Tag Archives: Thiess

AECI Australia cements Thiess relationship with five-year contract extension

AECI Australia has been awarded a five-year contract extension by contract miner Thiess for the supply of bulk emulsion explosives, initiating systems and related services for mines in Queensland and New South Wales.

This contract consolidates AECI’s base business in Australia and further strengthens the relationship between the two companies, which began in 2014 when AECI entered Australia to support this major mining customer, AECI said. The two also have long-standing partnerships in Indonesia and in several countries in Africa.

The Australian contract, using AECI’s existing in-country capabilities and infrastructure, includes supply of bulk emulsion explosives formulations produced at AECI’s site in Bajool, Queensland, as well as gassing technology for down-the-hole delivery by Thiess; supply of ammonium nitrate; and supply of the Intellishot® electronic initiating system and booster.

Mark Dytor, AECI Chief Executive, said: “AECI Australia is celebrating the achievement of seven years worked without a lost-time injury. We are proud to deliver a safer, innovative and cost-effective product offering that enables ‘One AECI, for a better world’. Better Mining is one of our sustainability goals because we recognise the importance of making global mining safer and more circular. Significant opportunities exist and we look forward to realising more of these in collaboration with customers such as Thiess.”

Antofagasta becomes latest Charge on Innovation Challenge patron

Antofagasta, as part of its sustainability efforts, has joined the Charge On Innovation Challenge as a patron.

The initiative, which counts BHP, Rio Tinto and Vale as founding patrons, seeks to develop solutions to charge the batteries of electric mining trucks safely, quickly and sustainably. This is essential in order to replace the use of diesel in these trucks and the emissions it produces, the challenge organisers say.

The goal is to enable trucks of 220 t or more to stop using diesel and run on electric batteries, just like other electric vehicles. In order to achieve this, it is essential to develop a battery charging system that does not use polluting fuels and, at the same time, allows the extraction trucks to operate as they usually do.

Today there are already efforts underway to develop and use electric trucks, but those are for trucks of a smaller tonnage (100 t) which can regenerate their own energy, Charge on Innovation says. The collaborative work with the Charge On Innovation Challenge seeks to develop solutions for larger trucks.

Iván Arriagada, CEO of Antofagasta, said: “As a mining group focused on innovation, we are interested in collaborating and contributing to the development of the industry for the future. That is why we decided to participate in this challenge, which is key to being able to use electric trucks and significantly reduce greenhouse gas emissions.”

As part of its Climate Change Strategy, from 2022, the electricity supplying Antofagasta companies will come from renewable sources. Antofagasta’s Zaldívar mine has been operating from clean energy sources since July 2020.

Thanks to these advances and other measures adopted by the company, Antofagasta was able to reduce its greenhouse gas emissions by more than 580,000 t since 2018. Its new goal is to decrease those emissions by an additional 30% between now and 2025.

The Charge On Innovation Challenge was launched by BHP, Vale and Rio Tinto in partnership with Austmine. It has since added Roy Hill, Teck, Boliden and Thiess as additional patrons.

Thiess in line for contract extension at Mach Energy’s Mount Pleasant

Thiess has been selected as the preferred mining services contractor for the Mount Pleasant thermal coal operation in New South Wales, Australia.

MACH Energy has notified Thiess of its intention to enter into exclusive negotiations to finalise the terms with the view to execute a mining services contract, it said.

Under the contract, Thiess will continue to provide full scope mining services including drill and blast, load and haul, mining and run of mine rehandling services, equipment maintenance and progressive rehabilitation.

Subject to contract finalisation, from April 2022, revenue to Thiess is expected to be around A$925 million ($690 million) over four-and-a-half years.

“Thiess began operating at Mount Pleasant in 2017 as a greenfield mine, applying industry best practice mining development and operations with uncompromising environmental and safety standards,” the company said. “This includes delivering the operation’s first rehabilitation two months before first coal was mined, demonstrating a true commitment to sustainable practices and to the community more broadly.”

