Tag Archives: Fortescue Metals Group

RDG subsidiaries win A$26 million of work from Fortescue, Tianye SXO Gold Mining

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Resource Development Group’s wholly-owned subsidiary, Central Systems Pty Ltd, is to design and construct an overpass at Fortescue Metals Group’s Cloudbreak mine site as part of an agreement with the miner’s Chichester Metals subsidiary.

The overpass is due for completion in late November, RDG said.

Cloudbreak is one of two mines (Christmas Creek being the other) within the Chichester Hub in the Chichester Ranges of Western Australia. The hub has an annual production capacity of 100 Mt/y of iron ore from three ore processing facilities (OPF).

Cloudbreak also hosts a 5 km relocatable conveyor (pictured), which includes two semi-mobile primary crushing stations and feeds directly into the Cloudbreak OPF.

Separately, RDG’s 80%‐owned subsidiary, Crushing Service Solutions, has been awarded a crushing and screening services contract with Tianye SXO Gold Mining Pty Ltd to provide these services in order to feed the Minjar gold plant near Southern Cross in Western Australia.

This contract will have a duration of approximately 12 months, RDG said.

The aggregate amount of these contract awards is A$26 million ($17.9 million), according to RDG.

Fortescue celebrates 100th autonomous haul truck conversion at Chichester Hub

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Fortescue Metals Group has 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.

The full conversion of 108 haul trucks at the Chichester Hub, which comprises the Christmas Creek and Cloudbreak mines, is expected to be completed in September 2020, it said.

Since the introduction of Autonomous Haulage System (AHS) technology at Fortescue in 2012, 168 trucks have been converted across the company’s Solomon and Chichester Hubs. This has seen Fortescue’s autonomous haul fleet move around 1,400 Mt of material and achieve a greater than 30% increase in productivity levels (compared with previous manned fleets), it said.

Fortescue Chief Executive Officer, Elizabeth Gaines, said: “Fortescue’s AHS deployment represents the largest fleet conversion to autonomous haulage in the industry.

“Our history of embracing leading-edge technology has ensured Fortescue remains at the lowest end of the global cost curve and remains fundamental to driving sustained productivity and efficiency improvements across our business to ensure we continue to deliver enhanced returns for our shareholders and key stakeholders.

“Most importantly, the introduction of AHS technology has improved safety outcomes across our operations and we’re very pleased that the Automated Mining Projects team has also achieved this important milestone in the truck conversion program with zero harm to any team members.”

Workforce skills development has been a key aspect of Fortescue’s automation project, it said, with the company’s training and redeployment program successfully transferring or upskilling team members to new roles across the business.

“Training is at the heart of everything we do at Fortescue and as we continue the integration of autonomous trucks across our sites, this ethos has guided our efforts to ensure no redundancies due to automation and to deliver significant benefits to employees from the opportunities offered by this project,” Gaines said.

Fortescue was the first company in the world to deploy Cat autonomous haulage on a commercial scale at the Solomon Hub. It was also the first in the world to retrofit Command for Hauling (part of Caterpillar’s MineStar technology) on a Cat 789D and Komatsu 930E haul truck.

The iron ore miner’s fleet of 168 autonomous trucks have now travelled in excess of 47 Mkm since AHS was first introduced – the equivalent of 65 return trips to the moon.

And, as part of the Chichester Hub automation project, 549,500 parts have been fitted to date across 100 trucks.

Aboriginal-owned firm strengthens Fortescue ties with Eliwana contract

Mineral project development, Mining services, Steel and iron ore, , , , , , ,

Mallard Deemey Pty Ltd, a 100% Aboriginal-owned business, is to construct and install a laboratory, storage, and administrative facilities at the Eliwana asset in Western Australia following a contract award from project owner Fortescue Metals Group.

The award continues to build on Fortescue’s commitment to Aboriginal procurement with its Billion Opportunities program. Since inception in 2011, this program has awarded contracts and sub-contracts worth over A$2.5 billion ($1.7 billion) to more than 120 Aboriginal businesses and joint venture partners, the iron ore miner said.

