With an 11-tonne payload capacity, the WX11 punches above its 10-tonne class with advanced power and performance. Set new standards and drive productivity with this payload powerhouse. komatsu.com/wx11
FEATURES
TOP 40
19 Another solid year for Top 40 revenues in 2023.
33 Oilsands: Turning an environmental liability into a resource.
MINING OPERATIONS
28 Reclamation planning: Q & A.
31 Decarbonization: Building a hydrogen hub on the Prairies.
35 Status of the critical strategic minerals industry in Alberta.
40 Risk Management: The billion-dollar stakes of overlooking mining risks.
45 Ventilation: Bridging the data confidence gap in underground mining.
TRUCKS AND HEAVY EQUIPMENT
44 Exhibiting the path to the future of mining at MINExpo 2024.
47 Powering the future: Embracing electric actuators for mining equipment.
49 Kal Tire’s new OTR training stand will help technicians hit the ground running.
53 The race to electric power.
55 Choose a lightweight truck body without sacrificing wear.
CONVEYORS, CRUSHERS, AND SCREENS
42 Embracing automation for feeder control.
57 How to design successful potash conveyors.
61 Conveyor retrofits: Safety and efficiency do not need to be a compromise.
WOMEN IN MINING
65 Navigating the boys’ club: A mentor’s perspective on empowering women in mining.
HISTORY OF MINING
67 Exploring the history of diamonds.
DEPARTMENTS
4 EDITORIAL | Canada’s Top 40 are enjoying another year of prosperity.
4 OBITUARY | Russ Noble.
6 FAST NEWS | Updates from across the mining ecosystem.
8 CORRECTION |
12 LAW | No easy path to shorter permitting timelines.
15 UNEARTHING TRENDS | Elephant in the room: How to close the reality gap.
17 MIN(E)D YOUR BUSINESS | Advancing ambitions: Paving the way for Canada’s liquefied natural gas (LNG) leadership.
68 LETTER TO THE EDITOR |
53 ON THE MOVE | Tracking executive, management, and board changes in Canada’s mining sector.
www.canadianminingjournal.com
42
Tamer Elbokl, PhD
‘TCanada’s Top 40 are enjoying another year of prosperity
is that time of the year again! Based on financials from 2023, this issue features our annual Top 40 ranking of Canadian producers (pages 19-27). The Canadian mining sector continued to enjoy prosperity despite issues related to permitting, high interest rates, and global geopolitical risks. The Top 40 companies’ total revenues reached $166 billion in 2023. That is despite the halted development of critical minerals’ projects that led to this year’s ranking lacking the presence of any critical minerals’ producers again despite the global push to reach net-zero by 2050.
We continue to raise the alarm on permitting issues in Canada, and how it will lead to this country missing the huge generational opportunity to invest in and benefit from foreign investments in critical minerals that are essential to the most anticipated energy transition. Flip to page 12 to read the law column by David Hunter for more details.
Also in this issue, we feature several articles on trucks, heavy equipment, and conveyors on pages 47 to 64. Additionally, there are several articles on mining operations, including reclamation, decarbonization, critical minerals, ventilation, and more.
Last June, I attended the ribbon cutting ceremony of the new state-of-the-art, offthe-road (OTR) tire installation stand (CAT 797 hub) in Kal Tire’s training facility in Fort McMurray, Alberta. The article on page 49 features details on the new stand and exclusive pictures from the visit.
Moreover, our readers can enjoy information on diamonds featured in the history of mining article by Kathleen White on page 67.
So far this summer, the biggest mining news is Victoria Gold’s heap leach failure in Yukon’s Eagle gold mine. The ramifications of the incident are expected to lead to the departure of the company from our upcoming Top 40 list.
Finally, our next issue, September 2024, will report on gold projects of merit across Canada and North America. We will also look at innovative technology designed to help gold miners operate more efficiently and sustainably. Relevant editorial contributions can be sent directly to the Editor in Chief no later than Aug. 7, 2024. CMJ
• OBITUARY: RUSS NOBLE
It saddens our hearts to inform our readers that our former Editor in Chief, Russ Noble, passed away. Russ was an accomplished, award-wining journalist/editor, spending his career writing for various industry publications including Canadian Consulting Engineer, Heavy Construction News, and retiring from the Canadian Mining Journal. The Canadian Mining Journal’s team would like to extend the deepest condolences to Russ’s wife, sons, and the rest of the family.
President, The Northern Miner Group Anthony Vaccaro
Established 1882
Canadian Mining Journal provides articles and information of practical use to those who work in the technical, administrative and supervisory aspects of exploration, mining and processing in the Canadian mineral exploration and mining industry. Canadian Mining Journal (ISSN 0008-4492) is published nine times a year by The Northern Miner Group. TNM is located at 69 Yonge St., Ste. 200, Toronto, ON M5E 1K3. Phone (416) 510-6891.
Legal deposit: National Library, Ottawa. Printed in Canada. All rights reserved. The contents of this magazine are protected by copyright and may be used only for your personal non-commercial purposes. All other rights are reserved and commercial use is prohibited. To make use of any of this material you must first obtain the permission of the owner of the copyright. For further information please contact Robert Seagraves at 416-510-6891.
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From time to time we make our subscription list available to select companies and organizations whose product or service may interest you. If you do not wish your contact information to be made available, please contact us via one of the following methods: Phone: 1-888-502-3456 ext 3; E-mail: amein@northernminergroup.com
Mail to: Allison Mein, 69 Yonge St., Ste. 200, Toronto, ON M5E 1K3 We acknowledge the financial support of the Government of Canada.
Customers receive verified data on fuel and CO2 emissions saved when choosing Kal Tire retreads and repairs compared to buying new tires.
Visit us at MINExpo International West Hall, booth #12303
• HAULAGE | Liebherr offers 240-t T 264 haul truck
The new Liebherr T 264 mining truck, part of the 240-tonne size class, is designed to work with ultra-class excavators, in both backhoe and front shovel configuration, and wheel loaders. Its high horsepower engine (2,013 kW), efficient Litronic Plus AC drive system, and powerful electric wheel motors (3,300 kW) enable faster cycle times, enhancing productivity and cost efficiency.
Liebherr, renowned for its high-quality mining equipment, ensures the T 264’s reliability and performance through its robust, proven design and mining optimized components. With autonomous capabilities and zero emission options, the T 264 exemplifies Liebherr’s commitment to its customers and to the environment.
Visit www.Liebherr.com to find our more about Liebherr’s T 264, find a sales partner, or find service. CMJ
• TAKEOVER | Paladin makes $1.14B bid for Fission Uranium
Canada’s Fission Uranium has signed a deal to be acquired by Australian company Paladin Energy in all-stock agreement valued at about $1.14 billion. Paladin will purchase 100% of Fission shares at C$1.30.
Fission has applied for a license to construct a uranium mine and mill facility at its PLS property in Saskatchewan. The project hosts the Triple R deposit – the region’s largest high-grade deposit at shallow depth. Fission has published a feasibility study outlining the potential for the Triple R to become one of the lowest cost uranium mines in the world. The company is set to continue developing PLS through the permitting and licensing phase and on to construction and production by 2029.
