Tag Archives: zinc

Maximising the benefits of sensor-based ore sorting machines

Ore sorting has been shown to provide both economic and environmental benefits, but many mines are not yet fully utilising this technology, according to HPY Technology.

Yet, the company’s ore sorting machines are providing a breakthrough solution for Fankou, one of Asia’s largest lead and zinc mines, resulting in an annual revenue increase of around $9.22 million.

Located in Renhua County, Shaoguan City, Guangdong Province, Fankou is owned by Shenzhen Zhongjin Lingnan Nonfemet Co Ltd. The mine has been producing lead and zinc for over 60 years. However, with new underground mining processes, such as vertical crater retreat and large blasting, more waste rock is being introduced into the crushing, grinding and flotation processes, resulting in higher production costs and energy consumption.

Furthermore, under the “zero waste” target set by the Environmental Protection Law of China, Fankou’s tailings pond needs to be closed by 2025. As of 2018, the mine’s annual processing capacity was 1.5 Mt, with 600,000 t ending up in the tailings pond. In addition, Fankou’s waste rock piles had reached approximately 2 Mt. With the continuous addition of around 200,000 t/y of waste rock, these piles grew larger. With the pressure to meet the zero waste target, Fankou was under pressure to make a change.

In 2017, Fankou conducted exploratory tests of sensor-based ore sorting machines with Ganzhou HPY Technology Co Ltd. The result of the initial tests showed promise and addressed the problems the mine was beginning to face, according to HPY Technology. As a result, Fankou decided to add HPY Technology’s ore sorting machines to the industrial design plan of their mineral processing plant in 2018, and HPY Technology’s machines were officially added to the plant in 2019.

The Fankou lead-zinc mine currently produces about 1.4 Mt/y of ore, and it is expected that more than 105,000 t of waste rock will be pre-rejected from the raw ore throughout the year. Ore sorting technology can discard a large amount of waste rock from the raw ore before it is fed into the flotation system, reducing the amount of waste rock entering the mill and saving on electricity costs.

Fankou’s mineral processing plant uses four Classic Series P60-X1400 ore sorting machines. The machine processes the particle size range of +12-90 mm, which accounts for about 50% of the raw ore. This accounts for 2,600 t of ore, rejecting 400-500 t/d of waste rock. After pre-concentration, the lead and zinc content in the waste rock are below 0.3%, and the sulphur and iron content is below 3.8%. Therefore, the ore sorting process enriches the ore grade by 1.08% for lead and zinc and 2% for sulphur and iron.

Four Classic Series P60-X1400 ore sorters in Fankou’s mineral processing plant

After sorting the waste rock from the raw ore, this waste rock can be sold as construction aggregate to bring further economic benefits to the Fankou mine. This has also seen the amount of tailings decrease and the service life of the tailings pond extend significantly, resulting in remarkable energy savings and consumption performance, while also enhancing the mine’s societal value, HPY Technology says.

Mr Wang, Project Manager of Fankou Mineral Processing Plant, said: “We are proud to be one of the world’s first lead and zinc mines to utilise ore sorting fully. We see significant economic benefits for using HPY Technology’s ore sorting machine, especially for low-grade mines. China has huge lead and zinc ore reserves, the second largest in the world. But the grade of the deposits is generally low, with many poor and few rich ores. The average grade is about 1.5% for lead and 2.5% for zinc. Reserves with a grade below 5% account for more than 90% of lead ore, and reserves below 8% account for more than 85% of zinc ore. We hope to continue contributing to the mining industry’s progress and are willing to recommend HPY Technology’s ore sorting machine to our peers.”

The Classic Series used in Fankou’s mineral processing plant is a benchmark in the ore sorting industry, according to HPY Technology. This machine uses dual-energy X-ray technology, combined with high-speed air jets to sort ore from waste rock. The X-ray technology penetrates the ore and creates a grayscale image that distinguishes between target and vein minerals. This image is then processed by an artificial intelligence algorithm, which uses the information to accurately sort the ore and waste rock. The Classic Series has undergone numerous iterations, ensuring stable and efficient operation, HPY Technology says. It is currently the most widely used ore sorting machine in China’s mining industry, according to the company.

