Tag Archives: David Southam

Pit N Portal to help revive Mincor’s Kambalda nickel operation

Base metals, Equipment maintenance, Mineral project development, Mining equipment, Mining services, , , , , , , , , , , , ,

Mincor Resources has awarded underground mining services and equipment hire group Pit N Portal with the underground mining contract for its 100%-owned Kambalda nickel operations in Western Australia.

The contract encompasses a five-year pact for the new Cassini nickel mine, where early surface works were recently completed, and a three-year contract (plus one two-year option) at the Northern Operations (the brownfields Durkin North and Long nickel mines – both of which are on care and maintenance having previously operated). These two assets (Cassini and Northern Operations) make up the planned nickel operation.

Pit N Portal was awarded the contract following the completion of a competitive tender process and a due diligence process led by Mincor’s Chief Operating Officer, Dean Will, examining safety, Kambalda underground experience and performance, capabilities, equipment availability and cost, the company said.

All key components of the contract are in line with the parameters set out in the Nickel Restart Definitive Feasibility Study (DFS) completed in March 2020. This was based on an initial five-year operation from two production centres with all ore processed at BHP Nickel West’s Kambalda nickel concentrator and the resulting nickel concentrate sold to BHP. The DFS envisaged 63,000 t of recovered nickel-in-concentrate output for an estimated pre-production capital expenditure of A$68 million ($41 million at the time).

Mincor has executed a binding contract with Pit N Portal subject to a Notice to Proceed being issued by Mincor before March 31, 2021.

The development company says it is targeting the commencement of mining operations at Kambalda in the second half of 2020, subject to board approval and a final investment decision on its Nickel restart plan. It said previously first nickel-in-concentrate production could be achieved in the second half of 2021, subject to COVID-19-related restrictions.

Established in Kalgoorlie in 2002, Pit N Portal has expanded its capacity and capability to encompass total, whole-of-mine solutions across Australia, and has significant underground mining contracts in Western Australia and Queensland. It was acquired by Emeco Holdings earlier this year.

Mincor’s Managing Director, David Southam, said the award of the contract to a Kalgoorlie-based business was consistent with the company’s commitment to maximise local content, to support local businesses and communities, and to create opportunities for a residential workforce wherever possible.

“We selected Pit N Portal based on a wide range of criteria including safety, performance, contract cost, experience and capability, ability to meet our mobilisation timelines and the size and quality of their contract fleet.

“Their equipment fleet suits our proposed style of mining and, as one of Australia’s largest hard-rock underground mining equipment solutions providers, we will have access to a large range of equipment options and high-class maintenance and rebuild capacity – giving us significant operational and strategic flexibility, which is important when operating a number of underground mines.

“This includes having access to the Emeco operating system, which could add significant value to future operations, as well as having a contracting partner that is willing to embrace the very latest in mining technology and data management and usage, including the proposed use of underground electric vehicles, which we have already trialled.”

Mincor has also completed – on time and budget – all works associated with the Early Works Contract at Cassini project. This work, carried out by Hampton Mining and Civil Services, included clearing of the Cassini site area, excavation of the box-cut (pictured), construction of the site office pad, magazine and waste areas and construction of the surface settling dams and haul road.

Safescape’s battery-electric Bortana EV makes a splash in WA nickel country

Base metals, Environmental, Mining equipment, Power supply for mines, Sustainable mining, , , , , , , , , , ,

Following a four-month test at Kirkland Lake Gold’s Fosterville mine, in Victoria, Australia, last year, Safescape’s Bortana EV is starting to woo miners in Western Australia’s renowned Kambalda nickel district.

The Australia-based METS company, which manufactures and supplies safety products to the mining industry globally, took its battery-electric vehicle on a tour of Kambalda at the end of February and Safescape has already started receiving positive feedback.

A battery-electric vehicle designed to handle the aggressive operating environment of underground mines, the Bortana EV uses the chassis of a diesel-powered Agrale Marruá, electric technology from 3ME and Safescape’s design and engineering expertise.

