Australian Mining April 2014

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VOLUME 106/4 – APRIL 2014

SERVING THE MINING INDUSTRY SINCE 1908

www.miningaustralia.com.au

NO.1 FOR MINING TECHNOLOGY AND EQUIPMENT

The end of

Hunter Valley

open cut mines?

Regional spotlight Coal in focus

Are we seeing the end of an era?

P.10

Underground

Going deeper

The latest mining trends

P.16

Power

Sustainability Powering your site

P.28

Contract Mining

Print Post Approved PP100008185

6-86-8 MAY 2014 MAY

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M&E WA is your premium mining industry marketplace &

• 73% of visitors were satisfied or very satisfied with their overall experience at M&E WA • 45% of visitors stated they held direct authority or influence for purchasing decisions • 91% of visitors stated that they intend or may visit M&E WA again in 2013

Contractor Quandary New ways of working

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COMMENT

Mining It lives!

Australian

Cirrus Media Manufacturing & Electronics Group: Associate Publisher – Martin Sinclair Email: martin.sinclair@cirrusmedia.com.au Editor – Cole Latimer Tel: (02) 8484 0652 Email: ozmining@cirrusmedia.com.au Journalists – Vicky Validakis Tel: (02) 8484 0964 Email: vicky.validakis@cirrusmedia.com.au Brent Balinski Tel: (02) 8484 0680 Email: brent.balinski@cirrusmedia.com.au Ben Hagemann Tel: (02) 8484 0884 Email: ben.hagemann@cirrusmedia.com.au Group Sales Manager – Tim Richards Tel: (02) 8484 0829 Mob: 0420 550 799 Email: tim.richards@cirrusmedia.com.au Key Account 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 Cirrus Media Suite 203, 3700 Campus Drive, Newport Beach, CA 92660 Tel: (1) 949 756 1057 Fax: (1) 949 756 2514 Email: lharthur@ix.netcom.com 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

With the mining tax repeal defeated in the Senate, what is next for the industry?

I

n wholly unsurprising news the Mineral Resources Rent Tax repeal bill was defeated in the Senate.

The unpopular tax’s repeal was voted down in extremely close margins, by 35 to 32 votes.

The repeal was expected to receive heavy opposition, particularly from the Greens and Labor, but some of the factions where support for its repeal was lacking were surprising – i.e. Clive Palmer.

Its failure to be repealed – a key promise from the Abbott Government – mirrored the Coalition’s defeat in attempting to pass through the Carbon Tax repeal bill.

So that’s two from two.

Now anyone can see that the mining tax, in the shape Cirrus Media of the MRRT, is a completely Tower 2, Level 3, 475 Victoria Avenue, Chatswood, broken piece of legislation.

NSW 2067 Australia Locked Bag 4700, Chatswood Delivery Centre, Firstly, where ever they NSW 2067, Australia Tel: (02) 8484 0888 Fax: (02) 8484 0633 pulled the forecast figures ABN 80 132 719 861 ISSN 0004-976X for the revenue it would www.cirrusmedia.com.au © Copyright Cirrus Media, 2014 generate (anyone remember All rights reserved. No part of the publication may be a prediction of $10 billion?) reproduced or copied in any form or by any means without the written permission of the publisher. is anyone’s guess.

That it only managed to bring in around the $400 million mark, a figure similar Average Net Distribution to what BHP claimed in tax Period ending Sep 2013 8,031 offsets and credits to avoid Printed by Bluestar Print 83 Derby Street, Silverwater, NSW 2128 paying the tax itself, labels Tel: (02) 9748 3411 it not just ineffectual but a Published 12 issues a year complete and utter joke.

Secondly, focusing A M 0 3 1 4 _ 0 0 0 _ K I N only - on 1 4coal2 0and 1 4iron - 0 2ore - 1 effectively ignored the wider

Comment Cole Latimer ozmining@cirrusmedia.com.au industry and well performing commodities, or at least commodities that were performing well at the time of the tax’s implementation.

At the time, in a strange twist of fate, I was aligned with former Greens leader Bob Brown in asking why gold wasn’t included, why copper didn’t make the grade, and why uranium was ignored?

Even the Greens agree that the tax is not working.

Senator Larissa Waters suggested that although the tax has problems, these could be fixed.

“The mining tax clearly has its problems, but these problems should be solved by strengthening it, not by

ripping it up,” she said.

“When something is broken, you fix it; you do not throw it out.”

Although her statement that “it is a wonder that this government does not just abolish the parliament entirely and put Xstrata, BHP and Rio overtly in control of the country, rather than just covertly in control” is a bit out of line, considering that the actual tax Rio Tinto paid (such as company tax, normal taxes, and royalties) was close to the $2 billion mark.

It seems everyone thinks that this tax will finally ‘get’ BHP, Rio Tinto, and GlencoreXstrata, Fortescue, and Gina Rinehart and the

simple fact is that it won’t.

Ever.

Who the tax will hurt is the junior miners and explorers, those that have much tighter margins.

It also continues to hurt the states, and the former Gillard/Rudd Government’s attempt to make the tax work at the expense of state and territory royalties, hitting miners twice in the process and showing a disregard for the mining regions which more often than not profited in terms of the royalties being funnelled back into these regions.

Now the money’s whereabouts is being obfuscated and it appears as those the regions affected the most by mining aren’t receiving their dues.

Its lack of repeal, or presentation of a better designed tax, is just hurting the development of Australian industry and our mining regions.

FRONT COVER

2 T1 3 : 1 7 : 1 3 + 1 1 : 0 0

ON the front cover of this edition we’ve featured Sandfire’s massive DeGrussa mine, as we ask the question of whether the industry is seeing the last age of the great open cut mines. We investigate the current trend of underground mining, as miners invest less in greenfield exploration and more in brownfield, as they chase their known deposits deeper.

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AustralianMining

April 2014

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Contents

April 2014 issue HIRE & RENTAL The hire and rental question To rent or to buy........................................p36 Second hand, second chances How tighter markets are affecting hire and rental companies ........................................p37

Getting with the program

CONTRACT MINING, ENGINEERING & SERVICES A dual approach to water well drilling Accessing water in the Pilbara ....................p38 The contracting quandary How mines will use contractors or go owner-operator ........................... p40-41 FRASER SURVEY Australia’s place in the world How Australia measures up ................. p42-43 M&E WA PREVIEW What’s on show ................................... p46-49 Connecting mining enterprises and the IT/OT convergence...p24-26

Regulars Features HUNTER VALLEY SPOTLIGHT Expand or Close: Rio’s ultimatum to the Hunter Valley An insight into the Mt Thorley Warkworth expansion ...................................................p10 Making the best of methane Coal mine methane abatement trials .... p12-16

TECHNOLOGY Five ways tech can help miners survive How to use technology to your advantage .. p32 FINANCE Misunderstanding mining and money The price of poor economic policies ..... p34-35

INDUSTRY COMMENT ................................p6 NEWS ..........................................................p8 PRODUCT FOCUS: CRANES & LIFTING ..p44-45 PRODUCT SHOWCASE ....................... p50-53 JOBS ..........................................................p54 PROSPECT AWARDS ................................p56 EVENTS .....................................................p58

Australia’s place in the world

UNDERGROUND MINING The next age of mining?

Is the future underground? ................... p18-19 Longwall automation goes global Australian technology on show ..................p20 More power in a smaller package New underground coring drills ..................p22 Driving in a new direction Ergonomic LHDs launched ........................p23 AUTOMATION Getting with the program Connecting mining enterprises and the IT/OT convergence.......................................... p24-26 POWER GENERATION & ELECTRICAL EQUIPMENT Renewable mining future Making mining energy sustainable ..........28-29 Gaining greater control New steps forward in power process control ...........................................p30 4

April 2014

AustralianMining

How Australia measures up...p42-43

www.miningaustralia.com.au

AM0214_000_ATL

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INDUSTRY COMMENT

Making better mining decisions in 2014 Schneider Electric Australia’s general manager for marketing and operations, Rocco De Villiers, explains how miners can make the most of the year.

D

uring 2014, the mining industry will continue to feel the effects of the resources downturn with commodity pricing shifts and limited access to capital expenditure causing uncertainty.

Australian miners face a challenging period where they need to focus on optimising their existing processes in order to reduce costs while at the same time increase production.

Companies who are able to manage costs across their entire supply chain, and manage production and scheduling based on better demand forecasting, should be well positioned.

To help do this, we believe that the sector should look to solutions that aid decision-making in all key areas – including energy utilisation, production, asset management and supply chain optimisation.

When making efficiency decisions, it’s important to take a longer processes are becoming increasingly ogies and industry standards, as this term approach to cost analysis and more complex, so it’s important that will not only facilitate the implemenalso understand the wider context of the sector has an uncomplicated in- tation of future technology developthe decision at hand. For example, it’s telligence view with access to real- ments, but will also make it easier vital that miners analyse energy costs time supply and demand forces and to integrate with third party systems in context to production, in context constraints. Customers using a single when required. to supply constraints and demand re- vendor solution rightly have an exInvestment into new and current quirements. Every component in the pectation that this will provide them mining operations has to be made plant that provides information makes with additional benefits such as bet- with informed decision making soluup a piece of this puzzle, and can ul- ter diagnostics, easier connectivity, tions in mind as these will help ensure timately aid in the intelligent decision reduced integration risk and opti- the long term sustainability of the making process of where to optimise, mised performances. In our experi- operation. For new projects, this apgain efficiencies or reduce costs. ence, it’s crucial that single vendor proach will ultimately ensure the creaAOn M 0the 4 1whole, 4 _ 0 0decision 0 _ B Omaking C 1 platforms 2 0 1 4are - 0based 3 - 1on3 open T 1 3technol: 2 0 : 0 tion 1 + 1 : 0 0 of1integrated, intelligent opera-

tions, enabling optimum productivity and controlled quality. For existing operations the ability to sweat your assets by extending their life through better asset management and increasing the value of their input to decision-making toolsets, will ensure the best possible return on investment.

2014 will be a challenging year for the mining sector – however operations that can base their decisionmaking on sound contextual data will be able to thrive in any market environment.

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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.

New Bendigo gold reef theory Two University of Tasmania geologists have achieved international recognition with a new theory about the formation of gold deposits in Bendigo.

For seven years Dr Stuart Bull and Professor Ross Large studied the geology and chemistry around the Bendigo gold reefs in Victoria, one of the sites of Australia’s first gold rush, and have bucked conventional theories about the deposit.

Published by the Geological Society of London, ‘Setting the Stage for the Genesis of the giant Bendigo ore system’ explains that the gold deposits were not made by gold rising as a hot fluid through the earth’s crust, which is the conventionally accepted view of how most large deposits we formed, such as those around Kalgoorlie or the Victorian goldfields.

Instead, Bull and Large have proposed that the gold was sourced from adjacent mountain ranges under the ocean, through erosion and sedimentation into the rock sequence.

The sedimentary rocks around Bendigo are part the ocean floor that existed there 450 millionAyears from M 0ago, 4 1a 4body _ 0which 0 0extended _ GRA southern NSW to south eastern Tasmania.

In his studies of the ancient ocean floor, Dr Bull found that gold was eroded from mountain walls under the ocean, then deposited as sediment in a giant channel-levee complex, an under-sea river, in the area of the mines at Bendigo.

Thiess and John Holland may be sold Leighton Holdings’ majority shareholder is considering whether to merge or ditch business arms John Holland and Thiess amid a major shake-up at the company.

Hochtief, which has increased its share in Leighton from 58.77 per cent to almost 75 per cent, said it was undertaking a review of the company which would also lead to job losses.

“As a result of the general review by Leighton already under way, some employees may become redundant,’’ Hochtief said in its bidder’s statement.

Shares in the company have fallen sharply as investors worry about the construction giant’s Australian Mining gets the latest news future amid lower dividend speculation and every day, providing mining professionals more than $5 billion in debts. with the up to the minute information Hochtief has also flagged plans to change the on safety, news and technology for structure 1 2 0of 1the4business - 0 3 -model 2 4ofTLeghton’s 1 6 : 1 9 : the 2 9Australian + 1 1 : mining 0 0 and resources five companies. industry.

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AustralianMining

cost burden and restore international competitiveness.”

The resource industry lobbyists also said that the Coalition government’s commitment to repealing these taxes was central to their electoral success, and that it must act as soon as possible.

Hochtief said the review could alter the way Leighton Contractors, Thiess, John Holland, Leighton Asia, India and Offshore and Leighton Properties are managed and change “the number and functions of employees” as divestments of assets and businesses are looked in to.

WA business joins the call against resource taxes Western Australian business groups have rallied to call on the Senate to repeal the Minerals Resource Rent Tax and the carbon tax.

A joint statement released by the chief executive officers of the Chamber of Commerce and Industry of WA, the Chamber of Minerals and Energy WA, and the Association of Mining and Exploration Companies stated that the Senate should repeal both the Mining and Carbon taxes to ensure the economy remains competitive and productive, and to create jobs.

“Maintaining a high fixed price of carbon will continue to damage the competitiveness of Australian businesses,” the statement said.

“Australian businesses face increasing competition at home and abroad from overseas suppliers who are not charged for their carbon emissions.

“The high cost of doing business is a key barrier to further investment in Australia.

“Removing these taxes will be an important way for Government to alleviate this

Greens move to suspend all CSG The Greens have lodged a senate motion calling for the suspension of current coal seam gas projects and ask that no new approvals be awarded.

The move follows the release of a report in the CSG industry by The Australia Institute called ‘Fracking the Future’.

The report’s author says “the purpose of the paper is to bust gas industry myths about coal seam gas.”

Senator Larissa Waters says the report shows there is “an alarming” lack of evidence into the health and environmental impacts of CSG. “And yet the Abbott Government is pushing ahead without the science,” Waters said.

“Any funding cuts to the Independent Scientific Expert Committee on Coal Seam Gas or delegation to the states of federal protections for water would make the situation even worse, with potentially disastrous consequences for human health and the environment.”

Waters claims the motion should be passed in light of two incidents at CSG sites in recent weeks.

New goldmine to create jobs near Orange With Regis Resources gearing up for the McPhillamys gold mine project, the possibility of 150 new jobs is an exciting one for the workers of Orange.

If Regis is able to kick-start the project as planned by 2016, it may also mean 500 flowon jobs will be created.

The Perth-based company is currently dealing with the issue of securing enough water for production at the new mine, which is 35 kilometres south-east of Orange.

McPhillamys project development manager Rod Smith spoke to a packed auditorium recently at the jobs expo in Orange, saying the construction phase could start by 2015 if the $150 million project is approved.

“We’ve taken on a lot of new employees at Western Australia and at McPhillamys we intend to do the same,” Smith said.

“At the moment there are 10 years’ worth of reserves, but there’s been no regional exploration so there’s a lot of potential.”

The construction phase would employ about 200 people, but Mr Smith said most would be tradespeople. www.miningaustralia.com.au

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HUNTER VALLEY SPOTLIGHT

EXPAND OR CLOSE: Rio’s ultimatum to the Hunter Valley Rio Tinto’s extension of its Mt Thorley Warkworth mine has angered locals. Vicky Validakis writes.

R

io Tinto has announced it will resubmit plans to expand Mount Thorley Warkworth mine, shocking community groups who successfully opposed the original expansion.

Close to twelve months after Coal & Allied’s approval for expansion of its Warkworth mine was overturned by the NSW Land and Environment Court, the company announced plans to submit two new development applications for the same site.

Rio Tinto Coal Australia managing director Chris Salisbury said the mine is under considerable financial pressure, and that Rio could not afford to wait for a decision of the planning decision appeal.

Planning consent for the expansion was given by the state government, but was then overturned in April 2013 by the NSW Land and Environment Court because the mine would create unacceptable noise and dust problems for nearby residents in Bulga.

In a David and Goliath type battle, the rejection in court was a win for the Bulga-Milbrodale Progress Association who mounted the legal challenge.

At the time, Justice Brian Preston said the mine’s 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”.

Since then the company has had a small win, with plans approved to mine a smaller area of land located within the previous expansion proposal.

However the company said this was only ever a temporary fix, and Salisbury said Rio had to act to protect 10

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the future of the mine before waiting for a decision from the Supreme Court of Appeal to be handed down.

“Our current planning approvals will only allow Mt Thorley Warkworth to maintain existing production and employment levels until the end of 2015,” he said.

“A strong future for Mount Thorley Warkworth will also mean a strong future for everyone who benefits from the mine, from our employees and contractors to the hundreds of other businesses that supply it and the many local communities groups we partner.”

“We are running out of

time to protect the future of the mine,” he said.

“Therefore we have no other option but to go back with a longer term consent approval.”

The company says the new applications will provide it with an integrated operation which can sustain mining within the existing footprint for the next 30 years. It says the plan means the 1300 employees and contractors who work at the site will have job security.

However those against the mine expansion say the new application is almost identical to the last, with merit based mining laws

Opponents say the Bulga forest is at risk in the expansion.

making it easier to bypass this time around. Since the first expansion plan was, laws relating to mine planning approvals and the State Environmental Planning Policy have changed to give greater consideration to economic concerns when challenged by community concerns over the impact of new mining operations.

Bulga Milbrodale Progress Association spokesman John Krey said Rio Tinto had resubmitted the same application rejected by the Land and Environment Court.

“These new plans totally ignore everything the judge said, it’s exactly the same footprint, same demolition of the Warkworth Woodlands, and there is absolutely no protection provided for our community,” Krey said.

“We won a merits based appeal in the Land and Environment Court and now the company is coming back with the same plans having not heeded a word that was said in the court’s judgement.”

“This is a very sad day for Bulga, and with the company saying it will buy 24 local homes then it looks like bye-bye to the Bulga community.”

Krey told the ABC “the SEPP amendment was invented to offset the findings of the Land and Environment Court and we believe that was pressure from Rio Tinto.”

“There’s no secret that there were several sessions that Rio Tinto had with the government,” Krey said.

He also criticised minister for planning and infrastructure Brad Hazzard who in September last year terminated the 2003 Deed of Agreement which protected biodiversity offset land at the mine in perpetuity.

“That land which was supposed to be protected forever is now part of the mine application,” he said.

Krey said the whole process by his association looked like a waste of time.

Rio Tinto has attempted to sweeten the deal with a biodiversity offset package which includes a donation of 1800 hectares of land to be made a national park.

