Tag Archives: Fortescue Metals Group

SIMPEC to construct wet process plant at Iron Bridge magnetite project

Comminution of minerals, Mineral processing, Mining equipment, Mining services, Steel and iron ore, , , , , , ,

SIMPEC has been awarded a A$145 million ($107 million) contract for the construction of a wet process plant for the Iron Bridge magnetite project in the Pilbara of Western Australia.

The WestStar Industrial subsidiary has been contracted by Iron Bridge Operations Pty Ltd, a company representing the joint venture between Fortescue Metals Group subsidiary FMG Magnetite Pty Ltd and Formosa Steel IB Pty Ltd.

The wet processing plant is a significant part of the new magnetite mine at Iron Bridge, which will be central to the production of 22 Mt/y (wet) of 67% Fe magnetite concentrate product.

SIMPEC is to supply vertical construction services for the contract, with an anticipated workforce of more than 500 personnel. The contract is expected to commence immediately with works due to be completed by the middle of 2022.

SIMPEC’s part of the project consists of major module installation, tank installation, major mechanical installation, large bore piping and a significant portion of supply and installation of electrical and instrumentation works.

Fortescue, in its June quarter results, released today, said the Iron Bridge project was expecting first production by December 2022 and a ramp-up period of 12-18 months before reaching capacity.

Fortescue hits new automation milestone in the Pilbara

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Fortescue Metals Group’s autonomous haulage (AHS) fleet has marked a significant milestone, moving two billion tonnes of material, doubling the amount hauled since reaching the one billion tonne milestone in September 2019.

In 2012, Fortescue was the first in the world to deploy Caterpillar’s AHS technology on a commercial scale at its Solomon Hub operations in the Pilbara of Western Australia and the multi-class fleet has since expanded across the company’s operations with a total of 193 autonomous trucks now in operation.

Fortescue Chief Executive Officer, Elizabeth Gaines, said: “Fortescue is a leader in the implementation of autonomous haulage across our iron ore operations. Our fleet represents one of the largest in the world, with 79 trucks currently in operation at Solomon, 74 at Christmas Creek and 40 at Cloudbreak. Moving over two billion tonnes of material without a driver at the wheel is a significant milestone and a reflection of Fortescue’s ongoing commitment to increasing operational efficiency through technology and innovation.

“Most importantly, the introduction of AHS technology has led to significant safety improvements for our team members, with our fleet safely travelling over 70 million kilometres to date – the equivalent of 91 return trips to the moon.”

The continued expansion of autonomous capability across the business has demonstrated that autonomy doesn’t need to be at the expense of jobs, with the transition to autonomous haulage providing significant new opportunities for Fortescue’s workforce through the provision of training and redeployment to new roles, Fortescue said.

Gaines added: “Significantly, the adoption of autonomous haulage has allowed us to relocate many traditional site-based roles to our integrated operations centre in Perth, providing opportunities for parents and women in particular to remain engaged in our workforce. Today, almost 50% of our workforce in the Fortescue Hive are women.”

Warraikal to provide maintenance and shutdown services to Fortescue’s Pilbara ops

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Following a competitive tender process, Warrikal Pty Ltd, has been awarded a five-year A$350 million ($263 million) contract as one of the providers of maintenance and shutdown services across Fortescue’s Pilbara operations.

Founded by Koori businesswoman, Amanda Healy, and her business partners, Roy Messer and David Flett, Warrikal was established in 2017 to provide innovative engineering solutions across the mining, marine and resource sectors. The company has been providing mechanical maintenance, shutdown and project services across Fortescue’s sites over the last three years.

Fortescue Chief Executive Officer, Elizabeth Gaines, said: “Fortescue is committed to supporting sustainable long-term opportunities for Aboriginal businesses. Procurement is one of the most powerful levers for social and economic change, and from experience we know that a strong Aboriginal business sector is best placed to create employment and development opportunities for their communities.

“I am pleased to announce this significant contract with Warrikal, the largest to be awarded by Fortescue and also among the biggest contracts to be awarded in Australia to a majority-owned Aboriginal business.”

Warrikal Chief Executive Officer, Amanda Healy, said the contract built on the company’s longstanding relationship with Fortescue.

“We look forward to further developing our relationship over coming years, continuing to grow our operational footprint in the northwest of Western Australia and strengthening our long-term commitment to the region and the communities in which we operate.

“The award of this contract and the continual business growth is a testament to our amazing personnel and our reputation for delivering ‘Innovative Engineering Solutions’ across multiple disciplines, whilst maintaining a high standard of safety and quality as a true reflection of each and every Warrikal team member.”

Fortescue’s Billion Opportunities program was established in 2011 as part of the company’s commitment to deliver business development opportunities for Aboriginal people with a strong focus on Traditional Custodian involvement. Since its inception, the program has awarded over A$3 billion in contracts to Aboriginal businesses and joint ventures.

