Tag Archives: Argentina

Fortuna starts stacking at Lindero heap leach gold mine

Bulk handling, Comminution of minerals, Mineral processing, Mineral project development, Precious metals, , , , , , ,

Fortuna Silver Mines has completed the primary and secondary crushing circuits at the Lindero gold project, in Salta Province, Argentina, with the company starting to stack ore on the heap leach pad.

As of the end of June, the overall project is now 97% complete, with the first gold pour expected at the end of the September quarter, Fortuna said.

Jorge A Ganoza, President, CEO and Director of Fortuna, said: “The successful commissioning of the primary and secondary crushing circuits and the start of stacking ore on the heap leach pad are key and much awaited milestones at Lindero. Our project team is delivering on schedule and budget according to the revised plan, despite the challenges and limitations of carrying on construction activities under COVID-19 related constraints.

“The next upcoming milestone is the start of heap irrigation which is scheduled for the end of August.”

The ramp-up phase of the primary and secondary crushing circuits will involve an increase in production until nominal rates of 18,750 t/d are achieved, the company said. Fortuna expects to achieve nominal rate production in the December quarter of 2020, inclusive of the tertiary high pressure grinding roll system and agglomeration plant.

Ore for the commissioning and initial ramp-up of the crushing circuit and stacking on the heap leach pad is being sourced from the medium-grade coarse ore stockpile inventory of around 1 Mt averaging 0.55 g/t Au.

During the period from July to December, an estimated 1.7-1.9 Mt of ore is scheduled to be placed on the leach pad with an average gold grade of 1-1.1 g/t, the company said. The estimated stripping ratio during this period is 0.68-0.75.

Final construction activities related to the process ponds, ADR (adsorption, desorption and regeneration) and SART (sulphidisation, acidification, recycling and thickening) plants continues with electrical and piping installations progressing according to plan, Fortuna said. The process pond and ADR plant electric rooms have been energised, with pre-commissioning of the solution handling system commencing on July 11 with the barren pond pumping equipment.

Lindero has been designed as an 18,750 t/d owner-operated open-pit mine with a pit life of 13 years based on current mineral reserves.

Commit Works expands mining software footprint into South America

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Commit Works, a mining software company headquartered in Brisbane, Australia, is continuing its expansion plans with a move into South America.

This builds on Commits Works’ growth trajectory into South Africa, North America and New Zealand in 2017, 2018 and 2019, respectively, and comes only seven years since the company was founded in 2013.

While Commit Works is still assessing where its new office location will be, a spokesperson confirmed it was at this stage looking into addresses in Chile or Peru.

The expansion follows the successful relationship the company has been building since December with its first South America customer, a gold mine in Argentina.

Commit Works provides planning, scheduling and visual management software for the mining industry, with its flagship solution, Fewzion, enabling planners to quickly build integrated shift plans, which are provided electronically to mining and support crews, coordinating the complex work being performed throughout each shift.

Paul Moynagh, CEO and Founder of Commit Works, said: “Expanding into South America is an incredible opportunity our entire team is thrilled to have. With our frontline productivity software and proven approach that drives commitment, trust and performance, we can help mines throughout the continent sustainably deliver hard dollar value into the business, and build a better, more collaborative culture for the entire workforce.”

The South America customer in question has been realising preliminary production improvements that are consistent with the double-digit results Commit Works has helped mines elsewhere in the world achieve, the company said. “The foundation of those outcomes has been significant reductions in variability that boost and sustain productivity,” it added.

Moynagh added: “South America has many high-value mines, and it’s important the resources are managed in the most efficient way possible. We want to help mine leaders and their entire teams do that responsibly and safely.”

Moynagh said adding a new office in the region reflected how Commit Works’ software and proven approach will help customers emerge and surge when mines fully re-open following the COVID-19 outbreak.

“Our expansion in the region is an opportunity for us to work with the area’s brightest talent to positively impact the technology and mining sectors, and help mine’s emerge from the pandemic stronger than ever,” he said.

Maestro Digital Mine makes connections in Latin America

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Maestro Digital Mine’s Latin America expansion is gaining traction, with the Sudbury-based company recently landing sales from major gold mines in Argentina.

Its flagship Industrial Internet of Things measurement and control instrumentation solutions, such as the Vigilante AQS™ and Zephyr AQS™ air quality monitoring stations, and the Plexus PowerNet™ last mile communication platform, are designed to provide the visibility and communication miners require to keep up productivity and improve safety while operating at increasing depths

Having successful launched these products in over 130 mines, in more than 20 countries around the world, Maestro started its strategic outreach and market research in Latin America last year.