Subject to execution, Thiess will continue to draw on local businesses for the provision of goods and services to support the mine and is committed to attracting and retaining a diverse, local workforce.

Thiess signs ‘industry first’ dual-fuel agreement with Mine Energy Solutions

Thiess has signed an agreement with Australia-based Mine Energy Solutions that could see the use of locally-sourced gas to displace diesel in large mining trucks using MES’ “currently available and proven” dual-fuel technology.

The agreement to bring lower emission, dual-fuel technology to Thiess’ mining fleet represents a first for a mining services provider in the industry, the company said.

The partnership will commence with the conversion of a fleet of six mining trucks and seek to source gas on site to allow the removal of the equivalent B Double diesel deliveries from local highways, reducing congestion and making it safer for regional families, Thiess said. Longer term, Thiess and MES will seek to expand to full fleet conversion before exploring further opportunities both within Australia and Internationally.

Thiess CEO, Douglas Thompson, said: “Partnerships like this ensure Thiess is playing a role in reducing emissions on our operations and leading the path to decarbonisation of the industry.”

MES’ CEO, Adrian Abbott, added: “We’re proud to partner with Thiess and apply this technology in the Bowen Basin. Our focus is to use locally-sourced gas through the capture and use of fugitive methane contained in the coal resource to enable the average mine site to reduce their greenhouse gas footprint by more than 550,000 t of CO2-e per annum.”

MES’ High Density Compressed Natural Gas (HDCNG®) technology was previously trialled at the New Acland coal mine in Queensland, Australia, with help from New Hope Group and Hastings Deering. This saw a Cat 789C haul truck converted from diesel use to dual-fuel operation using natural gas as the dominant fuel through sequential gas injection.

Thiess cuts dust and noise emissions at Glencore’s Mt Owen coal mine

Thiess, in partnership with its client Glencore, has come up with a proactive approach to environmental management to ensure dust, noise and blasting emission impacts are minimised on local communities at the Mt Owen coal mine in New South Wales, Australia.

Working together with Glencore, the team has developed a range of controls including leadership training and education sessions, noise and dust risk forecasting, targeted sound power testing of operating equipment and real-time monitoring technology.

Thiess Senior Environment Advisor, Linda Lunnon, said the real-time data enables the operational team to monitor dust and noise levels and respond swiftly to changing weather conditions.

“Paired with regular visual inspections, the technology provides further guidance throughout each shift, enabling our leaders to readily modify operations as needed,” she said. “The system also triggers SMS alerts to relevant personnel if dust or noise levels reach a defined threshold. This provides a prompt for operational staff to reassess controls and implement further actions if required.”

Lunnon said the forecasting systems also allow the Mt Owen team to plan for adverse weather conditions.

“Dust and noise are two of the highest environment risks for our projects in the Hunter Valley, and we are continually monitoring and refining controls that can assist in managing these risks,” she said.

Thiess’ environment team believes engaging its people is critical to effectively managing risks.

“We prioritise continued support and coaching of our people to ensure they understand the context and importance of our environmental controls and can get optimal value from the systems we’ve developed,” Lunnon said. “We educate them on the monitoring of data, trends and how they can apply their knowledge to minimise short-term and longer-term community impacts.”

Thiess Environment and Civil Manager, James Anderson, recognises his team’s ability to stay abreast of emerging environmental trends in industry and legislation to reduce risks and identify and action opportunities for our client.

“Our Mt Owen team works closely with our wider operations in the Hunter Valley to collaborate on solving problems and achieve tailored dust and noise management solutions,” Anderson said.

More broadly, the Mt Owen team works with Thiess’ wider operational and technical teams to design and deliver integrated solutions that optimise overall mining and rehabilitation efforts.

“Each project leverages our global insight to provide local value, with our head office team offering industry-leading environmental insights across each of our operating countries,” Anderson said. “Our proven experience managing the full suite of environmental services on mine sites ensures we continually deliver exceptional outcomes for our clients.”

