Tag Archives: Mikko Keto

FLSmidth to deliver ball mills, HPGRs to South America copper miner

Base metals, Comminution of minerals, Mineral project development, Mining equipment, Mining services, , , , , ,

Following a long-standing relationship with the customer, FLSmidth says it has received an order to supply comminution technologies to a leading copper miner in South America for its new greenfield concentrator.

The order is valued at approximately DKK380 million ($56 million) and was booked in the March quarter of 2024. The equipment is due to be delivered during 2025.

The order includes the delivery of two ball mills and three high pressure grinding rolls (HPGRs). The latter is among the most energy-efficient comminution technologies, as it lowers power consumption, while providing a more stable grinding operation and eliminating the need for grinding media, according to the OEM.

This new order builds on a long-standing relationship with the customer, where FLSmidth has supplied most of the equipment for its original concentrator as well as provided maintenance, spare parts and process support services over the years.

Mikko Keto, CEO at FLSmidth, said: “Receiving new orders from existing customers is always confirmation of a healthy and strong customer relationship. And it is particularly satisfying in this case as the customer is purchasing their first HPGRs and have selected our market leading technology. We look forward to supplying this best-in-class comminution package to positively contribute to both the output and operation of this new copper concentrator.

“This order not only supports our MissionZero ambition, it also clearly underpins FLSmidth’s market leading position within large grinding mills and HPGR.”

FLSmidth refocuses equipment portfolio in aim to become the leading METS player

Automation, Bulk handling, Comminution of minerals, Equipment maintenance, Mineral processing, Mining equipment, Mining maintenance, Mining mergers and acquisitions, Mining services, Sustainable mining, Water management, , , , , , , , ,

FLSmidth has announced a strategic change to enhance long-term profitability and to accelerate growth in its core Mining business, which could see it offload its portfolio of port systems, stockyard equipment, “standard bucketwheel excavators”, “continuous surface mining equipment”, and mine & overland conveyors.

The decision, which comes seven weeks after closing the acquisition of TK Mining, is the result of a planned strategic review of the combined FLSmidth Mining and former TK Mining technology product portfolio against FLSmidth’s long-term strategic direction and ambitions, FLSmidth said.

“With this change, FLSmidth is creating a new platform for improved profitability, lower risk and strategic focus on the core value creating parts of the Mining business,” it said.

The company clarified that the overall strategic rationale for the acquisition of TK Mining has been reconfirmed and the acquired business is overall in line with its expectations. Furthermore, the cost synergy potential from acquiring TK Mining has been revisited, and further cost synergies have been uncovered, FLSmidth claimed. Additionally, the pace to realise these synergies will be accelerated.

The annual cost synergy target is now expected to be around DKK 560 million ($74 million), instead of the previous DKK360 million, with the annual cost synergy run-rate now expected to be achieved by end of 2023 (previously first two years after closing of the acquisition).

The aforementioned review intended to assess all combined mining activities and products from a strategic, financial and sustainability perspective against FLSmidth’s long-term strategic direction and ambitions, the company said. As a result of the strategic review, it has been decided to split the Mining business into two separate segments for operational and reporting purposes:

  • A continuing Mining segment focused on profitability, growth and sustainability;
  • A new Non-Core Activities segment, where activities will be fully exited either by way of divestment or wind-down of the order backlog.

The new segment split will ensure sharpened strategic focus and stronger execution of the continuing Mining activities that are key to accelerate long-term profitability and growth for FLSmidth, it said. At the same time, dedicated focus and resources will be allocated to the Non-Core Activities to ensure transparency and effective execution of the divestment or wind-down and to minimise losses from these activities.

Group CEO, Mikko Keto, said this split would reduce engineering risk, while setting the company up to become the leading technology and service solutions supplier to the global mining industry

“For years FLSmidth has been focused on engineering and large-scale projects with inherently high risks, challenging execution and volatile profitability,” he said. “We are now taking decisive action to further strengthen the focus on our core business, to ensure stronger execution and to drive value creation. The world must undertake a significant green transition over the coming years and the mining industry plays a crucial part in this. With today’s strategic change, FLSmidth is better positioned than ever before to become the leading technology and service solutions supplier to the global mining industry.”

