Tag Archives: MACA

MACA on the road again at Iron Bridge magnetite project

MACA says it has been awarded a bulk earthworks contract at the Iron Bridge magnetite project, a joint venture development in the Pilbara of Western Australia between Fortescue Metals and Formosa Steel IB.

The contract is for access roads and infrastructure at the $2.6 billion project, 145 km south of Port Hedland.

MACA said this work is expected to generate revenue of A$26 million ($17.6 million) for the company, with the scope including general earthworks for camp expansion, construction of 26 km of mine access road, construction of the explosive facility and access road, and a further 23 km of road upgrade works.

MACA, which has already started work on the contract, becomes the latest mining equipment, technology and services contract to find work at Iron Bridge, which is expected to deliver 22 Mt/y of high-grade 67% Fe concentrate production following start up in 2022.

Just last month, Weir Minerals was awarded its largest ever individual mining order from the project.

 

Queensland’s first Cat MD6250 drill delivered to Bluff coal mine

In what Hastings Deering says is a first for Queensland, a Caterpillar MD6250 rotary blasthole drill has been delivered to contractor Mining and Civil Australia (MACA).

The delivery to Bluff coal mine, east of Blackwater, is the first drill of its kind to enter the territory for works in the open-pit coking coal operation and was done with precise logistical planning, according to the Cat dealer.

Commencing its journey in Caterpillar’s Denison factory in Texas, US, the MD6250 was transported in components to Brisbane where it launched a 615-km journey by road to Rockhampton.

The transportation of the machine was done across three trucks, including two large prime movers to haul the chassis and mast, as well as a smaller truck to transport the smaller accessories and parts.

In Queensland, heavy vehicles and road trains are restricted to 80 km/h speed due to safety regulations, with the journey from Brisbane to Rockhampton taking two days to complete.

“The MD6250 doesn’t have the size of footprint of an off-highway haul truck, for example, but it is still big enough that we required a pilot vehicle and police escort to make the journey safely,” Adam Davis, Product Manager for Drills and Large Motor Graders at Hastings Deering, said.

Once the components were delivered, Hastings Deering’s team of engineers set aside a week to assemble the drill before delivery to the Bluff mine site to the west of the city.

Thanks to a 10-year contract with Carabella Resources (now owned by Wealth Mining), MACA manages both the drill-and-blast and load-and-haul operations at the Bluff mine, in what was a A$700 million ($487 million) deal for the company.

The advanced features on the crawler-mounted Cat MD6250 drill are set to maximise fuel efficiency and improve drilling for the contractor, Hastings Deering says. Its features include a Cat C27 engine, variable compressor output controls, drill depth indicators and virtual head stops for operators.

The drill is likely to offer far more than just the expected productivity benefits at Bluff, though.

Davis explained: “It’s an interesting site as there are restrictions around noise. MACA had experience with the MD6250’s predecessor model and believed they could get the same value and production out of the new model.

“The MD6250 has proportional hydraulics, which means the machine makes less noise during operation and the fan circuit only operates when it needs to. The machine only creates horsepower when needed, which cuts down on heat, noise and energy.”

Davis says the mine’s purchase of the MD6250 drill is in line with an industry trend towards using high-tech, mid-size drills suited to drilling holes smaller than the 270 mm sizes.

The MD6250 is equipped with a hole diameter range of between 152–250 mm.

“In places like the Hunter Valley, in New South Wales, it’s the norm to go for mid-size machines with this kind of technology, and it’s possible that this could also happen in Queensland in the future,” Davis said. “Once the larger coal seams begin to shrink in size and the work moves to higher-grade coal seams, smaller machines are used as they are better suited to such applications.”

MACA drafts up mining contract for Okvau gold project in Cambodia

ASX-listed MACA has entered into a memorandum of understanding (MoU) with a subsidiary of Emerald Resources to supply equipment and contract mining services at the Okvau gold project in Cambodia.

The MoU with Renaissance Minerals is subject to a final investment decision to develop the project by the Emerald Resources Board of Directors, MACA noted. A draft mining contract between MACA and Emerald, agreeing on all material terms, conditions, schedules and rates, will be executed upon this decision.

MACA’s proposed scope of work under the mining contract includes load, haul, drill and blast utilising 100-t class dump trucks, with the initial term of the contract aligned to the current schedule of seven years with an option to extend. This equates to around $220 million in revenue, MACA said.

MACA Managing Director, Chris Tuckwell, said MACA will use the experience it gained in establishing both a foreign subsidiary and starting a new mine whilst working in Brazil over the last four years to Renaissance’s Cambodia project.

Emerald Resources’ Managing Director, Morgan Hart, said: “The board and management of Emerald have worked closely with the team at MACA over the past 20 years in a multitude of successful operations and are very pleased to continue the relationship on the Okvau gold mine development.”

On 1 May 2017, Renaissance announced the completion of the definitive feasibility study (DFS) on the development of a 2 Mt/y operation at Okvau. The DFS delivered an initial ore reserve of 14.3 Mt at 2 g/t Au for 907,000 oz of gold at an average all-in sustaining cost of $731/oz over an initial seven year life of mine.

Gold Road and Gold Fields Gruyere JV on track for June quarter pour

Gold Road Resources and Gold Fields’ jointly-owned Gruyere gold project in Western Australia is on track to pour first gold in the June quarter, the companies said in a construction and commissioning update this week.

Construction of the project, around 200 km east of Laverton in WA, was 91.2% complete as of January 18, 2019, with first ore mined on schedule this month. Downer, the mining contractor, has commenced double‐shift operations as part of the production ramp‐up, the companies said.

Gruyere is expected to produce 85,000-120,000 oz of gold in 2019. Once steady state production is achieved, the average annual production is forecast at 300,000 oz.