Eliwana is due to include a 30 Mt/y dry ore processing facility and infrastructure. Production is expected to commence at the end of 2020 with a life of mine strip ratio of 1.1.

The contract for Mallard Deemey, jointly owned and operated by Puutu Kunti Kurrama and Pinikura member Donna Meyer and Yamatji member Robby Mallard, is valued at over A$11 million. It will lead to the creation of over 100 jobs, with a significant number of employees expected to come from the Pilbara and Carnarvon as well as Perth, Fortescue said.

Fortescue Chief Executive Officer, Elizabeth Gaines, said: “Supporting and investing in sustainable Aboriginal businesses is at the heart of our approach to ensuring Aboriginal communities benefit from the growth and development of our business.

“Our Billion Opportunities Aboriginal procurement program has provided a platform to demonstrate the skills and capability of Aboriginal businesses and the chance for Aboriginal people to build a future for their communities through economic opportunity.”

Mallard Deemey Director, Donna Meyer, said the contracts clearly showed the capability of Aboriginal businesses, challenging assumptions they could only work on projects of this size as subcontractors and where time schedules were less stringent.

“These contracts are a demonstration of Mallard Deemey’s strong capabilities and will also enable us to commit to our continued training and employment of local Aboriginal people, positioning our business very well for the future,” she said.

With Fortescue’s support, Mallard Deemey was previously engaged as a subcontractor for the deconstruction of the Wheatstone camp in Onslow, ahead of its relocation to Eliwana. Over 40% of the workforce who worked on the Onslow project were Aboriginal employees.

PROK conveyor pulleys to feature at Fortescue’s Iron Bridge magnetite project

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Global conveyor components manufacturer PROK has been awarded a major contract for the design, manufacture and supply of conveyor pulleys at the Iron Bridge Magnetite project, a joint venture between Fortescue Metals Group subsidiary FMG Iron Bridge and Formosa Steel IB Pty. Ltd, near Port Hedland in Western Australia.

PROK will produce around 170 complete pulleys from its Bayswater production facility in Perth, Western Australia. The pulleys will be installed across 25 new conveyors at the Iron Bridge site.

PROK says it is an expert in conveyor equipment and specialises in solutions that help mining companies across the globe keep their conveyor systems running efficiently and safely.

PROK General Manager, Wade Guelfi, said the Iron Bridge contract award highlighted PROK’s high level of technical capability and manufacturing experience.

“As a recognised leader in large engineered pulleys, we were a perfect fit for this type of project,” he said. “Our advanced in-house engineering team worked closely with the client to design a pulley solution that meets all project requirements.”

The pulleys range in sizes from 500-1,200 mm diameter and will be delivered in six stages starting in January 2021, the company said.

The contract forms part of Stage 2 of the Iron Bridge project, which involves construction of a large-scale process plant and port infrastructure to support 22 Mt/y (wet) of magnetite production. Stage 1 (pictured), completed successfully, was achieved by building and operating a full-scale pilot plant at the North Star mine site. This pilot project included the use of a dry crushing and grinding circuit, which FMG plans to leverage in stage two.

In FMG’s March quarter results, released late last month, the company said the $2.6 billion project was progressing on schedule and budget, with first concentrate production planned in the first half of calendar year 2022.

“We are excited to be part of this project and proud to be supporting Fortescue with heavy-duty engineered pulleys manufactured right here in Western Australia,” Guelfi added. “We look forward to working closely with FMG as the project progresses.”

Monadelphous bolsters Pilbara iron ore order book

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Monadelphous Group has added another A$150 million ($101 million) worth of construction and maintenance work in the resources and energy sectors to its portfolio after being awarded contracts from the likes of BHP, Rio Tinto, Fortescue Metals Group and Newcrest Mining.

The company is set to continue its stay in the Pilbara of Western Australia having secured a contract under its existing BHP Western Australia iron ore (WAIO) asset panel framework agreement associated with the dewatering of surplus water at Mining Area C (Yandi mine, pictured).