FLSmidth’s Mining segment is dedicated to provide customers with best-in-class full flowsheet technologies and services solutions to enhance their productivity and sustainability agenda. A key focus for FLSmidth Mining is to enhance profitability through a significant service and aftermarket potential, low execution risks, high technology content and process know-how, and a strong sustainability impact

This could see the company offer single services or products, as well as projects with lower risk consisting of product bundles with related performance guarantees in accordance with FLSmidth’s risk management approach.

The continuing Mining segment encompasses, but is not limited to, FLSmidth’s key products within conveying (former TK Mining’s conveyor systems); milling & grinding (including former TK Mining’s high pressure grinding rolls); crushing & feeding; separation, thickening & filtration; pumps, cyclones & valves; sizers, screens & centrifuges; pyro-processing; sampling, preparation & analysis; and mine shaft systems.

The Non-Core Activities segment comprises specific loss-making mining activities and products that are no longer deemed to be of core strategic importance to FLSmidth, the company said. The selection criteria for these activities and product types have been that either they offer limited or no aftermarket potential, are characterised by high execution risks, are highly engineered and/or lack standardisation, and the company sees no viable commercial model for FLSmidth to turn these around. Furthermore, these products are not aligned with or important for FLSmidth’s sustainability agenda, it said.

Consequently, FLSmidth will either divest or wind-down the following activities and products:

  • All legacy FLSmidth and former TK Mining brands: port systems, stockyard equipment and standard bucketwheel excavators;
  • Legacy FLSmidth Mining brands: continuous surface mining equipment and mine & overland conveyors; and
  • Former TK Mining activities: oil extraction technology and aggregate products.

Existing contracts and ongoing activities in the order backlog will be executed and honoured, if not divested, yet FLSmidth will not take new orders for the Non-Core Activities segment, it said.

A designated organisational structure will be established to oversee the Non-Core Activities segment, with the head of the segment reporting directly to the group CFO. Around 450 employees are expected to be included in the Non-Core Activities segment.

The Non-Core Activities segment comprises of an order backlog of around DKK3.6 billion as of the end of the September quarter of 2022, of which approximately half originates from FLSmidth and half from the former TK Mining. The vast majority of the order backlog relates to capital orders.

The Non-Core Activities order backlog is expected to be divested or wound down within the next three years with an expected total EBITA loss over the period of around DKK1.2 billion, FLSmidth said. The estimate is based on historical performance and costs associated with the wind-down or divestment decision. This estimate is subject to uncertainty due to the nature of winding the business down and may change depending on which of parts of the business are divested, it clarified.

FLSmidth to supply gearless overland conveyor technology to Southeast Asia mine

Base metals, Bulk handling, Environmental, Mining equipment, Sustainable mining, , , , , , , ,

FLSmidth says it has been chosen to supply an overland conveyor (OLC) for a large, established copper-gold mine in Southeast Asia, which follows a large equipment order from the same customer and site earlier in 2022.

The pit-to-plant conveying system, which is over 5 km in length, has gearless drive technology. The order, including design and supply, was booked in the September quarter of 2022 and is valued at approximately DKK330 million ($44 million).

The conveyor order follows the March quarter 2022 announcement that FLSmidth had been chosen to supply two gearless SAG mills, two gearless ball mills and thickener technology to the same site. This new FLSmidth overland conveyor will deliver the ore from the pit to the new FLSmidth SAG and ball mills at the process plant.

The conveying system, part of the newly acquired tk Mining portfolio, is expected to deliver a significant reduction of operating expenditure due to its gearless drive technology, which uses less energy and results in less maintenance and higher availability during operations.

Mikko Keto, Group CEO at FLSmidth, said: “This overland conveyor system order not only continues our robust relationship with this customer, but it also demonstrates the strength of our portfolio following the acquisition of the tk Mining business. This is evidence that FLSmidth is a global leader in overland conveyors and gearless drive technology. The customer will benefit from our full flowsheet coverage, and we are proud to have provided the majority of the equipment to this mine site expansion.”

The order supports FLSmidth’s MissionZero ambition to enable customers to mine in a more sustainable manner, it said. Overland conveyors significantly reduce the need for diesel-powered truck fleets on mine site and makes material transportation more cost-effective and resource efficient.

