Tag Archives: Iron ore

BHP and HBIS Group exploring alternate electrified pathways of steel production

BHP has signed an agreement with China’s HBIS Group Co Ltd (HBIS), one of the world’s largest steelmakers, to trial direct reduced iron (DRI) production and use of BHP iron ores in blends and progress a separate enhanced lump stage 2 trial aimed at lowering blast furnace (BF) carbon emissions.

To support the development of alternate electrified pathways of steel production for a wider range of iron ores, under this new agreement, the parties aim to trial commercial-scale DRI production using BHP iron ores in blends at HBIS’s newly commissioned DRI plant and then evaluate the performance of the DRI in downstream steelmaking steps. The DRI plant uses hydrogen-rich gas by-products in the steel works to convert ore into a metallic iron product that is further refined for steel.

Additionally, the enhanced lump stage 2 trial will focus on the existing BF steelmaking route, with the aim of reducing carbon emissions by increasing the use of direct charge lump and reducing the need for agglomerated feed which requires fossil fuel energy.

BHP’s latest collaboration agreement with HBIS will tap into the investment of up to $15 million over three years proposed by BHP and HBIS in an earlier Memorandum of Understanding (MoU) signed in 2021.

BHP’s Chief Executive Officer, Mike Henry, said: “HBIS Group is a key partner to BHP and an industry leader in assessing and demonstrating a range of potential pathways to reduce GHG in steelmaking. Our work with customers like HBIS Group, together with our own actions, aims to accelerate progress in reducing greenhouse gas emissions right along the value chain.”

BHP’s Chief Commercial Officer, Vandita Pant, said: “I am delighted to build on our existing partnership with HBIS Group, one of the world’s largest steelmakers and an important customer for BHP’s high quality Pilbara iron ores. DRI is an important element of our pathways to near-zero-emission steel production and in the decarbonisation journey of the steel industry.

“We are working with HBIS Group to demonstrate the use of BHP iron ores in DRI production trials. Together with other collaborations we have underway, including electric smelting furnace (ESF) development, the outcomes are expected to provide pathways to reduce carbon emissions from steel production using BHP’s products.”

This new agreement expands on the work streams laid out in the 2021 MoU between the parties and proceeding announced since; phase 1 research and development work announced in 2022 – in conjunction with HBIS and University of Science and Technology Beijing, a recently completed enhanced lump stage 1 trials at one of HBIS’s plants in Hebei province, and the most recent CCUS pilot trials announced in March this year.

HBIS Chairman, Yu Yong, said: “HBIS and BHP are aligned in their aims to help develop greener, low-carbon solutions that can reduce emissions in steelmaking, leveraging on our long-standing and trusted relationship that we have forged over several years. The agreement signed today is another landmark following our substantive cooperation in areas such as CCUS, and highlights HBIS’s efforts to build a low-carbon raw material supply chain.

“HBIS looks forward to strengthening our comprehensive strategic synergy with BHP in the sustainable development of steel in the years ahead.”

Bradken highlights Duaplate D80 wear performance in WA iron ore mine trial

Bradken’s Duaplate® DX has recently been trialled in the lower section of a surge bin, at an iron ore mine in Western Australia’s Pilbara region, showcasing the weld overlay material’s ability to perform under extremely abrasive operating conditions.

The trial was completed back-to-back with Duaplate D80, a chromium carbide weld overlay that can withstand very high impact and very severe abrasive environments in the fixed plant industry, Bradken says.

Duaplate DX is manufactured to Bradken’s proprietary composition to create an incredible fine microstructure that provides a substantial improvement in the operational life over a traditional chromium carbide based overlay, the company says.

In the study, the two – Duaplate DX and Duaplate D80 – were compared with each other in identical chute lining applications. The DX chute was lined with 8 mm overlay, while the D80 chute was lined with 9 mm of overlay. The chutes were in service for six months and processed comparable material and tonnages, according to Bradken. At the end of the six-month trial period, the bins were removed from service and thickness testing was conducted to compare wear and impact performance between the two overlay materials.