The company has also said it will upgrade its diesel powered heavy equipment with noise attenuation kits by the end of 2016 and offer voluntary acquisition to those residents who were granted acquisition rights under the 2012 Warkworth planning approval.

Salisbury acknowledges Bulga residents will be concerned, but said the company will do what it can to respond to the issues.

“You know we are going to continue to consult with residents of Bulga and we know that some residents obviously have got some concerns,” he said.

“We’ve attempted to respond to some of those concerns and we’ll continue to consult with them through the application process.” www.miningaustralia.com.au

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HUNTER VALLEY SPOTLIGHT

Making the best of

METHANE The latest developments for methane abatement in coal mining aim at making the Hunter Valley cleaner.

Ben Hagemann writes.

I

n a climate of political turmoil, grant, the biggest ever seen by the between the Department of Industry when we don’t know which way University of Newcastle – which is and ACA Low Emissions Technolothe climate tax is going to go, one funding a research project from which gies Ltd. thing is for sure: Investing in cleaner all mining companies and other indusProfessor Moghtaderi has already mining techniques is a safe way to tries stand to benefit. made a public name for himself with go, no matter the political outcome.

The new project is headed up by a geothermal power and waste heat The good news is the mining in- the internationally-renowned energy recovery project named GRANEX, dustry in the Hunter Valley will soon researcher and chemical engineer which was shown on ABC television be leading the way for cleaner emis- Professor Behdad Moghtaderi, fund- program The New Inventors.

A M0 4 1 4 _ 0 0 0 _ T U R 1 4 - 0 3 - 1 3 T1 3 : 2 4 : 2 3 + 1 1 : 0 0 sions thanks to a history-making 1 ed 2to0 the tune of $30 million split But now the Iranian-Australian re-

searcher is taking the clean emissions game a step further in a research program to reduce the greenhouse gas effects of ventilation air methane (VAM) from underground coal mining.

According to Moghtaderi, research and development of a new gas abatement technology will be carried Continued on page 14

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HUNTER VALLEY SPOTLIGHT

Continued from page 12

out in partnership with several multinational mining companies, including Glencore Xstrata, which is the major partner.

“The fact that we have the support of our industrial partners, as well as the Federal Government is an indicator that the whole coal mining sector is supporting this research project,” Professor Moghtaderi said.

The basis of the research is to safely abate the greenhouse gas effects of waste methane from underground coal mining by converting the methane to carbon dioxide, without relying on combustion of the methane.

As Moghtaderi explained, in order for workers to operate safely in underground mine fresh air is pumped from the surface into the mine via a ventilation system.

The exhaust of this ventilation system, which is primarily a mixture of methane and air, is referred to as “VAM” or ventilation air methane, which under normal conditions is simply released into the atmosphere.

“But with the new suite of technologies we are developing, we’ll be able to convert the VAM into carbon dioxide,” Moghtaderi said.

“For this purpose we take the VAM from the ventilation exhaust and transfer it to an abatement unit using a ‘capture duct’ and the abatement unit which is installed at the back end of the capture duct then converts the methane to CO2 before releasing it into the atmosphere.”

Chemical looping

The new abatement technology under development is based on the concept of chemical looping.

Moghtaderi described it essentially as a chemical reaction.

“There are various types of chemical reactions, and combustion, a flame, is an example of one type of chemical reaction, a high temp fast oxidation,” he said.

“That’s normal combustion, what you see when you have a flame.

“Now, there are other chemical reactions which are essentially flameless, and the reaction that we have for chemical looping process is one of those.

“You have metal oxide in this case, like iron or copper oxide. These react with the methane, and they provide the necessary oxygen to oxidise the methane, which turns it into carbon dioxide. The whole process is happening at much lower temperatures than an ordinary combustion, 14

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The issue of dealing with underground methane is a vital one for environmentally conscious mines. Inset: Professor Moghtaderi.

you don’t see any visible flame or anything like that, but in principle it’s very similar, it’s just a chemical reaction.”

The whole chemical looping process reaches maximum temperatures around 500-600 degrees Celsius, whereas in a typical combustion elevated temperatures are recorded as high as 1100 degrees Celsius.

in a conventional gas engine without much difficulty.

“But the concentration of methane in VAM is typically about 1 per cent, so the methane must be converted using alternative methods such as thermal conversion and chemically conversion, like chemical looping.”

Difficulties with methane

In terms of global warming, the potential for atmospheric warming of methane is 25 times higher than that of carbon dioxide, so the goal of methane and VAM abatement is to turn methane into carbon dioxide, a simple enough process with the right tools, and therefore bring down the global warming potential of the fugitive exhaust emissions from underground coal mining.

Professor Moghtaderi is careful to point out the errors often made in relation to reporting the reductions gained by converting methane to carbon dioxide.

“The mistake that people make,

The main reason for trying to abate the effects of fugitive methane from coal mining without combustion is the difficulty of combusting such ventilation air methane (VAM).

“The biggest challenge is that methane is very easy to combust at certain levels of concentration… lower concentrations are harder to convert, concentrations that are below the flammable limit, so normal combustion processes are no longer any help,” Moghtaderi said.

“In waste management, the concentrations of methane are in excess of 10-15 per cent, so it can be burnt

The maths of chemical conversion

especially if they’re running a mining company and have liabilities to report for instance, they talk about this conversion making the methane go down by a factor of 25,” he said.

“That is incorrect, because you also have to consider the mass of methane, which is much lighter, as the molecular weight of methane is 16, whereas for CO2 it’s 44.

“Because you need other material to react with the carbon in methane to make the carbon dioxide, and that is the oxygen provided by metal oxides, so if you do the mass balances you realise that your reducing the liabilities by a factor of about nine.”

“So, with the chemical reactions always based on molecular basis, if one mole of methane, or 16 kg is reacted with the sufficient quantity of air, one mole of CO2, 44 kg will be produced.

“If you convert the above figures to mass base figures you could say that per kilogram of methane about 2.75 kilograms of CO2 is produced.

“Therefore, the real reduction in Global Warming Potential, if one converts methane to CO2, would be about nine (25/2.75 = 9.1).

“The mistake that is often made is that everyone assumes that one kg of methane converts to 1 kg of CO2 and thus the reduction in GWP is 25 (25/1 =25) or in the case of some miners claims, 21 (21/1 = 21) “So, the true reduction in Global Warming Potential is about 9; which is still a significant figure for emissions reduction.”

Safety

As always, the most essential aspect of any new development in the mining industry is one of safety, and enCleaner emissions make for a safer mine and smaller environmental footprint.

Continued on page 16 www.miningaustralia.com.au

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suring there is as little risk as possible introduced to an already dangerous industry.

“One of our objectives in this project is to study the safety aspects of the capture duct, the professor said.

“In this context the project will answer two fundamental and overarching research questions: Can an accidental fire or explosion formed in the VAM capture duct (or VAM abatement unit) be prevented from reaching the mine shaft using properly designed prevention and mitigation measures fitted to the duct; and can the same prevention and mitigation measures interrupt or stop an accidental fire or explosion initiated in the mine shaft from reaching the VAM capture duct (or VAM abatement unit)?”

A spokesperson for the Department of Industry explained to Australian Mining that while this new technology is not specific to the coal mining industry, its application is specific to the circumstances and risks present at coal mines.

“Approximately two thirds of methane emissions from Australian coal mining is emitted in dilute and variable concentrations through the ventilation air systems of underground black coal mines,” the spokesperson said.

“These projects are focused on developing and testing innovative technology solutions to capture this Ventilation Air Methane, while addressing the safety challenges of incorporating VAM capture technologies into the ventilation systems of underground mines.”

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Professor Moghtaderi said that there are other gas abatement technologies available off the shelf from overseas and within Australia, “but we believe that chemical looping will have the advantage over those,” he added.

“Our work on the capture ducts can be equally applied to any abatement unit that you put on the back end of the duct.”

Most importantly, the results of the research into methane abatement, done by University of Newcastle, will be made freely available to the public, including all sectors of industry, the professor said.

“We all agree, the partners, participants, and government, that what is found in this research project ought to be shared for the common good of the sector.”

Timeframe

Testing of the new VAM abatement hardware will be carried in Glencore Xstrata mines in the Hunter Valley, with rollouts commencing in 2016.

A Department of Industry spokesperson said new technology solutions should become available as a commercial reality within the next five to ten years.

“The projects include various stages to be undertaken over a fouryear period, including laboratory and pilot-scale testing and demonstration, prior to the deployment of large-scale technologies and systems,” the spokesperson said.

“The development and commercialisation of this technology will assist the NSW coal industry to reduce its emissions footprint.”

In 2012 coal mining accounted for almost 29 mega-tonnes of carbon dioxide equivalent, or 4.6 per cent of Australia’s net greenhouse gas emissions, according to the Department of Industry.

“Fugitive methane emissions released from the coal seams during mining has to be removed from the mine through ventilation systems to protect the safety of workers, and capturing this methane, which represents two thirds of the methane emissions from mining activities, will have a significant impact on reducing the industry’s emissions footprint.” www.miningaustralia.com.au

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UNDERGROUND MINING

The NEXT

AGE of mining?

As high grades decline and open cuts get deeper, what is the next step for mining?

Cole Latimer reports.

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re we entering the last age of the open cut mine? Is the end of open pit mining near?

Speaking to a number of sources, the answer is clearly no, but as grades decrease and deposits become deeper, the increase of underground mining will continue apace as older open cut mines are worked out and new, deeper deposits are discovered.

Underground mining will soon count for a much larger proportion of total mining.

According to a Rio Tinto seminar in 2010, in 2009 underground operations accounted for 26 per cent of all copper production, however Rio forecast that by 2025 underground operations would account for 40 per cent of global copper production.

This included major copper producers such as Chile and Australia, where massive open cut pits are the norm.

But this is not to say open cut mining has been uneconomical.

Surface mining has been, for some time, the most economical form of mining in Australia.

Underground contract mining specialist Pybar’s group business development manager David Noort told Australian Mining “open cut mines have been, economically, the most viable, which has been due to 18

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relatively near surface expressions”.

With wide open spaces and often remote locations, it has been the more cost effective form of mining, but globally it has already started coming to an end, with Noort explaining that “many of these higher grade expressions close to the surface have already been discovered, so we are left chasing ore down”.

Speaking to Sandvik Mining and Construction’s underground mining specialist Malcolm Campbell, he told Australian Mining that “globally

many surface mines are getting to the end of their economic life, where they are now removing too much waste rock to be considered economical”.

However, Campbell did clarify that in the case of iron ore mines, particularly in Western Australia, surface mining will remain de rigueur; many operations will keep going that way due to many of the deposits being closer to the surface, although they may approach it differently, with operators such as Fortescue Metals Group using sur-

As deposits are mined out operations will go underground to chase the ore down.

face miners instead of the traditional excavator and truck model.

Previously speaking to Barminco CEO Peter Stokes on the issue of underground mining, he stated “we are seeing a great trend towards underground contracting, and the fact that our techniques are getting better is only helping this”.

Technologically, underground mining is also looking more prospective for equipment manufacturers.

Speaking to Rio Tinto’s Australian general manager for geotechnical engineering and cave management, Andre van As, he told Australian Mining that as Rio Tinto develops its block caving expertise in Australia will be looking to unique technologies to do it in more efficient ways.

Rio Tinto has been one of the major developers of the block caving methods, implementing it at its former Northparkes mine and the Argyle Diamond mine, with van As stating that “block caving is a very attractive mass mining method”.

Whilst block caving methods have been around since the 19th century, the technique has been coming along in leaps and bounds, particularly in South America, with van As stating that “the Chileans have been doing it for much longer [than we have in] Australia, most of Codelwww.miningaustralia.com.au

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UNDERGROUND MINING

co’s copper mines (such as the massive Chiquicamata) are block caving operations, and [one of the world’s largest mines] Freeport Grasberg in Indonesia is also doing it”.

Stokes added that there is this shift from open cut to underground already starting in Australia and nearby.

“Tropicana is a surface mine that will likely go underground to access higher grades, and even long term mines such as the Freeport-Grasberg mine in Indonesia is shifting wherethey spent 25 years doing surface mining and will now last another 40 to 50 years as an underground operation - these are massive operations making the move to underground.”

Chiquicamata is a perfect example of how miners are changing their focus from open cut to underground.

The operation has been mined as an open cut for more than 500 years, and to extend this orebody’s life in the most economical manner, they are now moving underground.

According to Stokes Australians also have the skills to make this shift, as they have the experience in creating decline mines, which are cheaper to develop than conveyor or shaft mines.

“Decline mining is definitely an Australian capability which is being pushed out , particularly in Africa, as declines are more cost and infrastructure advantageous compared to shaft mining,” Stokes said.

Pybar’s Noort added that “when mines are starting declines it will usually be at the bottom of the put, as it is just much easier for operators to start as an open pit and access that higher grade, near surface ore and then move to the point where they move to either an underground or sub cave/block caving model to access the remaining ore, rather than go straight to an underground model”.

This was demonstrated with the Ernest Henry mine.

The site has been operating as an open cut since 1997.

In 2009 the miner approved a massive investment to transform the open cut pit into an underground mine.

The plan was approved after a series of studies led to the mine’s ore reserves being revised to 72 million tonnes at a grade of one per cent copper, 0.5 grams per tonne gold and 22 per cent magnetite.

The company said this was a 600 per cent increase on previously published underground reserves.

The move by Xstrata has breathed another 12 years of life into its Ernest Henry Mining operation www.miningaustralia.com.au

Ernest Henry went from an open pit to installing a decline and going down.

near Cloncurry, which has now successfully transitioned from open cut last year into an underground mine and is now on track to reach full production levels.

Stokes was keen to add that in making the shift underground “it’s all about how deep you go, and decline mining makes more sense going around one to two kilometres underground, however anything below that you’d look at conveyor or shaft operations”.

Speaking to GE Mining CEO Geoff Knox he explained to Australian Mining that “the technology demands for underground operations are higher than for open cut, and stronger certification is required, so it’s not an easy field to enter, but for those that can it provides a real point of differentiation”.

Campbell stated that this is what drove Sandvik to develop a new, tight turning narrow vein drill for underground mining.

“We’ve seen a global rise in interest in smaller equipment; in Australia we’ve typically used larger machines and now we’re seeing some interest

turn towards these smaller machines as there is no reason, or need to move as much waste rock.”

However, other new underground technologies and techniques are allowing miners to access deep, low grade, massive orebodies which previously would have been considered uneconomical.

The rise of automation and mining’s technical proficiency in the arena is a major area where new technology is allowing operators to access orebodies that were either too uneconomical, or potentially too dangerous to work.

Noort went on to add that “with underground we aren’t seeing as many technical problems, but it is the variables this technology encounters that provides the stumbling blocks – it’s not a communications issue but reliability of the equipment Technology-wise, one of the major indicators of the greater importance being placed on underground mining has been the shift of previously open cut focused mining machinery manufacturers – such as Caterpillar and Komatsu, moving underground.

New technology is being developed for the smaller, more automated mine.

Caterpillar did this through its acquisition of Bucyrus, and a greater focus on new underground equipment. Komatsu did this through its new partnership with GE Mining.

Noort added that “if you want to get into the mining game, or strengthen your position in it, you have to get in to underground”.

While the full details of the partnership between Komatsu and GE Mining are yet to come to light, Knox did tell Australian Mining there will be some interesting developments coming out of the joint venture.

Noort added that Pybar itself is also looking at sub-level caving technology, stating that “we’re looking to lever proven, practical applications of technology to become more efficient”.

Knox went on to say that in the meantime it remains “an interesting phase in the industry as everyone is now focused on the real business of mining i.e. efficiency and productivity”.

The focus has also turned towards the future, and how the current trend towards cutting back exploration as well as the depth of new discoveries, will affect the mining industry.

As all miners cut back exploration, with BHP and Rio Tinto making enormous cuts and forecasting even more, it is unsurprising that the industry is seeing less grassroots exploration – particularly from juniors – and more minesite exploration, which more often than not is operations chasing their existing deposits down their full strike and depth.

“We are seeing more brownfield, rather than greenfield exploration,” Noort explained.

Part of the issue behind this is the wider cost cutting, but there is also the issue of the percentage of new discoveries increasingly being either covered, or completely blind.

Essentially, it is easier to chase down existing deposits that you know exist, than try to search for larger, near surface deposits that are blind.

“This longer term trend of a reduction in greenfields exploration means we will see an increase in open cut pits turning into underground operations,” Noort said.

Campbell stated that much of the future for mining will be underground.

“We’re seeing fewer new nearsurface discoveries, and mines are chasing their existing deposits into deeper and deeper depths, so miners will continue to follow it down.”

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Longwall automation goes global After success on home soil, Australian automated longwall technology has taken to the international stage in coal mines in the United States. Tim Thwaites* reports.

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he mine of the future is a combination of automated and semi-autonomous machines.

However, in underground mining the potential for total automation is high.

More and more the industry is seeing coal machinery and hard rock equipment becoming automated.

In the case of certain types of underground mining, such as block caving or sub-level mining, they are already known as rock factories due to the highly repeated, automated nature of operations.

But the question remains, why are miners looking to implement it on their sites?

CSIRO’s longwall automation technology can deliver productivity increases of up to 10 per cent, but it also provides scope for much more than increased productivity – it can also improve safety by reducing the level of hands-on interaction of miners with machinery in hazardous underground areas.

“That’s why more than 20 of the 30 or so longwall systems in Australia are already operating with, or about to embed, the CSIRO technology,” Dr. David Hainsworth, who leads CSIRO’s mining science and engineering research program, explained.

A global equipment manufacturer has now taken the technology to the United States and the same company is now evaluating the technology for other global markets.

Automation has changed how miners look at their sites.

In the longwall process, which accounts for about 90 per cent of Australia’s underground coal production, a shearing machine with large rotating cutting drums is driven back and forth across the coal seam. With each pass a massive ‘slice’ of coal is ground off, falling onto a conveyor system that transports it away from the face.

Australian developed technology has taken longwall shearing by storm.

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Clearly, alignment of the machine is critical to its performance and in the past the machinery had to be stopped and adjusted every so often.

This risky job was carried out manually.

In the late 1990s, CSIRO researchers came up with — and patented — an idea for automating the process, at the time as the industrybacked funding body, the Australian Coal Association Research Program (ACARP), independently decided that automation was a priority for the future.

“The resulting research program was a resounding success, not only in terms of innovation, but also as a model of implementation,” Hainsworth said.

