Tag Archives: coal

Komatsu releases updated Joy 02ESV battery-power scoop for soft-rock mines

Komatsu has redesigned its Joy 02ESV soft-rock scoops with 240 V of battery power and OptiDrive technology to improve operator comfort and offer a longer operating time between charges.

Coming in three different models – 02ESV36, 02ESV56 and 02ESV60 – the scoops offer bucket capacities of 3-5 cu.m and maximum payloads of 18.2-28.7 t. The smallest scoop, the 02ESV36, is suited to seam heights of 91-160 cm, while the largest scoop, the 02ESV60, has a recommended seam height of 142-211 cm.

The OptiDrive technology can improve reliability, boost operator productivity, improve motor performance and help reduce maintenance costs, according to Komatsu. It is also easier to maintain and troubleshoot because it has fewer cable runs.

Designed to help minimise downtime, these scoops have new electronics that eliminate switches, and the colour display provides real-time operational and fault information to keep operators informed. Additional drive input modules allow the OptiDrive control system to interface with third-party proximity detection systems.

With less heat and noise compared with diesel power, the 240 V battery power contributes to improved working conditions. These Joy scoops also have improved motor efficiency for increased motor life and enhanced tramming, while improved ergonomics help keep operators more comfortable, Komatsu said.

To provide increased power and reduced downtime in the most demanding applications, the scoops are equipped with Dana drive axles configured specifically for the application. For durability and longevity, the centre section has been redesigned and includes heavy-duty pivot bearings and pins. The frame is rigorously engineered for reliability and transporting heavy payloads, according to the company.

Liebherr Indonesia hands over R 9100 excavator to PT Karunia as it cements relationship

Liebherr Indonesia has recently entered its new business relationship with Indonesia-based mining contractor, PT Karunia Armada Indonesia, through the handover of an R 9100 hydraulic excavator at the Tabang mine site in East Borneo.

Another R 9200 mining excavator is set to start operating in April as part of the agreement.

Liebherr Indonesia and PT Karunia Armada Indonesia recently celebrated the symbolic handover of an R 9100 mining excavator, with the ceremony also marking the beginning of a long-term partnership between the two companies.

PT Karunia Armada Indonesia is currently working on a project at the Tabang mine site and aims to increase coal production in line with the mine owner’s requirements.

Danang Wiyana, Project Manager of PT Karunia Armada Indonesia, said he was amazed at how easily and efficiently Liebherr Indonesia’s technicians were able to assemble the machine, with Liebherr saying good cooperation between the two companies’ field teams during assembly strengthened the relationship.

Untung Suhendri, one of Liebherr Indonesia’s technicians, said: “It was an honour to work hand-in-hand with Karunia. We worked together as one team and managed to get the machine up and running within the expected time frame.”

The R 9100 mining excavator that started operating right after the assembly convinced the customer through its performance, according to Liebherr.

Wiyana added: “We are more than satisfied with our first Liebherr mining excavator as we have always met our production targets since it was commissioned.”

The R 9100 succeeded in loading over 100 t more than what was initially expected of the unit, according to Liebherr.

Golding wins four-year extension at Kogan Creek coal mine

Golding Contractors Pty Ltd has signed a contract with Aberdare Collieries Pty Ltd, a subsidiary of CS Energy Pty Ltd (CS Energy), to extend the current Contract Mining Agreement (CMA) at the Kogan Creek Mine in Queensland, Australia, to beyond June 30, 2022.

Under the terms of the CMA, the term is extended four years until 30 June 2026, with an option for CS Energy to extend the contract for up to another four years, the NRW Holdings subsidiary said. The contract value for the initial four-year extension is around A$150 million ($110 million).

The contract extension represents the third mining contract term and life-of-mine to date for Golding and CS Energy at Kogan Creek, with Golding performing the civil works in 2006 before mining commenced in 2007.

