Tag Archives: Fortescue Metals Group

Fortescue kicks off battery-electric truck testing in the Pilbara

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Fortescue Metals Group has started testing a battery-electric truck at its operations in the Pilbara of Western Australia as part of its latest decarbonisation efforts.

Having floated the idea of a battery-electric haul truck some three years ago – and started a physical build process 12 months ago – the company is now testing a battery-electric converted MT4400 AC truck at its Christmas Creek iron ore operations, Fortescue confirmed last week.

WAE and Fortescue Future Industries, part of Fortescue’s newly branded Fortescue Energy division, have been spearheading developments on this truck, referred to as the “Roadrunner” (pictured). The 221-t payload vehicle is fitted with a 1.4 MWh battery from WAE. It has already been run through more than 20 hours of dynamic testing that has included, among other things, downhill recharging scenarios, Fortescue said last week.

The vehicle is thought to be the largest battery-electric haul truck running in Pilbara operating conditions.

The converted MT4400 AC is expected to be joined by a 3 MW charger prototype – developed by WAE and a third party – by the end of the year. “This will help us to understand and develop haul truck duty and charging cycles,” Mark Hutchinson, CEO of Fortescue Future Industries, said in a conference call last week.

In June, Fortescue, through WAE, announced the expansion of its battery and electric powertrain production operations in the UK with an additional state-of-the-art facility in Oxfordshire. The facility, which will open in 2024, will focus on the production of a wide range of zero emission products for the off-road sector, including trucks and trains.

Alongside these battery-electric developments, Fortescue said it will have its first “green hydrogen fuel cell haul truck” on site for similar testing next year. This truck is being delivered through the company’s partnership with Liebherr and will be based off a 240-t-payload T 264 haul truck.

In June 2022, Fortescue announced a partnership with Liebherr for the development and supply of green mining haul trucks for integration with the “zero emissions power system” technologies being developed by FFI and WAE. Under the partnership, Fortescue agreed to purchase a fleet of 120 haul trucks from Liebherr; a commitment that represents approximately 45% of the current haul truck fleet at Fortescue’s operations.

In answer to an analyst question last week, Christiaan Heyning, FFI’s Head of Decarbonisation, said: “We are…putting both battery-electric trucks as well as a fuel cell electric trucks on-site this calendar year to do extended testing to figure out the ramp-up efficiency of both battery-electric and fuel cell. We will use those insights to make the final decisions about what our fleet will be.

“As you appreciate, it’s really dependent on whole routes and, therefore, we need to do more testing before we can make up our mind.”

A 100-day “sprint” FFI project focused on converting a legacy 221-t class Terex Unit Rig MT4400 AC electric drive, diesel-powered haul truck to run on a ‘green’ hydrogen 180 kW fuel cell system and a 300 kW/h battery was previously completed and run at Fortescue’s Hazelmere facility in Western Australia.

Monadelphous rewarded with A$200M contract at Albemarle’s Kemerton lithium hydroxide plant

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Engineering company Monadelphous Group has secured a major construction contract with Albemarle valued at approximately A$200 million ($135 million) associated with the expansion of the Kemerton lithium hydroxide plant in the south west region of Western Australia.

The contract includes front-end pyromet structural, mechanical, piping, electrical and instrumentation works associated with two new lithium processing trains (trains 3 and 4).

The award follows the successful delivery of construction packages on trains 1 and 2, and the recently awarded long-term maintenance and sustaining capital projects contracts at Albemarle’s Kemerton operations.

Work will commence onsite later this year and is expected to be completed in the second half of 2025.

Monadelphous Managing Director, Zoran Bebic, said this award, in addition to the award announced last week with Fortescue Metals Group for work at the Christmas Creek mine site, represent the first in a new wave of major construction projects to come to market.

The company’s work at Christmas Creek involves the supply and construction of an overland conveyor and transfer station, with the scope including civil, structural, mechanical, piping, electrical and instrumentation works.

“We are extremely pleased to have secured these key construction opportunities, and look forward to continuing to deliver high quality solutions for customers, as well as supporting local communities through the provision of employment and supply opportunities,” he said.

