Canadian Mining Journal November 2021

Underground mining

BHP GOES ALL IN AT JANSEN

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NOVEMBER 2021 VOL. 142, NO.9

FEATURES 12 Tony Makuch joins CMJ’s Reimagine Mining Symposium to discuss the future of the new Agnico Eagle Mines.

14 Costm ne e pla ns o

of base metals projects.

16

uctuat n smelter c ar es can erode t e alue

UNDERGROUND MINING 16

mo es a ead t ts rst potas m ne

ansen n as atc e an

20 Komatsu’s MC51 hard rock continuous miner begins a one-year trial at Vale’s Garson mine.

24

ctaul c e pla ns o d erter al es are mpro n worker safety.

ac ll e ency and

27

VENTILATION 27 Key considerations when planning to implement a ventilation on demand system.

30 G+ Plastics on why miners should pay closer attention to auxilary ventilation.

MAINTENANCE 33 How maintenance management software can help make the most of mining equipment throughout its lifecycle.

33

DEPARTMENTS

4 EDITORIAL | Mining’s identity crisis.

6 LAW | Alison FitzGerald of Norton Rose Fulbright outlines how Canadian miners with subsidiaries abroad can manage heightened parent company risk.

8 CSR & MINING | Carolyn Burns of NetPositive summarizes lessons learned about multi-stakeholder collaboration during the pandemic.

11 FAST NEWS | Updates from across the mining ecosystem.

36 ON THE MOVE | Tracking executive, management and board changes in Canada’s mining sector.

37 UNEARTHING TRENDS | EY’s Theo Yameogo discusses the top risks for m ners n as reported y m n n e ecut es and decar on at on

About the cover: At BHP’s Jansen potash project in Saskatchewan. CREDIT: BHP

Coming in December 2021 Canadian Mining Journal looks at international mining with a focus on Australia.

Plus, coverage of our Reimagine Mining Symposium.

For More Information

www.canadianminingjournal.com NOVEMBER 2021

Please visit www.canadianminingjournal.com for regular updates on what’s happening with Canadian mining companies and their personnel both here and abroad. A digital version of the magazine is also available at https://www.canadianminingjournal.com/digital-edition/

CANADIAN MINING JOURNAL | 3

FROM THE EDITOR NOVEMBER 2021 Vol. 142 – No. 9

Mining’s identity crisis Alisha Hiyate

O

n Oct. 13, Canadian Mining Journal held its first branded event – our Reimagine Mining Symposium.

The live, online event was itself a reimagining of a pre-pandemic event that was organized by our sister publication, The Northern Miner. Like the Progressive Mine Forum before it, the Reimagine Mining Symposium was about the ongoing transformation of mining – in terms of technology, talent, and even purpose.

Our aim was to connect our audience with industry leaders on the forefront of big changes taking place in the industry – electrification, decarbonization, and automation among them.

We were gratified that more than 800 people registered for the event, and nearly 550 logged in to join us on the day of the symposium. We would like to extend a deep thank you to all of the delegates, speakers and sponsors who made the event a success.

New technology and solutions were certainly represented, including battery electric vehicles (Sandvik), drone technology and mapping software (Emesent and Exyn Technologies), and power management solutions (Eaton). An expert panel also discussed how the mining industry can achieve its net zero carbon ambitions.

But one of the running themes of the day centred on not the how of mining but the why.

Of course, we all know that mining is essential – so essential that it’s almost invisible to society and taken for granted.

But our first keynote speaker of the day, George Hemingway, a managing partner and head of the innovation practice at Stratalis, highlighted a way to counter that sentiment. Simply put, the industry needs to find a purpose beyond shareholder returns in order to build trust with society.

Trust is not something that mining enjoys – however it’s something that its social licence to operate depends on.

Building trust is not a straightforward exercise and requires people who work in mining to connect with a deeper purpose, Hemingway said.

Tellingly, this connection with purpose is something he sees in mining professionals who are working to prevent tailings dam failures. These individuals, he says have “a passion, a knowledge that what they do matters.”

For the record, mining’s not the only business that is struggling with finding purpose (BlackRock CEO Larry Fink has been advocating for a purpose and profits approach to business for several years).

But it does seem to be an idea that is resonating in the industry. Echoes of this theme were evident in other featured presentations during the event, including SRK’s ‘What if mining was cool’ thought leadership panel exploring the disconnect between the industry’s view of itself and the way the public at large sees it; and an interview with NORCAT CEO Don Duval on the link between investing in technology and being able to attract and retain workers.

Stay tuned for more coverage of the event in our December issue, visit our website for full videos, and turn to page 12 to hear what our other keynote speaker, Tony Makuch, had to say. CMJ

4 | CANADIAN MINING JOURNAL

225 Duncan Mill Rd. Suite 320, Toronto, Ontario M3B 3K9 Tel. (416) 510-6789 Fax (416) 510-5138 www.canadianminingjournal.com Editor-in-Chief Alisha Hiyate 416-510-6742 ahiyate@canadianminingjournal.com Twitter: @Cdn_Mining_Jrnl Interim News Editor Marilyn Scales mscales@canadianminingjournal.com Production Manager Jessica Jubb jjubb@glacierbizinfo.com Art Director Barbara Burrows Advisory Board David Brown (Golder Associates) Michael Fox (Indigenous Community Engagement) Scott Hayne (Redpath Canada) Gary Poxleitner (SRK) Manager of Product Distribution Allison Mein 403-209-3515 amein@glacierrig.com Publisher & Sales Robert Seagraves 416-510-6891 rseagraves@canadianminingjournal.com Sales, Western Canada George Agelopoulos 416-510-5104 gagelopoulos@northernminer.com Toll Free Canada & U.S.A.: 1-888-502-3456 ext 2 or 43734 Circulation Toll Free Canada & U.S.A.: 1-888-502-3456 ext 3 Group Publisher Anthony Vaccaro Established 1882

Canadian Mining Journal provides articles and information of practical use to those who work in the technical, administrative

and supervisory aspects of exploration, mining and processing in the Canadian mineral exploration and mining industry.

Canadian Mining Journal (ISSN 0008-4492) is published 10 times a year by Glacier Resource Innovation Group (GRIG).

GRIG is located at 225 Duncan Mill Rd., Ste. 320, Toronto, ON, M3B 3K9. Phone (416) 510-6891.

Legal deposit: National Library, Ottawa. Printed in Canada.

All rights reserved. The contents of this magazine are protected by copyright and may be used only for your personal non-commercial purposes. All other rights are reserved and commercial use is prohibited. To make use of any of this material you must first obtain the permission of the owner of the copyright. For further information please contact Robert Seagraves at 416-510-6891.

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LAW

How Canadian miners with subsidiaries abroad can manage heightened parent company risk

By Alison FitzGerald

A

fundamental principle of corporate law in Canada is that parent corporations have a separate legal personality from their subsidiaries, and therefore cannot generally be held liable for their subsidiaries’ activities. Historically, foreign plaintiffs have only been able to hold a parent company liable for the conduct of its subsidiary by “piercing the corporate veil.” Canadian courts will only pierce the veil where a subsidiary was wholly dominated and controlled by the parent, and was used as a shield by the parent for fraudulent or improper conduct; where the subsidiary acted as an agent for the parent; and where a statute or contract requires it.

Cases in which the corporate veil have been successfully pierced tend to involve, among other things, fact evidence demonstrating that the parent company was the “brain” of the venture, made all of the decisions and/or was in constant and effectual control of the subsidiary, or that shareholders had not properly appointed directors to manage the company and were instead effectively managing the subsidiary themselves.

Corporations therefore typically seek to preserve the corporate veil by ensuring, for example, that subsidiary boards function independently, have a majority of directors who are not resident in Canada and who meet regularly in the foreign jurisdiction.

Because the corporate veil can only be pierced in limited circumstances, foreign plaintiffs have looked for other means to hold parent corporations responsible for their subsidiaries’ conduct. A second gateway to potential liability in Canada has now developed through cases arising mainly out of mining investments abroad. These claims are based on the assertion that the Canadian parent owes a duty of care directly to the foreign plaintiffs.

Candian court claims

Canadian courts have not yet engaged in a thorough analysis of the merits of these claims. To date, the battle has been over whether Canadian courts have jurisdiction to hear the claims and whether they disclose a reasonable cause of action. That said, these decisions provide invaluable insights into how Canadian courts view these claims, and how they are likely to address the issues when they get a chance to rule on the merits.

A common factor among these claims to date is the adoption and top-down implementation by the parent company of corporate compliance and ESG-type policies requiring a particular standard of conduct of employees and often of vendors and

6 | CANADIAN MINING JOURNAL

suppliers. Paradoxically, while the adoption and implementation of voluntary standards has been a factor in courts allowing these cases to proceed, the adoption and implementation of such standards may well serve as a defence or mitigating factor at the merits stage of a lawsuit.

Moreover, in some jurisdictions the voluntary adoption of such standards has been either replaced by or supplemented with legislation imposing specific duties on parent companies of certain sizes or in certain sectors that are organized under the laws of those jurisdictions. For example, under the French 2017 Corporate Duty of Vigilance Law, companies of a certain size organized under French law are required to assess the risk of serious human rights abuses and environmental damage or health risks associated directly or indirectly with their activities abroad, to prepare and implement a plan to address those risks, and to publish the plan. Under the UK’s Modern Slavery Act 2015, UK companies meeting certain criteria are required to prepare an annual statement addressing the steps taken to ensure that slavery and human tra c ing are not ta ing place in any of their supply chains or any part of their own business.