Kogan Creek is an open-cut mine located in the Surat Basin of southern Queensland. The mine supplies the adjacent Kogan Creek Power Station with approximately 2.5 Mt/y of coal. Golding undertook civil works for the initial construction of the mine before becoming the mine operator in 2006.

Under this new arrangement all major plant and equipment will be supplied by Golding requiring a total new capital spend of circa-A$11 million in the first year. All the remaining fleet required is currently operating on site and is Golding owned.

Golding will continue to employ some 70 people at the mine, most of which live in the local Chinchilla or broader southeast Queensland regions. The scope of work includes: mine design and planning, drilling and blasting, overburden and parting removal as well as selective coal mining from over 30 different plies to ensure coal meets strict specifications.

NRW CEO & Managing Director, Jules Pemberton, said: “This extended agreement is the longest continuous contract in Golding’s proud history. Golding has now successfully negotiated four contract extensions with four different clients in the last six months demonstrating the business’ goal to work with our clients to deliver sustained value.”

Metarock set to leverage competitive contractor advantage

Mastermyne’s contract mining growth ambitions became very clear in September when it proposed a buyout of contractor PYBAR Mining Services in a deal valuing PYBAR equity at A$47 million ($35 million).

The deal, which has just completed, sees Mastermyne, up until this point a company focused on the Australian coal sector, expand into the domestic hard-rock space through exposure to PYBAR’s gold, copper, zinc and lead-related revenues. In the process, it has been restructured under Metarock Group Limited.

The transaction is expected to create a leading Australia-based diversified mining services business with material scale, Mastermyne said, adding that the combined group will have a A$1.7 billion-plus order book and an active tender pipeline of A$2.7 billion-plus after completion. PYBAR will continue to operate as an independent business unit within the group with the existing management team.

Tony Caruso, Managing Director of Metarock (pictured), said the company had identified some time ago the need to diversify into “adjacent markets” to ensure its business retained “resilient and sustained earnings”.

“To be clear, we are very supportive of the coal industry, and we will continue to grow our coal business,” he told IM. “What we do know from 30 years of experience of operating in this market is it is very cyclic.”

When coal prices are strong, it is a great market to be a contractor, Caruso explained. Yet, when prices come down, contractor workforces or scope reductions often follow as mine owners look to cut their “flex costs”.

A diversified Metarock would be able to better cope with such a market dip.

“The theory (behind the PYBAR acquisition) is that when coal is down, other commodities will be up,” Caruso said.

In addition to increased commodity diversity, there are also a huge number of synergies that could be realised with the combination of the two companies.

PYBAR offers raiseboring services that can be used in coal, while Mastermyne offers ground support services (through its recently acquired Wilson Mining business) that can be used in the hard-rock space.

Both have registered training organisations that could share industry best practice across sectors, too.

What Mastermyne learned in the coal boom when it developed the “clean skin” training program, using a simulated underground coal mine with a bespoke program to train people for working in an underground coal mine, may have relevance in the hard-rock sector given the recent ‘boom’ perceptions, according to Caruso.

There are also more specific technology synergies that could benefit both hard-rock and soft-rock customers.

PYBAR has embraced automation and digitalisation with, for example, teleremote loading operations at the Dargues gold mine in Western Australia (pictured below, credit: PYBAR) and the use of Digital Terrain’s Simbio data entry and processing solution on its mining fleet.

Mastermyne has been running a similar project where real-time data is “taken off” machinery and, through proprietary software, converted into real-time dashboards for the operators to track performance against operational targets. Mastermyne used such a system with great success at the Narrabri underground operation, owned by Whitehaven Coal.

Caruso said on the latter: “We were looking at building out that software into other areas of our business – we used that in our production machines when we were cutting coal, but we were starting to look at bringing that across to a lot of the other support services we provide to customers as well.”

Should PYBAR come on board, Simbio could end up being used on its coal development machines, according to Caruso.

It works the other way round, too, with Mastermyne’s proximity detection expertise in coal having applications in the hard-rock space.