The first stop on the tour was Mincor’s Long nickel mine. Mincor has a long history of nickel production in the prolific nickel belt and, with a lack of new nickel sulphide projects and prices projected by many to climb – in part due to the rise of lithium-ion batteries using nickel sulphate – the company is preparing to reinvigorate its Kambalda mines. These assets include the first greenfields discovery in the region for over 20 years – the high-grade Cassini project.

There are strong arguments for battery-electric equipment in underground mines that include improved health and safety outcomes (especially with no diesel emissions), efficiency gains and reduced maintenance and operating costs. While the deployment of this technology in mining is in its early stages, Mincor is not prepared to wait in the wings. Mincor’s Managing Director, David Southam, said as recently as October 2019, that the restart of its nickel mines in Western Australia would act as a “global showcase” for all-electric underground light vehicles when the mines reopen in the next few years, and Mincor, last month, became the first miner in Western Australia to host the Bortana EV.

Mincor COO, Dean Will, said: “Long is a large mine that is currently on care and maintenance, but with plans to be back in production as part of Mincor’s restart of nickel mining.

“We were able to define a course through the [mine] workings taking the vehicle from surface to 1,100 m underground via a range of road conditions including an area we were able to moisten down to create extremely slippery conditions that would challenge any four-wheel-drive vehicle.”

He added: “The performance of the vehicle generally, and in particular through the worse road conditions, far exceeded our expectations.

“The Bortana includes onboard 1,000 V charging capability, which was tested multiple times throughout the trial period. We also love the angle that the Bortana EV battery contains a high content of nickel and we are planning on utilising these vehicles underground to mine our high-grade nickel which is ultimately destined for the EV market.”

Martin Kime, COO of 3ME Technology, which supplies the batteries and electric drive train for the Bortana EV, was in attendance during the Long trials.

He said: “The opportunity to present the vehicle to several groups from leading mining and contracting companies over a short period in Kambalda was incredible. Because this technology is so new it is difficult to explain it without some physical reference point. Companies were able to experience the Bortana vehicle in realistic terrain and then ask questions about how we are able to deliver such smooth and efficient operation.

“3ME typically works directly with our OEM customers to create electric vehicles but it’s important that our team understand the application and, as such, we’ve all attended various underground and open-pit mine sites supporting Safescape. We find all of these mines want the same thing: safer, healthier mine environments with improved costs but without adding new risks or hazards to their operation.”

Safescape’s Managing Director, Steve Durkin, was also in attendance, saying one of the best parts of his job was visiting mine sites and seeing “experienced professional miners exposed to a piece of new technology that they want to understand but have reservations about”.

He explained: “The process of transformation over one or two hours driving in and snooping around the Bortana is awesome to watch. The entire team at Safescape get a kick out of this and we’re really looking forward to continuing the journey to familiarise more miners with EV technology.”

Safescape plans to begin production of the 5.7 t GVM Bortana EV in the September quarter of 2020 and grow with customer demand.

“Whether it is the Bortana, Tembo, Voltra or Kovatera, battery-electric light vehicles for mining is inevitable,” Durkin said. “The benefits are just too large. We will look to do our part and continue to wish our coopetitors around the world the best of luck. This is a big job and together we’ll put a dent in the DPM issue underground.”

Hamptons moves from gold to nickel for Mincor Resources

Base metals, Mineral project development, Mining services, , , , , , ,

Mincor Resources has awarded Hampton Mining and Civil Services with an early works contract to kick off the pre-development stage of a new nickel sulphide mine at its Cassini project in Kambalda, Western Australia.

The award of the contract follows board approval for the early works program and is consistent with one of the key uses of funds outlined in the company’s recent A$35.6 million ($23.8 million) capital raising.

The scope of works involves a “discrete two-month program” focused on site clearance activities for infrastructure and services, plus the excavation of the box-cut at Cassini, Mincor said.

Hamptons had a previous successful association with Mincor undertaking open-pit mining at its Widgiemooltha gold operations, and has therefore been able to mobilise promptly to complete work on this contract, according to the ASX-listed miner.

