Tag Archives: Pilbara

Monadelphous banks Australia work with FMG, Rio Tinto, Roy Hill and BMA

Bulk handling, Equipment maintenance, Mine operation news, Mining services, Steel and iron ore, , , , , , , ,

Engineering company Monadelphous Group Limited says it has secured new contracts and contract extensions in the resources and infrastructure sectors totalling approximately A$220 million ($150 million).

Within this is a number of contracts for work in the Pilbara region of Western Australia, including:

  • A five-year contract to provide maintenance, repairs, general shutdown services and minor projects across Fortescue Metals Group’s Pilbara operations;
  • A multi-disciplinary contract with Rio Tinto for the construction of a new conveyor at the Tom Price iron ore mine, which is expected to be completed in the first half of 2023; and
  • A contract associated with the construction of a pipeline and access road at the Roy Hill Mine site. The work is expected to be completed towards the end of 2022.

In Queensland, Monadelphous has also secured a 12-month extension to its existing contract with BHP Mitsubishi Alliance for the provision of dragline shutdown and maintenance services to its operations in the Bowen Basin.

Rio Tinto orders more Epiroc Pit Viper 271s, SmartROC D65s for Pilbara iron ore mines

Automation, Explosives and blasting, IoT, Mine operation news, Mining equipment, Mining services, Steel and iron ore, , , , , , , , ,

Epiroc says it has won a large order for mining equipment from Rio Tinto in Australia that will see it deliver several Epiroc Pit Viper 271 drill rigs to be retrofitted by Rio Tinto with autonomous capabilities.

On top of the Pit Viper 271s, Epiroc is set to provide SmartROC D65 drill rigs loaded with intelligent features, it said. The units will be used at the miner’s iron ore operations in the Pilbara region of Western Australia.

The order exceeds SEK150 million ($14.7 million) in value and was booked in the June quarter of 2022. It follows a large order by Rio Tinto in the March quarter of 2022, also for Pit Viper 271s, and a large order in 2021 for Pit Viper 271 and SmartROC D65 rigs, also for its iron ore mines in Pilbara.

Epiroc President and CEO, Helena Hedblom, said: “Epiroc and Rio Tinto have a long-standing partnership focused on optimising safety and productivity through cutting-edge innovation.”

The Pit Viper 271 and SmartROC D65 drill rigs, manufactured in Texas, USA, and Örebro, Sweden, respectively, are built to face the toughest conditions and will come installed with Epiroc’s Rig Control System, RCS, making them ready for automation and remote control, Epiroc noted.

Rio delivers first ore from its most technologically advanced iron ore mine, Gudai-Darri

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Rio Tinto has delivered first ore from the Gudai-Darri iron ore mine as the company brings online its first greenfield mine in the Pilbara, Western Australia, in more than a decade.

Gudai-Darri, which features autonomous trucks, trains and drills, as well as the world’s first autonomous water trucks, will help underpin future production of the company’s flagship Pilbara Blend™ product, Rio says.

The first autonomous AutoHaul™ trains loaded with ore from Gudai-Darri’s process plant have travelled the new 166-km rail line that connects to Rio Tinto’s existing rail and port infrastructure. Production from the mine will continue to ramp up through the remainder of this year and is expected to reach full capacity during 2023.

Since ground was broken in April 2019, more than 14 million workhours have resulted in the movement of over 20 million cu.m of earth, batching and placement of 35,000 cu.m of concrete and the installation of 10,000 t of steel. The development of Gudai-Darri supported more than 3,000 jobs during the construction and design phase, with the mine set to support around 600 ongoing permanent roles.

With an expected life of more than 40 years and an annual capacity of 43 Mt, Gudai-Darri will underpin future production of Pilbara Blend product, the company says. A feasibility study to support an expansion of this new hub is also progressing.

The mine’s commissioning and ramp-up is expected to increase Rio Tinto’s iron ore production volumes and improve product mix from the Pilbara in the second half of this year. Full-year shipments guidance for 2022 remains at 320-335 Mt (100% basis) subject to risks around the ramp up of new mines, weather and management of cultural heritage.

The capital cost for the mine is estimated to be $3.1 billion. As disclosed in February, the company’s replacement projects in the Pilbara, including Gudai-Darri, were subject to potential capital increases of approximately 15% due to ongoing COVID-19 restrictions, including labour access and supply chain quality issues. Group capital expenditure guidance for 2022 is unchanged at around $8 billion.

Rio Tinto Iron Ore Chief Executive, Simon Trott, said: “The commissioning of Gudai-Darri represents the successful delivery of our first greenfield mine in over a decade, helping to support increased output of Pilbara Blend, our flagship product. It sets a new standard for Rio Tinto mine developments through its deployment of technology and innovation to enhance productivity and improve safety.