“Not only are these solutions OEM-agnostic; they are sector-agnostic,” Caruso said. “The same technology is applicable for coal and metalliferous markets.”

The benefits of the business combination do not stop here.

Growth in the coal space has mostly been tied to sustaining capital projects – the overall production levels have remained flat, if slightly increased – whereas, in the hard-rock sector, brownfield and greenfield projects have been the order of the day, catalysed by higher prices and projections of increased demand.

This means the pressure dynamics around skilled labour are slightly different between the two.

Mastermyne has, to this point, benefitted from the ongoing trend of majors exiting their thermal coal businesses to deliver on ambitious ESG targets, with smaller companies taking on these assets and outsourcing work to contractors. Mining contracts at Crinum (Sojitz Blue Pty Ltd) and Cook (QCoal) in Queensland are two examples of the company taking advantage of this trend.

This type of sustaining growth capital expenditure in the coal sector is very different to the greenfield growth witnessed in 2010-2012, Caruso said. “The significant volume increase in greenfield expansion, which drove real pressure on labour, is not there,” he said.

In the hard-rock space, the dynamic is much more reminiscent of that boom a decade ago.

“There are a lot of new projects in Western Australia opening up so there is a lot more pressure on resources because the demand is far outstripping the supply in the hard-rock labour pool,” he said.

While there has not, typically, been a transfer of labour between the coal and hard-rock contracting sectors, if Metarock is able to facilitate such a shift, it could gain a competitive advantage over peers scrabbling for talent that are focused wholly on the hard-rock mining space.

“We have a workforce of 2,000-2,500 people at the moment, and we want to have a fluid workforce that can move across sectors,” Caruso said. “This will enable us to send our best people to projects to make sure we replicate good performance at these operations, regardless of where they are, geographically, or what type of work they are doing.”

Not only could this provide Metarock with the ability to shift employees between sectors, but it could also allow them to offer employees long-term security beyond the current Australian coal demand horizon.

Thiess to continue mining at PT Wahana Baratama Mining coal mine in Indonesia

Thiess says it has secured a three-year A$220 million ($164 million) contract renewal to continue providing mining services at PT Wahana Baratama Mining’s coal mine in South Kalimantan, Indonesia.

Having operated at the project since 2007, Thiess will provide full mining services for Wahana, which is owned by Bayan Resources, including mine planning, environmental and water management, drill and blast, and mining and pit hauling services, it said. The contract renewal commences from November 2021.

Thiess CEO and Executive Chairman, Michael Wright, said: “This extension builds on our long-term partnership with Wahana and recognises Thiess’ ability to deliver sustainable and competitive mining solutions tailored to their operational needs.”

Thiess Executive General Manager Asia, Cluny Randell, said: “We’re proud to continue delivering value at Wahana, a unique operation where Thiess has mined two adjoining mines for two different clients. Our team is focused on continuing to optimise resource recovery and extending the mine’s reserves to deliver long-term value for Wahana.

“Alongside this, we’re looking forward to building on our COVID-19 vaccination efforts, extending our employee and family vaccination program into the community next month.”

Bayan Resources says the Wahana Baratama mine currently produces around 1-2 Mt/y of high calorific value bituminous quality coal.

Ben’s Creek to start up met coal mine with highwall miner and contract mining pact

Bens Creek Group Plc, the owner of a namesake met coal mine in North America, is pleased to announce that its wholly owned subsidiary, Ben’s Creek Operations LLC, and Mega Highwall Mining LLC have entered into a contract mining services agreement.

MHW will be responsible for the production of BCO’s metallurgical coal reserves for an initial 12-month period, the London-listed company said.

The contract allows for a minimum production capability of 40,000 tons (36,287 t) of coal per month, which equates to 480,000 tons/y. MHW will deploy a single highwall miner (a Superior Highwall Miner, the company confirmed), which is designed to meet the target sales volumes disclosed in the recently signed offtake agreement between the company and Integrity Coal.

