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NEWS

The Mining Advocate | September 2012

1

COVER IMAGE: The first major modular components arrive for QGC’s liquefied natural gas plant in Gladstone.

September 2012

14 Coal and Gas Update

3 Safety split

News in brief across the coal and gas industries.

Flawed requirements for a single health and safety management system on each mine site are needlessly costing time and money, contractors say. The issue was highlighted at the 2012 Queensland Mining Industry Health and Safety Conference in Townsville.

6 Cutbacks bite business The Queensland business partners behind the Branded Ink tattoo franchise plan to tap resource industry workers’ yen for body art by sending mobile studios into Queensland and Western Australia’s mining heartlands.

16 Industry Update - Hard Rock A comprehensive wrap of exploration and operations in Queensland and the Northern Territory.

18 Building NW Queensland 20 SunWater feature 22 Between Shifts

The belt tightening which has seen hundreds of jobs shed in the coalfields is taking its toll on supply businesses and key industry figures expect tough times for months to come.

9 Miners’ ink

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28 Building Mining Communities 30 Living Remotely 31 Heavy Machinery Review 32 Emergency Response and Rescue 33 Wet Season

13 Ready to rumble

34 Training

Footy fever is mounting in the lead-up to the annual Battle of the Mines league clash in Cloncurry, where reigning champs Zinc X-Men are preparing to face their rivals. October will also see teams from the coalfields hit the field in the third Central Highlands Battle of the Mines competition.

35 Shutdowns 36 Regional Engineering Teams 37 Big Boys’ Toys

30 Home and away

38 Materials Handling

A Thiess manager based in central Queensland has a few tips to share with others in the resources and construction sectors after many years of work requiring time apart from his family.

39 Ivanhoe Australia Feature 40 Logistics

CONTACTS p. (07) 4755 0336 f. (07) 4755 0338

Managing editor:

......................... Robert

Dark m. 0417 623 156

Email: ............................................................... info@miningadvocate.com.au

Journalist: .......................................................... Jan Green m. 0418 740 336

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Sales: ................................................p. (07) 4755 0336 m. 0417 623 156

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Client Services:..................................Marion Lago m. 0414 225 621

Advertising booking deadline November edition: October 19 All material is copyright and cannot be reproduced in part or in full by any means without written permission of the managing editor. The views expressed in this publication are not necessarily those of the publisher.

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NEWS

The Mining Advocate | September 2012

3

Safety sore point Repetitive inductions are among the problems cited as contractors question a safety regime governing Queensland mines, writes Jan Green.

Legislation requiring a single safety management system on each mine site is unnecessarily costing many contractors time and money, as well as compromising safety, according to some in the sector.

Sparke Helmore Lawyers special counsel Alan Girle highlighted contractors’ concerns at the 2012 Queensland Mining Industry Health and Safety Conference in Townsville.

Mr Girle said a number of contractors felt the insertion of the word “single” into the 1999 Coal Mining Safety and Health Act following the recommendation of Coroner Annette Hennessy did not sufficiently protect or cover many working in the mining industry.

“The difficulty is, the legislation doesn’t guide mine operators or contractors as to how they should go about achieving a single Safety and Health Management System (SHMS),” he said.

However a Natural Resources and Mines spokesman said the Queensland Government would argue that the Act was very clear

and unambiguous. Mines were required to operate under a single SHMS developed specifically for each site by management in consultation with its workforce, he said If a contractor believed they had a more effective safety system for a particular task, the mine would review and if necessary incorporate these elements into its SHMS. “This single system approach ensures all personnel working on site are subject to the same and most effective safety rules for each task and are trained and assessed in these procedures,” the spokesman said.

Mackay Area Industry Network health and safety committee chairman Mick Crowe disagrees.

“As I see it, legislation seeks to drive accountability. But in the case of contractors, it’s very difficult to have a consistent approach to safety across the mining industry when each mine site sets its own rules which differ slightly from site to site,” he said.

Because of the individual site focus, safety inductions covering

essentially the same material were delivered repetitively but with slight differences, across the industry, Mr Crowe said.

“The intent of legislation is to make people safe, but repetitive inductions tune people out and substantially increase the cost of compliance,” he said.

Mr Crowe said contractors represented about half of the workers in the resources sector and a substantial percentage would like to see a more collaborative approach that embraced permanent and non-permanent workers.

Meanwhile CFMEU industry safety and health representative Greg Dalliston voiced concerns at the Townsville conference over the proposed harmonisation of safety standards for Australian mine workers.

“The ink is only beginning to dry on (the 1999 Act), one of the biggest changes the Queensland mining legislation has had since the 1925 Coal Mines Act,” he said. “Hopefully the Queensland Government will see that time is required and tripartite consultation needed to deliver legislation that protects mineworkers’ health and safety while being easy to apply.”

MMG Century Mine’s GET removal tool in action.

Judges dig Century’s innovative entries A device that eliminates the need for manual handling when changing out ground engaging tools on shovels has earned MMG Century its second Queensland Mining Industry Health and Safety Conference Innovation Award in a row.

MMG Queensland operations manager Mark Adams said what impressed him most about the GET removal tool was the way Century’s mine maintenance workshop team had collaborated to develop a solution.

“From the development of the original concept to refining the design, testing and usage, it was the people who knew the task best – and the hazards and risks associated with it – that created this solution,” he said.

Century was also awarded the Innovation Award in 2011 for its Strongback Power Lift, and was a finalist in the awards in 2009 and 2010.

The 2012 awards also recognised Rio Tinto Alcan Weipa for its starter motor jig for Caterpillar 77D belly dump trucks, which was highly commended.

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The Mining Advocate | September 2012

5

Kagara sales pitch As administrators gauge interest in company assets, there are hopes of a good outcome for local economies, writes Belinda Humphries.

Regional communities battered by the closure of a raft of North Queensland mining operations due to Kagara’s collapse are hoping a potential asset sale may see new owners get the ball rolling again.

Administrators at Taylor Woodings have appointed PCF Capital Group to co-ordinate the sale of the group’s North Queensland base metal projects and processing operations.

While marketing the assets, the administrators will also be considering proposals for the restructure of the group via recapitalisation or a Deed of Company Arrangement.

Tablelands Regional Council Mayor Rosa Lee Long said Kagara had been a major employer for the region and it would be absolutely terrific if the local operations recommenced.

“If someone might come forward in the near future that would be most welcome,” she said.

Charters Towers Chamber of Commerce and Mines president Tom Hogg also said it would

provide a big boost to that area if someone got the Kagara operations up and running again.

“It was a fair whack on the economy of Charters Towers losing Kagara,” he said.

About 140 Charters Towers residents had worked at Kagara operations and a range of local businesses supplied goods and services, he said.

“Some of those guys from Kagara got jobs out at Pajingo (gold mine) - they have brought their open-cut online,” Mr Hogg said Others had found new jobs in the coalfields, but this involved substantial road travel and time away from families, he said.

Mr Hogg said the region had other good mining prospects on the horizon with Adani Mining working on its massive Carmichael coal project to the south, Guildford Coal advancing its White Mountain project west of Pentland, further coal exploration west of Charters Towers, and Resolute Mining looking at leases around Mingela.

Rubber City was among the businesses to feel the impact in Charters Towers and has money outstanding from Kagara, according to project manager Ian Turner.

In addition to supplying tyres, Rubber City operated coach services to take workers out to Kagara operations, Mr Turner said.

He said the business had put off four temporary personnel as a result of losing the mine work.

Losing Kagara operations had been a big “kick in the guts” for Charters Towers, Mr Turner said.

“I think a lot of people have tightened up and are not spending money because they have to recoup their losses,” he said.

“People are selling business assets like land to recoup their money and keep afloat.”

Kagara mining and exploration activities throughout North Queensland and Western Australia were placed on care and maintenance when the administrators were appointed.

However Taylor Woodings recently approved limited processing of remaining broken ore stocks from Mungana, Balcooma and Baal Gammon mine sites.

Special delivery The first major modular components for the liquefied natural gas plant being developed by QGC in Gladstone have arrived in the port city.

The six pipe rack modules, together weighing 700 tonnes, were assembled in Thailand by Bechtel Oil, Gas and Chemicals for the Queensland Curtis LNG Project.

When pieced together, they will form part of the structure to transport the gas from the LNG plant storage tanks to the jetty.

Bechtel QCLNG site manager Phil Newsome said the team on Curtis Island had been working for almost two years to reach this important milestone.

“Almost 3.5 million job hours have been worked to reach this goal, and this is where the construction of a mega project starts to get really exciting,” he said. “This is the first of 80 modules to be delivered, so from now on the site will change noticeably as the major components of the facility start coming together.”

The 80 modules of varying size - up to about 2500 tonnes, 75m long and 10 storeys high - are scheduled to arrive in Gladstone during the next year for the QCLNG plant.

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September 2012 |

The Mining Advocate

Coalfields cuts sting business Producers are

The ripples are spreading as producers move to rein in costs and there are forecasts of tight months ahead, writes Belinda Humphries.

The belt tightening which has seen hundreds of jobs shed in the coalfields is starting to bite central Queensland supply businesses, an industry leader says.

“More and more people agree there are issues and it’s going to get probably worse before it gets better for quite a while,” Mackay Area Industry Network deputy chair Allan Ruming said.

“People are going to have to be more careful about how they run their businesses going forward because the level of work is going to drop.”

Mr Ruming, who is also managing director of GROUP Engineering, believed the next six months would see a decline in opportunity.

There would be uncertainty in the marketplace about whether the next round of resource projects would kick off, whether those already under development would go into production and whether further coal operations

would be mothballed, he said.

Toowoomba and Surat Basin Enterprise chief executive officer Shane Charles said some businesses in that region had laid off staff due to contractual cutbacks in the Bowen Basin coalfields.

The coal seam gas and energy activities dominating the Surat Basin industry had not suffered the impacts felt in coal mining further north, he said.

But it was apparent that the downturn may set back the timing of key projects such as Xstrata’s Wandoan coal mine and the Surat Basin Rail, Mr Charles said Xstrata Coal said start of production remained about four years away for the Wandoan project, which is in feasibility stage, but that it continued to rank highly on its project list.

“Key to recognising opportunities such as Wandoan will be the ability of the mining and construction sectors to work

looking to reduce costs across the coal industry.

Photo: Damien Carty

together to mitigate cost inflation,” a company spokesman said.

Mastermyne managing director Tony Caruso said he expected an environment of low growth across the coalfields for the next six to 12 months. Companies were adjusting to the lower coal prices and that meant curbing many of the inefficiencies that had crept in when returns were higher.

Despite the general skills shortage, Mr Caruso said underground mine workers who had lost their jobs in the latest round of cuts were finding it difficult to regain employment.

“Everyone pretty much has recruitment freezes on,” he said.

Mr Caruso said the skilled workers Mastermyne supplied were predominantly involved

in longwall production, so were relatively insulated from the cuts.

“I see the sector adjusting with coal prices,” Mr Caruso said.

“It’s not the end of the world, it just means we all have to reduce our cost base. There’s still money to be made for the mining companies and all the service providers. We just have to be a bit more realistic about our expectations.”

High cost structures, weak prices hit home The rash of cutbacks across Queensland’s coal industry is likely to continue, with many producers generating losses against a background of high costs, the state’s peak resources sector organisation says.

Queensland Resources Council chief executive Michael Roche used an address at the Coaltrans Australia conference in Brisbane to highlight the factors he believes are causing many parts of the industry to be globally uncompetitive.

“The combination of weakening coal prices and our cost structures are making their mark in Queensland,” Mr Roche said.

Ensham Resources is among those

affected, cutting contract staff at its thermal coal mine north-east of Emerald by about 100. Poor thermal coal prices have prompted Rio Tinto Coal Australia to bring forward the end-date for operations at the Blair Athol mine, which employs about 170, and cut jobs at Clermont mine.

Anglo American will revert to one longwall at Moranbah North in 2013 and Xstrata Coal has also reduced contractor numbers. BMA, which closed its Norwich Park coking coal mine in May, recently confirmed it had chosen to delay the Peak Downs expansion and cease work on a number of growth projects under study.

Despite the immediate global downturn in coal demand, Mr Roche said the long-term outlook for the Queensland industry remained positive. However he pointed to “significant risks emerging within the Queensland operating context”, highlighting indications from Treasurer Tim Nicholls of an increase in royalty rates in his September Budget.

He said the industry had told the Newman Government that in many cases the Queensland coal sector was already globally uncompetitive.

Global uncertainty was a factor, Mr Roche said. Falling prices seemed to have

been driven by dramatic drops in domestic coking coal prices in China, with disturbing news of subsidies propping up their local producers.

Mr Roche said also inherently high input costs threatened the Queensland industry’s competitiveness.

“These are largely down to unsustainable wage rates as companies compete for skills in a small labour pool,” he said.

Meanwhile QRC’s economics team estimated Queensland coal had lost at least 6 per cent of its global market share to American exporters alone as it struggled in the aftermath of flooding in 2010-11.

NEWS

The Mining Advocate | September 2012

7

Rust warning on vehicle safety A far northern firm wants people to take heed of the potential hazards presented by hidden corrosion, writes Belinda Humphries.

Unseen rust may be weakening many mining industry vehicle components including rollover protection systems (ROPS) to the point where they fall apart on impact, warns a Cairns automotive business.

RWV Conversions has all the components it builds galvanised through Australian Professional Galvanizing before preparing and painting them.

“We just know from being panel beaters how corrosion works,” owner Gerry Hill said.

“Our trays will go on trucks and last the life of three trucks.”

The crucial benefits of such an approach had been highlighted when he saw a bullbar brought in by a Weipa woman, he said.

“She’d had a head-on smash and the factory fitted bullbar just fell to bits on a two-year-old Hilux as it had been corroding

from the inside,” Mr Hill said.

“A lot of this rollover protection must be suss when it has been at the mines even after only a few months given the highly acidic environment.

It is just raw metal on the inside, powder-coated on the outside.

“It may look structurally sound, but when it rusts away it’s like having white ants in your house.”

A Natural Resources and Mines spokesman said experts within the department were not aware of any safety problems involving out-of-sight internal corrosion of protection frameworks such as bullbars and rollbars on mine-site vehicles.

“The problem isn’t known to arise on mine-site vehicles because of their special maintenance programs and fleet

turnovers,” the spokesman said.

But Mount Isa-based Wiring Harnesses Australia sales rep Shane Bruni said contractors going on mine sites regularly were aware of the corrosion risk to their vehicles, prompting that business to favour galvanised components on its trucks.

Australian Professional Galvanizing sales manager Bryan Coates said mining environments were especially corrosive.

But the North Queenslandbased business had not experienced a high level of demand for galvanising from mining operations.

Mr Coates said the major advantage of galvanising over other treatments was that it coated the inside of closedsection steel as well as the outside.

Mr Hill’s Severin St business begun as a panel-beating operation.

It was nudged into its present direction after the owner of

Gerry Hill with the rusted Weipa bullbar.