“I’d like to acknowledge the support of the Traditional Owners, the Banjima People, on whose country Gudai-Darri is situated. We have worked closely with the Banjima People to progress this project and we look forward to continuing to actively partner with them into the future.”

Rio Tinto Chief Technical Officer, Mark Davies, said: “The safe and successful delivery of Gudai-Darri, in the midst of a global pandemic, is testament to the resilience and hard work of thousands of Rio Tinto employees and contractors, including a range of local Western Australian suppliers, as well as Pilbara Aboriginal businesses.

“In building this new hub we have brought together the best of our innovations, including autonomous trucks, trains and drills, as well as the world’s first autonomous water trucks, to make Gudai-Darri our most technologically advanced iron ore mine.

“This suite of autonomous assets complements the planned deployment of other leading-edge technologies including a robotic ore sampling laboratory, field mobility devices for all personnel and a digital asset of the fixed plant, which, together with data analytics, will make Gudai Darri safer and more productive.”

Helping support Rio Tinto’s carbon emission reduction targets, Gudai-Darri will be powered by a 34 MW solar farm that is expected to supply about a third of the mine’s average electricity demand once construction is complete in August.

Together with a new lithium-ion battery energy storage system in Tom Price, the solar plant is estimated to reduce annual carbon dioxide emissions by about 90,000 t compared with conventional gas powered generation, equivalent to taking about 28,000 cars off the road.

Rio Tinto to provide Salzgitter with iron ore for hydrogen direct reduction steelmaking trials

Environmental, Mineral processing, Mineral project development, Steel and iron ore, Sustainable mining, , , , , , , , , , , ,

Rio Tinto and the Salzgitter Group have signed a Memorandum of Understanding (MoU) to work together towards carbon-free steelmaking by studying optimisation of Rio Tinto’s high-quality Canadian and Australian iron ore products for use in Salzgitter’s SALCOS® green steel project in Germany.

Under the MoU, the two companies will explore optimisation of iron ore pellets, lump and fines for use in hydrogen direct reduction steelmaking. The two companies will also explore the potential for greenhouse gas emission certification across the steel value chain.

Rio Tinto produces iron ore pellets and concentrate at Iron Ore Company of Canada and iron ore lump and fines in Western Australia’s Pilbara region. The partnership will focus on the potential use of these products in the SALCOS – Salzgitter Low CO2 Steelmaking – program, which is targeting virtually carbon-free steel production, starting step-by-step in 2025 using hydrogen direct reduction.

Rio Tinto Chief Commercial Officer, Alf Barrios, said: “We welcome the chance to work with Salzgitter on ways to accelerate green steelmaking, in keeping with our commitment to reduce emissions across the steel value chain.

“Salzgitter has one of the world’s most advanced green steelmaking projects. Rio Tinto is excited at the opportunity of supplying our product and combining our technical expertise with that of Salzgitter to help advance the SALCOS project.”

Salzgitter Flachstahl GmbH Chairman of the Management Board, Ulrich Grethe, said: “With this alliance, we want to combine the knowledge of both companies to make further progress with low-carbon steel production.

“In this context, the Salzgitter Group is relying on strong partners, as set out in our ‘Salzgitter AG 2030’ Group strategy, in line with its motto of ‘Partnering for Circular Solutions’.”

The agreement follows a similar technical cooperation pact signed with LKAB last week, which could see the Europe-based iron ore miner supply high-quality iron ore pellets to Salzgitter for its SALCOS project.

Rio Tinto says it is committed to reaching net zero emissions by 2050 and is targeting a 15% reduction in Scope 1 & 2 emissions by 2025 (from a 2018 baseline) and a 50% reduction by 2030. Rio Tinto’s approach to addressing Scope 3 emissions is to engage with its customers on climate change and work with them to develop the technologies to decarbonise.

Under the SALCOS program, Salzgitter’s carbon-based blast furnace route will gradually be replaced from the middle of this decade by direct reduction plants, initially operated by natural gas and then with a steadily increasing proportion of hydrogen.

BHP Iron Ore to trial EcoQuip Australia’s Mobile Solar Light Tower solution

Mine operation news, Mining equipment, Mining safety, Mining services, Steel and iron ore, , , , , ,

Volt Power Group’s 70% owned subsidiary, EcoQuip Australia, has secured an agreement with BHP Iron Ore Pty Ltd to conduct a trial of its zero emission, “zero OPEX” and maintenance EcoQuip Mobile Solar Light Tower (MSLT).

