Tag Archives: Michael Wright

Thiess expands into digital and asset services with investments in LAAMP, Mechatronix

Thiess says it has acquired significant stakes in two Australian businesses, LAAMP and Mechatronix, as part of its plans to expand its offering as a global services provider, outside of the traditional mining operations.

Both companies have been working with Thiess for several years to manage and grow two of the mining services provider’s key value drivers: its people and equipment.

LAAMP is a digital platform that delivers streamlined training and assessments to remote workforces, while Mechatronix is pioneering carbon-fibre structural reinforcements to dramatically extend the life of trucks and, ultimately, boost payload capacity, Thiess says.

Thiess Group Executive Chair and CEO, Michael Wright, said: “The investments in LAAMP and Mechatronix will provide wider benefits for our valued clients and people, while helping us reach our goals in sustainability and innovation. LAAMP aims to ensure our people have the right competency and capability, with the latest thinking in training and assessments, while Mechatronix has a global focus on fleet sustainability and asset longevity.”

Thiess first approached Mechatronix, a family-owned business, in 2020, with an ambitious target to double the expected operating life of its existing mining trucks, from about 60,000-70,000 hours (typically about 10 years on-site) to about 110,000-120,000 hours. For Mechatronix founder, Andrew Middlin, it was good timing. An engineer by trade, he had spent 30 years in the mining industry analysing machines for stress and fatigue, before working with an industry-first solution to extend the life of these critical assets.

Around 2014, Middlin realised there was a limit to what could be done with all-metal solutions and pioneered the use of carbon fibre – a material stronger than steel, yet significantly lighter – to reinforce truck chassis and structural components, which are generally not economically repairable after major and repetitive fatigue cracking.

Along with extending asset life, another major focus for Mechatronix is ‘lightweighting’ vehicles by replacing heavy steel structures with hybrid metal-carbon fibre alternatives. This will provide an immediate payload benefit on current assets and will assist the sector with the transition to electric or hydrogen powered machines, offsetting the impact of payload reduction from heavy batteries or fuel cells, Thiess says.

“If we can take 10 t of weight out of an asset – that’s an extra 10 t a truck on a mine site can carry on each load. Overall, that increases productivity, while providing a smarter and more sustainable solution for existing assets,” Middlin said. “It’s a genuine win-win situation where we have a high-profile partner to help us showcase to the industry what we can do, while for Thiess, our technology allows them to be a differentiator in their sector and make strong inroads into their sustainability commitments.”

Thiess is also set to install Mechatronix-designed and built kits to assets of its own, and to those of its clients, at the new Rebuild Centre on Batam Island in Indonesia.

Wright said: “We have one of the largest fleets globally in the mining sector, with about 1,200 off-highway mining trucks, so it makes sense for us to invest in this capability. Our industry is always looking to extend the life of existing assets and transition to electric vehicles. This is a natural partnership.”

The company’s other partnership, with Adelaide-based LAAMP, goes back to 2019, when Thiess was looking at improving its training, assessment and staff records across a disparate global workforce.

“At that time, we had staff spread across Africa, the Americas, Indonesia, Mongolia, India and Australia and the content was being delivered in different ways, without the consistency we would have liked,” Wright said. “We wanted to change not only how the content was delivered – to make it interactive, multilingual and relevant – but also how and where it was delivered.”

For Thiess, the driving principle has always been that improved competency and capability will deliver both a safer workplace, and one that is more productive.

LAAMP founder and Managing Director, Tim Angel, who had started his career in the mining industry in the early 2000s, had seen an unmet need for organisations to centralise and digitise induction, training and assessment. LAAMP not only delivers content to remote work sites, but it also maintains a digital record of training and assessment to maintain a vetted and verified ‘skills passport’ for each person. This allows staff to move more easily between sites and organisations – a point-in-time oversight of their workforce skills base.

Just five years after he established LAAMP, Angel said the company has conducted more than 12 million training events, and it is being used in mining, construction, hospitality and healthcare across Australia, North America, South America, Asia and Africa.