Bradshaw Mining Services and Wiring Harnesses Australia approached the business seeking a tray for a Landcruiser that would include rollover protection and a tyre rack.

“After a few more vehicles were built for him, he decided he wanted one on an Isuzu truck and there was nothing out there

Photo: Romy Bullerjahn

that suited his needs” Mr Hill said.

Tests based on CAD drawings indicated RWV Conversions’ patented design for a 280kg structure for that job would be stronger than a comparable addition that weighed two to three times more, he said.

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One of Gladstone’s oldest and most respected commercial legal practices, Klein and Associates, has been bought by Brisbane-based Sciaccas Lawyers and Consultants.

Brisbane-based Sciaccas Lawyers and Consultants, which has operated continuously for some 40 years under the ownership of the Hon. Con Sciacca AO, has recently brought within its full service legal group one of Gladstone’s oldest and most respected commercial legal practices; Klein and Associates, located in the heart of Gladstone’s CBD at 91 Goondoon Street.

Mr Sciacca said that the purchase of this respected legal practice would enhance the provision of legal services in the region, combining Klein and Associates’ strong local reputation with Sciaccas Lawyers’ extensive Brisbane resources and added legal services.

“We will keep trading as Klein and Associates in Gladstone because this is a name that is well respected both in the local community and the Central Queensland legal fraternity,” Mr Sciacca said.

“By adding Sciaccas Lawyers’ resources and expertise in other areas of the law, Klein and Associates is fast becoming a trusted one-stop shop for all legal requirements in the Gladstone region.”

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NEWS

The Mining Advocate | September 2012

9

Tatts the way they like it Branded Ink aims to take its services to the pointy end of resource industry demand for body art, writes Belinda Humphries.

Mine workers love a good tattoo.

And Queensland business partners Gary Radford and Craig Watson plan to answer the demand for body art by launching mobile tattoo studios to serve mining areas in Queensland and Western Australia.

They will not be just any old studios, though – with features such as plasma screens in the booths for clients’ entertainment and the ability to have their tattoo procedure webcast to friends.

The mobile studios will be an extension of a broader concept the pair are franchising called Branded Ink. The budding business represents a change of direction for the men, who have a background in mining and construction services.

Mr Radford, the former owner of WASP Diesel, said his business interests included a franchise development enterprise called Yield Farmers.

“One of the first things we wanted to get into was tattoos,” he said

“Tattoos have become a lot more socially acceptable and desirable, but the act of going into a tattoo studio can still be quite intimidating.

“We’ve built a model that is a lot more customer friendly.”

Branded Ink has kicked off with one studio in Brisbane but Mr Radford said there were plans to open 10 franchised stores Australia-wide by 2015.

Melinda Williams, of Brisbane, is among Branded Ink’s existing mining industry customers – with artist Todd recently putting the finishing touches on a full sleeve of artwork.

A safety supervisor at the Daunia mine construction project near Moranbah, she has also been involved in jobs at Goonyella Riverside, Peak Downs, Curragh North and the Kestrel mine extension project.

Ms Williams said an increasing number of people in the industry were sporting tattoos – particularly those in the construction arena.

“In the last 12 months I have

Melinda Williams gets the finishing touches on a full sleeve of artwork.

Photo: Daniel Cole

been at the Coppabella camp and a lot of young fellows come in with beautiful artwork,” she said.

Mr Radford said mobile studios targeting mining areas could be up and running by mid-2013, with the Bowen Basin earmarked to become the first cab off the rank, followed by the Pilbara region.

“Because our background has been very heavily associated with industrial services and mining

services we are familiar with the major mining areas like the Bowen Basin, Surat Basin, the Pilbara and the Hunter Valley,” he said. “We realise there is a big potential market there for a lot of different products and services but tattoos is a big one.”

The mobile studios would allow fly in-fly out workers to have their tattoos completed during downtime in those areas rather than having the process eat into family and recreational

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time when they were back at home, Mr Radford said.

He believed mining and construction industry employees would have to be among the keenest tattoo lovers out there.

Mr Radford said CFMEU and other union logos were among the designs that cropped up occasionally, although he was not aware of any other industryspecific trends. One of the most popular themes generally was Japanese-style designs, he said.

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NEWS

The Mining Advocate | September 2012

Heed the call of duty Project teams are

Resource projects sourcing items overseas are facing tougher hurdles to keep tarrifs down, according to a Queensland consultant.

Mining companies are being warned to address the issue of import duties at an early stage of capital projects or bear extra costs.

Brisbane-based consultancy Templeton Watkins said there were no automatic import duty exemptions for new mines or mine expansions and this remained a serious cost liability, even at current exchange rates.

A project team’s failure to address the issue of import duty at an early stage would almost certainly result in the project paying 5 per cent duty on capital equipment for which an exemption may well have been achievable, company principal Jim Templeton said.

It may also make it more difficult for the project to meet increasing government demands in respect to substantiating the level of Australian industry participation in the project.

Mr Templeton said he expected state and federal governments to place increased pressure on mining projects in

the near future to demonstrate greater efforts to source equipment from Australian suppliers.

Templeton Watkins boasts many years of experience in reducing the duty payable by mining projects and in maximising the level of fuel tax credits used in their construction and operation.

Mining projects have two options for reducing their import duty liability - the Enhanced Project By-Law Scheme provisions and the traditional Tariff Concession provisions.

Mr Templeton said the EPBS provisions were the better mechanism for a mining project to achieve import duty relief.

But they required project proponents to show they would provide “full, fair and reasonable opportunity” to possible Australian suppliers to participate in the project through an Australian Industry Participation Plan (AIPP).

Mr Templeton said the project acceptance application and its

being urged to address the issue of import duties at an early stage.

critical AIPP must be approved

by AusIndustry at the very early stages and well in advance of the commencement of procurement.

He warned that the Federal Government proposed further changes to the EPBS which would impose greater demands on projects if they did not address the issue of import duty and procurement at the very earliest stages of a project.

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Smaller projects, involving capital expenditure under about $150 million, were unlikely to have the level of imports to justify meeting the requirements of the EPBS or the procurement staff to take care of the work required, he said.

They were more likely to use the traditional Tariff Concession provisions.

11

Collinsville power talks ongoing The fate of the Collinsville power station remains undecided with negotiations between owners RATCH-Australia, potential buyers and government continuing.

The power station faces potential closure under a Federal Government clean energy campaign. However, RATCHAustralia is considering the options of prospective buyers or partners prepared to upgrade the plant to acceptable environmental standards.

“RATCH-Australia continues to consider the options available to the Collinsville power station and will inform our stakeholders, including the community, as soon as we have any clarity on this,” chief executive officer Steve Loxton said.

Waterline Projects managing director Randall Makin is the major player in a push to form a consortium to save the station.

“We have engaged with RATCH and are waiting to see what happens locally and federally before moving forward,” Mr Makin said.

12

NEWS

September 2012 |

The Mining Advocate

Buck stops with mines too often Industry and political leaders are questioning how much the resources sector should cough up for public projects and for what purposes.

Governments are taking “two bites of the cherry” by increasing tax burdens on the resources sector while still demanding mines contribute significantly to local public infrastructure, a State MP says.

The question of how much mining companies were expected to pour into public infrastructure was a huge issue, along with the shift to privatisation of major assets, member for Mount Isa Rob Katter said.

“Of course mines built dams and roads in the past as well, but that was in a more supportive environment where the government was not introducing new taxes every few years and thinking of more ways to tax them,” the Katter’s Australian Party State leader said.

Mr Katter said the resource sector was conditioned to include such elements as roadworks in EIS submissions, while the State Government was failing to reinvest in crumbling regional infrastructure.

He said also the government had failed to channel enough royalty cash back into the areas where the wealth had been generated – commenting that the major parties knew such money would buy more votes paying for “metropolitan Taj Mahals”.

Toowoomba and Surat Basin Enterprise chief executive officer Shane Charles believed the issue

“Fortunately the new Government has recognised the flaws in the SIMP process and is working to refine it” of concern was how funding to counteract the social impact of projects was being channelled and monitored to ensure it was spent appropriately.

“We want to work with universities, particularly USQ (the University of Southern Queensland), and others to work out what a sustainable community is and really encourage the proponents to spend that money so they leave a positive legacy in the regions,” he said.

Queensland Resources Council chief executive Michael Roche questioned the money companies were being required to invest under Social Impact Management Plans.

“These SIMP conditions have in many instances been far in excess of the social impact of a project,” he said.

“The approach driven by the previous government led

to companies being required to invest in areas such as local policing and health services and, in some instances, building more houses than the project would ever need.”

He said resource companies acknowledged the need to redress the social impact that they created but the SIMP process had the potential to be abused.

“Fortunately the new Government has recognised the flaws in the SIMP process and is working to refine it,” he said.

Queensland Treasurer Tim Nicholls has flagged a potential increase in mining royalty rates in the Budget to be announced on September 11.

A spokeswoman for Deputy Premier Jeff Seeney said any royalty/taxation regime must ensure there was a balance between facilitating an industry and providing enough funding to support the people of Queensland.

She said the Queensland Government’s new Royalties for the Regions program was designed to help resource communities build new and improved community infrastructure, road and floodplain security infrastructure, seize economic opportunities and encourage growth.

The Royalties for the Regions program will invest $495 million over four years into three areas: the Resource Community Building Fund, Roads to Resources and Floodplain Security. “In future years, this will be increased to $200 million per year,” the spokeswoman said.

Ray Smith prepares for the long pedal across the Nullarbor Plain.

Ray puts in the miles to aid cancer cause Cycling thousands of kilometres across the Nullarbor Plain would be considered fairly tough going by most people.

But Dysart man Ray Smith dismisses the road ahead as easy compared to the hardships facing those who have inspired the ride – people battling cancer.

“I had a close friend in Tieri, he worked alongside me for a while underground, and he had non-Hodgkin lymphoma,” he said.

“To see him come out the other side… the training and the miles in the saddle is nothing compared to what those people go through with chemo and everything else.”

Mr Smith will be part of an eight-strong team pedalling 2550km in a 15-day fundraising ride from Esperance, due to finish in Adelaide on September 27.

This will be his second year in the Bottlemart Smiddy Challenge and he has his sights set on raising $7000 or more for cancer research.

The event is linked to the Smiling for Smiddy charity, established in the memory of Adam Smiddy, who lost his life to an aggressive cancer six years ago at age 26.

“Last year was an eight-day event from Brisbane to Townsville – a 1600km journey,” Mr Smith said.

Mr Smith is a keen cyclist who was selected to represent Queensland as an under-17 rider in the late 1980s and still races “now and then” with the local club in Mackay.

He spends his working life helping coal miners hone life-saving skills as the operations manager for the Queensland Mines Rescue Service in Dysart. He has held that position since late 2010 and was previously employed at the Oaky No.1, Oaky North and Newlands coal mines.

Smiling for Smiddy events have raised more than $3 million since 2006, with Mater Foundation the major beneficiary.

Donate at http://www.smiddyfundraising.com.au/raymond_smith_9

NEWS

The Mining Advocate | September 2012

13

Men of metal go head to head Reigning champs Zinc X-Men are ready to face their rivals as the resources industry’ s big north-west Queensland league clash nears.

Footy fever is mounting in the lead-up to the annual Battle of the Mines in Cloncurry.

Organiser Larinda Turrell said about 10 teams had indicated by the end of August that they would be competing and with nominations open until October 1 there was still time for more to come forward.

The rugby league tournament, a project of the Rotary Club of Cloncurry, is scheduled for October 20 at the Cloncurry Recreation Grounds.

Following their resounding 30-0 victory over the MMG Century Chariots in 2011’s grand final, the Xstrata Mount Isa Mines Zinc X-Men are pumped up, ready to defend their title.

Zinc X-Men captain and coach John Venz and his team could not wait to notch up one more championship in their goal of ultimately breaking the Xstrata Copper team’s record of four wins in a row.

“I think we can go one better than they did and we are ready to take on all comers to achieve that goal,” Mr Venz said.

“We’ve been training solidly but no differently from last year.

We have a bit of fun, a laugh, do a few drills and just get our heads around the game.

“This year’s team will be no different from last year’s.

We’ve got the same 30 or so players, which includes the ‘Kiwi connection’ so I’m very happy with that line-up.”

Leading up to the Battle of the Mines, a team of X-Men will hone their skills further when they compete in the Mount Isa Rugby Union Sevens to be held in the last weekend of September.

“It’s a pretty versatile team.

The blokes can play both codes - league and union – and I do as well,” Mr Venz said.

“I play union for the Cloncurry team and also for Townies which is league.”

John Venz (right) and Battle of the Mines rival Ben Watt.

Mr Venz said a lot of positives came out of last year’s Battle of the Mines victory.

Coalfields in a league of their own Coalfields footy fans are anticipating another no-holds-barred Central Highlands Battle of the Mines on October 20.

The event - to be held at Middlemount - will be the third of its kind and promises to be bigger and better than its predecessors.

Queensland Rugby League education and development officer Andrew Lawrence said interest, attendance and participation had increased with each game.

The Callide Dawson mine team has been victorious in both previous years. Seven mines competed in 2011, so the winner was

Brisbane B risbane

Dalby D allb by

determined in a round robin as opposed to a final playoff.

“The Central Highlands battle is still in its infancy – which accounts for the small number of teams competing so far,” Mr Lawrence said.

“If every mine in the Bowen Basin put in a team, we’d have about 20 participating.

“But it’s a slowly, slowly growth and even though things are not happening on a big scale yet the Battle of the Mines is a very popular event.”

Last year’s tournament raised about $5000 for the Central Family Support Association.

Glladstone Gladstone G

Moranbah M oranbah

Photo: Roslyn Budd

“It has brought continuity to the boys at George Fisher Mine and lifted their morale

tremendously,” he said. “Their spirits are up and they can’t wait for the carnival. When they come together at crib each day, all the talk is about footy and X-Men. “They are all totally focused and really keen to do well again.

And while everyone wants to win, the main thing is to have a good time, enjoy the games, catch up with mates and help raise some money for charity.”

Queensland Rugby League development officer for the north west, Scott Kyle, described the battle as great day for the community and one which raised a lot of money.

“Because the games are shortened, they are played at a higher intensity level than standard games,” he said.

“But it’s still a lot of fun. A lot of the guys have never played before, but the football standard is usually good because some of the players have got rugby league experience and are very good.”

Rotary donated $9000 to the Mount Isa–based North Queensland Helicopter Rescue Service as a result of last year’s Battle of the Mines event.

Big two hit field in rugby union challenge for charity Xstrata Coal and BMA are taking to the field at Tieri’s No.1 Oval for the annual Xstrata Coal Rugby Union Charity Day to be held on September 15.

The rivalry between the Xstrata Coal and BMA teams will be intense, with the losing team donating $5000 to a charity chosen by the winners.