Paladin also owns a 100% interest in nearly 100,000 hectares of mineral exploration licenses across six deposits; the largest of these deposits is Michelin in Labrador with a total resource of 92 million lb. uranium.
The transaction is targeted to close in the September 2024 quarter. CMJ
•
LOCAL INVESTMENT
| Gahcho Kué spends $2B with NWT and Indigenous businesses
De Beers Group and Mountain Province Diamonds announced that their joint venture Gahcho Kué diamond mine has surpassed the $2-billion spending threshold with Northwest Territories and Indigenous business.
The milestone represents 61% of the total $3.2 billion spent on the project since 2015 when construction began. Local businesses supply welding, transportation logistics, trucking, passenger and cargo flights, labour, and camp catering. The venture has a stated goal of sourcing at least 60% of its requirements for the project from local businesses.
In 2023, 69% of the Gahcho Kué mine spend was with NWT and Indigenous companies, totalling $228 million, the highest amount spent with NWT businesses since construction.
Gahcho Kué was officially opened in 2016 and now provides 663 full-time equivalent jobs, including 245 jobs held by NWT residents.
According to the NWT Bureau of Statistics, diamond mining is the largest contributor to the territory’s gross domestic product – $588 out of $4.25 billion in 2023. CMJ
The cost-effective T 264 truck from Liebherr has mining optimized features CREDIT: LIEBHERR
Fission Uranium’s Patterson Lake South Property in Saskatchewan CREDIT: FISSION URANIUM
Naturally fluorescing rough diamonds from the Gahcho Kué mine
CREDIT: MOUNTAIN PROVINCE DIAMONDS
• DEVELOPMENT | Skeena secures $1B for Eskay Creek
Skeena Resources has secured a $1.02 billion (US$750 million) financing package from Orion Resource Partners for its 100%-owned Eskay Creek mine redevelopment. The mine, located in BC’s Golden Triangle, operated as an underground mine from 1994 to 2008.
With this package, the Eskay Creek project is fully funded. Skeena now has optionality, flexibility, and stakeholder alignment as it moves toward open pit production in the first half of 2027. Annual production will be 320,000 oz. gold equivalent during a 12-year mine life.
Skeena completed the definitive feasibility study for Eskay Creek in November 2023. It demonstrated a high-grade open pit with an aftertax net present value (5% discount) of $2 billion and an after-tax internal rate of return of 43%. Using a gold price of US$1,800/oz. and a silver price of US$23/oz., the project will reach payback in 1.2 year. Life of mine all-in sustaining costs will be US$687/oz.
Eskay Creek was the highest-grade gold mine in the world when in production. The mine produced 3.3 million oz. of gold and 160 million oz. of silver at average grades of 45 g/t gold and 2,224 g/t silver from 1994 to 2008. CMJ
• CORRECTION
The company name “SNC-Lavalin” was mentioned twice (on pages 14 and 18) in the print version of the June/July 2024 issue. SNC-Lavalin is now AtkinsRéalis Canada.
The Eskay Creek camp in BC’s Golden Triangle. Open pit production is to begin in the first half of 2027 CREDIT: SKEENA RESOURCES
Smoother
Improved Maintenance
Getting
Improved Mobility
Versatile,
FAST NEWS
SIEMAG TECBERG announces the passing of its North American President, Kenneth Nelson
It is with deep sadness that we bid the passing of Kenneth L. Nelson (Ken).
Prior to 2000 when SIEMAG USA took over the shaft hoisting technology from NORDBERG, not least thanks to Ken’s willingness to join four other American colleagues (to follow SIEMAG to its new home), Ken was already forging a name for himself in the NA mining industry.
Ken graduated from the University of Wisconsin – Madison in 1987 with a BS Mining Engineering. In 1992, he started with Nordberg as an Application Engineer and Product Manager and in a short eight years after, become the VP for SIEMAG USA and was later named President in 2007.
Ken was the foundation stone for SIEMAG to become active in North and Central America. Without Ken, and his great leadership for close to two decades, success to date in the Americas would not have been possible. Customers and business partners have always been able to rely on Ken with his outstanding knowledge of shaft hoisting technology. His personality earned him a very high reputation and a very high level of esteem not only among customers but also among his employees.
The successful development of SIEMAG in North America is and will always be associated with the name Kenneth L. Nelson.
Ken was characterized by his great personal commitment to the company, his absolute loyalty and his responsible actions. His personal character was marked by great humanity and justice and he was a role model for many.
Ken’s family welcomes you to share your memories of him. Your kind words and stories will bring comfort to Ken’s loved ones during this difficult time. You can find his Obituary and Tribute Book at: https://memorials.hartsonfuneralhome.com/ kenneth-nelson/5429848/index.php#details
We are deeply touched by Ken’s death. We mourn with his family the loss of an endearing person and will always remember him with affection. Our sincere condolences go to his family.
With deepest sympathy, The SIEMAG TECBERG family.
• ESG | Denison signs Wheeler River deal with two local Metis communities
Denison Mines (TSX: DML; NYSE American: DNN) has announced the signing of two key agreements in support of its Wheeler River uranium project in northern Saskatchewan. The mutual benefits agreement with Kineepik Métis Local #9 (KML) and the community benefit agreement with the Northern Village of Pinehouse Lake (the Village) mark significant steps forward for the project’s development.
KML represents Métis members living near the project and those from Pinehouse Lake, the nearest municipality located about 270 km south along provincial highway 914.
“This represents a significant step forward in our ongoing efforts to secure sustainable economic development while protecting and promoting our culture, language, traditions, and rights,” said executive director of KML Billie Jo Natomagan. “This agreement signifies hope and opportunity for our community and for future generations.”
Mayor of the Village of Pinehouse, Mike Natomagan, stated, “This agreement is not just a document, but a testament to the strength and resilience of our community, and our commitment to sustainable community development. This partnership will bring more opportunities for employment, training and community development that will benefit our people and our future. Tiniki.”
David Cates, president & CEO of Denison, commented, “We have gained a unique first-hand appreciation for the Métis and non-Métis perspectives and values of the community. As such, it is particularly rewarding for us to have earned the support and consent for the advancement of the project from both KML and the Village.”
Wheeler River is the largest undeveloped uranium project in the eastern Athabasca Basin in northern Saskatchewan. The property hosts the high-grade Phoenix and Gryphon uranium deposits. It is a joint venture between Denison (90% and operator) and JCU (Canada) Exploration (10%). Its net present value is $2.01 billion at an 8% discount rate. The internal rate of return is 90% with a payback of roughly 11 months. The project, with proven and probable reserves of 56.7 million lb. of uranium oxide, is expected to have a 10-year mine life. CMJ
Wheeler River uranium project in northern Saskatchewan CREDIT: DENISON MINES
SERVICES
PRODUCTS
No easy path to shorter permitting timelines
For every complex problem, there is an answer that is clear, simple, and wrong
While participants in the mining sector have long recognized the importance of mineral exploration and development, the mining industry is now in the midst of an image makeover because of the climate change crisis, and there is a growing opportunity to reshape the broader community’s perception of mining from being part of the “old economy” to being a key player in a sustainable future.
Anyone who has attended a recent industry event will have heard that reducing the amount of time required to permit new mines is necessary if Canada is to meet the forecasted demands for, and realize the economic benefits of supplying, the critical minerals needed for a low-carbon economy.