Angel said: “There are benefits for employees, too, as the LAAMP platform allows workers to access and share their own `skills passport’, rather than keeping track of paper certificates and qualifications. The support from our team to make this a global success has been tremendous. In particular, Mark Butcher and Beau Rybajlak have been instrumental in our success to date and will play a pivotal role as we continue to empower the global workforce of the future through LAAMP.”

Thiess secures four-year contract extension at BMA Caval Ridge

Thiess says it has been awarded a four-year contract extension with BHP Mitsubishi Alliance (BMA) for the Caval Ridge metallurgical coal operations in Queensland, Australia.

With a revenue of A$580 million ($383 million), the contract sees the company continuing to provide mining services at the Caval Ridge mine, operating and maintaining mining equipment to move overburden to support BMA’s production requirements. The extension continues the relationship with BMA at Caval Ridge, which commenced in December 2017.

Thiess Group Executive Chair and CEO, Michael Wright, said: “We are very pleased that our ongoing commitment to safe and sustainable mining has resulted in BMA awarding us a four-year extension at Caval Ridge.

“Both our working relationship and the increasing diversity within our workforce are driving factors for our continued success.”

Thiess Group Executive Australia East, Rae O’Brien, added: “Thiess continues to support the development and long-term economic value to the local community at Caval Ridge by providing local employment and regional supply opportunities.”

Michael Wright on Thiess’ sustainable mining mission

It has been a busy few months for mining services provider, Thiess, having announced a planned acquisition of Australia-based underground metals business PYBAR Holdings Limited and its 100% subsidiary Pybar Mining Services Pty Ltd, plus released a comprehensive sustainability report detailing its progress towards its 2025 decarbonisation target.

The company also celebrated its 90th anniversary earlier this month, paying respects to its origins as a small farming and roadworks company, Thiess Bros, which began operating in rural Australia in 1934.

IM recently put some questions to Michael Wright, Thiess Group Executive Chair and CEO, on the company’s sustainability plans and what PYBAR could bring to the group.

IM: How do you see the addition of PYBAR complementing your sustainability aims/targets? Has PYBAR been engaged on underground mining services contracts looking to leverage low- (diesel-electric/hybrid) or no-carbon (battery) solutions for load and haul, for example?

MW: The acquisition of PYBAR further accelerates our strategy to diversify our commodities portfolio and bring a increasingly greater focus on metals and minerals. PYBAR has significant expertise developing underground copper and gold projects, such as the Eloise Mine, owned by AIC, and the Carrapateena Mine, owned now by BHP.

Michael Wright, Thiess Group Executive Chair and CEO

We are currently planning and engaging with PYBAR, prior to them joining the Thiess Group once the customary sale conditions are satisfied and the acquisition process is finalised.

Thiess Group companies all play a part in efforts to improve the sustainability of mining globally, and to achieve our target of net zero Scope 1, 2 and 3 emissions from diesel combustion by 2050. Once PYBAR is part of the Group, we will work with them on initiatives to achieve this target.

IM: How do you see your new underground offering competing with the likes of Barminco, Byrnecut and Macmahon? What will your unique proposition be to the market?

MW: One of PYBAR’s key competitive advantages is their long-standing client relationships. They have a well-deserved reputation for being an experienced underground metals and minerals hard-rock mining specialist.

Thiess currently operates underground in Mongolia, and having PYBAR as part of the Thiess Group will re-establish our presence in the Australian underground mining market, and enable us to expand our service offering to our clients.

Thiess Group companies will work with PYBAR to optimise efficiencies and leverage opportunities from our combined strengths and client relationships, while maintaining and growing the PYBAR business.

IM: Are there any technology areas that PYBAR has been involved with in the underground mining space that complement your own surface mining work with automation and electrification?

MW: Thiess has been on an autonomous mining journey since 2012, and today our fleet includes 21 autonomous haul trucks, nine autonomous drills and six semi-autonomous dozers. Through MACA also, the group has progressed vendor-agnostic autonomy and electrification. So as a group, we have a strong team and strong focus on both autonomy and electrification.