Fortescue’s battery and hydrogen truck, drill developments move to testing phase

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Fortescue Future Industries (FFI), the 100% renewable green energy and industry initiative of Fortescue Metals Group Ltd, says it has reached its June 30, 2021 targets for initial decarbonisation projects, with headway made on its hydrogen, ammonia and battery power projects.

FFI CEO, Julie Shuttleworth, said the company set out to test the hypothesis that there was sufficient 100% renewable green energy, hydrogen, ammonia and industrial manufacturing potential, for products such as green cement, green fertiliser, green iron and steel, “to fully satisfy the world’s needs”.

“To demonstrate this within Fortescue, we set ambitious decarbonisation targets for our own heavy industry,” she said. “These are being driven by FFI’s Green Team, who are aiming to eliminate carbon emissions from our own operations. This work commenced in earnest only several months ago and the results have been immense.”

FFI’s Green Team has established a facility at Hazelmere in Perth, Western Australia, where it has been managing and trialling technology on hydrogen, ammonia and battery power for trains, ship engines, haul trucks and drill rigs for technology demonstration.

The “ground-breaking progress” to date includes:

  • Successful combustion of ammonia in a locomotive fuel, with a pathway to achieve completely renewable green fuel;
  • Completion of design and construction of a combustion testing device for large marine (ship) engines, with pilot test work underway and a pathway to achieve completely renewable green shipping fuel;
  • Finalised design of a next generation ore carrier (ship) that will consume renewable green ammonia, with the Classification Society giving in principle design approval;
  • Testing of battery cells to be used on Fortescue haul trucks – a project it is pursuing with Williams Advanced Engineering;
  • Design and construction of a hydrogen-powered haul truck for technology demonstration complete, with systems testing underway;
  • Design and construction of a hydrogen powered drill rig for technology demonstration complete, with systems testing underway;
  • Successful production of high purity (>97%) green iron from Fortescue ores at low temperature in a continuous flow process; and
  • Successful initial trialling to use waste from the green iron process noted above, with other easily sourced materials, to make green cement.

Back in March, Fortescue said it would accelerate its carbon neutrality efforts, now expecting to achieve this ‘green’ milestone by 2030, 10 years earlier than its previous target.

Fortescue CEO, Elizabeth Gaines said the company was using its large industrial platform of operating mine sites in the Pilbara to trial and demonstrate technologies in completely renewable green hydrogen, green ammonia and green electricity.

She added: “All of us at Fortescue are committed to its decarbonisation. Our great progress to date and our ongoing projects underpin Fortescue’s plan to become a major renewable energy and industry product exporter. As part of this plan, we are aiming to meet or beat our internal global industry-leading target to achieve carbon neutrality by 2030.”

Fortescue backs Pilbara mine site rehabilitation CRC project

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The Cooperative Research Centre for Transformations in Mining Economies (CRC TiME), along with partners Fortescue Metals Group (Fortescue), University of Western Australia (UWA) and Curtin University (Curtin), have announced a new project focusing on increasing plant nutrients in iron ore waste, enabling improved mine site rehabilitation in the Pilbara of Western Australia.

The 12-month project is centred around the Fortescue’s Chichester Hub mine site and includes experimental glasshouse-based and laboratory testing undertaken at UWA, along with microbiology expertise from Curtin.

“The Pilbara region has a very thin layer of top soil which is essential for plant growth and is disrupted through mining,” CRC TiME said. “This project will formulate a process to increase plant available nutrient levels, specifically nitrogen for this study, in mineral waste (waste rock and tailings) and stockpiled soils (subsoils and topsoil) using novel plant-microbe systems, to improve the rehabilitation post-mining.”

Kirsty Beckett, Principal of Mine Closure at Fortescue, said: “This project is addressing a critical issue for the mining industry as available topsoil is a key limiting factor in the rehabilitation of large tracts of mining affected land. These areas can cover up to half of some of the Fortescue’s mine sites.”

CRC TiME CEO, Dr Guy Boggs, added: “Post-mining landscapes require the establishment of self-sustaining ecosystems over heavily altered landscapes constructed from mineral waste. Effectively and efficiently converting these landscapes into self-sustaining ecosystems delivers both environmental and financial benefits and provides more certainty on ecosystem resilience.”

CRC TiME receives grant funding from the Australian Government through the Cooperative Research Centre Program.

Australian government backs mining and metal sector decarbonising initiative

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A new Cooperative Research Centre focused on integrating green energy sources such as hydrogen, ammonia and solar into high-heat and high-emission manufacturing processes for products like steel, aluminium and cement has won Australia government backing.