Albemarle says expansion of Kemerton represents the biggest investment by any company in downstream processing of lithium in Australia.

The Kemerton plant initially consisted of three production trains, each producing 20,000 t/y of lithium hydroxide, with a potential expansion to five trains that will see production increase to 100,000 t/y by around 2025. The plant will be supplied with lithium concentrate produced at the nearby Greenbushes mine.

Fortescue celebrates first shipment of Iron Bridge magnetite

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Fortescue’s first shipment from its newly built, majority-owned Iron Bridge operations, in Western Australia, will soon be on its way to Vietnam marking the first time the company has exported a high-grade magnetite product.

It follows first production earlier this year, which saw the plant surpass expectations with a first run grade of greater than 67% Fe.

Iron Bridge, Fortescue says, is a demonstration of the company’s pioneering innovation. It signifies the first time the company has produced a wet concentrate product, which is transported to Port Hedland through a 135 km specialist slurry pipeline where dewatering and materials handling occurs to create a high grade magnetite product.

Fortescue Metals Chief Executive Officer, Fiona Hick, joined Nyamal Traditional Custodians and representatives from Fortescue’s Iron Bridge Joint Venture partner, Formosa, in Port Hedland as the first shipment was loaded.

Hick said: “Today is a truly special day for Fortescue. Last week we celebrated 20 years since Fortescue was founded and, today, we celebrate our first shipment of high-grade magnetite product from our most complex and innovative project yet.

“Iron Bridge is a game changer for Fortescue and builds on our track record of safely and successfully developing and operating iron ore projects in the Pilbara.

“High grade magnetite product will play an important role in lowering emissions in the steel industry, and Fortescue is moving at pace to ensure we are at the forefront of developing green steel technologies.

“I congratulate the entire Fortescue team for delivering this project while maintaining strong safety performance. We remain focused now on achieving a safe and efficient ramp up.”

Iron Bridge is an Unincorporated Joint Venture between FMG Magnetite Pty Ltd (69%) and Formosa Steel IB Pty Ltd (31%).

At full capacity, Iron Bridge is expected to deliver 22 Mt/y of high grade 67% Fe magnetite concentrate.

Monadelphous wins A$150 million worth of work with Fortescue, BHP and Rio Tinto

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Engineering company Monadelphous Group Limited says it has secured new contracts and contract extensions across the mining and metals space in Australia totalling approximately A$150 million ($102 million).

The company has been awarded a contract with Fortescue Metals Group for the supply and construction of an overland conveyor and transfer station at the Christmas Creek mine site in the Pilbara region of Western Australia. The scope of work, which includes civil, structural, mechanical, piping, electrical and instrumentation works, commences immediately and is expected to be completed in the first half of 2024.

In addition, Monadelphous has secured a two-year extension to its existing maintenance services contract at BHP’s Olympic Dam operations in South Australia. The scope of work includes mechanical and electrical maintenance, shutdown and project services.

Finally, the company has been awarded a two-year extension to its existing contract with Rio Tinto to continue providing mechanical, electrical and access maintenance services for fixed plant shutdowns at its Gove operations in the Northern Territory.

Nyamal Holdings to help Fortescue with drill and blast program at Iron Bridge

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Fortescue has signed what it says is a major agreement with the Nyamal traditional custodians to provide mining equipment for the company’s Iron Bridge magnetite project, in Western Australia.

The A$18 million ($12.1 million) agreement, which builds on the A$331 million in contracts already awarded to Nyamal businesses since 2019, will see Nyamal Holdings initially provide five contour drill rigs, one stemming loader and two platform rigs to Fortescue. This will grow to include six additional platform rigs over the next two years to meet the Iron Bridge mine plan.

Fortescue Metals Chief Executive Officer, Fiona Hick, said: “The drill and blast program at Iron Bridge represents one of the most crucial aspects to achieving maximum throughput in the processing plant. We are pleased that we have been able to partner with Nyamal to deliver this important capability.