Similarly, PYBAR has been on a technology journey. In 2019, they deployed two Cat R1700 underground loaders at Dargues Gold Mine to prepare for its advanced underground automation. The new machines were equipped with Cat’s next generation Command for underground technology, enabling the machines to be remotely controlled from the surface from early-2020 – realising significant productivity, efficiency and safety gains.

There is significant opportunity bringing PYBAR into the Thiess Group.

IM: Following the publication of your 2023 sustainability report, can you tell me anymore about the hybrid excavator trial you are planning in Indonesia? Also, what vehicles are to be involved in the battery-powered light/medium trucks in Australia work you are due to carry out this year? What about the plans for MACA’s fleet retrofit solutions in Australia? Are these solutions soon to start up at Karlawinda?

MW: Our hybrid excavator trial started last month at one of our Indonesian projects. Two 30 t hybrid excavators are being tested as part of our commitment to reduce our emissions. We’re monitoring the trial progress, and will provide an update in our 2024 sustainability report.

We have two light battery-electric trucks due to arrive in Australia in coming weeks, which will be deployed to two of our projects, and are progressing the installation of the charging infrastructure at the selected sites.

Work also continues at MACA to develop a retrofitting solution for existing fleet to reduce emissions at a lower initial capital cost and in a shorter time frame than new electric haul trucks. We’re continuing detailed engineering studies, with the plan to deliver the first project in coming months.

IM: Anything else to add on the topic of mining technology as it relates to your net-zero journey?

MW: Our ambition is to achieve net zero Scope 1 and 2 emissions, and Scope 3 emissions from diesel combustion in our operated fleet. We are pleased with our progress to date and are on track to meet our 2025 Scope 1 and 2 emissions target (excludes Scope 1 and 2 emissions from MACA civil projects. We will look to develop a Scope 1 and 2 emissions reduction target for MACA civil division in 2024).

We continue to invest in and trial a range of transitional lower carbon technologies with gas and hydrogen trickle feed options. In 2021, we joined the Hydra Consortium, which is investigating the use of renewable hydrogen to power mining fleets. After construction and trial of their first hydrogen fuel cell-based powertrain prototype, Hydra is now working on phase 3 of the trial to continue to improve and test the technology.

As well, the Thiess Group recently became Toyota’s first customer for its locally-assembled hydrogen fuel cell stationary power generator, which we plan to trial in our mining operations in New South Wales.

We are also exploring dual-fuel vehicles. In 2023, Thiess successfully converted and trialled a dual-fuel Caterpillar 793F at a mine site in the Bowen Basin, with demonstrated reductions in emissions and diesel consumption. We continue to explore expansion opportunities for this and other technology trials.

Thiess to gain underground metals mining exposure with A$65 million PYBAR purchase

Thiess Pty Ltd, part of the Thiess Group, has signed an agreement with Metarock Group Ltd to acquire Australia-based underground metals business PYBAR Holdings Limited and its 100% subsidiary Pybar Mining Services Pty Ltd.

PYBAR will join the Thiess Group once the customary sale conditions are satisfied and the completion process is finalised.

The total headline consideration for PYBAR is A$65 million ($42.7 million), with all PYBAR employees to transfer with the business, including the senior management team led by James Glover, PYBAR CEO.

Thiess Group Executive Chair and CEO, Michael Wright, said: “This acquisition is an ongoing part of Thiess’ strategy to diversify our commodities and the services we offer our clients. We are committed to developing a global mining portfolio, with a strong focus on the metals and minerals critical to the global energy transition.

“The PYBAR acquisition is key to this. PYBAR’s specialist skills will expand the Thiess Group’s service offering to our clients, and open up a pipeline of opportunities in underground metals and minerals across Australia and globally.”

Mastermyne (as Metarock was previously known) agreeed to buy PYBAR Mining Services in a cash and share deal that came with an equity purchase price of around A$47 million back in 2021. The acquisition saw Mastermyne, a metallurgical coal-focused contractor at the time, gain exposure to PYBAR’s gold, copper, zinc and lead-related revenues.

