Tag Archives: Fortescue

Zero emission haul truck developments on the IMARC 2023 agenda

Environmental, Mine operation news, Mining equipment, Mining events, Mining services, Power supply for mines, Steel and iron ore, Sustainable mining, , , , , , , , , , , ,

IMARC 2023 is off to a bang, with two of the first keynote interviews – featuring speakers from Fortescue and BHP – kicking off what is expected to be a constant flurry of mining technology news.

During a Mining Keynote Interview, titled, ‘The Reshaping of the Fortescue Business: A Showcase of the Past, Present and Future of the Mining and Resources’ Industry,’ Dino Otranto (pictured on the right), CEO of Fortescue, talked up the mining company’s ‘Real Zero’ terrestrial emissions (Scope 1 and 2) 2030 aim.

Speaking to Jennifer Hewett (pictured on the left), National Affairs Columnist, The Australian Financial Review, Otranto highlighted the recent arrival of the first 240-t-class Liebherr Mining T 264 trucks at its Eliwana iron ore mining site in the Pilbara of Western Australia, which is expected to be converted to Fortescue’s in-house battery solution developed by WAE in the near term.

Looking further out, Otranto said the company’s first zero emission fleet at Eliwana was expected to be “on parity” with the diesel haulage equivalent from a cost and productivity perspective. “In the future, they could be even more productive,” he added.

Fortescue is currently working on a number of “zero emission” solutions across its mining operations – battery-electric and green hydrogen, among them – and Otranto said the company was confident that the electric powertrain is “the future”, with the system that generates the power to supply this being “agnostic”.

“In the future, we will not be beholden by the OEM and a single product,” he said, explaining that the captive energy source tied to where the resources and reserves were located would play a crucial role in the chosen system.

Soon after Otranto left the stage, Hewett was joined by James Agar, Group Procurement Officer at BHP, for another keynote interview, titled ‘The Importance of Supplier and Community Partnerships to Create Value’.

Agar was quick to pick up from where Otranto left off, referencing the company’s own zero-emission haulage plans, which included the expected rollout of a zero emissions truck at its operations next year. The company has previously signalled that a Cat Early Learner battery truck could come arrive for trials at its operations in 2024.

Alongside this, Agar referenced ongoing work with Bridgestone and Michelin related to battery-electric haul truck developments.

“We have realised that if we reduce the rolling resistance of tyres by 1-2%, it can have a big impact on battery life,” he said. “Equally, these trucks are going to be able to travel at faster speeds, so tyre life will be affected. This is another area we are studying.”

Monadelphous banks work with Lynas Rare Earths, Fortescue, BHP and Rio Tinto

Base metals, Energy minerals, Mining services, Steel and iron ore, , , , , ,

Monadelphous Group says it has secured new construction and maintenance contracts and contract extensions in the resources and energy sectors totalling approximately A$170 million ($108 million), including pacts with Fortescue, BHP and Rio Tinto.

First up, the company has been awarded a construction contract with Lynas Rare Earths for stage 1 of the Mt Weld Expansion project (pictured), near Laverton in the Goldfields region of Western Australia. The scope includes structural, mechanical and piping works associated with the new concentration facility.

The engineering firm has also secured a multidisciplinary construction contract to undertake a series of upgrades at Fortescue’s Anderson Point iron ore stockyard in Port Hedland, Western Australia.

BHP has, meanwhile, extended Monadelphous’ master services agreement for the provision of general maintenance services to its iron ore operations in the Pilbara region of Western Australia through to June 30, 2025. The award also contains an additional one-year extension option. The company has also secured a one-year extension to its mechanical and electrical maintenance, shutdown and project services contract across BHP’s Nickel West operations in Western Australia.

Finally, Monadelphous has secured a one-year extension to its sustaining capital works master services agreement with Rio Tinto providing multidisciplinary project services across its Pilbara iron ore operations in Western Australia.

IMARC 2023 organisers preparing for ‘grand slam’ event

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The world’s mining and resource leaders are heading to Sydney, New South Wales, for the International Mining and Resources Conference (IMARC) from October 31 – November 2 in what has become a “grand slam” event of the industry, globally, event organisers says.