To de‐risk the project start‐up, a significant amount of ore is expected to be stockpiled in advance of first gold production, the companies noted, adding that construction works in the primary crusher area were substantially complete. Ore commissioning of the primary crusher to coarse ore stockpile circuit is in progress, they said.

The remaining process plant construction works are concentrated in the milling, carbon-in-leach and elution areas, and include piping, electrical and instrumentation installations and progressive commissioning of systems and equipment through these areas.

The project team at Gruyere includes a joint venture EPC contractor, Amec Foster Wheeler Civmec Joint Venture, MACA Ltd, which is carrying out bulk earthworks at Gruyere, and Downer EDI, which was previously awarded a five-year mining services contract.

Gold Road and Gold Fields said the project remained on schedule for first gold production in the June quarter and within previously announced forecast total cost estimates of A$621 million ($445 million).

MACA to refurbish Adaman’s Kirkalocka gold project in Western Australia

Contractor MACA has wrapped up a strong year with a contract award from Adaman Resources at its Kirklalocka gold project near Mt Magnet in Western Australia.

The contract, secured through its subsidiary MACA Interquip, includes installation of a new SAG mill and refurbishment of an existing mineral processing plant at Kirkalocka. MACA expects to book some A$28 million ($20.2 million) for the works, which will commence in February with a duration of eight months. Some 40 personnel are expected to be required.

MACA said the contract award follows early involvement with the Adaman management team, enabling advancement in the design process and the submission of long-lead items. Commencement of the project remains subject to finalisation of Adaman’s project finance documentation.

Operations Director Geoff Baker said MACA Interquip has an excellent record of successful refurbishment delivery, hence the contract award.

“Our alliance with NCP International, who manufacture grinding mills and install complete comminution circuits globally, as an installation partner, will provide MACA Interquip with further exposure as an integrated mineral processing supplier,” he said.

“The recent contract awards for MACA Interquip demonstrates the success of the MACA strategy to diversify its services within the resource industry.”

This new contract ensures a strong order book for MACA Interquip for 2019 when added to the letter of intent for the refurbishment of the gold processing plant for Echo Resources. Other recent and ongoing work on processing plants includes the Savannah nickel project for Panoramic Resources (pictured) and the Degrussa copper project for Sandfire Resources.

Back in October, SMS Mining Services, which owns a 33% stake in Adaman, secured preferred contractor status for Kirkalocka, with the four-year contract consisting of open-pit mining services including load and haul, drill and blast, and mine development. SMS said at the time drilling was underway to extend the mine life beyond the current six years.

MACA set for open-pit mining and process plant work at Echo’s Yandal gold project

Two of MACA Limited’s subsidiaries look set to carry out open-pit mining and refurbish the mill at Echo Resources’ Yandal gold project in Western Australia.

MACA said a letter of intent (LoI) had been signed that could see MACA Mining awarded an open-pit mining services contract and MACA Interquip receive a mill refurbishment contract.

These two contracts hinge on the Echo Board of Directors proceeding with an investment to develop Yandal and the project receiving all statutory approvals.

The scope of work to be undertaken under the mining contract will include load and haul, and drill and blast, with the pricing of the agreement to be updated (using the same inputs as tendered, adjusted for rise and fall) based on the final Yandal mine plans from a bankable feasibility study (BFS).

The mill contract is to include refurbishment and commissioning. MACA said: “While final pricing is to be determined under the aforementioned methodology, the previously released BFS for Stage 1 estimated mining costs at A$172 million ($124 million).”

Yandal, located 83 km northeast of Leinster in Western Australia, will treat ore through the 2 Mt/y Bronzewing processing plant (pictured), which is currently on care and maintenance. The project has existing mineral resources of 1.7 Moz of gold and ore reserves of 856,000 oz. The previously released BFS for Stage 1 envisaged the development of an 1.8 Mt/y operation able to produce 746,000 oz of gold over an eight-and-a-half-year life.

In addition to this LoI, MACA said, following mobilisation and early site establishment activities at the Bluff coal project in Queensland, Australia, mining of overburden would commence on or around December 10. MACA was previously awarded a A$700 million life of mine contract at Bluff from Wealth Mining.

MACA wins contract mining job at Blackwater coal project in Queensland

MACA is about to start work on Wealth Mining’s Bluff coal project in the Bowen Basin of Queensland after being chosen as the main contract miner.

The contractor will carry out all open-pit mining activities including planning, procurement, management and supervision, load and haul, drill and blast, and water management at the project, with the agreement expected to generate some A$700 million ($507 million) in revenue over the 10-year mine life.

MACA said the project will broaden its commodity exposure and geographical footprint, while allowing it to use larger fleet classes including 350 t excavators and 220 t and 180 t dump trucks. The fleet is expected to be a mix of acquired and hired equipment with MACA estimating capital expenditure of A$45 million.

Bluff, which was acquired by current owner Wealth Mining via its takeover of Carabella Resources in February 2014, will produce around 12 Mt/y of pulverised coal injection product. Coal will be processed with existing infrastructure at the Cook colliery (pictured), which was recently acquired and recommissioned by the Bounty Mining Group and has readily available port and rail access.

The project has a granted mining lease in place together with environmental authority approval.

Contract works will start in the December quarter with first coal expected to be produced in the March quarter of 2019.

“The project will be an ‘Alliance’ style contract aimed at delivering the lowest possible cost to our client,” MACA said. Employee numbers are expected to total 140 people.

MACA will finance the drop cut to first coal and other minor project works via a secured working capital facility of A$25 million. The contract takes the company’s work in hand position to A$1.982 billion and leaves it on track to hit revenue guidance of A$620 million for the full financial year to end-June 2019.