“From the outset, Fortescue has been focused on practical initiatives that drive economic and employment opportunities for Indigenous Australians. Contracts like this support the growth of Indigenous businesses, enabling them to build capability which in turn provides ongoing economic benefits to communities.”

Nyamal Aboriginal Corporation Chair, Gavin Mitchell, said: “Nyamal Holdings are excited to secure this significant contract for the Nyamal people enabling us to own the fleet which will provide ongoing training and employment opportunities for Nyamal members.

“Nyamal Aboriginal Corporation have strong and ongoing engagement with Fortescue, and we are pleased that through this contract we are able to build on this longstanding relationship.”

The Iron Bridge magnetite project is an unincorporated joint venture between FMG Magnetite Pty Ltd (69%) and Formosa Steel IB Pty Ltd (31%). The joint venture partners are each responsible for their equity share of the total capital expenditure.

Fortescue reported production of the first wet concentrate at the Iron Bridge project back in April.

Iron Bridge is set to deliver 22 Mt/y of high grade 67% Fe magnetite concentrate, with the total project capital estimated at $3.9 billion, with Fortescue’s share approximately $3 billion.

First wet concentrate produced at Iron Bridge Magnetite Project

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Fortescue Metals Group has reported that the first wet concentrate has been produced from the ore processing facility at the Iron Bridge Magnetite Project, ahead of being pumped to Port Hedland in Western Australia.

The company, which is the majority owner of Iron Bridge through its ownership in an unincorporated joint venture between FMG Magnetite Pty Ltd (69%) and Formosa Steel IB Pty Ltd (31%), fed first ore into the processing plant back in October.

After managing weather impacts on activity and infrastructure at the site, the company has now reached the wet concentrate milestone, Fortescue confirmed in its March quarter results, released today.

The concentrate was produced on April 22, 2023, ahead of being pumped to Port Hedland. Iron Bridge is set to deliver 22 Mt/y of high grade 67% Fe magnetite concentrate, with the total project capital estimated at $3.9 billion, with Fortescue’s share approximately $3 billion.

During the quarter, the project achieved key milestones, including:

  • Load commissioning of Crushing Circuit A, including the commissioning of the Coarse Ore Stockpile Stacker;
  • Completion of Dry Plant Circuit A and continued construction on Dry Plant Circuit B, together with continued commissioning activities in the Wet Plant;
  • Continued progress on the installation and testing of the concentrate and return water pipelines, with welding completed and pipelines buried;
  • Water testing was conducted on the Concentrate Handling Facility at Port Hedland ahead of first production.

Fortescue Metals Chief Executive Officer, Fiona Hick, said: “This is a significant milestone for Fortescue as Iron Bridge represents our entry into the highest grade segment of the iron ore market, providing an enhanced product range while also increasing production and shipping capacity. It demonstrates our strong track record of successfully delivering complex projects safely.”

Hybrid Systems Australia delivers Western Australia’s ‘largest network-integrated BESS’ to Fortescue

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Hybrid Systems Australia, Pacific Energy’s integrated renewables subsidiary, says it has delivered Western Australia’s largest network-integrated battery energy storage system (BESS) as a part of Fortescue Metals Group’s Pilbara Energy Connect project, which aims to power the miner’s Pilbara iron ore operations with renewable energy.

Hybrid Systems Australia designed, installed and commissioned 42 MW of interconnected battery storage for two Fortescue mine sites, making it one of the world’s largest network-connected BESS to be developed for a mining application, the company says.

The batteries, which are now fully operational, have been developed alongside solar and new low emissions gas-fired generation that will be owned and operated by Fortescue as part of the company’s Pilbara Energy Connect (PEC) program.

HSA said: “The battery systems use industry-leading grid stabilising control systems, including millisecond-response capabilities and Kokam battery technology, to provide greater protection against load spikes and dips and ensure overall network stability.”

The batteries’ primary role is for grid stability and support, providing spinning reserve backup to any gas generation outages or sudden changes in the solar output. They will store energy from Fortescue’s planned 150 MW of nearby solar power, enabling mining activities to be powered by more renewable energy and cutting the annual carbon emissions of the mines.

