Australian Mining May 2013

VOLUME 105/5 – MAY 2013

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COMMENT

Mining Benefits and the burdens Australian

Associate Publisher – Martin Sinclair Email: martin.sinclair@cirrusmedia.com.au Editor – Cole Latimer Tel: (02) 8484 0352 Email: ozmining@cirrusmedia.com.au Journalists – Vicky Validakis Tel: (02) 8484 0964 Email: vicky.validakis@cirrusmedia.com.au Brent Balinski Tel: (02) 8484 0408 Email: brent.balinski@cirrusmedia.com.au Alex Heber Tel: (02) 8484 0884 Email: alexandra.heber@cirrusmedia.com.au QLD and SA Sales Manager – Sharon Amos Tel: (07) 3261 8857 Fax: (07) 3261 8347 Mob: 0417 072 625 Email: sharon.amos@cirrusmedia.com.au WA Representative – Jamie Wade Mob: 0435 945 868 Email: jamie@wadebusiness.com.au South Africa – Bob Stephen Stephen Marketing PO Box 75, Tarlton, Gauteng 1749, South Africa Tel: 27(011) 952 1721 Fax: 27(011) 952 1607 USA – Jonathan Sismey Cirrus Media 24th Floor, 125 Park Avenue, New York, NY 10017 Tel: (1) 212 370 7445 Fax: (1) 212 370 7441 Email: jsismey@ix.netcom.com Larry Arthur RBI Suite 203, 3700 Campus Drive, Newport Beach, CA 92660 Tel: (1) 949 756 1057 Fax: (1) 949 756 2514 Email: lharthur@ix.netcom.com Cirrus Media Manufacturing & Electronics Group: Graphic Designer – Dave Ashley Production Co-ordinator – Tracy Engle Tel: (02) 8484 0707 Fax: (02) 8484 0966 Subscription Rates – Australia (surface mail) $140.00 (incl GST) New Zealand A$148.00 Overseas A$156.00 Reader Services – 1300 360 126

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Environmentalists are quick to vilify mining, but ignore the benefits the industry provides.

I

n the last 12 months mining has been under attack like never before.

But, unlike many of my other editor’s comments that focus on the apparent lovehate relationship the federal and most state government have with mining (they love the revenue but hate the industry, barring Western Australia, parts of Queensland, and now the Northern Territory), this time I’m looking at the constant undermining (if you’ll excuse the pun) of the industry by environmental and green groups.

Now here at Australian Mining we agree that miners must follow environmental regulations, because they are there for a reason – we wouldn’t want a gold miner pouring cyanide from its processing plant into a nearby river, and in this day and age no miner would intentionally.

Being one of the most heavily environmentally regu-

Comment Cole Latimer ozmining@reedbusiness.com.au lated industries in Australia, we have a pretty good reputation for ‘greener’ mining than many other nations, as well as recognition for high standards on our social licence.

Mining in Australia generally engages with the community, provides jobs, and tries to leave the place in the same state, or in some cases a better state, than it was before. Yet if you were to listen to many environmentalist groups and the Greens, you would think the industry is nothing but a bunch of rapacious monsters, keen to simply tear up the land, clear forests, extract all the minerals and basically salt the earth out of spite so that nothing will ever grow there

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again. There have been long running campaigns to demonise the industry, all who work in it, and what it stands for, while at the same time enjoying the benefits and contributions that the resources industry makes not only to Australian society but to civilisation as well.

Many of these people condemn the industry on one hand, using their other for the smart phone, laptop, drive their car, or to turn on a light, utilising all the benefits that mining has to bring – rare earths, gold and nickel for technology; steel and aluminium for cars; and coal to power their homes; not even getting started on what the oil and gas

industry provides in the form of power and plastics.

These people want the benefits, but none of the reality of where these technologies come from.

Is it hypocrisy or just a society that is unaware of how the world fuels their needs?

As Fortescue’s Twiggy Forrest said earlier this year, there seems to be a massive disconnect between much of the nation and primary industry. Unaware some may be; but other seem intent on waging a deliberate campaign of misinformation.

These people seem to want it both ways – they want the benefits of mining, but none of the burdens.

They equate modern mining with the practices of last century, when it simply isn’t the case. Mining will never be the greenest industry, but is can, and is, being more environmentally conscious than ever before.

Pa ge

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ON the front cover we’ve featured a train hauling iron ore.

In this edition we focus on the latest developments in minesite trucks and haulage as well as truck automation.

Australian Mining also investigates the newest advances in safety on site, changes to rules and regulations that will affect you, and how the industry has evolved to become safer.

South Australia and the Northern Territory are also in the spotlight, as we look into what these states have to offer.

AustralianMining

May 2013

3

Contents Forty years of fatalities

May 2013 issue

Dark clouds with a copper lining

KBL’s copper mine….p14-16

New player in truck automation

Hitachi uses Australia for its first foray….p52

An investigation in WA’s safety history….p32

Features PROSPECTING Amateur prospecting The prospects of being unprepared ............ p10 MANUFACTURING FOR MINING More than just machines New manufacturing and service centres in the Hunter ................................................. p12 MENTAL HEALTH Healthy mining minds Keep physically and mentally healthy onsite .................................................... p18-21 SOUTH AUSTRALIA/NORTHERN TERRITORY SPOTLIGHT South Australia’s iron ore peninsular Opening up Eyre ........................................ p22 Ahead of the pack Graphite’s future ........................................ p24 Opening up the North Development in the Northern Territory ............................................... p26-27 4

May 2013

AustralianMining

COMMUNICATIONS TECHNOLOGY The future of mining?

How the NBN will affect you .................... p30 SAFETY The burning message Fire protection ...................................... p34-35 When a spark lights a fire Preventing hydraulic combustion ............... p36 Keeping coal dust down Coal dust suppression and ventilation ........ p38 Paralympian takes gold in workplace safety Changing safety mindsets ...................... p40-41 UNDERGROUND MINING Reinforcing rockbolters Making underground mining safer ............. p44 TRUCKS & TRANSPORT BHP accused of rolling over on vehicle safety ANCAP vs. ROPS, which is safer .......... p46-49 Countering payload costs Getting haulage right ................................. p50 An even playing field New benchmark for site transportation safety.......................................................... p54

LNG to fuel mine trucks What is driving mining ............................... p56 ENVIRONMENTAL MANAGEMENT When things go wrong Lessons learned in lead ............................... p58 Battle to stop mine development Trouble in Tasmania’s Tarkine .................. p60 DUST, VENTILATION & FIRE SUPPRESSION Busting Hunter Dust Responding to dust in real time ............. p62-63 Breathing easy on site Dust filters ................................................. p64

Regulars INDUSTRY COMMENT ................................ p6 NEWS ......................................................... p8 PRODUCT SHOWCASE ........................ p74-76 PROSPECT AWARDS ................................ p78 JOBS .......................................................... p80 EVENTS ..................................................... p82 www.miningaustralia.com.au

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INDUSTRY COMMENT

Restructure need not be a DIRTY WORD With the mining industry in a state of flux, now is the time change, before it is forced on you.

T

he mining industry is experiencing an unprecedented number and variety of challenges, as we face what could be the end of a decades-long commodities boom. Taxes, consolidation, fluctuating workforces and an increasing cost of doing business are all taking their toll.

Challenges may cut across the need to refocus strategy, make significant investments in system change, change tack to ensure competitiveness and grapple with the need to retain an engaged workforce.

One of the major ‘go to’ responses from companies facing this much change is to undertake a restructure. While employees often regard restructures in a very negative and threatening light, many executive management teams and investors, such as private equity firms, are prone to see them as a panacea for all that ails a company.

Neither view A D _ Apoint M L Aof NA P R is _ 1taking 3 . p in the whole picture. The fact is re-

structures are often necessary for the survival of a business and can result in an improved workplace if planned and implemented well.

However, they also involve risk and those seeking quick remedies should know that even the smallest of changes to company structure can have major repercussions.

Poorly handled restructures can result in the loss of the talent you most need to retain, high turnover, low morale, decreased productivity and cripplingly bad public relations from which companies struggle to recover.

Before embarking on any kind of restructure, companies need to determine if it will actually help them achieve strategic goals. They then need to pinpoint impacts at every level of the company, and decide on ways to manage those impacts.

While companies cannot afford to shy away from tough decisions how d they f Pshould a g e understand 1 1 1 / 0 3 / a1 re3 , structure affect people, particularly

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staff whose skills are critical to the business. Additionally, consideration should also be given to how the restructure affects the business culture and team performance, safety, the work environment, business processes and IT systems and external relationships with unions, contractors, suppliers and the communities in which companies operate. A thorough impact assessment is critical.

Change2020 has advised on major restructures in the mining sector, working closely with clients to understand the impact of a new structure and helping them prevent unforeseen contractual issues, community relations issues and even unfair dismissal claims.

In this way, an external change management expert can help a business review its current structure objectively, without being captive to internal politics, as well as provide advice on how the new structure can support its strategic goals and help expedite those changes being cognisant of the risks and impacts.

Once the decision to restructure has been made and the impacts considered, the company needs to identify the necessary steps and put a project and implementation plan, which includes the critical component of communications in place.

Well considered communications with employees is particularly important. Hopefully the bad old days of retrenching people by text message or informing them via email that their leader has abruptly departed and the reporting lines will change are mostly over. But any uncertainty can lead to enormous people and productivity issues as nervous employees sit around having coffee and talking about what the change may mean for them.

The end goal is to get through change as quickly as possible so a company can embed new ways of working and perform at its optimal level. If planned and executed well in a pragmatic, firm and fair way, a restructure can be hugely positive for a business and its employees. www.miningaustralia.com.au

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HEADLINES

The latest mining news and safety Australian Mining presents the latest news and safety affecting you from the boardroom to the mine and everywhere in between. Visit www.miningaustralia.com.au to keep up to date with what is happening.

Miner cops for smoking underground A miner has been fined $11,000 after he was charged with smoking underground at the North Goonyella coal mine near Moranbah in Queensland on April 27 last year.

The Rockhampton Magistrates Court on Friday found Travis Brown, 24, guilty on two counts brought

by Queensland Government Mines Inspectors under Section 34 of the Coal Mining Safety and Health Act 1999, the Daily Mercury reported.

The former Bowen basin mine worker was ordered to pay costs of $10,841.70.

No conviction was recorded.

Planetary Resources launched last year, and is backed by a range of massive conglomerates such as Google and has also partnered with fellow space focused company Virgin Galactic.

Contractor dies on QLD coal mine

A miner has died at the Curragh coal mine. The unnamed man collapsed yesterday morning while working as a contractor at the Curragh coal mine. Speaking to Australian Mining, Wesfarmers, which owns Curragh, confirmed that “ a contractor collapsed while onsite”.

The reason for the collapse is unknown.

“He was immediately attended to by Bechtel joins in asteroid onsite emergency crews and then mining mission taken to Blackwater hospital, but Contractor Bechtel has joined with unfortunately passed away at 10am space miner Planetary Resources to yesterday.” mine near earth asteroids.

While Wesfarmers could not state a The move makes Planetary reason for the contractor’s collapse, Resources’ goal more tangible as a company A M 0with 5 1expertise 3 _ 0 in0 mining 0 _ A E C they - said1“there 2 0was 1 a3co-worker - 0 4 - 1 onsite with the man, and there and engineering joins the fray.

Rio hit peak investment in 2012: Walsh Rio Tinto CEO Sam Walsh says the company hit its peak investment in 2012 and is now focused on building up cash reserves with the sale of non-core assets.

Addressing his first annual meeting as CEO, Walsh told investors the company would be tightening its belt to ensure it got good value for money.

“We are targeting significant cash proceeds from divestments and are reviewing a number of potential non-core assets for divestment, in addition to those we’ve already Australian Mining gets the announced such as Pacific latest news every day, providing Aluminium and Diamonds,” he said. mining professionals with the “This will ensure ... that we invest up to the minute information only in projects that deliver returns well above our cost of capital.” on safety, news and technology Along with selling off assets Walsh for the Australian mining and said Rio would be focused on resources industry. reducing operating costs across all of its operations. is no indication at this time that the0incident 8 T 9 : 0 involved 5 : 0 a8 workplace + 1 0 : 0 0 The company’s chief financial officer Guy Elliott told the meeting there accident”.

would be plenty of interest in Rio’s sales.

However the company could not disclose the projects it was considering offloading.

Miner denied further compo after accident A machine operator who was awarded $413, 082 after a being injured at a mine site has had his appeal for further compensation knocked back.

Lawrence Phillips, 55 appealed the original compensation deal, and tried to claim more than $1 million in compensation.

Phillips had been working as a machine operator for just eight days at a Moranbah coal mine site when the scraper he was driving lost traction and slid down a hill in August 2008.

The accident injured his back, forcing him out of MCG’s workforce.

Phillips returned to court this week to fight for $630,000 in future lost earnings.

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PROSPECTING

The prospects of being

UNPREPARED A recent spike in the number of prospecting deaths has drawn concern from the prospecting community, Malavika Santhebennur writes.

P

rospecting can be exciting. The possibility of finding gold, gems and minerals is thrilling. Many prospect as a hobby and if they know where to look for gold, all the better. But what starts as an escape from daily life can quickly turn dangerous if proper precautions are not taken.

There have been an increasing number of prospectors going out into the bush and getting lost. A 63-year-old man went missing for a night in remote bushland in Western Australia after he went for a walk.

He and his son had been prospecting around 20 kilometres west of the Thunderbox gold mine in Leonara.

A missing prospector was found dead and his companion was taken to hospital after their 4WD became bogged in mud near Broken Hill in outback NSW. A 46-year-old man went missing in the Western Australian Goldfields in January after he wandered away from his camp site 70 kilometres northeast of the Goldfields town Menzies. A 13-day search ensued, yielding no results.

The most experienced bushman can go missing when prospecting.

Taking precautions, mak10

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AustralianMining

ing a checklist, brushing up on direction concepts, and carrying the right equipment can prevent mishaps and perhaps save a life.

Also, when people walk, they take a bigger step with their right foot than the left foot if they are right handed.

As they keep walking, they will eventually go around in a complete circle and come back to where they started.

John Wilkshire is a member of the Prospectors and Miners Association of Victoria (PMAV) and the Prospectors’ Home Club in Sydney. He has been a member of the Sydney club for 20 years and has been prospecting since the 1970s.

He told Australian Mining complacency is one of the key reasons why prospectors get lost.

He wrote an article in The Eureka Echo, the Journal of PMAV about a friend who got lost while prospecting.

He said many of PMAV East Gippsland branch members, including him, met in Western Australia in winter last year for a trip.

At Duketon, near Laverton, one of the party members, who he calls ‘Vern’, went off to detect. As he was about to leave the campsite, Wilkshire enquired if he had a twoway radio, compass, water,

food, snakebite, bandage and matches.

His response was “stop nagging me; I’m only going for two hours”.

Vern had none of those items except the GPS and a box of matches. He was still sure he would be safe because he had his new GPS with the camp coordinates marked on it.

Yet when he looked to use it to get back to the campsite, he found the only waypoint in his GPS menu was at Laverton, 120 kilometres to the east. This was a place he had been to a week ago.

The camp co-ordinates were nowhere to be seen on the GPS. “The GPS here works on satellite and it gets a fix on four or maybe six satellites up in the sky, up in space,” Wilkshire said.

“The prospectors are not waiting for the satellites to lock on. And that causes the machine not to malfunction, but to misread. It might send you to Germany or somewhere like that.”

Vern’s other option was to follow the sun. But he had not looked at a hard copy map of the area to get an idea of where the camp was in relation to the sun.

He was now lost.

“He made every mistake

he could make,” Wilkshire said.

The first thing prospectors should do when they get lost is remain calm. But Wilkshire said they do the opposite.

“They completely lose all common sense. They panic and they cannot think.”

It is essential for prospectors to carry a hard copy map to determine their location in relation to points of a compass, roads or tracks.

They must also mark the camp location on their GPS. It is also a good idea to observe the sun’s location before leaving the camp.

“When I walk out in the morning or the afternoon, I look at where the sun is and I say, okay, the sun’s on my left cheek. When I come back I’ve got to have the sun on the right cheek. It doesn’t tell you exactly where you’re going but it gives you an idea you’re going in the right direction,” Wilkshire said.

Being properly equipped is key. It is important to carry UHF radios or walkie talkies, matches and cigarette lighters for warmth, a watch, and food and water.

Spare batteries for the GPS will also come in handy.

Vern did not carry any of these things except the GPS. But he lost the GPS in

the outback when he set it down on the ground while resting. He had left his three UHF radios in the car.

According to the president of PMAV Rita Bentley, prospecting in Victoria is safer than in harsher outback regions like Western Australia. She said the state is more closely settled and many regional towns developed from goldfield tent cities.Victoria does not have the vast open spaces of the outback. The outback climate is also hotter and everything in the area can start to look the same.

She also implored prospectors to take every precaution possible before venturing out.

“We urge everyone to ensure they are thoroughly prepared for any excursion to areas they aren’t familiar with and never go into the outback along and without giving someone full details of your plans,” she said.

Vern eventually saw a herd of cattle, which was travelling on a well-worn cattle track. He followed the cattle. Shortly after he heard a motor start and ran towards the sound. It was a windmill, where a station hand had started the generator.

He was only four kilometres from camp when he reached safety. www.miningaustralia.com.au

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MANUFACTURING FOR MINING

More than just MACHINES

A new mining equipment manufacturing and service centre for the Hunter Valley is aiding growth in the region.

D

espite apparent turmoil gripping the global mining industry, Australia is still riding high on its resources and mining know-how.

Recognising the still high demand for Australian mining equipment, Valley Longwall International have taken a major step forward.

Valley Longwall International (VLI) have opened a new headquarters and service centre just outside of Newcastle, that will contribute an estimated to $150m to the local economy.

At the opening was the NSW minister for resources and energy Chris Hartcher, as well as members of local parliament, and a high level delegation from China’s Taiyuan Mining Machinery Group Coal Machine Company (TMG), which is a major shareholder of VLI. The new centre of excellence will supply specialised equipment and allied services to the coal mining industry, both here and overseas, predominately to China and the US. The new centre will manufacture and service Australian-made mining equipment such as drift runners, drill rigs and jugs.

The site will be home to over 200 staff, with more than 12 research and development staff at the Beresfield site.

“The centre of excellence will provide a major boost to the local Newcastle economy and it will be our centre for developing new technol12

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AustralianMining

ogy and driving safety improvements and training for our employees who work in the longwall coal mining industry,” said VLI CEO Brett Lynch.

VLI, a majority Chinese-owned company, operates specialise in drilling, diesel and conveyor systems generating over $60 million in exports. The NSW minister for resources and energy said the new centre signalled the growing trade ties between Australia and China. Previously the main trade between the Australian mining industry and China was essentially just ore, however now there is a growing focus on the additional skills that Australia’s industry can bring particularly in terms of technology, safety, and experience.

“Up until now there has been a concern that Chinese investment was simply on raw materials but now we’re seeing a new stage of Chinese investment.

This is exemplified in this centre, in resource enrichment and the development of ancillary industries to support the mining industry rather than simply mining itself,” Hartcher told Australian Mining.

“It’s very important and we would like to see it encouraged more and we want to see a far more mature relationship between our trade and China rather than simply ‘we’re the raw materials, we’re the producer and you’re the consumer.’

“This is now the start of a good two way trade.”

The site will manufacture and service coal mining equipment.

However Lynch added that even though there is now a greater Chinese influence and stake in Valley Longwall’s operations and focus “Australia will remain a home for VLI’s research and development centres covering underground diesel equipment, drill rigs, and bulk materials handling equipment”.

Hartcher said he expected the recent slump in the coal market to improve, and touted the new centre as proof investors had not lost confidence in the sector.

“The mining industry is cyclical, it’s essentially export orientated, we think the scene for the markets is still good, obviously it’s not as good as it was, but there’s also a need for mining for the domestic consumption so centres like this will always have an important place,” he said.

“They may not be on such a high as they used to be, but we expect that high to return.”

Lynch echoed this sentiment: “The industry will ebb and flow, but if we’ve got that quality base, that technical advantage, we will see the storms and troughs through.

“VLI is committed to delivering high quality, innovative solutions for all types of mining, transportation and bulk materials handling industries.

“That is why we have invested in developing this new Centre of Excellence,” he stated. www.miningaustralia.com.au

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AUSTRALIAN MINING ONSITE

Dark clouds with a

COPPER LINING Despite copper’s downturn and investment volatility, one junior is still optimistic.

Alex Heber reports.

T

he price of copper has fallen by about seven per cent in the past 12 months and gold is sitting around pre boom levels.

Both are heading towards a price trough.

Copper is often seen as a leading indicator for the world economy because the base metal is used in so many different types of manufacturing activities.

And while there is plenty of copper supply coming online in the next couple of years; the majority is coming out of high sovereign risk countries like Africa and South America.

