Tag Archives: Glencore

SRG Global banks four mining contracts as part of A$700m in wins

Equipment maintenance, Mining services, , , , , , , ,

SRG Global Ltd says it has been awarded multiple contracts with existing clients across Asia Pacific, four of which are related to mining.

The value of the new works secured is A$700 million ($457 million), which includes:

  • A five-year term contract for maintenance services associated with the continuous enhancement of Bauxite Residue Disposal Area embankments as well as other civil services with South32 at the Worsley Alumina bauxite and alumina refinery operations in the south-
    west region of Western Australia (WA). The contract will commence immediately;
  • A five-year term contract for asset integrity services with Glencore at its Murrin Murrin mining operations in the Goldfields region of WA. The contract has now commenced;
  • Mine site infrastructure contract for earthworks and civil construction at the Roy Hill mining operations with HanRoy in Western Australia. The contract commences in November 2024 and is expected to be completed mid-2025; and
  • Infrastructure contract for the construction of a tailings dam at the Pilgangoora mining operation with Pilbara Minerals in Western Australia. The contract commences in November 2024 and is expected to be completed mid-2025.

David Macgeorge, SRG Global Managing Director, commented: “We are pleased to continue to secure a diverse range of contract awards across Australia and New Zealand in a broad range of sectors with key repeat clients. These contract awards are a further demonstration of our transformation to a truly diversified infrastructure services company.”

BQE Water receives contract extension at Glencore’s Raglan nickel mine

Base metals, Environmental, Mine operation news, Mining services, Water management, , , , ,

BQE Water Inc has announced the renewal of the operations services agreement with Glencore Canada Corporation for water treatment at the Raglan nickel mine in Nunavik, Quebec.

BQE provides services in the Nunavik region in a joint venture with Nuvumiut Developments, an Inuit community-based organisation.

Under the terms of the multi-year agreement with an option to extend, the joint venture is responsible for clean water production for environmental discharge and meeting effluent quality that ensures the health of the pristine aquatic environment in the region.

BQE has operated at Raglan for 21 consecutive years, uninterrupted even by the pandemic. Several of the treatment systems operated by the joint venture were originally designed and supplied by BQE while others were supplied by third parties. The scope of services under the new agreement remains unchanged from previous years, the company says.

David Kratochvil, President & CEO of BQE Water, said: “We are extremely proud to have earned the trust and the opportunity to continue working with Glencore as a long-term partner. As one of the global leaders in mining, Glencore has very high standards in health and safety and environmental protection. I attribute the contract renewal to our ability to meet these standards while continuing to innovate and improve our service year after year.”

Johnny Alaku, President of Qaqqalik Landholding Corporation and a member of the board for Nuvumiut Developments, said: “As Landholding Corporations of Salluit and Kangisujuaq, our goal is to protect the environment and our wildlife for generations to come while supporting and generating opportunities for our communities. BQE’s track record at Raglan and their commitment to openness, fairness, and stewardship over water makes our partnership the right vehicle to achieve our goals.”

Sandvik and Glencore to explore second life for BEV batteries with energy storage system pilot

Environmental, Mining services, Power supply for mines, Sustainable mining, , , ,

In another move towards further electrifying mining operations, Sandvik has initiated a pilot project to deploy a second-life battery energy storage system (BESS) at to-be-determined Glencore assets.

The BESS is expected to support mine services such as lighting and light EV charging at the Glencore operations. Sandvik will study additional use cases during the pilot, including power shifting, peak shaving and arbitrage, it says.

Sandvik’s technology partner in the project is ECO STOR AS, a second-life energy storage system provider. ECO STOR will use its BESS expertise to develop the solution with modules recovered from Sandvik BEVs that have reached their optimal use in mobile mining applications.

“The modularity of our battery packs provides a strong foundation to build energy storage systems from second-life modules and create a valuable use for ‘used’ batteries,” said Ville Laine, Vice President, Batteries and Chargers at Sandvik Mining and Rock Solutions.