With government and regulators around the globe increasingly focusing on and regulating ESG and other similar issues, understanding and balancing interlocking risks for parents and their foreign subsidiaries is critically important. Canada has yet to impose a duty of vigilance or enact modern slavery legislation. A modern slavery bill has been tabled twice in parliament.

It seems likely that such legislation will be introduced – the main question is when.

This is an evolving area of liability risk exposure and reputational harm for Canadian companies. Companies with operations abroad should give careful consideration to their liability exposure in connection with human rights, labour and environment-related risks within their business and in their supply chain. While proper incorporation of subsidiary companies will help manage some risk to parent companies, it will not insulate them from liability in the face of certain types of risks, such as serious human rights abuses, forced labour, human tra c ing and environmental damage. roper ris assessment, planning and oversight of foreign operations is critical to managing this evolving source of liability risk. CMJ

ALISON FITZGERALD is Of Counsel at Norton Rose Fulbright in Ottawa.

www.canadianminingjournal.com

OCTOBER 2021

CANADIAN MINING JOURNAL | 7

CSR & MINING

Multi-stakeholder collaboration: Leveraging lessons learned from COVID-19

By Carolyn Burns

T

here is no question that Covid-19 has changed the social context and day-to-day reality for people across world, including people who are impacted by mining activity. We have all been directly affected by the virus itself, and by the resulting lockdowns and physical distancing that have contributed to food insecurity, poor mental health and isolation, increased domestic violence and substance abuse, and limited access to education and non-Covid related medical services. These direct and indirect impacts of the pandemic fundamentally changed the way that companies, communities, governments and civil society organizations engage with each other and collaborate on community development priorities. As we move into a recovery phase and manage the realities of an endemic virus, there is a unique opportunity to build strong relationships between stakeholder groups and leverage mining activity to achieve long-term positive social outcomes. These three lessons learned will help us realize this opportunity and positively shape relationships between companies, mining impacted communities and other stakeholder groups.

Lesson Learned #1: The social context in communities has fundamentally changed.

ovid will have a long lasting influence on the social dynamics within communities because it disproportionately affected certain community sub-groups. These sub-groups include people who live in remote areas, experience poverty or precarious employment, are responsible for managing home life and caring for children, have limited access to medical services, have pre-existing health concerns and/or are isolated from family and friends. Inequalities within communities will contribute to long-term strain between those within the community and with governments, other institutions and the private sector. This strain will become apparent in both obvious and subtle ways.

As a result, it is more important than ever to monitor and understand changes in the social context. This type of analysis can be an effective leading indicator about the quality of and risks to a company’s social licence to operate. To do so, company’s community relations team should be monitoring changes and updating stakeholder maps regularly. Stakeholder analysis should identify the type of relationships between community sub-groups and other stakeholders, not only the relationship with the company. Understanding the social context is not just relevant to companies. Where possible, companies can follow

8 | CANADIAN MINING JOURNAL

Some companies have reported increased participation in community meetings when they are held online because travel isn’t required. That being said, virtual tools are not a silver bullet. social media discussions and work with community representatives to inform and share the analysis. Companies should also integrate metrics that reflect the changing social context into regular reporting and management systems.

Lesson #2. here are benefits to irtual engagement in-person engagement).

but e can t replace

Physical distancing introduced fundamental changes to the way we work, engage and communicate. We are all using virtual communications tools like Zoom, WhatsApp and even email in new ways to maintain relationships and share information with each other. Over the past two years, we’ve learned that virtual tools like Facebook posts, virtual community meetings and WhatsApp groups can be a great way to share information with broad groups of people on a regular basis. Some mining companies have even reported increased participation in community meetings when they are held online because travel isn’t required, and announcements are more widely dispersed. That being said, virtual tools are not a silver bullet. They don’t provide opportunities for informal engagement and relationship building. It is also hard to read a person in a virtual environment and interactions often lack a ‘personal’ element that is so crucial to building trust and understanding. Virtual forums can also encourage oneway engagement where the company is talking ‘at’ community members as opposed to participating in real two-way dialogue.

This is specifically true where there is no established relationship and/or when community members are not particularly engaged with mining activity.

As we move into a ‘recovery’ period we won’t throw out virtual engagement tools. As we become more comfortable with in-person engagement, we will have to be strategic and intentional about reworking engagement to include a virtual component.

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Covid-19 lockdowns and case rates exacerbated social issues in communities. Some of the most common issues have been limited access to medical services, food insecurity, increased domestic and gender-based violence, increased substance abuse, limited access to internet and technology, and poor mental health. Many mining companies overhauled their community investment programs and responded to these complex social challenges by funding mobile clinics, facilitating food drops, providing PPE, setting up internet access, and ensuring access to mental health and family supports.

These contributions were critical during the pandemic, however most company community investment programs focused on addressing the symptoms of these complex challenges.

While companies have worked with other stakeholder groups, including governments and non profits, the increased pressure on government agencies and the non profit sector has highlighted the cracks in our system and severity of the challenges facing many communities. on profits and government agencies are chronically under-resourced and lack the capacity to address the complex nature of food security, mental health, domestic violence and systemic prejudice. This was all the more evident during the height of the pandemic.

One of the most significant lessons learned through this period is the effectiveness of a multi-stakeholder approach to address the root causes of these issues. Companies are not well placed to solve complex social challenges on their own for a number of reasons. However, two years into the Covid-19 pandemic there is a clear expectation that major companies play a leadership role working with governments and other stakeholder groups. This presents an opportunity for the private sector (and mining companies in particular) to participate in a multi-stakeholder response. Some of the most effective ways companies can do that is through funding, using their convening power and by reflecting community priorities in company operations and decision making. CMJ

CAROLYN BURNS is director of operations at NetPositive, a non-profit that works with diverse stakeholders to help local communities see sustained positive outcomes from mining (www.netpositivenr.org).

NOVEMBER 2021

NEZHINSKY MINE, BELARUS

Lesson Learned #3.

We need to promote multi-sector collaboration to address complex social issues.

AFRICA | ASIA | AUSTRALIA EUROPE | NORTH AMERICA SOUTH AMERICA

Mining Contractors and Engineers

Consider it done — safely.

redpathmining.com CANADIAN MINING JOURNAL | 9

SUPPLIED CONTENT

DIGITAL TRANSFORMATION HELPS MINING INDUSTRY DIG DEEPER W hen it comes to the drilling process for mining companies, there’s often numerous variabilities and inefficiencies.

But there’s reason to believe a digital evolution will improve mineral exploration moving forward.

Transitioning operations to use more cloud-based technology is helping mining companies around the world address volatile market conditions, profit margin pressures and environmental, social and corporate governance (ESG) sustainability. With new ESG requirements and demands from investors, decisions around data are also becoming increasingly important. This strengthens the case for a centralized cloud-based solution, which allows for better-quality insights through the unification of data silos.

One SAP Canada mining customer took a multi-step approach to modernizing their digital footprint: transitioning key systems to the cloud, outsourcing core IT processes to third parties, and transforming the technology and IT teams to be innovation partners,

10 | CANADIAN MINING JOURNAL

not functions, for the business. Going digital helped them decrease process variability and costs, as automation reduces the need for maintenance by predicting the necessary repair or replacement of parts or machines with more accuracy. This ultimately led to safer and more sustainable overall business operations.

Another customer was looking for improved visibility, enhanced analytics and centralization between departments and mines. A harmonized and technologically advanced approach using cloud-based software allowed them to focus on key analytics, collaboration and decision-making instead of manual tasks.

Customers are finding success in improving their company’s ESG position by leveraging current and emerging technologies to provide a full, accurate view of the impact their operations are making. This, in turn, is helping them design mitigation actions and implement data-driven decision making across the board.

SAP’s Industry Technology is

providing operations teams with real-time updates on how to make mining more responsive and efficient, while creating an enhanced customer experience. SAP technology has been found to offer businesses a 10 per cent increase in Return on Assets while generating deeper insights to guide processes and make confident decisions. Customers that have integrated the SAP platform into operations have reported that it provided resilience, agility that, as a result, stimulated growth.

SAP has been working with mining companies across Canada, and around the world, to help them make mining more intelligent, transparent and agile, from the pit to the customer. By 2025, mining companies will need to deliver resources responsibly by automating production, achieving sustainable operations, and collaborating with customers, suppliers, and communities.

Learn more about how miners can make profits and sustainable shared social outcomes with SAP at www.sap.com/ industries/mining.html n

www.canadianminingjournal.com

FAST NEWS • EQUIPMENT |

Updates from across the mining ecosytem

Epiroc launches new remanufacturing centre in Sudbury

Epiroc announced the opening of a new remanufacturing (reman) centre in Sudbury, Ont., during the MINExpo conference held in Las Vegas in September. The company’s remanufacturing approach can maximize the lifecycle of a component, thus saving money.

With similar Epiroc reman facilities opening their doors across the globe, this reman centre is a modern addition to the program, which manages the process of recycling components to the newest and latest specifications. This global program guarantees availability of components and offers an industry leading warranty to give customers added confidence in their component’s performance capabilities on site.

The reman program is designed to have a high level of interaction with customers and their machine operating fleet. t is a commitment to wor together and achieve operational excellence through collaboration. y wor ing closely with customers and utilizing forecasting tools, the reman program ta es a predictive approach and ensures components are accessible so they can meet the needs of each mine; the global supply chain eeps e uipment flowing to customer sites right as they need it, ready to perform.