Copper producers enjoy some of the largest profit margins of all the base metals miners; currently Australian based KBL Mining produces copper at $2.70 to $2.90 per pound KBL mining chief executive officer Trangie (Anthony) Johnston last month took Australian Mining on a tour of the company’s Mineral Hill mine located about 14

May 2013

AustralianMining

50 kilometres north-west of Condobolin in New South Wales’ Central West.

Since late 2010 KBL has been working to ramp up and upgrade the previously mothballed Mineral Hill gold and copper mine.

The site was closed in

2005 by former owners Triako because of falling copper and gold prices. Since bringing Mineral Hill back online, KBL has focused investement on exploration work and to the company’s benefit have discovered high grade gold mineralisations.

But small cap mining companies like KBL, have struggled to find investor funding over the last 12 months, “the market has been incredibly volatile,” Johnston explained.

“There hasn’t been a lot of love. There remains a lot of unlocked value in our

KBL has carried out around $120 million worth of equipment replacement on site.

share price,” he said.

“The share price is disappointing, but that’s the market and we’re working to improve profitability.

“There isn’t a big risk appetite out there in the market…and we’re caught in a trading channel with explorers,” Johnston explained.

The processing mill and site infrastructure alone has an estimated replacement value $120 million and the company is expecting a significant spike in gold and silver production over the next 6 months, Johnston stated.

“There’s going to be a variation in our production profile in the next twelve months,” he said.

To date, KBL has been hit hard by bureaucratic red and green tape which has slowed the company’s search for increased profitability, forcing it to delay mining its open cut, shallow depth, high grade Pearce deposit.

Continued on page 16 www.miningaustralia.com.au

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AUSTRALIAN MINING ONSITE

Around 300 000 tonnes of ore is processed per annum.

Continued from page 14

“We would’ve liked to start Pearce first but permitting, red and green tape has slowed the process,” Johnston explained.

“Regulations forced us to start with a lower grade body.

“It [Pearce] contains about 65,000 ounces of gold and would’ve been a good cash injection.

“It will lift revenue.”

Last year the company’s financing was heavily affected by the move to mine lower quality, high density copper bodies like its almost depleted Parkes Hill copper deposit.

The decision to mine the lower grade Parkes Hill was made so the company didn’t lose its mining permits, but Parkes Hill operations wrapped up last year before moving into the Red Terror deposit. By the end of the year F I C_ S u b c omining nt 0 theEtransition towards Pearce will begin.

The Pearce pit will be 150 metres deep and 120 metres wide, “but the grades are ten fold,” Johnston said.

And while underground development is costly, estimated to cost around $6000 per metre, a lot of the infrastructure is already in place.

“We’re in the position to press the go button on this body in the next couple of months,” he said.

The beauty of the Mineral Hill site, Johnston explained, is that the majority of the resources are less than 300 metres below the surface and the full potential of the site “remains unrealised”.

“These ore bodies form in clusters, when you find one, you normally find more.”

The recently discovered Red Terror deposit is located between two ore bodies KBL was already mining and has a very shallow profile and looks promising.

4 1 3 The . p company df P a has g e classi1 1 fied Red Terror as a primary

The majority of the resource is located less than 300 metres below the surface.

ore source with a higher gold tenure of 1 gram per tonne, in comparison to Parkes Hill’s 0.4 grams per tonne.

The mill

After conducting extensive upgrades to the onsite mill to the tune of $12 million, KBL is again looking at ways to maximise production through increasing both throughput and recovery.

Currently 300,000 tonnes per annum is processed at the mill which runs at a rate of 90-95 per cent copper recovery.

Running two separate streams, two different ore sources can be processed at once, and KBL is able to shut down one stream and keep processing going on the other.

The copper concentrate that is produced at Mineral Hill is trucked to Dubbo in bulk bags, containerised and then shipped to China for 0 / 0 4 / 2 0 1 3 , 3 : 3 9 processing.

KBL is currently looking

at way to reduce handling costs, cutting out bulk bags and bulk loading straight into containers is one option currently being considered.

Tailings

Tailings on any mine site are an operational and environmental exposure.

With the original tailings dam on site at capacity, KBL has recently completed Stage 1 of a new dam which will add another 8 to 10 years of capacity.

Mineral Hill works on a nil discharge policy, meaning no dirty water onsite is released.

Mineral Hill

Mineral Hill is a relatively small operation, with a total workforce of 85 people.

Primarily a residential mine, 85 per cent of employees live locally, and 25 per cent are indigenous Australians. : 0 The 1 Punderground M mining operations are con-

tracted out to Orange based company Pybar.

Johnston said the benefit of having a contractor is the access to equip in allows without huge outlays.

This year’s focus for KBL is to improve the site’s reserve position; the company will move to stretch reserves out in a bid to improve investor confidence.

The company has previously not been in a position to convert resources in a reserve because of start up costs.

“We’re a lot further ahead than surrounding counterparts, we’re now producing, and Pearce is going to come on line, we’ve got a rich resource base,” Johnston said.

Sorby Hills

KBL also has a 75 per cent stake in Sorby Hills, a lead and silver project located about 50 kilometres from Kununurra in Western Australia.

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May 2013

AustralianMining

www.miningaustralia.com.au

MENTAL HEALTH

HEALTHY mining minds The push for safety on site isn’t just in the mine but should also be in the camps.

Alex Heber reports.

I

n an industry that runs 24 hours a day, seven days a week, and 365 days a year, mining doesn’t stop for anyone.

While the average miner earns above average wages, many miners work longer than average hours, live away from family, and operate in highly dangerous or remote areas.

It is no wonder mental health issues are becoming increasingly prevalent in the industry.

Breaking the mould of keeping private life private, Australian Mining looks at some alternative ways to take care of employee wellbeing and mental health.

Drugs, alcohol and mental health

Mining FM recently reported on the issue of mental health in mining, looking at how the problem rears its head through the use of drugs and alcohol as a coping mechanism.

Mining is one of the most heavily tested industries for drug and alcohol use in Australia.

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AustralianMining

Every mining company has its own procedures for testing and management; some companies test all employees every morning as they pass through the gate, while others use random testing methods.

In an effort to curb alcohol issues, late last year Western Australia’s Pilbara mining region was slapped with tough liquor restrictions despite objections from mining giant Rio Tinto.

According to the West Australian, in an unsigned submission Rio said while it supported reforms it did not believe “heavy-handed” regulations were appropriate to address challenges the alcohol management group outlined.

“Appreciating that Rio Tinto’s mine site accommodation villages are not general public alcohol supply points, the introduction of the recommendations related specifically to the sale of packaged liquor and the prohibition of the sale and supply of liquor before noon will have a detrimental effect on our employees’ ability to enjoy a quality lifestyle while living and

working away from home,” the submission said.

Psychologist Cameron Brown from The Cabin rehabilitation centre in Thailand has worked closely with miners, treating many miners for drug and alcohol abuse and other mental health issues.

Discussing substance abuse he told Australian Mining that addiction is a sickness, not a problem to be dealt with in criminal proceedings. Rather it requires a multitude of strategies in order for it to be dealt with comprehensively.

“More and more research suggests that addiction is a brain disease, there are a lot of imaging studies of the brain that suggests addicts’ brains don’t work in the same manner that a non-addict’s does,” he said.

“There is more and more research to suggest that this is true but unfortunately it doesn’t make it all the way through to law or anything like that because it is so stigmatised, we are beginning to treat things like anxiety and depression as illnesses but when it comes to substance abuse we treat that as

a choice, which the evidence doesn’t say that is true.

“The evidence suggests that it is actually a misfiring in the brain’s reward circuitry.

“It needs to be started to be treated as an illness rather than as a criminal offence.”

Interestingly Brown said The Cabin sees a number of miners “who have been able to keep up with work and a ruse of wellness for a long period of time until one or a number of factors in their lives fall down whether it be financially, socially or health related”.

Functional alcoholism or addiction Brown explains is when someone drinks or uses drugs to an alcoholic or dependent degree but is “able to stop drinking in time to get to things like their mining site, do their shift, and do their rotation”.

A notion that is extremely dangerous in the context of mining, especially as drinking to excess and then stopping suddenly can lead to conditions like excessive tiredness, nausea, and shaking, Brown said.

“They’re at risk of rapid withdrawals or extreme comedowns and then presenting on job sites we can see a safety issue, especially when there is heavy machinery involved, there is already a small margin of error in these circumstances, let alone if people are even slightly compromised due to their alcohol or drug use, and that’s not even being absolutely inebriated.”

Brown said in many instances the stigma that surrounds mental health is stopping miners’ from seeking treatment.

“Supervisors need to learn to recognise the indicators of poor mental health,” he said.

“We don’t see a lot of referrals from companies, because I think of the stigma and the nature of the illness means individuals may either lose their jobs or resign from their jobs.

“We mainly see people self presenting to The Cabin for treatment.

“Some have taken extended time off, others have Continued on page 20 www.miningaustralia.com.au

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MENTAL HEALTH

Continued from page 18

the support of their supervisors but aren’t necessarily sent by their supervisors which is an issue within itself because that stigma then remains and continues and so does that fear factor around asking for help.”

Testing the limits

Random drug and alcohol testing does defer some from dabbling in banned substances and it covers the company from an OH&S perspective but it doesn’t go a long way in treating the underlying issues.

“We are looking at the safety of the mine in terms of those random drug tests, but it’s not about employee wellbeing,” Brown stated.

“At the moment we do see a lot of people who work in the mining industry who haven’t had any help or been caught in a dirty drug or alcohol screen, and they’ve been able to work through.

“In my experience I haven’t seen many people get caught by those tests.

“You have to question the efficiency of a random screening that doesn’t catch the people that it needs to,” he said.

Brown told Australian Mining that “one of the most commonly used illicit drugs for Australians is methamphetamine, which people use to a functional degree as well to keep themselves awake”.

“Marijana is also used to [assist] come down and relaxation,” he said.

The FIFO lifestyle can put additional strains on both mental and physical health.

“We do find that alcohol is the biggest one, accounting for more than 50 per cent of the people we see.”

Jennifer Bowers is the chief executive officer of the Centre for Rural & Remote Mental Health Queensland, told Australian Mining that drug and alcohol use on site is usually a means of masking deeper issues.

“Drugs and alcohol are an issue and will only exacerbate a pre-existing issue or problem,” she said.

Bowers agreed with Brown stating that drug and alcohol testing isn’t the answer to dealing with mental health issues.

“People are getting very clever about circumventing drug and alcohol testing,” she said.

“Education and raising awareness of the consequences of drugs and alcohol and what they do to you mentally and physically is the best way to deal with it.

“Any problem can escalate out of control if you’ve had a few drinks,” Bowers warned.

Male/female divide

The majority of mining patients Brown treats at The Cabin rehabilitation facility are men.

He explained that this is not just because the majority of the sector’s employees were male but also because women are normally better at asking for help before a crisis.

“Research shows that women are better at self care and seeking out health when they need it, rather then men who tend to leave it until the problem reaches crisis point,” Brown said.

Remote and offshore support service company Compass provides holistic physical and mental programs for mine sites.

Australian Mining spoke to the company’s active and life coach Jessica Pereira who

is currently based on BHP’s Area C exploration operation outside of Newman in Western Australia.

Pereira said when it comes to mental issues she sees a higher amount of males presenting.

“There seems to be more males with mental issues,” she said.

“Male suicide and depression rates are much higher.

“Females tend to suffer more from eating issues, whether it be over eating or otherwise,” Pereira stated.

Responsible rostering

Work rosters and shifts can cause depression and anxiety in miners, Brown stated.

But he was quick to reiterate that “research into the area of mining health is relatively small, but research into other shift work like doctors and nurses shows that there is a higher percentage in that population of things like mental illness, depression,

and anxiety because of the effects shift work has on the body”.

“Work rosters don’t have a good affect on mental illness, and poor mental health does have a flow on affect to substance abuse,” Brown said.

Pereira said rosters have a significant impact on miners’ mental health. Prior to working on site at Area C she was based at BHP’s Port Headland rail project.

The majority of the workers at the rail project were on a 4 week on 1 week off roster, and she said it really took its toll.

“It was really harsh on the miners because there’s no life balance, all there doing is working,” she said.

“Drinking, social issues, relationship struggles, and fitness problems all began to arise.

Area C currently runs an eight days on, six days off rotation and the employees are on the majority seem much healthier, Pereira said.

“The longer the roster the worse it is,” she said.

Pereira said mental health issues are even more prevalent in offshore workers because of isolation issues, “they have nowhere to go”.

Home and away

Many mine sites are realising the importance of developing a “home away from home”, Pereira stated.

“In the last ten years there have been massive changes to health and lifestyle on mine sites,” she said.

“Mining companies are

Top tips for managing mental health 1. Look at physical health Diet: Healthy eating, healthy mind Many mine sites have already employed dieticians to ensure meals provided are healthy and eating strategies are in place.

Pereira said on the BHP site she works on they have implemented diet plans and a traffic light nutrition system. She said she goes through menus with the site’s chefs daily and labels food as eat most, eat moderately or eat less so miners are aware of what food choices are best.

Exercise: Active body, active mind Going to the site gym, doing some laps in the pool, having a game of touch football with your colleagues or even gentle stretching in morning prestart

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AustralianMining

meetings, all go a long way towards improving state of mind.

At BHP’s Area C Pereia said compulsory stretching exercises are done at pre-start meetings daily because “the more you work the more you shorten in your muscles”. On site the miners are supplied with all the facilities and equipment needed to safety stretch and exercise including foam rollers, mats, fit balls, and an oval. Pereia added that many weight and health issues are a symptom of poor mental health and that simple exercise can be a good way to promote wellbeing.

Alcohol intake Limit alcohol consumption, it can increase the effects of fatigue and cause mental issues to be exacerbated.

2. Develop communication plans • Family – Talk to family members, be open and honest.

• Articulation – Learn to communicate your problems or concerns.

• Mates – Build a support network on site

3. Take control of your finances Bowers explained that “finances put a huge amount of stress on people”.

She recommended miners plan financial matters and be in control because “when you’re in control you know what’s happening, you can do something about it, it’s when it gets out of control that it becomes a serious problem”. www.miningaustralia.com.au

MENTAL HEALTH

bringing in activities to keep miners interested and active, taking their minds off being away from home.”

This has included building movie theatres, ovals, driving ranges, organising fun runs, and scheduling yoga classes.

Periera said the shift towards healthier sites has largely been assisted by the WA mining boom.

Managing expectations

Many workers entering the industry have unrealistic expectations about working conditions, pay rates and lifestyle, Brown explains.

“A lot of FIFO and DIDO workers tend to be career changes, so they may have expectations about the amount of money they can earn vs the amount of effort,” he said.

“A lot of people come in and say: ‘All I’m going to need to do is drive a truck for 2 or 3 weeks and then I get a week off, how hard can it be?’ They don’t realise the effect long shifts have on their bodies, and living in remote andA rural M 0 5communities 1 3 _ 0 0 0 where _ MI they may not have regular ac-

cess to other people,” Brown explained.

There seems to be a real disconnect between what a new employee expects the industry to be like and what it is.

“For a lot of FIFO or DIDO workers they think working in mining is going to change their situation, when in fact it turns out to be far more stressful then they thought it was going to be.

Brown recommended a few simple strategies which can be implemented to set expectations straight.

“Pre-emptive mental health checks can help, to make sure employees are aware of what they’re getting into.”

He said there needs to be more pre-filtering done by mining companies.

“The expectations can definitely be changed by a little pre-education,” he said.

Bowers operates on the front line of mental health in mining and told Australian Mining “psychological probN lems - can 1 lead 2 0 to 1 3safety - 0 4risks - 1 8 and accidents”.

anxiety in a new and strange and remote environment is decreased quicker, they are well prepared.”

A good dose of reality

Companies need to take an active approach to workers’ wellbeing.

“Psychological health is just as important as physical health,” she said.

“We’re not saying it’s terrible and everyone’s suffering, we’re saying there are ways of supporting people and we should be organised.”

Being organised and prepared is one way miners can help T 0 9manage : 2 6 : mental 2 6 + 1wellbe0 : 0 0 ing.

“We write induction books so employees are well prepared, so you’re well prepared about what to expect onsite, to understand for the climate, the environment, how to plan for R&R, communicate with your family and plan your finances,” Bowers stated.

“If they are organised and they know what to expect their levels of stress and

Taking an active approach to assist workers seek treatment is important.

“There is a stigma in the general population around seeking treatment, particularly for depression and anxiety,” Brown stated.

“We talk about things like diabetes and bowl cancer but when it comes to depression and anxiety people think it’s shameful because there is that stigma that people see it as a weakness of character rather than of physical ability,” he said.

Through the Centre for Rural and Remote Mental Health, Bowers has developed an all encompassing and extremely positive mental health safety program especially for mine sites.

She said when dealing with mental health and wellbeing in a mining context the approach needs to be proactive.

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SA/NT SPOTLIGHT

South Australia’s IRON ORE PENINSULAR South Australia is looking to steal Western Australia’s iron ore mantle.

A

unique partnership and flow-on economic benapproach to the de- efits to the region.” velopment of iron The Port Spencer deore deposits on the Eyre Pe- velopment is being pursued ninsula in South Australia is with this in mind. pushing the region into the Deep sea port progress international spotlight.

Centrex Metals has ex- The $250 million privately tensive tenement holdings funded multi-user bulk comover iron ore resources and modity facility located north exploration targets on Eyre of Port Lincoln will be the state’s first port capable of Peninsula.

Not only is the South direct loading Cape class Australian resources firm vessels.

Designed to incorporate spearheading a successful exploration drive in the re- leading practice in ore storgion, but with its Chinese age, handling and associated partners, it is developing infrastructure, the developa new deep water port to ment involves construction open a direct path to global of a 515 metre jetty into deep water. markets.

“Port Spencer will proThe sum of these activities is set to transform the vide a socially acceptable, Eyre Peninsula and encour- environmentally responsible age accelerated development and economically viable export opportunity for the rein the region.

There is already sub- gion,” Hammond said.

“Recent exploration has stantial exploration and assessment of mineral reserves shown that the Eyre Peninbeing undertaken. While sula has extensive minerals most of the focus is on iron deposits that can be develore, exploration activities oped if ore can be efficiently indicate the potential for a sent to market. The port will range of other minerals such also assist the area’s cropas graphite, kaolin, copper, ping activities, by providing gold, nickel, manganese and ready access to export markets. other base metals.

Centrex Metals acting chief executive officer, Ben Hammond said the company was seeing the benefits in pursuing a “broader supply chain approach” to mining development.

“The Eyre Peninsula is home to more than 34,000 people and has established agricultural, tourism, fishing and aquaculture industries,” he said.

“There is substantial exploration taking place and exciting potential. However, mining must work in with other industries and the community to provide greater overall results The operation is only 100kms from port.

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“We are currently in discussions with the FREE Eyre grain consortium which is involved in the port design.

“Port Spencer offers an efficient route to market and we are open to discussions with other potential port users.”

This specific site was chosen after a review of the existing and potential South Australian port sites showed Port Spencer to be the optimal development, taking into account economic, social and environmental considerations.

At start up, Port Spencer is expected to be capable of loading approximately 20 million tonnes of bulk exports per annum with an initial loading capacity of 5000 tonnes per hour for iron ore and 1400 tonnes per hour for grain. The port design also allows for low-cost expansion in the future. State Government approval was received just prior to Christmas 2012 for the first phase of the development. At the time of publication, Federal Government approval under the Environmental Protection and Biodiversity Conservation Act is being sought.

Centrex Metals hopes to commence construction at Port Spencer by the fourth quarter of 2014 and be operational by 2016.

Iron ore state of play

Approximately 40km from the proposed port site is Centrex’s Fusion Magnetite Project, of which the port is a vital component.

In February this year, the company announced estimated resources of 680 million tonnes following recent drilling at three major deposits within the Fusion project.

Drilling has also commenced at two other deposits which have the potential to add to this figure.

“The Fusion resources estimate shows that high quality magnetite concentrate grading 67 per cent iron could be produced at a relatively coarse grind size,” Hammond said.

Centrex has a number of other iron ore projects on the Eyre Peninsula which would also benefit from Port Spencer including the Bungalow and Minbrie magnetite deposit which is located nine kilometres north of Cowell and around 100 kilometres from the proposed Port Spencer facility.

It has an estimated resource of 338 Mt and is aimed to support a five Mtpa magnetite concentrate operation.

The proposed Wilgerup direct ship hematite iron ore operation consists of an open cut mine with resources of around 13 million tonnes.

State Government min-

ing approvals were secured in 2011.

Still in its early stages Kimba Gap the first of four diamond drill holes recently confirmed the presence of a significant iron ore deposit.

Kimba Gap is located relatively close to existing iron ore operations in the Middleback ranges.

Overseas support

The mining industry has attracted the lion’s share of Chinese investment into SA in recent years with Centrex receiving strong overseas investment backing.

In a joint venture with Chinese based Wuhan Iron & Steel Group Co the world’s 4th largest steel group, Centrex holds a 40 per cent interest in Fusion, Wuhan maintains a 60 per cent stake.