“The industry, equipment manufacturers and researchers all worked together. Having industry champions for the introduction of new technologies is essential.

“The involvement of ACARP meant support from mining companies for field testing of ideas and prototypes when needed.”

Automation requires the ability to determine the equipment’s posi-

tion accurately in three dimensions, in order to plan and control its movements.

GPS technology can not be used underground, so the CSIRO researchers resorted to highly precise inertial navigation systems developed to guide ballistic missiles and tanks during the pre-GPS days of the Cold War. Second, the position of the machinery has to be communicated to its controllers and subsequent adjustments back to the machine.

CSIRO developed a communication system based on the commercial implementation of its own WiFi ethernet.

Finally, ACARP demanded an open communication protocol to enable all the elements involved in automation to communicate with each other no matter from which manufacturer they came.

Hainsworth says the most important thing to emerge from the project was the commercialisation model.

“The technology had to be delivered to the industry as an integral part of longwall mining equipment, not just an add-on, and it could not be exclusive to just one manufacturer – this was an ACARP requirement. Finally, as a research organisation, CSIRO could not support this technology directly in the field,” he said.

Fortunately the equipment manufacturers saw that the industry was committed, and that they needed to buy into this technology, so they accepted a non-exclusive licensing model.

The real key was CSIRO’s initiative to use part of its IP revenue to provide guaranteed technical assistance to each manufacturer early in the lifetime of the system.

The manufacturers recognised that not only had they avoided development costs, but the system would be supported through its teething period and continually upgraded by the people who understood it best.

This article originally appeared in full in CSIRO’s Resourceful magazine, and is republished with permission. www.miningaustralia.com.au

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More power in a smaller package Boart Longyear has released a new underground coring drill that packs a greater punch.

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s miners nove into more underground operations, they are looking at new ways to get more and more out of their equipment.

While safety is the key concern, they are focusing on machines that are more efficient and are opening the potential for the introduction of autonomous, semi-autonomous, and remote control operations.

As such machinery manufacturers are now developing machinery that packs more power into a compact package, and is, to a degree, ‘futureproofed’.

With this in mind Boart Longyear has launched a new underground diamond coring drill rig – the LM 110.

According to the company the new rig is the latest in its LM modular diamond drill rig lines, and is designed for drilling deep holes.

Boart Longyear added that “this is the most powerful Boart Longyear underground diamond coring drill rig to date”.

It comes with a 100 kW power pack, and is able to deliver 33% more torque at the drill head than the previous model – the LM90.

The LM110 also features a

128kN feed frame, and provides high pullback force and a fast rod-handling for increased productivity It was developed after underground drilling customers required more torque at the drill head, according to Boart Longyear senior product manager Justin Warren.

Part of the wider LM series, which includes the LM30SS, LM55, LM75, and the LM90, the rigs range from small and compact to more robust drills, which all use an electronic control system.

The drill are made from five modular units, a power pack; feed frame; rotation unit; foot clamp; and controller.

“Because of the modular nature of the LM series, Boart Longyear can provide the 110-kilowatt power pack as an upgrade kit to customers that already own an LM series drill rig, providing a more cost effective option than purchasing a complete new drill,” Warren added.

The LM110 can be built with a rod handler and drill control interface for increased safety and hands free operation, as well as semi-autonomous drilling.

The drill has a 110kW power pack and 33% more power.

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The machine is built to emit lower carbon emissions underground.

Unveiling the LHD at China Coal & Mining earlier this year.

Driving in a new direction New, more ergonomic LHDs are set to hit the mine.

T

he underground mine ments such as its sealed battery is transforming. Speak- technology, and the acquisiing to GE Mining CEO tion of collision avoidance sysGeoff Knox, he told Australian tems company Infotronix.

Mining that underground minOne of its latest developing is very prospective, which ments in the underground is why it has been making ma- mining sector is a new Load jor inroads into the sector.

Haul Dump (LHD) Loader, “Underground mining’s which it launched to the martechnological demands are ket at the China Coal & Minhigher than open cut mining ing Expo earlier this year. and stronger certification is According to GE Minrequired, and our new tech- ing this new LHD “is a safe, nology is what is setting us purpose built vehicle with apart in this arena,” he said. best practice Human Factor AKnox M 0 3pointed 1 4 _ 0to0 develop0 _ M I N designs”.

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One of the major changes has been the direction the driver faces.

“This is the first new product of this size for us,” Knox told Australian Mining, adding that GE focused on ergonomics and safety in the LHD’s design and that “the driver operates the LHD facing forwards, so we’ve built the operations and interface around that design”.

GE mining stated that “the ergonomically designed T 1 0 : 3 5cabin : 4 1can + 1 signifi1 : 0 0 operator’s

cantly reduce the risk of occupational working injury and increase the operator’s visibility, [and has been] combined with advanced motion control systems”.

“The LHD features a centre mount adjustable height cabin with a swivel seat to allow the operator to face the direction of travel and access to the cabin outside of the articulation zone, which greatly improves operator safety as compared with the traditional loader.”

Importantly, the new LHD has been built with a Tier 3 diesel engine, for safer underground operation and the minimising of emissions in the tunnels’ confines.

It will be going on an Australian roadshow, with the focus on the Queensland coalfields.

According to Knox GE Mining is also currently working on a new concept for underground mining, which it will roll out at MINExpo 2016, in Las Vegas.

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AUTOMATION & REMOTE CONTROL

Getting with the PROGRAM New technology is enabling connected mining enterprises with a new generation Programmable Application Controller.

Shaun Loesch* writes.

T

he current Australian resources environment poses many challenges for mining companies.

Rising costs, reduced capital investment, remote operations and lower commodity prices are leading to profitability and productivity being squeezed. Safety and sustainability levels are continuously under pressure too.

These challenges are forcing mining companies to cut costs and look for ways to maximise operational performances, with a focus on raising the productivity of existing assets and resources.

One of the ways in which mining companies are looking to improve performance and overcome their many challenges is by making better use of the vast amounts of information which exists within their operations.

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This information exists across the many devices, equipment, applications and systems that are required for a mining operation to function

effectively. In the past, extracting valuable information required complex integration projects to be undertaken to tie together the various dis-

parate and proprietary networks into some semblance of an integrated system.

Today, mining companies are taking advantage of

Miners are taking advantage of IT/OT conversion for productivity implementations.

the IT/OT technology trend, whereby open IT standards have extended to the shop floor via the process control system (PCS).

This improves connectivity and interoperability and allows them to become a connected enterprise.

The move towards the connected enterprise requires a technology architecture that is capable of moving large volumes of data and information from the many connected devices found across the operation.

This data is moved to the higher level applications and systems used for visualisation and analysis.

At the centre of this technology architecture is the Process Automation Controller (PAC).

Continued on page 26 www.miningaustralia.com.au

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Continued from page 24

The traditional role of the PAC and its predecessor, the PLC, has been to monitor and control the devices, equipment, applications and processes found within the mining operation.

In today’s mining technology architecture, the role of the PAC has been extended beyond monitoring and control.

It is now responsible for handling increased connectivity to a larger number of devices and the management of the large amounts of available data.

In order to meet this increased responsibility a new generation of PAC is required.

The new generation of PAC implements functions and services which support: • Secure and efficient process automation • Ethernet transparency, dis­ tributed intelligence • Links with business applications • Web integration • Interoperability • Device communication us­ ing Ethernet and web standards With the integration of Ethernet into the backplane of the new generation PAC, the demands for connectivity, transparency and interoperability can be met.

In order to meet the demands of connectivity, transparency and interoperability, the new generation of PAC has Ethernet at its core.

The integration of Ether­ net into the backplane of the PAC allows the seamless flow of data and information from devices and equipment in the field to the higher levels systems and applications that need it.

Unlike traditional PAC/ PLC systems where large amounts of data mapping was required to achieve this, often at the expense of increased engineering costs and data quality.

Of course, with the extra functionality of truly integrated Ethernet, the new generation PAC has been designed with this requirement in mind from the start.

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PACs allow for higher level systems to visualise and analyse data.

This ensures that the performance in monitoring and controlling the different applications and processes for which it is responsible are not compromised by the extra demands resulting from managing increased device connectivity and information throughput.

The new generation PAC with Ethernet at its core not only ensures that its performance exceeds the demands placed on it, both now and in the future, but it has to achieve this while maintaining high levels of security.

Cybersecurity threats from external or internal sources are issues confronting all mining companies today.

Deliberate or accidental breaches to system integrity

have the potential to impact not only profits but people and the planet as well.

Therefore the new generation PAC is designed with cybersecurity in mind and not just added afterwards like many traditional PAC/ PLC systems.

As a minimum, it must incorporate standards such as IEC62443 for implementing secure industrial automation and control systems.

Notwithstanding the integration of Ethernet, the new generation PAC must also deliver the performance, flexibility and reliability that are expected from such solutions.

It ensures the high performance expected from the most demanding applications by being built on a new

The new controllers are opening up new avenues for automation.

generation microprocessor designed specifically for industrial applications coupled with large and extensible memory.

The new generation of PAC also offers extensive flexibility, not only in terms of architectures resulting from ATEX certification and the integration of Ethernet, but also in terms of the functionality provided as standard. On board native time stamping of I/O, integration of additional networks and field busses such as HART and Profibus and the provision of weighing modules ensures that this next generation PAC is equipped to cover the diverse range of applications found within a mining operation.

It is this diverse range of applications that can impact the reliability of such systems.

From the specific requirements of underground mining through the often harsh environments found in many surface mining applications, the next generation PAC ensures continuous operations under such conditions by offering ATEX certification for hazardous environments, as well as conformal coating and extended temperature ratings as required.

Not only will the next generation PAC meet the future requirements of mining companies, it will also protect their investments by delivering high levels of performance, flexibility and reliability across many different applications found in the mining industry.

Leading energy management company, Schneider Electric has developed the world’s first ePAC with Ethernet built right into its core.

It enables operational transparency and openness using industry standard technology. *Shaun Loesch is the PAC solutions manager, industry business, at Schneider Electric Australia. www.miningaustralia.com.au

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POWER GENERATION & ELECTRICAL EQUIPMENT

RENEWABLE mining future?

New hybrid power approaches are cutting costs and decreasing environmental footprints.

Ben Hagemann reports.

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iners are finally starting to look at ways to get their power generation off the grid with renewable energy sources.

Although the technology is burgeoning, the way of the future lies with hybrid power generators.

Global economies are always driven to expand, and with that the demand for metals and minerals continues to increase. But the current market has been putting a lot of pressure on the big miners and their service contractors to reduce operating expenditure while they weather the storm.

In remote locations where there’s little to no access to grid power, which means most Australian resource sites, the problem of power generation needs in mining camps, construction projects, exploration crews, and telecommunications is usually dealt with by traditional diesel fired generators.

Large, standalone diesel gensets can run 24/7, and are the most common option given that they are easily installed and need virtually no infrastructure, not even a foundation pad, meaning low up-front capital expenditure. Portability is also a ma28

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jor factor for easy mobilisation in construction or exploration.

However, they require large supplies of diesel, daily refuelling, and regular maintenance and servicing.

They’re also noisy and harmful to the environment, meaning CO2 emissions, as well as the additional cost of the carbon tax.

All of these downsides mean that diesel genset running costs actually become pretty expensive in the long run.

With the growing focus on reducing operational expenditures (OPEX) and being more environmentally responsible, operators have started turning to more cost-effective and clean alternative energy solutions.

Thanks to modern tech developments, there are a number of options, but operators always face the inevitable trade-offs.

Cycled gensets (CDC) have a large battery bank connected to the DC power system.

Typically the site runs from the batteries and mainly uses the genset for recharging, which is better for fuel efficiency and life, but cyclic batteries are more costly and require a cyclic smart controller.

There is also solar and/or wind power generation, but this requires over-sizing of the solar panels or photovoltaics, wind turbine, and battery banks due to seasonal variation of the available light and wind.

While the running and emissions costs are extremely low, a setup like this is very expensive from a capital expenditure perspective.

Hybrid power generation

Hybrid power generators are the new “fourth estate” in remote location, off-grid power generation.

Exclusively, this is a combination of two or more energy sources coupled with a large battery bank connected to the DC power system.

When available, a hybrid system can run on solar or wind, run a site, and charge the batteries, but if renewables aren’t available, the site can be configured to function much like a CDC gen-set. This reduces operating expense by charging the batteries with any excess power harvested from renewable sources. In doing so there is less need to use the gen-set for battery charging. The only major downside to a hybrid solution is the large initial CAPEX outlay.

Leading the charge

Started up in July 2012, the Australian Renewable Energy Agency (ARENA) is a government body dedicated to stimulating growth in the renewables sector, to make renewable energy solutions more affordable, and increase the amount of renewable energy around Australia.

Taking expressions of interest for renewable energy production grants last year, ARENA is now assessing projects for their viability, and the mining sector in Australia has shown a lot of interest with 30 separate applications for funding renewable projects.

CEO Ivor Frischknecht has a long history of dealing with renewable energy initiatives, having worked on clean technology investments at venture capital firm Starfish Ventures as the investments director, as well as directing new ventures at renewable energy start-up investor Idealab, among other renewable investment roles.

“We have an existing program, the Regional Australian Renewables program, with around 30 mining applications right now,” Frischknecht told Australian Mining. www.miningaustralia.com.au

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POWER GENERATION & ELECTRICAL EQUIPMENT

ARENA is now at the stage of assessing the various funding projects and expressions of interest, with some mining companies having been asked to submit a full application.

“All of those players are interested in exploring how renewables will work, and without exception, their motivation is cost related,” he said.

“More than that, renewables cost a whole lot more up front than a conventional diesel genset, but they cost a whole lot less to run than a genset does, so those two things trade off against each other.

“They’re obviously interested in the lower cost of energy overall, taking into account both the capital cost and the operating cost. And so both the mining companies and ARENA believe that ultimately renewables will be cheaper.”

“There’s also some perceived risk Wind turbines may soon become a familiar sight on mines around Australia. in relation to operation, you know, people are worried that the technol“The biggest barrier to projects [for the mining companies] it hasn’t ogy might not work as intended, like these is a lack of knowledge. been done before: for example, there or that somehow the system will How do you plan it? How do you get are transportation and construction go down, so as a result we provide approval for it internally? What are issues that you wouldn’t have with the incentives required to overcome the external approval processes that diesel gensets because you know exsome of those risks, both real and you need to go through before you actly what you need to happen with perceived.” can start construction on a renew- them.”

Frischknecht says these risks able energy project,” Frischknecht There’s a whole host of questions aren’t simply limited to the up-front said. that need to be answered in planning purchase ofEhybrid A D _ Acosts MF L F E B power _ 1 3 .genpdf P “There a g e are 1 a whole 2 3 / bunch 0 1 / 1of3ear, 9 a: renewable 3 1 A M off-grid project such as eration. ly costs andPage additional risks because this, and people don’t know the anBB-0402 LoosenMaterial_Layout 1 1/18/13 2:52 PM 1

swers, so there’s a whole bunch of additional effort that’s required.

“For example, how do you transport this equipment in, is it sensitive, is it going to shake to bits on the road and does it have to be flown in? Can you use standard construction workers or do you need to have specialised technicians?

“So this isn’t core business, even though there might be a saving involved, it’s a hurdle to get over.”

Despite the hurdles, Frischknecht said that the mining industry, although a little shy about risking the money on such brave new projects, is one of the best places for ARENA to make investments, to offset those risks and help industry to find the confidence to get involved in experimenting with renewable energy sources that, in the long run, will deliver lower operating costs for everything from small exploration camps, right up to production level power generation.

“From our perspective, this is a very important initiative as energy demands in the resource sector are growing pretty strongly,” he says.

“So this off-grid market, particularly in the resources sector, is exactly where you want to be focussing investment, on the opportunity for making long-term cost reductions through renewable energy.”

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POWER GENERATION & ELECTRICAL EQUIPMENT

Gaining greater control Schneider has taken a new step forward in electrical control equipment.

S

chneider Electric has just released Modicon M580. It is said to be the world’s first ePAC (Programmable Automation Controller) which is based entirely on Ethernet.

It gives industrial plant teams the ability to design, implement, and run a process that actively employs all the benefits of open networking, such as increased visibility to key process Allows teams to modify applications data and events, enhanced transparon the fly. ency and consistency of information, and large capacity for data traffic.

“The heart of the new cutting- each connected device – the SPEAr • Rapidly diagnose and identify root edge Modicon M580 is the SPEAr technology applies Ethernet comcauses of issues (Structured Processor Enhanced Ar- munications to the field bus, control • Access consistent and accurate chitecture) microprocessor that em- bus, and internal backplane bus, and, data for timely decisions beds inside the controller standard consequently, to all the connected • Make informed decisions about unmodified deterministic Ethernet equipment and modules. energy management and applies it to all communications, “Ethernet is also automatically • Reduce downtime with detailed including all the way to the hardware applied to every device in the netinsight into alarms and events connection on the backplane,” said work, such as electrical distribution, Marc Lafont, Marketing DirecAntonio Chauvet, research and devel- low-voltage boards, and energy man- tor for Modicon M580 at Schneider opment director at Schneider Electric. agement functions – to form a com- Electric, said “the ultra-powerful He further explained: “The result plete and open system.”

600MHz ARM dual-core processor is an outstanding level of transparAs a result, many types of data are is the digital engine inside the M580. ency delivers A Mand 0 4 performance, 1 4 _ 0 0 0 _without WI L any 1 aggregated 2 0 1 4 seamlessly - 0 3 - 2 and 0 T made 1 3 : avail5 5 : 3 0 +“It 1 1 : 0 0 an extremely high level Mining.pdf 1 20/03/2014 of 12:29:58 PM to the operators to help them: need for Australian manual configuration able of computing power and connectiv-

ity, enabling us to build safety features right into the controller and enhance its resistance to cyber threats. In addition, with integrated Change Configuration on the fly, plant teams no longer need to stop their process to add a drop or module, change architecture, or even modify the application.”

Upgrading to Modicon M580 is possible without additional investment in wiring, software development, or training. Based on the proven Modicon X80 range that includes the widely acclaimed on Modicon M340 controllers, M580 extends processing and architecture capbilities.

M580 also allows compliancy with Xbus communications of Modicon Premium, meaning that depending on the current system needs, users can easily switch between the different controller sizes in the Modicon range without changing their I/O racks and cabling.

Developed applications are preserved in the Unity Pro configuration software and remain fully operable with only minimum adjustment.

