Issuu on Google+

May 2012

WHERE TO NEXT? Preparing for a Chinese slowdown

$13.00

for tin ALSO INSIDE •• Time Surface coal

• QME preview


One supplier. One focus. One safe choice.


Sandvik Mining and Construction’s specialised surface mining solutions cover the full range of activities, from exploration, to drilling and blasting, to processing, handling and long-distance conveying. Our focus is on applications, delivering our customers the safest, most effective and lowest cost per tonne solutions. And our efforts and enthusiasm don’t stop with the sale. You can rely on our global network of expertise and industry knowledge, backed by our unparalleled local sales and service network for expert knowledge, quality equipment and support to advance your mining process.

SANDVIK MINING AND CONSTRUCTION AUSTRALIA PARTS SALES 1800 1 SANDVIK (1800 1 726 3845) GENERAL ENQUIRIES 1300 1 SANDVIK (1300 1 726 3845)

www.mc.sandvik.com/au


68 Managing Editor: Ron Berryman Editor: Thomas Smith Contributing Editor: Tim Treadgold Journalists: Brooke Showers, Vetti Kakulas Production Manager: Mata Henry Senior Layout Designer: Diane Igglesden Layout Designer: Catherine Hogan Chief Sub-Editor: Andy Graham Sub-Editors: Melanie Jenkins, Alison Middleton Contributors: Robin Bromby, Michael Pascoe (Sydney), John McIlwraith, Stephen Bell, Mitchell Hooke, Elizabeth Murray, Tracey Cook, David Upton, Gomati Jagadeesan, Kristie Batten National Sales Manager: Kathy Zdanowicz Advertising Sales: Richa Fuller, John Andersen, Nigel D’Silva, Vanessa Monastra Advertising Production: Isaac Burrows (adproduction@aspermont.com) Subscriptions: Ph: (08) 6263 9100 Email: subscriptions@miningmonthly.com 12 issues per annum– Australia $A156.00 (GST included); Regional (PNG, NZ, SE Asia) $A252.00; International $A300.00 Executive: Colm O’Brien – Chief Executive Officer Trish Seeney – General Manager John Detwiler – Chief Financial Officer Head Office: Australia’s Mining Monthly, 613-619 Wellington Street, Perth, Western Australia 6000; PO Box 78, Leederville WA 6902 Ph: (08) 6263 9100 Fax: (08) 6263 9148 Email: editorial@miningmonthly.com, subscriptions@miningmonthly.com, advertising@miningmonthly.com Website: www.industry-news.net, www.miningmonthly.com COPYRIGHT WARNING All editorial copy and some advertisements in this publication are subject to copyright and cannot be reproduced in any form without the written authorisation of the managing editor. Offenders will be prosecuted.

Australia’s Mining Monthly average audited monthly circulation: 8,269

Cover Story

14

CHINA – WHAT NEXT? Australia’s Mining Monthly examines what the future holds, as demand from China “flattens out”.

Features 28 59 64 73 107 117 128 132

Tin Time Driving Down Production Costs Surface Coal Mineral Processing Queensland Mining & Engineering Exhibition Minesite Accommodation & Catering Transport Tyres & Tyre Management

Regulars Editor’s Notebook Moves Hardware Software Market Watch

4 6 8 10 12

Michael Pascoe MCA Robin Bromby ASX Update Dryblower

18 26 32 58 140


COCOONED

YET LIBERATED. We created the new Lexus LX to move you in a way you’ve never felt before: that of feeling completely cocooned in luxury, no matter where your sense of adventure leads you. An obsessive desire made possible through remarkable innovations such as Multi Terrain Select to keep you sure-footed, and the safety of an available* Pre-Collision System to give you peace-of-mind. While heated front seats and 4-zone air conditioning are two of a host of luxurious appointments you’ll equally enjoy exploring on the inside. Feel it at lexus.com.au *Enhancement Pack only.

NEW LEXUS LX

LX 4494 Aus Min Monthly LX Cocooned 210x297.indd 1

12/04/12 3:36 PM


NOTEBOOK

EDITOR’S

BHP, China and Shaw HELLO, and a very warm welcome to May’s edition of Australia’s Mining Monthly. Let me introduce myself. My name is Thomas Smith, I’m 37 years old and I join AMM after 14 years with the British press. I’ve taken over from Noel Dyson, who’s now working his magic on some of AMM publisher Aspermont’s energy products. Thank you, Noel. Your endeavours have ensured that AMM sets the standard for Australian mining journalism. AMM will continue to provide our readers with the varied mix of news, features and analysis of the key figures and events across Australia’s mining industry. So what do we have for you this month? Stephen Bell delivers an excellent assessment of the challenges facing Australian mining, as demand from China starts to “flatten out”. He looks at the different market options available and asks whether emerging, developing nations such as India and Africa will take up the slack.

John McIlwraith suggests Australia’s tin mines could be set to flourish as a global shortage leaves us well positioned. We look at the latest MRRT developments and examine what lies ahead for BHP’s new iron ore president, Jimmy Wilson. Our regular columnists are on top form, with Michael Pascoe providing the quote of the month. Describing the expanding coal industry on the idyllic Whitsunday Islands, he observes: “The place scores very highly indeed on that fool-proof indicator of new mining wealth: the number of boats, jet skis and HSV utes per head of population.” There’s even some words of wisdom from Dryblower, quoting Irish playwright George Bernard Shaw. But enough about us. This is YOUR magazine and we want to tackle the issues and look at events that matter to you. So drop us an email and tell us what’s on your mind. Finally, I hope you like the stunning image sent to us by Komatsu. I can’t promise

Introducing the latest innovation in portable emergency mine refuge technology – The HRM4-ELVP. Lightweight and compact, yet robust in design, with an Extra Low Voltage control system.

A Komatsu Hb205 sails under Sydney Harbour Bridge during filming for a Japanese TV commercial

to provide a Photo Of The Month in every edition. But if you send in your images – funny or spectacular – I guarantee they’ll receive full consideration. Enjoy May’s edition of Australia’s Mining Monthly. thomas.smith@aspermont.com

Together we set the

benchmark

Mining Safe. MineARC®

Meaning you can take it anywhere, anytime, without the need for permanent electrical hook-up. 36hrs minimum safe refuge from potential underground fires, blasts, smoke and toxic gas release.

Visit our website for details www.minearc.com.au/priority

Call or visit the new website

4

(08) 9333 4966

www.minearc.com.au

MAY 2012 AMM


THE NEW ROCK SOLID PARTNERSHIP

A

s of the 1st of April 2012, Tutt Bryant Equipment will form an exclusive partnership with Metso as the national distributor for the Lokotrack range of mobile crushers and screens.

Coinciding with the new partnership, Tutt Bryant will be releasing the new model LT120 jaw crusher and the revised LT106 jaw crusher. Tutt Bryant’s aim is to provide industry leading levels of product support to existing and new Metso customers. For more information, contact your nearest Tutt Bryant Equipment branch on 1300 658 888 or visit us at tuttbryantequipment.com.au


moves

Big steps for Bigland

PROJECT delivery company Engenium has promoted Glenn Bigland to general manager resource projects. Bigland’s role has been created to cater for Engenium’s ongoing growth, including the management of newly opened offices in Brisbane and London. Prior to this position, he was manager of projects and has more than 23 years experience in the mining, infrastructure and engineering industries. Glenn Bigland

E L E C T R I C A L technology experts Phoenix Contact has welcomed Karl Haller as business development manager for the automation and process control business unit. Haller brings with Karl Haller him years of experience and knowledge of the automation and process control industry. He previously worked at Pepperl & Fuchs. GOLD Road Resources has appointed mining engineer David Woodall as non-executive director. Woodall has more than 28 years industry experience and a proven track record in advancing David Woodall exploration projects into production, including the development of numerous gold, base metal and iron ore mines.

Peter Jensen Muir

DIESEL engine manufacturer Cummins South Pacific has promoted Peter JensenMuir to managing director following the resignation of Dennis Quinn. Jensen-Muir was previously director of business operations

for Asia Pacific distribution and has more than 23 years experience with Cummins in Australia and overseas. ENGINEERING, management and specialist technical consultancy Aurecon has appointed David Radcliffe as rail leader, resources and manufacturing in Perth. Radcliffe has extensive rail experience spanning more than 25 years. IKON Science has announced Mark Sams as quantitative interpretation manager for Asia Pacific. Sams previously worked at Fugro-Jason for more than 14 years in a variety of senior positions. VENTUREX Resources has announced Michael Mulroney as managing director, succeeding Tim Sugden who has left the company. Mulroney is a geologist with more than 32 years international experience in the natural resources and finance sectors, in a range of operational and executive roles. NDYLTK Rail has announced Ron Bennell as group manager, overhead traction wiring to the Brisbane office. Bennell has more than 38 years rail experience at Queensland Rail as technical officer and overhead traction system designer. FREIGHT forwarding company Skelton Sherborne has announced Frans Higgins as branch manager of Western Australia. Higgins has more than 30 years experience in the heavy equipment logistics industry.

Prior to joining Skelton, Frans was general manager of a large multi-national logistics company and previously ran his own freight forwarding business. BAUXITE Resources has announced Neil Martin as exploration manager. Prior to joining Bauxite, Martin worked for Jabiru Metals as chief geologist and exploration manager, where his team discovered the Bentley, a high grade copper, zinc, silver and gold deposit north of Kalgoorlie. Additonally, Bauxite has announced Patrick Soh as company secretary and chief financial officer, following the resignation of Paul Fromson. GOLD producer Navigator Resources has announced Guy Walker as non-executive director. Walker has more than 20 years experience in financial markets and funds management in New Zealand, North America and the United Kingdom. SEGUE Resources has announced Robert Van Zyl as commercial director, Nikolas Rhodes as project manager and Deon Pieterse as consulting geologist. Van Zyl, Rhodes and Pieterse are all based in South Africa focusing on the Emang manganese project. MURCHISON Metals has announced several changes to its executive team. Non-executive directors James McClements, Samantha Tough, Peter Wasow, SM Woo and Rod Baxter have stepped down, and have been replaced by Ian Burvill and Soocheol Shin.

Planning a change this year? Let the jobs find you! Sign up for instant job alerts at www.miningpeople.com.au/jobalerts Adelaide | Brisbane | Kalgoorlie | Perth

6

MAY 2012 amm


TRUSTED AT SAFE AND PRODUCTIVE MINES WORLDWIDE ESCO

®

PRODUCTS INCLUDE: Ground Engaging Tools Mining Buckets Truck Bodies Crusher Wear Parts ESCO Hydra Shearer Drums & Picks ®

ESCO products and services help leading mines around the world run more efficiently. We offer wear parts and attachments that last longer, dig better and are safer to change-out. Our truck bodies are engineered to maximize carrying capacity, extend body life, reduce maintenance, and improve safety. Our team of experts partners with you to maximize wear and minimize downtime. ESCO has provided superior and innovative products for nearly 100 years.

www.escocorp.com

©2012 ESCO Corporation.


Hardware

The big clean machine

8

MAY 2012 amm


Sandvik believes it has created the cleanest underground mining trucks in the world, thanks to low emission engines. IF YOU promise customers you can give them the best, you have to deliver. Sandvik Mining has done exactly that with the launch of its new underground mining trucks. The new 50 tonne capacity TH550 and 40t capacity TH540 both come with energy-efficient, low-emission engines. Sandvik says the trucks are the cleanest on the market. And we’re not going to disagree. Both comply with EPA Tier 4i/Euro Stage IIIB emissions standards. The Tier 4i/IIIB Volvo engine available on both trucks consumes less fuel, produces fewer emissions and has better torque characteristics than the engines in the previous models, the Sandvik T50 and T40. According to Scott Rowe, Sandvik Mining product line manager for underground hard rock mining, the TH550 and TH540 are the only trucks available with this engine option. He said: “These trucks can provide a healthier environment for all personnel working underground. “For example, if these engines were running in the centre of a large city, their exhaust fumes would be cleaner than the air they were taking in.” Rowe said that in developing its new underground truck range, Sandvik had paid particular attention to environment, health and safety issues, and productivity and reliability. He said: “Both trucks incorporate ROPS/FOPS-certified operator compartments, easy three-point access into the cabin and to the top of the machine, improved visibility, ground level daily maintenance and safety rails along the top of the machine. “Improved ergonomics include rubbermounted and isolated cabs, improved sound and heat insulation, more efficient air conditioning and seats with low frequency suspension as standard.” Sandvik’s built in vehicle control and management diagnostics/ troubleshooting alarm and log system allows the operator to quickly identify its source and cause. Full operating logs can be downloaded to a standard laptop. Rowe added: “Availability is increased, as there are fewer failures and reduced downtime. “In addition, the system ensures each TH550/TH540 is automation-ready, able to be used with systems such as Sandvik’s AutoMine underground mining solution.” editorial@miningmonthly.com

AMM MAY 2012

9


Software with Brooke Showers

Heating up with Latin flavour SOFTWARE and solutions provider Micromine has won the Exporter award at the 2012 Western Australia Information Technology and Telecommunications Awards. The WAiTTA was established more than ten years ago to acknowledge outstanding performance by members of the IT community in WA. The Exporter award recognises the contribution of a WA organisation to the profile of IT at an international level. The products and services are evaluated according to the volume of export business achieved in addition to the attention paid to quality and innovation. “Our solutions are now available in 20 of the world’s major mineral producing capitals, with these offices servicing over 12,000 clients,” Micromine chief operating officer Kevin Fitzpatrick said. Micromine recently strengthened its South American presence by acquiring BNA Consultoria e Sistemas in Brazil to form BNA -Micromine. The strength of the BNA brand in Brazil is one Micromine wanted to keep in addition to retaining all existing staff members. BNA has endorsed Micromine’s solutions for many years and is now fully owned by Micromine. The partnership offers clients in South America mining and exploration solutions for the entire mining process. “Our aim will be to capitalise on the strength of the Micromine suite of products, as well as the strong reputation of Micromine’s Consulting Services,” BNA-Micromine Latin America director Beck Nader said.

BNA-Micromine Latin America director Beck Nader.

“We plan to offer the full gamut of solutions to the Latin American market and work to extend Micromine’s market leading position.” Nader was retained to manage all of the operations in Latin America, as the existing management had been integral to BNA’s success in that region and was essential for future business planning. Fitzpatrick said the ownership of the Brazil office was a logical evolution for the company. “Our solutions have been so well received in Latin America that purchasing the company seemed essential in order to grow the business any further,” Fitzpatrick said. The Latin American operations have offices in Brazil and Chile to manage all of Micromine’s clients and projects based in countries such as Peru, Argentina, Colombia, Venezuela and Mexico.

Micromine’s consulting arm provides geological and mining consulting services to minerals companies worldwide and conducts independent mineral resource and reserve estimates, site validation, quality control and pit optimisation exercises for all commodities, from scoping to feasibility stage. Micromine general manager Dean O’Keefe said: “Whether clients are developing, buying or selling mineral resources, seeking project approvals, raising capital or re-evaluating existing resources, Micromine Consulting Services provides a range of services.” These services are delivered by consultants located in 20 operations around the world. MCS clients include Anglo Gold Ashanti, Newmont, Rio Tinto and BHP Billiton. brooke.showers@aspermont.com

Jumping to it ARANZ Geo, developer of geological modelling software Leapfrog Mining, has signed an umbrella software licence with mining giant Rio Tinto, which has been using the software since 2007. Rio Tinto said Leapfrog was used by its geologists in Australia, UK, Canada, US and Peru for project evaluation, targeting and structural modelling. Leapfrog is 3D geological modelling technology with innovative work flows to visualise and understand the geology. Visualisation helps users interpret and model that data. Leapfrog said multiple hypotheses can be explored, new data added and course corrections made easily.

10

The agreement between Rio and Leapfrog highlights the increased usage of Leapfrog software across the company and its focus on developing ore bodies into large operations. ARANZ Geo branched into the Turkish mining market in February, appointing Turkish distributor JeoDijital to provide clients with the Leapfrog 3D geological modelling software. “The JeoDijital team will be invaluable to our clients in supporting their 3D geological modelling needs and moving the business forward in the rapidly growing Turkish market,” ARANZ Geo CEO Shaun Maloney said. JeoDijital managing and research

director Dr Hayati Koyuncu has more than 20 years experience in the mineral exploration industry and will lead the team in Turkey. Hayati’s experience ranges from academia to advanced technologybased solutions in the exploration and 3D geological modelling of mineral and energy resources and the environment. Leapfrog was first introduced to the mining industry in 2004, changing the way many geologists produced models and made decisions. The software uses 3D interpolation technology, which has advanced from traditional explicit modelling that required time-consuming manual creation and manipulation of polygons and polygrams.

MAY 2012 AMM


No job is too tough for a Godwin The best portable pumps in the world for mining are now easily available to you. Godwin pumps are built with discharge head capabilities to 193 m with a single-stage open impeller and close coupled pumpend. For you, this means they run efficiently, without problems to keep your crews working and your project on budget. These automatic self-priming pumps demand minimum maintenance and monitoring, and can run dry without damage. They are built to handle the toughest dewatering jobs, making them highly reliable under all conditions. There is a broad range of Godwin pumps and accessories available, along with our expertise to help ensure the best possible pump for the job is at work to handle dirty water, sludge and anything in between. You can also always count on our service and support whether you purchase, rent or opt for a total solution. Now Godwin pumps are readily available to you from your nearest Xylem rental, sales and service centres. Contact us today: dewatering@xyleminc.com www.xyleminc.com/au Australia Ph: 13 19 14 Email: enquiries@xyleminc.com New Zealand Ph: 0800 33 19 14 Email: enquiries@xyleminc.com

Godwin and Flygt are part of the Xylem range of wastewater and dewatering solutions with a complete portfolio of portable pumps for construction sites, mines, tunnels and municiple use.

A4 Godwin Ad.indd 1

7/02/2012 1:47:48 PM


MARKET watch Forecasting Fortescue Will Fortescue hit its ramp-up targets? We get the inside story from analysts and the Fortescue chief himself. By Blake Wilshaw

“I think the market’s not used to companies that develop their assets so rapidly and ramp-up so rapidly” – FMG CEO Nev Power “We have this enormous gap between consensus and where our ramp-up is, and let me tell you again, we are on track and on budget to achieve 155 million tonnes per annum by June of 2013,” Power said. Power said FMG “silenced the critics” when it hit forecast production of 55Mt in June 2011 from its Pilbara mines in Western Australia. “Culture is the key differentiator at Fortescue and we have deliberately driven that culture to leverage the rapid expansion, innovation and new ideas that have been brought into our business,” he said. “We have locked in all of the elements, including the funding, for our growth to 155 million tonnes. We have everybody mobilised and constructing on site to do that as well as the mining teams and operations teams now preparing for handover. “We have massive further development options with a portfolio of 12 billion tonnesplus of iron ore assets in the Pilbara with this very short sale time from Asia and our experience and ability to develop rapidly in that region.” With a convincing history of success, why is there still scepticism from brokers?

12

FMG PRODUCTION FORECAST 160 140 120

Million Tonnes

T

here is a big disconnect between Fortescue Metals Group’s growth plans and what outsiders think is achievable. Fortescue Metals Group chief executive Nev Power told the recent Mines and Money conference in Hong Kong that FMG will be producing at a steady 155 million tonnes of iron ore per annum by June 2013. However the broker consensus (compiled by FMG and shown on the graph opposite) predicts production of less than 80Mt by July 2013 and about 130Mt the year after.

100

Solomon Brockman Solomon CID BCI JV Christmas Creek Cloudbreak Consensus

80 60 40 20 0 Jun-12

Dec-12

Jun-13

Dec-13

Jun-14 Source: FMG

“I think it’s unusual for iron ore and for that matter mining companies, to develop their assets and ramp-up production at the rate that we’ve done it,” Power said. “We started mining in 2008 and by June of last year we were already at 55 million tonnes per annum; that took some other miners around the world and in the Pilbara 30 or 40 years to achieve that, albeit in different market conditions. “I think the market’s not used to companies that develop their assets so rapidly and rampup so rapidly.” Judging from recent reports, Power is right; the rapid expansion is being downgraded by analysts but they still rate FMG strongly as an investment. JP Morgan recommended it as “overweight”, which means “buy”. Commenting on FMG’s six month financials to December 31, 2011, JP Morgan Australian Resources lead analyst Mark Busuttil noted the gap between Power’s targets and that of the brokerage. “FMG’s December half results revealed a small beat compared to our numbers, but was overshadowed by news of a capex ‘overrun’ and accommodation difficulties at Port Hedland,” Busuttil wrote. “Management, however, remains upbeat, reassuring investors that its schedule remains on track and the additional cost will be covered within the project’s contingency.

“Although we expect FMG to face further challenges in meeting its targets, we continue to believe the market is over-discounting the equity on this basis and maintain our [overweight recommendation].” Viability of ramp-up targets was brought into question with JP Morgan estimating 155Mt output by June 2015, two years later than FMG’s forecast.

“It’s worth noting that the market is unlikely to be assuming anything remotely close to FMG’s own aggressive commissioning targets.” – Mark Busuttil, JP Morgan

“Although this update is concerning and undeniably increases the perceived risk around project delivery within FMG’s proposed time and budget, it’s worth noting that the market is unlikely to be assuming anything remotely close to FMG’s own aggressive commissioning targets, in our view,” Busuttil added. A version of this article will appear in the June edition of RESOURCESTOCKS magazine. editorial@miningmonthly.com

MAY 2012 AMM


Scania launches new Off-road model range.

S

cania offers the widest range of heavy-duty trucks in the world, powered by a global range of engines that meet all emission standards including Euro 5, EEV and Euro 6. The most extreme conditions require the toughest equipment. So Scania’s new Off-road trucks have been toughened up even more to cope with arduous terrain and unforgiving landscape. While the trucks are tougher than ever, they are also greener than ever, powered by Scania’s most enviromentally friendly engines. Scania is known the world over for its on-highway trucks, yet in many countries, mining and infrastructure developers rely heavily on Scanias too, for their legendary durability, reliability and fitness for mining service provision. The Scania modular component system makes it easy to tailor vehicles for customers’ exact requirements, offering a unique advantage. The Scania modular system speeds up the production and delivery process, plus it allows easy access to servicing and repair, parts supply, and expert service knowledge, which in turn enhances availability/uptime, which boosts customers’ profitability. Scania has identified the global increase in resources extraction, and the allied requirement for more robust trucks. Scania now more than ever has the products and services to increase its footprint in this segment. Mining companies focus on safety, uptime and service backup. Scania understands that its trucks are yet another machine in the production process. So uptime is crucial. An interruption in production can be very costly. To meet these needs Scania has devised a bespoke Scania Off-road product range, available in G-series initially, with P-series cabs following, both offered with a wide range of engines and drive train configurations. The new Scania Off-road trucks are rugged and are designed to

MiningAus-Editorial copy-TNv4.indd 2

meet the toughest demands in terms of uptime, productivity and lifetime costs. The new frontal styling is utterly functional, featuring elements designed to protect vulnerable components. This reduces repair costs and avoids non-profitable downtime. There is a new version of the famous Scania Opticruise automated gear-change system, which now comes with a new Off-road mode, new traction control features and the Scania Retarder with enhanced low-speed performance. In addition to these industryspecific Scania Off-road trucks. Scania in Australia can also supply crew transport buses that are mine-ready, complete with full safety equipment, hardwearing seat covers and rotating beacons. Scania can also supply a wide range of stationary engines for power generation, pumping or for use in powered mine equipment. High levels of parts commonality across these divisions deliver faster parts supply and quicker servicing. In fact, Scania has already committed to Remote Area servicing teams and Mobile Service

Workshops, which can move from site to site, as requirements develop. ‘The Scania Off-road trucks, product and service offering is one we are excited about for Australia as we can see a good deal of potential for developing our footprint in these segments,’says Roger McCarthy, Scania Australia Managing Director. ‘We are already making inroads with mine services vehicles, but the Scania Off-Road product gives us the potential to deliver even more operating profit opportunities to our customers. ‘Together with Scania’s comprehensive service program we can offer our customers a reliable way to increase valuable uptime and profitability,’ he says. www.scania.com.au

23/04/12 1:46 PM


Cover Story – Focus on China

China insecurity

Outgoing BHP iron ore president Ian Ashby warned that demand from China was “flattening out”. But despite this uncertainty, Pilbara miners are pressing on with multi-billion dollar expansion projects. Stephen Bell examines the implications of China losing its hunger for iron ore.

14

MAY 2012 AMM


CHINA’S IRON ORE DEMAND GROWTH FLATTENING OUT • Global investors wary of China’s slowdown • Pilbara miners pushing ahead with iron ore expansions • Miners say Chinese steel output to grow into next decade • Near-term iron ore prices supported at $US120/t

O

ver the past decade, China has been the gift that keeps on giving for Australian miners. In recent times, however, the windfall has become more miserly as China reins in its economy, along with demand for the raw materials that feed it. Confidence has been replaced by a sense of unease, particularly among global investors who, for many years, have seen the big diversified miners as proxies for China’s stellar growth rates. If there was any doubt about the seachange in sentiment, it evaporated during the recent global iron ore conference in Perth when two words uttered by the now outgoing BHP Billiton iron ore president Ian Ashby reverberated around the world. Speaking to reporters ahead of his formal speech, Ashby said China’s demand growth for iron ore was “flattening out” compared with the double-digit increases of the past half a decade. The comments – which merely confirmed what many analysts had been saying for some time – caused the Australian dollar to fall by more than a cent and prompted a share market hammering of mining stocks.

Miners badly need the good ship China to keep forging ahead. The knee-jerk reaction was dismissed as a storm in a teacup by many observers. But it typifies how worried investors are about China’s slowing economy and the implications for companies like BHP and its rival Rio Tinto. Just a couple of weeks before Ashby’s comments, China moved to cut its gross domestic product forecast to 7.5% for this year, down from 8% previously. It also revised down its five-year average growth to 7% – a far cry from recent growth rates of 10-11%. The country’s leaders have also instigated moves to try and curb housing prices – a

AMM MAY 2012

move that may dampen steel consumption in the months ahead. For Rio Tinto, which now gets more than three-quarters of its net income from iron ore, most of it in WA’s Pilbara region, these are worrying trends. But Rio iron ore CEO Sam Walsh, like many other senior mining chiefs, remains steadfastly upbeat. “We believe there can be very little doubt about China’s continuation as the prime driver of world growth for iron ore over the longer term,” Walsh told a recent Urban Development Institute of Australia seminar. Commenting on China’s GDP revision, Walsh said: “Most countries around the world would jump for joy if they could achieve 7.5% growth.” All bullish stuff, as you’d expect from Australia’s biggest iron ore exporter, which is planning to spend around $18 billion to lift its Pilbara production 60% by mid-decade. The trouble is, many global investors believe the big miners have their heads in the sand over China. At the time of writing, shares in both BHP and Rio were down more than 25% since April 2011. “It genuinely is contrarian now to be a believer in China and big mining stocks,” Bell Potter market commentator and noted BHP enthusiast Charlie Aitken said.

China now consumes more than 60% of the world’s iron ore production. The jury is still out on who will win the China debate: bearish global investors or the bullish mining brigade. Yet no one disputes the massive impact the Asian powerhouse has had on commodities demand over the past 5-10 years. China now consumes more than 60% of the world’s iron ore production, compared with just more than 10% a decade ago. It also eats up nearly a third of the world’s copper. So, with much of the developed world treading water in the wake of the global financial crisis, miners badly need the good ship China to keep forging ahead. While acknowledging that demand is moderating, Ashby – like Walsh at Rio – remains resolutely optimistic in the longer term, predicting positive Chinese steel growth rates to the middle of next decade. “The size of the steel ‘pie’ is now very big, so any percentage increase is a very large volume number,” Ashby said, before it was announced that he was to be replaced as iron ore president by Jimmy Wilson. According to BHP, demand for iron ore traded overseas will grow at a 4.4% compounded annual rate in 2010-2020,

15


Cover Story – Focus on China

versus 8.4% growth in 2000-2010. Neither does Ashby expect iron ore prices to fall significantly in the near-term as there was a “floor” of around $US120 a tonne, he said, representing the production cost of the more expensive Chinese iron ore miners. This compares with recent spot prices of around $140/t. The end result is that BHP is going “full steam ahead” on its Pilbara expansion projects, Ashby confirmed. Early this year BHP and its Japanese partners approved $US917 million of early spending for a new outer harbour at Port Hedland, the company’s key iron ore export facility. The money will be used to order critical long-lead items such as rail car dumper cells. However the full-scale venture, which involves a four-year marine dredging campaign and construction of a 4km jetty off Finucane Island, remains subject to final approval by BHP’s board later this year. Expected to cost upwards of $20 billion when new mines are factored in, the outer harbour is critical to BHP’s target of lifting annual production to 350 million tonnes by 2020. This compares with a current rate of around 170Mtpa, which is building to 220Mtpa by 2014 under the existing $7.4 billion Jimblebar expansion. Like Rio and BHP, Fortescue Metals – the new kid on the Pilbara block – is punting heavily on China’s iron ore imports remaining strong for many more years. Fortescue is spending around $10 billion to nearly triple

16

its production by mid-2013. The lure is the mega profits on offer. At current prices, the big Pilbara miners are earning more than $100 on every tonne of ore shipped. And, at the scale of production in the Pilbara, that amounts to big bucks. Fortescue says it could earn $A9.2 billion gross (before interest, tax and depreciation) in the fiscal year 2014, more than double its forecast earnings of $3.9 billion this financial year. However, stockbroking analysts say Fortescue is being too optimistic – their average forecast is for “only” $6.2 billion earnings in 2014. Why the huge gap? Analysts, worried about rising costs and the skills shortage in WA, are much more cautious than Fortescue on its ramp-up schedule. Some don’t assume full production until 2015 or even 2016, by which time iron ore prices may have tailed off. In other words, Fortescue has a $3 billion incentive to bring its expansion project in on time and on budget. Most experts believe iron ore prices, already down 20% from a year ago, may have peaked. Australia’s Bureau of Resources and Energy Economics, for instance, predicts prices will fall from about $US140 a tonne to $109/t in the next five years. The likes of investment bank UBS are even more pessimistic, predicting prices falling to around $70/t by 2016. Along with slowing Chinese demand, most industry types agree that a looming spurt in global iron ore production will eventually depress prices. Cost increases, labour

shortages and infrastructure bottlenecks have delayed the supply flood by a couple of years. But it can’t be held back forever, given the multibillion dollar projects underway here, in Africa and Brazil. Rio’s Walsh – who is building a major new iron ore mine in the jungles of Guinea – is pinning his hopes on China’s continued – albeit slower – growth in steel output and urbanising trends in other countries. “Our analysis shows that, when you get into the period 2020-2030, China will start to flatten off,” he said. “In that sort of timeframe you will see India, Indonesia, Vietnam, even Africa itself, take off. "We all forget that there are already a billion people in Africa, across 55 nations. Africa will industrialise and urbanise, as we’ve seen elsewhere, and they will need steel domestically to build the high rises and other infrastructure.” Walsh’s optimism was echoed by David Joyce, Rio Tinto managing director of iron ore expansion projects, whose presentation followed directly after Ashby's at the global iron ore conference. Rio expects a “soft landing” for China, with solid growth this year, Joyce told the conference. China’s steel demand growth still had a long way left to run after a blistering 40% expansion over the past five years, he added. In the next seven years, Rio believes global iron ore supply additions for China alone will need to be at the rate of at least 100 million tonnes for each of those years. Around 500Mt is required to satisfy expected demand growth and 200Mt to replace the exit of highcost internal Chinese supplies. Rio plans to push its production capacity to 283Mtpa by 2013 and potentially to 353Mtpa by 2015. Initial work undertaken on the latter upgrade means “we could achieve this capacity by the first half of 2015, which is six months earlier and 20 million tons per annum more than originally envisaged,” Joyce said.

China’s steel demand growth still has a long way left to run after a blistering 40% expansion over the past five years. There is no doubt that WA’s expansive Pilbara miners are putting their money where their mouths are in terms of iron ore. But, having become addicted to phenomenal Chinese growth rates over the past decade, it remains to be seen whether new markets will be strong enough to take up the slack from a softening China. editorial@miningmonthly.com

MAY 2012 amm


THIS IS WHERE THE NAME ON THE MACHINE MATTERS MOST.

ALTERNATIVE TO DRILLING AND BLASTING PRIMARY CRUSH NOT REqUIRED CUT SqUARE CORNERS AND VERTICAL WALLS SELECTIVE MINING AND BETTER GRADE CONTROL INCREASE PRODUCTION WITHOUT THE NEED FOR PERMANENT INFRASTRUCTURE qUICK START UP IN GREENFIELD PROJECTS SUITABLE FOR SITE PREPARATION AND ACCESS ROADS PATENTED TECHNOLOGY THE IDEAL SOLUTION FOR SURFACE MINING AND MORE.

We know the conditions you face are demanding - that’s why we make sure our equipment is up to the task. Whether you’re facing the hassles of blasting or hammering, Vermeer has the neighbourhood-friendly solution which helps you get more value from your mine. A Vermeer Terrain Leveler® surface excavation machine cuts back the operating hours, whilst reducing your investment in costly support equipment. So when it’s tough going out there, look to Vermeer - the trusted name for proven equipment and reliable support. For more information, please contact your nearest Vermeer Dealership.

QLD/NSW/VIC/SA 1800 620 720 www.vermeer.com.au WA/NT 1800 195 558 www.vermeerwa.com.au


pascoe michael

Mining coal in paradise The Whitsunday Islands are a haven of turquoise waters and unblemished beaches. But behind the palm trees, the region’s coal mining industry is quietly flourishing.

Y

es, it’s tough on the resources industry front line – just don’t tell anyone that the front line runs through the Whitsundays. Mining has a serious image to protect: rugged individuals, big machines, tough, dangerous, dirty, survival in harsh conditions, brutal climate, battling unyielding rock to win wealth for the nation, yada yada. For an industry fighting a rear guard action against whinging retailers in the nation’s south-east, there’s no role for pictures of waving palm trees and yachts wafting through tropical islands. But the beautiful Whitsundays are part of it. (And if one was being totally truthful, the whole nation is the front line in some ways, but that would just confuse the issue and I’m a journalist, so we’ll stick to selected facts.) Of course the image confusion works both ways – if you’re a tourism operator trying to lure people from around the world to your island paradise, you wouldn’t want them to think they’re coming to a coal mining region. Don’t mention the coal loader up and around the corner a bit. The Whitsundays are one leg of the MackayIsaac-Whitsundays region that is booming on the back of central Queensland coal. (And, in another digression while considering image, if those three local government areas had any marketing nous, they’d drop the Mackay and Isaac bits and just go with the moniker of The

Greater Whitsundays or some such – vastly more marketable for any number of reasons. But the usual parish pump politics mean that won’t happen.)

The region’s unemployment rate starts with a 3, there’s a shortage of accommodation, there are plenty of multi-billion-dollar developments in the pipeline and the place scores very highly indeed on that fool-proof indicator of new mining wealth: the number of boats, jet skis and HSV utes per head of population. Yet the Greater Whitsundays (there, I’ve started the trend, jump on board) feel a little overlooked, a little passed over when the rest of the nation gets to talking about the resources and capex booms. Oh, it’s all Pilbara this and Gladstone that, with Mackay rarely mentioned, let alone the brilliant new province of Greater Whitsundays. Mention resources boom in Australia’s south-east and most people immediately think of the Pilbara’s rusty dirt, or maybe just a certain red dog, while Queensland’s south-east hears plenty about Gladstone’s LNG boom. The Greater Whitsundays’ on-going expansion of the coal industry has been skating a little under the radar. The Regional Economic Development Corporation is working to change that and last month ran its third investment conference as part of its campaign to attract both more money and more diverse money. For some reason they had me along to stir possums and it was a delight to do so, but as usual I learned more than I was able to impart.

The bigger hammer You often get the best sense from those closest to the action. Amidst the usual projections of a zillion new workers required tomorrow for a billion new projects, Mick Crowe, CEO of G&S Engineering Services, had a crack at the industry’s “bigger hammer” tendency. Maybe it’s part of mining’s culture – always bigger machines, greater tonnage, larger mines – but Crowe makes the point that the pressure is one to work smarter and

18

not just bigger, to not just apply a bigger hammer to a problem. There’s a Queensland Resources Council projection of the state needing an extra 40,000 workers over the next few years, but that’s not going to happen. There just aren’t those workers and the process of competing for those that are available will inflate some projects out of existence. With that in mind, Crowe cites his

own firm’s success in being smarter in its workforce organisation. By changing the way they thought about work and prepared for it, G&S Engineering was able to increase revenue by 25 per cent while employing slightly fewer workers. Which makes one think it’s no wonder that BHP is prepared to fight a very costly industrial relations battle in the Bowen Basin to try to win management control of managing its workforce.

MAY 2012 amm


Michael Pascoe

The mining manufacturing industry MEANWHILE, back at the war for hearts-and-minds, it’s not just the Greater Whitsundays that could benefit from a rebranding. Maybe it’s time to rename the mining industry something like “Australia Heavy Manufacturing Inc”. The manufacturing industry is second only to the odd high-profile retailer when it comes to complaining about the resources industry forcing up the Australian dollar and thereby destroying their livelihood. Ably assisted by the media’s love of a bad news story, manufacturing has been successful in convincing the great unwashed that “manufacturing is dead” in this country. What rubbish. The latest manufacturing survey showed a dip in output, but that was after three consecutive months if increased production. Check the December quarter national accounts and you’ll find manufacturing tied for first place in contributing to GDP growth. Yes, employment in manufacturing has fallen over the past decade, about 100,000 jobs gone as it’s fallen from being our largest

I have seen the future. The Bowen Basin coal mines are now part of the Greater Whitsundays. The mining industry is now just a minor by-product of Australian Heavy Manufacturing Inc. And a spade is an ergonomically-advantageous elaboratelytransformed excavation productivity enhancement. employer to fourth place, but output over that time has increased. And that, folks, means improved productivity – the thing that we’re all supposed to be chasing to ensure our economic future. Yes, some manufacturers very sadly can’t compete with a strong Aussie dollar, but others can by investing in better machinery and a more skilled workforce – and they’re doing so. But let’s not bother trying to shatter a national illusion at this stage as the opportunity for mining is to play along with it. The REDC conference also heard a measured paper by Australian Financial Review journalist Peter Roberts who, among other things, pointed out that

Australia’s mining equipment exports are over three times the size of our car industry exports. Yep, mining in this country is a serious manufacturing industry with some $8 billion-plus worth of annual exports. And the gear is increasingly high-tech as that dollar forces us up the value chain. So I have seen the future. The Bowen Basin coal mines are now part of the Greater Whitsundays. The mining industry is now just a minor by-product of Australian Heavy Manufacturing Inc. And a spade is an ergonomically-advantageous elaborately-transformed excavation productivity enhancement. editorial@miningmonthly.com

Smart, Safe and Sustainable Mining Solutions Results based mining solutions from Rockwell Automation help you to optimise operations, maximise ROI and deliver operational excellence. With our proven ability to reduce energy costs through advanced regulatory control we can provide seamless integration and real-time information exchange from production to business enterprise through our Integrated Architecture. www.RockwellAutomation.com.au

SustainableMining_amn-half-page-advert_apr2012.indd AMM MAY 2012

1

03-Apr-12 3:28:12 PM

19


Focus on BHP Billiton’s Management Reshuffle

Wilson in the hot seat New BHP iron ore chief Jimmy Wilson has a big challenge ahead in managing the company’s ambitious Pilbara expansion plans. By Stephen Bell

B

HP Billiton’s changing-of-the guard in the Pilbara comes at a critical time for what is now the global miner’s biggest and most profitable

business. The reshuffle comes as BHP stands on the brink of a four-year harbour expansion that may cost $US20 billion. Ian Ashby will leave on July 1 after seven years in the role and 25 years in the company. He has been replaced by Jimmy Wilson, another long-term BHP servant who was running the group’s energy coal business out of Sydney.

Wilson needs to make sure BHP meets its cost targets and schedules for the harbour expansion. The loss of a quarter-of-a-century of experience is never easy to cover, so Wilson – a South African who moved to Australia seven years ago – faces a big task to ensure BHP’s proposed outer harbour project at Port Hedland goes according to plan. The huge project is critical to BHP’s target of roughly doubling its Pilbara iron

production to 350 million tonnes per annum before the end of the decade. After a hesitant start – mostly caused by BHP’s unsuccessful plans a few years back to target its rival Rio Tinto, firstly in a hostile takeover and then in an iron ore joint venture – Ashby hands over a business with a good head of steam. From less than 100Mtpa in 2006, BHP now produces iron ore at an annualised run rate of around 178Mtpa. Ashby has managed to improve integration between the mining, port and rail operations, and last year moved to buy out HWE as part of a push into owner mining. BHP’s previous penchant for contract mining was blamed, in part, for a run of five fatalities in the latter part of the last decade, forcing Ashby to acknowledge BHP’s iron ore safety record was unacceptable. He worked hard to improve managementworker relations and can boast a significant reduction in injury frequency rates over the past five years. The tinkering enabled BHP to capture more of the cream from booming prices – its iron ore earnings before interest and tax last year rose 122% to $13.3 billion. Wilson, who is working alongside Ashby up until his departure, needs to build on the momentum, ensuring BHP meets its cost targets and schedules for the first stage of the harbour expansion – due to come on line in 2016. BHP and its partners have already approved $917 million of early spending, but official board sanction is not due until the fourth quarter of this year. Marshalling staff and contractors will be critical, and a welcome change from Wilson’s previous role in WA as head of stainless steel materials.

Ashby hands over a business with a good head of steam.

Outgoing: Ian Ashby

20

In 2009, shortly before heading east to take up the energy coal appointment, Wilson was forced to close the loss-making Ravensthorpe nickel mine, putting 800 employees and 1000 contractors out of work. The shoe will be on the other foot this time,

Jimmy Wilson

President, Iron Ore • Born: South Africa • Age: 49 • Qualifications: BSc mechanical engineering • BHP’s new iron ore chief has had an extensive career in the mining industry. • He has held key managerial and operating roles throughout BHP Billiton, including president, energy coal (2009 – 2012) and president, stainless steel materials (2007 – 2009). Previously, Wilson was Nickel West president and chief operating officer, Samancor Chrome president and COO, and general manager of Billiton’s Bayside Aluminium.

as he fights to keep existing staff on side while sourcing workers to build big expansion items such as a four kilometre jetty and a fourberth wharf. Wilson will also need to keep a wary eye on developments in BHP’s strike-ridden east coast coal business, amid worries the ongoing industrial disputation may spread west to the Pilbara. editorial@miningmonthly.com

MAY 2012 amm


PROVEN IN AUSTRALIAN MINES

EX8000 43m³ bucket capacity

EH5000ACII 286 tonne payload LOADED IN FOUR PASSES

IF YOU DEMAND PERFORMANCE, DEMAND HITACHI. Our flagship EX8000 shovel and EH5000ACII rigid dump truck has proven itself as the best combination for Australia’s voracious worksites.

Nationwide, the yields of these giants are setting new production standards. Talk to us today to find out how Hitachi will improve your operation—phone (07) 3909 7900 or visit www.hcma.com.au


Focus on the Minerals Resource Rent Tax

MRRT: taxing, not ‘elegant’ The mining industry braces itself for the latest version of the controversial tax. By Tim Treadgold

F

or a tax which was initially marketed as “elegant”, the federal government’s super tax on the profits of most iron ore and coal producers is turning out to be ugly, ungainly and as far from elegant as can be imagined. In fact, anyone asked today to explain the precise working of the Minerals Resource Rent Tax, which superseded the original resource super profits tax, would have an impossible job, largely because it remains a work in progress. Astonishing as it sounds, the super-tax (by whatever name) has not been finalised some two years after it was sprung as a midnight surprise on the Australian mining industry.

When caught between a rock and a hard place, the fall back position is to attack the class enemies of the Labor Party – fat-cat miners. On the way to this latest bout of uncertainty, which relates mainly to allowable deductions for interest payments, exploration costs and depreciation on capital equipment, the super-tax has claimed the career of one prime minister, and damaged the reputation of another, plus the standing within industry of the treasurer they shared. Wayne Swan is the common treasurer who reported to the deposed Kevin Rudd (twice) and the wobbly incumbent PM, Julia Gillard, and it was Swan who echoed the words of former Treasury secretary and chief supertax designer Ken Henry in describing the tax as “elegant”. Precisely what the tax architects meant by calling the super-tax elegant is beyond human comprehension, because it is such a mess that the description will one day win top spot in a collection of extreme examples of government spin. History aside, but not forgotten, the current status of the mining super-tax is that it appears to have effectively been returned to the backroom boffins in Treasury who created the original, and discredited RSPT.

22

What’s happened to start a process which will result in mining tax mark 3 is a realisation by Treasury officials that Australia is heading for a massive budget blow-out in the current financial year, thanks to falling corporate tax revenue, an inability to rein in spending on social welfare and a realisation that the Mark 2 version of the tax will not raise as much money as forecast because of depreciation and other tax deductions. Rather than being on track to return the budget to surplus, as has been a repeated promise from Rudd’s successor, Julia Gillard (chief planner of mining tax mark 2), the budget is on track for a $40 billion deficit. If Gillard cannot deliver on her surplus budget promise she will be pilloried by the Opposition, and possibly by the electorate, for failing to keep her word, as she did when famously saying “there will be no carbon tax under the government I lead” – only to renege within months and announce a carbon tax. So, when caught between a rock (in the form of budget collapse) and a hard place (a potentially broken promise) the fall back position is to attack the class enemies of the Labor Party - fat-cat miners. That’s why persistent rumours are emanating from Canberra that the MRRT is

being revisited by Treasury boffins as they attempt to claw back missing billions from their “elegant” tax by re-working the terms of the deal struck with a committee comprising representatives of the mega-miners, BHP Billiton, Rio Tinto and Xstrata.

The super-tax has claimed the career of one prime minister and damaged the reputation of another. Mining industry leaders have been slowly waking to the latest possible changes to the MRRT, and are not amused. “The stripping away of tax credits and changes to longestablished exploration arrangements would be a hammer blow to confidence in the capital markets,” Minerals Council of Australia chief executive Mitch Hooke said. Hooke is right. But that’s not going to stop the mining industry being hit with a higher tax bill from changes to depreciation schedules by a government which seems hellbent on creating its own crises – none of them elegant. editorial@miningmonthly.com

MAY 2012 amm


BELRAY.COM

Products that Perform. EvErytimE. Specialized Equipment Demands a Specialty Lubricant • Maximize Production • Insure the Viability of your Operation • Realize Savings by Reducing Consumption

To buy or become a Distributor of Bel-Ray’s High Performance Products, email us at customerservice@belray.com.


News

We’ll manage it Ausenco awarded management contract for South American copper mine. Ausenco lands copper contract.

A

n Australian firm has landed a major contract to manage a $US1.1billion copper mine in South America. Queensland-based Ausenco have been asked to provide engineering, procurement and construction management at the Constancia project in Peru. Ausenco, whose headquarters are in Brisbane, will look after mine development, concentrator and infrastructure for Hudbay Minerals. The Constancia project is located in the Andes, south-eastern Peru, in the Chamaca and Livitaca districts. Located 4500 metres above sea level, it is a large-scale porphyry copper ore body. The project involves the development

24

of an open cut mine and construction of a 28 million tonne per annum copper and molybdenum concentrator, with associated infrastructure, ahead of anticipated full production in 2016. Ausenco expects the project to receive final approval from the Hudbay board in July. Ausenco CEO Zimi Meka said the award built on the company’s longstanding work with Hudbay on this project, where Ausenco has delivered the evaluate phase study and innovate phase front end engineering and design. “We have a strong working relationship with Hudbay and extensive knowledge of the project, following our success in providing innovative early phase solutions during 2010

and 2011,” he said. “Our Australian, Canadian and Peruvian offices will all be working together to deliver this important project, demonstrating that collaboration and our strategic global footprint are allowing us to win new projects and increase our scope of work on existing projects. South America remains a key growth area for our business and this award further strengthens our footprint and project delivery pipeline in this high growth region. “A significant proportion of our work over the past year has come from repeat clients, demonstrating our strong client relationships, reputation for delivering and expertise.” editorial@miningmonthly.com

MAY 2012 AMM


Shopping for your business can be this easy with our Asset Finance team. The Commonwealth Bank understands that having the right equipment means you’ll have a more productive and efficient business. And with expert knowledge in the mining industry, we can help tailor a finance solution to help you get the equipment you need. for more info: contact

call

Your Relationship Manager

1800 ASSETS (277387)

Important information: Applications for finance are subject to credit approval. Commonwealth Bank of Australia ABN 48 123 123 124. CBM1268_A


MINERALS Council of Australia Mitchell H Hooke – chief executive officer of the Minerals Council of Australia since June 2002.

WARNING: don’t cut fuel tax credits Further cuts in this month’s budget could prove disastrous.

R

ecent reports suggest the federal government could further reduce the fuel tax credit in the May budget. This would violate every principle of sound tax policy – efficiency, neutrality, equity and simplicity – all for the sake of another revenue grab. Cutting the fuel tax credit is the same as imposing a new tax on a business input. And like all tax hikes, it would result in lost output and reduced international competitiveness. It would also be the fourth new tax on mining this year. The mining tax, carbon tax and reduction in fuel tax under the price on carbon all start on July 1. If media reports are accurate, it would fly in the face of the government’s criticism of the states for imposing new costs on mining through royalty increases. The fuel tax credit is not a “subsidy”. It removes fuel excise as an impost on a critical

business input – a policy which has had bipartisan support since the scheme was introduced. Miners, farmers and others pay the excess tax as a means of easing the administrative burden on the government. Taxes on business inputs generate even bigger problems if they are introduced closer to the start of the production process, as they cascade through supply chains distorting all subsequent decisions by downstream industries. Access Economics found that diesel taxes on miners destroys around 50 cents in value for each dollar they raise. The fact that miners working in remote areas usually have no cost effective options to diesel only compounds the inefficiency. • The MCA represents Australia’s exploration, mining and minerals processing industry, nationally and internationally, in its contribution to sustainable development and society. editorial@miningmonthly.com

Maximising mining boom growth At a time of lively debate in our democracy, the Minerals Council of Australia has launched a series of public policy monographs focusing on the central issues that surround the development of Australia’s mineral resources. In the first of the series, respected economist Dr Ed Shann examines the policy challenges associated with maximising growth in a mining boom. From the perspective of someone steeped in Australia’s “reform era”, Dr Shann outlines the demand and supply side reforms needed to ensure Australia takes full advantage of this once-in-a-generation opportunity to lift its wealth. Among the issues discussed are how Australia risks missing out on potential mining boom gains. Dr Shann’s report is available at www.minerals.org.au.

26

MAY 2012 AMM


Small yet robust: Fast, accurate and durable.

N

OVED! R P P A E AL MIN O C W O

Dräger X-am® 5600 Featuring an ergonomic design and innovative infrared sensor technology, the Dräger X-am 5600® is the smallest gas detection instrument for the measurement of up to 6 gases. Ideal for personal monitoring applications, this robust and watertight detector provides accurate, reliable measurements or explosive, combustible and toxic gases and vapours as well as oxygen.

CALL 1800 67 77 87 OR VISIT WWW.DRAEGER.COM FOR MORE DETAILS.

X-am 5600.indd 1

1/5/2012 2:20:34 PM


Focus on Australia’s Tin Mining Sustainability in motion. Sustainability can mean a lot of things. At ExxonMobil Lubricants and Specialties, we define it as balancing economic growth, social development, and environmental protection so that future generations are not compromised by actions taken today. Our most visible contributions to sustainability are our advanced products. Like Mobil Industrial Lubricants. They help our customers save energy, increase efficiency, and reduce waste. They’re designed to help our customers be more competitive by increasing equipment reliability, reducing operating costs, and extending machine life. All of which results in a host of benefits for our customers. And keeps our world moving ahead to a better future. For more on how Mobil Industrial Lubricants put sustainability in motion, go to exxonmobil.com/lubes.

© 2010 Exxon Mobil Corporation. The Mobil and ExxonMobil logotypes and the Pegasus design are registered trademarks of Exxon Mobil Corporation or one of its subsidiaries.

NSW/ACT - Lubes Direct 1300458237 QLD/NT - East Coast Lubes 1800069019 SA - Roto Oil 08 83598995 VIC/TAS - Southern Cross Lubes 1300552861 WA - Statewide Oil Distributors 08 93506777 NZ - Allied Lubricants Limited 0800115205

28

Tin time With China’s hunger for tin threatening to devour domestic supply, Australian mines are ready to plug the global gap. By John McIlwraith

Tin • Ignored by investors for a decade • Increasing demand in electronics • China mines almost half the world’s tin • Chinese consumption set to exceed domestic supply • Australian mines ready to meet demand

A

ustralia is poised to become a key player in the global revival of tin. The metal has largely been ignored for the last decade as it suffered the boom and bust of an unpredictable market. But demand is rising again. China is expected to start looking overseas, as its tin consumption exceeds domestic supply. Demand from the electronics industry is also increasing, with manufacturers choosing tin as a soldering alternative. Australia is ready to step forward and fill the void. At home, there are several promising projects. Local companies also have other prospects overseas, encouraged by the emerging prospect of stronger prices. The current tin revival is in stark contrast to the past. The industry has endured a long period of weakness. Prices, adjusted for inflation, have lagged behind most other commodities. Tin suffered a long period of depression, over 16 years to 2002, but prices have now recovered to levels – adjusted for inflation – last reached more than 30 years ago. However, they are still a long way from the peak of $US38,000 a tonne (in current dollars) reached then. A longer term figure of more than $US25,000 a tonne has been suggested by some analysts. Tin was a victim of an unhappy period in which the market was controlled – or at least that was the objective ­by the International Tin Council. For 30 years, under the sponsorship of major governments, it attempted to maintain a buffer stock system. The ITC bought tin when the market was over-supplied and released it when conditions improved, with all buffer stock purchases and sales linked to a transparent price range agreed

by the members. The ‘floor’ price was set with reference to marginal costs of production (high cost mines in Bolivia and Malaysia) and could be defended by the imposition of export quotas on member countries as well as buffer stock purchases. From 1956 until 1985, the floor price was always successfully defended. However by the mid-1980s, the ITC found it increasingly difficult to apply remedies for cyclical problems to a market that was facing a structural crisis. As a result of the decline in world consumption since the early 1970s, and the growth of new supply outside its control – particularly from non-member country Brazil – it faced the prospect of permanent export controls and an ever increasing buffer stock. Eventually, the buffer stock was put under intolerable strain and had to halt operations in October 1985, at which point it held physical stocks of 52,000 tonnes and an LME long position of over 60,000 tonnes. After five months of fruitless political negotiations, the ITC failed to find a solution to the crisis and the market collapsed. It closed out all outstanding contracts at an imposed price and suspended tin trading, which remained in force until 1989.

Consumption has exceeded production in five of the past six years. Today, shortages are threatened, with the LME stocks equivalent to just a few weeks of world consumption. The traditional uses of tin, mainly in canning, ­is giving way to the metal’s role as lead-free solder in electronics, where demand is increasing rapidly. In the past six years, global consumption of tin has exceeded production, leading to the current low stockpiles. China is the major tin producer and also a leading consumer, mining nearly half the world’s tin. Fosters Stockbroking says supply remains tight in China, despite the overall uncertainty of the base metal’s outlook. There are significant constraints in world tin supply as well as cost pressures, with

MAY 2012 amm


DRIVEN BY YOU MAINTAINED BY SARGENT

INE pIpEl y READ

sITE y READ

4X4 TRucK

4X4 TRucK bus

sITE y READ

cT pRojE y READ

4X4 DuAl cAb

lARgE 4X4 wAgoN

FlEET RENTAl, MAINTENANcE SOlUTiONS. sARgENT dOES iT All! MEchANIcAl sERVIcE & REpAIRs

DRIVElINE & suspENsIoN

pARTs & AccEssoRIEs

MINE sITE/pRojEcT spEcIfIcATIoN fIT ouTs

TyREs & bATTERIEs

RoADwoRThy & sAfETy cERTIfIcATE

VEhIclE DETAIlINg

VEhIclE INspEcTIoNs

ElEcTRIcAl

AIR coNDITIoNINg sERVIcE

1800 077 353 www.sARgENT.coM.Au


Focus on Australia’s Tin Mining

Tin is increasingly being used in electronics.

Indonesian producers – the second biggest source – limiting production output this year. It is expected that Chinese consumption is on the verge of exceeding domestic supply.

The Chinese will then begin buying on international markets, correcting a disparity between domestic and global prices. Australian tin miners and prospectors are already positioning themselves to meet this surge in demand. In Tasmania, Metals X has been chosen by Foster Stockbroking as a highly attractive investment. Foster says Metals X will be the only Australian producer for the next two to three years, although a number of other prospects will emerge in that time. These include Kasbah Resources, which has an increasing reserves base in Morocco, Stellar Resources, with healthy reserves at Zeehan, Venture Minerals, also in Tasmania, Consolidated Tin Mines in Queensland and Gippsland Ltd, which is planning to open a mine in Egypt. Monto Minerals, in Queensland, is another tin hopeful. Kasbah attracted significant attention recently, when a member of the Toyota group bought a 20% interest in the main Moroccan prospect, Achmmach. Toyota Tsusho handles about 8% of the world tin trade and is clearly seeking to increase that. The final price it will pay for its share of Kasbah will depend on the imminent results of a definitive feasibility study. A figure of $24 million has been suggested. The most recent report on Achmmach

Check

2012

full PR

out the

increased the resource by 150% to 14.6 million tonnes at 0.9% tin, or 135,000t of contained tin. Of this, 5.3Mt is indicated, at 0.8% tin for 42,000t, and 9.3Mt is inferred, at 1% tin for 93,000t. Achmmach has been described as one of the largest undeveloped tin deposits in the world and it is still open-ended. Stellar Resources has commenced a new one year, 10,000m drilling programme at its now 100%-owned Heemskirk project in Tasmania. The program is planned for completion by March quarter 2013, with two rigs operating from April 2012. Still in Tasmania, Venture Minerals has identified further potential to produce direct shipping iron ore – cash flow from which will support the development of its Mt Lindsay tin-tungsten deposit. Further north, Monto Minerals has begun a copper and tin drilling programme at its Herberton project in Queensland. Australian tin miners now have reason to be optimistic about their industry’s prospects. After four decades in which its fortunes have experienced extremes, in terms of high and low prices, tin could be the next contributor to the Australian mining boom. editorial@miningmonthly.com

OGRA

for uniq ue wo topics r and im kforce pressiv e speak ers

M

NATIONAl CONfERENCE 23-25 MAy

Burswood entertainment complex, perth. ThE RESOuRCE INduSTRy’S lARGEST ANNuAl GAThERING Of WORkfORCE-fOCuSEd PROfESSIONAlS VIEW PROGRAM & REGISTER www.amma.org.au/amma-national-conference

30

MAY 2012 AMM


MSJ0007/MINE/MM

Deep industry knowledge. Powerful insights. Great relationships. The longer you work with someone, the more extraordinary things you can help them achieve. Perhaps that’s why we’ve worked with some of our clients for over 150 years. That’s the power of together. As this new era begins, we can’t wait to see what we can help our clients achieve over the next century or so.

The power of together www.kwm.com

King & Wood Mallesons congratulates Faris Mining on the launch of their 500th Deep Core Miner.


BROMBY ROBIN

Robin Bromby has spent 18 years writing about resources for The Australian and has written several books.

Remember the miners who had it tough

A mining executive has recorded the work of his predecessors – and how World War I ripped the heart out of Australian mining.

I

t is not often you see a stock exchange announcement that includes a 1941 newspaper clipping. In this case, it was a report in the Sydney Morning Herald of December 3 recording that Private M.V.C. Melvaine had been awarded the Distinguished Conduct Medal for charging a Vichy French machinegun nest at Jebel Mazar, near Damascus.

