Tag Archives: Carrapateena

Normet battery-powered Charmec arrives at OZ Minerals’ Carrapateena mine

OZ Minerals has become the first miner in Australia to take delivery of a battery-powered Normet Charmec MC 605 VE SmartDrive (SD), with the unit arriving at its Carrapateena copper-gold mine in South Australia last month.

In a post on LinkedIn, the company said of the machine: “It is Australia’s first battery-powered vehicle for underground explosive charging and emits zero local emissions.”

Back in June 2019, Normet made history by, for the first time in Europe, demonstrating battery-electric emulsion charging in a production environment underground at the Pyhäsalmi mine, in Finland, with its Charmec MC 605 VE SD.

This followed the launch of its SmartDrive battery-electric vehicle architecture at Bauma in Munich, back in April 2019.

According to Normet, battery-based charging makes the explosives charging process safer and more efficient, as there is no need to plug in to the mine’s electric grid.

The company says the Charmec MC 605 VE SD presents the new era of charging in underground mines.

“Normet SmartDrive battery-electric vehicle technology, integrated to the state-of-art emulsion charging technology, offers the highest value to customer in terms of safety, health, ergonomics and productivity, with zero local emissions,” it said.

A prefeasibility study on an expansion of Carrapateena, released in June, included a trial of electric light vehicles and establishment of a renewable energy hub.

Data science competition unearths potential of South Australia’s Gawler region

Unearthed Solutions says scores of multi-billion-dollar mining projects could be ignited following the results of an international challenge to unlock the potential of South Australia’s resource-rich Gawler region.

ExploreSA: The Gawler Challenge, run by the South Australian Government and innovation specialists Unearthed Solutions, had a total prize pool of A$250,000 ($183,249) and attracted broad domestic and international interest.

Using the Geological Survey of South Australia’s (GSSA) historical records, primary data and research, the competition combines geological expertise with new mathematical, machine learning and artificial intelligence to increase the number of potential drill targets across central South Australia, Unearthed says.

Buoyed by its success, the South Australia Government has allocated an additional A$5 million from the Economic and Business Growth Fund to the GSSA to flesh out the winning concepts into prospects for exploration companies to make the next big discovery, Unearthed said.

Minister for Energy and Mining, Dan van Holst Pellekaan, said he was pleased to congratulate the first prize winner, Per-OZ, for its innovative entry which brings together traditional geology, machine learning, advancing modelling, and precision drilling.

“Team Per-OZ, short for Peru/Australia, is a collaborative effort by Dr Paul Pearson from Latin Global and Dr John McLellan from GMEX who both specialise in structural geology, prospectivity analysis, data science, machine learning and modelling,” van Holst Pellekaan said.

“The judging panel chose the solution presented by Per-OZ as the best overall submission due to their unique methodology which could help geologists in the field find that needle in the haystack. Their unique approach may put us one step closer to uncovering new economic mineral deposits in one of the most significant iron oxide copper-gold regions in the world.”

He added: “By looking at traditional geology with techniques from other disciplines, we can peer into the depths of the earth in a new way, and might just uncover the next Olympic Dam or Carrapateena.”

The Minister for Energy and Mining added that the competition drew around 2,200 data specialists from more than 100 countries to interrogate massive holdings of new and historical data held by the GSSA across the Gawler Craton.

“Globally, it’s becoming harder to find new mineral deposits, and the next generation of discoveries will need to go beyond traditional geology,” he said.

“The analysis of this information treasure trove by data and geoscientists in just five months is an amazing leap forward in the use of artificial intelligence, machine-learning algorithms and alternative mathematical data analysis for the mining sector.

“The GSSA will use this new funding to develop, validate, and deliver publicly available Next Generation Mineral Systems maps for explorers.”

Unearthed Solutions Director, Justin Strharsky (pictured), said “ExploreSA: The Gawler Challenge is a clear demonstration of the South Australian industry’s commitment to harnessing the power of data.

“The world is more interconnected than ever, and the Gawler Challenge has shown that the future will be shaped by those who embrace innovation and collaboration. South Australia is set to reap huge economic benefits and is sending a positive, forward-thinking message to students and international investors that this is where the future lays.

“All mineral targets, models and data will be made publicly available to encourage companies to explore for new deposits in the Gawler region, reinforcing South Australia’s reputation as the centre of mining excellence and innovation in Australia,” he said.