WISCO paid $78 million to Centrex for its 60 per cent share of the project and is also funding the first $75 million of development under the joint venture.

Centrex also holds a 50 per cent interest in the Port Spencer development with WISCO holding the remaining 50 per cent and contributing the next $4 million in development.

Baotou Iron and Steel, another Chinese major, has a current 30 per cent interest in Bungalow with an option to move to 50 per cent by completing funding of the first $40 million of development. www.miningaustralia.com.au

australian owned

SA/NT SPOTLIGHT

Ahead of the pack Graphite is a lesser known mineral in Australia’s industry, but it’s vital for a range of industrial products

T

he Eyre Peninsula is not wellknown for its graphite deposits, but over the last few years a number of companies have been working behind the scenes to build up the potential of this fledgling industry.

Among graphite companies operating in the area, Archer Exploration, Monax Mining, and Lincoln Minerals have all reported positive results over the last few months, and a number of new finds have spurred the industry.

In recent updates to the market Monax said it was “excited” by a new round of drilling that had been completed, and consultants told Archer it had uncovered a product that was “likely to be highly sought after by specialist manufacturers and end-users”.

“If Archer is capable of replicated these results consistently, then the company will have a unique product in the natural graphite space,” they said.

The A D assessment _ A M S U PofAArcher’s P R _ 1 busi3 ness by Tech Minerals Consulting

1 2 0 1 3 - 0 3 - 1 1 T1 8 : 2 8 : 0 4 + 1 1 : 0 0 Despite slipping off the world stage for sometime, graphite is now making a come back and supporting the Eyre Peninsula as well.

Group follows bullish comments by the company itself, which has talked up discoveries of “exceptional graphite concentrates,” some of which were considered “very rare”.

Along with Archer and Monax, Lincoln has also confirmed that new drilling has seen it define a 2.2 million tonne resource for its Kookaburra Gully project.

“Lincoln is very optimistic that drilling planned for Kookaburra Gully Extended this year will define further graphite resources.” it said in a recent update.

While there’s still much work to be done, the early signs for this emerging industry are strong, and point to the creation of a strengthening new sector in South Australia.

Looking back over the history books, graphite is not unknown to the Eyre Peninsula, but weak demand has seen the industry fade to the outskirts of public attention.

Potential deposits were found in the region as early as 1910 and after intermittent work over the years a boom in demand created a flurry of activity in the mid to late 80s.

The upswing was short lived however, with a sharp decline in world prices in the early 90s pushing most projects into the background.

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After this period there was essentially no exploration and no project development, and prices did not start to recover until around 2005.

Over the following five years prices boomed again, with demand for high quality product peaking at around $3,000t.

This boom was partly due to the commodities super cycle that has since cooled off, but it was also based on a fundamental demand for graphite used in batteries, steel products, and other industrial goods.

This fundamental basis is likely to support prices for the future, and while demand has dipped from where it was five years ago prices remain at a relatively healthy level and well above the historical trend.

In another positive for the industry, no new mines were produced during the last price boom and producers say the lack of new supply should play into their hands.

With most of the new work along the Eyre Peninsula still in the development phase it will be some time before the promise of this industry is made clear.

But if early results are anything to go by, the sector looks set to play a considerable role in the future of mining on the Eyre Peninsula. www.miningaustralia.com.au

SA/NT SPOTLIGHT

Opening up the North: a blueprint for development There is a concerted push to open up the Northern Territory on all front. Vicky Validakis reports.

A

secret draft economic policy document outlining plans to greater develop the Northern Territory was leaked earlier this year, with debate raging on how best to open up the wild state to economic benefits of the mining boom.

The report stated that the north of Australia was often considered the ‘last frontier’ and is a region rich in potential and competitive advantaged through its ‘significant natural, geographic, strategic and other attributes.’

It says that by 2030, the region could unlock major economic value through the growth of an energy export industry worth $150 billion, tripling the exports of resources to add $100 billion to the economy, and by growing the tourist economy.

“Capitalising on these opportu- The potential of the Northern Territory’s minerals are only just being recognised. nities will require a strong development platform for the long term sus“This includes governance, pop- basic set of infrastructure and water tainable A M 0 5development 1 3 _ 0 0 0 _ofE Northern NE 1 ulation 2 0 1growth 3 - 0 4and - 1streamlined 8 T 1 0 : 3land 6 : 1 facilities.”

4 + 1 0 : 0 0 Australia,” the report said access legislation, as well as a better The document says: “The Coali-

tion would, in its first term, propose to look to develop key urban zones – Darwin, Cairns/Townsville and Karratha – with the aim of substantially increasing the population in these areas.

“In conjunction, the current immigration policy, relocation incentives and personal tax incentives should be reviewed, along with the planning of economic zones centred around these urban areas.

“Relocate substantial and relevant components of federal departments and commonwealth agencies, such as the CSIRO, to key urban zones in northern Australia.”

The draft discussion paper also suggests an audit for a 15-year infrastructure plan for new highways, rail, ports, dams and world-class education facilities to support a major population boom However, with billions of dollars required to undertake such a

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SA/NT SPOTLIGHT

huge task, what is the best way to go about it, and will it work?

Weighing in

Two of Australia’s most powerful mining entrepreneurs, Andrew Forrest and Gina Rinehart have outlined their own blueprints for developing the north, with the main theme centred around how to get people to populate the state.

Forrest says the north will only grow in human terms if people are encouraged to live there.

To this end, he wants tax breaks for people looking to build a second home in the region, believing this will help create investment, infrastructure and interest in living in the north.

Forrest claims workers were being turned off investing in the region because second homes are treated “like a luxury property, like someone who wants to invest in a ski chalet in the mountains”, ntnews reported.

“And so they take the Fly In, Fly Out option, whereas we should be encouraging through our taxation system everything we can to build up remote communities and we can only do that most effectively in the longer term with investment.

“Apply first home-owner benefits to people who only invest in one, two, three or four houses. These are the people who are directly for the permanence of building the communities.

“Don’t look at that like a second-home luxury, look at it as a building Australia’s frontier investment.

Allow them the breaks they’d get on a first home. They’re not going to be able to buy a place in Thredbo; these are applied to parts of Australia where the government knows you need new investment.”

Forrest said while FIFO work did serve a purpose, more incentives need to be afforded to workers so they can invest in communities.

“I’m fairly squarely in the camp that Fly In Fly Out workers are necessary when there’s precisely no other choice, but I’m more deeply convicted that you do everything you can to build up the community in which you’re working from or visiting.

“And you encourage your workers to invest in those communities.”

Rinehart on the other hand wants a special economic zone for the region, with special tax incentives and red tape exemptions.

She claims this will drive investment and economic growth into the region, and more recently these claims have been supported by Australian think tank, the Institute of Public Affairs, and others. www.miningaustralia.com.au

Australia’s top end holds an unknown level of mineral wealth.

As the chair of Australia’s For the Northern Development & Economic Vision, Rinehart has spent years campaigning to re-establish the north as a powerhouse in the Australian economy.

“In this time of record debt in Australia, added to by large state debts … it is critical indeed should even be obvious that we find and introduce ways to increase investment in Australia, and consequently significantly increase revenue,” she said.

Rinehart says SEZs, where regulations relating to customs and foreign investments are relaxed will encourage a free market economy and in turn, bring more settlers to the region.

“SEZs are all over the world, thousands of them, and when these are set up to encourage investment have been of considerable benefit to their respective countries,” said Rinehart.

“We have vast resources in our north, but only about five percent of our population live there,” she said.

“Our north is close to our Asian neighbours with their growing needs. But we cannot sit back and think that this will automatically encourage investment and opportunities for growth and increased revenue, unless we can reduce our costs and become more cost competitive.

“The North has a great spirit.

Getting the policies right is critical to the success of encouraging more wealth generation in this region, and to me that means less regulation, less taxes, which are critical to being able to be cost competitive.”

Rinehart said she was hopeful by the Coalition draft papers.

“There’s certainly positives happening,” she said. “I hope they keep developing well and I hope this will give those already living in the north

and those who move there, too, a much better chance.”

Politics

A Cabinet sub-committee has been formed by Northern Territory Chief Minister Adam Giles to progress growth in the Northern Territory economy with a focus on mining, energy, tourism, education, food and exports.

A D _ MA N MB O G MA Y _ 1 3 .

Adam Giles will chair the Cabi-

net sub-committee, with the other members being Treasurer David Tollner; Minister for Mines and Energy Willem Westra Van Holthe; Minister for Lands, Planning and the Environment Peter Chandler; and Minister for Tourism and Major Events Matt Conlan.

Supporting the sub-committee is an expert panel which includes Doug McTaggart of Galibier Partners and former NT Chief Minister Paul Henderson.

“The announcement indicates the focus on development that an Adam Giles led government will have and is welcome recognition of the problems which are currently stifling investment, exploration and acting as a disincentive to growth and revenue,” Imants Kins, co-chair of ANDEV said.

“Adam Giles has shown great leadership in this initiative. There is real momentum to make something happen in the North given this announcement, plus the preparation of the Federal Coalition’s draft discussion paper on developing Northern Australia,” Kins said.

“Northern Australia has the potential to drive the Australian economy in coming decades, and this is p the d f type P aofgvision e 1 that 9 / can 0 4make / 1 3it, happen,” Kins said.

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AustralianMining

May 2013

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COMMUNICATIONS TECHNOLOGY

THE FUTURE of mining?

The rollout of the NBN is providing miners with more scope for automation and remote control operations.

E

nhanced communication technology has not only improved mine site safety but transformed the way safety is managed.

Radio communication is one of the major technologies deployed on site and is critical for timely communication and OH&S requirements.

But with the deepening of operations and the implementation of automated machinery the scope of communication requirements is widening and increasingly advanced technology is necessary.

The roll out of the Federal Government’s National Broadband Network is expected to create a wealth of opportunity for the mine sites it touches, and the increased bandwidth that comes with the NBN will enable the facilitation of increased remote mining operations. Currently most mining companies have dedicated network infrastructure, be it satellite or fixed line. But according to mining boss and entrepreneur Wayne Gerard “both those solutions are not scalable to support the level of whole of mine automated operations”.

Gerard has previously told Australian Mining that future innovation in the mining industry will be heavily reliant on the availability of the NBN in mining regions.

“Automation and remote operations are set to transform Australian mining and with it comes the demand for fast broadband capability,” he said.

“For the mining industry the NBN is an integral part of the need for growing efficiencies, improving safety and maximising return on investment.”

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AustralianMining

Gerard also said ensuring the NBN was available in rural areas was key to developing mining towns and making them attractive places to live and work.

The builders of the network, NBN Co told Australian Mining that they expect the high-speed network to “have a profound effect on a range of industry sectors”.

An NBN Co spokesperson said the network is designed to provide fibre-to-thepremises connections for up to 93 per cent of homes and businesses with new highspeed fixed wireless and satellite services for the remaining seven per cent.

“This means people should have access to the NBN no matter where they live or work,” she said.

A number of these are in fast-growing areas developed to support the mining community. According to a recent Macquarie Telecom and Deloitte Access Economics NBN Business Readiness survey, 41 per cent of respondents believed the roll out of the NBN will change where and how people work.

The research found business-

The NBN will allow Australian miners to have greater interconnectivity with global operations.

es expect the NBN to open up new geographical markets and the increase the prevalence of working remotely.

Faster and more reliable internet in mining communities is expected to increase the mobility and flexibility of the labour market.

Dubbed the digital disruption, Deloitte economist John O’Mahoney said the NBN provides miners with the opportunity to become more efficient through the implementation of automation technology which will decrease extraction costs.

With lower commodity prices, high labour costs and deepening seams, minimising costs is necessary for miners to remain competitive in Australia.

According to the report, the NBN is a “critical driver of digital disruption” and will enhance the development of new technologies and innovations which will not only

The NBN will allow for increased remote controlled operations.

change business models but also the Australian economy.

But O’Mahoney expects the changes within the mining sector to take place much slower in comparison to industries like finance and retail because mining is less exposed to short burning technology like mobile, social media, and efficiency applications take a lot longer to develop and prove.

While many miners don’t want to be the industry’s guinea pig for new technology, others such as Rio Tinto are leaping head first into this new automation wave.

Rio Tinto’s Mine of the Future Program aims to turn traditional mining on its head by creating safer, efficient and more intelligent mines.

As high grade ore bodies are becoming harder to find the company’s focus on remote communication improvements is key to maintaining its competitive advantage. Its sites are becoming increasingly automated and in some cases are supported by highly trained staff located off site in control rooms thousands of kilometres away. Developments in communication technology has meant these miners can increasingly operate driverless trucks, trains and drilling rigs. Rio’s Perth operation centre is already co-ordinating operations across the vast Pilbara region.

But for these types of operations to be expanded and

downtime to be minimised highly dependent communication systems need to be in place.

“Really the mining industry is going to benefit a lot from having access to the bandwidth that the NBN will provide to enable these automated remote operations,” Gerard said.

The establishment of remote operations may also go a long way towards alleviating the challenge of sourcing skilled labour for mine sites as well as enhance site safety, removing personnel from dangerous activities.

Skilled labour is a significant challenge for all companies, particularly mining companies,” Gerard said.

BHP is also focusing on automated equipment and new technology as it moves toward “next generation mining”. BHP vice president of mine optimisation Gavin Yeates said the company was looking to new technology to improve its business.

“We are piloting and introducing new technologies in selected assets including integrated remote operating centres, autonomous haulage, autonomous drilling and different ways of evaluating and modelling ore bodies,” he said.

“We’re at the cusp of moving to what we’re calling ‘Next Generation Mining’.

This is driven on one hand by technology advances in autonomy and sensing.” www.miningaustralia.com.au

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AUSTRALIA’S ECONOMY

The STATE of our STATES M

ining is helping the economies of Western Australia and the Northern Territory pull ahead, but Queensland has slipped into second gear, with a ‘three-speed’ economy starting to emerge, according to CommSec. In its latest State of the States report Commsec said WA was the best performing state in the nation followed by the NT, and both regions were expected to hold onto top spot throughout 2013.

The ACT came in third strongest, slightly ahead of the three largest states: New South Wales, Victoria, and Queensland.

Tasmania remains locked firmly at the bottom of the rankings, while South Australia is running second-last.

Overall the latest Commsec report showed while mining activity may be cooling from the highs of previous years, the industry remains vital to the economy and its influence continues to separate strong and weak performers.

“Increasingly Australia’s state and territories appear to be breaking into three distinct groups,” Commsec said.

“The key mining economies of WA and the NT are preforming strongly and are firmly fixed at the top of the economic leader-board.

“For the bottom grouping of states – TAS and SA – joint action by the Federal Government and the individual state governments will probably be necessary to lift economic momentum and overall performance.

“Without concerted action to boost economic activity, the risk is that a widening gap emerges between the strongest and weakest regions, entrenching problems over the medium and longer term.”

All eyes on WA and NT

Positive numbers in economic growth and retail trade helped the NT to pull into second place behind 30

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AustralianMining

Mining is continuing to change the state of play, now creating a ‘three speed’ economy.

Iron ore has helped Western Australia become the best performing state economically.

WA in the state rankings.

Overall WA again led the pack on equipment investment, and it was joined at the top by the NT, with both states showing their resilience by posting growth on the same period last year.

While all states posted positive equipment investment, spending for the December quarter was lower than a year ago in TAS, SA, QLD, and NSW. TAS was also the weakest on construction work, with overall activity coming in 7.2 per cent above the decade average. Next weakest was VIC, where work was 19.2 per cent above the decade average, followed by SA, which was up 25 per cent on the decade.

“At the other end of the scale is Northern Territory where construction work is almost double (up 90.9 per cent) on the decade average as well as being up 97.7 per cent on a year ago,” Commsec said.

“Next strongest is Western Australia (up 79.2 per cent on the decade average), QLD (52.1 per cent) and the ACT (52.1 per cent).”

Heading west and north

While population growth in all states was above normal for the quarter, the resource states of WA and the NT were again clear winners, with QLD also posting strong growth.

“WA is the clear leader in population growth,” Commsec said.

Not only is the annual growth rate of 3.45 per cent the strongest in the nation, it is also more than 48 per cent above the decade average.”

While QLD inched just head of the ACT in raw data, Commsec rated the ACT second in population growth due to the improvement on the state’s baseline average.

“Annual population growth of 2 per cent is third strongest and this is 34 per cent above normal.”

Looking forward

Overall Commsec said the data pointed to a strengthening ‘three-speed’ economy, with WA and the NT

Queensland’s mining slowdown has hampered the state’s economic growth, putting it behind WA.

in the lead, and TAS still languishing at the bottom of the rankings. And while the ACT was in third spot, weaker job and housing markets weighed on its performance, brining it closer in line with NSW, VIC, and QLD. “Each of these economies has particular strengths but also areas where it could be performing better,” Commsec said.

“For instance NSW has a solid job market and rising population growth, but overall economic growth is near the bottom of the leader-board with retail spending and construction work.

“Victoria continues to perform well on housing indicators – new finance commitments and dwelling starts.

“But commercial construction and engineering work are under-performing.

“In Queensland, the resources sector is supporting investment and engineering work while retail spending is in the top half of the states and territories.

“But housing activity is weaker than other economies while the jobless rate remains historically high.” www.miningaustralia.com.au

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SAFETY

Forty years of FATALITIES W estern Australia accounts for a huge portion of the country’s mining industry, and for the most part this boon has delivered plenty of positive news for the state.

But safety in the industry underlines every job and economic benefit delivered by the sector, and without an industry where workers go home safe every night, the gains registered by the industry are for naught.

Safety is the biggest focus for every company in the industry and rightly so, and newly acquired figures obtained by Australian Mining show that while there are still improvements to be made, the WA industry is getting safer.

After collecting every safety report filed since 1967 we’ve been able to put together a detailed picture of how, why, and when workers died on WA mines in the last 45 years.

Overall it’s a story of improving trends and lower fatality rates, and last year the industry saw the fruits of its labour after celebrating the first fatality free year since records began.

But while 2012 was a year everyone can be proud of the years preceding it saw a number of workers loose their lives, a strong reminder that while safety may be improving, it’s not something that can be taken for granted.

Cause for concern?

Complaints are sometimes aired about

THE STATS: WA FATALITIES SINCE 1967 Contractor fatalities: 119 Employee fatalities: 241 Deaths by work type Surface: 216 Underground: 146 Deaths by commodity Iron ore: 90 Gold: 126 Nickel: 75 Bauxite – Alumina: 12 Heavy Mineral Sands: 8 Coal: 5 Salt: 4 Tin-Tantalum-Lithium: 4 Base Metals: 3 Clays: 1 Dimension Stone: 3 Diamonds: 3 Construction Materials: 8 32

May 2013

AustralianMining

the working conditions of contractors compared to employees of actual mining companies such as BHP Billiton or Rio Tinto, and statistics show the fatality rate for contractors has been on the rise over the last few decades.

But while contractor deaths have slowly risen, employees have accounted for almost two thirds of all fatalities since records began, with contractors making up the final third.

In total 241 mining employees have died on WA sites since 1967 compared to 119 contractors, but a look at how these deaths were recorded over time highlights some interesting trends.

Time after time

Employee deaths far outweighed contractor fatalities for the first 23 years up to 1990.

Only at one point, in 1980, did contractor fatalities outweigh employee fatalities, and even then the margin was thin, with each category recording three and two deaths respectively.

The largest gap during this period was in 1975, when zero contractors died compared with 17 employees.

By 1990 the tides start to turn however, with five contractor deaths and zero employee deaths, and 1991 marks the only point in the last 23 years when employee fatalities outnumbered contractor deaths.

The biggest margin between each work types in this period was recorded in 1997, when nine contractors died compared to three employees.

Changing conditions

These statistics are naturally skewed by the proportion of workers filling roles in each segment, and trends in the data reflect changes in the makeup of the workforce more than an increased or decreased risk to a certain type of worker.

Accurate labour figures for the industry are difficult to obtain, partly because of confusion over data collection and the risk of ‘double counting’ records, and partly because companies are unwilling to share commercially sensitive data.

But despite the confusion one broad trend is clear from work completed by the WA Government.

Throughout the 1980s and earlier the contractor workforce was almost insignificant compared to employee numbers, but over time this ratio has

Australian Mining dives into the history books to explore how, why, and when people died in the WA industry.

reversed, and from around 2001 contractors have come to represent the majority of workers in WA. This trend is mirrored in the industry’s fatality records, with contractors slowly accounting for more deaths as their workforce number rises.

Changing markets

In a similar way fatalities via commodity have shifted gear as market forces switch to favour the expansion of the iron ore industry.

Overall gold accounts for the majority of deaths since records began, with 126 fatalities in the sector compared to 90 for iron ore and 75 for nickel.

But a quick look at the data over the last ten years shows a much different story, with iron ore overtaking gold as its workforce expands rapidly.