Wright added: “PYBAR’s 30 years of expertise and proven experience in underground mining is well known and respected, and we appreciate the commitment of their dedicated workforce. We will retain the PYBAR brand and will work with the leadership team to support their current clients, and grow PYBAR’s strong brand within and beyond their current markets.”

The Thiess Group operating companies’ industry experience, complementary portfolio of services and geographical reach, places the group in a strong position to enhance PYBAR’s value proposition to both their clients and their people, Thiess says.

Metarock says the cash proceeds from the sale will materially strengthen the balance sheet of Metarock and provide a platform for the company to capitalise on the significant growth pipeline across its remaining business units, Mastermyne, Wilson Mining and MyneSight.

Thiess opens ‘dynamic hub’ for mining truck rebuilds

Thiess has celebrated the official opening of its new Thiess Rebuild Centre on Batam Island, Indonesia, a facility that, it says, will serve as a dynamic hub for rebuilding Thiess’ mining trucks, equipment and components for its operations in Asia and Australia.

The official opening brought together many dignitaries and stakeholders, including Mayor of Batam and Head of BP Batam, Muhammad Rudi, the Australian Ambassador to Indonesia, Penny Williams, Chairman of Kabil Integrated Industrial Estate Group, Kris Wiluan, clients and industry leaders, key suppliers, community representatives and Thiess employees, to witness the unveiling of a facility that will elevate Thiess’ global capabilities in asset management and asset services.

Thiess Group Executive Chair and CEO, Michael Wright, said: “This purpose built, state-of-th-art rebuild centre enables Thiess to play a bigger role in the future of sustainable mining. The rebuilt equipment and components will result in improved machine productivities, incorporating product updates and technology improvements, and delivering enhanced mining efficiencies at lower costs for our clients.

“It also establishes a platform for Thiess to explore decarbonisation and alternative fuel technologies, as well as the opportunity to provide these services to our clients in the future.”

Thiess Group Executive of Asset Management, Autonomy & Digital, Ramesh Liyanage, explained that the rebuild centre will enable Thiess to retrofit rebuilt trucks with clean fuel technologies upon availability, instead of simply replacing end-of-life trucks with conventional diesel trucks currently on the market.

“The Thiess Rebuild Centre is the perfect demonstration of how we can leverage our global expertise and come together to provide sustainable solutions for our clients’ operations, as well as deliver asset management services to the mining sector globally,” he said.

Thiess’ Batam Engineering General Manager, Daryl Albury, added: “We have just completed our first two zero-hour rebuild Cat 789 trucks, which will be heading to Thiess’ Australian operations. The rebuild successfully reset the usage on these trucks to zero hours, extending their lives by a further 50,000 to 60,000 hours each.

“We currently have another eight 789s stripped back and ready to go through a complete overhaul of all major components, as well as a full refurbishment of their chassis and all electrical systems, and technology updates. By the end of 2024, we expect to have around 65 trucks fully rebuilt, a great result for Year one.”

Thiess says it is committed to offering employment, training and development opportunities to local communities where it operates around the world. For the Batam Island communities, this includes opportunities for local people to enter Thiess’ leading apprentice program, as well as for local students to participate in work experience with Thiess, with the goal of furthering their future employment opportunities.

Thiess re-enters the Northern Territory with GEMCO manganese contract

Thiess has been awarded a three-year contract with GEMCO, a manganese operation on Groote Eylandt, Northern Territory, owned jointly by South32 and Anglo American.

The mining services contract, valued at approximately A$120 million ($79 million), marks Thiess’s re-entry into the Northern Territory.

Thiess says it is committed to efficient and safe mining operations, sustainability, and local community engagement and employment.

Thiess Group Executive Chair and CEO, Michael Wright, said: “This award demonstrates Thiess’ commitment to delivering sustainable mining solutions for our clients, strongly supporting the further development of the local community. For Thiess, the continued diversification into different commodities needed for the energy transition is a key part of our strategy, with manganese playing a crucial role in steel production and having the potential to replace cobalt cathodes in lithium-ion batteries.”