Canadian provincial regulators have long advocated a “one-window” mine permitting process, yet the consensus in the industry is that wait times for permitting are getting longer. Despite efforts by mining regulators to improve permitting processes, at the same time, the political and legal landscapes in which they work have continually shifted beneath their feet.
Successive Canadian federal and provincial administrations have had to respond to increasing public awareness of, and sentiments regarding, the environmental risks and consequences associated with mining projects, in addition to Canada’s commitment to reconciliation with Indigenous Peoples. The result has been a significant increase in the complexity and scope of assessment processes for high-impact resource development, and an expansion of the numbers of stakeholders with standing in review processes.
Originally, mine permitting was primarily focused on the mine plan engineering, effluent limits, workplace safety, mineral rights, foreign ownership, and a narrow consideration of environmental impacts — sometimes lumped together with “social issues” and “marketing” under the general topic of “regulation.”
While the idea of subjecting a major mining project to an environmental impact assessment (EIA) goes back at least as far as the Trail smelter investigation of the 1930s, and the term “environmental impact assessment” had been used in Canada since the 1970s, the coming into force of the Canadian Environmental Assessment Act, 1992 (CEAA 1992) in 1995 represented the first statutory basis for environmental assessments in Canada, and added significant new burdens to proponents of major mineral projects. In British Columbia, which was the mining jurisdiction most heavily impacted by CEAA 1992, this coincided with the introduction of the province's Environmental Assessment Act, establishing new requirements for the environmental assessment of mineral projects exceeding designated thresholds and, shortly thereafter, other statutory and regulatory amendments to increase the regulation of, and liability for, contaminated sites.
The combination of federal and provincial legislation mandating mineral project EIAs was much more than a duplication of traditional environmental regulation; the year 1995 marked a significant expansion of open-ended project assessments aspiring to achieve a holistic understanding of all potential environmental, social, and economic impacts.
Compared to processes confined to considerations of basic regulatory compliance and proximate environmental impacts, project assessments that factor in broader social, ethical, cultural, and economic impacts introduce a host of additional variables and stakeholders, each with their own interests, perspectives, and potential impacts. This increased complexity has meant longer permitting timelines. By implication, the present challenge to reduce current permitting timelines by 50% or more will involve difficult, and potentially controversial, governmental decisions that go well beyond streamlining and reducing duplication in certain regulations.
If the goal is simply to shorten assessment timelines, recent changes to both the federal and provincial EIA statutory regimes have us headed in the wrong direction. By introducing new complexity, they risk even longer permitting processes. Might we, for example, roll back amendments that provide Indigenous Peoples with an increased role in permitting processes that impact their lands and communities? Such a myopic approach is not tenable.
The increased breadth and depth of major project reviews
has been driven and welcomed by a Canadian public that is increasingly aware of environmental risks and seeking social justice outcomes. Such considerations are important to most Canadians because they carry not only legal but also social and ethical elements. Rarely will they be addressed effectively without major investments in time, engagement, patience, and education on all sides of the table.
Mining industry proponents must continually increase their efforts to engage with and inform the public about the mining industry’s importance to the wellbeing of all Canadians. There will be opportunities to achieve greater efficiency in environmental assessment processes, but in the increasingly complex regulatory environment, the “wins” will not come easily, and reducing the 12- to 15-year process down to five years — an objective recently declared by Canada’s minister of natural resources, Jonathan Wilkinson — is ambitious. CMJ
David Hunter is a partner in Dentons Canada LLP’s corporate group. The author would like to thank Robin Longe and Mary Su for their contributions to this article.
Elephant in the room: How to close the reality gap
There is no denying the enormity of the net-zero challenge, but we must be warned against being overwhelmed
Tackling the enormity of the task required to reach netzero by 2050 gives rise to the question: How do you eat an elephant? The answer is one bite at a time.
Similarly, reaching net-zero will require a multitude of actions — large and small — incorporating government policies and support, innovation, technology, some of which is yet to be developed, and collaboration across every sector.
Mining — which accounts for 4% to 7% of greenhouse gas (GHG) emissions globally — faces the challenge of reducing its emissions while at the same time finding and mining an increasing volume of the metals and minerals needed to reach the world’s net-zero targets.
We are facing a “reality gap:” The shortfall between the desire for decarbonization and the reality of achieving such an outcome. The reality is that to decarbonize we need to produce more of the commodities needed in the next 10 to 20 years than we ever have. Faced with such a task, it is important that we do not give up. One of the dangers is that if some targets are unrealistic, we end up with a theme of catastrophism; people throw their hands up and say we cannot do anything.
That would be a disaster. Catastrophism is not helpful. What is helpful is engaging the wider community in what we can do, and it may not be exactly what governments have set out, but we can do some things. There will be no one silver bullet that can solve this decarbonization problem. The world will need every bit of technology just to get our carbon emissions down.
Every molecule of CO2 that goes into the atmosphere does not have a tag that shows where it came from, but they all count. We will feel the ramifications for decades of what we
have emitted now, so anything we can do to ameliorate the CO2 that is going into the atmosphere is important, not necessarily for us but certainly for our children and grandchildren.
Decarbonization may be the “light on the hill” but only a small proportion of activity globally is likely to get there within the established deadlines. If we can move the vast bulk of things along the technology path, then that starts to eat away at the problem earlier, and ultimately that will be a better outcome.
Take electric vehicles (EVs) as an example. The initial blush of enthusiasm has waned because of cost, perceived issues on range, battery life and safety, and the energy intensive nature of EV construction. By some estimates, a large EV, given the energy required for construction and the mining of critical minerals and with typical energy grids yet to be solely powered by renewables, will never deliver a carbon benefit over an internal combustion engine (ICE). But a hybrid vehicle would bring quite a few of the benefits and remove some of the issues that block people from buying EVs — and they are a lot more efficient than ICE vehicles.
Moving the mining sector along the road to net-zero will require a wider and faster adoption of technology to find, define, and mine the minerals and metals needed with confidence, precision, and at speed. Technology has a role to play. Early risk mitigation in mining projects means collecting information early to accelerate decision-making processes without taking on too much risk. It is just as important to know when to stop drilling as it is where to drill and for how long.
The value of geological information should not be underestimated, but it is often seen through the prism of the cost of further investigation versus the value of the additional data.
The mining industry has been slow to adopt innovative ore body knowledge (OBK) approaches and data collection, despite the increasing improvement and sophistication of the technology.
One of the reasons for this reluctance is that mining companies, researchers, and technology providers find it difficult to articulate the financial value of OBK; i.e, to explain in dollar terms the financial gain of being able to make better decisions earlier and reduce risk from greenfield exploration through to mining production.
This is the “value of information” proposition. Revelations around Australia’s pumped-hydro renewable energy project, Snowy 2, provide a textbook example of the perils of ignoring geological data and could provide lessons for the mining sector of the value of information.
After drilling just 150 m, a tunnel boring machine was stuck for around 19 months, falling victim to water and mud in the machine’s path. Why did it stop? No one knew what rocks were in front of it. There was a lack of internet of geosensing data.