IMARC Chief Operating Officer, Anita Richards, said this year’s event was looking to be the largest ever, with over 520 speakers from global giants such as BHP, Fortescue, MMG, Gold Fields, Wesfarmers, Worley, Perenti, IGO, the US Departments of Energy and Defense and the ICMM, coming together to collaborate on themes including digital transformation and innovation; sustainability, social value, environmental resilience, people and culture; trade, investment and project opportunities; and energy transition.

She said: “The mining and resources industry is evolving rapidly to meet the growing energy demands of today while developing the minerals needed for a decarbonised economy – under unprecedented scrutiny from communities, regulators and investors.

“IMARC 2023 comes at a time when explorers and miners are diversifying portfolios to align with future demand, triggering the highest level of M&A activity across both mining and METS we have ever seen.”

This year’s conference will see the return of the IMARC NextGen Program, which will provide an opportunity for 200 NSW school children to learn about the diverse and exciting mining and resources industry.

IMARC 2023 also features:

  • A special ESG focus on creating social value;
  • An extensive look at First Nations engagement, human rights and transparency;
  • A look at best-practice mine rehabilitation;
  • A global perspectives on heritage and environmental custodianship and economic development;
  • A return of the successful Balance for Better Program which promotes equality, diversity and inclusion across all areas of the mining and resources sector.

Richards added: “Mining and resources have never been more important for sustainable economic, social and innovative development across the globe. We need more exploration and development to match surging demand for the critical minerals that are central to the global energy transition. IMARC 2023 is where the most important conversations are being held about how mining and resources can help achieve global development sustainably and equitably.

“IMARC is a key forum to address these challenges, and the global profile of the event is reflected in delegations already confirmed from India, Saudi Arabia, Ecuador, Chile, Mongolia, United States, South Korea, Japan, Germany and many more.”

At IMARC 2023 a range of new features have been added to the program. These include the Low Emission Technology Australia session to help accelerate innovation in the clean technology sector, the 4,000 sq.m IMARC Mining Pavilion with over 150 exhibitors present and the final of the Unearthed Global Innovation Games where the winners will be announced and their technology displayed.

IMARC 2023 will take place at the ICC Sydney from October 31 to November 2 and will be a celebration of what has grown into one of Australia’s biggest business events, with a record 8,500 delegates from over 120 countries, including upwards of 50 government delegations expected to attend, organisers say.

International Mining is a media sponsor of IMARC 2023 and will be in Sydney reporting on the event.

Capital books ~$35 million drilling services contract with Nevada Gold Mines

Explosives and blasting, Mine operation news, Mining equipment, Mining services, Precious metals, Steel and iron ore, , , , , , , , , , , ,

Capital, a leading mining services company, has announced the award of a material drilling contract in Nevada with Nevada Gold Mines and associated rig purchases, together with an update on the ramp up of operations at its Ivindo iron ore contract in Gabon.

The three-year drilling services contract with Nevada Gold Mines (NGM) in the US spans a wide range of drilling services including diamond, both surface and underground, and underground reverse circulation. Drilling spans a number of operations across NGM including underground diamond drilling in the Leeville underground mine within the Carlin complex, underground RC drilling in Carlin and diamond drilling at the Robertson project within the Cortez complex.

NGM is a joint venture between Barrick (61.5% ownership) and Newmont (38.5% ownership), with Barrick as operator. NGM operates three Tier One gold assets: Carlin, Cortez and Turquoise Ridge, consisting of 10 underground mines, 12 open-pit mines and associated facilities.

The contract will consist of nine rigs and will include equipment with advancements in automation for improved safety and efficiency, Capital said.

The contract is expected to generate annualised run rate revenues of circa-$35 million once all the rigs are fully operational from 2025, at margins commensurate with the broader group, Capital said. The company will purchase new rigs with associated equipment for the contract with capital expenditure expected to be circa-$20 million, predominantly falling in 2024.

In Gabon, the company reported that ramp up of operations at its load & haul, crushing and drilling contract with Ivindo Iron SA, majority-owned by Fortescue, was proceeding well.

“We have now commenced drilling operations to assist in further defining this world-class deposit,” Capital said. “The majority of the mining equipment is now in country with operations also already underway, and crushing due to commence later in the year.”

