Is South Australia the world’s next copper leader?

The Olympic Dam operation. Image: BHP

The South Australian Chamber of Mines and Energy (SACOME) has weighed in on BHP’s plan to more than double its copper production in the state by 2030.

BHP plans to upgrade its Olympic Dam copper smelter to a ‘stage-two smelter’, as well as expand its refining capacity.

As one of only two copper smelters in Australia, the expansion will be a potential boon for the state.

“South Australia was known as ‘The Copper Kingdom’ in the 1840s when copper was first discovered,” SACOME chief executive officer Rebecca Knol said.

“Today’s copper renaissance is crucial to our everyday lives and to our energy transition.

“From EVs (electric vehicles) and charging stations to mobile devices and life-saving healthcare, copper is fuelling our lives and our net-zero ambitions.”

In SA, BHP currently operates the Carrapateena, Olympic Dam, Prominent Hill, and Oak Dam copper mines.

The Big Australian has been outspoken in its desire to become a global copper powerhouse, and has placed its focus directly on SA.

SACOME said it is essential for state and Federal governments to ensure BHP’s strategy for the smelter and refinery expansion becomes a reality.

There are now several steps that need to be undertaken to advance the project, including an Environment Protection and Biodiversity Conservation determination, development of Terms of Reference, and the preparation of an environmental impact assessment.

“(This) is a significant milestone in BHP’s proposed smelter and refinery expansion, which aims to position SA as a leading global copper jurisdiction,” Knol said.

“The State Prosperity Project has provided a framework for strategic development that enables value-add to South Australia’s already impressive resource endowment.”

The State Prosperity Project is a co-ordinated initiative by the SA Government to unlock the full potential of renewable energy, critical minerals and green manufacturing to herald a new era of prosperity for South Australia.

The project’s key focus is the Upper Spencer Gulf, with the SA Government investing jobs and training in the region.

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Weir makes a mark overseas

Alexandra Eastwood

Weir’s redefined flowsheet solution includes Enduron HPGR technology. Image: Weir

The Weir Group has been awarded a £53 million ($102 million) contract to provide energy-efficient and sustainable solutions to the Reko Diq copper-gold project in Pakistan.

The project is 50 per cent owned by Barrick Gold, and is located in the Chagai district of Balochistan. Barrick is targeting first product at the site in 2028, with an estimated mine life of over 40 years.

The contract will see Weir provide fine grinding, separation and tailings solutions, featuring equipment such as Weir’s Enduron high-pressure grinding rolls (HPGR), Enduron Elite wet and dry vibrating screens, Warman slurry pumps, and Cavex hydrocyclones.

“We are delighted to have secured this significant contract which represents further industry acceptance of Weir’s differentiated sustainable and cost-effective redefined flowsheet solution, with our market leading HPGR technology particularly suited for the water-scarce climate and geology of the Reko Diq copper-gold project,” Weir chief executive officer (CEO) Jon Stanton said.

“Our engineers have designed an innovative solution that comprehensively addresses the particular challenges of this project and is a great example of working in close partnership with an ambitious customer who shares in our purpose to sustainably and efficiently deliver the natural resources essential to create a better future for our world.”

After equipment commissioning is completed, Weir will provide aftermarket support via an on-site service centre staffed with Weir technical personnel.

Barrick president and CEO said the company is proud to be partnering with Weir.

“The Reko Diq project will grow Barrick’s strategically significant copper and gold portfolios, benefiting all its Pakistan and Balochistan stakeholders,” he said.

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Weir, De Grey partner up

Alexandra Eastwood

Weir’s new Port Hedland facility services Enduron® HPGRs along with critical parts storage for faster service times for customers. Image: Weir

De Grey Mining has awarded Weir a contract to supply an Enduron high-pressure grinding roll (HPGR) for its Hemi gold project in the Pilbara.

The contract comes as Weir officially opens its Port Hedland Service Centre to further support its customers in the Pilbara.

De Grey Mining project director Peter Holmes said the company is looking forward to the partnership.

“De Grey Mining is pleased to partner with Weir on one of its key long lead items for its Hemi gold project and appreciates Weir having a local service facility to provide the required support to our site and the region,” he said.

Weir Enduron HPGRs global product manager Bjorn Dierx echoed similar sentiments.

