Tag Archives: Thiess

Building trust, improving transparency key mining sector focus areas, IMARC panel says

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On the final day of The International Mining and Resources Conference and Expo (IMARC) 2024, in Sydney, Australia, industry leaders turned the focus on building public trust and improving transparency.

A panel exploring ‘How to Improve the Public’s Perception of the Mining Industry’ discussed practical steps for mining companies to strengthen accountability and better connect with communities, spotlighting the sector’s key role in Australia’s sustainable future.

Caoilin Chestnutt, Head of Corporate Technical Services at Thiess, spoke about the importance of addressing past challenges while meeting today’s higher standards for ESG and net-zero goals.

“As a mining industry, we’re tackling legacy issues,” she said. “We didn’t always get it right, and it takes a long, long time to rectify those things.”

To build trust, Chestnutt noted that listening to community needs is essential, sharing an example in which her team set up an education program for a community but soon found that more immediate needs, like access to clean water and sanitation, were a priority.

She explained: “If you can invest in sustainable, diverse economies that run in parallel, so that’s sustained long after the resources in the ground are depleted, then you really leave a legacy behind, and to me, that is what this net positive is all about.”

Panellists also agreed that transparency is also vital in this space.

Helen Degeling, Manager of ReMine Plus at Cobalt Blue, pointed out that while the industry has often kept information private to protect intellectual property, this approach needs to shift to demonstrate its commitment to responsible practices and sustainable development.

“Transparency is a cornerstone of public trust,” she said. “For too long, the mining industry has kept certain operations confidential but to build trust, we need to be more open about what we’re doing and why.”

Steph Byrom, General Manager of Decarbonisation at Loop Decarbonisation Solutions, highlighted the importance of social licence, describing a project that ended in “community revolt”, because they weren’t included from the beginning.

“We ended up with 1,500 complaints a year compared to our neighbouring mine which had 17 that year because we did not include community impact in the mine plan,” Byrom said. “I mean how simple is that to do? It’s almost like you can get more tonnes out if you get people on side. This is not a one or the other.”

Byrom also addressed the value of fostering a diverse workforce to change public perception – beyond crucial gender diversity.

“How do we include local communities, people of colour, diverse backgrounds, not just women?”

Looking to the future, the panel stressed the importance of engaging younger generations too.

Chestnutt urged the industry to bring these conversations into schools and homes, saying, “we need to take these conversations out of our boardrooms and meeting rooms and into our living rooms and into the schools.”

Michelle Lawson, Non-Executive Director of AusIMM, added: “How we communicate our values and our achievements plays a significant role in building trust and accountability. As we look ahead, the voices of emerging professionals are critical in shaping the future of mining.”

Thiess out to deliver ‘real, meaningful’ industry change with MASITE training program

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Thiess says it is looking at ways to promote company-wide adoption of a training program developed in Australia and recognised at this year’s BHP Women in Mining Awards.

Thiess’ Mt Arthur South Indigenous and Inclusive Employment (MASITE) program was named winner in the Excellence in Diversity Programs and Performance category of the awards announced in Canberra in the Australian Capital Territory this week.

The company says it developed the MASITE program to help attract more women and Aboriginal and Torres Strait Islander people from local communities to its workforce.

“Participants in the MASITE program have access to a world-class training hub, with fully immersive simulators, support from peers and mentors, and a warm and welcoming environment,” Thiess said.

Nearly 170 participants had come into the program since March 2021, including 109 women and 79 Indigenous trainees. Thiess said female participation at the Mt Arthur South site had increased by 6.5% and Aboriginal and Torres Strait Island participation had risen by 10.5%.

More than 90% of MASITE trainees converted to Thiess permanent employees at the end of the program.

“I’m incredibly proud of the team at Mt Arthur South for the work they’ve put into developing the MASITE program,” Thiess Group Executive Australia East Operations, Rae O’Brien, said. “We’ve seen an increase in our female and Indigenous participation at Mt Arthur South since the program was first introduced, which is a great outcome.”

