a subsidiar y of
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Lundin Mining –
Eagle Mine Creating a Legacy at Eagle Mine As sole owner, developer and operator of the Eagle Mine, Lundin Mining is creating a legacy of responsible mining Written by: Robert Spence
Produced by: Bobby Meehan
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LUNDIN MINING – EAGLE MINE
Drill Core
Situated in the western Marquette County of Michigan’s Upper Peninsula, Lundin Mining’s Eagle Mine is gearing up for an exciting 2015 year. The underground nickel and copper mine, which was purchased in 2013 from Rio Tinto, has produced more than 218,642 tons of nickel and copper ore since commencing production in July 2014. Over its estimated eight year lifecycle, the mine is expected to produce 360 million pounds of nickel, 295 pounds of copper and small amounts of other metals. In building Michigan’s first 4
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new mine in decades, Lundin is dedicated to safety, protecting the environment and putting local people to work. The mine has been a shining example of the legacy Lundin Mining is striving to create. Creating a legacy Founded in 1994 and headquartered in Toronto, Canada, Lundin Mining Corp. is a metals mining company with operations and development projects in Chile, Portugal, Sweden, Spain and the United States, producing copper, zinc, lead and nickel. Lundin also has a 24% interest in the Tenke Fungurume in
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Ball Mills
the DRC and 24% interest in the Kokkola Refinery in Finland. Both with Freeport. Lundin’s goal for Eagle was to build, operate and close a low cost, efficient modern mine. Because company-community relations were strained from inception, the company recognized it needed to be transparent with the community. “We set out to be very transparent with the community and make this project a two-way engagement,” says Mike Welch, General Manager of Eagle Mine. In the beginning of 2010, the company commissioned a series of focus groups to identify the issues of importance to the community when it came to new mining projects. The series was facilitated by external consultants with the aim to assist Eagle Mine
“It’s about boots on the ground, it’s about engagement, it’s about positive reinforcement, and it’s about understanding how they do their job” – Mike Welch, General Manager of Eagle Mine
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Building the Midwest Bacco Construction Company, Michigan’s oldest prequalified contractor, is very proud to be an integral part of the Upper Michigan’s rich mining history. Bacco Construction’s unique array of expertise surpassed the Eagle Mine’s needs for an all-encompassing contractor. Upper Michigan and Northern Wisconsin’s best choice for comprehensive mine site development.
MailiNg addrEss PO Box 458 N3676 North US-2 Iron Mountain, Michigan 49801
PhoNE Fax Ph 906-774-2616 Fx 906-774-1160
for 100 Years
Email: bacco@baccocc.com | www.baccocc.com
n g f n n
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SUPPLIER PROFILE
BACCO
Bacco Construction Company, a contractor established in 1915 and incorporated since 1930, is Michigan’s oldest Department of Transportation prequalified contractor and is once again very proud to be an integral part of the Upper Peninsula of Michigan’s rich mining history. Bacco Construction Company began ground breaking operations in July 2010 for the Eagle Mine portal in the Yellow Dog Plains of Marquette County and continued with mine site development. Upon building a great working relationship with Eagle Mine representatives, the scope of work Email: for Bacco Construction expanded onto the Humboldt bacco@baccocc.com | www.baccocc.com Mill ore processing facility development which will be completed with final pavement and restoration in the spring of 2015. Bacco Construction Company is a proud partner and supporter of the mining industry. Bacco Construction’s wide range of construction methodology and all-encompassing capabilities pairs extremely well with the needs for establishing mine site facilities. The vast array of construction expertise for the Eagle Mine includes: mass excavation, landfill construction, crushing operations, piping and utility placement, GPS mapping, concrete and foundation work, multi-plate culvert/portal construction, concrete and asphalt pavements, rail spur construction, and site restoration. Bacco Construction Company also completed 12 miles of entirely new roadway construction and 22 miles of reconstruction as part of a joint venture to service the Eagle Mine. Bacco Construction Company is Upper Michigan and Northern Wisconsin’s best and only choice when it comes to comprehensive mine site development. Website: www.baccocc.com