We stand in awe when finding a shaft sunk by crowbar, pick and shovel through solid rock. Maurice Victor Charles Melvaine died only two years ago, aged 90. It was a map drawn by him, and found in the Mitchell Library in Sydney, that helped listed explorer Sovereign Gold find the Diggers shaft on the Rocky River-Uralla goldfield in northern NSW. This follows the discovery a few months earlier of the Frasers Find shaft on the same goldfield, dug by prospector Andrew Donald Fraser in 1912. He died in 1942. Michael Leu, who runs Sovereign Gold which is now exploring that NSW goldfield, is keen to record the exploits of the prospectors and miners who did it tough. Although he came later than Fraser, Melvaine did much to record what had happened in the area that was abandoned at the start of World War I. Leu makes the point that, apart from the appalling loss of life of miners who enlisted,

ASX must fix quarterly chaos SO, JUST how much time have you wasted in the past few weeks on the regulatory paperwork – either as a reader or compiler? I am referring to the three-monthly quarterly reports fiasco. The Australian Securities Exchange perseveres with an unwieldy system despite the fact that, for all the pages of drilling and other data, there’s really only one germane fact: the rate of cash burn and the amount of money left in the bank account at the end of the three month period. The other part of the quarterly, the one detailing activities, is a rehash of announcements during the three months and adds little to market knowledge. Of course, analysts who follow the company the 1914-18 war and the collapse of metal prices after, it resulted in an enormous loss of knowledge and expertise often handed down from grandfather to father to son. “All geologists admit there isn’t an area in Australia where they’ve explored or where mines have been developed in the past 50 years that hadn’t previously been worked or tested by these prospectors,” writes Leu. “We stand in awe when finding a shaft sunk by crowbar, pick and shovel through solid rock.” With the centenary of the 1914 war just two years away, we need to remember our mining pioneers. editorial@miningmonthly.com.au

concerned, the more interested (obsessed?) shareholders and the directors themselves read these quarterlies. But the average person out there investing in the market can’t or won’t have the time to read more than a handful of company quarterlies, at best. In the past, I have harped on about some form of staggered reporting: one way might be to require the smallest companies (based on market cap) to have filed within, say, eight business days of the end of the quarter, with others to follow according to size, leaving only the biggest companies to report in those last few days. Something needs to change. At present, those last few reporting days are mayhem.

Same old Labor WHILE some may pine for the days of Kevin Rudd, a look at this column of June 2009 reminds us that he was no friend of the mining industry. I wrote: “If Rudd and Swan could not find it in their hearts to make flow-through shares part of their $57 billion deficit … in 2009, forget about it being there in May 2010 ... Whatever is left ... targeted at seats in Brisbane, Sydney’s west.” See what I mean?

DARDS SETTING THE STAN E WITH INNOVATIVE SAFE STORAG SOLUTIONS • Relocatable bulk stores • Bunding EFFECTIVE COMPLIANCE FOR THE MINING INDUSTRY

1300 134 223

32

• Safety cabinets • Safety showers • Gas cylinder stores • Custom design to suit your situation • Lube stations DESIGNED AND MANUFACTURED IN AUSTRALIA

1300 307 895

protecting the

sales@storemasta.com.au www.storemasta.com.au

MAY 2012 AMM


Support for FIFO Workers and Families

Fly in. Fly out. Feel ok. A fly-in, fly-out support group is creating communities all over Australia, offering workers and their families help in coping with the lifestyle. By Brooke Showers

F

IFO workers and their families are being urged to join a growing support network that offers help in coping with all aspects of this demanding lifestyle. The FIFO Families initiative was set up 18 months ago to tackle the main issues associated with FIFO. Major companies such as Minara Resources, Ausdrill and Thiess have backed the initiative. Since then, FIFO Families groups have sprung up all over Australia. There are now more than 1200 families registered across Australia and New Zealand. To attract, recruit and retain up to 240,000 workers by 2015, barriers preventing people from entering the resources sector need to be addressed. The first six months for FIFO workers and their families are crucial and if a family isn’t coping during that initial period, then it’s unlikely the worker will stay in the role. “We have individuals and families who are totally unprepared for the challenges of FIFO,” FIFO Families director Nicole Ashby said. ”We build social networks and demonstrate that FIFO can be sustainable with effective education, support and life tools.” Ashby is a social worker and school teacher by background. She’s also a mother of three and the wife of a fly-in, fly-out rig worker. One of the ways FIFO Families makes the lifestyle sustainable is by providing access to a supportive and understanding community network, to cope with the stress of having an absent partner. Members meet up through the network online and can join local groups established in the area to share support, child care duties and enjoy weekend activities. There are now 14 groups established in Perth, five in Queensland and one in South Australia. Darwin launched its first FIFO Families event recently and a local group has started to emerge in Tasmania. Companies that wish to attract workers and retain them are now partnering with FIFO Families to be an “employer of choice” and offer better community networks for employees. “If you can get some support around these families, it can certainly lower your attrition rate,” Ashby said. “If a prominent oil and gas

amm MAY 2012

Rio Tinto HR manager Charlie Burns.

FIFO Families director Nicole Ashby.

company reduced attrition by just 6%, they would save $16.8 million per annum just to replace those workers.” One of the written testimonials FIFO Families received on its web site was from a FIFO BHP Billiton worker employed at the Area C mine in the Pilbara, whose wife is based in Fremantle. “I must say, what a wonderful organisation, it simply makes my job that little bit easier knowing that Liz and Isaac have support from other families who know exactly what we’re all going through when I’m working away,” the testimonial read. FIFO Families offers its members a workshop called the Seven Secrets to Harmony – Creating Resilient and Truly Connected Families. The secrets were born from Ashby’s own experience of knowing what is needed to make a FIFO relationship work, and draws on some of her skills through social work, teaching and feedback from the industry. One of the secrets is clear – rosters do matter. Rio Tinto offers an eight days on, six days off roster and a two weeks on, one week off roster. If workers want to earn more money, they can opt for the two and one. If they’re concerned about their family time, they can choose eight and six, which is much easier for families to sustain. Up to 20,000 people are employed by Rio Tinto across its national mining operations

and 47% of the workforce is FIFO. Rio Tinto Iron Ore human resources manager Charlie Burns said: “We’ve offered FIFO because we want to provide flexibility to our workforce.” Burns oversees Rio’s workforce growth program. “If the Australian mining industry is being honest, its understanding of the social fabrics of FIFO has not advanced as rapidly as the growth of Australia’s FIFO workforce,” he said. “It is clear that FIFO will be an increasing part of the Australian employment agenda. It is timely to invest and understand how we can make FIFO a well-balanced and sustainable practice into the future.”

“FIFO can be sustainable with effective education, support and life tools” – FIFO Families director Nicole Ashby FIFO Families hold events on weekends, as that can be a very challenging time when partners are away. “This is a perfect time for FIFO families and drive-in-drive-out families to come together,” said Ashby. “You get instant understanding and recognition of what this lifestyle brings. “It’s really made communities for people to step into.” brooke.showers@aspermont.com

33


News

SURAT BASIN

ENERGY & MINING EXPO 20th & 21st June 2012

TOOWOOMBA SHOWGROUNDS, QUEENSLAND FIND US ON

PLATINUM SPONSOR

TAP INTO AUSTRALIA’S ENERGY AND MINING HOTSPOT

The 2012 Surat Basin Energy and Mining Expo presents a unique platform to conduct face-to-face business with thousands of key decision makers.

Check our website and make sure you register now to attend.

World’s biggest drill is on its way THE world’s biggest raise drill is coming to Australia. Global raiseboring operator and manufacturer Redpath has announced the Redbore 100 will be arriving in Perth, WA, in June. The Redbore 100 has 3.5 million pounds of thrust capacity and 750,000 foot pounds of rotational torque – this is enough power to drill an 8m diameter raise to a depth of 1km. Redpath general manager of raiseboring Allan Brady said the Redbore 100 ran on a third of the power of smaller raise drills. It recently completed the world’s fourth largest raise hole at the Westwood project in Quebec, Canada. Transporting the Redbore 100 will require 50 shipping containers to carry its rig and drill rods. Redbore 100 stands at 7.54m high and is designed to be broken into smaller parts for underground mobility. The massive raise drill has received national interest. “We are already in discussion with several mining houses about the Redbore 100 with some exciting projects on the horizon,” Brady said. “Instead of doing a raise in two passes, companies can now pull it in one, minimising the costs associated with the multiple mobilisation and installation that other rigs require. “This gives mining companies an unprecedented number of options in how they design and structure their mines.” vetti.kakulas@aspermont.com

Freecall 1800 671 588

www.suratbasinexpo.com.au EXHIBITOR OPPORTUNITIES

AVAILABLE NOW

PLATINUM SPONSOR

PRESENTED BY

GOLD SPONSORS Established 1912

SILVER SPONSORS

EVENT PARTNERS Surat Basin

NEWS

34

Coming soon: Redpath’s Redbore 100.

MAY 2012 AMM


Improving reliability & safety in hazardous areas? Absolutely.

Look no further than ABB. Our approach is to deliver, safe and reliable products in hazardous and rigorous environments. ABB’s portfolio of motors and drives meet the highest demands for reliability, flexibility and performance and are certified to all major safety standards both locally and internationally. Our products are supported by local engineering expertise and an extensive global service network. Safety, reliability, operational excellence and sustainability are important to us and our customers. www.abbaustralia.com.au/oilandgas

ABB Australia Pty Limited Phone: 1300 782 527 www.abbaustralia.com.au/drives www.abbaustralia.com.au/motors


Focus – Australian Securities Exchange

ASX platform to entice investors

New listing rules are aimed at capturing rich investors. By Tania Winter

T

he cries of the country’s junior and mid-tier players may finally have been heard, with the Australian Securities Exchange unveiling an ambitious plan to overhaul listing rules to lure cashed-up investors and drive new floats. But is it a case of too little, too late? Some, like Perth-based Argonaut chief executive and managing director Eddie Rigg, who support the proposed measures, argue Australian regulators have been hopelessly slow to implement change. After consultation and feedback with the industry last year, the ASX outlined a number of reform proposals to combat its dwindling market share amid unprecedented global competition for clients and cash. Six months into his role as ASX chief, Elmer

Funke Kupper has developed a formula to overhaul the listing standards and ensure the exchange’s growth over the next two decades. He set a November target in which he hoped to have some of the proposals implemented, while consultation comments were due in mid-May. These include the much-touted introduction of a flow-through share scheme and creation of a $A10 million a year equity research fund to support more broker coverage of small and mid-cap resources companies. Other measures covered listed groups with a market capitalisation of $300 million or less, which would now be able to issue shares to raise up to 25% of the value of the company, including 15% without shareholder approval

and an extra 10% at a maximum discount of 25% to the market price within a year of receiving the blessing of investors. Current requirements restrict capital raisings to 15%. Its proposal to extend the ASX trading hours by two hours to a 6pm close in Sydney rather than the current 4pm final bell remains the subject of discussion with the market. Other proposals include doubling the net tangible assets test for admission to $4 million, trialling additional intraday auctions and introducing equity market makers for eligible juniors and mid-caps. The measures are a key move for the ASX, which is facing increasing competition from rival bourses in Hong Kong, London and Toronto.

TM

More Feed

|

Less Space

|

Low Profile Feeder™ Complete Peace of Mind

Far more versatile than conventional Belt or Apron Feeders Transmin’s Low Profile Feeder™ is the new choice for Australian mining & industrial operations


Focus – Australian Securities Exchange Rigg told Australia’s Mining Monthly the move to double the net tangible assets test for IPOs to $4 million was a good move. “I think that is a good thing because too many people list companies that should not be listed in the first place,” he said. He said Argonaut would be putting forward its thoughts to the ASX as part of the consultation comments process, which closes in mid-May. Mining lobby group the Association of Mining and Exploration Companies welcomed the moves. It is also expected to make an official submission. “We are currently canvassing our members seeking feedback on the proposals and any other measures they feel could be a benefit which we could put forward to the ASX,” AMEC chief executive Simon Bennison said. “I have already circulated the ASX paper to our tax committee and will also pass it onto our legislative committee, but I think the industry is going to welcome such measures.” A big supporter of the flow-through shares scheme, Bennison said it continued to remain on the table and was a key aspect of AMEC’s submission to government on the tax treatment of losses through the exploration tax credit – the rebadged flow-through shares scheme. “With the current government, they

Belt widths >

1.2m

made it very clear they could not afford the scheme and therefore would not honour their commitment when they were re-elected to go down this path,” Bennison said. “However, the coalition actually included in their policy platform provision to go down the exploration tax credit path, which was a proposition AMEC had put to them. “There is a cost to an exploration tax credit but there is also a financial benefit that flows as a result and you just can’t look clinically at a budget bottom line, you need to look at the flow-on effects it creates. “That is one of the difficulties we have had in selling the whole concept to both sides of government. But I think it is clear that the coalition is more understanding of the situation than the current government.” The flow-through shares scheme proposal is not a new concept but the latest bid has once again moved it into the spotlight, although Funke Kupper reportedly conceded it might take several years to gain support, given federal budget constraints. Last year, juniors and mid-caps dominated floats on the ASX, with 108 listings raising $3 billion. Subsequent analysis of capital raising movements showed these players used equity funding to raise an additional $4.1 billion from placements.

4.0m Change of Direction

Direct Receival Industry Standard Components Lowest Profile

Efficient

|

Reliable

|

Feedback from industry singled out the exchange’s current admission criteria, which it said acted as barriers to capital market activity for the smaller players. Industry argued strongly for a different approach to capital raising rules to better reflect the growth trajectory of juniors. Of note, many commented on the time and cost involved in holding general meetings out of the annual general meeting cycle to approve capital raisings of greater than 15%. While approval is typically granted, respondents said there was a high financial and opportunity cost involved in going to shareholders multiple times in a year. • A version of this article first appeared on AMM’s sister online news service MiningNews.net editorial@miningmonthly.com

Hybrid Design Combining belt and

apron feeding technology delivering true space saving performance

Carrier Rollers Driven by chains

carried by standard heavy duty track type rollers

Change of Direction From horizontal

to inclined eliminating conveyor transition points and improving space flexibility

LPF - ticks all the boxes!

Crusher Feeding & Discharge

Stockpile Reclaim

Ship Unloading Grabs

Rear and Side Tipping Trucks

ISO Sea Container Tilters

Front End Loaders

Bunker Discharge Feeders

Rail Wagons and Car Dumpers

On Site Services Available

Innovative

Innovative solutions for Australian Mining & Minerals Processing since 1987. Please contact us for your free LPF™ brochure.


Komatsu’s New Queensland Facility

Just the beginning Komatsu unveils its $55 million Queensland headquarters near Brisbane, with the promise of a lot more to come. By Thomas Smith

K

omatsu opened its $55 million headquarters near Brisbane and promised to continue expanding across Australia. Up to 150 new jobs will be created at the Wacol facility, as Komatsu announced plans to hire 100 new apprentices

nationally. Built as an operational hub, the site will be Komatsu’s Australian Mining Division head office. It took 16 months to build and brings together four existing sites all under one roof. Komatsu hopes the facility will act as a one-stop shop for Queensland customers – combining sales, service, assembly and remanufacturing of mining and construction equipment on site. Komatsu Australia managing director Sean Taylor said the Wacol facility was the company’s biggest investment in Australia – and there was more to come. He said: “As our business grows, so must our capacity to meet the needs of our extended customer base. “Our new Wacol site is truly world class – what the Japanese call ‘dantotsu’, meaning unique and unrivalled. “In the next five years, we plan to extend this philosophy to a number of new and existing sites, beginning with a major upgrade of the Mackay [Queensland] facility later in 2012. “The commissioning of our all-new Wacol facility is an important milestone in the strategic expansion of Komatsu’s network. “We have a very positive outlook for the local resource and construction markets, and the development of Wacol as a customer service facility has been a key infrastructure priority for Komatsu.” The Wacol site is also home to Komatsu’s Condition Monitoring Services’ oil-testing laboratories. Komatsu says the Wacol site has 40% more capacity and will assemble up to 70 “ultra-class” mining dump trucks each year, with the facility strategically located to service customers in the rapidly expanding Queensland resource sector. It will play a key role in the employment of up to 100 new tradesbased apprentices by Komatsu over the next 12 months. Taylor said

Left to right: Queensland Treasurer and Minister for Trade Tim Nicholls, Komatsu Australia managing director Sean Taylor, Komatsu Marketing Support Australia president Mr Nishikawa, Mitsui Automobile and Construction Equipment chief operating officer Mr Nakayama.

Komatsu was guided by a “corporate commitment” to the sustainable development of industry, and that the Wacol site had been designed with a number of advanced, environmentally friendly features. The site has six main buildings across 61,000sq.m of land. Rainwater harvesting, energy-efficient lighting and temperaturecontrolling insulation are among the green features in the site design. The establishment of the new Wacol facility received the support of the Queensland government and Brisbane City Council. Tim Nicholls MP, Queensland Minister for Trade, helped open the Wacol facility in April. He said: “The investment of $55 million in this facility is a strong sign of faith in the future of Queensland.” thomas.smith@aspermont.com

The deals get done at Wright Property The deals get done at Wright Property The deals get done at Wright Property 38

MAY 2012 amm


Sandvik Opens $50m NSW site Olof Faxander, Sandvik president and CEO, with Rowan Melrose, president, Sandvik Mining Asia Pacific.

Building the future

Sandvik’s new $50 million facility is a boost for Australian mining. By Lou Caruana

S

andvik has underlined its confidence in the Australian mining industry, unveiling a $50 million facility in New South Wales. The new site centralises Sandvik’s other facilities under one roof, providing customers with manufacturing, assembly, supply and support. Sandvik AB President and CEO Olof Faxander says the investment reflects the confidence Sandvik has in the country’s mining industry. “In terms of mining, I think we rate Australia highly,” he said. “It’s such a big sector. But the challenge here I guess is the scarcity of skills and knowledge.” According to Faxander, the newly opened facility is a boost to local manufacturing. He also believes it’s a way for the Australian mining industry to plug into the latest R&D in automation which is shared around the global network of the Swedish company. It will also help to create new skills that are needed to create value added manufacturing in Australia, as the higher Australian dollar bites into cost competitiveness. Sandvik’s Hunter Valley Site facility is one of the company’s largest manufacturing, assembly, distribution and aftermarket service centres in the world. It covers an area of 16 hectares, including a 4ha expansion area for future needs, and has a total of 28,000sq.m under cover. Around 600 employees and contractors work at the site, with capacity for up to 750 employees and contractors. The company operations at the site cover manufacturing (including Australian designed, developed and manufactured products), assembly, warehouse, aftermarket, and fabrication, as well as training and testing facilities. Total annual turnover through the HVS will be $200-300 million, including manufacturing, repairs, rebuilds and parts. These include a compressor system featuring a heat recovery module which allows the waste heat from the compressor to be used to heat water for its amenities, a saving of 420 tonnes of carbon emissions per annum. It boasts a 132kW solar panel system – the largest in NSW – that powers the entire office block, saving 185 tonnes of carbon emissions. Sandvik turns over $US1.5 billion a year, with 80% of that coming from mining. It is planning to grow by 8% a year and Australia’s contribution would be a significant part of that, Faxander said. Sandvik Mining Asia-Pacific president Rowan Melrose said: “It’s not just about what we provide, but the solution we’re providing as a result of the automation, which adds a lot of value.” Melrose said the company was effectively offering employees the opportunity to study for a master’s degree, in cooperation with local universities, as a way of addressing the skills shortage.

AMM MAY 2012

“There’s about half a dozen universities and we put a program together for our people to effectively give them a master degree,” he said. “There’s a significant investment in time and money from ourselves and the individual. It’s a two year course and it’s a fully qualified degree. “We’re picking our own people that want to get involved and better themselves. We’ve also had discussions with customers.” editorial@miningmonthly.com

Keeping Your World In Motion Protecting Your Plant Before Things Start To Go Wrong

Motion Sensors Speedmonitoring Safetyinterlocking Rotationcontrol

AE3000 Extra Heavy Protects: Duty

AE2000 Heavy Duty

• Conveyors

Proven track history of Reliable and extremely high Quality products with many   Applications worldwide

Simply Choose

• Crushers • Valves & Pumps • Bucket Elevators •And Many More…

R TECH FOR RELIABILITY!

Why Accept Anything Less?

Web: rotechsystems.com.au Email info@rotechsystems.com.au

Tel: +61 40003 9514

Monitoring Solutions since

1983

39


Don’t Miss

MINING’S

CORE

EVENT EVENT. SEpTEMbER 24-26, 2012

Bigger than ever before, it’s the industry’s most important innovation showcase with over 700,000 sq. ft. of new products and services. Join 38,000+ mining professionals at the center of the mining world to see, learn from experts and experience this one-of-a-kind, once every 4 year event.

September 24-26, 2012 Las Vegas Convention Center Las Vegas, Nevada USA

Visit MINExpo.com for the latest information. Sponsored by National Mining Association

@minexpo2012 www.facebook.com/MINExpo

REGISTRaTION & HOuSING NOW OpEN! O


News

Licence to proceed

Safety – Quality Technical Support Ground Support Systems

New South Wales Minerals Council welcomes licence audit.

M

iners in New South Wales have welcomed the results of an exploration licence audit. The NSW Minerals Council claim the results of a state audit of coal exploration licences highlights the mining industry’s commitment to safety and the environment. According to the NSW Minerals Council, 95% of the safety and environmental conditions audited met compliance levels. They claim the remaining 5% that breached regulations were only for minor, low risk issues. NSW Minerals Council CEO Stephen Galilee said: “Mining in NSW is a vibrant and growing industry worth $20 billion. “Safety is paramount to the mining industry. “The NSW mining industry is one of the most closely monitored and heavily regulated

in the state. This audit report shows it’s also very much committed to meeting its safety and environmental obligations.” Mr Galilee also explained that the NSW Minerals Council welcomes the NSW government’s review of the licence conditions. “Our industry is determined to maintain best practice when it comes to safe minerals exploration. “We will continue to work with the state government to ensure licence conditions reflect this. “Mining in NSW will generate an increasing revenue stream for the state through our royalty returns; a total of around $8.5 billion over the next four years. “The mining industry generates thousands of jobs in NSW. It’s vital that we continue to work with the government to keep our industry strong.” editorial@miningmonhtly.com

Enhancing the safety and production levels of underground mines by providing the highest quality ground support products and services possible. THE SOLUTION Jennmar Australia will provide the complete ground support solution incorporating: • Complete range of ground support products for coal and hardrock • Innovation and problem solving tailored to specific mine sites • Continual training and support by industry experts • The most responsive and reliable supply • Experienced mine service technicians in the hub of the mining districts

NSW Office 02 4648 7500 40–44 Anzac Avenue, Smeaton Grange NSW 2567

Qld Office 07 4952 8700 48–50 Southgate Drive, Paget Qld 4740

WA Office 08 9408 9900 84 Furniss Road, Landsdale WA 6065

sales@jennmar.com.au

www.jennmar.com/jma NSW miners will continue exploring.

amm MAY 2012

41


Mascus Equipment Classifieds

www.mascus.com.au

COMPANY: Komatsu Australia Pty Ltd MODEL: Komatsu D85EX-15 YEAR: 2006 HOURS: 1839 PHONE: +61 3 9250 9300

COMPANY: Komatsu Australia Pty Ltd MODEL: Komatsu WA380-6H YEAR: 2008 HOURS: 1000 PHONE: +61 3 9250 9300

*SMS kom to 0457 552 222 for full product details

*SMS kom to 0457 552 222 for full product details

COMPANY: Komatsu Australia Pty Ltd MODEL: Komatsu WA320_5 YEAR: 2008 HOURS: 8 PHONE: +61 2 9795 8341

COMPANY: Komatsu Australia Pty Ltd MODEL: Komatsu WA470-6H YEAR: 2006 HOURS: 10502 *SMS kom to 0457 552 222 for full product details

*SMS kom to 0457 552 222 for full product details

www.mascus.com.au www.mascus.com

COMPANY: CJD Equipment Pty Ltd MODEL: Volvo EC240CL YEAR: 2007 HOURS: 5078 PHONE: +61 3 9305 2566

COMPANY: CJD Equipment Pty Ltd MODEL: Volvo EC360CL YEAR: 2007 HOURS: 6930 PHONE: +61 3 9305 2566

*SMS cjd to 0457 552 222 for full product details

*SMS cjd to 0457 552 222 for full product details

COMPANY: CJD Equipment Pty Ltd MODEL: Volvo L220E YEAR: 2007 HOURS: 12750 PHONE: +61 3 9305 2566

COMPANY: CJD Equipment Pty Ltd MODEL: Volvo L180E YEAR: 2003 HOURS: N/A PHONE: +61 2 4648 9600

**SMS cjd to 0457 552 222 for full product details

*SMS cjd to 0457 552 222 for full product details

COMPANY: Worldwide Construction Machinery MODEL: Caterpillar 140H Grader YEAR: 2006 HOURS: 6386 PHONE: +61 8 9493 6266

COMPANY: Worldwide Construction Machinery MODEL: Caterpillar 815F-II YEAR: 2007 HOURS: 2770 PHONE: +61 8 9493 6266

*SMS wcm to 0457 552 222 for full product details

*SMS wcm to 0457 552 222 for full product details

COMPANY: Worldwide Construction Machinery MODEL: Caterpillar 938H Wheel Loader YEAR: 2009 HOURS: 897 PHONE: +61 8 9493 6266

COMPANY: Worldwide Construction Machinery MODEL: Caterpillar 950H Wheel Loader YEAR: 2011 HOURS: 5 PHONE: +61 8 9493 6266

*SMS wcm to 0457 552 222 for full product details

*SMS wcm to 0457 552 222 for full product details

COMPANY: Blake Machinery Group Pty Ltd MODEL: John Deere 872D YEAR: 2006 HOURS: 3201 PHONE: +61 7 5445 4433

COMPANY: Blake Machinery Group Pty Ltd MODEL: Volvo L150F YEAR: 2008 HOURS: 1566 PHONE: +61 7 5445 4433

*SMS bmg to 0457 552 222 for full product details

*SMS bmg to 0457 552 222 for full product details

COMPANY: Digrite MODEL: Takeuchi TB250 YEAR: 2009 HOURS: 2 PHONE: +61 8 9358 4333

COMPANY: Digrite MODEL: Takeuchi TB016 YEAR: 2006 HOURS: 3095 PHONE: +61 8 9358 4333

*SMS dig to 0457 552 222 for full product details

*SMS dig to 0457 552 222 for full product details

COMPANY: Swantrax MODEL: Caterpillar 924H YEAR: 2008 HOURS: 1600 PHONE: 0418 921 477

COMPANY: Swantrax MODEL: Komatsu WA500-6 YEAR: 2007 HOURS: 3000 PHONE: 0418 921 477

Contact Garry Llewellyn Accounts Manager Mascus Australia Pty Ltd

Tel: +61 8 6263 9141 Mob: +61 405 776 905 www.mascus.com.au


News

Virotec goes green Virotec Mining Services and Tasmanian waste treatment company Green Shadows Commercial have struck an agreement to share acid mine drainage technologies. Virotec, a subsidiary of Virotec Global Solutions, is based in Coomera Waters, Queensland, and provides waste and management solutions to mining companies. Green Shadows Commercial is a waste treatment company, based in Tasmania. This isn’t the first time the companies have worked together. Virotec has previously combined technologies and design engineering with Green Shadows Commercial to treat acid mine drainage at a Tasmanian mine site. “The cross-licensing agreement opens new horizons for acid mine drainage treatment to both companies,” Virotec general manager Daniel Blair said. “The current and future projects which we implement incorporating ozofractionation and ViroMine reagents into a seamless, engineered solution to treat all forms of AMD are offering viable commercial and technical alternatives to practices which are now largely outdated. As the mine waste treatment industry expands, due to greater emphasis on sustainable practices in mining as well improved economic conditions in the market, Virotec believes that these newer and more sophisticated approaches to treating acid mine drainage will become increasingly attractive to mining companies.” Virotec, previously a mining company, has 12 years experience in the treatment of acid mine drainage using its ViroMine Technology, which is used for treating waste streams. Clients include Mt Carrington mine, Rossarden, Fox Resources, Lady Annie mine (Parsons Brinkerhoff) and Thalanga copper mine.

001 CMS_124mm x 182mm.indd amm MAY 2012

1

Safety first Rio Tinto has awarded Australian firms safety contracts for two of its mine sites in Queensland. RFD Australia and Fire Rescue Safety Australia are both safety and survival equipment suppliers. They have formed a partnership to provide specialised equipment and support. The contract involves supplying breathing apparatus and equipment for Rio Tinto’s Kestrel underground coal mine and Kestrel mine extension project, located 51km northeast of Emerald, Queensland. Sydney-based RFD will provide compressed air breathing apparatus, response stations and quick fill stations. “This is a complete package that FRSA and RFD is supplying to Rio Tinto’s two mines,” RFD’s Martin Dowling said. “We are also supplying the breathing air filling system, training equipment and essential training on equipment usage and maintenance as a part of the supply contract.” In an emergency situation, the breathing apparatus and quick fill stations provide breathing solutions for miners who need to evacuate quickly. Miners can remove an apparatus from the storage station and strap the unit to their back. Quick fill stations are placed throughout the mine and exit passageways for miners to refill their breathing apparatus on their journey out. The breathing apparatus and quick fill stations have been designed for harsh environments and can remain underground for five years before maintenance is required.

6/09/2010 3:28:16 PM

43


News

WA’s iron ore tops $57B Latest figures show Western Australia’s iron ore exports hit $57 billion – a staggering increase of $23 billion in just a year.

THE mining industry remains a “cornerstone” of the Western Australian economy, with iron ore exports increasing to $A57 billion in 2010-11, according to the Australian Bureau of Statistics. Iron ore exports increased from $34 billion in 2009-10 while China continued to be the state’s biggest export recipient during the 2011 financial year. The ABS said exports from WA overall increased to $112 billion in 2010-11, compared to $83 billion the previous financial year. A statement released by the ABS said: “The mining industry remained a cornerstone of the local economy, making up 28% of the state’s production.” WA residents enjoyed an increase in weekly

earnings during that period. Male earnings were $164 per week higher, while female earnings were up by $62 per week. The ABS report also said the state’s health care and social assistance industry grew significantly, employing 17,800 more people in 2010-11, compared to the previous year. As mining companies continue to increase production, more employees are needed to fill a growing number of vacancies across the industry. The report from the ABS revealed that Western Australia continues to have the country’s largest population growth rate at 2.6%, as more people fill jobs across the state. *A version of this story first appeared on MiningNews.net editorial@miningmonthly.com

WA iron ore exports are booming.

design &construct Quality, strength and the best value for money in industrial, commercial, mining buildings, aircraft hangers and water tanks. The Solution Provider

INDUSTRIAL BUILDINGS 44

• Aircraft hangers • Mining buildings

www.highline.com.au

1300 444454

Email: commercial@highline.com.au Cogent HIG3039

At Highline we don't just build top quality commercial and industrial buildings, we design and engineer them to your personal needs. Our full in-house service covers everything from design and engineering to planning and shire approval, and includes tilt panel construction, single or double-storey office with amenities, heavy vehicle workshops or large capacity warehouses. • Full turn-key project • COLORBOND® steel or tilt panel construction. • Specialists in mining heavy vehicle workshops. • Supply only, or supply and install. • Extensions, refurbishing and upgrades. • Local Government sports and community facilities. • Engineered to Architects concepts.

• Commercial water tanks – up to 5 million litres

CO M M E RC I A L P RO J E C T S

CO M M E RC I A L WAT E R TA N K S MAY 2012 amm


No job too big

MULTIFLO® Dewatering News Don’t let the water dampen your productivity. Weir Minerals Multiflo announces two new Heavy Duty models to our self-priming diesel pump range. The Multiflo® MF-90V High Flow Pump p Best efficiency point ntt (BEP) is 350 litres per e second at 90 metres ress re of head. The Multiflo® MF-210MV High Head Pump Best efficiency point (BEP) is 139 litres per second at 210 metres of head.

No matter what sized job, Weir Minerals Multiflo has a range of dewatering pumps to keep your mine dry and operational. • • • •

Legendary product reliability Custom built Multiflo® MF series pumps to suit particular applications Improved delivery and lead times from our new manufacturing plant Enquire about our available stock ready for delivery

MULTIFLO® Mine Dewatering Solutions Copyright © 2012 Weir Minerals Australia Ltd. All rights reserved. MULTIFLO is a registered trademark of Weir Minerals Australia Ltd.

MECCA WMM0052

Contact your local Weir Minerals Multiflo representative to discuss your total water management requirements.

Call: 1300 MULTIFLO multiflo@weirminerals.com www.weirminerals.com/multifo Excellent Minerals Solutions


Book Review

Barramundi Dreaming –

The Argyle Diamonds Story New book charts the history of diamond mining in the East Kimberley region.

I

SOME THINK LONG-DISTANCE TRANSPORT IS INFRASTRUCTUREINTENSIVE. WE THINK DIFFERENT Transporting materials from remote locations has traditionally required significant infrastructure investments in road or rail links, vehicles, personnel and fuel. BEUMER offers an economical, efficient and environmental alternative – long-distance overland conveying. This gives you a dedicated, around-the-clock transport link at the fraction of the cost of infrastructure development. The reduced noise and air pollution minimises environmental impact and improves personnel safety. Add to that a high degree of design flexibility and customisation and you can see why overland conveying makes a big difference to operational efficiency and environmental protection. For more information, visit www.beumergroup.com

t is a complete coincidence that Rio Tinto recently announced plans to try and sell its 100%-owned Argyle diamond mine, located in the Kimberly region of Western Australia’s north, around the same time a book about the history of the mine was released. Barramundi Dreaming: The Argyle Diamonds Story tells of the first diamond discovery in the region more than 30 years ago and the business deals which followed, leading to its global success. Author John McIlwraith said: “It covers one of the most exciting resource projects in Australian history because of the way the diamonds were discovered. “And of course, it turned out to be the biggest diamond mine in the world, and still was until recently. “Diamonds always create an exotic sense of glamour and this certainly comes across when talking with the diamond dealers. “It really was an amazing story.” The title of the book refers to the story of a barramundi swimming down the Bow River, through two hills known as the Barramundi Gap, who sheds her scales when jumping over women carrying fishing nets to avoid being captured. According to the legend, the scales became the diamonds of all colours which are found there today. McIlwraith, a respected mining journalist, collected his research over the course of two years, from many documents, manuscripts and Medium-quality pink diamonds attract prices ten times higher than similarly graded white diamonds.

World famous jeweller Laurence Graff sold this pink diamond brooch (left) to the Sultan of Brunei.

46

BEU_AustrMinMonthly_Gurtf_GB_86x255mm.indd 1

02.04.12 13:03

MAY 2012 AMM


Book Review

The cover of John McIlwraith’s new book.

project notes, and enjoyed talking to the people who discovered the diamonds and got the project going. Rio Tinto acknowledged the written records gathered during the course of McIlwraith’s interviews with key players in the industry and said they “were vital in capturing not only the important chronology of events, but the fascinating interplay of personalities, politics, economics and other forces which shaped the unique Argyle Diamonds story.” The establishment of what has become one of the largest diamond mines in the world has been an Australian success story. “Argyle is the largest producer of naturally coloured gems and the world’s only consistent supplier of the highly valued signature pink diamonds,” Argyle diamond mine managing director Kevin McLeish said. To get to this point though, McLeish said the early joint venturers had to overcome some extraordinary obstacles to break new territory in exploration, manufacturing and marketing. The rare pink diamonds were first collected at Argyle in 1984 during an alluvial mining process and are now revered as one of the most prestigious and expensive coloured diamonds used in jewellery today. Rio Tinto provides more than 90% of global supply. There are now plans to take the mine underground and continue collecting the stones which forged its fortune. The Kimberly region was first a diamond target for young geologist Ewen Tyler, who had followed the studies and theories of diamonds being located in the region from professor Rex Prider. Professor Prider had observed that a suite of lamproitic minerals found in the Kimberly resembled those accompanying the discovery of diamonds in South Africa. It wasn’t until 30 years after Prider’s lectures that Tyler was able to test his professor’s theory. The search for diamonds began in 1972 and by 1976 a diamond of more than a quarter of a carat was found in the King George River. By the end of the year a number of diamond-bearing pipes had been discovered. The discovery fell into the hands of Australian mining group CRA and together with the experience of dominant diamond player, De Beers, the executives of each company formed an agreement about how to sell the abundance of precious stones. McIlwraith said it was a great achievement when the diamonds were first discovered. The mine owners went on to launch the fabricating industry in India to curb the moderately priced diamond market in the US. “The brilliant marketing persuaded a lot of women to buy champagne diamonds in the United States and created a market which hadn’t been there before,” he added. McLeish said: “It is a remarkable story. “The book is a rich portrait of the people, places, politics and product.” brooke.showers@aspermont.com

amm MAY 2012

47


News

Skills finder New website helps match employers with employees.

A

website has been launched for job seekers looking for employment in the resources sector. The Minerals Council of Australia, Queensland Resources Council and The Chamber of Minerals and Energy of Western Australia have joined forces to create an Australian careers portal. The website – www.PeoplefortheFuture. com.au – provides information on nearly 200 different job roles available across the Australian resources sector. Research carried out by both QRC and CME showed that 40,000 skilled workers will be needed in Queensland by 2020, with a further 33,000 needed to fill the shortfall in the WA resources sector in the next 12 months.

48

QRC chief executive Michael Roche said there had never been a better time to explore career possibilities in the expanding resources sector. He believes the new site is an excellent starting point. CME chief executive, Reg Howard-Smith, said the site provided career information to a broad range of job seekers including school leavers, university students and graduates, potential migrants and people looking for a career transition. “The ongoing demand for workers in the resources sector is well-known,” HowardSmith said. “But what isn’t as well understood is the need for appropriately skilled workers in a variety of positions. “A skills shortage is much harder to

http://www.peopleforthefuture.com.au.

overcome than a labour shortage and it’s important that industry provides details on those jobs in demand, like engineering, metallurgy and geology.” Mr Howard-Smith said the portal offered information on workforce diversity, skilled migration and the fly-in, fly-out lifestyle, along with a range of interactive features. editorial@miningmonthly.com

MAY 2012 AMM


brisbane

newcastle

perth

karratha

emerald


News

Green for go Australian companies aren’t doing enough to offer women key roles. Mining and resource companies will soon be asked to use the Traffic Light Index to evaluate whether they’re doing enough to offer women the top jobs. By Brooke Showers

W

omen need strong, female role models in key positions if they are to land senior roles with mining and resource

companies. That was the message from the Gender Diversity in Action forum held by the Resource Workforce Summit held in Brisbane. Mining and resource companies were also told that a new Traffic Light Index will soon be released to help ASX listed companies evaluate their performance on gender diversity. “One thing that is not really well understood is the value of role models,” Women on Boards chief executive officer Claire Braund said. “It is extremely difficult for women to aspire to roles in corporate Australia, when

only men sit in the positions above them.”` Harvard Business School conducted a study which demonstrated that the presence of role models had a big impact on employee retention. The research found if junior women look to the leaders of their organisations, they’re more likely to stay if they see women in those roles. “It could be a mentoring effect, a role model effect or something else. But when there are no talented women to look up to, talented women are more likely to take flight,” Braund said, quoting the study. “The role of female role models has not been implemented well enough through these organisations. “It’s very difficult for people to imagine

themselves in a role if the people in them do not look the same.” Mining and resource companies at the Resource Workforce Summit were forced to self-reflect when the Women on Boards presentation highlighted how the Traffic Light Index will soon be released to help ASX listed companies self-evaluate. The system rates how well they are bringing females through the ranks and also assesses whether they are providing details of diversity in their annual reports. Red lights on the Traffic Light Index are given to companies who have provided no details about compliance with ASX Corporate Governance Principles and Recommendations or diversity in their most recent annual report.

Innovation for sustainable solutions Outotec is a global leader in the design, fabrication and supply of thickening and clarifying solutions for the minerals industry. Vane FeedwellTM is the first major feedwell innovation in the thickening industry in well over 15 years. This innovative feedwell is also a more sustainable choice. The unique design can increase underflow density, reduce flocculant consumption, improve water recovery and clarity, and increase reagent/mineral recovery. One site, for example, after a Vane FeedwellTM retrofit, reduced its flocculant costs by 20% and improved underflow density by 2% w/w.

For more information, visit our website

www.outotec.com/vanefeedwell

or call us on 1300 OUTOTEC (1300 6886832).

50

MAY 2012 AMM


News Companies also get a red light if they’ve made no commitment to providing information in the next report, or in the judgement of WOB have a very basic understanding of diversity.

Disappointingly, none of the mining or resource companies rated green. Principle 3 in the ASX Corporate Governance Principles and Recommendations recommends that the company develop and disclose a diversity policy that requires the board to set measurable gender diversity objectives. They are expected to report annually on progress and proportion of women at board level, in senior management and within the whole organisation. Of the 16 mining companies surveyed in the WOB’s Traffic Light Index, ten were ranked in the red light category, including Adelaide Brighton, Alacer Gold, Amcor, Aquarius Platinum, Atlas Iron, Fortescue Metals Group, Gindalbie Minerals, Iluka Resources, Incitec Pivot and Sims Metal. Three companies were ranked in Amber 2.1, which indicates basic diversity policy and

some base level initiatives - these were Boral, Lynas Corporation and Newcrest Mining. Rio Tinto, BHP Billiton and OZ Minerals all received an amber 2.2 rating, which meets all of the criteria in amber 2.1, in addition to displaying good policies and targets for

improvement, but haven’t reported any progress yet. Disappointingly, none of the mining or resource companies rated green. Attributes which earn companies the green light include a good representation

Is KMB on your bucket list? The Keech Mechanical Bucket (KMB) is designed for underground mining loaders. It offers reduced maintenance time and superior cost performance. • Designed to incorporate Keech Wearpact® hammerless

GET system or Keech Armourblade® welded edge system.

• Customised wear protection system designed and fitted to individual customer needs.

• Bucket front can be changed in under three hours reducing downtime.

• Bucket sizes available from 7m³ to 12m³ to suit all underground loaders.

For all the facts and figures contact Keech Castings Australia on

Tel: + 61 2 9648 3100 Fax: + 61 2 9748 3866 keechinfo@keech.com.au www.keech.com.au Keech Australia 183x124mmmm KMB Bucket Ad-white.indd AMM MAY 2012

1

8/02/2012 9:01:18 AM

51


News of women on the board or in senior management; evidence of progress with achieving stated objectives, linked to individual key performance indicators; good data reported over a number of years. Green light organisations have usually been early adopters of principle 3 and have sought to improve gender diversity for some years. Braund said whilst some companies are clearly addressing the issue, others are best at paying lip service to gender diversity and at worst, ignoring it entirely. Industry sectors which scored green results in the traffic light index included the banking, diversified financials, telecommunications, and food and staples retailing industries.

It is extremely difficult for women to aspire to roles in corporate Australia, when only men sit in the positions above them. Some tips for companies to get out of the red are to have detailed and transparent workforce metrics, engaged executives in diversity targets and a quality diversity policy championed by the CEO.

52

Employment best practice ideally allows job sharing, flexibility around start and finish times and options for working remotely. Caltex Australia Petroleum is one of the resource companies leading the way in recognising the benefit of having female role models in senior roles and has increasingly been focused on gender diversity. “It starts right at the top with us in that we have the Caltex Diversity Council, led by our managing director and CEO and comprised of our operational general managers and senior women leaders,” Caltex Australia HR business partner, refining, Milano Pellegrini said. “It is always a great help when you have role models.” Caltex’s Lytton refinery in Brisbane is headed by refinery manager Becky Alivio, who sits on the Caltex Diversity Council. “We look to push all elements of gender diversity, from recruitment, development and education, promotion and right through to a recent exercise around salary equality,” Pellegrini said. “There is review and development at all levels, and we certainly look to promote opportunity amongst our female employees.” Helen Conway, who was Caltex’s general counsel and company secretary until March 2011, left the energy company to become the

Women on Boards CEO Claire Braund.

director of the federal government’s Equal Opportunity for Women in the Workplace Agency. “We have some really good examples of people coming through the business, who are females and progressing quite well,” Pellegrini said. “We already had gender diversity on our radar, but the requirement in the ASX for certain companies to report on gender diversity really just added focus for us.” “We have taken it far further than just the central obligations.” brooke.showers@aspermont.com

MAY 2012 amm


L

News

A walk together Artist captures the Pilbara on film in new exhibition. Nyangumarta boys photographed by Tobias Titz.

ife in WA’s Pilbara has been captured on film in a new photographic exhibition. Supported by BHP Billiton and the federal government, “Marnti warajanga – a walk together” features images of indigenous and nonindigenous people from the Pilbara, captured by Melbourne photographer Tobias Titz. Titz first travelled to the Pilbara in 2007, where he met the Yamatji Marlpa Aboriginal corporation. One of the portraits at the exhibition depicts Daisy Kadibil from Jigalong. Kadibil is renowned for escaping from the Moore River settlement, 80km north of Perth, with her sister Molly Craig and cousin Gracie Fields in 1931. The feature film Rabbit-Proof Fence, released in 2002, is based on the three girls’ journey. They walked 2400km from the settlement back to their hometown following a rabbit-proof fence. Fields did not make it the entire way back. Another image displayed is the Nyangumarta boys taking their first steps as recognised native title holders. The exhibition will tour throughout the Pilbara finishing at Jigalong school from June 5 to 7. Check the official website – http:// moadoph.gov.au/exhibitions/online/ marnti-warajanga/ – for further details. vetti.kakulas@aspermont.com

The New Minarc EVO VRD range Portable, powerful and safe welding Designed to meet the needs of Australian manufacturing and the mining sector, the Minarc EVO VRD range is portable, easy to use and perfect for high duty cycle. Built to perform, it delivers outstanding welding quality plus arc ignition. Available for MMA, MIG/MAG and TIG processes, it combines maximum welding power with high-energy efficiency thanks to the integration of PFC and inverter power technologies. The Minarc EVO 140 and 150 VRD are designed to meet the Australian standard AS60974-1 and MDG 25 and tested to achieve lower than 35v maximum open circuit voltage achieved within 300Msec from peak load. The models include integrated VRD, VRD operational status light and fail to safe function in the event of VRD failure. The Minarc EVO 140 VRD has a maximum 10 amp rating. For details call 1300 Go Kemppi or email Info.au@kemppi.com

www.kemppi.com

AMM MAY 2012

53


News

Bio-risk? Access denied Government warns companies that contaminated machinery will be refused entry to Australia.

T

he government has warned the resource sector that contaminated, used machinery imported from overseas will be denied entry to

Australia. Any equipment brought in from abroad with high levels of biosecurity risk material will be refused entry and could be sent back to the supplier. Already this year, eight consignments have been turned away by government officials following inspections. The Department of Agriculture, Fisheries & Forestry warned: “DAFF Biosecurity is seeing an increasing number of imported used machines with high levels of biosecurity risk material. “Used machinery can pose a high

biosecurity risk if it is contaminated with BRM such as soil, animal or plant material. “If machinery arrives in a heavily contaminated state, DAFF Biosecurity can order the machine to be exported from Australia at the importer or owner’s expense.” Resource companies regularly import used machines from suppliers abroad. But strict quarantine laws require the equipment to be cleaned thoroughly before being despatched. Importers have been directed to the DAFF Biosecurity website – www.daff.gov.au/aqis – for details on import conditions and cleaning guides. editorial@miningmonthly.com

acee Diamond Drilling urffac Sur

Production Mining

ion Mine Rehabilitat

Mine Development xxxxxxxxxxxxxx Raise Boring

Underground Diamond Drilling

54

From portal to production, ACM is at the leading edge of mine development and production Australia wide. ACM have a proven track record in underground mining with the experience and expertise gained from many years hardened at the rock face. Whatever your requirements, ACM can provide the complete package from Surface Exploration to Underground Exploitation, safely, efficiently and professionally.

Call 08 9322 3488 or visit www.australiancontractmining.com.au

MAY 2012 amm


BENZ120311

A Daimler Brand

6x2 for 6.2% p.a.* , With numbers like these, you d better call ours.

Overseas models shown.

The Mercedes-Benz Axor and Atego. Versatile trucks that deliver reliable productivity, legendary value and a quality driving experience day after day, year after year. Now, we’re offering our new Axor and Atego 6x2 models at an incredible 6.2% p.a. finance rate* on a 48-month commercial hire purchase agreement. So, in addition to knowing you’re driving a great truck, you can be secure in the knowledge you’ve also driven a great deal.

Call 1300 66 22 30 for your closest dealer or visit www.mercedes-benz.com.au/6x2 *6.2% p.a. interest rate available to approved business customers of Mercedes-Benz Financial Services Australia Pty Ltd ABN 73 074 134 517. Total amount financed per vehicle must not exceed $200,000.00. Subject to availability from participating authorised Mercedes-Benz dealerships. Vehicle must be ordered from 1 March 2012 and delivered by 31 May 2012. Not available in conjunction with any other offer or fleet discounts.


News

Filling the skills gap

Unearthing trade opportunities for Australian students. By Brooke Showers Young Australians are being urged to help fill the country’s job vacancies by becoming the next generation of tradesmen. The Try’a Trade initiative aims to provide more information and hands-on, practical experience, especially for high school students. Organisers believe the more information people receive about a trade before committing

to training, the more likely they will be to make the right career choice. Try’a Trade hosts workshops at events all around Australia. Encouraging high school students to enter training for trades as a career path opportunity early on will help create more skills in the construction industry, and may mean fewer

students will view apprenticeships as a secondary option to missing out on a university placement. Try’a Trade introduces students to resource and construction sector jobs by providing hands-on experience in electrical, diesel fitting, mechanical and engineering orientated trades by participating in a series of workshops. The skills development workshops allow students to try out trades including plumbing, carpentry, electrical, bricklaying, tiling and painting. People who work in the industry are at each workshop to answer questions about working in the field.

Skills development workshops allow students to talk to people in the industry about different trades.

Bye bye fatigue using Cu proBraze® heat exchangers Cu proBraze® is our advanced heat exchanger technology for heavy duty applications. Its most important performance benefits are durability, size and efficiency. What‘s more, CuproBraze® is clearly superior for applications that must withstand elevated temperatures and harsh conditions without failure. For further information www.cuprobraze.com

CuproBraze® heat exchanger

5612-35-021 AZ CuproBraze fatigue+corrosion 119x182mm.indd

2

27.02.12 15:29

“The construction industry has a diverse range of careers to suit many different interests and skills,” Construction Skills Queensland industry engagement officer Russell Hollins said. “Try’a Trade events are a great way for career seekers to discover which area of construction they find most enjoyable.” Many training providers and industry organisations have shown strong support for Try’a Trade by providing equipment and employees to help run the demonstrations at events and expos. Students are guided to these pathways through the CSQ Doorways 2 Construction and Doorways 2 Civil Construction programs. These are school programs designed to provide students with the opportunity to gain on-thejob experience with an employer, while working towards a suitable qualification for completing a traineeship or apprenticeship. brooke.showers@aspermont.com

MAY 2012 amm


News

A sustainable future? Education, technology and the future of narrow vein mining were on the agenda when the Australasian Institute of Mining and Metallurgy gathered in Perth. By Vetti Kakulas

A

$225 million plan is being rolled out at an Australian mining college in an attempt to attract more students. The Western Australian School of Mines is in the process of upgrading facilities at its Kalgoorlie and Perth campuses. WASM director Steve Hall believes a lack of knowledge in the industry is one of the greatest challenges facing narrow vein mining. He says more students need to be educated in the latest technologies that can cut costs and improve the ore recovery process. “From a mining company perspective, the importance of narrow vein education is going to become more important,” he said. “We have a real need to refresh our mining academics faculty, the need to be research active, the need to understand this industry. It is getting hard

to recruit people, but I am certainly hopeful for the future.” WASM is investing $225 million in improving infrastructure at its Kalgoorlie and Perth campuses. It hopes improved facilities will attract more students. Hall was discussing his recruitment plan at the Australasian Institute of Mining and Metallurgy conference in Perth. Industry experts were told that technology was the key to cutting costs and improving efficiency. MineSense Technologies offers companies ways of enhancing the sustainability of mining by improving the ore recovery process. MineSense Technologies chief executive officer Andrew Bamber believes that narrow vein mining is facing increased economic, environmental and social pressures. He says

the future of the industry lies in technology. “The comet has arrived, in the form of the global financial crisis. The alternatives are to adapt or face extinction,” Bamber told the conference. He said mining misconceptions were affecting the sustainability of the industry. “Since 1905, the typical size of a mine, certainly base metal mines, has increased from under one million tonnes per annum to now over 50 million tonnes per annum. There has been consequent savings. “However, it has to be noted that over the same period, contributions to operating efficiencies and margins through technology outweigh efficiencies achieved by economy of scale by three to one.” vetti.kakulas@aspermont.com

WE ARE NOW IN A POSITION TO TAKE YOUR TYRES (ALL SIZES) AT OUR GILGANDRA LICENCED TYRE DUMP. We will be opening other licenced tyre dumps in strategic locations around Australia, then we will be able to take all of your tyres.

Exciting news; Australian Carbon Recovery, will be teaming up with a major US company to take on OTR retreading.

W: www.auscarbonrecovery.com.au

AMM MAY 2012

E: info@auscarbonrecovery.com.au

M: 0419 701 788

57


ASX Update NEW LISTINGS MARCH 23

Bullabulling Gold Limited

Code: BAB Principal activities: Gold exploration. Opening price: 34c

MARCH 29

Spencer Resources Limited

Code: SPA Principal activities: Copper, lead, zinc, silver, gold molybdenum and uranium exploration in South Australia and Queensland. Opening price: 21c

APRIL 5

Beacon Hill Resources PLC

Code: BHU Principal activities: Resource company focused on commodities relating to the steel production industry. Opening price: 32c

FORTHCOMING FLOATS APRIL 27

Austrasia International Mining Limited

Proposed code: AKE Principal activities: Mineral exploration. Issue price: 20c Corporate: Jiaping Jiang (non-executive chairman); Jian-Hua Sang (managing director); Yee Tai Edmond Yao (executive director); Nathan

Lude (non-executive director); Dennis Wilkins (company secretary). 08 9316 9100 www.austrasiamining.com.au

MAY 10

888 Resources Limited

Proposed code: EGM Principal activities: Explore, acquire, evaluate and exploit mineral resources projects primarily gold. Issue price: 20c Corporate: Ian Fisher (non-executive chairman); Mathew Whyte (executive director); Karen Adams (executive director and company secretary). 08 9361 3887 www.888resources.com.au

MAY 21

Gossan Hill Gold Limited

Proposed code: GOS Principal activities: Gold exploration. Issue price: 20c Corporate: Andrew White (Executive Chairman); Leon Pretorius (non-executive director); Jim Morgan (non-executive director); Robert Waring (non-executive director). 0411 110 513 www.gossanhillgold.com.au

MAY 31

A1 Consolidated Gold Limited

Proposed code: AYC Principal activities: Gold exploration.

Issue price: 30c Corporate: Dennis Clark (managing director); Darryn Russell-Croucher (technical director); Ashok Parekh (non-executive chairman); Morrie Goodz (non-executive director), Jeffrey Williams (nonexecutive director), Glenn Wardle (non-executive director); Emma Walczak (company secretary). 08 9389 2199 www.a1consolidated.com.au

JUNE 20

Aurelia Resources Limited

Proposed code: AJU Principal activities: Acquiring, exploring and developing mineral projects in Western Australia. Issue price: 20c Corporate: Murray McDonald (non-executive chairman); Ian Cowden (non-executive director); Matthew Collard (non-executive director); Damian Delaney (non-executive director); Paul Piercy (non-executive director); Frank Campagna (company secretary). 08 9215 0400 www.aureliaresources.com

TO BE ADVISED Boadicea Resources Limited Eumeralla Resources Limited Federation Metals NL Klondyke Gold Limited Messina Resources Limited Listings updated as of April 11

BLOCK252027-2

On the road again (and again and again).

McLaren’s Raw Hire has one of WA’s largest fleet ranges and 24-hour support. Which means no matter what work you’re doing in this rugged land, you’ll always go the extra mile when you drive with us. Whatever it takes to get you there. 1800 CAR 4 HIRE | rawhire.com.au

58

MAY 2012 amm


Driving Down Production Costs

Put it in your calendar A mining software upgrade is helping solve the balancing act between boosting production and keeping costs low. By Brooke Showers

G

emcom Software International have released the latest version of its InSite mine production management solution to improve day-to-day operating processes of open pit and underground mines. InSite version 4.1 has a new calendar function which enhances the mine scheduling accuracy and the alignment of forecast and actual production data. “Mining organisations continue to be heavily focused on increasing production, while at the same time lowering costs,” Gemcom InSite product manager Charlie Forrest said. “The newest version of InSite assists operations in meeting these objectives by providing tools to manage their mine production data faster and more accurately, while the production calendar module provides significant time savings and increased scheduling efficiency.” Operational downtime needs to be applied for the whole equipment fleet so production can be scheduled, and the production calendar assists operations to schedule each mine or crew’s activities. There is a certain number of hours that equipment should operate at before it goes into maintenance.

amm MAY 2012

For operators, manually allocating and assigning downtime takes a long time. The production calendar automatically schedules in when particular downtime and shut downs occur in the plant, providing better accuracy and time allocation.

The production calendar module provides significant time savings and increased scheduling efficiency. This helps users manage equipment and time properly for maintenance jobs. “When operators actually look at their plan, versus actual, the numbers are really accurate. So the variation is a lot more accurate,” Forrest said. “They can actually plan a lot better. “It helps to manage and drive down those costs, because they are not out by so much instead of scheduling more than they have to, or under scheduling.” Multiple calendars are able to be generated

or imported to map an operation’s yearly calendar. Previously, most operations didn’t know how to accurately keep track of operational down time, holidays, scheduled rosters and days off for certain people. Additional InSite benefits have been made to the site based security, the data validation functions and the data entry module. The data entry module in InSite has been enhanced so users can navigate around a much easier interface, with faster updates and more intuitive functions to save time. Users now have the ability to reopen previous batches to make modifications. The big advantage of this is that users can check or edit previous data entry batches, whereas previously, they didn’t have security access to view their submissions once entered. Traditionally, the method has been to pull in spreadsheets, stand alone databases and pieces of paper and manually data enter all the components. “They don’t have the whole view of the operation,” Forrest said. “Trying to piece all that together and validate where it came from is a challenge for most operations.” InSite 4.1 works in a similar way to Microsoft Outlook technology, in that

59


Driving Down Production Costs users can type emails and do work wherever they are. When they have an internet connection, it sends the emails. This is useful for sending out data spreadsheets or production reports in a timely manner. “The mining industry continues to face issues such as skills shortages and variable commodity supply and demand,” Gemcom enterprise business unit executive vice president Allen Vaughn said.

Most operations didn’t know how to accurately keep track of operational down time, holidays, scheduled rosters and days off for people. “InSite 4.1 helps to relieve the skills shortage by reliably collating and managing production data, thereby allowing staff to spend their time in the operation rather than managing the data.” Vaughn said when mining companies are addressing commodity supply and demand issues, InSite’s production management tools assist operations to maximise production efficiency. There are very few good ore reserves left which are close to infrastructure, forcing mines to start up in areas which are logistically difficult to get material out and transport it. “Mines keep getting deeper underground and further out to more remote places,” Forrest said. “It’s not that mining companies can’t supply. “It’s that there is a demand for it, but the process of getting it out of the ground and logistically moving it is actually quite difficult. “The whole idea of InSite is that it can help with that by tracking and managing that process more efficiently.” Instead of re-handling more material or stockpiling in areas where mining operations

The newest functionality in the InSite data entry module can view and modify previous data entry batches.

Data entry screen shot has updated new look and feel, for easier use.

could have actually processed it through, the system enables material to be tracked better. This is much more efficient when trying to get the product out to clients to meet demand. Zinc Open Pit Operations in Queensland uses the Gemcom InSite package for scheduling production through haul road and pit mining optimisation. “We selected InSite because Gemcom sought to understand what we were trying to achieve and offered us the right combination of software capabilities and expertise,” Zinc Open Pit Operations technical services manager Ben Young said. Forrest said Zinc Open Pit Operations’ problem was quite generic in the mining

industry, as the business had multiple, disparate systems, using excel spread sheets, and users didn’t trust the numbers. He said: “They needed a system they could rely on. They were one of our clients spending a week to get their data in and approved. Now it only takes a couple of hours.” Prior to installing InSite, it was a struggle to get reports ready for the zinc business’s 6am meetings every morning, and workers were up late at night trying to get all the data in and validated. The improved process of producing reports in InSite reduces errors, allows instant data to be updated and saves time. brooke.showers@aspermont.com

Need your mining news to go? Try MiningNews.net Mobile on your phone or tablet today and always be one touch away from the latest industry news delivered 3 times per day, five days a week. To subscribe visit www.miningnews.net (click on a story to prompt a registration form or sign up for a 30-day trial)

60

MAY 2012 AMM


DRILL & BLAST Thinking outside the square in blasthole drilling 14th July 198 6

25 YEARS

2011

Highly experienced. Client focused. Rock solid.

2011

WINNER

CONTRACT MINER OF THE YEAR

www.rockaustralia.com.au PERTH | KALGOORLIE | MELBOURNE | BRISBANE | TOWNSVILLE

14033 A4


Dyno Nobel delivers Groundbreaking Performance ®

Dyno Nobel Asia Pacific Pty Limited (ACN 003 269 101) is a subsidiary of Incitec Pivot Limited (ACN 004 080 264) 28 Freshwater Place, Southbank Vic 3006 ® DYNO AND GROUNDBREAKING PERFORMANCE are registered trademarks of the Dyno Nobel / Incitec Pivot Group. © Dyno Nobel Asia Pacific Pty Limited 2012. Reproduction without permission is strictly prohibited. DYN 454

dyn 454 service truck dps ad 2012 V1.indd 1


With a complete range of bulk and packaged explosives, initiation and delivery systems and associated services, Dyno Nobel has the people, resources and global experience both above and below the ground to deliver Groundbreaking Performance to your mining operations. Call us on 1800 251 872 to find out how. www.dynonobel.com

21/02/12 2:39 PM


Surface Coal – Technology

TCC is sprayed on the coal.

