Tag Archives: Fortescue Metals Group

UQ-led geotechnical project targets open pit mine of the future roadmap

A A$4-million ($2.8 million) cash injection from industry has marked the beginning of the next phase of research for a large-scale geotechnical project headed up by University of Queensland (UQ) experts.

Professor David Williams (right) and Dr Mehdi Serati (left) have managed the Large Open Pit Project (LOP) from UQ’s civil engineering home base, since 2017, and they recently secured the management of further funding to begin phase three of the project, which will run until 2022.

“The LOP links innovative mining geomechanics and geotechnical engineering research with best practice in open-pit mining,” Professor Williams said. “Australia is a leader in open-pit mining, driven by a forward-thinking industry.

“The LOP has provided a focus for research for the past 15 years and, since 2017, allowed us to collaborate and advance the safety and risk components of open-pit mines.

“The project also ensures that the industry can maintain its immensely valuable contribution to the Australian economy into the future, with mining generating around A$250 billion annually and employing about 15% of the Australian workforce.”

The primary focus for researchers during this three-year term will be to create a roadmap for ‘The Open Pit of the Future’.

Together with international industry partners and research colleagues, the team will bring together cutting-edge knowledge around large open-pit design, operation and closure, supporting future trends, including the interaction with underground mines, and deeper and even more technology-driven unmanned and automated operations.

Dr Serati said the team aimed to produce a new generation of pit slope design guidelines that incorporated everything from the fundamentals of slope design and rock mass characterisation, through to 3D geotechnical modelling, slope monitoring techniques, controlled blasting and open-pit closure.

“In open-pit mining, the design of the slopes is one of the major challenges at every stage of planning, through operation to closure, and requires specialised knowledge of the geology and material geotechnical parameters, which is often complex,” Dr Serati said. “Good open-pit design also requires an understanding of the practical aspects of design implementation, so we need to work collaboratively to cover all of these elements and produce industry-wide best practice guidelines.

“Australia has some of the largest open-pit mines in the world, which are reaching ever greater depths, and the LOP Guidelines are vital in ensuring coverage of all of the important design aspects.”

The LOP is recognised as the premier international research and technology transfer body representing the technical disciplines contributing to large open pits and supporting future trends, UQ says. The LOP fosters close collaboration between industry and researchers, which is essential to meeting industry’s need to continuously innovate.

“A key aim of the LOP is to ensure that the mining industry is a safe, prosperous and environmentally friendly contributor to society,” UQ said.

The industry sponsors for LOP III (third phase) include Anglo American, AngloGold Ashanti, BHP, Debswana, Fortescue Metals Group, McArthur River Mining, Newcrest Mining, Rio Tinto and Vale, with other companies being encouraged to join.

Fortescue Metals granted approval to expand iron ore capacity at Herb Elliott

Fortescue Metals Group says it has received approval from authorities to increase the material handling capacity of its Herb Elliott Port facility, in Western Australia, from 175 Mt/y to 210 Mt/y on a staged basis.

The approval, under the West Australian Environmental Protection Act 1986, includes provisions for 188 Mt/y of hematite ore and 22 Mt/y of magnetite concentrate. The high-grade magnetite product will be produced from the Iron Bridge magnetite operations, with first ore on ship from Iron Bridge scheduled for mid-2022.

The revised licence uses the capacity of Fortescue’s existing port infrastructure, comprising five berths and three ship loaders, and supports its 2021 financial year iron ore shipments guidance of 175-180 Mt.

Chief Executive Officer, Elizabeth Gaines, said: “Fortescue’s port operations are world leading and we have continually demonstrated our capacity to optimise the efficiency and productivity of our port infrastructure to deliver iron ore to our customers.

“The increase in the licensed capacity of Fortescue’s Herb Elliott Port from 175 Mt/y to 210 Mt/y is in line with our strategy to deliver growth through investment, including the $2.6 billion investment in the Iron Bridge project. This significant project will deliver 22 Mt/y of high-grade magnetite product, enhancing the range of products available to our customers through our flexible integrated operations and marketing strategy.