The BESS will be constructed as an industrial 20-foot (6.1-m) container holding 128 Sandvik battery modules. The nominal energy of the system is expected to be around 1 MWH. The container includes Sandvik systems for battery management and monitoring as well as systems for energy management and fire detection and prevention.

“Modules can be easily replaced when they reach the end of their second life,” Laine said. “Ensuring the batteries that power our mining equipment are used to their full potential before being recycled improves circularity and substantially reduces our carbon footprint.”

According to Alvaro Baeza, Glencore’s Decarbonization Manager for Copper Assets, openness and collaboration among industry partners is crucial to finding solutions for electrification implementation challenges.

“Circularity and recycling are at the core of our business model and we look forward to working with Sandvik on this project that is well aligned with both transition challenges and our business focus,” Baeza said.

Sandvik aims to deploy the prototype BESS container at a Glencore asset in 2025, with the ambition to launch a commercialised solution in 2026.

“Due to such early adoption of our battery systems in mines around the world, thousands of modules will reach the end of their first life over the next few years,” Laine said. “These modules still hold as much as 70% of their original energy storage capacity when they reach the end of their optimal use in a mining loader or truck. Utilising this remaining capacity in a stationary energy storage solution is a win-win, providing both environmental and economic benefits. We can as much as double the useful life of our batteries and optimize their full lifecycle.”

Once commercialised, Sandvik plans to assemble each BESS as close as possible to a customer’s mine, reducing shipping and further improving sustainability.

Raglan Mine extends operations for another two decades with Anuri

Base metals, Mine operation news, Mineral project development, , , , , , , ,

Raglan Mine, part of Glencore, has officially inaugurated the Anuri Mine, from its Sivumut mining project, which has been under development for over 10 years.

This event marks an important milestone in the pursuit of its mining operations in Nunavik and highlights its ongoing commitment to the local communities that welcome its operations, it said.

Anuri is one of the largest mining investments in Quebec, Canada, in the last decade. It is anticipated that it will lengthen Raglan Mine’s life of operations for at least 20 years.

Pierre Barette, Vice President of Raglan Mine, said: “We expect that our mining activities, initially forecast to last 25 years, will be significantly extended thanks to the Anuri mine. This is a huge success for our 1,400 employees, our Inuit partners and our business partners.”

More than 60 Raglan Mine employees helped find a name for the new mine. The final choice, Anuri, was selected by the members of the Raglan Committee and means ‘wind’ in Inuktitut. It reflects the change, vigour and evolution that this new phase represents for Raglan Mine and its Inuit partners, Raglan said.

Jean-François Verret, Director – Projects, Geology and Exploration, noted: “This project was a challenge on every level, particularly given the pandemic, the Arctic climate and numerous logistical challenges. Nevertheless, we completed the Sivumut project ahead of schedule, under budget and with everyone’s safety at the heart of every step. We achieved this through outstanding collaboration within our team and with our partners.”

The Sivumut project is the outcome of a collaborative and continuous improvement approach, enriched by the participatory process undertaken with Inuit communities as part of the Environmental and Social Impact Assessment, in compliance with Quebec’s Environment Quality Act and Section 23 of the James Bay and Northern Quebec Agreement.

As a result of these consultations, the Raglan Agreement with the Inuit of Salluit, Kangiqsujuaq and all of Nunavik was improved, particularly regarding land use, employment, training and the participation of Inuit businesses.

Signed in 1995 and enhanced in 2017, the Raglan Agreement continues to guide the day-to-day operations, ensuring that commitments made to the Inuit communities of Salluit and Kangiqsujuaq, as well as to Makivvik Corporation, are respected.

Raglan Mine, involved in nickel mining since 1997, considers the Anuri mine a key step towards the pursuit of its activities in partnership with Inuit communities. Glencore thus continues its efforts to minimise its environmental footprint and maximize local benefits.