Thiess cuts probe drilling costs by leveraging advanced void management system

Thiess says its mine planning team is pioneering the development and use of an advanced void management system that is informing probing, drill pattern and blasting design.

The holistic system gives the contractor’s office and field-based teams immediate access to a central database of void information to support better, faster decision making and task optimisation.

Thiess General Manager WA/SA (Acting), Matt Henderson, said the system focuses on capturing, monitoring and understanding existing voids to help the project team manage and backfill where required.

“It gives us and our client a clear understanding of the geological and geotechnical risks associated with the project and how to best address them,” Henderson said. “This flows from mine design into operations, enabling our project team to manage and mitigate risk to our people and delivery.”

Thiess Mine Planning Manager, Ravi Achari, said the system, designed to enable verticle mining through extensive networks of underground voids (drives, development workings, workings, vertical rises and large slopes), was developed to improve safety and provide greater certainty in the company’s delivery.

“The system was developed using insights and learnings from a number of technologies currently available on the market, but without integration were unable to provide the required outcome,” Achari said. “We also leveraged insight from our void officers and surveyors, and drill and blast, geotechnical and mine planning engineers.”

Achari confirmed the new system enables his team to determine the right solution specific to each void.

“The system uses historical plans, probing and drilling data to survey the position and size of the old workings,” he said. “This includes checking the location and attributes of the voids we find against the recorded data to verify any changes in size or shape.

“Our findings will then inform our safety zone and backfilling requirements.”

Incorporating over five-years of proven void management processes and procedures, the system delivers client benefits by enabling Thiess’ team to mine additional tonnes.

“The system gives a precise delineation of the voids informing a more tailored drill and blast design that allows additional recovery of the commodity,” Achari said. “It has also enabled a reduction of probe drilling costs by up to 25%, representing a substantial cost saving.”

To date the system has helped manage and treat over 25 km of underground voids and stopes in Western Australia, and is currently being leveraged to develop an integrated drill and blast reporting system for Thiess globally.

Thiess equity transaction on target for end of 2020, CIMIC Group says

CIMIC Group says it has signed all relevant material documentation including financing agreements for the sale of 50% of Thiess, one of the world’s largest mining services providers, to funds advised by Elliott Advisors (UK) Ltd.

This encompasses the satisfaction of a number of conditions precedent, including the required regulatory approvals, CIMIC noted.

Back in October, CIMIC announced the deal with Elliott, one of the oldest fund managers of its kind under continuous operation, saying the transaction would strengthen CIMIC’s balance sheet by generating cash proceeds on completion of A$1.7-A$1.9 billion as well as reducing CIMIC’s factoring balance by around A$700 million and CIMIC’s lease liability balance by some A$500 million.

Thiess delivers open pit and underground mining in Australia, Asia, Africa and the Americas, providing services to 25 projects across a range of commodities, CIMIC says. It has a diverse fleet of plant and equipment of more than 2,200 assets, a team of around 14,000 employees and generates annual revenues in excess of A$4.1 billion.

CIMIC noted that transaction completion, including receipt of cash proceeds, is expected to occur prior to the end of 2020.

As previously advised, the price for 50% of the equity interest in Thiess implies an enterprise valuation of approximately A$4.3 billion ($3.3 billion).

Elliott funds take 50% stake in CIMIC’s Thiess

CIMIC Group says it has entered into an agreement with funds advised by Elliott Advisors (UK) Ltd regarding the acquisition by Elliott of a 50% equity interest in Thiess, a leading mining services provider.

Elliott is one of the oldest fund managers of its kind under continuous operation and manages more than $40 billion in assets, including equity positions in private and listed companies, in Australia and globally, CIMIC says.

Thiess, meanwhile, delivers open pit and underground mining in Australia, Asia, Africa and the Americas, providing services to 25 projects across a range of commodities. It has a diverse fleet of plant and equipment of more than 2,200 assets, a team of around 14,000 employees and generates annual revenues in excess of A$4.1 billion ($2.9 billion). Thiess is included in CIMIC’s Mining and Mineral Processing segment with CIMIC company Sedgman, a leading provider of minerals processing and associated infrastructure solutions to the global resources industry.