The category winners for ExploreSA: The Gawler Challenge are:
• Overall Winning Submission Per-OZ (A$100,000 prize);
• Runner Up Caldera Analytics (A$50,000 prize);
• Undercover Award DeMIST (A$15,000 prize);
• Rock Licker Award Jack Maughan (A$15,000 prize);
• Future Data Award Sam Bost (A$15,000 prize);
• Breaking New Ground Award Avant Data Solutions (A$15,000 prize); and
• Student Prize Sparveon (A$20,000 prize)

Unearthed Solutions has compiled all targets generated by the challenge into an interactive map, which can be found on the Unearthed website from 16 September 2020.

OZ Minerals eyes up block cave opportunities at Carrapateena underground mine

A prefeasibility study on an expansion of OZ Minerals’ Carrapateena copper-gold underground mine, in South Australia, has indicated a block cave conversion in the lower portion of the Carrapateena resource has the potential to almost double average production from 2026.

It is these results, plus the potential Block Cave 1 and Block Cave 2 expansion net present value of circa-A$770 million ($534 million) at final investment decision in 2023, that has seen the company confirm it will progress the plan to feasibility study stage, with the Carrapateena Block Cave Expansion Feasibility Study Stage 1 report expected before the end of 2021.

The PFS plan includes the potential to transition to dry-stacked tailings to reduce reliance on groundwater resources and a trial of electric light vehicles and establishment of a renewable energy hub – both of which are aligned with OZ Minerals’ strategy and aspirations, OZ Minerals Chief Executive Officer, Andrew Cole, said.

Carrapateena produced first concentrate in December 2019 following a three-year construction period and is targeting a 12-month ramp-up period to achieve a production rate of 4.25 Mt/y by the end of this year.

Currently an underground sub-level cave operation with an estimated mine life of 20 years, the latest study, which comes with a A$1.2-1.3 billion capital expenditure bill shows the potential for a future expansion of the bottom half of the operation into a series of block caves.

Cole said: “The prefeasibility study analysed the whole Carrapateena Province and determined that replacing the lower half of the current sub-level cave with a block cave and expanding the expected annual throughput rate from 4.7-5 Mt/y (currently planned from 2023) to 12 Mt/y, has the potential to create significantly more value than the sub-level cave alone.”

He said the block cave would leverage existing underground infrastructure, supported by expanded surface processing capability.

OZ Minerals added: “The proposed block cave is different from previous Carrapateena block cave studies as it targets a smaller, higher-grade footprint in BC1 (block cave one) with 600 m height of draw, followed by a lower-grade BC2 (block cave 2) with 400 m height of draw. The Carrapateena block cave builds on modern block caving experience, and aims to deliver an automated, electrified, data-driven mine with technology embedded in the design.”

The conversion to block cave operations enables a series of future add-on block caves, all of which were considered in the Life of Province scoping study, Cole added.

The plan could see annual production double to around 110,000–120,000 t of copper and 110,000–120,000 oz of gold from 2026, with life of mine all-in sustaining costs of some $0.75-0.85 c/lb ($1,654-1,874/t), he said.

Key upgrades to underground infrastructure include faster conveying systems with improved utilisation and a larger crusher station three for the block cave with increased capacity over that required for the sub-level cave.

An additional primary ventilation fan and circuit will be required for the transition period from sub-level cave to block cave before a reduction in the mine’s ventilation requirements for the life of mine, the company added.

The prefeasibility study currently recommends the process plant upgrade to 12 Mt/y via a parallel processing circuit to minimise brownfield interfaces and introduce energy load scheduling via the vertical roller mill as the primary surface crushing option, OZ Minerals said.

“The parallel process plant approach also allows both plants to be run independently, and for mine production to continue during plant shutdown periods,” the company said.

However, pivoting back to a traditional SAG/ball grinding circuit in the parallel process plant or tertiary crushing, to increase sub-level cave process plant throughput, will remain as options until final detailed design, OZ Minerals explained. This will not have a material impact on project value and allow time for optimisation of the current sub-level cave process plant before a final decision, it added.

OZ Minerals to use SIMEC Mining’s Whyalla Port for Carrapateena concentrate exports

OZ Minerals has become the first company to sign a long-term port services contract with SIMEC Mining’s Whyalla Port, in South Australia.

The pact will see OZ ship copper concentrate from its new Carrapateena mine from the port.

The port in Whyalla currently serves SIMEC’s haematite and magnetite iron ore mines as well as the Liberty steelmaking facilities in the same location (all part of the GFG Alliance). The facility handles both the loading of vessels with export-bound ore, as well as the inbound handling of raw materials, storage and blending of iron ore, according to SIMEC Mining.

