Tag Archives: Indonesia

BME looks to regain growth in Australia/Asia as COVID-19 lockdowns ease

Explosives and blasting, Mining consumables, Mining services, , , , , , , ,

Having sustained its supply chain through initial COVID-19 lockdowns, BME, a member of the Omnia Holdings Group, says it is looking ahead to continued growth in Australia and Asia.

Brad Bulow, BME’s General Manager Australia-Asia, says its Australia and Indonesia blasting and explosives clients continued to efficiently operate through the initial lockdown period, being successfully supported by BME’s Brisbane and Jakarta offices, which applied a work-from-home policy.

Bulow noted that the company has been able to maintain the supply of AXXIS™ detonators to its customers over the lockdown period by using a combination of “agile manufacturing planning, air and sea freight solutions” along with leveraging inventories in “strategic locations”.

BME recently commissioned a new emulsion plant in Indonesia in support of existing down-the-hole blast loading operations, which helped the situation.

“We are forecasting strong growth for our AXXIS offering in Australia and Asia and have recently introduced two new customers to the product,” Bulow said. “Currently, our mining customers are producing good volumes, and their demand for our products remains high.”

Such strong growth projections will no doubt factor in the release of the latest generation of BME’s AXXIS system – AXXIS TITANIUM™. Expected to launch later this year, it will be the most advanced electronic blast initiation system on the market, according to Tinus Brits, BME’s Global Product Manager for AXXIS.

Back in May, the company said trials of the system in South Africa had proven successful with a 100% success rate to date.

CIMIC eyes more coal work as Q1 financials hold up

Coal technology, Mine operation news, Mineral processing, Mining equipment, Mining finance, Mining services, , , , , , , , , , ,

Australia-based engineering-led group, CIMIC, posted “robust” operating profit margins in its March quarter results, remarking that the mining market is proving resilient throughout the turbulence caused by the fallout of the COVID-19 pandemic.

Revenue came in at A$3.3 billion ($2.1 billion) for the three-month period, slightly down on last year’s A$3.4 billion, while net profit after tax was A$166 million, compared with A$181.1 million in the March quarter of 2019.

Its operating profit margin was 8.4% for the period.

Throughout the quarter, the company said it had witnessed stable investment in capital expenditure to sustain mining operations. Its UGL subsidiary secured contracts to provide maintenance, shutdown and project services for clients in the mining sector, and its Thiess and Sedgman subsidiaries secured framework agreements with Rio Tinto Iron Ore, in Western Australia, and variations to operations contracts in New South Wales, respectively.

The future prospects for the company look good with, as at March 31, around A$90 billion of tenders relevant to CIMIC expected to be bid and/or awarded for the remainder of 2020, and around A$400 billion of projects coming to the market in 2021 and beyond, it said.

Some major projects the company is currently bidding on include the Lake Vermont mining extension contract in Queensland, Australia. CIMIC’s Thiess is currently working on this Jellinbah Group-owned coal asset through a schedule of rates contract that sees it carry out coal mining, clearing and grubbing, topsoil removal, drill and blast, overburden removal and rehabilitation of final landforms. It also provides all mobile plant and equipment and operates and maintains the client’s coal handling and preparation plant at the site, according to Thiess.

Another contract the company is eying up for more work is the Kaltim Prima Coal (KPC) mining extension in Indonesia. Again, Thiess has a schedule of rates contract in place at the 11 Mt/y Sangatta coal operation and the company hopes it can continue its relationship with the mine with a 2022 contract extension.

GreenGold’s ReCYN processing pipeline continues to grow

Base metals, Environmental, Mineral processing, Mining equipment, Mining services, Precious metals, Water management, , , , , , , , ,

GreenGold Technology has been making huge waves of late, with its biggest ReCYN resin-based technology build to date nearing completion and several new projects on the horizon.

ReCYN reduces cyanide consumption by up to 50% by capturing free cyanide from plant tailings and recycling it back into the leach circuit while recovering metal complexes and making them available for sale, according to the company. In the process, it detoxifies the tailings stream and guarantees 100%-compliant clean water discharge.