MHW and BCO have agreed a fixed price per ton of coal produced for the duration of the contract period. The contract price negotiated is in line with the company’s working capital projections, despite the uptick in demand for contract mining services and high wall mining equipment in the US, it said.

The contract allows MHW to mobilise its equipment and personnel to commence production in December 2021.

MHW, founded in 2015, is a Kentucky-based company, who operate a range of industry leading specialist highwall mining systems, comprising of ADDCAR, Superior Highwall Miners and Caterpillar.

Adam Wilson, CEO of the company, said: “We are delighted to have secured our first highwall miner to meet our expected production target. The agreement with MHW enables us to commission a second highwall miner to enable the company to further expand its metallurgical coal production output.

“The nature of highwall mining is that the recoverability of metallurgical coal via direct mining into the coal seams is considerable, which allows for production to be targeted to seams which have a higher level of recoverability than traditional mining methods.”

Ben’s Creek is set over 10,000 acres (4,047 ha) in the Central Appalachian Basin of the eastern US and located in the southern part of West Virginia and eastern edge of the Commonwealth of Kentucky.

Historically metallurgical coal has been produced from the property. Ben’s Creek has proven recoverable coal reserves of 2.34 million tons (comprising the coal reserves at the Lower Alma and Pond Creek mines) and has coal resources of 17.2 million in-place tons with a potential of a further 30.9 million tons, it says.

Golding captures more coal contracts at Curragh, Broadlea

Golding Contractors, a subsidiary of NRW Holdings Limited, has continued to add new work to its portfolio, signing an agreement to introduce a seventh fleet at the Curragh coal operations in Queensland, Australia, and re-establish open-pit mining at the Broadlea pit, also in Queensland, for a member of the Fitzroy Australia Resources group of companies.

Back in August, Golding signed a letter of intent with Coronado Curragh, a wholly-owned subsidiary of Coronado Global Resources, to extend the current six fleet mining services contract beyond September 30, 2021. Negotiations to seal a binding agreement related to this LoI are ongoing.

The contractor has now signed a Letter of Direction with Coronado that would increase the mining plant at the Curragh Main Mine through the introduction of a seventh fleet for a 12-month period, commencing February 1, 2022. This is in addition to the current mining operations provided by Golding under the existing mining services contract.

Meanwhile, Golding has also signed a contract with a member of the Fitzroy Australia Resources group of companies to re-establish open-pit mining in the Broadlea pit for a period of six months, with work commencing in early November.

Fitzroy says of Broadlea on its website: “Broadlea is an open-cut mine located circa-7 km north of Carborough Downs, sharing key surface infrastructure including the coal handling and preparation plant and train load out facilities. Fitzroy has periodically operated Broadlea as a satellite operation during periods of favourable market conditions. The operation is currently on care and maintenance and Fitzroy continues to assess opportunities to restart production from the mine.”

Combined, this work is valued at approximately A$60 million ($45 million), employs 130 people and will be performed using existing Golding assets and hired fleets, the company said.

Komatsu to help PIMS Group with Millennium and Mavis Downs underground transition

A new agreement between Komatsu and PIMS Group, a north Queensland-based mining services operator, could help set a benchmark for extending the life of multiple Queensland coal mines, the pair say.

PIMS Group was recently awarded a five-year contract to convert the idled open-pit Millennium and Mavis Downs coal mines, west of Mackay, Queensland, to underground operations, which could ultimately result in an estimated 1.2 Mt/y of incremental coal extraction. Komatsu will sell PIMS Group new mining equipment for the project, and will provide a comprehensive maintenance, parts, rebuild and engineering support service to ensure the companies’ joint objectives are effectively supported, it said.

Komatsu will provide a full-time preventative maintenance team at the mine sites to help maximise the operation of the eight pieces of equipment now on order, including two 12CM27 continuous miners, four 10SC32 shuttle cars, one feeder breaker and one multibolter. Delivery of the Komatsu machines is due in mid-2022 to coincide with PIMS Group’s conversion of the Mavis Downs site to underground operation, which will be followed soon after by conversion of the Millennium site.