Thickness testing data showed that similar locations were prone to high wear on both bins, however the DX material showed significantly less wear compared with the D80 material. In particular two areas were worn past the D80 overlay and through the mild steel fabrication. In the corresponding locations on the DX chute, there was still a minimum of 4 mm of overlay, or 50% of the wear life remaining.

The trial, therefore, showed that:

  • Bradken’s new Duaplate DX has up to 2.5 times longer wear life than Duaplate D80;
  • 8 mm of Duaplate DX is equivalent to at least 17 mm of Duaplate D80 in sliding abrasion conditions; and
  • A 50% reduction in liner mass; giving a significant reduction in manual handling risks, therefore improving safety concerns.
Fortescue-ChristmasCreek

Fortescue Board approves ‘green pit to product’ hydrogen-based iron ore project

Fortescue Metals Group has approved an investment of up $50 million to construct a Green Iron Trial Commercial Plant at Christmas Creek, with annual production of more than 1,500 t.

The plant, in Western Australia, will use the existing green hydrogen infrastructure at Christmas Creek to lower the overall capital requirement and demonstrate a green pit to product supply chain, the company said. Construction will commence following a work program and is subject to receiving the relevant approvals. First production of green iron is targeted in 2025.

The pilot’s technology options will support both magnetite and hematite ores, with Fortescue recognising the importance of taking steps to support the reduction of its Scope 3 emissions.

Fortescue said: “The project represents a significant milestone in Fortescue’s green iron journey, where the company has been examining various hydrogen-based pathways to produce green iron, while also developing a low-temperature, electrochemical process at its Perth R&D facility.”

The term “green iron”, in this instance, refers to the end product resulting from processing iron ore into iron, without the use of fossil fuels, and instead using renewable energy.

Alongside this investment, the company also confirmed two other green energy projects – namely an 80 MW electrolyser and liquefaction facility in Arizona able to produce up to 11,000 t/y of liquid green hydrogen (the Phoenix Hydrogen Hub) and a 50MW green hydrogen project using Fortescue’s own electrolyser technology (the Gladstone PEM50 project).

Thiess turning autonomous mining opportunities into reality

Thiess may have deliberately started small with autonomy, however, 10 years into its journey, the company is now being recognised as a mine automation leader in the ever-competitive mining services space.

Whether it is drilling, dozing or haulage, Thiess has plenty of autonomy expertise to offer.

The company started off in 2013 with maintenance and service work on the autonomous haulage fleet a major producer had assembled at its iron ore operation in the Pilbara. This has since broadened out to semi-autonomous tractor system (SATS) operations at major coal mines in Australia, autonomous drilling advances using Epiroc and Caterpillar platforms and, most recently, autonomous haulage and drilling operations at Pembroke Resources’ Olive Downs Complex greenfield operation in Queensland.

Trent Smith, Head of Autonomy and Operations Technology at Thiess, says the company seeks to involve itself early on with autonomy projects to ensure benefits can be realised.

He explains: “We like to help identify the opportunity for automation, which initially involves answering two big questions: is the application suitable? And does it deliver a financial benefit to the project? If there are positive answers to both questions, we try to work with those potential clients on how to bring the vision to life.”

Thiess’ involvement in this process is extensive, looking at network options, OEM selection, the “people element” and more, according to Smith.

“Our strategy was a bit different to others, where, aside from the work at our first autonomy project in the Pilbara, we started with small pilot projects on drills and dozers,” he told IM on the side lines of IMARC 2023 in Sydney earlier this month. “This enabled us to establish some solid foundations, understand the significance of the required changes, understand what the key enablers like networks were and put support models behind those aspects.”

To date, the mining services provider has worked closely with OEMs Epiroc and Caterpillar on modifying their autonomy platforms to fit its clients’ operations to improve safety and efficiency.

“With Caterpillar, we were able to take an emerging technology platform like Cat® MineStar™ Command for drilling and ensure it was fit for purpose for the coal environment we were planning to deploy it in.

“With Epiroc’s solution, we took a mature and proven product from the iron ore environment – equipped mainly for single pass, vertical drilling in competent ground with big and open drill pads – and tailored it for a coal application. This application required the introduction of autonomous rod changing and angle drilling for drilling in varied ground within tighter working areas.