BMA won the 2011 match, making Xstrata Coal general manager for the Emerald region,

Mackay M ackay

Shane Hansen, determined to settle the score in 2012.

“I’ve been looking forward to this day all year. We are determined to take out the top spot, all in the name of raising money for an important central Queensland charity,” he said.

All proceeds go to the RACQ CQ Rescue Helicopter Service in a day that includes free children’s rides and the opportunity to meet Queensland Reds players.

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14

INDUSTRY UPDATE COAL AND GAS

Iplex factory opens Iplex Pipelines Australia has officially opened a new $28 million extrusion plant in Toowoomba, after just over eight months of construction work.

The facility - Iplex’s largest polyethylene manufacturing site - is expected to create an additional 50 jobs in Toowoomba, with an estimated 350 jobs in support services throughout the region.

“We are confident that we can provide even more local jobs in the future, as the facility continues to grow,” Iplex Pipelines Australia executive general manager Robert McLeod said.

Second train approved The Australia Pacific LNG board has approved investment for the second train of the joint venture’s two-train CSG to LNG project in Queensland.

The $23 billion project is owned by Origin (37.5 per cent), ConocoPhillips (37.5 per cent) and Sinopec (25 per cent).

Origin Energy managing director Grant King said the project was on track to deliver LNG from its first train in mid2015 and the second train in early 2016.

Laing O’Rourke joins job Australia Pacific LNG has awarded Laing O’Rourke a $650 million contract to build gas processing plants and associated infrastructure as part of the first phase of its CSG to LNG project.

The contract will create up to 600 jobs and involve construction of seven new gas processing plants at Condabri, Orana (east of Talinga), Reedy Creek, Combabula and Eurombah Creek.

It will include construction of two permanent accommodation facilities for 130 and 230 operational staff respectively, and support facilities including integrated operations centres, warehouses, workshops and internal roadways. The Australia Pacific LNG Project includes development of existing

coal seam gas fields in the Surat and Bowen basins and construction of a gas transmission pipeline from the gas fields to an LNG facility to be developed on Curtis Island in Gladstone.

Lake Vermont ramp-up Thiess has won a $2.3 billion contract to extend mining operations at Jellinbah Group’s Lake Vermont coal mine in the Bowen Basin. The six-year agreement continues Thiess’ responsibility for mine operations and maintenance while ramping up production from 4 million tonnes to 8 million tonnes per annum.

Thiess Australian Mining executive general manager Michael Wright said the contractor was mobilising ultraclass mining fleets to meet the increased production requirements.

The mine, 20km north of Dysart, has a total workforce of more than 350.

Jax start-up contract QCoal has awarded Leighton Contractors a contract for the Jax coal bulk sample project outside Collinsville.

The contract includes construction of the mine industrial area, mining operations, management, mining fleet and services supply for the bulk sample project including drill and blast for mining of overburden and coal.

The project will initially deliver 350,000 tonnes of coal samples for testing in the Asian steel markets. Subject to the Jax Mine being approved by the Queensland Government later this year, the contract will be extended to mine up to 1.8 million tonnes of coal a year for five years, valuing the contract at $430 million. Leighton said the fully

September 2012 |

operational mine would provide about 100 jobs, with workers given the choice to live locally or commute.

Leighton run continues Leighton Contractors has won a contract extension worth about $738 million over three and a half years to continue mining services at QCoal’s Sonoma mine, 6km south of Collinsville in the Bowen Clip-on Safety Glasses, the Basin. Leighton benchmark in safety Eye ware.

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Siemens to supply locos The BHP Billiton Mitsubishi Alliance (BMA) has awarded Siemens a contract to supply 13 heavy haul electric locomotives for rail operations in Queensland. Siemens Rail Systems vicepresident Paul Bennett said the move would provide BMA with the ability to transport coal efficiently from its Caval Ridge and Daunia mines to the Hay Point coal terminal.

Galilee joint venture Cuesta Coal has entered a joint venture with Hancock Prospecting subsidiary QCI (Galilee) over two coal tenement applications covering 1028sq km in the eastern Galilee basin. The agreement would allow QCI to earn up to a 51 per cent interest in the two tenements through $3 million of expenditure in two tranches.

Sandvik plant winds down Sandvik Mining has started winding down its Mackay production facility, manufacturing conveyor rollers and

The Mining Advocate

frames for the transport of bulk materials.

The company is shifting production of these components to the new 16ha custom-built Heatherbrae facility, near Newcastle in New South Wales.

Sandvik said the Commercial Avenue facility in Mackay employed 30 company staff and a fluctuating number of casual workers, taking the total workforce to about 60 in periods of high demand.

“All Sandvik staff at the Commercial Avenue facility have been given the opportunity to express interest in available positions within Sandvik – both locally and outside of the Mackay region,” the company said.

Sandvik will maintain its customer service centre at 37-39 Interlink Court, Paget in Mackay.

Best Tractor Parts sold Ausdrill has executed an agreement to buy the Best Tractor Parts Group, paying $165 million. Ausdrill managing director Ron Sayers said BTP was a strategically important acquisition as it provided a logical fit with Ausdrill Mining Services and other Ausdrill divisions.

“In addition to introducing new revenue streams to Ausdrill’s existing activities in Australia, it will enable us to grow our hire fleet from 117 to 194 vehicles, enhance our maintenance capabilities and capture additional opportunities to build relationships with blue chip customers,” Mr Sayers said.

Sargent moves on Dysart Fleet services company Sargent has completed its biggest acquisition to date with the purchase of Dysart Engineering.

Dysart Engineering employs 50 staff and provides a range of light vehicle mechanical work, glass replacement, tyre services, panel repairs and a heavy truck mechanical facility. Sargent said it would expand the services offered by introducing up to 200 vehicles from its rental fleet to clients in the Bowen Basin.

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INDUSTRY UPDATE COAL AND GAS

The Mining Advocate | September 2012

All clear for Alpha GVK has welcomed the Federal Government’s decision to grant environmental approval for the Alpha mine and a 495km railway line connecting the operation to Abbot Point, near Bowen.

“Ultimately we believe the overall assessment process has resulted in best practice environmental protection outcomes,” GVK chairman and managing director GVK Reddy said.

Environment Minister Tony Burke said the approval had been granted with 19 strict conditions to ensure matters of national environmental significance were protected. “While the decision has taken an additional three months since the Queensland Co-ordinator General’s report was released, I’m satisfied that we have now put in place the required additional conditions for the protection of the environment including the Great Barrier Reef,” he said.

Cougar sells coal assets Cougar Energy has placed its Mackenzie coal tenement in the Bowen Basin and Wandoan asset in the Surat Basin on the market.

coal tenements. It is the first step in converting the company’s 4-8 billiontonne JORC exploration target announced in May 2012 into a resource.

Arrow tenders flow

Chief executive officer Andrew Faulkner said Arrow was in a strong position to deliver its LNG project.

Cougar Energy said it was continuing preparation for two court actions in Queensland seeking damages as well as overturning the orders closing down its Kingaroy UCG site.

“It will also enable Arrow to issue a construction tender for the gas pipelines early next year. We have continued momentum with the project and look forward to submitting a final investment decision on our LNG project to our shareholders around end 2013.”

Carbon Energy has announced a larger-than-expected conventional coal resource of 1.2 billion tonnes within its wholly-owned Surat Basin tenements.

Carbon Energy managing director Andrew Dash said the result marked the successful completion of the initial review of existing information aimed at assessing the potential of the company’s 1400sq km of conventional

These include the Eagle Downs hard coking coal project, adjacent to Peak Downs mine near Moranbah. A site construction office, access road, drainage wells and staff housing have been constructed at the project site.

Arrow Energy has awarded the preliminary engineering design of about 1150km of gas pipelines for its LNG project to WorleyParsons.

The scope includes Arrow’s two major TRADE LABOUR HIRE pipelines stretching “SUPPLYING THE RIGHT MAN FOR THE JOB” TRAINING from its gas fields in “LEARNING TO STAY SAFE” the Bowen and Surat Registered Training Organisation No. 31908 PROJECTS basins to Gladstone.

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The company said the divestment of the coal assets was part of its strategy in rapidly expanding its application of underground coal gasification (UCG) technology across suitable coal reserves in Asian countries.

Carbon resource boost

available for the development of its iron ore and coking coal projects.

“This pipeline design contract is a clear indication that Arrow is on track with its LNG project,” Mr Faulkner said.

Isaac Plains sale finalised Aquila Resources has announced settlement in the $430 million sale of its 50 per cent interest in the Isaac Plains coal mine near Moranbah to Ocean Coal Mining, a wholly owned subsidiary of Sumitomo Corporation.

The company said it now had more than $500 million in cash and liquid assets

Fuel for growth Shell Australia has opened two new diesel storage tanks holding a combined 38 million litres at its Mackay terminal.

Shell facilities manager Paul Benjamin said the new tanks were in response to customer demand and future growth plans in the Bowen Basin.

“Shell’s investment in the Mackay tanks is the largest investment in its terminal network in Australia for many years,” he said.

Shell this year reopened its Miles depot in the heart of the Surat Basin to increase diesel supply to the mining industry.

Abbot Point probe The State Government has appointed facilitator Barry Golding to test producer demand for new coal handling facilities at the Port of Abbot Point.

Earlier this year the Newman Government scrapped Labor’s proposals for up to nine coal terminals and a 12-berth multi-cargo facility, which Deputy Premier Jeff Seeney said were never going to stack up commercially.

Mr Golding – whose industry experience includes more than 10 years as project manager for the Gladstone Coal Exporters Executive – will discuss Abbot Point port capacity requirements with coal companies in conjunction with government officers and North Queensland Bulk Ports Corporation.

15

$1.3B dam plan canned SunWater has shelved its $1.3 billion Connors River Dam and Pipelines Project after the cost-cutting Newman Government queried the proposal’s financial viability. Construction had been due to begin this financial year on the project, aimed at meeting water supply needs of coal mines and communities in the Bowen and Galilee basins.

SunWater chief executive Peter Boettcher said a number of changes had resulted in an incompatibility of timing for customer financial commitments to project priorities.

Queensland Deputy Premier Jeff Seeney said the Government supported the concept, but its $1.3 billion price tag put the current project well beyond government and industry’s capacity to fund it. “The Government’s focus will now be on looking at other options that will help secure a reliable and affordable water supply for the region,” he said.

Carborough Downs restarts Vale has resumed production at the Carborough Downs metallurgical coal operation in the Bowen Basin, where force majeure was declared on May 31 following the detection of abnormal levels of carbon monoxide in the mine.

The company said output would gradually normalise as the remaining operational and geological issues were resolved. In the second quarter of 2012, Carborough Downs produced 82,000 tonnes of metallurgical coal.

End of the line The New Hope Group has confirmed plans to close its New Oakleigh mine near Ipswich in early 2013.

The company said the mine had reached the end of its productive life with output declining to 350,000 tonnes in 2012.

New Hope said it was working closely with about 30 employees to find other positions in the company where possible.

Company chief operating officer Bruce Denney said New Hope, which formed in Ipswich in 1952, would continue its strong local links through its nearby Jeebropilly mine.

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16

INDUSTRY UPDATE HARD ROCK

Mount Margaret takes off

September 2012 |

QN said production figures for the month of July in 2012 had continued the record trend.

Century’s zinc zenith MMG Century Mine in northwest Queensland produced a record 141,382 tonnes of zinc in concentrate during the June quarter.

Xstrata Copper has started production at its $300 million Mount Margaret project near Cloncurry in north-west Queensland.

Xstrata Copper acquired the E1 and Monakoff copper tenements which make up Mount Margaret from Exco Resources in 2011 for $175 million and will invest a further $124 million in the operation over the next five years.

The tenements are located near Xstrata’s Ernest Henry Mining site and will add about 30,000 tonnes of annual copper production to the operation.

EHM general manager Myles Johnston said Mount Margaret was progressing on target, with personnel and machinery gradually ramping up in line with the ore production schedule. The new mine would create at least 300 full-time jobs in the region, in addition to the 330 construction jobs and 400 full-time jobs generated by the transition from open-pit to underground mining and magnetite processing at Ernest Henry, he said Xstrata plans to continue exploration at Mount Margaret to identify any additional ore resources for future development.

Boost for Lady Annie CST Mining has announced updated mineral resource and reserve estimates for its Lady Annie operations, about 120km north of Mount Isa. The global mineral resource estimate for the site is 71 million tonnes containing 503,000 tonnes of copper metal.

CST Mining is producing copper from the Lady Annie, Mount Clarke East and Mount Clarke West Pits.

The company has lodged a mining lease application for the Anthill deposit within the tenement package and expects to release updated reserves for the Lady Brenda deposit and an

updated mineable resource for Anthill West in the September quarter 2012.

Record at Yabulu QN has reported its highest nickel and cobalt production levels since records began in 1974.

The operator of Townsville’s Palmer Nickel and Cobalt Refinery said the record result in 2011-12 reflected the support of management and staff in all areas of the refinery and required a real team effort.

The Yabulu plant produced 2753 tonnes of cobalt and 39,506 tonnes of nickel last financial year.

This was 10 per cent more than during the same period in 2011 and 877 tonnes more than when the previous record was set in 2007. The company said the production record was driven by excellent plant availability, high throughput rates following plant debottlenecking and continuous ore availability.

The Mining Advocate

of the world’s largest and highest grade lead-zinc-silver deposits, with a reserve of 39 million tonnes at 12.3 per cent zinc, 1.9 per cent lead and 42g per tonne silver.

Scandium the star

Australian resource development company Metallica Minerals has renamed its flagship North Queensland tri-metals project as SCONI to North West Qld Specialists reflect the focus on scandium.

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Queensland operations general manager Mark Adams said Century’s performance had resulted in year-to-date zinc production being 14 per cent higher than in the corresponding period in 2011. Production at Century will be lower during the second half of 2012 due to planned pipeline and concentrator maintenance.

Tick for Dugald River MMG has received final environmental approval for its Dugald River project, 65km north-west of Cloncurry.

“Receiving the final environmental authority is a major milestone for the Dugald River project, which is due for board consideration later this year,” MMG executive general manager, business development Michael Nossal said.

The development of two exploration declines for the project is advancing and MMG expects to intersect the main part of the ore body in late 2012.

Mr Nossal said Dugald River was one

The shift, from NORNICO, follows the successful completion of a scoping study and metallurgical testwork program that enabled Metallica to produce more than 1kg of scandium oxide.

“The interest in scandium is building and we are becoming more confident of the potential of a scandium market and being the first major reliable, long-term supplier to this market,” Metallica managing director Andrew Gillies said.

The scoping study determined that SCONI, located 250km from Townsville, had existing nickel-cobalt and scandium resources that could support a 750,000-tonnes-per-annum operation over a 20-year life.

Tungsten milestone Carbine Tungsten recently announced the first shipment of bulk tungsten concentrate product from its tailings recovery facility at the Mt Carbine mine in far north Queensland.