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www.miningaustralia.com.au

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TECHNOLOGY

Five ways technology is HELPING contractors SURVIVE downturn As miners tighten their belts, contractors and METS companies are bearing the brunt of the cost cutting. IFS’s Rob Stummer* writes on five ways to see it through.

W

ith the mining industry facing more challenging conditions, companies are looking very closely at their operations and working out how they can improve them to boost productivity.

Whereas the early stages of the mining boom saw companies develop projects at almost any cost – with spectacular growth in the businesses of Engineering, Procurement and Construction (EPC) firms – now companies are looking to reduce costs through longer-term supply arrangements, new commercial arrangements with increased transparency and use of more specialist contractors to achieve greater efficiency gains on site and throughout their operational chain.

As a supplier of ERP software to the mining industry, IFS is constantly talking with both owner/operators and EPC firms about how technology can support better productivity by improving asset, workforce and/or capital utilisation and minimising business risks.

Learning from the mistakes that some companies have made in the recent past, IFS has identified five key ways in which technology can help companies survive and prosper: 1. Support projects with the same ERP/EAM system used to run the rest of the business to improve visibility of costs and potential project risks whilst at the same time improving efficiency.

Many project-oriented companies run multiple enterprise solutions in different parts of their business. There is often no one system that provides real-time visibility into the 32

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current state of projects and their relationship with the company as a whole.

The simplest solution – and one that is becoming increasingly popular with companies exposed to high levels of project risk – is to run both the business and projects from a single integrated business solution.

A key advantage of this approach is the use of realtime data, not just historical reporting. In projects any delay or cost blow-out will almost always have knock-on effects.

An integrated approach provides both early identification of problems and risks to the business and the ability to do something about emerging issues before it is too late.

2. Extend ERP/EAM systems to clients and/or contractors to improve transparency, support new commercial arrangements and more efficiently coordinate operations.

If both the company and its contractors have visibility of planned maintenance, for example, they can be informed of the upcoming work, schedule their people and ensure that they have the right tools and materials available. This also reduces the amount of time necessary to manage contractors by phone and email.

Contractors reporting work activities directly into the same system as the company eliminates having to enter the data into their own system first which is later copied across to the company’s system. This not only gives the company real-time updates but repeated entry is wasteful and increases the likelihood of mistakes and information being lost.

Real-time data also allows for tighter coordination between different contractors and internal staff for more efficient use of assets and the combined workforce.

3. Connect employees? and/or contractors? mobile devices with the ERP/EAM system so they can access and update data such as asset information in real time and share information throughout the enterprise to better utilise both assets and workforces.

Mobile devices with inbuilt GPS can now run business apps for work orders, fault reports, confirmation of delivery routes, even work force scheduling and optimisation. Being able to capture data and access information wherever you are, including a remote mine site, is key to managing operations in real time. Systems that can talk in real time to head office from any location improve deci-

sion making around when assets need to be repaired or replaced, for example, or whether there are too many people on site that could be redeployed elsewhere.

Field workers can take photos and attach diagrams and upload them to someone in another location to make decisions on the spot, rather than lose days or even weeks in some cases before returning to head office.

4. Ensure all documentation related to projects, assets and people is fully integrated within your ERP/EAM system and available in real time.

The fact that companies run multiple enterprise solutions also means that documentation related to projects, assets and people is often scattered across the organisation or worse, sitting on a contractor’s system.

Standardising on a single document management system fully integrated with your ERP/EAM creates a single repository that can be accessed across the company, shared with clients and/or contractors via an Internet portal, or connected with mobile devices.

In particular, the effective hand off of asset information between parties represents an opportunity to eliminate costly mistakes and non-value-added work to lower total

asset cost, reduce downtime and maximise return.

5. Utilise Occupational Health & Safety (OH&S) functionality within your ERP/EAM system to ensure more efficient compliance, and reduce accidents and downtime.

It is far more efficient to work with a single integrated system which records and can report on health and safety information, insurance data, training programs and specific contractor and owner/client documents.

Mining companies also need clear insight into how contractors and/or subcontractors deal with OH&S policies, even though not all of them have the systems in place to efficiently capture and report on the necessary information. OH&S functionality integrated within an ERP/EAM system can be shared with these companies via an Internet portal, or connected with mobile devices.

The advantages of an effective OH&S Management system go beyond compliance.

Improving processes and preventing accidents will also increase a company’s efficiency and improve profitability. *Rob Stummer is the managing director for IFS Australia and New Zealand. www.miningaustralia.com.au

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FINANCE

Misunderstanding

mining and money Poor economic policies combined with a misunderstanding of mining and a grab for cash may hurt mining countries more than they realise.

Christopher Kennedy writes for Australian Mining.

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lobally, money for mining is tight, and so the way in which miners now deal with local communities and government that demand a more commensurate slice of the pie is changing.

But misguided policies employed in the regions are not only hampering development, they are also possibly putting mines development at risk.

Recent events in Mongolia and the Philippines are enough to make your average miner want to take his money home; which in the case of Rio Tinto in Mongolia the temporary closure of the underground operations at Oyu Tolgoi, one of the worlds largest gold and copper deposits; as well as GlencoreXstrata removing itself from the major Philippine Tampakan project, seems to be the case.

In Laos, mining is increasing at such a pace that privately officers of the World Bank are concerned at the speed of growth in the mining sector and the effect it is having on the country.

Was it the fault of the World Bank, the countries themselves or other factors?

According to Dr. Pascale Hatcher, the history behind the development of all three countries lays a lot 34

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at the feet of the World Bank.

Speaking at a seminar at Murdoch University, Perth; Hatcher concluded that the activities of the World Bank in these countries may not have been of benefit to miner or citizens of those countries.

The World Bank was involved heavily in the technical assistance in defining new mining regimes, socialenvironmental reforms, tax reforms and the institutional reforms which have lead to the present impasse that is occurring in Mongolia and the Philippines, and may occur in Laos.

“Overall the influence of the

World Bank Group was as a catalyst for investments in the mining sectors of all these countries,” Hatcher said.

The WBG has assisted more than 100 countries in forming their mining laws; balancing it believed the investment risks of mining with the incentives.

The result of this was to make the countries themselves compete for the most liberalised types of mining regimes, which did not readily take into account environmental or political factors.

Points made by Dr Hatcher include:

Has a hyperspeed economy damaged Mongolia’s mining industry?

• Priority given to the private sector • Priority given to mining over other types of territorial use • Priority given to an exportable resource (gold) over other mineral resources • Priority given to the industrial sector over artisan & small mines • Guarantees protecting mining rights • Calculating the mining sector’s primary contribution to the national economy in terms of tax revenues.

It was in 2003 that the World Bank actually asked itself if it should stay in the mining sector?

To which, it finally decided that future investments in the extractive industries would be selective (including no investment in conflict zones) and promoting environmentally and socially sustainable development.

But Mongolia, with a population of only three million, had the fastest growing economy in the world last year.

This was due to mining investments coming on-stream in the last year or two, after many years of exploration and plant development.

As one miner put it, the Gobi Desert was perfect for mining.

“And the nice thing about the www.miningaustralia.com.au

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FINANCE

Gobi, there’s no railroad tracks in the way, there are no people in the way, there are no houses in the way. There’s no NGOs,” according to Robert Friedlands, Ivanhoe’s (now Turquoise Hills Resources) chief executive officer.

The Oyu Tolgoi (OT) mine was the jewel in the crown.

The Oyu Tolgoi mine is a combined open pit and underground mining project in Khanbogd sum within the south Gobi Desert, approximately 235 kilometres east of the Ömnögovi Province capital Dalanzadgad.

Oyu Tolgoi LLC is Mongolia’s largest copper and gold mining company and is a strategic partnership between the Government of Mongolia (34 per cent stake), Turquoise Hill Resources (66 per cent) and Rio Tinto.

Rio Tinto is the major shareholder in Turquoise Hill Resources and the manager of the Oyu Tolgoi project.

In January Rio Tinto acquired 510 983 220 common shares of Turquoise Hill under Turquoise Hill’s rights offering at a total cost of C$1.29 million or C$2.53 per share.

The purchase represents approximately 50.8 per cent of the common shares offered under the rights offering. The rights offering was fully subscribed.

Turquoise Hill will be using a portion of the funds it receives under the rights offering to repay all amounts outstanding under the US$1.8 billion interim funding facility and the US$600 million secured bridge funding facility each provided to Turquoise Hill by Rio Tinto.

On the 13 of January, 2014, Rio Tinto owned 510 983 220 common shares of Turquoise Hill, representing approximately 50.8 per cent of the outstanding common shares. Upon the completion of the rights offering, Rio Tinto owns 1 021 966 440 common shares, representing approximately 50.8 per cent of the outstanding common shares.

Depending upon its evaluation of the business, prospects and financial condition of Turquoise Hill, the market for Turquoise Hill’s securities, general economic and tax conditions and other factors, Rio Tinto may directly or indirectly acquire or sell some or all of the securities of Turquoise Hill.

For 2014, Turquoise Hill expects Oyu Tolgoi to produce 150 000 to 175 000 tonnes of copper in concentrates and 700 000 to 750 000 ounces of gold in concentrate. Oyu Tolgoi is expected to return to more normal inventory levels by the end of the year.

In the agreement signed at the www.miningaustralia.com.au

Mongolia’s Gobi Desert was described as the perfect place for mining.

beginning of the project OT had its tax rate stabilised for 30 years, generous fiscal provisions and cancellation of windfall taxes.

However, as time moved on in the case of Oyu Tolgoi, the government chose to buy an equity stake of 34 per cent in the company.

To fund its 34 per cent Erdenes Oyu Tolgoi chose to borrow money from the other shareholders. Initially the interest rate agreed to between the shareholders was “Consumer Price Index + 9.9%”. However, investors reduced this to “LIBOR (London Interbank Offered Rate) + 6.5%”.

This way, investors were able to reduce the loan interest rate by more than three per cent – well below their own cost of capital.

The political landscape has changed and the facilitator of this mining boom, the World Bank, seems to have washed their hands of it.

“The aspiration to turn Mongolia into a Qatar is admirable, the likelihood of it becoming Nigeria not

negligible. […] A country with fragile institutions and a GDP per capita of US$3,000 is about to be hosed with billions of dollars. What could possibly go wrong?” (Financial Times, 2012).

The results of the boom are not pretty in Mongolia’s capital Ulaan Bator, where inflation is 20 per cent; there is increasing inequality with corruption going through the roof.

One-third the population lives below poverty. All in all, the sort of situation which does not spell the sort of political stability that mining requires.

Of course, all the Mongolians want a job on the mines as well, which is unlikely as foreign direct investment has fallen by 50 per cent. For development to happen at Oyu Tolgoi, an agreement had to be made in which the Mongolian government took a 34% stake in the project; the royalty arrangement it currently has with the Mongolian government took years to reach which caused significant delays in project development.

Local governmental impositions have also put the future of Tampakan in doubt.

In the Philippines, a country with a much longer and richer history in mining, the Australian partner of GlencoreXstrata is Indophil Resources NL. JORC compliant resource estimates at the Tampakan Project have the resource estimate at 2.9 billion tonnes at 0.51% copper and 0.2g/t gold (Measured, Indicated and Inferred) at a 0.2% copper cut-off. This represents contained copper of 15 million tonnes and contained gold of almost 18 million ounces. Significant additional mineralisation potential exists. The Tampakan deposit represents the largest undeveloped coppergold deposit in the South East Asia – Western Pacific Region.

An Indophil report conceded that the Tampakan project, located in the troubled southern island of Mindanao, had run into problems, chiefly the provincial government’s ban on open-pit mining which delayed the start of development.

We asked Indophil to answer questions concerning Tampakan however they are waiting on a trip by Australian foreign minister Julie Bishop to the Philippines before making any comment.

Questions to Julie Bishop’s office were unanswered.

The Final Mine Environmental Impact Assessment (EIA) was formally submitted to the Philippines Government in December 2011 in support of the Environmental Compliance Certificate (ECC) application.

According to Indophil the EIA was by any measure robust and comprehensive and this was confirmed by the Philippine Government during the evaluation period.

The EIA was completed to the highest international standards which in many respects went beyond the legislative requirement in the Philippines.

The mine would be the Philippines’ largest ever foreign investment but it has faced opposition from church, community and environmental groups and would require numerous other government and community permits to be obtained.

Since April 2013, there has been considerable uncertainty over the future ownership of Tampakan, now that GlencoreXstrata may be forced to divest its stake in Tampakan as part of the Chinese Government’s MOFCOM conditions in order to secure the approval of Glencore’s merger with Xstrata.

This is an interesting development given that when questioned if the World Bank is seen as necessary any more, many observers say it’s the World Bank or the Chinese.

AustralianMining

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HIRE & RENTAL

The hire and rental

QUESTION An examination of the risks and rewards to consider when hiring or buy capital equipment.

T

here is an age old question when it comes to mining machinery – to hire or buy?

During the height of the boom this caught many miners out, as machinery costs were at an all-time high, but the lead-up times for hire and rental equipment was exceedingly long, putting project schedules back.

Many miners were caught between a rock and a hard place – shell out for the high cost capital equipment now, or save money and rent but potentially miss out on record high commodity prices.

Now, with the boom well and truly over and the industry facing a crisis in confidence over whether costs can be controlled due to a downturn in profits, budgetary decisions are becoming crucial.

According to Evans & Partners’ Mike Hawkins “the drag emanating from cutbacks in capital expenditure looks to intensify”.

Aggreko has explained the current state of the market, and why companies are now choosing to rent instead of buy, especially when it comes to power generation equipment.

“During an economic up-turn, the lead-time for the purchase of generation equip36

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ment can be anywhere up to two years, meaning that companies which need power urgently will find a rental option very attractive, due to the ‘fast-track’ aspect of rentals,” Aggreko said.

“However companies are now considering rental, for different reasons, such as how to better utilise working capital and to ensure that it is not tied up in large capital purchases for items such as power plants.

“In addition, power rental guarantees fixed and regular payment schedules over an agreed term with options to extend the rental period if required which improves cash flow and allows for more accurate budgeting.”

It went on to explain that “when making the decision between purchasing and renting equipment, it is important for a company to evaluate the

hidden costs that are incurred when equipment is purchased such as insurance, spare parts, and ancillary items to ensure the equipment is able to operate”.

“With a rental solution all spares and ancillary items are the provision of the rental provider, enabling the customer to budget more effectively.”

On top of this, rental also includes refuelling.

“Another factor is human capital [as] all major equipment purchases require experts to manage the new equipment, either by allocating existing staff to the project, or by hiring new employees,” Aggreko said.

It went on to say that flexibility is also provided compared to purchasing.

“Projecting the power demand of projects also becomes a problem for compa-

nies when finances are tight; purchased generators are often either under or overutilised since the power need on a construction site tends to follow a specific pattern of ramping up and then falling away, meaning that a contractor who purchase enough equipment to meet peak demand on site will find the generators are underutilised and burn fuel less efficiently for most of the project.

“Renting power generation equipment allows the contractor to increase or decrease their capacity depending on the demand of their specific projects.”

There is also the issue of risk management, as the rental avenue has a cushioning effect on companies which are uncertain about the long-term future of their projects, especially as investment concerns increase.

Hire of power generation equipment pays divideneds in flexibility compared to purchasing.

“By renting equipment companies can ensure that they will not be left with equipment which will sit unutilised,” it said.

“The flipside is the financial damage incurred by having purchased large amounts of heavy equipment can be a major blow for a company without large cash reserves.”

The shrinking capital market is making the future difficult for miners.

“While the economic downturn rumbles on,” Aggreko said, “it seems unavoidable that there will be some fundamental changes to the way that people think about investment and financing and how companies handle their asset management”.

While cash reserves could regain common usage “it seems unlikely that companies will be willing to leverage their assets to the degree that has been the norm in the past decade”.

“The question remains: ‘Is it better to buy or rent?’, which will continue to be asked by companies contemplating large equipment purchases, many companies will likely find themselves deciding that during this period of uncertainty, ownership may not be worth the hassle.” www.miningaustralia.com.au

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HIRE & RENTAL

Second hand, second chances How are the tighter markets affecting hire and rental companies?

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espite the downturn in the mining sector, companies still need to get resources out of the ground to make money, and to dig up these minerals, they need access to machinery.

While the boom time saw hire and rental companies flying on sky rocketing retail prices and demand that often times outweighed supply, the easing off period has seen the way the sector does business change.

Buying second hand machinery on the cheap makes perfect sense to mining companies who are looking to tighten their purse strings and has created a huge market in its own right worldwide.

Ritchie Bros, the largest seller of used industrial equipment, and is well known for its machinery auctions, recently celebrated the one year anniversary of Ritchie Bros.

EquipmentOne, a secure online marketplace launched by the company in early 2013.

In its first year, EquipmentOne saw 580,000 unique visitors to the

Online markets are offering miners a new platform for hire and rental.

site and sold equipment and materials for both large corporate customers and private sellers.

Complementing the company’s auction business, EquipmentOne is an online marketplace for the sale of equipment and materials where buyers and sellers can negotiate, com-

plete and settle their transactions in a safe and transparent environment.

“We sold thousands of equipment items from a wide variety of industries on EquipmentOne in 2013,” Chris Connell, president of EquipmentOne, said.

“From our core industries of

transportation, construction and energy, particularly strong categories included highway trucks and trailers, earth-moving equipment and tubular assets such as line pipe and OCTG for the energy sector.”

The site works by putting sellers in touch with a qualified audience that is strictly there to purchase machinery.

Negotiations take place using the ‘Online Negotiation Engine’ and buyers are able to make transparent offers for the seller’s consideration during the listing period.

When the listing period concludes and the item is sold, EquipmentOne provides complete financial settlement services to ensure a safe and seamless transaction.

The chief strategic development officer of Ritchie Bros, Bob Armstrong says the amalgamation of the two business arms will continue to provide companies with the tools they require to get on with business, adding that both are growing at a steady pace.

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AustralianMining

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CONTRACT MINING, ENGINEERING & SERVICES

A dual approach to

water well drilling New approaches to water well and bore drilling is making water more accessible in the Pilbara.

A

ustralia is a dry country wracked with drought, and has very little water.

This is even more severe in remote areas.

Unfortunately for mining, many of its operations take place in remote dry areas such as Western Australia’s Pilbara, New South Wales’ Central West, or South Australia’s northern reaches.

Being able to access water more efficiently without the risk of potential contamination during drilling is paramount.