Everything’s under control Total Coal Control does exactly that: eliminates dust, protects coal quality and reduces self-combustion risk. By Thomas Smith

A

company from Queensland claims to have solved some of the oldest challenges facing coal miners. Reynolds Soil Technologies, from Burleigh Heads on the Gold Coast, have come up with a new coal systems solution that offers protection “from pit to port”. Their Total Coal Control technology promises to eliminate coal dust, protect against coal degradation and reduce the risk of self combustion. Application is straightforward. Technicians

64

Benefits of TCC • Saves water • Reduces dust • Self-combustion control • Stops coal degradation

just spray the coal with the TCC chemical solution. RST technical and operations director David Handel said his company had

identified a gap in the market for a technology that offered “the total dust solution” while protecting and maintaining coal quality at the end of the supply chain.

“Queensland pumps out around two million rail wagons of coal a year.” He said: “Our aim was to develop a product that not only did its job in terms of dust

MAY 2012 amm


Surface Coal

PROUDLY sPOnsOReD bY


Surface Coal – Technology x

improves visibility, safety and saves large quantities of water. “Benefits to coal stockpiles also include improvements to the control of selfcombustion, minimisation of water penetration, reduced hang up and carry back during conveying and transport, and the improvement of fines recovery at the coal washeries.

“The quality of coal is often ruined during the material handling process. By using TCC, we are able to stop degradation occurring.”

RST technical and operations director David Handel.

suppression, in terms of better control and less escapement, but also treated the coal within containment to ensure the best possible product is delivered at the end of the line.

“TCC improves visibility, safety and saves large quantities of water.”

really is the most advanced solution on the market.” Handel said TCC also had the ability to protect coal from moisture and oxidation, prevent self-combustion within stockpiles and control coal dust, rain erosion, slumping and material loss. He said: “As a dust suppressant, TCC

“We are constantly researching and redeveloping our products and solutions to ensure they offer the best, most advanced and cost-effective solutions for our clients. “Every year, coal companies experience huge losses in material value. “With our ongoing technology and research we are able to assist coal companies in providing solutions to minimise this loss.” RST has more than 20 years experience in dust management, soil stabilisation and erosion, water and agricultural solutions for mine sites, haul roads, ports and land sites in Australia and overseas. As well as its headquarters in Queensland, RST is also based in Welshpool, WA. thomas.smith@aspermont.com

– RST technical and operations director David Handel “We have estimated Queensland pumps out around two million rail wagons of coal a year. However, the quality of coal is often ruined during the material handling process. “By using TCC, we are able to stop degradation occurring, which in turn gives coal buyers a delivered product that has a higher calorific value than non-treated coal.

“In terms of coal management technology, this really is the most advanced solution on the market.” “This is very important, as the calorific value measures the energy produced by the coal. A higher value will therefore maximise the coal’s worth. “So an increase of 3 per cent in value is worth a significant amount of money. In terms of coal management technology, this

66

TCC prevents self-combustion in stockpiles.

MAY 2012 amm


Drill all day long

We won’t even break a sweat. Your job is the first step in supplying the world with the power it needs. And to do your job, you need to keep your mines safe and productive. Atlas Copco designs and builds the blasthole drill rigs that help you reach your goals. More drilling time! Our multi-pass rotary blasthole drills are well known for their durability, mobility and speed. We make it possible to reduce time tramming, leveling and changing pipe so you have more time to drill. Visit www.atlascopco.om/blastholedrills to learn more. Atlas Copco Mining and Rock Excavation Australia Freecall: 1300 366 880 RCSPitViper.com Atlascopco.com/blastholedrills Atlascopco.com/wwdrills Atlascopco.com/oilandgas

Providing the right balance of bit load, rotary head performance, air flushing and depth capacity results in economical and high performance production. A variety of options like angle drilling and cold weather packages are available. But even more important is how Atlas Copco can improve your safety. Ask about the safety enhancements and automation features you can get from our Rig Control System (RCS.)


Surface Coal – Caterpillar

Caterpillar’s new 777G.

Tools of the trade

The mining industry loves new technology, especially the big stuff. The latest offerings from Caterpillar don’t disappoint. By Thomas Smith

I

n surface coal mining, any truck that is low weight and provides high volume haul capacity is going to get the job done. Quicker. Caterpillar’s new 777G truck falls very comfortably into the “workhorse” and “large earth moving” categories. The 777 has been around for a long time. Since the 1970s, in fact. Cat’s new G replaces the F, and as you’d expect, they’re very proud of their replacement. According to Cat, the 777G is better on almost every level. Fuel efficiency, safety and comfort are just some of the enhanced features.

Command for dozing is a remote control system for dozers, such as this D11T.

68

New transmission controls and torque powering deliver quicker haul cycles. The 777G even offers fuel efficient economy settings. A clever auto-neutral idle setting helps save fuel and operators can even choose engine idle shutdown and speed limiting to further cut costs. Caterpillar says the new 777G is quieter and cleaner than its 777F predecessor. Inside the cab, the operator enjoys a 50% noise reduction, compared to the previous model. Object detection comes standard on the 777G. Using a combination of radars, an incab display and multiple cameras, object detection provides equipment operators with enhanced awareness for increased site safety. An optional fluid fill center provides access to all fluids from one centralised location. It includes a lighted keypad, with level indicators giving operators instant information on what needs filling. But Caterpillar don’t just do the big machines. Their dozer technology offers Command for dozing, an integrated remote control system for Cat D10T and D11T track-type tractors. Command for dozing enables remote, line-

of-sight operation using a portable console. This allows the equipment operator to stay out of hazardous areas, increasing safety. The Command system differs from aftermarket add-ons, because it is fully integrated with the Caterpillar designed components, systems and electronic control modules used on the D10T and D11T. Integration helps keep things simple. It also reduces cost and enables the system to deliver higher performance, better reliability, longer life and enhanced safety. Command for dozing has the ability to use avoidance zones set up in Terrain, another Cat MineStar System capability set. A tractor equipped with Terrain uses GNSS to create three-dimensional electronic fences around fixed objects and hazardous work zones. Boundaries are then communicated to Command to warn the operator and, if necessary, to stop the machine before it enters an avoidance zone. The technology involved in surface coal mining continues to advance to levels that would have been difficult to imagine until recently. But innovation doesn’t just improve the bottom line on a balance sheet, it helps create a safer working environment for workers. thomas.smith@aspermont.com

MAY 2012 AMM


Advantage — Pit Viper Advantage Pit Advantage - Pit Viper Viper

Your purchase is just the start The Pit Viper is blasthole drillsstart have earned a reputation for productivity and smart design. To enhance that, Atlas Copco Your purchase just the

offers training for drill rig operators on simulators — giving an extremely realistic experience in a controlled environment. Ergonomics have always been a part of the Pit Viper design,for but productivity this training keeps safe while them to Atlas The Pit Viper blasthole drills have earned a reputation andoperators smart design. Toenabling enhance that, learn without wear and stress on rig components in the field. Copco offers training for drill rig operators on simulators — giving an extremely realistic experience in a controlled

Atlas Copco is much morehave than always a rig sales company. Weofalso complete servicebut packages, and thiskeeps trainingoperators opportunitysafe environment. Ergonomics been a part theoffer Pit Viper design, this training to keep the advantage on your productivity. while enabling them to learn without wear and stress on rig components in the field. If you need more reasons to invest in a Pit Viper, find out more at www.atlascopco.com/blastholedrills.

Atlas Copco is much more than a rig sales company. We also offer complete service packages, and this training Atlas Copco Mining and Rock Excavation Australia opportunity to keep Freecall: 1300 366 880the advantage on your productivity. www.atlascopco.com.au

If you need more reasons to invest in a Pit Viper, find out more at www.atlascopco.com/blastholedrills.


News

The battle facing Bass In 2011, Bass Metals celebrated the first zinc pour from its newly refurbished facilities in Tasmania. A year later, production has been scaled back as the company looks at restructuring. By Brooke Showers

T

asmania’s Bass Metals is scaling back operations at its Hellyer mill and Fossey mine as part of a restructuring plan aimed at reducing debts and securing the future of the company. Last year, Australia’s Mining Monthly watched the first zinc poured at Bass’s newly refurbished Tasmania facilities. But within months, a combination of factors including debts, a dip in the price of metals and higher operating costs, have left the company facing an uncertain future. Hellyer operations have been scaled back. And by the end of May, both Hellyer and Fossey will be placed in care and maintenance. Bass Metals managing director Mike Rosenstreich says the move was necessary

70

to protect the company and allow time to consider restructuring options. “We will look to come out of this process, subject to getting some additional financing, as basically a very focused exploration company in a highly prospective area,” he said. “We are very pleased to have the support of our secured lender, RMB Resources, which gives us the opportunity to work our way through this.” Hellyer operations, in northwest Tasmania, began operating on a scaled back basis, known as the stage 1 mine plan, as a result of technical problems identified in midJanuary 2012, to reduce debt and maximise revenue. In early April, RMB Australia Holdings

agreed to changes to the terms of its secured loan facilities, subject to conditions, to enable Bass to work out a strategy. The agreement allows the company to focus on completing the stage 1 mining and processing plan, which it intends to complete by mid-May to help pay off its debt. The plan is to restructure and pay down a major portion of the existing debts through cash generated from the stage 1 mine plan and seek additional funding through asset sales to re-fund an exploration campaign and complete the prefeasibility study of the Hellyer gold project. Rosenstreich said the company’s previous operational focus on Fossey had distracted the company from its core focus, which should have been finding new ore bodies such as

MAY 2012 amm


News gold, to offer Bass a larger-scale project. “The objective is for a slimmed-down, debt-free company to emerge with a highly prospective ground position, advanced targets, resources and potentially a large scale gold development opportunity in prefeasibility study mode,” Rosenstreich said. Fossey was an underground mine, producing poly-metallic ore treated through Hellyer mill to produce copper-silver, zinc and lead concentrates. Bass said an unexpected reduction in metallurgical performance of the lead circuit at Hellyer contributed to the mine’s problems during the December quarter. “The scale of that mine was really too small in terms of mine life for a company of our size,” Rosenstreich said. “So whenever we had some technical issues, it rattled through the company a lot more violently than if we had been a larger company, or if the mine had more life to it, more scale.” Poor metal prices and mining costs being 11% over budget at $115 a tonne were also to blame for the operation’s difficulties. Bass Metals said it was in preliminary talks with a number of parties regarding corporate, joint venture and divestment transactions as it sought to reduce debt. Bass is now exploring all avenues to raise

Bass Metals’ mining operations in Tasmania.

additional fresh equity, including reluctantly placing the Hellyer mill on the market for sale. “We’ve got terrific targets, if we can get the support of investors, then we’d like to go out

and find a large scale ore body,” Rosenstreich added. “Then, when there is four to five years mine life ahead of us, we would resume operations,” brooke.showers@aspermont.com

Introducing Goulds XHD.

Because when your slurry pump goes down, production does too.

Slurry pump downtime can cost a mine $60,000 or more in lost production— per hour. But given the unreliability of today’s pumps—many were designed more than 20 years ago—there hasn’t been much you could do about it. Until now. Because the new Goulds XHD offers more reliability features than any slurry pump you can buy. Including CFD hydraulic design that reduces wear in all key areas, thereby extending the life of the pump and reducing downtime. The XHD even features i-ALERT™ condition monitoring, plus a host of servicing time-savers, to get you back up and running fast. Call 1-800-734-7867 or visit ittmining.com today.

amm MAY 2012

71


2012-13 Au str ali a’s Mi nin g Su pp

Annual product and service suppliers guide dedicated to the Australian mining industry

lie rs Gu ide 20 11 -12

Deliver your message direct to the Australian mining industry

ANNU AL FOR TH PRODUC E AUST T AND SE RV RALIA N MININ ICES GUIDE G IND USTR Y

Super Pit, Snowde Kalgoo rlie, n Pho nig Greg Tossel tography ht, min ing Com petitio , n,

This comprehensive Suppliers Guide, published in July 2012, is built around listings of the companies supplying products and services to all sectors in the Australian mining industry.

REAChING youR TARGET

Why ADVERTISE? • Year-long shelf life as an A5 reference guide • International exposure to industry decision makers • Advertising packages include a premium online listing in Aspermont’s Company Directory accessible from nine Aspermont news websites

• Circulation of 8,000 to MiningNews.net, MiningNewsPremium.net and Australia’s Mining Monthly subscribers • Additional distribution at Queensland Mining Exhibition, MINExpo and goldfields Mining Expo and other industry-related conferences

ADVERTISING RATES CompANy LoGo & pREmIum oNLINE LISTING

CATEGoRy SpoNSoRShIp

FuLL pAGE pACkAGE

1/2 pAGE pACkAGE

$700 (ex GST)

$7,795 (ex GST)

$3,935 (ex GST)

$2,955 (ex GST)

you will receive:

you will receive:

you will receive:

you will receive:

$770 (inc GST)

$8,575 (inc GST)

$4,330 (inc GST)

$3,250 (inc GST)

Company logo listing

1 x full page ad

1 x full page ad

1 x 1/2 page ad

Premium online logo listing (in online company directory)

1 x 1/2 page ad in chosen category

Premium online logo listing (in online company directory)

Premium online logo listing (in online company directory)

Company profile on the online company directory (up to 1,000 characters)

Premium online logo listing (in online company directory) 3x Print logo listing 6 month SearchMining.net Keyword Sponsorship

3x Print logo listing

3x Print logo listing

3 month SearchMining.net Keyword Sponsorship

3 month SearchMining.net Keyword Sponsorship

Total Value – $5,445 ex gST

Total Value – $3,890 ex gST

Total Value – $8,145 ex gST

FuLL pAGE

1/2 pAGE

$3,255 (ex GST)

$1,700 (ex GST)

$3,580 (inc GST)

$1,870 (inc GST)

Brought to you by:

hurry, book by 11 June, 2012 to secure your advertising space! Call us today on +61 8 6263 9100 For advertising enquiries, contact: T: +61 8 6263 9100 F: +61 8 6263 9148 E: supplierguides@aspermont.com


Mineral Processing

An organic approach A chemist and a geologist have come up with a unique and eco-friendly process for extracting nickel. Vetti Kakulas explains

A

ustralian minerals explorer Resource Mining Corporation has pioneered an organic acid leaching technology for nickel laterite deposits at its flagship Wowo Gap project in Papua New Guinea. The Wowo Gap project has a mineral resource estimate of 125 million tonnes grading 1.06% nickel, with an indicated 72Mt at 1.03% nickel. The organic acid leaching process is nontoxic and low corrosive and has achieved nickel extraction of 98% from the saprolite material after less than 30 minutes. “These organic acids still have the same capacity as inorganic acids to dissolve minerals,” said Warwick Davies, managing director of Perth-based RMC. Originally, the idea of using organic acids

for leaching was spoken about half-heartedly. Davies suggested using organic chemicals and RMC geologist Mark Hill, after doing some research, thought it could work. “Mark said ‘you are the chemist, what else can we use? Is there any other way?’ “I said, almost jokingly, ‘Well, we have exhausted the inorganic acids. I guess we would have to look at organic acids’.” Hill is a geologist with more than 20 years experience in exploration, mining and project developments across Australia and PNG. Davies, who is passionate about innovation and the environment, is an industrial chemist with more than 40 years experience in the iron ore and steel industries, having held a variety of technical, commercial and leadership roles. Between them, the unique extraction process was born.

Organic acids can be found in food and liquids including fruit, vinegar, soured milk and soft drinks. These foods contain citric, ascorbic, tartaric, acetic, lactic and phosphoric acids. RMC initially looked at the conventional inorganic acid leaching technologies for the Wowo Gap project, but found that they were unsuitable or the method offered was too expensive. “Part of our renewal requirement for the tenement was to complete a feasibility study and the net result from that was only a small portion, 30 per cent of the ore body, was able to be treated with conventional technology,” Davies said. “The relatively short leaching time has the potential to require a significantly smaller processing plant and higher throughput,

The Wowo Gap camp.

amm MAY 2012

73


Mineral Processing

Drilling at the Wowo Gap project.

Resource Mining Corporation employs PNG nationals to work at its nickel and cobalt project.

74

compared to a traditional inorganic acid plant. “This is likely to improve the cost dynamics for tropical nickel laterite deposits considerably.” The nickel industry is a tight market. According to the International Nickel Study Group the worldwide production of nickel was 1.44Mtpa in 2010. RMC’s organic acid leaching process has already received national recognition. It was recently awarded a $250,000 Commercialisation Australia grant from the federal government to provide proof of concept for the process. Davies said the grant application proved that the project was worthy of support. The grant will be used to fund further research, including commercial laboratory testing to refine the process, to proof of concept. “Money helps. The whole process is all about money,” Davies added. “With any form of investigation there will be costs and it always costs more than you think it is going to be.” RMC plans to produce nickel from a small scale, 1000tpa plant for lower capital expenditure and operating costs. The research ensures Australia is at the forefront of pioneering techniques, using the latest technology. vetti.kakulas@aspermont.com

MAY 2012 amm


MT210d Full Page A4 Vertimill Advertisement February 2011.indd 1

24/02/11 11:01 AM


Mineral Processing

Under the microscope It looks like the kind of quirky and colourful coral you might see snorkelling through clear waters in the Great Barrier Reef. But it’s actually the next dimension in mineral extraction technology. By Brooke Showers

A

s high grade mine deposits become exhausted, processing lower ore grades is one of the increasing challenges facing the mining industry. Global chemical company BASF Chemicals is meeting that challenge head on and channelling its expertise into solving the problem. BASF is also targeting other issues facing the industry by investing in mineral processing technology applications. The company has leased laboratory and office space at the Australian Minerals Research Centre in Perth under a long-term agreement with the CSIRO to invest in a research chemistry lab aimed at extracting more from mineral processing technology.

The agreement with the CSIRO is important for providing chemical solutions to the mining industry. The Parker Centre lab will explore existing and emerging technologies for the mineral processing and metal production of ores. Mining has become a central focus for BASF globally, in particular in Australia and New Zealand. The plan is to build a global R&D and technology centre on the leased space and employ six researchers and developers by the end of 2012. Under the agreement, BASF will research processing methods for alumina, gold, uranium and base metals, particularly cobalt, copper, nickel and zinc. Research conducted at the centre has the

support of 20 mineral processing companies so far. BASF Mining Chemicals already offers a range of mineral processing reagents with proven strength in solid and liquid separation processes and solvent extraction. The Mining Chemicals division also offers reagents for flotation, dispersing and agglomerating. Many aspects of the global BASF organisation are already indirectly involved in areas associated with mining, such as manufacturing rubber liners to protect dump trays and diesel additives for improving fuel efficiency. Participation with the Parker Centre, which researches hydrometallurgical processing of mineral resources, and the CSIRO, places

Doing business in Papua New Guinea?

See us at booth 47 at the Australia PNG Business Forum! May 13-15, Brisbane Convention Centre

PNGIndustryNews.net provides vital news and information on PNG’s resources industry and broader business arena, with a focus on the mining, energy, construction and transport sectors. The three times weekly email bulletin and website are primarily subscriber-based, reaching industry decisionmakers, suppliers and investors. Advertising packages are available with PNG Report magazine, giving you the opportunity to promote your business cost-effectively to a highly targeted and receptive audience.

For advertising enquiries, contact T: +61 8 6263 9100 E: advertising@pngindustrynews.net Published by

www.pngindustrynews.net

76

MAY 2012 AMM


Mineral Processing BASF in close proximity to the industrial research centres and key customers, strengthening its R&D capabilities. “Our research will greatly benefit from the intellectual property generated from the Parker Centre and from our interactions with the participant research groups,” BASF global development, oil field and mining chemicals Gregor Brodt said. BASF has established an Asia Pacific industry target group for mining which will seek to develop a more comprehensive offering within BASF products and extend market segments beyond mineral processing, metal production and construction. BASF Australia & New Zealand business director of performance chemicals David Timms said: “That’s really the focus now. We’ve set up this industry target group where we look at the mining industry as a whole and then we looked at the extensive BASF portfolio and see where we can apply it to the industry. “We’re really looking towards the whole value chain now and meeting with representatives in the mining industry to see what we can offer and how we can support them.” Since BASF began collecting data over the past 12 to 18 months and liaising with technology managers in mining, a number of

The electron microscopic image shows the high-performance stabiliser Rheo-MATRIX 100, which is added to the basic components of concrete – cement, sand, gravel and water – to ensure that it is stable and easy to process.

projects are underway at the centre which will follow the R&D path. The most common issue presented by the industry from the initial data has been the processing of low quality ores. “We are starting to see some of the resource grades depleting and costs to lift quality levels

have risen,” Timms said. “So we’re researching how they can process low grade ores more efficiently, chemically.” BASF also intends to research energy reduction associated with processing ores, now that it has the facilities to do so. “We can look at how we can reduce the

These nano- to micrometre sized metal oxide particles are used as a reliable energy source for batteries.

AMM MAY 2012

77


Mineral Processing

Microscopic images of BASF’s chemical processing for the mining industry. These tiny particles have enormous strength and can stabilise loose rock in mining or tunnel construction.

energy required to ground ore, lower energy demand and improve grinding efficiency,” Timms said. There has been particular interest sparked by the nickel industry, which uses very high intensive energy, into the studies BASF is doing. Solvent extraction for the copper and gold circuits and how the chemistry is applied and can be improved is another area BASF will focus on. BASF supplies products from its chemical division to Newcrest Mining, Minara, BHP Billiton, Rio Tinto and Xstrata.

Alumina producers trying to make a more saleable product from their ore have expressed interest in the work BASF is doing and some initial work has begun in this area with Alcoa Australia. “If you’ve got very, very fine material coming through solutions and the seed is in there and you get very small particles, if you don’t agglomerate those into heavier, denser particles, they just keep going around and around and you lose alumina,” Timms said. “If you attempt to modify the crystal that’s formed around that seed, you make it larger.

Researchers at BASF subsidiary Elastogran have developed a special polyurethane foam by adding 1-10 micrometre-sized carbonyl iron particles, which precisely adjust the compressive strength of rubber.

78

“You can agglomerate more material and recover more from the solution and you lose less on the waste streams.” Modifying the crystal which is formed is extremely commercially attractive to miners. “Otherwise you just keep circling very fine material around and you never end up recovering it,” Timms said. “It’s about making it bigger really and how you can agglomerate it.” Alumina recovery is one of the key projects the research centre is examining. Alumina uses a standard process, so any technology developed in this area can be directly applied to the industry globally if it’s proven. BASF has made acquisitions over the past four to five years which have brought it closer to directly servicing the mineral processing industry. Six years ago, it acquired a construction chemicals business, which leveraged the company into underground mining construction and tunnelling. In 2010 BASF purchased Germanybased company Cognis, which specialises in the solvent extraction process for copper, uranium and nickel. The acquisition has enhanced BASF’s performance chemicals and dispersions and pigments divisions. Mining companies are investing in new technologies which reduce costs and improve efficiency. BASF hopes its research will help address the challenges facing the industry. brooke.showers@aspermont.com

MAY 2012 amm


No-one beats our Site Services team We deliver solutions-based custom engineering, consulting and training services to help our clients become more productive and profitable. Mineral processing consulting; machinery maintenance; complete crew/ equipment shutdown management; crushing/screening equipment parts and service, off-site repairs, installation, training and ongoing support.

www.minprovise.com.au

Call Perth (08) 9470 9180, Brisbane (07) 3255 5919 or Mackay (07) 4952 4272 for more details. 14011


Mineral Processing Plant Survey

Mineral Processing Plants 2012 Agnew...................................................... 98 Anglesea..........................................................96 Area C...........................................................102 Argyle............................................................102 Austar Chpp..................................................82 BHP Billiton Gemco................................ 86 Black Jack Gold Processing Plant................91 Blackwater Chpp..........................................87 Blair Athol......................................................87 Brockman.....................................................102 Broken Hill Concentrator.............................82 Bronzewing....................................................98 Bulga................................................................82 Burton.............................................................87 Cadia Hill................................................ 84 Cannington....................................................91 Carborough Downs Chpp..........................87 Carosue Dam.................................................98 Castlemaine Goldfields – . Ballarat Gold Project.....................................96 Challenger......................................................94 Charbon Colliery...........................................85 Cook................................................................88 Cooljarloo Mineral Sands Mine................106 Coppabella......................................................88 Cosmic Boy Concentrator. (Flying Fox/Spotted Quoll)..........................98 Cosmos Nickel Project..................................98 Coyote Gold Plant.......................................102 Cracow Gold Mine........................................90 CSA.................................................................84 Curragh...........................................................88 Dardanup............................................... 106 Darlot............................................................104 Dawson...........................................................88 Dendrobium Coal Preparation Plant..........83 Drayton...........................................................82 Edna May Operation............................. 104 Endeavor.........................................................84 Ensham...........................................................88 Ernest Henry..................................................92 Fimiston and Gidji Roaster..................... 99 Fosterville Gold Mine...................................97 Frances Creek.................................................86 German Creek (Capcoal)........................ 88 Golden Grove...............................................104 Granny Smith Mine....................................105

80

Greater Paraburdoo.....................................102 Henty....................................................... 95 Higginsville Processing Plant.......................99 Hillgrove Mine...............................................84 Hope Downs 1.............................................102 Hunter Valley Operations – Hunter Valley Coal Preparation Plant.................................83 Huntly Mine.................................................106 Isaac Plains Chpp.................................... 89 Jack Hills................................................ 105 Jaguar Operations..........................................99 Jeebropilly Chpp..........................................93 Jubilee Mill.....................................................99 Jundee/Nimary............................................105 Kalgoorlie Nickel Smelter & Kambalda Nickel Concentrator.............................. 100 Kangaroo Flat Mine......................................97 Kanowna Belle.............................................100 Kestrel.............................................................89 Koolan Island...............................................103 Kunwarara......................................................91 Kwinana Nickel Refinery............................106 Leigh Creek.............................................. 95 Lithium Technical Grade Plant Lithium Chemical Grade Plant.................................106 Maxwells Processing Plant...................... 97 Mcarthur River Mining................................86 Mmg Century................................................92 Moorvale.........................................................89 Moranbah North Coal..................................89 Mount Garnet Operation.............................92 Mount Isa Mines, Zinc . Lead Concentrator........................................92 Mount Keith Operations............................100 Mount Lyell....................................................96 Mount Rawdon..............................................93 Mount Whaleback.......................................103 Murrin Murrin.............................................100 Muswellbrook No 1 Open Cut Extension . & No 2 Open Cut...........................................83 New Acland.............................................. 94 Newlands........................................................90 Newstan Coal Preparation Plant.................85 Nickel West Leinster...................................101 Nifty Copper Operation.............................103 Norseman.....................................................101

North Goonyella............................................90 Nullagine Project.........................................103 Oaky Creek.............................................. 90 Olympic Dam.................................................95 Orebody 23/25.............................................103 Paddington............................................ 101 Pajingo............................................................93 Pannawonica – Mesa J................................103 Peak.................................................................84 Phosphate Hill................................................94 Plutonic.........................................................105 Premier.........................................................106 Prominent Hill...............................................95 Ranger...................................................... 86 Ravenswood (Sarsfield/Mount Wright)......93 Ridgeway........................................................85 Rosebery.........................................................96 Saraji........................................................ 90 Savage River...................................................96 Savannah Nickel Mine................................103 South Walker Creek......................................90 Stawell.............................................................97 St Barbara Limited – Leonora Operation......101 St Ives Lefroy Gold Plant............................101 Stratford..........................................................85 Sunrise Dam.................................................101 Tallering Peak........................................ 105 Tarong.............................................................94 The Granites, Newmont . Tanami Operations........................................87 Vale Integra Coal Chpp........................... 83 Wambo..................................................... 83 Warkworth.....................................................83 West Angelas................................................103 West Cliff........................................................84 Westside..........................................................86 Wheelarra/Orebody 18...............................103 Wilkie Creek Coal Mine...............................94 Willowdale Mine.........................................106 Wiluna...........................................................106 Worsley.........................................................106 Yandi...................................................... 104 Yandicoogina................................................104 Yarrabee..........................................................90 Yarrie/Nimingarra.......................................104

MAY 2012 amm


Rock solid solutions for your operation, proven at our operations.

MINERAL PROCESSING:

HYDROMET:

Grinding and Flotation

Leaching, Gas Injection and Modular Slurry Tanks

We specialise in transferring our expertise to your site. Xstrata Technology Australia Xstrata Technology Chile Xstrata Technology South Africa Xstrata Technology Canada Xstrata Technology UK

| | | | |

Tel: +61 7 3833 8500 Tel: +56 2 478 2211 Tel: +27 82 441 7482 Tel: +1 604 699 6400 Tel: +44(0)771356 3353

www.xstratatech.com

XTT1961C_01/04


Mineral Processing Plant Survey NEW SOUTH WALES FAR WEST BROKEN HILL CONCENTRATOR

Location: Broken Hill, NSW Ownership: Perilya Ltd Site management: Perilya Broken Hill Ltd Minerals/fuels recovered: Zinc, lead, silver Nameplate capacity of plant: 2.8 million tonnes capacity Crushing plant total capacity: 3.9Mt Primary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): 2 x Symons standard cone 1.68m with hydraulic adjustment set at 19mm, feed size 100% <180mm. 250 tonnes per hour. Open circuit Secondary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): 2 x Symons shorthead cone 1.68m set at 5mm. feed size 100% -50mm. 200tph. Open circuit Grinding plant equipment: 3 parallel lines of identical configuration – 130tph per line; rod mills: 2.44m x 3.66m Dominion with overflow discharge and one 2.44m x 3.66m Comsteel Ruwolt with overflow discharge on No. 3 Line. F100 19mm P80 600μm; primary ball milling: two 3.20m x 3.05m primary ball mill (Dominion mills on Nos. 1 and 2 lines and Denver mill on No.3 line). Overflow and closed circuit with cyclones. P80 300μm; secondary ball milling: three 2.44m x 2.74m Dominion overflow mills. closed circuit with cyclones. P80 212μm; lead flotation tails regrind: two 3.2 m x 3.05 m Denver overflow ball mills operating in parallel. Closed circuit with cyclones. P80 150μm Grinding media: Rods 75mm steel – Comsteel. Balls 50mm 15% cr cast steel – Magotteaux Screening plant/equipment (type/manufacturer/ capacity/screen sizes): Primary: surface – 2 x Linkbelt CB 3820 double deck screen. Top screen 60mm aperture, bottom screen 19mm aperture. 600tph; secondary: 2 x Linkbelt CB 3516 double deck screen. Top deck for trash removal, bottom deck 19mm aperture. 400tph Mineral liberation/recovery method: Crushing, grinding via conventional rod milling two-stage ball milling, lead flotation, regrind, zinc flotation, thickening and filtering Mineral/fuel processing/recovery plant/equipment (tanks, thickeners, etc): Primary lead rougher flotation: three two-cell units in parallel. One unit is a two-cell Wemco 120, while the other two are two-cell OK8s (8 cubicms/cell), retrofitted with Wemco 120 mechanisms; secondary lead rougher flotation: three four-cell units in series, two of which are Wemco 120, 8 cubicm cells and the other in an Outokumpu No. 8, 8 cubicm cell unit; lead cleaner flotation: two stages both four-cell Outokumpu No. 3, 3 cubicm cell units; zinc conditioning: two tanks to give 14 minutes residence time; zinc roughing: two OK – 100 tank cells in series followed by four, four-cell units in series, which are Wemco No. 120, 8 cubicms/cell and zinc scavenger flotation carried out in two three-cell units in series, which are Outokumpu No. 8 (OK8) 8 cubicm cells; zinc cleaning: three stages. The first stage is carried out in a six-cell (OK8) cells. Recleaning, to produce final concentrates, is carried out in a bank of 4 OK8 cells and scavenger cleaning is done in a bank of 6 DO16 cells; dewatering: final lead concentrate is pumped to a 15m dia thickener with thickener underflow gravitating into one of two surge tanks for delivery to filter. The filter is one 8 disc 2.59m dia Dorr Oliver American vacuum filter, fitted with an agitating mechanism and sector beaters to assist cake discharge. It has a capacity of 25tph at 7% moisture. Zinc concentrate is thickened in a 22m dia thickener and is gravity fed to two 100cu.m agitators. The concentrate is then sent to a further agitator prior to being filtered by two Larox PF60 filters with a capacity of 105tph at 7.5% moisture Process pumps (type/manufacturer/capacity): Warman 1.5/1 x 4, Warman 3/2 x 5, Warman 3/4 x 2, Warman 6/4 x 9, Warman 8/6 x 14, Warman 12/10 x 10, Warman 4” DAF x 4, K&L GIW 10/8 x 12, K&L Super Titan x 2 Chemicals/reagents used (type/supplier): Lead flotation: MIBC, sodium ethyl xanthate and sodium metabisulphite – Redox Chemicals. Hydrated lime – Broken Hill Mining Equipment, monosodium phosphate – Albright and

82

Wilson. Aero 407 – Cytec; zinc flotation: hydrated lime – Broken Hill Mining Equipment, promoter S9323 – Cytec, copper sulphate pentahydrate – Tennant Ltd, Copper Sulphate solution – Minmet Operations Process control system (name/supplier): Honeywell experion system – Honeywell and FloatStar level stabilisation and concentrate flow control – Mintek Production information management tools/systems (type/supplier name): Microsoft Access database – GRFX Maintenance system (name/supplier): Maximo 4i – MRO software Production manning/roster: 3 crews of 8 operators and a shift supervisor manning the concentrator 10.5 days per fortnight, 12-hour shift (3.5-day plant shutdown per fortnight). Two operators on a separate roster 7 on/7 off operate the crusher and caretake the plant during the shutdown period, 12-hour shifts Maintenance manning/roster: 10 personnel Mon-Fri (8hour shift), 4 personnel 5 on/5 off (12-hour shift) Comments: Underground crushing: 21 level crusher Fraser Chalmers jaw crusher (1.5m x 1.2m), 650tph capacity, feed size ROM, up to 1.2m x 0.9m x 0.6m. Product size180mm. 24 level Vickers Ruwolt jaw crusher (1.5m x 1.2m), 450tph capacity, feed size ROM, product size 150mm; coarse ore stockpile: surface – 20,000 tonne total/8000t live

HUNTER VALLEY AUSTAR CHPP

Location: Pelton, NSW Ownership: Yanzhou Coal Mining Company Site management: Yancoal Australia Minerals/fuels recovered: Coal (coking and steaming) Throughput rate (2010-11): 1,961,051t Forecast throughput rate (2011-12): 1,726,202t Nameplate capacity of plant: 500tph Crushing plant total capacity: 800tph Primary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): MMD 500 series 6 tooth x 13 ring, 800tph, feed size = <400mm, product size = <120mm Tertiary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): MMD 500 Series 11 Tooth triple length, 500tph, Feed size = <120mm, product size = <50mm Screening plant/equipment (type/manufacturer/ capacity/screen sizes): Raw coal screens – Metso 250tph ripple flow, sizing +40, -40+10, -10. Deslimers screens – Metso 200tph low head, sizing -10+0.7, -0.7. 1 & 2 PDR screens – Metso 200tph low head. 3 & 4 PDR screens – Ludowici 200tph banana Mineral liberation/recovery method: Density separation Filtration plant/equipment (type/manufacturer/ capacity): Hurricane centrifuges, 150tph Process pumps (type/manufacturer/capacity): Warman 8/6 EAH & 6/4 DAH Chemicals/reagents used (type/supplier): Flocculants, antiscalants, magnetite, diesel supplied by Nalco, Shell, BASF Process control system (name/supplier): Citect by Macquarie Engineers Production information management tools/systems (type/supplier name): Pulse Maintenance system (name/supplier): Pulse Production manning/roster: Weekday D/S & N/S, Weekend D/S & N/S Maintenance manning/roster: Friday D/S BENGALLA Location: 4km west of Muswellbrook Ownership: 40% Westfarmers, 40% Coal and Allied, 10% Mitsui, 10% Taipower Site management: Coal and Allied Minerals/fuels recovered: Thermal coal Nameplate capacity of plant: 2000tph Crushing plant total capacity: 2000tph Primary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): Stamler Secondary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): ABON Tertiary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): ABON Screening plant/equipment (type/manufacturer/

capacity/screen sizes): Schenck Mineral liberation/recovery method: Dense medium cyclone/spirals Mineral liberation plant/equipment (flotation tanks, etc – type/manufacturer/capacity): Dense medium cyclone/spirals Mineral/fuel processing/recovery plant/equipment (tanks, thickeners, etc): Sumps, thickener, cyclones, spirals, centrifuge, belt press filters Filtration plant/equipment (type/manufacturer/ capacity): Screens Process pumps (type/manufacturer/capacity): Warman Chemicals/reagents used (type/supplier): Magnetite, anionic, cationic Process control system (name/supplier): Honeywell experion Production information management tools/systems (type/supplier name): IAC production reporter Maintenance system (name/supplier): PULSE Production manning/roster: 4 panels of 5 technicians/7day, 12-hour shifts, rotating roster Maintenance manning/roster: Maintenance for 12hrs every 2 weeks. Planned maintenance carried out primarily by contractors. Breakdown maintenance supplied by principal

BULGA

Location: Broke Rd, Singleton Ownership: Joint venture between Oakbridge and Nippon Steel Australia Site management: Xstrata Coal NSW Minerals/fuels recovered: Coal Nameplate capacity of plant: 2200tph Primary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): Abon 11/220 CC 2200tph sizer and feeder processing -1500mm feed and -350mm product for open cut ROM; 7/250 HSC/ Abon/2200tph processing -350mm feed -125mm product for underground ROM Secondary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): 7/250 HSC/Abon/2200tph/-350mm feed -125mm product for Open Cut ROM Tertiary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): 500 series twin shaft sizer/MMD/2 x 250tph/-125mm feed -50mm product Screening plant/equipment (type/manufacturer/ capacity/screen sizes): Raw coal sizing screens: 2 off 3m x 8.5m Single deck banana screens rated at 1100tph each sizing to -16mm, -50mm, +50mm fractions; desliming screens: 4 off 3m x 7.3m Metso multislope banana screens; bath drain & rinse screens 3 off Metso 1.8m x 4.88m single deck screens; drain and rinse screens: 6 off 3m x 6.1m Metso multislope banana screens; fines reject screens: 2 off Metso 1.8m x 4.88m single deck screens Mineral liberation/recovery method: Dense medium bath -125mm +50mm; dense medium cyclones -50mm +16mm; dense medium cyclones -16mm +1.4mm; spirals -1.4mm+0.075mm Process pumps (type/manufacturer/capacity): 4 x Warman 12/10 AH dense medium cyclone pumps; 5 x Warman 12/10 FFM medium and dilute pumps; 2 x Warman 10/8 fines product pumps; 1 x Warman 8/6 AH Fines reject pump; 3 x Warman 6/4 AH Tailings pumps; 1 x Warman 300 FL bath medium pump; 2 x Warman 350 FL fines pumps Chemicals/reagents used (type/supplier): Anionic flocculant in thickeners; magnetite for density control Process control system (name/supplier): Citect Production information management tools/systems (type/supplier name): Matrikon ProcessMore Maintenance system (name/supplier): Pulse PMMS Production manning/roster: 24 technicians on 4 shifts (6/shift) Maintenance manning/roster: 2 maintenance coordinators; 1 manager; 1 superintendent; 1 process teamleader

DRAYTON

Location: Muswellbrook, NSW Ownership: Drayton Coal Pty Ltd Site management: Anglo American – Drayton Management

MAY 2012 amm


Mineral Processing Plant Survey Minerals/fuels recovered: Coal Nameplate capacity of plant: 720tph Crushing plant total capacity: 1500tph Primary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): Rolls crusher/MMD/1500tph to 300mm topsize Secondary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): Rolls crusher /MMD sizer to 100mm topsize Tertiary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): 2 x MMD sizers to 50mm topsize Mineral liberation/recovery method: Dense medium separation Mineral liberation plant/equipment (flotation tanks, etc – type/manufacturer/capacity): Dense medium cyclone Process pumps (type/manufacturer/capacity): Standard pumps are Metso pumps of various sizes. Chemicals/reagents used (type/supplier): SNF Australia Flocculant Process control system (name/supplier): Citect Production information management tools/systems (type/supplier name): In-house Maintenance system (name/supplier): MIMS Production manning/roster: 7 days/12hr 2 operators per shift Maintenance manning/roster: Maintenance supplied by 7-day/12hr mine crew

HUNTER VALLEY OPERATIONS – HUNTER VALLEY COAL PREPARATION PLANT Location: 24km north of Singleton, Hunter Valley, NSW Ownership: Coal & Allied Industries, a subsidiary of Rio Tinto Site management: Graham Gageler Minerals/fuels recovered: Coal Nameplate capacity of plant: Hunter Valley CPP – 12 million tonnes per annum ROM; Howick CPP – 2Mtpa ROM; Lemington CPP– care and maintenance; Newdell CPP – care and maintenance Primary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): Rotary breakers (150mm topsize after breaker) Secondary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): Line 1: jaw crusher (50mm top size), line 2: roller screen, then sizer (50mm top size) Tertiary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): Line 1: sizer 50mm top size, line 2: sizer 50mm top size Screening plant/equipment (type/manufacturer/ capacity/screen sizes): Various banana screens and vibrating screen down to 1.2mm, high frequency screens at 0.6mm Mineral liberation/recovery method: Dense medium cyclone (-50+2mm), spirals (-2mm) Mineral/fuel processing/recovery plant/equipment (tanks, thickeners, etc): 2 x 30m Thickeners for tails disposal Filtration plant/equipment (type/manufacturer/ capacity): Ludowici HFC1300’s x 3 plus 3 screenbowls Process pumps (type/manufacturer/capacity): Various Warman pumps, some mono pumps and Flygtt pumps Chemicals/reagents used (type/supplier): Anionic flocculant, cationic coagulant (SNF), fine grade magnetite (Unimin) Process control system (name/supplier): Citect Production information management tools/systems (type/supplier name): ProcessMore Maintenance system (name/supplier): SAP Production manning/roster: 24hrs/day, 7 days/week on a four panel roster Maintenance manning/roster: 2 PM crews, 5 days per week (Mon to Fri), 10hr shifts; maintenance schedulers and staff 8hr shifts Mon to Fri Comments: Details are for Hunter Valley CPP (the main plant). Also wash at Howick, a smaller 2-module plant which washes around 600tph

MUSWELLBROOK NO 1 OPEN CUT EXTENSION & NO 2 OPEN CUT Location: 4km northeast of Muswellbrook, NSW

amm MAY 2012

Ownership: Apollo Resources, a wholly owned subsidiary of Idemitsu Kosan Company Minerals/fuels recovered: Thermal coal Nameplate capacity of plant: 1.5Mtpa Crushing plant total capacity: 1.5Mtpa Primary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): Crushing – rotary breaker/Vickers/435tph. Feed is -450mm/crushing to -50mm Screening plant/equipment (type/manufacturer/ capacity/screen sizes): CHPP – Allis Chalmers low head double deck screen (model no. 3 x 61 DD) (+19mm, -19mm +1.5mm, -1.5mm x 0) Mineral liberation/recovery method: Jig/spirals Mineral liberation plant/equipment (flotation tanks, etc – type/manufacturer/capacity): BMCH Baum jig (5 compartment) (-50mm +0mm), Minpro spirals 5 x 8 start (-1.5mm +0.075mm) Filtration plant/equipment (type/manufacturer/ capacity): Parnaby belt filter press, (2.5m x6m) 9tph; Siebtechnik centrifuge model HSG 1300 (-19mm x 1.5mm); Malco (model no. VSW 1800 x 3700 V63X) HF product screen (1.5 x 0.075mm); Malco (model no. VSW 900 x 2500 U37) HF reject screen (1.5mm x 0.0075mm) Process pumps (type/manufacturer/capacity): Denver/ Orion various Chemicals/reagents used (type/supplier): Nalco 82230 flocculant Process control system (name/supplier): In-house design; typical MCC controlled by Omron C200H PLC. Plant is fully automated with feed rate/ blockage control built into PLC. Plant has online ash analyser which communicates with PLC for flopgate control for product sorting. CHPP utilises in-house programmed PLC for jig control. Jig control fully automated via PLC to control jig pulsation based on density of bed. Citect interface used for CHP and CHPP control and monitoring Production information management tools/systems (type/supplier name): Maptek Minesuite Maintenance system (name/supplier): In-house design uses Pulse CMMS system Production manning/roster: 5 x 10.5hr shifts, Mon-Fri, 10.5hr shifts day shift Sat and Sun Maintenance manning/roster: 2 x maintenance crews working 4 x 10.5hr shifts per week scattered to cover 5 days

VALE INTEGRA COAL CHPP

Location: Singleton, 90km northwest of Newcastle Ownership: Integra Coal JV (Vale majority shareholder) Site management: Integra Coal Operations (Vale majority shareholder) Minerals/fuels recovered: Coal Nameplate capacity of plant: 1200tph Crushing plant total capacity: 1600tph Primary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): Roll crusher: Abon 8/180 CC: 1600tph Secondary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): Roll crusher: Abon 6/200 CC: 1600tph Tertiary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): Roll crusher: Abon 6/250 HSS: 1200tph Mineral liberation/recovery method: Dense medium separation, hindered settling, flotation Mineral liberation plant/equipment (flotation tanks, etc – type/manufacturer/capacity): Dense medium cyclones 1 x 1150mm and 1 x 1000mm, teetered bed separators/advanced separation engineering 2 x 3.65m dia, spirals – Mineral Technologies 24 x triple start, Jameson flotation cells/ Xstrata technology 2 x 6 m x 20 downcomers Mineral/fuel processing/recovery plant/equipment (tanks, thickeners, etc): Thickener – Enviro-Clear 18m Filtration plant/equipment (type/manufacturer/ capacity): Horizontal vacuum belt filter – Jord 122sq.m Process pumps (type/manufacturer/capacity): Varied (Metso slurry pumps) Chemicals/reagents used (type/supplier): Frother/ collector – Nalco, flocculant – Nalco Process control system (name/supplier): Yokogawa DCS Production information management tools/systems

(type/supplier name): In-house Maintenance system (name/supplier): Pulse Production manning/roster: 2 per crew/5-day roster – 2 per crew 7-day roster – total manning 16 Maintenance manning/roster: Contract shutdown maintenance and in-house technician/tradesman

WAMBO

Location: 15km west of Singleton, Hunter Valley, NSW Ownership: Peabody Energy Site management: Wambo Coal Pty Ltd Minerals/fuels recovered: PCI & Thermal coal Nameplate capacity of plant: 1600tph Crushing plant total capacity: 2000tph Primary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): Breaker feeder, Stamler, 2000tph, -2 m, -300 mm Secondary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): Rolls crusher, Stamler, 2000tph, -300mm, -125 mm Tertiary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): Rolls crushers x 2, Stamler, 1000tph (ea), -125 mm, -50 mm Screening plant/equipment (type/manufacturer/ capacity/screen sizes): Schenck banana screens (5 off), Metso high frequency dewatering screens (2 off), Metso low head (1 off), Metso banana screens (3 off) Mineral liberation/recovery method: DMC, teetered bed separator, spiral concentrators Process pumps (type/manufacturer/capacity): Warman, various Chemicals/reagents used (type/supplier): Flocculant, Nalco Process control system (name/supplier): Citect Production information management tools/systems (type/supplier name): QMaster Pit to Port Maintenance system (name/supplier): Pulse Production manning/roster: 24 hr, 7 days/wk Maintenance manning/roster: Contractors as required

WARKWORTH

Location: Singleton, NSW Ownership: Coal & Allied, Mitsubishi, Nippon Steel Site management: Coal & Allied Minerals/fuels recovered: Thermal and semi soft coal Nameplate capacity of plant: 1600tph Primary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): Crushing – Abon crusher: 800x1800, 1200tph, feed -1000mm, product -250mm Secondary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): Abon crusher: 185kW, feed -250mm Tertiary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): Abon sizer: 185kW product 50mm Screening plant/equipment (type/manufacturer/ capacity/screen sizes): Honert, 3.05x6.14m Mineral liberation/recovery method: DSM cyclone, spirals fines circuit, fine flotation Mineral liberation plant/equipment (flotation tanks, etc – type/manufacturer/capacity): Flotation – Jameson cells x 4 Mineral/fuel processing/recovery plant/equipment (tanks, thickeners, etc): Supaflo high rate thickener, 30m dia, 0.11rpm rake speed; feed: 3400cu.m/h, solids 230tph (max), SG 1.9-2.1; underflow: 35% solids w/w Process pumps (type/manufacturer/capacity): Warman Chemicals/reagents used (type/supplier): Nalflote – flotation reagent – Nalco Process control system (name/supplier): Experion – Honeywell Production information management tools/systems (type/supplier name): Mine-to-Market – in-house software Maintenance system (name/supplier): Ellipse Production manning/roster: 12hr 4 panel 7-day Maintenance manning/roster: 8hr shifts, 5 days/wk

ILLAWARRA DENDROBIUM COAL PREPARATION PLANT Location: Port Kembla, NSW

83


Mineral Processing Plant Survey Ownership: Illawarra Coal, BHP Billiton Site management: BHP Billiton Minerals/fuels recovered: Coking and thermal coal Nameplate capacity of plant: Washery capacity – 720tph Mineral liberation/recovery method: Within the plant, coal is sorted and cleaned according to 3 size fractions – coarse coal (+12.5mm), small coal (-12.5mm to +0.5mm) and fine coal (-0.5mm). Coarse coal – three-product, two-stage heavy media dense medium bath containing a magnetite suspension; small coal – processed in 2 parallel circuits of 2 stage dense medium cyclones; fine raw coal – flotation Mineral liberation plant/equipment (flotation tanks, etc – type/manufacturer/capacity): Outokompu 2 banks 4 cells ,Warman 2 banks 5 cells Mineral/fuel processing/recovery plant/equipment (tanks, thickeners, etc): 1 x Enviro Clear Hi rate, 1 x conventional Filtration plant/equipment (type/manufacturer/ capacity): 2 x Delkor horizontal belt 100sq.m, 3 x belt discharge drum filters Process pumps (type/manufacturer/capacity): Warman Chemicals/reagents used (type/supplier): Ciba flocculants, MIBC frother, distillate collector Refining plant/equipment (type/manufacturer/ capacity): HM cyclones Process control system (name/supplier): Allen Bradley PLC – Citect operator interface Production information management tools/systems (type/supplier name): Citect, Minesuite Maintenance system (name/supplier): GSAP Production manning/roster: 5 per team x 24hr, 7 day Maintenance manning/roster: 5 permanent, the rest contractor as needed

WEST CLIFF

Location: Illawarra region, NSW Ownership: BHP Billiton Minerals/fuels recovered: Coking and thermal coal Nameplate capacity of plant: Washery has a capacity of 800tph Screening plant/equipment (type/manufacturer/ capacity/screen sizes): Metso Mineral liberation/recovery method: Uses a combination of jigs, cyclones, and flotation to produce clean coal. Mineral liberation plant/equipment (flotation tanks, etc – type/manufacturer/capacity): Combination of Davcra & Warman cells Filtration plant/equipment (type/manufacturer/ capacity): Horizontal belt filters (coking coal), band press filter (tailings) Production information management tools/systems (type/supplier name): Minesuite Maintenance system (name/supplier): GSAP

LACHLAN FOLD BELT CADIA HILL

Location: Orange District, central NSW Ownership: Newcrest Mining Site management: Craig Jones – operations general manager Minerals/fuels recovered: Gold-copper concentrate, gold bullion Nameplate capacity of plant: 17Mtpa Crushing plant total capacity: 5500tph Primary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): Gyratory, Fuller 66” x 110” Traylor type “TC”, 5500tph, FD 1.25m, P 110mm Grinding plant equipment: SAG mill – 40’ x 20’ ft SAG mill, Svedala, 20MW, FD 85mm, P 1mm to 5mm; ball mill – 2 x 22’ x 36’ ball mills, Svedala, 9.8MW, FD 1 to 5mm, P 180 micron; regrind mill/tower mill – Svedala VTM 650 – 500kW, 55tph, FD 110 micron, P 40 micron Grinding media: SAG – 125mm balls, ball mill – 64mm balls + SAG mill scats, Regrind mill – 25mm cylpebs Screening plant/equipment (type/manufacturer/ capacity/screen sizes): Trommel screens, SAG – 4.47m x 5.13m, 15mm aperture, ball mill – 3.1m x 3.7m, 30mm aperture Recycle crusher: 2 off, cone crushers, Nordberg MP1000, 650tph, FD 80mm, P 10mm Recrush crushing/grinding equipment(type/

84

manufacturer/capacity/feed & product size): As above Mineral liberation/recovery method: Flotation & gravity Mineral liberation plant/equipment (flotation tanks, etc – type/manufacturer/capacity): Gravity – 2 Falcon concentrators SB2500; flotation – 2 x SK1200 Outokumpu – 60cu.m, 14 x OK150 Outokumpu – 150cu.m, 16 x OK16 – 16cu.m, 8 x OK8 – 8cu.m Mineral/fuel processing/recovery plant/equipment (tanks, thickeners, etc): Concentrate – high rate thickener – Outokumpu – 12m; tails – high rate thickener – Outokumpu – 53m Filtration plant/equipment (type/manufacturer/ capacity): Vertical plate pressure filter, Svedala VPA 1540-50, 42.5tph Process pumps (type/manufacturer/capacity): Various Weir Warman pumps Chemicals/reagents used (type/supplier): S701 Cytec, S8761 – Cytec, 3418A – Cytec, quicklime and hydrated lime – Hyrock, MIBC – DOW, flocculant – SNF, antiscalant – Drew Process control system (name/supplier): Yokogawa DCS, grinding – Minnovex expert system, flotation – Mintek Floatstar system, split online system Production information management tools/systems (type/supplier name): TM1 Maintenance system (name/supplier): Pronto Production manning/roster: 5 crews of 8 personnel for both Cadia Hill and Ridgeway plants; 6 on (3d/3n) 6 off on a 15wk cycle including 3 weeks of daycrew (5 on/2 off – 10 hr days) Maintenance manning/roster: 5 crews of 4 personnel (2 mech/2 elec) for both Cadia Hill and Ridgeway plants

CSA

Location: 14km northwest of Cobar, NSW Ownership: Subsidiary of Glencore International AG Site management: Cobar Management Pty Ltd Minerals/fuels recovered: Copper concentrate also containing silver Nameplate capacity of plant: 1.2Mtpa Crushing plant total capacity: 1.2Mtpa Primary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): Vickers Ruwolt double toggle 1.5m x 1.2m jaw crusher Grinding plant equipment: 3 x 6.7m x 2.1m Hardinge SAG mills Grinding media: 120/90/50mm steel grinding balls Mineral liberation/recovery method: Grinding, flotation Mineral liberation plant/equipment (flotation tanks, etc – type/manufacturer/capacity): 2 x Wemco 144 rougher flotation banks, 2 x Denver #30 cleaner flotation banks, 2 x Dorr Oliver 100 recleaner banks, 4 x Denver #30 scavenger banks Mineral/fuel processing/recovery plant/equipment (tanks, thickeners, etc): Eimco 150ft final tailings thickener, Ouotkumpu 18m final concentrate thickener Filtration plant/equipment (type/manufacturer/ capacity): 2 x Ceramec CC30 vacuum disc filters Process pumps (type/manufacturer/capacity): Warman Chemicals/reagents used (type/supplier): Thiocarbamate collector, frother Process control system (name/supplier): Citect Maintenance system (name/supplier): Pronto Production manning/roster: 4 on/4 off, continuous 12hr shift roster for mine and mill production 5 day 9 hr roster for day personnel Maintenance manning/roster: 4 on/4 off, continuous 12hr shift roster for mine electrical, fixed plant and mobile equipment maintenance, 5 day 9hr roster for mill fixed plant, 4 on/4 off day shift only roster for mill electrical

ENDEAVOR

Location: 46km north of Cobar, central NSW Ownership: CBH Resources Site management: CBH Resources Minerals/fuels recovered: Lead, silver, zinc in concentrate Nameplate capacity of plant: 1.1Mtpa flotation, 1.4Mtpa throughput Crushing plant total capacity: +1.8Mtpa

Primary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): Twin toggle jaw, Jacques, 150kW 440tph, Feed ~80% -305mm product ~80% -150mm Grinding plant equipment: Hardinge ICAL SAG 7.31m x 2.44 1680kW, 2 overflow ball mills Marcy 4.12m dia x 6.7m 1680kW and Sala 3.9m dia x 6.9m 1700kW Grinding media: 125mm and 64mm forged steel balls, 28mm cylpebs Screening plant/equipment (type/manufacturer/ capacity/screen sizes): Vibrating Minspec 1800x4200mm 35 x 16mm, Delkor linear 6sq.m 0.8mm, cyclones 500 and 250mm Warman Cavex Mineral liberation/recovery method: Fine grind +80% -45micron, sequential flotation, regrind, 3 stage cleaning Mineral liberation plant/equipment (flotation tanks, etc – type/manufacturer/capacity): Metso sand mills 2 x 185kW, 2 x 355kW Mineral/fuel processing/recovery plant/equipment (tanks, thickeners, etc): Agitar flot cells rougher scavengers and 3-stage cleaning for lead and rougher scavengers, 3-stage cleaning and cleaner scavengers for zinc. 2 x 25m concentrate thickeners 1 x 50m tailings thickener Filtration plant/equipment (type/manufacturer/ capacity): Larox PF 25 ~1t cycle and PF 84 ~5t cycle Process pumps (type/manufacturer/capacity): Centrifugal Warman various Chemicals/reagents used (type/supplier): Cytec – 3418A; Sinoz – copper sulphate, SIPX; Amtrade – copper sulphate, sodium sulphite; Unimin – lime Process control system (name/supplier): Experion Honeywell Production information management tools/systems (type/supplier name): Microsoft Excel Maintenance system (name/supplier): Pronto Production manning/roster: 7 on/7 off Maintenance manning/roster: 7 on/7 off

HILLGROVE MINE

Location: Hillgrove via Armidale, NSW Ownership: Straits Resources Site management: Hillgrove Mines Pty Ltd Minerals/fuels recovered: Antimony, Gold Throughput rate (2010-11): Care & maintenance Forecast throughput rate (2011-12): Care & maintenance Nameplate capacity of plant: 250,000tpa Crushing plant total capacity: ~700,000tpa Primary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): Jaw crusher Telsmith 25 x 40 ~240tph to CSS 40mm Grinding plant equipment: ball mill running in grate discharge SAG arrangement, 20% ball charge, internal dia 3.66m, effective length 3.96m, 1000kW Grinding media: 80 to 110mm steel Mineral liberation/recovery method: Tega flat bottom cyclones design product size P80 250μm Mineral liberation plant/equipment (flotation tanks, etc – type/manufacturer/capacity): 5 x OK3 Mineral/fuel processing/recovery plant/equipment (tanks, thickeners, etc): Concentrate & tails thickeners Filtration plant/equipment (type/manufacturer/ capacity): 4 x Diemme plate and frame filters Process pumps (type/manufacturer/capacity): Centrifugal/Warman and Linatex Chemicals/reagents used (type/supplier): Caustic/Redox Refining plant/equipment (type/manufacturer/ capacity): SQR Process control system (name/supplier): Siemens) PLC, Allen Bradley PLC and Citect HMI Production information management tools/systems (type/supplier name): Citect HMI Maintenance system (name/supplier): SAP Comments: The operation is currently suspended and in care and maintenance pending restart

PEAK

Location: Cobar, NSW Ownership: Peak Gold Pty Ltd – New Gold Inc Site management: Peter Lloyd – GM Minerals/fuels recovered: Gold, copper Nameplate capacity of plant: 750k