Raglan Mine is part of Glencore, one of the world’s largest diversified natural resource companies. It operates on the northern edge of Quebec, in Nunavik. Its property extends to almost 70 km from east to west, and consists of a series of high-grade deposits, mainly nickel and copper.

Olitek ships first Remote Charge-up Unit to Newmont’s Cadia operation

Automation, Explosives and blasting, Mining equipment, Mining safety, Mining services, , , , , , , , , ,

Olitek Mining Robotics says it has reached an important milestone in its Remote Charge-up Unit (RCU) project with the dispatch of a RCU to Newmont’s Cadia operation in New South Wales, Australia.

The RCU uses robust mining robotics and a modified Volvo Construction Equipment wheeled excavator platform to enable full face charge-up from the safety of the cabin, Olitek explains.

Mechanised charge-up of tunnel development faces significantly reduces exposure of charge-up crews to tunnel face hazards such as seismicity, rockfalls, thermal stress and repetitive strain injuries. The development face explosives loading and priming crews are most ‘at risk’ to these geotechnical hazards due to the lengthy exposure duration at the tunnel face to perform their tasks.

The RCU project was part of a Canada Mining Innovation Council (CMIC)-backed consortium involving Vale, Newcrest (now Newmont), Agnico Eagle and Glencore, which sought to deliver a TRL7 (Technology Readiness Level) fully functioning prototype unit that will move personnel at least 4-5 m away from the underground development face and provide faster manual charge-up options to reduce exposure time for existing operations.

The system leverages Olitek’s patented HELX initiation system, allowing full charge-up and tie in to be completed using low-cost conventional detonators, the company says.

Olitek said the dispatch represents a major commercialisation milestone.

Elkview

Teck to exit steelmaking coal business with Glencore, Nippon Steel deals

Coal technology, Mining mergers and acquisitions, Steel and iron ore, , , , , , , , ,

Teck Resources has agreed to sell its entire interest in its steelmaking coal business, Elk Valley Resources (EVR), through a sale of a majority stake to Glencore for an implied enterprise value of $9.0 billion, and a sale of a minority stake to Nippon Steel Corporation (NSC).

The sale of Teck’s steelmaking coal business at the implied enterprise value of $9 billion on a 100% basis achieves a simple and complete separation of steelmaking coal from base metals.

Glencore has agreed to acquire 77% of EVR for $6.9 billion in cash, payable to Teck at closing of the Glencore transaction, subject to customary closing adjustments.

NSC has agreed to acquire a 20% interest in EVR in exchange for its current 2.5% interest in Elkview Operations plus $1.3 billion in cash payable to Teck at closing of the NSC transaction and $400 million paid out of cash flows from EVR. NSC will also enter into a long-term steelmaking coal offtake rights arrangement at market terms, continuing NSC’s long-standing commercial arrangement for the purchase of steelmaking coal from the Elk Valley.

POSCO has advised Teck it intends to exchange its current 2.5% interest in Elkview Operations and its 20% interest in the Greenhills joint venture, for a 3% interest in EVR. At closing of the Glencore transaction, Glencore will acquire from Teck any remaining receivable payable to Teck by EVR.

Teck will continue to operate the steelmaking coal business and will retain all cash flows from EVR until closing of the Glencore transaction, estimated to be $1 billion. Following the closing of that transaction, Teck will have no further financial interest in EVR.

Key historical information on EVR, as reported by Teck, is outlined below:

  • Production of steelmaking coal of 21.5 Mt in 2022 and 17.3 Mt year to date to September 30, 2023;
  • EBITDA of C$7.4 billion ($5.4 billion) in 2022 and C$3.7 billion year to date to September 30, 2023;
  • Profit before tax of C$6 billion in 2022 and C$3.1 billion year to date to September 30, 2023; and
  • Gross assets as at September 30, 2023 of C$18.5 billion.