The margins are close, but over

the last ten years iron ore has account for 17 fatalities, while gold and nickel have seen 14 and six deaths respectively.

Into the future

Despite the peaks and troughs over the years one thing is clear from the data.

Whilst the mining industry’s workforce bulged over the last decade fatalities have not matched this expansion, and if anything the state of safety is improving at the same time as it gets harder to contain.

Last year was a good year for the industry, with no fatalities recorded, and so far the sector has made a good start to 2013.

But on an issue as important as this the work is never over, and with only one fatality free year in the last 45 years, there are still many improvements to be made. www.miningaustralia.com.au

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SAFETY

The burning message The focus on fire protection shouldn’t just be a flash in the pan, but continual. Vicky Validakis writes.

T

ArcAflashes of fnon-fatal electrical D _ Aare M Ethe N most E F Ecommon B _ 1 3cause . pd Pa g e 1 injuries.

2 3 / 0 1 / 1 3 , Image courtesy Electrical Safety Forum.

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he overall number of burns recorded in the Bi-National Burns registry for 2011 was 2480. Of these, 9.6 per cent of all adult burn injuries occurred in the trade and service area, while 5.4 per cent were accounted for in the industrial and construction sectors.

Arc flashes and flash fires are the most common types of fire that cause injury and harm on work sites.

An arc flash is when uncontrollable amounts of electric current flow through air connecting through dust particles between two conductors and can result in an intense flame that burns at 20 000 degrees Celsius hotter than the sun.

A flash fire is a rapidly moving flame front which can be a combustive explosion.

According to Dr Howard De Torres a plastic reconstructive, burns and cosmetic surgeon, people working in industries with fire hazards should not wear cotton or synthetics 9 under : 1 0 anyAcircumstances.

M “The most important thing is to

avoid inappropriate clothing,” he explained.

“It’s very important to wear protective clothing.

“Unpredictable fires can cause serious burns – especially because the individual thinks the chances of them are small and are subsequently unprepared. Sometimes, they’re even dressed in cotton and as anyone with kids knows – cotton explodes and is not recommended to be worn anywhere near any kind of fire.

“Burn injuries can lead to skin grafts, infection, months in hospital and even amputation. Even if the individual thinks the chance may be small, why would you take the chance? Prevention is definitely better than the cure.”

However, in hot climates or extremely labour intensive work, some tradespeople forgo the traditionally heavy fire retardant work wear in order to stay cool and comfortable.

This included opting for cotton based work wear with no fire retardant (FR) qualities, which is one

www.miningaustralia.com.au

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SAFETY

Breathable fire retardant workwear.

of the worst types of clothing to wear in case of a fire.

Hard Yakka has launched Hard Yakka Protect with TECGEN SELECT, a new range of inherent FR workwear that offers oil, gas, electrical and mine workers the best combination available for comfort and protection from arc flash, flash fire and heat stress.

The new FR range from meets and exceeds the most stringent fire safety standards, currently set in the USA (including NFPA 70E and NFPA 2112).

Hard Yakka Protect with TECGEN SELECT fabric technology also meets Australian and New Zealand Standards for High Visibility AS/NZS 4602.1:2011.

In addition to great protection offered, the new garments are the lightest weight FR workwear available in Australia.

Tests conducted by internationally renowned independent laboratory Precision Testing Laboratories found Hard Yakka Protect with TECGEN SELECT shirts to be on average 25 per cent lighter and pants 14 per cent lighter than FR competitors. The test results showed the range to be 63 – 68 per cent more breathable than competitors and wicks sweat on average 15 per cent better.

This means workers don’t have to overheat on the inside to avoid burns on the outside.

The inherent fire retardant fabric was designed and developed in North www.miningaustralia.com.au

America. The fabric ensures that the fire retardant qualities won’t wash or wear out and the self- extinguishing nature of the fabric means it acts fast to reduce the extent and severity of burns to the body.

Brenna Mathews, senior product manager at Hard Yakka said workers could now have more protection from fires and still feel comfortable in their workwear.

“Hard Yakka Protect with TECGEN SELECT offers an Australian first in fire retardant workwear, coupling the best protection from arc flash and flash fire available with the lightest, most breathable and moisture wicking fabric for the reduction of heat stress.

“When arc flash or flash fire events do occur, those dressed in cotton or polycotton garments are the least protected.

“Until now, traditional FR workwear was typically heavy, thick and can get very hot. Hard Yakka is proud to significantly step up the level of protection workers can now get, without compromising comfort and breathability.”

To gain the optimal level of protection and comfort, the TECGEN patented fibre used in the construction of TECGEN SELECT consists of two characteristics.

One is a patented outer carbon sheath that’s heat resistant and will not burn. The other is a durable inner visco-elastic core capable of stretching and twisting in order to provide maximum wear comfort.

Jon Heard, vice president of TECGEN SELECT developers said comfort plays a huge role in workers’ choice to wear FR workwear.

“Flame resistant workwear is serious. It plays a big role in limiting the amount of damage to the body in the case of arc flash or flash fire accident, and in some cases may even save a limb or a life.

“Wearing a garment with TECGEN SELECT fabric increases the chance of wearers finally opting for a FR garment that will feel just as comfortable as cotton drill.”

AustralianMining

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SAFETY

When a spark lights a fire Electrostatic discharge can cause catastrophic damage to equipment, but is easily avoided with specialist parts.

E

lectrostatic discharge in a hydraulic system can be seriously bad news, and in the worst case scenario it can cause explosions in the tank or damage to valves and filters.

It’s caused by the build-up of an electrostatic charge in oil as it flows through a hydraulic system, and if nothing is done to prevent it, the impacts on the bottom line can be significant.

Apart from the worst case scenario, electrostatic discharge wears components and helps create oil aging products, known as varnish.

The end result can be a time consuming and costly burden on business, and one that can easily be kept to a minimum with a simple piece of equipment.

In a recent release Hydac International, a specialist in fluid technology products, said the Stat-Free filter had been specially designed to help combat the problem of electrostatic discharge.

Electrostatic discharges damage valves and filters and can even cause explosions in the hydraulic tank.

The problem

The solution

metal, group II to IV oils have a low equalisation of charge, which usuModern base oils are increasingly be- electrical conductivity, which means ally comes in the form of a spark. ing broken down to fit specific pieces as they flow through the system they “Electrostatic discharges destroy of equipment and applications, and generate an electrostatic charge. filter elements, damage valves and in order to achieve the characteristics sensors and can even cause explosions guaranteed by producers, additives What’s the charge? in the hydraulic tank,” Hydac said.

If two substances (eg. a filter and an must be introduced to the base oil.

“Valve pistons will stick, shafts Group I oils contain zinc and oth- oil) which have a different chemical become jammed in their bearings er toxic elements, and the addition of make-up are brought together, elec- and the changing interval for filter a heavy metal means the oil produc- trons can be transferred at the point elements will be unusually short if es ash on combustion, making it no of interference. there are excessive amounts of aging At this point a diffuse layer forms products in the operating medium.” longer compliant with international in the fluid that has the opposite environmental standards.

“To ensure that the whole system Hydraulic and lubrication oils in charge to the filter media, and in a operates economically and without group II to IV contain no toxins or hydraulic system this charge is car- risk, it is essential to use filter sysheavy metals, and produce no resi- ried downstream, with faster flowing tems which are capable of absorbing dues when combusted, but they’re fluids producing a higher voltage. oil aging products and which can M 0 5 1 their 3 _ 0downfalls.

0 0 _ ENW 1 2If0 the 1 3voltage - 0 4 - generated 1 0 T 0 9exceeds : 4 3 : 4 prevent 6 + 1 0 dangerous : 0 0 notAwithout electrostatic disBecause they don’t contain any a certain limit there will be a sudden charges from occurring.”

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Hydac said the first step in combating electrostatic discharge was to analyse how the filter behaves inside the system by measuring the voltage in the oil.

Hydac’s Stat-Free filter elements can then be used to prevent discharge in group II to IV oils.

These elements prevent electrostatic charge generation, and thereby ensure the safety of the system.

“They give a high level of operational reliability, since they prevent sparks, deflagration and sludge formation in the oil,” Hydac said.

“Longer oil change intervals can be achieved through non-damaging filtration of the oil.”

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SAFETY

The system was designed specifically for Kooragang Island’s coal terminal.

The fire suppression system is designed to protect delicate, expensive equipment.

Keeping coal dust down New fire suppression systems at Kooragang Island’s coal port is increasing site safety.

C

oal dust is extremely combustible. It is not uncommon on mine sites and at ports for workers A M to 0 5stockpiles 1 3 _ 0 0spontaneously 0 _ SAF combust.

As more coal dust rises into the air the chance of a spontaneous combustion rises. theT dangers 1 This 2 0 is1 in 3 addition - 0 4 - to 1 8 1 0 : 3it4 presents to air quality on a work site.

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This becomes a serious issue at many coal ports, such as Newcastle’s Kooragang Island, where : tonnes 4 9 + 1of 0 :coal 0 0 are moved daily, sending a blanket of coal dust into the air.

As the Newcastle Infrastructure Group expanded its Kooragang Island Terminal it ran into this issue.

The site was undergoing an expansion project which would increase the export capacity up to 53 million tonnes per year.

As part of the project’s second phase Wormald was brought into to design, supply, and install a fire protection solution on site.

The coal export port’s fire protection requirements consisted of a range of fire protection equipment such as fire hydrants and hose reels, as well as fire detection and suppression systems located at the wharf, dump station, and stockpile areas.

According to Wormald the fire sprinkler and deluge systems installed at the site were particularly suitable for mining sites and hazardous environments where fires can spread extremely quickly, or where valuable equipment surrounding the fire needs to be rapidly cooled.

The company also installed a comprehensive fire detection and Emergency Warning and Intercommunication Systems (EWIS).

“The EWIS is ideal in situations where mass notification is required

and can facilitate the orderly evacuation of the site in an emergency,” it said.

Wormald also installed its SAPPHIRE systems, which are specially designed for use in areas that house sensitive equipment, at the site.

The SAPPHIRE gaseous fire suppression system was installed in key asset locations on site and was designed to suppress fire quickly, ensuring that overall damage as well as service interruptions were kept to a minimum in the event of a fire.

As part of the wider contract Wormald was also responsible for installing stockpile dust suppression equipment and dump station ventilation systems on site.

Wormald’s Bob Preedy explained that “this project involved a high level of ongoing project management and our team worked closely with the site managers to ensure that all of the risks specific to this site were understood and that the project remained on scheduled and within budget”.

“The fire systems will help protect the export terminal staff from the dangers of fire and will also help safeguard machinery and operations on site.”

The export coal terminal expansion involved the installation of a new rail unloading facility and rail sidings, and additional stacker/reclaimer and stockyards, additional conveyors and sample stations, as well as an additional ship loader. www.miningaustralia.com.au

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SAFETY

Paralympian takes gold in safety An injured former miner is going back on site to help change safety mindsets. Leanne Warburton reports.

S

olutions for mining safety are at a pre­ mium, with companies throughout Australia under pressure to prevent injury to workers. Whilst tradi­ tional methods of training still serve a purpose, it is the Australian Paralympic Com­ mittee that is breaking new ground in the education of workplace safety.

With a focus on preven­ tion, WorkCover NSW and the Australian Paralympic Committee (APC) have teamed together to raise awareness about the dangers in heavy industries by presenting audi­ ences with real people who have suffered permanent in­ jury as a result of a workplace accident and gone on to be­ come paralympians.

The Paralympic speakers program educates workers in a frank and open fashion about how they acquired their injury and the impact on their lives. As a result of the paralympian’s visit, 68 Former miner Ben Houlison visits sites to inform miners about the ever present, but unrecognised dangers, that exist on mines. percent of companies have said there has been a visible paralysed from the waist lympic title, winning bronze workers about the conse­ up to his injury, Ben admit­ improvement to workplace down after being crushed in the 2009 World rowing quences of taking short­cuts ted that better education and health and safety. into the roof of a mine by a championships. and to encourage those who training would have prevent­ Ben Houlison, an APC continuous miner.

At 31, Ben now works have been injured – back ed his accident but that the Safety Speaker for Work­ Four years later, after with the APC, travelling to into the workforce. onus fell equally on him.

Cover NSW, is an ex­coal taking up rowing to keep fit; various mine sites through­ When asked about safety “I was young and didn’t A D _ A MI E C A P R _ 1 3 . p d f Pa ge 1 1 1 / 0 3 / 1 3 , 1 0 : 0 7 : 0 8 AM AEDT miner who at 22, was left Ben came away with a Para­ out NSW seeking to educate precautions taken in the lead really know that there was

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AGRICULTURE & CONSTRUCTION MINING

FORKLIFTS

Houlison was injured while working on a continuous miner underground.

an issue – you learn the hard way I guess The biggest message I try to get across is that at 22, you think you’re bullet proof, you don’t have an interest in OHS and that’s how things can go pear shaped very quickly.�

Ben knows the true value of his work and speaks passionately about the effect his talk has on his audiences. “You can see peoples mind sets change, they begin to picture life in a wheelchair – and it really registers� he said.

A major change program being undertaken by the NSW Department of Trade & Investment is to achieve significant improvements in OHS through a systematic performance based approach to managing risk. The Industry has agreed that “further OHS improvement will require OHS culture change to close an apparent disconnect between OHS management systems and actual behaviour at the site�.

One of the culture challenges speakers see is typically from older people who think “well it’s worked for 50 years, why change now.� “We need to encourage the younger generation to stand up against that [mindset] and for it to be acknowledged� says Ben. Whilst mining is a dangerous industry, it seems education in safety is working. Workplace injury records are below that of construction and agricultural industries with manufacturing being the highest, proving that mining is at the forefront of change for OHS. Statistics from the ‘NSW Mine Safety Performance report 20112012’ recorded serious bodily injury rates had reduced by 55.7 percent- an all-time low for the industry. www.miningaustralia.com.au

Ian Laing, Commercial General Manager for the APC, commented that the effect the program has is “amazing�. “You might have 400 guys in a room and you can hear a pin drop.

The stories of these athletes are so powerful‌it’s not uncommon for a few tears to be shed.�

He added “It is not just physical improvements to health and safety that we see. It also increases reporting of near misses and hazards- an area in management that needs to be developed.�

A big issue in mining is that due to rapid growth, there are many new people joining the workforce who don’t have experience behind them. Management have the policies in place, they know it back to front but this is not filtering down to the workforce.

As Ben put it, “what good is a policy sat in a filing cabinet above surface?�

Industries that have a high level of risk are required to have sufficient policies and preventative measures in place, this includes education. The APC are proud to work with companies to help achieve this.

Laing is confident that a personal approach can improve OHS culture, adding that “when you consider the type of guys we talk to, sitting and reading a lengthy policy document might not be the best way to learn�. “Hearing a real life case study pushes learning into a more experiential framework that is naturally more humanly engaging.�

With the support of WorkCover NSW, the APC program is growingwith hopes to extend into other states like Western Australia, to help spread the message about safety in the workplace.

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NOMINATIONS NOW OPEN Nominations are now open for the 10th Annual Australian Mining Prospect Awards, to be held in Sydney on Thursday 31st October 2013.

Fifteen awards will be up for grabs on the night, where we recognise and celebrate innovation and performance within the mining industry. All ďŹ nalists will receive free publicity in the Australian Mining magazine and two free tickets to the gala dinner where the winners will be announced.

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DAVID AND GOLIATH battle in the Hunter Mining in the Hunter Valley has taken a blow as Rio Tinto’s expansion plans are shot down.

A

decision by the Land and Environment court to overturn permission for Rio Tinto to expand its Mount Thorley Warkworth mine has set the scene for a huge court battle between the major miner and the tiny town.

Last month the court ruled in favour of an appeal lodged by the Bulga-Milbrodale Progress Association to halt the expansion of the open cut coal mine.

Justice Brian Preston, chief judge of the Land and Environment Court said the

group’s appeal should be upheld due to “the significant, diverse biological adversity, noise and dust and social impacts of the project”.

He said the impacts “would exacerbate the sense of loss of place, and materially and adversely change the sense of community of the residents of Bulga and the surrounding countryside”.

Coal & Allied were granted approval in 2012 to mine bushland next to the town that had been set aside as ‘‘offset’’ a decade ago. It was to create 150 mining

A M0 5 1 3 _ 0 0 0 _ S P I . p d f Pa ge 1 Forty workers were cut after the decision was overturned.

www.miningaustralia.com.au

jobs, and extract 18 million tonnes of coal a year.

However, Rio have now lodged their own Supreme Court appeal against the decision to halt the mine expansion. While announcing the appeal, the company also cut 40 employees and contractors from the mine.

Rio Tinto had warned it would review the viability of the mine, as Coal & Allied managing director Darren Yeates slammed the NSW planning system after the approvals decision.

Yeates said the decision was a blow for the people who worked at the mine at a time when the Australian coal industry was struggling.

“It is also a setback for hundreds of suppliers across the Hunter Valley and NSW who do business with the Mount Thorley Warkworth mine and will directly impact the region’s economy,” he said.

“The overturning of the decision followed a rigorous 1 5 / 0 4 / 1 3 , 9 : 4 4 : 3 1 3½-year government process,

Rio’s expansion proposition was rejected by the courts.

and the granting of approval by both state and Commonwealth environment departments.”

Anti-mining group Lock the Gate welcomed the court’s decision.

“This is a huge win for the community of Bulga,” Lock the Gate Hunter regional co-ordinator Steve Phillips said.

“This mine would have had major impacts on air quality and people’s health.”

Greens MP Cate FaehrAM AEST mann said it put a spotlight

on environmental issues.

“The days when king coal could brush aside communities and the environment are drawing to a close,” she said.

Residents in the small town of Bulga celebrated the decision to halt the mine’s expansion.

“Everyone on the progress association is over the moon, it’s a massive relief,” said local business owner Margueritte Hannaberry.

“We’ve got a lot of happy people who were born and bred in Bulga today.”

AustralianMining

May 2013

43

UNDERGROUND

REINFORCING rockbolters W

ith more mines moving underground to access higher grade ores under open pits, the issue of securing and protecting these underground complexes increases in difficulty.

With so much traffic passing over the mines operations have to ensure that the tunnels are effectively strengthened and prepared in the case of rockfall.

Sandvik has developed a new concept in ground reinforcement for underground hard rock mines that is reportedly faster and easier to install than traditional systems, while at the same time providing stronger ground support.

Dubbed the Sandvik Mechanical Dynamic (MD) Rockbolt, it replaces a range of different ground support systems such as resin bolts, stiff splitsets, and even cable bolting.

“The problem with resin bolting is that it’s not reliable due to the relatively large-diameter holes which have to be drilled in hard rock mines,” SandvikAMining’s D _ A M Bmanager U L F E for B _rock 1 3 .reinpd forcement development Mietek Rataj

said, adding “this is because the resin New rockbolters have been is frequently poorly mixed so the released that can replace bolts are not anchored properly in the rock. resin bolting.

“In addition, their installation can be very slow, and they are relatively rigid two-pass bolts, so they are not suitable for dynamic ground conditions.

“In contrast, the MD Rockbolt is a dynamic bolt which is able to yield and withstand changing ground conditions, it’s a one-pass system, with no need for any grouting,” he said.

MD Rockbolts are galvanised, come in 2.4 m and 3 m lengths, and are rated to hold up to 30 tonnes. or grout injection required, and no so anywhere you can put in these The system is particularly suit- need to come back later to tension bolts, you can use MD Rockbolts – able for moving ground conditions up the rebar. plus you can put them into very chalas it slides at high load, maintaining “We’ve had feedback from one lenging or difficult situations where high capacity support. mine that they had an area of ground other bolts just don’t work.

Peter Young, Sandvik’s product where they struggled to install just a “They may even replace cable line manager for the Rockbolt MD few resin bolts because the ground bolting to a degree. There is one apsaid that “similar to a standard fric- was so poor; over that same period plication in Australia where the mine tion bolt, the MD bolt is installed in of time, they had successfully in- was able to delay the installation of a single pass, with a simple twist to stalled 100 MD Rockbolts.” their cable bolts from 25 metres of f anchor P a giteonce 1 it’s2 in 4 the / 0 ground”.

1 / 1 3 , 2 : 4He 2 went P Mon to state that “they are driveage out to 50 metres,” Young “There’s no chemical insertion a direct replacement for resin bolts, explained.

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May 2013

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TRUCKS & TRANSPORT

BHP accused of rolling over on

VEHICLE SAFETY As BHP brings in higher ANCAP safety ratings for its onsite vehicles, the prohibition of aftermarket roll over protection has raised ire amongst miners. Vicky Validakis writes.

I

n a phased approach from this year onwards, only vehicles with a Five Star Australasian New Car Assessment Program (ANCAP) rating will be allowed on BHP mine sites.

The policy applies to both BHP fleet and contractor owned vehicles on any BHP site anywhere in the world and to all new vehicles brought into service from January 2013 onwards.