MAY 2012 amm


Mineral Processing Plant Survey Crushing plant total capacity: U/G jaw crusher + 150tph delivered to the 6000t ROM stockpile; 3 x variable speed hydraulic plate feeders deliver the ROM ore onto the SAG mill feed conveyor. A separate 200t bin and variable speed plate feeder arrangement discharges onto the same feed conveyor. This is used to blend feed from other New Cobar and Chesney mine ore sources Primary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): Hardinge SAG mill 6.7m x 2.59m, 1650kW@12.5rpm fixed speed. 125mm balls added as required Secondary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): ball mill – Nordberg 4m x 5.8m 1650kW installed during 2001 upgrade. 65 & 80mm balls Screening plant/equipment (type/manufacturer/ capacity/screen sizes): Honert twin deck U75W-K scalping screen with 15mm and 2mm apertures is used as the SAG mill discharge screen Mineral liberation/recovery method: 3 x Knelson (KCD30) gravity concentrators receive the undersize from the SAG mill discharge screen. The concentrates from these Knelsons feed the Gekko intense cyanide leaching plant. A bank of eight 250CVX10 Cavex cyclones (6 x operating) receives the oversize material from the SAG mill D/C screen and Knelson tails product. Cyclone U/F reports to the ball mill for regrinding while cyclone O/F is delivered to a vibrating trash screen then gravitates to the flotation feed conditioner tank Mineral liberation plant/equipment (flotation tanks, etc – type/manufacturer/capacity): Outotec conventional flotation- 8 x 16cu.m rougher/scavenger cells and 5 x 3cu.m cleaner cells. Flotation tails are directed to the 12m dia high rate Outokumpu leach thickener. Thickener underflow becomes CIL feed Mineral/fuel processing/recovery plant/equipment (tanks, thickeners, etc): Two 5m dia high rate thickeners used for flotation concentrate dewatering. Three 29.5cu.m concentrate storage tanks are used prior to filtration. Leach feed thickener underflow feeds 2 x 1350 live capacity cu.m CIL tanks followed by 7 x 337 cu.m absorption tanks. 2 electrowinning cells consisting of 9 cathodes 0.8m x 0.8 m are used. Carbon regeneration kiln also used. Tailings from CIL plant pumped to 12m dia high-rate capacity thickener. Underflow is pumped to a central placement tailings dam at + 62% solids Filtration plant/equipment (type/manufacturer/ capacity): Filtering by a Supaflo ceramic capillary disc filter and a Larox PF-12.5 filter Process pumps (type/manufacturer/capacity): Warman pumps are used in the grinding, flotation, leach, CIL and tailings slurry pumping Chemicals/reagents used (type/supplier): Sodium cyanide (Orica), CMS 2503, interfroth 50 CMS, sodium sulphite (Orica), lime, caustic, hydrochloric acid (Orica), flocculant (Ciba), nitric acid, carbon, millsperse (Ashland). Changes expected with metallurgical tuning of new flotation plant Refining plant/equipment (type/manufacturer/ capacity): LPG furnace Process control system (name/supplier): Citec, Outokumpu Courier 6i, PSI, OTA 3001 cyanide analyser Production information management tools/systems (type/supplier name): Access Database Maintenance system (name/supplier): Pronto Production manning/roster: 4 panel, 4 on/4 off Maintenance manning/roster: M to F mechanical, 4 on/4 off D/S electrical & fitter

RIDGEWAY

Location: Orange District, Central NSW Ownership: Newcrest Mining Site management: Craig Jones – GM Operations Minerals/fuels recovered: Gold-copper concentrate, gold bullion Nameplate capacity of plant: 4Mtpa Crushing plant total capacity: Fuller 1350-17-60, 1000tph, FD 500mm, P 90mm Primary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): As above Grinding plant equipment: SAG mill – 32’ x 14’ SAG mill, Svedala, 6.5MW, FD 70mm, P 1mm to 3mm; ball mill – 22’ x 28’, Svedala, 7.0MW, F 1-3mm, P 130 micron;

amm MAY 2012

Flotation regrind mill – SMD 355kW, FD 110 micron, P 60 micron Grinding media: SAG 105:125mm ball mix (75/25), ball – 64mm, SMD 3mm sand Screening plant/equipment (type/manufacturer/ capacity/screen sizes): Trommel screens, SAG 15mm aperture, ball 30mm aperture Recycle crusher: 2 off, cone crushers, Kawasaki KF1515Z – 250kW, 125tph, FD 50mm, P 10mm Recrush crushing/grinding equipment(type/ manufacturer/capacity/feed & product size): See above Mineral liberation/recovery method: Flotation & gravity Mineral liberation plant/equipment (flotation tanks, etc – type/manufacturer/capacity): Gravity – 3 x Falcon concentrators SB2500; flotation – 1 x SK1200 Outokumpu – 60cu.m, 5 x OK100 Outokumpu – 100cu.m, 5 x OK30 -30cu.m, 3 x OK8 -8cu.m Mineral/fuel processing/recovery plant/equipment (tanks, thickeners, etc): Concentrate – high rate thickener, Outokumpu – 20m; tails – high rate thickener, Outokumpu – 29m Filtration plant/equipment (type/manufacturer/ capacity): Vertical plate pressure filter, Svedala VPA 1540-50, 42.5tph Process pumps (type/manufacturer/capacity): Various – Krebs, Weir Warman Chemicals/reagents used (type/supplier): RTD 1029 – Tall Bennett, hydrated lime – Hyrock, MIBC – DOW, flocculant – SNF, DSP017 – Orica, antiscalant – Drew Process control system (name/supplier): Yokogawa DCS, grinding – Minnovex expert system, flotation – Mintek Floatstar system, split online system Production information management tools/systems (type/supplier name): TM1 Maintenance system (name/supplier): Pronto Production manning/roster: 5 crews of 8 personnel for both Cadia Hill and Ridgeway plants; 6 on (3d/3n) 6 off on a 15wk cycle including 3 weeks of daycrew (5 on/2 off – 10hr days) Maintenance manning/roster: 5 crews of 4 personnel (2 mech/2 elec) for both Cadia Hill and Ridgeway plants TRITTON Location: 60km west of Nyngan, NSW Ownership: Straits Resources Site management: Tritton Mines Minerals/fuels recovered: Copper concentrate with gold and silver Nameplate capacity of plant: 1.4Mtpa Primary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): 1200mm x 1020mm Kemco S7N jaw crusher; feed 800mm; product 100mm Grinding plant equipment: 6.7m x 2.13m SAG; 3.81m x 5.18m ball mill; 2 units Vertimill 800, 2m x 3.4m regrind mill Grinding media: 125mm balls for SAG; 65mm balls for ball mill; 30mm for Vertimills and regrind mill Mineral liberation/recovery method: Crushing, grinding, flotation Mineral liberation plant/equipment (flotation tanks, etc – type/manufacturer/capacity): 2 units 50cu.m Wemco tank cells; 30 units 8cu.m Dorr Oliver Mineral/fuel processing/recovery plant/equipment (tanks, thickeners, etc): 12m dia Outotec conc thickener; 18m dia tails thickener Filtration plant/equipment (type/manufacturer/ capacity): 1.5m x 1.5m 30 chambers IPM Lasta filter press Process pumps (type/manufacturer/capacity): Various types Chemicals/reagents used (type/supplier): RTD 948 collector from Tall Bennet; lime, Magnafloc 1011 from Ciba Process control system (name/supplier): Wonderware; OSA from Outotec Production information management tools/systems (type/supplier name): SAP Maintenance system (name/supplier): SAP Production manning/roster: 5 crews per team including supervisor; 4 teams; 4 days on/4 days off Maintenance manning/roster: 6 crews; 5 days on/2 days off; 2 on call weekends

NEWCASTLE/WESTERN COALFIELDS CHARBON COLLIERY

Location: Charbon via Kandos Ownership: Centennial Coal Site management: Charbon Coal Minerals/fuels recovered: Coal Nameplate capacity of plant: 210tph Crushing plant total capacity: 500tph Primary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): MMD 500 sizer, -150mm feed, -50mm product Secondary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): Schumar 200tph roll crusher (out of service) Screening plant/equipment (type/manufacturer/ capacity/screen sizes): Allis Charmer scalping screen (out of service) Mineral liberation/recovery method: Dense medium circuit & spirals Mineral/fuel processing/recovery plant/equipment (tanks, thickeners, etc): Thickeners, sumps, pumps, cyclones, screens, separators, centrifuges Process pumps (type/manufacturer/capacity): 200/150 Denver Orion Chemicals/reagents used (type/supplier): Flocculant/ Nalco Refining plant/equipment (type/manufacturer/ capacity): Nalco equipment Process control system (name/supplier): Citect Production information management tools/systems (type/supplier name): Citect Maintenance system (name/supplier): Pulse Production manning/roster: 1 fitter & 2 operators on each shift, 3 shifts to cover 24hrs. 1 fitter, 1 electrician & 1 operator for weekend warriors (3 x 12hr shifts) Maintenance manning/roster: 1 fitter & 1 operator/5 x 8hr shifts

NEWSTAN COAL PREPARATION PLANT

Location: Newcastle Coalfield, NSW Ownership: Centennial Coal Site management: Centennial Coal Minerals/fuels recovered: Coal Throughput rate (2010-11): 2.4Mt Forecast throughput rate (2011-12): 2.3Mt Nameplate capacity of plant: 700tph Crushing plant total capacity: 2000tph Primary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): MMD Tertiary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): MMD Screening plant/equipment (type/manufacturer/ capacity/screen sizes): Schenck & LMPE Mineral liberation/recovery method: Wemco Dense medium cone, dense medium cyclones & spirals Process pumps (type/manufacturer/capacity): Denver/ Orion (Metso) Chemicals/reagents used (type/supplier): Ciba Process control system (name/supplier): BASF Maintenance system (name/supplier): Pulse

STRATFORD

Location: Stratford NSW Ownership: GCL/Stratford Coal Pty Ltd Site management: GCL/Stratford Coal Pty Ltd Minerals/fuels recovered: Coal metallurgical/thermal Nameplate capacity of plant: 500tph Crushing plant total capacity: 650tph Primary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): Stamler feeder breaker/600tph/1000:250mm Secondary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): Roll sizer/ Abon/250:100mm Tertiary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): Roll sizer/ Abon/100:50mm Screening plant/equipment (type/manufacturer/ capacity/screen sizes): LMPE (Honert)/various Mineral liberation/recovery method: Dense medium cyclone/spiral teeter bed separator/flotation

85


Mineral Processing Plant Survey Mineral liberation plant/equipment (flotation tanks, etc – type/manufacturer/capacity): 2 x 5cu.m Jameson cells 1 x 120cu.m Wemco cell Mineral/fuel processing/recovery plant/equipment (tanks, thickeners, etc): Thickener – Wemco Filtration plant/equipment (type/manufacturer/ capacity): HBF Delkor Process pumps (type/manufacturer/capacity): Warman Chemicals/reagents used (type/supplier): Flocculant (Magnafloc X125 – BASF Chemicals), frother (Metfroth – TekProMet), collector (Diesel), anti-scalant (Scaleguard 84611 – Nalco), hydrated lime (Unimin), ag lime, meadow lime (Unimin), ag lime (Barrington Lime), ultrafine grade magnetite (Kara) Process control system (name/supplier): Allen Bradley PLC, Citect SCADA Production information management tools/ systems (type/supplier name): Citect SCADA/Dbase Management Excalibur Engineering Maintenance system (name/supplier): MEX Production manning/roster: 5 people/shift on 12 hr shifts. 4 crews Maintenance manning/roster: Dayshift 2 mechanical maintenance supervisors

WESTSIDE

Location: 20km southwest of Newcastle, Newcastle/ Western Coalfields Ownership: Xstrata Coal Minerals/fuels recovered: Coal Crushing plant total capacity: 750tph Primary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): Fox feeder Secondary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): MMD sizers Tertiary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): Abon sizers Process control system (name/supplier): Citect Production information management tools/systems (type/supplier name): Citect

NORTHERN TERRITORY BHP BILLITON GEMCO

Location: Groote Eylandt, NT Ownership: BHP Billiton 60%, Anglo American 40% Site management: BHP Billiton Minerals/fuels recovered: Manganese ore Nameplate capacity of plant: 4.2Mtpa (product) Crushing plant total capacity: 4.5Mtpa Primary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): Jaques crusher 42 x 68 Secondary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): Metso GP500 Screening plant/equipment (type/manufacturer/ capacity/screen sizes): Single/double deck screens of various sizes, supplied by Schenk and Metso Mineral liberation/recovery method: Heavy media Mineral liberation plant/equipment (flotation tanks, etc – type/manufacturer/capacity): Heavy media drum (FL Schmidt, 12ft x 12ft) Heavy media cyclones (Multotec, 420mm) Process pumps (type/manufacturer/capacity): Warman rubber lined, various sizes Chemicals/reagents used (type/supplier): FerroSilicon (65 grade/150 grade, various suppliers) Process control system (name/supplier): PLC/DCS, Citect Production information management tools/systems (type/ supplier name): AMPLA Maintenance system (name/supplier): GSAP Production manning/roster: 16, 4 x 4, 8, 7 x 7 Maintenance manning/roster: 14, 4 x 4 x 6, 32, 7 x 7, 60, labour hire for shutdown supplied by Dawsons Engineering, Losugen BOOTU CREEK MANGANESE Location: 110km north of Tennant Creek, NT Ownership: OM (Manganese) Ltd – a 100%-owned subsidiary of OM Holdings Site management: Brent Murdoch – GM; Grant Delahey – process manager

86

Minerals/fuels recovered: Manganese Nameplate capacity of plant: 600,000t product Crushing plant total capacity: 400tph Primary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): Primary jaw/ST47 jaw crusher/Terex-Jaques/400tph; Feed size = 90-800mm. Product = -100mm Secondary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): Secondary jaw/ST42 jaw crusher/Terex-Jaques/200tph; feed size = 80-120mm. Product = -50mm Screening plant/equipment (type/manufacturer/ capacity/screen sizes): Single dry screen/Joest/4.8m x 1.8m/400tph/63mm, single wet screen/Joest/4.8m x 1.8m/60tph/0.8mm, single wet screen/Vibramec/3.6m x 1.8m/120tph/8mm, single wet screen/Vibramec/4.8m x 2.1m/120tph/1.5mm, single wet screen/Vibramec/3.6m x 1.5m/40tph/0.6mm, single wet screen/Vibramec/4.8m x 1.8m/40tph/0.6mm Mineral liberation/recovery method: Crushing, scrubbing, screening, heavy media separation Mineral liberation plant/equipment (flotation tanks, etc – type/manufacturer/capacity): Scrubber – 6m x 3m/ RCR Tomlinson/200tph, drum plant – Malvern 10’ x 10’/ Ludowici Malvern Engineering/200tph, cyclone plant – DMS cyclone 420mm/60tph Process pumps (type/manufacturer/capacity): 3 x Warman pumps 4/3 DAH, 8 x Warman pumps 6/4 DAH Chemicals/reagents used (type/supplier): 150D Ferrosilicon/Gondwana Chemicals Process control system (name/supplier): Wonderware Production information management tools/systems (type/supplier name): Database/TeamTech Maintenance system (name/supplier): GreenTree Production manning/roster: 20 total manning in processing plant/2:1 FIFO or DIDO roster Maintenance manning/roster: 12 total manning – 9/5 FIFO or DIDO roster

FRANCES CREEK

Location: Pine Creek, NT Ownership: Jonesville Ltd (subsidiary of Noble Group Ltd) Minerals/fuels recovered: Iron ore – haematite – DSO Nameplate capacity of plant: 2.7Mtpa Crushing plant total capacity: 2.7Mtpa Primary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): Striker JM1180 jaw crusher Secondary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): Striker CR300 cone crusher Screening plant/equipment (type/manufacturer/ capacity/screen sizes): +40, -40 and +6.3, -6.3 Production manning/roster: 14/7 Maintenance manning/roster: 14/7

McARTHUR RIVER MINING

Location: 65km south of Borroloola Ownership: Xstrata Zinc Site management: McArthur River Mining Minerals/fuels recovered: Zinc, lead, and silver Throughput rate (2010-11): 2.4Mtpa Forecast throughput rate (2011-12): 2.5Mtpa Nameplate capacity of plant: 2.5Mtpa after 2008 expansion Crushing plant total capacity: 2.5Mtpa Primary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): Crushing – 42”x 30” single toggle jaw; grinding – 1x ANI Bradken 6.1x 7.3 m 4MW primary mill, 1 x Svedala 935kW Vertimill, 12x 15” Warman cyclones primary grind size p80 of 80 microns, regrind p80 7 micron Secondary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): Crushing – 1350 Kawasaki cone crusher and 6m x 2.4m double deck Allis screen Tertiary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): 1350 Kawasaki cone crusher and 6m x 2.4m double deck Allis Screen product p80 – 10 – 12mm Grinding plant equipment: Fine grinding plant: 6 x M3000 1MW Isamills plus 2 x M10000 3MW Isamills Xstrata Technology

Grinding media: 78mm steel balls for the SAG mill, SAG scats for Vertimill media, 2mm & 6mm ceramic media and silica sand media for the Isamills Screening plant/equipment (type/manufacturer/ capacity/screen sizes): SAG discharge screen Mineral liberation/recovery method: Conventional flotation Mineral/fuel processing/recovery plant/equipment (tanks, thickeners, etc): 4 off OK 100cu.m cells, 73 OK 16cu.m cells Filtration plant/equipment (type/manufacturer/ capacity): 2 off Larox PF 144 filters Process pumps (type/manufacturer/capacity): Warman 6/4 FAH up to 12/10 FAH (various duties) Chemicals/reagents used (type/supplier): MIBC, xanthate, copper sulphate, dextrin, napthalene sulphonate, flocculant Process control system (name/supplier): Yokogawa DCS Production information management tools/systems (type/supplier name): PI System – OSI Maintenance system (name/supplier): MIMs Mincom (Ellipse) Production manning/roster: 254 operations personnel, 7 days on, 7 days off, 12 hr Maintenance manning/roster: 37 maintenance personnel, 7 days on, 7 days off, 12h

RANGER

Location: 230km east of Darwin, NT Ownership: Energy Resources of Australia Site management: Dan Janney, GM operations Minerals/fuels recovered: Uranium Throughput rate (2010-11): 2.4Mtpa Forecast throughput rate (2011-12): 2.4Mtpa Plant capacity: Capacity 5600t U3O8 Crushing plant total capacity: 5Mtpa Primary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): Crushing – 1 x Svedala (54” x 74”) superior gyratory crusher; capacity 817tph (ore crushed to ~ 165mm) Secondary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): Crushing – 1 x Svedala (84”) hydrocone cone crusher; capacity 500tph (ore crushed to ~35 mm) Tertiary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): Crushing – 1 x Svedala (84”) hydrocone cone crusher; capacity 500tph (ore crushed to ~ 15 mm) Grinding plant equipment: 1 x Allis Chalmers 3.35m-dia, overflow rod mill and 1 x Allis Chalmers 4.1m-dia, ball mill, 225tph; 1 x ANI 4.115m-dia, 110tph ball mill. Ore milled to a fine powder (at a P80 of 260~280 microns) Grinding media: 50mm/80mm/100mm steel balls and 90mm steel rod Screening plant/equipment (type/manufacturer/ capacity/screen sizes): 1 x Svedala ‘XH’ RIPL-FLO 2.4 x 6.1 primary screen, 2 x Svedala ‘SH’ RIPL-FLO 2.4 x 6.1 secondary screens Mineral liberation/recovery method: Sulphuric acid leach and pyrolusite oxidation/solvent extraction and ammonium precipitation, with calcination of precipitate Mineral liberation plant/equipment (flotation tanks, etc – type/manufacturer/capacity): 1 x Svedala 54 x 74in gyratory crusher, 2 Svedala x 84in Hydrocone cone crushers, 1 x Allis Chalmers 705kW rod mill 3.4 x 4.9m, 1 x Allis Chalmers 1300kW ball mill 4.1 x 4.9m, 1 x ANI 1600kW ball mill 4.115 x 5.705m, 1 x Allis Chalmers 110kW ball mill 1.8 x 2.5m Mineral/fuel processing/recovery plant/equipment (tanks, thickeners, etc): 7 x 12 x 13m leach tanks, 7 x Envirotech C type 39m thickeners, 1 x Envirotech 22m high rate thickener, 4 x EPT 21cu.m mixers coupled with 587cu.m settlers, 4 x EPT 21cu.m mixers coupled with 149cu.m settlers, 2 x EPT 14cu.m precipitation tanks, 1 x Envirotech 12m product thickener, 1 x 8m Envirotech wash thickener Filtration plant/equipment (type/manufacturer/ capacity): 1 x Envirotech B reactor clarifier24 x 10m, 5 3m x 3m Permutit sand filters, 2 Alfa Laval NX416B-31G decantation centrifuges Process pumps (type/manufacturer/capacity): 1 x Warman 14/12 AH, 1 x Warman 10/12 AH, 1 x Warman 12/10 FAH-CR, 1 x Warman12/10 FAH-CL, 6 x Warman

MAY 2012 amm


Mineral Processing Plant Survey 350-FF-L, 3 x Warman 10/8 E-MCL, 1 x Warman 350-FFL, 5 x Warman 10/8 CV, 5 x Warman 8/6 AH, 1 x Warman 10/8 E-AM Chemicals/reagents used (type/supplier): Sulfuric acid H2SO4, pyrolusite MnO2, ferric sulphate anhydrous ammonia, Ciba 800HP and Rheomax 1050 flocculant, alamine 336, Shellsol 2046, tridecanol, lime, sodium hydroxide Refining plant/equipment (type/manufacturer/ capacity): 1 x Clyde Curruthers multi hearth dryer 6.2 x 3.9m, 1 x Clyde Curruthers trommel disintegrator Process control system (name/supplier): Honeywell TDC 3000 Production information management tools/systems (type/supplier name): Amdel? SAP Maintenance system (name/supplier): RCM Turbo, SAP Production manning/roster: Plant operates 24/7, with approx 65 employees at Ranger process plant, with additional contractors as required Maintenance manning/roster: Approx 100 employees in maintenance roles at Ranger process plant. A number of contract workers provide additional labour across the plant as required

THE GRANITES, NEWMONT TANAMI OPERATIONS

Location: Tanami Highway, 550km northwest of Alice Springs, NT Ownership: Newmont Australia Site management: Gerry Waugh, processing manager; Heath Cook, process superintenent; Rene van Oevelen, metallurgy superintendent Minerals/fuels recovered: Gold Nameplate capacity of plant: 2.7Mt Crushing plant total capacity: 2.8Mt Primary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): CSI contract crushing: 1 x Vickers Ruwolt 800tph jaw crusher: 1m feed/ -120mm product Secondary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): 1 x 7’ Symons 450tph cone crusher; -120mm feed/-22mm product Tertiary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): 1 x 7’ Symons 380tph cone crusher; -50mm feed/-12mm product Screening plant/equipment (type/manufacturer/ capacity/screen sizes): 2 x Nordberg 500tph double deck banana screens; 50mm top deck/15mm bottom deck Mineral liberation/recovery method: Single stage ball mill, gravity recovery & CIP Mineral liberation plant/equipment (flotation tanks, etc – type/manufacturer/capacity): 1 x 4700kW Outokumpu shell mounted ball mill in closed circuit with Warman 400CVX cyclones Mineral/fuel processing/recovery plant/equipment (tanks, thickeners, etc): 9 x MG4CF 7-turn triple-start Roche rougher spirals; 2 x HG10S 5-turn double start Roche cleaner spirals; 2 x standard Clyde-Wilfley shaking tables; Gekko intensive leach reactor. 3 x 1475cu.m leach tanks, 2 x 575cu.m leach tanks, 6 x 575cu.m adsorption tanks with air swept cylindrical wedge wire inter-tank screens. 1 x 20m dia Supaflo high rate tailings thickener Process pumps (type/manufacturer/capacity): Krebbs millMAX 12 x 10 x 30 cyclone feed pumps with 355kW Teco motors. Warman 8/6 tails discharge pumps with 185kW motor Chemicals/reagents used (type/supplier): Orica cyanide; Orica sodium hydroxide; Adelaide brighton lime; Tennant Ltd GS55 carbon Refining plant/equipment (type/manufacturer/ capacity): AARL elution circuit; 1 x 2 tonne carbon acid wash column and separate elution column; Ansac horizontal carbon regeneration kiln; Ausenco electrowinning cell & 2 x Mintek electrowinning cells Process control system (name/supplier): Citect SCADA Production information management tools/systems (type/supplier name): Access Database Maintenance system (name/supplier): Ellipse Production manning/roster: 2 x process supervisors, 3 x shift team leaders, 12 x process technicians, 3 x gold room technicians. 12hr shifts, production crew 14/7, supervisors 9/5 FIFO Maintenance manning/roster: 1 x senior maintenance

amm MAY 2012

supervisor; 3 x maintenance planner & 1 x maintenance clerk; 2 x services supervisor + 10 personnel; 2 x mechanical supervisors + 11 personnel; 2 x electrical supervisors + 9 personnel. 12 shifts,14/7 FIFO

QUEENSLAND BOWEN BASIN BLACKWATER CHPP

Location: Blackwater, Bowen Basin, central Qld Ownership: BHP Billiton-Mitsubishi Alliance (BMA) Site management: BMA Minerals/fuels recovered: Black coal Nameplate capacity of plant: Blackwater CHPP 1800tph; thermal coal plant 1200tph; South coal plant 900tph Crushing plant total capacity: 14Mt Primary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): Blackwater CHPP, 2 modules @ 2200tph reduction from 1200mm to >250mm, MMD crushers Secondary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): Blackwater CHPP, 2 modules @ 2200tph reduction from 250mm to >125mm, MMD crushers Tertiary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): Blackwater CHPP, 2 modules @ 1200tph reduction from 125mm to >50mm, MMD crushers Screening plant/equipment (type/manufacturer/ capacity/screen sizes): Various across the site Mineral liberation/recovery method: Dense medium separation, flotation, spirals Mineral liberation plant/equipment (flotation tanks, etc – type/manufacturer/capacity): Minco cyclones, microcells Filtration plant/equipment (type/manufacturer/ capacity): Disc filters – 1 Denver, 1 Svedala Process pumps (type/manufacturer/capacity): Warman, Flygt, Grundfos Chemicals/reagents used (type/supplier): MIBC – Dow, flocculants – Ciba Process control system (name/supplier): Citect Production information management tools/systems (type/supplier name): In-house developed software and MSAP Maintenance system (name/supplier): SAP Production manning/roster: Primarily 7-day continuous rotating Maintenance manning/roster: Mobile equip, field 7-day continuous rotating. Fixed plant contract

BLAIR ATHOL

Location: 110km northwest of Emerald, Qld Ownership: Queensland Coal (Rio Tinto 57.195%, Leichardt Coal 31.416%, J-Power (Australia) 7.9723%, JCD Australia 3.4167%) Site management: Rio Tinto Coal Australia Minerals/fuels recovered: Thermal coal Nameplate capacity of plant: 12Mt Primary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): Crushing – 3250tph Jaques apron feeder feeding a 3250tph Jaques hammer mill with a final product size of -600mm Secondary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): Two 1625tph Hornet grizzley feeders feeding two 850tph Vickers rotary breakers. Final feed size 110mm Tertiary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): Four 815tph Syntron electromagnetic vibrating feeders feeding four 815tph Allis Chalmers double deck screens. Final product size 40mm Screening plant/equipment (type/manufacturer/ capacity/screen sizes): As noted above Mineral liberation plant/equipment (flotation tanks, etc – type/manufacturer/capacity): Crushed/screened product is stacked and reclaimed by two dual purpose MAN stacker/reclaimers. Coal windrowed into cargo assembled blocks. Average reclaim rate 3300tph Process control system (name/supplier): Citect associated PLC network Production information management tools/systems (type/supplier name): CDMS (in-house system);

stockpile model system/S2S logistics system Maintenance system (name/supplier): SAP Production manning/roster: Continuous 7 day roster/2 x 12hr shifts/day Maintenance manning/roster: 7 day/1 x 12hr shift/day with breakdown crew for night shifts

BURTON

Location: 150km southwest of Mackay, Qld Ownership: Peabody Energy 95%, Thiess 5% Minerals/fuels recovered: Coal Nameplate capacity of plant: 800tph Primary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): Crushing – 8/160CC, Abon,1000tph, -1000mm +300mm Secondary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): 6/160CC, Abon, 1000tph, -300mm+125mm Tertiary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): 6/250HSS, Abon, 1000tph, -125mm+50mm Mineral liberation/recovery method: Primary and secondary dense medium circuits. Spirals and flotation circuits Mineral liberation plant/equipment (flotation tanks, etc – type/manufacturer/capacity): 4 Jameson flotation cells/ Xstrata Technology Mineral/fuel processing/recovery plant/equipment (tanks, thickeners, etc): 2 CMI WR1000-20-1/A-C/T secondary heavy medium cyclones (changed from 2 Pacific 1M-1000 secondary heavy medium cyclones) Filtration plant/equipment (type/manufacturer/ capacity): 42B/07-30V horizontal belt filter/Delkor/2 x 85sq.m Process pumps (type/manufacturer/capacity): 2 x Warman 12/10 G-GH primary heavy medium; 2 x Warman 12/10 E-EM overdense medium; 2 x Warman 8/6 F-GH secondary heavy medium; 2 x Warman 6/4 D-AH dilute medium; 2 x Warman 12/10 E-EM classifying cyclone feed; 1 Warman 6/4 D-AH primary spirals feed; 1 x Warman 3/2 CC-AH secondary spirals feed; 2 x Warman 8/6 E-AH spirals product; 2 Warman 350 FF-L flotation feed; 4 Warman 6/6 FF-GH co-disposal; 4 Warman 6/6 FF-GHP co-disposal booster Chemicals/reagents used (type/supplier): Unimin Australia, maxi-fine magnetite. Orica, MIBC; diesel; SNF 923SH powdered flocculant; SNF/FL4440 coagulant Process control system (name/supplier): Citect 5.21, CI Technologies Production information management tools/systems (type/supplier name): Pulse Production database (Pulse Mining Systems) Maintenance system (name/supplier): MEX 11.0.0.0, Maintenance Experts Production manning/roster: 20/2 x 12hr shifts/day, 4 x 4 rotating roster Maintenance manning/roster: M-F day shift

CARBOROUGH DOWNS CHPP

Location: Carborough Downs mine, Peak Downs Highway, 13km west of Coppabella Ownership: Carborough Downs JV Site management: Carborough Downs Coal Management Minerals/fuels recovered: Coal Nameplate capacity of plant: 500tph Crushing plant total capacity: 500tph Primary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): McLanahan feeder breaker FB36-60-42, 13m long x 15m wide, feed size -700mm, product size -150mm Secondary crushing/grinding plant/machinery (type/manufacturer/capacity/feed & product size): McLanahan secondary sizer DDC24 x 72T, feed size -150mm, product size -50mm Mineral liberation/recovery method: Dense medium, hindered settling, flotation Mineral liberation plant/equipment (flotation tanks, etc – type/manufacturer/capacity): Dense medium cyclones – DSM style high capacity, 1 x 1450mm dia + 1 x 1000mm dia, teetered bed separator – 2.4m dia, Jameson flotation cell – B6000/20 Mineral/fuel processing/recovery plant/equipment (tanks, thickeners, etc): Schenck drain and rinse screens,

87


Mineral Processing Plant Survey 4 x tailings belt press filters – Phoenix 3m units, tailings thickener – Outokumpu 20m Filtration plant/equipment (type/manufacturer/ capacity): Schenck coarse coal centrifuges 2 x SCC1400, screen bowl centrifuge 2 x decanter 44132HC Process pumps (type/manufacturer/capacity): Warman slurry pumps – 12/10 G-GH x 2. Remaining pumps variety of Metso centrifugal pumps Chemicals/reagents used (type/supplier): Diesel, MIBC, anionic flocculant and cationic flocculant – Ciba Process control system (name/supplier): Allen Bradley PLC, Citect SCADA Production information management tools/systems (type/supplier name): In-house Maintenance system (name/supplier): In-house Production manning/roster: 5 per crew, 7 day roster Maintenance manning/roster: Contract

COOK

Location: Blackwater, Qld Ownership: Caledon Coal Pty Ltd Site management: George Williams – CHPP manager Minerals/fuels recovered: Met and thermal coal Nameplate capacity of plant: 2.5Mt ROM Screening plant/equipment (type/manufacturer/ capacity/screen sizes): Metso, (Allis Charmers) sieve bend/low head screens. 6 & 7 & 8ftscreens Recrush crushing/grinding equipment(type/ manufacturer/capacity/feed & product size): MMD, rolls crusher, 50mm, 90tph Mineral liberation/recovery method: Baum jig, 135tph, 1969, McNally, dense media cyclone circuits, 710 & 800mm, Minco Tec, as a primary and second circuit, spirals 8 triple starts, LD4, 75tph, Mineral Deposits Mineral/fuel processing/recovery plant/equipment (tanks, thickeners, etc): 2 high rate thickeners, 8m, BMCH 1986, 15tph each Filtration plant/equipment (type/manufacturer/ capacity): 3 coarse coal centrifuges, 1300mm, CMI (Humbolt) & decanter, 2 screenbowl centrifuges, 1800mm, decanter Process pumps (type/manufacturer/capacity): Metso (Denver Orion), Warman heavy duty slurry pumps Chemicals/reagents used (type/supplier): Flocculant – Ciba, Magnetite – Unimin Process control system (name/supplier): PLC, Texas Instruments, 1986 Production information management tools/systems (type/supplier name): SCADA, Citect, 2006 Maintenance system (name/supplier): “Pulse” Production manning/roster: 4 on/3 off in two shifts of 4 man Maintenance manning/roster: Same men as above, employed as operators/maintainers

COPPABELLA

Location: 150km southwest of Mackay, Qld Ownership: Macarthur Coal 73.3%, Marubeni Coal 7%, Sojitz (formerly Nissho Iwai Corporation) 7%, Citic Australia Coal 7%, Kawasho Group 3.7%, Nippon Steel Trading 2% Site management: Plant operated under contract by Sedgman Minerals/fuels recovered: PCI coal Nameplate capacity of plant: 6Mtpa Primary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): Crushing – 1 x Stamler feeder breaker reducing raw coal to <200mm; Abon secondary; 6/160CC crusher; tertiary 6/250HSC sizing (50mm top size); LMPE vibrating feeder control discharge to prep plant Screening plant/equipment (type/manufacturer/ capacity/screen sizes): 2 x LMPE 3.6m x 6.1m multislope desliming banana screens (-50mm/+1.4mm to coarse coal; -1mm to fine coal circuit); 1 x LMPE; 3.6m x 6.1m multi-slope product banana screen (drain and rinse screen); 1 x LMPE 2.4m x 4.8m multi-slope reject banana screen (drain and rinse screen) Mineral/fuel processing/recovery plant/equipment (tanks, thickeners, etc): 1 x Multotec 1300mm-dia dense medium cyclone; 24 x Multotec triple-start spiral concentrators; 6 x LMPE dewatering cyclones; 2 x 5m Jameson flotation cells; 1 x Supaflo (Outokumpu) 18m-dia

88

thickener Filtration plant/equipment (type/manufacturer/ capacity): 2 x Ludowici 1.4m-dia vibrating basket centrifuges; 3 x Ludowici verticalbasket fine-coal centrifuges; 2 x DMI 44 x 132 screen bowl centifuges Process pumps (type/manufacturer/capacity): Warman (various) Chemicals/reagents used (type/supplier): Orica MIBC, SNF flocculant; Unimin magnetite Process control system (name/supplier): Citect/Allen Bradley PLC control system Production information management tools/systems (type/supplier name): APC Minetrak; Excel workbooks for plant contractors Maintenance system (name/supplier): MEX Production manning/roster: 1 plant manager/12 operators; 4 on/4 off roster; 2 x 12hr shifts/day Maintenance manning/roster: 1 maintenance manager, 1 maintenance supervisors; all maintenance sub-contracted

CURRAGH

Location: Blackwater Ownership: Wesfarmers Resources Site management: Wesfarmers Curragh Pty Ltd Minerals/fuels recovered: Coal Nameplate capacity of plant: 1650tph Crushing plant total capacity: Curragh ROM crushing plant – 2400tph, Curragh North ROM crushing plant – 2500tph Primary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): Curragh – 2 x 1200tph feeder breakers, Curragh North –1 x 2500tph roll crusher Secondary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): Curragh – 2 x 1200tph Rotary Breakers, Curragh North – 1 x 2500tph Roll crusher Tertiary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): Curragh –2x 1200tph roll crushers, Curragh North –1x 2500tph roll crusher Screening plant/equipment (type/manufacturer/ capacity/screen sizes): Curragh – 2 x 1200tph Primary and 2 x 1200tph secondary screens for ROM (raw) coal, Curragh North – 1x 2500tph Abon roller screen for feed to tertiary crusher Mineral liberation/recovery method: Dense media separation and fine coal flotation Mineral liberation plant/equipment (flotation tanks, etc – type/manufacturer/capacity): 4 x primary circuit 1m dia Krebs dense medium cyclones, 2 x secondary circuit 1m dia Krebs dense medium cyclones, 6 x Xstratatech Jameson flotation cells Mineral/fuel processing/recovery plant/equipment (tanks, thickeners, etc): 8 x Minco tech fine coal thickening cyclones, 4 x Minco-tech tailings thickening cyclones, 1 x Dorr Oliver 84m conventional tailings thickener, 1 x 25m Outokumpu high rate coal thickener, 6 x sturton gill magnetic separators Filtration plant/equipment (type/manufacturer/ capacity): 2 x Jord horizontal belt filters, 3 x Andritz (Humbolt) screenbowl centrifuges, 6 x Ludowici coarse coal centrifuges Process pumps (type/manufacturer/capacity): 6 x Krebs gravel pumps (dense medium cyclone feed pumps), 25+ Wier Warman centrifugal slurry pumps Chemicals/reagents used (type/supplier): Methyl isobutyl carbinol (DOW), Diesel (Caltex), flocculant (SNF Australia Pty), magnetite (Kara) Process control system (name/supplier): Honeywell Station (SCADA) 2002 Production information management tools/systems (type/supplier name): Matrikon (ProcessMore), Oracle, Coalflow Maintenance system (name/supplier): Oracle EAM (Enterprise Asset Management) Production manning/roster: 7 = 4 operators, 2 operator maintainers and 1 shift supervisor, equal time roster 12½hr shifts Maintenance manning/roster: Dayshift maintenance crew with 1 mechanical supervisor, 2 fitters, 1 boilermaker, 3 electricians, 1 lube service person, 1 utility service person, equal time roster, 12½ hr shifts. dayshift/ nightshift crew with 1 fitter, 1 boilermaker, 2 electricians,

equal time roster, 12½ hr shifts. 2 planners, 1 overland conveyor maintenance supervisor and 1 electrical supervisor work Mon – Fri

DAWSON

Location: 185km west of Gladstone, Qld Ownership: Anglo American Metallurgical Coal Pty Ltd (51%), Mitsui Coal Holdings Pty Ltd (49%) Site management: Anglo American Metallurgical Coal Pty Ltd Minerals/fuels recovered: Hard coking coal, semi-soft coking coal and thermal coal Nameplate capacity of plant: 15Mtpa Primary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): 3-stage crushing +1000/-350/-130/-50mm Screening plant/equipment (type/manufacturer/ capacity/screen sizes): 4.2m x 6.1m multi-slope desliming screens; 4.3m x 7.3m product drain and rinse screens; 3m x 6.1m reject drain and rinse screens Mineral liberation plant/equipment (flotation tanks, etc – type/manufacturer/capacity): Dual/single stage 1300mm dense medium cyclones; spirals; microcel froth flotation columns Mineral/fuel processing/recovery plant/equipment (tanks, thickeners, etc): High capacity tailings thickener 50m dia Filtration plant/equipment (type/manufacturer/ capacity): Horizontal belt filters (Jord) Process pumps (type/manufacturer/capacity): Centrifugal//various Chemicals/reagents used (type/supplier): Flotation (MIBC/Diesel) Fuchs; flocculant SNF Process control system (name/supplier): Citect Comments: Other features: 1 x raw coal stockpile – stacker/reclaimer, 2 x product stockpile – stacker/ reclaimer, 33km cable belt conveyor from south of mine at 1500tph (2400tph in central area), 5km convetional conveyor from north of mine at 2100tph, 5000tph train load-out

ENSHAM

Location: Emerald Qld Ownership: Ensham Resources Pty Ltd Site management: Ensham Resources Pty Ltd Minerals/fuels recovered: Thermal and soft coking coal Nameplate capacity of plant: 1200tph Crushing plant total capacity: 1200tph Primary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): Abon Secondary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): Abon Screening plant/equipment (type/manufacturer/ capacity/screen sizes): 3 x single deck screens Production information management tools/systems (type/supplier name): Citect Maintenance system (name/supplier): SAP Production manning/roster: 7on, 7off, 12hr shifts Maintenance manning/roster: 7on, 7off, 12hr shift roster.

GERMAN CREEK (CAPCOAL)

Location: Middlemount, Bowen Basin – Central Qld Ownership: Anglo American (70%), Mitsui (30%) Site management: Anglo American (Capcoal Management) P/L Minerals/fuels recovered: Metallurgical coal Nameplate capacity of plant: 1800tph Crushing plant total capacity: 2000tph Primary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): Rotary breakers. McNally/Metso. 1200tph/unit. 50mm Screening plant/equipment (type/manufacturer/ capacity/screen sizes): Raw coal. 2 x Metso Rippl-Flow. 6.1m x 2.4m. 1200tph. Process screens. Multi slope drain & rinse. Honert. 250tph/screen. 6.1m x 2.4m. 1mm aperture Mineral liberation/recovery method: Dense medium cyclone 50mm x1.4mm. Spirals 1.4mm x 0.250mm. Flotation 0.250mm Mineral liberation plant/equipment (flotation tanks, etc – type/manufacturer/capacity): DMCyc. 1m large dia inlet. Mining Components. Spirals. Ludowici triple starts. Flotation. Wemco Mineral/fuel processing/recovery plant/equipment (tanks, thickeners, etc): Coal thickener. 39m dia Dorr

MAY 2012 amm


Mineral Processing Plant Survey Oliver. Tailings thickener. 55m Environtech Filtration plant/equipment (type/manufacturer/ capacity): Envirotech 7m x 3m vacuum drum filters Process pumps (type/manufacturer/capacity): Centrifugal slurry/Warman/various sizes across plant Chemicals/reagents used (type/supplier): Thickener & filter flocculant/Nalco. Flotation reagents/Fuchs Process control system (name/supplier): Yokogawa DCS Production information management tools/systems (type/supplier name): Macroview/ASI Maintenance system (name/supplier): Ellipse – Mincom Production manning/roster: Continuous roster – 4on/4off 12hr shifts Maintenance manning/roster: Continuous roster – 4on/4off 12hr shifts

ISAAC PLAINS CHPP

Location: Isaac Plains Coal Mine Ownership: JV (50% Vale/50%Aquila Resources) Site management: Isaac Plains Coal Management Minerals/fuels recovered: Coal Nameplate capacity of plant: 500tph Crushing plant total capacity: 500tph Primary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): McLanahan Feeder Breaker Secondary crushing/grinding plant/machinery (type/manufacturer/capacity/feed & product size): McLanahan double rolls sizer Mineral liberation/recovery method: Dense medium separation, hindered settling, flotation Mineral liberation plant/equipment (flotation tanks, etc – type/manufacturer/capacity): Dense medium cyclones/Multotec/1450mm dia, dense medium cyclones/ Multotec/1000mm dia, teetered bed separator – Advanced Separation Engineering, Jameson flotation cells – J6000/20/Xstrata Technologies Mineral/fuel processing/recovery plant/equipment (tanks, thickeners, etc): Thickener – Eimco Filtration plant/equipment (type/manufacturer/ capacity): Phoenix 3m belt press filters Process pumps (type/manufacturer/capacity): Varied Warman/Metso Chemicals/reagents used (type/supplier): MIBC, Diesel, flocculant/Ciba Process control system (name/supplier): Allen Bradley PLC, Citect SCADA Production information management tools/systems (type/supplier name): In-house Maintenance system (name/supplier): Mex Production manning/roster: 7 on/7 off Maintenance manning/roster: Contract

KESTREL

Location: Lilyvale Road, approx 40km northeast of Emerald Ownership: Kestrel Coal JV (Queensland Coal Pty Ltd 80% & Mitsui Kestrel Coal Investment 20%) Site management: Rio Tinto Coal Australia Minerals/fuels recovered: High fluidity coking coal and thermal coal Nameplate capacity of plant: 1050tph (MDR) Primary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): ABON raw coal crusher, D95=125mm, 150mm top size at 2000tph Screening plant/equipment (type/manufacturer/ capacity/screen sizes): 5 Schenck multislope screens, 2 Tema screens and 15 Allis/Metso screens. Screen F/L Type: 1520GESCN01-2 (Tema); 1520GESCN04-12, 1520GESCN14-15, 1520GESCN17-18 (Allis/Metso); 1520GESCN19-20 (Schenck); 1520GESCN21-22 (Allis/ Metso); 1520GESCN23-25 (Schenck) Mineral liberation plant/equipment (flotation tanks, etc – type/manufacturer/capacity): Fine coal flotation using 2 Jameson cells and 2 banks comprising 8 Denver cells Mineral/fuel processing/recovery plant/equipment (tanks, thickeners, etc): 55m dia type ‘s’ Thickener Filtration plant/equipment (type/manufacturer/ capacity): 4.4m wide horizontal belt filter Process pumps (type/manufacturer/capacity): 44 Warman centrifugal pumps, 1 GravelMAX and 1 Grundfoss pump of various sizes. Pump F/L type model: 1520GEPPC01 Warman 150 DGP, 1520GEPPC02

amm MAY 2012

Warman 10/8 EEM, 1520GEPPC03 Warman 12/10 EM100, 1520GEPPC04 Warman 10/8 FFGH, 1520GEPPC05 Warman 10/8 EEM, 1520GEPPC06 Warman 6/4 RVTC, 1520GEPPC08 Warman 12/10 EEM, 1520GEPPC10 Warman 8/6EAH, 1520GEPPC11 Warman 6/4RVTC, 1520GEPPC13 Warman 10/8 EEM, 1520GEPPC14 Warman 150 DGP, 1520GEPPC15 Warman 12/10 FFAH, 1520GEPPC16 Warman 300FFL, 1520GEPPC17 Warman 10/8FFGH, 1520GEPPC18 Warman 12/10EEM, 1520GEPPC19 Warman 6/4 RVTC, 1520GEPPC21 Warman 12/10 EEM, 1520GEPPC23 Warman 8/6 EAH, 1520GEPPC24 Warman 6/4RVTC, 1520GEPPC25 Warman 300FFL, 1520GEPPC26 Warman 150 DGP, 1520GEPPC27 Warman 75 BGP, 1520GEPPC28 Warman 6/4 RVTC, 1520GEPPC29 Warman 6/4 RVTC, 1520GEPPC30 Warman 150 DGP, 1520GEPPC31 Warman 150 DGP, 1520GEPPC33 Warman 6/4 DAH, 1520GEPPC34 Warman 100 CGP, 1520GEPPC35 Warman 100 CGP, 1520GEPPC36 Warman 10/8 EEM, 1520GEPPC37 Warman 10/8 EEM, 1520GEPPC38 Warman 10/8 EEM, 1520GEPPC39 Warman 10/8 EEM, 1520GEPPC40 Warman QV65 VD GPS, 1520GEPPC46 Warman 10/8 ESCW, 1520HJPPC01 Warman 10/8 FFGHP, 1520HJPPC02 Warman 10/8 FFGHP, 1520HJPPC04 GravelMAX 10/8 – 27 MMC, 1520HJPPC05 Warman 10/8 FFGHP, 1520HJPPC06 Warman 10/8 FFGHP, 1520HJPPC14 Warman 6/4 RVTC, 1520JPPPC01 Warman 150DDGP, 1520JPPPC02 Warman 150DDGP, 1520JPPPC03 Warman 150DDGP, 1520JPPPC06 Warman 150DDGP, 1520JPPPC15 Grundfoss 96047497 Chemicals/reagents used (type/supplier): Diesel (collector), Nalflote-9840 (frother) and HITEX-82230 (flocculant) supplied by Nalco Process control system (name/supplier): Schneider Electric Production information management tools/systems (type/supplier name): Citect SCADA Maintenance system (name/supplier): SAP Production manning/roster: 7-day continuous operation with 4 different production crews doing 12-hour shifts Maintenance manning/roster: 4 days on/4 days off and 4days on/2 days off

MOORVALE

Location: 165km southwest of Mackay, Qld Ownership: Macarthur Coal 73.3%, Marubeni Coal 7%, Sojitz (formerlyNissho Iwai Corporation) 7%, Citic Australia Coal 7%, Kawasho Group3.7%, Nippon Steel Trading 2% Site management: Plant operated under contract by Sedgman Minerals/fuels recovered: PCI coal Nameplate capacity of plant: 3.3Mtpa Primary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): Crushing – 1 x Stamler feeder breaker reducing raw coal to <250mm; Abon secondary 6/160CC crusher; tertiary 6/250HSC sizing (50mm top size); LMPE vibrating feeder control discharge to prep plant Screening plant/equipment (type/manufacturer/ capacity/screen sizes): 1 x LMPE 3.6m x 6.1m multislope desliming banana screens (-50mm/+1.4mm to coarse coal; -1.4mm to fine coal circuit); 1 x LMPE 3.6m x 6.1m multi-slope partion product/reject banana screen (drain and rinse screen); 2 x Minco 2.4m x 2m vibrating sieve bends Mineral/fuel processing/recovery plant/equipment (tanks, thickeners, etc): 1 x Minco 1m-dia dense medium cyclone; 1 x Minco 1m-dia classifying cyclone 20 x Roche MT triplestart spiral concentrators; 2 x Minco 2.4m x 2m vibrating sieve bends; 1 x 5m Jameson flotation cell; 1 x Supaflo (Outokumpu) 18m-dia thickener Filtration plant/equipment (type/manufacturer/ capacity): 1 x Ludowici 1.5m-dia vibrating basket centrifuges; 1 x Ludowici vertical-basket fine-coal centrifuges; 1 x DMI 44 x 132 screen bowl centifuges Process pumps (type/manufacturer/capacity): Warman (various) Chemicals/reagents used (type/supplier): Orica MIBC, SNF flocculant; Unimin magnetite Process control system (name/supplier): Citect/Allen Bradley PLC control system Production information management tools/systems

(type/supplier name): APC Minetrak; Excel workbooks for plant contractors Maintenance system (name/supplier): MEX Production manning/roster: 1 plant manager/12 operators; 4 on/4 off roster; 2 x 12hrshifts/day Maintenance manning/roster: 1 maintenance manager, 1 maintenance supervisor; all maintenance subcontracted

MORANBAH NORTH COAL

Location: Moranbah Qld Ownership: Anglo American JV Minerals/fuels recovered: Coking coal Nameplate capacity of plant: 1500tph Primary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): 1 x Abon – twin drive twin roll primary sizer 7/300 CCTD, 6000tph max feed, reduces the raw coal to <250mm Secondary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): 1 x Svedala – 3.2m dia by 5.5m rotary breaker, reduces the raw coal to <150mm Tertiary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): 4 x 4, 4 x Abon 49/130 CC double roll crusher, (2 x product crusher – 81tph ea and 2 x rejects crusher – 44tph ea) reduces product and reject to <50mm Screening plant/equipment (type/manufacturer/ capacity/screen sizes): 1 x Honert BRU vibrating multi-slope scalping screen, Honert Vibrationtech/ Malco (6000tph max) 3056mm by 6519mm with 150mm apertures; 2 x Honert BRU vibrating multi-slope raw coal screen, Honert Vibrationtech/Malco (750tph max ea) 3056mm by 6519mm with 12mm apertures; 2 x Honert BRU vibrating DMB product drain and rinse (double deck) screens, Honert Vibrationtech/Malco (257tph ea) 3056mm by 6100mm with 38mm top and 2mm bottom screen apertures; 2 x Honert BRU vibrating flat deck DMB reject drain and rinse screens, Honert Vibrationtech/Malco (104tph max ea) 1840mm by 4880mm with 2mm apertures; 4 x Honert BRU vibrating DMC product drain and rinse multi-slope screens, Honert Vibrationtech/Malco (328tph max ea) 3666mm by 6550mm with 0.5mm screen apertures; 2 x Honert BRU vibrating multi-slope DMC reject drain and rinse screens, Honert Vibrationtech/Malco (110tph max ea), 2446mm by 5357mm with 0.5mm apertures; 4 x Honert BRU vibrating desliming multi-slope screens (229tph ea) 3666mm by 6550mm with 0.5mm apertures Mineral liberation/recovery method: Dense medium bath circuit, dense medium cyclone circuit, flotation and filtration circuit, dilute medium circuit and dewatering circuit Mineral liberation plant/equipment (flotation tanks, etc – type/manufacturer/capacity): 2 x dense medium baths – 3m rotary teska separator, Humboldt Wedag (302tph ea); 2 x dense medium cyclones – 1m Minco cyclones (160tpa ea); 6 x flotation cells – Jameson cells 5000/10, MIM (54tph ea); 2 x primary magnetic separators – 1.2m dia by 3m magnetic separators, Eriez (465cu.m/h ea); 2 x secondary magnetic separators – 1200mm dia by 2100mm magnetic separators, Eriez (265cu.m/h ea) Mineral/fuel processing/recovery plant/equipment (tanks, thickeners, etc): Thickener – 35m dia Supaflo thickener (58tpa output) Filtration plant/equipment (type/manufacturer/ capacity): 3 x horizontal vacuum filters – 122sq.m horizontal vacuum filters 42B/10-30V, Delkor (75tph ea); 6 x centrifuges – vibrating horizontal screen centrifuges BH VM 1400, CMI (125 – 173tph ea) Process pumps (type/manufacturer/capacity): Warman (various) Chemicals/reagents used (type/supplier): Collector reagent – diesel; frother reagent – MIBC; flocculant – anionic flocculant AP435 (acrylate – acrylamide copolymer); magnetite Process control system (name/supplier): Yokogawa DCS Production information management tools/systems (type/supplier name): Ellipse Maintenance system (name/supplier): MIMS Ellipse and Coal Track Production manning/roster: Structure based on Plant manager, maintenance co-ordinator, electrical supervisor, plant metallurgist; 13 plant operators 4/4 (2 days, 2 nights

89


Mineral Processing Plant Survey – 12 hr shifts) continuous shift system/four crews Maintenance manning/roster: Maintenance coordinator, sub-contracted maintenance

NEWLANDS

Location: 130km west of Mackay, Qld Ownership: Xstrata 55%, Itochu Corporation 35%, Sumitomo 10% Site management: Lindsay Richardson, GM Minerals/fuels recovered: Thermal coal, coking coal Nameplate capacity of plant: 9.5Mt (feed) Primary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): Crushing – Stamler feeder breaker 1100tph -250mm x 2 Secondary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): Abon centre sizer 100mm single stage rolls crusher x 2 Tertiary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): Abon side sizer 50mm single stage rolls crusher x 2 Screening plant/equipment (type/manufacturer/ capacity/screen sizes): Svedala low head screens. Single deck type – 2.4m x 4.8m/1.5mm deck. Double deck – 3m x 6.1m/25mm & 0.75mm decks Mineral liberation/recovery method: Humboldt Wedag 600tph Batac jigs x 2 (-50mm-1.4mm), spirals MID (LD7) triple start (-1.4- .125mm), Jameson cells (-0.125mm) Mineral/fuel processing/recovery plant/equipment (tanks, thickeners, etc): Jord thickeners 30m dia x 2 Filtration plant/equipment (type/manufacturer/ capacity): Jord belt filter x 2104sq.m 70tph. Large coal: 4 x Ludowici FC1400 dewatering centrifuges (-50-1.4mm). Small coal: 3 x Ludowici FC1200 (-1.4 – 0.125mm) Process pumps (type/manufacturer/capacity): Warman (various) Chemicals/reagents used (type/supplier): MIBC, diesel, anionic flocculants (product) thickener, cationic flocculants (tailings) thickener Process control system (name/supplier): Elsag Bailey/Citect Production information management tools/systems (type/supplier name): PC-based on Pulse Maintenance system (name/supplier): Pulse Production manning/roster: 5 operators; 4 on/off rotational shift D/N 12hrs Maintenance manning/roster: Mon-Fri day shift 10hrs

Site management: Xstrata Coal Qld Minerals/fuels recovered: Coking coal Nameplate capacity of plant: 2000tph Primary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): Rotary breaker/ product size <50mm Screening plant/equipment (type/manufacturer/ capacity/screen sizes): Schenck, Metso, Ludowici/ 2000tph/variety Mineral liberation/recovery method: Size separation, density, flotation Mineral liberation plant/equipment (flotation tanks, etc – type/manufacturer/capacity): Cyclones (dense medium cyclone, classifying cyclones), spirals, Jameson cells/Mincotech, Downer – Mineral Technologies, Xstratatech Filtration plant/equipment (type/manufacturer/ capacity): Horizontal belt filter, centrifuges Process pumps (type/manufacturer/capacity): Warman/ variety Chemicals/reagents used (type/supplier): MIBC, diesel, flocculant/Dow, Shell, Ciba Process control system (name/supplier): DCS/Yokogawa Production information management tools/systems (type/supplier name): Exaquantum/Yokogawa Maintenance system (name/supplier): Pulse Production manning/roster: 4 x 9-man crews/5 x 4 Maintenance manning/roster: 2 x 5 crews/5 x 4

SARAJI

Location: 180km west of Mackay, Bowen Basin, Qld Ownership: Peabody Energy Australia Pty Ltd Minerals/fuels recovered: Coking Coal Throughput rate (2010-11): 660tph Forecast throughput rate (2011-12): 680tph Nameplate capacity of plant: 650tph Crushing plant total capacity: 1200tph Primary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): Bradford rotary breaker, 50mm topsize Screening plant/equipment (type/manufacturer/ capacity/screen sizes): Malco screens Mineral liberation/recovery method: Dense medium cyclones, spirals, flotation Mineral liberation plant/equipment (flotation tanks, etc – type/manufacturer/capacity): Minco100mm dense medium cyclones, LD4 spirals, Jameson flotation machines x 2 Filtration plant/equipment (type/manufacturer/ capacity): Delcor horizontal belt vacuum filters 100sq.m Process pumps (type/manufacturer/capacity): Warman Chemicals/reagents used (type/supplier): Nalco flotation reagent, diesel Process control system (name/supplier): Allen Bradley Production information management tools/systems (type/supplier name): Citect Maintenance system (name/supplier): In-house, SAP Production manning/roster: 4 days on/5 days off, 5 days on/4 days off 12hr shifts Maintenance manning/roster: 4 days on/3days off, Monday to Friday 12hr shifts

Location: 125km north of Emerald, Qld Ownership: BHP Billiton 50%, Mitsubishi Development 50% Minerals/fuels recovered: Coking coal Nameplate capacity of plant: 8Mtpa Crushing plant total capacity: 14Mtpa Primary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): Abon primary sizer (centre sizer). Nominal top-size 1m, output size nominal 300mm Secondary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): Abon secondary sizer (centre sizer). Nominal top-size 300mm, output size nominal 150mm Tertiary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): Abon tertiary sizer (side-sizer). Nominal top-size 150mm, output size nominal 50mm Grinding plant equipment: Dual 500t hoppers, 2 x Stamler dual-flight chain feeders Screening plant/equipment (type/manufacturer/ capacity/screen sizes): Sandvik rollerscreen – nominal 50mm Mineral liberation/recovery method: Flotation, gravity – dense medium, gravity – spirals Mineral liberation plant/equipment (flotation tanks, etc – type/manufacturer/capacity): 8 x Microcels, 60 x Roche LD7 triple start spirals, 6 x Minco high capacity 1m DMC Mineral/fuel processing/recovery plant/equipment (tanks, thickeners, etc): 6 x Sturton Gill magnetic separators, 1 x 35m dia Outokumpu tailings thickener, 1 x 32m Outokumpu retrofitted concentrate thickener Filtration plant/equipment (type/manufacturer/ capacity): 1 x Eimco 4.2m-wide x 31.4m-long (103sq.m filtration area) horizontal belt vacuum filter, 2 x BOKELA retrofitted disc filters Process pumps (type/manufacturer/capacity): Warman (various sizes) Chemicals/reagents used (type/supplier): MIBC, anionic flocculant, diesel, magnetite Process control system (name/supplier): Citect Production information management tools/systems (type/supplier name): GSAP Maintenance system (name/supplier): GSAP Production manning/roster: 34; 4 x 7 panel roster/12hr shifts Maintenance manning/roster: Contract

OAKY CREEK

SOUTH WALKER CREEK

NORTH GOONYELLA

Location: Queensland Ownership: Xstrata Coal Qld 55%, Sumisho Coal Australia 25%, Itochu Coal Resources Australia 10%, ICRA OC 10%

90

Location: 20km west of Nebo, Qld Ownership: BHP Mitsui Coal Pty Ltd Site management: BMA Coal Operations Pty Ltd Minerals/fuels recovered: PCI & thermal coal