Such technology is in serious demand considering the industry’s operational cost focus, increased stakeholder pressure around the use of cyanide, the need to recycle and replace as much water as possible, and a necessity to improve project economics through the recovery of all payable metals.

On top of this, new and existing gold projects are becoming difficult to process through conventional means with problems around by-products such as copper often proving to be the difference between a sub-economic and economic mine development proposition.

The ReCYN process is based on the use of a functionalised resin bead, pre-treated to allow the dual duty of recovering free and complexed cyanide ions from solution with a high degree of efficiency. GreenGold works with local construction companies to customise treatment plants for each operation to match the various solution chemistries and throughputs, it says.

“The two areas of cyanide recovery and metal detoxification are balanced to achieve the desired compliance levels,” GreenGold says. “Equally applicable to slurries and solutions, the process is technically and economically superior to all others currently available for the detoxification of gold plant tailings.”

The company currently has four ReCYN options for clients, according to Commercial Director, Peter Mellor.

ReCYN I is for active (free) cyanide reduction, while ReCYN II has been devised to include detox applications to recover cyanide complexes such as copper. ReCYN III adds gold recovery as a “secondary function” to the mix.

The fourth option (ReCYN IV) includes gold recovery as a primary option, Mellor told IM, explaining that the development of a plant offering in this configuration could remove the need for a carbon in leach treatment plant in some applications.

It is a ReCYN II installation the company is currently putting the finishing touches to at PT Agincourt Resources’ Martabe gold-silver operation in Sumatra, Indonesia (graphic above).

This project, which will detoxify tailings and recover cyanide and copper, was previously estimated by Whittle Consulting to provide a $126.9 million upside to the project.

Speaking to IM from Australia, Mellor said the company was just over a month away from completing the plant at Martabe before COVID-19 restrictions hit progress. He was confident the company would be back completing plant commissioning before the end of the year.

By far the biggest ReCYN installation of the technology, the ReCYN II plant at Martabe will fit into the 5.5 Mt/y circuit and treat around 1.2 t/d of copper, Mellor said. It will also have benefits in terms of reduced cyanide consumption and improved water quality at the operation.

While work in Indonesia is currently not taking place, the company is making significant progress elsewhere.

Mellor said GreenGold had started detailed engineering for a plant in the Ivory Coast, while it had also completed an economic study on a legacy gold operation in Australia that showed compelling economics and the potential for a ReCYN IV installation for processing gold-bearing tailings.

The company also has some 40 projects it is working on in the laboratory – from Australia to the US – with client awards expected in the next few months.

RCT takes Control of chutes at Indonesia mine

Automation, Communications in mining, Mining equipment, Mining safety, Mining services, , , , , ,

RCT says it has finalised the last stage of a project to automate 24 underground mine chutes for a client in West Papua, Indonesia.

Recently, RCT implemented ControlMaster® Teleremote technology onto 14 chutes to be managed by operators from four ControlMaster Automation Centres in a surface control room.

The latest work follows on from stage one works completed earlier this year where Teleremote technology was commissioned on 10 chutes connected to three Automation Centres.

All seven Automation Centres are equipped with Multiple Machine Selection enabling an operator to control any single chute system from their respective station, according to the automation specialist.

“The operators will now be able to observe chute operations through strategically placed cameras and remotely open and close the throat of each chute to pass ore and other material between different production levels for trucking to the surface,” the company said.

The individual camera feeds can be manipulated and adjusted via intuitive mouse control options at each Automation Centre. Previously operators were situated at the throat of each chute and manually operated each chute via their own line of sight.

RCT Account Manager, Shane Smith, said: “Previously chute operators contended with heat, dust, exhaust fumes and potential wet muck situations, which represent a substantial safety risk.

“Now they can more effectively manage the chutes from the safety and comfort of a surface control room which is far more preferable for everyone involved.”

The convenient location of the control room will also significantly reduce shift changeover time, as personnel can easily access the central control room rather than travel to each individual chute chamber, according to Smith.

RCT will provide on site training for site operators, while locally based technicians will deliver ongoing technical servicing and support to the site, the company said.