“We worked hand-in-hand with Epiroc to understand the complexities of translating the solution for this environment, utilising all of the on-board data in the early trial stages and filtering that down to identify areas of waste and opportunity that could be used by the OEM and ourselves to realise an improvement in performance within that new environment.”

This evidently worked, with the companies, earlier this year, achieving the significant milestone of drilling more than one million lineal metres at the Lake Vermont coal mine in Queensland.

Pembroke Resources’ Olive Downs Complex has become the world’s first mining operation to deploy Command for hauling and Command for drilling solutions simultaneously

Thiess is also expecting to later this year reach the same autonomous drilling milestone with Cat’s Command for drilling platform; this time at a major coal mine in New South Wales.

The company has also helped achieve an industry first at Pembroke Resources’ Olive Downs Complex, with it becoming the world’s first mining operation to deploy Command for hauling and Command for drilling solutions simultaneously.

This assignment, which moved from concept to implementation of autonomous trucks and drills within a matter of 18 months, will ultimately include the deployment of 21 haul trucks (15 Cat 794 ACs and six Cat 793Fs) and three drills (Cat MD6310s) fitted with autonomous technology. Additionally, Thiess has established a private LTE network on Pembroke’s on-site communication infrastructure, enabling the safe operation of more than 85 connected assets within the autonomous operating zone. It has also upskilled more than 280 team members to, Thiess says, support the delivery of autonomous operations at Olive Downs to enable improvements in safety, operating hours, cycle efficiency and cost.

There is potential to add Command for dozing at Pembroke Resources’ Olive Downs Complex in future years, according to Smith.

“We have built the network and control room with the anticipation that this will be used,” he said. “We are already the first company in the world to have all three Caterpillar autonomy products running at operations, but Pembroke Resources’ Olive Downs Complex would be the first operation in the world to have all three Cat autonomy products operating at one mine.”

Thiess now has six autonomy projects out in the market, all of which are performing well against industry automation benchmarks, according to Smith, who says this capability is being recognised within the mining company community and OEM space.

The company has already announced its first automation project outside of Australia – at a coal mine in East Kalimantan, Indonesia, where it will deploy autonomous drilling operations – and Smith says the company is exploring further autonomous drilling opportunities in Latin America.

As well as continuing to engage with the wider OEM market on automation options, Thiess is working on different automation applications for existing products.

“With the SATS Command for dozing product, for instance, we are looking to take the platform and work with Caterpillar to move it towards a rehabilitation application,” Smith said, referencing the Thiess Rehabilitation business the company launched last year. “The requirements in mine rehabilitation are somewhat different to standard dozer push and stockpile applications, with multi-push vectors and the ability to potentially control several small-scale projects from one centralised hub.

“This is an example of where we work with an OEM, bring our knowledge of working with the product, identify a new application for the product, and then lay out what new set of capabilities need to be addressed to meet the requirements and fulfil that market opportunity.”

The company has a track record of proposing and advancing such autonomous dozing opportunities in certain niche applications, Smith said, adding that it recently achieved the 10 million cubic metres push mark with SATS.

The first rehabilitation application for SATS could end up being at a project in central Queensland – a project the Thiess Rehabilitation team started work on last year.

Thiess recently achieved the 10 million cubic metres push mark with SATS

Against this advancing autonomy backdrop, Smith says the company continues to be asked about combining the “decarbonisation” and autonomy pieces of the mine operating puzzle, with a staged approach typically being recommended.

“At the moment, these two (autonomy and decarbonisation) are a little bit separate, but they will converge at some point,” he said. “I imagine artificial intelligence and predictive capabilities will play a role in that – evaluating when the truck might run out of charge, when is best to pull that truck out of service for a 30-minute fast charge, etc.

“What I would say is if you have taken a step in either direction (autonomy or decarbonisation) already, you are well placed for this convergence.”

Smith offered up one last piece of advice to any company looking to take its next automation step: “Don’t forget the people and process part.”

He explained: “Most organisations know how to deliver a technology project, but I think the real value in automation is bringing the people and process along with that. Automation is a business transformation.

“We worked with Pembroke Resources’ at their Olive Downs Complex to ensure the appropriate change management process to enable automation was implemented across all business functions. Each function was reviewed to understand what needed to change to bring in automation and create a cohesive environment.