Nameplate capacity of plant: 800tph Primary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): Crushing – Abon chain feeder/primary sizer, with sizing of minus 300mm Secondary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): Dual roll sizers, Schumar, 800tph, < 50 mm Screening plant/equipment (type/manufacturer/ capacity/screen sizes): Banana screens, Schenck (feed – 800tph) & Ludowici (product – 600tph, reject – 400tph) Mineral liberation/recovery method: Dense medium cyclone & spirals Mineral liberation plant/equipment (flotation tanks, etc – type/manufacturer/capacity): DMC – 1200 cyclone Ludowici, spirals combination of mineral deposits, and Ludowici. Mineral/fuel processing/recovery plant/equipment (tanks, thickeners, etc): 2 thickeners Filtration plant/equipment (type/manufacturer/ capacity): Ludowici Process pumps (type/manufacturer/capacity): Warman pumps Chemicals/reagents used (type/supplier): SNF flocculant & coagulant Process control system (name/supplier): Allen Bradley PLC 5, & Honeywell Plantscape Production information management tools/systems (type/supplier name): Thiess Pty Ltd Maintenance system (name/supplier): MEX Maintenance Systems Production manning/roster: 4 on/4 off – 7 day roster Maintenance manning/roster: Subcontract

YARRABEE

Location: 40km north-northeast of Blackwater, Qld Ownership: Yancoal Australia Site management: Yarrabee Coal Company Pty Ltd Minerals/fuels recovered: Coal Nameplate capacity of plant: 1.8-2Mtpa Primary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): Crushing – mobile crusher, McLanahan triple roll, 800tph, -50mm Production manning/roster: 6 day roster, 11 x 12.5 hr shifts a week Maintenance manning/roster: 7 day roster, 14 x 12.5 hr shifts a week

CENTRAL QUEENSLAND CRACOW GOLD MINE

Location: Theodore Road, Cracow, Queensland 4719 Ownership: Evolution Mining Site management: Simon Jessop – GM Operations Minerals/fuels recovered: Gold/Silver Throughput rate (2010-11): 59tph Forecast throughput rate (2011-12): 62tph Nameplate capacity of plant: 550,000tpa Crushing plant total capacity: 120tph Primary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): Jaques jaw, 200tph, 750mm, 90mm Secondary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): 4 1/4 Symons cone, 100tph, 100mm, 15mm Tertiary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): Raptor XL 300P, 50tph, 20mm, 8mm Grinding plant equipment: ML01 :4m x 5.9m Morgardshammar OFBM, 1400kw. ML02: 2.9 x 4.3 Morgardshammar OFBM Grinding media: 27mm to 64mm grinding balls Screening plant/equipment (type/manufacturer/ capacity/screen sizes): Jaques Torrens double deck screen, top deck passing 24 mm, bottom deck passing 9.5mm Mineral liberation/recovery method: Cyanide leach followed by CIP adsorption Mineral/fuel processing/recovery plant/equipment (tanks, thickeners, etc): Denver 14m dia pre-leach thickener, 3 Leach Tanks ea 540cu.m, 6 adsorption tanks ea 155cu.m Cyclone Feed pumps (type/manufacturer/capacity): Krebs Millmax 8” x 6” Chemicals/reagents used (type/supplier): Sodium

MAY 2012 amm


Mineral Processing Plant Survey cyanide, hydrochloric acid, sulphuric acid, sodium hydroxide, – Orica; hydrogen peroxide – Solvay Interox; Hydrated Lime – Unimin Refining plant/equipment (type/manufacturer/capacity): Pressure Zadra carbon stripping circuit, 3.5t capacity – Como Engineering; electrowinning on steel wool Process control system (name/supplier): Allen Bradley PLC Maintenance system (name/supplier): Pronto Production manning/roster: 4 crews of 4 operators plus supervisor, 12hr shifts, working 8 on, 6 off day shift and 7 on, 7 off night shift Maintenance manning/roster: 2 crews of 3 technicians plus supervisor, working 12hr days, 8 on 6 off

KUNWARARA

Location: 70km northwest of Rockhampton, Qld Ownership: Queensland Magnesia Pty Ltd Site management: Queensland Magnesia Pty Ltd Minerals/fuels recovered: Magnesite Nameplate capacity of plant: KG1 – 3Mtpa, KG2 – 3.5Mtpa Primary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): Crushing – KG1 – Kemco, single toggle, 40” x 48”, 65-1000mm feed; kg2 – no primary crusher Secondary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): KG1 – Symonds 4.25’, 150-200tph standard head; KG2 – no secondary crusher Tertiary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): KG1 – 63mm feed size; El-Jay 54”, 150tph fine head; Nordberg HP200 130tph med.head; KG2 – no tertiary crusher Screening plant/equipment (type/manufacturer/ capacity/screen sizes): KG1: Allis Chalmers 24’ x 8’, 650tph double deck primary; Allis Chalmers 24’ x 8’, 400tph triple deck secondary; Allis Chalmers 20’ x 10’, 200tph single deck ferro wash tertiary; Allis Chalmers 20’ x 6’, 200tph double deck ore sorter product tertiary; Allis Chalmers 20’ x 6’, 200tph double deck final product tertiary, Allis Chalmers 4.8 1.8m SD low head 200tph, Allis Chalmers 4.8 x 2.4m SD low head 180tph, Metso 4.8 x 1.8m DD low head 180tph KG2: Metso 6.1 x 2.4m DD low head 750tph Mineral liberation/recovery method: Screening to remove sand and clay ore matrix, scrubbing by Logwasher to remove clays and slimes, followed by crushing and screening Mineral/fuel processing/recovery plant/equipment (tanks, thickeners, etc): Heavy media drum, heavy media cyclones, optical ore sorters Process pumps (type/manufacturer/capacity): 5 x Warman 6/4,1 x Warman 10/8, 1 x Warman 8/6, 7 x Warman 12/10, 3 x Ash ME 10, 3 x Gallagher 6” Chemicals/reagents used (type/supplier): FerroSilicon 150D, magnetite superfine Process control system (name/supplier): Citect Production information management tools/systems (type/supplier name): Today Information Management System Maintenance system (name/supplier): As above Production manning/roster: 5 shift crews; 2 x 12hr shifts/day + travel Maintenance manning/roster: Mon-Thurs, 7am-5pm + travel

NORTH QUEENSLAND BLACK JACK GOLD PROCESSING PLANT

Location: Gregory developmental Road (Clermont Highway) 5km southwest of Charters Towers, Qld Ownership: Citigold Corporation Ltd Site management: Terry Fisher – site senior executive, Harry Dinkgreve – mill superintendent Minerals/fuels recovered: Gold Nameplate capacity of plant: 340,000tpa Crushing plant total capacity: The crushing and screening plant and associated conveyors have a nominal capacity of 150tph Primary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): KUE KEN 120 single toggle jaw crusher, 42in width x 30in gape, with 75kW drive. Product 80% -50mm Secondary crushing/grinding plant/machinery (type/

amm MAY 2012

manufacturer/capacity/feed & product size): Cederapids El-Jay Rollercone 54in cone crusher, (standard head), 132kW. Product 80% 10-12mm Grinding plant equipment: Allis Chalmers 3m dia x 4m (10ft x 13ft) overflow ball mill, rubber lined, 600kW. 340,000 tpa. Product 80% minus 106 micron. Average feed work index of 15kWh/t. Three Warman Caven 230 VCX10 cyclones operated with two duty, one standby, producing an overflow with 42% w/w solids 80% < 106 microns. Grinding media: Chrome-moly steel balls Screening plant/equipment (type/manufacturer/ capacity/screen sizes): Two trash screens are installed, one duty and one standby. Single deck 1200mm x 3000mm vibrating Malco screen with 800 micron aperture Recycle crusher: Regrind through ball mill Recrush crushing/grinding equipment(type/ manufacturer/capacity/feed & product size): As above for grinding circuit Mineral liberation/recovery method: Carbon-in-pulp cyanidation. The significant factors in the process design were grind size and separation of gravity recoverable gold. The plant operates at a relatively coarse grind of 80% + 106 micron and a gravity circuit is included with recovery anticipated to be 60% of the total gold in the plant feed. The concentrate produced by the gravity circuit is smelted to gold bullion. Recoveries >95%. Mineral liberation plant/equipment (flotation tanks, etc – type/manufacturer/capacity): Electroplate gold onto steel wool, acid cleanup. Gravity circuit processes 30% of tonnage through 20in Knelson concentrator with capacity for 14tph solids and a Gemini Table is installed about the gold room. The centrifugal action (up to 60G) of the Knelson separates dense minerals from the feed. A heavy concentrate with an average of SG of 10 is produced and can contain up to 400g Au/50kg concentrate. Up to 50kg of concentrate can be withdrawn from the Knelson by flushing with water every 2hrs Mineral/fuel processing/recovery plant/equipment (tanks, thickeners, etc): Six draft tube leach/adsorption tanks each 6m dia x 11m high, total volume of 310cu.m and working volume 280cu.m. Agitators have been designed specifically for the draft tubes. Each has a Lightnin gearbox with an 18.5kW drive. The carbon regeneration kiln was manufactured by Combustion Air and is rated at 250kg/h carbon throughput. Heating is supplied by a gas fired burner rated at 150,000-300,000 kcal/h (174-349kW). Process pumps (type/manufacturer/capacity): Warman 6/4 AH slurry pumps with 75kW motor. Pumps are fixed speed. The design pumping duty to the cyclones is 130cu.m/h at 25m head and 60% w/w solids. Fixed speed Warman 4/3 AH, 22kW, Recessed impeller Warman sump pumps (2/2 QV TC, 4kW) are installed in each CIL leach tank for carbon transfer between successive tanks and the carbon recovery screen, transfer 40cu.m/h of slurry. Chemicals/reagents used (type/supplier): Cyanide, caustic soda, lime, hydrochloric acid, activated carbon. Refining plant/equipment (type/manufacturer/ capacity): The Zadra process elution circuit is designed for a head grade to CIL of 5g Au/tonne at 95% recovery yielding 4.7kg/day of gold. The process has been designed for one strip per day, the quantity of carbon is nominally 2t per batch. Two heat exchangers are used in the circuit. The heating unit is a horizontal vessel, 350mm dia with electric heating elements rated at 400kW, manufactured by email. The strip solution is pumped through the shell. The second is a plate heat exchanger (Alpha Laval M10B) which cools solution before it goes to the E/W cells and preheats the feed to the electric heater. The elution column was manufactured by Alloy Tech. The electrowinning circuit has been designed to plate 5kg of gold and 5kg of silver over a 10hr period. This corresponds to one batch of loaded carbon.The gold room has three electrowinning cells, two duty, one standby. Each has 9 cathodes, 600mm x 600mm. There are two rectifiers rated for 800 amps at 10 volts. Usual cell operating parameters are 3.5V and 60-80 amps. The gold furnace has capacity to smelt approx 12kg of loaded steelwool cathodes, removed from the cells daily, and 8kg of table concentrates per day. The furnace was manufactured by Combustion and Chemical Engineering

and is gas fired automatic tiling furnace (model CCE173). Furnace capacity is 115kg (brass at 1150C in 100 mins) and burner rating is 184kW. The crucible model is TPC173, made of silicon carbide. Bullion moulds are either cast iron or Carbion (carbon-graphite) Process control system (name/supplier): Crushing circuit is controlled by PLC which provides sequenced start-up and shutdown. Primary and secondary crusher current is monitored. A weightometer measure screen product to the fine ore bin. The mill and leach plant operate with manual controls and appropriate instrumentation. Mill feed rate is controlled by variable speed belt feeder. A weightometer provides indication of feed rate. Mill power is measured. A flow meter measures cyclone overflow volume to leach. A variable speed screw conveyor controls the lime addition rate. A magnetic flow meter measures cyanide flow to CIL tanks and mill. Cyanide concentration, pH, slurry density and carbon count are monitored by the operator at the CIL tanks. The elution circuit is essentially manually controlled. Carbon Regeneration Kiln is a package unit and has automatic burner control and sequencing Production information management tools/systems (type/supplier name): Pronto Maintenance system (name/supplier): Pronto Production manning/roster: 2 x 10hr shifts, Mon-Sat Maintenance manning/roster: 2 x 10hr shifts, 7 days Comments: Power to the plant is supplied from the Queensland state grid at 66kW. It is transformed on the site to 11kW by a 5 MVA transformer owned by Citigold and is metered at 11kV. The total plant in operation requires about 2MVA.

CANNINGTON

Location: 300km southeast of Mt Isa, Queensland Ownership: BHP Billiton Site management: BHP Billiton Minerals/fuels recovered: Silver, lead, zinc Nameplate capacity of plant: Designed to treat 2.8Mtpa of ore (current circuit configuration) Crushing plant total capacity: Underground – 2.5Mt; surface (contractor) – 1.8Mt Primary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): 1x Svedala 28’ fully autogenous mill in closed circuit with Warman CVX400 hydrocyclones. New feed p80 ~130-150mm, cyclone O/F p80 ~200-220µm Secondary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): 1x Metso VTM1500 tower mill in closed circuit with Warman CVX250 hydrocyclones. Transfer from AG mill p80 ~200220µm, cyclone O/F p80 ~120-130µm Grinding plant equipment: As above Grinding media: Secondary grinding mill – Magotteaux 20mm 18% Cr. Lead flotation regrind mills – Magotteaux 15mm 1% Cr. Zinc flotation regrind mills – Magotteaux 15mm 18% Cr Recycle crusher: 1x Metso HP300 cone crusher Recrush crushing/grinding equipment(type/ manufacturer/capacity/feed & product size): Pb flotation circuit – 2x Metso VTM800 tower mills in closed circuit with Krebs U6 hydrocyclones, product p80 of ~20µm, Zn flotation circuit – 1x Metso VTM800 tower mill in closed circuit with Krebs U6 hydrocyclones, product p80 of ~20µm Mineral liberation/recovery method: Comminution, flotation, leaching and dewatering Mineral liberation plant/equipment (flotation tanks, etc – type/manufacturer/capacity): Split flotation circuit – 3x Outokumpu TC100, 4 x Outokumpu TC40, 4x Outoukmpu OK16 – total capacity 364cu.m (roughing) and 160cu.m (cleaning), lead flotation circuit – 11 x Outokumpu OK38, 22x Outokumpu OK16 – total capacity of 418cu.m (roughing) and 352cu.m (cleaning). Zinc flotation circuit – 22x Outokumpu OK38 – total capacity 418cu.m (roughing) and 418cu.m (cleaning) Mineral/fuel processing/recovery plant/equipment (tanks, thickeners, etc): Lead concentrate thickener – Outokumpu Supaflo 20m dia high rate thickener; Zinc concentrate thickener – Outokumpu Supaflo 15m dia high rate thickener. Tails thickener – Outokumpu Supaflo 30m dia high rate thickener. Lead leach circuit – 2 x 400cu.m tanks;

91


Mineral Processing Plant Survey zinc leach circuit – 2 x 200cu.m tanks Filtration plant/equipment (type/manufacturer/ capacity): Industrial Process Machinery Lasta MC-G (120 chambers), Zinc concentrate filter – Industrial Process machinery Lasta MC-Advantage (60 chambers) Process pumps (type/manufacturer/capacity): Warman slurry pumps (various sizes and configurations) Chemicals/reagents used (type/supplier): Frother – MIBC (Dow); collectors – aerophine 3418A (Cytec), sodium ethyl xanthate (Sinoz); depressants – zinc sulphate (Sinoz), sodium meta bisulphite (Sinoz); activators – copper sulphate (via cupric oxide, Coogee Chemicals); flocculant – Rheomax 1040 (Ciba); pH modifier – lime (Cement Australia); leaching – aluminium sulphate (via hydrated alumina, Gove Resources) Process control system (name/supplier): Allen Bradley PLC with Citect SCADA Production information management tools/systems (type/supplier name): Citect Ampla downtime tracking; Honeywell PHD historian Maintenance system (name/supplier): GSAP Production manning/roster: Operators – 7 days on 7 days off FIFO; Supervisory/professional – 8 days on 6 days off FIFO Maintenance manning/roster: Tradesmen – 7 days on 7 days off FIFO; Supervisory/professional – 8 days on 6 days off FIFO

ERNEST HENRY

Location: 38km northeast of Cloncurry, Qld Ownership: Xstrata Site management: Matt Magee, concentrator manager; Matt Peatey, metallurgical superintendent; Percy Scobie, mechanical maintenance superintendent; Peter Johnson, site electrical superintendent; Peter Barry, operations superintendent; Simeon Malesa, senior reliability engineer Minerals/fuels recovered: Copper, gold, magnetite Nameplate capacity of plant: 9Mtpa Crushing plant total capacity: 11.43Mt (2008) Primary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): 1 x Svedala gyratory crusher (60” x 89”/dry feed rate 2500-3800tph) direct fed from ROM ore (top size 1.2m). Product size P80: 170 -200 mm. 1 x Krupp SAG mill (10.4m-dia x 5.1m long/11MW installed power). Feed rate 900-1600tph depending on ore hardness; feed size F80 200-210 mm; transfer size T80 670um-780um; feed density 65-70% solids on primary ore. Ball size 140mm; ball volumetric loading 11-13% of charge; charge % – operating 22-25% of mill volume. Grates: 32 x GA 22mm slotted grates. Shell liners: high/low configuration with replaceable lifters and liner plates. 32 lows, 32 highs, 64 shell liners. Secondary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): Grinding – 1 x Krupp ball mill (6.1m-dia x 8.4m long/5.5MW installed power recirculating load of 300-650% of incoming plant feed. Feed size: F80 800-930um. Product size: P80 770-860um. Ball size: 65mm. Ball volumetric loading: 31-33% Tertiary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): 1 x Svedala Vertimill (1MW installed power). Feed size: F80 140180um. Product size: P80 40 – 65um Grinding plant equipment: SAG mill, ball mill, Vertimill, 4 x Krebs DS33 cyclones, 4x 800mm Cavex Warman cyclones, 2 x Warman 550MCH Cyclone feed pumps Grinding media: SAG mill – 140mm forged steel balls. ball mill – 65mm high chrome steel balls regrind mill – 15mm high chrome steel balls Screening plant/equipment (type/manufacturer/ capacity/screen sizes): 1 x Malco 3.6m x 7.3m vibratory SAG mill discharge screen; 210-250tph nominal operating capacity; screen aperture 7 x 25mm Mineral liberation/recovery method: For copper and gold: Conventional flotation. Concentrate trucked to Mount Isa for smelting For magnetite: Magnetic separation. Concentrate trucked to Cloncurry prior to railing to Townsville for export Mineral liberation plant/equipment (flotation tanks, etc – type/manufacturer/capacity): For the copper extraction plant: 9 x Wemco SmartCell 127cu.m flotation units (Global 4500 series cells) as roughers; 8

92

x Outokumpu OK50 50cu.m flotation cells (first stage cleaners); 8 x Outokumpu OK16 16cu.m flotation cells (second stage cleaners); 5 x Outokumpu OK16 16cu.m flotation cells (final stage cleaners). For the magnetite extraction plant: 8 x rougher magnetic separators (1220x3660W BTB config, direct drive, single drum); 3 x cleaner/finisher magnetic separators (1220x3050W, triple drum, direct drive) Mineral/fuel processing/recovery plant/equipment (tanks, thickeners, etc): 1 x 55m dia Eimco thickener (external traction drive); 1 x 25m dia Eimco concentrate Filtration plant/equipment (type/manufacturer/ capacity): For the copper extraction plant: 1 x Larox PF144 (144sq.m filter area), 24-plate pressure filter. Capacity: ~13t/drop, 50-70 drops/shift. Cycle times: 9-11 minutes depending on cake thickness. Concentrate moisture: 7.5-8.5% (avg. 8%). For the magnetite extraction plant: 2 x magnetic filter dewatering mag separators (1220x1830W, TF, direct drive); 2 x Larox CC-60 disk filters Process pumps (type/manufacturer/capacity): For the copper extraction plant: Warman 550 MCH cyclone feed pump; Warman 14/12 F-AH rougher concentrate pump; Warman 12/10 F-M Vertimill cyclone overflow pump; Warman 12/10 F-M cleaner 1 concentrate pump; Warman 10/8 E-M cleaner 2 concentrate pump; Warman 8/6 E-M cleaner 3 concentrate pump; Warman 500ST-L flotation tails pumps; Warman 10/8 E-M tailings underflow pumps; Warman 12/10 FF-AM tailings disposal pumps; Warman 4/3 DAH concentrate underflow pump; Warman 12/10 FF-AH filter feed pump; Grundfos CRN 8-30 SIBX distribution and OTX-140. For the magnetite extraction plant: Warman 400 ST-L rougher feed pump; Warman 10/8 F-AH magnetite cyclone feed pump; Warman 6/4 D-AH magnetite filter feed pump; Warman 4/3 C-AD magnetite dewatering effeluent sump pump; 2x Warman 6/4 D-AH concentrate transfer pump and filter by-pass pump Chemicals/reagents used (type/supplier): For copper extraction: SIBX/PAX collectors; Huntsman W34 frother; lime CaO or quicklime pH modifier. For magnetite extraction: Oxalic acid Process control system (name/supplier): Yokogowa DCS; Weir Envirotech Pyramid grinding control system; Amdel MSA system, Spilt Online System, Metso SmartSAG Production information management tools/systems (type/supplier name): OIS (Operations Information System); PI (Process Information datalogging system). Maintenance system (name/supplier): Ellipse Production manning/roster: 2 superintendents (operations and metallurgical); ~40 technicians inc. supervisors (8/6 roster, 4 crews), 3 plant metallurgists (8/6 roster), 3 project metallurgists (8/6 roster), 1 graduate metallurgists (8/6 roster) Maintenance manning/roster: 3 superintendents (mechanical, electrical, reliability). Mechanical – ~20 technicians inc. supervisors; two crews; 8/6 roster. Electrical/instrumental – 17 technicians inc. supervisors; 8/6 roster. Two maintenance planners (8/6 roster), shutdown planner (5/2, 4/3). Reliability team x 3 (8/6 roster)

MMG CENTURY

Location: 250km north of Mount Isa, Qld Ownership: Minerals and Metals Group (MMG) Site management: Karl Spaleck, GM; Jason Whittle, deputy GM Minerals/fuels recovered: Zinc, lead, silver Nameplate capacity of plant: 5Mtpa Primary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): MMD 750kW, 1500tph sizer. FFE 12MW 10.97m-dia x 4.92m-long SAG mill; 95mm feed, 0.5mm product. FFE 6.7MW 6.1m-dia x 9.76m-long ball mill. Metso 8.1MW 6.6M-dia x 9.65m-long ball mill. Warman Cavex 250mm and 400mm cyclones; cyclone overflow 55-75μm Secondary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): 6 x Svedala ECC 355kW stirred media detritor, Warman Cavex 150mm cyclones, product size 20-30 um Tertiary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): 15 x Svedala ECC 355KW stirred media detritor, Mozley 2”

cyclones, product size ~6um Grinding media: Steel balls (105mm, 65mm, 50mm), sand Mineral liberation/recovery method: Crushing, grinding, conventional flotation, ultrafine grinding Mineral liberation plant/equipment (flotation tanks, etc – type/manufacturer/capacity): 73 x Outokumpu 100cu.m tank cells, 1 Outokumpu 200cu.m tank cell, 5 Outokumpu 50cu.m tank cells, 1 x Jameson cell (22 downcomers) Mineral/fuel processing/recovery plant/equipment (tanks, thickeners, etc): Eimco thickeners Filtration plant/equipment (type/manufacturer/ capacity): Ishigaki recessed-plate/5 filters approx 35tph max. per filter Process pumps (type/manufacturer/capacity): Warman Chemicals/reagents used (type/supplier): Lime, caustic soda, cyanide, SIPX, copper sulphate, dextrin, MIBC, W22, floc Process control system (name/supplier): Foxboro Production information management tools/systems (type/supplier name): OSI – PI Maintenance system (name/supplier): SAP Production manning/roster: 8/6; 12hrs Maintenance manning/roster: 8/6; 12hrs

MOUNT GARNET OPERATION

Location: North Queensland Ownership: Kagara Ltd Site management: J Banning regional manager & SSE. A Taylor – concentrator manager Minerals/fuels recovered: Zinc, lead, copper (in concentrate) Throughput rate (2010-11): 55dmtph polymet plant, 58dmtph copper plant Forecast throughput rate (2011-12): 62dmtph both plants Nameplate capacity of plant: Originally designed to produce 89,000t of concentrate but exceeded this due to two upgrades completed in September 2004 and in May 2005. A copper circuit with an output capacity of 30,000tpa of concentrate was commissioned in March 2006 to process the remaining high-grade supergene ore from Balcooma. An upgrade completed in October 2009 increased copper concentrate output production Primary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): Single toggle/Jaques/250tph/-900mm feed, -100mm product Grinding plant equipment: Polymet plant – SAG mill followed by secondary ball mill. Primary copper plant – stage ball milling Grinding media: Forged Steel Balls, Polymet plant SAG 125mm, ball mill 50 mm. Copper plant mills 80mm (primary) and 50mm balls (secondary) Mineral liberation/recovery method: Crushing, grinding, flotation Mineral liberation plant/equipment (flotation tanks, etc – type/manufacturer/capacity): Polymet plant – Outokumpu OK16, OK3 and OK1.5; Cu plant – Bateman 8cu.m, Outokumpu 1.5cu.m Mineral/fuel processing/recovery plant/equipment (tanks, thickeners, etc): High rate thickeners Filtration plant/equipment (type/manufacturer/ capacity): Polymet plant – Larox pressure filter. Copper primary plant – Outotech Ceramec CC15 disc filter Process pumps (type/manufacturer/capacity): Primarily Warman horizontal pumps Chemicals/reagents used (type/supplier): Numerous flotation chemicals supplied by Orica Chemicals Process control system (name/supplier): Yokogawa Maintenance system (name/supplier): Pronto Production manning/roster: 4-4 roster cycle Maintenance manning/roster: 4-4 day shift roster cycle

MOUNT ISA MINES, ZINC LEAD CONCENTRATOR

Location: Mount Isa, Qld Ownership: Xstrata Zinc Site management: Xstrata Minerals/fuels recovered: Zinc, lead, silver Nameplate capacity of plant: Since the original plant was constructed and commissioned in the early 1960s it has had numerous upgrades, expansions and improvements. The plant in its present configuration is capable of 8Mtpa

MAY 2012 amm


Mineral Processing Plant Survey Crushing plant total capacity: 8Mtpa Primary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): An underground 48” x 42” double toggle jaw crusher, (PACRIM) 2 x 48”-42” Jaques single toggle jaw crushers; grinding – 4 × Marcy rod mills (2.9m × 3.66m), 8 × Dominion ball mills (3.2m × 4.27m). SAG mill circuit comprising of the SAG 7.4m dia x 3m long and ball mill 5m dia x 6.7m long and an Allis Chalmers ball mill (5.03m × 6.1m). There is a newly installed Metso ball mill 6.7m dia x 12.2m long that was a part of the latest upgrade project Secondary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): Crushing – (PACRIM) 2x Kawasaki 1500 cone crushers; grinding – 1 × Allis Chalmers ball mill (5.03m × 6.1m) Tertiary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): Crushing – (PACRIM) 2x 1500 cone crushers ; grinding – the Pb circuit has 4 x 3cu.m Isa mills in a regrind function The Zn circuit also has 4 x 3cu.m Isa mills in a regrind – there is a 1 × Kubota Tower Mill install in the Zn retreat regrind but this mill is not in use Grinding media: Steel balls of varying size in all ball mills and SAG. Steel rods in rod mills. Silica sand in the Isa mills Screening plant/equipment (type/manufacturer/ capacity/screen sizes): (PACRIM) 2x Metso 20’ x 8’ triple deck screens Mineral liberation/recovery method: Heavy medium separation followed by conventional grinding and flotation Mineral liberation plant/equipment (flotation tanks, etc – type/manufacturer/capacity): Pb circuit: 8 × banks of 6 cell Agitairs (11 cu.m/cell) (4 × prefloat & roughers, 1 × slimes rougher, 3 × cleaners), 2 × banks of 9 cell Dorr Oliver (17 cu.m/cell) (secondary roughers), 1 × jameson cell mk. iii (scalper cleaner), Zn circuit: 6 × banks of 6 cell Dorr Oliver (17 cu.m/cell) (roughers/scavengers), 6 × banks of 6 cell Agitairs (11 cu.m/cell) (3 × cleaners, 3 × retreat roughers), 3 × columns (scalper cleaner), 3 × banks of 4 cell Agitairs (retreat cleaners). The latest expansion that has just been commissioned has 1 pre-float cell 3 x primary Pb rougher cells and 4 x rougher scav cells. The Zn circuit is made up of 4x primary roughers, 4x rougher scavs and 4 x recleaner cells. All of these cell are Outotec 100cu.m cells Mineral/fuel processing/recovery plant/equipment (tanks, thickeners, etc): 50m dia thickener (Pb Con), 30m dia thickener (Zn Con), 2 × 12m dia stock tanks Filtration plant/equipment (type/manufacturer/ capacity): 2x Andritz plate and frame filters each comprising of 70 2m x 2m plastic plates Process pumps (type/manufacturer/capacity): Various size pumps that are predominantly Warman Chemicals/reagents used (type/supplier): At time of up date the reagents used are MIBC frother, xanthate SEX/ SIPX collectors, copper sulphate and sodium cyanide Process control system (name/supplier): Yokogawa DCS; 2x Thermo MSA System and a Outotec Courier 6 OSA Production information management tools/systems (type/supplier name): PI (OSI Software); Excel Maintenance system (name/supplier): MIMS (Mincom) Production manning/roster: Shift personnel – 4 on/4 off (12hr shifts, day and night); other staff – 5 on/2 off Maintenance manning/roster: Shift personnel – 4 on/4 off with operating crews main workforce work 5 on/2 off day shift; other staff – 5 on/2 off

MOUNT RAWDON

Location: Swindon Road (via Mount Perry, Queensland) Ownership: Evolution Mining Minerals/fuels recovered: Gold/silver Throughput rate (2010-11): 426.8tph Forecast throughput rate (2011-12): 428tph Crushing plant total capacity: 720tph Primary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): Allis Charmers 42/65 superior gyratory Secondary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): Jaques J65. Pre screen with double deck Joest vibrating screen.

amm MAY 2012

Syntron feeder to screen and bypass using an overflow bin for lump. Nominal reduction ratio of 9:1. CCS of 25mm Grinding plant equipment: Dominion 28’ SAG, Nordberg 42/70HD ball mill Grinding media: High manganese steel. 125mm balls – SAG mill, 64mm balls – ball mill Screening plant/equipment (type/manufacturer/ capacity/screen sizes): Tema wet screen Recycle crusher: Autofine 736 Cone Crusher (Allis Chalmers) Mineral liberation/recovery method: CIL Mineral liberation plant/equipment (flotation tanks, etc – type/manufacturer/capacity): 1x 1500cu.m leaching tank, 5x 1500cu.m adsorption tanks Mineral/fuel processing/recovery plant/equipment (tanks, thickeners, etc): Tanks Process pumps (type/manufacturer/capacity): Warman 10/12 split casing Chemicals/reagents used (type/supplier): Orica (carbon, HCl, caustic soda, cyanide); Air Liquide (oxygen); Unimin (lime) Refining plant/equipment (type/manufacturer/ capacity): 8t AARL elution column Process control system (name/supplier): Wonderware Maintenance system (name/supplier): Ellipse – Mincom Production manning/roster: Production personnel 22, rosters (5/2), (5/5/5), (10/4) Maintenance manning/roster: Maintenance personnel 17, roster (10/4)

PAJINGO

Location: 80 km south of Charters Towers Ownership: Evolution Mining Minerals/fuels recovered: Gold and Silver Throughput rate (2010-11): 290,000tpa Forecast throughput rate (2011-12): 455,000tpa Nameplate capacity of plant: 700,000tpa Crushing plant total capacity: 700,000tpa Primary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): Kueken Model 95, 24 x 36 jaw crusher. Average throughput rate of 130tph Secondary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): Nordberg HP300 standard cone Tertiary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): Nordberg HP300 short head cone Grinding plant equipment: 2100kW primary ball mill and 900KW Secondary ball mill Grinding media: Primary mill – forged steel balls primary mill and high chrome balls secondary ball mill Screening plant/equipment (type/manufacturer/ capacity/screen sizes): Norberg double deck 6 x 16 II. Top deck screen size 32mm. Bottom deck 16mm Mineral liberation/recovery method: CIP Mineral liberation plant/equipment (flotation tanks, etc – type/manufacturer/capacity): 2 x leach tanks. Live volume of 900cu.m each Mineral/fuel processing/recovery plant/equipment (tanks, thickeners, etc): 8 x adsorption tanks Process pumps (type/manufacturer/capacity): Warman various Chemicals/reagents used (type/supplier): Cyanide, hydrochloric acid & caustic supplied by Orica. Lime supplied by Cement Australia, oxygen supplied by Air Liquide & flocculant supplied by Chemiplas Refining plant/equipment (type/manufacturer/ capacity): Electrowin – split AARL circuit with two 2.8m length x 1m depth x 1m width electrowinning cells each containing 18 stainless steel cathodes. Furnace –A200 model furnace Process control system (name/supplier): SCADA Production information management tools/systems (type/supplier name): Microsoft Excel Maintenance system (name/supplier): Pronto Production manning/roster: Even time 12hr shifts Maintenance manning/roster: Even time 12hr shifts

RAVENSWOOD (SARSFIELD/MOUNT WRIGHT) Location: 100 km southwest of Townsville, Qld

Ownership: Carpentaria Gold (100% Resolute Mining Ltd) Site management: Brett Foster (plant manager), Dan Clark (mill super), Adam Billi (maintenance super) Minerals/fuels recovered: Gold Nameplate capacity of plant: 4.5Mtpa Crushing plant total capacity: 5Mtpa Primary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): 1 x FullerTraylor 42/65 1500tph gyratory crusher; F80 380mm; P80 250mm Secondary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): 1 x Nordberg MP1000 850tph; nominal F80 250mm; P80 30mm Tertiary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): 2 x Nordberg 1560 Omnicone; 350tph; nominal F80 30mm; P80 18mm Grinding plant equipment: 3 x mills, (mill 1 Morgardshammar 3.25MW motor 5.5m * 5.4m, mill 2 Morgardshammar 3.25MW motor 4.5m*9.4m, mill 3 ANI 4.0MW motor 5.03m * 8.38m) Grinding media: Donhad grinding media (94mm – primary and 64mm – regrind) Screening plant/equipment (type/manufacturer/ capacity/screen sizes): 2 x Nordberg triple deck 2.4mx6.1m vibrating screens; top 80mm, middle 45mm, bottom 32mm (crusher screens); 2 x Nordberg 350tph vibrating screens; screens 0.6mm (trash screens); Inter stage carbon screen – Tekpromet – 1mm Mineral liberation/recovery method: CIL Mineral/fuel processing/recovery plant/equipment (tanks, thickeners, etc): 2 x 2500cu.m leach tank; 7 x 1400cu.m lined adsorption tank; 1 x EIMCO 25m high rate thickener, 1 x acid wash column; 2 x stand-alone 4t aarl elution striping circuits, oxygen plant – Oxair PSA 8.8 tonne /day plant Process pumps (type/manufacturer/capacity): Transfer pumps 2 x Warman 12/10; cyclone feed pumps 2 x 16/14 cyclone feed pumps. Remainder of plant uses Warman pumps (some 8/10 and 6/4s ) Chemicals/reagents used (type/supplier): Cyanide/ Orica; lime/Unimin; caustic soda/Orica; lead nitrate/ Australian Chemicals; hydrochloric acid/Orica; water treatment chemicals/WTS Refining plant/equipment (type/manufacturer/ capacity): Gold furnace A100, 6 X EW cells (stainless mesh) Process control system (name/supplier): GEC Fanuc (PLCs); Macroview/VRT Systems Production information management tools/systems (type/supplier name): Macroview/VRT Systems, Excel database/MS, Access databases/MS Maintenance system (name/supplier): Mainpac Production manning/roster: 2 x 12hr shifts per day (8/6 days – 7/7 nights roster) (4 x crews) Maintenance manning/roster: 12hr shift with some night shift coverage. 8/6 roster days, and 7/7 nights (2 x crews) Comments: Mill lining system: 1x Tega primary mill (Cr-Mo Composites – primary grind), 1x Tega primary mill (Cr-Mo composites – primary grind), 1x Multotec (rubber – regrind); classification plant/equipment (type/ manufacturer/capacity): Krebs gMAX20-H cyclones, 1 nest of 8 cyclones

SOUTH QUEENSLAND JEEBROPILLY CHPP

Location: Amberley-Rosewood Rd via Amberley Ownership: New Hope Coal Australia Pty Ltd Site management: Jeebropilly Collieries Pty Ltd Minerals/fuels recovered: Thermal Coal Throughput rate (2010-11): 450tph Forecast throughput rate (2011-12): 450tph Nameplate capacity of plant: 350tph Crushing plant total capacity: 450tph Primary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): Abon sizer Secondary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): Stamler sizer Tertiary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): Gundlach sizer Screening plant/equipment (type/manufacturer/ capacity/screen sizes): Honert jig dewatering screen,

93


Mineral Processing Plant Survey Honert DR screens Mineral liberation/recovery method: Jig/DM circuit Mineral liberation plant/equipment (flotation tanks, etc – type/manufacturer/capacity): Jig, DM cyclones and spirals Mineral/fuel processing/recovery plant/equipment (tanks, thickeners, etc): Mag separators and thickener tanks Process pumps (type/manufacturer/capacity): Denver Orion pumps – various sizes Chemicals/reagents used (type/supplier): Flocculant, coagulant, magnetite Process control system (name/supplier): Citect SCADA Production information management tools/systems (type/supplier name): Movex/Intentia ERP Maintenance system (name/supplier): Movex/ Commectivity Production manning/roster: 4.5 day roster with occasional 6 day roster Maintenance manning/roster: 5 day roster

NEW ACLAND

Location: 15km north of the township of Oakey on the Darling Downs, west of Toowoomba. Ownership: 100% by the New Hope Group Site management: The mine is managed with a conventional hierarchy. The GM also holds the statutory role of site senior executive, with departmental managers reporting to him Minerals/fuels recovered: Multi-seam coal deposit, within the Lower Walloon Coal Measures, comprising a broad syncline plunging gently to the southwest and coal sub-crops to the north, east and south Throughput rate (2010-11): Currently 765tph for plant 1 and 550tph for plant 2 – ie. capacities of 2.9Mpta clean coal for plant 1 and 2.1Mtpa clean coal for plant 2 Nameplate capacity of plant: Plant 1 – 730tph, plant 2 – 550tph Primary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): Primary is Stamler feeder breaker BF29C 800tph top size 200mm Secondary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): Secondary is Stamler MVT 600x 2000 800tph 75mm top size Tertiary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): CHPP1 tertiary is McLanahan DDC 30x72 550tph top size 38mm CHPP2 tertiary is McLanahan DDC 30x96 550tph top size 38mm CHPP1 Mineral liberation/recovery method: Bulk overburden and thick partings are blasted wherever necessary, then removed with hydraulic excavators in back hoe configuration, loading 190t rear dump trucks. Thinner partings and coal seams are extracted by dozer ripping and windrowing, then front end loaders working with 150t trucks. The coal is taken to the preparation plants for processing, then dispatched from site with road trucks. Road maintenance is undertaken with conventional graders and water trucks Mineral liberation plant/equipment (flotation tanks, etc – type/manufacturer/capacity): DMC and spirals circuit Mineral/fuel processing/recovery plant/equipment (tanks, thickeners, etc): The plants use super fine magnetite at the rate of 0.3kgs per feed tonne, Thickener pump to tailings disposal dams. Yield is monitored constantly. The ash level of the product coal can be lowered marginally but the yield also drops, so plant operations focus on the optimum separation for the feed at any time.Product coal is conveyed to a bin designed to load road trains. When this bin is full, product coal is diverted to a stacking arrangement to stockpile it on a large pad Process pumps (type/manufacturer/capacity): Metso slurry pumps many different models Chemicals/reagents used (type/supplier): Emulsion flocculant at 13g/feed tonne and irregular quantities of coagulant and anti-scaling agents supplier Nalco Process control system (name/supplier): Citect SCADA control Production information management tools/systems (type/supplier name): Citect SCADA control Maintenance system (name/supplier): Maintenance organised onsite to keep the equipment at highest possible availabilities. With 7 day 24hr operations, maintenance

94

planning is integral in the overall process. Movex CMMS Production manning/roster: Largely 4 days on, 4 days off, covering two 12hrs shifts each day. The field crews are directed by supervisors who also hold the statutory role of open cut examiner. The maintenance department is separate to the operating team, but works closely with it. The coal preparation department handles everything associated with the preparation plants, including the logistics of dispatch. Technical services include mine planning, blasting, survey, coal quality and environmental work

PHOSPHATE HILL

Location: 150km southeast of Mount Isa, Queensland Ownership: Incitec Pivot Ltd Site management: Incitec Pivot Ltd Minerals/fuels recovered: Phosphate rock Throughput rate (2010-11): 2.3Mt (raw feed) Forecast throughput rate (2011-12): 2.5Mt (raw feed) Nameplate capacity of plant: 3.5Mt Crushing plant total capacity: +400tph feed Primary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): Jaques ST42 jaw crusher, 50mm product size Secondary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): Symons cone crusher, 20mm product size, 230kW capacity Tertiary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): Svedala H6000 hydrocone crusher, product size – 21mm throw = 16mm product size av Grinding plant equipment: 3400kW or 16.8kWh/t Grinding media: 90mm forged balls @ 36% of cross sectional area Screening plant/equipment (type/manufacturer/ capacity/screen sizes): Primary screen 50mm app, drum scrubber screen 2 deck Schenk SLK3061 15mm to 0.5mm, secondary screen Jaques 1820HDDS 78mm x 24mm throw, tertiary screen Schenk SKG 1848 20mm app Recrush crushing/grinding equipment(type/ manufacturer/capacity/feed & product size): All circuits are recycle based (including milling) for retreating oversize except the primary circuit Mineral liberation/recovery method: Sieve bends 1.6mm x 4 panels Mineral/fuel processing/recovery plant/equipment (tanks, thickeners, etc): Supaflo Outokumpu hydraulic raked thickener, 250tph feed at 29 – 34% solids, discharge 62% solids Filtration plant/equipment (type/manufacturer/ capacity): Delcor belt filters x 2 Process pumps (type/manufacturer/capacity): Too many to list here bloke, all Warman Chemicals/reagents used (type/supplier): Flocculant Refining plant/equipment (type/manufacturer/ capacity): 1500tpd (formerly Hydro now Yarra) phosphoric acid plant Process control system (name/supplier): Yokogawa DCS Production information management tools/systems (type/supplier name): Honeywell PIMMs and LIMMS Maintenance system (name/supplier): SAP is the overriding system, RCM is the preventative maint system that slots into SAP Production manning/roster: 8 days on/6 off, 7 nights on/7 off Maintenance manning/roster: 8 days on 6 off Comments: Overall the beneficiation plant capacity design was 320tph but drum scrubber, grinding media and screening improvements have increased it to +400tph feed, also not mentioned is the scrubber and deslime cyclone bank where everything <.5mm is treated

TARONG

Location: 180km northwest of Brisbane, Qld Ownership: Tarong Energy Corporation Site management: TEC assumed operational control of the Tarong Mine through Thiess Pty Ltd Minerals/fuels recovered: Thermal coal Nameplate capacity of plant: 10Mtpa Crushing plant total capacity: 10Mtpa Primary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): Allis Chalmers 2.4m x 7.3m low head feeder; MMD 1150CRS ROM feeder; crushes coal to <300mm

Secondary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): Crushing – 2 x Vickers Ruwolt 3.66m x 8.72m rotary breakers; Allis Chalmers 3.05 x 6.1 XH Ripl-Flo screen, Screens to <75mm Screening plant/equipment (type/manufacturer/ capacity/screen sizes): 2 x Vickers Ruwolt 3.66m x 8.72m rotary breakers; Allis Chalmers 3.05 x 6.1 XH Ripl-Flo screen, Screens to <75mm Mineral/fuel processing/recovery plant/equipment (tanks, thickeners, etc): 2 x Fives Cail Babcock 500tph underbed air-pulsated jigs (13-75mm); 2 x FCB 500tph underbed air-pulsated jigs (0-13mm), 2 x ICAL banana screens – 2.95m x 8.55 m; 6 x Allis Chalmers low head double deck screens – 2.1m x 4.8m; 6 x Allis Chalmers low head single deck screen – 3m x 4.8m; 4 x Allis Chalmers low head single incline deck screen – 1.5m x 3m; 2 x Allis Chalmers low head single incline deck screen – 1.2m x 3m; 2 x Svedala low head single incline deck screens – 1.5m x 3m Filtration plant/equipment (type/manufacturer/ capacity): 38 x Linatex LX 15 cyclones; 16 x Ludowici LMPE 1000mm spirals; 4 x decanter (Hunboldt) 1300mm centrifuges Process pumps (type/manufacturer/capacity): 10 x Warman centrifugal pumps/18 x pumps on various duties in coarse coal, small coal, reject and tailings circuits Chemicals/reagents used (type/supplier): SNF – AN934 flocculant; SNF cationic; Unimin hydrated lime Process control system (name/supplier): Baileys distributed control system; Citect operator interface; Coalscan 9500 ash analyzer Production information management tools/systems (type/supplier name): Chem Alert; CDMS (coal data management system) Maintenance system (name/supplier): MEX/JDE Production manning/roster: 12 operators/4 panel – 12hr shift roster D & N Maintenance manning/roster: 4 x dayshift maintainers, 1 x serviceman, 1 x crane operator, 4 x shift maintainers day and nightshift rotation

WILKIE CREEK COAL MINE

Location: via Macalister, 245km west of Brisbane, Qld Ownership: Peabody Energy Australia Coal Minerals/fuels recovered: Thermal Coal Nameplate capacity of plant: 1.8Mtpa rising to 2Mtpa Crushing plant total capacity: 1.8Mtpa rising to 2Mtpa Primary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): 600tph Stamler feeder breaker on feed Secondary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): 600tph Shumar double rolls crusher on feed Tertiary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): 150tph Shumar double rolls crusher on product Screening plant/equipment (type/manufacturer/ capacity/screen sizes): 3x LMPE LVS screens (feed sizing, and coarse product & reject D&R), 4x Honert high frequency screens (fines desliming, and fines product & reject dewatering) Mineral liberation/recovery method: Gravity separation Mineral liberation plant/equipment (flotation tanks, etc – type/manufacturer/capacity): 1m BMCH Baum jig, 900mm MinCo DMC, 48x Roche LD7 spirals Mineral/fuel processing/recovery plant/equipment (tanks, thickeners, etc): 14m Superflo tailings thickener Filtration plant/equipment (type/manufacturer/ capacity): LMPE VM1400 product dewatering centrifuge, Tema fine coal centrifuge Process pumps (type/manufacturer/capacity): Metso/ Denver Orion, Southern Cross Chemicals/reagents used (type/supplier): Nalco liquid anionic & cationic flocculants Process control system (name/supplier): Citect Maintenance system (name/supplier): SAP Production manning/roster: Mine 24/7 operations (12hr shifts) on coal and overburden, washplant 24/7 operations (12hr shifts) Maintenance manning/roster: As above

MAY 2012 amm


Mineral Processing Plant Survey SOUTH AUSTRALIA CHALLENGER

Location: 140km southwest of Coober Pedy, SA Ownership: 100% Kingsgate Consolidated Site management: Kingsgate Consolidated Minerals/fuels recovered: Gold Nameplate capacity of plant: 630,000tpa Crushing plant total capacity: 630,000tpa Primary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): 42/30 Jacques Jaw crusher/600 mm to p80 70mm Secondary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): 51in Symons cone – to p80 of 12mm Grinding plant equipment: Morgardshammar primary ball mill 3.4m dia by 5.8m, Morgardshammar secondary ball mill 3.4m dia by 4.6m Grinding media: 50-65mm steel balls Screening plant/equipment (type/manufacturer/ capacity/screen sizes): 2616 Torrent double deck, 30mm top deck, 12mm bottom deck Mineral liberation/recovery method: Knelson concentrator with Acacia reactor for gravity recovery, CIP leaching of overflow Mineral liberation plant/equipment (flotation tanks, etc – type/manufacturer/capacity): 4 leach tanks 5100cum total Mineral/fuel processing/recovery plant/equipment (tanks, thickeners, etc): 6 carbon 540cum total adsorption tanks Filtration plant/equipment (type/manufacturer/ capacity): Elution circuit Process pumps (type/manufacturer/capacity): Warman 8/6, 6/4 and 4/3 slurry pumps Chemicals/reagents used (type/supplier): Orica cyanide, HCl, NaOH Refining plant/equipment (type/manufacturer/ capacity): Atmospheric Zadra 1.75t Process control system (name/supplier): Allen Bradley Production information management tools/systems (type/supplier name): MIS (in-house management information system) Maintenance system (name/supplier): PMXpert (preventative maintenance expert) Production manning/roster: 28 including 6 in PAL laboratory, FIFO mix of 2wks on/1wk off Maintenance manning/roster: 10 personnel in plant, FIFO 2wks on/1wk off

LEIGH CREEK

Location: 256km north of Port Augusta, SA Ownership: Alinta Energy Minerals/fuels recovered: Thermal coal Nameplate capacity of plant: 4Mtpa Primary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): Crushing – 2 x GEC 1500tph, 3.6m-dia x 6.7m-long rotary breakers Secondary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): Crushing – 2 x Stephens-Adamson 1500tph, 1.37m x 1.525m double rotor Knittle crushers; 2 x Jaques 1500tph, 2.44m x 6.1m Torrent vibrating screens. Convert ROM coal into <50mm product Mineral liberation/recovery method: Crushing, screening Process control system (name/supplier): PLC/Citect interface Production information management tools/systems (type/supplier name): Minesuite Maintenance system (name/supplier): Mincom Production manning/roster: 3 x crews of 23 personnel/1 crew of 13; 12hr continuous shift Maintenance manning/roster: 65 employees;12hr day shift and 12hr continuous (mix)

OLYMPIC DAM

Location: 90km north of Woomera, SA Ownership: BHP Billiton Minerals/fuels recovered: Copper, uranium, gold, silver Nameplate capacity of plant: 10Mtpa (mill/ concentrator). Olympic Dam smelter/refinery complex has nameplate annual production capacity of 235,000t refined copper, 4600t uranium oxide concentrate,

amm MAY 2012

80,000oz of gold and 850,000oz silver Primary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): 1 x Krupp (54” x 74”) gyratory crusher; capacity 2000tph (ore crushed to ~150mm) Secondary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): 1 x Svedala, 11.6m-dia, 750tph fully autogenous grinding mill (powered by 18MW gearless ring motor); 1 x Fuller 10.4m-dia, 500tph FAG mill. Ore milled to 80% passing 75 micron Screening plant/equipment (type/manufacturer/ capacity/screen sizes): 1 x 2.4m x 6.1m double-deck Honert vibrating screen passing -4mm product at 1800tph Mineral liberation/recovery method: Flotation to produce copper concentrate, which also contains gold/ silver particles. Uranium minerals removed from flotation process as tailings and converted to uranium oxide concentrate in hydrometallurgical plant. Hydrometallurgy also employed to leach residual copper from tailings and clean/upgrade copper concentrate. Smelter produces anode copper for refining via ISA electrorefining process. Copper sulphate solution from hydrometallurgical plant pumped to refinery where copper recovered by electrowinning Mineral liberation plant/equipment (flotation tanks, etc – type/manufacturer/capacity): Rougher/scavenger flotation conducted in two identical, parallel trains each consisting of 10 x Outokumpu 150cu.m rougher cells, 6 x Outokumpu 100cu.m scavenger cells. Rougher concentrate reground prior to cleaning using 1 x 4.4m-dia, 2.4MW ball mill, 30 x 165mm cyclones in two clusters of 15 cyclones operating in parallel. Cleaning performed using three cleaning stages. Cleaner 1: 20 x Outokumpu 16cu.m cells. Cleaner 2: 7 x Outokumpu 38cu.m cells. Cleaner 3: 4 x Outokumpu 38cu.m cells Mineral/fuel processing/recovery plant/equipment (tanks, thickeners, etc): 2 x Eimco 14.6m-dia high-rate flotation concentrate thickeners; 2 x Eimco 37m-dia high-compression flotation tail thickeners; 2 x Eimco 14.6m-dia high-rate leached concentrate thickeners; 2 x Lasta filters for washing leached concentrate Filtration plant/equipment (type/manufacturer/ capacity): Smelter: 2 x Larox PF144 pressure filters. Refinery: 1 x Larox D24 polishing filter Process pumps (type/manufacturer/capacity): Warman, Durco, Peerless, Ajax, Mono, Geho, Flygt, Ahlstrom, Bredel, Verdaflex, Wilden. Various sizes and duties Chemicals/reagents used (type/supplier): Sulphuric acid produced onsite, ALBCHEM sodium chlorate, Ciba flocculant, Huntsman coagulant, Shell Shellsol 2046 diluent, Cognis alamine 336, Avecia oxime, Huntsman isodecanol, Incitect ammonia, Orica sodium hydroxide, Penrice Soda Products sodium carbonate Refining plant/equipment (type/manufacturer/ capacity): ISA electrorefining and electrowinning used to produce copper cathodes Process control system (name/supplier): Ci Technologies/ Allen-Bradley Citect SCADA system; Citect CitectSCADA; Rockwell Automation Allen-Bradley PLCs; HIMA programmable electronic safety systems; Cisco Cisco Ethernet; Emerson Fisher Rosemount instrumentation Production information management tools/systems (type/supplier name): Citect Plant2Business; Comlabs Cclass laboratory information management system; Honeywell Uniformance – PHD, Oracle, Calc Engine, Grade Control, Plant Balance; Compete Solutions Web PIMS reporting/applications; Gemcom ProdTrak mine activity and material movement database Maintenance system (name/supplier): SAP, RCMTurbo Production manning/roster: Approx 250 employees in production roles at OD process plant – process technicians, specialist technicians, control room operators, supervisors, superintendents, metallurgists and associated support roles. Approx 220 work 4 days on/4 days off, 4 nights on/4 days off, 12hrs/shift. Approx 30 work 5 days on, 2 days off, 8hrs/shift Maintenance manning/roster: Approx 170 employees in maintenance roles at OD process plant – maintenance technicians, maintenance specialists, planners, supervisors, superintendents, engineers and associated support roles. Approx 50 work 4 days on/4 days off, 4 nights on/4 days off, 12hrs/shift. Approx 40 work 5 days on/2 days off, 5 days on/2 days off, 10 days on/4 days off, 10hrs/shift. Approx 80 work 5 days on/2 days off,

8hrs/shift. A small number of contract workers provide additional labour across the plant as required

PROMINENT HILL

Location: Located 650km northwest of Adelaide, 130km northwest of BHP Billiton’s Olympic Dam and 130km southeast of the town of Coober Pedy in the Gawler Craton of South Australia Ownership: OZ Minerals Ltd (100%) Site management: Brian Kilgariff – operations manager Minerals/fuels recovered: Copper, gold and silver Throughput rate (2010-11): 1129dmtph Forecast throughput rate (2011-12): 1201dmtph Nameplate capacity of plant: 8Mtpa Crushing plant total capacity: 15.8Mtpa Primary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): Gyratory/ FL Schmidt/3600tph/F80 = 250mm, P80 = 120mm Grinding plant equipment: 10.4m x 4.7m Polysius SAG mill, 7.3m x 10.4m Polysius ball mill/Isamill 10000 Grinding media: 125mm and 65mm balls 125/105mm and 65/80mm, 3.5mm ceramic Screening plant/equipment (type/manufacturer/ capacity/screen sizes): 3.6m x 7m Schenk vibrating screen with 7mm aperture Mineral liberation/recovery method: Flotation Mineral liberation plant/equipment (flotation tanks, etc – type/manufacturer/capacity): 6 x 150cu.m OK roughers, 8 x 50cu.m OK cleaner 1, 10 x 20cu.m OK cleaner 2&3, 5.4mx 18 downcomer Jameson cell, 3MW M10,000 Isamill Mineral/fuel processing/recovery plant/equipment (tanks, thickeners, etc): 23m dia concentrate thickener, 45m dia tailings thickener Filtration plant/equipment (type/manufacturer/ capacity): Larox PF156 pressure filter Process pumps (type/manufacturer/capacity): Weir Chemicals/reagents used (type/supplier): Sodium ethyl xanthate collector, PPG/alcohol blend frother Process control system (name/supplier): Citect Production information management tools/systems (type/supplier name): Pi datahistorian/Osisoft, CITECT Maintenance system (name/supplier): Ellipse Production manning/roster: 8/6 Maintenance manning/roster: 8/6

TASMANIA HENTY

Location: Queenstown, Tasmania Ownership: Unity Mining Ltd Site management: Henty Gold Mine (Unity Mining Ltd) Minerals/fuels recovered: Gold and silver Nameplate capacity of plant: 130,000tpa Crushing plant total capacity: Mobile crusher prior to mill feed – throughput 250tph Primary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): Terex Pegson XA400/jaw crusher/capacity 400tph/max size 300 mm Grinding plant equipment: Static grizzly; RCR Engineering apron feeder; mill feed conveyor; SAG mill/Allis Mills, 4.6m dia x 2.4m long, installed motor power 770kW, 10mm x 25mm grate discharge; Metquip H1-18/9 SAG discharge screen 12mm square aperture; mill discharge scats conveyor; cyclone feed pumps 2 x 6/4 Warman; Cyclopac 2 x duty, 1 x standby – 250 CVX10; Warman Cavex hydrocyclones, Schenck trash screen, 1mm square aperture, 1.8m long x 1.2m wide Grinding media: 105 mm dia steel balls Mineral liberation/recovery method: CIL and gravity concentration Mineral liberation plant/equipment (flotation tanks, etc – type/manufacturer/capacity): Metquip H1-18/9 gravity screen 2mm x 18mm cross flow slotted aperture, Consep 20” Knelson concentrator KC-CD20MS,Gekko in line reactor ILR 100 Mineral/fuel processing/recovery plant/equipment (tanks, thickeners, etc): CIL circuit – CIL tanks 3,000cu.m, 1 x leach tank, and 8 x CIL tanks; Warman agitators 7.5GD40-2AF1800, 7.5kW; Westquip interstage screens WQ100; CIL carbon advance pumps, Schenck Carbon safety screen; Warman 4/3 C-AH CIL safety screen pumps.Thickening/detox circuit – Outokumpu HRT-10-233 thickener; Warman 3/2 C-AH thickener

95


Mineral Processing Plant Survey underflow pumps 1 x duty, 1 x standby; Warman 75BGP process water pumps x 2; Detox reactor tanks x 2; Lightnin 76Q40 detox reactor agitator x 2; detoxified leach residue tank; Warman 22GD32-AF2500/RP1800 agitator; Warman 3/2 C-AH DLR pumps; Atlas Copco ZA3 detox air compressors x 2; Atlas Copco GA75-10 plant air compressors x 2 Chemicals/reagents used (type/supplier): Sodium cyanide – CIL circuit, In-line reactor; lime – CIL, thickener circuits; grinding media (105mm dia balls) – SAG mill; sodium bisulphite – cyanide destruction circuit; flocculant – thickener; caustic – elution circuit; hydrochloric acid – elution circuit Refining plant/equipment (type/manufacturer/ capacity): Elution circuit – Metquip H1-18/6 loaded carbon recovery screen; acid wash column; elution column 3t capacity; electrolyte pumps x 2; electrowinning cells x 3; carbon regeneration kiln, Kleenheat A100 diesel fired tilting furnace Process control system (name/supplier): SCADA HMI interface supplied by Wonderware Production information management tools/systems (type/supplier name): Access database for metallurgical accounting Maintenance system (name/supplier): MPAC Production manning/roster: Mill operators 4 on/4 off – 12hr shifts/3 x operators per crew. Other staff 5 on/2 off – 10hr shifts Maintenance manning/roster: Shift personnel 4 on/4 off – 12hr shifts/1 x fitter, 1 x electrician per crew. Personnel 5 on/2 off – 10hr shifts/2 x boilermakers, 1 x electrician, 1 x fitter