“We will continue to ensure that Fortescue remains a significant long-term contributor to the state and national economies through growth and development of our iron ore assets, job creation and investment.”

Fortescue says it maintains a high level of vigilance over its management of dust in Port Hedland, with installation and implementation of additional controls ensuring no net increase in dust emissions as a result of the progressive increase in throughput capacity at Herb Elliott.

Fortescue, Hyundai and CSIRO to accelerate MMT renewable hydrogen tech development

Fortescue Metals Group has signed a Memorandum of Understanding (MoU) with Hyundai Motor Company and the Commonwealth Scientific and Industrial Research Organisation (CSIRO) to advance scientific collaboration and accelerate the development of renewable hydrogen technology.

The MoU outlines areas of cooperation involving the development and future commercialisation of the metal membrane technology (MMT) developed by the CSIRO, supported by a partnership with Fortescue. Hyundai will be seeking to demonstrate the viability of the technology for renewable hydrogen production and vehicle fuelling in Korea.

MMT enables ammonia to be used as a carrier material for hydrogen storage and transport, making the transportation of low emissions hydrogen economically viable, according to Fortescue.

Fortescue has a portfolio of projects underway associated with renewable hydrogen production, storage and use, including:

Fortescue Deputy Chief Executive Officer, Julie Shuttleworth, said: “This important strategic partnership with Hyundai and the CSIRO signals Fortescue’s ongoing commitment to the ramp up of a competitive domestic and global renewable hydrogen industry, to support the transition to a lower carbon future.

“It builds on our investment in new hydrogen technologies that ensures Fortescue is well-positioned to meet the demand for hydrogen as both an export opportunity and to contribute to the decarbonisation of our operations in the Pilbara.”

Hyundai Chief Innovation Officer, Dr Young Cho Chi, said: “This MoU will allow the realisation of the global supply of clean hydrogen, contributing to the successful transition to a hydrogen economy in Korea and Australia. This sets an example of the potential for a global hydrogen infrastructure business based on clean hydrogen.”

CSIRO Executive Director for Environment Energy and Resources, Dr Peter Mayfield, said: “A domestic and export hydrogen industry will require a highly collaborative approach. We are pleased to continue our partnership with Fortescue, alongside Hyundai, to ensure that hydrogen can play a role in supporting low emissions transport.”

CPB Contractors to help deliver wet processing plant at Iron Bridge project

CPB Contractors has been awarded a contract at the Iron Bridge magnetite joint venture project in the Pilbara of Western Australia.

The contract from Fortescue Metals Group subsidiary FMG Iron Bridge, and Formosa Steel IB Pty Ltd, the joint venture partners at Iron Bridge, will see the CIMIC Group subsidiary deliver concrete and detailed earthworks for a wet processing plant.

Work will commence this year and is scheduled for completion in 2021, CPB Contractors said.

The Iron Bridge project is expected to see a new magnetite mine developed to support production of 22 Mt/y of high grade concentrate, according to FMG.

The contract was announced in tandem with another award in the water sector, with both set to provide around A$128 million ($92 million) of revenue in total.

CPB Contractors Managing Director, Diego Zumaquero, said: “The award of these contracts is recognition of our people’s expertise in delivering essential and strategic infrastructure projects. Our commitment is to safely and efficiently deliver these projects while maximising the benefits to local communities.”

Fortescue to bring automation expertise to Curtin University WASM curriculum

A new partnership between Fortescue Metals Group and Curtin University’s WA School of Mines (WASM) will, FMG says, help shape the future of Australia’s mining workforce through a new forward-looking curriculum that meets the needs of the modern resources sector.

Fortescue Operations Improvement Manager, Dr Rob Solomon (pictured), has been appointed to the newly created role of Professor of Practice in Mining Automation and Data Analysis at WASM, leading a range of research initiatives and shaping undergraduate curriculum to drive the application of data science in mining, according to Fortescue.

In his current role with Fortescue, Dr Solomon leads a team looking into the operational efficiency of the company’s autonomous mining operations using data sets and advanced analytics.