So Boart Longyear’s work in the Pilbara using dual-tube flooded reverse circulation (DTFR) water well drill rigs has drawn attention for their use in well drilling activities.

Currently Boart Longyear’s contractor Water Services Division has multi-year contracts with one of the larger iron ore miners in the Pilbara to carry out water well drilling at its active and future mine sites.

Typically conventional air drilling or dual air rotary drilling is used to set large diameter water wells, for de-watering, and injection wells.

While these historically used methods can drill the hole quickly, maintaining circulation and hole integrity can be a serious challenge, especially in weak, fractured, or friable ground conditions.

Because of this, “as a result of circulation loss or collapsing, [these] boreholes are often completed at shallower depth,” Boart Longyear said.

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In order to overcome this issue teams can drill a large diameter hole, which requires either conventional air or dual rotary air that produces a high amount of discharge water.

“This is an issue because many drill locations can not release water to the environment due to water quality issues, so the water is contained in giant sumps dug parallel to the drill. Often these pits fill quickly during drilling and operations must be stopped for draining,” Boart Longyear explained, a process which slows down the process.

In order to overcome this issue the contract has utilised DTFR rigs.

According to Boart Longyear this rigs have the ability to accommodate casing diameters of up to 71 centimetres, attain deeper drill targets due to a 58 967 kilogram pullback, and are mounted on a high mobile platform. However the aspect that sets them apart is the closed circulation mud system that runs through specially designed mud tanks.

DTFR distinguishes itself from the other drilling methods by the way the drill cuttings are returned to the surface through the drill string, as opposed to the annulus.

“By installing de-watering wells via DTFR, it is possible to control high producing aquifers during drilling that are problematic for conventional mud or conventional air drilling,” the contractor said.

As the cuttings are returned via

the string and don’t mix with the annulus there is reduced chance of contamination, annulus washouts, and hole enlargement.

Because the samples are returned via the string mud loss will not stop drilling operations as long as the bit remains submerged. This means circulation is almost never lost and drilling mud can be replaced during operation without the need to stop.

By utilising the proprietary closed loop mud system the system’s footprint is greatly reduced, and formation water is not an issue during drilling as there is almost zero discharge during operations, which makes water management a non-issue.

Over the space of a year Boart Longyear used this method to drill 2300 metres for the Pilbara miner, with hole diameters of 44.45 centimetres to 52 centimetres, with completed wells reaching depths of 250 metres and were cased with 25 to 31 centimetres production strings.

On one well it achieved a depth of 144 metres with less than one per cent of deviation during drilling, this was despite encountering geology such as banded iron and shale inter-bedded with hard chert bands.

Prior to using DTFR there was speculation that a tri-cone drill bit, which is used in mud drilling, wouldn’t able to handle the hard rock typically associated with iron ore deposits, however it was capable of drilling in these conditions.

How the DTFR water well drill operates. www.miningaustralia.com.au

AM0414_000_VIC

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2014-03-07T16:05:46+11:00

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CONTRACT MINING, ENGINEERING & SERVICES

The contracting

quandary As BHP brings more of its business in-house in the Pilbara, the question of using contractors or going owner-operator grows.

Melissa Fitzpatrick writes*.

T

he perennial issue of whether a person is or should be engaged as a contractor or employee continues to baffle (and really, really annoy) business owners, HR managers and contractors alike.

On top of that, when contractors have been engaged, how do business owners ensure productivity and “engagement” without blurring the lines between a contractor and employee at law?

The question is often asked “Why should the law intervene when two sufficiently savvy parties wish to enter into an independent contracting arrangement?”

Whilst there are valid arguments on either side of this question, the fact remains that many businesses are aware of and ignore the very real risks of engaging as contractors those who the law would otherwise view as employees.

So what are these risks?

Obviously there are the legal risks.

To name a few, there is the risk of a Fair Work prosecution for sham contracting, or that the ATO will 40

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hunt the employer down for failing to withhold PAYG tax or remit superannuation, or that the relevant state workers’ compensation authority will impose penalties for failing to effect a policy when required.

However, what about the risks to the firm’s reputation should a prosecution or penalty result?

For example, there is a strong risk that the business will be publicly judged and viewed as trying to circumvent workers’ rights.

And then there is the financial

risk of loss of business resulting from reputational damage, not to mention the costs of defending actions and paying fines. What about the risk to employee morale because of the perception that contractors get paid more for doing the same job? The list goes on.

For many businesses, the decision to hire contractors often revolves around the need for flexibility as to the termination of the arrangement (without fear of an unfair dismissal claim).

The decision to hire contractors often revolve around site flexibility.

For contractors, there is often a desire to be ‘masters of their own destinies’ (although the employee’s reasons for wanting to work as a contractor should never be the primary reason for engaging them as such).

For employers worrying about termination and unfair dismissal, provided that the process is handled properly, the risks are, in reality, quite low.

So why not give employment a go?

Here are some flexible ways in which the employment option can be used: • casual employment allows for flexibility both as to hours worked and terminating thearrangement without fear of unfair dismissal (provided the casual employment is not on aregular and systematic basis, without an expectation of ongoing work); • fixed term employment contracts allow for a specified period of employment without fear of an unfair dismissal claim on termination at the end of the fixed term; www.miningaustralia.com.au

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CONTRACT MINING, ENGINEERING & SERVICES

• use of the minimum employment period (of 12 months for small business employers or 6 months otherwise) allows the employee’s performance to be assessed and the employer’s ongoing need for the employee considered and, if necessary, terminated without fear of an unfair dismissal claim.

Of course, there are reasons other than the need for flexibility why businesses are not keen on engaging employees.

However, where the law sees a contractor as an employee, it’s not worth ignoring the risks.

Employment may be a case of A major difficulty is ensuring contractors are productive and safe on site. better the devil you know than the one you don’t want to know (such the same way as does an employer/ Additionally, the business holds as the Fair Work Commission or the employee relationship. “staff meetings” which the contracATO!).

This can be by accident, but of- tors are required to attend, provides So what about when a contrac- ten it is unwittingly by design. uniforms bearing the business’ logo tor has been engaged?

For example, consider a small and pays contractors by the hourly Managing the relationship fre- business which engages many con- service they provide. quently requires treading the fine line tractors to provide a personal serOften, the situation propels from between ensuring that contractors vice to the business’ clients. there. Businesses obviously want to are productive and allowing contracThe business has a well-drafted ensure that their brand is representtors to retain their independence. contractor agreement in place which ed in the way they want and expect.

For businesses that rely heavily clearly defines the relationship as They want to ensure that the upon contractors, ensuring that con- that of a principal and contractor. contractor works with the business’ tractors are productive whilst mainHowever, in an effort to “en- organisational values and that the taining the relationship on an arms’ gage” contractors and to ensure business’ culture remains intact. length basis is especially difficult as productive outcomes, the business To achieve this, and to ensure relationships A M 0 4 1 4between _ 0 0 0 _the M Cbusiness L 1 puts 2 0in1 place 4 - 0 a2 rewards - 1 7 T 1system 0 : 0 for 1 : 5 productivity, 1 + 1 1 : 0 0 businesses often enand the contractors often develop in the contractors. gage contractors through a ‘recruit-

www.miningaustralia.com.au McLan_210x122AusM_O.indd 1

ment process’ and motivate and engage them in the same way as they would employees.

Whilst these practices might help the business achieve business goals, they also substantially blur the line between a contractor and an employee at law and set the business up for a showdown with, potentially, the ATO, the workers compensation insurer and the Fair Work Commission.

So how then do businesses ensure the productivity of their contractors without blurring the line?

There are various ways but ensuring that tightly drafted clauses requiring measurable key outcomes is a must.

So too is ensuring that there are not practices in place which tend to reward contractors in much the same way as an employer would reward its employees.

Remember that facing the consequences of getting this wrong will easily outstrip any gains those practices were designed to make. * Melissa Fitzpatrick is the Industrial & Employment Relations Specialist for HR business direction, a team of mlti-disciplinary HR specialists providing a powerful holistic approach of commercial and practical advice.

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FRASER SURVEY

Australia’s place in the world The latest international Fraser Survey has highlighted Australia’s improving state of mining compared to the rest of the world.

Cole Latimer writes.

T

he mining boom is over. For Australia’s mining industry this has been exemplified by the increasingly higher cost of doing business, as wages remain high, and commodity prices slump.

On the back of this are the numerous, seemingly harmful, governmental regulations which many miners have said is harming our international standing – driving away investment and making Australia a less prospective place to mine.

But is this the case?

In the latest annual survey of mining companies by Canada’s Fraser Institute, Australia has scored better than it did during the peak of the boom, with Western Australia actually being perceived as the 6th best region in the world in which to mine.

Last year Australia had mixed reviews of its different mining regions.

At the time Aussie miners were more pessimistic about regulation than they used to be, and bosses were increasingly wary of public 42

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backlash to their operations.

The study, which hands out a ‘policy potential indicator’ (PPI) for every mining province in the world (which has gone from 72 regions in 2009/2010 to 112 in 2013), works by asking managers and key industry figures how they rate government regulation of their projects.

And last year Australia showed a slump.

“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 2012/2013 study said.

“WA is the highest ranked Australian jurisdic-

tion 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 per cent) and the legal system (16 per cent).”

So how has Australia

Tasmania performed better than expected, seeing the most improvement for any Australian state.

fared this year? Has it recorded an upswing or has it continued its downwards slide?

Across the board Australia has performed well, and been seen as a more prospective place to do business.

Tasmania was the unsuspected star, experiencing the most improvement for any region, rising from 49th in the last survey to 27th now, “reflecting improved perceptions for uncertainty concerning the administration, interpretation, or enforcement of existing regulations (up by 19 points), the availability of labour and skills (up 14 points), uncertainty over environmental regulations (up 10 points) and socioeconomic agreements/ community development conditions (up 10 points),” the survey explained.

Unsurprisingly Western Australia has performed the best out of all of Australia on a state by state basis.

For nearly every single aspect of the survey, Western Australia scored well, if not first globally, demonstrating a large turnaround for a state www.miningaustralia.com.au

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FRASER SURVEY

that suffered the most under the commodity slump.

Nearly year on year, without fail, the state has recorded a higher PPI, apart from the slump last year.

Last year it placed 15th out of 96 regions, with a PP of 79.3.

This year its prospectiveness has skyrocketed, with WA scoring a PPI of 90.3, placing it sixth out of 112 regions.

This is the highest any Australian region has ever scored.

South Australia and the Northern Territory also fared well in the most recent survey.

SA was rated just outside of the top ten, sitting at 11th with a PPI of 82.9, the largest increase for the state in the last five years, after sitting around the 75 mark for a number of years.

The Northern Territory came in at 13th, leaping up the charts with a PPI of 81.8.

A massive rise from last year’s score of 68.5.

Queensland and Tasmania also recorded increases, sitting at 74.3 and 73.4 respectively, placing them at 24th and 27th on the ladder.

Victoria recorded an increase on its PPI to 68.8 from 66, but a decrease in its ranking from 24 out of 96 to 33 out of 112.

New South Wales fared the worst out of all Australian states, scoring only 64.7, and ranking 39th out of 112.

In regards to actual mineral potential, Western Australia again shone, ranking first globally, with Alaska.

Queensland was Australia’s next most prospective state, followed closely by the Northern Territory.

Victoria was rated the nation’s least minerally prospective region.

In terms of investment attractiveness, Western Australia again took the lead, ranking first globally.

The Northern Territory was a distant second, ranking 17th behind British Columbia and Utah.

Unsurprisingly, in terms of its legal system, Western Australia again scored highly, coming fourth globally. www.miningaustralia.com.au

While Australia, and Western Australia scored particularly high, when it comes to taxation regimes and their influence on investment, the nation ranked poorly.

South Australia ranked top, just edging in in the high twenties.

It was followed by the Northern Territory and Western Australia, with WA only ranked slightly better than Peru.

Queensland was ranked similarly to Tasmania, and Serbia.

New South Wales was ranked as having the worst taxation regime.

However surprisingly, New South Wales ranked best in terms of infrastructure, outranking Western Australia.

The desolate Northern Territory scored worst in Australia in terms of infrastructure; however it still ranked well ahead of China over whether this issue would be a deterrent for investors.

What stood out most for miners was the constant uncertainty over the Mineral Resources Rent Tax, which at the time of publishing was still enforced, and the carbon tax.

The oultook for Australia is overwhelmingly positive, with all states scoring well in the survey.

The head of an explorer explained that the “introduction of the mining tax – although not far-reaching – puts investor uncertainty up front, and more importantly provides less developed jurisdiction a precedent for increased royalties etc.; without any of the benefits of having stable and developed regulations”.

According to the vice president of another explorer “Australian governments need to realise that we have lost competitiveness and

Regulations and obligations remained a sore point for miners.

therefore find it difficult to attract the foreign capital that is needed to develop mining projects”.

“We have high costs of labour, energy, regulation, and tax. Some of these things need to be lowered if we want to be competitive again.”

A senior manager at a NSW miner said “delays in approval processes, and changes to regulation with poor transitional arrangements” are a problem.

The manager also slammed NSW for the uncertainty in the outcomes of the planning process and the government not willing to take hard decisions.

However, despite the unnamed vice president stating that “transport distances are significant as are resultant costs,” generally this did not appear to be a deterrent for investment in the industry.

The exploration company vice president also highlighted Indigenous issues, stating that “the whole issue around native title and mining agreements with traditional owners need to be reviewed, reworked, and refined – it is a serious constraint to attracting investment”.

Another director at a mining junior said, in terms of the Northern Territory native title issues, “the Australian Land Rights Act and Native Title legislation [and the] non-deductibility of Native Title Royalties from the profit based royalty schemes” are an issue.

Environmental issues were a major concern.

“Environmental approvals need to be streamlined and the terms and constraints reduced to attract investment,” the vice president at the explorer said.

Another manager with a junior miner pointed to the tight regulation in Queensland in particular.

“The introduction of the Land Access Code (LAC) is the principle reason why my company relinquished several tenements with potential in north Queensland this year,” the manager said.

“Under the previous arrangement we gave notice of entry [we] had a very cordial relationship with the land owner(s)and were able to complete a range of ground and air geophysics surveys, regolith geochemical surveys and completed more than 4000 metres of drilling on the tenements.

“Since the introduction of the LAC it has become progressively harder to get access to the tenements with the land owners making noise about getting unequal amounts of compensation relative to landowners in the coal seam gas areas.”

Whilst there are underlying problems with Australia’s mining industry in regards to taxation, regulation, and environmental issues, the nation’s industry has improved, and is likely to only improve further as more projects come online and begin producing.

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CRANES & LIFTING

Casting a long

SHADOW

New Australian technology is keeping riggers safe, and out of load shadows. Ben Hagemann writes.

W

hen scaffolder Shaun Cottone saw a fellow worker engaging in a hazardous but common habit, a bit of quick thinking led to a lightbulb moment which could change the way we rig.

One of the biggest safety risks when rigging for cranes is the simple and quite common act of walking under a suspended load.

The practice is so dangerous that most operations and contracting companies have strict “life-saving” rules in place to prevent the practice, rules that if broken can result in an immediate dismissal. These rules have come to include the concept of “load shadow”: a potential danger zone beneath a suspended load.

Despite these rules, there are still times when a rigger cannot avoid getting under a suspended load in order to complete the job, like when they’re trying to grab onto a tagline, and it was exactly this practice that made scaffolder Shaun Cottone think of a new solution.

“I was on the scaffolding crew at Pluto, about 18 months ago, and one day I was watching the rigger who was helping us with the gear, like our scaff tubes, boards, lifting cages, and I noticed that every time he received a load, he went underneath it to grab the tagline.”

Cottone approached the rigger,

knowing he couldn’t stand by and watch the repeat of this hazard, over and over… “Mate, you can’t do it like that, it’s dangerous”.

“At first he just told me to f&#k off,” Cottone said.

“But after a while he came back to me and asked ‘Well, how else am I supposed to grab it?’”.

“That’s when the penny dropped for me… I thought, hang on a minute, the gravity, the rope, having it hanging below the load, I realised that the whole system was wrong, but there was a way to change it.”

In a hazardous workplace culture like mining construction and maintenance, where safety is paramount, Cottone suddenly had a lightbulb moment that gave him the inspiration to try to make a difference and change a hazardous industry practice.

Cottone knew that the culture of safety openly encouraged ideas for improvement, and realised he’d had an idea about how to solve a problem that was literally as old as rigging itself.

“I went back to my donga that night, and over the next couple of weeks I drew up the design for what I have now, an extension arm that you can tie a tagline to,” he said.

After some research into patents, Cottone went to a local welder who could make up the design.

The technology is a simple addition to remove potential risks.

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“He got his 15 year old apprentice knock up a prototype, and it was pretty crude, you could never use it on site, but it gave me something to use for the patent.

“When I took the drawings to the patent lawyer he asked ‘Have you got one?’.

“I said, ‘I’ve got one in my car’ and that was that, it was an invention!

“When I came up with the idea, I remembered a boss who gave us all a big safety lecture once about how we should never be afraid to grab a safety officer, a supervisor, a manager, anyone, and tell them if you’ve got a safer way to do the job, so when I saw that problem I decided to take the next step.

“I mean, you, me, everyone, we all see problems every day, whether at home, or working, or playing sport, and you think ‘that’s just ridiculous, mate’ and I could have just kept on walking, but this one time I just thought, I’m not going to ignore it, I’m going to do something about this.”

By wanting to make a difference to improve safety and look after his mates on site, Cottone invented the TAG-EX, a tagline extension arm designed for clipping on to the side

of a lifting cage, a stillage, and other types of loads to be lifted by crane.

Since then, the TAG-EX has been taken on board by Pilbara Access, who have had the device approved for use on Rio Tinto sites in the Pilbara, and five units have been purchased by Bechtel for trial on Curtis Island.

The key element of this Australian made and owned invention is that it allows a dogman or rigger to get a hold on the tagline without having to walk into the load shadow, or directly underneath the load.

It is an extension point for locating a tagline and it can be permanently or temporarily attached to any load that has the potential to be lifted. The TAG-EX folds out into the deployed position from a stowed position to provide an attachment point for the tagline, one which sits at a much safer distance from the load when suspended, and allows the worker to freely grasp and handle the tagline while remaining outside the line of fire of falling objects and the suspended load. Riggers can use it to control the load as a steering arm, helping to position the load when landing, manipulate the load in tight spaces, push and pull the load and all general handling of the load. www.miningaustralia.com.au

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CRANES & LIFTING

New automated counterweight systems There’s a brand new crane on the scene this year, and it looks like a game-changer. Ben Hagemann reports.