MOUNT LYELL

Location: 2km northeast of Queenstown, Tasmania Ownership: Copper Mines of Tasmania (Vedanta Plc via Sterlite Industries India Ltd100%) Minerals/fuels recovered: Copper, gold Nameplate capacity of plant: 2.75Mtpa/plant production rate – 340tph Primary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): Crushing – Roxon BML 150 650tph jaw crusher (underground), crushing ROM material, passing 150mm. Primary crushing plant feeder: Roxon Hydrostroke BVS 1655 1000tph plate feeder Secondary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): Symons 7’ 600tph standard cone crusher; product size P80 35mm Tertiary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): Symons 7’ 550tph shorthead cone crusher; product size P80 17mm Quaternary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): Crushing – Kawasaki 400tph 5.5’ Cybas cone crusher; product size P80 8mm, Symons 5.5ftshorthead, 400tph, product size P80 8mm Screening plant/equipment (type/manufacturer/ capacity/screen sizes): Roxon MSV11-1830 650tph vibrating grizzly, ROM, 150mm Mineral liberation/recovery method: Two-stage ball milling followed by conventional flotation Mineral liberation plant/equipment (flotation tanks, etc – type/manufacturer/capacity): 2 x 15’ x 22’ overflow ball mills; 1x Wemco 160 tank cell,1 x OK100 flotation cell; 6 x Agitair 120 cells; 32 x Agitair 60 cells; 108 x Agitair 48 cells; 1 x 355kW stirred media detritor (regrind mill) Mineral/fuel processing/recovery plant/equipment (tanks, thickeners, etc): 1 x Supaflo 100’ tailings thickener; 1 x 35’ concentrate thickener Filtration plant/equipment (type/manufacturer/ capacity): 2 x Eimco disc filters (1 x 8-disc/1 x 6-disc); 140sq.m area, 15tph capacity; Larox PF32 Process pumps (type/manufacturer/capacity): 10/12 Warman 800-1200cu.m/hr; 8/6 Warman 400-450cu.m/hr; 8/6 TKL 400-450cu.m/hr; 10/12 TKL 900-1000cu.m/hr Chemicals/reagents used (type/supplier): David Mitchell hydrated lime modifier; Cytec AP3894 collector; Chemical and Mining Services IF56 frother; Ciba Magnafloc 800HP flocculant; Tritech Chemicals Trisol-70 dewatering aid Process control system (name/supplier): PLC control with Citect interface

96

Maintenance system (name/supplier): Prometheus Pronto Production manning/roster: 7 operators per crew plus shift boss working 12hr shifts. Roster is 4 on/4off Maintenance manning/roster: 4 x electricians/1 x dayshift electrician; 1 x dayshift fitters/boilermakers, 4 x shift fitters

ROSEBERY

Location: Rosebery, northwest Tasmania Ownership: MMG Mining Site management: MMG Mining Minerals/fuels recovered: Zinc, lead, copper, silver and gold Nameplate capacity of plant: 600,000tpa Primary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): Crushing – Jacques 48” x 36” double toggle jaw crusher/500tph/600mm feed/100mm product; grinding – 2 x Hardinge 10’ x 7’ conical ball mill/60tph/7mm feed/80% passing 750 microns product Secondary crushing/grinding plant/machinery (type/manufacturer/capacity/feed & product size): Crushing – Allis Chalmers 10-60 Hydrocone 1” throw/500tph/100mm feed/15mm product; grinding – 2 x Hardinge 8’ x 4’ conical ball mill/30tph/750 microns feed/80% passing 75 microns product Tertiary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): Crushing -2 x Vickers Ruwolt 46” x 20” rolls crushers/60tph/15mm feed/7mm product Screening plant/equipment (type/manufacturer/ capacity/screen sizes): Allis Chalmers 6’ x 16’/crusher scalping screen 500tph, rolls screens 60tph Mineral liberation/recovery method: Knelson concentrator, inline leach reactor, differential flotation Mineral liberation plant/equipment (flotation tanks, etc – type/manufacturer/capacity): Consep KCXD30 concentrator/60tph solids feed, Agitair, Denver, OK-8 flotation cells/various capacity Filtration plant/equipment (type/manufacturer/ capacity): 4 x EIMCO 8-10 Larox pressure filters Process pumps (type/manufacturer/capacity): Warman slurry pumps, Grundfos for water pumping, Iwaki for reagent distribution Chemicals/reagents used (type/supplier): Sodium aerofloat, interfroth 56, interfroth 6/3, soda ash/ Limil, lime/Limil, sodium isobutyl xanthate, sodium metabisulphite/Orica, copper sulphate/Zinifex Hobart Smelter, S7021/Cytec, cyanide/Orica Process control system (name/supplier): Yokogawa, Experion/Honeywell Production information management tools/systems (type/supplier name): In-house developed database Maintenance system (name/supplier): SAP Production manning/roster: 4 on/4 off, 24/7 coverage Maintenance manning/roster: 12hr dayshift 4 on/4 off roster

SAVAGE RIVER

Location: 105km southwest of Burnie, Tasmania (concentrator); 75km west of Burnie (pellet plant Ownership: Grange Resources Minerals/fuels recovered: Magnetite (sold as concentrate/fused pellets) Nameplate capacity of plant: 5.25Mtpa (2.437Mtpa concentrate/pellets) Primary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): Crushing – 1 x Allis Chalmers 74” x 54”, 10Mtpa+ gyratory; F80 – 1200mm/P80 – 150-200mm; Allis Chalmers 5’ x 20’ primary apron feeder; 1 x Allis Chalmers 65” x 42”, 6Mtpa+ gyratory; F80 – 1200mm/P80 – 150-200mm; Jaques 5’ x 20’ primary apron feeder Grinding plant equipment: 2 x Allis Chalmers 32’ x 12.5’, twin 3300hp drive autogenous mills; 2 x 20’ x 8’ vibrating screens; 2 x Nordberg 14.5’ x 29.5’, single 3000hp drive ball mills; Warman 250mm cyclones (16 per line in 2 x 8 configuration) Screening plant/equipment (type/manufacturer/ capacity/screen sizes): Nil (feed for autogenous milling goes straight to mill stockpile via Noyes 1200tph radial arm stacker) Mineral liberation/recovery method: Autogenous mill, vibrating screen, pebble crusher, ball mill (two identical milling lines)

Mineral liberation plant/equipment (flotation tanks, etc – type/manufacturer/capacity): Goodwin rougher magnetic separators (10 x 2 roll permanent magnet type); Vermillion rougher screens; 2 x Eimco 50ft-dia hydroseparators; Goodwin finisher magnetic separators (16 x 3 roll). Target product size 85% -43 micron. Particle size monitor on concentrate thickener feed Mineral/fuel processing/recovery plant/equipment (tanks, thickeners, etc): Eimco 60ft dia thickener; 2 x concentrate storage tanks/Lightnin 40ft dia x 40ft high agitator; 1 x Lightnin 25ft dia agitator pipeline slurry feed tank (concentrate density 65% solids @ SG 4.99). Eimco 200ft dia tailings thickener; 10-12” tailings line; 3 x Warman tails pumps; various other Warman process pumps to 14/10 Filtration plant/equipment (type/manufacturer/ capacity): None, slurry in tanks at 65% solids is direct feed for slurry pipeline Process pumps (type/manufacturer/capacity): 2 x Allis Chalmers 10x8 pipeline feed pumps; 4 x Wilson Snyder PD plunger pumps Chemicals/reagents used (type/supplier): Limil lime; Napcrowite sodium hydrogen sulphite; Magnafloc flocculant Process control system (name/supplier): Citect/SCADA Production information management tools/systems (type/supplier name): Pulse Software Systems Pulse Maintenance system (name/supplier): Pulse Production manning/roster: Savage River mill: 24 personnel; 36hrs/wk ave; 4 x 4/12hr continuous shifts. Pellet plant: 36 personnel; 4 x 4/12hr continuous shifts Maintenance manning/roster: Savage River mill: 12 mechanical/6 electrical; 8 personnel on 4 x 4/12hr continuous shifts; remainder on 4 x 4/12hr day shifts. Pellet plant: 14 mechanical; 4 x 4/12hr continuous shifts; 8 personnel on 4 x 4/continuous, remainder on 4 x 4/12hr day shifts. Staff: 10 (Savage River mill); 12 (pellet plant)

VICTORIA ANGLESEA

Location: 97km southwest of Melbourne, Victoria Ownership: Alcoa World Alumina Site management: Chris Rolland, mine manager Minerals/fuels recovered: Thermal coal Nameplate capacity of plant: 1.1Mtpa Primary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): Crushing – Abon 8/180 centre sizer, average throughput 500-600tph; produces 200mm/minus Secondary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): Jacques single roll crushing plant Production manning/roster: 7 days/12hr day shift only Maintenance manning/roster: 4 x 10 covering 5 day shifts

CASTLEMAINE GOLDFIELDS – BALLARAT GOLD PROJECT

Location: Ballarat, Victoria Australia Ownership: Castlemaine Goldfields Ltd Site management: Company head office located at minesite Minerals recovered: Gold Nameplate capacity of plant: 600,000tpa Crushing plant total capacity: ~1.5Mtpa available Primary crushing: Jaques single toggle jaw crusher – 42x30 with 90mm closed side setting. 200-250tph Secondary crushing: 60” Allis Chalmers Hydrocone crusher running 20mm gap Tertiary crushing: Duty crusher is Auspactor VS300RR DD vertical shaft impact crusher with 600kW of installed power. Standby crusher is Auspactor VS200RR DD vertical shaft impact crusher with 300kW of installed power. Feed rate is 55-75tph of new feed with 250 to 300% circulating load. Final product size is 1mm (P80 approx 700 microns) Grinding: N/A – The coarse grained nature of the Ballarat ore allows liberation of minerals at 1 to 5mm in size, hence no grinding mills are required for ore comminution – 3 stages of crushing is all that is required Screening plant/equipment: Secondary crusher screen – Hawk inclined vibrating screen 5’ x 14’ single deck with 20mm screen aperture; Tertiary screening – 2 x

MAY 2012 amm


Mineral Processing Plant Survey Joest wet horizontal vibrating screens, one with 5mm aperture polyurethane screen panels and one with 1mm aperture polyurethane screen panels. The 5mm screen sets the entry size into the jig recovery circuit and is 2450x6100mm in size and the 1mm screen sets the exit size from the jig recovery circuit and is 2450x7320mm in size. Both screens operate in parallel and in closed circuit with the VSI crushers Mineral liberation/recovery method: Crushing to -5mm followed by pressure jig co-recovery of coarse gold and sulphides (pyrite and arsenopyrite). Jig tail crushed further to -1mm followed by fine gold recovery via falcon concentrator. P80 of overall tailing approx 700 micron. Gravity gold separated from sulphide concentrates by wilfley & gemeni tables and smelted. Sulphide concentrate is leached Mineral recovery plant/equipment: 6x Gekko IPJ 2400 in line pressure jigs on rougher/ scavenging duty (3 trains of 2) followed by single Gekko IPJ 1500 pressure jig on cleaning duty and IPJ 1000 on re-cleaning duty. Jig concentrate upgraded by Wilfley and Gemeni tabling to produce a direct smeltable gold concentrate away from the sulphides. Jig tail crushed to -1mm through VSI crusher followed by falcon concentrator to recover fine gravity gold. Sulphide concentrate from the table tails contains fine gold which is non-refractory and readily leachable. This concentrate is ground in a ball mill to 130 microns and leached in a Gekko ILR10000 intensive leach reactor to dissolve the gold, followed by counter current decantation and gold adsorption onto Aurix100 ion exchange resin. The resin is batch stripped with caustic into a concentrated solution from which the gold is electrowon. Leach circuit tailings are detoxified in an INCO cyanide destruction circuit to produce cyanide code compliant tailings prior to co-disposal with the gravity circuit tailings. Leach tailings only represent 5-7% of the total tailings mass produced Process pumps: All slurry pumps in both the gravity and leaching plants are Warman pumps of various sizes Chemicals/reagents used: The intensive leaching process uses sodium cyanide, hydrogen peroxide and caustic as a pH regulator. The cyanide destruction circuit uses sodiummeta-bisulphite and copper sulphate. A small amount of flocculant is used in the CCD circuit Process control system (name/supplier): Allen Bradley PLC system and SCADA based operator control interface Production information management tools/systems: Custom-built internally Maintenance system: Custom-built internally Production manning/roster: Two shifts working an even time roster 4 days/3off/3nights/4off. Plant resourced to run 50% of the time Maintenance manning/roster: Day shift only 5 days per week

FOSTERVILLE GOLD MINE

Location: Fosterville, 20km east of Bendigo, Victoria Ownership: Northgate Minerals Corporation Site management: Ian Holland – GM Minerals/fuels recovered: Gold Nameplate capacity of plant: 960,000tpa Crushing plant total capacity: 2Mpta Primary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): Cedar Rapids single toggle jaw crusher, 750 x1350mm corrugated jaw plates. 600mm square feed static grizzly. 90mm CSS. 150kW drive. Product p80 ~ 160mm Grinding plant equipment: Metso 5.9 x 6.0 M, 3.5MW variable speed closed circuit SAG mill. F80 of 160mm and a P80 of 0.1mm. Classification using Krebs 15” GMax cyclones Grinding media: Steel balls Mineral liberation/recovery method: Grinding/ flotation/bioxidation/counter current decantation/CIL/ pressure Zadra/electrowinning/smelting Mineral liberation plant/equipment (flotation tanks, etc – type/manufacturer/capacity): 6 x Outokumpu OK70 TC tanks cells (2 roughers, 4 scavengers). 5 x OK3 conventional cleaner cells Mineral/fuel processing/recovery plant/equipment (tanks, thickeners, etc): Goldfields bacterial oxidation process, 3 x 900cu.m primary reactors, 3 x 900cu.m secondary reactors. 3 x CAPS 800kW blowers, 3 x Superchill EWK 9300 cooling towers. 3 x Outukumpu 9M

amm MAY 2012

dia CCD thickeners, 6 x 100cu.m neutralisation tanks, 1 x 200cu.m pH adjustment tank, 6 x 200cu.m CIL tanks, 5 x 18cu.m detoxification tanks, COMO 3t pressure Zadra elution circuit Process pumps (type/manufacturer/capacity): Warman pumps from 1-11/2 to 10/8. Verdeflex hose pumps,VF 30 and VF80’s. TKL sump pumps, KSB water pumps, Acromet reagent dosing pumps Chemicals/reagents used (type/supplier): Cyanide, PAX, copper sulphate, caustic soda (Orica), carbon (Tennant), hydrated lime (Unimin), limestone (Hoare Bros.), frother (Chemical Mining Supplies), nutrients (Incitec Pivot), hypochlorite (Golden City Chemicals), flocculant and coagulant (Ciba) Refining plant/equipment (type/manufacturer/ capacity): Como Engineering Plant Process control system (name/supplier): Rockwell RSLogix 5000, RSView. Maintenance system (name/supplier): Pronto Production manning/roster: 4 days/4 off, 4 nights/4 off. Maintenance manning/roster: 4 days/4 off

KANGAROO FLAT MINE

Location: Kangaroo Flat, Victoria Ownership: Unity Mining Ltd Site management: Metallurgy manager – Peter Gray, processing supervisor – Peter Panozzo Minerals/fuels recovered: Gold Nameplate capacity of plant: 600,000tpa Crushing plant total capacity: 600,000tpa Primary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): Jaques ST47 1220mm x 915mm single toggle jaw crusher, feed 700mm x 0mm, product 100mm x 0mm Secondary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): Jaques J35 cone crusher, feed 100mm x 25mm, product 25mm x 0mm Tertiary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): Koeppern HPGR RP72/10 135tph, feed 25mm x 0mm, product 80%<2.5mm Grinding plant equipment: Outokumpu 3.2m dia X 5.5m EGL overflow ball mill Grinding media: 65mm steel balls Screening plant/equipment (type/manufacturer/ capacity/screen sizes): Jaques 2616 HD double deck screen 1.8m x 4.9m (65mm top & 25mm bottom screen aperture); mill screen, Joest single deck flat bed screen, SRE 1830mm x 4880mm (4mm aperture); gravity screen, Joest single deck flat bed screen, SRE 1830mm x 4880mm (2mm aperture) Mineral liberation/recovery method: Gravity, flotation and cyanide leaching Mineral liberation plant/equipment (flotation tanks, etc – type/manufacturer/capacity): Gekko IPJ 2400 jigs x 3, ISP 30 inline spinner x 4 Falcon SB 2500 centrifugal concentrator x 1 Metso RCS15, 15cu.m flotation cells x 5 Mineral/fuel processing/recovery plant/equipment (tanks, thickeners, etc): Outokumpu 10m dia thickener x 2, 4.5m dia x 1; CIL tank 18.5cu.m x 7; Gekko Inline leach reactor Process pumps (type/manufacturer/capacity): Flowserve slurry pumps, Warman slurry pumps – various sizes & capacity Chemicals/reagents used (type/supplier): Frother – interfroth 6500 Chemical & Mining Services, collector – CMS 41 Chemical & Mining Services, sodium cyanide – Orica, lime- Unimin, copper sulphate – Tennant Ltd, SMBS – Tennant Ltd, oxygen – BOC limited, flocculant – Magnafloc 800HP Ciba, antiscalent – Ashland Chemicals, hydrochloric acid – Golden City Chemicals, caustic soda – Golden City Chemicals, gold room fluxes – Golden City Chemicals Process control system (name/supplier): Allan Bradley PLC with Citect SCADA interface Production information management tools/systems (type/supplier name): In-house Maintenance system (name/supplier): Pronto Production manning/roster: 4 days on/3 days off – 14 hrs/day Maintenance manning/roster: 4 days on/4 days off

MAXWELLS PROCESSING PLANT

Location: Inglewood, Victoria Australia Ownership: GBGM Inglewood Pty Ltd, 100% owned subsidiary of Greater Bendigo Gold Mines Site management: Neil Yurman Minerals/fuels recovered: Gold Crushing plant total capacity: 10tph Primary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): 240 Pex granulator Secondary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): 37kW impactor Tertiary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): Ball mill Grinding media: Steel balls Screening plant/equipment (type/manufacturer/ capacity/screen sizes): Single deck 8*4 1.1 mm aperture nylon deck Mineral liberation/recovery method: Hydraulic sluice/ centrifugal fluidised concentrators Mineral liberation plant/equipment (flotation tanks, etc – type/manufacturer/capacity): Mechanical and air agitated CIP tanks ~ 300tpd Process pumps (type/manufacturer/capacity): Warman Chemicals/reagents used (type/supplier): Various Maintenance system (name/supplier): Onsite owneroperated Production manning/roster: 12hrs 7 days

STAWELL

Location: Stawell, Victoria Ownership: Aurico Gold Site management: Aurico Gold Minerals/fuels recovered: Gold Throughput rate (2011): 99.2tph Forecast throughput rate (2011-12): 100tph Nameplate capacity of plant: 2640tpd Crushing plant total capacity: 225tph Primary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): Ruwolt single toggle/ fixed jaw crusher fed by vibrating grizzly, feed size 600mm, product size -80mm. capacity 2700t/ shift (crushing day shift only) Secondary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): 2 x Symons cone crushers (in parallel), feed +12mm, closed size setting target 8mm, 1x Allis Chalmers ball mill (powered by 1.3MW motor), 2640 tpd, feed size -12mm, final product size 125μm Mineral liberation/recovery method: Flotation & CIL, gravity Mineral liberation plant/equipment (flotation tanks, etc – type/manufacturer/capacity): 2 x 20cu.m Outotec TC20 cells, 4 x 8.5cu.m Agitair scavenger cells, 4 x 3.0cu.m Outukumpu cleaner cells. Cleaner concentrate to 5” hydroclyclone, oversize to Metprotech stirred ball mill, feed size 50-40μm, product size 15μm Mineral/fuel processing/recovery plant/equipment (tanks, thickeners, etc): 1 x 4m Supaflo thickener; 12 x air agitated pachuca tanks (LV1-6 264cu.m, LV7-12 130cu.m) Process pumps (type/manufacturer/capacity): Warman 8/6 – mill discharge; Warman 4/3 – leach/float feed, float tail; Warman 6/4, 4/3 in series –leach tail; Warman 1.5/1 – thickener U/F, stirred mill, 5” cyclone feed Chemicals/reagents used (type/supplier): Redox Chemicals and Amtrade International cyanide, Unimin Australia Lime, Caltex Kerosene, BASF Australia magnafloc, Huntsman polyfroth H57, Omega Chemicals hydrochloric acid, Orica caustic soda, Sinoz Chemicals PAX, Amtrade lead nitrate, Sinoz Chemicals copper sulphate, Air Liquide Australia oxygen Process control system (name/supplier): Citect Production information management tools/systems (type/supplier name): Developed in-house with adapted software Maintenance system (name/supplier): Pronto Production manning/roster: 4 x 4 person shifts on 4/4 roster (2 x 12hr dayshift/2 x 12hr nightshift), 2 x 4/4 dayshift roster. Maintenance manning/roster: 6 x 1 person shifts on 4/4 roster (4 x 12hr dayshift/nightshift rotation), 3 x Mon-Fri 8hrs, 1 x apprentice Mon-Fri 8hrs

97


Mineral Processing Plant Survey WESTERN AUSTRALIA GOLDFIELDS AGNEW

Location: Leinster, WA Ownership: Gold Fields Australia Site management: Gold Fields Australia Minerals/fuels recovered: Gold Nameplate capacity of plant: 1.2Mtpa Crushing plant total capacity: 1.32Mtpa. PacRim supply crushing and coarse ore screening services at Agnew Primary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): Primary crushing station comprising a dump hopper and 42”x30” single toggle Minyu jaw crusher complete with tramp removal magnet and hydraulic rock breaker. Maximum feed size of 600mm Secondary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): 16”x8” Allis Chalmers vibrating screen in closed circuit with a 1350 Kawasaki hydraulic cone crusher Tertiary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): Two 1350 Kawasaki hydraulic cone crushers in closed circuit with a 20”x8” Allis Chalmers vibrating screen. Final product target P80 is 8mm Grinding plant equipment: Primary grinding: Allis Chalmers ball mill, overflow type, 3.89m dia x 4.85m length, 175tph capacity, 1200kW motor, speed 15.9 rpm, 35%v/v ball charge, ball size 80 mm. 2 x 2 part polymer DSM screens, 175tph capacity, 2sq.m area, rectangular apertures of 3.4mm x 18mm (x 3) and 6mm x 18 mm (x 1); secondary grinding: Allis Chalmers ball mill, overflow type, 3.66m dia x 4.69 mm length, 1140kW motor, speed 17 rpm, 35%v/v ball charge, ball size 50 mm. 8 x Cavex 400CVX10 cyclones, 100mm vortex finder, 80mm spigot. 4 cyclones typically online at ~120 kPa cyclone feed pressure. Single deck vibrating trash screens, 3 online, 0.85 x 0.56mm aperture Grinding media: Supplier: Comsteel. Primary mill 80mm, secondary mill 50mm Screening plant/equipment (type/manufacturer/ capacity/screen sizes): KCH30 sieve bend cross-flow, rectangular aperture 4mm x 18 mm. Inter-tank static v-screens, 3 per adsorption tank, 1.60sq.m area, 1mm aperture. Carbon tails screen; 2 x Malco vibrating screen, 2.32sq.m area, 1 x 12.5 mm. Loaded carbon screen; Malco vibrating screen 2.08sq.m 1mm aperture. Regen dewatering/fines removal screen; Honert vibration screen, 0.72sq.m area, 1 x 24mm aperture Mineral liberation/recovery method: Gravity concentration followed by intensive cyanidation, standard cyanide leaching plus CIP process, electrowinning, calcining, smelting Mineral liberation plant/equipment (flotation tanks, etc – type/manufacturer/capacity): Gravity circuit: Knelson KCCD 30” concentrator, Gekko In-line leach reactor (ILR100BA, 500kg/cycle nominal capacity, 16 hr cycles), leach/CIP circuit: 3 pachuca leaching tanks, 6 pachuca adsorption tanks Mineral/fuel processing/recovery plant/equipment (tanks, thickeners, etc): Gravity: 1 x electrowinning cell (ILR pregnant solution, 10 steel wire cathodes, 500 Amps), CIP: Zadra elution /electrowinning circuit (3t column, 12 steel wool cathodes, 700 amps, cell is 2.6m long x 0.85m wide x 0.65m deep), Como Engineering activated carbon regeneration kiln (700C), calcine oven (850oC), barring furnace with A200 crucible. Typical products are 85% Au Gravity doré and 60% CIP doré Process pumps (type/manufacturer/capacity): 2x Warman 6/4 DSM Feed pumps, variable speed, and 6V closed impellor. 2x Warman 10/8 cyclone feed pumps, variable speed, model, 5V closed impellor. 2 x Warman 6/4 CIL feed pumps, variable speed, 5 V closed impellor. 2 x Warman 6/4 tails pumps, variable speed, 6V closed impellor. 1x Warman pump – ILR Chemicals/reagents used (type/supplier): Cockburn Cement quicklime 81% CaO, CSBP sodium cyanide 30% w/v, Newfarm chemicals sodium hydroxide 49% w/v, Millennium chemicals hydrochloric acid 50% w/v, MPC LeachWellGC (ILR), Nalco Alfloc H199 flocculant (ILR), Pica activated carbon, BOC gases liquid oxygen (ILR),

98

silica, soda ash and borax fluxes Refining plant/equipment (type/manufacturer/ capacity): Calcine oven (850C), barring furnace – A200 crucible Process control system (name/supplier): Allen Bradley SLC PLC, Citect SCADA Production information management tools/systems (type/supplier name): Mincom Maintenance system (name/supplier): SAP Production manning/roster: 8/6 roster, 12hr shifts Maintenance manning/roster: 8/6 roster, 12hr shifts

BRONZEWING

Location: Bronzewing Gold project via Leinster, WA Ownership: Navigator (Bronzewing) Pty Ltd – 100% Site management: Ian Bignell – GM Bronzewing operations Minerals/fuels recovered: Gold Nameplate capacity of plant: 2.5Mtpa Crushing plant total capacity: 2Mtpa Primary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): Ruwolt 60x48 double toggle jaw crusher Secondary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): Suedala H6000 Hydrocone crusher Grinding plant equipment: Morgardshammar 5200x8400 ball mill Grinding media: Steel balls Recycle crusher: Scats crusher Suedala H2000 Hydrocone Mineral liberation/recovery method: SAG milling, CIP & gravity Mineral liberation plant/equipment (flotation tanks, etc – type/manufacturer/capacity): 2 x leach tanks; 6 x CIP tanks Mineral/fuel processing/recovery plant/equipment (tanks, thickeners, etc): 8 tanks, knelsons, ILR Process pumps (type/manufacturer/capacity): Warman Chemicals/reagents used (type/supplier): Cyanide, lime, HCl, caustic Refining plant/equipment (type/manufacturer/ capacity): Split Anglo American Research Laboratories System Process control system (name/supplier): CITEC, Panel View Maintenance system (name/supplier): Pronto – Scope Systems Production manning/roster: 2 weeks on; 1 week off FIFO Maintenance manning/roster: 9 days on; 5 days off FIFO

CAROSUE DAM

Location: 110km northeast Kalgoorlie Ownership: Saracen Mineral Holdings Site management: Raleigh Finlayson (chief operating officer), Wayne Heedes (mill manager) Minerals/fuels recovered: Gold Nameplate capacity of plant: 2.4Mtpa Crushing plant total capacity: 2.4Mtpa Primary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): Single toggle jaw crusher – Nordberg C160 with 220kW motor. Feed (F100) 800mm, product (P100) 229mm Secondary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): Cone crusher – Nordberg HP-500 with 375kW motor. Feed opening 297mm. Product (P100) 70mm Grinding plant equipment: ball mill – Norberg 5.5 X 9.6 m. 4.5MW motor. Feed (F100) 70-mm, product (P80) 185 micron Grinding media: Forged steel ball with 650 HB, 25% 105mm : 75% 80-mm Screening plant/equipment (type/manufacturer/ capacity/screen sizes): Warman Cavex 250-mm Recycle crusher: Cone crusher Nordberg HP-100 Recrush crushing/grinding equipment(type/ manufacturer/capacity/feed & product size): Feed (P100) 30-mm, product (P80) 10mm Mineral liberation/recovery method: Gravity Mineral liberation plant/equipment (flotation tanks, etc – type/manufacturer/capacity): Knelson gravity concentrator XD-30, followed by CS-2000 Acacia reactor Mineral/fuel processing/recovery plant/equipment (tanks, thickeners, etc): 7 x leach and adsorption tanks,

1250cu.m each Process pumps (type/manufacturer/capacity): Warman slurry pump 12/10 at mill discharge Chemicals/reagents used (type/supplier): Sodium cyanide – AGR, quicklime – Cockburn Cement, hydrochloric acid – Millenium Chemicals, sodium hydroxide – Coogee Chemicals Refining plant/equipment (type/manufacturer/ capacity): Elution Zadra process followed by electrowinning Process control system (name/supplier): Citect DCS Maintenance system (name/supplier): Pronto Production manning/roster: FIFO/DIDO 2 weeks on/1 week off Maintenance manning/roster: FIFO/DIDO 8 days on/6 days off

COSMIC BOY CONCENTRATOR (FLYING FOX/SPOTTED QUOLL)

Location: Forrestania WA Ownership: Western Areas NL Site management: Western Areas Minerals/fuels recovered: Nickel sulphides (concentrator treats Flying Fox ore and will treat Spotted Quoll ore soon) Nameplate capacity of plant: 550,000tpa Crushing plant total capacity: 550,000tpa Primary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): Single toggle jaw crusher, trio, 750 x 1050mm, 220tph max, product size 90mm Secondary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): Trio, cone crusher, 1.04m, 200kW motor, product size 25mm Tertiary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): Trio, cone crusher, 1.04m, 200kW motor, product size 12mm Grinding plant equipment: 1000kW ball mill Grinding media: 18% chrome steel 50 and 80mm Screening plant/equipment (type/manufacturer/ capacity/screen sizes): Double deck vibrating screen, 2.4 x 6.1m, top screen for scalping 40mm, bottom screen for product 12mm Mineral liberation/recovery method: Grinding, classification and sulphide flotation Mineral liberation plant/equipment (flotation tanks, etc – type/manufacturer/capacity): Outotec SK240, Agitair 2-200 (12 cells in total), Outotec TC-30 (2 cells), Metequip cells replaced by OK3 (10 cells in total) Mineral/fuel processing/recovery plant/equipment (tanks, thickeners, etc): Concentrate thickener 10m dia high rate thickener, clarifier 7m dia high rate thickener, tailings 17m dia high rate Filtration plant/equipment (type/manufacturer/ capacity): Lasta filter (MCFHC), 1500 x 1500mm Process pumps (type/manufacturer/capacity): Warman 6/4, 2/1.5, Austral 4/3, 3/2, 2/1.5, 1.5/1 and Bredel SPX50 Chemicals/reagents used (type/supplier): Collect/PAX/ Logichem, pH modifier/quicklime/Cockburn Cement, frother/interfroth 56/Chemical and Mining Services, flocculant/magnafloc 10/Ciba Speciality Chemicals, as depressant/NaCN/Orica Process control system (name/supplier): Citect SCADA Production information management tools/systems (type/supplier name): Citect SCADA Maintenance system (name/supplier): Pronto Production manning/roster: Operators/shift work 8 days on 6 days off/4 panels 1 shift supervisor and 4 operators, production coordinators/8days on 6 days off/2 panels 1 per panel Maintenance manning/roster: Maintenance/8 days on 6 days off/2 panels 3 mechanical fitter/boilermakers, 2 electricians per panel, 1 infrastructure technician per panel, 1 maintenance superintendent, 1 maintenance supervisor, 2 maintenance planners/8 days on 6 days off

COSMOS NICKEL PROJECT

Location: Via Leinster Ownership: Xstrata Site management: Andrew Millar (resident manager), Hugh MacIsaac (mine manager), Don Zoetbrood (concentrator manager), Jim Ball (administration manager), Dave Hammond (geology manager) Minerals/fuels recovered: Nickel concentrates

MAY 2012 amm


Mineral Processing Plant Survey Nameplate capacity of plant: 450,000tpa Crushing plant total capacity: 450,000tpa Primary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): HJC 4230 single toggle, feed size < 0.05 m, product size 100% -100mm Secondary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): Dominion 515kW SAG mill, F80 ~25mm, P80 ~150 micron Tertiary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): M500 Isa mill, Xstrata Technology, F80 ~50 micron, P80 ~25 micron Grinding media: 125mm, 105mm steel balls for SAG mill. Maggoteaux Ceramex 2mm, 3.5mm ceramic beads for the Isa mill Mineral liberation/recovery method: Flotation, filter cake, off take Xstrata Nickel Sudbury Mineral liberation plant/equipment (flotation tanks, etc – type/manufacturer/capacity): Skim air 2.2cu.m, 14 flotation cells Outokumpu 4.27cu.m, 40cu.m Wemco float cell, Jameson cell Z1600, 400 cex 10 Cavex Warman cyclone, Krebb dsf 10 L 10-5 Mineral/fuel processing/recovery plant/equipment (tanks, thickeners, etc): Concentrate thickener superflow high rate 7m dia, tails thickener super flow high rate 5m dia OutoKumpu Filtration plant/equipment (type/manufacturer/ capacity): Larox PF32-38 Process pumps (type/manufacturer/capacity): Warman pumps Chemicals/reagents used (type/supplier): Soda ash, SEX (Orica), PAX (Orica), frother (Huntsman), cyanide (Orica), guar, flocculant (Ciba) Process control system (name/supplier): Yokagwa 3000 DCS system Maintenance system (name/supplier): SAP Production manning/roster: 9 days on 5 days off Maintenance manning/roster: 9 days on 5 days off Comments: Currently in the process of doing a plant expansion which will increase throughput rates to 450,000tpa. Upgrade involves the installation of additional grinding/flotation & thichening capacity

FIMISTON AND GIDJI ROASTER

Location: Kalgoorlie, WA Ownership: Newmont Australia Ltd 50%, Barrick Gold Australia 50% Site management: Brett McFadgen – mineral processing manager; Stephen Scott – Fimiston production superintendent; Peter Bogensperger – technical services superintendent; Tracey Beck, Gidji production superintendent Minerals/fuels recovered: Gold Nameplate capacity of plant: 12.7Mtpa Crushing plant total capacity: 16Mtpa but also used to produce road base for Superpit and underground back fill Primary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): Crushing – Burmac 1500; Allis Chalmers 54/74, 375kW gyratory. CSI. Jaques jaw crusher, Nordberg screens, 2 x 7ft XHD crushers Grinding plant equipment: Fimiston sulphide circuit: Fuller 10.9m x 4.88m, 12MW, variable speed SAG mill; 80% passing 117mm feed/80% passing 2.36mm product. ball mills – 2 x ANI Ruwolt 5.6m x 7.4m, 4.5 MW, p80 of 180 micron, Mt Charlotte circuit: ANI 7.52m x 3.35m, 2850kW SAG mill; bimodal feed of 80% passing 17mm feed/80% passing 2.36mm product. ball mill 4.7m x 7m, 2.8 MW, p80 of 170 micron, ultrafine concentrate grinding circuit: 2 x MIM Process Technologies IsaMill ultrafine grinding mills Grinding media: 125mm steel balls in SAG mills. Chrome steel balls in ball mills 60mm Recycle crusher: 7ft Symons XHD by 2 units. Mineral liberation/recovery method: Grinding/ultrafine grinding, flotation, CIP/CIL, flotation concentrate to off-site roaster and leach facility; recovery method: gravity concentration, concentrate roasting, CIP/CIL, pressure stripping, electrowinning, smelting Mineral liberation plant/equipment (flotation tanks, etc – type/manufacturer/capacity): Minproc 160cu.m rougher flotation cells; Outokumpu 150cu.m scavenger flotation cells; Outokumpu TC30 cleaner cells; Wemco

amm MAY 2012

8.5cu.m cleaner cells Mineral/fuel processing/recovery plant/equipment (tanks, thickeners, etc): 5 x 48in Knelson concentrators, 1 x Acacia reactor, 1 x 27m dia Supaflo thickener, 1 x 18m thickener Filtration plant/equipment (type/manufacturer/ capacity): Delkor 55M2 22kW, 30-40tph concentrate filters Process pumps (type/manufacturer/capacity): Warman slurry (various sizes to 12/10) Chemicals/reagents used (type/supplier): CSBP/AGR sodium cyanide; Logichem potassium amyl xanthate; CMS IF50 frother; Cockburn Cement quicklime; Logichem copper sulphate. Haycarb Carbon. Nalco antiscalants Refining plant/equipment (type/manufacturer/ capacity): 2 x 843 furnaces; 1 x TBN 800 furnace; 4 x electrowinning cells (24 1m x 1m cathodes) Process control system (name/supplier): Yokogawa Centum 3000 VP Production information management tools/systems (type/supplier name): PI, Babelfish Maintenance system (name/supplier): Indus International EMPAC 8.5 Production manning/roster: Operation staff only (excluding maintenance). 44 operators/4 supervisors at Fimiston. At Gidji Roaster 16 operators and 4 supervisors. Roster is 2 days, 2 nights and 4 days off. 12hr shifts Maintenance manning/roster: 42 permanent/37 contractors; typical maintenance crew size 12 personnel

HIGGINSVILLE PROCESSING PLANT

Location: Midway between Kambalda and Norseman, WA Ownership: Alacer Gold Minerals/fuels recovered: Gold Throughput rate (2010-11): 1.35 Forecast throughput rate (2011-12): 1.50 Nameplate capacity of plant: 1Mtpa Crushing plant total capacity: 1Mtpa – upgrade to 1.35Mtpa completed mid-2010 Primary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): Single toggle jaw crusher. Make is Trio, model C3648 Secondary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): Secondary crusher is a standard cone crusher. Make is Trio and the model is Turbocone TC66. Feed opening is 240mm and the product P80 is 27mm Tertiary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): Tertiary crusher is a short head cone crusher. Make is Trio and the model is Turbocone TC66. Feed opening is 90mm and the product P80 is 14mm Quaternary crushing/grinding plant/machinery (type/manufacturer/capacity/feed & product size): Quaternary crusher is a short head cone crusher. Make is Trio and the model is Turbocone TC51. Feed opening is 53mm and the product P80 is 12mm Grinding plant equipment: The single ball mill is a CITIC 4.9X6.77m overflow mill. The F80 to the mill is 9mm and the P80 is 75microns Grinding media: The grinding media for the ball mill is composed of 80mm and 65mm carbon steel balls Screening plant/equipment (type/manufacturer/ capacity/screen sizes): The static grizzly over the ROM bin has a spacing of 700 x 700mm. The scalping screen over the secondary crusher is a Minspec vibrating single deck screen with dimensions of 1.2m x 4.8m. Screen aperture is 32mm and the duty capacity is 225tph. The product screen is a Minspec – maxiflow vibrating double deck screen with dimensions of 2.4 x 7.3m Mineral liberation/recovery method: Metallurgical testwork indicate the ore contains simple free milling gold amenable to processing through a standard CIP/CIL gold processing plant with an installed gravity circuit. Operation of the plant has yielded recoveries consistently above 96% Mineral/fuel processing/recovery plant/equipment (tanks, thickeners, etc): One leach and 6 adsorption tanks for the cyanidation and dissolution of gold from the ore. The single leach tank has an effective tank volume of 1000cu.m. The total effective tank volume of

the adsorption tanks is 6000cu.m. Carbon is stripped by Pressure Zadra in a 4t column following acid washing stage and rinsing stage. The gravity circuit concentrates from the Knelson XD40 centrifugal concentrator are electrowon following intensive cyanidation Filtration plant/equipment (type/manufacturer/ capacity): Paste plant utilizing 2 FLSmidth 3.81m dia, 6 disc filters to generate material suitable for underground fill. Plant design 75cu.m/h Process pumps (type/manufacturer/capacity): The mill discharge pumps are Warman from Weir. Miscellaneous process pumps from Linatex and Flowserve Chemicals/reagents used (type/supplier): Sodium cyanide supplied by CSBP, quicklime & cement from Cockburn Cement, caustic soda and hydrochloric acid from Coogee Chemicals Process control system (name/supplier): Citect Maintenance system (name/supplier): Pronto Production manning/roster: 42 crew team (including paste plant) with roster being mainly an 8 days on/6 days off roster Maintenance manning/roster: 22 contract crew team with roster being mainly 9 days on 5 days off roster

Jaguar Operations

Location: 60km north of Leonora, WA Ownership: Jabiru Metals Ltd Minerals/fuels recovered: Copper and zinc concentrate Nameplate capacity of plant: Nominal throughput rate of 400,000tpa Primary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): Single stage crushing circuit – crusher product p80 = 66.8mm (from a maximum size of 600mm) Secondary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): Cone crusher/Trio/for HMS plant Tertiary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): Cone crusher/Trio/ for HMS plant Grinding plant equipment: Hardinge SAG mill – 6.09m dia 2.74m long, high aspect; reduction from the p80 = 66.8mm of the crusher product down to a p80 = 0.800mm or 800µm discharge Grinding media: 125mm Donhad balls in SAG, 36mm Maggoteaux balls in ball mill Screening plant/equipment (type/manufacturer/ capacity/screen sizes): 16mm aperture screen trommel Mineral liberation/recovery method: Differential flotation, incorporating the processes of crushing, grinding, classification, flotation, thickening, filtration and tailings disposal. HMS plant for upgrading low grade ore for mill feed, utilising secondary crushing, tertiary crushing and Bateman modular HMS plant Mineral liberation plant/equipment (flotation tanks, etc – type/manufacturer/capacity): OK 20, OK5, Agitair conventional cells Mineral/fuel processing/recovery plant/equipment (tanks, thickeners, etc): Thickeners Filtration plant/equipment (type/manufacturer/ capacity): Larox Process pumps (type/manufacturer/capacity): Weir Chemicals/reagents used (type/supplier): Interfroth 6-3N, Aero 5100, Aero 3477, lime, sodium metabisulphite, copper sulphate Process control system (name/supplier): Citect Production information management tools/systems (type/supplier name): MPXDS (database)/Cube Consulting Production manning/roster: 2/1 Maintenance manning/roster: 2/1

JUBILEE MILL

Location: Kalgoorlie-Kambalda Highway, Kalgoorlie WA Ownership: Alacer Gold Minerals/fuels recovered: Gold Nameplate capacity of plant: 145tph Crushing plant total capacity: 1.3Mtpa Primary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): Feed <1m, grizzly, Malso vibrating pan feeder, Kurimoto 48x42” double toggle jaw crusher (p80 150mm), Eriez self cleaning belt magnet, 350tph to a 6,000 tonne stockpile Secondary crushing/grinding plant/machinery (type/

99


Mineral Processing Plant Survey manufacturer/capacity/feed & product size): F80 150mm, 3 Vibramech vibrating feeders, Eriez self cleaning belt magnet, metal detector, Eljay 66 cone crusher with standard head, Allis Chalmers scalping screen, 250tph Tertiary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): Stationary magnet, metal detector, Cedar Rapids MVP 550 cone crusher, Metso double deck riple flow product screen, p80 7mm, fine ore bin 3500t Grinding plant equipment: Conventional 2-stage grinding, Allis Chalmers SAG primary mill (4.6m dia, 2.288m length) and Sala secondary ball mill (3.3m dia, 6.2m length), 150tph, trunnion magnet removes steel, 6 x 15in Cavex cyclones with overflow p80 175 micron to feed CIP, 2 x 10in Cavex cyclones feed gravity circuit Grinding media: Comsteel balls (65, 80 and 90mm) Mineral liberation/recovery method: Two recovery methods of pregnant solution in the plant, the first is carbon in pulp followed by stripping of the loaded activated carbon, the second is the gravity circuit where feed from a Knelson concentrator is leached in an Acacia reactor. The pregnant solutions are combined to undergo electrowinning through 2 cells and smelting for shipment to Perth for refining Mineral/fuel processing/recovery plant/equipment (tanks, thickeners, etc): Mineral recovery equipment: leaching – 2 x 620 cu.m tanks with oxygen injection. Carbon adsorption – 1 x 620 cu.m tank and 2 trains of 4 x 390 cu.m tanks. All equipped with Lightnin gear boxes, tanks refurbished by Monodelphous and CPC. Malco loaded carbon screen feeds a 3.2 tonne capacity elution column with Alfa Lavell heat exchanges and Edwards thermocal heater. Two Allglass Australia electrowinning cells and a furnace are located in the goldroom Process pumps (type/manufacturer/capacity): Process pumps: 2 discharge pumps – Warman 10,8s, 2 leach feed pumps – Warman 8,6s, 4 tails pumps – Warman 8,6s, 2 oxygen injection pumps – Warman 8,6s Chemicals/reagents used (type/supplier): LPG, Kleenheat; scalex, Ecolab; cyanide, CSBP; caustic, CSBP; lime, Cockburn Cement; hydrochloric acid, Millennium Chemicals; oxygen, Air Liquide; carbon, Haycarb Process control system (name/supplier): RSView32 Active Display System Production information management tools/systems (type/supplier name): Microsoft Office Access 2007 Maintenance system (name/supplier): Pronto Enterprise Management System Production manning/roster: Business unit manager, mill foreman, metallurgist gold room foreman safety and training officer on 5 x 2 roster. 2 day crew on, 9 x 5 roster, 4 processung crews of 5 on 7 x 5 roster, 2 laboratory technicians on an 8 x 6 roster Maintenance manning/roster: Maintenance coordinator, maintenance planner, maintenance leading hand, 2 boilermakers, 3 fitters, 3 TAs, electrical supervisor, electrical leading hand, 2 electricians, 2 apprentices

KALGOORLIE NICKEL SMELTER & KAMBALDA NICKEL CONCENTRATOR

Location: Kambalda nickel concentrator – 56 km south of Kalgoorlie, WA. Kalgoorlie nickel smelter – south of Kalgoorlie, WA Ownership: BHP Billiton Site management: BHP Billiton Minerals/fuels recovered: Kambalda concentrator – mill and concentrator produce nickel containing approx 13% nickel; Kalgoorlie nickel smelter – flash smelting process produces matte containing approx 68% nickel. Nameplate capacity of plant: Kambalda nickel concentrator has a capacity of 1.6Mtpa of ore Kalgoorlie nickel smelter has a capacity to produce up to 110,000t of nickel matte a year Mineral liberation/recovery method: Smelter uses a flash smelting method. Dry concentrate is transported from Kambalda and Leinster to the smelter which produces granulated nickel matte. The matte is railed to the Kwinana nickel refinery or bagged for sale to overseas markets

KANOWNA BELLE

Location: 18km northeast of Kalgoorlie, WA Ownership: Barrick Minerals/fuels recovered: Gold

100

Nameplate capacity of plant: 1.5Mtpa Primary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): Crushing – Jaques 460tph, 60 x 48 double toggle jaw crusher; 1000mm top feed size; p80 150mm product size Secondary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): No secondary crushing. ANI 7.35m dia x 3.7m, 2850kW SAG mill; SAG screen O/S feeds recycle crusher, 45” Eljay Rollercone crusher Tertiary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): No crushing. ANI 4.35m dia x 7.33m ball mill Grinding media: Comsteel, Magotteaux Screening plant/equipment (type/manufacturer/ capacity/screen sizes): Honert 2.4m x 4.8m SAG discharge screen Mineral liberation/recovery method: Flotation, roasting, CIP Mineral liberation plant/equipment (flotation tanks, etc – type/manufacturer/capacity): 1 x 23cu.m Supaflo SK500 flash flotation with OK38 mechanism; 1x 17m dia x 17m TVT rougher column (122cu.m); 8 x 14cu.m Wemco scavenger cells, 2 x 50cu.m Outokumpu TC50 scavenger cells; 4 x 8cu.m Wemco cleaner scavenger cells, 3 x 3.4cu.m Wemco re-cleaner cells Mineral/fuel processing/recovery plant/equipment (tanks, thickeners, etc): Flotation tail leach circuit – Supaflo 17m dia high-rate thickener; 1 x 750cu.m leach tank; 2 x 750cu.m adsorption tanks; 3 x 535cu.m adsorption tanks; concentrate circuit – Supaflo 10m conventional thickener; Dorr Oliver two-stage fluidised bed roaster; Dorr Oliver 4m calcine thickener; 2 x 80cu.m leach tanks; 2 x 80cu.m adsorption tanks; 5 x 48cu.m adsorption tanks Filtration plant/equipment (type/manufacturer/ capacity): 2 x Supaflo CC30 ceramic disc filters Process pumps (type/manufacturer/capacity): Warman (12/10, 8/6, 6/4) slurry pumps Chemicals/reagents used (type/supplier): CSBP cyanide, Nalco flocculant, Gondwana carbon, Loongana lime, Tennant PAX, Coogee copper sulphate, Imtrade guar gum, Oreprep/Dowfroth frother, Newfarm caustic soda, Millenium HCL, Solway hydrogen peroxide, CSBP nitric acid, BOC oxygen, Elgas LPG, Ecolab anti-scalant Refining plant/equipment (type/manufacturer/ capacity): Split AARL, Alloytech 6t 304 SS elution column Process control system (name/supplier): Fisher Rosemount RS-3 DCS Production information management tools/systems (type/supplier name): Pi Historian/OSI Maintenance system (name/supplier): JD Edwards Production manning/roster: 32 personnel; 4 x 12hrs/day + 10 personnel; 9hrs/day, 5 days/wk Maintenance manning/roster: 16 personnel; 10hrs/day, 5 days/wk

MOUNT KEITH OPERATIONS

Location: 90km north of Leinster, WA Ownership: BHP Billiton Minerals/fuels recovered: Nickel Nameplate capacity of plant: Original plant construction 6.6Mtpa Primary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): Crushing – 1 x Allis-Chalmers 54/74 gyratory crusher; 1800-2500tph; feeds to coarse ore stockpile (live capacity 364kt); feed top size 1m; product size 100-120mm; grinding – 2 x ANI 10 MW semi-autogenous mill; inside dia 9.6 m, belly length 5.6 m; ~200mm x 20mm with 300mm x 40mm pebble ports. 2 x 33’” Krebs cyclones, 2 x 28” Krebs cyclones and 6 x 26” Warman cyclones for each module (can run different configurations to achieve desired balance between transfer grind size and throughput – options are: 3 x 26”, 28” and 2 x 26”, 33” and 2 x 26”, or 28” and 33”). Feed rate ~700tph per module from mill feed stockpile. Feed size (F80): 100-120 mm; product size (P80): 160-170mm. About 450-500tph diverted to ball mill 3 between the two modules and remainder to closed circuit ball mills. Feed to ball mill (F80): 600-700mm. Grinding media 125mm mild steel balls Secondary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): Grinding

– 2 x ANI 4 MW ball mills; inside dia 7.9 m, belly length 5 m; 40 x 10” Warman cyclones per Module. Additional ball mill: 1 x ANI 3MW; inside dia 6.4m, belly length 4.6m; 24 x 10” Warman cyclones. Feed size (F80): 600-700mm; product size (P80): 160-170mm. Grinding media 40 mm high chrome balls Tertiary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): Grinding – 1 x Svedala 935kW tower mill; inside dia 4.4m, height 3.6m; 18 x 10” Warman Cavex cyclones. Feed size (F80): 110-180&#61549;m; Product size (P80): 65mm. Grinding media 15mm cylpebs Screening plant/equipment (type/manufacturer/ capacity/screen sizes): 2 x ANI SAG mill 3.5m dia x 4m long discharge trommels; aperture 12mm x 36mm, 18mm x 35mm. 2 x ANI ball mill 2.5m dia x 4m long discharge trommels; aperture 9mm x 36mm. 1 x ANI ball mill 1.8m dia x 3m long discharge trammels; aperture 9mm x 36mm. 4 x Honert BRU.240/610-2xUE65 vibratory screen 2.1m x 6.1m trash screens (for desliming stages); aperture 1.6mm x 18.5mm crossflow. 1 x Honert VSO.11200/3600-U37X-K vibratory screen 1.8m x 3m; aperture 7mm x 75mm crossflow Mineral liberation/recovery method: Flotation; filter cake trucked to LNO; dry blend of LNO and MKO concentrate; trucked to Leonora then railed to BHP’s smelter south of Kalgoorlie Mineral/fuel processing/recovery plant/equipment (tanks, thickeners, etc): Deslimes/split-size – stage 1: 16 clusters of 20 x 4” Warman cyclones; stage 2: 8 packs of 160 2” Mozley cyclones per module. Primary flotation circuit – 2 modules of 6 x 43cu.m Wemco induced draft rougher cells, 2 x 92cu.m Wemco middlings cells, 9 x 92cu.m. Slimes flotation circuit – 1 x flotation column per module, 6 x Outokumpu 100cu.m cells for module 1 and 3 x Outokumpu 150cu.m cells for module 2. Cleaner/ recleaner flotation circuit – 9 x Outokumpu 38cu.m cleaner cells, 15 x 8cu.m recleaner cells. Concentrate quality improvement plant – 7 x Outokumpu 3cu.m cells, 1 x Kelsey jig. Dewatering plant/equipment – 4 x 15m dia Envirotech thickeners; 2 x 80m dia Dorr Oliver 80Mx6.820 type122S4 thickeners. Tailings dam central discharge, 4.6 km dia filtration plant/equipment – 2 x Larox PF35/38A2H pressure filters. Storage shed of approx 6000t capacity Chemicals/reagents used (type/supplier): Sodium ethyl xanthate collector (delivered as bulk liquid/35% SEX); Teric 405 frother – liquid; Guar gum talc depressant – solid, Magnafloc E10 flocculant – solid; soda ash dispersant – solid; sodium dithionite – solid; citric acid – solid; sulphuric acid pH modifier – liquid (delivered from BHPB smelter); Milsperse antiscalant – liquid Process control system (name/supplier): Honeywell DCS system; Amdel MSAs (23 streams); 3 x Outokumpu particle size analysers Production information management tools/systems (type/supplier name): Honeywell PHD process information history; Access metallurgical accounting database; Cclass laboratory management system. Maintenance system (name/supplier): SAP Production manning/roster: 4 x 10-person shift panels, production superintendent, senior metallurgist, 4 x plant metallurgists, 2 x MSA technicians, 2 x water service technicians. Most on 8/6 roster, 12 hr days FIFO from Perth Maintenance manning/roster: 2 x 33-person shift panels, maintenance superintendent, planning superintendent, 5 planners, 2 x engineers. Most on 8/6 roster, 12 hr days FIFO from Perth

MURRIN MURRIN

Location: Murrin Murrin – situated in the northern goldfields region between the towns of Leonora and Laverton in WA Ownership: Glencore International AG Site management: Wayne Ashworth – GM operations Minerals/fuels recovered: Nickel and cobalt bearing lateritic deposits Nameplate capacity of plant: 40,000tpa nickel and 2500tpa cobalt Crushing plant total capacity: 850tph Primary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): 750 MMD

MAY 2012 amm


Mineral Processing Plant Survey Sizer. 150mm maximum lump size Secondary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): Nordberg ball mill, laterite nickel ore, max 150mm feed size, discharging up to 25mm Screening plant/equipment (type/manufacturer/ capacity/screen sizes): Metso vibrating screens, primary passing up to 6mm, final passing up to 1.75mm Mineral liberation/recovery method: High pressure acid leach Mineral liberation plant/equipment (flotation tanks, etc – type/manufacturer/capacity): HPAL autoclaves Process pumps (type/manufacturer/capacity): Warman, Durco, Geho, Feluwa and various others Chemicals/reagents used (type/supplier): Manufactured onsite: sulphuric acid, hydrogen gas, oxygen gas, hydrogen sulphide gas, and steam. Externally sourced: natural gas, ammonia, hydrogen peroxide, flocculants Process control system (name/supplier): Yokogawa DCS Production information management tools/systems (type/supplier name): Mincom Ellipse Maintenance system (name/supplier): Mincom Ellipse Production manning/roster: 4 crews FIFO working 12hr days as follows: 15 days on (7 nights followed by one swing day and 7 days), 13 days off Maintenance manning/roster: FIFO working 12hr days continuous as follows: 8 days on/6 days off; or 4/3

Nickel West Leinster

Location: 375 km north of Kalgoorlie, WA Ownership: BHP Billiton Site management: BHP Billiton Minerals/fuels recovered: Nickel concentrate produced at Leinster nickel operation is shipped by rail to Nickel West’s Kalgoorlie nickel smelter for further processing

NORSEMAN

Location: Norseman, WA Ownership: Norseman Gold Site management: Michael Reed – resident manager, Damien Taplin – mill superintendent Minerals/fuels recovered: Gold Nameplate capacity of plant: 600,000tpa Crushing plant total capacity: 1.1Mtpa Primary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): Crushing – Kobelco 1.1Mtpa jaw crusher. Feed size 500mm, product size120mm; grinding – Vickers Ruwolt 75tph SAG mill Secondary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): Grinding – Morgardshammar 125tph ball mill Grinding media: Smorgon Steel Recycle crusher: Symons Mineral liberation/recovery method: Gravity, CIL Mineral liberation plant/equipment (flotation tanks, etc – type/manufacturer/capacity): Knelson concentrators, pachucas Mineral/fuel processing/recovery plant/equipment (tanks, thickeners, etc): AARL 1.5t Process pumps (type/manufacturer/capacity): Warman 4/3, 6/4, 8/6 Chemicals/reagents used (type/supplier): AGR cyanide, Cockburn quicklime, HCl – Millennium Chemicals Process control system (name/supplier): Citect Maintenance system (name/supplier): Pronto Production manning/roster: 18 personnel; 2 and 1/12hr shifts Maintenance manning/roster: 9 personnel; 9 and 5/12 hr shifts; Mill Roster – 10 days on, 5 days off

Paddington

Location: 35km north of Kalgoorlie on Menzies Rd Ownership: Norton Gold Fields Site management: Norton Gold Fields Minerals/fuels recovered: Gold Throughput rate (2010-11): 3,459,000 tonnes Forecast throughput rate (2011-12): 3.46Mt Nameplate capacity of plant: 3Mtpa Crushing plant total capacity: 4.5Mtpa Primary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): Allis Chalmers gyratory crusher (42/65), 5Mtpa, 110mm ccs, 400HP motor Grinding plant equipment: SAG mill (Morgardshammar

amm MAY 2012

– 8m x 5m, grate discharge 80mm pebble ports), ball mill (Hardgings 5m x 8m overflow mill) Grinding media: SAG – 125mm balls, ball mill – 65mm balls Recycle crusher: Sandvik H6000 Mineral liberation/recovery method: Gravity/CIL Mineral liberation plant/equipment (flotation tanks, etc – type/manufacturer/capacity): Gravity circuit – 4 x 30” Knelson concentrators, Acacia reactor (3t), Electrowin circuits (2 x 7t Zadra elution circuits) Mineral/fuel processing/recovery plant/equipment (tanks, thickeners, etc): Total leach/adsorption volume 15,500cu.m . Two high rate thickeners (30m dia) Process pumps (type/manufacturer/capacity): Mainly Warman slurry pumps – largest 14/12 Chemicals/reagents used (type/supplier): Cyanide (CSBP), lime (Cockburn Cement), flocculant (BASF), hydrochloric acid (Millenium Chemicals), caustic soda (Coogee), LPG (Kleenheat), grinding media (MolyCop), carbon (Gondwana) Refining plant/equipment (type/manufacturer/ capacity): 2 x 7t Zadra elution circuits, carbon regeneration kiln (Ansac – horizontal) Process control system (name/supplier): Minnovex – Expert system, serviced by SGS Maintenance system (name/supplier): Pronto Production manning/roster: Several rosters used (2 days/2 nights/4 off), (5 days/5 nights/5 off), (4 days/4 off) Maintenance manning/roster: Most on 5:2 roster, shift workers on 4 days/4 off, 4nights/4 off Comments: All ore processed is hauled to the Paddington mill by road trains. The main mines are Navajo Chief (open cut) and Homestead (underground)

ST BARBARA LIMITED – LEONORA OPERATION

Location: Leonora, WA Ownership: St Barbara Ltd Site management: St Barbara Ltd Minerals/fuels recovered: Gold Nameplate capacity of plant: 1.2Mtpa Crushing plant total capacity: 1.5Mtpa Primary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): KD 4842 H/Jaques/300tph/F80 = 700mm/P80 = 110mm Secondary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): Omnicone 1560/Nordberg/300tph/F80 = 60mm/P80 = 30mm Tertiary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): HP 500/ Metso/300tph/F80 = 25mm/P80 9mm Grinding plant equipment: Ball mill/2400kW/ Morgandshammer Grinding media: Steel balls/78 and 52mm Screening plant/equipment (type/manufacturer/ capacity/screen sizes): Jaques Mineral liberation/recovery method: Leach and adsorption Mineral liberation plant/equipment (flotation tanks, etc – type/manufacturer/capacity): Mechanically agitated tanks leach and CIL tanks Mineral/fuel processing/recovery plant/equipment (tanks, thickeners, etc): Tanks Process pumps (type/manufacturer/capacity): Warman Chemicals/reagents used (type/supplier): Cyanide – Orica; steel balls – CommSteel; lime – Cockburn; caustic – Orica; sulfuric acid – Millenium Chemicals; LPG – Kleenheat; oxygen – BOC Refining plant/equipment (type/manufacturer/ capacity): AARL elution circuit Process control system (name/supplier): SCADA Maintenance system (name/supplier): Pronto Production manning/roster: 8/6 + 7/7 Maintenance manning/roster: 8/6

ST IVES LEFROY GOLD PLANT

Location: Kambalda, Goldfields, WA Ownership: Gold Fields of South Africa Site management: St. Ives Gold Mining Company Ltd Minerals/fuels recovered: Gold Nameplate capacity of plant: 4.5Mtpa Primary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): Crushing – gyratory/FFE/design: 800dtph, max: 2000dtph/900mm/ P80 design: 110mm