The company plans to begin construction activities on its hard rock project in early 2013 and to be producing 250,000 million tonnes per annum of high-grade tungsten concentrate from 2014.

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INDUSTRY UPDATE HARD ROCK

The Mining Advocate | September 2012

Nod for $360m development Xstrata has approved a $360 million investment to more than double capacity at McArthur River Mine (MRM) in the Northern Territory from 2.5 million tonnes of ore to 5.5 million tonnes per annum from 2014.

The MRM Phase 3 development project will increase annual zinc production to 380,000 tonnes and lead production to 93,000 tonnes.

3.2 million tonnes per year of magnetite concentrate to be exported via Gladstone Port.

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Krucible Metals has entered a joint venture with Singapore-based Getax International to advance its phosphate project in north-west Queensland.

The deal is considered to be worth up to $43 million, to be contributed by Getax, which is expected to be enough to take the Korella project through to mine development.

Krucible in August announced it had received formal register now @ approval of its miningpeople.com.au first mining lease application for Korella, south of Incitec Pivot’s The project will reduce average unit costs Phosphate Hill operations. by more than 20 per cent and reserves Korella shows a valuable rare earthwill increase by about 70 million tonnes enriched layer overlying the high-grade to 115 million tonnes, making MRM phosphate. Krucible has more rare earth the largest zinc resource in the world. discoveries at Yttro and elsewhere, and The company expects the Phase 3 development, which is awaiting final government approvals, to commission in 2013 and reach full production in 2014.

Iron ore study complete Eastern Iron has completed a concept study for the development of the Eulogie project in central Queensland.

The two areas that constitute the company’s Queensland Iron Project, Eulogie and Hawkwood, are similar in resource potential and magnetite content, however Eastern Iron said the location of the Eulogie deposit within close trucking distance of Gladstone gave it the potential for a quicker and lower-cost development.

Capital costs are estimated at close to jetgoadd.eps 4/9/12 7:38:01 AM $600 million for a project producing

Some would say the writing is on the wall.

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Full steam ahead

Korella joint venture

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Xstrata said advanced processing technology on site would enable MRM for the first time to produce a separate zinc concentrate acceptable to all smelters from its bulk zinc-lead concentrate.

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is negotiating with interested parties to develop those resources.

Mining engineers “hottest” Mining engineers are the most indemand engineering professionals across Australia, according to engineering recruitment specialists at Experis.

Experis tracked the “Top 5 Hottest Jobs in Engineering” for the first half of 2012.

The jobs that were most difficult to fill were: mining engineers – especially those with five to seven years’ experience; civil engineers – in particular quantity surveyors and cost engineers; environmental engineers – in construction, oil and gas, and mining industries; hydrogeologists – particularly for groundwater modelling for underground mining assets; and pipeline

A Pacific National train running between Townsville and north-west Queensland.

Asciano’s rail division, Pacific National Rail, recently started haulage of bulk zinc concentrates from Mount Isa to Townsville for export.

The zinc haulage - on an ad hoc basis - builds on the successful launch of bulk magnetite and copper concentrate haulage services from Cloncurry on the Mount Isa to Townsville rail line under a long-term contract which commenced with Xstrata Copper in early 2011.

A company spokeswoman said Pacific National’s success had been driven by the introduction of innovative practices on the challenging rail corridor including the use of purpose-built rolling stock and 1000m long trains.

In the coalfields, Pacific National recently unveiled a $180 million state-of-theart train maintenance and provisioning facility at Nebo.

The 5km-long facility has the capacity to support up to 25 coal trains, with eight bays for locomotives and two main tracks for wagon maintenance.

engineers. Experis Australia general manager Sue Howse said the nation’s engineering industry was experiencing significant skills gaps across many positions in the resources sector.

NQ expansion for Arup Global design engineering and consulting firm Arup has opened a new office in Townsville as part of its expansion in North Queensland.

Senior associate Robert Donnan said

Townsville had a very diverse and robust economy and had weathered the global economic storm since the GFC better than most regional areas.

“As a Bowen boy, I am proud to be able to give something back to the Townsville region and equally excited for Arup to have the opportunity to contribute global expertise and sustainable solutions in the buildings, consulting and infrastructure services to support the continued growth in the region,” he said

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BUILDING NW QUEENSLAND

The Mining Advocate | September 2012

19

Northern exposure pays off Escape from the drag of capital city traffic is just one of the benefits this couple enjoy in their ‘challenging and stimulating’ new home.

After thinking long and hard, former Brisbane residents Genevieve Peard and Nic Lane decided Mount Isa was the best place to set themselves up for life.

They arrived in the mining town at the end of January and both are adamant it was the right thing to have done.

Up until the move neither had ever lived away from home, so such a major upheaval was not a step taken lightly.

“We spent a year planning, saving, getting organised and lining up my job as a maintenance fitter machinist at the Mount Isa power station for Xstrata,” Mr Lane said.

“So in the end, it was actually a very easy transition, helped by the fact Genevieve’s sister and her family live in Mount Isa.”

In addition to his work with Xstrata, Mr Lane is studying part time for a degree in mechanical engineering with the University of Southern Queensland.

Mr Lane described Mount Isa as “big, impressive, challenging and stimulating – a very progressive place.”

“And after Brisbane, the traffic here is fantastic,” he said.

“Even in peak hour, I’m home in five minutes by car or 10 minutes on a pushbike as opposed to a 45-minute – on a good day – run to work in Brisbane.

“That gives me a productive two hours each day I didn’t have there and, while I’m working more hours, I’m getting paid for them, not sitting in traffic riding my clutch all the time.”

Mount Isa newcomers Genevieve Peard and Nic Lane are happy with their move.

Ms Peard, is employed in a retail position – which she secured three days after arriving – and is also working towards gaining additional qualifications.

“I’m doing a Certificate III in Business Administration at TAFE and hoping that will lead to an administration job with Xstrata or one of the other big Mount Isa employers,” she said.

Ms Peard said Mount Isa was an ideal base while the pair were studying and working, plus they believed it would be a good place to raise children.

“So, we look forward to Mount Isa providing us with a good secure future and for us to contribute whatever we can to the town for giving us such wonderful opportunities,” she said.

BIG 6 sets trainees on track

Damian Eastgate Xstrata Zinc BIG 6 program participant

Up to 30 local indigenous trainees are starting work with Xstrata Zinc in a program which offers the potential to gain national qualifications on six heavy vehicles.

The BIG 6 mining program has kicked off with an initial 12-month contract between the Zinc Open Pits team and local business ADG Excavations for a project to undertake tailings mining.

ADG crews will include four trainees supported by up to six operator trainers working side by side for on-the-job learning on dump trucks, water carts, graders, loaders, dozers and excavators.

Xstrata Zinc Australia chief operating

officer Brian Hearne said the trainees would receive the benefit of learning from experienced operators in a genuine working environment as well as mentoring and personal support.

“The objective is to develop local people to become future operators within the Xstrata Zinc workforce in Mount Isa,” he said.

“We will offer permanent jobs to trainees who successfully complete the program and who have adapted well to the working environment with its rosters, production targets and focus on safety.”

Xstrata Zinc acquired heavy machinery valued at $5.8 million for the training.

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SunWater feature SunWa Su

September p 2012 |

The Mining Advocate

Innovative water strategy taps CSG industry growth SunWater is forging ahead with innovative water management in the Surat Basin with its proposed Woleebee Creek to Glebe Weir Pipeline project - part of its strategy to provide reliable water solutions for the region.

The Woleebee Creek to Glebe Weir Pipeline project is one of SunWater’s major projects aimed at providing mining, industrial and agricultural customers with treated coal seam gas (CSG) water for beneficial use.

SunWater will build, operate and manage the 120km water pipeline as a solution for the high volumes of water generated as a result of CSG production.

It will transport treated CSG water from operations linked to QGC’s Queensland Curtis LNG project to the Glebe Weir on the Dawson River as well as to SunWater customers along the way.

If approved, the project will meet emergent demand for bulk water supply, delivering up to 36,500 megalitres per annum.

SunWater general manager infrastructure development Mark Browne said the project was of particular significance for SunWater as the pipeline would deliver treated CSG water as an immediate supply solution.

“Finding a valuable and beneficial use solution for treated CSG water allows us to

provide a fast interim water supply to our customers,” he said.

“We will use volume forecasts to predict the water supply available as an early indication of availability from the project, and then work with customers to assist them in planning their water requirements in the medium and long term.

“This project will be the first phase of the long-term solution to supply water to the region, with the construction of the proposed Nathan Dam to also provide a reliable water solution for the future.”

Mr Browne said the treated CSG water would be thoroughly tested by QGC prior to its release into the pipeline.

“The water will need to adhere to the water quality standards as prescribed by the Department of Environment and Heritage Protection in the interest of public health and ensure the water is fit for purpose,” he said.

“We are committed to ensuring the water we transport is safe and as part of the project’s approval process we will operate the scheme in accordance with our beneficial use approval, which is currently being sought.”

The Woleebee Creek to Glebe Weir Pipeline project is expected to supply water into the Surat Basin by the end of 2013.

Pipeline works in the Surat Basin.

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SunWater feature

The Mining Advocate | September 2012

21

Reliable supply for the Bowen Basin SunWater is in the preliminary planning stages of its Moranbah to Lake Vermont Pipeline project to redevelop the existing Eungella Southern Extension Pipeline, provide southern Bowen Basin customers with reliable water supplies and assist miners in their operations.

The Eungella Southern Extension Pipeline was constructed by SunWater in 2007 to transport water sourced from the Eungella Dam to Moranbah, then further south into Bowen Basin coalfields.

The pipeline extends 70km south-east of Moranbah and supplies water for a number of mining projects along the way.

SunWater general manager infrastructure development Mark Browne said the Moranbah to Lake Vermont Pipeline project would meet mining customers’ increasing demand for water.

“If this project is approved, part of the existing pipeline will be relocated where it conflicts with planned mining activity to provide additional water for customers south of Moranbah,” he said.

“There is also the possibility, if there is further demand for supply, to provide water for new mining customers who are

establishing their developments to the west of the current pipeline’s southern end.”

If the project is approved, construction is expected to commence in late 2013 and the pipeline extension would be commissioned in early 2015.

SunWater is also delivering the Burdekin to Moranbah Pipeline Duplication project in the Bowen Basin.

The project will include the construction of a 220km buried water pipeline running south from the Gorge Weir on the Burdekin River to new coal mines and existing customers located along the pipeline route and the Bowen Basin region.

It is expected construction will commence in 2014 and be completed by late 2015.

Mr Browne said the region was growing at a rapid pace and the big challenge for SunWater was to understand where potential demand would be, then meet those demands within the timelines.

“Part of our planning in this project is to listen to our customers closely and identify what needs to be done to deliver critical water supply to where it is needed on a schedule Water releases are regularly scheduled for SunWater customers to assist with their mining that meets their mine ramp-up,” he said. operations.

Delivering infrastructure to secure tomorrow SunWater at a glance SunWater’s $7 billion asset base includes: • 19 major dams • 63 weirs and barrages • 84 major pumping stations • 2700km of pipelines and channels • 730km of drains SunWater’s infrastructure solutions include: • Design, construction and management of bulk water storages • Pipeline construction and operations • Refurbishments and upgrades of bulk water SunWater operators Garry Kinna, Gerard Pyne and Scott Farrow working in partnership with the mining industry in the Bowen Basin.

storages • Planning, design and construction of fish

SunWater, with an 85-year history in delivering bulk water infrastructure, is one of the most progressive and successful water development and management companies in Australia.

General manager infrastructure development Mark Browne said the SunWater team was constantly drawing on its experience to deliver in excess of 1.3 million megalitres of water annually to more than 5000 customers.

“The team also works to undertake upgrades and refurbishment of existing infrastructure while finding new solutions for infrastructure development to ensure that we can continue to

supply more than 40 per cent of all commercially used water in Queensland,” he said.

“We work across industries such as mining, energy, urban and agriculture to meet the changing landscape of water requirements.

“Whether it’s taking on the development of a new billion-dollar dam, finding an innovative beneficial use solution for the high volumes of water created from the production of coal seam gas, or building a water pipeline to supply existing and new coal mines in central Queensland, SunWater provides solutions that meet the most complex of water needs.”

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22

BETWEEN SHIFTS

September 2012 |

Northern Engineering Conference welcome reception

The Mining Advocate

PHOTOS: Damien Carty

Lagoon Restaurant & Cafe, Mackay Botanical Gardens

Sean Kane and Zhenya Pavlinova (both from Aspec) with Greg Mann.

Des Searle (Worley Parsons), Tamara Cusack (Townsville City Council) and Hamed Kafashzadeh (Worley Parsons).

Tara Kafashzadeh (Worley Parsons), Bill Weeks (Transport and Main Roads) and Rupert Grayston (Engineers Australia).

Vijendran Candasamy (Rio Tinto), Clare Murray, (BPEQ Board of Engineers) and Angelo Saavedra.

Bruce Wolsey (Mashumba Civil Engineering), Babak Aghlmand, (Aspec) and Peter Rosier (Becker Rosier Engineers).

David Croce (Aurecon), Reg Millet, Blake Barrett (Centre for Engineering Leadership and Management) and Tony Muguira (TKS Power).

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BETWEEN SHIFTS

The Mining Advocate | September 2012

Toowoomba and Surat Basin Enterprise evening

23

PHOTOS: Andrew Coates

Chinchilla RSL Memorial Club

Tony Randall (Murdoch Lawyers) with Phil Neidler (Leading Edge Telecoms).

Mark Buchbach (Wagners), Shaun Ryan (Ahrens Group) and Col Hall (Leading Edge Telecoms).

Jason Archibald (Theiss), John McCormack (TSBE Board) and Luther Jeyasingham (Theiss).

Ricki Venis (Decorate by Design), Brittany Collins (Decorate by Design) and Heather Allen (Endeavour Foundation).

John Moncrieff (TSBE Board) and Chris Burns (Maintenance Systems Solutions).

Lee Mitchell (General Air) and Ian Schurmann (Earthquip).

Gladstone Engineering Alliance and OneSteel Member 2 Member function

PHOTOS: Craig Chapman

OneSteel Metalcentre, Gladstone

Wade Adams (Cribhut), Annabel Johnson (GEA), Owen Warhurst (Cribhut) and Jennifer Day-Sully (GEA).

Lloyd Davey, Sam Page and Kristy-Lee Lloyd (all from OneSteel).

Rob Bryant (Stowe) with Michael O’Meara and Shane Membery (both from Auscut).

Derek Leach (McCosker Contracting), Jamie Leach (Westpac) and Sharna Irwin (Westpac).

Ralph Romer (OneSteel), Hennie Viljoen (McCosker Contracting) and Kevin Ohl (OneSteel).

Rhiannon Cotton and Brett Forster (both from OneSteel).