The highly trained onsite technicians

• INNOVATION |

use modern testing e uipment to ensure no fault goes unchec ed and the component is remanufactured to its fullest potential.

Since the testing methods are the foun-

dation of a successful rebuild, the Epirocdesigned test bench uses engineered program tests to confirm the product uality meets or surpasses the strictest of standards. CMJ

Axora launches digital transformation community for mining, energy

Axora, the digital solutions marketplace for industrial innovators, has launched the world’s first digital transformation community for the metals, mining and energy sectors. The two sectors are responsible for most of the world’s resource production, crucial for powering the global economy and the green energy transition.

The Axora community will connect industry innovators, share the latest market research on key digital trends, and initiate thought provoking debates to help solve some of the biggest challenges facing these industries today.

“By harnessing digital innovation, paired with NOVEMBER 2021

Epiroc has opened remanufacturing facilities around the world, including in Sudbury, Ont. CREDIT: EPIROC

knowledge sharing and collaboration, industry leaders can ensure worker safety, reduce environmental impact, and improve return on investment. That’s why we started the Axora community,” said Axora CEO Ritz Steytler.

Axora’s two recent reports Innovation Forecast: Mining and Metals and Innovation Forecast: Energy revealed that 99% of senior decision-makers at energy and metals and mining firms across the world needed a global digital transformation community. The Axora community will include metals and mining, and energy industry professionals as well as

technology providers, associations, and academics. It has been set up with the help of founding members that include senior professionals from Teck Resources, Kinross Gold, Vale and ArcelorMittal Europe.

The Axora community will host exclusive webinars, invite-only roundtables, and access to live Q&A sessions with industry experts around the world.

It will initially focus on the metals and mining sector and will expand to cover the energy sector at the end of this year (https://Community.Axora.com). CMJ CANADIAN MINING JOURNAL | 11

REIMAGINE MINING SYMPOSIUM

> By Canadian Mining Journal Staff

Tony Makuch wants to change the popular perception of gold mining:

TONY MAKUCH

‘We’re the good guys’

K

irkland Lake Gold is in the midst of one of the Canadian gold sector’s most important mergers in recent memory with Agnico Eagle Mines.

And on Oct. 13, Kirkland Lake CEO Tony Makuch – and soon-to-be CEO of the new Agnico Eagle – joined Canadian Mining Journal s first eimagine ining ymposium as a keynote speaker to talk about the mega-merger.

“It’s a strength-on-strength transaction,” putting together two leaders in the gold space that have a demonstrated track record of growing per share value, he told moderator Henry Lazenby, multimedia content producer with CMJ’s sister publication, The Northern Miner.

The deal, announced on Sept. 28, will create a high quality, senior producer with 48 million oz. of gold in reserves. The boards of both companies have approved the arrangement, which is expected to close late this year or in early 2022, and current Agnico CEO Sean Boyd will become chair of the board.

The merged company will be the world’s third largest gold producing company with about 3.5 million oz. per year at all-in sustaining costs of around US$810-820 per oz. Makuch believes that can be further reduced to below US$800 per oz. through synergies and other

12 | CANADIAN MINING JOURNAL

Henry Lazenby (left), multimedia content producer with The Northern Miner, interviews Tony Makuch, CEO of Kirkland Lake Gold, at CMJ’s Reimagine Mining Symposium.

CREDIT: CMJ

opportunities.

The companies have touted US$2 billion worth of savings through synergies including sharing exploration knowledge, technology, processing opportunities, infrastructure, and the support of local communities and regulators both Agnico Eagle and Kirkland Lake have earned.

“Unlocking technology will play a big part in reducing costs,” Makuch said.

“We rely on exploration technology to drive value in our industry. . . If we can find an ounce of gold for or , then upgrade the resources for US$150 an ounce, you have created value.”

rofitable and responsible

Makuch also noted that the two companies have similar cultures and are motivated to demonstrate leadership in best

practices, people management, environmental stewardship and corporate governance which result in industry-leading returns for shareholders.

In addition to creating value through synergies, Makuch said the combined company could rehabilitate the gold mining industry’s reputation for sustainability in the minds of investors.

“When it comes to ESG or the perception of gold mining in the global investment market, we think we’ve got a unique opportunity to enhance or change the perception of what gold mining is,” Makuch said. These can be profitable businesses that are responsibly run.”

Makuch added that “we are actually the good guys – and good girls too.” a uch also fielded uestions from the audience, including those about why

www.canadianminingjournal.com

‘When it comes to ESG or the perception of gold mining in the global investment market, we think we’ve got a unique opportunity to enhance or change the perception of what gold mining is. These can be profitable businesses that are responsibly run.’

“They’re a step ahead in terms of getTO

,

OO

Agnico Eagle did not offer a sizeable premium on the Kirkland Lake share price.

The merger is worth an estimated $13.5 billion as Kirkland Lake shareholders will receive 0.7935 of an Agnico Eagle common share for each of their shares.

“Kirkland Lake Gold has a track record of growing itself as a company,” he said.

“In making a premium deal, you have to see new value that can be created. If we insisted on a premium, it’s the same as me saying to shareholders we haven’t created the value we could have for you.”

Kirkland Lake operates the Macassa and Detour Lake gold mines in Ontario and the Fosterville gold mine in Victoria, Australia. Agnico Eagle’s assets include the Meadowbank, Canadian Malartic interest , oldex, ope ay, a onde and Meadowbank gold mines in Canada. The company also has gold mines in Mexico (Pinos Altos and La India), and Finland (Kittila).

Of note, the two companies see oppor-

O

tunity for significant growth in the bibiti gold belt, where many of their operations are located, representing around 1.9 million oz. of production.

For example, there could be an opportunity to leverage infrastructure at Kirkland Lake’s Macassa to bring forward development of Agnico’s Upper Beaver deposit, about 10 km to the east.

The merged company is expected to continue to prioritize exploration.

“The new Agnico Eagle is always going to be an aggressive explorer, and we have the capital resources to do that,” Makuch said.

mart mine status

Makuch also expects to speed up the adoption of new technology. Kirkland Lake is currently building a private 5G network at Detour mine and underground at Macassa, while Agnico already has infrastructure for a private area network at a onde.

ting everything digitized and automated,” Makuch said. Building on Agnico’s learnings and expertise around new technology, Macassa and Detour can also be fast-tracked toward “smart mine” status.

The merged Agnico-Kirkland Lake will maintain the goal of net-zero carbon emissions by 2050 or before.

“We can get to net zero if we close all our mines,” Makuch said, “but we want to operate our mines.” That means improving processes, going electric, adopting smart technologies, and always seeking sustainability.

While not all of the merged company’s 12 mines operating today will make it to 2050, the company is aiming to extend the mine lives of 50-75% of them to 2050.

The first step to net ero is understanding the company’s carbon footprint operation by operation, Makuch said, “We’ve been going through a lot of analysis, looking at (that).”

While Detour Lake is on the grid, Agnico’s Nunavut operations rely on diesel, Makuch said, noting “there’s not one single way to get (to net zero).” CMJ

Check out www.canadianminingjournal.com to watch videos from the Reimagine Mining Symposium, and pick up our December issue for more coverage of the event.

Agnico Eagle Mines’ LaRonde mine in the Abitibi greenstone belt in Quebec.

Kirkland Lake Gold’s Detour Lake mine in the northwestern section of the Abitibi, in Ontario.

CREDIT: AGNICO EAGLE MINES

CREDIT: KIRKLAND LAKE GOLD

NOVEMBER 2021

CANADIAN MINING JOURNAL | 13

COSTING

WHAT MINERS NEED TO KNOW ABOUT SMELTER CHARGES F

Costmine explains how fluctuating treatment fees can erode the value of base metals projects

By Sam Blakely

rom the miner’s perspective, smelter associated costs look similar for most base metal smelters. The primary charge is a base treatment charge (or smelter charge) upon the number of dry tonnes of concentrate or ore treated. Assay and price adjustments are made upon the metals paid for as well; assay values of the feed, and associated payments made to the miner, are reduced based upon the percentage of recovered metals the smelter will pay for. Typically, 85-98% of the value of the contained metals are paid for by the smelter, bringing down the value received by the miner. Assessments for excess deleterious elements can also lower the returned value. If the metals recovered re uire further purification, a refining charge will also be assessed in dollars per unit of metal (typically pounds). Finally, some smelting contracts (but not all) include price participation, or escalation or de-escalation of charges based on metal price fluctuations.

Net smelter receipts, or the values returned to the miner, are thus calculated by determining the value of the concentrate based upon the percentage of metal paid for by the smelter and subtracting for treatment and refining charges and deductions for deleterious elements. Unfortunately for the miner, these charges and deductions can severely diminish the value of a mining project. Once a project is evaluated using a smelter schedule, it is not uncommon for miner to find that his or her pro ect s ore or concentrate value has been reduced by as much as half.

14 | CANADIAN MINING JOURNAL

The good news for miners is that global smelting capacity has been climbing over recent years, primarily in China and India where new smelters are being built or existing smelters expanded. The bulk of global smelting capacity is controlled by China where, for example, about 20 million tonnes of annual copper and copper alloy fabrication capacity is located, about two thirds of global capacity. But this competition from Asia has resulted in the closure of multiple North American smelters, such as Xstrata’s Kidd smelter, Hudbay Minerals’ Flin Flon smelter and Glencore’s Brunswick smelter over the last decade or so, though global smelting capacity continues to grow overall.