FLSmidth to highlight full flowsheet expertise with ShalkiyaZinc project delivery

Automation, Base metals, Comminution of minerals, Mineral processing, Mining equipment, Mining services, , , , , , , , , , , , , , , , , , , , , ,

FLSmidth has signed a contract, valued at around DKK950 million ($130 million), to supply a range of mineral processing equipment to ShalkiyaZinc, the operator of a zinc-lead mine in the Kyzylorda Region of Kazakhstan.

The equipment will transform the plant into a world-class facility that efficiently separates minerals with a minimised environmental impact, the OEM says.

Under the agreement, FLSmidth will supply two underground crushing stations with a materials handling system to the process plant; a full package of comminution and separation equipment, including SAG and ball mills, mill circuit pumps and cyclones; the zinc-lead concentrate flotation and regrinding circuit, including nextSTEP, VXP vertical mills, concentrate thickeners and Pneumapress filters; and reagents preparation and dosing area. Full plant automation is also included, as well as installation and commissioning supervision services.

The new concentrator will be supported from FLSmidth’s new in-country service Supercentre in Karaganda, Kazakhstan.

The equipment delivery is to be completed during 2024, with commissioning to start before the end of that year.

Mikko Keto, Group CEO at FLSmidth, said: “We are excited to receive this first order from ShalkiyaZinc, which highlights our full flowsheet expertise. The wide range of equipment included in the order will help ShalkiyaZinc save on both capital expenditure and operating expenditure; our new nextSTEP flotation technology will improve the quality of the concentrates, the SAG mill will provide more flexibility, while the automation and digital solutions will further enable water and energy savings alongside safer operations.

“We look forward to making this a success on so many levels.”

Assel Rakhimova, Chief Project Director of Tau-Ken Samruk, which owns ShalkiyaZinc, said: “After testing and basic design work executed by FLSmidth, we are pleased to enter this new phase of collaboration with the procurement of critical technologies to improve the productivity and sustainability of our plant. We believe in successful execution and look forward to receiving the ordered equipment according to the schedule for installation and to continue working with FLSmidth on commissioning services and spare parts.”

FLSmidth to supply Sabina Gold & Silver with full flowsheet offering at Goose gold mine

Comminution of minerals, Mineral project development, Mining equipment, Mining services, Precious metals, , , , , ,

FLSmidth says it has been chosen to supply the full equipment and processing flowsheet, including ore leaching, for Sabina Gold & Silver Corp’s Goose gold mine in the West Kitikmeot region of Nunavut, Canada.

The order is valued at approximately DKK270 million ($38.1 million) and was booked in the June quarter of 2022. The equipment is due to be delivered in the middle of 2023, ahead of the mine start-up date in the March quarter of 2025.

FLSmidth will supply the jaw crusher, Raptor® Cone Crushers, ball mill, VXP-Stirred Mill (secondary grinding) and KREBS® cyclones, pumps as well as screens, feeders and Knelson™ gravity concentrators. The order also includes equipment for pre-oxidation and leaching; carbon in pulp (CIP) extraction; absorption, desorption and refining (ADR); and detoxification.

In addition, Sabina is progressing contract negotiations with FLSmidth for commissioning support, operational readiness, site training, an optimised spare management strategy, as well as a performance guarantee for the process equipment.

“We are very happy to receive this complete flowsheet order from Sabina’s Goose Mine, the first mine on the Back River Gold District,” Mikko Keto, Group CEO and Mining President at FLSmidth, said. “Our proven ability in providing an industry-leading and productivity maximising gold flowsheet, combined with our capability to supply services and parts to this remote region throughout the lifecycle of the project were key factors in Sabina’s decision. This is also one of many recent orders we have received to supply the key equipment, technologies and services for gold processing plants, showing the recognition among miners of our leading position in this arena.”

Bruce McLeod, President and CEO of Sabina, said: “We are pleased to have these critical technologies procured with a vendor that has a proven track record for providing equipment and support to remote projects around the world. We look forward to receiving this equipment for installation over the next two years and to working with FLSmidth as we advance to become a mid-tier gold producer.”