Fortescue Chief Executive Officer, Elizabeth Gaines, said: “At Fortescue, we have a proud history of embracing technology and innovation which has been fundamental to driving sustained productivity, cost savings and improvements in safety across our business.

“The Australian resources sector is already among the most innovative in the world and through this partnership with Curtin University, we look forward to building a pipeline of job-ready graduates who are ready to challenge the status quo and help guarantee the long-term success of our industry.”

Curtin University Vice-Chancellor Professor, John Cordery, said the Mining Automation Professor of Practice will be integral to embedding WASM’s new future-focused curriculum.

“Dr Solomon brings a wealth of practical experience in operations, impressive academic credentials and a passion for ensuring that new technologies deliver a sustainable industry future,” Professor Cordery said. “His appointment will see us better able to deliver both content and teaching in mining automation and data analytics.

“The school’s mining and mining engineering courses are already considered among the world’s very best (ranking second in the world by subject) and we are confident Dr Solomon’s input as Professor of Practice in Mining Automation and Data Analysis will see us continue to be global leaders in those fields.”

John Holland keeps Rio Tinto and Fortescue iron ore projects on track

Infrastructure and rail specialist, John Holland, is currently mobilising advanced specialist railway fleet to carry out maintenance and service support across the Western Australia rail network.

The mass assembly of equipment involves the refurbishment and service of multi-million dollar machinery at John Holland’s Welshpool Plant Operations Centre including Tampers, Regulators, Mobile Flashbutt welders and the New Track Construction Machine (NTC, pictured).

In August, this specialised rail construction equipment will be shipped to the Pilbara for projects owned by Rio Tinto and Fortescue Metals Group. John Holland still maintains a significant rail specialised plant presence at its South West based operations, including a maintenance contract with the Public Transport Authority and project works with Arc Infrastructure, the company said.

“As it’s only used every few years, there’s always a buzz with rail enthusiasts when the NTC is unpacked from storage,” John Holland Plant Operations Manager, Anne Williams (also pictured), said. “It was most recently used to lay 350 km of railway at Roy Hill and, prior to that, it was used in the construction of the Perth to Mandurah Rail Line.”

John Holland Plant Services has been in operating in Western Australia for 22 years and at the current Welshpool location for six years. According to Williams, her local team of 26 are proud to do their bit in supporting the Australian economy.

“John Holland own the largest privately owned specialist railways maintenance fleet in Australia, which includes fully equipped service vehicles. We also manufacture and carry out modification of specialised rail track machines,” she said.

“It’s well known that Western Australia’s mining industry is playing a significant role in the economy and our role is to provide this industry with much-needed infrastructure to keep it moving forward.”

Dynamic Drill and Blast looks for further growth with ASX IPO

Specialist drill and blast services supplier, Dynamic Drill and Blast Holdings, is looking for further growth with a plan to raise A$5 million ($3.5 million) and seek admission to the Australian Securities Exchange official list.

The Perth, Western Australia-based company has established itself as a contractor able to supply everything from large production blasts to vibration-sensitive, close-proximity civil work, it said.

Associated with strong and ongoing growth in the mining and civil sectors, Dynamic says it has seen a surge in project opportunities and plans to use funds from the initial public offering (IPO) to grow its fleet and provide working capital to tackle a strong tendering pipeline.

The company was founded in 2011 and, since 2018, has been on a rapid growth path following a strengthening of the balance sheet and the introduction of new strategic investors, including current Executive Director, Matt Freedman, a major shareholder.

Revenue has grown from A$12.97 million in the 2018 financial year to A$19.1 million in the 2019 financial year. Along the way, it has attracted a strong Tier One mining client base, and is undertaking work on projects owned by Rio Tinto, Fortescue Metals Group and Galaxy Resources, it said.

Dynamic says it is currently operating at three West Australian sites, one of which is nearing completion, and has developed a strong pipeline of tendering opportunities.

“Importantly, a number of the tendered opportunities are for medium-to-long term contracts which, if awarded to Dynamic, would enable continued growth of a steady/underlying revenue stream,” the company said.

Dynamic’s management and board comes with proven and diverse skills, according to the company.