Volt CEO and Managing Director, Adam Boyd, said the EcoQuip team had worked diligently over the last six months to develop a specific MSLT design update to satisfy BHP’s HSE standards and autonomous capability requirements.

The three EcoQuip BHP MSLTs that are the subject of the trial will be assembled and commissioned for scheduled deployment in June 2022, he added.

The new trial follows an initial 15-month BHP MSLT trial in 2020/21 during which BHP personnel trialled the EcoQuip MSLT in multiple duty locations at the BHP Pilbara iron ore operations.

The EcoQuip MSLT4 is designed, built and tested to US military standards, meaning maximum performance in the toughest, most remote conditions, the company says. They come equipped with lithium ferro phosphate batteries and can be controlled or monitored anywhere in the world, at any time, using a phone, a browser and a Wi-Fi/4G connection.

EcoQuip’s latest Generation MSLT and Mobile Solar Communications Tower have been successfully deployed to EcoQuip clients including Airobotics, Chevron, Thiess Contracting, John Holland and NRW.

Boyd said: “The BHP MSLT deployment is for a three-to-six-month period to allow BHP to complete a comprehensive MSLT technical evaluation and performance assessment. A successful trial outcome is the next critical step in EcoQuip’s objective to be selected to assist BHP to achieve its significant carbon intensity reduction targets across its global operations.”

BHP has agreed to pay the hire cost of the BHP MSLTs during the term of the trial deployment.

According to Boyd, displacing each site-based traditional diesel fuelled mobile light tower with an EcoQuip BHP MSLT will abate CO2 emissions, reduce hire/operating costs by circa-40-50% and reduce site-based service personnel requirements.

“The BHP MSLT data telemetry, data analytics reporting and remote performance control capabilities can deliver improved reliability, productivity and reduce HSE risks associated with diesel fuelled light tower service activities,” he said.

A theoretical MSLT deployment of 300 units across BHP’s global asset portfolio over a 10-year period could reduce diesel fuel consumption by around 20 million litres, reduce Scope 1 CO2 emissions by circa-50,000 t and save some A$65 million ($47 million) in equipment, maintenance and operating costs, according to the company.

The development of the BHP MSLT was completed concurrently with the development of EcoQuip’s new Autonomous Communications Sentry that was trialled by the Commonwealth of Australia in April 2022.

Kerman Contracting to construct ore storage facility for MRL’s Ashburton Hub project

Mineral project development, Mining services, Steel and iron ore, , , , , ,

Kerman Contracting Pty Ltd says it has been awarded a A$60 million ($42 million) contract from Mineral Resources Limited (MRL) to design and construct its Port of Ashburton Ore Storage facility in Onslow, Western Australia.

The scope includes the design, fabrication, supply and erection of an enclosed 284-m-long ore storage facility and associated materials handling. The design is already well underway and on-site construction works are expected to start in January 2023, Kerman said. The facility is part of MRL’s plans to develop the 30 Mt/y Ashburton Hub iron ore operation.

“This project fits perfectly into our core business and will provide employment for about 60 site personnel and opportunities for local businesses,” Kerman’s Managing Director, Chris Kerman, said. “To deliver a world-class facility for MRL we will call upon our previous experience in the design and construction of port bulk storage and materials handling facilities in locations such as Bunbury, Esperance, Geraldton, Port Kembla and Whyalla.

“We are very pleased with the opportunity to design and construct a storage facility with these dimensions in the Pilbara region. Once constructed this facility will be one of the largest enclosed bulk storage buildings in Australia’s cyclone region.”

K2fly to deploy Ground Disturbance Solution across BHP WA iron ore sites

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K2fly has announced that BHP Iron Ore has signed an initial one-year contract to deploy K2fly’s Ground Disturbance Solution over its entire iron ore operations in the Pilbara of Western Australia.

The agreement with K2fly will generate annual recurring revenue of A$620,000 ($432,151), according to the provider of resource governance solutions.

BHP’s Western Australia Iron Ore (WAIO) is an integrated system of four processing hubs and five mines, connected by more than 1,000 km of rail infrastructure and port facilities in the Pilbara region of northern Western Australia. It produces over 245 Mt/y of iron ore, making it one of the top five producers of iron ore globally.

Sitting within K2fly’s Natural Resource Governance area, K2fly Ground Disturbance solution is a cloud-based Software as a Service platform for applying, approving, tracking, reporting and submitting closure of permits and rehabilitation commitments surrounding ground disturbance activities, K2fly explained.