FLSmidth to supply mineral processing equipment to Josemaria Resources’ copper-gold project

Base metals, Comminution of minerals, Mineral project development, Mining equipment, Precious metals, , , , , , , , ,

FLSmidth has been chosen to supply the SAG mills, ball mills and cyclones to Josemaria Resources’ 150,000 t/d copper-gold project in the San Juan Province of Argentina.

Approximately DKK110 million ($16.3 million) of the DKK600 million order was booked in the December quarter, with the remaining amount, around DKK490 million, booked in the March quarter of 2022.

FLSmidth will deliver the three gearless SAG mills, three gearless ball mills and cyclones to the site by late-2023. The OEM was chosen to deliver the equipment due to the high reliability and efficient performance of our SAG and ball mill technologies, it said.

The Josemaria open-pit mine is a high-grade copper-gold porphyry project. It is located in Argentina, some 450 km from San Juan, in an important and emerging copper mining district. It has an anticipated mine life of 19 years.

Lundin Mining is currently in the process of trying to acquire Josemaria Resources in a deal that came with an implied equity value of approximately $485 million.

Mikko Keto, Group CEO and Mining President at FLSmidth, said: “The order of SAG mills, ball mills and cyclones to the Josemaria Resources copper-gold project in Argentina is very positive news for FLSmidth. It illustrates great confidence in FLSmidth and emphasises the proven performance and productivity of our high-end solutions. The efficiency of the equipment will meet our customer promise to deliver sustainable productivity to the copper and gold mining industry.”

FLSmidth set to showcase lithium engineering expertise at ioneer’s Rhyolite Ridge

Energy minerals, Mineral processing, Mining equipment, Mining services, , , , , , , , , , , , ,

ioneer Ltd has awarded a major engineering and equipment supply contract to FLSmidth for the development of the Rhyolite Ridge lithium-boron project in Nevada, USA.

The contract has been awarded on a limited notice to proceed (LNTP) basis, with the supply of the equipment packages being conditional on a final investment decision on the project by ioneer’s Board of Directors.

Under the contract, FLSmidth has commenced work on product engineering for the equipment packages, which include crushing and material handling equipment, plus lithium carbonate and boric acid dryers.

FLSmidth, Ioneer says, has significant experience in providing technology, equipment, engineering and services expertise to the battery minerals sector. It has a strong US presence and is committed to improving project efficiency while reducing environmental impacts on site.

FLSmidth has also introduced ioneer to Denmark’s Export Credit Agency (EKF) regarding potential financing options.

ioneer Managing Director, Bernard Rowe, said: “The contract with FLSmidth is one of the more significant supply packages we will award at Rhyolite Ridge and represents another step in the development of the project.

“FLSmidth is focused on providing environmentally sound engineering and technology solutions. This aligns with ioneer’s ambition to not only produce materials necessary for electric vehicles and renewable energy infrastructure, but to do so in an efficient and environmentally responsible manner through lowered emissions, significantly reduced water usage and a small surface footprint.”

FLSmidth Mining President, Mikko Keto, said: “This contract provides clear recognition of our experience, know-how, and world-class technologies for processing lithium. It is also important to note that our localised approach and strength in service and aftermarket were important factors for ioneer when it came to choosing a partner.”

The lithium and boron resource at Rhyolite Ridge is estimated at 146.5 Mt, including a reserve of 60 Mt. The company expects to mine and process 63.8 Mt over the 26-year mine life at an average annual rate of 2.5 Mt/y. This will see it produce, on average, 22,340 t of lithium carbonate (99% purity) (years 1 to 3), 21,951 t of lithium hydroxide (99.5% purity) (year four onward) and 174,378 t boric acid (life of quarry).

FLSmidth to provide process engineering input for Keliber’s lithium project

Energy minerals, Environmental, Mineral processing, Mineral project development, Mining services, , , , , , , , , ,

Keliber says it has appointed FLSmidth to provide process engineering services at its Päiväneva concentrator plant in Finland.

The two parties have reportedly agreed on the provision of process, layout and mechanical engineering services at the concentrator.

Hannu Hautala, CEO of Keliber, said: “We have chosen a partner with considerable experience in the mining industry, including lithium production. Our goal is to build a world-class plant that utilises the best available technology, which means safe, environmentally friendly and cost-optimised production.”