Cokal and China Rail set out five-year plan at BBM coal project

Bulk handling, Coal technology, Mineral project development, Mining project news, Mining services, Steel and iron ore, , , , , , , ,

Cokal says it has signed a memorandum of understanding (MOU) with China Railway 21st Bureau Group International Engineering Co (China Rail), to construct the infrastructure planned for mining at Cokal’s BBM metallurgical coal project in Central Kalimantan, Indonesia.

China Rail, a subsidiary of China Rail Construction Corporation (CRCC), has sent a team to the BBM site to carry out a site survey to finalise estimations for the costing of infrastructure construction to enable the parties to conclude a formal contract.

The MOU envisages China Rail carrying out road construction, jetty construction, and overburden stripping and coal mining at the BBM project, the ASX-listed company said.

The Bumi Barito Mineral project (BBM) is a PMA company with an ownership structure of 60% Cokal and 40% Indonesian owners. BBM has defined a total resource of 264 Mt comprised of 10.5 Mt measured, 13.5 Mt indicated and 240 Mt inferred Resources in accordance with the JORC Code 2012.

Road construction at BBM as envisaged in the MOU will be in two areas: 12 km of haul roads from the mine pits to the Krajan jetty to transport coal from both pulverised coal injection and coking coal pits to the Krajan jetty; and upgrading of an existing 55 km logging road to connect to 45 km road already in use leading to a jetty located at Lahung Tuhup, 160 km downstream of the Krajan jetty, bypassing the shallowest parts of the river.

In terms of jetty construction, two barge-loading jetties will be built. The first will be constructed at Krajan adjacent to BBM, and the second at the end of the 100 km haul road at Lahung Tuhup.

The construction of each jetty will incorporate a design to accommodate shallow draft barges, allowance for water depths in excess of 10 m during the wet season, a 1000 t/h barge loading conveyor, and coal handling and storage facilities.

China Railway will also assist in funding the capital investment related to overburden removal, coal mining and associated mine infrastructure including the provision of pit haul roads, sedimentation ponds, camp site facilities, clinic, workshops, fuel storage and mess room, Cokal said.

The MOU specifies a contractual period of five years with an option to extend for an additional five years based on mutual agreement between the parties.

In the meantime, Cokal has signed a barging term sheet with HSM Marine, a Singapore-based barging company with operations in Indonesia, the rest of South East Asia and the Middle East, to barge the coal from BBM.

Cokal’s new strategy to use contractor funding to commence construction, mining and barging has necessitated modifications to its five-year plan, it said. Commencement of the BBM mine construction will begin with China Rail initially constructing a 5 km haul road from Pit 2 (PCI coal production) to the Krajan jetty. At the same time, China Rail will construct a temporary barge loader suitable for initial production.

FAMUR to deliver longwall system to Indonesia’s PT Gerbang Daya Mandiri

Coal technology, Mineral project development, Mining equipment, Mining services, , , , ,

FAMUR SA and PT Gerbang Daya Mandiri have, on November 8, signed a contract worth more than €10 million ($11 million) that will see the Poland-based manufacturer deliver a longwall system and complementary equipment to the Indonesian company’s new underground mine.

The contract builds on FAMUR Group’s 2019-2023 strategy to expand globally.

FAMUR is set to deliver a longwall shearer, powered roof support, scraper conveyor and electrical equipment, transport equipment and auxiliary equipment to Indonesia, with the order being implemented in stages and the final delivery date to be within ten-and-a-half months of the contract’s effective date.

Mirosław Bendzera, President of FAMUR SA, said: “Cooperation with PT Gerbang Daya Mandiri in Indonesia is another extremely important contract, fitting into the business objectives set out in the FAMUR strategy for 2019-2023.

“We welcome the fact that Polish technical knowledge may contribute to the increase in the efficiency of coal extraction in another country, while increasing the safety of mine employees. The choice of our offering is also the best evidence that the FAMUR Group effectively has used many years of experience on the global market and unique knowhow to build the ‘Made in Poland’ brand in the world.”

According to Mitsui Matsushima Holdings Co, which has a 30% stake in PT Gerbang Daya Mandiri, the longwall coal mine is expected to reach commercial production in 2021 before hitting capacity of 1 Mt/y of coal in 2023.