“Our partnership with De Grey Mining further expands our footprint in sustainable comminution,” Dierx said.

“Our proven track record of developing highly engineered solutions for the industry, together with our capability to partner with our customers to bring projects to life, ensures that De Grey Mining will be in good hands to achieve its productivity, sustainability and project execution targets.

“Importantly, Enduron HPGRs also provide significant improvements versus traditional tumbling mill technology with energy savings of up to 40 per cent and in turn, a lower carbon footprint. This will be the fifth, similar-sized Enduron HPGR in the Pilbara region alone, which is a testament to its credibility in high capacity, hard-rock grinding.”

Weir regional managing director Kristen Walsh said the contract elevates Weir’s sustainability goals.

“This win further underscores Weir’s commitment to making mining more sustainable and demonstrates the substantial opportunity that can be made to CO2 emissions reduction when choosing an energy-efficient technology in a large greenfield project,” she said.

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The global opportunity for mining services

Contributor

Image: Kings Access/stock.adobe.com

Australian mining equipment, technology and services (METS) sectors generated $114 billion in revenue in 2020, according to the latest Austmine national survey, of which two-thirds of companies exported $17 billion of goods and services (five per cent of all exports in 2020).

Strong resources and energy exports and a steady increase in mining investment suggest METS sectors have grown considerably in subsequent years.

And expenditure is expected to continue. Australia’s mining industry invested $11.5 billion in the March quarter of 2024, up six per cent from a year earlier and nearly 60 per cent higher than the March quarter of 2019. Current estimates suggest the mining industry invested $53 billion during the 2023–24 financial year.

Further, rising exploration expenditure indicates an increase in broader capital expenditure from resources and energy firms in the coming years. Spending on exploration and other mining support services averaged $486 million per quarter in the year to March 2024, 25 per cent more than the average quarterly spend in the prior five years.

In particular, growth in exploration expenditure since 2020 suggests interest is rising in precious and industrial metals (such as copper and iron ore) and critical minerals amid the ongoing shift toward net-zero global emissions.

The June 2024 Resources and Energy Quarterly report shows exports of clean energy metals and minerals are projected to remain over $50 billion per annum over the next two years. Meanwhile, there are expectations for enhanced exploration activity over the next few years for traditional energy commodities including coal, gas and uranium that are currently experiencing relatively strong prices.

To execute these plans, services – ranging from provision of labour, explosives and transport to draining and pumping services, drilling and blasting services, railways, piping and electrical cabling – are all poised to benefit.

For access to more economic insights, explore Export Finance Australia’s World Risk Developments here. If you would like to learn more about how Export Finance Australia could support your business with finance to secure more contacts, visit the website or contact the team today at 1800 093 724.

This article is also available on the Export Finance Australia website.

Metso locks in $333m order at Reko Diq

Olivia Thomson

Image: Metso

Metso has signed a comprehensive frame agreement with Reko Diq Mining, the owner of the Reko Diq copper-gold project, one of the largest undeveloped copper-gold deposits in the world.

Under the agreement, Metso will deliver crushing and grinding circuits that include Superior6089 MKIII gyratory crushers, Nordberg MP1250 cone crushers and Premier ball mills with 51-megawatt installed power. These are equipped with gearless mill drive technology and Metso’s failsafe polymer hydrostatic shoe bearing systems.

Reko Diq Mining has also placed orders for TankCellmechanical flotation cells, high-intensity Concorde Cellunits, HRT thickeners, Vertimill and HIGmill regrind mills, mill reline equipment, concentrate filters and automation equipment, all of which are expected to be signed and booked in Metso’s minerals segment order intake later this year and 2025.

The equipment packages under the framework agreement are valued at $EU200 million ($333 million).

“We are excited to work as a strategic partner with Reko Diq Mining in this major greenfield project which will ramp up global copper production required for energy transition,” President of Metso’s minerals business division and deputy chief executive officer (CEO) Markku Teräsvasara said.

“Metso will provide Reko Diq with advanced and sustainable technology for the production of copper and gold concentrates.”

Reko Diq Mining is 50 per cent owned by Barrick Gold, 25 per cent owned by three federal state-owned enterprises, with the balance held by the Balochistan Government.