The three-year deal, with the potential for a two-year extension, encompasses a range of services critical to GEMCO’s manganese operation. Thiess will supply, operate and maintain the equipment for the pre-strip mining operations, as well as undertaking the design and construction of support infrastructure, including workshops and related mobile maintenance facilities.

Thiess Group Executive Australia West, David Greig, said: “This contract win represents a significant milestone for Thiess as we re-enter the Northern Territory.

“This contract award is a testament to the collaborative efforts of our Australia East and West regional teams, showcasing the strength and synergy within Thiess. It reflects our ability to leverage expertise from across our company to deliver exceptional outcomes for our clients.”

This contract win follows the scope awarded to FleetCo earlier this year, which included the provision and major servicing of excavators, trucks and ancillary equipment.

Thiess-Batam

Thiess ramps up truck rebuilding capability in Indonesia

Thiess says it has demonstrated commitment to expanding its truck and component rebuilding capabilities on a large scale with the execution of a lease for a new facility at Kabil Integrated Industrial Estate on Batam Island, Indonesia.

Thiess has an extensive fleet of mining haulage trucks in Indonesia and Australia, including more than 650 that will reach the end of their service life in the next eight years and require either replacement or rebuilding, it says.

Thiess Group Executive Chair and CEO, Michael Wright, said: “The new truck rebuild facility at Kabil Estate is an integral part of a strategic initiative to equip Thiess with better control over our asset replacement and rebuild program, and deliver improved financial and sustainability outcomes for our clients and shareholders.

“We are pleased to have secured this site that is centrally located between our Indonesian and Australian operations, with world class facilities and transport and logistics services – the professionalism and support from Kabil Estate has enabled swift mobilisation and we are on track for first production by December 2023.

“This rebuild facility also establishes a platform for Thiess to explore decarbonisation and alternative fuel technologies, as well as the opportunity to provide these services for our clients in the future.”

Kabil Integrated Industrial Estate Group Chairman, Kris Wiluan, said: “We are delighted to welcome Thiess as a valued addition to Kabil Estate. With state-of-the-art infrastructure, strategic location, and a focus on sustainability, we look forward to providing Thiess with a competitive advantage in its operations in Indonesia and Australia while supporting its ecofriendly initiatives.”

Thiess Batam Engineering General Manager, Daryl Albury, said: “Our new facility at Kabil Estate will enable Thiess to reset the usage clock on up to 160 trucks per year to zero hours, through a complete overhaul, including all major components, a full refurbishment of electrical systems and returning all worn components to original equipment manufacturer specification.

“The zero-hour rebuild is expected to extend the service life of each of Thiess’ Caterpillar mining trucks by a further 40,000 to 60,000 hours.”

Thiess Group Executive Assets, Technical Services and Technology, Ramesh Liyanage, said: “Thiess’ reputation for certainty of delivery is built on our expertise in asset management and fleet maintenance, with component rebuild centres across our operations for decades.

“This new truck rebuild facility is the next step up in the evolution of our capabilities and service offerings.”

Thiess’ existing rebuild facilities in Perth, Brisbane and the Hunter Valley in Australia, and in Balikpapan in Indonesia, have a track record in rebuilds and refurbishments of trucks, dozers and components for the company’s fleet of mining assets, as well as limited fee-for-service rebuilds of client assets.

Thiess Rehabilitation to deliver rehabilitation services at Muswellbrook coal mine

Thiess Rehabilitation says it has secured a two-year contract with Idemitsu Australia’s Muswellbrook Coal Company (MCC) to deliver rehabilitation services at the Muswellbrook coal mine, in the upper Hunter region of New South Wales, Australia.

Thiess Rehabilitation will conduct detailed design and construction of the post-mining landform, creating a combination of native ecosystem and pasture land uses that generate approximately 180 ha of rehabilitated land across MCC’s open-cut mine, it said.

This is the second contract with Idemitsu Australia for Thiess Rehabilitation, having been awarded the rehabilitation services contract for Idemitsu Australia’s Ensham mine in Queensland in July 2022.