The Heavy Industry Low-carbon Transition Cooperative Research Centre (HILT CRC), to be led by the University of Adelaide, has been provided with A$39 million ($29 million) of funding through the CRC Grants program. It is also backed by an additional A$175.7 million in funding and in-kind support from research and industry partners such as Alcoa, Rio Tinto Aluminium, South32, Roy Hill, Fortescue Metals Group, the Australian National University and the CSIRO.

South Australia Minister for Industry, Science and Technology, Christian Porter, said the CRC would help to secure the future of heavy industries right across the country by helping them to lower costs and establish a reputation as exporters of high-quality, low-carbon, value-added products.

“In order to remain internationally competitive, it is crucial that our heavy industries begin the transition to lower cost and cleaner energy technology to secure the long-term future of their operations,” Minister Porter said. “By connecting those industries with our best and brightest minds from within our major research institutions – coupled with the significant funding that’s now available to fast-track this work – we expect real-world solutions can be delivered within the 10-year life of the CRC.”

Dr David Cochrane, who is Technology Lead at core CRC partner South32 and also an industry leader of the HILT CRC, said: “The HILT CRC will play an important role in transitioning to a low-carbon future by creating a framework for industry to collaborate, sharing knowledge and experience while lowering the risk of trialling technology.

“For South32, we have recently set medium-term targets to halve our operational emissions by 2035 as we transition to net zero by 2050 and initiatives like the HILT CRC are part of our plan to achieve these targets.”

Susan Jeanes, who is Chair-elect of the HILT CRC, said: “Decarbonising Australia’s heavy industry will position it to be competitive in the rapidly developing, global low carbon markets for green iron and aluminium products that have higher value than our current exports. These new markets are being driven by our trading partners in countries like China, Japan and Europe, which are introducing a range of financial measures to meet their carbon targets, such as EU’s Carbon Border Tax.

“Our mineral resources geographically co-exist around the continent with our first-class renewable energy resources making decarbonising more competitive here than in other parts of the world.”

John Holland on track at Fortescue’s Eliwana iron ore project

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Infrastructure and rail company, John Holland, says it has achieved a major milestone at the Eliwana Mine and Rail project by successfully laying the final piece of 143 km of heavy haul rail track in Western Australia’s Pilbara region.

The track works are part of a A$130 million ($90 million) contract with Fortescue Metals Group, which will also see an extension to the existing signalling and train control systems and a traffic capacity upgrade to communication infrastructure.

When completed, the greenfield project will connect the new Eliwana iron ore mine to the existing Fortescue Hammersley Line.

The John Holland team will now focus on final destressing works for 130 km of the track, siding extension works, final grinding and correction. Final ballasting and tamping work for about 60 km of the track is on schedule. All remaining track works are to be completed by June 2021, the company said. The signalling and communication works are well ahead of schedule to be delivered by the end of 2021, it added.

John Holland Rail Delivery Manager, John Ma, said the team had worked hard to ensure the project progressed despite weather and access challenges throughout the course of construction.

“The safe unloading of the last long weld rail off the final rail train on the Eliwana project was a significant moment for us,” he said. “It’s a huge undertaking – more than 240,000 sleepers were laid as well as 400,000 t of ballast dropped with more than 12,000 welds joining the tracks together.

“Working in a remote and often volatile environment has its challenges, but I am proud that the team were able to demonstrate our capability to manage complex logistics and high-production welding facilities while enabling efficient project delivery.”

Remaining track work is scheduled to be completed by late June, while signalling construction will be complete by the end of August. Testing and integration of the track will be finalised in December.

Around 90 km west of Tom Price, the Eliwana mine celebrated the production of its first ore in December 2020. At full capacity, the mine will produce 30 Mt/y.

Fortescue rewards Monadelphous and Pentium Hydro with more Pilbara work

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Fortescue Metals Group has handed out new work to Monadelphous Group and Pentium Hydro at its iron ore operations in the Pilbara of Western Australia.

Engineering company Monadelphous has secured a new five-year crane services contract, valued at around A$150 million ($117 million), with the miner.

The contract is for the provision of crane services supporting general repairs, maintenance and shutdown activities at Fortescue’s Solomon (pictured) and Eliwana operations.

Monadelphous has provided crane services to Fortescue’s Solomon operations since 2017 and, last year, expanded those services to Fortescue’s Eliwana operations.

Vysarn Ltd subsidiary Pentium Hydro, meanwhile, advises that it has amended, via a Deed of Amendment, the agreement for hydrogeological borefield drilling and construction services with Fortescue’s wholly owned Chichester Metals Pty Ltd and FMG Solomon Pty Ltd subsidiaries, previously announced in November 2019.

This amendment will see the term of its contract increased to 36 months, with the option of a two-year extension exercisable by Fortescue. The scope of work has also been amended to include the provision of dual tube flooded reverse drilling services, with an additional drill rig expected to be deployed by April.