Thiess Mining Project Manager, John Hamson, said the MASITE program was having a significant positive influence on the culture at Mt Arthur South.

“For many participants, this program has been life-changing, providing a new pathway to rewarding careers and creating a brighter future for them and their families,” he said.

Thiess plans to continue onboarding new-to-industry recruits through the program and said it was exploring ways to roll the program out to the rest of the company.

“Thiess looks forward to continuing to deliver real, meaningful change in the industry,” the company said.

IMARC is the premier gathering for the most influential minds in the mining industry, a dynamic hub where ideas ignite, and inspiration flows – it is the ultimate meeting ground for global industry leaders.

As Australia’s largest and most significant mining event, IMARC attracts over 9,000 decision makers, industry leaders, policymakers, investors, commodity buyers, technical experts, innovators and educators from more than 120 countries. For three action-packed days, attendees will engage in cutting-edge learning, forge valuable deals, and experience unparalleled networking opportunities. IMARC is due to take place in Sydney, Australia, from October 29-31.

MACA secures five-year ‘first right of refusal’ agreement with Emerald Resources

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MACA has announced a five-year agreement with Emerald Resources NL to continue partnering on current and all future mine developments.

Under this agreement, MACA has earned the first right of refusal to deliver a full range of mining services, construction and establishment works for future Emerald Resources operations.

This follows a 2020 agreement between the two companies that has seen MACA supply earthmoving equipment and conduct contract mining services at Emerald’s Okvau gold project in Cambodia.

Emerald said the scope of this pact covers a full range of mining services including load & haul, drill & blast, underground mining (development & production), crusher feed, tailings dam construction and establishment works.

Australia West Group Executive, David Greig, said: “Founded upon MACA’s safe delivery of strong operational results for Emerald Resources at the Okvau gold project in Cambodia, this agreement is a testament to our long-standing reputation in the market as a trusted partner. With a substantial pipeline of developments ahead, it signals an exciting period of growth for both businesses across Australia and Cambodia, and a significant next step in our partnership.”

Emerald has a number of projects in both Cambodia and Australia.

MACA’s combined breadth of scope and international experience as part of the Thiess Group, including PYBAR, recently acquired for its underground capabilities, strongly positions the company in the global market, it says.

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

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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

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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.”

Coronado Global Resources looks at running updated waste mine gas truck trial at Curragh operations

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Coronado Global Resources’ plan to capture and use open-pit waste mine coal gas from its Curragh operations in the Bowen Basin of Queensland, Australia, are accelerating, with the company confirming at its AGM last week that first gas from pilot wells was achieved in January 2024 with better than anticipated flow rates.

Curragh has been operating since 1983 and was acquired by Coronado in 2018. It is made up of two active open-pit mines – Curragh South and Curragh North – which are serviced by four large draglines, one electric rope shovel, 13 truck and excavator fleets and two coal preparation plants. It produces high-quality, low-vol hard coking coal, semi-soft coking coal, pulverised coal injection and thermal coal.

Curragh’s gas project is targeting the capture and beneficial use of open-pit waste mine coal gas from operations, with priority downstream use cases being for power generation and use  as a diesel substitute in mining fleets.

The company says it now has wells operational, with surface production facility installation works complete and thee anticipated flow rates from first gas achieved in January exhibiting better than anticipated flow rates.

The next steps for the project are to run an updated converted gas truck trial to test feasibility of transitioning to waste mine coal gas conversion on more trucks.

As part of Coronado Global Resources’ emissions strategy, the company conducted a trial to test gas-converted haul trucks, working with its partners Mine Energy Solutions (MES) and Thiess. Over an eight-week period beginning in July 2023, it converted a single 793F haul truck to dual fuel and operated it within a normal production environment. Results from the trial proved that the operational performance of the trucks remained within the normal range of a diesel truck, it noted.