Fankou Lead-Zinc mine, mineral processing plant

HPY Technology | Fankou lead-zinc mine, mineral processing plant

Machine used Four Classic Series P60-X1400
Processing capacity 2,600 t/d
Particle size +12-90 mm
Concentrated ore grade (Pb+Zn) 12%
Waste rock grade (Pb+Zn) <0.3%
Grinding grade (Pb+Zn) increased by 1.08%
Rejection rate 16-17%

Fankou’s mineral processing plant can save more than $2.9 million/y by using HPY Technology’s ore sorting machines, resulting in an annual profit margin of more than $7.8 million, considering the comprehensive benefits of increased plant capacity, tailings reduction and construction aggregate sales.

In addition to the four Classic Series P60-X1400 in the mineral processing plant, the Construction Materials Plant has three HPY Technology ore sorting machines to process the waste rock from the mineral processing plant and its existing waste rock piles. The waste rock is taken to the construction material plant for another round of sorting, with the remaining waste rock being used for construction aggregates. The three machines at the construction materials plant also process the 2 million cu.m of waste rock initially stockpiled in the tailings pond.

Mr Luo, Project Manager of Solid Waste Treatment, said: “In the past, we could only transport solid waste back to the shaft for filling. After using HPY’s ore sorting machines, we can now sort out all the ore from solid waste and recover the value of the resources. The remaining waste rock can be sold as construction aggregates, which is a win-win solution. Currently, we are also sorting waste rock that was stored before using HPY’s ore sorting machines. The ore grade is about 3%. Sensor-based sorting technology enriches the ore grade to 12-14%. Sorting results show that the rejection rate exceeds 95%. In the global mining industry, Fankou is one the first to successfully apply intelligent ore sorting technology in lead and zinc mines, achieving maximum resource value recovery and is great for the environment.”

According to Mr Luo, waste rock that was initially made into construction aggregates now yields more than 1,500 t/y of lead and zinc metal, which has been able to be recovered through the Construction Materials Plant. In addition, the ore sorting process reduces the waste rock’s sulphur content. This substantially improves the grade of the construction aggregates, increasing its sales price. As a result, the waste rock made into construction aggregates generates about $977,000/y in economic benefits. In addition, the recovered ore generates over $2.8 million/y in benefits.

Fankou has utilised sensor-based ore sorting to its full extent, HPY Technology says, using it during the comminution process to pre-reject waste rock to increase its lead-zinc ore grade. The company also sees benefits from pre-rejected waste rock in reduced costs in its grinding process. With pressure to control the amount of tailings, the pre-rejected waste rock lowers the amount of tailings entering the tailings pond to help the company in its aim of closing the tailings pond in 2025. In addition, sensor-based ore sorting has allowed the company to gain additional revenue through the recovery of lead-zinc from their waste rock piles, while also utilising these piles for construction aggregates. Overall, the introduction of ore sorting has allowed the company to expand its resource recovery. By pre-rejecting and enriching low ore grades, Fankou can now mine areas previously deemed un-mineable due to having low grade ore, allowing them to increase the processing capacity each year.

Fankou lead-zinc mine, Construction Materials Plant

HPY Technology | Fankou lead-zinc mine, Construction Materials Plant

Machine used One Insight Series | Two Classic Series
Concentrated ore grade 12-14%
Waste rock grade Pb 0.04%, Zn 0.10%
Concentrate recovery rate Pb 96.76%, Zn 92.8%
Rejection rate 95%
Enrichment ratio Pb 9.68, Zn 9.28
Particle size +10-50 mm

The Insight Series used in Fankou’s Construction Materials Plant adopts a combined detection method comprised of a VIS HD dual-sided imaging system and X-ray technology, which can be customised according to the physical characteristics of different ores. The machine can collect the ore’s internal and external information simultaneously and with an AI algorithm, which can significantly improve the accuracy of ore sorting and better for sorting complex ores.

Compared with traditional ore sorting machines, which use a belt, the upgraded Insight Series utilises a vibrating feeder and short belt that leads to ore free fall, HPY Technology says. With the optimised mechanical design, the ore falls more evenly, avoiding ore overlap that affects recognition accuracy. In addition, the machine has various feeding widths (1,600 mm, 3,200 mm), which leads to processing capacities of 40-150 t/h (+10 mm-80 mm) to meet the needs of different mines needs during the beneficiation process.