Maestro’s says its distribution channels are vital to its success in this area and, as part of the Maestro sales team, provide valuable feedback, access and service to potential clients in Latin America.

This strategy saw it partner with associations that assist with market research and business-to-business meetings, such as the Mine Connect (formerly SAMSSA), and the Northern Ontario Export Program led by the Greater Sudbury Development Corporation (GSDC) and Mining Suppliers Trade Association (MSTA), as well as secure four new distributors/agents in the key mining hubs of Argentina, Chile, Peru and Mexico to support this growth.

This investment is already starting to pay off, with the company recently landing significant contracts across the region.

In Argentina, Yamana Gold’s Cerro Moro mine, in the Santa Cruz province, is installing the Plexus PowerNet solution. This delivers a high speed, low latency digital communication network that provides “PoE+ power” to Wireless Access Points, cameras and any other IP-based device, Maestro said. The system eliminates the need for costly outside fibre optic contractors and can be installed and maintained by any internal tradesperson, according to Maestro.

Cerro Moro, an open-pit and underground gold-silver operation, poured its first gold and silver doré back in May 2018 and, up until recent COVID-19-related restrictions hit mining operations, was expected to produce 117,000 oz of gold and 7.5 Moz of silver in 2020, according to the miner.

In that same province, Maestro has also installed the last mile communication solution at Newmont’s Cerro Negro mine. This operation includes five underground mines (Eureka, Mariana Central, Mariana Norte, San Marcos, Bajo Negro), one open-pit mine (Vein Zone) and one cyanide leach processing facility that yields gold recoveries of 96%, according to Newmont.

In Mexico, Maestro has installed Vigilante AQS – air quality monitoring stations in Peñoles mines. Peñoles, a subsidiary company owned by Grupo BAL, is the second largest Mexican mining company, the top Mexican producer of gold, zinc and lead and a world leader in silver production.

Coeur Mining has, meanwhile, installed and integrated the Vigilante AQS and MaestroLink software into its Mexican mines. This includes the Palmarejo silver-gold complex. The miner continues to expand Maestro’s digital solutions on each new level of its Mexico mines, Maestro said.

Maestro concluded: “With the support of our distribution partners, we are proud to be enabling worker safety and productivity in the mines of Latin America. It is through a collaborative model that Canadian suppliers can impact positive change in the global mining industry.”

Newmont withdraws 2020 guidance as four mines go into care and maintenance mode

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Newmont says it is withdrawing its full-year 2020 guidance after placing four of its operations into temporary care and maintenance mode in response to the global COVID-19 pandemic.

The company said these actions could see some production deferred into 2021, potentially impacting costs in 2020 if the suspensions continue for an extended period. This meant its guidance of 6.4 Moz of gold at an all-in sustaining cost of $975/oz for 2020, given in early January, would no longer stand.

For the March quarter, Newmont said it expected to produce some 1.4 Moz of attributable gold and around 325,000 of “co-product gold equivalent ounces”. Year-to-date through February 29, Newmont had produced around 981,000 oz of attributable gold and some 227,000 co-product gold equivalent ounces, it said.

“Newmont continues to work proactively with logistics partners and refiners to transport and refine product in a challenging environment,” it said. “We are not currently experiencing significant delays in the shipping of concentrate or transportation and refining of doré, but they may occur in the coming days and weeks if certain government-required shutdowns and border restrictions occur.”

Mines representing around 80% of the company’s production outlook for 2020 continue operating in line with production targets for the year, it said. These operations have implemented heightened levels of health screening, along with support services being conducted remotely.

“If at any point the company determines that continuing operations poses an increased risk to our workforce or host communities, we will reduce operational activities up to and including care and maintenance and management of critical environmental systems,” the company added.

Yet, in order to protect nearby communities and align with travel restrictions or health considerations in Argentina, Canada and Peru, four of its operations are being temporarily put into care and maintenance.

“The operations will be positioned so they can safely and quickly resume normal operations once protective measures have been lifted,” the company said.