“It’s already starting to pay off at that project, where we exceeded our target of 6,500 annualised hours within two months of commencing autonomous haulage operations.”

LKAB-DurocRail

LKAB invests in Ore Railway supply chain in northern Sweden

LKAB is looking to shore up its iron ore rail operations in northern Sweden by acquiring a stake and investing in new facilities for Duroc Rail AB.

The iron ore company has acquired a 49% interest in Duroc Rail from the Nasdaq-listed Duroc AB group, which retains majority ownership of 51%. The preliminary purchase price is approximately SEK75 million ($6.9 million), with LKAB also agreeing to invest up to SEK200 million to build a new industrial property for Duroc Rail at Hertsöfältet in Luleå.

Duroc Rail is a certified operator with unique expertise in wheel maintenance for locomotives and wagons with experience of the climate in northern Sweden, LKAB says.

The Ore Railway runs between the port of Luleå and the port of Narvik, passing by the iron ore fields in northern Sweden. Almost half of all goods transported by rail in Sweden and Norway is currently being transported on the Ore Railway, with LKAB’s volumes accounting for the largest share.

For LKAB, the Ore Railway is an integrated part of the production system that starts in the mine and ends at the steel and mineral customers via the railway and ports. High capacity and availability of the Ore Railway and rolling stock in the form of locomotives and wagons is therefore business critical.

LKAB said: “The investment is a further step for LKAB to strengthen its capacity and flexibility to meet the growing challenges of the Ore Railway. In the past year alone, LKAB has invested in a new locomotive workshop in Kiruna, ordered 100 new wagons and started major work to modernise and upgrade the IORE locomotives used to transport iron ore, totalling an estimated value of SEK600 million.”

Linda Bjurholt, Logistics Manager at LKAB and CEO, LKAB Malmtrafik, said: “Duroc Rail has unique expertise in wheel maintenance for locomotives and wagons. LKAB is entering into this partnership to ensure that Duroc Rail remains and develops its operations in Luleå. They are part of a larger system and a prerequisite for efficient and predictable rail transport. Rail transport is completely dependent on effective maintenance of the railway wheels. This is important for LKAB and other railway operators today, and in the future.”

The wheel maintenance business was established in Luleå more than 100 years ago. Duroc Rail currently rents premises from SSAB on Svartön, in Luleå, but due to SSAB’s planned transformation from blast furnace to electric arc furnace operations, which requires access to more land, the lease will not be renewed. New buildings, equipment, certifications and other measures mean that the move will be a major investment.

John Häger, CEO Duroc AB, said: “Duroc Rail needs new industrial properties, and with LKAB as shareholder we can ensure development and capacity for the future, where we see that the green transformation that is taking place will require more efficient maintenance of wagon and locomotive wheels. We will therefore continue to invest and develop our offering for all customers in the region. We are pleased that our more than 100-year-old company with 50 employees in Luleå will continue to develop.”

Within Business Area Special Products, LKAB is developing new businesses in addition to the iron ore production, such as industrial minerals for external customers, as well as key services such as concrete, drilling, explosives, rock work, mechanical-engineering services and maintenance for LKAB’s own operations.

Leif Boström, Senior Vice President Business Area Special Products, LKAB, said: “LKAB’s long-term strategy is to secure key services and products for efficient, safe, and sustainable operations. We work with partnerships and subcontractors, but also by developing or acquiring companies that have specific expertise, for example in managing supply risks. Duroc Rail is an important investment for us, it is a well-managed company with good development potential in several areas and will be an important part of LKAB.”

The transaction is formally subject to the completion of the property transfer for the new industrial property, which is expected to take place before the end of the year.

Samarco sets monthly iron ore pellet production record with Metso unit

Samarco Mineração S.A. has set a monthly production record during August 2023 of 824,829 t of high-grade pellets in a single pelletising line with its 816 sq.m Metso Pelletizing Plant Indurating Machine #4 at its Ubu site in Brazil.

On an annalised basis, the production is equivalent to approximately 8.8- 9 Mt/y of pellets from a single machine. Samarco has installed three additional Metso Pelletizing Plants at its Ubu site.