As one of Asia’s largest lead and zinc mines, Fankou has taken steps to maximise the economic value of its process. Through the utilisation of sensor-based ore sorting, the company has seen significant increases in revenue and savings. Having worked with HPY Technology for over five years, Fankou looks to continue this partnership to further the research on the benefits of ore sorting machines. As HPY Technology continues innovating and revolutionising mineral processing, the benefits will only continue to grow, it says.

HPY Technology Co Ltd says it is a leader in the development and manufacture of ore sorting machinery, achieving excellent results in the ore sorting of tungsten, tin, antimony, lead, zinc, copper, molybdenum, gold, phosphate and over 30 other ore types, revolutionising the traditional mineral processing process and significantly promoting the technological progress of the global mining industry. With over 400 machines in use in over 100 mines, the company says it looks to continue revolutionising mineral processing.

Epiroc LHDs, trucks and drills set for Kipushi underground project in DRC

Epiroc says it has won a large order from JCHX Mining and Construction Ltd for equipment to be used at the Kipushi underground project in the Democratic Republic of the Congo.

Kipushi is an underground mine that is reopening under the leadership of Kipushi Corporation, a joint venture between Ivanhoe Mines of Canada and Gécamines, a DRC state-owned mining company.

JCHX, a mining contractor, has ordered several Epiroc loaders, mine trucks and drill rigs, including service support, for use at the zinc, copper, germanium and silver mine in the Haut-Katanga, province in southern DRC. After decades of production, the mine closed for care and maintenance in 1994. Construction started last year to re-open the mine, with late 2024 as target to start production. The mine will be powered by clean, renewable hydro-generated electricity, according to the owners.

The equipment order is valued at about $17 milion and was booked in the March quarter of 2023.

“We look forward to supporting JCHX in making operations at the Kipushi mine as safe and productive as possible,” Helena Hedblom, Epiroc’s President and CEO, says.

Sami Niiranen, President of Epiroc’s Underground division, said: “JCHX has been a customer of Epiroc for many years, both in Africa and Europe, and we are pleased to continue delivering innovative solutions that will help to optimise operations at Kipushi.”

JCHX International Division President, Youcheng Wang, added: “From the group headquarters to the front-line team, Epiroc sets the highest priority on this equipment order, also when it comes to on-site technical support.”

The ordered equipment, manufactured in Sweden, includes Scooptram ST14 loaders, Minetruck MT42 haul trucks, and Simba production drill rigs. The Scooptram and Minetruck machines will be equipped with Epiroc’s telematics system Certiq, which allows for intelligent monitoring of machine performance and productivity in real time, and with Epiroc’s Rig Control System, RCS, which makes them ready for automation and remote control.

Delivery begins shortly and will continue into early 2024.

Sandvik looks to transform drill bit recycling with new ‘opt-out’ program

Sandvik is introducing what it believes is an industry-first ‘opt-out’ recycling program for customers of carbide drill bits, aiming to transform the use of a material expected to run out within 40 to 100 years if consumption rates continue unabated.

Tungsten, a key component in cemented carbide, is a scarce and finite material. Making tools from recycled carbide requires 70% less energy and emits 64% less CO2. It also reduces nitrous oxide emissions, according to the OEM.

Sandvik aims to collect 90% of its own used bits by 2025, while other manufacturers’ used bits can also be recycled within the scope of the new initiative.

Jens Holmberg, President of Sandvik Mining and Rock Solutions’ Rock Tools division, said: “Our breakthrough opt-out program supports our customers’ drive to mine more sustainably and demonstrates our commitment to delivering on Sandvik’s ambitious sustainability goals to halve CO2 emissions by 2030. We are determined to lead the industry into a new era, fully committed to embed circularity across an essential component of mining.”

The recycling of drill bits is an important part of making the mining industry more sustainable, yet, historically, carbide recycling has faced several challenges. Collection of used products has been limited while carbide extraction has been cumbersome, inefficient and involved hazardous ways of working, Sandvik says. The zinc recycling process has not returned the same quality of carbide performance, either.