BATTERYELECTRIC CONVERSIONS FOR
Maybe $5 million of drilling and data acquisition could have prevented a 19-month delay and a multi-million cost blowout. IMDEX is partnering with the Mineral Deposit Research Unit (MDRU) and the Bradshaw Research Institute for Minerals and Mining (BRIMM) at the University of British Columbia, and Ideon Technologies, the global leader in applying muon tomography for ore body imaging, in a two-year study to determine the real value of OBK and develop a method to quantify it.
Clearly articulating the dollar value of OBK assists in the adoption of technology where the cost is born in one part of an operation or organization, but the dollar benefit is accrued in a different department or during a separate phase of development.
It helps address the question: Who will pay for what does not happen? where operational risk reduction is the key driver. Without quality OBK, companies are taking unnecessary mine development risks. This all aids in closing the reality gap, with technology, innovation, and collaboration all taking one bite at a time. CMJ
Dr. Dave Lawie is chief geoscientist with mining-tech company IMDEX.
Advancing ambitions: Paving the way for Canada’s liquefied natural gas (LNG) leadership
The race for global LNG dominance is ongoing, with fierce competition
In recent years, global natural gas use has shifted dramatically, with liquefied natural gas (LNG) demand soaring.
From 2020 to 2022, global gas consumption jumped 64%, doubling LNG trade, partly because of a 15% drop in pipeline trade after Russia’s invasion of Ukraine. The LNG market now includes 20 exporters and 48 importers. Over the last five years, LNG demand rose by 13% and is predicted to increase by another 70% by 2040.
Asia’s LNG demand is surging, expected to rise by 42% by 2030, offering opportunities like South Korea’s coal-to-gas plant conversions. The U.S. leads 2023 LNG exports with 11.9 bcf/d, supplying 60% to Europe and 27% to Asia, which is vital amid tensions with Russia. Australia, the second-largest exporter, faces future supply growth concerns, opening doors for nations like Canada. Qatar, exporting mostly to Asia, is the third-largest exporter. Despite sanctions, Russia remains the fourth-largest exporter, focusing on LNG infrastructure to reach new markets.
Canada is up and running, with its first facility expected to export in 2025 and numerous other projects in the works
Canada is nearing its first LNG exports with eight projects in development, totaling potential investments of over $100 billion and 50 million tonnes LNG per year (mtpa) in exports. The flagship LNG Canada project in Kitimat, 85% complete, aims to start in 2025 with a capacity of 14 mtpa. Cedar LNG, targeting three mtpa, recently announced a positive investment decision, with plans to operate by 2028. Other projects like Woodfibre LNG and
Ksi Lisims are working towards net-zero emissions, with operational goals around 2027-2028, while Tilbury Phase 2 expands existing facilities and Port Edward LNG shows the potential for quicker, smaller-scale developments.
We must leverage our competitive advantage and accelerate future growth
Canada offers key benefits for the Asian LNG market, including shorter shipping routes, competitive costs because of a colder climate, and a low emissions profile. Canadian LNG travels half the distance compared to the U.S. Gulf Coast and is up to 1.6 times closer than Qatar, depending on the destination. With the world’s lowest emission intensity for LNG projects, Canada’s location further cuts transport emissions by 60%, aligning with Asia’s environmental, social, and governance (ESG) agendas.
Natural gas, a key transition fuel, emits 45% less greenhouse gas (GHG) than coal and 30% less than oil. Despite global coal phase-out efforts, its use grew by 1.4% in 2023, especially where renewables are scarce. Boosting Canadian LNG exports could cut emissions by 181 mtpa, almost like taking 41 million cars off the road. Canada’s vast gas reserves, technical expertise, skilled labour, and liquefaction infrastructure enhance its competitive edge. Despite these advantages, Canada is projected to supply a meagre 5% of global natural gas demand by 2030.
To boost economic growth, Canada needs to approve more investments, particularly in energy infrastructure like the Trans Mountain Expansion.
Regulatory headwinds are preventing faster LNG development progress
The regulatory frameworks governing Canadian LNG projects at the federal and provincial levels create significant disadvantages for companies seeking project approval in Canada relative to other jurisdictions. One primary challenge is lengthy approval timelines — taking approximately 19 months longer than in the U.S.
Delays and hurdles led to the cancellation of Petronas’s $36 billion project in
LNG project development.
Eighteen LNG export facilities have been proposed in Canada since 2011, and we are only now nearing the start-up of our first LNG export facility, LNG Canada, 14 years after its original announcement. While the U.S. has approved and built several facilities within 3 to 8 years. Germany’s “LNG Acceleration Law” highlights a more efficient approach, completing a terminal in just over 9 months.
since 2010. To boost economic growth, Canada needs to approve more investments, particularly in energy infrastructure like the Trans Mountain Expansion, which could generate 800,000 person-years of employment.
The proposed LNG projects could add over $7.4 billion yearly to the economy for 30 years, create 100,000 jobs annually, and provide over $6 billion in wages and other in economic benefits for Indigenous Peoples.
It is incumbent on Canadians not to squander
Canada’s GDP per capita has been declining compared to other advanced economies, leading to an affordability crisis, with a growing gap from the U.S.
And it is more than just economics: Europe urgently needs our gas to reduce its dependency on the Russian aggressor Europe’s energy security has been at risk since Russia’s invasion of Ukraine, with Russian gas exports to Europe down 40% in early 2022, the lowest in decades. Europe increased its LNG import capacity by 34% to compensate, benefiting suppliers like the U.S. and Qatar. Yet, U.S. export permit pauses and Persian Gulf tensions threaten supply. Russia still provides 20% of Europe’s gas, adding to the insecurity. Canada’s LNG presents an opportunity for Europe to secure a clean and reliable alternative to Russian natural gas, but export infrastructure deficits and lack of long-term strategy delay its potential to meet Europe’s needs.
So, what does this all mean and where to next? Canada has a chance to boost LNG exports, especially with the U.S. pausing new licenses amid climate policy revisions. To seize this, Canada must expand capacity, streamline regulatory processes akin to Germany’s efficient “LNG Acceleration Law,” and build strong partnerships with Indigenous communities for sustainable and mutually beneficial development. If Canada acts on these fronts, its LNG production could leap from 3.3 billion m3 in 2025 to 55.1 billion m3 by 2039. CMJ
Dr. Lance Mortlock is a managing partner, energy and resources at EY Canada. This article was written with support from Colton Cuckow.
CANADA’S TOP 40 2023
The criteria for choosing the TOP 40
To be eligible for CMJ ’s Top 40 Canadian miners list, companies must meet two of the following three criteria:
1 Be domiciled in Canada.
2 Trade on a Canadian stock exchange.
3 Have a significant share of an operating mine or advanced development in Canada. We have put extra effort into checking the eligibility of all the miners on the current list. However, we remain open to the suggestions of our readers.
By Tamer Elbokl, PhD
CANADA’S TOP 40
TOP 40 COMPANIES BAGGED $166 BILLIONS IN 2023
Nutrien continues clinching top spot despite revenue decline compared to last year, and Oceanagold joins the list for the first time
This year, potash continued to hold the top spot of the ranking. As expected, Nutrien’s stronghold on top of the ranking was not affected by Newmont’s acquisition of Newcrest. It is no surprise that, after Nutrien, the Top 40 are dominated by gold and copper miners.