Peter Stokes, Chief Executive Officer of Capital, said: “This new drilling contract award represents a landmark moment for Capital as we extend our geographic reach in drilling into North America, adding to our existing and growing operations in Canada with MSALABS. It is a strong endorsement of our long-standing commitment to world leading standards in both safety and productivity.

“We are pleased to further expand our services with Barrick, having begun our relationship across operations in Africa before extending more globally, first at the Reko Diq mine in Pakistan, earlier this year, and now to the Nevada Gold mines complex in the United States.

“It is also great to see a continuation of our decisive and strategic move to reposition and improve our contract portfolio, set out in the second half of 2022, focusing on large-scale mine sites and Tier-1 projects with significant growth potential. The addition of world-class contracts in 2023 across Reko Diq, Ivindo and now Nevada presents significant further opportunity and a strong platform as we look into 2024.”

WAE to open new facility in Oxfordshire focused on zero-emission, off-road solutions

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Fortescue Future Industries says it is significantly expanding its battery and electric powertrain production operations in the UK with the announcement of an additional state-of-the-art facility in Oxfordshire.

Fortescue Chairman, Andrew Forrest, said the expansion is part of Fortescue’s commitment to grow its British presence through the recent integration of British manufacturers WAE (formerly Williams Advanced Engineering).

“With Fortescue’s investment, British engineering will be at the cutting edge of the green energy economy with WAE’s battery systems providing world leading technology to the entire global industrial sector,” Dr Forrest said.

Following entry-into-force of the Australia-UK Free Trade Agreement, Fortescue will open a new state-of-the-art site in Banbury, Oxfordshire, significantly expanding its UK manufacturing capability, supplying advanced batteries and electric powertrains globally.

The new location will be focused on production of a wide range of zero-emission products for the off-road sector including trucks and trains. It will form part of a new global business aimed at driving decarbonisation in all fields of economic activity, while building sovereign capabilities in emerging technology.

The factory will cover over 13,500 sq.m in total and employ over 120 highly-skilled engineers, technicians, apprentices and graduates, with recruitment for the industrialisation program starting now, FFI said.

The integration follows Fortescue gearing up to meet growing global demand for the development, manufacture and supply of advanced electrification technology solutions to the off-highway sector.

The new Banbury facility will operate alongside Fortescue’s other Oxfordshire facilities including the Kidlington factory, which will open later this year. The Banbury site will be a purpose-built facility focusing primarily on manufacturing of heavy industry, electric/zero-emission powertrain systems. It will offer automated assembly for battery modules and packs, assembly of power conversion and power systems, as well as truck and train production support.

The first prototype build is targeted for July/August 2023 with the first mining haul truck module due for completion in August 2023.

The site will officially open in 2024 and will create job opportunities across all levels, including apprentices and graduates, acting as showcases for a future rollout by WAE of further global high-tech manufacturing hubs.

Capital to carry out earthmoving and crushing services for FMG-tied Ivindo Iron in Gabon

Comminution of minerals, Explosives and blasting, Mineral project development, Mining services, Steel and iron ore, , , , , , , ,

Capital has announced the award of a new mining services contract with Ivindo Iron SA, majority-owned by Fortescue, at its namesake project in Gabon.

The earthmoving and crushing services contract has been announced at the same time as the company has extended its revolving credit facility.

Ivindo is in the northeast of Gabon and is one of the world’s largest undeveloped, high-grade haematite iron ore deposits with the potential to become a globally significant iron ore mine, according to Ivindo Iron, which is the operating entity for the Belinga project and a company that Fortescue has a 72% indirect interest in.

Earlier this year, Fortescue, through Ivindo Iron SA, 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. Belinga is part of the wider Ivindo project.

The Capital contract has a term of up to five years and will generate approximately $30 million of revenue per year once fully operational, the London-listed company says. It involves both earthmoving and crushing services. Capital says it will use existing equipment and is in the process of purchasing circa-$15 million of additional equipment to service the contract.

Capital has already begun mobilising equipment to the site. This mining and crushing services contract is in addition to the three-year reverse circulation and diamond drilling services contract with Ivindo, announced earlier this year, where drilling recently commenced.