Smelting contracts

There are generally two types of smelting contracts. Long-term contracts are typically negotiated on an annual basis between well-known miners and smelters. Spot smelting contracts are short term, usually apply to a single lot or ship load and tend to be more sensitive to the forces of competition. Many miners secure a mixture of both spot and long-term contracts as part of their business strategies. melter treatment and refining charges are heavily influenced by the forces of competition. When concentrates are in short supply, or smelter furnace capacity is high, smelters tend to charge lower treatment and refining charges as they compete for concentrates. When concentrate supply is plentiful, or

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Copper casting to molds in the smelting process. CREDIT: FUNTAY/ISTOCKPHOTO

onset of the ovid pandemic than the rest of the world and spot treatment and refining charges declined to about per dry tonne and US2.5¢ per lb.

More recently, a surplus in copper concentrate supply has been building and concentrates on the spot market have begun trading near long term contract charges of . per dry tonne and US5.95¢ per lb. in the third quarter. The surplus in concentrate supply has been fuelled by new projects coming online and the expansion of others (e.g., the Grasberg block caving ramp-up) and is expected to build over the coming years. In theory, this surplus will support higher copper treatment and refining charges in the years to come.

Final word

Base metal smelters assess a myriad of charges and deductions to ensure the value of their operations. Base treatment charges form the bulk of that value and are the primary focus of contract negotiations. When miners assess the viability of their projects, it is vital that a smelting schedule be included in their analyses as they may find that their bonan a is a bust.

It’s also essential to consider that base metal smelting charges are heavily influenced by the power of competition, and on events in China, which controls the bulk of global smelting capacity. CMJ n Sam Blakely is a mining engineer and cost analyst with Costmine (www.costmine.com).

smelter capacity is scarce, smelters will raise their treatment and refining charges.

Copper

s an example of how wildly smelter treatment and refining charges can fluctuate, we will loo at copper smelting contracts over recent years. Over the last decade or so, long-term copper treatment and refining charges bottomed out in when copper concentrates traded with treatment and refining charges of about per dry tonne and . per lb. refined copper, respectively. This was at the close of the commodities supercycle when China’s appetite for copper concentrates was voracious and smelters competed for a limited copper concentrate supply. A relative waning of concentrate demand among smelters fuelled steadily rising copper treatment and refining charges through when long term smelting contracts were set at or above per tonne and per lb., easing only slightly through .

This was followed by a decrease in copper metal prices which spurred the closure of some mines and the curtailment of production at others. As smelters searched for sources of copper concentrate, this led to a diminished supply of concentrate on the mar et and an associated fall in copper treatment and refining charges. The market for concentrates was strained further in the first half of as hina experienced a faster recovery from the NOVEMBER 2021

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UNDERGROUND MINING

> By Brian O’Hara

BHP’s Jansen moves ahead

Shift to ‘future facing’ commodities has miner investing $7.5 billion in its first potash mine

S

imon Thomas, ro ects for believes in ta ing on challenges.

Thomas successfully directed several large iron ore pro ects in ustralia and is now directing s . billion ansen potash pro ect in the as atchewan otash basin. e moved

16 | CANADIAN MINING JOURNAL

from erth, ustralia, one of the world s most liveable cities, to as atoon in anuary the heart of anadian winter.

Thomas is also now embar ing on a personal challenge building a bac yard s ating rin and teaching his children to s ate. s the company s first potash mine, an-

sen will definitely be sub ect to challenges. ut Thomas is confident the pro ect will be completed on time and on budget. has a strong trac record of ma or pro ect delivery, he said in an interview in October. We ve recently completed four ma or pro ects worth

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The Jansen project is especially significant for BHP as its entry into a new “future facing” commodity – i.e., those that are needed for global economic growth and decarbonization.

Left: Near BHP’s Jansen project, in Saskatchewan.

Inset: Infrastructure at Jansen.

Below: A BHP worker holds potash from Jansen.

CREDIT: BHP

SIMON THOMAS VP PROJECTS, BHP

about billion on time and on budget. ach of these pro ects, had a strong regional team focus, with global support through the ro ect entre of xcellence and lobal ro ect anagement eadership Team. n a long awaited decision, the comNOVEMBER 2021

pany announced it would go ahead with the ansen otash tage pro ect in ugust , budgeting . billion for the pro ect, located m east of as atoon. The pro ect is expected to generate an internal rate of return of after taxes, with a paybac of seven years.

This does not ta e into account . billion has spent at ansen since . t made its initial investment in . arlier in , also wrote off . billion due to an assessment of the pro ect s current mar et value.

The ansen pro ect is especially significant for as its entry into a new future facing commodity i.e., those that are needed for global economic growth CONTINUED ON PAGE 18

CANADIAN MINING JOURNAL | 17

UNDERGROUND MINING and decarboni ation. otash oins s portfolio of copper, nic el, iron ore and metallurgical coal assets.

Project details

n , started sin ing a . metre diameter production shaft to metres depth and a service shaft to , metres at ansen. This was done by ining using erren necht s haft oring oadheader in fro en ground using a free e plant. This was the first global shaft sin ing using instead of drilling and blasting. The shafts were completed in ugust with a primary liner. The composite hydro static final liner that extends below the lowest water bearing foundation is expected to be completed shortly for both shafts. The ground around the shafts is fro en now.

The brine temperature will be increased very gradually over months and even years to return the ground to normal temperatures while closely monitoring ground and water conditions.

The production shaft was designed for a plus year mine life using very large e uipment to attain the lowest produc-

tion costs. The tage ansen pro ect will start production in and ramp up to full production of . million tonnes per year of potash in . anada is the world s top producer of potash, accounting for . million tonnes of the total world production of . million tonnes in , according to tatistics anada. ansen will be an important component of anada s potash supply. The pro ect has probable reserves of billion tonnes for a reserve life of years. dditional measured and inferred resources are estimated at . billion tonnes.

The atch antel oint venture has been selected for engineering, procurement and construction management services. has built relationships and entered into agreements with six primary irst ations in the vicinity of the ansen pro ect. t is also targeting ndigenous representation in its operations wor force. will be encouraging contractors to employ a diverse wor force, including irst ations, as well as encouraging them to create opportunities for irst ations subcontractors. The expectation is that many of the

Above and right: different views of Jansen. The project already has a production shaft and a service shaft, completed in 2018.

CREDIT: BHP

, wor ers during pea construction will be coming from as atchewan primarily, as well as anada and internationally. t full production, the site will host about employees, with another employees wor ing out of the as atoon o ce and a new potash ship loading facility the company is building at Westshore Terminals, near ancouver.

medatech.ca Serving Customers Worldwide 18 | CANADIAN MINING JOURNAL

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closure estimated at about years. The brine from processing will be disposed by brine wells to feed into underground a uifers of similar salinity.

Sustainability

Mining process

ansen tage mining will be done approximately metres below surface at the top of the rairie evaporate formation for a seam thic ness of about metres. andvi full face borer miner will be used together with a andvi O xtendable elt ystem . This machine is considerably larger than other continuous mining machines in the asatchewan otash basin. our machines will each be capable of full production of about . million tonnes per year.

The will cut a width of metres and a height up to metres. One cut and a return cut will be up to . m in length, leaving a production pillar of to metres. The continuous mining machine has a cutting head that can

vary in height and will have ground penetrating radar, so that waste or clay is not mined. The machine has been in development by andvi for over years to de ris this new approach. and andvi have been conducting a full scale underground trial in a salt mine in ermany over the last few years.

There will be an extensive networ of conveyors to transport the ore from the room cut, to the panel conveyer, then to the mainline conveyor to the shaft. nitially, there will be m of conveyors increasing to m at full production.

The ore will be hauled to surface and processed to have two types of potash a standard si ed and granular si ed product. The tailings will be stored in the tailings management area for long term

ansen has been designed with low operating costs and sustainability in mind. tage will have approximately less carbon emissions per tonne than the average in the basin and approximately less fresh water consumed on the same basis, says Thomas. We expect more than of the underground fleet s energy will be supplied from battery or electric as tage comes online, with the plan to be fully electrified by . There is also the potash path to net ero plan we ve designed for ansen, which focuses on eliminating power generation emissions at the source and mitigating the impact of natural gas consumption in the process area.

The provincial and federal governments have been supportive of the pro ect. The as atchewan government has updated sub surface mineral regulations to accommodate large mines of the future together with ensuring the infrastructure and road safety is in place to support the ansen pro ect and wor er safety. The federal government has provided research and development credits provided through the inistry of nergy and esources to encourage innovative investment.

The ansen pro ect is much more than a mine. t is a century vision that will bring long term obs, growth, and many bac yard s ating rin s to an area of rural as atchewan. CMJ Brian O’Hara, P Eng, MBA is a freelance writer based in Montreal.

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CANADIAN MINING JOURNAL | 19

TUNNELLING

Komatsu’s MC51 READY TO ROCK AT GARSON

Hard rock continuous miner undergoing 1-year trial at Vale mine in Sudbury

By Alisha Hiyate

I

f you made it to this year’s MINExpo convention in Las Vegas, you might have witnessed Komatsu’s MC51 hard rock continuous miner in action – kind of.

While the machine wasn’t actually at the show, there was a life si e video display of the doing what it is designed to do – mechanically chewing through rock (simulated in this case) using a cutter mounted on a robotic boom. The cutter’s smooth and quick movements as it chipped the rock into small pieces to excavate a by metre tunnel were hypnoti ing.

“The stand was never empty – there were always people

20 | CANADIAN MINING JOURNAL

there talking about mechanical cutting and about the future of that technology,” says Stephen Styles, Komatsu product manager, hard rock mining.