The policy also prohibits the fitment of non-ANCAP compliant bull bars and aftermarket suspension kits (and upgrades) as well as roll over protection. But why now?

When contacted by Australian Mining, a BHP spokesperson said the company was committed to safety.

“The health and safety of all of our employees and contractors is our absolute priority,” she said.

“BHP Billiton continually reviews the company policies and procedures to ensure best practice is maintained.

“Our decision to move to the highest ANCAP safety rating will, by 2016, improve the safety rating of an estimated 50,000 vehicles a year in Australia alone, resulting in broad community benefits as safer vehicles appear on the road.”

ANCAP have applauded the new measure by BHP stating that it will force car manufacturers into implementing higher levels of safety 46

May 2013

AustralianMining

in light commercial market vehicles.

ANCAP chief, Nicholas Clarke, said the move would encourage car makers to take on similar policies.

“This demonstrates the supporting influence big business can have on manufacturers and we encourage other businesses, large and small, to consider adopting a similar policy,” Clarke said.

“With one third of compensable work related fatalities involving a vehicle, vehicle safety is paramount in protecting our employees, and investing in safer vehicles is an investment in the safety of these employees.”

But with the ANCAP rating focused on the issues of on-road safety, not off-road, many believe the new policy will present increased safety risks to employees.

Critics are also concerned over the fact that aftermarket products like bull bars and upgraded suspension cannot be retro-fitted, further adding to on-site safety issues.

The Construction, Forestry, Mining and Energy Union have also expressed concerns over the safety of the new policy.

Health and safety representative Greg Dalliston said he was concerned that new standards reduced rollover protection.

“All I’ve asked is that they show the standard that was on the vehi-

cles before and the standard they’ve got now, the new standard, is equal to or better than what they had before and so far they can’t show me that.”

Dalliston said while they accounted for only a small number of total accidents, one-in-five fatalities were from rollovers.

“We’ve had 29 rollovers since January last year on mines in Queensland – 17 on coal mines and with the protective structures we’ve had in place, we’ve only had one person with some slight injuries,” he said.

The Australian 4 Wheel Drive Industry have also questioned the occupant safety protection afforded by the introduction new the policy.

Spokesman for the 4WD Industry Council (4WDIC) Stuart Charity, said it strongly supports the drive to improve vehicle occupant safety on and around mine sites but is disappointed by the lack of consultation.

“On the surface, most people would view the BHP policy as a great step forward. However, the 4WDIC is disappointed at the lack of consultation and the ‘one size fits all’ policy outcome,” he said.

“Australia has a large and innovative 4WD aftermarket industry. It offers a wide range of Australian Design Rule (ADR) approved products designed to protect vehicles and oc-

cupants in our hostile remote regions.

“Among those proven products are bull bars, suspension enhancements for additional load bearing capacity and roll over protection systems (ROPS). The BHP policy takes little from the aftermarket industry’s extensive knowledge and experience in engineering vehicles to suit their intended end use.

“While the 4WDIC supports the move to ANCAP Five Star ratings for mining vehicles, we see no need to ban the fitment of safety equipment that does not adversely affect compliance with mandatory vehicle standards and does not reduce the safety performance of the vehicle.

“The 4WDIC believes this ban will result in vehicles that are less safe on public roads and in remote areas.”

Charity has also accused the major miner of slashing costs at the risk of workers safety.

“We believe their intent was to reduce costs on the fit-out of vehicles using an ANCAP [rating] as a justification for everything but as I say, ANCAP has significant limitations when you’re driving in the sort of conditions that these vehicles are driven in.”

Charity says the policy does not make sense.

Continued on page 48 www.miningaustralia.com.au

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Continued from page 46

“We know that vehicles need to be modified for their end use - we’ve got supporting data to prove that,” he said.

“We’ve given that [to] BHP, they’ve chosen to ignore that.”

He added that vehicles are built off global platforms and sold into 40 different countries.

“We don’t believe they’re designed for the end use of mining applications,” he said.

According to Global NCAP, BHP’s decision was based on recent research at Crashlab in Sydney, to assess if bullbars and ROPS contribute to an increased risk of injury to The discussion of ANCAP ratings over ROPS is whether safety is compromised. vehicle occupants.

In its testing, four Toyota Hilux figurations, the results showed: of side curtain airbags for the front dual cabs were used – three of these • for the corkscrew rollover test the and rear seat occupants greatly invehicles were fitted with ROPS and ROPS structure appeared to increases the risk of serious head or one without. All four test vehicles crease propensity for the vehicle brain injuries in side impacts (with were fitted with a steel bullbar. to roll by increasing the centre of trees, poles and other vehicles).

The vehicle fitted with ROPS gravity height.

• the bull bar fitted to the frontal rolled 180 degrees onto its roof in • ROPS did not eliminate roof crush offset crash test vehicle caused inthe first test. The vehicle without over the front seated occupants trusion into the footwell and disROPS rolled onto its side. The veand, for a rollover of this type and placement of pedals which was not hicle without ROPS was re-tested severity, the ROPS demonstrated present in the ANCAP test of the with 35kgs of ballast above the rear limited potential to reduce the risk same vehicle without a bull bar. screen of the cab (to simulate the of serious injury to the front seat However, Susie Bozzini, a reweight of ROPS at roof level) and occupants. searcher at the Center of Injury rerolled ROPS is not convinced.

A D onto _ A Mits T roof.

R E F E B _ 1 2 . p d f • any Pa g e 1 structure 5 / 0 1 which / 1 2 ,pre-3 : search 2 9 in P California, M For these vehicles and test convents as-designed deployment “Production vehicles generally Tread-AustralianHorizontal1-2pg2Page 1 the 12/19/11 1:15:13 AM

have weak roofs: they crush at the front pillar when the windshield breaks and the roof caves in on the front seat occupants,”she explained.

“BMA ran a test with a production vehicle with a weak roof and the roof crushed significantly. Then BMA performed the same test on the same vehicle with an internal 4-posted ROPS structure. This type of structure is fitted behind the front seats at the B-Pillar area and extends rearward to the C-Pillar. This internal ROPS works when the vehicle rolls without forward pitch, meaning nose down. However, when a vehicle rolls over with pitch, the forces are on the front of the roof at the A-Pillar and windshield header.

“So, it is not surprising that BMA got the same result with a production vehicle and an internal 4-posted ROPS for the type of test they did “I believe their goal was to be able to say that ROPS didn’t make a difference, so why spend the money on them?” she said.

However one miner, who has worked in the industry for a number of years, told Australian Mining that “I can honestly say after being in mine vehicles with and without ROPS, I prefer the w/o ROPS for my safety.

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Some believe ROPS may prevent egress in the event of a crush incident on site.

“I have seen Prado’s with ROPS that blocked the rear seat door handles. I have seen ones that caused injuries to heads, knees and feet of rear occupants in accidents, not to mention ROPS creating issues with ingress and egress.

“ROPS equipped vehicles are far more likely to roll at crawl speed on an uneven surface. There is no doubt ROPS changes the centre of gravity on light vehicles designed without them.

“And for those saying ROPS will protect you in an earth fall; I have also seen what earth falls do to equipment. Glass breaks and doors cave in crushing or filling the cab from the side usually before the roof caves down,” they stated.

“I realise there are a lot of Australian companies making big money off after market sales. I am sure these systems add benefit for back country off road driving, but mines have strict safety management systems that require speed limits, adequate road construction and safe driving conditions. “Rarely does a mine vehicle go trailblazing across country like off road drivers do. So I don’t think it is fair for 4WDIC to compare mines to Australia’s ‘hostile remote regions’.”

They went on to stated that they were “not saying BHP is right or wrong, but it is nice to finally see a company raise the question and perform the research and analysis rather www.miningaustralia.com.au

than just assume that adding more steel makes the vehicle safer.”

BHP told Australian Mining that “we recognise that industry members and representative may have concerns when we implement changes to our safety policies and procedures.

“However no changes are implemented without extensive research and consultation to ensure the most relevant safety technologies are adopted globally.

“We remain confident this is the right decision for our workforce and the community as safer vehicles appear on the road.”

But with the CFMEU claiming that the company refuses to hand over information regarding safety ratings – evidence of how the new policy will affect workers will result from the statistics collected when accidents occur. From the reaction from our readers who work on mine sites, most are clear about which vehicles they would rather operate.

“I would prefer to be in a vehicle with roll over protection on a mine than 5 star ANCAP,” one said.

“The ROPS secondary function is to give structural integrity (survival space) to the vehicle body in case of a landslide falling on top of the vehicle, especially on a rollover off ramps to open pits,” another worker noted.

The only thing left to see is if BHP will roll over to public opinion, or crush dissent.

AustralianMining

May 2013

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TRUCKS & TRANSPORT

Countering payload costs New payload and machine health monitors are getting the most out of shift productions and swing cycle times.

T

he byword for all min­ ing operations is cost efficient.

Now more than ever miners are being forced to tighten their belts and get more out of their machinery and workers.

At the height of the boom trucks only partially filled, that is two thirds or three quarters of their maximum capacity, weren’t an uncom­ mon sight on site.

Not much in terms of a single truck, but over the course of a shift it builds up to a large amount of missed potential ore moved.

These costs could eas­ ily be soaked up when com­ modity prices were riding the wave of Chinese demand.

However as miners now look to get more out of their operations and reign in costs

they are ensuring that these precious inefficiencies, par­ ticularly in haul truck load­ ing, are no longer prevalent.

Yet they are also looking to get the most out of the ve­ hicles and at the same time not overload them, wear­ ing out their capital equip­ ment faster and increasing maintenance costs, and the add on costs of having haul trucks in a workshop and not out on site.

Australian company BMT WBM, a subsidiary of BMT Group, an interna­ tional design, engineering and risk management con­ sultancy, is helping massive Canadian miner Teck Re­ sources overcome these load­ ing issues.

It is set to deliver two new Pulse TerraMetrix RS systems to Canada’s largest,

Machine health systems are cutting wear and maintenance costs.

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AustralianMining

Payload measuring systems are ensuring trucks are filled to their best operating capacity.

diversified resource com­ pany.

These systems not only deal with the issues of pay­ load, but also general vehi­ cle status.

According to BMT WBM production and payload measurement will be man­ aged by the PULSE Terra­ Metrix System on the entire shovel fleet at Teck’s Green­ hills operation, near Elkford, in southeast British Colum­ bia, Canada.

This includes one P&H4100 XPB and two P&H4100 XPC machines, one of which is currently be­ ing assembled.

By ensuring that correct loads are dumped into the trucks by the shovels, mines can more efficiently operate.

Following the final im­ plementation of the Pulse TerraMetrix RS system on the P&H 4100 XPB in 2012, Teck staff recognised the benefits of this innovative payload monitoring system together with its interactive server database, allowing per­ sonnel to easily analyse pro­ duction and payload data.

Charles Constancon, di­

rector of BMT WBM Can­ ada explained that “unlike other payload monitoring systems which apply elec­ trical parameter estimation techniques to approximate the payload, the Pulse Terra­ Metrix RS system employs a loadcell based device and directly measures the iner­ tial and dynamic loads ap­ plied to the dipper. As a re­ sult, more accurate payload measurement is maintained, even under severe dynamic loading conditions”.

Constancon went on to state that “our system has now become the system of choice at Teck’s Greenhills operation and by delivering added value benefits to the customer we hope it will be­ come the reference for other Teck operations”.

Configured to commu­ nicate with any third party truck dispatch system, the Pulse TerraMetrix RS sys­ tem can be applied to differ­ ent models of electric rope shovels including P&H4100 and CAT 7495 machines.

Recent developments of the system have included a comprehensive machine

health monitoring capa­ bility using strain sensing transducers placed on the A­ frame and boom structures.

These transducers allow the system to track boom jacking and adverse swing events, identify alarm events and quantify the mechanical damage per swing cycle.

Productivity indicators provide meaningful online feedback to the operator in­ cluding average bucket/truck payload, overall shift produc­ tion, swing cycle time and op­ erating and delay times.

The system developed for Teck is configured to com­ municate through the mine wireless mesh to a server lo­ cated in the mine’s adminis­ tration offices.

Data is saved in a SQL database and is accessible through an advanced server analysis programme located on the mine’s intranet.

This enables mainten­ ance, training and produc­ tion staff to easily access, process and analyse the data on a shift basis, to identify where production shortfalls arise and where further op­ erator training is required. www.miningaustralia.com.au

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TRUCKS & TRANSPORT

A new player in truck automation An Australian coal mine will host Hitachi’s first foray in fully automated haul trucks.

A

s the focus on safety grows on mines and the push for automation strengthens, Hitachi have taken a major step forward with the start of its own autonomous trucktrials.

Hitachi Construction Machinery (Australia) have announced the initial trials of its Autonomous Haulage System (AHS) at the Meandu coal mine. The first of three trucks from Japan, Hitachi’s new EH5000 AC trucks, arrived late last month. The announcement came on the back of Hitachi’s new plans to develop a comprehensive suite of technologies aimed at providing more autonomous equipment to the surface mining industry by 2017. The Meandu coal mine, run by The first of three trial trucks have already hit Meandu mine.

Stanwell Corporation, will hold the trials over a three year period.

The truck manufacturer added likely to employ local people, meanThe move was welcomed by that although the trials will take place ing there would be a small increase Stanwell general manager Phil Dav- at Meandu, they will be independent in jobs at Meandu,� he said. id, adding that the operation was of Stanwell, David stating that trial Hitachi created the automated “pleased that Meandu had been would not mean a reduction in Stan- system in collaboration with Wenco chosen the3 worldwide trial A M 0for 5 1 _ 0 0 0 _ Q M Wof the 1 well 2 staff 0 1 3numbers - 0 4 - at 1 Meandu 5 T 0 9 :Mine.

4 9 : 2 International 5 + 1 0 : 0 0Mining Systems, which new mine truck technology�. “Hitachi informs us they are consists of a variety of advanced

Launching a new era

drive and traffic control systems components and onboard machines.

Combined with a wireless communications and a fleet management system the dump truck loading, haulage, and dumping operation can be entirely automated.

It works by integrating a GPS that controls the speed and direction of the automated vehicles, indentifying haul roads, intersections and other areas such as stockpiles and crushers. The trucks then combine that information with a control system that allows precise speed control, helping them to safely negotiate slopes and traffic at the mine. “In addition, the technology will facilitate higher productivity at a reduced overall cost per tonne. These capabilities are driven by specific customer requirements working in a variety of operational environments and scenarios,� Hitachi stated. The trial will help it to develop automated mining trucks that can interact with human operated mining equipment.

NE

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IN PERSONAL SAFETY

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AustralianMining

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TRUCKS & TRANSPORT

An even playing field The development of a new ROPS systems has created a new benchmark for worker transport on site.

G

etting from A to B seems like one of the simplest things to do onsite.

But when you need to move 20 miners at a time across rolling, uneven ground with some of the largest vehicles on earth traversing around you, safety is key.

And with the possibility of these transports rolling high, miners are looking at all options to get their workers safely from A to B. This simple concept of transporting workers around mine site safely is behind QMW Industries latest roll over protection structure [ROPS].

The MH-18 series Q~Transporter has been engineered to be a fully modular and certified solution for personnel carriers.

The Q~Transporter explained simply is a safer, 4WD version of a bus, which is built to safety venture both on and off road, while at the same time protecting passengers if an accident were to occur.

A“It D _adds A M an A Lextra B M Alevel R _ 1of3safety . pd that has been internationally recog-

The transporter has acheived international level safety standards.

nised,” QMW managing director “Australia is leading the world Jeff Samuels told Australian Mining. in safety,” Samuels said.

Gaining international certificaHe explained that Australia has tion for any product can prove to rigorous safety standards in place be a challenging process, however and the rest of the world tends to f QMW P a gseems e 1 to 1have 2 / it 0 down 2 / 1 3to, a 3 follow : 5 4 : Australia’s 1 9 P M safety A E D example.

T fine art.

The Q~Transporter is fully certified

to meet ISO 3471 which stipulates practical destructive testing must be carried out.

QMW Industries have rigorously tested the Q~Transporter in the company’s test laboratory to ensure all occupants are encapsulated in the most superior roll over protective systems developed for omnibus vehicles to date.

Innovatively designed, it has been specifically constructed to endure the harsh Australian environment and is even fitted with a military grade air conditioning system so passengers may travel in comfort whatever the climate.

Built for the rigours of the mining industry, the rugged Rhinotuff hull shaped floor, composite automotive grade moulding and marine grade carpets mean the entire interior is rust, mould and rot resistant and can even be hosed out after being tramped through with dirty boots.

The Q~Transporter comes with a 3 year/100,000km/2,000 hour warranty and can seat 18 people.

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The global leader in door opening solutions www.miningaustralia.com.au

Innovation

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TRUCKS & TRANSPORT

LNG to fuel mine trucks Are we likely to see a greener minesite as trucks turn to LNG? Vicky Validakis investigates.

W

ith fuel costs rising and companies focusing on the challenges of reducing C02 emissions, many are heralding the LNG boom as a way to offset the energy issues facing the mining industry.

But with big upfront capital costs, and technological advancements some years away, is LNG ever likely to replace diesel as the predominant fuel source on mine sites?

It is estimated that the LNG boom in Australia is worth $180 billion in planned investments with many predicting the projects will lift Australia from the fourth largest LNG producer to the first, knocking Qatar off its perch.

In Queensland alone three projects currently under construction are expected to generate $45 billion in capital expenditure and produce 28.8 Mtpa of LNG. With major companies like Shell, Woodside and BP spending billions on LNG projects, it is clear they expect the gas to become not only a major revenue raiser in exports, but to also be used more commonly on Australian soil Energy giant Shell are looking to introduce LNG-powered fleets at Australian mines as part of a push to increase natural gas use beyond the export of LNG, with BHP and Rio Tinto both looking to implement the technology.

The two big miners are said to be looking at LNG-powered fleets for their West Australian operations as a way to offset high energy costs.

A spokesman for Rio told The Australian that it was looking at dual fuel technologies for the use in the Pilbara.

“There are some real challenges with the impact on payload, refuelling frequency and certainty over supply sources, but our work in this area remains ongoing,” he said.

Shell says natural gas has many advantages over diesel: it is cleaner, abundant in Australia, and cost competitive. The company said as a result it can lead to reductions in greenhouse gas emissions: proving to be a major factor in a company’s decision to make the switch.

Stuart Macdonald, a global LNG applications technologist working for Shell pointed out the advantages of using the fuel in the mining industry 56

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OEMs are looking to switch to help miners reduce their carbon footprint.

at Shell’s Technology Forum last year.

Macdonald said a 27 % reduction in green house gas emissions from well to wheel was apparent when using engines how they stand now and said this will improve as new technology is developed.

And with billions of dollars of untapped gas available in Australia, Macdonald said LNG was set to become a stayer in the fuel market as it begins to compete with the volatile oil sector.

“If we zoom in on the Australian market there’s an abundance of supply,” he told Australian Mining.

“It’s a sustainable fuel, it’s not just a fix.

“It’s going to be a significant part of the fuels portfolio.

“Its cost competitiveness and its value as a cheaper fuel is not just something we see as a driver for the coming two to five years but for many decades to come.”

However, it is expected that any

move to LNG-powered trucks is at least five years away with supply, transport, storage and truck conversion the main hurdles in its implementation.

Modifying engines and tanks, the use of the gas in high horse power engines and its energy content compared to diesel are all challenges the gas faces in its application on mine sites.

To this end, Westport Resources Australia and Caterpillar have joined forces to develop natural gas fuel systems for mine trucks and EMD locomotives.

“We recently signed an agreement with caterpillar to jointly develop direct injection engines specifically for the mine trucks the 793, 795 and 797 – and also part of that agreement is with EMD for the MD&10 engines used in the locomotives,” Westport Innovations Australia managing director Bruce Hodgins said.

The new joint venture is aimed

at revolutionising the way the mining industry consumes energy.

Hodgins told Australian Mining that while the technology was some years off, he expected LNG to become a predominant fuel within the mining industry.

“For certain segments of mining and for certain areas it will become dominant, and frankly I think coal is one of those areas where you will see it being taken up as the predominant fuels,” he said.

“This is something we all need to partnership on, so we are working with fuel suppliers, engine technology people, the OEMs, customers and government regulators to address a lot of these (issues).

“We think most of the engines that are going to get used in the mining sector for power generation will tend to go for the more direct ignition approach for the fuel efficiency gains.”

However it seems no one is ready to estimate how much these new technologies are going cost, with many predicting the initial capital expenditure for machines like this will be quite high.

Hodgins did say that on average, companies investing in the new machines could expect a two year return on investment.

“The OEMs who are offering the vehicles to customers are having those discussions too, so it’s going to be happening over these next couple of years,” Hodgins said.

Kim Palfrey, general manager of projects at New Hope Group, told Australian Mining that he expects the technology to be slowly phased in by Australian companies.

“LNG is some way off yet and will be expensive to implement,” he said.

“It will mean that this technology will more likely be phased in over time due to the extent of modification required convert to LNG power.”