Peter Stokes, Chief Executive Officer, said: “We are thrilled to have been awarded the mining and crushing services contract at Ivindo. This is our second significant mining services contract and continues our strategy to diversify our revenue stream through an expanded service offering. We look forward to working closely with Ivindo Iron to expand our relationship from drilling services to mining and crushing services and ensure a rapid ramp up on this world-class deposit.”

SRG Global’s Bugarrba Aboriginal JV to carry out scaffold service work at Iron Bridge

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

SRG Global Ltd says its Aboriginal Joint Venture, Bugarrba, has been awarded a five-year term contract with Iron Bridge Operations in the Pilbara of Western Australia.

The five-year term contract with Iron Bridge, an unincorporated joint venture between Fortescue Metals Group (Fortescue) subsidiary FMG Iron Bridge and Formosa Steel IB, is a master agreement for maintenance and shutdown services to provide engineered scaffold services across
its new magnetite project in Western Australia.

The contract, valued at circa-A$40 million ($26 million) is expected to commence early in 2023.

Bugarrba is a joint venture with members of the Njamal People and SRG Global. The traditional land of the Njamal people covers 42,000 sq.km within the Pilbara, with its name meaning ‘Country’ in the Njamal language. Bugarrba’s vision is to provide meaningful and sustainable employment opportunities to its people and Aboriginal people more broadly.

Terry Wilson, Bugarrba Board Member, said: “Bugarrba are excited to secure another important contract for the Njamal people and are looking forward to working with Iron Bridge Operations located on the traditional lands of the Njamal people.”

David Macgeorge, SRG Global Managing Director, added: “SRG is tremendously proud of our Bugarrba joint venture, seeing its continued success and contribution to Aboriginal people, and working with Iron Bridge Operations, on what is such an innovative project for Western Australia.”

The Iron Bridge project is set to deliver 22 Mt/y of high-grade magnetite concentrate product, with first production scheduled for the upcoming March quarter.

Thiess targets WA hard-rock mining sector expansion with MACA offer

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Thiess looks like gaining further market share in the key hard-rock mining market of Western Australia after having a bid accepted for fellow mining contractor MACA.

The all-cash offer to acquire 100% of the shares of the company at A$1.0251/share represents a 42.2% premium to the MACA one month volume weighted average price as of July 25, 2022.

MACA’s Board has unanimously recommended that its shareholders accept the offer in the absence of a superior proposal and subject to an independent expert concluding, and continuing to conclude, that the offer is favourable to MACA shareholders.

Thiess says it intends to operate MACA in materially the same manner supported by MACA’s workforce, brand and assets, and to continue its highly regarded community partnerships.

The proposed acquisition of MACA by the Thiess is consistent with its diversification strategy, with a particular emphasis on increasing its presence within metals and minerals hard-rock mining operations in Western Australia, it says.

To this point, the company’s Western Australian hard-rock mining exposure has consisted mostly of work with BHP’s Western Australian nickel assets, in addition to a recent contract award at the Covalent Lithium Joint Venture project.

MACA has exposure to the state’s iron ore sector thanks to contracts with Fortescue and BHP; the burgeoning gold segment through contracts with Regis Resources, Ramelius Resources, Capricorn Metals and Red 5; and nickel and lithium exposure from the Ravensthorpe mine and Pilgangoora project, respectively.

Thiess also said in its Bidder Statement that it sees “a significant opportunity to combine the operational capability of both companies to continue enhancing service quality, particularly in relation to technical solutions such as deploying autonomous machinery or reducing the carbon emissions of mining services on project sites”.

Back in March, MACA announced a partnership with SafeAI to form an MoU to retrofit a mixed fleet of 100 mining trucks across multiple locations with autonomous mining technologies.

Michael Wright, Executive Chair and Chief Executive Officer of Thiess, said: “We believe our offer is an attractive opportunity for MACA shareholders as it provides certainty of cash, a strong premium and an ability to achieve liquidity for their entire MACA shareholding. We are pleased to have the support of the MACA Board for our Offer.

“The proposed acquisition of MACA is an important part of Thiess’ strategy to diversify its operations across commodities, services and geographies. Thiess has a high regard for MACA’s service quality, and we believe our industry experience positions us well to enhance MACA’s value proposition to clients and employees. We recognise and intend to maintain and grow MACA’s strong brand and presence in the Western Australian market. Thiess also looks forward to supporting MACA to meet the evolving needs of its client base through promoting further investment in low emission and technology-led solutions.”