Following the completion of the updated Cassini mineral resource in November, the total nickel resources across Mincor’s Kambalda tenements now stands at 4.9 Mt at 3.8% Ni for 187,900 t of nickel.

Mincor’s Managing Director, David Southam, said the award of this early works contract, prior to completion of the definitive feasibility study scheduled for later this quarter, represents a strong vote of confidence by the board in the long-term future of Cassini – a key pillar in the company’s integrated nickel restart strategy.

“Given that Cassini is our flagship deposit, and with the project recently receiving all necessary key State Government approvals, it was a logical decision to commence pre-mining works as soon as possible,” he said. “We are currently assessing the mining contract tenders for both the Northern and Southern Operations, and these contractors are, importantly, separate from Hamptons for this discrete program.”

He added: “With Hamptons commencing work immediately, we expect this initial program of site works to be largely completed by the end of the current quarter. This will ultimately save the company time by having this preparatory work finished early, particularly as decline development to access the new underground mine at Cassini is one of the longer lead items in our overall development timeline.”

Mincor’s Kambalda nickel restart plans ramp up

Base metals, Mineral project development, Mining services, , , , , , , , ,

Mincor Resources says the definitive feasibility study (DFS) for the integrated nickel restart plan at its Kambalda assets in Western Australia progressed well during the December quarter, with mining contractor awards expected to occur soon.

The restart will operate in two distinct areas: the Northern Operations (Long and Durkin mines) and the Southern Operations (Cassini and Miitel mines).

Mining contract tender pricing updates for the Southern Operations were received in late December and are currently under review, while, for the Northern Operations, updated mining inventory, mine design, mine schedules and contractor pricing are expected this month for assessment, Mincor said. A tender for surface haulage was sent to contractors for pricing, with submissions also expected this month.

During the quarter, Mincor progressed the pricing for an early capital works program at Cassini, which includes minimal site clearance and a box-cut. A decision on the award of this contract is expected shortly, it said.

The DFS, meanwhile, is still expected to be delivered this quarter.

Following the completion of the updated Cassini mineral resource in November, the total nickel resources across Mincor’s Kambalda tenements now stands at 4.9 Mt at 3.8% Ni for 187,900 t of nickel.

In October at the Paydirt 2019 Australian Nickel Conference in Perth, Western Australia, Mincor Resources’ David Southam said the restart of the Kambalda nickel mine would act as a “global showcase” for all-electric underground light vehicles.

Electric underground light vehicles coming to Kambalda, Mincor’s Southam says

Base metals, Environmental, Mine ventilation, Mineral project development, Mining equipment, Power supply for mines, Sustainable mining, , , , , , , ,

Mincor Resources’ David Southam said the restart of the company’s Kambalda nickel mine in Western Australia will act as a “global showcase” for all-electric underground light vehicles when it opens in the next few years.

Southam, the company’s Managing Director, made such a statement at the Paydirt 2019 Australian Nickel Conference in Perth, Western Australia, this week.

The company is currently running a definitive feasibility study (DFS) at the project, at the same time as completing drilling to add resources to the property. First site works could occur in the March quarter, according to Southam.

So far, Mincor has built up a 4.7 Mt resource base grading 3.7% Ni for 175,300 t of contained nickel. The company hopes to deliver initial throughput of between 400,000-600,000 t/y of ore over an initial four-to-five-year period, which it will sell to BHP’s nearby Kambalda operations as part of an offtake agreement with the major miner.

Southam said the company’s decision to restart underground nickel mining operations using new light electric vehicles such as Safescape’s Bortana EV (with system integration from 3ME Technology and Agrale) would reduce ventilation costs and diesel particulate counts.

The Bortana EV, specifically, has had a prototype undergo local mine site testing in Newcastle, New South Wales, before an extended trial with Kirkland Lake Gold’s Fosterville mine in Victoria.

Southam also said the company had a longer-term aim to transition larger mining vehicles to electric once infrastructure was established.

“This mine restart will be a global showcase for this new and more environmentally-friendly mining technology,” he said.