The FAMUR Group works with the customers in over 40 countries on five continents and the share of exports in its revenue is around 33%. Recently, the company has secured significant contracts in Kazakhstan and China, but it plans to expand sales to such markets as Australia, USA and Canada in the immediate future.

BELAZ to supply Indonesia coal mine with 130 t dump trucks

Coal technology, Mine operation news, Mining equipment, Mining services, , , , ,

BELAZ has agreed to supply eight 130 t dump trucks to mining contractor PT Darma Henwa Tbk for use at an Indonesia coal mine in East Kalimantan.

The contract for the supply of BELAZ-75131 mining dump trucks was signed in Jakarta and will see the machines transport overburden at the Bengalon coal mine.

“Taking into account climatic conditions, those mining dump trucks are equipped with the corresponding rubber suitable for tropical conditions as well as AC and modified cooling system,” BELAZ said.

BELAZ is represented in Southeast Asia by its authorised dealer, Belazia PTE LTD. The supply contract was signed following negotiations held by Belazia PTE LTD managers and representatives of PT Darma Henwa Tbk, the biggest contractor in the country, according to BELAZ.

Indonesian mining companies have been operating BELAZ equipment for many years, with mining dump trucks with a payload capacity of 45 t 110 t and 130 t.

“Indonesian operating companies highly appreciate the capabilities of BELAZ equipment, which is a decisive factor in opting for Belarusian mining dump trucks and special equipment,” the company said.

BUMA to tap into tech startup environment with Plug and Play platform

Coal technology, Equipment maintenance, IoT, Mining equipment, Mining maintenance, Mining safety, Mining services, , , , , , , ,

PT Bukit Makmur Mandiri Utama (BUMA), one of Indonesia’s top mining contractors, has partnered with Plug and Play’s global open innovation platform to engage with startups focusing on predictive maintenance, safety and health technology.

Ronald Sutardja, BUMA CEO, said the company was looking to engage with such companies to build “breaking ground technologies” in mining services.

“Technology has always been part of our DNA and we’re striving to be the most technologically advanced company in the business,” he said.

BUMA, currently the second largest independent coal mining contractor in Indonesia according to parent company PT Delta Dunia Makmur Tbk. It carries out a comprehensive scope of work from overburden removal, coal mining, coal hauling as well as reclamation and land rehabilitation.

Plug and Play said: “Having technology in place is not merely about improving worker productivity or acquiring more accurate data, but it is also about improving safety conditions for BUMA’s employees and improving employee’s health.”

Eko Prihadi, Director at BUMA, recently said at Plug and Play’s APAC Summit in Singapore in May 2019: “Safety is one of our biggest priorities in BUMA. As we currently employ more than 13,000 people, we are continuously on the lookout for the latest technologies to improve the well-being and working conditions of our employees.

“As a highly progressive company, innovation is the key to our operations. This partnership will give us access to the global startup ecosystem and allow us to work with the latest cutting-edge technologies to develop innovative business strategies in key focus areas.”

Plug and Play’s Supply Chain platform is, according to the company, the world’s leading innovation consortium with strategic locations in Silicon Valley, Hamburg, Shanghai, and Singapore. Focusing on key areas of relevance, Plug and Play will identify and connect its partners with the latest technologies that will accelerate their innovation efforts.

Wesley Harjono, Managing Partner of GK-Plug and Play Indonesia, said: “We are very excited to have BUMA join us as our newest supply chain partner. Since the inception of the platform out of Silicon Valley in 2016, the vertical has amassed more than 35 industry-leading corporate partners including DHL, ExxonMobil, and ArcelorMittal. Partnering with BUMA will help us drive technological advancements in key areas such as safety, wearables, and IoT in the mining industry.”

Black & Veach to manage refinery build for PT Borneo Alumina in Indonesia

Base metals, Industrial minerals, Mine operation news, Mining services, , , , , ,

PT Borneo Alumina Indonesia has appointed a Black & Veatch-led project management consortium (PMC) to develop an alumina refinery in West Kalimantan.

The facility, the first of its kind in Indonesia, according to Black & Veatch, will feature a 1 Mt/y smelter-grade alumina refinery, a 2 x 40,000 cu.m/h coal gasification plant and a 3 x 25 MW coal-fired power plant.