LUNDIN MINING – EAGLE MINE in understanding the strengths, weaknesses, opportunities and threats of mining from the community’s perspective. The focus groups ultimately provided a social baseline of the views the community held about new mining projects in the region. “I think every operation has to look at what their own community’s concerns and interests are, and what is the best way for all parties to communicate,” says Welch. “We now do these focus groups every two years and we keep building that knowledge capacity to understand what the community concerns are and how we can improve our performance in the community.” Secondary initiatives With constructive feedback from the focus groups, Eagle Mine has developed environmental and
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community programs aimed at addressing the community’s interest. In an effort to build community trust and confidence, the company has developed a community scorecard which allows community members to rate Eagle’s performance in five areas– environmental performance, local hire, safety, communication and engagement, and community development. During town hall meetings community members receive an update on Eagle’s operation, ask mine representatives questions and then use electronic clickers to score the company’s performance as: “exceeds expectations”, “meets expectations”, “below expectations”, or “need more information”. The scoring is provided real-time during the meetings – for complete transparency the results go up on a screen for everyone
“We now do these focus groups every two years and we keep building that knowledge capacity to understand what the community concerns are and how we can improve our performance in the community” w w w. e a g l e m i n e . c o m
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Industrial Services, Inc.
Our core mining management staff has more than 150 years combined mine maintenance, operations and repairs in mining and mine processing facilities. A FULL SERVICE HEAVY INDUSTRIAL GENERAL CONTRACTOR
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We pride ourselves on the partnerships built from our relationships with owners and clients. We believe the relationships we build are the key element to our success.
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4305 W. US 2 Iron River, MI 49935 Phone: (906) 265-2100 Fax: (231) 344-5919
www.faindustrialservices.com info@faindustrialservices.com
LUNDIN MINING – EAGLE MINE in the room to see. After scoring, community members are asked for comments on how the company can improve or what else they would like to see from Eagle. Next, the company takes the results and publishes them on their website and in the local paper. If there are areas of improvement identified, Eagle creates an improvement plan and publishes that too. Every six months the company will go back to the community and conduct the scorecard again. “Historically, there have been
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perceived risks to such an open and frank style of communication, however that has not been a consideration and all our efforts have been of full value,” says Welch. He added, “For us, this works. The community has appreciated the opportunity for two-way dialog and as time moves on, community concerns have dampened. People have come up to us and thanked us for the transparency of the project. This has helped build more trust in our community relationships.” Taking it a step further, Eagle helped develop an independent
FA INDUSTRIAL SERVICES
Safety...Quality...Driven Capabilities: Industrial Maintenance, General Contracting, Structural Steel Repairs, Steel Erection, field fabrication, mining services, conveyor work, boiler grates, rigging/ heavy rigging, optical & laser alignments, concrete work, project management, Equip installs, machinery moving, demolition, kiln and dryer maintenance and more Website: www.faindustrialservices.com
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LUNDIN MINING – EAGLE MINE
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program to conduct environmental monitoring of its mining operation. The program is called the Community Environmental Monitoring Program (CEMP) and it provides the community with third party verification monitoring at the mine, mill and along the transportation route. The program is administered by the Marquette County Community Foundation (MCCF) and the Superior Watershed Partnership (SWP) who work in unison to monitor Eagle’s environmental performance. MCCF provides an oversight board and serves as the pass-through of funds from Eagle to SWP while SWP is responsible for monitoring the company’s environmental performance. All together the program serves to strengthen
County Road 550 Marquette County
SUPPLIER PROFILE Employees: 15
MOBILIS PERFORMA INC.