However Palfrey added that the gas was an important chapter in Australia’s fuel needs.

“It offers significant advantages to Australia as the mining and transport industries convert to LNG powered equipment.

“We should be somewhat protected from the volatility of the fossil fuel markets,” he said. www.miningaustralia.com.au

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ENVIRONMENTAL MANAGEMENT

When things go WRONG A number of clear lessons can be learned from Rosslyn Hill’s environmental problems.

I

n March a two year environmental saga went full circle in Western Australia, with Rosslyn Hill Mining returning to operations after years of disruptions.

The story of how Rosslyn shut down involved a number of false leads and overreactions, but it also highlighted some fundamental flaws in the company’s actions, flaws that eventually forced exports from the group to a standstill.

After years of regulatory hurdles and investigations Rossyln (formerly known as Magellan Metals) is back on its feet and ready to start exporting from Perth again.

But the legacy of the environmental problems it ran into in 2011 have helped form its new operating licence, and for the wider industry Rosslyn’s problems stand as an important example of what happens when you don’t get environmental management right.

Beginning of the end

While lead mining will always attract its fair share of criticism the real trouble for Magellan started in 2010 when lead carbonate was detected in mud on the bottom of a shipping container in Fremantle.

It followed similar issues at the company’s previous port operations at Esperance in 2006-07, where contamination led to significant environmental damage.

In both cases export containers were packed with lead carbonate from the company’s Wiluna site in the WA Goldfields, and a media storm was quick to erupt after the second breach in late 2010.

When the breach was first reported environment minister Bill Marmion said he had “completely 58

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lost faith” in Magellan’s ability to operate safely, and while the company shut down operations in order to investigate, there were immediately calls for the miner to shut its doors indefinitely.

At the time Fremantle Greens member Adele Carles called on the state government to revoke Magellan’s licence, and said the export of lead carbonate through Fremantle should be banned altogether.

“Magellan has proved that it cannot handle this dangerous product safely,” she said.

In a sign of how quickly environmental breaches can derail a resources project, the storm that erupted in 2011 was the start of an on-again, off-again operation for Magellan that would last years.

Hit and miss

In late 2010 Magellan was issued with a stop work order in relation to readings that indicated there may have been airborne lead particles in a number of sealed containers shipped to Fremantle.

But in early January 2011 an independent review and an investigation by the EPA found the initial readings had been inaccurate, and baseline levels had not actually been exceeded.

The findings were good news for Magellan and the wider public, but the company did not escape the review unscathed, with regulators finding Magellan had not been properly auditing or reporting some aspects of its transportation.

It wasn’t a perfect record, but it fell well short of the findings some of the company’s critics had foreshadowed, and the results highlighted how tenuous a mine’s operation

can be if solid evidence can’t immediately be found to enforce its social contract.

Nevertheless after a thorough investigation regulators were again confident the company could operate within its guidelines and exports from the Wiluna project were brought back online with tough new conditions.

The saga didn’t end there however, with the company registering another scare only several months later.

In April 2011, less than two months after the Government had given Magellan permission to re-start exports, the company again detected lead in mud stuck to the bottom of a shipping container in Fremantle.

After this report Magellan’s parent company Ivernia took the matter into its own hands, placing the Wiluna mine into care and maintenance and reducing its workforce from 220 staff and contractors to around 40.

Up until this point Magellan’s operations had been a fast changing affair but once the mine was placed in voluntary care and maintenance it stayed static for almost a year and a half before plans to re-start were announced in late 2012.

Lessons learned

Magellan’s plan to re-start came to a head earlier this year, with the newly re-branded Rosslyn Hill announcing a fresh operating licence and a plan for exports through Fremantle.

Under the new plan the EPA said a number of “strict conditions” would manage Rosslyn’s operations, including the use of an independent inspector to test all concentrate bags and shipping containers.

An emergency response plan, a $5 million bank guarantee, and increased third party scrutiny of its operations also formed part of the new deal.

And while there’s no doubt Rosslyn deserved increased scrutiny given its history of slip ups and infringements, perhaps the biggest lesson to be learned from this saga was the need to go above and beyond the current regulations.

If miners want to ensure a stable environment it’s not just regulators they have to please, and environmental and health management is not as simple as just adhering to licence conditions and passing monitoring tests.

Ivernia said as much in an investor briefing last year.

“Doing a good job in protecting the environment and the community from harm is not enough,” it said.

“If the community does not see the value of lead then they will not be willing to accept the perceived risk.”

More than simply passing a benchmark, Ivernia said good environmental management was about building solid and trusting relationships with the community, government, and regulators.

Keeping stakeholders informed about the business and its importance was also essential, and without these relationships misinformation can reign supreme.

“Lead continues to have reputation issues and is suffering from uninformed mythologies,” Ivernia said.

“The majority of the community do not see lead as essential to modern life, as they are unaware that without lead their cars cannot be started and their mobile phones and computers would be less reliable.” www.miningaustralia.com.au

ENVIRONMENTAL MANAGEMENT

Battle to stop mine development Mining in Tasmania’s Tarkine is again being challenged as conservationists take their battle to the federal court.

T

he Tarkine National Coalition has lodged a case in the Federal Court seeking a review on Federal Environment Minister Tony Burke’s decision approving Shree Minerals iron ore mine.

Campaign co-ordinator Scott Jordan said Burke approved the mine without knowing the impacts it could have on the endangered Tasmanian devil.

“We will argue that Minister Burke has not acted in accordance with the provisions of the Environmental Protection and Biodiversity Conservation Act, and as such the approvals granted are invalid,” Jordan said.

“This mine should not have received approval, and we are asking the court to rule against it. “ Former Greens leader Bob Brown has vowed to throw his support behind the campaign to stop mining in Tasmania’s Tarkine region.

Brown said the Save the Tarkine group had its work cut out for it in trying to halt mine expansions in the region:“It’s a hard cause. I’m a patron for tough environmental causes.”

Brown said Federal Environment Minister Tony Burke had “thrown the Tarkine open to the mining wolves,” the Mercury reported.

“Tourism and mining don’t coexist. It will damage the brand, it will damage the image and when you do that, people will go elsewhere,” he said.

“The Lake Pedder road is a prime example of it – tourists are just not going there, they are going to intact wild areas.”

Brown said he would fight to halt mining in the region “wherever I go”, and was continually being asked to speak at business events and conferences. However, he said he would decline these invitations unless he could show footage of the Tarkine region first.

“I’ve got a three-minute clip of the beauty of the Tarkine under my arm,” he said.

“You can’t argue with a film of the beauty of the Tarkine.”

Debate erupted over the application for mining developments in the region last year, with Federal Environment Minister Tony Burke rejecting a National Heritage listing for the area. In announcing his decision Burke said while the Tarkine would not receive environmental 60

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The Tarkine has had pushes for National Heritage listing rejected.

National Heritage it would be protected under Aboriginal heritage.

Burke said the decision was a compromise to balance both sides of the debate:“I simply haven’t been able to find a way to recognise the natural heritage values with a boundary that will find a balance.”

“For this reason I have decided to only put the indigenous values on the national heritage list.”

Debate continues to rages between environmental groups who want mining developments halted and companies and potential employees who say opening up the Tarkine region to mining is crucial in the future economic prosperity of Tasmania.Protests continue in the region, as environmentalists campaign to stop the development of new mines.

The Tarkine National Coalition and Groundswell Tasmania conducted a protest last month against Venture Minerals plans for a new mine at Mount Lindsay. Protestors entered the site and unfurled a banner which read: “Stop the MisadVenture – No new mines in the Tarkine!”

“We are sending a message to Venture Minerals that they can

take no comfort to be had in Minister Burke’s failures to protect the Tarkine,” Jordan said. Earlier this year, Tasmania’s Premier Lara Giddings said three new mining projects

were expected in the region following Burke’s rejection of the National Heritage listing.

Giddings said she expected Venture Minerals’ proposal for a $200 million tin mine at Mount Lindsay to be approved, creating 1000 jobs.

She said that developments like Venture’s Riley Creek mine and the approved Shree Metals mine at Nelson Bay were signs that mining investment would grow in Tasmania now that the “dark cloud” of the Tarkine national heritage nomination had been removed.

Those who want to see mining developed in the region say that closing the area to mine expansions would condemn Tasmania “topermanent economic and social disadvantage”.

National Australian Workers Union secretary Paul Howes said the community would benefit from the development of mining projects and says mining needs to expand in the Tarkine to give a boost to Tasmania’s ailing local economy.

“In a state like Tasmania where you have had substantial drops in the size of the workforce, every single new project matters and there are some very exciting projects on the table,” Howes said.

The AWU has attacked environment groups and accused them of being out of touch with what local communities want.

A number of operations are slated for the wilderness area. www.miningaustralia.com.au

Large vehicles, large risks With the mix of heat, flammable liquids, fumes and electrics in an enclosed engine compartment, the potential for a furious fire is high.

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MINE VENTILATION, DUST & FIRE SUPPRESSION

BUSTING Hunter dust New technology is aiding miners in responding to onsite dust issues.

E

nvironmental management within the mining industry is continually evolving, but it has become more difficult.

Regulators are imposing increasingly strict conditions, and mine operators have had to respond with more innovative and technologically advanced systems to meet these demands, which are now considered standard within the mining industry.

This is a major issue in the Hunter Valley where communities are in close contact with mines and living within the shadow of an active mine is simply a part of life.

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However many in the community have pushed back against the operations, demanding stricter operational guidelines and fighting against the planned expansion of many of the region’s coal mines.

One particular requirement is for the continuous environmental monitoring of factors such as noise and dust, which goes a long way towards managing environmental impacts and consequently improves the quality of life for communities surrounding mine sites.

Recently the NSW Environment Minister Robyn Parker introduced

new dust Pollution Reduction Programs for the Hunter Valley.

Mining operations are using research funded by the Australian Coal Association Research Program and conducting trials at a range of sites to look for better ways to manage dust on haul roads and from overburden.

NSW Minerals Council CEO Stephen Galilee said the dust Pollution Reduction Programs represent an important partnership between the mining industry and the NSW Government to tackle the issue of air quality.

“NSW Mining has been very active in monitoring and mitigating

potential dust pollution from mining operations. The industry is pleased to stand by the NSW Government in its efforts to address this challenge,” he said.

Galilee added the industry has been working with the Environment Protection Authority as part of their Dust Stop Program, which started at the end of 2010.

“Last year all coal mining operations in NSW completed best practice reviews of their sites to determine where there is still room for improvement of dust management techniques,” he said. www.miningaustralia.com.au

MINE VENTILATION, DUST & FIRE SUPPRESSION

Mine sites typically manage dust emission through a combination of mine planning, reducing disturbed areas, minimising road haul distances and traffic, use of enclosed conveyors and carrying out continuous rehabilitation.

They also use techniques like water sprays on stockpiles and dust watering carts on unpaved roads.

Extensive monitoring programs at every mining operation measure adherence to air quality standards and recognises areas for improvements in dust management.

With this in mind Novecom has developed a partnership with one Hunter Valley mine to work through the challenge of better understanding and controlling these impacts.

What resulted was a transformation of how noise and water levels were monitored and an understanding of the continuous operating nature of mining has been developed.

The brainchild of the partnership is SentineX, a monitoring, data acquisition and reporting platform which operates remotely and provides advanced capabilities for continuous monitoring of environmental conditions with minimal human intervention. allows ASentineX D _ A MN O R Fusers E B _to1manage 0 . pd the environmental impacts of opera-

www.miningaustralia.com.au

The close proximity of many Hunter Valley mines to local communities has increased the need for dust monitoring and control.

tions and to respond quickly to issues in real time.

Used predominately by environmental managers it provides access to environmental impact data via a dedicated web application and automatically summarises data into pref formatted P a g e reports, 1 1 logs / 1 5and / 1graphs.

0 , 5 The system is also geared up to

send critical SMS alerts if certain parameters are at risk of being overstepped.

SentineX also monitors dust, weather, water and odours such as higher than average levels of methane gas or blast fumes, and can be : integrated 2 0 P M with any data logging or sensing device.

By understanding the true impact of mining activities a number of miners across the Hunter, central west and New England coal fields are using the system and achieving improved business outcomes.

Mine operators have been the main drivers behind the development of the SentineX technology.

AustralianMining

May 2013

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MINE VENTILATION, DUST & FIRE SUPPRESSION

Refurbished dust filters were installed on Fortescue’s Solomon mine.

‘Offline” cleaning systems reduce dust emissions compared to compressed air pulse.

Breathing easy on site Refurbishing dust filters for Fortescue saved the miner time in its site construction.

M

ay brings a number of anticipated milestone for Fortescue Metal Group’s Solomon Mine Project, when the finishing touches will be applied to the Luhr Filter cleaning and ventilation systems at the Firetail and Kings mines.

With value $8A million, A D _a A M P over RI M R _ 1 3 the . p dust control and ventilation systems

for these two ore processing facili- placed. Refurbishment included new ties (OPF) make use of reverse air reverse air cleaning systems, screw cleaning technology aimed at reduc- conveyors, rotary valves, access stair ing emissions and energy usage. towers, access platforms and support Luhr’s proposal included ne- structures. After the restoration, all gotiating the purchase of four pre- four practically new packages were owned low-use dust collectors from covered by a 20-year performance Fortescue’s requirement d another f P a customer; g e 1 these 7 / 0 were 2 / 1refur3 , 1 guarantee.

1 : 4 9 A M bished and all moving parts were re- for speed was a leading factor in their decision to go with the timesaving refurbishment proposal.

Anne Jepson, procurement lead at Fortescue noted that “we were under some very tight time pressures and Luhr Filter met our requirements through their resourcefulness”.

Four horizontal bag reverse air filters and three horizontal reverse pulse filters were implemented across the two Solomon sites, requiring air flows of up to 146,500m3/hr.

EFFECTIVE COMPLIANCE Two stockpile ventilation systems FOR THE MINING INDUSTRY were installed in underground tunnels for diesel particulate and heat, ensur '.1%#6#$.' $7.- 5614'5 ing they are compliant with updated #('6; %#$+0'65 Diesel Emissions legislation. #5 %;.+0&'4 5614'55 A relatively new concept to the 7$' 56#6+105 iron ore market, Luhr’s reverse air 70&+0) off-line cleaning design utilises an #66'4; 5614#)' indexing medium pressure reverse 7561/ &'5+)0 61 57+6 57+ 7+66 air fan and pulse system to eliminate ;174 5+67#6+10 the need for compressed air.

DESIGNED AND The cleaning air is drawn from MANUFACTURED the surrounding ambient air, avoidIN AUSTRALIA ing contaminating the clean side of the bags in the event of a leaking bag.

Trevor Baud, general manager of 1300 134 223 Luhr Filter explained the system is 1300 307 895 termed ‘off-line’ cleaning since the 5#.'5u5614'/#56#T%1/T#7 #7 7 plenum attached to the travelling 999T5614'/#56#T%1/T#7 carriage isolates the bag row being cleaned as well as the rows on either protecting the side of the row being cleaned. This avoids dust re-entrainment on the

SET TING THE STANDARDS WITH INNOVATIVE SAFE NS STORAGE SOLUTIO

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adjacent bag rows and lowers the pressure required for effective cleaning because the row being cleaned is isolated from the main induced draft fan suction.

After the cleaning cycle, the filter bags gently ‘deflate’ back onto the support cage and the carriage indexes to the next row.

This gentle action reduces the dust emissions and extends bag life compared to a compressed air pulse cleaning system.

All seven fabric filters supplied for the Solomon Project were provided with Luhr Filter’s horizontal flat bag design, which not only reduces the overall size of the packages but also minimises the manual handling hazards encountered when maintaining the equipment. By avoiding awkward heavy lifting on required on a vertical bag filter, where hundreds of bags at foot level must be lifted out for cleaning, personnel are protected from unnecessary strain.

The Luhr Filter horizontal bag arrangement allows the access doors to be hinged vertically, avoiding any lifting when opening. Depending on the height of the selected filter bags, most are accessible from a standing position as opposed to a bending position. Luhr filter also limits the length of their horizontal bags to 2.5 metres; the practical advantage of this is realised when replacing the bags, as the bags are of a manageable size and weight. The reverse air cleaned systems also remove the need for long, awkward pulse-jet tubes which need to be removed before changing bags, thus avoiding another manual handling risk. www.miningaustralia.com.au

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To find out more about Limil, Sibelco and our industry-leading products, visit www.sibelco.com.au

UNM13793

AUTOMATION & REMOTE CONTROL

Using WIRELESS to boost automation Wireless systems are allowing plants greater, and faster, control over their systems.

I

ntelligent devices, whether they are valve positioners, temperature devices, flow meters, or level meters, supply additional data such as secondary process variables or device diagnostics that can be used to obtain a better insight into the process.

This data can be made accessible using a HART data transfer protocol. Although new control systems are HART enabled, the many legacy control systems in the field frequently lack the ability to collect HART data. The WirelessHART standard can be used in both retrofit and greenfield installations, providing distinct advantages for each.

The time to engineer and develop the expansion or construction of a process unit can be drastically reduced by installing wireless systems to replace both infrastructure and signal cabling. Moreover, investment costs as well as the costs associated with obtaining the necessary approvals are reduced.

AAsignal daysM 0 5that 1 3 previously _ 0 0 0 _ took L UH to bring online using traditional wir-

1 2 0 1 3 - 0 4 - 1 8 T1 0 : 4 7 : 2 2 + 1 0 : 0 0 Less time and higher flexibility allows maintenance crews to deploy wireless nodes for temporary troubleshooting

Your dust won't go anywhere.

Neither will we.

For more than 30 years, our designs have excelled in the harsh environments of the Australian market.

We stand by our customers. Not just for the length of your project – but for the life of your equipment.

Call us on 03 9764 9166 or email info@luhrfilter.com.au

www.luhrfilter.com.au/reliable

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ing can now be commissioned within just a few hours using WirelessHART. Less time and higher flexibility allows maintenance crews to deploy wireless nodes for temporary troubleshooting or adding “stranded” measurement points to increase safety or improve efficiency. By utilising previously unused HART diagnostic data, a maintenance department can detect issues, for example plugged lines or worn valve seals. Leaks and contamination may also be detected before they ever cause a problem to other instruments or the complete process. What’s more, plant personnel are protected against safety risks. A logistics department can better plan when to turn assets on and off.

What also should not be forgotten is that the efficiency of critical parts of plants and systems can be monitored from remote locations using WirelessHART. The “Purdue Model of Process Control” explains how components in modern industrial networks collaborate. It distinguishes between five levels in the hierarchical structure of a network of control systems. With this model, users obtain a common model as well as standard terminology so that networks in all industrial application areas can be identically structured.

Each level has specified functions and actions for which it is responsible. These responsibilities range from creating preventive maintenance schedules and equipment renovation cycles in level 4, to different types of local instrument control found in levels 0, 1, and 2. Levels 0, 1, and 2 are directly connected to level 3.

This involves manufacturing operations and control, which is directly responsible for establishing immediate production schedules and maintenance routines. Having a better insight into the diagnostics data of the instruments installed in the plant or system makes it possible at level 3 to schedule maintenance routines more efficiently than in the past. Level 3 can be considered a plant network, as it acts as a master of operations to the lower instrument control levels.

By integrating the WirelessHART gateway directly into the control network, additional controls are not required at the lower levels and new measurement points can be set up faster. Directly connecting the WirelessHART gateway with the plant network has proven to be advantageous. This is because the DCS as well as other higher functioning plant tools, such as the asset management system (AMS), and HMI screens. www.miningaustralia.com.au

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INVESTMENT & FINANCE

Australian mining still beating

GLOBAL COMPETITION Despite the slow down in the industry, Australia still ranks positively for investment. Vicky Validakis reports.

L

eading US mining consultancy Behre Dolbear has rated Australia the best place in the world for mining investment for the fourth year running.

Scoring highly on economic and political stability, Australia easily fought off its closest competitor Canada, with Chile, Brazil and Mexico rounding out the top five.

Australia was rated the best country in the world for cutting down permit delays, with Tanzania and Mexico coming in second and third.

The countries with the most delays were the United States and Papua New Guinea.

According to Behre Dolbear, Australia also had the least mining corruption in the world, beating Canada and the United States to take out top spot.

However, like last year, Australia’s rising dollar was rated as a concern.

“While not enough to change its rating, Australia’s inflation is beginning to be a concern,” the report stated.

Behre Dolbear said the mining tax was also a concern in Australia and abroad, and officials in “almost every minerals-producing nation” had been considering raising mining taxes and fees.

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“The inspiration for these efforts may have been bolstered by Australia’s actions over the past year to increase taxes both directly and indirectly on mining operations.”

Overall Behre Dolbear found Australia to be significantly ahead of any other region in the world for mining investment, especially in its handling of economic, political, and social issues.

Australia’s rating fell 0.7 points to 56.3, but was still well ahead of Canada on 54.3. The Canadians closed the gap on Australia courtesy of an improvement in “social issues”, with the report stating that “in Canada, the issue surrounding indigenous people is becoming much less contentious”.