Close by, it has received a three-year contract with Rio Tinto for the provision of maintenance services and minor projects on its Pilbara marine infrastructure, and one-year extensions to its two existing fixed plant maintenance and shutdown crane services contracts with Fortescue.

In addition, Monadelphous has been appointed to BHP’s WAIO Site Engineering Panel for a further two-year term, to provide civil, structural, mechanical, piping and marine services at its mine site and port operations in the Pilbara.

In Papua New Guinea, meanwhile, Monadelphous has sealed a new three-year contract to provide minor capital project services, including civil, mechanical, structural, piping, and blast and paint at Newcrest Mining’s gold mining operations on Lihir Island. The company has been providing services at Lihir Island since 2017.

Added to this is a four-year contract to continue providing mechanical and electrical maintenance and turnaround services for a customer’s midstream operations in the Queensland, Australia, coal seam gas market.

Cundaline Resources to work on Iron Bridge magnetite project

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Fortescue Metals Group has awarded 100% Aboriginal owned company, Cundaline Resources Pty, with the contract for the West Canning Basin earthworks at its majority owned Iron Bridge magnetite project, in Western Australia.

The award, which continues FMG’s longstanding commitment to supporting local and Aboriginal businesses, will see the group carry out the earthworks, access preparation and rehabilitation services associated with the hydrogeology drilling program for the Iron Bridge project.

The Iron Bridge project will deliver 22 Mt/y (wet) of high grade 67% Fe magnetite concentrate product, according to FMG, with the first stage completed successfully by building and operating a full-scale pilot plant at the North Star mine site. This pilot project included the use of a dry crushing and grinding circuit, which FMG plans to leverage in stage two.

The second stage of the project comprises the construction of a large-scale process plant, and port infrastructure to support the production of 22 Mt/y (wet) of iron ore.

In FMG’s March quarter results, released late last month, the company said the $2.6 billion project was progressing on schedule and budget, with first concentrate production planned in the first half of calendar year 2022.

Key milestones in the three-month period included detailed engineering passing the halfway mark, procurement of major long lead process equipment committed and the first blast at the ore processing facility site, enabling bulk earthworks to commence.

Fortescue’s Chief Executive Officer, Elizabeth Gaines, said Fortescue’s Aboriginal procurement initiative, Billion Opportunities, has awarded over A$2.5 billion ($1.6 billion) in contracts and sub-contracts to Aboriginal businesses and joint venture partners since the program began in 2011.

“We are committed to building on this proud track record through our growth projects, Eliwana and Iron Bridge, which have already awarded over A$60 million in contracts to Aboriginal businesses,” she said.

“Importantly, Billion Opportunities is focused on building the capability and capacity of Aboriginal businesses, and it is very pleasing to see Cundaline, a business which commenced operations as a labour hire company, now expand into earthworks and mechanical maintenance contracting areas.”

Cundaline’s Managing Director, Brenden Taylor, said: “The West Canning Basin Earthworks contract is a milestone project and the first of a number of potential opportunities on the Iron Bridge magnetite project for Cundaline.

“We have worked hard to transition our company from a labour hire specialist to a contracting entity managing and delivering our own projects. I am particularly proud of my team for their professionalism and ‘can do’ attitude and not giving up during the tough times.

“Along this journey we have worked together with other Aboriginal businesses and I especially want to acknowledge Fortescue, through the Billion Opportunities initiative, for making a real difference for a local and Aboriginal business like Cundaline to continue to grow our capacity and capability into the future.”

thyssenkrupp to deliver next gen gyratory crushers to Iron Bridge magnetite project

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thyssenkrupp is to make history in Australia, with plans to install KB 63-130 type gyratory crushers at the jointly owned Iron Bridge magnetite project, in Western Australia.

The company said its mining business unit had been awarded consecutive contracts to supply these two gyratory crushers and a radial stacker for Iron Bridge, which is a joint venture between Fortescue Metals Group subsidiary FMG Iron Bridge and Formosa Steel IB Pty Ltd.