Grinding plant equipment: Single stage SAG milling only, high aspect ratio SAG mill, 36ft x 20ft/FFE/design: 551dtph, actual: 585dtph, max: 640dtph/F80: 110mm/ cyclone overflow P80, actual: 125 micron Grinding media: 125mm dia forged balls Screening plant/equipment (type/manufacturer/ capacity/screen sizes): SAG discharge screen – Linear/ Schenk/1800tph/3.7m by 8.5m Recycle crusher: Cone crusher/Sandwik H6800/design: 140dtph, max: 190 DPTH/F100: 80mm/P80: 15mm Mineral liberation/recovery method: SAG milling + fine grinding of sulphides Mineral liberation plant/equipment (flotation tanks, etc – type/manufacturer/capacity): SAG mill + fine grinding of sulphides by using Vertimill Mineral/fuel processing/recovery plant/equipment (tanks, thickeners, etc): Gold leach: 5 x 3400 cu.m leach tanks; gold adsorption: 6 x 200 cu.m pump cell adsorption tanks; recovery of fine free gravity recoverable gold: 2 x SB2500 Falcon concentrators; recovery of fine free gravity gold: ILR 300 BA intensive cyanide leach reactor; recovery of gold locked within sulphides: 2 x IPJ2400 gravity concentrators; recovery of gold locked within sulphides: 1 x SB1350 Falcon; liberation of gold locked in sulphide minerals: Vertimill (VTM500), split Anglo gold elution acid wash and elution circuit: 5t capacity; carbon activation: 300 kg/hr capacity GFC carbon kiln; thickening: 40-m dia Outokumpu high rate thickener Process pumps (type/manufacturer/capacity): All slurry pumps: Warman; carbon pumps: Gould recessed impellor pumps Chemicals/reagents used (type/supplier): Cyanide: CSBP; caustic: Nufarm; hydrochloric acid: Millenium Chemicals; flocculant: SNF; quicklime: Cockburn Lime; LPG: Kleenheat; activated carbon: GS 65 by PICA Carbon; antiscalent, cleaning acids to clean scale buildup on equipment; various suppliers Refining plant/equipment (type/manufacturer/ capacity): 5 electrowinning cells (800 by 800mm); Gold smelting: 2 calcining ovens + 2 smelting furnaces (Kleenheat TA200) Process control system (name/supplier): Allen Bradley PLC (Control Logix) + RSView supervisory control system Production information management tools/systems (type/supplier name): ProcessNet + IP.21/Matrikon Maintenance system (name/supplier): Pronto Production manning/roster: 4 crew, 4 days shifts + 4 night shifts 6 days off Maintenance manning/roster: 10 days on 4 days off, 21 people in total

SUNRISE DAM

Location: 220km north-northeast of Kalgoorlie and 55km south of Laverton in WA Ownership: AngloGold Ashanti Site management: AngloGold Ashanti Minerals/fuels recovered: Gold Nameplate capacity of plant: 3.6Mt Crushing plant total capacity: 3.8Mt Primary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): Jaw crusher (Metso) Secondary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): Nordberg HP500 Tertiary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): 2 x Nordberg HP500 Grinding plant equipment: 1 x 4000kW primary ball mill, 2 x 1850kW secondary ball mills Grinding media: Magotteaux high crome grinding media Mineral liberation/recovery method: Gravity and carbon in leach Mineral liberation plant/equipment (flotation tanks, etc – type/manufacturer/capacity): 1 x 48” Knelson concentrator, 2 x 30 “ Knelson concetrators Mineral/fuel processing/recovery plant/equipment (tanks, thickeners, etc): 2X 7 (800cu.m) CIL tanks leach feed and tails thickeners Process pumps (type/manufacturer/capacity): Numerous Warmen pumps

101


Mineral Processing Plant Survey Chemicals/reagents used (type/supplier): Cyanide (AGR) Lime (Cockburn lime) Refining plant/equipment (type/manufacturer/ capacity): Elution circuit (AARL), electrwinning circuit Process control system (name/supplier): Citect Production information management tools/systems (type/supplier name): Tailored SQL/MS Access databse system Maintenance system (name/supplier): SAP Production manning/roster: 8/6 Maintenance manning/roster: 8/6

KIMBERLEY/PILBARA AREA C

Location: 120km northeast of Newman WA Ownership: Mt Goldsworthy Mining Associates JV Site management: Daniel Pop – Area C manager Minerals/fuels recovered: Iron ore Nameplate capacity of plant: 23.5Mt Crushing plant total capacity: 23.5Mt Primary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): Jaw crusher/Metso C160/1000tph (ore type dependent)/f80 – 1500mm, p80 -150mm Secondary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): Cone crusher/Metso HP800/1200tph/f80 -130mm, p80 – 30mm Screening plant/equipment (type/manufacturer/ capacity/screen sizes): 2 x scalping screens/Schenck double deck banana screens/2500tph/3.6 x 7.2m & 4 x product screens/Schenck double deck banana screens/1800tph/3.6 x 7.2m Mineral liberation/recovery method: Dry crushing & screening to produce lump (-31.5mm+6.3mm) and fines (-6.3mm) products Process control system (name/supplier): Citect Production information management tools/systems (type/supplier name): E2E, P2B, MQ2 (database) Maintenance system (name/supplier): JDE.XE Production manning/roster: 2wks on/1wk off, 2 x 12hr shifts Maintenance manning/roster: 2wks on/1wk off, 2 x1 2hr shifts

ARGYLE

Location: 150km south of Kununurra, WA Ownership: Rio Tinto Site management: Argyle Diamonds Minerals/fuels recovered: Diamonds Nameplate capacity of plant: 9.2Mtpa Primary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): Crushing – Allis Chalmers superior 54/74 gyratory crusher, 3000tph, feed = f80 = 500mm, product = p80 = 300mm Secondary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): Crushing – Nordberg MP1000 Secondary crusher, 3000tph, feed = f80 = 300mm, product = p80 = 75mm Tertiary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): Crushing – 2 x high pressure rolls crushers by Krupp Polysius with smooth faced NiHard liners, 600tph each, feed = f80 = 75mm, product = p80 = 15mm Quaternary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): Crushing – 1 x Allis Chalmers 7ft standard tertiary cone crusher, 600tph, feed = f80 = 75mm, Product = p80 = 15mm Screening plant/equipment (type/manufacturer/ capacity/screen sizes): 15 double deck flat bed screens, 20 single deck flat bed screens, 3 single deck banana screens, 1 double deck banana screens, Schenk, various capacities, various apertures Recrush crushing/grinding equipment(type/ manufacturer/capacity/feed & product size): Crushing – 3 x Allis Chalmers 7ft standard recrush cone crusher 600tph each, feed = f80 = 15mm, product = p80 = 6mm Recrush HPGR crushing plant (type/manufacturer/ capacity/feed & product size): 1 x High Pressure grinding rolls made by KHD with studded rolls, 750tph, feed = f80 = 15mm, product = p80 = 6mm Mineral liberation/recovery method: Heavy medium separation, X-ray sorting Mineral liberation plant/equipment (flotation tanks, etc – type/manufacturer/capacity): 2 x 72m dia

102

Dorr-Oliver Dyna-Floc thickeners, 3 x drum scrubbers (Warman) Mineral/fuel processing/recovery plant/equipment (tanks, thickeners, etc): 10 x radial presentation sorters (applied sorting), 19 x HMS cyclones, 12 x Eriez magnetic separators Process pumps (type/manufacturer/capacity): Standard slurry pumps are Warman pumps of various sizes and design. Standard water pumps are Warman pumps of various sizes and design Chemicals/reagents used (type/supplier): Flocculants – supplied by Ciba Specialty Chemicals. ferrosilicon grade 270D – supplied by DMS Powders Process control system (name/supplier): 30 General Electric Series 6 Programmable Logic Controllers, Citect SCADA system Production information management tools/systems (type/supplier name): Ellipse (using Brio and Corvu systems for data interrogation) Maintenance system (name/supplier): Ellipse Production manning/roster: 4 crews of 11 operators working a 1 week days, 1 week nights, 2 weeks RDO roster Maintenance manning/roster: 2 crews of 20 tradesmen working a 2 weeks on, 2 weeks RDO roster

BROCKMAN

Location: 80km northwest of Tom Price, WA Ownership: Hamersley Iron Site management: RTIO Minerals/fuels recovered: Iron ore Nameplate capacity of plant: 8Mtpa Primary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): Crushing – Jaques FS6048, 400-450tph single toggle jaw crusher; +150mm feed; +30mm product Secondary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): 2 x Cedarapids RC5411, 54” roller cone crusher; variable capacity depending on feed size; +30mm product Screening plant/equipment (type/manufacturer/ capacity/screen sizes): 1 x Krupp 1500tph, 2.6m x 5m double deck turbo scalping screen; top deck 100 x 150mm/bottom deck 32 x 52mm. 1 x Schenck SL02473DX 2.4m x 7.3m single deck primary banana screen; 38mm x 68mm. 1 x Schenck SLD3676DC 3.6m x 7.3m double deck (bottom deck carrying pan screen); 8.5mm x 38mm. 2 x Schenck SLD3676DC 3.6m x 7.3m double deck fine product screens; 8.5mm x 38mm Mineral liberation/recovery method: Dry screening into lump/fines Process control system (name/supplier): Citect Production information management tools/systems (type/supplier name): PRA SMS moving toward Modular Mining in 2005 Maintenance system (name/supplier): SAP Production manning/roster: 2wks on/1wk off; 7 days/7 nights Maintenance manning/roster: 2wks on/1wk off; 7 days/7 nights

COYOTE GOLD PLANT

Location: Western Tanami Desert, WA Ownership: Tanami Gold NL Minerals/fuels recovered: Gold Nameplate capacity of plant: 250,000t Crushing plant total capacity: 280,000t Primary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): Nordberg 100B 750mm x 1000mm Secondary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): Chinese Hazamag type impact crusher Grinding plant equipment: 520kW 3.3m dia x 3.5m overflow ball mill Grinding media: 65mm 700 BHN Screening plant/equipment (type/manufacturer/ capacity/screen sizes): Double deck 1200mm x 3600mm Malco 70mm top aperture 14mm bottom aperture Mineral liberation/recovery method: Gravity CIL Mineral liberation plant/equipment (flotation tanks, etc – type/manufacturer/capacity): 2 x 30” CD Knelson concentrators Mineral/fuel processing/recovery plant/equipment

(tanks, thickeners, etc): 3 670cu.m CIP tanks. 6 x 10 cu.m pump cells Process pumps (type/manufacturer/capacity): Warman 6/4, 4/3 and 3/2 Chemicals/reagents used (type/supplier): Cyanide – Orica, lime – Adelaide Brighton, carbon – Hatcarb Refining plant/equipment (type/manufacturer/ capacity): Acacia reactor Production manning/roster: Total 18 operators 2wk on/1 wk off Maintenance manning/roster: 2wk on/1 wk off

GREATER PARABURDOO

Location: Paraburdoo, WA Ownership: Paraburdoo (Pilbara Iron), Channar (JV partnership between China Iron and Steel Industry and Trade Group Corporation and Pilbara Iron), Eastern Ranges (JV partnership between Baosteel and Pilbara Iron) Site management: Mark Eaglesham (GM, Greater Paraburdoo Operations), Sinead Kaufman (mine operations manager), James Henry (manager processing) Minerals/fuels recovered: Iron ore Nameplate capacity of plant: 22Mt Crushing plant total capacity: 24Mt Primary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): Gyratory crusher Allis 60*89 (Channar and Paraburdoo), Jacques single toggle jaw crusher 6050 (ER) Secondary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): 3 Symons 7ft standard heads Tertiary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): 4 Symons 7ft standard heads Screening plant/equipment (type/manufacturer/ capacity/screen sizes): 11 of 2.4m x 6.1m double deck Ludowichi Honert BRU screens; 1 Ludowichi Honert BRU banana scalping screen 2.4m x 6.1m; 2 of ‘6X16’ Tyrocket scalping screens Mineral liberation/recovery method: Dry screening into lump and fines; further wet processing of fines material Mineral liberation plant/equipment (flotation tanks, etc – type/manufacturer/capacity): 2-stage cyclone circuit, 4 of Schenck SRU 3.7m x 7.5m screens; 4 of Schenck 2.4m x 7m reverse banana screens Mineral/fuel processing/recovery plant/equipment (tanks, thickeners, etc): 75m Envirotech thickener Process pumps (type/manufacturer/capacity): Warman of various sizes and capacities Chemicals/reagents used (type/supplier): Flocculant – Ciba Process control system (name/supplier): Citect Production information management tools/systems (type/supplier name): Citect, Maptek, Modular Mining, Ampla Maintenance system (name/supplier): SAP Production manning/roster: 6/6, 3 days and 3 nights, 4 crews Maintenance manning/roster: 4/2, 4/4, day shift only, 2 crews

HOPE DOWNS 1

Location: 80km northwest of Newman, WA Ownership: JV Hancock Prospecting/Rio Tinto Iron Ore Site management: Rio Tinto Iron Ore Minerals/fuels recovered: Iron ore Nameplate capacity of plant: 30Mtpa (dry) Crushing plant total capacity: HD North primary crushing 22Mtpa (dry) and HD South plant 8Mtpa (dry) Primary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): Hope North PC: 1 x Metso Minerals C160 jaw crusher 140mm product size Hope South Plant: 1 x Metso Minerals C160 Jaw Crusher 140mm product size Secondary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): Hope North plant: 2 x Metso Minerals HP800 cone crushers, 36mm product size, Hope South plant: 1 x Metso Minerals HP800 cone crushers, 38mm product size Screening plant/equipment (type/manufacturer/ capacity/screen sizes): Hope North plant – scalping screens: 2 x Schenck 12 x 28ft double deck banana screen,

MAY 2012 amm


Mineral Processing Plant Survey max capacity 2750tph. Product screens: 5 x Schenck 12 x 28ft double deck banana screen, max capacity 1080tph. Hope South plant – Scalping screen: 1 x Schenck 12 x 28ft double deck banana screen Process control system (name/supplier): Citect Maintenance system (name/supplier): SAP Maintenance manning/roster: 34 maintenance or 88 maintenance and operational roster is a 2 week on 1 week off cycle. (7 dayshifts/7 nightshifts)

KOOLAN ISLAND

Location: Koolan Island Ownership: Mount Gibson Iron Site management: Processing plant managed by SJ Crushing Minerals/fuels recovered: Iron ore Nameplate capacity of plant: 4Mtpa Crushing plant total capacity: 4Mtpa Primary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): Kobelco 70C, 1524mm x 1219mm, double toggle Secondary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): Cone Screening plant/equipment (type/manufacturer/ capacity/screen sizes): Vibrating Schenk double deck banana, 3.6m x 7.6m Process control system (name/supplier): Mitsubishi PLC with Monitouch touch screen Production manning/roster: 12 days on, 9 days off

MOUNT WHALEBACK

Location: Newman, WA Ownership: Mount Newman JV Site management: Dean White, resident manager Whaleback Minerals/fuels recovered: Iron ore Nameplate capacity of plant: 38Mtpa (beneficiation 8Mt/ high grade 30Mt) Primary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): Allis Chalmers 60-89/6000tph/-1500mm (feed)/-200mm (product size) Secondary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): Allis Chalmers 30-70/2200tph/-200mm (feed)/-100mm (product size) Screening plant/equipment (type/manufacturer/ capacity/screen sizes): Schenck screens various capacities – both dry and wet screening, also Humboldt drain and rinse screens Mineral liberation/recovery method: Screening, gravity separation and heavy media Mineral liberation plant/equipment (flotation tanks, etc – type/manufacturer/capacity): Two Wemco heavy media drums, 550tph each, Mineral Technology primary spirals 400tph (96 starts), Mineral Technology scavenger spirals (48 starts), nine Multotec HMC, 50tph/cyclone Mineral/fuel processing/recovery plant/equipment (tanks, thickeners, etc): Dorr Oliver (waste slimes thickening) 91.5m dia Process pumps (type/manufacturer/capacity): Warman (various capacities and sizes) Chemicals/reagents used (type/supplier): Samancor FeSi/Ciba flocculant Process control system (name/supplier): Allen Bradley PLC/Citect, Minovex Advanced Process Control System Production information management tools/systems (type/supplier name): e2e (Honeywell product) Maintenance system (name/supplier): GSAP Production manning/roster: 52; 2 x 12hr shifts/day, 4 panel roster Maintenance manning/roster: 20 direct employees; 5 days/wk. Contractor supplement workgroups at peak loads

NIFTY COPPER OPERATION

Location: 200km southeast of Marble Bar, WA Ownership: Birla Nifty Pty Ltd Site management: Birla Nifty Pty Ltd Minerals/fuels recovered: Copper concentrate (chalcopyrite) Nameplate capacity of plant: 313tph Crushing plant total capacity: U/g crushing plant 500tph; surface 313tph Primary crushing/grinding plant/machinery (type/

amm MAY 2012

manufacturer/capacity/feed & product size): U/g TBA Surface: Jaw/ Nordberg C125/313tph/CSS 150mm Grinding plant equipment: Grate discharge SAG mill 6.1m x 7.9m, overflow ball mill 4.4m x 8.1 Grinding media: SAG 125mm/100mm steel balls bal lmill 50mm steel balls Mineral liberation/recovery method: Froth flotation Mineral liberation plant/equipment (flotation tanks, etc – type/manufacturer/capacity): Outokumpu OK70TC rougher flotation cell (70cu.m); Outokumpu OK8 rougher cleaner flotation cell 1/2/3 (8cu.m); Outokumpu OK70TC scavenger flotation cell 1/2/3/4/5 (70cu.m); Outokumpu OK3HG scavenger recleaner flotation cell 1/2/3 (5cu.m); Outokumpu OK8 scavenger cleaner flotation cell 1/2/3/4/5/6 (8cu.m) Filtration plant/equipment (type/manufacturer/ capacity): Plate and frame filter press/Andritz/45tph (concentrate filter press) Process pumps (type/manufacturer/capacity): centrifugal pumps 16/14, 6/4, 8/6, 4/3/Warman/Various 7cu.m/ hr to 950cu.m/hr Chemicals/reagents used (type/supplier): Sodium isobutyl xanthate, H22/Huntsman, lime/Cockburn cement, magnafloc/10 BSAF Refining plant/equipment (type/manufacturer/ capacity): N/A (on care and maintenance) Process control system (name/supplier): Citect operator interface Production information management tools/systems (type/supplier name): Microsoft Office 2000 based inhouse system; PI data historian/OSIsoft Maintenance system (name/supplier): Elipse system/ Mincom Production manning/roster: 53 personnel; 8/6 roster; 12hrs/shift Maintenance manning/roster: 44 personnel; 8/6 roster; 12hrs/shift

NULLAGINE PROJECT

Location: Pilbara region, WA Ownership: BC Iron, Fortescue Metals Minerals/fuels recovered: Iron ore Crushing plant total capacity: 6500t throughput per 12hr shift Primary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): Striker Secondary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): Striker Tertiary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): Striker Screening plant/equipment (type/manufacturer/ capacity/screen sizes): Striker

OREBODY 23/25

Location: 8km east of Newman, WA Ownership: Mount Newman JV Minerals/fuels recovered: Iron ore Nameplate capacity of plant: 8Mt Primary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): Jaques 4842 type double toggle jaw crusher. 500tph feed rate. Max feed size 800mm – product size 150mm Secondary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): Plant currently being upgraded (Nordberg HP800 secondary cone crusher being installed. Max product size 35mm) Screening plant/equipment (type/manufacturer/ capacity/screen sizes): Screening plant currently being upgraded (Joest vibrating feeder FUF 1260 – 300 x 2800) Process control system (name/supplier): Citect (being installed) Production information management tools/systems (type/supplier name): BHP Billiton IO in-house system. Continuous Stockpile Management System – CSMS Maintenance system (name/supplier): JDE Production manning/roster: 2/1 roster Maintenance manning/roster: 2/1 roster

PANNAWONICA – MESA J

Location: 200km southeast of Karratha, WA Ownership: JV – Rio Tinti 53%, Mitsui & Company (Australia) 33%, Nipon Steel Australia 10.5%, Sumitomo Metal Australia 3.5% Minerals/fuels recovered: Iron ore

Throughput rate (2010-11): 8Mt Forecast throughput rate (2011-12): 8.3Mt Nameplate capacity of plant: 8.3Mt Primary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): ROM ore feed directly onto trains to Cape Lambert where crushing and screening undertaken prior to ship loading. MMD sizer (1500) used to size oversize material prior to train loading Screening plant/equipment (type/manufacturer/ capacity/screen sizes): Processing plant 1 capacity 4.6Mt/ yr feed – main components: 1 x 750 MMD rolls sizer, 2 x 3.6m x 7.4m RCR scrubber trommels. tyre driven, 2 x 2.45m x 4.88m double deck Schenck screens, 3 x 12/10 Warman tails pumps; processing plant 2 capacity 8.3Mt/ yr feed – main components: 1 x 1300 MMD rolls sizer, 2 x 3.6m x 7.4m RCR scrubber trommels. tyre driven, 2 x 3.06m x 6.1m double deck Schenck screens, 4 x 12/10 Warman tails pumps Process control system (name/supplier): Citect Production information management tools/systems (type/supplier name): Citect, AMPLA Maintenance system (name/supplier): SAP Production manning/roster: 2 x 12 hr shifts per day Maintenance manning/roster: 2 x 12 hr shifts per day

SAVANNAH NICKEL MINE

Location: East Kimberley district of WA Ownership: Panoramic Resources Site management: Terry Strong – operations manager Minerals/fuels recovered: Nickel, copper, cobalt concentrate Nameplate capacity of plant: Originally designed for a throughput of 750,000tpa but has consistently outperformed the design specifications. Process personnel are confident the mill can operate up to a capacity of 900-950,000tpa Mineral liberation/recovery method: Crushing, grinding via a SAG mill, flotation, thickening and filtering

WEST ANGELAS

Location: 110km west of Newman, WA Ownership: Rio Tinto 53%, Mitsui & Company (Australia) 33%, Nippon Steel Australia 10.5%, Sumitomo Metal Australia 3.5% Minerals/fuels recovered: Iron ore Nameplate capacity of plant: 25Mt Primary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): Crushing – Nordberg C160 jaw crusher Secondary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): 2 x Metso HP800 cone crusher Screening plant/equipment (type/manufacturer/ capacity/screen sizes): 5 x Schenck double deck banana screens Mineral liberation/recovery method: Dry crushing and screening into lump and fines Process control system (name/supplier): Citect Production information management tools/systems (type/supplier name): Citect, Minesuite, ePlant, CCLAS, SMS Maintenance system (name/supplier): SAP Production manning/roster: 12; 2 x 12hr shifts/day Maintenance manning/roster: 12; 2 x 12hr shifts/day

WHEELARRA/OREBODY 18

Location: Wheelarra – 42km east of Newman, WA; Orebody 18 – 32km east of Newman, WA Ownership: BHP Billiton Iron Ore Pty Ltd Site management: Newman JV Contract Mines (BHP Billiton) & Macmahon Mining under contract to BHP Billiton Minerals/fuels recovered: Iron ore Nameplate capacity of plant: 12Mtpa Crushing plant total capacity: 12Mtpa Primary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): Metso superior MKII gyratory crusher; double toggle, 1220mm x 915mm feed with running 140mm gap Process pumps (type/manufacturer/capacity): 1 x Kelly & Lewis water pump for dust suppression of ore during train loading, Warman pumps/Grundfos gland water pumps for plant suppression Process control system (name/supplier): Citect

103


Mineral Processing Plant Survey Production information management tools/systems (type/supplier name): BHP Billiton Iron Ore in-house CSMS and mine quality (MQII) Maintenance system (name/supplier): Mainnet Production manning/roster: 3 shift roster. 14/7 roster cycle residential and FIFO. 12hr shift Maintenance manning/roster: 3 shift roster. 14/7 roster cycle residential and FIFO. 12hr shift

YANDI

Location: West of Newman Ownership: Yandi JV Site management: Michelle Ash (project director) Minerals/fuels recovered: Iron ore Nameplate capacity of plant: Ore handling plant 1 16.6Mtpa, OHP2 15.4Mtpa, ICP 5.5Mtpa. Total nameplate capacity 36.5Mtpa Crushing plant total capacity: 56Mtpa Primary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): OHP1 – Jaques single toggle jaw crusher 1.5 x 1.3m. Final product size of -200mm @ 3000tph; OHP2 – Jaques single toggle jaw crusher 1.5 x 1.3m. Final product size of -200mm @ 3000tph; ICP – Jaques single toggle jaw crusher 60” x 50”. Final Product size of -200mm @ 1000tph; IOWA – Jaques single toggle jaw crusher. Final product size of -200mm @ 3500tph Secondary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): OHP1 – Jaques cone crusher RB4/450/50, 350tph, -200mm, -75mm, Jaques gyro cone crusher 50/300, 365tph, -150, -75mm; OHP2 – Jaques cone crusher RB4/450/50, 350tph, -200mm, -55mm; ICP – Jaques cone crusher J65, -200mm, -55mm Tertiary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): OHP1 – Jaques gyrocone crusher 50/150, -75mm, -12mm; OHP2 – Jaques cone crusher RB4/150, 366tph, -55mm, -12mm; ICP – Sandvik cone H8000, -55mm, -12mm Screening plant/equipment (type/manufacturer/ capacity/screen sizes): 4 x Joest double deck scalping screens, 11 Joest double deck banana screens, 2 Metso double deck banana screens. Various capacities, various apertures Process control system (name/supplier): Citect Production information management tools/systems (type/supplier name): Microsoft Access, Ampla Maintenance system (name/supplier): JD Edwards Production manning/roster: 2 x 1 FIFO roster Maintenance manning/roster: 2 x 1 FIFO roster

YANDICOOGINA

Location: 90km northwest of Newman, WA Ownership: Hamersley Iron (Rio Tinto Iron Ore) Site management: Alex Bates – GM Darren van der Wielen – Registered Manager Charlotte McCully – Mining Manager Minerals/fuels recovered: Iron ore Throughput rate (2010-11): 53Mtpa Forecast throughput rate (2011-12): 53Mtpa Nameplate capacity of plant: 52Mtpa Crushing plant total capacity: 52Mtpa Primary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): Dry plant – Nordberg jaw crusher, wet plant – MMD1300 primary sizer, JSE plant- Abon primary sizer Secondary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): Sandvik H8800, MMD625 sizer Tertiary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): Metso MP1000 Screening plant/equipment (type/manufacturer/ capacity/screen sizes): Schenck – banana screes – various sizes Mineral liberation/recovery method: Crushing, dry screening Process pumps (type/manufacturer/capacity): Warman 12/10 Chemicals/reagents used (type/supplier): SNF AN905SH Process control system (name/supplier): Citect Production information management tools/systems (type/supplier name): Ampla, Babelfish Maintenance system (name/supplier): SAP

104

Production manning/roster: 2wks on/1 off Maintenance manning/roster: 2wks on/1 off

YARRIE/NIMINGARRA

Location: 210km east of Port Hedland, WA Ownership: Mt Goldsworthy Mining Associates JV Site management: Andrew Weir – manager Yarrie Minerals/fuels recovered: Iron ore Nameplate capacity of plant: 16Mt Crushing plant total capacity: 16Mt Primary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): Gyratory/ Svedala/2x8Mtpa/ROM-150mm Process control system (name/supplier): Cytect Maintenance system (name/supplier): Leighton Production manning/roster: 2:1 Maintenance manning/roster: 2:1

MURCHISON/YILGARN DARLOT

Location: 125km north of Leonora, WA Ownership: Barrick Gold Australia Minerals/fuels recovered: Gold Nameplate capacity of plant: 680,000tpa Crushing plant total capacity: 1.1Mtpa. 0.8Mtpa ore minus 9mm, p80 6mm underground ore @ BWI 18kWhr/t; 0.3Mtpa aggregate minus 40mm, or minus 9mm crushed underground waste Primary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): 1 x Jaques 42 x 36 type H double-toggle jaw crusher Secondary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): 1 x Metso HP400 cone crusher Tertiary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): 1 x Metso HP400 cone crusher Grinding plant equipment: Two-stage grinding, 94tph. Morgardshammar 6.0 EGL x 3.8 ID steel grid lined 1000kW primary mill, grate discharge, 16% BC, closed circuit Warman Cavex 500 cyclones p80 300μm; ANI 4.44 EGL x 3.05ID rubber lined overflow 600kW secondary mill, 39% BC, closed circuit Warman 10CE cyclones p80 110μm Grinding media: Comsteel grinding balls Screening plant/equipment (type/manufacturer/ capacity/screen sizes): 1 x Metso TS503 multi-slope screen Mineral liberation/recovery method: Gravity, CIP Mineral recovery method: Conventional carbon stripping; some gravity recovery of coarse gold Mineral/fuel processing/recovery plant/equipment (tanks, thickeners, etc): 1 x 600cu.m leach tank, 2 x 600cu.m and 8 x 200cu.m CIL tanks Process pumps (type/manufacturer/capacity): Warman slurry pump 8/6 132kW (primary mill); Warman slurry pump 8/6 132kW (secondary mill); Warman slurry pump 6/4 30kW (leach); Warman slurry pump 6/4 110kW (tails) Chemicals/reagents used (type/supplier): Orica cyanide, Cockburn Cement lime, Orica caustic soda, Orica hydrochloric acid, Air Liquide oxygen, Kleenheat LPG Refining plant/equipment (type/manufacturer/ capacity): 4t SS column Pressure Zadra elution circuit (Como Engineering); dual 30 cathode electrowinning cells; 4t rubber-lined acid wash column; 250kg/hr rotary LPG fired regeneration kiln (ANSAC), 2 x Kleenheat LPG fired smelting furnaces, mineral cone Process control system (name/supplier): Citect Production information management tools/systems (type/supplier name): Oracle Maintenance system (name/supplier): Oracle Production manning/roster: 7/7,8/6 Maintenance manning/roster: 8/6

EDNA MAY OPERATION

Plant name:Edna May Operation Pty Ltd Location: Westonia, WA Ownership: Evolution Mining Site management: David Schmitz – resident manager Minerals/fuels recovered: Gold Throughput rate (2011-12): 2.5Mtpa Forecast throughput rate (2012-13): 2.8Mtpa Nameplate capacity of plant: 2.8Mtpa Crushing plant total capacity: 2.8Mtpa Primary crushing/grinding plant/machinery (type/

manufacturer/capacity/feed & product size): Single stage crushing, single toggle jaw 1066mm x 1371mm, feed size 800mm, product size p80 120mm Grinding plant equipment: SABC, SAG with 2,000kW installed power, SAG mill size 6.71m x 2.59m, rubbersteel composite liners, ball mill with 3,720kW installed power, ball mill size 5.03m x 8.21m, rubber liners. Classification WarmanCavex 400 mm (400CVX) Grinding media: Donhad 120mm SAG, ball mill 90mm Screening plant/equipment (type/manufacturer/ capacity/screen sizes): Trash screen horizontal vibratory 2.4m x 6.1m, polyurethane deck 0.8mm cross flow slots Recycle crusher: Rollercone cone crusher 150kW, 85tph capacity, 12mm CSS Mineral liberation/recovery method: Gravity & CIP Mineral/fuel processing/recovery plant/equipment (tanks, thickeners, etc): Knelson concentrator XD 40, followed by Consep Acacia reactor type CS 1000DM. CIP leach circuit with 2 x 2000cu.m tanks and 6 x 1100cu.m absorption tanks. Elution circuit – pressure Zadra. 3 x electrowinning tanks 2 in parallel for leach circuit and 1 for gravity circuit Chemicals/reagents used (type/supplier): Sodium cyanide, Oxygen 3 t/d PSA plant, quicklime, sodium hydroxide, hydrochloric acid, activated carbon, LPG Process control system (name/supplier): Citect PCS Maintenance system (name/supplier): Pronto Production manning/roster: 4 shifts, 8/6 roster Maintenance manning/roster: 2 shifts, 8/6 roster

GOLDEN GROVE

Location: 350 km northeast of Perth, 280km east of Geraldton Ownership: MMG Mining Site management: GM: Bruce Farmer Minerals/fuels recovered: Zinc concentrate, copper concentrate and lead concentrate containing significant gold and silver Nameplate capacity of plant: 1.7Mtpa Crushing plant total capacity: 350tph Primary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): 1 x Vickers Ruwolt 60”x 48” double toggle jaw crusher, 185kW motor, 120mm css, P80 = 75mm; 1 x ANI 6.7m x 2.1m SAG mill, 1500kW motor, integral steel shell lifter/liners, feed end rubber plates and composite steel/rubber lifters, discharge end composite steel/rubber lifters with 70 x 125mm rubber pebble port grates and rubber pulp lifters, discharge onto 10 x 20 mm trommel screen, 125/125mm ball mix, 15% ball charge & 25% total charge Secondary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): SAG mill in closed circuit with 1 x 1352 Omnicone pebble crusher, 90tph capacity @ F100 = 70mm & P80 = 8mm; 1 x ANI 3.8m x 6.7m overflow ball mill, 1500kW motor, rubber lifters/liners, 40/65mm ball mix, 35% ball charge, 350% recirculating load. SAG trommel u/s and ball mill product combined for primary cyclone feed. 6 x 20CS Warman cyclones with rubber liners. Primary cyclone o/f directed to flotation feed @ P80 = 108μm Recrush crushing/grinding equipment(type/ manufacturer/capacity/feed & product size): 1 x ANI 2.7m x 4.3m concentrate regrind ball mill, 400kW motor, closed circuit with 8 x 6C FSA/3 x 15CE-FSA Warman cyclones; 1 x ANI 2m x 3.1m concentrate regrind ball mill, 150kW motor, closed circuit with 4 x 10C FSA Warman cyclones Mineral liberation/recovery method: Crushing, grinding, sequential flotation, thickening, filtration, CHF backfill Mineral liberation plant/equipment (flotation tanks, etc – type/manufacturer/capacity): 1 x Dorr Oliver DO300 32cu.m flotation bank, 2 x Dorr Oliver DO600 64cu.m flotation banks, 3 x Batequip BQ80 32cu.m flotation banks, 1 x Batequip BQ30 12cu.m flotation bank, 2 x Dorr Oliver DO100 12cu.m flotation banks, 3 x Denver DR300 34cu.m flotation banks, 1 x Batequip BQ80 48cu.m flotation bank, 1 x Outokumpu OK8 48cu.m flotation bank, 1 x Denver DR180 30cu.m flotation bank, 2 x Outokumpu OK3 HG 17cu.m flotation banks, 4 x 2.44m dia x 15m high Cominco flotation columns with Microcel sparging arrangement, 3 x Proflote units Mineral/fuel processing/recovery plant/equipment

MAY 2012 amm


Mineral Processing Plant Survey (tanks, thickeners, etc): 2 x 6.1m dia Supaflo concentrate thickeners, 2 x 21.4m dia Supaflo concentrate thickeners Filtration plant/equipment (type/manufacturer/ capacity): 2 x 100m2, 1 x 60sq.m Eimco vacuum disc filters, 1 x 36 plate Metso VPA filter Process pumps (type/manufacturer/capacity): Warman slurry and froth pumps (various), Bredel thickener u/f pumps (various), Southern Cross water pumps. Chemicals/reagents used (type/supplier): Quicklime, minecem (Cockburn), copper sulphate, SMBS, SIPX (Orica), Aerophine 3418A (Cytec), RTD609 (Tall Bennett), Interfroth 50 (CMS), guar gum (Imtrade), millsperse 831 & 8035 (Drew), magnafloc 338, drimax 1234 (Ciba) Process control system (name/supplier): Yokogawa CS3000 DCS, Outokumpu courier system Production information management tools/systems (type/supplier name): Ellipse, Yokogawa Exaquantum SCADA system Maintenance system (name/supplier): SAP Production manning/roster: 4 x 8 person operating crews inc shift supv., 1 x production supervisor, 2 x CHF/ concentrate coordinators, 1 x production superintendent, 1 x metallurgical superintendent, 1 x mill trainers, 1 x metallurgy manager, 1 x senior plant metallurgist, 2 x plant metallurgists, 1 x project metallurgist, 1 x graduate metallurgist, 2 x metallurgical technicians, 4 x laboratory technicians inc supervisor, 12hr shifts, 8/6 roster, FIFO ex Perth or Geraldton Maintenance manning/roster: Surface mechanical – 2 x 8 person crews inc supv. surface electrical – 2 x 5 person crews inc supv. 12 hr shifts, 8/6 roster, FIFO ex Perth of Geraldton

GRANNY SMITH MINE

Location: 950km northeast of Perth, 23km south of Laverton Ownership: Barrick Gold Minerals/fuels recovered: Gold Nameplate capacity of plant: 3Mtpa fresh ore/4Mtpa oxide ore Crushing plant total capacity: 3Mtpa fresh ore/4Mtpa oxide ore Primary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): BrownLenox Kue Ken jaw crusher (48” x 60”); Jacques jaw crusher (48” x 60”); Sandvik H-8000 secondary cone crusher; Syntron vibratory feeder; 2 x Dings model 66 electromagnets; 2 x Ramsey 30-200 metal detectors; 2 x Honert vibration technic vibrating screens; Schenck double deck banana screen; Omicone 1560 short head cone crusher; 28’ x 12’ Fuller SAG mill. 3.9MW variable speed; 5.03m dia by 9.15m long ANI Ruwolt overflow ball mill driven by a 3900kW motor Secondary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): Same as primary crushing/grinding plant Tertiary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): Same as primary crushing/grinding plant Quaternary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): Same as primary crushing/grinding plant Grinding plant equipment: 28’ x 12’ Fuller SAG mill. 3.9MW variable speed; 5.03m dia by 9.15m long ANI Ruwolt overflow ball mill driven by a 3900kW motor Grinding media: 125mm balls – currently running closed circuit SAG instead of SABC circuit due to cessation of open pit Screening plant/equipment (type/manufacturer/ capacity/screen sizes): Ten 500mm dia Cavex cyclones; 2 x 1.9m wide by 6.1m long Vibramech vibrating screens with 0.8mm x 17mm Aperture (Trash); 3 x 1.6m wide by 3m long Vibramech vibrating screens; 1 x 0.9m wide by 2.4m Schenck fine carbon screen; 375kW Svedala VTM-500 Vertimill, 4 x 150mm Krebs cyclones; Kelsey jig ragging screen has 1.8mm x 1.4mm aperture screens; 12 x 488mm dia Warman/Cavex cyclones; dewatering screen Recycle crusher: Omicone 1560 short head cone crusher (Pebble crusher) Mineral liberation/recovery method: CIP, tailings retreatment, Zadra process Mineral liberation plant/equipment (flotation tanks,

amm MAY 2012

etc – type/manufacturer/capacity): 3 x Kelsey J1800 centrifugal jigs; Twin-start parallel cleaner feed spirals; 2 x 50cu.m preleach tanks with 5.5kW motor; Six 1100cu.m CIP tanks with 45kW agitators; 7 x 1900 cu.m leaching tanks with 90kW agitators; 3t BOC PSA plant Mineral/fuel processing/recovery plant/equipment (tanks, thickeners, etc): Zadra process electrorefining; Supaflo high rate thickener; 8t elution column; 8t acid wash column; M15B PHE heat exchanger; 1000kW elution heater; Armstrong Holland horizontal kiln Process pumps (type/manufacturer/capacity): 2 x Warman 14/12 (grinding); 2 x Warman 12/10 (deslime cyclone); 8 x Warman 10/8 (leach, tails, SAG discharge); 2 x Warman 8/6 (rouger tails); 4 x Warman 6/4 (cleaner feed, cleaner tails); 2 x Warman 3/2 (fine grind cyclone); 2 x Warman centrifugal feed pumps (Leach); 2 x 7.5kW Genat screw pumps (flocc dosing) Chemicals/reagents used (type/supplier): BOC liquid oxygen; Loongana lime; CSBP Wesfarmers caustic soda; CSBP Wesfarmers liquid cyanide; Logichem lead nitrate; Nufarm hydrochloric acid; Gondwana carbon Process control system (name/supplier): Citect, Minnovex Expert System Production information management tools/systems (type/supplier name): Caterpillar CAES, Micromine PitRam System Maintenance system (name/supplier): JDE, Corvu Production manning/roster: 8/6 roster, 4 crews, 8/6 roster (lab) Maintenance manning/roster: 8/6 12hr shifts, 2 crews

JACK HILLS

Location: 380km northeast of Geraldton, WA Ownership: Crosslands Resources Ltd – a wholly owned subsidiary of Mitsubishi Development Pty Ltd a subsidiary of Mitsubishi Corporation Site management: Controlled by Crosslands Resources Ltd Minerals/fuels recovered: Iron ore Throughput rate (2010-11): 1.8Mt Forecast throughput rate (2011-12): 800,000 tonnes Nameplate capacity of plant: 1.8Mt Crushing plant total capacity: 1.8Mt Primary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): Primary = jaw crusher/striker, 3.75Mt/feed = iron ore <1m dia/<35mm Secondary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): Secondary = cone crusher/striker, 3.75Mt/feed = iron ore <35mm dia/<31.5mm Screening plant/equipment (type/manufacturer/ capacity/screen sizes): Twin deck/striker, 3.75Mt/lump= <35mm >6.7mm/fines <6.7mm Recycle crusher: Recycle back to secondary cone crusher Recrush crushing/grinding equipment(type/ manufacturer/capacity/feed & product size): As above Mineral liberation/recovery method: Crushing, screening Process control system (name/supplier): Manual Sampling Production information management tools/systems (type/supplier name): Excel spread sheets Maintenance system (name/supplier): Manual work, fitters based on 125, 250, 500 & 1000hr services Production manning/roster: 2-1 FIFO, 4 man panel Maintenance manning/roster: 2-1 FIFO, 2 man panel Comments: The Jack Hills mine was temporarily suspended as from February 1, 2012. The original 5-year planned stage 1 operations concluded and further expansion decisions are subject to approvals and shareholder decisions

JUNDEE/NIMARY

Location: 50km northeast of Wiluna, WA Ownership: Newmont Australia Site management: Newmont Australia Minerals/fuels recovered: Gold Nameplate capacity of plant: 2Mtpa (Jundee); 600,000tpa (Nimary) Primary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): Crushing – Jundee: Nordberg C125 48 x 42, 150kW single toggle jaw crusher; feed 100% passing 800mm CSS 100mm. Nimary: Jaques 4236H 42 x 36, 132kW double toggle jaw crusher; feed 100% passing 750mm CSS 95mm Grinding plant equipment: Jundee: ANI 8.68m-long x

5.95m-dia, 3.85MW SAG mill with scats Metso/Nordberg HP100 cone crusher, in closed circuit with Warman Cavex 10” hydrocyclones; circuit product size 80% passing 106 microns. Nimary: Morgardshammar 6.8m-long x 4.2m-dia, 1.4MW SAG mill (open circuit); Svedala H2000 scats crusher; Nordberg 6.68m x 4.26m, 1.75MW ball mill in closed circuit with Warman 10” hydrocyclones. Circuit product size 80% passing 75 microns Mineral liberation/recovery method: Gravity, CIP Mineral liberation plant/equipment (flotation tanks, etc – type/manufacturer/capacity): Jundee: 2 x Knelson 30” centre-discharge concentrator/Wilfley table; 2 x 1700cu.m leach tanks; 6 x 1700cu.m adsorption tanks. Nimary: Knelson 20” centre-discharge concentrator/ Gemini table; 5 x 600cu.m leach tanks; 6 x 300cu.m adsorption tanks Mineral/fuel processing/recovery plant/equipment (tanks, thickeners, etc): Jundee: AARL elution circuit. Nimary: Zadra pressure elution circuit; Supaflo 12m-dia high-rate tailings thickener Process control system (name/supplier): Jundee: Rosemount 3.5. Nimary: Modicon PLCs/Citect Production information management tools/systems (type/supplier name): Nil (JKTech being introduced) Maintenance system (name/supplier): SAP Production manning/roster: 14/7, 11hrs/shift; 5/9, 11hrs/shift Maintenance manning/roster: 14/7, 11hrs/shift; 5/9, 11hrs/shift

PLUTONIC

Location: Approx 180km northeast of Meekatharra; Plutonic Well Greenstone belt, WA Ownership: Barrick Gold Site management: Barrick Gold Minerals/fuels recovered: Doré is produced on-site and shipped to offsite refiners for refinement into gold bullion Nameplate capacity of plant: 1.8Mtph Crushing plant total capacity: 390tpoh Primary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): Jaques 6048H (jaw), F80 600mm, P80 130mm, 390 tpoh Secondary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): Symons 7ft standard head (cone), 390 tpoh, F80 120mm, P80 32mm Tertiary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): (2x) Symons 7ft short head (cone), 355 tpoh, F80 12.5mm, P80 6mm Grinding plant equipment: Two-stage, 1 x Morgardshammar CRRK 4556 17 x 14.3ft, 2 x Morgardshammar CRRK 4256, 18 x 13.8ft Grinding media: Mill 1 25% Donhad 78mm, mill 2/3 30% magotteaux 60/40mm Screening plant/equipment (type/manufacturer/ capacity/screen sizes): Nordberg vib banana screen, top 80 x 30mm aperture 5.1sq.m, bottom 25 x 10 and 10 x 10 aperture 3.6sq.m Mineral liberation/recovery method: Processing facilities consist of a crushing and milling circuit and a leaching circuit, which operate in parallel. Mineral liberation plant/equipment (flotation tanks, etc – type/manufacturer/capacity): 2 x 1070cu.m leach tanks Mineral/fuel processing/recovery plant/equipment (tanks, thickeners, etc): 6 x 1035cu.m adsorption tanks Process pumps (type/manufacturer/capacity): Mill 1 discharge 2 x Warman 86 FAH, cyclone feed 2 x Warman 108 FAH, tails 2 x Warman 86 FAHE Chemicals/reagents used (type/supplier): Lime – Cockburn Cement, liquid O2 – Air Liquide, cyanide – AGR, peroxide – Evonik Degussa, sulphuric acid – Coogee Chemicals, activated carbon – Pica Refining plant/equipment (type/manufacturer/ capacity): 2 x boilers aquaheat NGL-100 series Furnace: Furnace industries A300 LNG, 2 x Alloytech 4t carbon columns Process control system (name/supplier): Wonderware over GE Fenook Production information management tools/systems (type/supplier name): Karjeni MS Access Database Maintenance system (name/supplier): Pronto Production manning/roster: 4 x 4 person crews on 8/6 roster Maintenance manning/roster: 2 x 8 person crews on

105


Mineral Processing Plant Survey Maintenance manning/roster: 2 x 8 person crews on 8/6 roster

TALLERING PEAK

Location: 160km northeast of Geraldton, WA Ownership: Mount Gibson Iron Ltd Minerals/fuels recovered: Iron ore Crushing plant total capacity: 3Mt+ Primary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): Jacques 60 x 48 double toggle jaw. -900mm feed, 125mm output Secondary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): Cedarapids MVP 550 cone. 125mm feed, -32 mm output Screening plant/equipment (type/manufacturer/ capacity/screen sizes): 2 of Eljay 20 x 6 triple deck screens Production manning/roster: 2 weeks on, 1 week off Maintenance manning/roster: 2 weeks on, 1 week off

WILUNA

Location: 5km south of Wiluna WA Ownership: Apex Minerals NL Minerals/fuels recovered: Gold Nameplate capacity of plant: 850,000t Crushing plant total capacity: 1.2Mt Primary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): Jaques 42” x 36” double toggle jaw: 100mm product Secondary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): Eljay 54” roller cone: 15 mm product Tertiary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): Eljay 54” short head roller cone: 9mm product Screening plant/equipment (type/manufacturer/ capacity/screen sizes): Torrent double deck screen 25mm VR top deck and 18 mm Vibroplast bottom deck Mineral liberation/recovery method: Sulphide grinding 80% passing 75 um followed by flotation of a bulk sulphide concentrate, bacterial oxidation, CIL. Oxide grinding 80% passing 106μm followed by conventional CIP Mineral liberation plant/equipment (flotation tanks, etc – type/manufacturer/capacity): Sulphide circuit – 500kW Allis chamber rod mill, 1250kW Ruwolt ball mill, 90kW Hardinge conical concentrate regrind mill. Oxide circuit – 1000kW Marcy ball mill Mineral/fuel processing/recovery plant/equipment (tanks, thickeners, etc): 16 x Wemco 8.5cu.m flotation cells, 8 x 1.5cu.m Agitair cells, 9 x 500cu.m BIOX reactors, 3 x 10m CCD, 1 x 14m CCD, 6 x 100cu.m Neutralisation tanks, 6 x 250cu.m CIL tanks, 8 x 700cu.m CIP tanks Process pumps (type/manufacturer/capacity): More than 100 process pumps larger than 5kW, including Warman, Ash, Bredel, Mono, Flygt, Southern Cross, Stalker, Grunfos, Geho Galligher Chemicals/reagents used (type/supplier): PAX, Copper sulphate, interfroth 50, cationic and anionic flocculants, NPK nutrient mix, quicklime, cyanide, sodium hydroxide, hydrochloric acid, oxygen, LPG Refining plant/equipment (type/manufacturer/ capacity): 2.5t split AARL elution, electrowinning and electrorefining Process control system (name/supplier): Citect Maintenance system (name/supplier): Ellipse Production manning/roster: 8:6 12hr shift Maintenance manning/roster: 8:5 12hr shift

SOUTH WEST COOLJARLOO MINERAL SANDS MINE

Location: 11km north of Cataby, WA Ownership: Tiwest Pty Ltd Site management: Tiwest Minerals/fuels recovered: Heavy mineral concentrates (ilmenite, zircon, rutile) Nameplate capacity of plant: 24Mtpa Mineral liberation/recovery method: Gravity spiral separation Mineral liberation plant/equipment (flotation tanks, etc – type/manufacturer/capacity): Two wet plants, 2200tph and 600tph Mineral/fuel processing/recovery plant/equipment (tanks, thickeners, etc): Dredges, trommels, CD tanks, cyclones, spirals, upstream classifiers, conveyors, pumps, motors Process pumps (type/manufacturer/capacity): Warman

106

all sizes up to 28/24 Chemicals/reagents used (type/supplier): Flocculant Process control system (name/supplier): Experion/ Honeywell Maintenance system (name/supplier): Ellipse/Mincom Production manning/roster: 4 on/4 off, night/day Maintenance manning/roster: 4 on/4 off days

DARDANUP

Location: Dardanup and Picton, WA Ownership: Doral Mineral Sands Minerals/fuels recovered: Ilmenite, leucoxene, HiTi and zircon Nameplate capacity of plant: 325tph Mineral liberation/recovery method: Scrubbing, gravity, magnetic, electrostatic Mineral liberation plant/equipment (flotation tanks, etc – type/manufacturer/capacity): Scrubber, spirals, screens, mag seperators, high tension rolls, air tables, wet tables Mineral/fuel processing/recovery plant/equipment (tanks, thickeners, etc): Thickeners, pumps, trommels, scrubbers, screens, cyclones, magnets, electrostatic separators (various), air and wet tables Process pumps (type/manufacturer/capacity): Warman Chemicals/reagents used (type/supplier): Flocculant Process control system (name/supplier): CiTect Maintenance system (name/supplier): Pronto Production manning/roster: Continuous 4 panel, 12hr shifts Maintenance manning/roster: 9-day fortnight, plus callout

HUNTLY MINE

Location: 80km south of Perth, WA Ownership: Alcoa World Alumina Australia Minerals/fuels recovered: Bauxite Nameplate capacity of plant: 25Mt Crushing plant total capacity: 4000tph Primary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): 2 x single toggle Wesherhutte jaw; -1m, -120mm Secondary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): Abon twin rolls; -120, -75mm Mineral liberation/recovery method: None, bauxite delivered to alumina refineries using the Bayer process Maintenance system (name/supplier): FMMS Production manning/roster: 7 day x 24hrs coverage by varied shift lengths, mainly 10.3 and 12hrs Maintenance manning/roster: 7 day x 24hrs coverage by varied shift lengths, mainly 10.3 and 12hrs

KWINANA NICKEL REFINERY

Location: 30km south of Perth, WA Ownership: BHP Billiton Site management: BHP Billiton Minerals/fuels recovered: LME grade nickel briquettes and nickel powder.The refinery also produces a number of intermediate products, including copper sulphide, cobaltnickel sulphide and ammonium sulphate Nameplate capacity of plant: Kwinana nickel refinery has the capacity to generate between 60,000 and 70,000tpa of nickel metal Mineral liberation/recovery method: Sherritt- Gordon ammonia leach process to convert nickel matte from the Kalgoorlie nickel smelter into LME grade nickel briquettes and nickel powder

LITHIUM TECHNICAL GRADE PLANT LITHIUM CHEMICAL GRADE PLANT

Location: Maranup Ford Road, Greenbushes WA Ownership: Talison Lithium Site management: GM – Pat Scallan Minerals/fuels recovered: Lithium Crushing plant total capacity: Primary crusher 3.2Mtpa Primary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): Nordberg C160 1.05m x 1.4m single toggle jaw crusher, crush to 150mm Secondary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): Nordberg 1560 omnicone standard head cone crusher Tertiary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): Nordberg 1560 omnicone, short head cone crusher, crush to 25mm Quaternary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): Nordberg

HP500, short head cone crushers Grinding plant equipment: Morgardshammar ball mill, Tramsmin ball mills Grinding media: Steel balls, 90mm and 50mm low chrome Screening plant/equipment (type/manufacturer/ capacity/screen sizes): Minspec screens with Screenex media fitted. 3mm, 4mm and 5mm apertures, Derrick screens, 700 and 630µm screens Mineral liberation/recovery method: Flotation, spirals, magnetic separation Mineral liberation plant/equipment (flotation tanks, etc – type/manufacturer/capacity): Denver and Outotec cells Mineral/fuel processing/recovery plant/equipment (tanks, thickeners, etc): Eriez magnetic separator Filtration plant/equipment (type/manufacturer/ capacity): Delkor horizontal belt filters Process pumps (type/manufacturer/capacity): Warman Chemicals/reagents used (type/supplier): Oleic acid, ferrosilicon, sulphuric acid, soda ash Process control system (name/supplier): Citect Maintenance system (name/supplier): IMPACT/Matrix Production manning/roster: 4/4 Maintenance manning/roster: 4/4

PREMIER

Location: Collie, WA Ownership: Wesfarmers Premier Coal Ltd Site management: Premier Coal Minerals/fuels recovered: Coal (steaming and industrial use) Crushing plant total capacity: 1300tph Primary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): At the primary crusher coal is sized to less than 200mm. The coal is then conveyed to a screen where it is sized to +50mm and – 50mm Secondary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): The +50mm product stream goes to a secondary crusher to be crushed to –50mm Mineral liberation/recovery method: Screening, crushing Process control system (name/supplier): Allen-Bradley PLCs, Citect Production information management tools/systems (type/supplier name): Coal quality management system

WILLOWDALE MINE

Location: 110km south of Perth, WA Ownership: Alcoa World Alumina Australia Minerals/fuels recovered: Bauxite Nameplate capacity of plant: 18Mt Crushing plant total capacity: 3000tph Primary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): 1 x single toggle Wesherhutte jaw; -1m, -160mm Mineral liberation/recovery method: None, bauxite delivered to alumina refinery using the Bayer process Maintenance system (name/supplier): EAM Production manning/roster: 7 day x 24hrs coverage by varied shift lengths, mainly 10.3 and 12hr Maintenance manning/roster: 7 day x 24hrs coverage by varied shift lengths, mainly 10.3 and 12hrs

WORSLEY

Location: 125km southeast of Perth, WA Ownership: Worsley JV – BHP Billiton 86%, Japan Alumina Associates (Australia) Pty Ltd 10%, Sojitz Alumina Pty Ltd 4% Site management: Worsley Alumina Pty Ltd Minerals/fuels recovered: Bauxite Nameplate capacity of plant: 12Mdtpa Primary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): Crushing – PWH 3000tph jaw crusher, 1500mm feed, 180mm product Secondary crushing/grinding plant/machinery (type/ manufacturer/capacity/feed & product size): Wageneter 1200tph rotary impact crusher, 180mm feed, 20mm product Process control system (name/supplier): Macroview Production information management tools/systems (type/supplier name): Manual, using ProdTrak Maintenance system (name/supplier): SAP Production manning/roster: 70; 12hrs/shift, 24hrs/day Maintenance manning/roster: 40; 4 panel, 12hrs/shift, 24hr coverage

MAY 2012 amm


QME Expo Preview

QME turns 10 Held every two years, the Queensland Mining & Engineering exhibition returns to Mackay Showgrounds from July 24-26. Vetti Kakulas takes a look at some of the products that will be on display.

C

elebrating its 10th year, the Queensland Mining & Engineering exhibition has become an important event for buyers and mining industry professionals to come together and catch up on the latest products and technologies. QME enables industry colleagues to network and keep up-to-date with industry trends. “Community is a vital element of the ongoing success of the Australian mining industry – and an event such as QME gives the mining community a unique opportunity to come together and engage with each other,” Reed Mining Events exhibition director Paul Baker said.

650 local and international exhibitors. The last event, QME 2010, had a record 500 exhibitors and more than 10,000 professional visitors. Once again, this year is set to be another impressive exhibition, with more than 650 local and international exhibitors. A range of mining community-focused events and information sessions will be featured throughout the expo. Features include a Women in Mining day, a career and recruitment program, and a health and welfare session for fly-in, fly-out and drive-in, drive-out miners. “Mining has moved on from being a ‘menonly’ industry, and it has recognised that it needs to engage with people across the community,” Baker said. “Not only those currently involved, but those looking at job opportunities, which will allow the industry to grow and prosper in years to come.”

Enerpac’s electric tensioner pump.

ENERPAC Global manufacturer Enerpac will unveil its latest electric tensioner pump at QME. The ZUTP1500 is described as the only one of its kind to feature a remote-controlled electric valve and universal motor, without a hydraulic intensifier. Designed for safe and fast bolting applications in the mining industry, the pump is rugged, compact and lightweight, weighing

amm MAY 2012

34kg with oil. It can operate bolt tensioners and hydraulic nuts in remote locations. “With a low-pressure flow rate of 3.77 litres per minute and a full-pressure flow rate of 0.33 litres per minute, the new three-piston, twostage pump powers bolt tensioners up to two times faster than competitive pumps,” Enerpac global product manager, pumps and valves,

Brian Alexander said. The electric tensioner pump can generate 1500 bar of pressure without the use of an intensifier, meaning it is less sensitive to contamination in the hydraulic fluid. Additionally, Enerpac will reveal at QME its latest range of RC Duo hydraulic cylinders. The long-stroke RC Duo cylinders are said to optimise extension capabilities, while

107


QME Expo Preview

minimising retraction times, completing jobs faster. They range in capacity from five to 95 tonnes and there are long-stroke models from 156-362 millimetres.

Enerpacâ&#x20AC;&#x2122;s RC Duo hydraulic cylinders will be released at QME.

The baked enamel design helps combat corrosion. RC Duo is designed with a heavy duty return spring, the Golden Ring, which absorbs heavy loading, and a chassis with high-strength alloy steel. This Golden Ring dual bearing technology can withstand lateral forces, preventing premature bearing failures to keep work running to schedule. Nickel plating is available on most of the hydraulic cylinder models, and the baked enamel design helps combat corrosion. A CR-400 coupler and dust cap is available on all models and a plunger wiper reduces contamination. The hydraulic cylinder has been designed with additional shape and texture to the cylinder thread protector and coupler cap for easy user operation, even with gloved or oily hands.

E QM12

Come see whatâ&#x20AC;&#x2122;s new at AllightSykes

20

Visit us at Stand 8060 To experience our full range of products such as Allight Lighting Towers, Sykes Pumps, Perkins Engines, FG Wilson Generators and Rotair Compressors, visit us at QME 2012

www.allightsykes.com 108

1300 ALLIGHT

LIGHT

WATER POWER

AIR

MAY 2012 AMM


Tilt cab for easy maintenance access

Quality Isuzu truck with excellent back up

Rollover compliant to Australian Design Rules with a Rollover Protection System to Australian Standards 1636.1 and 2294.2

Bus module transferable onto new cab-chassis when required

Australian designed and built air conditioning for rugged and remote conditions

Comfortable coach seats with seatbelts

Industry standards are, well, standard with this 4WD Able Bus & Coach This Able Bus & Coach 4WD 18-seat remote area bus ticks all the boxes for a minesite. It isn’t over-engineered. Its simple built-for-purpose design means it gets the job done without overselling itself.

2294.2 and Australian Design Rule rollover compliance, full size coach seats with seat belts and driver’s air bag. Air conditioners designed and built for extreme heat and vibration also come standard.

It’s built on a bigger truck and put less passengers in. It may cost a little more but it’s better in the long run, giving a stronger, more reliable vehicle. Another key feature of the vehicles is inter-changeability with passenger modules that can be removed from older cab chassis and placed on a new cab chassis reducing replacement costs for companies.