The company said in its recently released 2023 sustainability report: “We also developed an understanding of the key partnerships and requirements for larger-scale deployment and the challenges we need to overcome for operational readiness.”

Achievements and findings from the trial included:

  • Saving of 19,200 litres of diesel;
  • A 17-20% reduction in diesel exhaust pipe CO2 emissions;
  • No observed decrease in truck horsepower, engine life or other components due to burning compressed natural gas (CNG);
  • More than 320 hours of dual-fuel operation and 547 hours of overall operation;
  • No observed decrease in travel time, cycle time or speed on grade; and
  • Operators’ positive feedback that vehicles operated similarly to non-gas 793F haul trucks.

Thiess puts all energy transition options on the table

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A much deeper mobile equipment supply and innovation pool is fast developing and is definitely needed by the global mining industry to help it meet unprecedented energy transition and other production challenges, Shane Clark, Thiess Group Manager, Energy Transition, said at The Electric Mine 2024 this week.

“The Thiess business has more than A$2 billion (US$1.3 billion) worth of mobile assets in the field [including] 3,000 what we call primary assets, which is large equipment over 100 tonnes,” Clark said.

“And it becomes a very big problem as to how we transition. The answer more and more is we just have to have options. We have to connect with early adopters to build out our capability to support that battery electric fleet of tomorrow.

“But more than anything, we just need to get started.”

Clark and other speakers at the major mine electrification event attended by more than 900 people emphasised the vast scale of the diesel fleet renewal hurdle in front of the industry at a time when falling ore grades and deeper mines are increasing energy usage.

Thiess, the world’s largest surface mining contractor, is targeting 25% lower diesel combustion emissions by 2035 and wants 85% of Thiess-operated light vehicles to be battery electric (BE) or hybrid by 2030.

Clark said the pursuit of lofty greenhouse gas emission reduction goals by an earthmoving contractor in the mining sector was “quite a difficult problem” where the service provider wasn’t in the driver’s seat on primary site power supply and distribution, and mine owners equivocated on carbon efficiency.

“The reality is that we can’t [meet our 2035 diesel emission target] without transitioning the entirety of our small fleet, which is 150 t trucks or less, to at least a hybrid solution; we need our current diesel electric fleet to all be converted to BEV by 2035 and we need a large portion of our excavator fleet to at least be hybrid.

“Most of the work has to be done by 2030.”

Clark said smaller, autonomous mobile equipment, advanced software and AI-based production and energy management optimisation, and shifts in traditional thinking about operating processes, all had crucial roles to play in current and future mine planning and execution.

“The best miners in the future are going to be the best optimisers. Who can perform the most holistic optimisations will be the best performers. [That starts with] pit optimisation.

“We need to get capital back from anywhere we can to fund the transition. That includes thinking about assets differently. If we use smaller assets, steeper ramp gradients, vehicle choreography, we can change the pit economics, pull back that budget to fund infrastructure.

“The major barrier to get to full BEV fleets in my mind is less about production requirements, because they can be worked around…Having worked on site for many years I can see how you can make battery electric assets work. It really comes down to the cost of energy and the amount of curtailment we can achieve. Some way, somehow, we need to get energy storage inside the mine gate cheaper.

“Our belief is that means we need to get batteries in applications that make sense now into the field, so they can serve out a second life on the grid.”

Clark said a two-track focus on hydrogen fuel-cell and full BE products from traditional sources was “getting in the way of real progress”.

“The [traditional mining] OEMs have a huge role to play and as a contractor, of course, we will purchase as much of that fleet as possible,” he said. “But as I say, we need to bring down the energy costs inside the mine gate now. I don’t think we can wait for the ramp-up of [new vehicle manufacturing]. There’s obviously other OEMs that are making great strides [and] so far the Eastern part of the world is showing us the way. If you go to most mines inside China you won’t find just diesel fleet. They’re already on the journey. You go to most factories and the majority of the fleet is at least hybrid.