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REMEMBERING the past • Supporting the future

24

BETWEEN SHIFTS

September 2012 |

ABB Queensland Mining Golf Challenge presentation night

The Mining Advocate

PHOTOS: Kate Glover

Mercure Inn, Townsville

Mako Yano (Rotary exchange student) and Tony Caruana (Rotary Club of Townsville Daybreak).

Darren Hooper (TP Human Capital) and Tracey Lee Gordon (Sedgman Engineering).

Dan Williams and Rod Tonkin (both BHP Billiton).

Danny Peacock and Richard Brasted (both ABB).

James Webster (MMG) and Marcel McLeod (Rotary).

Marcus Gunn and Harry Harris (both BHP Billiton).

Ian and Sarah Jones (both BHP Billiton).

Kevin and Marion Smith (Rotary).

The Eventful Group Shutdown Conference SoďŹ tel Hotel, Brisbane

Paul Dugdale, Stephen Fridey and Peter Baker (all from Boral Cement).

Troy Morris (Rio Tinto) and Geoff Boon ( MSS).

Andrew Cheetham ( Transfield Services) and Grant Collins (Wesfarmers).

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NEWS

The Mining Advocate | September 2012

Queensland Mining Industry Health and Safety Conference welcome function

25

PHOTOS: Kate Glover

The Brewery, Townsville

Olivia Fordyce and Wade Santarcaterina (both from Xstrata Newlands Coal).

Hag Harrison (AWU), Alastair Smith (Ashurst Australia) and Greg Dalliston (CFMEU – Mining and Energy Division).

Julia McCoy and Tara Rowe (both from Anglo American).

Ken Singer (Department of Natural Resources and Mines) with Jim Randell (New Hope Group).

Des Hetherton (Dust-A-Side Australia), Jeannette Bayley (Mater Foundation) and Neil Hoskin (Dust-A-Side Australia).

Brett De Courcey (Krause Health and Safety) and Ron Corstiaans (Xstrata MIM).

International Geological Congress welcome reception

PHOTOS: Yme Tulleners

Brisbane Convention and Exhibition Centre

Doug Dunn (BHP Billiton), Peter Crosdale (Energy Resources Consulting) and Walter Pickel (Coal and Organic Petrology Services).

Phillip Blevin (NSW Trade and Industry), David Champion (Geoscience Australia) and Robert Nicoll (Geoscience Australia).

Belinda Dechnik (University of Australia), Michael Kinsela (University of Sydney), Samantha Clarke (University of Sydney).

Steve Beresford (Minerals and Metals Group), Patricia Durance (Monash University) and Ahmed Saleem (Minerals and Metals Group).

Linda Stalker and Kaydy Pinetown (CSIRO Earth Science and Resource Engineering) with Jennifer Van Holst (CSIRO-Macquarie University).

Orla Hanson, Ben Young, Kim Head, Belinda Wong and Helen May Coackley (all from Mount Isa Mines).

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EXPLORATION AND DRILLING

September 2012 |

The Mining Advocate

Geologists on PR front line Early interactions can create unnecessary risk for an energy or minerals project if not handled well, warns a specialist in the field.

A public relations expert has highlighted the critical role of geologists in building community acceptance for resource projects.

Rowland executive client director of stakeholder engagement Nikki Accornero stressed the importance of gaining social licence to operate from the exploration phase of a project.

“When in the exploration phase, the geologist is out in the field doing work to get to their next gate – that is, do we take this project further and go into prefeasibility or feasibility - and the communities are seeing them and asking what they are doing,” she said Ms Accornero said lack of information or poor explanation about why they were there and the process could instil a lot of fear in communities. “They can, through that miscommunication, create further risk for the project that doesn’t necessarily have to happen,” she said.

Ms Accornero – who has experience working on resources projects in Australia and the Philippines - took her message to the 34th International Geological Congress in Brisbane, where she was among more than 3200 speakers in what was described as the largest scientific congress staged in Queensland.

Queensland-based Australian Institute of Geoscientists council member Andrew Waltho agreed that geologists often played

an important role in early community perception of a project.

“Exploration geologists very much are at the front line of things as far as community relations go and the way they conduct themselves in the field in terms of the way they work with landholders and the community is really important as far as helping perceptions is concerned,” he said.

Mr Waltho believed most resource project proponents did a

good job in this regard, training geologists appropriately and in many cases having specialists in that field out with the geological team.

This had always been part of the geologist’s role, the difference now being that there was a lot more publicity surrounding some exploration and development activity, he said.

Toowoomba and Surat Basin Enterprise chief executive officer Shane Charles said his organisation was very much in support of co-existence between gas companies and landholders in that resource-rich region.

He believed a lot of damage

Reforms welcomed AMEC is working to reduce barriers to exploration and mining in Queensland.

Photo: Roslyn Budd

The Association of Mining and Exploration Companies (AMEC) has welcomed the recently passed Mining Legislation (Streamlining) Amendment Bill, but says further reform is necessary.

While encouraging, the streamlining Act was only one step in removing the administrative and regulatory barriers that placed projects at risk in Queensland, AMEC regional manager for Queensland and the Northern Territory Bernie Hogan said.

AMEC had held discussions with various departments to achieve changes to the Land Access framework and Statutory Regional Planning as well as the replacement of Wild Rivers declarations, Mr Hogan said.

Rowland executive client director of stakeholder engagement Nikki Accornero addresses the 34th International Geological Congress in Brisbane.

was done to that relationship by early contractors going in and leaving gates unlocked, for example, or going in without specific authorisation on to

properties throughout the region.

“That was a big disservice to the proponents because some of them got the community offside very early in the piece,” he said.

Job confidence declines A survey of Australian geoscientists has revealed a doubling in unemployment over the past year and waning confidence in job security among those still in the workforce.

The Australian Institute of Geoscientists believes its survey results reflect increasing uncertainty in the outlook for Australia’s exploration and mining industry.

“Geoscientist employment has been shown to be the first sign of deterioration and the first sign of recovery in exploration and mining sector business conditions since this series of surveys was commenced (in 2008),” AIG spokesman Andrew Waltho said.

The most recent survey showed the proportion of employed geoscientists confident of retaining their positions for 12 months or more had dropped to 75 per cent, down from 84 per cent in June 2011.

Meanwhile there was an 8 per cent rate of unemployment or underemployment among geoscientists – up from 6 per cent last year. Two thirds were unable to secure their desired level of employment while the remaining third were unemployed The AIG said the unemployment rate had doubled between the two surveys from 1.5 per cent to just under 3 per cent.

But more of those unemployed professionals were confident of regaining work quickly compared to 2011 results.

About half the AIG survey respondents worked in mineral exploration and 16 per cent in energy resource exploration.

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MINING FAMILIES

The Mining Advocate | September 2012

Lisa sounds the rallying call in NQ Mother of two Lisa Coll was seeking a different lifestyle and more support when she moved her family from Dalby to her childhood hometown of Townsville in March.

Husband Jamie’s job in the coal seam gas industry with WDS sees him away from home for three weeks out of four.

Now Mrs Coll has taken the initiative to kick off a social network for other local resource sector families living with fly in-fly out or drive indrive rosters by becoming a FIFO Families group leader.

“Having lived through that for the past two years, it can be really hard and quite isolating at times,” she said. “(The networking group) was just something I was interested in.”

Mrs Coll said it would be good to talk to other families experiencing the ups and downs of the FIFO lifestyle and maybe swap a few tips along the away.

Mrs Coll works parttime as a practice nurse at a GP surgery on top of caring for sons Daniel, 7, and Aiden, 4.

The Townsville FIFO Families group kicked off with a get-together on September 1, while groups have also been established recently in Cairns and Rockhampton.

Groups are also meeting in the Brisbane, Gold Coast and Sunshine Coast areas.

Lisa Coll with Daniel and Aiden.

People interested in starting a local FIFO Families social group

should contact Cynara Stalenhoef at cynara@ fifofamilies.com.au

New self-help guide out Online support network Miningg Family Matters has launched a new or self-help book for mining families.

Mining Families ies Rock offers professional advice and practical strategies for the growing number of mining workers coping with d a fly in-fly out or d drive in-drive out roster as well as those families living in isolated mining communities.

The 176-page book includes professional advice by a psychologist, personal anecdotes from mining

family members, and a raft of tips for keeping rrelationships healthy and kkids happy.

Mining Family Matters co co-founder Alicia Ranford sa said the aim was not only to help people through any ch challenges they faced as a res result of their work choices, but to help people feel good abo about those choices.

The creation of the self-help book follows the success of Min MiningFM’s 32-page Survival Guid for Mining Families, with Guide more than 50,000 copies sold to mining companies nationwide since March 2011.

Mining Families Rock is available from the Mining Family Matters website www.miningfm.com.au.

Don’t Litigate. Collaborate!

Collaborative law - a fresh alternative to family law disputes When a relationship ends, the ensuing property and parenting disputes can be as devastating as the break-up. The outcome of arduous negotiations or litigation is rarely satisfying to either party.

Growing numbers of separated couples are using collaborative law to work through these disputes more holistically, and then move on with life.

Rather than each party “lawyering up” and working against each other, parties and their lawyers work “collaboratively”, as one team, to find creative solutions to both parties’ needs.

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stake for all concerned, which creates focus and determination.

The collaboration process is a series of “fourway” meetings between parties and their lawyers at which the team identifies the issues to be resolved, works on an action plan, and moves together toward a final, enforceable agreement. Where appropriate, the team will engage child specialists, counsellors, valuers and financial experts to educate, advise and facilitate better communication.

Some of the advantages include: • non-adversarial, • you control the process and the outcome, • avoiding the arbitrary outcomes of court, • supported and advised by professionals from a variety of disciplines, • confidential and private, • reworking the relationship for a positive, future focus – not a past, blame focus.

For the process to work, the lawyers and other professionals must have collaborative law training and qualifications. Parties must be prepared to give up some rights, including the right for all communications with their lawyer to be confidential. They must be prepared to put all cards on the table, communicate honestly and respectfully, acknowledge the other’s rights, and be prepared to prioritise their children’s needs over their own.

The process is not for everyone – but it may be for you.

MacDonnells Law’s Susan Thomson and Catherine Ross are family law-accredited specialists and qualified collaborative lawyers. Susan and Catherine are based in the firm’s Cairns office – phone 07 4030 0600.

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27

28 Building Mining Communities

September 2012 |

The Mining Advocate Adv

SUPPORTED BY BHP BILLITON CANNINGTON

Mackay region chips in for cancer research The recent MAIN and Absolute Enterprises Charity Golf Day raised an impressive $8311.50 for prostate cancer research.

The golf day is an annual networking opportunity for businesses in the Mackay region and this year all money raised was for the Mater Foundation’s prostate cancer research.

MAIN (Mackay Area Industry Network) member services manager Karen McIntyre said she was absolutely delighted with the day.

“Everyone really got into the spirit of day and the hole-in-one competition was really fun,” she said. rs, “Thanks to Mackay AutoCorner and Regional Insurance Brokers, we had a fantastic Mazda CX-5 up for grabs in the hole-in-one competition. Sixteen players had a go and, while it didn’t go off, it was great to see the guys give it their best.”

One hundred and thirty one golfers represented more than 35 businesses in the event.

They included some of the biggest mining and mine supply companies in the Mackay region, such as GROUP Engineering, Absolute Enterprises, Hastings Deering, Hail Creek Mine, Cove Engineering and Nepean Mining.

Ms McIntyre is the only Mackay participant in the Mater Foundation’s Climb for Cancer challenge, trekking up Mt Kilimanjaro to raise $25,000 for prostate cancer research.

Golf day aids RSPCA work in Gladstone ho A soggy green was no handicap for the 120 golfers in 40 teams who joined the 2012 Gladstone Engineering Alliance and Workforce International Charity Golf Day. The day raised $8000 plus an additional $1500, made up of change collected in a bucket for bad shots, for Friends of the RSPCA Gladstone.

RSPCA adoption officer Wendy Burke was overwhelmed by the golfers’ generosity, sayingg it dstone would go a long way towards helping the Gladstone centre.

“A lot of people don’t realise that when theyy make a donation on the phone or in the post that ive the money doesn’t go to Gladstone. So to receive this amazing amount it will really make a real difference,” she said. d The RSPCA plans to use the funds collected nd from entry fees, a golf buggy tender system and e’s donations on the day for the Gladstone centre’s general upkeep and much-needed renovations including the installation of weather shades.

Gladstone Engineering Alliance general manager Carli Hobbs said she was delighted with the success of the event.

“Our Charity Golf Day has proven very popular, selling out in three days this year.

We see the golf day as a great way for people to get out of the office and network in a sociall but competitive environment,” Ms Hobbs said.

Having a go at the hole-in-one the competition at te lu so Ab d MAIN an Golf ity ar Ch es ris rp Ente of ey ol Day is Craig Do Oakvale.

ABOVE - Representing Cove Engineering at the Mackay golf day were Paul Young, Robert Cary, Nigel Jones and Cobus van Vuren.

e tives for th representa g n ri y, e a e D D lf s ty Go sting rises Chari ABOVE - Ha and lute Enterp so Robertson b r A d vo n e a Tr , n e k MAIN ic P k port, Broo Bruce New ns. e Dean Hisk

LEFT - CQ Digital Solutions team members Neil Mceahran, Allen Madsen and Dave Williams were among those who took part in the Gladstone charity golf day.

NQ miners and suppliers battle it out on the greens About 130 players from north-west Queensland mines and associated industries again pulled out all the stops to raise about $26,000 through their participation in the Queensland ABB Mining Golf Challenge in Townsville.

Rotary Club of Townsville Daybreak past president and event organiser Marcel McLeod said the money raised this year and for the next three years would fund a PhD scholarship student to research mental health issues relating to the mining industry, FIFO operations, mining families and mining communities.

“This research will be supported by a grant through

Australian Rotary Health in partnership with James Cook University, Townsville Campus,” he said.

Mr McLeod said plans for next year’s event were already well under way with dates scheduled for day one - Friday, August 9; day two - Sunday, August 11; and day three - Friday, August 16.

The executive dinner will be held on August 9 and the presentation dinner on August 16.

“Our overall aim is to engage with more companies wanting to make the mining golf challenge their major social event for the year and an event where all the

‘players’ in the industry come together for fun, networking and to support a common cause,” he said.

Winners of the 2012 challenge were: Single stableford – mining: James Webster (MMG Century Mine), single stableford – non mining: Glen Slattery (Yokogowa), four-ball ambrose winning team: Rob Toomes, Brett Guldbransen, Mark Rushbrooke, Chris Hope (Total Fluid Systems), second place: Mark Roberts, Christie Daniel, Simon Young, Scott Pascoe (Xstrata Copper), third place: Trevor Land, Toby Poole, Paul O’Schadlin, Peter Bacon (mixed team).

Proudly supporting mining communities Cannington

Building Mining Communities 29

The Mining Advocate | September 2012

SUPPORTED BY BHP BILLITON CANNINGTON

Backing the war on weeds More than 100 people attended a recent field day at Redland Park Station south of McKinlay, highlighting the importance of weed management to landholders in the Southern Gulf region.