Established: 1998 Industry: We help companies improve operational performance (safety, quality and productivity) and their bottom line, sustainably, through customized training, advising and coaching in best-practice management systems and leadership. We do not impose a recipe; with you, we design a “fit for purpose” solution. Recent and On-going Projects: Lundin Mining, Eagle Mine: Successful operational readiness and ramp-up including daily, weekly, and monthly reporting of production, quality and safety KPIs as well as leadership/active supervision coaching to foster the right conversations around results. Glencore, Raglan Mine: Reduce waste of resources by 15% through better management/ communication systems and active supervision. Glencore, Raglan Mine: 45% improvement in main ramp drilled meters per day for a new underground mine. Management: Pierre Capistran, Managing Partner For a free consultation on how we can help you and your organization reach and sustain world-class results, contact us today. Website: www.mobilisperforma.com
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BEYOND WHAT YOU’LL FIND IN A TYPICAL
CONSTRUCTION COMPANY
With over 116 years of experience in the mining and heavy industrial markets, Gundlach Champion has proven track record of providing preconstruction and project delivery systems that accommodate a diverse range of clients. Services Offered Preconstruction | Design/Build | Construction Management | General Contracting Markets Served Industrial | Commercial | Public Facilities | Healthcare | Education
CONTACT US
MAIN OFFICE 180 TRADERS MINE RD | IRON MOUNTAIN, MI 49801 | (906) 779-2303 BRANCH OFFICE 200 5TH STREET | CALUMET, MI 49913 | (906) 337-0700
WWW.GCFIRST.COM
LUNDIN MINING – EAGLE MINE
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relationships in the community and build trust within the local stakeholders. Whether it’s a community scorecard or independent environmental monitoring, the community has a say in how Eagle Mine operates. One common goal As mentioned before, one common goal among the company and the community is safety. The company employs roughly 355 employees, which includes full-time Eagle employees and contractors, making safety a top priority for the company. Derived from portions of the DuPont Safety System, the company employs the health and safety program Visible Felt Leadership. The program integrates a one-on-one engagement
Mike Welch, General Manager of Eagle Mine
Concentrate Loading w w w. e a g l e m i n e . c o m
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Free private consultation for solid waste, septic waste & recycling disposal needs.
Fast and on time, same day service. Local company keeping local money local.
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304 N. M-553 Marquette, Michigan 49855
Phone 906-249-4500
Fax 906-249-4501
Know Your Watershed est. 1998
n o r t h j a c k s o n c o m p a n y | 3 07 s o u t h f r o n t s t r e e t, s u i t e 10 5, m a r q u e t t e , m i 49 8 55 c o r v a l l i s T e l : 5 4 1 -2 0 7 - 3 7 3 5 | m a r q u e T T e : 9 0 6 -2 2 5 - 6 7 8 7 | w w w . n o r T h j a c k s o n c o . c o m
LUNDIN MINING – EAGLE MINE approach to making safety personal. “We use the leadership program as an engagement tool. When we talk about zero harm, what we’re saying is we’re engaging each employee individually with the philosophy that every injury is preventable,” says Welch. “It’s a mandate that this management and operations team has taken on.” According to Welch, one key tool of the program is Pre-task Hazard Assessment. Because environments change every day, the program ensures all work is being performed safely by assisting employees and contractors in continuously
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observing their surroundings to identify potential safety hazards. “It’s about boots on the ground, it’s about engagement, it’s about positive reinforcement, and it’s about understanding how they do their job,” says Welch. “We all have a common goal and these safety programs and initiatives are a continuation of the common goal.” Along with Pre-task Hazard Assessments, Lundin encourages their team to interact and converse with other employees and contractors about the tasks they’re completing, as well as observations
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Contact Us: +1 705.699.3 40 0 info@ xps.ca w w w. x p s .c a
XPS would like to congratulate Lundin’s Eagle Operation on the successful commissioning of their mine and mill. XPS is a metallurgical consulting and testwork business with exper tise in: Nickel, Copper, Zinc, Gold, PGMs, Industrial Minerals and Rare Ear th Elements.