Pedro Sousa, Sales Manager, Ferrous & Heat Transfer, South America, said: “We’re very excited to see Samarco breaking their monthly iron ore pellet production record and would like to congratulate the whole team for this great achievement. It makes us proud to see how our solutions are helping our customers improve their pelletising operations while simultaneously supporting the journey toward decarbonisation.”

Currently, only the Plant #4 is in operation, with Samarco and Metso discussing the revamp of the three other plants to continue increasing pellet production and decarbonising the steel industry processes using sustainable technologies, according to Samarco’s gradual production revamp plan. Related test work and studies are currently being performed at Metso’s R&D facility in Frankfurt, Germany.

Metso’s traveling grate pelletising process produces uniform pellets, ensuring high performance and quality with low investment and operating costs, as well as decreased energy consumption and emissions, according to the OEM.

Samarco is a joint venture owned by Vale and BHP. Samarco’s principal place of business is in Belo Horizonte, with units operating in Minas Gerais and Espírito Santo. The company’s main product is iron ore pellets, the raw material for steel production.

BHP to install Metso cone crushers at Whaleback iron ore mine

BHP has awarded Metso an order for three high-capacity Nordberg® MP Series™ cone crushers to be installed at its Whaleback iron ore mine in Western Australia, according to the OEM.

Vinicius Vilela, Vice President, Mining Crushers at Metso, said the MP800™ cone crushers will replace the long-serving MP cone crushers.

“The robust and high-capacity MP Series crushers are a step change in the crushing process, enabling maximum operator safety and easy maintenance, as the key components can be accessed from the top of the crushers,” he explained. “They provide a more sustainable solution, delivering high crushing force with relatively low energy consumption.”

Metso’s cone crusher offering includes four product families for different applications and operations. The Nordberg MP Series cone crushers feature high capacity and high crushing force for size reduction with good energy efficiency.

Just last month, Rio Tinto awarded Metso an order for 10 HP500™ cone crushers to be installed at the company’s Tom Price iron ore mine in Western Australia, replacing  the long-serving Symons cone crushers at the operation.

MinRes awards A$24 million exploration earthworks contract to Indigenous-owned business

Mineral Resources (MinRes) has awarded a A$24 million ($15.5 million) contract to local Indigenous-owned business Djeleanna Pty Ltd as part of the flagship Onslow Iron project, in Western Australia.

The four-year contract is for exploration earthworks at the Ken’s Bore mine site, east of Onslow, including constructing access tracks, building drill pads, road maintenance and general earthworks.

At the contract signing ceremony, Djeleanna owner Bevan Wally (pictured on the right) presented traditional timber gifts to MinRes Managing Director, Chris Ellison (on the left), including boomerangs, a shield and a long stick.

“We are proud to partner with businesses such as Djeleanna that have such a strong connection to Country and this contract is an example of our commitment to empowering Indigenous entrepreneurs,” Ellison said.

“Providing practical guidance and support, such as guaranteeing finance for equipment and plant, helps to build local capability and ensure Indigenous-owned businesses share in our success.”

MinRes General Manager Communities and Heritage, Heath Nelson, added: “Supporting Indigenous-owned businesses has a generational impact by building expertise and skills that can be transferred across other industries for decades to come.”

It is the first contract award for Djeleanna, a Robe River Kuruma business, as well as the largest contract that MinRes has ever awarded to an Indigenous-owned business.

The Robe River Kuruma people are the traditional owners of the land on which the Ken’s Bore mine site is located.

As part of the contract, Djeleanna will employ approximately 10 people, including a project manager, mechanics, operators and administration staff.

Wally, who grew up on Country, said the business was named after a permanent pool on the Robe River in the Pilbara.

“I grew up on stations and have spent time working as a stockman and bull rider and have a deep understanding of this beautiful, ancient country,” he said.

“The support provided by MinRes has given us the confidence and capacity to help establish and grow our business. MinRes have shown us action and given us commitments – it’s unreal for them to invest and give us a go.”

MinRes’ A$3 billion Onslow Iron project is, MinRes says, set to redefine mining in Western Australia, shipping around 35 Mt/y of iron ore from mid-2024. It is owned through the unincorporated Red Hill Iron Joint Venture, which is 40% held by MinRes, who will manage the project, with the other partners being Baowu, AMCI and POSCO.