Considering the departure that continuous hard rock mining represents from conventional mining, it’s not a surprise that the display attracted such interest.

The mining sector has long sought a workable alternative to the status quo drill-blast-muck-haul cycle of underground mining, for e ciency, productivity and safety reasons.

Existing tunnelling machines used for civil applications don t have the flexibility, agility or smaller si e needed for mining applications, and the pick-based rotary style of cutting that

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Left: Komatsu’s MC51 hard rock continuous miner.

Below: The MC51 at Newcrest Mining’s Cadia mine in Australia.

CREDIT: KOMATSU

in Australia, Komatsu has begun a larger trial in partnership with Vale at its Garson mine in Sudbury.

Vale partnership

works for soft rock continuous mining machines used for coal and potash isn’t effective for hard rock applications.

There are some hard rock continuous cutters available, but none have been widely adopted or commerciali ed yet.

The MC51, Komatsu’s entry into the space, is the result of more than 10 years of development. The machine’s key competitive features include its low energy requirements – thanks to its DynaCut technology – and its mobility and agility for the underground environment (it’s about 12 metres long).

And after completing successful initial tests of its prototype MC51 machine last year at Newcrest Mining’s Cadia gold mine NOVEMBER 2021

The trial started in October, after the Komatsu MC51 had been shipped to site, reassembled and transported about 2.5 km underground.

During the Cadia trial, the machine advanced 50 metres in rock with about 180 MPa hardness, says Stephen Styles, product manager for the MC51. (That machine is still in Australia and now slated to develop a portal and decline for a copper operation owned by Hillgrove Resources.)

That was more of a process oriented, engineering specific trial” to test the fundamentals of the machine’s performance, says Styles of the Cadia trial.

The new trial, lasting nine to twelve months, will be more ambitious, aiming to advance 400 metres and testing the machine’s capabilities in the harder rock of the Canadian Shield.

“We want to validate that we can advance anywhere between 3 and 4 metres per shift in extremely hard rock. We’re in the Canadian Shield here and that’s globally known for its rock properties of being quite hard,” says Styles, adding that 3 to 4 metres per shift would be competitive with drill and blast advance rates in this part of Canada.

In addition to testing the MC51 in harder rock (200 to 250 MPa), Garson was chosen for its ramp access, making the logistics of getting the machine in place easier.

The partnership with Vale is aimed at accelerating testing and commerciali ation of the machine for ale and other miners to use – as well as proving that the technology works and meets high safety standards.

In a joint presentation at MINExpo between Komatsu and CONTINUED ON PAGE 22

CANADIAN MINING JOURNAL | 21

TUNNELLING Vale, Vale Base Metals’ principal mining engineer Andy Charsley noted that the trial would be the largest mechanical rock cutter trial ever undertaken.

“Our intent is to test the ability of the technology to not only cut the very hard rock of the Canadian Shield, but to challenge the technology to cut at a commercial rate that will compete with traditional drill and blast development,” he said. “Vale plans to demonstrate the ability to cut rock at a commercial rate, quantify the cost per metre of operation, and look at the comparison with conventional drill and blast development. At the same time, we will assess the health and safety and environmental suitability of the mechanical rock excavation process and gain insight into the potential of an optimi ed mechanical rock excavation process for the future.”

Charsley also noted that the ability of the cutter to integrate with existing infrastructure and equipment within the current process at the mine (bolters, trucks and scoops) is key to implementing the technology.

While the machine will be used for development of drifts rather than production, Styles says the trial will bring the MC51 into ore, so it should also provide information on how it performs in ore as well as waste rock.

DynaCut technology

The MC51 has a cutter on a single, 5-axis robotic boom that can profile any shape within a metre by metre profile the most

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common si e of development tunnel. t is highly precise and accurate (it can cut to within 50 mm of plan), resulting in high tunnel quality and the reduction of over break. fter the cuts the roc into small, consistently si ed chunks, it gathers the material to the centre of the machine, where it is conveyed to a mine truck or LHD behind it to be hauled away.

The machine, which sits on a set of Komatsu tracks, is quite mobile, and is also able to stabili e itself during the cutting process.

The tethered electric machine is also able to cut rock with a very low power requirement thanks to Komatsu’s DynaCut technology.

Styles explains that the cutter attacks the rock in an undercutting fashion to exploit the weaker tensile strength of the rock. Dynamically undercutting the rock with the right balance of force and excitation allows the machine to be small and agile and use less energy.

Styles notes that DynaCut is different than the oscillating disc cutting (ODC) technology Komatsu predecessor company Joy Global licenced from Mining3 in the mid-2000s. After testing the technology at platinum mines in South Africa, the company felt it was not yet commercially viable and there was an opportunity to improve reliability and advance rates.

However, the company did use what it learned from implementing the ODC technology to develop the DynaCut technology over the last five to six years.

Additional features of the MC51 include automation of the cutting process, allowing the machine to be operated via remote control (for now, line of sight), and taking the operator away from the cutting face.

(Styles says a jumbo operator could easily be trained to operate the MC51.)

The controlled cut and high degree of accuracy and tunnel quality the MC51 offers could also reduce the amount of ground support required or the time it takes to install it.

“We think we should get some advantages with mechanical cutting compared to drill and blast in terms of the quality of the tunnel as it’s developed,” Styles says. “It will be more precise so we’d like to think the ground support could be done quicker.”

Komatsu says its aim with continuous hard rock miners is not to replace drill and blast in underground mining, but to complement it.

“It gives our customers another option,” Styles notes. “Some of the things we like to consider is with mechanical cutting you’ve got a continuous operation, so there are fewer steps, there’s less equipment required, you’ve got less emissions because it’s an electric machine. You’ve got (improved) tunnel quality and you’ve got automation.”

Since it replaces the previously separate drill and blast steps, the machine also reduces the amount of equipment and personnel needed, as well as improving safety. That revolutionary potential isn’t lost on anyone.

“We are trialling this new machine and technology because it offers the potential to really change the way we mine.” said Luke Mahony, head of technology and innovation, Vale Base Metals in a video presentation at MINExpo.

Komatsu and Vale expect to provide regular updates on the results of the trial. In the meantime, to watch a demonstration of the MC51, visit www.komatsuevents.com. CMJ

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UNDERGROUND MINING

> By Marc Carriere

Improving

backfill efficiency

and worker safety

O

ver the past decade, mine owners have increased the use of bac fill systems to manage waste and enhance ore recovery in underground mines, and automated systems are now playing a significant role in helping to improve e ciency and wor er safety. istorically, mine owners were slow to adopt paste reticulation systems due to the cost of bac filling e uipment and the amount of time re uired for manual operation. Owners opted for mining top down in some cases, using cemented roc fill to stabili e stopes even though this approach is less effective than bac fill paste to ensure full confinement of hanging walls.

There is no uestion that manual bac filling is a time consuming process. n reticulation systems where there are no diverter valves, a wor er must travel to the loc out location, perform the loc out which in some mines ta es place on the surface , travel to the switching location, manually switch the pipe, and return to the loc out location to remove the loc s. er-

24 | CANADIAN MINING JOURNAL

forming this can ta e a team of three paste operators anywhere from two to five hours, depending on the layout of the mine and the loc out procedure employed. iverter valves change the playing field. sing a remotely operated valve that allows paste to be diverted without manual intervention eliminates delays so paste filling can begin uic ly and seamlessly and removes wor ers from areas where they are at ris . n automated system also enables rotation to occur during otherwise nonproductive times, such as shift changes.

There is no need for physical intervention, which ma es it possible for wor ers who were previously re uired for paste operations to perform other tas s. This gain in productive time has a significant impact on the bottom line. nfortunately, many owners have not yet adopted this technology, assuming that automated e uipment is cost prohibitive. nd that means they not only miss out on the financial benefits, but they also miss the opportunity to improve wor er safety.

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IMAGE: TIFONIMAGES/ISTOCK

Victaulic explains how diverter valves are changing the playing field

Above: Designed for either manual operation or remote actuation, the automated diverter valve enables mines to quickly and easily divert paste and dump backfill in the event of a blockage.

Left: The internal rotating plug of the Victaulic Series 725T 4-way diverter valve has three flow positions, with two primary outlets for directing paste or hydraulic backfill through the reticulation system and a third drain outlet for flush water diversion and dumping.

New Victaulic remotely actuated diverter valve

The remotely operated ictaulic eries T way diverter valve builds on the original design for enhanced functionality. The internal rotating plug has three flow positions, with two primary outlets for directing paste or hydraulic bac fill through the reticulation system to fill the appropriate stopes and a third, clearly mar ed, drain outlet for flush water diversion and emergency bac fill dumping.

The degree rotation to the tapered drain port enables uic diversion of flow to mitigate water hammer during flush water diversion.

CREDIT: VICTAULIC

The valve is compact for easy install in tight underground environments and can be configured with several styles of grooved end connections. anufactured with high performance, resilient materials, it can accommodate pressures to , psi. polyurethane seat provides long life wear resistance, and martensitic stainless steel wetted surfaces prevent premature erosion and corrosion.

Proving value through performance

n a recent installation, this automated diverter valve replaced manual diversion in a reticulation system. The mine had been using an open stope, retreat mining method that used bac fill CONTINUED ON PAGE 26

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CANADIAN MINING JOURNAL | 25

UNDERGROUND MINING

Diverter valves change the playing field.