The Reko Diq project is expected to have a mine life of approximately 40 years as a truck-and-shovel open pit operation, with construction expected in two phases. This will provide a combined processing capacity of roughly 90 million tonnes per annum. First production is targeted for 2028.

“Reko Diq will substantially expand Barrick’s strategically significant copper and gold portfolios and benefit all its Pakistani stakeholders for generations to come,” Barrick president and CEO Mark Bristow said.

“We are pleased to partner with Metso in this project where sustainable concentrate processing is one of the key drivers for plant design and operation.”

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Newmont to roll out global autonomous fleet

Kelsie Tibben

Image: WesTrac/Newmont

Newmont will begin rolling out more autonomous haul trucks, drill rigs, and graders following a trial to boost the technology capabilities of its Cadia mine in New South Wales.

The gold miner will begin expanding next generation 5G wireless networks to improve safety in underground mining in partnership with Ericsson and Telstra Purple.

Before the trial, Cadia – one of the largest gold mines in the world – was limited to upload speeds of 20–30 megabits per second (Mbps) using Wi-Fi to operate autonomous equipment such as ore loaders and remote-controlled mining machines.

These wi-fi connections were unreliable and unpredictable when under load.

The new 5G network has allowed for speeds up to 90Mbps along access drives and declines throughout the underground complex, and 150Mbps upload and 500Mbps download on all-important extraction drives.

Newmont has since been able to deploy additional safety systems like radars and collision avoidance to improve overall mine safety systems.

“The trial results show the extraordinary potential of 5G to improve safety, increase the number of machines that can be operated on a single network and boost production efficiencies in underground mining,” Newmont chief safety and sustainability officer Suzy Retallack said.

“These trials are part of the new frontier of technology in mining – using innovation to make our people safer and our mines more productive.”

On the basis of the trial, 5G now has a firm place in Newmont’s communications strategies for Cadia and its other Tier 1 underground and surface mines across the world.

Newmont also garnered support from the Australian Communications and Media Authority (ACMA) for the trial, and has now applied to the ACMA for licences to extend and embed Newmont’s use of 5G technology across its Australian operations.

Newmont plans to expand the use of 5G networks across its global network of Tier 1 underground gold-copper mines.

“5G is enabling rapid global transformation of industry, supporting digitalisation and movement towards automated, more efficient, and safer operations across a number of sectors,” Ericsson head of private cellular networks Manish Tiwari said.

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This emerging lithium project trumps Bald Hill for size

Staff Writer

Image: Henri Koskinen/adobe.stock.come

When Global Lithium Resources announced a a 43 per cent resource increase for its Manna lithium deposit in June, it solidified the project as a truly world-class asset.

This took Manna’s mineral resource estimate (MRE) to 51.6 million tonnes (Mt) at one per cent lithium oxide, within arm’s reach of Mineral Resources’ (MinRes) 60.5Mt Mt Marion lithium operation located just down the road.

Manna now well and truly trumps MinRes’ 26.5Mt Bald Hill mine for size, which is an operating lithium asset.

Global Lithium managing director Ron Mitchell used his presentation at Diggers and Dealers this week to speak about how the MRE increase makes Manna the second largest lithium resource in the Kalgoorlie lithium province.

“We did only list in May 2021, it’s been quite a ride,” Mitchell said of the company’s robust financial position with $27 million in the bank as of June’s end. This ensures the project is fully funded through the final investment decision and beyond.

“We are really prudent on our spend given the current market conditions,” he said.

The Manna project, located approximately 100km east of Kalgoorlie, has shown remarkable progress over two-and-a-half years of drilling, with significantly more geological confidence in the asset.

The metallurgical testwork predicts lithium recovery rates between 75 per cent and 78 per cent, confirming the project’s viability.

“In my 14 years in the lithium sector, I’ve come across a lot of lithium projects, and not a lot are spodumene-dominant,” Mitchell said.

“It (Manna) is infrastructure rich, (and) there’s an operating railway line about eight kilometres south of the project site.”

Global Lithium is working with authorities at the Port of Esperance to utilise the railway line, which offers the Manna project significant logistical advantages, reducing transportation costs and emissions.

The company is also focused on community and environmental initiatives, working closely with Traditional Owner group, the Kakarra people, to finalise a native title mining agreement.