Gold producers take over the next two spots: It has become quite common to our ranking to see Newmont, followed by Barrick, with the two reporting nearly identical total revenues close to $16 billion (see the main table for a full representation of the Top 40 revenue numbers).
Nutrien was formed in January 2018 as a result of a $36-billion merger between Agrium and Potash Corp. of Saskatchewan.
However, of this year’s list, only 15 companies are primary gold miners. Thirteen companies on the list are gold-silver miners (one of which, Orezone Gold, made the list for the first time). The list had only two primary copper miners (Ero Copper and Taseko Mines), one primary silver producer (First Majestic Silver), two gold-silver-copper producers (Hudbay Minerals and Aris Mining which was new to the ranking last year and solidified its spot this year by moving from 34 to 33), and finally one copper-silver producer (First Quantum Minerals).
Gold domination of the ranking comes as no surprise, as the precious metal continued to be a winner overall last year. According to the World Gold Council, gold price ended 2023 at US$2,078.4 per oz. (a record high year-end close). Additionally, the record average 2023 gold price of US$1,940.54 per oz. was 8% higher than 2022 despite the demand dipping 5% from 2022.
The decline in the number of copper producers on the list is mainly because of the volatile copper prices in 2023, which were affected by factors such as the global economic conditions (rising interest rates), demand and supply (China’s real estate crisis hit copper demand hard in 2023), and the continued geopolitical events. While copper spiked to just above US$3.9 per lb early in 2023, it sunk to US$3.50 by the end of the year. The price stood an average of US$3.9 per lb in 2023, and the current copper price at the time of drafting this article is US$4.08 per lb, boding well for copper miners in next year’s Top 40.
Silver producers still have notable presence on the list despite the price of silver down by 3.27% in 2023 compared to the previous year.
Only three companies on the ranking had diversified portfolios: Teck, Sumitomo, and Lundin Mining. Sumitomo was the biggest addition to last year’s ranking, and it did not disappoint this year as it held to the fifth spot.
It is worth noting that, like last year, the list had two royalty
The Globe Progress pit lake at Oceanagold’s Reefton project in 2023. CREDIT: OCEANAGOLD
and streaming companies (Franco-Nevada in 16 and Wheaton Precious Metals in 22; both almost unchanged from last year). The list also had the usual iron ore producer, Champion Iron in 19, slightly down from 18 in 2022. And the only uranium miner on the list is Cameco in 12, up from 14 last year with a considerable revenue increase, as uranium prices almost doubled in 2023 compared to 2022 driven by growing global demand for nuclear power to help achieve global net-zero greenhouse gas (GHG) emissions by 2050.
The biggest drop in this year’s list was China Gold International from 19 last year to 32 in this year’s list, probably affected by geopolitical events and China’s real estate crisis in 2023.
Newcrest and Copper Mountain, where art thou?
This year’s notable departures include Newcrest and Copper Mountain. Newmont acquired Australian miner Newcrest in a US$15-billion deal that added five active mines and two advanced projects to Newmont’s portfolio. The enlarged Newmont will have gold assets in North and South America, Africa, Australia, and Papua New Guinea. It will also expand its exposure to copper. This certainly helped bump Newmont to the second place this year from third in last year’s ranking, and it will continue to boost Newmont’s ranking next year, but we do not expect it to beat Nutrien to the top spot.
Copper Mountain disappeared from the ranking this year after an acquisition by Hudbay whose all-stock deal offered a 23% premium to Copper Mountain’s 10-day weighted average trading price at the time of announcement and valued the company at US$439 million.
Newmont made the list for the first time in 2020, following its US$10-billion acquisition of Goldcorp.
New to the list: Oceanagold moves its headquarters to Canada: “Blimey!”
Oceanagold is a growing intermediate gold miner. The company has a portfolio of four operating mines: The Haile gold mine in the U.S., Didipio mine in the Philippines, and the Macraes and Waihi operations in New Zealand.
Late in 2022, the company’s president and CEO, Gerard Bond, announced the relocation of the company’s headquarters to Vancouver, B.C. Bond said in a statement, “Having regard to the location of our shareholder base, our operations, and opportunities, I will be relocating to Vancouver, Canada in the coming months and in due course this is where our corporate headquarters will be going forward.” With the company’s stock listed in TSX, Oceanagold met two of the Top 40 criteria and made the list for the first time in a whopping 20th spot.
Other additions to the list are the coal miner, Southgobi Resources, in 37, and Orezone Gold barely met the cutoff in 40.
For a few million dollars more!
When comparing year-on-year changes in revenue, the standout is Orezone Gold with revenues increasing dramatically to $366 million from $57 million in 2022. Its flagship Bomboré gold mine in Burkina Faso achieved commercial production on its oxide operations in December 2022 and is now focused on its staged hard rock expansion that led to materially increasing annual gold production from the processing of hard rock mineral reserves, leading to this upswing in revenues.
Top 40 ranking based on 2023’s total revenue
Runners-up based on 2023’s
BUILDING
Operating cash flow margin
Revenue growth rate
Pan American Silver is another major revenue mover, with revenues increasing to $3.1 billion, up from $1.9 billion in the prior year. This company’s 2023 financials were largely propelled by a merger and acquisition (M&A) deal, with the closing of a US$4.8-billion-joint-acquisition of Yamana with Agnico. A deal that added Yamana’s South American assets, four mines, to Pan American Silver’s profile.
According to a GlobalData report, in 2023, the global mining market witnessed deals worth US$121 billion, growth of 75% compared to 2022. In terms of deal volume, there was a growth of 5% to the M&A deals in 2023. The sector recorded 16 megadeals (defined as any deal valued at more than US$1 billion), an increase of 33% compared to 2022.
Consequently, this year’s numbers are affected by some of these M&A deals of the past year.
Other major deals that affected the new ranking
According to a recent report by Costmine Intelligence, there were 125 closed mining M&A deals in 2023 valued at approximately US$35 billion. In addition to the Newmont/Newcrest deal, other top deals in 2023 that may have affected our ranking were the following:
> The Agnico and Pan American Silver US$4.8-billion-jointacquisition of Yamana mentioned above also helped Agnico walk away with Yamana’s Canadian assets, the Malarctic Mine, Canada’s largest open pit gold mine.
> B2Gold acquired all the issued and outstanding common shares of Sabina Gold & Silver for US$823.66 million. Sabina wholly owned the Back River Gold project in Nunavut, as well as the fully permitted Goose gold project.
> Agnico acquired a 50% interest in the San Nicolas mine, a Teck Resources asset. The mine is a copper-zinc development project located in Zacatecas, Mexico. As a result of the transaction, Teck and Agnico Eagle will become 50/50 joint venture partners at San Nicolas.
> Most recently, Teck Resources announced it has completed the sale of its remaining 77% interest in its steel-making coal business to the Swiss commodities giant, Glencore. Prior to that, the federal government had announced its approval of the sale of the operation to Glencore.
Teck received US$7.3 billion from Glencore for its coal business, which it had to offload as part of the strategy to focus more on critical minerals and the energy transition. “This transaction marks a new era for Teck as a company focused entirely on providing metals that are essential to global development and the energy transition,” said Teck’s president and CEO Jonathan Price in a statement a few weeks ago.