Mikko Keto, Mining President at FLSmidth, added: “We are delighted to receive this process engineering order from Keliber. It is a strong proof point of our know-how in the lithium arena, where we have been a leading provider of high-performing equipment, solutions and expertise for well over 20 years. We now look forward to this next step of designing an efficient, world class, concentrator flowsheet, in line with our MissionZero program.”

The award of the contract regarding the concentrator plant continues Keliber’s cooperation with FLSmidth, which will soon also see the completion of the basic engineering of high temperature conversion rotary kiln technology at Keliber’s chemical plant, located in Kokkola.

The concentrator will be built in the Päiväneva area of Finland, which is located on the border of the municipalities of Kaustinen and Kruunupyy, and within the immediate vicinity of Keliber’s lithium deposits. At the concentrator plant, ore will be processed into spodumene concentrate, which will then be transported to the chemical plant in Kokkola, where it will be further processed into lithium hydroxide.

FLSmidth to take on productivity improvement challenge at Middle East phosphate op

Energy minerals, Mine operation news, Mineral processing, Mining equipment, Mining services, , , , ,

FLSmidth says it has been chosen as the technical partner and the supplier of key equipment for the productivity improvement project at a phosphate beneficiation plant in the Middle East.

The order, valued at approximately DKK200 million ($32 million), was booked in March. It will focus on improving the overall plant production through improved plant availability and throughput, according to the company. The operation will also achieve an associated reduction in water consumption resulting from a modified desliming circuit, FLSmidth added.

The agreement includes the engineering and procurement of all equipment associated with the productivity improvement projects, including crushing, material handling and desliming circuits.

Mikko Keto, Mining President at FLSmidth, said: “Boosting customer productivity is a key objective and this combination of equipment and know-how will enable us to deliver this to the customer. As the full technology and engineering partner, we will not only supply the complete range of process-critical equipment but we can also support its integration across the project, ensuring maximised productivity improvement.”

FLSmidth is to deliver engineering, procurement and technical support services and supply all tagged equipment associated with the remedial projects at the site. This encompasses additional capacity in the fine ore circuit; a new cone crushing station; a new desliming circuit; a new concentrate bypass circuit; and optimisation of the existing flotation circuit, including installation of nextSTEP™ flotation technology.

FLSmidth expands Central Asia presence with new Service Supercenter

Comminution of minerals, Equipment maintenance, Mining equipment, Mining services, , , , , , ,

FLSmidth has opened a new Service Supercenter in Karaganda, Kazakhstan, which, it says, will help meet high demand for service and technical support in Kazakhstan and Central Asia.

The 5,200 m² space will focus on the efficient delivery of mining equipment, component maintenance and facilitate rapid on-site service and 24/7 local support, according to FLSmidth.

It includes a 2,500 m² warehouse and a 1,200 m² workshop, as well as a customer service office, customer training centre and other support facilities. The Supercenter holds a range of inventory and a strategic range of lab equipment and spare and wear parts.

The centre has a primary emphasis on supplying solutions that extend an asset’s lifecycle, such as: repairs and rebuilds; equipment and component upgrades; parts and consumables strategic stocking programs; technical assistance; and customised service packages.

“The centre ensures customers receive the knowhow to optimise their operations, as well as support when it comes to inspections, process audits and technical issues,” the company says.

Mikko Keto, Mining President at FLSmidth, explained: “The main concept of the Supercenter is to get closer to our mining and cement customers across Kazakhstan and Central Asia and support them with the best solutions, fast access to spare and wear parts, and, of course, local knowhow and expertise. This move supports FLSmidth’s ever-growing focus on customer service and aftermarket.”

Sergey Gorbunov, Managing Director for Kazakhstan and Central Asia, added: “Our large regional installed base will be well served by this new Supercenter. It will allow us to work side by side with customers to better understand and solve their challenges – and to deliver sustainable productivity solutions to their operations.

“Customers can expect world-class on-site service, indoor repairs and refurbishment, exchange programs, lab testing, training and excellent spare part support. The Supercenter ensures 24/7 local support for on-site services such as installation, commissioning, maintenance support, shutdowns and turnkey solutions.”