At the same time, the companies have amended the revenue model for the contract.

Revenue from works in the original contract was based on key performance indicators for a number of production and monitoring bores and was subject to metres drilled and drill rates. Revenue from works will now be based on a combination of day rates and a schedule of hourly rates, Vysarn said.

SIMPEC awarded significant Cloudbreak crusher contract from Fortescue

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SIMPEC’s relationship with Fortescue Metals Group continues to strengthen, with the engineering contractor set to replace two Metso Outotec Nordberg® C160 jaw crushers at the miner’s Cloudbreak iron ore operation in the Pilbara of Western Australia.

The WestStar Industrial Ltd subsidiary’s new contract for the Hopper 5 Jaw Crusher Replacement project is the first win directly from Fortescue but is far from the first time the company has stepped on site at one of its mines. SIMPEC has previously carried out work on its operations after being subcontracted by the likes of Central Systems, Energy Power Systems, ATCO and others.

The scope of the jaw crusher contract includes removal of all structural and mechanical items required to access the jaw crushers, followed by reinstatement on completion of the change out. It also includes maintenance works and modifications to the existing Hopper 5 hoppers, chutes and screens, SIMPEC said.

Worth A$2.1 million ($1.6 million), the vertical contract has commenced immediately, with works expected to be completed in April.

SIMPEC Managing Director, Mark Dimasi, said: “It has been a long-term goal of SIMPEC to work directly for Fortescue and to break into the field of sustaining capital works. By building our sustaining capital portfolio, SIMPEC aims to achieve a more stable cash flow as well as provide continuity for our workforce.

“This is a very proud moment for the team, and we look forward to successful completion of this project and what we hope will be a long-term relationship with Fortescue.”

Fortescue fast-tracks carbon neutrality aim, sets plan to trial hydrogen-powered drills

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Fortescue Metals Group is accelerating its carbon neutrality efforts, with the iron ore miner now expecting to achieve this ‘green’ milestone by 2030, 10 years earlier than its previous target.

Fortescue Future Industries (FFI), a wholly owned subsidiary of Fortescue, will be a key enabler of this target through the development of green electricity, green hydrogen and green ammonia projects in Australia, however, the company has also identified battery-electric technology as a potential diesel alternative game changer.

Dr Andrew Forrest, Chairman of Fortescue Metals Group, said: “We have joined the global battle to defeat climate change. We are trialling and demonstrating green hydrogen technologies in global-scale commercial environments, while also rapidly evolving into a green hydrogen and electricity producer of similar scale.”

In line with its 2030 aim, Fortescue, through FFI and its operations team, is undertaking to deliver several key projects by the stretch target of June 30, 2021. This, the company says, will underpin its pathway to decarbonisation.

These projects include:

  • Developing a ship design powered by green ammonia and trialling that design in new ammonia engine technology, at scale;
  • Testing large battery technology in its haul trucks – a project the company is pursuing with the help of Williams Advanced Engineering;
  • Trialling hydrogen fuel cell power for its drill rigs;
  • Trialling technology on its locomotives to run on green ammonia; and
  • Conducting trials to use renewable energy in the Pilbara of Western Australia to convert iron ore to “green iron” at low temperatures, without coal.

Fortescue Chief Executive Officer, Elizabeth Gaines, said: “Each of these projects will contribute to the world’s inexorable march to carbon neutrality. Fortescue will establish that the major steel, truck, train, ship and mobile plant industries can be operated with renewable, environmentally friendly energy. This will be possible as a result of these ground-breaking Fortescue trials. Each will be tested by Fortescue using commercial-scale equipment to prove that the demand for direct green electricity, green hydrogen and green ammonia could one day be as large as the fossil fuel industry.”

She added: “These projects are in addition to Fortescue’s significant investment with our partners into energy infrastructure, including the Chichester Solar Gas Hybrid Project and Pilbara Energy Connect program.”

Forrest said the company’s commitment to demonstrate green hydrogen’s economic value in world-scale operations, and become a major energy exporter, means Fortescue will emerge as an “executor” of major green hydrogen projects.

He said the company’s green energy and industry initiatives may one day out-scale its iron ore business due to the global demand for renewable energy, but Fortescue’s commitment to iron ore and resources globally “remains indefeasible”.

Fortescue says it is seeking to move from being a major consumer of fossil fuel with a current trajectory of more than 1 billion litres a year of diesel being used across the operations if no remedial action is taken – to a major clean and renewable energy exporter.

FFI is advancing projects across Australia, including Tasmania, to build large-scale renewable energy and green hydrogen production capacity. This will expedite the substitution of green hydrogen and green ammonia for carbon-based fuels, it says. These projects will, with the support of Australia’s governments, contribute to a significant reduction in national carbon emissions.