The runners-up
A list of five runners-up, including only Wesdome Gold from last year’s runners-up is also provided. The runners-up companies that meet the criteria for the Top 40 but just miss the revenue mark, all reported headline revenues for 2022 within $40 million of the cutoff mark for the Top 40. Four new companies made it to this year’s runners-up list: two gold-silver-copper miners (Imperial Metals and Dynacor), with the other two producing gold-silver (SilverCrest) and copper (Amerigo Resources). Notably, Imperial Metals is back to our runners-up list. The company left the Top 40 ranking in 2020 when the miner sold a 70% stake in its Red Chris open pit to Australia’s Newcrest for US$807 million.
Oilsands
Finally, oilsands producers are in a separate table outside of the main ranking. There was no change at all in the ranking over the prior year, with all companies, except for Baytex, reporting major declines in revenue compared to 2022.
The forecast for 2024 ranking
The 2023 ranking proves that our forecast in last year’s article was successful. In 2024, we will continue to see a trend of mergers and acquisitions as the year unfolds and the gold rally continues to stimulate this trend among intermediate and junior miners.
Regarding lithium and other critical minerals’ producers, note that we do not have any of them on our list because of the long permitting process in Canada. The price of lithium that is vital to the energy transition has plunged by around 80% since late 2022, as the market whiplashed from shortage fears to a mountain of surplus inventories. Nickel and cobalt have also tumbled, weighed down by an influx of new production amid concerns that the shift to electric vehicles may not be as smooth and quick as predicted. Consequently, we do not expect any critical minerals’ producers to appear on 2024 ranking. The last incident was vanadium producer, Largo, in last year’s runners-up list.
Teck’s recent strategic transitions and offloading of assets may lead to the company losing revenue and dropping a few places in the 2024 ranking.
According to a recent article on our sister site, mining.com, Newmont and Barrick Gold, the top two gold miners of the world, are expected to post higher quarterly profits, powered by a rally in the precious metal’s prices.
Rising hopes of interest rate cuts, uncertainty around U.S. elections, and global geopolitical risks have boosted the precious metal’s safe-haven appeal, pushing it to a record-high level.
Finally, we expect the notable departure of Victoria Gold from next year’s ranking, as the recent incident in the Yukon may lead to a sharp decline in revenues in 2024. CMJ
THE FINE PRINT
> We recognize that revenues are an imperfect way of looking at companies, as they discount the value of near-term expansions and development projects. Since the cutoff for our Top 40 can be close, we have also included a runners-up table to highlight other Canadian companies that are generating strong revenues.
> Please see also the criteria for our Top 40 eligibility, which is unchanged from past years.
> Differences in reported revenue figures between this year and last are attributable to different exchange rates used to convert U.S. dollar figures for each year and to some companies having restated prior years’ revenue. Financial results are also impacted by commodity prices and exchange rates. For comparability purposes, note that cash flow from operations is calculated after changes in working capital.
> All figures in the tables are expressed in millions of Canadian dollars.We use the Bank of Canada’s average exchange rate when converting U.S. to Canadian dollars: for 2023, the average was US$1.00 for C$1.3497.
> Data sets were extracted by the author from MiningIntelligence database.
By Catherine
Reclamation planning: Q & A
The importance of a holistic approach to reclamation planning using monitoring with the flexibility to pivot when necessary are some of the themes discussed with Sara Wilkins from Stantec and Megan Miller from SRK Consulting.
Sara Wilkins is the global mine water practice lead at Stantec, specializing in mine water management and groundwater and surface water assessments. She has an environmental sciences background and 20 years of experience in mine closure and reclamation. Wilkins holds a P.Geo. designation and has a B.Sc. in environmental geology from Carleton University.
Megan Miller is a principal consultant at SRK Consulting. She has 15 years of experience in reclamation, mine closure, and permitting. Miller has an M.Sc. in civil engineering from the University of British Columbia.
Q: At what point in the life cycle of a mine is the reclamation plan put together?
A: Sara Wilkins: When the mine is either acquired or developed by the operator. We see reclamation planning on a holistic level. You are not just planning for closure; you are proactively managing your assets. You are looking at each one of your assets as potential value back to the land or back to the community. And every time that you do a good job, in informing and involving the community, you have an easier and a
more beneficial relationship with that community, and it allows for you to plan better and integrate them into your plan.
Q: Is there any typical reclamation plan or are they site-specific?
A: Sara Wilkins: Stantec has an integrated mine closure team, including mine planners, environmental planners, and water planners. What we can do with that one team is understand all components that we need to consider before we design the mine.
Land use planning allows for potential uses such as compensation lakes, which are kilometers wide. You need to save or develop the landscape to create the water, the drainage system, and ecological system to sustain that lake into closure. If you do not integrate that into your mine plan, you will not have that option.
When you are planning your mine, you must understand what resources are available. Are you in the Arctic? Are you in the desert? What is available for site reclamation purposes?
Megan Miller: It depends on the project, we work with tech experts, geochemists, hydro, water and load balance, engineers, and water treatment specialists. Sometimes we collaborate with company employees on site, or we work with external or other consultants. We have a partnership with an ecology company working on revegetation, which is soil for growing things.
Q: Are there any specific approaches that you use?
A: Sara Wilkins: It is very important to do progressive reclamation. This entails managing the soil and reclamation program on a monthly and annual basis, so that we can stock topsoil and seed bank. Then, we do not have to start introducing nonnative plants at closure or spend extra money to import and find topsoil instead of stockpiling it properly at the start.
As we are monitoring your reclamation progress, we can do something called “adaptive management,” where we reclaim a certain area. This helps you understand what is growing there, and how productive that area is.
I think it is important that geochemistry, water, and land use planning are done in an integrated fashion. We do not simply look at what kind of plants you can plant at closure. How do we avoid water contamination at closure? How do we create a landscape that is going to be low risk? You look at what type of entire ecosystem can be created and use modeling to predict if you can get there.
We can avoid a lot of risks by investing early in planning and monitoring water quality and assessing the geochemistry coming out of waste rock piles or any facilities that have been closed. We can develop techniques and use that knowledge to modify or quickly avoid problems, even if we have to change the mine plan. We can change our mining methods and reclamation techniques to reduce those risks.
We are in a better position to monitor activities and make changes more cost effectively before the mine is closed. When the mine starts to shut down, we do not have the on-site experts and resources available. Then, at closure, we can model and come up with novel techniques to avoid a lot of the contamination that that many legacy sites are experiencing.
Megan Miller: My philosophy is to try to make it a practical plan looking at an integrated, holistic approach. The main thing to consider is what to do with the water. That drives everything. Often, there is an erosion problem. It really comes down to the specific sites. We use vegetation to stop erosion. We find the best plan to make that happen. We put the topsoil in a pile at the beginning, and if there is not enough topsoil, it must be borrowed. Then, we consider what are the best sources to grow, and how to place it.
Q: What are some of the challenges?
A: Sara Wilkins: I have been doing this for 20 years, and every single site consistently runs out of topsoil. The deficit of topsoil leads to problems because we cannot create that native seed bank that was there when the mine was first built. If you try to import nonnative plants, you end up having invasive species. If you try to create an ecological site at closure that is different from what was previously there, by not properly planning and managing your topsoil, it will be a lot more expensive.