Jonathan Price, President and CEO, Teck, said: “This transaction will be a catalyst to re-focus Teck as a Canadian-based critical minerals champion with an extensive portfolio of copper growth projects, unlocking the full value potential of the company. This sale will ensure Teck is well-capitalised and able to realise value from our base metals business and deliver strong returns to our shareholders while maintaining a robust balance sheet. Glencore has made strong commitments that will create new benefits for Canada and the Elk Valley and ensure responsible stewardship of the steelmaking coal operations for the long term.”

Gary Nagle, CEO of Glencore, said: “We are pleased to have reached agreement to acquire Teck’s steelmaking coal operations in the Elk Valley. These world-class assets and the experienced people that operate them are expected to meaningfully complement our existing thermal and steelmaking coal production located in Australia, Colombia and South Africa. Glencore has high regard for the business that has been developed over many decades in British Columbia and looks forward to maintaining and enhancing its operational performance, environmental stewardship and social contribution.

“We are dedicated to working with all governing bodies and stakeholders to ensure that the transaction is of benefit to Canada, which includes a commitment from Glencore regarding employment, engaging in further reclamation efforts and to engage constructively and meaningfully with the Indigenous Nations in the Elk Valley. This transaction also deepens our longstanding commitment to Canada, supporting our position as one of the largest diversified miners and suppliers of critical minerals in Canada, in one of the world’s leading mining jurisdictions.”

Closing of the Glencore transaction is subject to customary conditions, including receipt of approvals under the Investment Canada Act and competition approvals in several jurisdictions, and is expected to occur in the third quarter of 2024. The NSC transaction is also subject to customary conditions, including receipt of certain competition approvals, and is expected to close in the first quarter of 2024. These transactions are not inter-conditional.

Resourcing Tomorrow

Major miners join Resourcing Tomorrow lineup

Energy minerals, Environmental, Mining events, , , , , , , , , , , , , , , ,

Representatives from the world’s largest mining companies Anglo American, BHP, Glencore, Rio Tinto and Vale have confirmed their attendance for this year’s Resourcing Tomorrow event, in London, event organisers say.

These attendees will join other leading mining companies including AngloGold Ashanti, Antofagasta Minerals, Barrick, B2 Gold, Eldorado Gold, Endeavour Mining, Freeport-McMoRan, Newmont, Sibanye-Stillwater and Teck Resources.

As Europe’s largest mining event, Resourcing Tomorrow: Accelerating the Energy Transition takes place in London on November 28-30 and is poised to be yet another agenda-setting edition for the industry, fostering collaboration and knowledge exchange among professionals in the field, event organisers say.

Resourcing Tomorrow unites all stakeholders in the mining industry, including global mining and energy companies, investors, government delegations, researchers, educators, regulators, suppliers and operators. The conference program will provide 100-plus sessions in which all of the aforementioned miners will participate, giving attendees the opportunity to engage and network with leaders and industry specialists from around the world.

The event will draw participants from more than 100 countries, including Australia, USA, UK, Canada, India, Brazil, South Africa, Ghana, Chile, Nigeria, Peru and Germany, demonstrating its international appeal and the global significance of the mining industry, organisers say.

With the increasing pace of change and emerging technologies in the mining industry, Resourcing Tomorrow will focus on the future of our industry and presents a unique opportunity for international representatives of the world’s leading resource economies to meet, find new partners, discuss current challenges, and share the latest research, technology and best practice.

International Mining is a media sponsor of Resourcing Tomorrow.

DavidRea-Tucson-ElectricMine2023

Cat R1700 XE battery-electric LHD completes the test at Glencore Nickel Rim South

Automation, Base metals, Environmental, Mining equipment, Mining events, Power supply for mines, Sustainable mining, , , , , , , , , , , , , , , , ,

The first field follow trial of Caterpillar’s R1700 XE battery-electric loader has been deemed a success by one Glencore trial participant, with the machine anticipated to surpass the productivity performance of the equivalent diesel LHD running at Glencore’s Nickel Rim South mine, in Sudbury, Canada.