Sandvik says it is now able to help customers overcome these challenges through its new opt-out program.

“Customer response has been overwhelmingly positive,” Holmberg said. “We need to transition our industry at an unprecedented speed. Our recycling program is one of many new initiatives you will see from Sandvik’s Rock Tools division moving forward. We are an industry leading supplier in mining globally, and we need to do everything in our power to support and push the industry forward.”

To further underline the importance of cemented carbide recycling, Sandvik is offering its customers an industry-first extraction support. This will make it easier, faster and safer to recycle dull drill bits with a new patent-pending method that will reduce emissions from transportation by 93%, it says.

The Copper Mark welcomes moly, nickel and zinc producers to assurance framework

The Copper Mark, the assurance framework to promote responsible practices and demonstrate the contribution of the copper, molybdenum, nickel and zinc industries to the United Nations Sustainable Development Goals, has welcomed its first six non-copper participants seeking assurance against its framework.

The addition of these new sites follows the launch of the Copper Mark’s pilot implementation scheme for molybdenum, nickel and zinc producers last October. This expansion reflects the deepening collaboration between the Copper Mark, the International Molybdenum Association (IMOA), the Nickel Institute (NI) and the International Zinc Association (IZA) to promote sustainable and responsible production and sourcing practices within and across these critical transition mineral supply chains, it said.

These sites include:

  • Boliden Mineral AB – Kokkola (copper and zinc);
  • Boliden Mineral AB – Harjavalta (nickel);
  • Freeport-McMoRan Inc – Climax (molybdenum);
  • Freeport-McMoRan Inc – Henderson (molybdenum);
  • Molymet – Molymet Belgium NV (molybdenum); and
  • Molymet – Complejo IndustrialMolynor S.A. (molybdenum).

The pilot scheme will run to July 2023 and includes the independent third-party site assessment of the participating sites against the Copper Mark Responsible Production Criteria, the Risk Readiness Assessment. The site may receive the Molybdenum Mark, Nickel Mark and/or Zinc Mark if the independent assessment confirms that all criteria are fully or partially met. A full launch for producers of molybdenum, nickel, and zinc is planned for later in 2023.

The six new sites join the Copper Mark in addition to 16 existing copper-producing participants that also produce at least one of the additional metals. This shows the strong overlap between the producers of copper, molybdenum, nickel and zinc and the efficiencies gained through the multi-metal partnership, according to The Copper Mark.

Michèle Brülhart, Executive Director of the Copper Mark, said: “We are excited to be welcoming the first six molybdenum, nickel and zinc sites to participate in our assurance framework. It is vital that these resources, critical for supporting the low-carbon global transition, are produced and sourced in ways that meet increasing government and end-user demands for responsible business. Our collaboration with IMOA, NI, and IZA will help to further increase the percentage of responsibly produced copper, nickel, molybdenum, and zinc available to society.”

Eva Model, Secretary-General of IMOA, said: “We are delighted to see such a positive response to the Molybdenum Mark pilot from our IMOA members. We are proud that our collaboration with Copper Mark on the Molybdenum Mark will help our members increase the percentage of responsibly sourced molybdenum available in society, as well as enable them to meet market demands and increasing regulatory requirements relating to responsible sourcing.”

Andrew Green, Executive Director of IZA, said: “We celebrate these first six participants for representing the industry’s commitment to providing independent, transparent, and credible assurance for all stakeholders. This collaborative milestone recognizes that we all share accountability for enabling responsible business and sustainable development.”

Hudson Bates, President of NI, said: “We are pleased with the steady progress of the pilot scheme and that the Copper Mark framework is being adopted by molybdenum, nickel and zinc producers. The Nickel Institute is delighted to have been part of the development of the Nickel Mark. It is a valuable tool for the nickel value chain and other stakeholders to ensure that nickel produced sustainably can play its vital role in the energy transition and value chain initiatives promoting responsibility.”

MMG brings in new Sandvik equipment for owner-operator transition at Dugald River

MMG Limited has acquired new underground equipment for its Dugald River zinc-lead mine in Queensland, Australia, as it gears up to make the transition from a contract miner-led operation to a run of mine (ROM) owner-operator model in 2023.