Megan Miller: One of the challenges in northern sites includes permafrost. We must consider how we deal with disturbing new ground and borrowing soil that is not thawed when it needs to be.
Q: Is it easier to do reclamation for underground mines as opposed to open pit ones?
A: Sara Wilkins: There is less of a surface disturbance in an underground mine. There is also less visible impact on the mine, but it is not necessarily easier. It just leads to a smaller area of land that we need to reclaim, and there is a smaller surface footprint. There is still a surface footprint from the facilities, but we are going to have less of a visible ecosystem or visible landscape to then reclaim.
Megan Miller: Underground mines have less waste rock. In open pits, we need a place to store the water, as we do not have a built-in containment area.
Q: What type of monitoring do you do?
A: Sara Wilkins: It is site-specific but also dependent on how well the mine is managed to reduce a lot of long-term problems through monitoring. Stantec uses some proprietary and industry tools using remote sensing to monitor.
Although it might take resources, we can reduce the amount of people on the land, so they do not have to be at the site physically any longer than they need to be. If most of the earthwork is completed, then we can use remote sensing tools for monitoring program. We can use technology such as Environmental DNA (eDNA), which monitors different species in the water from a water sample. We can observe if nonnative invasive species or species we did not plan for are in those waters by taking a quick water sample without having to do a very large invasive fish capture program.
We also can fly over the mine or purchase satellite imagery technology. In just one data capture event, we can monitor the lands reclamation progress. We can monitor tree growth, wind, and waiver erosion, the stability of tailings, dam faces, carbon capture ability, and the geotechnical stability of the land remotely.
We utilize artificial intelligence (AI) because the processes accumulate large amounts of data with a low-impact data collection system.
Closure can be done in a low-impact way, and we can also keep our commitment to the local communities to reduce any disturbance because we are not physically there. And that also brings in safety benefits as we are not sending people out in the middle of a lake on a boat in the Arctic, reducing impact from a cost and a people standpoint.
We have a lot of partnerships and formal partnerships with technology partners that support us.
We also have a large team of in-house developers and software managers that help us build these tools. Stantec dot IO is our information technology group, and the remote sensing group is called GLOBEWATCH.
We use several models, including geochemistry and water models, which can predict the outcomes at closure and modify mine plans accordingly. The last thing we need at closure is to bring everybody back and start changing the existing processes.
Megan Miller: We use commercial software for monitoring
including all the data on water quality and temperature readings. Dashboards work in real time, and the database is used for visualization.
Q: Is remediation a part of reclamation as well, or is that different?
A: Sara Wilkins: Remediation would be the final last resort. Ideally, we are using avoidance techniques and trying to avoid having to remediate by planning properly. Remediation is, in my view, for more of an emergency. For example, if we had a spill. Ideally, we are not remediating, we are simply closing and managing to reduce any impacts.
Q: How long does reclamation take at a site?
A: Sara Wilkins: Typically, we would not be doing active reclamation for more than a few years after the mine has closed. The monitoring can be ongoing, and we can do adaptive management during mining to hopefully not find any surprises while you continue to monitor, but the process itself is not that long once the mine is closed.
Megan Miller: Regarding water treatment, ideally, we do not need to do this long term. On historic sites, we collect water sea-
sonally when it is discharged. For example, it is low flowing in winter, and we need to store the water in the meantime.
Q: Are there opportunities for the local community to be involved in reclamation activities?
A: Sara Wilkins: Stantec has 13 formal partnerships where they are a minority stakeholder in a business relationship with Indigenous communities, and we work with those companies, including training programs, and we hire them as part of our field or engineering teams.
There is a strong willingness for them to be involved because the mine can ruin the land. We need to be good stewards of the land. Once they are involved, invested, and have local employment, now we are partners.
Megan Miller: Regarding consulting communities on land use and how it will be used, I am not on the frontline speaking to them. I have attended community meetings, presented a range of options, and received input from the attendees. Project information goes to a review committee and a panel presents the information, and then we take the feedback we received into consideration. CMJ
Catherine Hercus is a freelance writer.
KCA PILOT PLANT AGGLOMERATING SYSTEM
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Building a hydrogen hub on the prairies
Saskatchewan is poised to be a leader in Canada’s energy transition. The province’s established oil and gas industry is crucial for diversifying the energy sector and providing solutions that work for the economy and the environment. With over 30 years of industry knowledge and expertise, the Saskatchewan Research Council (SRC) is supporting the province as it turns its attention towards hydrogen.
“There are a lot of great things about hydrogen, and we are excited about hydrogen as part of the energy transition,” said Petro Nakutnyy, director of operations for SRC.
Hydrogen is a colourless, odourless gas that produces little to no emissions during its use. When used as a fuel, hydrogen combines with oxygen and gives off water or vapour as its by-product— making it an ideal candidate for a variety of energy needs.
Hydrogen can be combusted and used similarly to natural gas, diesel, or gasoline, for example in heating and transportation applications. Hydrogen can also be used in a fuel cell to produce electricity. Fuel cell applications are more efficient, but the ability to use hydrogen in internal combustion engines makes it a versatile transition fuel for heavy duty transportation.
Since hydrogen does not exist freely on Earth, it must be created and can be produced through several processes. In Canada, and in Saskatchewan, hydrogen is currently produced from natural gas, but it can also be made from electrolysis or water splitting, which produces hydrogen from water. Its versatility in both production and end-use applications makes it an attractive fuel alternative.
“The multiple production pathways for hydrogen make it is a more versatile option for energy transition,” said Nakutnyy. “In some regions of the world where gas supplies are prevalent, hydrogen can be produced from natural gas, and combined with carbon capture which allows us to reduce our greenhouse gas (GHG) emissions significantly right away.” In other regions with a different energy mix, a larger portion of hydrogen is expected to be produced by electrolysis.
Hydrogen in the spotlight
International interest in hydrogen has grown over the last couple of years. Canada has developed its own ambitious hydrogen strategy that recognizes the potential of hydrogen for environmental stewardship and economic growth within the energy sector.
Net-zero goals will require a multitude of different solutions and hydrogen alone will not provide all our energy needs. However, as the world moves towards net-zero, there are many industries that will be challenging to transition to electricity.
Hydrogen offers a solution for heavy-duty transportation
services, agricultural practices (e.g., fertilizer), steel production, and other difficult to abate sectors with complex energy needs.
Alternative fuel research
After decades of developing technologies that use hydrogen, SRC has the knowledge and expertise to assist Saskatchewan with its energy expansion.
“I think the best contribution we made was the microprocessor that could adapt gasoline and diesel vehicles to hydrogen,” said Mike Sulatisky, a research advisor with SRC’s process development team.
Sulatisky began work on alternative fuel research at SRC in 1984, looking first at natural gas before exploring hydrogen-based technology.
In 2004, SRC produced the first “Dual-Fuel” diesel-hydrogen vehicle. This was followed by the first hydrogen-gasoline vehicle in 2005. At its height, the project featured a fleet of hydrogen hybrid vehicles. In 2010, a hydrogen fuelling station was established to support these vehicles.