Iron Bridge will be a new magnetite mine, around 145 km south of Port Hedland in the Pilbara region of Western Australia. Delivery of first ore is scheduled for mid-2022.

Johann Rinnhofer, CEO of thyssenkrupp’s mining business in Australia, said: “We are proud to be part of this project and excited to install two of thyssenkrupp’s next generation gyratory crushers here in Western Australia. These high capacity crushers are considered to be the largest and most powerful in the world and are unrivalled when it comes to crushing blasted hard rock and ore.”

The KB 63-130 type gyratory crushers will be the largest ever installed in Australia, according to thyssenkrupp, with the crushers processing raw iron ore material from the pit and transfering it to a receiving conveyor.

The slewing and luffing radial stacker, meanwhile, will be used to stack secondary crushed magnetite iron ore onto a stockpile at the mine.

The Iron Bridge project will deliver 22 Mt/y (wet) of high grade 67% Fe magnetite concentrate product, according to FMG.

The first stage of the project was completed successfully by building and operating a full-scale pilot plant at the North Star mine site. This pilot project included the use of a dry crushing and grinding circuit, which FMG plans to leverage in stage two.

The second stage of the project comprises the construction of a large-scale process plant, and port
infrastructure to support the production of 22 Mt/y (wet).

FMG strengthens Western Australia hydrogen ties with ATCO agreement

Environmental, Mining services, Power supply for mines, Steel and iron ore, , , , , , , ,

ATCO and Fortescue Metals Group say they have signed an agreement to explore the potential to deploy hydrogen vehicle fuelling infrastructure in Western Australia.

FMG, only last month, agreed to team up with Anglo American, BHP and Hatch to form a Green Hydrogen Consortium looking at ways of using green sources of hydrogen to accelerate decarbonisation within their operations globally.

It also already has a partnership in place with Australia’s CSIRO on hydrogen technologies to support the development of new industries, create jobs and pave the way for low emissions export opportunities for Australia.

ATCO, meanwhile, says it has led the development of renewable hydrogen in Australia, and was the first company to generate hydrogen through electrolysis, powered only by solar.

ATCO and FMG will now collaborate to facilitate the construction and operation of a combined hydrogen production and refuelling facility at ATCO’s existing facility in Jandakot, Perth, with the possibility of wider deployment across the state.

The initial refuelling facility will provide ATCO, Fortescue and agreed third parties with the opportunity to refuel vehicles capable of utilising hydrogen as the primary fuel source, Atco says. This includes a fleet of Toyota Mirai fuel cell electric vehicles that have been made available by Toyota Motor Corp Australia.

“The project will serve as a showcase for hydrogen mobility in the state and support the transition to the next generation of zero-emission transport,” ATCO said.

ATCO’s Managing Director in Australia, Pat Creaghan, said ATCO is committed to expediting the global transition to a net-zero emissions balance in the future and sees a significant opportunity for hydrogen to play a role in that future.

“ATCO’s Clean Energy Innovation Hub has been generating and testing the use of renewable hydrogen for more than six months in gas blending and power applications. The hub provides a fantastic base from which to partner with Fortescue to contribute to Western Australia’s burgeoning renewable hydrogen industry.”

Building on the knowledge gained through the development and implementation of this hub, ATCO says it is currently conducting a feasibility study – with A$375,000 ($226,148) in funding from WA’s Renewable Hydrogen Fund – into the development of a commercial scale renewable hydrogen production plant.

Fortescue Chief Executive Officer, Elizabeth Gaines, said the miner was committed to working with other organisations to position Australia as a leader in the global hydrogen economy.

“As the world moves towards a lower carbon future, hydrogen has the potential to play a key role in the future energy mix and we want to ensure we remain at the forefront of Australia’s renewable hydrogen industry,” Gaines said.

“Identifying and establishing partnerships is critical to unlocking the future potential of hydrogen and we look forward to working with ATCO to capitalise on the economic opportunities associated with hydrogen and support the development of a competitive hydrogen industry.”