Among the purchases are three Sandvik DL421-15C longhole drills that will allow the team to drill holes up to 54 m in length and 115 mm in diameter.

A further seven Sandvik TH663i 63-t-payload underground haul trucks (pictured) have been purchased to support operations.

“These important acquisitions support Dugald River’s new operating model as ROM owner operator into 2023,” the company said.

Dugald River’s mining operations were previously overseen by Perenti-owned Barminco as part of a production and development contract which ends on December 31. Redpath Australia was awarded a new underground mining services contract at the mine, earlier this year.

JP Morgan-backed financing paves way for further MineSense growth

MineSense Technologies Ltd says it has closed a $42 million Series E financing led by J.P. Morgan Asset Management’s Sustainable Growth Equity team that, it says, will allow it to accelerate the commercial deployment of its solutions to drive further growth and profitability.

The funding round includes participation from new investor Evok Innovations, a climate technology and sustainability venture fund, and existing investors including Prelude Ventures, BDC Industrial Innovation Venture Fund, Cycle Capital and Chrysalix Venture Capital.

MineSense has been pioneering data-driven solutions that improve ore grade control, operational profitability and carbon intensity across the metals mining industry. It is doing this through a combination of its ShovelSense® and BeltSense® hardware, a digital platform and geoscientific insight that goes beyond purely grade-based orebody information.

ShovelSense provides precise ore/waste definition and unlocks unique, previously inaccessible data sets at the mine’s extraction face, according to the company. This real-time data enables removal of waste from ore and recovers valuable ore from waste by making smart routing decisions that also reduces the amount of waste processed, production of tailings, and energy, water, and reagent consumption. Metal recovery is increased materially, with production from operating mines increasing by 5-25% on existing infrastructure, according to the company.

The company has initially been focused on copper, with those mining companies that have signed up to use its solutions looking to maximise ore recovery, minimise dilution and enhance operational sustainability.

MineSense says it has tripled revenue over the last year, and was recently recognised as one of the fastest growing companies in North America by Deloitte.

It currently currently serves mines across North and South America, with notable deployments in British Columbia (Teck’s Highland Valley Copper, Copper Mountain Mining’s operation and Taseko Mines’ Gibraltar operation), Chile (Carmen de Andacollo) and Peru (Antamina).

The fundraising will allow the company to expand its coverage globally and extend into other critical metals such as nickel, cobalt, zinc and iron, it said.

Jeff More, CEO of MineSense, said: “We are pleased to partner with J.P. Morgan Sustainable Growth Equity and Evok to scale our ore grade data mining solutions. This funding and strategic support will allow us to continue executing on our strategy of delivering profit enhancement, operational efficiency, and carbon intensity reduction to critical mining operations.”

The Copper Mark launches pilot assurance frameworks for molybdenum, nickel and zinc

The Copper Mark says it is launching the pilot implementation of the Molybdenum, Nickel and Zinc Marks, in an effort to bring the assurance framework to more markets.

Producers of these metals are able to use the Copper Mark assurance framework to achieve their respective “Mark”, thereby signaling their leadership in sustainability and responsible production practices, the Copper Mark explained.

The main objective of the pilot is to test the implementation of the Copper Mark assurance framework for nickel, zinc and molybdenum producers. In particular, it aims to better understand the application of the multi-metal approach for single and multi-metal producers and the extent to which the multi-metal approach supports participants’ ability to meet upcoming regulatory requirements and market expectations.

The pilot is the result of a deepening collaboration between the Copper Mark, the International Molybdenum Association (IMOA), the Nickel Institute (NI), and the International Zinc Association (IZA) to promote sustainable and responsible production and sourcing practices within the copper, molybdenum, nickel and zinc value chains.

The pilot will run from November 2022 to July 2023 and will include the independent third-party site assessment of the participating sites against the Copper Mark Responsible Production Criteria, the Risk Readiness Assessment. The site may receive the Molybdenum Mark, Nickel Mark and/or Zinc Mark if the independent assessment confirms all criteria are fully or partially met. A full launch for producers of molybdenum, nickel, and zinc is planned for 2023, the Copper Mark says.