The Manna definitive feasibility study (DFS) is nearing completion and expected by the end of the year.

“The next six months are going to be crucial for us,” Mitchell said, highlighting the ongoing metallurgical testwork and upcoming announcements regarding the DFS, mineral reserves and project approvals.

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Evolution Gold Miner

Gold prices will ‘be higher in 2025’: Evolution

Olivia Thomson

Image: Phawat/stock.adobe.com

Amid the Australian gold price reaching $3680 per ounce on August 5, Evolution Mining executive chair Jake Klein predicted that the price will continue to soar.

“Since we emerged from the fog of COVID-19 in 2022 and the associated travel restrictions, I’ve stood at this podium for the last two years telling you that the price of gold would be higher the next time we meet,” Klein said while speaking at the 2024 Diggers & Dealers Mining Forum on August 6.

“And fortunately for me, I’ve been correct this year. I come with the same good news. I’m going for a hat trick: the gold price will again be higher in 2025.

“In an excellent recent research piece, Citigroup forecast a base case gold (price) for 2025 to be between $US2700 and $US3000 an ounce. That’s up between $US200 and $US500 an ounce from current prices.”

The predicted increase comes at a perfect time for Evolution, which has five Australian gold operations: two in New South Wales, two in Queensland and one in Western Australia. Klein shed light on how Evolution has advanced over the years.

“We’ve established an outstanding portfolio of gold and copper assets,” Klein said.

“10 years ago, Evolution had a market capitalisation of around $650 million, which is less than 10 per cent of our market cap today. Average mine life – based on reserves – was about seven years, and (we) were producing 440,000 ounces of relatively high-cost gold.

“Today, we have 33 million ounces of gold and 4.1 million tons of copper in resources. We produce over 700,000 ounces of very low-cost gold, and our average mine life – based only on reserves – is at least 15 years.”

Klein credited Evolution’s growth to its significant exposure to copper.

“We have added 75,000 tons of annual (copper) production. (We also credit) our very long mine lives with high quality ore bodies,” Klein said.

“The lowest cost investment and highest rate of return is always going to be organic growth. We don’t have to go out and buy new resources to grow production or to extend our mine lives. We already own them.”

In December 2023, Evolution acquired China Molybdenum Co’s (CMOC) 80 per cent stake in the Northparkes copper-gold mine in NSW. The purchase was the main driver of Evolution’s mineral resource growth.

“The attractions for us in 2020 were evident and remain the same,” Klein said. “(These include) a 30-year reserve life, an excellent team with deep technical knowledge of caving, great geological upside and immediate cash generation.

“The first seven months of ownership have exceeded our expectations in almost every way. We’ve generated $74 million of net mine cash flow, and there is a lot more to come.”

Evolution is currently implementing a lower capital-intensive sub level cave option at the E48 ore body within Northparkes. It is also currently sourcing ore from Northparkes’ E26 Lift 1 North block cave.

Klein said that Northparkes has “abundant resources” equalling a 70-years mine life, if all the resources are mined.

“Therefore, our focus is on near surface, high-grade mineralisation that can leapfrog its way into the production profile,” Klein said.

“And here, even having only owned the asset for seven months, we’re having great early success. This is undoubtedly an asset that would fit well in any gold or copper company in the world. And we are very, very happy owners.”

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Onetrak delivers ‘excellent’ Anaconda equipment

Adam Daunt

Oz Pebbles owns two Anaconda machines including a DF410 and SR514. Image: Onetrack

Quarry recently spoke with Oz Pebbles about its experience with Anaconda equipment from Onetrak.

For more than 30 years, Oz Pebbles has been a premium landscaping supplier, wholesaler, and distributor of bulk decorative pebbles, sand, soil, and mulch.

Located in Southeast Queensland, its Gatton yard boasts approximately 25 acres of diverse landscaping pebbles available for collection or delivery.

The company serves customers across the Gympie – Wide Bay – Burnett region of Queensland, from its Kilkivan yard for bulk building stone and rock for retaining walls, cobblestone paving, landscaping, and pool sides.