Millennium and Mavis Downs are owned by MetRes, a 50:50 joint venture between Stanmore Resources and M Resources. M Mining, a subsidiary of M Resources, is the joint venture manager and operator.

Rob Rogers, Vice President of Underground Soft Rock for Komatsu in Australasia, said the success of the three-way venture with PIMS Group and MetRes depended on total confidence of each partner to reliably deliver in its area of expertise. Rogers said the arrangement aligns well with Komatsu’s focus on ‘creating value together’, an initiative intended to secure long-term customer solutions, particularly to the benefit of society and communities.

The MetRes rejuvenation alone has the potential to create up to 100 mine construction jobs and result in more than 125 direct full-time mining jobs, according to the companies.

MetRes Chairperson, Matt Latimore, says a partnership and risk-sharing approach, together with the potential for substantial local employment opportunities, had been paramount in PIMS Group winning its bid to operate the infrastructure of both mines.

MetRes has initially worked to reopen the mines using auger and open-pit methods, with production of first coal already achieved in September 2021. According to MetRes, underground expansion will be economically achieved through the mines’ existing highwalls, yielding low-ash, high-quality metallurgical coal used in the production of steel globally.

Rehabilitation of the open-pit sites will coincide with the switch to underground operations. With underground activity, Millennium and Mavis Downs share a current predicted additional mine life of 12 years, producing 13.9 Mt of metallurgical coal.

PIMS’ contract with the mines’ owners is the largest undertaken by the north Queensland group.

Rio Tinto and Uni of Nottingham partner on biomass-backed low-carbon steelmaking project

Rio Tinto says it is progressing an innovative new technology to deliver low-carbon steel, using sustainable biomass in place of coking coal in the steelmaking process, in a potentially cost-effective option to cut industry carbon emissions.

Over the past decade, Rio Tinto has developed a laboratory-proven process that combines the use of raw, sustainable biomass with microwave technology to convert iron ore to metallic iron during the steelmaking process. The patent-pending process, one of a number of avenues the company is pursuing to try to lower emissions in the steel value chain, is now being further tested in a small-scale pilot plant.

If this and larger-scale tests are successful, there is the potential over time for this technology to be scaled commercially to process Rio Tinto’s iron ore fines, Rio said.

Rio Tinto Iron Ore Chief Executive, Simon Trott, said: “We are encouraged by early testing results of this new process, which could provide a cost-efficient way to produce low-carbon steel from our Pilbara iron ore. More than 70% of Rio Tinto’s Scope 3 emissions are generated as customers process our iron ore into steel, which is critical for urbanisation and infrastructure development as the world’s economies decarbonise. So, while it’s still early days and there is a lot more research and other work to do, we are keen to explore further development of this technology.”

Rio Tinto’s process uses plant matter known as lignocellulosic biomass, instead of coal, primarily as a chemical reductant. The biomass is blended with iron ore and heated by a combination of gas released by the biomass and high efficiency microwaves that can be powered by renewable energy.

Rio Tinto researchers are working with the multi-disciplinary team in the University of Nottingham’s Microwave Process Engineering Group to further develop the process.

The university’s Head of Department, Chemical and Environmental Engineering, Professor Chris Dodds, said: “It is really exciting to have the opportunity to be part of a great team working on a technology that, if developed to commercial scale, has the potential to have a global impact through decarbonising key parts of the steel production process.”

The use of raw biomass in Rio Tinto’s process could also avoid the inefficiencies and associated costs of other biomass-based technologies that first convert the biomass into charcoal or biogas, the company said.

Lignocellulosic biomass includes agriculture by-products (ie wheat straw, corn stover, barley straw, sugar cane bagasse) and purpose-grown crops, which would be sustainable sources for the process. Importantly, the process cannot use foods such as sugar or corn, and Rio Tinto says it would not use biomass sources that support logging of old-growth forests.

