positive socio-economic legacy of mining; facilitate two-way communication between the consortium and governments and identifying ways for government departments to connect to the consortium’s work.”

The project, ‘Mining as a temporary land use: industry-led transitions and repurposing’, showed that post-mining land use and associated economies have become a priority issue in mine lifecycle planning.
This scoping project starts from the position that reconceptualising mine ‘closure’ may enhance the industry’s contribution to sustainable development, the SMI said. It reframes mining as a “temporary land use”.

“The primary focus of this research is on identifying examples of post-mining repurposing of land and related economic transitions that are being led by industry,” the SMI said. “Transitions led by state or other actors (eg civil society groups) provide additional inspiration for industry-led opportunities. Our findings provide an initial repository of cases that different parties can refer to in making decisions about post-mining futures.”

Lastly, the ‘Social aspects of mine closure: governance & regulation’ project extends previous CSRM work on closure regulation and closure bonds.

The project partners reviewed mining regulations across 10 jurisdictions around the world, with the objective being to build a knowledge base of how regulators are approaching social aspects of closure. This involved collating, organising, and characterising over 40 acts, regulations, and policy documents.

“We found that no jurisdiction had passed regulation specific to social aspects of closure and all tended to focus on biophysical aspects of closure,” the SMI said. “Social aspects of mining received attention in relation to approvals, but not generally for closure.”

The evidence gathered in this project can be mobilised to support subsequent work, according to the partners, who suggested a collaboration between industry, government, and other stakeholders to develop model regulations that account for a variety of perspectives and reflect realistic operational parameters.

You can find out more about the projects by clicking here.

Anglo, BHP, FMG and Hatch back green hydrogen developments

Anglo American, BHP, Fortescue Metals and Hatch say they have formed a Green Hydrogen Consortium to look at ways of using green sources of hydrogen to accelerate decarbonisation within their operations globally.

Primarily, the consortium aims to collectively help to eliminate the obstacles to the adoption of green hydrogen technologies and encourage innovative application, they said.

“The goal is to identify opportunities to develop green hydrogen technologies for the resources sector and other heavy industries, and provide a mechanism for suppliers and operators to contribute to and engage with these development activities,” the four firms said.

The member companies of the Green Hydrogen Consortium stated that they are technology agnostic and are considering a range of options to progress decarbonisation of their operational greenhouse gas emissions, according to a fact sheet issued by the consortium.

“Given the range of applications for green hydrogen and the cost challenges associated with it, the consortium was formed to work together to seek to de-risk its application and enable acceleration of cost reductions,” the partners said. The consortium is expected to be in place for three years.

While Anglo American is currently developing the world’s largest hydrogen-powered mine haul truck for testing at the Mogalakwena platinum group metals site, in South Africa, Fortescue already has a partnership in place with CSIRO, Australia’s national science agency, on the development of hydrogen technologies.

Some of the proposed activities of the consortium include undertaking research, technology and supply chain development, and piloting green hydrogen technologies to seek to de-risk and accelerate the technologies, the partners said.

“The companies involved in the consortium are committed to reducing their respective operational greenhouse gas emissions and to working collaboratively with others – including customers and suppliers – to find technological or other innovative solutions for the emissions associated with the use of their products and in their supply chains,” they said.

Hatch, the lone engineering company in the consortium, has been appointed as the Project Management and Governance Facilitator of the consortium.

Anglo American renews clean energy commitment in Brazil

Atlas Renewable Energy, a leading renewable energy company in Latin America, and Anglo American have signed the largest solar energy purchase and sale contract in Brazil worth an estimated BRL881 million ($190 million).

The clean energy supply contract will see the Atlas Casablanca photovoltaic solar plant, in Minas Gerais, supply about 9 TWh over a 15-year period, commencing in 2022.

This contract is part of Anglo American’s strategy to use 100% renewable energy for its operations in Brazil as of 2022 and is part of Anglo American’s Sustainable Mining Plan, which has among its goals to reduce CO2 emissions by 30% by 2030.

In addition to the Minas-Rio iron ore operation, in Minas Gerais, Anglo also has the Barro Alto nickel operation (Goiás).

The Atlas Casablanca solar plant has an installed capacity of 330 MW with more than 800,000 modules, according to Atlas. This is enough energy to supply a city of 1.4 million inhabitants, according to the average consumption of a Brazilian family, it says.

“Atlas Renewable Energy will use bifacial modules in the Atlas Casablanca solar plant, a cutting-edge technology in the generation of solar energy,” the company said. “These novel solar panels are able to use the reflection of the sun’s rays from their front and back sides, increasing the efficiency of the photoelectric conversion, and therefore increasing the energy generation and efficiency of the plant.”

Wilfred Bruijn, CEO of Anglo American in Brazil, said: “With this agreement and the contract for the construction of a wind power plant in Bahia (an agreement with AES Tietê) signed in December, we will now be sourcing 90% of our energy from renewable sources, leading to a 40% reduction in CO2 emissions associated with our activities.”

Carlos Barrera, Atlas Renewable Energy CEO, said: “Atlas is leading in the new trend of providing clean energy directly to large energy consumers. The forms of supply are being transformed, making clean sources available to large companies, thus reducing their carbon footprint and production costs.

“Atlas is proud of pioneering, once again, the bilateral solar PPA in a new Latin American country. Our team was the first to implement a solar Private PPA in Chile some eight years ago, and now we do so in Brazil. We would like to acknowledge and congratulate Anglo American’s leadership for their commitment to become a more sustainable institution.”