Using a remotely operated valve that allows paste to be diverted without manual intervention eliminates delays so paste filling can begin quickly and seamlessly and removes workers from risky areas.

to extract gold ore. The open stopes ranged from 500 cubic metres to 2,700 cubic metres, with an average si e of , cubic metres, re uiring between , , cubic metres of bac fill per year. ecause of the relatively flat dipping nature of the orebody, the hanging walls re uired topping up with a flowable mixture of sand, cement, and water to prevent hanging wall failure. lthough this manual bac fill method was effective, it was slow, and operating costs were high.

The operator decided to switch to paste bac fill to ensure that the bac fill achieved full confinement of hanging wall voids while increasing mine productivity, lowering dilution, and reducing operating costs.

The installation employed automated diverter valves in the reticulation system that could be monitored and actuated from an aboveground control room. The installation of an automated diverter valve streamlined the paste reticulation process, minimi ing nonproductive time and moving wor ers out of harm s way.

The enhanced design of the diverter valve itself eliminates all exposed moving parts, which further improves wor er safety. n the unli ely event of seal wear on the valve, all media remain contained within the valve body. This feature offers advantages over other diverter valves that rely on exposed compression

seals between the body and sliding plates or rotating discs that expose operators to high pressure media spray and seal lea age if there is a failure during operation or during the flushing process.

This valve also allows for local actuation. n operator can switch the diverter control unit to local actuation, move the valve away from the line that is being wor ed on, and loc out the actuator to isolate the line. This functionality provides the highest level of safety for operators because it allows them to manage the process without relying on someone else to ensure isolation.

Facilitating efficient operations

Today, valves developed specifically for bac fill are more compact and safer to operate underground than ever before, and as bac fill systems continue to evolve, so does the development of automated diverter valves. The results gained by installing these advanced valves prove that functionality and wor er safety can be improved through automation and that better designs can deliver greater e ciencies and better economics for facility owners. CMJ Marc Carriere is global mining manager with Victaulic (www.victaulic.com).

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VENTILATION

> By Michael Gribbons

Key considerations for planning a

VENTILATION ON DEMAND SYSTEM

M

ining consultants and suppliers have equally advocated the energy benefits of installing a ventilation on demand (VOD) or ventilation control system (VCS) in many underground mines but the mining industry has yet to fully embrace this technology. With the strong emphasis on reducing greenhouse gases (GHG) to slow the acceleration of global warming, progressive ESG investors are scrutinizing mining companies based upon long term sustainability while regulators are simultaneously applying carbon consumption penalties.

As a cofounder of Maestro Digital Mine, a key supplier of ventilation monitoring systems, I’d like to explore some of the reasons for the cautious uptake based

Installation of a Vigilante AQS air quality monitoring station.

Readings are pulled to the SuperBrite Marquee Display for visibility at the level.

NOVEMBER 2021

CREDIT: MAESTRO DIGITAL MINE

on observations from the 150 mines we serve globally. To provide as wide a view as possible, I’ve also asked for the input of 20 global mining professionals in both the ventilation and automation sector on this question.

First, a VOD/VCS system should not be viewed as a magic bullet to achieving the lowest possible energy input into a mine.

Above all, the acute and long-term safety of the miners must not be compromised in a normal production mode as well as in an emergency state from a fire or unplanned explosion. econd, from a cost benefit perspective, a 20% savings in energy is not the same as a 20% increase in production.

Production trumps energy savings 100% of the time, therefore energy savings should never be the sole reason for the system. Or put another way, maximizing energy e ciency does not necessarily maximi e the mine s overall profitability.

Third, as much as humanly possible, a ventilation system should not impede production. Mining is in a constant state of flux with levels being mined, old levels being shut down and the ongoing development of new levels.

Where to start Before embarking on your journey, subject matter experts and ventilation consultants should prepare a potential business case with mine management that will define what success should loo like, positive impacts and counterbalancing risks, and a suitable approach where the economics work.

Since there are different levels of VOD/ VCS automation, the appropriate level and the reasons for deployment must be determined by an experienced team that understands the orebody, mining methods, life-of-mine (LOM), supporting techCONTINUED ON PAGE 28

CANADIAN MINING JOURNAL | 27

VENTILATION 5. Full optimization a All four levels of controls are optimized to reduce or increase the primary fan VFD speed allowing maximum energy savings. b VFDs are required on all primary fans.

3. Set Point Control a Ventilation settings on each level are based upon the environmental conditions (AQS) and automatically adjusted without operator intervention.

4. Dynamic Control a Ventilation control system tracks each person and mobile asset throughout the mine and calculates the air requirement and based upon regulations and environmental conditions. b Pervasive mine-wide network is required throughout complete mine with a high-resolution tracking system to pin-point equipment and personal on a second by second basis.

2. Scheduled Control a Settings for secondary fans, regulators and booster fans are scheduled around shift changes and blast schedules allowing the software to adjust automatically. b No additional hardware required.

1. Manual Control a Control room operator manually turns on/off secondary fans and manually adjusts regulators/booster fans. b Network connection required in hot spot areas with fan starters, VFDs and regulators. c Ethernet air quality stations (AQS) required at level entry and return air raise, automated regulators or VFD on booster fans, Ethernet soft starts on secondary fans.

The five steps of a ventilation on demand project.

nical team and project goals. Simply put, a strong business case must be developed that includes de-risking the project and on-going technical and maintenance costs through LOM. Assuming the mine is a suitable candidate, feedback from early adopters can provide valuable information to improve the outcome and more importantly avoiding the land mines that can derail a successful deployment. Five different themes are currently holding back successful VOD/VCS deployment.

CREDIT: MAESTRO DIGITAL MINE

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People

VOD/VCS systems are complex and require support from the project engineering, operations, ventilation, mine construction, electrical/instrumentation/network, control room and occupational safety and health departments. The mining leadership often underestimate the requirement from both a top down (mine manager) and bottom up approach in order to sustain proper change management. If the mine manager views the project as an impediment to his production schedule, it will experience an early death. However, if the system is viewed as getting workers back to the face quicker and safer by increasing face time, it stands a stronger chance of success. final wor ing system will ultimately be transferred to the mine from the project team. At that point, the system needs internal champions from the ventilation and automation department to sustain the ongoing benefits. roduct champion stability is often a challenge since the ven-

28 | CANADIAN MINING JOURNAL

tilation role is viewed as a stepping stone to production roles by either young technologists or engineers. The domain expertise as well as the unique mine ventilation system must be relearned with the next ventilation champions. Many of the successful systems today have avoided this pitfall with long-term stability in the mine ventilation and automation department.

Technical

Any VOD/VCS system will require a robust network to support connectivity of fixed assets li e secondary fan starters, air quality stations (AQS) that measure air flow, gas, dust and wor er heat stress, automated regulators, ventilation doors and booster fans. Networks connecting fixed assets are straightforward and easy to deploy whereas connectiv-

ity to people and mobile assets are far more di cult and less reliable due to their requirement for wireless connectivity, be it Wi-Fi or LTE. Accurate tracking systems required for the higher levels of VOD/VCS systems are one of the remaining challenges to ensuring a robust system. t is still very di cult to determine when miners enter and depart from the working stopes in order to turn on and off the secondary fans.

Complexity is increased multifold as the system climbs up the pyramid of control hierarchy. Such complexity relies on an astute automation and maintenance team that will work in step with the ventilation and production teams.

Obsolescence and interoperability play an important role in assuring that the system can operate effectively for the LOM.

www.canadianminingjournal.com

Mines need to specify open communication protocols and open systems to avoid future problems and liabilities.

Communication

Sustaining the system will require constant communication from the mine management downwards. Tracking and displaying the outcomes using dynamic KPI screens is critical. Measuring and comparing the before and current conditions like re-entry time, gas levels, wor er heat stress, air flow and energy inputs in a graphical format will provide a quick and simple re-enforcement for a weekly update at the wickets or health and safety meetings.

Staged roll-out vs. all-in approach

onfidence in the system can be uic ly eroded if the control system plan is implemented too quickly and one or more components fail. Successful projects often stage the ventilation system in smaller segments for early success and system confidence. s a first step, adding a last mile network starting from the electrical substation out to the return air raise will allow air quality stations (AQS) to be added to

monitor the level entry and return air raise conditions. This first stage can provide drastic production improvements by reducing re-entry times by 30-90 minutes per day depending on the travel requirements to the face and the number of shifts per day. This alone could fund the complete project due to the shortening of the production cycle resulting in more tonnes.

Manual control is the next biggest win, enabling a control room operator to view and adjust ventilation levels to areas of the mine with people and equipment while allowing the control system to turn on/off secondary fans in between shifts or in areas without people by event scheduling. In some cases, this can represent up to 25% savings in energy alone while providing the production team more time at the face. Digital ethernet based motor soft starters, door controls and automated regulators will be required at this stage in conjunction to the ethernet AQS stations to reduce capex by eliminating additional PLC/DCS cabinets and software.

The next stage is far more challenging since it requires a robust tracking system that can determine with good accuracy and reliability the location of both people and mobile assets. Only then should a

mine consider automatic control that will optimize the ventilation on each level as well as the primary fans. Successful systems at this stage can lower energy consumption up to 50% by optimizing the primary fans.

Maintenance

ll current deployments confirm the requirement of ongoing maintenance and calibration of gas sensors, airflow sensors and the training of the electrical/ instrumentation department. Often this has not been accounted for in the original business case to their detriment. Newer digital solutions offer real-time diagnostics to pinpoint equipment problems from the surface control room as they occur and gas sensors that can be calibrated on surface and brought to depth to swap out quickly and simply. But maintenance can’t be eliminated so consideration should be given to the addition of a well-trained instrument and network technician to achieve maximum system uptime. CMJ Michael Gribbons is CEO and co-founder of Maestro Digital Mine (www.maestrodigitalmine.com).