The field day was a component of BHP Billiton’s $250,000 weed management partnership with Southern Gulf Catchments.

It informed landholders about new weed management techniques and the work being done in the region to prevent the spread and reduce the density of weed infestations including prickly acacia, mesquite and rubber vine.

BHP Billiton Cannington manager communities, John Liston, said the field day was an excellent opportunity to share best practice weed management methods and also provide an update on local efforts to eradicate invasive and noxious weeds.

“As most will be aware, weeds are a significant issue for landholders,” Mr Liston said.

“There’s still a long way to

Weed control was the focus of a BHP Billiton Cannington-sponsored field day.

go but thanks to opportunities and projects like this and the dedication and commitment of Southern Gulf Catchments and land owners, real progress is being made in halting the weeds’ advance.”

Presentations by representatives of Bio-security Queensland, the Tropical Weeds Research Centre and the Queensland Department

of Agriculture, Forestry and Fisheries provided an update on the status of biological control, and the range of weed treatments and management strategies were also discussed. In addition, the field day included practical demonstrations of herbicide application and mechanical clearing, as well as pasture management after weed control.

Stanwell launches community fund After supplying power to Rockhampton for two decades, Stanwell Power Station has launched a new grants program.

The Stanwell Power Station Community Fund drew about 37 applications for the first funding round, which closed on August 24.

Stanwell Power Station acting site manager James Oliver described the quality of the responses from sporting and art groups, schools and volunteer associations as very pleasing.

“As well as its long-term focus, what makes the fund different from our regular (sponsoship) program is that we’ll be consulting with a cross-section of community, business and government representatives to help us make our funding decisions,” Mr Oliver said.

“We are particularly interested in projects that will support access to critical services, enhance educational opportunities or facilitate community interaction, as these themes came through strongly in our recent community research.”

QGC ready for next round of grants Not-for-profit organisations and local governments in the Western Downs, North Burnett, Banana Shire and Gladstone areas can now apply for grants from the next round of the QGC Sustainable Communities Fund.

Since its launch in February 2011, the fund has helped 92 projects with contributions of more than $2.8 million.

Up to $6 million is being made available over the four years of construction of QGC’s Queensland Curtis LNG Project for short-term, one-off projects.

Vice-president sustainability Brett Smith said the fund was a critical part of QGC’s commitment to working with residents to improve the liveability of communities in the project area.

“The fund ensures communities benefit from our presence and, through the grants assessment panel in each region, allows the community a say in how we invest in local communities,” Mr Smith said.

“We look forward to continuing to invest in innovative and worthwhile projects from local groups across the regions.”

Santos unveils $200m aid plan Santos GLNG’s Social Impact Management Plan will see $200 million invested into the communities in which it operates.

President Santos GLNG Mark Macfarlane said the plan was designed to help people in Maranoa, Central Highlands, Gladstone and Banana Shires understand the possible social impacts of Santos GLNG’s activities and what the organisation was doing about them.

“Over three years, we’ve have had more than 2000

discussions with a wide range of people across these areas,” Mr Macfarlane said. “From these discussions we have gained a valuable understanding of what is important to them, and have developed more than 130 action plans which will see $200 million invested.”

The key focus areas are water and the environment; community safety; social infrastructure; community wellbeing and liveability; local industry participation and training; and Aboriginal engagement and participation.

Rio Tinto Clermont region employee Helen Agius helped plant seedlings as part of the Koala Venture project.

Rio Tinto bridges the gap for koalas Rio Tinto Clermont region employees have planted 560 eucalyptus coolabah seedlings to help create a 2km vegetation corridor to support the growth and habitat of koalas living on land owned by Clermont Mine.

The employees planted the seedlings to close a 600m gap between two areas previously planted with seedlings in 2011 to re-establish the natural vegetation canopy and provide future koala habitat.

The planting is part of the wider Koala Venture project, a partnership between The University of Queensland and Rio Tinto Clermont region operations. It is Australia’s longest running koala ecology research program.

Wildlife researcher Dr Sean FitzGibbon from the Centre for Mined Land Rehabilitation in the Sustainable Minerals Institute at The University of Queensland said the seedlings would benefit the koalas in two ways.

The first was as an excellent habitat dominated by what is known to be their preferred source of food and the second was a connection between more extensive coolabah woodland to the north and south.

“This is important because it keeps those areas linked, allowing koalas to move between them more easily as opposed to crossing bare ground where they are highly vulnerable,” Dr FitzGibbon said.

Rio Tinto Clermont region general manager operations Dawid Pretorius said the choice of the seedlings was a success given the significant rain events of the 2011-12 summer.

“We initially thought that these seedlings had been washed away but it was recently discovered that the vast majority of them had in fact survived and are shooting new growth,” he said.

Mr Pretorius said Rio Tinto Clermont region was committed to working with The University of Queensland to improve knowledge of koalas and outcomes from rehabilitation.

“It is also greatly improving the wider ecological understanding of inland koala populations, which enhances the conservation and management of koalas right across the state and the entire mining industry,” he said.

“This is especially crucial given the recent decision of the Federal Government to list the koala as a threatened species in Queensland, New South Wales and the Australian Capital Territory.”

Proudly supporting mining communities Cannington

30

LIVING REMOTELY

September 2012 |

The Mining Advocate

Home-and-away audit advised A Thiess manager based in central Queensland has a few tips to share after many years of work requiring time apart from family.

People regularly working away from home have been urged to consider an “annual audit” to assess the impact on their physical and emotional wellbeing.

Thiess project development manager Ralph Ferguson said this should include a medical checkup, but also an honest appraisal of how the worker had been coping with living away from home.

Mr Ferguson said it was important to take stock, as the side-effects of such a lifestyle could creep up on people.

“It can manifest itself in pretty insidious ways,” he said.

“Taking to comfort food, increased alcohol intake or smoking can all be excused in an attempt to fill the void created by

being away from home. I have seen marriages break up and people getting to a stage where they don’t cope with the usual pressures of everyday life in construction.”

Mr Ferguson gave a presentation at this year’s Northern Engineering Conference in Mackay about surviving the fly in-fly out or drive in-drive out (FIFO/DIDO) lifestyle.

The father of four adult children was speaking from experience.

He started his 33-year construction career with Thiess living in single person’s quarters in Nanango and since being based in Mackay, over the last 16 years, has spent more time away than at home.

Thiess project development manager Ralph Ferguson gave a presentation about surviving the FIFO/DIDO lifestyle at this year’s Northern Engineering Conference in Mackay.

Photo: Daniel Cole

Mr Ferguson suggested that FIFO/DIDO workers do their sums - add up the true hours spent working and travelling, then consider how much time was left

for sleeping let alone spending time with friends, family and pursuing interests outside of work.

He also believed people entering a job that involved a lot

of time away from home should consider setting a use-by date for that lifestyle.

“Recognise that for the benefits in doing this – financial gain like paying off the mortgage faster or career advancement – there are sacrifices, like time spent at home, missing cheering your son on at the footy match, or seeing the daughter’s award being presented.” he said.

“It helps a lot if a couple can sit down and agree up front how long they will do this for – no right or wrong answer, just as long as there is an agreed plan.”

Mr Ferguson conceded that he and wife Robyn neglected to do this and that he was still spending too many sleeps away from home.

“I’m not the model example.

Maybe that’s why none of our children followed my career path.” he said.

Tektum takes House2.0 to resources industry A new Australian line of transportable homes with highquality finishes is being promoted as an excellent option for mining companies striving to attract and retain staff.

Tektum began marketing its House2.0 product to the Queensland mining industry by holding open days at a display house in Mackay during the Queensland Mining and Engineering Exhibition.

Managing director Nicolas Perren said the House2.0 design offered a flexible range of configurations to suit mining camps in regional or remote locations as well as quick-build family accommodation.

The line offered high-quality

finishes such as Caesarstone kitchen bench tops and mosaic bathroom tiles, as well as relatively spacious living quarters and larger windows, he said.

Mr Perren said the design included a private deck at the rear of dwellings as a relaxation area, rather than the standard front veranda which often became a noisy thoroughfare among neighbouring workers.

“It offers the mining industry a better product for their employees to live in – it is not just the standard donga,” he said. “It is like a hotel room in terms of the ensuited accommodation and it also comes in family homes.”

The quality of materials used meant it would stay looking “good

and sharp” for longer, he said.

“We don’t use PVC flooring, for instance, in bathrooms that look like crap after a couple of years because they can’t be properly cleaned.”

Mr Perren said also the materials had been chosen with air quality in mind.

All paints and glues used in House2.0 construction are free of VOCs (volatile organic compounds) and the potential for mould is minimised.

Mr Perrin said the “plug and play” accommodation units could be transported in ISO shipping containers and were easily erected on site, with electricity and plumbing included.

While more expensive

than regular transportable accommodation options, Mr Perren said House2.0 offered savings in maintenance and durability. He also saw improved accommodation quality as crucial in addressing staff churn on

A House2.0 unit on display in Mackay.

mining and construction sites.

The House2.0 prototype was created in New South Wales and Tektum is looking to establish a factory in South Australia when it has attracted enough orders to begin full production.

HEAVY MACHINERY REVIEW

The Mining Advocate | September 2012

Innovation shines in Hybrid model Komatsu’s Hybrid excavator recently took out two Australian International Design Awards - a Good Design accolade and an Australian Business Award for product innovation.

The latter recognises products that introduce a new idea, method, technology, process or application of commercial significance and/or benefit to the marketplace.

Komatsu’s Hybrid excavator, launched in Australia in May 2011, is the most environmentally sustainable machine in its class, consuming up to 40 per cent less fuel than conventional excavators.

31

Hero of hard rock Sandvik’s DL430-7C production drill at work underground.

Komatsu’s fuel-efficient Hybrid excavator.

It combines an internal combustion engine with a generator and electric motors offering equivalent performance in breakout force and operating speed to a conventional Komatsu excavator. Operation is identical.

Fuel-saving features include regeneration of electrical power when slewing, engine assist for power on demand, ultralow engine idle, a smaller engine and hybrid control system.

The Sandvik DL430-7C is billed as the most flexible electro-hydraulic longhole rig on the market for production drilling in hard-rock underground mines.

Applications for this rig include uphole and downhole production drilling, rise drilling and service holes.

The DL430-7C rig is capable of drilling 64-89mm holes up to 40m –

Valley Longwall International‘s new Jug-A-0 underground utility vehicle.

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Z series has technical edge Valley Longwall International’s new Jug-A-0 underground utility vehicle is an explosion-protected, flameproof, diesel-powered loader.

The 4x4 utility loader is powered by an 8-litre supercharged Hino engine with a load sense hydraulic system with lifting capacities of either 10,000kg or 12,000kg.

VLI sales and marketing manager for diesel products Bill Sidwell said this newest Jug-A-0 – the Z series – was the most technically advanced underground utility vehicle on the market, with the quietest operation and superior operator visibility.

“We rightly claim the Jug was the loader designed by fitters for fitters,” he said.

with reaming to 102mm as an option – and has been designed for large vertical and horizontal coverage.

The rig’s SB120P boom has wide parallel drilling coverage, long boom extension, 360 degrees rotation and wide tilt angle ranges forward and backwards.

Sandvik Mining CAN-based technology allows the operator to set the rig for any rock conditions, as well as allowing an easy upgrade to higher levels of automation. An in-built troubleshooting system is designed to minimise unscheduled downtime.

“As utility vehicles go, the Jug-A-0 is efficiency in motion so ‘production maximiser’ and ‘maintenance friendly’ constitute apt descriptions of this machine.”

Jug-A-O options include a drill rig function, camera, audible methane warning system, second PTO function, 2.6-cubic-metre push plate bucket, 8-tonne JIBtelescopic, cable reeler, man baskets and belt reeler.

“Working within the highly regulated Australian coal mining industry, we have developed a technologically advanced and compliant range of flameproof dieselpowered vehicles that are designed specifically for use in underground coal mines,” Mr Sidwell said.

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32

EMERGENCY RESPONSE AND RESCUE

September 2012 |

The Mining Advocate

Kestrel tops Queensland comp Challenges at Mackay and Moranbah in October will be the next test for the coal industry’s best emergency response crews.

A Kestrel team will take on the top underground mine rescue crews in Australian coal mining after claiming victory in this year’s EK Healy Cup in central Queensland.

They will represent Queensland at the Australian Underground Mines Rescue Competition in October along with teams from Crinum, North Goonyella and Grasstree mines.

The Oaky No. 1 team – which took out the Australian competition in 2011 – failed to make the state’s top four this year.

Queensland Mines Rescue Service operations manager Ray Smith said mines rescue district assessors from Queensland and New South Wales had started planning the exercises for the national competition, to be hosted in central Queensland on October 18 and 19.

Extra celebrations are planned in 2012 - the 50th year of national competition.

The event will include a day of competition at Anglo

American’s Moranbah North mine and a day at the Mastermyne training facility in Mackay.

Mastermyne managing director Tony Caruso said the move was a great endorsement of the Myne Start facility.

“We’re extremely excited and pleased to be able to partner with the QMRS and run the competition and obviously it’s great recognition for the Myne Start training facility,” he said.

The 2012 EK Healy Cup competition was held at the Aquila colliery near Middlemount.

Mr Smith - chief assessor for the competition - said Kestrel and Crinum had particularly stood out in the surface CABA (Compressed Air Breathing Apparatus) exercise – each scoring 100 per cent.

Dallas Dorney from North Goonyella took the Chief Inspector’s Trophy for topping the theory component of the competition for the third year running.

The winning Kestrel mine rescue team (from left) – Anthony Appleton, Dave O’Regan, Jason Francis, Chris Catip, Luke Jaavuo, Dave Taylor and captain Derrin Powell.

Kestrel’s Derrin Powell won the Matt Best Memorial Trophy for best captain in the event.

Mr Smith said teams from Kestrel had represented Queensland in the national competition before, including in

2009 when the Rio Tinto Coal Australia site last won the EK Healy challenge. But it had not reached that level with the same frequency as sites like Crinum, North Goonyella and Moranbah North, he said.

The top four Queensland teams for 2012 will take on one Tasmanian team and four NSW teams - representing the Lithgow, Newcastle, Hunter Valley and Wollongong districts - at the national competition.

Cannington pulls off a double BHP Billiton Cannington has taken home the trophy for the second year running from the Northern Australian Emergency Response Competition in Darwin.

The north-west Queensland team took on competitors from Xstrata McArthur River Mining, Newmont Tanami and Rio Tinto Argyle Diamond across a range of scenarios.

Cannington was named overall winner after coming out on top in the categories of breathing apparatus search and rescue, rescue from heights, first aid, best medic (Mitchell Smith), best captain (David Lestone) and team safety.

Best Individual Skills was awarded to Horst Lushington from Newmont Tanami.

The main portion of the 2012 event took place at Hidden Valley Raceway on September 1-2.