The collaboration makes use of existing standards and systems. The four organisations are not establishing any new standards. Participation in the pilot is voluntary and is open to any site involved in the extraction, processing, treatment, mixing, recycling, handling, or otherwise manipulating of products containing molybdenum, nickel, or zinc mined ore, metals, chemicals, alloys or other materials.

Michèle Brülhart, Executive Director of the Copper Mark, said: “I am excited to welcome molybdenum, nickel and zinc producers to the Copper Mark assurance framework. It is widely acknowledged that the world will require more metals and minerals in the coming decades to drive the energy transition and other sustainable applications, but it is critical that those metals and minerals be produced and sourced responsibly. This collaboration further increases the percentage of responsibly produced copper, nickel, molybdenum, and zinc available to society.”

Eva Model, Secretary-General of IMOA said: “Demonstrating responsible sourcing across the supply chain is now a necessity in our modern world. IMOA is delighted to be participating in this important pilot. It offers our molybdenum-producing members the opportunity to access a credible assurance framework with an already globally established set of criteria that can be readily adapted to the molybdenum supply chain. We look forward to working with Copper Mark, and our members to ensure the smooth delivery of the pilot.”

Hudson Bates, President of NI said: “The pilot is an important step towards our goal of providing multi-metal producers with a common framework to efficiently assess and report their sustainable production and sourcing performance across their various value chains.”

Andrew Green, Executive Director of IZA said: “The pilot implementation of this assurance framework represents our commitment to enable transparent reporting and best practices for responsible sourcing across the zinc value chain. The close collaboration between partners ensures that our members can expect harmonised.”

Byrnecut wins five-year contract extension at 29Metals’ Golden Grove mine

29Metals Limited says it has renewed the underground mining services agreement with Byrnecut Australia for the Golden Grove mine, in Western Australia, for a further five years, commencing from October 1, 2022.

The renewed contract extends the long-standing relationship with Byrnecut at Golden Grove, with the existing contract entered in 2017, providing continuity of operations.

The renewed contract is on substantially the same terms as the existing contract and covers development and production in the Gossan Hill and Scuddles mines at Golden Grove.

Under the renewed contract, 29Metals has formalised a commitment to identify and evaluate opportunities to collaborate on sustainability and ESG matters, reflecting 29Metals’ commitment to performance in these two areas, it said.

Golden Grove is a copper, zinc and precious metals mining operation, with the first mining discovery in the area dating back to 1971. Mining operations commenced in 1989 with the development of the Scuddles underground mine, followed by the commencement of mining at the Gossan Hill underground mine in 1996 and the Gossan Hill open-pit mine in 2012. In 2020, the mining rate at the operation was 1.44 Mt.

29Metals Managing Director & CEO, Peter Albert (pictured third from the left, shaking hands with Byrnecut Executive Chairman, Steve Coughlan), said: “After assessing a number of options, including owner mining, we are delighted to renew the agreement with Byrnecut and extend our relationship at Golden Grove. Byrnecut is a leading mining contractor in Australia and globally, and has been a key business partner at Golden Grove both before and since the 29Metals IPO.

“There is a strong alignment between our two companies from an operations, performance, and values perspective. With the new contract, we are extending that alignment to include a commitment to collaborate on sustainability and ESG matters where 29Metals will benefit from Byrnecut’s reach and experience globally.”

Ivanhoe and Gécamines break ground on Kipushi processing plant

Ivanhoe Mines President, Marna Cloete, has announced that Kipushi Corporation SA (KICO), a joint venture between Ivanhoe and DRC state-owned mining company Gécamines, have broken ground on construction of the processing plant at the historic Kipushi zinc-copper-germanium-silver mine in the country.

In addition, Ivanhoe has signed a memorandum of understanding (MOU) with the provincial government of Haut-Katanga to study options for upgrading the DRC-Zambia border crossing in the town of Kipushi for commercial imports and exports.

The ground-breaking ceremony was attended by His Excellency Jean-Michel Sama Lukonde, Prime Minister of the Democratic Republic of the Congo, Her Excellency Adèle Kayinda Mahina, Minister of State and Minister of Portfolio, Her Excellency Antoinette N’Samba Kalambayi, Minister of Mines, members of the provincial government of the Haut-Katanga Province and other national, provincial and local dignitaries, in addition to representatives from Ivanhoe, Gécamines and the town of Kipushi.