THE EVOLUTION OF MINE VENTILATION ENERGY-SAVING SOLUTION

NOVEMBER 2021

CANADIAN MINING JOURNAL | 29

VENTILATION

> By Myriam Francoeur

Recognizing the importance of

AUXILIARY VENTILATION

G+ Plastics argues miners should pay closer attention to auxiliary ventilation, given its extensive use and energy intensity

M

ore than ever, the mine ventilation community and underground mine personnel must be educated about the significance of auxiliary ventilation because of its critical role and substantial power consumption. If ventilation is an essential underground mine system, its importance is rarely recognized; this is especially true with auxiliary ventilation made of an assembly of ducts and fans. While the latter technologies have

30 | CANADIAN MINING JOURNAL

evolved considerably in the past decade and duct-fan systems have become increasingly complex, auxiliary ventilation design, operation and maintenance practices are lagging.

Auxiliary ventilation refers to the systems that are used to supply air to the working faces of blind headings and is independent from the full mine ventilation network. Generally, North American hard rock mines resort to duct-fan systems for their auxiliary ventilation, most

made up of a single fan and layflat tubing.

While most duct-fan systems are designed to ventilate production and development headings on a temporary basis, more permanent systems are put in place to ensure adequate working conditions in shops, garages, underground hoistrooms, etc. Malfunction or failure of these systems results in interruption to operations.

There has recently been an increasing interest for extensive duct-fan systems to

www.canadianminingjournal.com

Main: At Wesdome Gold Mines’ Kiena mine in Val-d’Or, Que. Inset left: Glencore’s Bracemac-McLeod mine in Matagami, Que, Inset right:.Newmont’s Borden gold mine in Chapleau, Que. CREDIT: MYRIAM FRANCOEUR/G+ PLASTICS

ventilate long development headings and exploration ramps. Changes in mining practices and economics are driving this shift, especially in greenfield pro ects, for which the dominant rationale is that decline development is more economical NOVEMBER 2021

than shaft construction. Reliable auxiliary ventilation is vital to ensure safe and timely development.

New technologies available to the mining industry are enabling construction of e cient duct fan systems that can convey

great air flow over several ilometres.

But extensive duct-fan systems are also energy intensive. Compared with conventional heading ventilation requiring 15 kW to 113 kW, these long development duct runs can require power inputs rangCANADIAN MINING JOURNAL | 31

VENTILATION ing between 250 kW to more than 1 MW. It is generally assumed that 25% to 40% of an underground mining power consumption is dedicated to ventilation, excluding heating and refrigeration. Yet hardly any mine can disclose what proportion is assigned to auxiliary ventilation.

An audit performed in 2014 at Vale’s Garson mine in Sudbury, Ont., determined that auxiliary ventilation accounts for nearly 20% of its entire energy consumption. s such figure representative of an average hard rock underground mine auxiliary ventilation power consumption? Probably, according to experts. n the case of greenfield underground pro ects, auxiliary ventilation may be the only source of fresh air for all mining operations. An outstanding example is Newmont’s Borden gold mine: during its initial stages, the decline was ventilated with two independent duct-fan systems extending over 2,000 metres and composed of a total of eight 186 kW fans, for an approximate power consumption of nearly 1,500 kW at full length. It operated for about two years before establishing flow through ventilation. On average, a similar system would operate for 12 to 18 months.

Extensive auxiliary ventilation systems have tremendous operating costs.

Besides, they may represent important capital investments: recent systems have

exceeded the million-dollar mark for fans and ductwork only.

Importance of design, installation

One would expect that such an energy-intensive system be meticulously designed to optimize its performance and power consumption, yet many designs disregard potential issues arising from quality of installation, mobile equipment clearance, and maintenance practices.

Quality of installation dictates air losses and fan outputs; clearance and maintenance practices influence the system s degradation and loss of performance in time, as damage results in additional air losses and reduced reliability.

While a single hole or dent in a 2,000-metre-long ductwork may be inconsequential, damage effects are cumulative and result in decreased air volume at the face or even system failure, inevitably interrupting development.

A common corrective strategy is adding more fans to the system to boost its performance, which leads to an increase in power consumption. This can, however, be avoided by properly addressing potential operational issues during design.

The situation is worst for production or short or medium development auxiliary ventilation, which are often designed with basic rules of thumb introduced some 10, 20 or even 30 years ago. Today, these rules of thumb have been replaced by software. However, by blindly trust-

ing these rules or software simulation outcome, mining engineers often disregard clearance, installation, and maintenance issues altogether.

Why is so little consideration given to auxiliary ventilation? Maybe too few have realized its extent and substantial power consumption. Conducting energy audits may help provide a more accurate portrait of auxiliary ventilation in North American hard rock mines.

But it may also have to do with education.

The North American mining engineering curriculum includes an average of 45 hours of ventilation in a program spanning over four years during which students must become proficient with fluid dynamics and thermodynamics applied to mine ventilation, main and auxiliary ventilation system planning and operation, climate control, and dust and contaminant mitigation. Together, these concepts help design and operate e cient ventilation throughout a mine to provide a safe environment for underground personnel and prevent fires and explosions.

‘Necessary evil’

Many mining engineers regard mine ventilation as complex and a ‘necessary evil.’

Mine ventilation often falls on engineers in training (EITs) with little to no experience in the field. These Ts are expected to learn new concepts on the fly and are urged to apply outdated rules of thumb rather than modern best practices. This is particularly true for auxiliary ventilation.

It may be time for all industry stakeholders from academia to operations together to acknowledge that auxiliary ventilation practices and technologies have evolved and that duct-fan systems have become more complex and energy intensive and require commensurate attention to design and installation. Renewed focus should be placed on re-evaluating auxiliary ventilation practices with cost sensitivity and reliability in mind rather than preference for simplicity.

Fortunately, manufacturers and consultants represent available resources to mining engineers to help them design e cient auxiliary ventilation systems that fulfill airflow re uirements while minimizing energy consumption. CMJ Myriam Francoeur is ventilation projects and communications director with G+ Plastics (www.plasticminer.com).

32 | CANADIAN MINING JOURNAL

www.canadianminingjournal.com

MAINTENANCE

> By Bryan Christiansen A ball mill at a copper mine in Chile.

CREDIT: MABUS13 /ISTOCK

Managing mining equipment throughout its

LIFECYCLE

Limble discusses how maintenance management software can help

M

ining operations depend on a blend of moveable and fixed assets to conduct exploration, extraction, processing and transportation. The nature of these operations dictate the si e, criticality and e uipment technology that a company needs to meet its business goals. ompanies utili e asset lifecycle management to maximi e productivity and realNOVEMBER 2021

i e valuable financial returns on assets. sset lifecycle management is a series of activities that monitor the reliability, cost of operation, e ciency of maintenance activities and profitability of e uipment. The execution of activities covers the entire life of the e uipment, beginning from the planning and purchasing stage to the disposal

stage. ifecycle management of mining e uipment is crucial as it allows an organi ation to > maximi e revenues by enhancing asset productivity > minimi e operations and maintenance costs > minimi e depreciation by extending the useful life of assets CANADIAN MINING JOURNAL | 33

MAINTENANCE Surveying equipment at a mine in Thailand.

> streamline financial planning strategies, and > enhance compliance to safety and statutory re uirements.

Lifecycle management stages

ifecycle management of mining e uipment occurs in several stages and re uires the input of experts from different departments. Technological advancements have continuously improved lifecycle asset management by providing tools that enhance cross sectoral collaborations, visibility of mining operations and central supervision of multiple assets. o, which are the main lifecycle management stages, and how do they affect mining operations

1. Investment planning

uring the initial stage, a company will evaluate operations to identify bottlenec s and opportunities for improvement. The company collects information from different sta eholders and analy es e uipment and mining records to formulate an investment plan. planning team develops mining and business ob ectives, e uipment selection criteria and budgeting considerations for better decision ma ing.

34 | CANADIAN MINING JOURNAL

t this stage, the company rolls out a financial plan to cover ac uisition capital expenses , operation and maintenance costs. Once a budget is in place, the company engages different manufacturers or vendors to review its e uipment and compare ac uisition costs, technical capabilities, warranty conditions, operations and maintenance re uirements. roper investment planning enables the company to identify e uipment that will create economic value throughout its useful life. ompanies ac uire physical assets when

> there is a need to scale up mining activities

> existing e uipment or mining technology become obsolete > safety ris s and non compliance increase due to the aging, or > the e ciency of processes decreases. efore purchasing additional assets, it is prudent for companies to audit the e ciency, operational and maintenance costs of existing mining e uipment. Technological solutions expedite fact finding, report generation and comparative analysis of mining utilities. ompanies can choose between enterprise asset management and computeri ed maintenance

CREDIT: BURANATRAKUL/ISTOCK

management systems to collect, analy e and verify the accuracy of e uipment operating data.

2. Purchase and deploy

Once the company pinpoints the exact product to ac uire, it releases funding to the procurement department, which ta es care of all the financial transactions and verifies the delivery of the e uipment. s procurement deals with the suppliers, internal technical teams will be ma ing preparations for the deployment sites.