“The full diesel electric fleet is becoming smaller and smaller. There’s obviously a lot of perceived threats with the change. [But] I think if you look at the automaker industry, which is a pretty good thematic for the majority of industry, it makes perfect sense that there are so many players entering the heavy mining machinery market now. We have as many green battery electric options to automakers in China today than we had all automakers in the world just 20 years ago.

“Why? Because obviously with new advances comes new opportunity and everyone wants a stake.If you’re a contractor or a [miner] trying to pick one winner out of hundreds of possible solutions going forward, you are thinking about the problem the wrong way. The energy cost inside the mine gate is the real problem. How do we enable a step change there?”

This story was written by Richard Roberts of InvestMETS, one of The Electric Mine 2024 Supporting Partners

CIMIC boosts ownership in mining services provider Thiess

Mining mergers and acquisitions, Mining services, ,

CIMIC Group has entered into an agreement with funds advised by Elliott Advisors (UK) Ltd (Elliott) regarding the acquisition by CIMIC of an additional 10% equity interest in Thiess, a leading global mining services provider.

The acquisition, for a purchase price of A$320 million ($210 million), increases CIMIC’s ownership of Thiess to 60%.

CIMIC and Elliott will continue to have equal board representation while CIMIC will strengthen its governance over the day-to-day operations of the company.

Consequently, CIMIC will fully consolidate Thiess in its financial accounts. The acquisition will be positive for CIMIC’s credit ratings, it said.

CIMIC Group Executive Chairman, Juan Santamaria, said: “Increasing our ownership of Thiess strengthens CIMIC’s business profile, as it grows its commodities portfolio to include metals and minerals critical to the world’s shift to zero emissions and develops services to enable sustainable mining, reflecting the strategic importance of the energy transition to CIMIC.

“Thiess is a well performing business underpinned by long-term, low-risk contracts, providing an annuity-style income stream and stable cash flows.”

Thiess is a global leader in diversified mining services, providing open-pit and underground mining, asset management and sustainability focused solutions to clients around the world. With more than 15,000 employees, Thiess operates in Australia, Asia and the Americas across more than 60 projects and had 2023 revenue of A$5.9 billion.

CIMIC sold 50% of Thiess to Elliott in 2020, with a put option back to CIMIC exercisable between January 2024 and December 2026. Following this transaction, the put option for the remining 40% is exercisable between April 2025 and December 2026.

Thiess Rehabilitation surpasses expectations at Harum Energy’s MSJ coal mine site

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Thiess says it has surpassed its goal of rehabilitating land at the Harum Energy’s MSJ Coal Mine in East Kalimantan, Indonesia, showcasing the expertise of the Thiess Rehabilitation business.

In 2023, Thiess delivered rehabilitation services for the MSJ Coal Mine in East Kalimantan, Indonesia, with a target of 35.87 ha, but the team surpassed that goal, rehabilitating 35.97 ha by November 2023.

The project team had to overcome several challenges, including topsoil sourcing and handling requirements, Thiess explained. Further, due to pit sequencing, most of the rehabilitation areas didn’t become available until October 2023, leaving a very short timeframe to complete the work. This was exacerbated by resourcing challenges.

To address these challenges, the team employed several strategies, including:

  • Advancing the final area in pit dumps to expedite soil spreading readiness;
  • Conducting daily inspections and monitoring to ensure the rehabilitation success;
  • Coordinating closely with the client to accelerate plans for rehabilitation in additional areas beyond the initial scope; and
  • Actively involving the client in monitoring and quality control at every stage of the rehabilitation process

Yohanes Agustian, Superintendent Environment, Thiess Indonesia, commended the team on their efforts, saying: “Despite these challenges, our team worked relentlessly to meet our client’s target, on time.”

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

Mining mergers and acquisitions, Mining services, , , , ,

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.