Mike Hall, Executive Director of Hybrid Systems Australia, said the project represented one of the largest and most technologically advanced BESS projects the company had undertaken, and that systems of this size were critical to Fortescue’s move towards eliminating the use of fossil fuels in their operations by 2030.

“Our industry-leading design, network integration experience and strong partnerships meant we could readily deliver a large-scale solution that will allow Fortescue to continue its rapid upscale of renewable capacity and deliver on its real zero target,” he said.

“Our BESS are built specifically for remote Australia’s harsh conditions and can be sized from 1 MW to 200 MW, which makes them ideal for large-scale mining applications where the objective is greater reliance on clean energy.”

Fortescue Chief Operating Officer Iron Ore, Dino Otranto, said: “At Fortescue, we are committed to eliminating the use of fossil fuels across our operations by 2030. We were pleased to partner with Hybrid Systems Australia on the BESS, which are a significant component of our investment in the PEC program.

“PEC will not only supply low-cost power to our Iron Bridge operations, but importantly will support Fortescue’s world-leading decarbonisation agenda, allowing the incorporation of additional large scale renewable energy into our network in the future.”

The project included specialised involvement from its subsidiaries, Pacific Energy Pty Ltd, which is delivering the PEC’s low-emissions gas-fuelled power station, MVLV Power Solutions, which designed, manufactured and installed the switchgear and BESS enclosures, and Digital Intelligence, which delivered the BESS control systems.

Hybrid Systems Australia partnered with Hitachi Energy and Kokam to bring together expertise and key battery components from the two specialist equipment suppliers to deliver a solution for Fortescue. It also worked closely with Supply Nation accredited vendors, including electrical contractor, Boodjara Pty Ltd, and local electrical wholesalers, Myelec and D&W Electrical.

Fortescue signs Mining Convention for Belinga, paving way for first mining in H2 2023

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Fortescue Metals Group, through its incorporated JV company Ivindo Iron SA, has signed the Mining Convention for the Belinga iron ore project in Gabon with the Gabonese Republic, paving the way for first mining to begin in the second half of 2023.

This will open growth opportunities for Fortescue Metals and Fortescue Future Industries throughout Africa, according to the ASX-listed company.

The Mining Convention governs all the legal, fiscal and regulatory regimes for the 4,500 sq.km, which comprises the Belinga project, including early development for production of up to 2 Mt/y, while studies advance potential designs of a large-scale development.

Fortescue Founder and Executive Chairman, Dr Andrew Forrest, said: “The Gabonese Republic chose Fortescue to develop Belinga not only due to our strong track record of delivering major projects, but due also to our company-wide commitment to use our major industrial scale and expertise to assist heavy industry combat climate change.

“Geological mapping and sampling programs have confirmed our initial thoughts that this new West African iron ore hub may well one day prove to be among the largest in the world. The key aspect of this particular geology is its potential to dovetail with Fortescue Pilbara ore
blends. In doing so it will preserve and enhance the iron ore industry of both Australia and Gabon.

“We have enjoyed strong support and positive feedback from local communities. We will continue to work together to maintain Fortescue’s highest standards of environmental and community consultation.”

The capital estimate for the early stage mining development is approximately $200 million (100% basis) with investment over 2023-24. The development involves conventional open-pit mining methods to produce the ore which will be trucked and railed over existing roads and rail infrastructure, and will be shipped from the Owendo Mineral Port, near Libreville.

Ivindo Iron is the operating entity for Belinga. It is held 90% by the Belinga JV company, established by Fortescue (80% interest) and its joint venture partner, the Africa Transformation and Industrialization Fund (20%). In accordance with the Gabon Mining Code, the Gabon Government will have a free carry interest of 10% in Ivindo Iron.

The Belinga deposit was initially discovered in 1955, and subsequent exploration in the 1970s identified high iron and low contaminant mineralisation. The deposit sits in Archean aged rocks of the Congo Craton. The lithology and structure are typical of other greenstone belts that commonly host banded iron formations and itabirites found in other parts of West Africa such as the Simandou project, Fortescue says. The Belinga geology and iron ore potential is similar in scale as Simandou in its early stages of exploration, with its multi-billion tonne potential and high grades, the company added.