Speaking in a video, Paul Kant, Glencore’s Maintenance General Foreman at the mine, said the battery-electric loader was likely to outperform the diesel-powered Cat® R1700G it was being benchmarked against at the operation over the trial period.

The mine has been using the machine, a 15-t payload loader, as part of ongoing plans to incorporate new technology at its Sudbury Integrated Nickel Operations. This includes the development of an all-electric equipment fleet at the Onaping Depth project.

The Sudbury Integrated Nickel Operations have played a significant role in the development of the R1700 XE, hosting a proof-of-concept trial of a battery-electric R1300 LHD at one of the mines where the machine ran in trials alongside its diesel equivalent. Caterpillar used the insight gained from this testing to develop the commercial R1700 XE.

The R1700 XE is rated with a 24,190 kg lift and tilt breakout, and, according to Caterpillar, features a battery-electric design that delivers superior productivity in underground applications with the benefits of minimal heat and no engine exhaust emissions. It offers an 18 km/h top speed.

It is designed to work with the Cat MEC500 Mobile Equipment Charger, a 1,656 kg (2,037 kg with optional skid) portable charger that, Caterpillar says, eliminates the need for regular battery handling and swapping, allowing for more efficient charging and production. The MEC500 offers a 500 kW capability at a range of 300-1,000 V and up to 700 Amps. The adjustable output can be used to trickle charge or quickly charge the R1700 XE – with a single unit delivering a full charge to the R1700 XE in less than 30 minutes or two units in parallel achieving this in less than 20 minutes.

The R1700 XE in Sudbury, working alongside either one or two MEC500s, has clocked more than 11,000 machine hours. During initial test operations, the customer indicated a circa-320,000 kg reduction of CO2 emissions and displayed a more than 10% improvement in speed on grade.

According to Glencore, the R1700 XEs Caterpillar has put out in the field to date have also exhibited lower energy consumption compared with the diesel equivalent – more than 10%, in fact

Speaking at The Electric Mine 2023 conference in Tucson, Arizona, in May, David Rea, VP and General Manager, Caterpillar Inc (pictured at the top), said of the machine: “We’re delivering for our customers improvements in safety, cost, productivity and sustainability.”

Machine availability in these field-follow trials has been helped by an up to 150-minute run time between charges and an average 18.5-minute charge rate with the dual chargers.

According to Glencore, the machines Caterpillar has put out in the field to date have also exhibited lower energy consumption compared with the diesel equivalent – more than 10%, in fact. And, while trials to date have all been in manual mode, Rea said the R1700 XE units in the field could be equipped for teleremote operation and were also “factory ready” for Caterpillar’s fully autonomous loading system.

Operations are being facilitated thanks to some “800 channels of machine data” flowing off the machines to those supporting the loaders, Rea said. This has allowed personnel from Caterpillar and Cat dealers to diagnose problems in the field and optimise the machine’s charging and operating strategies.

While Caterpillar continues to clock up the operating machine hours for its R1700 XE, it is also in the process of developing its first battery-electric truck.

“We’re not just stopping at the loader; we also need a truck to go alongside that loader,” Rea said in Tucson, adding that this would be a three-pass match for the R1700 XE – therefore, a truck boasting at least a 45-t payload.

Rea confirmed the new truck would be charged by the MEC500, but the company was working on both a fast charge and battery swap option for the vehicle.

“Our alliance with Newmont is leading the development of this truck,” Rea said, referencing a strategic alliance Caterpillar and Newmont announced in 2021 to deliver “26 first-of-a-kind battery-electric autonomous vehicles in both an underground and open pit operation by 2027”.

This agreement involves the introduction of these vehicles to Cripple Creek and Victor (open pit) and Tanami (underground) in USA and Australia, respectively.

“The first deployment of this [battery-electric] truck will be at Newmont Tanami,” Rea confirmed at the event.