The operations being placed into care and maintenance mode includ:

  • Musselwhite: Newmont has decided to limit personnel on site to minimise fly-in/fly-out activity to prevent the possible transmission of the virus into communities, including nearby First Nations communities in northern Ontario – essential personnel to maintain infrastructure, continue environmental management and provide security;
  • Eléonore (pictured: Credit Osisko Gold Royalties): Newmont has decided to limit personnel on site to comply with the Quebec government’s restriction on non-essential travel within the province and to prevent the possible transmission of the virus into communities, including nearby First Nations communities – essential personnel to maintain infrastructure, continue environmental management and provide security;
  • Cerro Negro: Newmont will have to limit personnel on site due to the halt of all domestic flights and mass transportation in Argentina through March 31 – remaining on site will be essential personnel to maintain infrastructure, continue environmental management, provide security and continue ground control activities; and
  • Yanacocha: As previously disclosed, mining operations were in the process of safely ramping down due to government travel restrictions in-country, while gold production from leach pads and critical safety, security and environmental management activities continue

Tom Palmer, President and Chief Executive Officer of Newmont, said: “Our business continuity plans and rapid response teams have been fully mobilised in response to the COVID-19 global pandemic.

“We are working closely with host communities, First Nations and other indigenous peoples, regional and national governments and health experts to protect our workforce and nearby communities. This includes putting some operations temporarily into care and maintenance while others continue to operate at targeted production levels.

“We are also making sure that these short-term disruptions do not impact long-term business value while ensuring we are well-positioned to safely and efficiently ramp-up operations in a timely manner once the worst of this global pandemic passes.”

Measures taken at Newmont operations and offices globally include:

  • Cancelling all non-essential travel;
  • Enhanced temperature and questionnaire screening at entry points to sites;
  • Establishing flexible and remote working plans for employees;
  • Establishing screening for fly-in-fly-out employees prior to their departures from their home communities;
  • Mandatory self-quarantine for anyone who has travelled internationally or has any flu-like symptoms;
  • Providing logistical and health care support to nearby communities where needed; and
  • Established a global supply chain task force to assess all potential risks and develop viable contingency plans that enable us to stay ahead of any potential supply disruptions.

AIS Resources invests in new solvent extraction process

Energy minerals, Environmental, Industrial minerals, Mineral processing, Water management, , , , , , , , ,

Lithium-focused AIS Resources says it has signed an option agreement with Ekos Research to invest $1 million in its SOLVEX solvent extraction process.

The 120-day option pact would see AIS take a 15% stake in Ekos.

The SOLVEX process is the culmination of three years of research and development by Ekos Research, the University of Melbourne and the University of Tsinghua (China), according to AIS. This research has seen SOLVEX produce extraction rates exceed 99%, with greater than 99.2% purity lithium produced.

According to AIS, more than 90% of the solvents can be reclaimed using SOLVEX, while the process has 98.5% efficiency in removing major ions such as magnesium, calcium, potassium and boron.

Another potential benefit for AIS, which is currently exploring and developing lithium brine projects in northern Argentina (pictured), is the process looks to be “much more economic” than fractional crystallisation as no ponds are required. This could potentially reduce lithium processing investments by more than 60%, according to AIS.

“It is very efficient at handling high magnesium brines that pose a serious recovery problem using other technologies such as membranes, reverse osmosis, ion exchange and fractional crystallisation,” the company added.

The planned $1 million investment will go towards building a pilot plant in Melbourne that will be subsequently shipped to Salta, Argentina, where brines will be processed to demonstrate commercial viability, AIS said. This could see a pilot plant constructed nine months after the funding is received.

Baco mining trucks feeling the benefits of SSAB Hardox steels

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The use of SSAB’s Hardox® 500 Tuf wear plate in Argentina-based Industrias Baco’s tipper truck bodies has extended the product lifespan by around 30%, according to the Nordic-based steelmaker.

Industrias Baco, the first company in Argentina to use SSAB’s specialist steel wear plate in tipper truck bodies, was so impressed by these results that 90% of its tipper bodies are now made with Hardox wear plate.

The switch to Hardox steels from traditional steel has been a fundamental part of the company’s increased sales, according to Patricia Meers, Financial Manager at Industrias Baco. “I believe Hardox steel has been a great part of our sales success. SSAB has helped us a great deal with marketing over these past years, and sales of our tippers have increased greatly with the help of Hardox wear plate. Our clients are very satisfied because the Hardox material is much more hard-wearing and versatile.”

Industrias Baco is mainly focused on producing heavy duty tippers for the mining industry.

Sales Coordinator, Nelson Bacolla, said the addition of Hardox 500 Tuf has led to the creation of new truck model with a design that helps improve the unloading process – reducing the unload time and, therefore, increasing productivity and the bottom line.

“It has been very successful,” Bacolla says. “When it comes to the distribution of the load, the truck functions much better with the new bodywork made from the new wear plate. It is the perfect combination.”