Vale and Port of Açu sign HBI Mega Hub MoU

Vale says it has signed a MoU with the Port of Açu to study the development of a Mega Hub at the port located in São João da Barra in the state of Rio de Janeiro, Brazil, to produce HBI (hot briquetted iron) using the direct reduction route.

The Mega Hub will initially receive pellets from Vale and could, in the future, include an iron ore briquette plant at site to supply the direct reduction route at the industrial complex.

According to the agreement, both companies will seek to attract investors and clients to build and operate the direct reduction plant using natural gas which will be available at the port, with the possibility of eventually converting to green hydrogen, producing HBI with near-zero carbon emissions.

It is a pioneering initiative that considers a technical study coordinated by the Port of Açu and sectorial academics which proposes the use of HBI as partial burden in blast furnaces, reducing greenhouse gas emissions and increasing steelmaking productivity without needing to substitute existing assets, such as the blast-furnaces and steelworks. Currently, HBI is mostly used in electric arc furnaces. Using HBI in this type of furnace will enable a smoother decarbonisation process for the Brazilian steelmaking industry.

The agreement with the Port of Açu marks another step in the development of Mega Hubs in Brazil. Mega Hubs are industrial complexes designed to produce low-carbon steel products and Vale has already begun implanting such hubs in three countries in the Middle East (Saudi Arabia, UAE and Oman).

Marcello Spinelli, Executive VP of Iron Ore Solutions, said: “We believe that Brazil has great potential to be a hub for low-carbon steelmaking. We have high-quality iron ore, abundant natural gas reserves and the potential to develop green hydrogen. As a Brazilian company, Vale seeks to partner with ventures that contribute in this direction. We want to be the driving force behind Brazil’s ‘neo-industrialisation’, which will be based on green industry.”

José Firmo, CEO of the Port of Açu, said: “The signing of this partnership demonstrates the full industrialisation potential of the Port of Açu, confirming its vocation as the port of energy transition in Brazil. We believe that the Port of Açu, with its unique port infrastructure in the country, strategic location and potential for the most competitive Brazilian natural gas prices, brings together unique characteristics to, together with Vale, contribute to the decarbonisation of the domestic and international steel industry.”

Albano Vieira, Consultant for steel and mining issues at Prumo, the holding company that develops the Port of Açu, said: “Brazil is one of the most important iron ore and steel producers in the world and Vale is a leading player in this market. The use of HBI in blast furnaces can reduce greenhouse gas emissions by around 25%, with even greater potential reductions along the chain, which would put the industry in line with the goals of reducing emissions by 2030. With the Port of Açu as the gateway to zero-carbon industrialisation projects, all the conditions and analyses point to the country becoming a major producer of HBI, supplying steel mills all over the world.”

Metso to deliver two Vertimill 4500 grinding mills to Canadian iron ore producer

A Canadian iron ore producer has awarded Metso an order for two powerful Vertimill® 4500 grinding mills to be delivered in the September quarter of 2024. The value of the order, which exceeds €10 million ($10.6 million), has been booked in Minerals segment’s 2023 September-quarter orders received.

Graham Davey, Director, Stirred Mills at Metso, said: “We are very pleased to collaborate on projects that support decarbonisation of the steel industry through production of high-grade and high-purity iron ore with sustainable processes. The Vertimill stirred grinding mill technology is globally recognised as a leading solution for energy-efficient grinding. Compared to traditional technology, operators can typically save up to 30-35% of the electrical energy and grinding media consumption. A small footprint and easy installation are also big advantages.”

Vertimill technology is an example of Metso’s Planet Positive offering. It is capable of handling feed sizes of up to 6 mm and grinding to product sizes of 30 microns or less. Vertimills are available in standard mill sizes ranging from 11 kW to 3,352 kW.

Since the introduction of the technology in the 1990s, Metso says it has sold over 540 Vertimill units to nearly all types of minerals.

Metso says it is the only manufacturer worldwide that can offer several stirred mill technologies (Vertimill, HIGmill™ and SMD), enabling it to support customers with the most suitable and efficient mill for their application.