Trott added: “We know there are complex issues related to biomass sourcing and use and there is a lot more work to do for this to be a genuinely sustainable solution for steelmaking. We will continue working with others to understand more about these concerns and the availability of sustainable biomass.”

If developed further, the technology would be accompanied by a robust and independently accredited certification process for sustainable sources of biomass, Rio said.

PT Kaltim Prima Coal feels the effects of AECI IntelliShot electronic blasting initiation system

Having previously relied on conventional non-electric initiation systems, Indonesia-based PT Kaltim Prima Coal (KPC) has turned to AECI Mining Explosives’ IntelliShot® electronic blasting initiation system to improve the safety and efficiency of its operations.

Located close to Sangatta and Bengalon, East Kalimantan, Indonesia, KPC operates one of the largest open-pit mines in the world with coal resources of 9,275 Mt. The mine employs load and haul operations within its numerous pits, which are managed by two mining divisions: Mining Operation Division (MOD) and Contract Mining Division (CMD).

KPC commenced with coal production in 1992 and today moves approximately 500 million bank cubic metres of overburden per year, which allows the production of 60 Mt of coal. About 80% of the overburden requires drilling and blasting to enable efficient excavation, AECI says.

The mine has traditionally used conventional non-electric initiation within its CMD area, where AECI Mining Explosives Indonesia (AECI Indonesia) is contracted as the blasting services provider. This method required a lead-in-line to be run from the blast location to the firing position. In 2017, this method of initiation consumed approximately 650 m of lead-in-line per blast location, according to AECI.

High daily production targets set by KPC require multiple locations from where blasts could be initiated safely.

“Whilst this is possible within the strict safety parameters set by the mine, it sometimes requires some clever footwork, especially related to moving expensive capital equipment out of harm’s way,” AECI says. “This cumbersome method isn’t always the most efficient and often result in a loss of production time.”

AECI Indonesia, as the incumbent blasting services provider for KPC CMD since 2009, suggested IntelliShot, the company’s advanced electronic blasting initiation system.

IntelliShot has the capability to initiate one or more initiating systems wirelessly, known as remote firing. This application has the ability to generate much needed efficiencies by only using a short length of harness wire as opposed to the cost of a full lead-in-line when non-electric blast initiation is applied in the same application, the company says.

“Any new application of technology at the mine requires careful planning and demonstration of the ability to safely maintain improvement of these parameters,” it says. “The AECI Indonesia team embarked on a carefully controlled trial to test the applicability of the system and to ensure that KPC gets the full benefits.”

In addition to saving on costly lead-in lines, remote firing through the IntelliShot system offers additional safety benefits such as an advanced security system, the possibility to easily initiate the blast at larger and safer distances, allowance for the blaster to fire from locations that give greater visual security of the blast area during firing, and eliminating potential slap, snap and shoot that is possible with shock tube.

The introduction of remote firing at KPC was performed as a project and carried out in stages in the CMD area of KPC. Focused key performance indicator (KPI) targets agreed by the project team were carefully monitored on a daily basis to ensure the best possible outcome.

The project was conducted in the three CMD contractor pit areas at Sangatta and Bengalon under the management of KPC drill and blast department. AECI Indonesia successfully delivered multiple events of remote firing blasting in all areas. The team also complied with all safety and efficiency KPIs, AECI says.

The average usage of harness wire per remote firing event was around 100 m, compared with 650 m per blast of lead-in-line used in conventional blast initiation and has reduced the cost of blast initiation in KPC CMD by over 50%, AECI claims.

Yuli Prihartono, KPC Drill & Blast Manager, says: “Throughout the trial project of remote firing at CMD pits, AECI Mining Explosives has demonstrated its capability to deliver safe and efficient project to world class operations. Remote firing has successfully delivered quantifiable cost benefits for KPC. We expect AECI Mining Explosives to expand this initiative by introducing remote firing to all blast locations at CMD KPC.”