Mark Davis, Managing Director of Dynamic, was a founding member and brings over 25 years’ experience in the mining services sector.

Dynamic has also recently appointed Garret Dixon as Non-Executive Chairman. His recent roles include Executive Vice President at Alcoa Corp and President Alcoa Bauxite. He has held previous roles as Executive General Manager for civil construction and contract mining group Henry Walker Eltin Ltd, Managing Director of logistics company Mitchell Corp, and Managing Director and CEO of ASX-listed Gindalbie Metals.

JP Equity Partners has been appointed Lead Manager to the IPO, with the company aiming to hit the ASX boards around August 20.

Davis said the time was right to list on the ASX and the IPO will provide the company with the capital required to secure project opportunities and continue its rapid growth push.

“It has been an exciting period for Dynamic,” he said. “As a founding member, I have seen first-hand the incredible transformation of the business since 2018. We are now preparing ourselves for the next phase of growth.

“The company is well-supported by a Tier One client base, which continues to grow with the pipeline of tendered contracts.

“It’s an exciting time in the Western Australian mining sector with strong market dynamics in both gold and iron ore. At completion of the IPO, Dynamic will be well-positioned to service these growing and important sectors. There is also the potential for strong growth in the civil sector with infrastructure projects coming out of increased government spending, post-COVID-19.”

He added: “I would like to take the time to thank Matt Freedman, who has played a critical role in growing the business to where we stand today and all our employees who contribute on daily basis and are essential to the day to day success of Dynamic.

“I would also like to welcome Garret Dixon as Non-Executive Chairman. To be able to attract someone of Garret’s calibre is a testament to where Dynamic is heading as business.

“Lastly, we could not be here today without out investor base. Over the past 24 months, Dynamic has been fortunate enough to welcome a number of key strategic investors with significant contracting and capital markets experience and I look forward to delivering long-term value to these investors and to the shareholders who join our register, once we hit the ASX boards.”

Civmec to build foundations for key Iron Bridge processing equipment

Civmec’s Metals and Minerals division has been awarded a standalone civil contract to build the structural concrete components for the dry plant at the jointly-owned Iron Bridge magnetite project in the Pilbara of Western Australia.

The “Dry Plant Detailed Earthworks and Concrete” package was awarded by the owners of the project, Fortescue Metals Group subsidiary, FMG Iron Bridge Ltd, and Formosa Steel IB.

The project will see a new magnetite mine developed to support production of 22 Mt/y of high grade, magnetite concentrate product.

Civmec’s scope includes constructing the structural concrete components for the primary, secondary and tertiary crushing areas, screening areas, air classification and primary grinding areas, course ore stockpile, dry rejects, conveyors and all related earthing. It will involve over 350,000 cu.m of earthworks, the fixing of some 5,000 tons (4,536 t) of steel reinforcement and the placement of around 38,000 cu.m of concrete.

These works will employ over 200 of Civmec’s skilled workforce at peak, plus a commitment to engage with Local Aboriginal Enterprises, Civmec said, adding that the works will commence immediately with an expected completion in the March quarter of 2022.

Civmec’s Chief Executive Officer, Patrick Tallon, said: “Through our current delivery of works for Fortescue in the Pilbara, we have formed a strong working relationship built on transparency, trust and collaboration and reliable execution. Hence, we are extremely pleased to be given this further opportunity to continue to work with Fortescue on the Iron Bridge project.

“This is an exciting project of a very significant scale with a declared value for the overall project being $2.6 billion. The Iron Bridge joint venture has demonstrated and refined each step of the magnetite ore processing system and conducted full-scale trials to ensure the effectiveness of the process and gain confidence in the overall project success.”

This most recent contract award, combined with some other recent awards and scope increases on existing contracts, take the group’s current order book to circa-A$901 million ($625 million).

Fortescue engages John Holland for rail work at Eliwana iron ore project

Australia-based infrastructure and rail company, John Holland, has secured a A$130 million ($90 million) contract with Fortescue Metals Group to construct 143 km of railway tracks and signalling at its Eliwana iron ore project in the Pilbara of Western Australia.