Following closing of the deal, CIMIC and Elliott will jointly control Thiess in accordance with a Shareholders’ Agreement, which contains governance arrangements as well as Thiess’ financial and dividend policies, among other items.

The price for Elliott’s 50% equity interest in Thiess implies an enterprise valuation of approximately A$4.3 billion (based on 100% of Thiess), subject to certain adjustments. The transaction will strengthen CIMIC’s balance sheet by generating cash proceeds on completion of A$1.7-A$1.9 billion as well as reducing CIMIC’s factoring balance by around A$700 million and CIMIC’s lease liability balance by some A$500 million, it said.

CIMIC Group Executive Chairman, Marcelino Fernández Verdes, said: “The sale agreement reflects Thiess’ ongoing strategic importance as a core activity for CIMIC. It capitalises on the robust outlook for the mining sector and, together with Elliott, we will pursue market opportunities in line with Thiess’ growth and diversification strategy.”

Back in July, CIMIC Group announced that it had signed an exclusivity agreement and was in advanced negotiations with funds advised by Elliott regarding the potential investment by Elliott into 50% of the share capital of Thiess.

Thiess to continue operations at BMA Caval Ridge coal mine

CIMIC Group’s global mining services provider, Thiess, has been awarded a contract extension by BHP Mitsubishi Alliance (BMA) to provide mining services at the Caval Ridge coal mine in Queensland, Australia.

The 12-month contract extension will generate revenue of A$110 million ($79 million) to Thiess, CIMIC said.

Under the contract variation, Thiess will continue to operate and maintain three 600 t excavator fleets to move additional overburden for the Caval Ridge operation, an open-pit coal mine with a 10 Mt/y throughput capacity.

Back in 2018, Thiess and BMA signed a contract variation that saw the contract miner move additional overburden through 2020 as per the terms of the contract.

CIMIC Group Chief Executive Officer, Juan Santamaria, said: “This contract extension builds on our relationship with BMA and reinforces our commitment to work with our clients to safely position their operations for optimal efficiency, productivity and cost performance.”

CIMIC Group Executive Mining and Mineral Processing and Thiess Managing Director, Douglas Thompson, said: “We’re proud to continue our work at Caval Ridge where we have a proven track record of delivering innovative and low-cost mining solutions. It is a testament to the team’s continued focus on delivering a safe and productive operation for our client.”

The contract extension will commence in December 2020.

Last week, CIMIC confirmed that it was close to bringing in a new equity investor for its Thiess contract mining business.

CIMIC Group closes in on new equity partner for Thiess mining business

CIMIC Group is close to bringing in a new equity investor for its Thiess contract mining business, with Executive Chairman, Marcelino Fernández Verdes, saying in its latest financial results that due diligence had been completed and negotiations were expected to be finalised “in the coming days”.

Back in July, CIMIC Group announced it had signed an exclusivity agreement and was in advanced negotiations with funds advised by Elliott Advisors (UK) Ltd regarding the potential investment by Elliott into 50% of the share capital of Thiess. This would provide joint control of Thiess to CIMIC and Elliott.

Verdes said in today’s results that the introduction of an equity partner into Thiess “capitalises on the outlook for mining, provides capital for Thiess’ continued growth and enables CIMIC to strengthen its balance sheet”.

Within the September quarter, Thiess secured a A$340 million ($240 million) extension from Glencore to provide mining services at the Mount Owen coal operation in the Hunter Valley of New South Wales, Australia.

CIMIC Group said today that its companies are also bidding on work associated with the Winu copper-gold project in Western Australia, which Rio Tinto revealed a maiden inferred resource for in July; along with a mining extension at MACH Energy’s majority-owned Mount Pleasant coal operation in the Hunter Valley of New South Wales.