SIMEC Mining Executive Managing Director, Matt Reed, said the three-year contract was the first major deal the business had secured.

“We’ve stated for some time that our port is open for business, and the last few years have demonstrated that through the number and variety of trials we’ve undertaken,” he said. This includes wind farm transport and the current ship deconstruction, scrapping and recycling project utilising the old shipyard slipway, the company explained.

Reed continued: “To take that to the next level and secure an ongoing contract is testament to our increased capability; and an exciting step in the evolution of the Whyalla Port.”

The contract will see secure containers of copper concentrate trucked from the mine – located about 165 km north of Port Augusta – to the Whyalla Port for consolidation. The concentrate will then be shipped out in 5,000-10,000 t cargoes, with annual shipments gradually increasing in conjunction with the ramp up of the mine.

In its March quarter report, OZ Minerals said Carrapateena was expected to produce 20,000-25,000 t of copper and 35,000-45,000 oz of gold in the 2020 financial year to the end of the June. It added that the plant ramp-up was ahead of schedule with a five-day continuous period at 12,000 t/d nameplate capacity achieved in March.

According to SIMEC Mining, strict environmental controls are in place including sprays to manage dust – with the state government and EPA consulted and engaged prior to providing the necessary approvals.

OZ Minerals’ Chief Financial Officer, Warrick Ranson, said: “We were really excited to hear that SIMEC had opened its port to third parties, and it has made a significant difference for us in reducing transport times.

“We are impressed with the capability SIMEC has managed to develop through the facility in recent years and look forward to partnering with them to deliver our product to market.”

While initially a three‐year contract, Reed is hopeful the agreement can be extended to reflect the overall life of the mine.

“This contract justifies our investment in the port – particularly the installation of our state‐of‐the‐art mobile harbour crane – as this wouldn’t have been possible with our old facilities,” he said.

“We will be able to transport this material safely, efficiently and with a high standard of environmental care; and expect our performance to lead to further long-term contracts in the near future.”

OZ Minerals outlines block cave potential at Carapateena copper-gold project

OZ Minerals’ scoping study on an expansion at the Carrapateena copper-gold project, in South Australia, has shown that converting the lower portion of the sublevel cave to a block cave from 2026 could yield up to 60,000 t/y more copper output at the same time as reducing operating costs.

The Carrapateena sublevel cave is still in the development phase and is expected to hit first production in the December quarter of this year. This project is expected to produce an average of 65,000 t/y of copper and 67,000 oz/y of gold over a 20-year mine life.

The study outlined a more than doubling of mine throughput from 4.25 Mt/y to 10-12 Mt/y from 2026 through the development of the block cave and expanded surface infrastructure. This was expected to cost A$1-$1.3 billion ($704-$916 million) in upfront capital and lead to all-in sustaining costs going from $1.05/Ib ($2,315/t) in the sublevel cave operation to $0.90-$0.95/Ib during block cave operation.

The plan would see OZ Minerals access the higher-grade bornite mineralisation first, via the top-down sublevel cave, followed by a bottom-up block cave, OZ said.

Mine expansion and transition to a block cave would require adjustment to the location of future underground infrastructure below crusher station two, including a change in orientation of the decline, conveyor and ventilation, OZ said. In the current operation plan, this is not due for installation until after 2021.

The materials handling system and crushing infrastructure would require additional drive motors and a faster conveyor system to hit the new 10-12 Mt/y capacity, while there would need to be upgrades to the primary and secondary ventilation systems; electricity and communications infrastructure; and water supply, dewatering and underground facilities.

In terms of the process plant, there would need to be either a new parallel processing plant installed or an upgrade of the current sublevel cave processing plant.

OZ Minerals CEO, Andrew Cole, said: “The Carrapateena Block Cave Expansion work showed the conversion to a block cave to be the most value accretive next step for the Carrapateena resource and conceptually for the entire province, as it potentially enables a series of future add-on block caves, which themselves will now be the subject of a Carrapateena Life of Province Plan scoping study.”

He said the sublevel cave construction project remained on schedule for first production later this year, with ramp up to full production of 4.25 Mt/y taking place over the following 18 months.

The company will now move onto a prefeasibility study for the block cave expansion plan, which is expected to be completed by mid-2020.

Factoring in the scoping study results increases life of mine tonnes from 84 Mt at 1.8% Cu and 0.7 g/t Au, to around 145 Mt at 1.2% Cu and 0.5 g/t Au over a 20-year period.