Competition organiser Linda Young from Darwin Co-ordinators said the four teams had shown a great sense of camaraderie.

“It is fantastic to see our rescue teams approaching these events with such skill and professionalism, and even though they are competing against each other they share equipment, they debrief with each other and they build bonds,” she said.

Members of the Oaky No. 1 team complete a competition scenario requiring a response to a workplace accident involving a mechanical duster.

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WET SEASON

The Mining Advocate | September 2012

33

Cockatoo’s crossing Work continues on a project to help protect a central Queensland mine site from being blocked off in bad weather, writes Jan Green.

A new $16 million bridge, jointly funded by Cockatoo Coal and the Department of Transport and Main Roads, is being built across the Dawson River at Baralaba to reduce flood susceptibility.

The bridge, 4m higher than the previous crossing, will provide improved access over the Dawson River for the community and Cockatoo Coal.

The old bridge crossing is being replaced and approaches are being upgraded.

“Work is continuing and we

are on track to complete the bridge component in October, dependent on weather,” Cockatoo Coal external affairs manager Kelly Lofberg said.

“Since the engagement of the new contractors the bridge has quickly taken shape, with the placement of the precast deck units now complete.”

However, she said a lot of work remained including finishing the concrete deck, installing the bridge railing and earthworks for the bridge approaches.

The bridge component of the new Dawson River crossing at Baralaba is due for completion in October.

Ms Lofberg said civil road works, including construction of intersections, placement of signage and line marking, would continue once the bridge decking had been completed.

“Should the causeway be

access to mining areas at Cockatoo’s Baralaba operation.

Ms Lofberg said the mine was well prepared for future wet seasons and was enjoying record production rates and a lower waste-to-coal strip ratio.

Mozzie defence

Murtro meets great barrier brief Murtro’s precast concrete retaining walls are proving to be one of the most effective methods of flood control in Queensland’s mining regions, according to the company’s business development officer, George Fitos.

Murtro works with several design companies to produce a range of retaining walls for the specific purposes of flood and earth retention, storm surge and wave control.

“The way it works is we generally get a scope of work – details of exactly what’s required – assess the scope, consider a cheaper, stronger, safer alternative, and at the end of all those considerations advise the client accordingly,” Mr Fitos said.

Retaining walls can vary enormously in thickness, depending on height and what they are required to do.

inaccessible due to high river levels, we will be able to route traffic over the new bridge once the bridge decking is complete,” she said.

The crossing was cut due to rain earlier this year, preventing

A new mosquito bite reduction device works on preventing the insects from detecting their prey as opposed to repelling them.

Para’Kito has been described as the latest method to fight bites and alleviate the risks of tropical mosquito-borne diseases, particularly during the wet season.

“The Para’Kito active pellet Photo: Henrik Larsson/shutterstock.com releases into the air its all-natural combination of seven essential oils over 15 days, naturally masking the presence of humans to mosquitoes,” Optical Life Accessories global innovations spokesman Brent Rundle said.

“It provides a very effective and cost efficient, round-the-clock protection during that period.

“It works very simply. A pellet slides into the pocket on the top of a wristband, preventing it from coming into immediate contact with the skin. Once removed from its protective covering, the pellet immediately becomes active.”

Each accessory comes with two pellets and refill packs are available.

“For instance, some abutments to run-of-mine (ROM) have 350-tonne dump trucks moving over them so the load on those is extreme. In such cases the walls need to be extremely strong,” Mr Fitos said.

“On the other hand, some walls – such as those built for erosion control might only be 1m or 2m high and have no additional loads.

“In fact, we’ve not long completed such a retaining wall for flood and erosion control around the material handling and storage facilities for a concrete plant in Moranbah.

“In contrast, a Collinsville job for a mining company’s ROM extension required 21 units, of which three were over 40 tonnes each (for the end walls) while the rest were over 20 tonnes each, 12m off the ground.”

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34

TRAINING

September 2012 |

Spotlight on Kinetic finalists

BMA program draws praise BMA’s Blackwater Mine has received national recognition for its efforts to recruit and support people with disabilities.

Mine general manager Paul Hemburrow received an individual honour in the 2012 SkillsDMC Chairman’s Awards, recognising the central Queensland site’s dedicated Disability Engagement Program and his efforts in driving workforce planning and development outcomes.

BMA asset president Stephen Dumble said the Disability Engagement Program, introduced in mid-2010, had delivered business benefits.

He said one of the reasons the program was so successful was that it was based on matching

employee skills with business needs.

“As a company, one of the things that we enjoy the most about the program is that it is focused on what people can do, not what they can’t do,” Mr Dumble said.

He said the program provided training and education avenues for people with disabilities while also helping to build a more inclusive workplace culture.

SkillsDMC, the national industry skills council for the drilling, mining, quarrying and civil infrastructure sectors, honoured a range of achievers at its recent national conference.

Chairman’s Awards for companies went to Fendley Consultancy in the drilling

BMA Blackwater Mine general manager Paul Hemburrow.

sector, Ngarda Civil and Mining in the civil infrastructure sector, Pathways to the Pilbara in the metalliferous mining sector,

Mount Arthur Coal in the coal mining sector, and Boral Construction Materials in the extractive quarrying sector.

Fast track to coal careers

Chris O’Brien and Ben Anderson, the first two NAP graduates, completed their studies within 10 months.

The Mining Advocate

SkillsTech Australia’s first two National Apprenticeships Program (NAP) graduates recently achieved two important goals - their formal apprenticeship qualifications at the institute’s Acacia Ridge Training Centre and employment with Anglo American Metallurgical Coal.

SkillsTech Australia Institute director Mary Campbell said the innovative Queensland-created program saw both adult apprentices gain their qualifications well ahead of time.

Thirty-five-year-old Chris O’Brien completed his diesel fitting apprenticeship within 10 months and 30-year-old Ben Anderson acquired his electrical qualifications in the same timeframe.

“The National Apprenticeships Program (NAP) is a unique program which skills Australian workers by rigorously assessing their knowledge and abilities, then fills in gaps in training to enable completion of a trade qualification, potentially within 18 months,” Mrs Campbell said.

Mr O’Brien was a small engine mechanic, employed as a shift coordinator for a Brisbane bus service, when he applied to NAP in May 2011.

“I applied for NAP, completed the recognition of prior learning process with SkillsTech Australia, and I’m now employed by Anglo American Metallurgical Coal as a fully qualified diesel fitter at their coal mine sites in central Queensland,” he said.

Sixteen individuals and organisations across five categories are vying to be recognised as the best at the Kinetic 2012 Training Awards to be held in Brisbane on September 28.

Apprentice and Trainee of the Year finalists include Jess Martin – Leighton Contractors, Daniel Maloney – Centennial Coal, Steven Sorrell – Mining Logic, and Jake Smith – Xstrata Mount Isa Mines.

BMA and Queensland Alumina are vying for the company award for Best Training Processes and Practices of the Year, while the registered training organisation finalists in that category include Easternwell Group, Techserve Training and Development, New Horizons Safety and Training Services, and the Countrywide Workplace Safety Group.

Finalists in the innovation categories include Pacific Aluminium - Gove, BMA Blackwater Mine, HSE Mining – Saraji project, New Horizons Safety and Training Services, Mine Safety Institute of Australia and RMIT University/ SAGE Didactic joint venture.

Kinetic Group chief executive officer Derek Hunter said the awards provided a platform to showcase individual and company-wide achievements in the Australian resources sector.

“In an environment where some companies are cutting training budgets it is encouraging to see the nominees’ commitment to creating a more skilled workforce,” he said.

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SHUTDOWNS

The Mining Advocate | September 2012

Let it slide

Meandu powers on with overhaul This thermal coal site is gearing up for a major dragline rebuild on top of a recent $20 million electrical upgrade, writes Belinda Humphries.

Stanwell Corporation is preparing for a three-month dragline shutdown at Meandu mine in southern Queensland as part of a $74 million overhaul to extend the machine’s life.

Improvements on the Bucyrus Eyrie 1370 will include a new tub, a new revolving frame for the upper section and work on the 100m-long boom, according to Stanwell general manager mining operations Bob Rutten.

“It’s a very significant mechanical upgrade, following on from an electrical upgrade we did last year,” Mr Rutten said.

“This is a complete refurbishment to give the machine another 25 years of life.”

The new $8 million tub for the 3500-tonne dragline was built in segments in Brisbane and is already at Meandu, where it is being rebuilt in preparation for the change-out.

Mr Rutten said a team of about 20 specialist contractors was on site to perform the task.

That outside workforce is expected to increase to about 240 during the shutdown from February next year.

“They will be accommodated locally, so there is a major fillip for the local economy for that period,” Mr Rutten said.

Stanwell Corporation has engaged the Endeavour Foundation’s local catering operation Kingaroy Kitchen to supply meals for shutdown workers at their accommodation places and on site.

Mackay-based G & S Engineering is the major contractor for the dragline building and repair work.

Mr Rutten said the shutdown period was expected to last about 140 days, including the winding down and ramp-up of dragline

Workers at Meandu coal mine align and level the six tub segments on stands to allow internal welding to take place.

operations. The mechanical work is expected to be completed within 105 days.

The mine has four other production fleets – excavator and truck teams - which will continue coal output while the dragline is out of service.

The planned mechanical work, costing about $54 million, follows a $20 million electrical overhaul in mid-2011, when DCS carried out a control systems upgrade.

Stanwell Corporation has also invested more than $70 million in its mining fleet at Meandu in the past two years including five new Komatsu 850E dump trucks, a new 360-tonne excavator and support equipment. Mr Rutten said the fleet expansion was prompted partly by demand as well as recovery efforts after flooding in early 2011.

Meandu can now produce up to 7.4 million tonnes per annum of product coal for Tarong and Tarong North power stations.

Downer EDI takes the reins Stanwell Corporation has appointed Downer EDI as the preferred long-term contract operator of its Meandu mine in the South Burnett region.

The Meandu thermal coal project was in a parcel of assets, including the nearby Kunioon coal deposit, that Tarong Energy bought from Rio Tinto in 2007.

Tarong Energy – incorporated under the Stanwell Corporation banner last year in a restructuring of government-owned generators - had expected to move mining operations to Kunioon within a short timeframe.

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Metso Minerals Australia has developed a hydraulic slide base designed to save time and reduce injury risks when stripping slurry pumps.

Metso Minerals product manager Chris Wyper said slurry pump disassembly and repair often took place during a scheduled shutdown, when the risk of injury may be increased by time pressures and, possibly, inexperienced maintenance personal.

Metso had developed a new method to strip a pump which did not require lifting of assemblies and was considerably quicker than a component strip, he said.

“This method uses the back pull-out feature of the Metso pump range,” Mr Wyper said.

“The casing, liner and pipework all remain connected in situ during maintenance. The rotating part of the pump is withdrawn back from the casing allowing access to major wear components.”

The hydraulic slide base was an extension of this concept and was used for larger slurry pumps to facilitate maintenance, he said.

A job which could take up to eight hours using traditional methods as well as tying up a crane could now be done in less than four hours, Mr Wyper said.

However Stanwell general manager mining operations Bob Rutten said exploration work since the acquisition had discovered enough coal at Meandu to meet the demands of the two nearby Tarong power plants until 2035-plus.

Mr Rutten said proof of the long life of mine at Meandu had sparked the decision to enter a detailed tender process for a long-term mining contractor at the site, which has been operated

by Thiess since 2008.

Downer EDI will officially commence as the Meandu mine operator in January 2013.

SHUT DOWNS?

35

36

REGIONAL ENGINEERING TEAMS

September 2012 |

The Mining Advocate

Kudos for housing initiative The teams behind an infrastructure project for remote Aboriginal communities have won industry acclaim, writes Belinda Humphries.

A major housing initiative to improve the wellbeing of indigenous communities across the Northern Territory has been recognised with an engineering excellence award.

Environmental engineer Gary Boyle, from the NT Department of Housing, Local Government and Regional Services, said it would be very hard to identify many people across the profession in the Territory who had not played a role in the winning project at some stage.

“In terms of the Year of the Regional Engineering Team with Engineers Australia, this project is a really good demonstration of that because it is so broad, it involves so many locations across the NT and there has been so much input from the technical and professional organisations across the Northern Territory and interstate,” he said.

The National Partnership Agreement on Remote Indigenous Housing project was joint winner of the Engineers Australia Northern Division Engineering Excellence Awards for 2012 alongside the Defence of Darwin Experience.

The agreement is a 10-year initiative of the Australian and Northern Territory governments

which kicked off in 2008.

Mr Boyle, departmental director of infrastructure delivery for remote housing, said the first five years involved delivering an intensive $1.2 billion building project.

“During that time we will have worked in most of the 73 remote indigenous communities that were part of the original intervention in the NT,” he said.

Mr Boyle said some of the toughest challenges had been the logistical difficulties caused by lack of access to remote sites in the wet season and the fact materials and personnel had to be flown or barged into some of the communities.

The excellence award centred on work completed at two of the major remote indigenous communities - Maningrida and Wadeye, where the partnership agreement has delivered 215 new and 247 refurbished houses respectively, in addition to major upgrades to the electrical, water and sewerage infrastructure in each township.

Two major alliances acted as lead contractors and project managers for the work highlighted in the award nomination.

The New Future Alliance

A new housing subdivision at Maningrida Aboriginal community in Arnhem Land.

including Leighton Contractors, Broad Construction Services, Opus Qantec McWilliam and Ngarda Ngarda Civil and Mining was responsible for the work at Wadeye. The Territory Alliance including Sitzler, Laing O’Rourke

Construction and McMahon Services undertook the work at Maningrida.

Mr Boyle said it was fantastic to see the project receive some recognition through the engineering awards.

Photo: David Hancock

“To get peer recognition helps people on this project to understand that what they have achieved is seen as significant across their industry. The important side of the program is really about the social impacts,” he said.

Slowdown tips awards timing The North Queensland Engineering and Resources Excellence Awards has been dropped this year.

A celebration dinner on November 24 to mark the Year of the Regional Engineering Team will replace the awards night after a decision to reduce the frequency of that event to every two years, according to Engineers Australia Townsville regional group chair Carson Care.

“By holding the awards every second year, it should allow more work to occur between events and we should get a larger number and range of projects in the region to judge from,” Mr Care said.

He said the economic downturn had been one factor in this move, with the Townsville area experiencing a slowdown in the number of major engineering projects commencing.

Carson Care Engineers Australia Townsville regional group chair

“It probably affects the regional areas more than metropolitan areas” Mr Care said.

“About six months ago my colleagues working for different companies certainly experienced a reduction in the work they

were getting - although things are picking up now. Even a sixmonth period of quiet can really affect the number of project nominations that we receive in a 12-month period.”

Mr Care, who works in Townsville as Ergon Energy’s concept scope manager, welcomed Engineers Australia’s 2012 theme as a means of highlighting the role regional engineers played in establishing infrastructure for their communities.

“It really is important regional engineers are recognised for their contributions,” he said.