M

anitowoc have been weight for the requirements of leading the way in the lift, sliding along the rotatmobile, luffing pin- ing bed, altering the counterjibs for some time, but a simple weight moment to optimise the idea due to be shown at CON- forward moment of the boom.

EXPO 2014 is going to make In short, the crane’s couna big splash in the construction terweights are mounted on a game. Two new cranes, the track so they can slide backMLC300 and MLC650, are wards and forwards, and all of equipped with a wholly unique this takes place automatically, feature that Manitowoc calls in response to changes in the Variable Position Counter- angle of the boom. weight, or VPC. The advantages of this sysThe idea is as simple and tem include reduced ground self-explanatory as the name, preparation, lower groundbut the implications are massive, bearing pressure and less counand could completely change terweight to carry around withthe expectations that cranes and out sacrificing capacity. rigging co-ordinators put on Ultimately, crane techniset-up time and ground space cians will not have to transport requirements. or install as much counterweight AThe M 0 VPC 4 1 4system _ 0 0 automati0 _ UNI _ R - as1 usual, 2 0 compared 1 4 - 0 3 with - 2 0 cally positions the counter- a traditional configurations.

www.miningaustralia.com.au

In fact, aside from the transport costs, and the cost of the counterweights themselves, there is also a massive saving in the amount of time needed to change the counterweight configuration.

Rather than removing or loading up on counterweights to suit a particular lift, the VPC simply adjusts itself to suit the lift, which saves on time, reduces the risky handling of counterweights, the amount of labour require to complete the changes, while maximising the capacity of the crane beyond what could be achieved with traditional counterweight configuration.

With interchangeable left and right side counterweights, the counterweight boxes are common Talso 1 3 designed : 5 9 : 3 to 1 +be1 1 : 0 0 across multiple crane platforms.

The MLC650 has a 650 tonne lifting capacity.

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PREVIEW

M&E WA:

Western Australia’s latest exhibition A preview into what’s on show next month.

W

ith Western Australia recently recognised as one of the best places in the world in which to mine, it is no surprise that the state will this year be hosting one of Australia’s largest mining exhibitions. M&E WA will again hit the West’s shores next month, as ReedMiningEvents and Resourceful Events partner up to showcase the latest in technological innovations, new equipment, and the latest techniques in the mining industry designed to make the job more efficient, more productive, and importantly, in

this current financial climate – more cost effective.

It also gives visitors, and exhibitors an opportunity to source the latest products, gain relevant education, and network with their peers in a business environment from more than 150 exhibitors.

Held in the Perth Convention Centre from the sixth to the eighth of May, the show will feature a number of exclusive technology and innovation zones, such as TechLab, which the event says is a “dedicated area on the exhibition floor for stepchange technology”.

The inaugural area is

The conferences will cover a range of different topics in the industry.

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designed to “push innovative boundaries and unveil efficiency enhancing developments”.

The show has also set up ‘Tech Trails’ which are “purpose designed to provide visitors a swift method of connecting with all exhibitors within their preferred area of interest”.

These trails include automation; engineering; environmental; materials handling; minerals processing; open cut; safety; and underground mining.

However it is not just equipment and technology on show.

In a similar vein to its related exhibitions – Mining & Engineering NSW, the Queensland Mining & Engineering Exhibition, and AIMEX, M&E WA will also be holding a number of conferences in conjunction with the show.

The first day will focus on production and planning, examining ways to ensure operational efficiencies on site. The second day will move this focus on to productivity and equipment, and how to choose the best equipment operating strategies for your site, through the provision of case studies and presentations.

As part of the event it will also host an industry dinner and panel discussion.

“This dinner will provide a unique opportunity to hear industry insights from wellrespected leaders and offer an exclusive opportunity to network with key stakeholders,” ReedMiningEvents stated.

Its panellists include professor Ian Plimer – a wellknown geologist and board member of Roy Hill; Northern Star’s CEO Bill Beament; Atlas Iron managing director Ken Brinsden; and PricewaterhouseCoopers WA Energy & Mining leader Justin Eve.

New machinery on show will be the major drawcard. www.miningaustralia.com.au

AM0414_000_SEW

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FEATURES

New mine safety systems PYOTT-Boone Electronics (PBE) will be launching their new Proximity Alert System (PAS), from Stand 1018, at the Mining & Engineering Western Australia (M&E WA) Exhibition.

PBE’s mine safety technology has a long standing presence in the WA mining industry and is designed to improve mine site safety for both human personnel and equipment.

The Proximity Alert System is designed to enhance workplace safety by reducing risks of Reduces risks of collisions on site. collisions through asset and personnel detection and warning. The PAS incorporates 900 MHz bidirectional Tag (suitable for vehicles, obstacles and personnel); 900 MHz Tag readers (installed in vehicles); electromagnetic proximity sensors (used for close range detection); radar (used for mid-range detection – Optional); GPS Tracking modules for surface tracking; and real time video surveillance (Optional). Beyond the high resolution screen and audible warnings, ambient coloured lights provide drivers with additional warning notifications; which is enhanced by a comprehensive and secure setup menu.

• The PBE Group Simon Lewis 03 8877 8916

Alto launches new transformer range ALTRO Transformers, will launch their Tri Dimensional Transformer (TDT) range of medium voltage transformers at the Mining & Engineering Western Australia (M&E WA) Exhibition. This range is aimed at providing a medium voltage solution to the WA mining sector that is energy efficient – with 20-30 per cent lower no-load loss with the same material usage; has reduced harmonics and in-rush current; reduced sound levels and improved EMC; continuously wound compact core without air gaps, which reduces the magnetic reluctance; and a reduced operational cost during the transformer life cycle. In addition to the TDT product range, Has 20-30% lower no-load loss Altro Transformers will also display their Power Quality Range that includes Power Factor and reduced harmonics.

Correction, Active Harmonic Filters, Passive Harmonic Filters and VOs. • Altro Transformers 03 9358 9000 smartin@altro.com.au www.altro.com.au

• REMOTE TANK GAUGING VIA WEB BROWSER • TANK LOCATION SHOWN VIA INTERNET MAPS • SATELLITE COVERAGE • UNLIMITED NUMBER OF SITES • INSTANT TANK LEVEL AS WELL AS HISTORY • LOW TANK LEVEL EMAIL ALERT • SOLAR POWER OPTION

TOLL FREE 1300 363 163 sales@bintech.com.au

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Heavy duty rollers RELIABLE Conveyor Belt Pty Ltd (RCB) will exhibit from Stand 2605, as first time exhibitors at the Mining & Engineering Western Australia (M&E WA) Exhibition, displaying their roller and frame product range. As a supplier of precisionengineered heavy duty rollers and frames, RCB, provides solutions to material handling design, component supply, project management and turnkey construction. These solutions include conveyor belts, belt cleaning systems, total conveyor management, as well as comprehensive maintenance packages for underground and surface conveyor systems. The advantages of the RCB’s Vortex Heavy Duty Roller, which will feature at M&E WA 2014, are its dynamic balance, low rotation resistance, low TIR and weather resistance. This stems from the construct of the bearing housing, pipe, shaft and constrainer of the roller.

Additionally, RCB is able to provide a manufacturing data report (MDR) service for major projects. RCB will provide one-on-one presentations for visitors at M&E WA 2014 with roller expert Frans Jo from Vortex Heavy Duty Roller Company appearing on stand to assist with all visitor queries and questions.

• Reliable Conveyor Belt Amy Lyall 02 4967 6077 alyall@reliable.com.au www.reliable.com.au

Low maintenance pipes PIPE & Buoy Australia Pty Ltd (PBA) will display their products from Stand 2107, at the Mining & Engineering Western Australia (M&E WA) Exhibition.

The company claims that its UHMWPE pipe’s performance is vastly superior to that of competitor products, such as a polyethylene pipe, due to material differences of that ensure the UHMWPE which requires less maintenance – lowering costs, limiting downtime and loss of production; is chemical, corrosion and impact resistant; reduces pumping and lower installation costs; and is non scaling and cost-effective. From the design stage up the UHMWPE is a cost-effective solution to customer needs by ensuring productivity, increasing efficiency and optimising performance. Pipe & Buoy Australia are the only company globally with the technology to extrude UHMWPE to 650mm ID or greater, 35mm wall thickness; at material grades greater than 4.5mm g/ mol. Also, PBA exclusively provide the UHMWPE for Navigational Aids and Buoy applications.

• Pipe & Buoy Australia Eugene Lakous 07 4955 4644 www.pipeandbuoy.com.au www.miningaustralia.com.au

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Heavy duty industrial blasters BURNETT/Dwyer, the official Western Australian distributor of Kershki equipment, will launch the Tornado ACS Graffiti Cleaner to the WA mining Can be used in underground mines. industry at the Mining & Engineering Western Australian (M&E WA) Exhibition. The Tornado ACS is the only machine of its kind in Australia, which does not require water or chemicals to restore surfaces to their original look, to offer a completely green way to remove graffiti damage. Additionally, the Tornado ACS can be used to strip paint from machinery or vehicle panels (including aircraft), clean boat hulls, restore concrete walls and as a soft blasting tool.

Manufactured in Germany, this steam generator can run under single or three phase power, with an electric or diesel burner, which requires only 1 litre of water per minute; unlike any other steam generator.

• Burnett/Dwyer Enrique Burnett 0414 590 104 enrique.burnett6@bigpond.com

Compressors and power generators REDSTAR Equipment has announced they will showcase several new products Mining & Engineering Western Australia (M&E WA) Exhibition, which includes a new compressor, prime power generator and SUMO distribution board. As the Australian distributor of Chicago Pneumatic (CP), Redstar will display CP’s new portable RCP185CFM compressor built to provide rugged durability and reliable power. The diesel powered CPS185CFM is suited to general site work, road maintenance, small abrasive blasting jobs, shotcrete pumping and handheld pneumatic tools. Chicago Pneumatics also provide a range of customisable options for the CPS185CFM that include an undercarriage with adjustable tow bar variants, a towing eye, tow bar support, road signalisation and an Aftercooler (+ water separator). Redstar’s DENYO 2 DCA-125ESEI is a 100KVA stand-alone power generator that features special vibration isolators; designed to minimise vibrations during operation. This diesel powered generator is enclosed in a weatherproof steel canopy, with the alternator and engine set on a common skid base.

• Redstar Equipment 07 3339 8517 www.redstarequipment.com.au

Hand protection PERFORMANCE On Hand will showcase various products from their protective glove range on Stand 1920 at the Mining & Engineering Western Australia (M&E WA) Exhibition. Injuries to the hands account for 20 per cent of reported injuries in the mining industry, which makes the hands the most commonly injured part of the body within the industry. Performance On Hand provides a variety of glove solutions from hard-wearing occupational gloves to anti-vibration gloves, with specific ranges dedicated to reducing injuries as a result of from Protects from cuts and minor cuts and abrasions, cuts and lacerations, burns and burns. vibrations. These solutions have been developed from years of experience profiling and observing job-specific duties and the way employees work. Performance On Hand’s product range, which provides solutions for hand safety, includes both Bollwerk and Ironclad glove ranges. Performance On Hand’s gloves are designed to reduce, if not eliminate, the frequency of hand injuries and maximise performance.

• Performance On Hand www.performanceonhand.com www.miningaustralia.com.au

Industrial hose reels RECOILA will exhibit three product ranges at the Mining & Engineering Western Australia (M&E WA) Exhibition, where they will exhibit for the first time. As a specialist hose reel supplier, ReCoila will display their C Series, T Series and 9000 Series hose reels; which are designed to meet all mining related applications. Its C Series of hose reel is a basic modular reel, which suits a variety of applications, commonly used for refuelling, water, high volume compressed air and many other fluids. However, what sets this range apart from many general purpose reels is its versatility in accommodating hoses of various lengths, pressures and sizes. There are also customisable options that be added to the C Series, which include a hand crank, bevel crank, electric rewind, hydraulic rewind and pneumatic rewind. The T Series is one of ReCoila’s best-selling modular steel reels due to its rigidity, strength and weather resistance. Constructed from 3mm heavy gauge steel, this reel provides high flow swivels, high fluid paths for optimum flow, a heavy duty spool and a stainless steel main axle that is corrosion resistant. This reel meets various usage requirements due to the various customisable options available and is highly suited to applications such as firefighting, fuel transfer, high volume compressed air, lubrication and watering. The T Series is customisable with options that include a hand crank, bevel crank, electric rewind, hydraulic rewind and pneumatic rewind. ReCoila is an official distributor of the Reelcraft 9000 Series, which has broad capabilities across a range of Australian industries. The Reelcraft 9000 Series features a heavy base design and is engineered specifically for truck mounting, a highly sought after characteristic across the Australia’s mining industry, energy industry and public works sector. This reel series is ideal for portable service trucks or permanent service areas due to the highly level of stability provided.

• ReColia 02 9621 8988 www.recoila.com.au

Vertical access solutions ALIMAK Hek will showcase their range of vertical access solutions – designed and built to last in any mining environment for a range of mining applications at M&E WA. Located in Stand 1010, the Alimak Hek team will be launching the latest addition to the Alimak industrial lift range: the SCI-45. Incorporating all the safety features that have made Alimak lifts a benchmark for the industry worldwide, the SCI-45 has the additional benefit that it can be easily retrofitted to existing plant structures. A ‘Virtual Shaft’ system allows for fast and easy installation, with minimal additional work required on existing infrastructure, Can be retrofitted to while a one-size-fits-most design makes the lift an affordable solution for most applications. Designed to move existing plant structures. people and materials up to a 1300 kg capacity, a car size of 1.4m x 2.4m accommodates the dimensions of an emergency stretcher, improving site safety and emergency response. The SCI-45 lift car is composed of hot-dipped galvanised steel to maximise life and durability for long-term reliability. A collective control system with push button operation from both car and landing gates allows the lift to operate in much the same way as a conventional elevator, making for easy operation. Alimak lifts are designed and built to withstand the most extreme conditions in the world’s toughest environments, making Alimak industrial lifts, hoists and platforms the perfect solution for underground and aboveground mining applications, including shutdown installations, pelletising plants, smelters, crushing & screening facilities, concentrators and other mineral and ore processing plants. Located in Stand 1010, the Alimak Hek team will be ready to discuss the access requirements of your next project, providing design, planning and project advice, and offering cost/benefit analysis of the precise savings to be achieved with an Alimak Hek vertical access solution.

• Alimak Hek: Sibyl Stafford 03 8795 6705 sibyl.stafford@alimakhek.com www.alimakhek.com AustralianMining

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Cat launches new track drills CATERPILLAR has launched the new MD5150C track drill, the first in its C series drills.

According to Cat this new machine builds on the existing MD5150 drill with more Cat components and a choice of three different rock drills.

The new drill has a higher airflow for faster, more efficient drilling of holes from 101.6 millimetres to 152 millimetres in diameter, as well as a patented carousel rod changer, and a more ergonomic cab.

“Compared to the MD5125, which the MD5150C will replace, the new drill has 18 percent more power, a compressor that can deliver 33 percent more air volume and 40 per cent more air pressure, 19 percent faster tram speed and 40 percent greater ground clearance,” Cat said in a statement.

The machine has been designed with fewer moving parts than competitor drills, with the rigs designed to be serviced on site.

“Service doesn’t require a clean room, and there’s no need to incur freight costs to ship the rock drill to the OEM for maintenance or to keep a spare rock drill in stock to accommodate maintenance downtime,” Cat said.

The rig also features an automated lubrication system, which cuts downtimes as the rock drill now no longer needs to be stopped regularly for manual greasing.

The drill has 18% more power and is close to a fifth faster than previous models, Cat says.

The three options for rock drills allows operators to use the right drill for the right application.

The standard rock drill on the MD5150C is the HPR5128, which uses 51 millimetre drill steel.

Also available are the HPR6832 Rock Drill, which can use 68 millimetre speed rod, and the HPR6030 designed for 60 millimetre drill steel.

An innovative carousel rod changer also cuts downtimes.

The system holds six rods and accommodates two lengths and multiple diameters of drill steel.

Dual rod grippers and a unique gate designs let the rod and gate move simultaneously, reducing overall cycle times.

The rod change is supported by a heavy duty 2.7 metre boom that extends to 3.3 metres for larger pattern coverage with fewer setups.

“Because the carousel rod changer weighs less and holds more rods than linear models, the boom extension can reach farther and drill deeper while maintaining stability,” Cat said.

Holes can be drilled within 610 millimetres of the highwall which is 50 per cent close than with a linear rod changer.

It has the ability to drill to depths of 31 metres. It has increased airflow for drilling, and is powered by a Cat C11 engine rated at 287kW at 1800 rpm.

The cabin has been designed for safer operation, and is both ROPS and FOPS certified. It has shutdown controls accessible from the ground, with large windows, streamlined front structures and a skylight to enhance visibility.

The cab also has low sounds levels of around 80dB. Increasing efficiency, it is fitted with “a smart drill monitoring system that tracks changes in rock formation and automatically adjusts impact and feed pressure based on hardness of the rock. Anti-jam, anti-plunge and anti-plug capabilities keep the track drill working efficiently and extend drill string life,” Caterpillar explained.

• Caterpillar www.au.cat.com MA 0 8 1 3 _ 0 4 2 _ F E R 1 2 0 1 3 - 0 7 - 1 8 T1 5 : 1 6 : 0 9 + 1 0 : 0 0

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PRODUCT SHOWCASE

Roof bolting safety AUSTRALIAN manufacturer Leussink has developed a new roof bolting safety solution for underground mining.

According to the company it has made a simple and effective solution “to all but eliminate injuries and dangers from falling roof mounts that fix hydraulic systems”.

Leussink director, Jason Leussink, explained that because the problem involved such a tiny component in an industry where giant-sized equipment is everywhere, the entire safety scenario around this relatively tiny piece was being overlooked.

“It all centred around the susceptibilities of a small lever that activates hydraulic Roof bolters’ hydraulic action levers are now protected from accidental knocks. power in the process needed to fix roof bolts, yet the traditional position of the control lever made it a potential trigger for accidents,” Leussink said.

“What we did was look at the nature of the problem and devise the simplest solution to keep the lever where it normally is but to better ensure the safety of workers was heightened.”