The delegation was presented with the development plan for returning the Kipushi mine to production by late 2024 – one hundred years since it was first opened and 30 years since it was placed on care and maintenance.

The ceremony follows the release of results of the Kipushi 2022 Feasibility Study, announced in February 2022, as well as the agreement signed between Ivanhoe Mines and Gécamines to bring the Kipushi mine back into production.

The study evaluates the development of an 800,000 t/y concentrator and underground mine, producing on average of 240,000 t/y of zinc contained in concentrate over a 14-year life of mine. The successful commencement of commercial production would establish Kipushi as the world’s highest-grade major zinc mine, with an average head grade of 36.4% Zn over the first five years of production, according to Ivanhoe.

Existing, rehabilitated surface and underground infrastructure allow for significantly lower capital costs than comparable development projects, Ivanhoe said. The estimated pre-production capital cost, including contingency, is $382 million. This infrastructure also allows for a relatively short construction timeline of two years, with the principal development activities being the construction of a conventional concentrator facility and supporting infrastructure, together with the restart of mining activities underground.

Ordering of long-lead equipment is underway and early construction activities have commenced. Financing and offtake discussions, including a pre-payment facility of $250 million, are well advanced with several interested parties, the company added.

Ivanhoe’s Cloete said: “Kipushi is exceptional, not only because of the renowned Big Zinc deposit, which is one of the world’s richest orebodies, but more importantly because of the people of Kipushi and the unique partnerships that make today’s ceremony possible.

“We now have our sights clearly set on the re-start of production in 2024. The re-birth of the historic Kipushi Mine will be a great achievement for Ivanhoe Mines, our partners and shareholders, and the Democratic Republic of Congo.”

The Kipushi Mine is strategically located less than 1 km from the DRC-Zambia border, which will be the gateway for Kipushi’s products to global export markets.

On August 24, 2022, Ivanhoe Mines and the Province of Haut-Katanga signed a MOU concerning the construction of a dedicated, commercial border post for the Kipushi Mine, together with the upgrading of the existing border post in the town of Kipushi, which currently only serves local traffic between DRC and Zambia.

This new commercial border crossing will provide a significant advantage to the Kipushi Mine as a direct means of importing materials and consumables, as well as clearing customs and exporting products from the mine, and will provide socio-economic benefits to the town and Province of Haut-Katanga, Ivanhoe said.

The Kipushi Mine has a long and storied history as a major producer of copper and zinc. Built and then operated by Union Minière for 42 years, Kipushi began mining a reported 18% copper deposit from a surface open pit in 1924. It was the world’s richest copper mine at the time, according to Ivanhoe. The Kipushi Mine then transitioned to become Africa’s richest underground copper, zinc and germanium mine. State-owned Gécamines gained control of Kipushi in 1967 and operated the mine until 1993, when it was placed on care and maintenance due to a combination of economic and political factors.

Over a span of 69 years, Kipushi produced a total of 6.6 Mt of zinc and 4 Mt of copper from 60 Mt of ore grading 11% Zn and approximately 7% Cu. It also produced 278 t of germanium and 12,673 t of lead between 1956 and 1978.

Most of Kipushi’s historical production was from the Fault Zone, a steeply-dipping orebody rich in copper and zinc that was initially mined as an open pit. The Fault Zone extends to a depth of at least 1,800 m below surface, along the intersection of a fault in carbonaceous dolomites.

Before Kipushi was idled in 1993, Gécamines discovered the Big Zinc deposit at a depth of approximately 1,250 m below surface and adjacent to the producing Fault Zone. The Big Zinc Deposit has not been mined and is the initial target for production as outlined in the 2022 feasibility study.

Since acquiring its interest in the Kipushi Mine in 2011, Ivanhoe’s drilling campaigns have upgraded and expanded the mine’s zinc-rich measured and indicated mineral resources by more than double to an estimated 11.78 Mt grading 35.34% Zn, 0.80% Cu, 23 g/t Ag and 64 g/t Ge, at a 7% zinc cutoff.

In addition, Ivanhoe’s drilling expanded Kipushi’s copper-rich measured and indicated resources to an additional 2.29 Mt at grades of 4.03% Cu, 2.85% Zn, 21 g/t Ag and 19 g/t Ge at a 1.5% copper cutoff.