An Ergon employee for 10 years, Mr Care heads a team which develops project scopes and builds business cases for the electricity distributor’s major capital works projects - worth about $600 million annually statewide.

BIG BOYS‘ TOYS

The Mining Advocate | September 2012

37

Harley people at heart Once regarded by many as “renegades’ bikes”, Harley“Gone are the days Davidsons are increasingly the wheels of choice for the men and of the bike’s ‘outlaw’ women of the resources industry.

Enthusiastic owners like reputation. These days, Xstrata Copper infrastructure manager Matt O’Neill regard Harley owners come the machines as a way of life and other Harley riders as extended from all walks of life.” family.

Mr O’Neill’s bike takes him to and from work, but he also enjoys heading out on the highway with fellow Harley owners on weekends or when time permits.

“I’ve always liked motor cycles,” he said.

“Previously, I had a dirt bike but I upgraded to a Harley because I wanted to ride longer distances. They are fairly expensive but a good salary is one of the perks of working in the mining industry, so that makes owning one quite achievable.”

Mr O’Neill described his Harley as the most comfortable bike he’s ever been on and a really nice one to ride.

“I’ve got a Fat Boy, which is ideal for touring, and sometime in the next 12 months or so, I’d like to take it along the Great Ocean Road,” he said. “It’s a great bike road.”

All dealers contacted by The Mining Advocate reported strong Harley-Davidson sales to employees in the resources sector.

Gladstone’s Harbour City Motorcycles and Mackay Motorcycles each estimated about half of their customers were linked to the industry.

“People love Harleys Har arle leys ys because th hey e are great greeat way way to relaxx an and d they forg fo rgeet about rg a shif ifts t aand nd forget long sh shifts woork pressures,” press ssurres,” Mackay Mac M acka ckayy work Mottoorc Moto Mo rcyc y less manager maana nage ger ge er Ro R b Motorcycles Rob Fauxx said. saiid. d.

Faux “D Dem eman a d from an froom fr m tth hee h “Demand the indu in du ust stry ry has has been bee b een n constant c nssta co tant industry o er ov e the thee years yea ears rs but butt b bec eeccau a se of over because th he va valu lu ue of the he A Aus ustr us t al tr aliiaan the value Australian doll do llar ar, there’s tth her e e’ e s no n better bettte terr time tim mee dollar, to buy buyy than tha han now.” n ow no w..” . to S SunC Su unC Cit ity (Townsville) (T (T Tow oow wns nsvi svi v ll l e)) SunCity Harlley Ha ey-D Dav avid idso son owner son owne ow wne nerr Marc Marc Ma rc Harley-Davidson Sttor orey ey said sai aid there t ere was th waas noo doubt dou d oub ou btt Storey Harl Harl Ha r ley rley ey-D -David avid av idso dso sons sons ns w e e thee bi er big big Harley-Davidsons were boys ys’ to toyy of choicee for for mining ng boys’ indu in dust du ssttry w wor orke or kers ke rs. rs industry workers.

“A A large laarrggee per p eerrcceentagee of of oour ur ccustomers ustoome us mers r percentage are from ar frroom m tthat haaatt se h ect cttor or aand or nd w nd et bu usi sier er eeach ach ac are sector wee gget busier year ye arr,”” he he said. saaid. id d. year,” R Ro occkky Harley-Davidson Haarrlley H ey-D -D David avvid dso s n sales s llees manager sa ma Jason nB i Rocky Birse Xstrata Copper infrastructure nootteed that n tth h hat att his his is Harley Harr leey sales sale sa lees had had grown grrow o n expo one nen nt noted exponentially with the gaining manager Matt O’Neill shows off his n sstrength tren tr nggtth off tthe hee A h u tr us tral alia i n do ollar lllar. in Australian dollar. pride and joy.

“R Roc ockh khamp ampton iiss th he iideal deal lo ocati cation on ttoo ttarget the mining industry “Rockhampton the location Photo: Roslyn Budd aan nd since July Julyy 2011 201 011 we we h hav a en av n’t b bee een n ab b to keep up with the demand and haven’t been able froom m iit, t ” he he ssaid. aiid. d from it,” ““Th The iinq nqui uiries i jus st ke keep ep ccoming om inquiries just because the earning capacity of people in the industry but it’s also to do wi ith h the lifestyle. lifestyylee. Gone Go are the days of the bike’s ‘outlaw’ reputation. These days, Harley owners come from with alll walks al walk wa lkss of llife.” i

Ride the rough and tumble

The Tomcar is being promoted to the outdoor and adventure market.

The Australian-made Tomcar all-terrain vehicle not only handles the toughest jobs, it is great fun to drive, according to Tomcar chief executive officer and co-founder David Brim.

Originally designed for the Israeli Defence Forces, the vehicle has many civilian applications such as mining, agriculture and emergency services, as well as recreation.

“The Tomcar is a remarkable feat of modern engineering and geometric balance,” Mr Brim said.

The roll-over bar and frame of the vehicle is welded as one complete unit, making the structure of the Tomcar immensely strong. High-grade tubular steel is used throughout the frame, which is made up of hundreds of individual hand-welded parts.

Tomcars also boast full-length underfloor skid plates that protect the underside of the vehicle from

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terrain damage and enable the vehicles to “glide over” obstacles that would stop other vehicles in their tracks.

“A truly outstanding feature of the Tomcar is its extremely low centre of gravity, positioned below the driver’s seat,” Mr Brim said.

“This keeps the vehicle more stable on steep angles and when taking hard corners, making it harder for the vehicle to destabilise and roll.”

Mr Brim said the Tomcar’s capabilities and safety made it perfectly suited for the outdoor and adventure markets in Australia.

“Whether it’s working hard on the cattle station, or going out bush with the family on a camping trip, the Tomcar is the ideal off-road utility vehicle. It’s safe, reliable and will provide life-long enjoyment and reliability,” he said.

“Tomcar Australia is currently working closely with local Australian 4WD clubs and associations to foster a keen recreational interest in the vehicles.”

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38

MATERIALS HANDLING

September 2012 |

The Mining Advocate

Rail load-out hub on track A 3D design model shows the view looking east at the proposed Cloncurry multi-user loading facility.

Three companies are funding construction of materials handling infrastructure outside Cloncurry, with capacity open to further users.

A new multi-user rail loading facility to service the northwest’s mining operations is expected to be operational by mid-2014.

Xstrata, CuDeco and MMG have entered a joint venture to fully fund construction of the facility about 7km east of Cloncurry.

While the facility will initially handle about 2.2 million tonnes of mineral concentrates each year from those parties, it will be designed to offer future capacity for additional users, according to an Xstrata spokesman for the joint venture parties.

“The joint venture partners acknowledge that this facility provides a key piece of infrastructure to the region and by its construction will support the development of mining in the Cloncurry area,” Xstrata Mount Isa Mines general manager for site services, logistics and engineering, Mark Roberts, said.

“As part of the proposed

joint venture agreements, a transparent commercial model will be developed that will allow access for additional users in the future.”

Mr Roberts said the joint venture partners were working with the Department of Natural Resources and Mines and the Department of Environment and Heritage Protection to progress the required approvals for the proposed development.

Design work is also continuing, with the loading facility required to meet different bulk handling demands for the different operations it will service.

CuDeco plans to establish a negatively pressurised loading facility at its Rocklands Group copper project, where concentrates from the mill will be loaded directly into sealed containers to be transferred to trains at the new multi-user load-out site.

CuDeco chairman Wayne McCrae has described the company’s planned loading

and transportation facilities at Cloncurry and Townsville port as representing one of the most environmentally friendly systems of minerals concentrate transportation yet built in Queensland.

Xstrata and MMG plan to use road trains to transport product from the Ernest Henry copper operation and the planned Dugald River zinclead-silver mine to the rail loading facility.

Their concentrates will be unloaded into storage sheds.

The materials will then be loaded into covered rail wagons in preparation for transport to the Townsville port.

“The storage sheds proposed

by Xstrata and MMG will

be fitted with systems for managing and controlling dust emissions. Truck wash facilities will be installed to ensure no release of concentrate from the storage sheds,” Mr Roberts said.

“The overall facility will have requirements for managing dust emissions and stormwater to minimise environmental harm.”

Production from the Rocklands Group copper project, 15km west of Cloncurry, is due to start in late 2013 and the Dugald River project, 65km north-west of Cloncurry, is on track for a 2014 start-up.

Mr McCrae said the recent load-out agreement highlighted CuDeco’s foresight in recognising the

need for enhanced regional infrastructure and taking the necessary steps more than a year ago to address the issue.

CuDeco in May 2011 entered into a conditional memorandum of understanding for the lease up to 900ha of land outside Cloncurry for construction of a multi-user rail load-out facility.

A steering committee led

by Mount Isa to Townsville Economic Zone (MITEZ) -and including CuDeco, Xstrata and MMG - initiated work in 2010 on a proposal to develop such a facility to meet the needs of the district’s mining operations.

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Ivanhoe Australia feature

The Mining Advocate | September 2012

39

Shift to single mine contractor Adopting a unified approach to underground operations is expected to improve efficiency at a cluster of Ivanhoe Australia sites.

Ivanhoe Australia has called tenders for a single contractor to run the organisation’s underground copper-gold mines at the Osborne, Kulthor and Starra 276 sites, 700km westsouth-west of Townsville.

General operations manager Neal Valk said with production at all three mines going to plan, the time was right to implement a single contractor mining strategy.

“Currently, Pybar is working on the underground development at Kulthor at the rate of 450m per month while Ivanhoe has its own production crews and equipment to charge and blast, load haul, and dump the stope ore from the lower Osborne area,” he said.

“Also, Byrnecut are decline mining and putting in accesses at Starra 276, where it is intended that production drilling will start in November and stope

production will commence in January 2013.

“Rather than having three different operators on site, Ivanhoe has tendered for the whole scope of the work to improve overall efficiency in use of people, equipment and systems.”

Mr Valk said it was envisaged such a strategy would result in more consistent performance to meet production targets over the next two and a half years.

“The scope of work initially spans two to two and a half years and extensions will be dependent on the proving up of more resources adjacent to Kulthor and Starra 276,” he said.

Initial diamond drilling has been carried out in these adjacent areas and a scoping study and mine plan will be undertaken in the near future.

If this proves up, then work would continue into these areas, as part of the longer term strategy.

“We plan to have this new strategy, which we are confident will deliver overall efficiency, in place and operating by November 2012,” Mr Valk said.

He said the 2013 production schedule showed that ore production from Lower Osborne would be completed by June next year. Production from Kulthor

The Osborne surface processing facilities, ROM ore stacker, processing plant, fine ore bin and winder headframe.

will increase to 75,000 tonnes per month while production from Starra 276 is scheduled to begin in January 2013, increasing

to 60,000 tonnes per month during the year. Processing plant production has been targeted at 1.5-1.6 million tonnes in 2013.

Engineers wanted to complete crew Following a very good response to Ivanhoe Australia’s recent recruiting campaign, the company requires two more people to complete the Osborne mining engineering team.

Recruiting is under way for the positions of senior mining engineer and mining engineer.

Responsibilities will include mine design, decline and access design into the ore bodies, and production drill and blast design.

Ivanhoe Australia general operations manager Neal Valk said the mining method used at the site was short up-hole open stopes.

The mine, being 15 years old, also has areas of remnant ore which need to be evaluated for possible extraction.

“With three ore sources providing ore for the processing plant, scheduling of all tasks is critical, so the positions will also be required to do short and medium-term scheduling,” he said.

“Due to the small size of the team on site, the jobs will cover a broad range of duties which will offer interest and variation.”

The successful applicants will work on an fly in-fly out roster from Townsville or Brisbane.

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With clear priorities and goals established for both Exploration and Operation, Ivanhoe Australia continues to progress as both an explorer and producer.

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40

LOGISTICS

September 2012 |

The Mining Advocate

The 50-year plan

Where to from here?

A 50-year plan for the development of infrastructure in the north of the state promises great benefits for the region.

Consultant economist Tracey Lines chaired the development of the report over 18 months.

Federal Government money has been set aside for its implementation. Grassroots support is the difference explains Ms Lines.

“

The Mount Isa to Townsville Economic Zone (MITEZ) Group has delivered an infrastructure plan with 26 key recommendations and a 50-year horizon.

The 18-month project was praised by Australia’s Infrastructure Co-ordinator, Michael Deegan, as “the best piece of work of its kind since the inception of Infrastructure Australia four years ago”.

We were charged to include the views of private industry, infrastructure

Tracey Lines Consultant economist

providers, three tiers of government and other stakeholders including

shipping lines and agents.

The plan also accounted for environmental, societal and community concerns as well as the infrastructure requirements to service resource, agricultural and industrial sectors over an area of over 270,000sq km which is home to around a quarter of a million people.

It wouldn’t have happened without the expertise of one of Australia’s policy reform specialists - Juturna Consulting - or the ongoing backing of our great western Queensland mayors.

The plan was kick-started at the recent launch with a $1.66 million funding commitment by

Xstrata Copper loading facilities at the Port of Townsville.

Infrastructure and Transport Minister Anthony Albanese.

The single most significant recommendation was the establishment of an independent co-ordinator to ensure both the efficiency and transparency of the supply chain.

It refers to a small group of people charged

with overseeing road, rail and port operations to ensure they are working and planning together for the future. I wait with anticipation to see what happens next.

An influential body could rectify some of the lessthan-ideal supply chain operations we currently witness in North and

North-West Queensland.

The side-effect of the report has been a much greater appreciation of the significance of the MITEZ region, which is now officially recognised as a supply chain of national significance, adding $15 billion per annum to the Australian economy.

ADVERTORIAL

Heavyweights in transport

NQX national manager, straightline and project services, Doug Rae with regional development manager, south Queensland, John Gunning.

Transporting heavy, oversize mining equipment requires specialised equipment and often extensive planning with detailed strategies.

When Toll NQX recognised this need some years ago, a straightline and project services function was set up, supported by a miningspecific project management capability.

“We provide a one-stop shop in the management and co-ordination of site-specific projects, such as shutdowns and longwall moves, in addition to traditional express mining and breakdown services, project management and contract work,” national manager, straightline and project services, Doug Rae said.

“We also operate a coastal shipping, container handling and storage business from the Port of Brisbane, all of which are a great value-add to the traditional Toll NQX network business.”

Mr Rae described a dragline shutdown as just

one example of the sorts of mine-specific jobs Toll NQX could be involved in.

“A shutdown could involve 20 to 30 trailer loads plus heavy haulage in a relatively short space of time,” he said.

“With projects like this, planning and coordination is everything. We take care to manage capacity, and stage arrival and delivery times so we’re not choking the job with a glut of equipment, and that components and consumables arrive at exactly the right time and in the right sequence.

“None of this is possible without the right people.

“Attention to detail is everything and we have a great team with a lot of experience and expertise in this sort of work. Without them, this business just wouldn’t exist.”

”

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