“K2fly’s Ground Disturbance Solution is the only commercial off-the-shelf (COTS) solution available in the market today and is transforming the way resource and infrastructure landowners manage and govern their land assets, enabled by delivering spatial first visibility, speed and efficiency in understanding and decision making, and collaboration for the users across the spectrum of land management,” it said.

The agreement with BHP means K2fly now provides the ground disturbance solution for the three biggest iron ore producers in Western Australia: Rio Tinto, BHP and Fortescue Metals Group.

Nic Pollock, CEO of K2fly, said: “We are delighted to be starting our relationship with BHP, who will join many other Tier 1 global mining companies as a valued client of K2fly. Our Ground Disturbance Solution is the only system which helps provide better transparency and governance whilst avoiding damaging the environment or protecting cultural heritage and ensuring all stakeholder engagement and obligations are met.

“Because of recent events in the Pilbara, the world’s attention is very much focused on how mining companies ensure that they better protect the environment, cultural heritage sites and engage with communities. This is a global trend and because K2fly offers the world’s only COTS solution for the range of natural resource governance and ESG issues that mining companies are addressing today, we are expecting this solution to become standard across many mining companies and across all jurisdictions.”

Zenith Energy to roll out 5B Maverick solar system across Australian mine sites

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Renewable energy penetration is set to increase on major mine sites in the Goldfields and Pilbara regions of Australia, after Zenith Energy and 5B signed a deployment agreement that could see the 5B Maverick™ system rolled out.

Zenith, one of Australia’s leading independent power producers, and 5B, a clean energy technology provider, signed an Ecosystem Framework Agreement-Deployment, permitting Zenith to be a deployment partner of the 5B Maverick system within Australia.

The 5B Maverick system solar array is prefabricated, allowing rapid deployment while increasing the ability of Zenith to expand renewable assets across existing and future sites, Zenith said. Each 5B Maverick array consists of up to 90 solar panels, mounted on specially designed racks, and optimised for the 540-550 W module class of the utility scale solar industry.

Zenith Managing Director, Hamish Moffat, said the partnership represents the next step in reducing emissions across Zenith’s legacy portfolio.

“We’ve been looking to increase renewable assets across multiple sites for some time; the question has always been around how we can achieve that in such a way that is economically viable,” he said. “The 5B Maverick system is re-deployable, meaning it can be integrated on mines with shorter tenure, and moved at the end of operations at those sites.”

He added: “It offers Zenith greater ability to leverage value from our initial capital expenditure, making it more cost effective to offer expanded renewable energy solutions for our clients.”

5B Co-Founder and CEO, Chris McGrath, said the strategic partnership is an important validation of 5B Maverick’s ability to reduce deployment complexity.

“This has been a major barrier for solar installations on mine sites worldwide,” he said. “The agreement also shows that our cost reduction efforts over the past two years have worked – we’ve hit the price point where 5B Mavericks can be viably packed up and redeployed elsewhere, substantially reducing the risk of stranded assets in mining, agricultural and industrial operations.”

Moffat said Zenith is looking to integrate the 5B Maverick system across three sites initially. These include:

  • Nova: The 5B Maverick will play a major role in Zenith’s industry first ‘engine-off’ project at IGO’s Nova nickel mine, allowing the site to operate on up to nine consecutive hours of renewable energy through the installation of an extra 10 MW of solar, and a 10 MW battery energy storage system;
  • Warrawoona: Zenith recently committed to the supply, installation, and commissioning of a 4 MW DC Solar Farm, using the 5B Maverick, as well as a 3 MW/3 MWh AC battery energy storage system at Warrawoona, owned by Calidus Resources. The hybrid power station configuration will reduce gas use, which in turn results in a reduction in emissions; and
  • King of The Hills: Work is currently underway to install 2 MW of 5B Maverick on the Red 5 site, also supported by a battery energy storage system.

Moffat said the 5B agreement is another key milestone on the company’s journey toward ‘net zero’.

“Our 2035 ‘net zero’ target strikes a balance between ambition and ability to achieve, with the 5B partnership a clear demonstration of our progress and commitment to this goal,” he said.

McGrath said 5B was keen to partner with Zenith, given the independent power producer’s strong reputation and credibility in providing renewable energy solutions to the mining and resources industry.

“We’re keen to develop mutually beneficial partnerships with like-minded companies, and Zenith definitely fits the bill,” he said. “It is great to see Zenith leveraging the ability of the 5B Maverick solar arrays to deploy up to 10 times faster, more safely than single axis tracker and fixed tilt solar systems, to deliver a full solution for their customers.”

Moffat said the partnership offers both Zenith and 5B the opportunity to continue to lead the industry, demonstrating the ability and capacity to effectively integrate renewable energy solutions.