As the consortium leader, Black & Veatch will perform design review, equipment inspections, and provide power and coal gasification subject matter expertise. Consortium partner Progesys will be managing the alumina refinery process design scope, while another partner, Jaya CM, will be supporting the project with site construction engineers and inspectors.

Progesys is a minerals industry engineering company based in Canada, while Jaya CM is an Indonesia-based construction management company.

“As the project consultant, the consortium is responsible for evaluating engineering, procurement and construction bids and reviewing design engineering,” Black & Veatch said. The consortium will monitor major equipment supply and conduct factory acceptance tests. It will also oversee site construction and commissioning.

Jim Spenceley, Senior Vice President, Mining, Black & Veatch, said developing the downstream mineral processing industry will expand the Indonesia economy and create jobs. “Black & Veatch is ready to leverage our global expertise across business units to support as PMC overseeing our client’s Chinese engineering, procurement and construction contractor to ensure that the client realises the quality, safety and value they are seeking.”

Black & Veatch’s knowledge of international and country-specific engineering codes and standards, and contract structures systematically mitigates project cost and schedule risks, according to the company. “By serving as the interface between different engineering standards, Black & Veatch offers clients assurance that EPC contractors deliver on specific project commitments cost effectively.”

PT Anggun Makmur Energy and CIC enter ‘clean coal’ offtake agreement

Coal technology, Environmental, Mining services, , , , , , , , ,

PT Anggun Makmur Energy (PT AME) is to supply steam coal to power plants in Vietnam as part of an offtake agreement agreed with Commodities Intelligence Centre (CIC) on behalf of its trading platform registered users.

The total contract value is $8.5 million, with the first coal shipment produced by “clean coal technologies” commencing in October 2019.

This agreement will reduce cross-border transaction costs and achieve greater trading synergies in the region, strengthening Singapore’s role as an international trading hub, according to CIC. It also has the potential to influence expansion into other markets in Asia, such as China and the Philippines.

Coal dominates world power generation and is an important and crucial commodity for Asia Pacific, according to CIC. The International Energy Agency, in 2018, estimated Asia produced 70% of the world’s coal, with coal demand projected to grow 5% year-on-year to support the growth of Southeast Asia.

CIC said: “Despite its strong demand, low-cost coal runs counter to the global trend that is looking to cut carbon emissions. As coal continues to be the dominant fuel for power generation in Southeast Asia and Asia-Pacific, the development of clean coal technology and innovative solutions can reduce the environmental pollution that coal brings to the world.”

PT AME is an Indonesia-based coal miner that, through its mining practices, is enabling independent power plants (IPPs) to comply with global CO2 emission standards. Its mines generate less coal ash than others in the industry, according to CIC.

“Their (PT AME’s) technology is able to revive the region’s economically dead mines or old mines with good coal, producing lower volumes of waste material when extracting one-unit tonne of coal,” CIC said. “The overall cost of coal mining is also reduced by up to 80%, providing cost savings to the operation and maintenance of IPPs.”

Peter Yu, Chief Executive Officer of CIC, said: “This partnership with PT AME marks a significant milestone achieved by CIC that will facilitate intra-ASEAN trade and strengthens Singapore’s role as an international trading hub in the digital realm.”

Pak Djoko, President Director of PT AME (pictured left), quoting a 2017 report from Danish Energy Agency, said Vietnam’s import share of total primary energy supply is set to increase to 37.5% in 2025 and 58.5% in 2035 with high demand on imported fuel, especially coal.

He added: “We believe that PT AME will be able to use best practices garnered from our experience in the Asia-Pacific region in supplying the necessary energy source, to meet the demands of Vietnam. Moreover, CIC’s eTrade Platform extensive network and market knowledge will allow us to enter the Vietnam market with confidence and help bring our sustainable and environmental-friendly mining practices to the country.”

CIC is a Singapore-based platform backed by Enterprise Singapore, and is a joint venture between ZALL Smart Commerce Group, a business-to-business (B2B) platform in China; Singapore Exchange; and Global eTrade Services, a subsidiary of eGovernment products and services provider CrimsonLogic. CIC aims to create an interoperable global B2B physical commodities trading platform with global connectivity.