First of its kind Net Zero Standard devised for diversified mining sector

Environmental, Mining services, Sustainable mining, , , , , , , , ,

Climate Action 100+, which calls itself the world’s largest investor engagement initiative on climate change, has released a first of its kind “Net Zero Standard” for diversified mining companies such as Anglo American, BHP, Glencore, Rio Tinto, South32, Teck Resources and Vale.

The new standard aims to help investors assess the progress of diversified mining companies as they move towards net zero, providing them with robust tools to independently and consistently assess these companies’ transition plans, in order to understand their transition risk and support their engagement efforts.

Designed to complement the sector-neutral Climate Action 100+ Net Zero Company Benchmark, the standard will provide a transparent, systematic and evidence-backed engagement tool, giving Climate Action 100+ signatories and the wider investor landscape the metrics most specific to this important, but complex, sector, the organisation says.

“The Net Zero Standard for Diversified Mining reflects the outcome of extensive consultation with investors, mining companies themselves and other key stakeholders,” it said, adding that a final consultation on a draft of the standard was conducted in the June quarter before the final release.

As part of this development, the organisation has devised a set of metrics that diversified mining companies engaged with under Climate Action 100+ will be assessed against, and the scoring methodology that will be used. These metrics are additional to the Climate Action 100+ Net Zero Company Benchmark.

Additionally, a document called Investor Expectations for Diversified Mining has been published that, the organisation says, fleshes out the standard with background and rationale behind the metrics found in the standard itself.

The metrics laid out in both documents will now be piloted by assessing selected miners with the objective of testing their practicality. Feedback from these pilots will be used to further refine the metrics into a final list, with which it is expected public assessments will be made. These assessment results (as well as the narrative and context provided in the Investor Expectations) will bring impactful insights to engagement conversations, the organisation says.

The list of Climate Action 100+ companies that will be assessed with the standard include Anglo American, ANTAM, BHP, Glencore, Grupo México, Rio Tinto, South32, Teck Resources, Vale, Vedanta.

Rebecca Mikula-Wright, Chief Executive Officer, Investor Group on Climate Change, says: “The world’s leading miners are already shifting their businesses to help the world decarbonise, but some are just making claims that aren’t backed by reality. This new standard will help investors and governments separate the greenwashers from the companies that will have sustainable businesses in a net zero world.”

Laura Hillis, Church of England Pensions Board, added: “Investors often have exposure not only to the mining sector, but to many other sectors that are underpinned and enabled by mining. For example, the autos, property, steel and manufacturing sectors are highly dependent on the commodities produced by miners. By focusing on the strategic role of mining in the net zero transition, we can boost the resilience of our overall portfolio. This standard provides an ambitious but credible framework for investors and mining companies to ensure this critical sector supports a just and orderly transition to net-zero, and it raises the bar at a crucial time in this essential global economic transformation.”

COSOL strengthens Glencore ties with new asset management contract at Koniambo

Mine operation news, Mining services, Mining software, , , ,

COSOL Limited has announced a new strategic contract with Glencore’s 49%-owned Koniambo Nickel SAS (Koniambo) project in New Caledonia, worth an initial A$4 million ($2.7 million).

The initial 12-month contract will contribute positively to the company’s 2023 financial year earnings, the company said.

COSOL will provide Koniambo with asset management services on-site and at a new remote operations centre in Brisbane, and is a result of a COSOL’s strategic plan to offer this service to the wider market, it said.

This new contract builds on COSOL’s existing relationship with Glencore across the globe, delivering operational efficiencies and material cost savings.

Koniambo will also become the project for COSOL’s Asset Management as a Service (and will lead to future annuity revenue streams), which allows owners of asset intensive networks and operations to optimise their asset fleet, drive efficiencies, save money and remove waste, COSOL says.

As part of the contract, COSOL will establish an Asset Reliability Centre in Brisbane where a major focus will be on improving equipment reliability and master data across critical processes to enable effective asset management for the joint venture operation.

COSOL will use its proprietary software platform and asset optimisation solutions to further add value to Koniambo in delivering this critical capability.