Belinga has been progressively assessed by Fortescue since 2018.

Rio Tinto, BHP, Fortescue devise pilot program to tackle sexual harassment, bullying and racism

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Rio Tinto, BHP and Fortescue are launching a pilot program aimed at helping to eliminate disrespectful behaviour in the resources industry including sexual harassment, bullying and racism.

The launch comes after the three companies formed a partnership in October last year as part of their combined response to reports of unacceptable sexual harassment in the mining industry.

The three companies have worked together with leading experts to design and develop the industry-first program aimed at educating new entrants to the sector, they said.

The evidence-based program will educate participants about the impact of sexual harassment, bullying and racism, including how to recognise and report these behaviours.

The Building Safe and Respectful Workplaces pilot program project, managed by the Australian Minerals and Energy Skills Alliance (AUSMESA), will be delivered on November 15 and 16 by experienced facilitators from Griffith University. The pilot program will be completed by 30 volunteers who are currently undertaking apprenticeships or traineeships with the three companies.

The results of the pilot will be fully evaluated and feedback from the participants will be used to finalise the learning program.

It is intended the program will be delivered from early in 2023 with a particular focus on new entrants to the mining industry.

As part of an ongoing commitment to educate about respectful behaviour, the companies will engage across industry and education providers on how to broaden the reach of the program.

It is anticipated the training course will be made available to other industries in the future through a range of education pathways.

Rio Tinto Iron Ore Chief Executive, Simon Trott, said: “The launch of this pilot is a key milestone in our broader commitment to create a workplace culture that is safe, respectful and inclusive. Building awareness through education on how we can create safer work environments through the prevention and elimination of sexual harassment, bullying and racism is vital to ensuring those joining our industry feel safe.

“We’re proud to be collaborating with experts in this field, in partnership with industry leaders, and we look forward to the findings from the pilot and the opportunity to share with broader industry for the benefit of all Australians.”

BHP WA Iron Ore Asset President, Brandon Craig, said: “Programs such as this help educate the next generation of workers to ensure our workplaces are safe, respectful and inclusive. While we know there is more to do, this pilot is part of our redoubled efforts to eliminate sexual harassment, and is in addition to a range of other measures including improved security at accommodation villages, additional public disclosures, specialised resources and company-wide training.

“We’re proud to be working with leading industry partners to deliver this important program as we work together to eliminate disrespectful behaviours from our industry.”

Fortescue Chief Operating Officer Iron Ore, Dino Otranto, said: “At Fortescue, safety is our first priority and we have zero tolerance for inappropriate behaviour. We remain firmly committed to ensuring that Fortescue has safe and inclusive workplaces, and that the mining industry as a whole is a safe and welcoming place for everyone who works within it.

“We’re pleased to be working with our industry peers towards the common goal of ensuring that sexual harassment, bullying and other inappropriate behaviours do not occur in the mining industry.”

Monadelphous banks work with Fortescue Metals and BHP

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Monadelphous has secured new contracts and contract extensions in the resources and energy sectors totalling approximately A$150 million ($96 million), including work with Fortescue Metals Group and BHP.

The company has been engaged to provide construction services at the Iron Bridge Magnetite Project, an unincorporated joint venture between Fortescue subsidiary FMG Iron Bridge and Formosa Steel IB, in the Pilbara of Western Australia. The work, which includes the provision of structural, mechanical and electrical and instrumentation services at the wet process plant, is expected to be completed by the end of 2022.

Monadelphous has also secured the following work with BHP:

  • A contract for the remediation of balance machines at the Finucane Island and Nelson Point ports in Port Hedland in Western Australia, with work expected to be completed by mid-2024;
  • A 12-month extension to its existing contract to provide general maintenance and shutdown services at BHP’s Western Australian iron ore operations;
  • A 12-month extension to its existing maintenance, shutdown and project services contract across BHP’s Nickel West operations in Western Australia; and
  • A two-year contract to provide construction services under the Olympic Dam Construction Panel Framework Agreement at Olympic Dam in South Australia.