LUNDIN MINING – EAGLE MINE and desired behaviors recognized. “Many of the contractors we’ve employed weren’t used to the rigorous safety standards we required while working onsite,” says Welch. “They had to change their own culture in order to meet our requirements.” “We’ve had contractors in the past who’ve brought our training and tools to new operations and other sites they work on. It goes to show the lasting impression we’re having on people. One of the company’s first commitments to the area was a local hire goal of 75% during operations. While the area has a lot of talented, hard workers, it didn’t necessarily have the people with the exact skills needed to commission and start an operation. Lundin had to be strategic with its training so that it could hire people from the local community and skill them up for the job. Today, Eagle has a local hire percentage of 84 percent. Eagle partnered with Northern Michigan University to develop specific training programs for its employees. Classes include Bearing & Power Transmission, Welding
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Testing, Conveyor Maintenance, Basic Pump Maintenance, Manual Alignment, Laser Alignment, Hydraulics, and Welding Training. Last but not least, Eagle is funding a Technical Middle College (TMC). The Middle College will provide high school students in the area the opportunity to earn a high school diploma and an associate’s degree at no cost to the student. The program offers students the opportunity to pursue an associate degree in six career areas: Clinical Sciences, Industrial Maintenance, Electrical Technology, Building Technology, Automotive Service Technology, and Heating, Ventilation, Air Conditioning and Refrigeration. Operations at Eagle Mine Although Lundin has commenced production at Eagle Mine, the company is still currently ramping up production to reach its nameplate capacity. Current operations include a long hole stope mining method, which requires a main decline tunnel, a primary ventilation system and an emergency secondary w w w. e a g l e m i n e . c o m
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LUNDIN MINING – EAGLE MINE
Mine Entrance
egress to the surface. Once ore is mined from each stope, it is then backfilled with a cemented/ aggregate/sand mix to maintain structural integrity before mining the remaining stopes in the section. The ore is transported 66 miles by semi-trucks to the Humboldt Mill. At the Mill the ore is crushed (three stages) and then ground into a fine slurry whereby the nickel and the 20
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copper are floated, thickened and filtered to produce separate nickel and copper concentrates. This is where the process ends at Eagle. The concentrates are shipped to off-site facilities for smelting and refining before they can be used to manufacture the products that fuel society. Not to be outdone, Lundin implements some of the most
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recognized and respected technology and equipment onsite. The company couples the latest equipment including crushers, grind mills, float circuits, filter presses and pumps with stateof-the-art programmable logic controls (PLC), DCS systems, and collects nearly 5,000 data points throughout the process. All-in-all, this mill is wired for success. In following with its community transparency plan, Lundin strives to ensure all water at the mine is up to the highest standards. The company employs a robust water management program with a reverse osmosis water treatment plant. “All the water we treat is discharged as drinking quality water, or better,” says Welch. “That’s the standard the community wanted and we wanted to ensure we delivered.” As sole owner, developer and operator of the Eagle Mine, Lundin Mining is creating a legacy of responsible mining by taking the community into consideration, incorporating transparency into operations, and providing one of the safest mines in the United States. “Our biggest obligation during and after we’ve completed operations at Eagle Mine is to make sure we’ve maintained our credibility with the community,” says Welch. He adds, “When you look back and think of Eagle Mine, it won’t be that we mined for eight years. Our legacy will be: did our employees go home safe, were we protective of the environment and did we have the trust of the community.”
Company Information INDUSTRY
Mining Global HEADQUARTERS
Champion, Michigan, United States FOUNDED
1994 (Lundin Mining) Eagle was discovered in 2002, commenced production in Q3 2014. EMPLOYEES
355 REVENUE
Not Disclosed
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LUNDIN MINING – EAGLE MINE Address 4547 County Road 601 Champion, Michigan, United States, 49814 Tel. (906) 339-7000 www.eaglemine.com