Once in operation, the Kipushi Mine is expected to be powered by clean, renewable hydro-generated electricity and is set to be among one of the world’s lowest Scope 1 and 2 greenhouse gas emitters per tonne of zinc metal produced, according to Ivanhoe.

South32 making engineering and design headway at Hermosa project

A stellar set of annual financial results has provided the ideal backdrop for South32 to update shareholders on its rapidly progressing Hermosa project in Arizona, USA.

Released late last month, the company’s 2022 financial year results showed off record earnings of $2.6 billion, record free cash flow from operations of $2.6 billion and record return on invested capital of 30.1%.

With group copper-equivalent production expected to increase by 14% in the next financial year, South32 looked to be well leveraged to in-demand metal markets at the right time.

The company has progressively been repositioning its portfolio toward metals critical for a low-carbon future, having already established a pipeline of high-quality development options. One of these high-quality development options is Hermosa.

Hermosa, which the company acquired outright back in 2018 as part of a takeover of Arizona Mining, is key to the company’s critical metals pursuit, having exposure to base and battery metals that are expected to grow in demand – both domestically in the US and internationally.

It is being designed as South32’s first ‘next generation mine’, according to Hermosa President, Pat Risner, with a series of technical reports highlighting its use of automation and technology to minimise its impact on the environment and target a carbon-neutral mining scenario in support of the group’s goal of achieving net zero operational greenhouse gas emissions by 2050.

These same reports also highlighted the potential to develop a sustainable, low-cost operation producing zinc, lead and silver from the Taylor deposit, with the bonus of possible battery-grade manganese output for rapidly growing domestic markets from the Clark deposit.

In the latest results, the company said it was devoting $290 million of growth capital expenditure in the 2023 financial year to progressing Hermosa as it invests in infrastructure to support critical path dewatering and progress study work for the Taylor Deposit. This is ahead of a planned final investment decision expected in mid-2023, which should coincide with the feasibility study.

South32 is devoting $290 million of growth capital expenditure in the 2023 financial year to progress Hermosa

Some $110 million of this was assigned to construction of a second water treatment plant (WTP2) to support orebody dewatering at the asset, alongside dewatering wells, piping systems and dewatering power infrastructure.

An additional $95 million was slated for engineering and initial construction ahead of shaft sinking at the operation, plus work to support power infrastructure and road construction.

The remaining amount was expected to support work across the broader Hermosa project, including Clark study costs and the Taylor feasibility study.

All signs from these results are that the company is laying the groundwork to develop this project ahead of that mid-2023 deadline.

In another sign of progress, South32 recently signed a “limited notice to proceed” for shaft engineering and design at Hermosa with contractor Redpath, Risner confirmed, adding that the award represented a positive step forward for the project.

“We look forward to continuing our engagement with local communities and all of our stakeholders as we make further progress with the project,” he said.

Redpath will no doubt be evaluating the technical studies that have been signed off to this point and informing future reports.

The PFS design for Taylor is a dual shaft mine which prioritises early access to higher grade mineralisation, supporting zinc-equivalent average grades of approximately 12% in the first five years of the mine plan. The proposed mining method, longhole open stoping, is similar to that used at Cannington, in Australia, and maximises productivity and enables a single stage ramp-up to the miner’s preferred development scenario of up to 4.3 Mt/y.

Yet, the Clark deposit opportunity – which has become even more tantalising with the US Government invoking the Defense Production Act and supporting the production of critical metals including manganese – could see the plan change.

The company says it may accelerate the prefeasibility study for the Clark deposit, which is spatially linked to the Taylor deposit. A scoping study has previously confirmed the potential for a separate, integrated underground mining operation producing battery-grade manganese, as well as zinc and silver from the deposit.

South32 previously said Clark has the potential to underpin a second development stage at Hermosa, with future studies to consider the opportunity to integrate its development with Taylor, potentially unlocking further operating and capital efficiencies.

With a PFS selection study expected later this year, investors and interested parties will soon know the role Clark could play in the wider Hermosa project.

What is easy to gauge already is that Hermosa is progressing on a track that many other development projects in in-demand sectors have gone down.