“We have continually said we want to be part of the renewable solution, not just by developing the concepts needed, but by also actively deploying and proving the technology,” he said. “The partnership with 5B allows us to do this and continue to bring our clients on the glide path to ‘net zero’.”

Mineral Resources partners with Hexagon for ‘autonomous road train first’

Automation, Bulk handling, Mineral project development, Mining services, Steel and iron ore, , , , , , , , ,

Mineral Resources Ltd (MRL) says it has partnered with Hexagon to develop an autonomous road train solution as part of a plan to unlock “stranded tonnes” in the Pilbara of Western Australia.

Part of its mining services infrastructure supply chain solution, the autonomous road trains will form an essential part of the cost-efficient supply chain for the Ashburton Hub iron ore project, MRL said.

To support the development of the 30 Mt/y Ashburton Hub, the company plans to run a fleet of 425 t Gross Combination Mass (GCM), triple-trailer road trains operating across multiple convoys, with each road train convoy consisting of up to five prime mover trucks, with three trailers each, hauling the ore from the mine site to the Port of Ashburton.

The autonomous road train solution integrates Hexagon’s drive-by-wire technology with an autonomous management system to orchestrate vehicle movement, MRL explained. A successful pilot project is already underway at MRL’s Yilgarn operations (pictured) using 385 t GCM triple-trailer road trains, which have been tailored for the specific economic constraints of iron ore and other bulk commodities. During the next two years, the testing will continue, ramping up to 425 t GCM in time for the development of the Ashburton Hub project in the December quarter of 2023.

In this final configuration, a remote operations centre would monitor the trucks, with one operator in control of the platoon.

“An autonomous road train configuration of this scale is a world first and reflects MRL’s approach to continuous improvement and innovation,” it said. “We will initially adopt the technology for our own operations, with a view to offering the solution to our large Tier One customer base, further growing MRL’s mining services business.”

Mike Grey, MRL’s Chief Executive – Mining Services, said: “MRL has always been at the forefront of providing innovative and low-cost mining services solutions. In recent years, we have implemented a number of new technologies which have enhanced the safety and operational efficiency of our long-distance road train haulage fleet, reducing the risks of driver fatigue and increasing fleet availability. The autonomous road trains will take us to the next level again. They provide a safe, cost-efficient solution for hauling ore, which is key to unlocking stranded tonnes in the Pilbara.”

He added: “Being part of the MRL Group, our Mining Services division is in a really good position to trial all of our new technologies on our own mine sites prior to offering additional services to our customers. Our autonomous road trains, combined with our other innovations, are all part of our growth strategy to expand our capability to provide full pit-to-ship, low-cost infrastructure solutions.”

Hancock, Mineral Resources and Roy Hill consider Australia-first infrastructure sharing pact

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Hancock Prospecting Pty Ltd and Mineral Resources Ltd have entered into a legally binding agreement under which they will jointly investigate the potential to develop a new iron ore export facility at Port Hedland’s Stanley Point berth 3 in South West Creek.

The agreement would see Roy Hill Holdings, a Hancock subsidiary, provide services to both MRL and Hancock for development and operation of the project, including rail haulage and port services.

MRL said: “The project aligns with MRL’s strategy to unlock stranded deposits in the Pilbara by developing pit-to-port solutions and expanding its capability to be a long-term, low-cost sustainable supplier of iron ore to international markets.”

Hancock and MRL will conduct an expedited study to assess the economic and technical feasibility of the proposed project in the coming months, to usual market standards, they said.

In addition, Hancock and MRL will seek to undertake discussions with the Government of Western Australia and the Pilbara Ports Authority (PPA) in relation to the potential project. It is acknowledged that in order for the proposed project to proceed, the parties would need to first receive a development approval and a capacity allocation for the project from the PPA to jointly develop and operate Stanley Point berth 3 and other associated supporting port infrastructure.

MRL Managing Director, Chris Ellison (pictured in shot with Hancock Prospecting Executive Chair, Gina Rinehart on screen), said this partnership and infrastructure sharing proposal is the first-of-its-kind in the Australian resources industry and would enable significant value to be unlocked for the company in a sustainable manner.

“Our long-stated strategy is to transition from short-life, high-cost mines to lower-cost, long-life operations underpinned by innovative infrastructure solutions,” he said. “Developing our stranded assets will provide additional growth for MRL’s unique mining services build-own-operate model.”

The project  will be subject to a final investment decision by both parties, and other necessary approvals and agreements (including a lease, licence and an infrastructure development agreement or similar) from the PPA on agreed terms.