Isuzu isn’t just a good make of vehicle; after sales service is unsurpassed. The tilt cab of the chassis also allows easy maintenance and access to the motor. A higher ground clearance than a conventional bus chassis is also ideal for mine site and remote areas.

Testament to the company’s business philosophy of building For more information call tough yet safe, reliable and Able Bus & Coach on All the engineering tests are comfortable vehicles that 08 9371 7100, meet the highest standards validated. Able Bus & Coach’s vehicle info@ablebusandcoach.com.au are customers such as Extensive safety features or visit make of choice is Isuzu – BHP Billiton, Rio Tinto and come standard. ablebusandcoach.com.au and for good reason: NationWide Hire and a repeat business rate of These include a built-in 90 per cent. Rollover Protection System (ROPS) to Australian A key proposition of the Standards 1636.1 and Supplying Australiawide [Est.1995] vehicle is robustness. For safety compliance, the vehicle meets strength and design requirements.

Able-AustMiningMonthly12.indd 1

17/02/2012 5:51:40 PM


QME Expo Preview

Terex Finlay 863 screen.

TWO FROM TEREX

Finlay Screening & Crushing will release two screening units, the Terex Finlay 684 and Terex Finlay 863. Both are described as versatile and adaptable screens with applications suitable for mining,

quarrying and construction involving coal, aggregate, sand, gravel, demolition debris and topsoil. FSC says the Terex Finlay 684 is a compact and easily transportable machine with rapid set-up and tear-down times, while its 21sq.m

screening area offers efficient screening and high capacity. The Terex Finlay 863 is a forward-facing inclined modular screen box with an angle that can be hydraulically adjusted between 14 degrees and 18 degrees.

Australian Manufacturer Delivering Quality Enclosure Solutions See us at QME 2012 Stand #6354

Enclosure solutions for: • Mine Infrastructure • Road, Rail & Port Infrastructure • Process & Motor Control • Hazardous Area Electrical Equipment • Telecommunication Infrastructure • Information Communication Technology

www.brenclosures.com.au 110

MAY 2012 AMM


A


QME Expo Preview

Rittal’s TopTherm Blue E range cooling unit will be on display at QME.

latest range of TopTherm-Plus cooling units. The latest range of fan-and-filter units introduces the use of diagonal fans, for an even distribution of air. This also prevents the formation of hot spots in the external atmosphere.

TopTherm unit ranges are ideal for dissipating high heat loads with energy costs.

Rittal’s TopTherm fan-and-filter unit range will be released at QME.

SAFETY FROM RITTAL Experts in enclosure and housing technologies, Rittal will be showcasing its latest range of enclosures for safeguarding electronic and electrical equipment.

“Mining has moved on from being a ‘men-only’ industry.” – Reed Mining Events

exhibition director Paul Baker

The AE range of slope-roofed, wall-mounted enclosures have been designed for harsh and rugged mining environments. They have a 316 stainless steel construction and 30 degree sloping roofs.

112

“These enclosures are certified to IP66, ensuring complete protection from dust and water from any direction,” Rittal business development manager Bryan McHutchison said. “This protection is further assisted by a 14 millimetre roof overhang, which prevents anything from settling in the gutter and on the seal.”

Reduces service and maintenance costs for the user. Rittal will be displaying an addition to its TopTherm fan-and-filter unit range and its

You cannot have a cooling output without the stimulation of air, since the higher the heat the greater the demand for air volume to be moved. The TopTherm range has eco-mode controls to reduce and target energy consumption, including an evaporator fan which switches off depending on the internal enclosure temperature. Rittal says the TopTherm unit ranges are ideal for dissipating high heat loads with energy costs, though the air must be relatively clean. In industrial situations, the air is usually contaminated with dust and dirt particles, resulting in filter mats having to be replaced and disposed of. The fan-and-filter unit range is designed for switchgear enclosures and increases the operating life of filter mats with its TopTherm RiNano technology. TopTherm unit ranges are coated with this RiNano technology for a constant

MAY 2012 amm


Visit us at the Queensland Mining & Engineering Expo Mackay Showground, Stand 1183, July 24 – 26

// Tough, portable air solutions

SULLAIR LISTENED AND THEN DELIVERED. That’s what our customers tell us – we listened and delivered the right air compressor solution for their mine site. Whether it’s portable, skid-mounted or a fully customised air compressor system, Sullair has a solution for you, including: • highway towable diesel portables in single, dual and tri-axle steerables • skid-mounted electric compressors from 11 kW to containerised 250 kW • Australian-based custom engineering delivering multi-million dollar projects to your exact specifications. Backed by nationwide support and an industry leading warranty, we take the time to listen and can deliver anything, anywhere, on time.

Call Sullair on 1300COMPRESSOR (1300 266 773) or visit sullair.com.au Find us - www.facebook.com/SullairAustralia


QME Expo Preview

cooling effect. Additionally, it reduces contamination of the heat exchanger, reducing service and maintenance costs for the user. Available with an electromagnetic compatibility shielding, the range has a throughput of 900 cubic metres an hour. Rittal’s Blue E range of energy-saving cooling roof-mounted and wall-mounted units will also be on display at QME.

Also on display: Rittal safeguarding enclosure for electronic and electrical equipment.

“QME gives the mining community a unique opportunity to come together and engage with each other.” – Reed Mining Events exhibition director Paul Baker These cooling units have introduced a technology which can save 70% of energy consumption, costs and carbon dioxide emissions, compared to previous Rittal designs. Designed with a steel exterior they have a cooling output range from 500 to 4000 watts. vetti.kakulas@aspermont.com

Don’t miss our exclusive industry surveys For years Aspermont Limited has been supplying the Australian mining industry with an exclusive range of surveys. Subscribe to Australia’s Mining Monthly today to receive a copy of these long-standing industry benchmarks with your magazine.

JUNE Australia’s Contract Miners & Drillers A listing of Australia’s contract miners and drillers and some of their major projects.

JULY Underground Mines of Australia

A comprehensive survey of Australia’s underground mines and the equipment and techniques used at each.

Now available online! A broad range of industry surveys in Microsoft Excel format can be purchased online for $495 each inc GST. For more information visit www.miningnews.net/surveysonline To subscribe to Australia’s Mining Monthly visit www.industry-news.net/subscribe

Brought to you by

114

MAY 2012 AMM


Looking for a single view of your entire business?

plant-wide visibility & control

maximising output

improving production quality

managing operating costs

Discover the benefits of plant wide visibility and access to real-time process and business information – Powered by EcoStruxure Proven, integrated solutions EcoStruxure architecture is the Schneider Electric approach allowing the convergence of five key domains of expertise – the management of power, processes and machines, buildings, IT rooms and security. This integration ensures visibility of the entire demand chain and is the key to business and operational efficiency. EcoStruxure architecture guarantees compatibility across major application areas and leverages open standards across both Schneider Electric and third party systems.

Informed and real-time decision support Our system drives the standardisation of technology and offers access to rich information from plant device level, through process control systems, to the operations management layer. Trusted data in the hands of management ensures that informed decisions are made in real-time, to improve quality, help manage operating costs and maximise output.

Discover more! Download our Mining Solutions Brochure today!

Presenting EcoStruxure, a solutions approach to the energy and process needs of the mining industry that combines advanced power management with a proven automation control system to improve energy efficiency and help yield a holistically optimised plant.

IT Room Management

Power Management

Process & Machine Management

Building Management

Security Management

Make the most of your energy

Visit www.sereply.com Key Code 52519K

© 2012 Schneider Electric. All Rights Reserved. Schneider Electric and Make the most of your energy are trademarks owned by Schneider Electric Industries SAS or its affiliated companies. • 78 Waterloo Road, Macquarie Park, NSW 2113 AUSTRALIA • www.schneider-electric.com.au • 1300 369 233 CLIPCOM24502


Power Generation

Green energy

Companies that go green could earn government cash rewards.

E

veryone knows the mining industry can have a major impact on the environment. That is why Sunshine Coast firm Renew Energy came up with the idea of supplying major mining companies with reliable, clean energy and renewable solutions. Renew Energy managing director Philip Nichol is passionate about helping the environment and saving businesses money. “My two little boys are my priority,” Nichol said. “We will never be able to stop big business, but by offering renewable solutions to a very real problem, we are paving the way for a healthier future for our kids.” According to the Australian Bureau of Statistics, only 5% of Australian businesses have audited their energy usage and almost half have avoided taking action to improve their energy efficiency. Renew Energy specialises in providing renewable energy solutions in remote areas such as mining leases, as well as energy management

and energy efficiency within businesses. It supplies grid connect systems, standalone systems and energy management services. Renew Energy’s solar-hybrid solutions provide an uninterruptable power supply anywhere. “Each product has to be designed specifically for whatever energy use you need. They vary in size, from running a small telecommunications unit to water pumping and remote lighting,” Nichol said. The grid connect power system is installed by Renew Energy’s Clean Energy Councilaccredited electricians. Mining companies choosing to invest in renewable energy solutions may be rewarded. The government’s $1.2 billion Clean Energy Future plan, announced in July 2011, provides incentives for businesses to reduce emissions and invest in clean energy. This includes providing grants to companies for investing in energy efficient capital equipment and low pollution technologies, processes and products.

Renew Energy Australia managing director Philip Nichol.

Nichol will initially conduct surveys and presentations to an organisation’s staff, to determine which areas in the business can save energy. He says this has a dramatic flow-on effect through increasing staff morale, retention and productivity. As well as helping reduce emissions, using renewable energy solutions can reduce a company’s logistic costs, including fuel and personnel. vetti.kakulas@aspermont.com

People You Know Brands You Trust

Big Projects, Big Power... At AllightSykes we’re driven by a single objective - to devise and deliver power generation solutions which make mining projects safer and more productive while being sensitive to the environment. We’re proud to be the exclusive Australasia dealer for FG Wilson products and have a range of 800-900kVA diesel gensets which can easily meet all your mine site power needs.

www.allightsykes.com

116

For more information on the range of FG Wilson Generators visit us at www.allightsykes.com or contact one of our sales and project efficiency experts on 1300 Allight.

LIGHT

WATER POWER

AIR

MAY 2012 AMM


Xxxxxxxxxxxxxxxxxxxx Minesite Accommodation & Catering Managing passengers departing for work has been made a whole lot easier with the CWT integrated system.

Travel management made easy ALL aspects of travel management for the mobile, tech savvy and heavily populated fly-in, fly-out work force in the mining and energy sectors can now be managed more easily, according to travel management company Carlson Wagonlit Travel. CWT is offering an integrated solution for arranging chartered and commercial flights, accommodation, and group booking arrangements. They’re targeting busy resource companies who are trying to manage too many people through too many manual processes and streams.

“One of the things I identified quite early on from talking to the energy and resource clients is more and more of them are wanting this end-to-end solution,” Carlson Wagonlit Travel director energy & resources services Gary Nicholson said. CWT is launching three main services to address this issue, aimed at reducing staff administration time and allowing workers to commute to remote projects more efficiently. All three offerings centre around an online booking tool, which can be applied to chartered and commercial flights, hotel,

camp and guest services. It offers a simpler method for organising bulk bookings for large numbers travelling frequently, often at short notice, during cyclone management or site shut downs. Flights booked through any airline or accommodation booked through any hotel is enabled through the normal distribution system and then also into an online booking form. This is then programmed as a “one-stopshop” for mining and resource companies to access directly and enter all the information they need.

LANDSCAPE ARCHITECTS Registered Landscape Architect | t: 07 4946 4745 | e: admin@uplan.com.au | w: uplan.com.au

CAMP or VILLAGE ?

U PLAN Landscape Architects help make the difference. With many years of experience U PLAN is part of the emerging new generation of Workers Villages that offer amenity, recreational, climatic, environmental, resident liveability and other long term benefits.

• Master Planning & Project Management • Creative Concept Design & Imagery • Construction Plans & Documentation • Cost Estimates & Approvals • Retro fits to transform existing Camps to Villages • Multi-disciplinary Team via our alliance network U PLAN Landscape Architects servicing Australia’s resource

amm MAY 2012

117


Minesite Accommodation & Catering

Mobile app technology alerts travellers of flight schedules and delays.

One of the challenges with increased labour requirements going forward will be a lack of seats on planes and getting enough people up and down to site. So it’s vital that flights are managed effectively, so they seat the optimal amount of people. “That is being rolled out at the moment with BHP Billiton – we’re doing their charter work,” Nicolson said. “We’ll start to roll this out with Woodside, one of our major clients, in 2013.” The new CWT sytem have also been adapted to smart phone technology and an app is available for employees to access travel information, receive automatic delay updates, and download electronic boarding passes for travel convenience. Every time a reservation is made through the online system, the booking is automatically cued for the smart device, so workers can follow their flights, full details of the itinerary, check in online, and receive alerts on cancellations and gate numbers. CWT members receive 24 hour service to reach an operator and sort out immediate travel plans or handle emergencies. The system reduces the need for travel bookers to manually administer every task and reservation, including the lengthy process of entering hundreds of separate bookings for group flights. The online booking tool will eliminate the time consuming method of accessing separate market segments for multiple flight and hotel arrangements. CWT is aiming to gather as many travel related companies as possible to get on board and use their new service tool at no cost. The integrated solution can streamline the process for mining and resource companies in order to cater for the increasing number of site workers which need to be mobilised. brooke.showers@aspermont.com

118

Our track record... is a dirt track Our achievements of the last five years read like a who's who of Australian resource projects. Clients of the calibre of FMG, BHP Billiton and Rio Tinto know that we can be trusted to design and construct remote area non-process infrastructure of all shapes, sizes and uses on time, and on budget. Perhaps our success stems from our practice of employing hard-working professionals over the long term rather than relying on sub-contractors, or our rigorous Quality Assurance procedures, or our commitment to safety, accountability and flexibility. All we know is that whatever is over the horizon, we're ready to take it on. We'd be delighted to talk to you about your next project.

Contact us on (08) 9317 0600. OTOC Australia Level 1, 43 Kishorn Road, Applecross WA 6153 www.otoc.com.au BR13726 EC007432 PL7874 JMG00156

MAY 2012 AMM


Let us take care of your biggest asset - your people. As the new generation of remote area accommodation, MAC villages are designed to offer our clients more than simply accommodation. Recognised as an industry leader, The MAC’s trademark Develop-Own-Operate (DOO) model takes the employee accommodation headache away from

our clients, leaving them to focus on what they do best. They enjoy improved employee attraction and retention plus real total cost savings. We offer a flexible approach that focuses on meeting each client’s specific accommodation needs. For more information visit themac.com.au or call 1300 622 222. “A new generation of workforce accommodation”


Minesite Accommodation & Catering

Facing the sunrise With accommodation infrastructure in regional Queensland rapidly developing to support major mining projects, one contractor is leveraging off its success in the west to support growth in the sunny state. By Brooke Showers

C

ivil and building contractor Decmil Australia has already established a strong portfolio for accommodation camp construction in the Western Australian mining sector. Now Decmil has its expansion strategy firmly focused on the Queensland accommodation market, where it has already secured $250 million worth of work and expects a further $290 million in project value to be awarded by resource and oil and gas companies in the state throughout 2012 and 2013. These project wins have been essential for positioning Decmil to reap the benefits of further expansion in the state. “We’re confident we can bring to the east coast a very strong presence in the accommodation market,” Decmil Australia managing director Ray Sputore told Australia’s Mining Monthly. “We’ve been in the Queensland market now positioning ourselves with key clients.” Mining and resource companies operating in Queensland are providing more diverse accommodation options for fly-in, fly-out workers and employees living in towns, as the increasing number of

projects in Queensland brace for impending population and skills growth. This is where Decmil’s experience really counts. Decmil is emerging as a leader in the mining and resource accommodation sector and has secured contracts with BHP Billiton, Fortescue Metals Group, Rio Tinto and Woodside in the resource-rich Pilbara region of WA. “The resource and LNG market in Queensland is going through similar growth to what WA has experienced in the past five years,” Sputore said. According to a Deloitte Access Economics study, demand for infrastructure in Queensland due to anticipated population growth in the Bowen, Surat and Galilee Basins, should not be under estimated. Queensland Resource Council members responded to a survey which contributed to research contained in the study. Under a full growth scenario over the next ten years, survey respondents indicated there will be an additional 12,700 non-resident workers and an additional 4200 residential workers needed to support project growth. The QRC estimated around 25,000 mining company employees and contractors were working in the Bowen Basin in 2010, with 71% living in the area and 29% fly-in, fly-out. By 2020, the study estimates this split could even out to around 52% residential/48% FIFO, indicating the need for short-term accommodation camps to be developed to meet the increase in workers flocking to projects in the region. “A focus on retaining and recruiting workers from other states and measures which improve labour mobility are central to solving the skills crunch,” the Deloitte study said.

In 2011, Decmil’s net profit spiked a record 24% as it won about $360 million in contracts and contract extensions. There is a significant amount of work in the pipeline for Decmil in Queensland and the company continues to bid for work with BMA and Bechtel. “Anything to do with coal and LNG, that’s where we see our biggest opportunities of where we can add the most value,” Sputore said. Decmil is well positioned to benefit from Queensland’s population and project growth and has demonstrated its strong potential through civil and building contracts which support major Australian resource projects. In 2011, Decmil’s net profit spiked a record 24% as it won about $360 million in contracts and contract extensions. Decmil posted a $13 million profit for the first half of the 2012 financial year and was sitting on an order book worth $500 million. The company said it was on track to achieving its stated growth objective of $500 million in revenue for the 2012 financial year. Decmil chief executive officer Scott Criddle said the company had delivered on its diversification strategy in the first half of the 2012

120

MAY 2012 amm


FIELD DEPLOYMENT SOLUTIONS

air land sea

Ex-Military

Vehicles & Earthmoving Equipment

FOR SALE Australia & International

Rapid Units

Accommodation & Ancillary Buildings

Mattracks

for ATV’s, 4 x 4’s & trucks

Tel: 0407108319 sales@fielddeploy.com.au

www.fielddeploy.com.au FDSMMApril2012.indd 1

5/04/2012 6:59:58 PM


Minesite Accommodation & Catering

Decmil site engineer Adam Johns with a chain trencher.

financial period, after it purchased a 50% interest in the Calliope accommodation village near Gladstone, on the central Queensland coast. In December 2011, Decmil took a controlling stake in 2265 rooms in the village after completing stage one of the construction two months earlier. Stage two (432 rooms) is scheduled to be finalised in April. Decmil’s most recent contract win in Queensland is the $90 million project for BHP Billiton Mitsubishi Alliance to build and install infrastructure and accommodation facilities for workers at the Caval Ridge mine, also located in the Bowen Basin. All the styles of accommodation on offer in WA for mining and LNG industries are going to be required for Queensland’s larger projects. Decmil says it has made significant and strategic changes in the way accommodation is provided in the past five years, with unique building designs, amenities and camp layouts. Sputore said: “The thought leadership that comes with progressing down the path of offering better style accommodation, more resort-style accommodation, are drivers for providing an attractive environment for flyin, fly-out workers to move to that location. “The biggest challenge for client companies and ourselves is making sure that we have the ability to attract people to come in and work in those environments.” Mining camps are providing more competitive features, lifting the standards in fitness, social and sporting facilities. Clusters of rooms which allow interaction between local communities and multiple storey buildings have advanced beyond the once sprawled out lines of accommodation units, which resemble army barracks. The choices around single storey and multiple storey accommodation units mainly relate to the available land.

122

In the west, land has been a restrictive part of decision-making and designing villages, so multiple storey accommodation has helped cater for more workers. The multi-storey options are also more suitable when being established in townships, rather than near remote mine sites, as the building can serve a secondary purpose and blend a large density of worker’s rooms into the town landscape a little easier. “We were the first to go into a doublestorey accommodation in terms of FIFO,” Sputore said. BHP Billiton enlisted Decmil to install 1202 double story, resort-style rooms at the Port Haven accommodation village in WA in 2010, a contract worth $108 million to the construction company.

“We’re diversifying very quickly into work outside of what has been our traditional building market.” – Decmil Australia managing director Ray Sputore

Decmil built BHP’s Kurra Village, near Yandi in WA, and is in the final stages of the $71 million Warrawandu camp, also located in the Pilbara, to house workers for BHP’s Jimblebar mine development. The Warrawandu contract includes design, supply, installation, fit-out and commissioning of a bulk storage building, facilities management workshop and waste management facility. Decmil completed the 1600-person, twostorey resort-style Karntama village for workers at Fortescue Metal Group’s Christmas Creek mine in the Pilbara last year.

The top storey rooms have balconies and the camp includes a three-lane lap pool, golf driving range and 100-seat cinema. Decmil was recently awarded a $28 million contract to construct a 200 person rail camp for FMG, as part of the iron ore miner’s T155 rail expansion program at a site south of Port Hedland. The accommodation facilities will include a wet mess, gym and recreational facilities. Fortescue has the option to expand the camp to 514 rooms. Decmil’s relationship with Fortescue matured when it was awarded an airport project contract worth $30 million to build an air strip at Christmas Creek, in WA, as part of the Chichester expansion project. The airport contract is important for Decmil’s strategy of expanding its civil works offering into the mining infrastructure sector. Support for this plan was further enhanced when a five-year framework agreement for civil works secured with Rio Tinto was recently announced. The agreement places Decmil as a preferred contractor for civil works including workers and equipment to support Rio’s western stream of its 333 program. Rio plans to expand its operations in two stages from 225 million tonnes per annum to 283Mtpa in 2013, and then to 333Mtpa by 2015. “We’re diversifying very quickly into work outside of what has been our traditional building market,” Sputore said. “In the WA market, we have a building discipline and a civil discipline.” Sputore is confident Decmil will be awarded more civil projects in WA over the next few years. Highlighting Decmil’s capabilities in this area is the onshore civil finishing works it has been working on for Woodside’s Pluto LNG project since 2009. “We’re one of the last civil contractors on the Pluto site, which is drawing to a close,” Sputore said. “We’ve been up there nearly four years and delivered in excess of $350 million worth of civil work.” Although Decmil is initially focused on building accommodation in Queensland, there is little doubt the contractor will make the transition into offering civil work there to meets its client’s needs. This collaborative and adaptable approach it seems, has been one of the key ingredients to Decmil’s success so far. “We will do whatever we need to do to support our clients,” Sputore said. “The state of our relationships is a key differentiator. “We care about the experience our clients have with us in executing work, reaching milestones and having a safe project environment. Our people are committed to making that experience a rewarding one for both the client and for ourselves.” brooke.showers@aspermont.com

MAY 2012 amm


GC_JTH149

ON-SITE VERSATILITY. OUT OF SIGHT QUALITY.

WHATEVER TYPE AND SIZE OF BUILDING YOU NEED ON-SITE, HAVEN HAS A HIGH QUALITY TRANSPORTABLE SOLUTION TO MEET YOUR NEEDS. WE’LL MAKE THE WHOLE PROCESS SIMPLE AND TROUBLE FREE, TAKING CARE OF EVERY LAST DETAIL INCLUDING BUILDING APPROVALS AND CONNECTION OF UTILITIES. IF YOU’RE LOOKING FOR A SELF-ASSEMBLY OPTION, WE ALSO HAVE SUITABLE KITS AVAILABLE. AND ALTHOUGH OUR BUILDINGS GO UP FAST, THEY’RE BUILT TO LAST A LONG, LONG TIME.

DISPLAY CENTRE: 236 GNANGARA ROAD, LANDSDALE. TO FIND OUT MORE, CALL 08 9303 1300 OR VISIT HAVENDESIGNS.COM.AU TODAY.

JTH149_marchAMM.indd 1

8/02/12 9:04 AM


South Australian Minerals

Laying the foundations South Australian mining projects could double in the next ten years. State infrastructure needs to be upgraded to support these projects. Five recommendations have emerged to help the SA government and the mining industry achieve their expansion goals. By Brooke Showers

T

here are 19 operating mines in SA – and this number could more than double by 2020. New projects are expected across a range of commodities, including iron ore, gold, uranium and predominantly in copper. The South Australian Chamber of Mines and Energy conducted a study to see when mining and resource projects were likely to come on stream and what infrastructure developments were required to support them. SACOME examined what impact the projects will have on surrounding road, rail, port, communications, electricity, gas and water supply. They used this information to form strategic planning advice for the Department for Manufacturing, Innovation, Trade, Resources and Energy to consider. Infrastructure resources are in demand and South Australia needs to start mapping out what needs to be done in the next five years to support the increasing number of projects to assist mining industry growth. Three new port developments are being proposed. Roads and power supply infrastructure will also need upgrading to match mining growth. “Not all the projects will come on board at the same time and they will last for a varying amount of years,” said SACOME acting chief executive officer Nigel Long. “It’s really about trying to coordinate how that infrastructure is put in place to meet all projects’ requirements over the next ten or so years.”

Many of these projects will be dependent upon infrastructure. The most urgent recommendation emerging from the study was the need to start planning for infrastructure requirements to support new mines and mine expansions in a strategic way. There is a push to build infrastructure to meet demand before projects come on stream, rather than on an as-needed and reactive basis. “All the recommendations are important, but the one which is key is the need to really put in place some more detailed high planning

124

Infrastructure Plan • Develop corridors and utility hubs • Three deep sea ports – linked to rail and roads • Upgrade electricity supply in Eyre Peninsula • Identify ground water resources • Investment opportunities in resource infrastructure

South Australian resources map: Locations for operating mines and developing prospects.

around how to deal with the infrastructure requirements,” Long said. “It’s a fairly massive task and relatively urgent as well. “Many of these projects will be dependent upon the infrastructure being in place for them to be able to come on stream in an efficient manner.” The master plan recommends assessing zoning issues and the availability of land. Also, the environmental, social and economic implications for developing three major infrastructure corridors which have been proposed. The remaining four recommendations involve development around the Eyre Peninsula to meet mining needs, including building three deep sea ports which can support rail and road infrastructure

expansion; the acceleration of electricity transmission; identifying ground water resources; and promoting opportunities for investment in resources infrastructure. “The electricity infrastructure is not adequate to support the growth in the mining industry,” Long said. Support infrastructure to increase power generation will offer benefits beyond mining to other industries and communities on the Eyre Peninsula, and provide a more reliable electricity supply. Among the three new ports being proposed are Port Bonython near Whyalla, Port Spencer near Tumby Bay and Port Pirie in the south of SA. “Bulk commodity ports are critical to the economic feasibility of iron ore products,” Long said. Much of the infrastructure being developed in SA will be to support projects which are iron ore-based. Most of SA iron ore is magnetite type and can’t be exported straight away, unlike like Western Australian iron ore which is mostly haematite, and can be shipped after it is crushed. Magnetite processing facilities will also require additional power. Competition for workforce skills and staff supply is already tough at a national level. Even more workers will be needed for construction and infrastructure projects. Most of the projects will have a long enough mine life, many of them ten years or more, to justify town expansion and develop more local housing. Attracting and retaining the workforce to support the number of projects is still going to be a challenging issue. Long added: “It’s quite a massive task in terms of the skills and training which are going to be required to have enough people to work in the mines.” People living in areas such as Whyalla, Port Augusta or Port Lincoln will be located close to some of the long term projects and encouraged to work at the mining operations. However, projects based further north in SA will require a fly-in, fly-out workforce. BHP Billiton’s Olympic Dam expansion is looking to increase the size of Roxbury Downs. But housing is still in short supply there, so land is being released near the town. brooke.showers@aspermont.com

MAY 2012 amm


Runge Limited Software Scheduling Solutions that Deliver Value XPAC is a suite of mine forecasting and scheduling systems for all types of mineral deposits and mining methods XPAC AutoScheduler sets objectives and defines rules and constraints before identifying the schedule XPAC Advanced Destination Scheduler provides for the efficient placement of excavated material XPAC Underground Coal has a strong business analysis focus for mine design, production, reserve analysis and resource scheduling

Xact manages short-term mine scheduling and production planning for modelling, rostering and reporting Xact SheduleSolver is a plug-in tool which gives Xact the ability to generate its own schedules

www.runge.com Brisbane +61 7 3100 7200 Sydney +61 2 8248 1500 Perth +61 8 9482 0700 Mackay +61 7 4842 3300 Maitland +61 2 4999 6900 Wollongong +61 2 4254 9700


South Australian Minerals

SA’s dam big office problem This little thing called Olympic Dam and a few other mineral projects are starting to make their presence felt in the heart of Adelaide’s central business district.

Big changes are likely in the Adelaide CBD, with the demand for office space growing thanks to burgeoning resource projects in South Australia.

W

hile a lot of the focus is in the northern part of South Australia and the resources expansions going on there, the mining boom is making itself felt in an unexpected quarter. One of the things often overlooked in mining booms is the impact they have on the capital city in the state they are occurring. That already has been well and truly demonstrated in Perth and Brisbane. Those cities have had more than their fair share of cranes sitting on their skylines as office vacancies plummetted. A large part of it is needed to house the teams that are brought in to make these projects a reality. Possibly equally important though is the retail space – and associated office space – needed as high-end retailers come to get their share of the pie. South Australia’s resources boom is starting to escalate with a number of approved mines and developing projects, along with BHP Billiton’s Olympic Dam coming on line. This is expected to drive up the demand for office space in the City of Churches to a level where a shortage of office premises ready to accommodate this growth is a reality. When approved, BHP’s Olympic Dam expansion project will generate something like 6000 jobs during construction and another 4000 full-time positions at the expanded open pit mine. Colliers International national director of office leasing Nicholas Shinnick said from a commercial perspective this would increase overall corporate activity and subsequently

126

the demand for activity-based work space in Adelaide. “We know from experience that demand for fitted out office space that is ready to ‘walk in’ will be in hot demand,” he said. “We have specialists who deal with fitted out office premises that are ready to occupy immediately and have an extensive list varying from 100 square metre boutique offices up to whole buildings.

“It is clear the needs of the tenants are changing and the market needs to change to meet these requirements. It’s about future-proofing the asset.” – Colliers International national director of office leasing Nicholas Shinnick “As an example, we have just release a 6000 square metre state-of-the-art facility at OG Road, Felixstow, which can accommodate 450 people immediately.” Recent Deloitte Access Economics research indicates that white collar employment in Adelaide will remain positive over the next four years. This forecast translates into an increase of 5300 white collar jobs in the next three years. “Both the government and private sectors are investing significant amounts of capital into major projects at the moment and this continues to buoy employment growth,”

Shinnick said. “At least 95,000 square metres of office space will be needed to meet this demand. “We have a number of work spaces available that have been structured to embrace the short or long-term lease requirements from the growing number of organisations that are either undergoing expansion or require project space as a direct by-product of the mining expansion. “While the available space can support workers in a traditional office environment, they are also set up to support workers in shortterm or activity-based work environments.” Of course, as Shinnick points out, a significant amount of the white collar growth from mining will be short-term contract based. Something in the order of one to three years. He said Colliers would work with building owners prepared to accommodate this. “We have space that can accommodate a variety of work settings from a walk-in, walkout basis to quiet areas for high concentration to formal and informal meeting areas,” Shinnick said. “These innovative work spaces incorporate various technologies and tools – all the trappings needed to support the functionality and growth of these organisations in the short or long-term. “This is vital due to the focus on timing and overall costs of these projects. “It is clear the needs of the tenants are changing and the market needs to change to meet these requirements. It’s about futureproofing the asset.” editorial@aspermont.com

MAY 2012 AMM


Creusabro

®

for bucket wear liners Creusabro® DUAL

Creusabro high performance wear and impact abrasion resistant steels offer superior wear performance, combined with excellent weldability. Creusabro has proven results in the toughest hard rock mines in Australia.

Creusabro® 8000

The alloy steel’s high resistance to impact abrasion and slide wear provides a significant increase in bucket wear pack service life. This in turn, results in reduced equipment down time and major maintenance cost savings!

Creusabro® 4800

Creusabro bucket wear liners will… Extend your digger bucket in-service life by 50 – 100% Increase bucket reliability and in-service working hours by up to 6 months

Creusabro® 8000

Reduce your mobile fleet maintenance cost and equipment down-time

Creusabro® DUAL

Creusabro wear resistant steel combines four advanced material concepts to reduce wear:

• Tough nickel, chrome and molybdenum alloyed steel • Work hardens under impact • Resistance to slide abrasion due to dispersion of fine titanium carbides • Uniform through hardening Creusabro is the “Smart steel of the future”. Contact us today to find out how it can work smarter in your toughest application.

Sandvik currently offer 3 grades of Creusabro wear plate: C4800 (400 HB) C8000 (500 HB) Creusabro Dual (500 HB + Ti carbides)

For more detailed information, visit www.smt.sandvik.com/au Sydney

Melbourne

Brisbane

Newcastle

Adelaide

Townsville

Phone: (02) 9828 0600 Phone: (03) 9238 7200 Phone: (07) 3347 0560 email: sales.steelsmithfield@sandvik.com email: sales.steeldandenong@sandvik.com email: sales.steelbrisbane@sandvik.com Phone: (02) 4924 2150 email: sales.steelmayfield@sandvik.com

Phone: (08) 8243 7700 email: sales.steeladelaide@sandvik.com

Perth

Phone: (08) 9373 7500 Phone: (07) 4722 4100 email: sales.steeltownsville@sandvik.com email: sales.steelperth@sandvik.com


Transport

A train carrying manganese on the line from Postmasburg to Port Elizabeth, the main bulk export terminal.

Containers contain costs An Australian exploration company in South Africa has adopted a different and more economical approach to transporting ore. By Vetti Kakulas

A

n Australian minerals explorer is turning to containerisation to cut transport costs. Segue Resources, based in Perth, Western Australia, is adopting the method at its flagship Emang manganese project in Postmasburg, South Africa. The Emang project has the potential to contain 10 to 15 million tonnes of medium grade manganese ore within 30m of the surface. Segue Resources intends to directly ship that ore at a rate of 500,000t per annum for more than seven years. Containerisation offers an inexpensive alternative to bulk shipping. Since the Emang project is not a big one, using containers is ideal, especially when other mine sites in the area, some producing 10,000t per month, have adopted the method. South Africa is a major container import destination for Africa. Most of these

128

containers are coming from China. There are a number of shipping terminals in South Africa capable of taking containers. Although transporting a container from site to ship may be more expensive than using a bulk rail wagon, getting the container from South Africa to China is cheaper.

Containerisation offers an inexpensive alternative to bulk shipping. The cost of loading a container and placing it onto a ship is $90 per tonne. Transporting from South Africa to China costs just $15 a tonne. A total of $105. For the bulk wagons, it costs $70 a tonne to get it from site onto a bulk ship and $30 to get it from South Africa to China – $100. Bulk wagons are cheaper, but it’s on the

journey back to China where Segue hopes to benefit. Segue managing director Steven Michael said ships on the return voyage from South Africa were almost empty and welcome the extra freight back, offering the chance to ship for less than the cost of bulk wagons. “The reason I think containers will be cheaper is that right now there is about 250,000 tonnes a year of manganese sent to China in containers,” Michael said. “If we were to add half a million or three quarters of a million tonnes to that system, we should be able to get better rates from the handling side of the containers.” Using containers to ship manganese could involve loading the containers onto a flatbed truck to be shipped to a rail terminal, one kilometre from Emang, then on to Bloemfontein, before being shipped to one of several container terminals in South Africa.

MAY 2012 amm


Transport

Workers drilling at Segue Resources’ Emang manganese project.

A train line runs from Postmasburg to Port Elizabeth, the main bulk export terminal. “My view is we should be able to save a couple of dollars a tonne just by putting some bigger loading facilities into containers and potentially also moving the product from our site to Bloemfontein, the breakout area for containers, via rails,” Michael said.

Getting the container from South Africa to China is cheaper. “We could be selling product by the second half of this year and that’s where containers make a lot of sense. If we are selling thirty or forty thousand tonnes a month it is not enough for us to go on the bulk rail system.” The containerisation would not work for ore production of more than 1 million tonnes per annum – at that volume, the bulk system becomes cheaper. Containers can operate effectively and efficiently for Segue’s medium grade of ore. Michael added: “The benefit we have in South Africa is that there is a very significant container moving network in terms of ports and rails.” vetti.kakulas@aspermont.com

www.volkswagen-commercial.com.au

“ The complete package... and 2011 Ute of the Year.” 4x4 Australia Magazine.

130

Volkswagen Amarok. The complete package. In its very first year in Australia, Volkswagen Amarok adds 4x4 Australia Magazine’s Ute of the Year 2011 Award to its Delivery Magazine Ute of the Year 2011 Award and its Five Star ANCAP rating. Now it’s your turn to judge. Test drive Amarok – the “Complete Package” – at your nearest Volkswagen Commercial Vehicle dealer today.

MAY 2012 AMM


Equipment Manufacturing for the Mining Industry

QUALITY, RELIABILITY, SERVICE Water Trucks Our Latest release featuring 16,000 litre capacity and ROPS as standard

Elevated Work Platforms Providing a range of insulated and non insulated Elevated Work Platforms from 11m - 30m with ROPS and Hi Rail options

Ph: 1300 905 550

www.sherrinequipment.com.au info@sherrinequipment.com.au


Tyres & Tyre Management Tyre handler training at the Otraco training facility in Perth.

Need a spare

It’s not just mining trucks that need spare tyres; the industry professionals who fit these massive tyres could do with some spares too. By Brooke Showers

H

andling truck and loader tyres is a niche skill in high demand. To meet that demand, Downer EDI Mining subsidiary Otraco International has built the world’s first tyre changing training facility in Perth. According to Otraco International general manager Alistair Swanson, without skilled tyre handlers a mine “can end up with trucks parked up”. Otraco executes all of Rio Tinto Iron Ore’s tyre management in the Pilbara and has serviced BHP Billiton sites for 40 years. “Otraco has a pretty unique perspective because we operate in many of the flagship mines across the world,” Swanson said. “We have exposure to so many tyres.

132

TYRES CAN COST MORE THAN $100,000 • Tyre handling is a specialist, high-risk task • Otraco training takes five weeks – mine site training can take nine months • Training at the facility is safer and more effective than on-the-job training

“We’ve got over 600 people a day working with those tyres, so the body of knowledge that you can bring back in and spread around is global best practice. “There is a whole science behind tyre rotation, tyre management and tyre handling.

This comes with experience and knowledge.” With some tyres costing more than $100,000 each, it’s every miner’s goal to maximise tyre life. “It’s not only a cost game, and an efficiency game, it’s also a safety game,” Swanson said. Tyre handling is one of the more hazardous duties on a minesite and fatalities happen. “There are incidences every month on mine sites where, due to lack of due process and practice, people get hurt,” Swanson said. Otraco is operating at sites that are losttime injury free for up to 15 years now. It derisks tyre handling activities through rigorous policies, procedures and staff training. The firm built its training facility to qualify more tyre handlers faster to meet

MAY 2012 AMM


Fitting giant Off the Road tyres isn’t a job for any ordinary Joe

Joe Ruig has been fitting Bridgestone Earthmover Tyres for over 30 years and like the rest of our 80 plus national tyre fitting team, he has been trained beyond national standards. Bridgestone Earthmover Tyres staff work on controlling the risks involved in the servicing, maintenance, fitting, inspection and repair of Off the Road tyres and wheel assemblies.

Our safety procedures exceed industry standards and our equipment is modern and developed to ensure fit for purpose. So when tyre and wheel servicing is required for off the road applications, don’t rely any ordinary “Joe”, rely on the company with the experience and the resource to do it first time every time. Bridgestone Earthmover Tyres

If you are interested in a career as a tyre fitter with Bridgestone Earthmover Tyres contact careers@BSEM.com.au or freecall 1800 114 040 www.bridgestone-earthmover.com.au


Tyres & Tyre Management

increased mining activity. “We can take people with zero experience and turn them into tyre fitters, which is quite a complex task, and have them ready to work in a mine,” Swanson said. The existing industry model of training takes about six to nine months on site to qualify people for the job. But Otraco’s course does it in five weeks. Learning the tyre trade on the job at a mine site does not always provide consistent training, as handlers experience downtime between tyres coming in, preventing trainees from honing their skills through constant repetition. The safety exposure with putting a trainee on a mine site is also a huge factor. Production pressures to get trucks back on the road as soon as possible and change tyres efficiently means trainees can be forced to rush training, struggling to learn the skills properly when up against the clock. Otraco’s school avoids these problems. It’s also more cost-effective. Before trainees qualify, there are competencies which must be demonstrated on the mine site following the completion of the Perth course. Since Otraco’s training facility began operating in October, it has been flat out running courses back-to-back, already

supplying graduates to Downer EDI, Kalgoorlie Consolidated Gold Mines, Rio Tinto and BHP Billiton, which sponsors the truck used during the course. “The feedback we’ve been getting from our clients is first class,” Swanson said. “The difference to giving them five weeks, 10 hours a day, six days a week, practice, experience, practical training and class room training – they’re a different breed.”

“Without the training centre, we’d still be stuck like our competitors are, with multiple vacancies, fishing from the same pool of qualified people.” – Otraco International general manager Alistair Swanson Swanson said there were no qualified people sitting out there waiting for the phone to ring. “Without the training centre, we’d still be stuck like our competitors are, with multiple vacancies, fishing from the same

pool of qualified people,” he said. “The pool was sufficient two or three years ago before the resource boom kicked off, but that pool is now fished out.” Tyre manufacturing giant Michelin, which has an alliance with Otraco, has requested a similar training facility be established near its operations in North America. There are also requests from South Africa and the Eastern States to replicate the WA facility. Otraco has been inundated with enquiries from people looking to enrol in the training course but not anyone can just start training. After a thorough initial screening process, an interview panel carefully ensures only the right people get through. “It’s hard work, but it’s well paid, it’s rewarding and it’s a good career path for people who come into our business and can rise through the ranks into senior roles,” Swanson said. Applicants for Otraco’s tyre management and handler training have been diverse, ranging from those with traditional trades backgrounds to posties, policemen and disc jockeys. When DJs start spinning tyres instead of records, you know the mining industry has lifted its game when it comes to training innovations. brooke.showers@aspermont.com

CROCODILE TYRES

R TYRES FO RS, DE A O L R E E SKID ST U O ND UNDERGR RIGS L IL R MINING D ETE R C T O & SH S E MACHIN

• INCREASES SAFETY • NO BLOWOUTS • ELIMINATES DOWNTIME • INCREASES PRODUCTIVITY • CUSHIONED RIDE Bernie Fahey - Managing Director M: 0419 709 400 E: info@croctyres.com.au www.croctyres.com.au

134

MAY 2012 AMM


bkt-tires.com

INDUSTRIAL & OTR TYRES


Automation

Ground breaking stuff Intelligent system improves safety and helps avoid collisions. By Brooke Showers Mining companies are embracing the automation of mobile plant equipment after realising the technology’s safety and production benefits. Remote operation has extended towards fixed plant equipment, with automation company Transmin, from Perth, WA, creating the unique Rocklogic technology which allows mine sites to safely operate rockbreakers over great distances – both in underground mines and at processing plants. “Rocklogic enables remote operation of rockbreakers through advanced automation technology,” Rocklogic business development manager Dr Adrian Boeing said. Rocklogic improves the efficiency of rock breaking operations, removes operators from unsafe environments, features a collision avoidance system and can extend a machine’s life. The system works by fitting sensors to the rock breaker to calculate its position relative

136

to the surrounding plant, determining the closest obstacles to the rockbreaker and then pre-emptively reducing its speed to avoid collisions. Sensors can be fitted to surrounding structures, walkways and vehicles, so the rockbreakers will detect the structures and avoid crashing into them. “Rocklogic can generate movement plans for the rockbreaker that it can automatically follow, allowing the operator to park the machine with the touch of a button,” Boeing said. An Australian mining company recently installed Rocklogic at its gold mine in New South Wales and is rolling out the system at other sites. Iron ore miners in the Pilbara have already started incorporating the system, with BHP Billiton and Roy Hill constructing remote operation centres in Perth. brooke.showers@aspermont.com

Automated rock breaker in operation at an underground mine: the measurements represent the Rocklogic collision avoidance data stopping the rock breaker from colliding with any of the surrounding obstacles. The blue sensor lines represent interaction between the Rocklogic system and the truck leet integration data.

MAY 2012 amm


EXPLORATION & MAPPING IN MINING 17-19 July 2012, Duxton Hotel, Perth

Effective data management and GIS integration

Craig McEwan, Chief Geologist, BARRICK AUSTRALIA PACIFIC

Eun-Jung Holden, Research Assoc Professor, CENTRE FOR EXPLORATION TARGETING

Ryan Fraser, Project Leader, CSIRO EARTH SCIENCE RESOURCE ENGINEERING

Adam Roestenburg, 3D Specialist, FORTESCUE METALS GROUP

Andy Barnicoat, Chief of Minerals & Natural Hazards, GEOSCIENCE AUSTRALIA

Garry Edser, Head of Systems, GULLEWA EXPLORATION

Stephen Hall, Superintendent, GIS and Cartography RIO TINTO IRON ORE

Peter Lo, GIS Manager, SINOSTEEL MIDWEST CORP.

Leo Feltrin, GIS Specialist, TECK AUSTRALIA

Conference highlights Featuring the latest findings from geological mapping surveys across Australia

Effective implementation of GIS for the advancement of exploration, mine

Showcasing real life technical case studies from leading exploration & mining

production and project expansion

companies

Ensuring you are using the right GIS technology for your projects

Bringing together national technology experts in mineral exploration to

Achieving diverse datasets in a single environment

benchmark & share best exploration practices

Understanding strategic directions and functions for using visualisation in geology

Adopting advanced resource estimation techniques

Utilising & extracting critical information from geospatial data

Pre-conference masterclass The A-Z of data management and GIS applications in the mining sector & getting started in the industry

For the full program and speaker list visit www.explorationinmining.com

MINE SITE INFRASTRUCTURE 18 - 20 June 2012 Pan Pacific Hotel, Perth

Designing and planning your mine site for optimised productivity and sustainability

Kim Stanton-Cook, Managing Director, GOLDEN CROSS RESOURCES

Dr. Danielle Risbey, Minerals Manager, DEPARTMENT OF MINES AND PETROLEUM WA

Peter Thomas, Project Director - Rail/ Port Expansion, FORTESCUE METALS

Mark Leach, Emergency Services & Security Coordinator, MINARA RESOURCES

Dr. Peter Grossman, Senior Research Fellow, Department of Mechanical Engineering, UNIVERSITY OF MELBOURNE

Dr. Olga Sawtell, CEO, CENTRE FOR AUTOMATION AND FIELD ROBOTICS

Pamela Kaye, General Counsel I Manager of External Affairs, PLUTON RESOURCES

Conference highlights Mine site infrastructure scoping, feasibility studies, design and planning

Planning and building transport infrastructure in and out of mines

Boosting energy efficiency in mine site infrastructure

Optimising efficiency & safety through best practice haul road management

Achieving favourable design of a sustainable mining town

Planning early for mine closure and rehabilitation

Complying with the latest regulations and requirements

Evaluating benefits and costs of permanent vs. temporary infrastructure

Applying cost effective power generation, transmission, distribution and

Examining water supplies, dams and treatment plants

management plans for remote mining sites

Planning for increased mine site automation and remote communications

3 pre-conference workshops on optimal design of a mining town, boosting site energy efficiency and mine site scoping and feasibility studies

For the full program and speaker list visit www.minesiteinfrastructure.com

TO REGISTER

+61 2 9279 2222

+61 2 9279 2477

info@resourcefulevents.com

Co


What’s New

Enter galactic GLOBAL manufacturer of welding and cutting equipment and technology ESAB has released its latest range of welding helmets. Weighing 490 grams, the Aristo Tech offers professional welders the latest in digital lens technology. It provides a liquid crystal display which can be adjusted for shade level sensitivity and delay settings. The lens has a special coating for scratch and heat resistance and is pre-moulded into a convex curve to eliminate the threat of duplicate ghost arcs appearing through the cartridge. Adjustments of sensitivity and delay

are made with QuickSet rocker switches, either up or down – different to traditional conventional dials. The solar powered lens is adjustable from shade five to 13. ESAB says the welding helmet is 25% lighter than others in its class. Aristo Tech meets Australian standards, including a Grade B impact rating for grinding. Grind mode is activated at the lowest sensitivity. The helmet comes in three high gloss colours: yellow, black and white. vetti.kakulas@aspermont.com

ESAB’s Aristo Tech welding helmet

Smooth welding

Oliver Footwear’s latest range of safety boots.

Zipped up OLIVER Footwear has released its latest range of All Terrain 55 series safety boots, featuring a side zip. The 245Z boots each have a six inch zip for easy donning and doffing, without the need to re-tie or adjust the laces. It has a double layering cushion for the foot with a nitrile rubber outsole combined with a polyurethane midsole. Oliver Footwear incorporates its traditional Comfortcushion to the range, where a combination of cellular urethane and Poron material protects the heel and ball of the foot. This helps reduce impact absorption throughout the foot, leg and lower back. The safety boots outsole has resistance to temperatures of 300C of surface contact and is resistant to mineral and organic oils and acids. 245Z boots are slip resistant and the soles are cut, split and crack resistant and are antistatic. Oliver says its Nanolite foot bed massages the foot while walking to promote greater blood flow and to help reduce fatigue. Available in sizes 4-14 and half size increments from 6½-10½.

138

WELDING equipment manufacturer Kemppi has launched a family of software-based welding products for its FastMig and KempArc welding machines. The Wise Solutions software allows the welding process to be tailored to the work at hand. Its tailored welding processes and functions can be used for root pass work, sheet metal welding, penetration control and focused arcs. Kemppi has designed this software for comprehensive user control of the welding arc properties and features of the machine. It adjusts the arc’s properties to turn the equipment into a customised machine for specific welding work. “Apart from improving the quality of the welding, Wise Solutions software helps users reduce welding time, the

need for rework and therefore, costs,” Kemppi Australia managing director David Green said. “With Wise Solutions, welding performance and productivity are assured.” The family of software has been designed for different purposes and includes: WiseRoot, WiseThin, WisePenetration and WiseFusion. WiseRoot is designed for manual and automated root pass welding for steel and stainless steel. WiseThin is for manual automated thin sheet welding and brazing. WisePenetration is suitable for manual and automated synergic metal inert gas or metal active gas welding and WiseFusion creates an optimal short circuit characteristic in pulsed MIG/MAG and spray-arc welding applications.

Using Kemppi’s WiseThin solution software.

MAY 2012 AMM


What’s New

Companies & organisations in this issue

Moxa’s AWK3131 wireless access point is distributed by Madison Connective Technologies.

Access all areas Strong vibrations, moisture and dust created by industrial machinery can cause data connections to become loose. To meet the need for secure wireless connections, Moxa has released the AWK3131 wireless access point equipped with M12 connectors to protect wire connections from external disruptions. The product, distributed by Madison Connective Technologies, is housed in a sturdy IP30, full-metal casing and features power over ethernet, redundant power jacks, and turbo roaming. AWK-3131 provides a wireless connection reaching data transfers of 300 megabytes per second and roaming handoffs taking only 50 milliseconds, when paired with other Moxa hardware. The wireless connector is built for extreme environments and can operate in temperatures ranging from -40 to 75C.

Keywatcher

MORSE Watchman has upgraded its Keywatcher range, distributed exclusively by Australian Security Technology. Dubbed the Keywatcher Touch, because of its bright seven inch touchscreen, the range has introduced a range of features. One feature is the Keyanywhere function, which allows the user to return the key to any Keywatcher system or find out where a specific key is held. The Keyfind feature enables the user to determine who has the key out and when it will be overdue. Keywatcher Touch allows a 14,400 key capacity for 10,000 users per site. For greater security, Morse Watchmen has introduced longer user identification and a four digit personal identification number. Its profile feature allows easier programming for users and a quick way to assign users key and group permissions.

amm MAY 2012

Access Economics 26 51 Adelaide Brighton Alacer Gold 51 Alcoa Australia 78 51 Amcor Anglo Gold Ashanti 10 51 Aquarius Platinum Aranz Geo 10 37 Argonaut 46, 47 Argyle Diamonds 51 Atlas Iron 6 Aurecon Ausdrill 33 Ausenco 24 Australian Institute of Mining 57 and Metallurgy 76 Australian Minerals Research Centre BASF Mining Chemicals 76, 77, 78 Bass Metals 70, 71 6 Bauxite Resources Bayside Aluminium 20 BHP 4, 10, 14, 15, 16,18, 20, 22, 33, 51, 53, 78, 118, 120, 122, 124, 126, 132, 134, 136, 140 BHP Billiton Mitsubishi Alliance 122 52 Caltex Australia Petroleum Caltex Diversity Council 52 117, 118 Carlson Wagonlit Travel Caterpillar 68 The Chamber of Minerals and Energy of 48 Western Australia Cognis 78 Colliers International 126 Commercialisation Australia 74 Consolidated Tin Mines 30 Constancia 24 Construction Skills Queensland 56 CRA 47 CSIRO 76 Cummins South Pacific 6 Decmil 120, 122 47 De Beers Deloitte Access Economics 120, 126 The Department of Agriculture, 54 Fisheries & Forestry Downer EDI Mining 132 Enegnium 6 Enerpac 107, 108 Equal Opportunity for Women 52 in the Workplace Agency ESAB 138 FIFO Families 32 Finlay Screening & Crushing 110 Fire Rescue Safety Australia 43 Fortescue Metals Group 12, 16, 51, 120, 122 28 Fosters Stockbroking Fugro-Jason 6 G&S Engineering Services 18 Gemcom Software 59, 60 51 Gindalbie Minerals Gippsland Ltd 30 Gold Road Resources 6 Harvard Business School 50 Hudbay Minerals 24 Iluka Resources 51 International Nickel Study Group 74 Ikon Science 6 Incitec Pivot 51 International Tin Council 28 Jabiru Metals 6 JeoDijital 10 JP Morgan 12 Kalgoorlie Consolidated Gold Mines 134 Kasbah Resources 28 Kemppi Australia 138

Komatsu 38 Labor Party 32, 140 LME 28 The Department of Manufacturing, Innovation, Trade, Resources and Energy, 124 Metals X 30 Michelin 134 10 Micromine Microsoft 59 33, 78 Minara Resources 22, 26, 48 Minerals Council of Australia 57 Minesense Technologies 32 Mitchell Library Sydney Monto Minerals 30 139 Morse Watchman Moxa 139 Murchison Metals 6 Navigator Resources 6 NDYLTK Rail 6 78 Newcrest Mining Newmont 10 Nickel West 20 41 NSW Minerals Council Oliver Footwear 138 132, 134 Otraco 51 Oz Minerals People For The Future 48 6 Pepperl & Fuchs Phoenix Contact 6 Queensland Mining & Enginerring 107, 114 Exhibition 48, 120 Queensland Resources Council 34 Redpath Reed Mining Events 107, 114 Regional Economic Development Corporation (Whitsunday Islands) 18, 19 116 Renew Energy Resource Mining Corporation 73, 74 50 Resource Workforce Summit Reynolds Soil Technologies 64, 66 43 RFD Australia Rio Tinto 10, 15, 16, 20, 22, 33, 43, 46, 47, 51, 78, 120, 122, 134 Rittal 112, 114 RMB Australia Holdings 70 RMB Resources 70 Samanchor Chrome 20 Sandvik AB 39 Sandvik Mining 8, 9, 39 6, 128, 130 Segue Resources Sims Metal 51 Skelton Sherborne 6 The South Australian Chamber of Mines and Energy 124 Sovereign Gold 32 Stellar Resources 30 110 Terex Thiess 33 Toyota 30 Toyota Tsusho 30 Transmin 136 Try’a Trade 56 UBS 16 Urban Development Institute 15 of Australia Venture Minerals 30 Venturex Resources 6 Virotec 43 VOLVO 9 The Western Australian School of Mines 57 Woodside 120 Xstrata 22, 78 Yamatji Marlpa Aboriginal Corporation 53 Zeehan 30

139


Viewpoint

dryblower

The uranium question Will the economy halt another mining boom?

T

he political winds of change are blowing in favour of Australia’s stalled uranium industry, though Dryblower fears that the economic winds are less favourable. Queensland’s recent election is the latest potential breaker of the political logjam that has restricted uranium mining to a handful of sites around the country. Until the anti-uranium Labor Party was shown the door in Brisbane and beyond, the State which was once the biggest producer of uranium in Australia, and one of the biggest in the world, was a virtual no-go area for explorers and would-be miners of the nuclear fuel. Today, depending on how quickly the right-leaning government of Queensland’s new Premier, Campbell Newman, acts there is a chance that rich, but dormant, uranium deposits such as Valhalla and Ben Lomond can be shuffled closer to development. However, the challenge now will be demonstrating the financial viability of Queensland’s uranium resources, a change from the fight of the past 30 years which has been all about the politics of the fuel. In a way, what happens in Queensland will be a guide to the short-term future of uranium in Australia, which flew high before the global

financial crisis but crashed back to earth when the reality of the nuclear fuel cycle came home to roost. Back in 2007, there were high hopes for a boom in nuclear power plant construction. The spot-market price of uranium soared as high as $US135 a pound, sparking a miniboom in the Australian exploration industry and loud calls for political impediments to be removed. Those impediments were legendary throughout the mining world, as well as being an excellent case study of hypocrisy in action. Despite having some of the richest uranium deposits in the world, governments at a national and state level erected multiple barriers to prevent uranium mining. Arguments against uranium mining ranged from it being too dangerous to transport, to the risk of nuclear weapons proliferation, to the chance of more power station meltdowns such as what almost happened at Three Mile Island in the US and did happen at Chernobyl in Ukraine and Fukushima in Japan. Whatever the reasoning, the politics of the nuclear fuel cycle meant that Australia’s explorer/miners missed every window of opportunity from the early 1970s to 2012. Today, the politics are moving in favour of uranium mining but the economics are

Give a dam? To dig, or not to dig, that is the question confronting BHP Billiton as speed bumps in the mining boom turn a deal sour and make another look like a step too far. The natural gas price crash in the US has damaged the economic justification for BHP Billiton’s $US17 billion splash into the shale gas industry over the past two years. For BHP Billiton’s management, the gas glut is more than an embarrassment. It is encouraging a few nervous investors to sell as a big write-down nears, perhaps as much as $US10 billion. The US gas glut is also sending a shiver of concern through the company itself about when – or whether – it should

not. Some Australian states have shifted their positions on uranium and the national government has dropped its strongest objections. Unfortunately, hypocrisy has morphed into irony. As fast as the Labor Party has been changing its mind under pressure from potential customers such as China and Russia, the uranium price has been retreating. Thanks to a combination of Fukushima and the “discovery” of vast reservoirs of shale gas in the US, the uranium price is struggling to stay above $US50 a pound – which is less than $A50/lb at current exchange rates. In Japan, there is just one nuclear power plant operating. In the US, shale gas has decimated the natural gas market, driving the price down from $US13 per million British thermal units to around $2.50/Mbtu – and sparking reports that the price could drop below zero as a glut of gas fills pipelines and underground storage facilities. With the very real potential for the shale gas revolution to go global there is far less appeal to construct new nuclear power stations which can take 10 to 20 years to design and build. Having finally overcome political barriers, the uranium industry has walked headlong into an economic barrier. editorial@miningmonthly.com

One more thing... proceed with the giant Olympic Dam copper and uranium open-cut mine in South Australia. Costing north of $US27 billion, and likely to take more than three years of digging before it reaches the super-deep, super-large, orebody, Olympic Dam might tolerate the investment on the copper it will yield, but could have questionable economics if the uranium price stays flat. For BHP Billiton, the Olympic Dam expansion is shaping as a test of management’s commitment to “investing through the cycle”. For SA, it’s a test of the financial viability of the state that is running out of profitable private-sector employers.

Watch the Sahel. That’s Dryblower’s final thought for the month. If you don’t know what or where it is, imagine a band of semi-desert south of the Sahara and as big as WA. Now overlay the gold-rich countries of the Sahel, including Mali and Burkina Faso, with nomadic Tuareg tribesmen, heavily armed from service in the defeated Libyan army, plus the odd gathering of al-Qaeda terrorists, and you have trouble on a stick. The coup in Mali was a result of this deadly cocktail and might turn out to be a warm-up bout in Africa’s latest hot spot.

“A pessimist is a man who thinks everybody is as nasty as himself and hates them for it.” – George Bernard Shaw 140

MAY 2012 amm


TOGETHER WE LEAD THE WAY (ARE YOU WITH US?) Some say people are born to lead. Leading a team of industry experts however, is no small feat. We’re looking for focus, determination and a passion to succeed. It’s about developing trust, walking the walk and igniting the pioneering spirit in our teams. Thiess is looking for leaders who are ready to head up our operations and high performing teams. If you are an experienced Project General Manager, Mining Manager, Principal Geotech or a National Safety Manager we want to talk to you. Call us today for a confidential discussion.

APPLY NOW THIESS.COM.AU/CAREERS | 1800 664 028


Australia's Mining Monthly - May 2012