The lever, which activates the hydraulics for power and operation in the process of roof bolting, is mounted on the hydraulic manifold.

Because underground mining operates on a relatively low ceiling height, this lever, for practical reasons is mounted on the manifold at leg level.

This always left the lever susceptible to accidental knocks and bumps by someone’s leg, which would suddenly engage and activate the hydraulic valve and pump energy through the conduit.

In turn, this would cause a roof bolt to release which can fall down from the roof height and land on the finger, foot, or head of a worker and cause a severe crush injury, or even amputation.

What Leussink did was engineer a completely new design which added a ‘safety lever’.

This is a spring-loaded safety lever which requires two different movements – one upward movement followed by a secondary, lateral movement, before it operates.

The moment the lever is released by the hand of the operator, it drops back safely into its ‘off’ position.

Because this resting position is at lock, from now on any time it is bumped by the leg of an operator or other worker it will not unexpectedly engage.

• Leussink 02 4260 7777 jason@leussink.com.au www.leussink.com.au MA 0 8 1 3 _ 0 4 3 _ F E R 2 2 0 1 3 - 0 7 - 1 8 T1 5 : 1 6 : 4 6 + 1 0 : 0 0

Multiapplication mine bars NARVA has developed new mine bars to suit a range of vehicles and industrial applications.

Designed and assembled in Australia at Narva’s Melbourne factory following consultation with customers, Narva says the mine bars are field serviceable for quicker maintenance and repairs.

Available in a standard size of 1.2 metres, the mine bars are manufactured from black anodised extruded aluminium and include stainless steel fittings.

The mine bars are fitted with Narva accessories suitable for mine application.

Narva states that one of the components that can be fitted to the mine bars is its ADR-approved Model 38 stop/tail and indicator lamp, “which was manufactured specifically for the mine bars and is a standard inclusion in all mine bar variants”.

“The bars feature a wide range of options, with the entry level bar featuring slimline Model 38 LED rear lamps, supplementary LED reverse lamps and halogen rotating beacons,” Narva said.

Users can also select to fit a standard reverse alarm to the bar or upgrade to a broadband reverse alarm, ideal for night work applications.

• Narva 1800 113 443 info@narva.com.au www.narva.com.au

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PRODUCT SHOWCASE

Titan launches low sidewall mining tyres

The portable lights are designed for Zone 1 and 2 environments.

Explosion-proof lighting WHYTE-Hall Australia has launched a new range of portable explosion-protected lighting systems – the Wolf Safety Lamps Wolf’s new range of LinkEx portable lighting systems are widely used in Australia and internationally in major projects and maintenance programs across oil and gas, ship building, marine, power generation, processing plants, petrochemical and chemical industries.

Wolf’s dynamic and adaptable range of explosion protected lighting systems is used in vessel entry, tank cleaning and routine inspection work, and painting and blasting applications. Major projects being executed for Woodside, BP, Chevron, Conoco Phillips and BAE Systems are now utilising the new LinkEx explosion proof lighting systems.

The Wolf LED tank lighting kits include the LinkEx range coupled with power distribution systems to create bespoke temporary lighting solutions, primarily used for safe vessel entry, tank cleaning, routine inspection and preventative maintenance shutdowns in Zone 1 and 2 potentially explosive atmospheres.

• Whyte-Hall 02 9838 4420 www.whyte-hall.com

TITAN International announced a significant expansion of its OTR product line at CONEXPO-CON/AGG in the form of its new Low Sidewall (LSW) options for light, medium and heavy-duty equipment.

LSW features a larger rim diameter and smaller sidewall than standard tyres, which improves equipment stability and performance.

“The LSW design is a fundamental shift in the way tyre and wheel assemblies are built … but we feel strongly that this is the way the industry should be moving,” Johni Francis, OTR Product Manager at Titan Tire, said.

“The trend toward larger buckets and more powerful equipment has necessitated a departure from standard tyre design, and as the only manufacturer of both wheels and tyres, we’re taking the lead on this movement.”

The lower profile and increased wheel size of the LSW design improves stability and reduces recoil and bouncing associated with the larger sidewall of standard tyres.

The design results in five primary benefits – increased bucket loads due to less machine-sway and resulting material loss; smoother ride and less bouncing on bumpy terrain; increased lateral stability around curves and hillside conditions; improved handling and improved breakout force.

“Our testing has shown time and time again that LSW assemblies outperform standard assemblies, which is why we’ve invested in the development of LSW options for nearly every equipment category,” Francis added.

On larger mining class equipment, available products include the Titan LDR 150, which features an L-4 extra-deep tread and wear-resistant compound for “rock damage resistance and long life in harsh settings.”

The LSW 58/80R63 size offers an alternative to the standard 58/80R57 size for large wheel loaders.

Titan says it will continue to expand the LSW product lineup throughout 2014, with plans to introduce more LSW options and sizes for wheel loaders and mining haul trucks.

• Titan Australia 02 9757 3407 www.titanaust.com.au

Cat launches new wheel tractor scraper CATERPILLAR has launched its new wheel tractor scrapers at CONEXPO. The new Cat 620 K Series Wheel Tractor scrapers “refine the design of their H Series predecessors,” the machinery manufacturer said.

This new series implements a number of new features such as high-pressure steering, engine over-speed protection, tyre spin reduction, diff lock engagement protection, machine/ground-speed control, and payload estimators.

It has also focused on payload, with the open-bowl 621K and open-bowl, twin engine 627K carrying 26.2 tonnes and the elevating 623K carrying 25.1 tonnes.

The new models come with a number of enhancements such as advanced cushion hitch, which used new software to dampen end of stroke movement of the load cylinder for a smoother ride.

A hydraulic system refinement has simplified the bowl quick-drop function, whilst draft arm overflow guard divert material away from the bowl sides.

The tractors’ bowl quick-drop function has been refined.

An auto-stall assists in quickly bringing the transmission to operating temperatures for faster transitions from torque convertor drive.

The scrapers engine over-speed protection uses sensors that anticipate over-speed conditions and automatically apply compression or service brakes to keep engine speed within the target range. The machines are all drive by a Cat C13 ACERT engine, and have a net power of 304kW. • Caterpillar www.au.cat.com

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PRODUCT SHOWCASE

Can be controlled via a remote unit from within a nearby vehicle.

Vermeer launches surface miner remote controls VERMEER has developed a new full function remote control system for its system of track trenchers and surface miners. According to the company the new remote system will allow operators to control the machines from more than 150 metres away.

It works on machines ranging from the T555III track trencher through to the T1255III terrain leveller surface miner. The remotes can also be tailored for selected jobsite conditions.

The manufacturer said that while it is new for the Vermeer equipment lineup, it can be retrofitted to older model machines that feature the TEC plus electronic control system.

“The remote control system will allow operators to precisely manoeuvre a trencher at a safe distance away from the comfort of their truck,” Chris Lynch, sales manager for specialty excavation at Vermeer said.

“It’s particularly useful when operating near high walls or loading onto a trailer.”

All functions of the trencher can be operated via the remote control panel.

The remote unit is attached to a vest strapped onto to the operator’s torso; the control panel lies flat in front of the operator with a metal frame around the outside to help provide support.

The operator presence requires the operator to be seated in order to utilise the remote system. Additionally, a visual light indicator is installed on the trencher informs others that the machine is being operated remotely and there is no operator on board.

• Vermeer www.vermeer.com.au

Has a strong blowing force of nearly a kilogram, with low noise levels.

High power flat air nozzles COMPRESSED Air Australia has released Exair’s new 1” high power flat super air nozzles.

The nozzle produces a 25 millimetre wide airstream with a strong blowing force of nearly half a kilogram when mounted 305 millimietres from the target.

“The unique design of this super-efficient nozzle makes it an ideal fit for both tight spaces and tight budgets,” CAA said.

The air nozzle uses Exair’s patented technology to maximise entrained airflow while reducing noise levels.

A precise amount of air is released through the 0.64mm air gap opening that is set with a stainless steel shim positioned between the body and removable cap.

The airstream pulls in surrounding room air to produce a wide, forceful stream of high velocity, laminar airflow.

Air consumption is 495 SLPM at 80 PSIG. The 82 dBA sound level is below the limits of the OSHA maximum allowable noise exposure standard 29 CFR 1910.95(a).

Force and flow may be easily adjusted by installing different shim thicknesses.

Optional swivel fittings and Stay Set Flexible Hoses to aim the nozzle are also available.

They are available in zinc aluminium alloy and stainless steel construction, for rugged industrial applications.

• Compressed Air Australia 1300 787 688 info@caasafety.com.au www.caasafety.com.au

Manitou articulated forklifts MANITOU has launched a new generation of articulated site forklifts. The new lift trucks are part of its EMA II range, which includes seven new models that have been designed to maximise site storage capacity.

“With the extension of its articulated eletric site forklift series, the Manitou Group continues to enhance its expertise in industrial markets,” Louise Laumet, Manitou’s marketing manager, stated. “[These new forklifts are] a direct response to users’ needs for storage capacity optimisation. The EMA II can comfortably work in very narrow lanes with a working height of over 12 meters,” she said.

The articulated electric site forklifts in the EMA II range can be used both for storage indoors and outdoors to unload trucks. This means the operators can avoid two separate load maniuplations and reduce overall handling costs.

The range includes the EMA II 13, 17, 20, 18 High Lift 1 and 2, and the EMA II 20 Heavy Duty 1 and 2. They have lifting capacities of between 1300 kilograms and 2000 kilograms, and lifting heights of between 7.62 meters through to 12.72 metres for the High Lift versions of the forklifts.

Manitou’s new range can operate both indoor and outdoor due to a high ground clearance, unattached front axle, and four soft tyres. Its narrow design also helps operators, with Laumet stating that “the articulated design of the EMA II range and its ability to work in narrow lanes enables us to help our client optimise their storage area”.

“By reducing the width of their lanes they can increase their vertical storage capacity by 45 per cent – the EMA II is therefore the perfect solution thanks to its compact size and lifting height.”

• Manitou www.manitou.com.au www.miningaustralia.com.au

Designed to work in narrow lanes and reduce overall handling costs.

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MINING JOBS

To advertise a new job contact Hussein Azzan at 02 8484 0852

To see the latest jobs available visit www.miningaustralia.com.au, which is updated daily.

FRENCH SPEAKING SENIOR MINE ENGINEER A gold mining company in Francophone Africa is looking to offer a role as a senior mining engineer with an attractive FIFO roster.

The Senior Mine Engineer’s duties will include the following: • Ensuring the mining operation delivers ore to the ROM pad for processing at budgeted tonnes, grades and cost • Planning, scheduling and tracking of all mining activities • Preparation and distribution of budgets, forecasts and plans • Collection of relevant data; interpretation and analysis of the data and management of data quality • Drill & Blast designs and ensure their implementation • Production scheduling • Generation and review of current and future pit designs, waste dumps, haul roads and any other mining infrastructure You will demonstrate: • Mining Engineering degree • At least 8 years of experience in open pit mining • Excellent knowledge of mining activities and operations • Advanced software skills and knowledge of mine planning software is preferred • Strong communication skills, ability to speak and write in English and French • Ability to liaise and promote liaison between maintenance, mining and contracting personnel • Maintenance of safe working environment practices • Ability to mentor staff If you feel that you are the right candidate please apply now on http:// www.polyglot.com.au/jobs/job-vacancies/jobdetails/?JOBID=4021 or call +61 8 6162 9677 (Perth, Australia) for a confidential discussion.

GLOBAL SALES DIRECTOR MineWare is an exciting, entrepreneurial company with a history of growth and innovation. In this newly created executive role, reporting directly to the CEO, the successful applicant will guide and support MineWare’s growth as we extend our presence globally in new and existing markets.

Key responsibilities for this hands-on position include the development and implementation of high impact sales strategies, the management of global sales and marketing initiatives, and direct selling.

The successful applicant will be an experienced sales professional with a proven track record in selling technology-oriented product into the mining industry, the successful applicant will be accountable for developing and executing MineWare’s global sales plan; co-ordinating existing and new geographic market channels; defining and communicating product value propositions; ensuring that MineWare meets and exceeds sales and revenue targets; and developing and maintaining key market relationships with clients.

As a key member of the MineWare executive team, there is a significant opportunity to contribute to the wider management and leadership of the business. Demonstrated flexibility to embrace increased responsibilities in this regard is welcomed and well regarded.

We welcome applications from experienced sales and business development executives – with a proven track record selling technology-oriented products into the mining industry – to support our growth and join our dynamic, high performing team.

We are looking for someone with mining industry experience and proven success in a similar role – i.e. a proven direct sales management track record in technologyoriented mining sales with a particular focus on the hard-rock, open-cut mining market.

Demonstrated ability to formulate and execute revenue-building sales strategies including value-based selling; the ability to engage with the relevant senior decision makers in the mining industry to ensure that MineWare’s products and services are well understood by our major customers; a strong business acumen including the ability to balance customer needs with the needs of our business; a proven track record of high performance, rapidly generating sales revenue in international target markets; the ability to identify and open new sales territories and channels, and develop and implement sales strategies, plans and pipelines; and experience managing a geographically-diverse sales team.

Experience selling technology to the mining sector is considered ESSENTIAL. This role will include domestic and international travel. The successful applicant will be based in either Brisbane or Denver depending on their current location.

To apply please email your application to hr@mineware.com. Only shortlisted applicants will be contacted.

DUMP TRUCK OPERATORS Go2 is currently seeking experience dump truck operators for the Goldfields region.

2/1 roster – FIFO from Perth only!!

Requirements for the position include a current HR license; complete a medical and DAS in Perth; and experience operating 777 and 785 dump trucks.

Please send resume and driver’s licence to vacancieswa@thego2people. com.au PRODUCTION ADVISOR (MATERIALS HANDLING) – YARWUN Rio Tinto is a global mining and metals group, dedicated to the smartest discovery, extraction and processing of the earth’s natural resources.

Everything we do is done with the future firmly in mind. So our employees are rewarded with opportunity, an open and diverse culture and a responsible working environment in which they can go further.

We are looking for a Production Advisor (Materials Handling), based at our alumina refinery, Yarwun, to be part of the Materials Handling Production team and coordinate and support the development operational activities in the area.

Located 10km north-west of Gladstone in central Queensland, Yarwun is wholly owned and operated by Rio Tinto Alcan. The world class refinery incorporates leading edge technology and environmental design which are also featured in Yarwun 2; the current expansion to the refinery. Gladstone offers an enviable lifestyle encompassing fishing in the deep coral lagoons of the Barrier Reef to exploring the heights of Kroombit Tops.

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Working at Yarwun will give you the opportunity to work in a highly visible role with a leading mining organisation and progress your career to the next level.

What the role entails This position is a great opportunity for an enthusiastic and ambitious individual.

Residentially based in Gladstone (Monday to Friday roster) and reporting to the Superintendent Materials Handling, you will be: • Coordinating the day-to-day activities of the area by ensuring effective operation and timely maintenance of plant and equipment in the Materials Handling area • Liaising with Production, Technical and Reliability teams to ensure a consistent and coordinated approach to operations • Undertaking or coordinating project work in the respective area of responsibility • Fostering a culture of safety and continuous improvement at the workplace What you will need for this role To succeed in this exciting and challenging role, you will have: • Demonstrated experience in a leadership role • A high commitment towards safety • Strong communication and team orientation skills • Exposure to Lean and Six Sigma methodologies along with solid computer literacy and exposure to SAP will be desirable. A Lean or Manufacturing background and experience in Materials Handling and continuous process experience in chemical plant or refinery will be highly regarded.

• Candidates internal to the Rio Tinto Group must advise their managers of their application prior to progressing to the interview stage.

So if this sounds like you and the opportunity you are looking for, apply now.

HYDROGEOLOGY FIELD PROJECTS COORDINATOR Rio Tinto is looking for an experienced and confident project field leader, based at our iron ore operation, Pilbara, to manage water bore drilling and test pumping programmes across Rio Tinto Iron Ore operations (RTIO) and brownfield sites, a self-starter who is able to work independently.

Our Resource Development division is focused on increasing Rio Tinto Iron Ore’s developed and undeveloped resource portfolio and maintain statutory tenement requirements to protect known and future resources.

This position for a Hydrogeology Field Projects Coordinator is a great opportunity for an enthusiastic individual to execute multiple drilling programmes across the Pilbara in order to support the below water table expansion in an efficient, safe and cost effective manner. Working on a fly in fly out roster (9 days on and 5 days off) and reporting to the Senior Coordinator Hydro Field Projects, you will be managing and delivering field programmes related to the construction of production and monitoring bores as well as Aquifer testing; managing the interface between the Drilling Contractor, Hydrogeology team and stakeholders; influencing and negotiating with project stakeholders to ensure project planning and completion is done on time and within budget; managing contractors according to RTIO Contractor Management systems; reporting of project performance data such as safety, schedule and cost performance regularly as well as accurately; building relationships with internal agencies including Earthworks, Logistics, Survey, Health, Safety and Environment (HSE) and operational personnel to ensure the success of a project; promoting and encouraging active participation in RTIO Health, Safety, Environment and Quality Management systems to achieve the goal of zero harm and continuous improvement.

To succeed in this exciting and challenging role, you will have experience in supervising field team in exploration or mining related activities; demonstrated experience in Contract Management; experience in Project Management and contract supervision with the ability to coordinate a team of technical, drilling or test pumping contractors effectively.

Experience in GIS (Geographical Information systems), working knowledge of MapInfo and a professional geology, hydrogeological or drilling background will be desirable.

Candidates internal to the Rio Tinto Group must advise their managers of their application prior to progressing to the interview stage.

There has never been a better time to join Rio Tinto Iron Ore. If this sounds like you and the opportunity you are looking for, apply now.

SENIOR MINE PLANNING ENGINEER Phu Bia Mining is a Lao-registered company; 90 per cent owned by PanAust, an Australian company. Phu Bia Mining is focused on high performance outcomes achieved through leading practice environmental, social, and workplace health and safety standards.

Embark on your new expatriate career with a leading mining company in Laos.

Focus on medium and long term planning for multiple operations.

Your choice of roster – attractive drive in, drive out from Vientiane Capital or fly in, fly out.

This is an exciting time to join Phu Bia Mining. Our Phu Kham Copper-Gold Operation is in its fifth year of production, our Ban Houaxyai Gold-Silver Operation commenced production in 2012 and we have a pipeline of exploration projects in Laos.