The track construction works will connect the new Eliwana Rail Line to the existing Fortescue Hamersley Line to Port Hedland, with the engagement seeing John Holland manage a newly upgraded rail welding facility in Port Hedland as well as the design, construct and integration of the signalling and train control systems.

The company will also procure and manufacture the signalling system wayside equipment from its Canning Vale fabrication warehouse and complete all civil and electrical installations of the wayside signalling systems on site, it said.

In line with this contract award and others in Western Australia, John Holland says it is looking to recruit 400 new workers across its Western Australian projects.

It currently employs more than 5,000 people across its construction, tunnelling, rail and building projects in Australia, and strengthened its rail, engineering and construction capacity after it acquired RCR O’Donnell Griffin’s rail business – saving 400 jobs in the process.

John Holland Operations Manager, Rob Hennessy, said the Western Australia team was very proud to bring this solution to market for Fortescue.

“It has been a goal of the WA rail team to bid for more integrated projects in the WA market and we are pleased to partner with Fortescue and play a significant part in a world-class iron ore project,” he said.

“John Holland is a major Australian employer and continues to honour its 70-year history of contribution to the local community.”

Once completed, the $1.275 billion Eliwana project, which also includes the building of a 30 Mt/y ore processing facility, will maintain Fortescue’s overall production rate of a minimum 170 Mt/y over 20 years, the company said.

Fortescue integrates WA iron ore supply chain into the Hive

Fortescue Metals Group has officially opened the Fortescue Hive, the company’s newly expanded Integrated Operations Centre (IOC) which, FMG says, uses the latest technology and brings together the company’s fully owned and integrated supply chain.

Fortescue Founder and Chairman, Dr Andrew Forrest, and Chief Executive Officer, Elizabeth Gaines, celebrated the official opening in Perth with various politicians and members of the iron ore miner’s Board of Directors and core leadership team.

The purpose-built facility includes Fortescue’s planning, operations and mine control teams, together with port, rail, shipping and marketing teams. It allows 330 team members across Fortescue’s complete supply chain to work together, 24 hours a day, seven days a week, to deliver improved safety, reliability, efficiency and commercial outcomes, the company said.

Dr Forrest said: “Mining is one of the most innovative industries in the world. Fortescue has long been a technology leader in the industry and was the first mining operation in Western Australia to control a railway from a remote location when we unveiled our Train Control Centre in Perth in 2009.

“Since then, Fortescue has continued to lead the pack and today we officially launch the Fortescue Hive, our reimagined IOC, which sits at the heart of our integrated supply chain to deliver critical ores to develop the great cities of our region and beyond.”

Earlier this month, Fortescue celebrated an important milestone in the rollout of autonomous haulage technology at its Chichester Hub operations, in the Pilbara of Western Australia, with the conversion of its 100th autonomous truck.

Chief Executive Officer, Elizabeth Gaines, said: “Fortescue has developed the world’s most advanced vertically integrated bulk operations infrastructure. We are very proud to open our enhanced IOC, the Fortescue Hive, which enables us to operate our globally significant mines from the centre of Perth.

“The Fortescue Hive seamlessly links our core exploration, metallurgical, mining and marketing expertise to deliver value to our customers, shareholders and the broader community. Importantly, the Fortescue Hive will underpin our future use of technology, including artificial intelligence and robotics, and will expand to include the generation and integrated distribution network for the Pilbara Energy Connect, our hybrid solar-gas power solution.”

Chief Operating Officer, Greg Lilleyman, said Fortescue’s integrated management of the mine to market supply chain was “unique” in the industry and co-locating its planning, operations, shipping and marketing business functions would further leverage its “exclusive advantage”.

He added: “By ensuring our teams are truly integrated, we can capitalise on market dynamics and respond to the needs of our customers.”

The Fortescue Hive covers an area of 2,500 sq.m and, over 15 weeks, 6.5 t of concrete was removed from the building, while 2.1 tonnes of steel was installed. The fit-out of the facility included 162 workstations and 996 computer monitors, connected by 64 km of underfloor cables.