The company and the supplier will wor together to install newly ac uired assets at site. fter a test run is executed to confirm whether all components are wor ing correctly, training will be provided to e uipment operators, maintenance and other technical teams. uring this stage, the company tags the mining e uipment and creates a digital entry in the asset management software for better trac ing. aintenance teams conduct an initial audit of condition monitoring utilities and verify if they are compatible with existing communication channels. They develop a maintenance plan and update it on the computeri ed maintenance management software if they are using one.

www.canadianminingjournal.com

4. Retirement and disposal

CREDIT: LIMBLE

When deploying assets, the company may be interested in implementing asset trac ing to optimi e operations and supply chain planning. Telematics software allows miners to trac geographical positions of movable assets through technology, monitor operator behaviour, and collect accurate energy consumption data. or tools and stationary assets, companies might consider using codes and luetooth technology for easier asset identification and trac ing.

3. Operations and maintenance

ompanies recoup capital expenditure during the operation and maintenance phase. ince this is the longest stage in the lifecycle of mining e uipment, it is vital to eep operations costs at a minimum, as well as adhere to safety and maintenance recommendations. roper maintenance interventions guarantee the availability and reliability of mining e uipment throughout their useful lives. roactive strategies li e condition monitoring avert unexpected brea downs, limit maintenance costs and extend the useful life of mining e uipment allowing the company to generate more revenue in the long term. uring operation, the company may intend to scale up operations or optimi e functionality without replacing costly assets. n such situations, companies upgrade or modify mining e uipment through > Component and machine rebuilds: ging components or machines nearing the end of their useful lives are rebuilt, ma ing them operate li e new e uipment. The cost of rebuilding mining e uipment is small compared NOVEMBER 2021

to the purchase of new units. > Retrofits and upgrades ritical parts of the e uipment are replaced with advanced components that enhance safety, reliability and productivity. > Remanufacture ome manufacturers salvage older mining e uipment and give them a second life. anufacturers can build earth moving e uipment around the chassis of disposed of excavation e uipment to create a cheaper one with nearly the same reliability and performance capabilities as a newly manufactured unit. This cost saving measure also strengthens the sustainability of mining e uipment. or mining companies to gain value from their assets, they should underta e targeted and timely maintenance of e uipment. solutions allow companies to merge all maintenance operations into one pac age. They retain accurate maintenance records for every asset, eep manufacturer manuals to enhance troubleshooting processes, reconcile maintenance inventories, and contain a list of recommended original e uipment manufacturer O parts. odern condition monitoring sensors, couple with predictive analytics, can be used to trac common failure modes on critical assets and generate alerts when there are signs of deterioration. s a cheaper alternative, managers can urge the maintenance teams to perform regular non destructive testing to trac the condition of expensive assets. oth approaches will generate data helpful for root cause analysis and for minimi ing overall maintenance costs.

ining e uipment, li e all physical assets, undergoes tear and wear, which eventually renders the machines irreparable or ine cient. re uent brea downs, lower productivity, high energy consumption or higher operational costs indicate that an asset is nearing the end of its useful life. t this stage, the company performs a cost benefit analysis to uantify revenue generation throughout the useful life of the e uipment. repair and replace analysis will assist an organi ation in deciding whether to repair the e uipment or decommission and replace it. fter an asset is removed from service, disposal can ta e different forms li e > Recycling and remanufacture The company may sell the scrap to the original manufacturer for recycling or remanufacture. > Auction or sell Targeting second hand mar ets. > Disposal in junkyards The mining e uipment is thrown away as scrap. efore retiring mining assets, the company needs to evaluate the performance parameters of every piece of e uipment li e overall e uipment e ciency O , cost of maintenance and depreciation. uantifying performance parameters re uires access and evaluation of multiple streams of data. y implementing programs, mining companies can collect accurate information throughout the lifecycle of e uipment and refer to it whenever necessary. nli e manual record eeping techni ues, records are accessible via multiple devices, are more secure and easier to summari e using visual graphs and charts. The management can decide when and how to retire assets and identify salvage values based on depreciation rates.

Summing up

roductivity and profitability in mining a capital intensive industry depends on the appropriate selection and usage of mining e uipment. iners that execute proper management of their e uipment throughout the entire lifecycle will en oy better profit margins and ensure smooth operations. CMJ Bryan Christiansen is the founder and CEO of Limble CMMS. Limble is a modern, easyto-use mobile CMMS software that takes the stress and chaos out of maintenance by helping managers organize, automate, and streamline their maintenance operations.

CANADIAN MINING JOURNAL | 35

SPONSORED BY

ERIK BUCKLAND Senior Client Director Global Mining Recruitment

+1 416.854.8468 erik.buckland@lincolnstrategic.com W: www.lincolnstrategic.com M: E:

TOP MOVES IN THIS ISSUE A WORLD OF MINING JOB OPPORTUNITIES

Michael Marcotte

Nicolas Guest

Luke Longridge

Michael Marcotte has been named senior VP corporate development and capital markets at Champion Iron.

He most recently held the role of VP investor relations at Champion.

Prior to joining Champion in 2018, Marcotte spent nearly 15 years with Macquarie Capital Markets Canada, focused on Canadian resource equities.

He is a chartered financial analyst, holds a BComm from Concordia University and was twice awarded Top-Gun award

by Brendan Wood International.

Nicolas Guest has been named VP exploration of Appia Energy.

He was previously project manager for the company’s Alces Lake project.

Guest has 10 years of experience, most of which was spent at Goldcorp/ Newmont’s Musselwhite mine. He led teams responsible for exploration, achieved record annual reserve replacement and contributed to Musselwhite’s geologic model. As a consultant, Guest has also worked on feasibility projects in Atlantic Canada. He has an MSc in mineral exploration from Laurentian University.

Luke Longridge has been appointed VP Exploration for Canterra Minerals. An exploration geologist with more than 15 years of experience, Longridge spent the last three years as CSA Global’s senior structural geologist consulting on projects across the globe. Prior to that, he was exploration manager at Bushveld Minerals, where he was involved in the discovery and development of several deposits.

Longridge brings a strong technical understanding of various gold systems.

36 | CANADIAN MINING JOURNAL

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UNEARTHING TRENDS

Mining executives see ESG and decarbonization as the top risks facing their business heading into the new year

By Theo Yameogo

L

ooking back a year ago, as we wrapped up 2020, Canadian mining and metals companies had a laser focus on addressing high-impact risks and proactively planning for future disruptions. Since then, the sector has seen several new disrupters, including an acceleration of decarbonization commitments, expectations of the energy transition and the delivery of more accountability around ESG – all factors that are increasingly linked to capital availability. At the same time, these companies are operating in a market where demand and prices are surging as governments pour stimulus into markets and economic activity returns to normal. These external influences, coupled with growing stakeholder and capital market pressures, continue to drive new risks and opportunities in the sector.

That’s why it’s no surprise that respondents in the EY Top 10 business risks and opportunities for mining and metals in 2022 survey rank environment and social issues at number one, followed by decarbonization and then licence to operate (LTO).

Purpose, long-term value and sustainability are not just add-ons, they’re business as usual

While LTO has been the number one priority for the past three years, mining and metals companies are broadening their perspectives and beginning to integrate ESG factors into corporate strategies, decision making and stakeholder reporting – an indication that biodiversity, social impacts and water management are emerging issues that are top of mind this coming year.

Taking it a step further, decarbonization has moved up to the second ranked risk this year as many companies and investors accelerate conversations and actions around their energy transitions in the face of declining investments in thermal coal and increasing climate regulations. And while many companies have committed to net-zero goals by 2050, few have worked out what it actually means for their business and allocated the necessary capital to achieve it.

Ultimately, decarbonization needs to be treated like any other strategic risk – dealt with at a board and executive level and managed as part of the overarching business strategy. Tactics such as switching to renewables, fleet electrification and replacing diesel with zero-carbon fuel options across the value chain can offer opportunities to decrease on-site emissions. But emissions from processing, ventilation, heating, cooling and backup power generation remain significant. Other forms of carbon offsets will be needed to successfully achieve net-zero targets.

NOVEMBER 2021

While many companies have committed to net-zero goals by 2050, few have worked out what it actually means for their business and allocated the necessary capital to achieve it.

Ongoing market volatility creates two new trends: uncertain demand and new business models

Economic recovery and stimulus have caused a surge in demand in most commodity markets, and we’ve seen prices rise accordingly. In parallel, the energy transition is driving up demand for renewable energy, electric vehicles and energy storage systems, and the minerals required to manufacture them.

In response, major mining and metals companies are moving into technology and battery minerals, announcing large projects, acquisitions or long-term deals to supply lithium, cobalt or rare earth minerals. But bringing on this supply of ‘new world’ commodities is challenging, and economic projects are harder to find due to increasing remoteness, complexity and rising royalties and taxes.

On top of these external factors, the threat of substitution is very real. Though mining and metals companies may start investing in a market, due to long project lead times, technology may move on or the energy transition could change direction in the interim. We’ve already started to see a shift underway from conventional lithium nickel-manganese-cobalt-oxide batteries to lithium iron-phosphate batteries. And some companies have even started to produce batteries without metal at all.

With disruption and uncertainty likely to be ongoing, respondents indicate it may be time to consider reshaping around a new business model. Today’s landscape provides a unique opportunity to analyze where optimal value can be found – and to redefine business models to capture that value. While dependent on scope and exposure of the business, exploring shared value or circular business models, vertical integration or joint ventures can help to futureproof the business to better deal with disruption and changing commercial relationships, and ultimately win competitive advantage. CMJ THEO YAMEOGO is the Americas Mining & Metals Leader at EY, based in Toronto (www.ey.com/en_ca/mining-metals).

CANADIAN MINING JOURNAL | 37

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