We are a growing company, offering experienced professionals from the South East Asian region the opportunity to work as an expatriate in Laos, only a short flight from Thailand, the Philippines, China and Indonesia.

By joining the Phu Bia Mining team and working in a multi-cultural environment, you will play a key role in the further development of our projects and our Lao staff to develop their experience in mining. You will be supported by experienced, senior expatriates who will provide you with further training and development in your discipline.

You will be rewarded with a generous salary (including potential tax advantages) and benefits package so that you can build a financial future for you and your family.

We offer many different career opportunities at our mine and exploration sites and in our Vientiane office; and as an employer who values diversity, we encourage women to apply for all available positions. Our modern mine camps provide a range of Asian and Western food, as well as sporting and recreational facilities, including football field, gym, pool tables and wet mess.

This position is based between Phu Kham Copper-Gold Operation and Ban Houayxai Gold-Silver Operation; both located approximately 120km north of the Lao capital, Vientiane. Phu Kham is a conventional open pit mine producing approximately 65,000 tonnes of copper concentrate annually.

The process plant, recently upgraded to a design capacity of 16 million tonnes per annum, comprises a SAG mill and two ball mill grinding circuits, each rated at 13 mega watts, with copper and precious metal recovery by flotation. Ban Houayxai GoldSilver Operation is an open cut mine with a Carbon in Leach (CIL) process plant, which producing approximately 100,000 oz gold and 780,000 oz silver annually.

Reporting to the PanAust Asia Mine Planning Superintendent, as part of a shared technical services department, you will focus on the provision of delivering an excellent long-term mine planning service which includes budget planning, strategic inputs and driving critical projects for the operations. Although this role has no direct reports, you will be required to provide technical support, coaching and mentoring to the relatively inexperienced, but very keen and willing, local Lao workforce.

Senior Drilling Supervisor The Anitua Group is a Landowner conglomerate involved in the shipping, hospitality, property development, construction, drilling and mining industries offering specialist services and a wealth of industry experience. Based mainly on Lihir Island, PNG, we offer employees a tropical, safe working environment, good quality accommodation/ recreation facilities, and FIFO rosters.

The primary responsibility of this position is to achieve optimal production from the assigned drill rig/s through operation of drill rigs, supervision and training of PNG National employees. You will be required to maintain a high standard of drilling techniques and adherence to safety policies and procedures.

In carrying out these duties this position is required to develop plans and strategies, supervise staff, delegate responsibilities and provide leadership to the drilling staff.

Applicants must have comprehensive knowledge of Diamond, Mud Rotary, Air Drilling, and Geothermal drilling equipment and hold a current IADC accredited supervisory level Well control and Blow-out Prevention ticket; a minimum 10 years actual drilling experience (not off-siding) with a variety of drilling techniques; minimum 3 years Drill Supervisor experience; Certificate III in Drilling; IADC Well Control Accreditation – Drilling Supervisory Level; be conversant with high pressure well head valves and apparatus; demonstrated ability to build sound working relationships with clients, management and staff at all levels in the organisation; good communication (verbal and written) and leadership skills, with the capacity to develop a sense of team spirit toward achieving Company goals and objectives; possess the skills required to provide adequate training plan to the Drillers and Drill Off-Siders; and experience in a similar role within the Drilling industry in a remote mining environment will be a distinct advantage as will the ability to operate in a cross cultural environment.

Learn more about us at www.anitua.com.pg Send CV and relevant documents to Aaron Smith, Manager Systems and Administration on aaron.smith.radial@anitua.com.pg ENGINEERING, GEOSCIENCE AND ENVIRONMENTAL OPPORTUNITIES – CANADA Klohn Crippen Berger (KCB) has a long history with some of the most challenging and high profile projects in the world and our 60 years of success is due to the dedication of our engineering, geoscience and environmental employees in our Canadian and International offices. We are a multidisciplinary consulting firm providing an array of engineering and environmental services to the mining, hydropower, transportation, oils sands, oil and gas and water resources sectors.

KCB is always looking for strong talent and we currently have a number of opportunities for highly experienced and motivated individuals for the following senior level positions in our Vancouver, Calgary, Edmonton, and Saskatoon locations: • CIVIL, STRUCTURAL AND GEOTECHNICAL ENGINEERS • HYDROTECHNICAL, HYDROPOWER AND WATER RESOURCES ENGINEERS • HYDROGEOLOGISTS AND GEOSCIENTISTS • ENVIRONMENTAL SCIENTISTS AND ENGINEERS We are committed to employment equity and encourage applications from all qualified career seekers. We offer competitive salaries commensurate with experience and qualifications as well as an attractive flexible benefits package designed to suit employees’ needs. Relocation support is also provided to candidates residing out of province and internationally. If you are someone who is willing to rise to a challenge, find innovative solutions, has strong technical skills and a natural drive for excellence, we want to hear from you!

For further information and the opportunity to speak with one of our representatives about any of these opportunities, please submit an application online with your resume and cover letter at www.klohnjobs.com.

SENIOR METALLURGIST I am currently sourcing a talented and committed senior metallurgist for a world class Iron Ore operation based in Australia.

Reporting to the metallurgical superintendent, you will be responsible for maintaining and monitoring the efficiency of the processing plant.

You will also be required to ensure production targets are met in a timely manner, and also to mentor and manage others on site.

Some of the key requirements for this role include an ability to maintain and manage metallurgical data and reporting; ensuring that all planned programs are completed in a safe, cost effective and productive manner; sampling and sample preparation; assisting with grade predictions from mine plans and current process data; an ability to review operating technical data to identify trends or non-compliance, prepare reports for Process Manager to review; and an ability to ensure that all reported metallurgical and operating data is valid and reported.

To be successful in this role you will have have 5 to 10 years’ experience in the Australian mining experience; tertiary qualification in Metallurgy or similar discipline; experience in Iron Ore processing will be highly regarded; heavy medium separation experience will also be highly regarded; an ability to mentor and manage others; and strong communication skills.

Candidates who meet these requirements are asked to apply immediately.

Excellent remuneration, an even time roster and other benefits are all included in this role.

To be eligible for consideration, you must have a valid working visa for Australia.

For further information, please do not hesitate to contact Chad on 08 9211 1020.

www.miningaustralia.com.au

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11th 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.

Orica Mining Services

MMD

Orica Mining Services is the world’s leading supplier of commercial explosives and blasting systems and is committed to developing and applying new technologies to achieve productivity, safety, environmental and financial gains for its customers.

Sponsoring the ‘Excellence in Environmental Management Award’ in Australian Mining’s Prospect Awards is one of the ways we contribute to and celebrate the success of this vital aspect of the mining industry, an industry that is not only critically important to the economy of our country but also to our business.

There is no single ‘answer’ to environmental issues, most improvements are incremental and are the result of hard work, close collaboration and sound science.

At Orica we are, however, making real progress.

We have invested heavily in developing mining technologies and processes that can bring about, measurable step changes in environmental performance.

We are proud to sponsor this worthwhile award and consider the Prospect Awards an excellent way to recognise the valuable work undertaken in environmental management.

We thank all participants for taking the time and effort to submit their entries and we look forward to meeting the finalists in November.

Mining Machinery Developments (MMD) designs and manufactures mineral sizing (crushing) equipment and services to the mining, metallurgical, industrial minerals, alumina and other industries.

The core products; Mineral Sizers (crushers) and Feeders offer a solution to problems such as variable ore properties, product requirements, site conditions and environmental issues.

Founded in 1978, to design and manufacture equipment for the UK underground coal mining industry, today MMD size over 60 different minerals world wide, in many varied process industries.

MMD Sizing equipment is available for surface or underground installations, stationary or mobile, and for climatic conditions ranging from arctic to tropical.

The MMD Sizer range now includes, primary, secondary and tertiary Sizers for wet and dry processing of metallic and nonmetallic minerals for mining, industrial minerals and quarrying industries.

To complement the robust Twin Shaft Mineral Sizer, MMD has designed and developed a range of heavy duty Apron Plate Feeders, which convey unbroken material to the crushing plant.

Standard widths available are 1500, 2000, 3000 and 4000mm on D4, D7, D9 and D11 Caterpillar sealed and lubricated tractor chain. The mobile and semi-mobile sizer systems developed

by MMD are both high in capacity and compact in size when compared to the traditional technology in this field.

The latest range of MMD Mobile Sizers have the ability to offer mine operators unprecedented levels of productivity, and therefore very low operating costs per tonne.

These energy efficient electrically driven “Green Mining Solutions” are all designed to assist mining companies to achieve the double bottom line of being both economic and environmentally friendly.

MMD is proud to be the long running sponsor of the Australian Mine of the Year award.

Metso Mining & Construction Metso is a leading supplier of technology and process optimisation services to the mining, aggregates and oil & gas industries.

With around 16,000 professionals based in over 50 countries, the company contributes to the sustainability and profitability of its customers worldwide.

In mining, this includes the supply, commissioning and endto-end life cycle services for equipment like crushers, grinding mills, screens, filters, flotation cells, magnetic separators, apron feeders and train unloaders.

The company also provides its customers with a range of services and innovative solutions to help them reduce their energy and water consumption while getting more from their process.

According to Max Wijasuriya – VP Capital Equipment, the Australian mining industry is responsible for around 190,000 jobs, 19% of the country’s total GDP and accounts for 55% of all Australian exports. “Sponsoring the ‘Minerals Processing of the Year’ category in Australian Mining’s Prospect Awards is one of the ways that we contribute to and celebrate the success of an industry that is critically important to the economy of our country and of course to our business,” he said.

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Be a leader in Australia’s mining industry and nominate today

www.miningaustralia.com.au

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Nominations are now open for the 11th annual Australian Mining Prospect Awards to be held on 24 October 2014.

A total of 15 awards will be up for grabs on the night, highlighting companies’ innovation and excellence in the mining industry.

All finalists will receive free publicity in Australian Mining and two free tickets to the gala dinner where the winners will be announced.

The categories include: ✔ Australian Mine of the Year ✔ Coal Mine of the Year ✔ Community Interaction ✔ Contract Miner of the Year ✔ Contribution to Mining ✔ Excellence in Environmental Management ✔ Excellence in Mine Safety, OH&S ✔ Explorer of the Year

✔ Hard Rock Mine of the Year ✔ Innovative Mining Solution ✔ Mine Manager of the Year ✔ Minerals Processing Plant of the Year ✔ Mining’s Woman of the Year ✔ Peoples’ Choice Award ✔ Young Achiever

For more information visit www.miningaustralia.com.au/awards PROUDLY SPONSORED BY

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EVENTS

Conferences, seminars & workshops Event submissions can be emailed to editor@miningaustralia.com.au Construction Risk Management Summit 1-2 April Wheelers Hill, VIC This timely Summit will bring together an expected 150 delegates from the construction, risk management and insurance industry.

Allowing opportunities to learn, discuss, network, challenge and collaborate under one roof.

Hear how the use of technology will improve your risk management processes.

All elements of risk will be discussed; contractual risk, project risk and financial risks.

Covering project delivery delays, managing what happens on the construction site as well as OH&S issues.

• Expotrade www.constructionrisksummit.com.au

Mining World Moscow 9-11 April Moscow, Russia MiningWorld Russia 2014 is the 18th international exhibition and conference for mining and processing metals and minerals in Russia. Last year more then 430 companies from 32 countries, including Australia, exhibited at the event, with the Australian ambassador speaking at the opening.

Russia is currently one of the world’s largest emerging markets, and represents a significant opportunity for Australian mining equipment and services companies to garner new work as the Australian market slows down.

According to Austrade there are a number of opportunties for Australian METS companies that include mining software and systems development; investment, including joint ventures; integrated project management; contract mining; supply (including leasing and acquisition) of mining plant and equipment; technology transfer and consultancy expertise.

• MiningWorld Russia www.miningworld-russia.primexpo.ru/en/

Mongolia Mining 2014 10-12 April Mongolia This year’s expo, the 4th edition, will be yet larger than all previous editions with vast geographic allocation of exhibitors. Except from traditional mining industry, this year’s expo adds oil industry to its profile and is organized under the name Mongolia Mining 2014, International Mining and Oil/Gas Expo.

• MinexMingolia www.mongolia-mining.org

Mining & Engineering Western Australia (M&E WA) 6-8 May Perth, WA REEDMININGEVENTS presents Mining & Engineering Western Australia (M&E WA) 2014.

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The show is a biennial mining industry exhibition and conference that focuses on the unique needs, challenges and opportunities facing Western Australia’s mining industry.

M&E WA is the leading WA exhibition for visitors to source the latest mining technology and innovations, gain insights into improving efficiency and boosting productivity while at the same time providing an opportunity to network with industry peers.

• Reed Exhibitions www.miningandengineeringwa.com.au

National Manufacturing Week (NMW) 2014 13-16 May Sydney Showground, Sydney, NSW Australia’s largest manufacturing industry event, National Manufacturing Week (NMW) will break new ground at the Sydney Showground from May 13-16 this year, with a revised floorplan giving more space to sectors and technologies that are driving industry growth. NMW will incorporate a record 15 Product Zones in 2014, with new zones including the fast growing Digital & Additive manufacturing sectors, along with Cleantech, Engineering Services, Advanced Materials and Machine Tools, displaying everything from CNC machining centres to laser equipment.

For the first time in Sydney NMW 2014 will also be ‘home’ to Ausplas, Australia’s national plastics trade show. Held once every three years, Ausplas presents many of the most significant innovations within Australia’s second-largest manufacturing industry sector and brings with it multiple new opportunities for exhibitors and visitors alike.

• Reed Exhibitions www.nationalmanufacturingweek.com.au

International Uranium Conference 2014 10-11 June Perth, WA Despite a significant short-term downturn in uranium prices the annual International Uranium Conference will continue as an annual event and remains the leading technical uranium conference in Australia.

The conference will continue to build upon the AusIMM’s hugely successful series that have been held over the past eight years.

The AusIMM International Uranium Conference 2014 returns to Perth and will include a twoday technical program, workshops, technical tours to Perth sites and much more.

• AusIMM www.ausimm.com.au

Astana Mining and Metallurgy Conference 12-13 June Astana, Kazakhstan

Congress AMM annually unites world political, business, financial and scientific leaders of mining and metallurgical industry for development of mutually advantageous partnership, introduction of innovations and attraction of investments.

The event holds a number of round tables, forums and a large exhibition, and last year saw more than 1200 delegates from across 20 countries attend.

During the mining exhibition there will also be a comptetion, the Golden Hephaestus, which recognises and rewards professionals in the mining iindustry, ranging from a focus on innovation through to mining education.

The event will also host the World Mining Congress Organization Committee, ahead of the WMC’s event in Kazakhstan in 2018.

• AMM www.amm.kz/en

Surat Basin Energy & Mining Expo 18-19 June Toowoomba, QLD The Surat Basin Energy and Mining Expo is Southern Queensland’s premier energy, mining and resources event, servicing the booming Surat Basin, unmatched in diversity and opportunity.

Now in its fourth year this event continues to break all records, attracting visitors from around Australia and across the globe.

The Surat Basin covers an extensive area across South West Queensland with billions of dollars in projects under way and in the pipeline.

Projects include a new jet capable airport, a new intermodal hub for the western precincts, a revised schedule for the second range crossing, new industrial estates, new shopping centres, new residential sub divisions and new roads.

This event provides an excellent environment for businesses and visitors to network, market and generate sales, leads and industry contacts.

With over 600 exhibitor sites for suppliers, service providers, government agencies and manufacturers, the Expo showcases extraordinary opportunities to engage in this rapidly developing region.

• Australian Events www.suratbasinexpo.com.au/

Ninth International Mining Geology Conference 2014 18-20 August Adelaide, SA The International Mining Geology Conference will be held in the city of Adelaide, South Australia. This will be the ninth in a proud tradition reaching back to the inaugural event, held in Mount Isa, Queensland in 1990. The International Mining Geology Conference series, jointly convened by the Australian Institute of Geoscientists (AIG) and The Australasian Institute of Mining and Metallurgy

(The AusIMM), has developed into the premier event in the world of mining geology.

The role of mining geologists has increased in importance in recent years. They are now involved in many business-critical steps in the value chain, from interaction with exploration, mine planning and blasting through to mineral processing and marketing. There is now recognition that, because the mining industry is built on minerals, geologists are the key professionals who interact right across the value chain: hence our theme Mining Geology through the value chain. I believe we are on the cusp of innovations and technology changes that will accelerate this trend, and the Ninth International Mining Geology Conference will be the best place to get across the key issues in 2014.

The conference technical program will incorporate a variety of papers on any relevant aspect of mining geology, including practical and applied case studies illustrating good practice and innovation.

• AusIMM www.ausimm.com.au

12th AusIMM Mill Operators’ Conference 2014 1-3 September Townsville, QLD The 12th AusIMM Mill Operators’ Conference will be hosted in Townsville, north Queensland, which follows the highly successful Hobart event which attracted over 400 industry professionals. Inaugurated in Mt Isa in 1978, the biennial conference aims to promote the sharing of knowledge in operating practices for mineral processing plants, including extractive metallurgy, process control and environmental issues.

Based on feedback from previous Mill Operators’ events we are requesting papers to have a greater emphasis on practical experiences and learnings in operating plants, rather than purely academic research. This does not, however, deter from presenting successes (or failures) from the application of next generation technologies and cutting edge innovations.

Much of the recent minerals boom was due to very high commodity prices, to the detriment of processing plants having to focus on lower production costs and improving their recoveries. With the current boom drawing to an end, processing plants need to consider how they will maintain productivity and profitability in coming years.

Australasian operations have seen increasing operational costs and skills shortages with lower grade and/or more complex orebodies, this combined with increasing competition from low-wage countries indicates that we need to lower our cost of production even further.

• AusIMM www.milloperators2014.ausimm.com.au www.miningaustralia.com.au

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ifm efector

Intelligent vibration switch – simply smart

The VNB001 is the first member of a new series of compact vibration sensors. It is used for online monitoring of overall vibration of machines and equipment according to ISO 10816.

This unit is distinguished by its simple set-up, requiring no PC software for parameter setting.

The unit is based on the proven, reliable efector octavis technology and can also be used on the applications in the mobile sector. The sensor measures the RMS or Peak vibration velocity (mm/s or in/s). Measurement value and switch point conditions are visualized on the LED display.

Service Centre: 1300 365 088 | Email: sales.au@ifm.com

www.ifm.com/au

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