Meers witnessed first-hand the positive change that came when the company started to include Hardox material in the tipper bodies about 10 years ago. The company has also been a member of the Hardox In My Body customer program for two years.

“By having the sign on our products, it shows the customer what material we use. Nowadays customers know about Hardox wear plate and are asking for it. They know it means stronger, more lightweight and more hard-wearing tipper trucks that can carry heavier loads,” she said.

Industrias Baco uses Hardox wear plate for three different tipper truck models. They all take advantage of the same conical shape facilitated by the wear plates, accelerating the unloading process. Hardox 500 Tuf wear plate is used in its newest released tipper body model, while Hardox 450 wear plate is used in two tipper body models – one with cutaways on the side and one half-piped version. Hardox wear plate is also used in the sides and floors of the truck bodies.

Agua Rica-Alumbrera mine integration plan hits the right note in latest study

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A plan to incorporate infrastructure from Glencore, Newmont Goldcorp and Yamana Gold’s jointly owned Alumbrera copper-gold operation, in Argentina, into the Agua Rica copper-gold project looks like paying off after a prefeasibility study (PFS) on the project highlighted an increase in annual output over the mine’s first 10 years and lower operating costs.

The three companies, in March, signed a definitive integration plan, which contemplated the development and operation of the Agua Rica project using the infrastructure and facilities of Minera Alumbrera, which saw open-pit mining conclude in 2018. This pact, they said, would realise important synergies, lowering initial capital required, and reducing the environmental footprint. As part of the deal, Agua Rica would be jointly owned by the three parties, with Yamana owning 56.25%, Glencore holding 25% and Newmont Goldcorp holding the remaining 18.75%.

Yamana said: “The integration plan generates significant synergies and lowers execution risk by bringing together the extensive mineral resource of Agua Rica with the existing infrastructure of Alumbrera to create a unique, high quality, and low risk brownfield project that the parties believe will bring significant value to shareholders and local communities and stakeholders.

“This unique and innovative project will serve to position Catamarca as a focal point for development in northwestern Argentina.”

Based on mineral reserves updated as at June 30, 2019, the PFS estimates a mine life of 28 years with average annual production over the first 10 years of around 533 MIb (241,765 t) of copper equivalent, including 107,000 oz of gold and contributions of molybdenum and silver. Average cash costs over this period were estimated at $1.29/Ib, with all-in sustaining costs coming in at $1.52/Ib.

Yamana said the initial capital cost estimate of $2.4 billion realises “significant synergies from using the infrastructure and facilities of Alumbrera”, with the project expected to generate an after-tax NPV (8% discount rate) of $1.935 billion based on a copper price of $3.00/Ib.

Opportunities to further improve the economics will be evaluated in a value-seeking study, scheduled for this year, and the full feasibility study, expected by 2020, Yamana said.

The PFS assumes a throughput rate of 110,000 t/d with scenarios considering a higher throughput rate to be evaluated in the value-seeking study and subsequent full feasibility study.

“Preliminary evaluations have indicated the potential for significant upside to the project economics from increases to throughput with existing mineral reserves to 115,000 t/d, which would improve NPV to over $145 million and require only a marginal increase to initial capital,” the company said.

The PFS for the integrated project considers the Agua Rica deposit to be mined via a conventional high tonnage truck and shovel open-pit operation. Average life of mine material moved is expected to be approximately 108 Mt/y, with ore feed of 40 Mt/y and average life of mine strip ratio of 1.66.

Ore extracted from the mine will be transported from the open pit by truck to the primary crusher area and then transported via a conventional conveyor to the existing Alumbrera processing plant. To route the overland conveyor system, approximately 5.2 km of tunnel development will be required. The conveyor extends 35 km to the Alumbrera process plant, where it will feed the existing stacker conveyor via a new transfer station.

Relatively modest modifications to the circuit are needed to process the Agua Rica ore in order to produce copper and by-products concentrate, according to Yamana, which will then be transported to the port for commercialisation. An in-situ blending strategy has been defined to manage the concentrate quality over certain years of the mine life, which will allow the project to achieve the desired targets, the company explained.

The high quality and well-preserved existing infrastructure of Alumbrera is fully used in the planned integration, Yamana said. Tailings storage facility, power supply, water supply, ancillary buildings, and logistical installations, among other infrastructure, are all included. “This significantly reduces the environmental footprint of the project,” Yamana said.

Given the level of progress achieved in the PFS, the parties have begun the process to prepare the Environmental Impact Assessment for the integrated project, as well as continuing engagement with local stakeholders and local communities, Yamana said.