ATCO and Fortescue have sought funding under the State Government’s Renewable Hydrogen Fund to support the development of this infrastructure, and are awaiting the outcome of this submission.

Fortescue and REMA TIP TOP establish Aboriginal traineeships

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Fortescue Metals Group has teamed up with longstanding contracting partner REMA TIP TOP to identify opportunities within its supply chain to increase employment and development opportunities for Aboriginal team members.

This move demonstrates “the company’s ongoing commitment to provide training and employment opportunities for its Aboriginal workforce”, FMG said.

REMA has been providing belt and conveyor maintenance services at Fortescue’s operations for over 10 years, and has now signed an agreement with 100% Aboriginal-owned workforce organisation Karlayura Group to offer belt splicing traineeships.

The program will allow Aboriginal participants to gain on-the-job experience in the installation, maintenance and repair of conveyor belt systems across Fortescue’s operational sites and provide them with sustainable career opportunities, FMG said.

Fortescue Chief Executive Officer, Elizabeth Gaines, said: “At Fortescue, we believe that providing economic opportunities through access to employment, training and business development pathways is key to sustainable futures for Aboriginal people.

“We are pleased to be working with our contracting partners to develop programs that support Aboriginal employment, and it is inspiring to see the positive contribution they make to communities.”

REMA Chief Executive Officer Asia Pacific, Benedikt Schneider, said: “Working together with the Karlayura Group, we have created new opportunities for local Indigenous communities through the establishment of belt splicing traineeships.

“Our focus is always on training and development to provide career pathways – not just jobs – and I’m proud to continue partnering with Fortescue to help close the gap by creating meaningful and sustainable employment opportunities for Indigenous Australians.”

Karlayura Group General Manager, Regina Glover, said: “Karlayura has a strong history of building partnerships with various companies within the mining and construction industry. We’re forever grateful for the opportunities we get from REMA and Fortescue as we continue our journey of creating successful outcomes across Australia.”

FMG extends waste management services contract with PTK Environmental Services

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Fortescue Metals Group has announced the extension of its waste management services contract to PTK Environmental Services (PTK), an Aboriginal business owned and operated by Palyku member Tammy O’Connor, for a further five years.

The extension of the contract with PTK brings the total value of contracts and subcontracts awarded to Aboriginal businesses and joint ventures under Fortescue’s Billion Opportunities procurement initiative to over A$2.5 billion ($1.7 billion) since the program began in 2011, FMG said.

Fortescue’s Chief Executive Officer, Elizabeth Gaines, said: “Our Billion Opportunities program is a critical element of our commitment to provide economic and employment opportunities for Aboriginal people.

“We are incredibly proud to partner with over 120 Aboriginal businesses and joint venture partners and to support the growth and development of driven business leaders like Tammy O’Connor, to build capability and capacity and contribute to the ongoing sustainability of Aboriginal companies.

“We have worked with Tammy and PTK for a number of years and building on the initial services contract awarded in 2017. We are delighted to extend the contract for these significant waste management services for a further five years.”

PTK Director and Shareholder, Tammy O’Connor (pictured, middle), said: “We pride ourselves on the safe, high quality services we provide and it is great to have this recognised by Fortescue with the extension of our contract. The flow-on effect of our work with Fortescue has huge benefits for the community by providing real opportunities for people to get jobs and support their families.”

Fortescue’s Chief Operating Officer, Greg Lilleyman (pictured left), said reducing waste through the prevention, reduction, recycling and reuse of materials produced during operations is a priority for Fortescue.

“Last financial year, Fortescue recycled 91% of non-mineral waste, such as food, packaging and office consumables, from across our sites,” he said. “We look forward to working with Tammy and the PTK team as we continue to reduce and manage our waste.”

During the half year, Fortescue’s Billion Opportunities program supported Aboriginal companies with over A$258 million in new contracts awarded to 16 Aboriginal businesses, FMG said.