In comparison

According to the latest survey by the Fraser Institute, Aussie miners are more pessimistic about regulation than they used to be, and bosses are increasingly wary of public backlash to their operations.

The study, which hands out a ‘policy potential indicator’ (PPI) for every mining province in the world, works by asking managers and key industry figures how they rate government regulation of their projects.

Judging by the results this year the sector has some catching up to do.

Not one Australia state made the top 10 – a very different outcome to the Behre Dolbear report.

“The average PPI score for Australia is down slightly from 2011/2012, although there has been an increasing trend over the last five years,” the study said.

“WA is the highest ranked Australian jurisdiction with a global rank of 15 and a PPI score of 79.3.”

“Victoria showed significant improvement in both its PPI and rank, moving from 44 in 2011-12 to 24 in 2012-13 due to improvements in political stability (38%) and the legal system (16%).”

While most of the bad news about the mining industry has centred on commodity prices, public backlash and government policy still weigh heavily on the minds of most miners.

The Fraser study showed a pessimistic outlook and most executives, under the protection of anonymity, didn’t hold back their criticism.

One company president claimed “political and regulatory panic” was impacting the ability to move forward, and others blamed regulation for increasing exploration expenses and decision-making timeframes.

The Fraser study indicated 2013 would likely be a slower year for the

exploration sector, with more companies taking a ‘wait and see’ approach to the volatile market.

Industry concerns

A spokesman for the Minerals Council of Australia said the country needs to work on some of its issues to remain competitive.

Speaking to Australian Mining about the Behre Dolbear survey, the spokesman said recent trends in the industry pointed to the need for reform.

“Analysts will always have differing views about Australia, but you only have to look at the recent and significant job cuts to see that Australia is not as good as it could be,” he said.

“It takes longer to develop projects in Australia, we have high taxes compared with other countries and there is ongoing speculation about further imposts on the sector despite the fact we are already a very high-cost economy.

“We are concerned that our international competitiveness is slipping as other countries catch up to us.”

Bob McCotter, environmental mining consultant and non-executive chairman of EMGA Mitchell McLennan (EMM), a planning and www.miningaustralia.com.au

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INVESTMENT & FINANCE

environment consultancy said the results were ‘surprising’.

He said the view of the industry was not so optimistic and that the consensus was there was too much government involvement, resulting in higher costs. “I was somewhat surprised and heartened by the upbeat nature of it (the report) because I don’t think that would be the consensus view within the industry itself,� McCotter told Australian Mining. “The growing complexity and federal government intervention in the approvals process is seen as a significant impediment going forward�.

Speaking at the Kevin Mccann Lecture on Energy and Resources Law last year, MCA chief Mitchell Hooke called for policy changes which would ensure Australia stays competitive in what he called the ‘global village’, and pointed to the reforms made by emerging economies which put Australia at a disadvantage and at risk of losing market share. “There is no salvation in dining out on our natural resources,� he said.

Hooke pointed to higher total cash costs, which he claimed are 30 per cent more than the global average as making Australia an unattractive place to do business for foreign investors.

He went on to say that Australia’s position as a premier global supplier is ‘deteriorating as emerging markets become more competitive�.

Pointing to places like India and South America, where costs are lower, Hooke said natural resource companies will have no choice but to access future resources elsewhere.

More recently, Gina Rinehart also warned that Australia needed to lifts its cost competitiveness.

“One of the things that I’m really concerned about is the cost competitiveness of our industry because our industry doesn’t sell on the local market, it sells on the world market,� she stated.

Rinehart says that making Australia an attractive investment destination was critical, adding it is an issue of which “too few Australians are realising the consequences�.

Australian Mining asked Rinehart which policies she thought needed the most attention. “There’s two in particular,� she answered. “That is new and increasing taxes such as MRRT, such as carbon tax and then there’s also the cost of regulations.�

Rinehart explained that for a recent project in Queensland, over 5000 approval processes had to be submitted. “Now for a big company, say a BHP or a Rio, they have floors of people working on these approvals, this where it is so difficult for small businesses, or even medium businesses, because small businesses have to go through exactly what the bigger ones have to go through and it is really hard for small businesses to go through the myriad of approvals,� she told Australian Mining.

The Minerals Council of Australia also recently released a new ad campaign “Keep Mining Strong�, calling on the government to halt increasing taxes on the industry.

The ad states that Australian mining companies pay over $20 billion in taxes and royalties a year and that if costs continue to increase, Australia will lose mining projects to other countries with ‘lower taxes’.

Continued on page 70

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AustralianMining

May 2013

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INVESTMENT & FINANCE

Continued from page 69

The ad warns that if this hap­ pens: “Australian’s everywhere are the losers.”

Moving forward

As Australian Mining reported ear­ lier this year, government interven­ tion is a particular concern for Aus­ tralian miners.

“Federal Government interven­ tion is such a key issue here in Aus­ tralia,” Grant Thornton national head of energy and resources, Simon Gray said.

There is no doubt that mining in Australia is becoming more expen­ sive, with production costs being driven up by many factors.

Labour costs are through the roof, commodity prices have dropped and the high Australian dollar is add­ ing to the burden, all issues which need attention.

But despite these issues, Austra­ lia is still on top and is not likely to be knocked off anytime soon.

Australia continues to be one of the most highly regarded mining provinces in the world, remaining years ahead of some of the corrupt, war torn, and unstable regions of Asia, A DAfrica, _ A M Mand A Xother N O Vparts _ 1 2of. the pd world.

The demand for high quality coal kept Australia bouyant despite the global downturn.

Many have said that if Australia cern for many mining companies. does not become more competitive, While there has been an in­ mining operations will head else­ creased investment in countries like where like South Africa, India, and Chile and Mexico, it is pretty clear even Russia. that at this stage of the resource But with political stability, tax­ race, countries that have lower po­ es, corruption and social issues rat­ litical and social risks will win over such f ingPthe a gworst e 1 in 1 7 / countries, 1 0 / 1 2 the , 1 lower 0 : 1 cost 4 countries.

AM sovereign risk is still a major con­ “The competition for mineral

resources will make those countries perceived to have the lowest politi­ cal risk, all other things equal, able to attract a significant portion of the global mineral investment as well as receive a premium for their resources over countries where per­ ceived instability exists,” the Behre Dolbear report stated.

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MINING MANAGEMENT

New management needs

NEW APPROACH In the wake of the shakeup of BHP Billiton’s management, the CFMEU says it should also consider a new approach.

L

ate last month BHP Billiton

new lineup in senior management at Following this the CFMEU statthe that 1 company, 2 0 1 3 - with 0 4 many - 1 8 of T 0the 9 divi: 4 5 : ed 3 8 + 1it0should : 0 0 also bring in a new its top level, announcing a sion heads replaced. corporate culture to improve company performance.

Stephen Smyth, CFMEU Queensland district president, said “straight off the bat Mr. Mackenzie should ensure the company desists from its attempts to undermine the role of union check inspectors doing their job making the coalface safer”.

“Trying to cut corners on safety at minesite level is not negotiable for mine workers and only undermines productivity by fostering a combative workplace environment.”

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He went on to state that “the bloodletting at boardroom level reinforces BHP’s slash and burn approach to mineworkers’ jobs”.

“Getting rid of a level of management will help, but mineworkers and their families will look to new CEO Mr. Andrew Mackenzie to introduce a more sustainable approach from the top down.

“Thanks to a reliance on fly in fly out/ drive in drive out and continued insecurity from mine closures, our industry has seen an incredible rate of employee turnover and burnout,” Smyth explained.

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www.miningaustralia.com.au

MINING MANAGEMENT

“Bringing in a sustainable approach to mine operations and investing in skills and training will help address this, and alleviate a national skills shortage of the industry’s own making caused by a failure to train apprentices and poaching labour from other sectors.”

Smyth went on to urge the miner to engage more with local mining communities.

“In previous years BHP provided housing for its workers. Now, when we look at mines like Caval Ridge, its preferred business model is 100 per cent FIFO/DIDO whether workers like it or not.

“Better housing and familyfriendly rosters will mean less worker burnout and stronger mining communities with those benefits flowing on to small businesses.

Unions have also been rallying on the wages front, stating there is scope to increase wages in the coal sector despite companies countering that they can not afford it.

Around 1000 people protested The MCA claims the unions should start telling the truth on wages in coal mining. in Gladstone, demanding action on ways to spread the benefits of the “A report by the Workforce De“It’s not harder for companies to mining boom. velopment and Productivity Agency make a profit, it’s harder for compaThe rally is part of the ‘Let’s last year highlighted that around a nies to make the mega profits they’ve Spread it Around’ campaign, which third of 15 to 19-year-olds are out made over the last two or three years calls on the government to create of work, that many companies don’t and they’ve become addicted to these policies which protects the jobs of lo- want to take time to train them, and massive profits,” he said. cal workers. that Queensland had ‘worrying clus“There is still significant profits “We must ensure this once-in-a- ters’ of unemployment,” Smyth said to be made in the coal industry with generation mining boom benefits all at the rally. competent and intelligent manageAustralians,” CFMEU Queensland These protests and comments ment, some of that which is not disconstruction and general division came after the Queensland Resourc- played in Queensland.” secretary Michael Ravbar said. es Council announced that the minPierce says union members have “For the Gladstone community, ing sector’s high wages are unsus- reasonable expectations. this means more needs to be done tainable in the long run.

“These people are taxpayers, to support local health, education “I know we’re all enjoying them they’ve got children, they’ve got famand road infrastructure, all of which at the moment but they are not sus- ilies to support – they are hit with is struggling to handle the rapidly tainable,” QRC director of econom- the higher cost of living, living in the growing pressures being placed on ics and infrastructure David Rynne mining community,” he said. it,” he said. explained.

“It would be ludicrous to say The CFMEU’s Stephen Smyth However, CFMEU spokesman that they should have a wage freeze said there had not been enough in- Steve Pierce said workers had helped when all of the products and servA M 0 5in1 skills 3 _ 0 training 0 0 _ AU 1 generate 2 0 1 3large - 0 4profits - 1 8 and T 0 9deserved : 0 2 : 5 ices 5 + they 1 0 :are 0 purchasing 0 vestment forE local and have to workers. wage increases. pay for are continually going up.”

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The mining sector’s high wage have been a hot topic of late, with many claiming they are making the industry less competitive as companies also tackle a stubbornly high Australian dollar and increases in production costs.

The CFMEU was itself recently under attack from mining lobbies as a war of words begins over these same coal workers.

The Minerals Council of Australia aimed both barrels at the CFMEU, responding to their ‘Let’s Spread it Around’ campaign.

It rubbished the claims that the industry was not doing enough.

“The CFMEU should break the habit of a lifetime and start telling the truth about mining,” an MCA spokesperson told Australian Mining.

The MCA stated that revenue from taxes collected from the industry was invested in vital infrastructure.

“The industry pays more than $20 billion in taxes and royalties per year and that’s before payroll tax, the carbon tax and the mining tax are included,” the spokesperson said.

“This tax revenue builds roads, schools and hospitals. On top of that the mining sector builds billions of dollars in social infrastructure across Australia.

“The benefits of the mining boom are already being spread throughout the economy. The Reserve Bank recently produced a report showing that mining and its related businesses accounted for 18 per cent of gross domestic product and employed close to a million Australians.”

With the change in senior management at BHP, the likelihood of similar movements at fellow major miners, the push for a greater engagement with the community and higher wages from the unions is likely to intensify.

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73

PRODUCT SHOWCASE

Floating blade plough Flexco have released a new heavy duty floating blade plough for conveyors.

According to the company, unlike previous belt ploughs this latest version features a patent pending failsafe fixed frame and a floating blade for better cleaning and extended blade life.

This eliminates the need for manual adjustment as the blades wear, whilst maintaining constant contact with the belt and ensuring superior cleaning performance throughout the life of the blade. The fail-safe fixed frame means that as the blades wear the frame will never touch the belt, minimising conveyor belt damage. Designed to maximise wide and high speed belt applications, the Heavy-Duty Floating Blade Belt Plough ejects rogue material on both sides of the conveyor while deflecting shields prevent rocks and debris from rebounding over the plough. This eliminates conveyor belt damage and belt mistracking problems.

• Flexco www.flexco.com

Portable spill containment AccorDING to the company they are designed to help remove risks from the workplace and Enware has released its latest counter the human and financial costs of range of spill containment products. industrial accidents.

Work-related injury and illness incidents are now estimated to cost more than $60 billion a year, according to Safe Work Australia, while financial penalties for water and air polluters can be as much as $1 million for a corporation or even jail for individuals in cases of aggravated offences. enware’s range of easily handled relocatable spill-containment products are custom-designed to protect the environment and workers from the many hazardous chemicals found in the industrial and mining industries.

These new products include spillpal drum containment units, stinger snap-foam and snap up berms for large scale immediate hydrocarbon spill response, stinger yellow jackets – lightweight chemical pallets, and stinger spillpals – instant containment berms with removable foam sidewalls.

The flexible, portable and robust containment products are constructed from high-grade specialised polymers to resist diverse ranges of fuel and chemicals, and are produced by one of the world’s leading suppliers of spill prevention, containment and control products, eNPAc. • Enware 02 9525 9511 info@enware.com.au www.enware.com.au A M0 5 1 3 _ 0 0 0 _ D E L . p d f Pa ge 1 1 7 / 0 4 / 1 3 ,

Underground coal mine pumps AlemluBe has expanded its range of products suitable for underground coal mine use with the addition of two new double diaphragm pumps. The PB-15 (1½”) and PB-20 (2’’) double diaphragm pumps are constructed with a Polypropylene fluid chamber & Geolast diaphragms, stainless steel flanges and engineered for maximum fluid and chemical compatibility.

Ideal for use in underground coal mines these pumps Double diaphragm pumps are heavy duty, stall free, freeze free and incorporate a rugged valve system allowing operation under a variety of conditions ranging from clean fluids to slurries and solids up to 1/4’’.

The bolted design ensures leak-free operation and ease of maintenance when required. Inclusive of a muffler, the PB-15 and PB-20 underground coal mine diaphragm pumps produce a low noise level of 78 dBA. The PB-15 has a maximum flow rate of 492 l/min while the PB-20 has a maximum flow rate of 569 l/min. The addition of the PB-15 and PB-20 to the existing Nc-5 and Nc-10 underground coal mine double diaphragm pumps means Alemlube can now offer sizes from ½” to 2” which cover the majority of applications. The pumps weigh 27 kilograms.

• Alemlube www.alemlube.com.au

Handheld test and measurement comPAcT, lightweight and flexible will be the focus of the display by olympus Industrial Business unit (IBD) at Austech 2013. located on stand #790 in Hall 7, the company’s display will feature some of the smallest models in its industry-leading portfolio of innovative test, measurement, and imaging instruments. one featured product will be the palm-sized IPlex ultralite industrial videoscope. Weighing just 700 grams, the Built to withstand inspection compact, durable body delivers high-quality images site drops and falls. from inspections in tough and confined areas. The ergonomic design allows the device to fit snugly into the palm of your hand, to support speedy, fatigue-free operation even during prolonged inspections. other products to be highlighting include the i-SPeeD range of high-speed video cameras and the magna-mike 8600 thickness gauge.

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www.miningaustralia.com.au

PRODUCT SHOWCASE

Hydraulic shovels Caterpillar has unveiled its new 6020B hydraulic mining shovels. the machine is a brand new model in its line of hydraulic shovels. the clean-sheet design features a 22-tonne payload and 220-tonne operating weight and teams with the Cat 777G Off-Highway truck for optimised loading and hauling. Designed for simplicity and reliability without compromising safety, the 6020B Has a 22 tonne payload and 220 tonne features a new, state-of-the-art cab and operator station operating weight. with high visibility provided by a large floor window and expansive windshield and side windows. Unrestricted lines of sight to the crawler tracks and pit floor aid the operator when repositioning the shovel and when loading trucks. the cab design also includes two additional seats for a trainer and an observer. the 6020B three-seat cab design is the first in this size class of shovels. Modular construction with a walk-through power module enables easy access to components and increased serviceability. its modular design also facilitates easier shipping and field assembly of the 6020B. the single-engine configuration also simplifies maintenance. the 778-kW Cat engine powers advanced hydraulics. the new 6020B in backhoe configuration previewed at bauma 2013 and will be commercially available in the fourth quarter this year. the operator station offers a wide range of adjustability to enable operators to adapt the machine to suit personal preferences. the seat suspension and armrests adjust to fit an extended range of body sizes, and the display screen adjusts for brightness and contrast to suit the operator and to adjust for ambient conditions. the climate control system automatically maintains the operator’s selected temperature. the isolator-mounted cab effectively reduces fatigue-causing vibration, and the cab floor features a no-step design that reduces tripping hazards. the cab configuration also places an additional emergency stop button within reach of the trainer and observer seats. the trainer seat positioned adjacent to the operator seat provides an optimal view of the working face and facilitates communication during training. the elevated observer’s work station is positioned behind the operator seat and provides space for a laptop computer as well as an unobstructed view of the operator station and the digging environment.

• Caterpillar www.australia.cat.com A M0 5 1 3 _ 0 0 0 _ A 2 K 1 2 0 1 3 - 0 4 - 1 8 T1 0 : 5 6 : 5 1 + 1 0 : 0 0

Hybrid power communications Caterpillar has released new hybrid power solutions for telecommunications applications. according to Cat, these power solutions can significantly reduce operating costs including a major decrease in fuel consumption. energy power Systems australia (epSa) unveiled Cat hybrid power solutions for telecommunications applications earlier this year. Caterpillar is now offering a wide range of hybrid telecom systems that provide power solutions incorporating renewable resources.

“Caterpillar powers thousands of telecommunications base stations globally and we’ve now added solar and wind power to the mix in order to reduce your costs while cutting emissions,” said Kim Howlett, National Business Manager – power Generation retail, from energy power Systems australia, Caterpillar’s exclusive engine dealer in australia. these solutions incorporate components such as solar photovoltaics (pV); wind turbines; long-life batteries; and diesel or gas generator sets. Cat hybrids can also offer several benefits to the telecommunications industry such as decreased fuel consumption. Cat Hybrid power is the new sustainable solution for the telecommunications industry.

Hybrids are particularly well-suited for applications in remote areas and can be customised to exact specifications. Cat Hybrid power features include factory-built and factory-tested system for high reliability and site uptime; remote monitoring, control, and alarms; multiple, small components operating in parallel to enhance reliability (pV charge controllers, rectifiers, solar panels); the removal and replacement of major components without power interruption (Hot Swap); and vandal-resistant enclosures.

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PRODUCT SHOWCASE

Pedestrian pallet trucks Yale has launched new pedestrian pallet trucks designed to offer greater comfort and ease of operation.

Dubbed the Yale MP20, they are built offering a choice of 1125 or 1173mm long forks, with a 670mm fork spread and a 2000kg load capacity.

The trucks have a 2000kg load Yale’s MP20 pedestrian pallet trucks incorporate capacity. clever design features which enhance ease of use and operator comfort.

These include an impact-resistant, ergonomically designed midmount control handle with cushioned return spring plus a large, turn-table steel bearing for improved manoeuvrability with reduced steering effort.

Performance is also enhanced by a short tilt control arm which delivers a tight turning radius, while cost of ownership is reduced due to low-maintenance brushless aC traction control and the tough and durable new frame design. Yale MP20 Pedestrian Pallet Trucks are ideal for use in applications including logistics operations, intensive vehicle and trailer charging and discharging, cross docking and horizontal transport over medium to long distances, order picking and production line feed in temperatures ranging from 0 to 49°C. Yale is division of the NaCCO Material Handling Group.

• Yale www.yale.com

Compact serial device server laNTrONix, represented by Soanar in australia and New Zealand, have announced the launch and worldwide availability of its new xDirect device server.

This product is a compact serial-to-ethernet device server that provides quick and easy connectivity to virtually any device or machine with a serial interface.

With plug-and-play simplicity and a small form factor, xDirect is suitable for a variety of markets from security to industrial automation to medical and more. it has an integrated ethernet port and serial cable, and multiple power options. xDirect also features a built-in Web server that enables users to access and configure the unit using a standard Web browser on a PC, smart phone or tablet.

• Soanar www.soanar.com

Knife edge rolls TreOTHaM automation has released new knife edge rolls for lubrication-free belt deflection.

Sliding or rolling knife edges are Allows narrow deflection radii. used in conveyor belts in a number of industries including the food and beverage industry, mining and heavy fabrication. The robust iglidur P210 rolling knife edge distinguishes itself by low humidity consumption as well as a proper material resistance and a high service life. The uS FDa conformant all-round material iglidur a180 is for applications with low to moderate loads in a direct environment of food and humidity and iglidur a350 for medium to high load applications.

• Treotham Automation www.treotham.com.au

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Security routers WeiDMuller has released new gigabit WaN/laN industrial ethernet security routers.