Metso expands Latin America offering with HighService Service

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Metso has completed its acquisition of HighService Service, the service division of the Chilean mining engineering, construction and technology company HighService Corp, adding around 1,000 employees to its expanding Latin America operations.

The acquisition was announced in January and was approved by the Chilean competition authority in March.

Mikko Keto, President of Metso’s Minerals Services and Pumps business areas, said: “This acquisition expands our service offering in the Chilean and Pacific Rim mining markets and supports Metso’s growth strategy. It brings us more service experts to support our customers in the region and we are happy to welcome our new colleagues to Metso.”

Just a few weeks ago, Metso was awarded a contract to supply crushing and material handling equipment for the first stage of Codelco’s El Teniente copper mine expansion project in central Chile.

HighService Service offers its customers a variety of services from maintenance to commissioning and remote monitoring. Its circa-1,000 employees are in Chile, Argentina and Brazil. Its sales in the fiscal year 2017 were €60 million ($66.2 million).

Knight Piésold and JDS Energy & Mining to work on NRG’s HMN lithium PEA

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NRG Metals has selected global consulting firm Knight Piésold Consulting and engineering, project, and construction management company JDS Energy & Mining to prepare a NI 43-101-compliant preliminary economic assessment (PEA) on its flagship Hombre Muerto Norte (HMN) lithium project, in Salta Province, Argentina.

The HMN project is in the Hombre Muerto Salar, an area of active lithium production. The development strategy for HMN focuses on production of 5,000 t/y of lithium carbonate, with the potential for expansion.

A site visit was completed in December 2018 and the project evaluation and report are progressing in a timely manner, according to NRG. The report is expected to be completed during the March quarter.

NRG recently filed an updated resource estimate for HMN, which identified 571,000 t of lithium carbonate-equivalent at a grade of 0.0756% Li in the combined measured and indicated categories, with a low magnesium to lithium ratio of 2.6:1. This calculation will be used in the PEA.

Filo del Sol copper-gold-silver blueprint includes autonomous haul truck fleet

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Filo Mining has released the results of a prefeasibility study, carried out by Ausenco, on its Filo del Sol copper-gold-silver project on the borders of Chile and Argentina.

The PFS envisages average annual production of approximately 67,000 t of copper, 159,000 oz of gold, and 8.65 Moz of silver at a C1 cost of $1.23/lb ($2,712/t) copper-equivalent.

It also contemplates the use of an autonomous haul truck fleet, which allows the company to take advantage of the technology’s proven productivity improvements and operating cost savings, Filo Mining said.

Filo Mining is the second development-focused company in the past few months to make plans to incorporate autonomous haulage from the off. In November, NGEx Resources said it assumed its Josemaría project in Chile would use the latest in autonomous haul truck technologies.

The Filo del Sol study contemplates open-pit mining, with conventional drilling, blasting and loading performed on 12 m benches and is based off an initial probable reserve of 259 Mt at 0.39% Cu, 0.33 g/t Au and 15 g/t Ag.

Pre-production capital was pegged at $1.27 billion (excluding costs prior to a construction decision) and the company estimated a 14-year mine life with copper cathode, gold-silver doré and a high-grade copper precipitate produced. Filo said the post-tax net present value (8% discount) was $1.28 billion at copper, gold and silver prices of $3.00/lb, $1,300/oz and $20/oz, respectively.

Filo del Sol hosts a high-sulphidation epithermal copper-gold-silver deposit associated with a large porphyry copper-gold system. The project is in the Andes Mountains on the border of Chile and Argentina, approximately 140 km southeast of the city of Copiapó.

From the open pit, ore would be trucked to a conventional two-stage crusher, designed to process 60,000 t/d of ore. Crushed ore would be treated by sequential heap leaching, to extract copper and subsequently gold and silver from the ore followed by hydrometallurgical processing to produce copper cathodes and gold-silver doré. A portion of the barren leach solution, following zinc precipitation, would be treated to avoid a build-up of recirculating copper and cyanide through the gold circuit. This treatment is based on the SART process, which produces a copper sulphide precipitate (with grades of around 65% Cu) and recovers cyanide for use in the heap leach.

Groundwater for the process plant would be supplied from nearby aquifers to the plant site, and power would come from a 127 km of power line construction to connect to the Chilean national grid.

The PFS was prepared and managed by Ausenco Engineering Canada, with input from AGP Mining Consultants, BGC Engineering, Knight Piésold, Advantage Geoservices Limited, Merlin Geosciences and SRK Consulting.