Thiess Rehabilitation Group Manager, James Anderson, said: “The Muswellbrook contract demonstrates the growing strength of our relationship with Idemitsu Australia, and builds on the hard work and solid performance of our team at Ensham.

“Muswellbrook coal mine also holds special significance for Thiess. The mine’s open-cut operations began in 1944 and that contract was awarded to our founders, the Thiess Brothers, marking both the start of Thiess’ mining business, as well as the start of Thiess’ presence in the Hunter region.

“Given our legacy at Muswellbrook coal mine, Thiess Rehabilitation is excited to be given the responsibility to deliver value to this site and to the community through the site’s post-mining transition.”

Idemitsu’s CEO, Steve Kovac, said: “Muswellbrook Coal has been owned by Idemitsu since 1989 and has a very proud history. Now that mining and processing operations have been completed at the site, Idemitsu is progressing plans to develop the Muswellbrook Clean Industries Precinct at the site.

“A critical part of these future plans is the rehabilitation of the mining operational areas, and we are pleased to have a specialist with proven experience to help deliver our rehabilitation goals. We look forward to working with Thiess Rehabilitation once again.”

Thiess Group Executive Chair and CEO, Michael Wright, said: “Thiess has delivered award winning rehabilitation programs globally for more than 30 years. We’re proud that Thiess Rehabilitation is continuing this tradition of excellence as a trusted partner in sustainable mining operations.”

MACA wins load and haul contract with Atlas Iron’s McPhee Creek project

MACA says it has been awarded the mining contract at Atlas Iron’s McPhee Creek project, in the northeast Pilbara region of Western Australia, approximately 100 km north of the Roy Hill Mine.

Thiess Group Executive Australia West and MACA CEO, David Greig, said: “MACA has a strong, 20-year history servicing the resources and construction industries, and has built long standing client relationships during this period. We are now operating as a Thiess company, and I am delighted with the effort between both companies to continue to support these relationships and critical project development in Western Australia.”

“We’ve been working with Atlas for almost 15 years across our crushing, civil and mining businesses, and I look forward to working with them once again on the McPhee Creek project,” he said.

Thiess Executive Chair and CEO, Michael Wright, added: “It is very pleasing to see MACA’s ongoing commitment to their clients. They have great people who pride themselves in providing value across a broad range of services.”

The three-year project scope includes mine load and haul of up to 10 Mt/y, before being transported to Roy Hill for processing. The project is anticipated to employ 145 people at peak operations and will include partnerships with local Indigenous businesses.

Thiess extends mining services stay at Wahana and Hanoman mines in Indonesia

Thiess says it has received contract extensions in South Kalimantan, Indonesia, at the Wahana coal mine from Bayan Resources and at the Hanoman coal mine from PT Cakrawala Langit Sejahtera , which mines the pits in the Satui area owned by Arutmin, part of Bumi Resources.

With a combined value of A$480 million ($320 million) over more than three years, Thiess will extend its mining services, including drill and blast, load and haul, and pit dewatering.

Thiess Executive Chair & CEO, Michael Wright, said: “We are excited to continue to deliver sustainable mining outcomes for our longstanding partners Bayan and PT CLS by working the two adjacent mines.

“These extensions reinforce our capability and credentials for operational excellence. They also give us opportunities to showcase our passionate commitment to diversity and inclusion, where we continue to increase the participation of women and people with disability in our workforce.”

Thiess President Director, Indonesia, Jeffrey Kounang, added: “The solutions we provide for both clients enable our team to maximise resource recoveries and optimise the reserves of both operations. We are proud to continuously live up to our clients’ expectations and deliver on our promises.

“We are also very pleased to be able to continue working with the Satui community, which started back in the early 2000s, to help create lasting social and economic values.”

These contract awards build on two separate agreements Thiess has signed in Indonesia, both announced this week. Thiess successfully extended a long-term contract with Bayan Resources to continue providing mining services at the Melak mining complex, in East Kalimantan, while it also secured an agreement with Kaltim Prima Coal to extend its current mining services contract and to provide fleet hire services at Sangatta mine, also in East Kalimantan.