The WaN/laN industrial ethernet router translates addresses between different networks using protocols such as port forwarding, 1:1 NaT or masquerading to protect all the ethernet devices of the hidden network and to ensure safe integration into the network. in addition, the router also enables access to infrastructure from around the world, supporting up to 10 VPN connections using OpenVPN as well as iPSec technologies to deliver high-level security with minimum effort.

The model also boasts an inbuilt SPi firewall to prevent unwanted remote network access.

Has an autoThe fully functional firewall can be configured to meet individual learning feature rules for both layer 2 (ethernet) and layer 3 (iP) transport to deliver to automatically top-level security. adapt to traffic. it also has an auto-learning feature that adapts automatically to the network traffic it sees. This feature provides inexperienced network people with highly effective protection. Generated rules can be edited or deleted.

Performance driven, the industrial security router is highly reliable and robust. it supports Modbus TCP commands and also features two digital inputs and outputs for functions and alarms. The gigabit WaN/laN ports enable highspeed throughput of data in corporate networks.

Operable in temperatures from -20ºC to +70ºC the router conveniently runs on minimal power from 7V to 36Vdc and can be battery or solar operated at fixed installations or on vehicles. Housed in a rugged DiN rail mount case to withstand demanding environments, the router is suitable for use in mining, road and transport, and water industries.

• Weidmuller 02 9671 9999 info@weidmuller.com.au www.weidmuller.com.au

Hazard cordoning reCOila has developed new equipment that allows manufacturers to cordon off dangerous section yet still allow thoroughfare if needs be.

Traditionally, businesses have used traffic cones, bollards, wall mounted signage, free standing signs or a combination of these methods to deter Retractable barrier tapes and customers, visitors or unauthorized staff. chains.

When access needs to be made available multiple times a day, bollards andsimilar barrier methods become cumbersome to move and are sometimes not put back in place by staff, and in the case with wall signage, are occasionally not seen at all. reCoila has created a solution for areas that are designated as both thoroughfare and restricted access – a wall mounted safety barrier reel, fitted with 15 metres of retractable barrier tape or chain, in high visibility orange or yellow respectively.

When mounted on the side wall of a doorway or access way, the Bar Series reels allow staff to easily unwind up to fifteen metres of chain or tape and attach it to a hook on the opposite wall. The barrier is quickly and easily retracted when pedestrian or vehicular access is necessary.

The reels have a durable impact and uV resistant outer case coupled with a heavy duty spring mechanism, making them ideal for harsh industrial environments.

• ReCoila 02 9621 8988 www.recoila.com.au www.miningaustralia.com.au

Authorised by the Australian Government, Capital Hill, Canberra. Printed by Bluestar Print, 83 Derby Street, Silverwater, NSW, 2128.

10th Annual Australian Mining Prospect Awards In this issue we have a brief word from some of the sponsors about their companies and why they choose to sponsor the Prospect Awards.

SEW-EURODRIVE

Boom Logistics

SEW-EURODRIVE is proud to be sponsoring the coal mine of the year award at the 2013 Australian Mining Prospect Awards.

As a key supplier to the coal mining industry, we believe in quality and efficiency when it comes to drive technology.

Supplying a range of industrial gear units, motors and drives for especially large movements, we deliver more than just products to heavy industry. A team of talented engineers develop effective and timely solutions based on customers’ motion requirements, which are backed by after-sales commissioning & product support that is second to none.

We also understand that time is money, so units are delivered within a matter of weeks from our local assembly plants, rather than waiting months for items to be shipped from overseas.

The coal mining industry is one of Australia’s strongest assets – as the world’s greatest exporter of coal, we can be thankful for an industry that has given us global recognition. SEW-EURODRIVE takes great pride in sponsoring the coal mine of the year award, which we hope in turn encourages the organisations in an industry which has greatly supported our company over time.

We hope that this award goes to a fitting recipient to provide them with the acknowledgment they deserve for making such a strong contribution to Australian industry.

SEW-EURODRIVE looks forward to further ongoing partnerships with all forms of mining, now and into the future.

Safety Always is a core value at BOOM; caring for the health and safety of our customers, people, environment and community drives all of our activities and decisions.

BOOM recognises the Australian Mining Prospect Awards as a prestigious event in the mining industry, and we are proud to sponsor the Excellence in Mine OH&S Award again in 2013, and to support businesses in this sector that reflect the same safety values held by BOOM. As Australia’s leading provider of innovative lifting solutions, BOOM combines expertise and experience with the largest fleet of cranes, including travel towers, access equipment and specialty engineering resources, to help solve your lifting challenges.

BOOM serves a diverse customer base, including the mining and resources sector, and is relied upon by some of Australia’s largest blue-chip companies. We help our customers to develop and execute the right lifting solution with a focus on safety, productivity, efficiency and customer service. BOOM seeks to be recognised as the safest and leading lifting solutions company in Australia.

Atlas Copco For over 130 years Atlas Copco has supplied the world with mining equipment, making it one of the most experienced suppliers in the industry. Since setting up shop in Kalgoorlie in the 1950s, Atlas Copco has learned from the very specific and in many ways original Australian mining methods, which differ from the rest of the world.

On top of higher demands on people and equipment, conditions faced in Australia (especially water) are very often tougher than most. One of Atlas Copco’s highest priorities is reducing people’s exposure to the drilling process and to the hostile environment often found in underground mines.

With our first experience in automation over a quarter of a century ago, and having spent the past 12 years refining our common rig automation platform RCS, the performance of Atlas Copco’s production drill rigs, RCS control system, rock drills, Cable bolting rigs and innovative braking system (SAHR) have set the standard in the industry for productivity and safety.

The Prospect Awards recognise personal and company achievements, and they recognise the new benchmarks these create within the industry.

As a company and as individuals, Atlas Copco and its staff are pleased to support this event the Contract Miner of the Year and Hard Rock Mine of the Year awards because we appreciate how hard it is to be at the frontier of mining.

78

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AustralianMining

BASF BASF is the world’s leading chemical company: The Chemical Company. Its portfolio ranges from chemicals, plastics, performance products and crop protection products to oil and gas. We combine economic success with environmental protection and social responsibility.

Through science and innovation, we enable our customers in nearly every industry to meet the current and future needs of society. Our products and solutions contribute to conserving resources, ensuring nutrition and improving quality of life. We have summed up this contribution in our corporate purpose: We create chemistry for a sustainable future. BASF had sales of €72.1 billion in 2012 and more than 110,000 employees as of the end of the year. BASF shares are traded on the stock exchanges in Frankfurt (BAS), London (BFA) and Zurich (AN). Further information on BASF is available on the Internet at www.basf.com.

BASF has been active in Australia for more than 90 years and about 60 years in New Zealand. In 2012, BASF posted sales of €540 million in Australia and New Zealand and had 507 employees. Further information is available on the Internet at www.basf.com.au.

Be a leader in Australia’s mining industry and nominate today

www.miningaustralia.com.au

5,(*/ 9=

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8/75$ /21* 5$1*( ' 7(55(675,$/ /$6(5 6&$11(5 :,7+ 21/,1( :$9()250 352&(66,1* With the VZ-4000 Laser Scanner and speciďŹ cally designed software packages, RIEGL provides a perfect solution for the demanding ďŹ eldwork in open pit mining and topography.

+LJKOLJKWV 5,(*/ 9= range up to 4,000m eyesafe @ laser class 1 on-board inclination sensors, GPS receiver and compass integrated connector for external GNSS receiver built-in camera HMI interface and built-in SSD data storage media for stand-alone operation multiple target capability (excellent penetration of dust and vegetation) waveform data output (optional)

+LJKOLJKWV 0LQLQJ 6RIWZDUH RiMONITOR monitoring of terrain deformations by analyzing the changes of surfaces RiMINING optimized and simplified scan data registration and processing workflow for open pit mining, offering, e.g. automatic extraction of break lines, contours, profiles, and calculation of volumes

RIEGL Distribution Partner

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MINING JOBS

To advertise a new job contact Hussein Azzan at 02 9422 2851

To see the latest jobs available visit www.miningaustralia.com.au, which is updated daily.

Production Metallurgist

As a key member of the Processing Department in the role of Production Metallurgist you will provide key technical support and output to the Processing Department in line with the operational needs of the business unit, as well as the greater Rio Tinto group. You will also be involved in identifying and implementing continuous improvement opportunities in consultation with your Team Leader.

In this role, some of your responsibilities will include the following: Responsibility for the recording and reporting of daily, weekly, monthly and annual metallurgical accounts Ensuring Process Plant production and quality targets are met and or exceeded Conducting project work to improve and optimise Process Plant performance (including detailed laboratory test work and analysis) Ensuring sufficient inventories of all reagents and Process Plant consumables are available on site and that regular stock takes are performed Providing technical guidance, support and training to Processing and Maintenance employees.

Providing technical guidance to ERA on all metallurgical and operational matters as required As the successful candidate, you will possess at least 3 years experience in the area of metallurgy in mineral/chemical processing plants together with a tertiary qualification in Metallurgical Engineering, Minerals Processing Engineering, Chemical Engineering or Chemistry. Experience in Crushing/Grinding is Essential You will have experience in process control of plant variables in addition to experience in one or more of the following areas: leaching/solvent extraction/CCD. Strong problem solving ability incorporating troubleshooting of technical and complex issues are a requirement of this role together with good communication skills (oral and written) will be highly regarded. Experience with JKSIMMET, METSIM, MS Office, SAP or similar softwares is preferred as some are required for this role.

Rio Tinto provides a range of lucrative benefits to attract top quality candidates. Some of these benefits include generous remuneration and leave provisions with salary packaging available; full re-location assistance including temporary accommodation, and many other provisions; a commitment to your wellbeing with health insurance subsidies for you and your family and subsidised gym/exercise membership; s commitment to developing your talent with education assistance; and the opportunity to participate in the Rio Tinto Share Savings Plan to find out more contact (0) 8 8924 3500 or go online at www.energyres.com.au

Planner/trainer

We are currently seeking a Planner/Trainer to join our Maintenance Planning team.

Reporting to the Maintenance Superintendent, you will lead and coach a team of Congolese personnel to provide maintenance plans for the Copper processing plant, mobile equipment and infrastructure.

You A willDalso develop and plan _ A M S WI O Cmobile T _ fleet 1 2 major . p rebuild d f strategies P a g eand take 1 a2lead 0 role / 0in9developing / 1 2 , the Life of Asset plans and change out strategies in conjunction with site risk registry.

Need Tunnel Brackets or Pipe Supports?

Call 1800 626 525

Email sales@swiftmetal.com.au 80

May 2013

AustralianMining

www.swiftmetal.com.au

As an experienced Mine Maintenance Planner, you have the following skills and attributes: Relevant mechanical trade qualifications Experience with condition monitoring methods and analysis, contract management, shutdown scheduling and maintenance planning and strategy techniques Experience developing shutdown and major outage strategies The ability to construct and develop short, medium and long term plans Sound MS Project, and SAP/Pronto skills Proven experience in a supervisory capacity A desire to coach and develop others by sharing your skills and knowledge Previous Expatriate work is highly desirable This is a two-year fixed term position, offering a competitive commute roster of 6 weeks on/3 weeks off with fully subsidised return flights to your permanent place of residence. Features of Kinsevere’s village facilities include fully serviced air-conditioned rooms, laundry service, wet mess, sporting facilities (gym, tennis, volleyball, squash, basketball and pool tables) and Wi-Fi access.

Remuneration includes attractive base salary and yearly performance based incentive payment. to explore this opportunity to be part of MMg, please submit your application online, to find out more go to www.twitter.com/mmgcareers.

recruitMent Manager

High Profile organisation lifestyle change opportunity growing Market attractive salary Package Our client is a well known and highly regarded workforce management organisation that services the national energy and resources industries from Mudgee located in the central west of NSW. Due to increased activity in the Energy and Resource Sectors, they wish to appoint to this newly created position an experienced Recruitment Manager to service their existing clients and develop new clients’ as the sector grows.

Reporting to the Managing Director, you will be part of the Management Team and will provide management and leadership support to the existing recruitment team who deal with permanent and temporary placements. You will also be responsible for developing and maintaining new and existing clients. Other responsibilities include the development and installation of HR Systems, Policies and Procedures that comply with relevant legislative guidelines.

Ideally, the successful candidate will have 5 years HR experience in the Resource, Energy or Civil Construction Industry; high volume permanent/temporary recruitment experience; on-line HR Systems development skills and relationship building skills.

A Salary Package circa $200K applies plus removal assistance.

The position offers a career opportunity coupled with the lifestyle advantages associated with 3 : living 5 6 in a Pvibrant M country town in the mid west of NSW that is only 3.5 hours by car from Sydney and Newcastle and daily air services! interested? then send your resume to Michael at Michael Minns Human resources mmhr@ bigpond.net.au

sPecialist – sourcing

Energy Resources of Australia are offering a suitably qualified and experienced person a fantastic opportunity to make a difference. As our Sourcing Specialist your primary duties in this role is to provide sourcing support for capital projects and a wide range of other goods and services by proactively engaging with the stakeholders to develop sustainable sourcing strategies to deliver optimal value to ERA. This role will involve delivering service in tight timeframes in a challenging and demanding environment.

Some of the duties of the role include but are not limited to: SOURCING – Procure a wide range of goods and services for delivery to site on time and at the best possible value by – Analysis and selection of alternative supplier options, Procuring goods/services at best commercial value, Managing supplier delivery performance including expediting TENDER AND CONTRACT DEVELOPMENT – You will be responsible for source of contract tender design, document development, evaluation, and contract negotiation/implementation, Ensure compliance with procurement metrics like cycle time, contract expiry/renewal etc are met CUSTOMER SERVICE – You will be responsible for establishing and managing positive relations with critical suppliers and developing key relationships with industry groups to the benefit of ERA operations, Collaborate with internal customers in operations and maintenance to meet their needs to satisfaction.

PLANNING – In conjunction with team leader assist with the development of the annual sourcing plan to support the goals of the business unit, Participate in the development and implementation of improvement projects and initiatives, Provide analytical support to site in conjunction with trials of alternative products, Actively work with Emerging Market team to review sourcing opportunities To be successful in the role you will need to possess a Degree in Business, Commerce, Engineering or Supply Chain.

Your relevant experiences should be at least 5 years’ experience in a strategic procurement role preferably within the mining or heavy engineering industry; high value Capital equipment procurement experience; minimum 5 years end to end experience in scope of work development, sourcing, negotiation and development of contracts; a strong understanding of contracts; SAP experience would be highly advantageous; highly developed negotiation skills; and strong verbal and written communication skills The role offers the opportunity to progress your career as an Sourcing Specialist within the Mining Industry. Working with a supportive team and alongside the some of the best in the business, the learning opportunities are endless. The role is Darwin based but you will be required to travel to the mine site on a regular basis.

In return for your commitment you will be rewarded with an attractive salary package commensurate to your experience and be eligible for a wide range of benefits that Rio Tinto offer their employees.

Working in a dynamic team and friendly culture, in a business renowned for its world class safety standard this is an opportunity not to be missed.

Your application should include an up to date cV and a covering letter outlining your skills and experiences related to the role. www.miningaustralia.com.au

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EVENTS

Conferences, seminars & workshops Event submissions can be emailed to editor@miningaustralia.com.au Practical Belt Conveying

bring together decision makers from across Australia and investors from neighbouring regions to meet with top solution providers committed to maintaining Australia’s competitive position in mining.

The NG Mining Australia Summit will provide a vital means of communication and an ideal framework for new business relationships to flourish.

Attending this event means: • GDS International www.ngminingau.com

be explored include emerging mining markets, technological innovations and operational excellence, creating global supply chains, and workforce safety. The Austmine 2013 International Conference and Exhibition will showcase Australia’s leading mining equipment, technology and service providers.

The exhibition hall will give you direct access to leaders in the field of mining technology that can assist you in your own mining operations.

• Austmine 02 9229 1000 austmine2013@iqpc.com.au www.austmine2013.com

is the question that haunts every COO in the mining industry. With rising operational costs and falling Four day training course with a commodities, the constant need to strong practical bias for engineers reduce overheads, generate growth, involved with the design or watch performance and increase maintenance of high capacity belt operational effectiveness has conveyor systems for the mining or become the key priority for COOs related industries. today. The COO Leaders Mining Over 1200 engineers have now Summit is Australia’s ONLY event attended one of these courses. designed specically for COO leaders The event is typically held with a from within Australia’s major Mining small class size, while a 300 page companies to discuss and interact as manual is provided. one over a range of important issues The event will be held on: currently facing the industry. The 18-21 March, at the Hotel Grand Austmine 2013 current challenges and opportunities Chancellor, Brisbane 20-23 May will be highlighted through visionary 19-22 August, at the Hotel Grand Perth Convention Centre, keynote presentations; roundtable Chancellor, Brisbane COO Leaders Mining sessions, interactive workshops, Perth 4-7 November, at the Hotel Grand Summit 2013 panel discussions, think tank In 2013, Austmine and Mining Chancellor, Brisbane 23-23 July sessions delivered by your most IQ will be partnering to produce • Tech Training esteemed peers and thought leaders the Austmine 2013 International Crown Metropol, Perth ann.odonovan@techtraining. in the mining community.

Conference & Exhibition.

In 2012, much importance has com.au The one-to-one meetings with The event will be hosted in Perth, grown in the mining sector over the www.techtraining.com.au leading solution providers will on the 20 - 23 May and will draw BOOM, DOOM, GLOOM; so which NG Mining Summit also provide you with a wealth together an audience of international is true? Recent industry reports Australia 2013 of expertise, while the informal mining executives. show mining growth has increased networking opportunities, gala 7-9 May The theme for 2013 is Australian by 11.9% annually which equates A M0 5 1 3 _ 0 0 Perth 0 _ C L E Technology: 1 Inspiring 2 0 1 Global 3 - 0Mining 4 - 2 2 T 1 4 :to 4137billion. : 0 8 + 1 0 : 0 0 dinners and leisure activities create revenue Rendevous Hotel, a unique interactive forum.

Innovation. Specific topics that will “Is this the peak before it crashes?”

The NG Mining Australia Summit will

18 March-7 November

• Media Corp International www.cooleaders.com.au

AIMEX 20-23 August Sydney Showground, Sydney Now held once every two years and firmly established on the international mining calendar, AIMEX is the flagship event within the portfolio of established industrial trade fairs staged by Reed Exhibitions.

AIMEX is where Australian and international suppliers of mining technology, equipment and services come together with mining industry buyers and specifiers from throughout the AsiaPacific region to network and explore business opportunities, and exchange technical information.

• Reed Exhibitions Peter Thompson 02 9422 2472 peter.thompson@reedexhibitions. com.au www.aimex.com.au

For more information and to register, visit cleanenergyweek.com.au 82

May 2013

AustralianMining

www.miningaustralia.com.au

Your work,

your life, your body

50% of all workplace injuries result from poor manual handling.

Don’t let an injury effect your life.

Onsite Health Solutions offer SafeSpine™. A cost efficient approach for organisations to provide training and education to workers in musculoskeletal health and is proven to reduce the incidence and severity of soft tissue injuries within heavy industries.

Call us on 1300 647 000 to find out more.

Workshops • ToolBox Warm Up For Work • One on One Coaching • Interactive Training For more information about SafeSpine™ and other programs, visit us at

www.onsitehealthsolutions.com.au

O nsite H ealth S olutions

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

Tilt cab for easy maintenance access

Quality Isuzu truck with excellent back up

Bus module transferable onto new cabchassis when required

Australian designed and built air conditioning for rugged and remote conditions

Comfortable coach seats with seatbelts

Safe as ... tough as ... comfy as ... Aussie as … an Able Bus & Coach Safety sets these vehicles apart.

This includes, as standard, built-in Rollover Protection System (ROPS) to Australian Standards 1636.1 & 2294.2 and Australian Design Rule (ADR) rollover compliance.

Critically all engineering tests are validated and vehicles exceed the Australian Design Rule weight standards of 65kg per person by a minimum of 53 per cent.

Able vehicles are tough and engineered to deliver outstanding reliability.

The air conditioners are West Australian designed and built to withstand extreme heat and vibration experienced in Australia’s remote areas.

All vehicle framework is grit blasted and primed to protect against the effects of harsh operating conditions above or below ground.

Able fabricated modules are designed for a larger, more robust modified chassis. This makes for a stronger, more reliable vehicle over its lifetime.

Another key feature is the ability for passenger modules to be removed

from an older cab chassis and placed onto a new cab chassis, reducing the overall replacement costs.

Able not only produce quality vehicles, but provide excellent parts backup with our own 400 square meter on-site parts and components store.

Able Bus & Coach is Australian owned; we don’t import modules from overseas.

Our modules and much of

the componentry are proudly manufactured in Australia.

Able buses have been delivering outstanding performance in tough Australian conditions since 1998.

Testament to the Company’s business philosophy of building tough yet safe, reliable and comfortable vehicles that meet the highest standards are customers such as BHP Billiton and Rio Tinto.