Wabtec to provide Fortescue locomotives with another 20 years of life

Equipment maintenance, Mining equipment, Mining services, Steel and iron ore, , , , , , ,

Wabtec Corporation has announced an agreement to modernise locomotives for Fortescue Metals Group, representing Wabtec’s delivery of the first fleet of modernised locomotives for an Australia-based customer.

The fleet will be transformed into AC44C6M locomotives to meet the performance requirements of Fortescue while delivering operational and environmental efficiencies, it explained.

“While we have completed more than 1,000 modernisations for customers globally, it’s a first for Australia and demonstrates Fortescue’s commitment to drive more sustainable rail operations,” Wendy McMillan, Senior Regional Vice President, South East Asia, Australia and New Zealand, said.

“By repurposing and rebuilding our locomotives, we give these heavy-haul trains another 20 years of life, while reducing the fuel consumption and maintenance, and repair and overhaul expenses by up to 20%. For Fortescue, the modernised trains will deliver up to a 55% increase in tractive effort and more than 40% increase in reliability.”

The modernised locomotives will benefit from improved performance and increased reliability with new features including a UX engine, new electrical cabinets, a new design high-efficiency radiator and radiator cab, an upgraded control system to remove obsolescence, and AC traction with individual axle control, Wabtec explained.

General Manager Hedland Operations, Mark Komene, said: “The procurement of the modernised locomotives is an important element of Fortescue’s locomotive fleet strategy. This newly modernised fleet will enable substantial long-term capital and operating costs savings, provide the latest traction and control technology, and enable future upgrades to alternative energy sources such as battery electric in support of Fortescue’s industry-leading target to be carbon neutral by 2030.”

The new AC44C6M locomotives will be rebuilt at Wabtec’s Fort Worth facility in Texas, USA, before making the journey to Western Australia over the next two years for deployment at Fortescue’s mining operations.

Wabtec’s modernisation program is a key component of the company’s effort to advance a circular economy. It updates ageing locomotives with customised solutions that range from simple changes including control system upgrades to complex restorations, such as the comprehensive transformation of an aged DC locomotive into an AC locomotive outfitted with state-of-the-art digital technology.

Fortescue, meanwhile, has progressively been looking to decarbonise its locomotive fleet, making plans to purchase two new battery-electric locomotives from Progress Rail, a Caterpillar Company, to transport its iron ore to port in Western Australia. This comes on top of trials at Fortescue Future Industries development facility in Western Australia of a locomotive operating solely on green ammonia and other green renewable fuels and technologies.

Schlam delivers 1,500th Hercules dump body in Australia

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Schlam has now reached the milestone of manufacturing its 1,500th Hercules dump body in Australia, with the dump body in question delivered to Glencore’s Mt Owen complex in the Hunter Valley of New South Wales.

Now in its 14th incarnation, the Schlam Hercules has become the dump body of choice for many of the most significant Tier 1 operators, OEM truck builders and mining contractors in Australia, Schlam says.

Schlam Chief Executive Officer, Matt Thomas, said it was a team effort to reach this milestone.

“Our manufacturing division – Schlam Payload Solutions – is filled with some of the most dedicated and hardworking individuals I’ve ever met. And, when they work together, anything is possible.

“The pandemic and supply chain concerns have pressured our team, however, they have managed these challenges superbly while maintaining our commitment to quality and customer service.”

The first Hercules was manufactured in Australia in 2003, and it took 17 years to reach the 1,000th milestone. It took the company just 22 months to then reach the 1,500th mark.

Thomas says that long-term national supply contracts with BHP, Fortescue, Glencore, Northern Star Resources, Newmont and other significant miners mean that the Hercules is set to continue along this upward growth path.

“We are creating efficiencies in our manufacturing processes through robotics, automation and ‘LEAN thinking’ to support this growth while maintaining quality,” he said.

“We’re also growing our sales and aftersales teams, ensuring that customer service is exceptional at every step of their experience with Schlam. We pride ourselves on following our products into the field and believe this has been a critical element in our growth.

“I thank the whole team – no matter where they work in the company – for helping us reach this milestone, and I look forward to many more to come.”