In early 2023, Oz Pebbles became a part of Brisbane-based Sunstate Sands Group, a 100 per cent Australian-owned and operated company. Quarry spoke to Matt Holloway, operations manager for Oz Pebbles, about the company’s Kilkivan site, which holds a large stockpile of material from an old gold mine. Oz Pebbles’ materials range from 20mm gravel to 400mm rock. With a small team working on-site, the company needed reliable machines. Oz Pebbles currently have two Anaconda machines, a DF410 and SR514 from Onetrak.

The DF410 is designed for optimal screening and stockpiling of materials with one of the longest screen boxes in the compact screening market. Meanwhile, the SR514 is both robust and economical, able to screen and stockpile up to three products, up to 350TPH. It features a 14 x 5 screen box with an optional triple or double deck, a 14ft feed hopper, main conveyor, and either three or four hydraulically folding stockpiling conveyors. Setting up the screen is easy and can be done in just 20 minutes, thanks to hydraulic controls that aid in the configuration of all conveyors, screen-box, and landing legs.

Onetrak is the official dealer for Anaconda equipment in Australia. Image: Onetrack

Holloway shared his thoughts on their decision to purchase Anaconda machinery. Previously, Oz Pebbles had no Anaconda machines in its fleet, but the company’s general manager had a relationship with Onetrak’s Jason MacDonald and had previously worked with Anaconda. This was a significant factor in Oz Pebbles’ decision-making process. Additionally, Anaconda’s excellent reputation and the support of Onetrak’s national dealership, which offers service and technical expertise, just two hours from the site, were key factors.

Holloway said there were several standout features of Anaconda machines. Some of these include excellent fuel economy, easy mobility on tracks using a remote control, and the ability to screen three separate stockpile products from a single feed. Additionally, these machines boast a durable and solid construction along with good engine power.

Oz Pebbles regularly hears from operators who find the machines very user-friendly. Holloway said the units can easily fold up to be transported and are compatible with both front-end loaders and excavators for feeding the hopper.

“These machines have good ground clearance, which makes clean-up easy. Further, the screen can handle different feed sizes with ease, even after warning operators about putting oversized rocks in the hopper. “Adjusting the tail belt height to increase or decrease stockpile height depending on site conditions is also helpful,” he told Quarry.

“I must say, our experience with Onetrak’s service manager Chris Gardham at Caboolture has been nothing short of excellent.

“Whenever we have any issues or need services, Chris is always there to provide timely and fantastic support. When we had to transport the SR514 to Emerald for some work, Chris had no issues organising a crew to get the job done.

“Moreover, their parts supply is also great, and they are equipped to source parts and provide specialist service in case of any issues with the machine. At the beginning of the engagement, Jason did an excellent job commissioning and training on pre-starts and the do’s and don’ts of the machines. Their after-sales service has been top-notch.” •

For more information, visit onetrak.com.au

Alcoa officially acquires Alumina

Kelsie Tibben

Alcoa aluminium smelter. Image: Alcoa

Just five months after announcing its intention to acquire Alumina Limited, Alcoa has now officially taken the reins.

Alcoa president and chief executive officer William F. Oplinger welcomed the closure of the $2.8 billion deal, which will increase Alcoa’s ownership of core, Tier 1 assets.

“Alcoa is proud to announce the completion of our first major acquisition,” Oplinger said.

“The acquisition of Alumina Limited strengthens Alcoa’s position as one of the world’s largest bauxite and alumina producers and is expected to result in long-term value creation from greater financial and operational flexibility.

“I want to thank both the Alcoa and Alumina Limited teams, and our advisors, for full cooperation and diligence in closing this transformational transaction on a very tight schedule.”

With Alcoa’s acquisition of Alumina, the Alcoa World Alumina and Chemicals (AWAC) joint venture is now fully owned and controlled by Alcoa.

Alcoa previously held a 60 percent ownership interest in AWAC, which consists of a number of affiliated entities that own, operate or have an interest in bauxite mines and alumina refineries in Australia, Brazil, Spain, Saudi Arabia and Guinea.

AWAC also has a 55 per cent interest in the Portland aluminium smelter in Victoria, Australia.

Looking to the Alcoa’s Western Australian assets, the company reaffirmed its commitment to growing the sector.

“Alcoa operations in Western Australia are a key component of the company’s portfolio, and this acquisition deepens that commitment,” the company said.