“We advanced the development of a new fueling system, which allowed us to blend gaseous hydrogen into vehicles along with normal gasoline, and subsequently trademarked Dual-Fuel technology,” said Anton Farber, project lead and supervisor at SRC. “The control system development and vehicle conversion were completed in-house at SRC,” added Farber. These vehicle technologies reduced emissions anywhere from 40% to 60% during routine driving conditions. The vehicles could idle on 100% hydrogen, releasing only water vapour from the exhaust, which further reduced overall emissions.
SRC also developed leakage detection technology that used acoustics and ultrasonics to detect weaknesses within a high-pressure container before a leak could occur. Since hydrogen must be kept under very high pressure, this technology
provided a valuable safety application.
The hydrogen vehicle project at SRC was a bit ahead of its time and the challenges in producing and storing hydrogen economically at scale were difficult to overcome. However, in recent years, the cost of producing, storing, and working with hydrogen has come down and is expected to further decrease over the next decade.
“Today, hydrogen use can be economic on its own merits, in addition to the environmental benefits of converting some applications to hydrogen,” said Nakutnyy.
Hydrogen continues to pose some challenges for producers and users. To store enough energy in hydrogen, the gas needs to be kept under high pressure, which requires specially designed containers. Liquefying hydrogen is one solution, but the liquefaction process is not easy. It requires a lot of energy, and the liquid hydrogen needs to be kept at minus 250°C.
SRC is also looking at complementary technologies like microsmall modular reactors to support generation and scenarios that involve using ammonia offers a potential solution as a hydrogen carrier. Another option that could be explored is storage in metal hydride alloys that use rare earth elements like the lanthanum that will be refined in SRC’s rare earth processing facility.
The creation of hydrogen hubs could help mitigate some of these challenges. The unique geological landscape and the expertise of the province’s established energy industry make Saskatchewan an attractive location for this kind of hydrogen network.
Building a hydrogen hub
Over the last two years, SRC worked closely with experts from the Transition Accelerator and the University of Regina, with support from the Ministry of Energy and Resources and industry partners — including Federated Co-operatives Limited and Whitecap Resources — to assess the feasibility of a hydrogen hub and synergies with carbon capture, utilization, and storage (CCUS) infrastructure in the Regina-Moose Jaw industrial corridor.
A hydrogen/CCUS hub could help Saskatchewan establish an entire commercial-scale hydrogen supply and demand chain.
Collaboration is key to the success of a potential hydrogen hub. “Having stakeholders working together throughout the entire value chain to build demand and ensure that it is met with local production is important,” said Dave Anthony, research scientist, Process Development.
Saskatchewan’s oil and gas and mining industries both play a significant role in establishing a hydrogen hub. Their expertise and existing infrastructure are invaluable in growing a new hydrogen economy in the province.
Large underground cavities that are used to contain natural gas are located across the province. They may be opportunities to leverage local geological formations, including salt caverns for hydrogen storage as well.
The future of hydrogen in Saskatchewan
Hydrogen can address many of Saskatchewan’s needs while using its established infrastructure. Currently, most of the province’s energy comes from natural gas.
“We can use the industries that we have and retool some of it to produce hydrogen; therefore reducing emissions and creating an environment that would then allow further growth of hydrogen use,” said Nakutnyy.
This strategy would provide a transition period where the people, skills, and infrastructure in Saskatchewan can be used to continue supplying clean and inexpensive energy while maintaining economic growth and employment opportunities. Establishing hydrogen transportation, storage, and use infrastructure will enable the transition to renewable sources of hydrogen production.
Saskatchewan’s renewable energy sources, like solar and wind, fluctuate and cannot always provide a consistent amount of energy. This means that there are periods of time when electricity generation capacity exceeds the demand (off-peak hours). Using this surplus energy to generate and store hydrogen could supplement renewable sources during generation lows.
SRC has worked on helping communities that rely on diesel generators gain access to more reliable and clean technologies with its hybrid energy containers. These containers use diesel power to charge a battery that then provides consistent electricity. Hydrogen, in combination with wind and solar energy generation, could be used to replace diesel and provide clean and reliable energy for these communities in the future.
“This is a global phenomenon,” said Anthony. “The whole world is now talking about the possibilities of hydrogen in the energy transition. And while there are challenges that would have to be addressed to establish a hydrogen hub in the region, Saskatchewan has unique qualities in favour of commercial-scale hydrogen hub development.” CMJ
Turning an environmental liability into a resource
We often hear that oilsands mining tailings ponds pose a significant risk to the environment and the health of local communities in the Athabasca region of Alberta. In 2023, the total tailings area was over 300 km2 , including the world’s largest tailings “pond,” which is estimated to be just under 8-km long and 30 km2 in total area. As the world grapples with the need for additional resources while balancing sustainability, what if we could change what is viewed as an environmental liability into a significant resource for Alberta and Canada? While these ponds do contain toxic materials including naphthenic acid and naturally occurring radioactive material, and emit substances like methane and volatile organic compounds (VOCs), they also contain valuable hydrocarbons and critical minerals that are not recovered through the traditional oilsands mining process.
Value creation and risk mitigation solutions are shovel-ready
Some exciting work is being done in the Canadian cleantech space that can and will be part of the solution to reduce the risks surrounding oilsands tailings ponds while delivering positive value to industry and communities alike. For example, a CVW CleanTech’s ready-to-deploy solution developed in Alberta provides oilsands operators the option to move away from the use of tailings ponds for froth treatment tailings and reduce overall tailings deposition by 5% to10% per site. The new process is expected to produce “ready-to-reclaim” tailings which can be deposited into dedicated disposal areas (DDAs) away from tailings ponds. At the same time, the technology can recover approximately 13.2 million barrels of hydrocarbons and 1.4 million tonnes of critical minerals (titanium and zircon concentrates) currently lost to tailings ponds. The recovery of these critical minerals has the potential to create one of the greenest mineral industries globally and be a source of strength for Canada as we look to be a leader in the space and supply the world with this valuable resource. This patented technology has been developed over 18 years with more than $100 million in public and private investments, with the ability to have shovels in the ground within nine to 12 months.
Significant environmental co-benefits
The two main environmental concerns voiced around heavy industry tend to revolve around air emissions and water use, as these factors are critical to a healthy environment. The new technology can play a key role in improving both factors within the oilsands mining industry. This solution can capture most volatiles in froth treatment tailings, which eliminates up to 30,000 tonnes per year of VOCs currently evaporating into the atmosphere. By recovering hydrocarbons before their deposi-
tion into tailings ponds, the innovative technology eliminates over 90% of the methane emissions from oilsands tailings ponds, reducing site-wide emissions by up to 10%. At the same time, it has the potential to reduce water use by almost 17 billion litres per year, representing about 2.5% of current consumptive draw from the Athabasca River. By reducing the deposition of hydrocarbons in tailings ponds, we can also reduce naphthenic acid generation by over 1,200 t/y, representing a reduction of over 25% compared to current operations and significantly improving water quality in these ponds to reduce risks to the environment.
Acceleration in reclamation
CVW technology uses its patented processes to capture between 92% to 99% of the fines from fluid fine tailings. This improves water recovery and thickener performance, allowing the tailings to meet ready-to-reclaim status under the Alberta Energy Regulator’s Directive 85 for deposition into a DDA away from tailings ponds. These tailings are expected to achieve a shear strength allowing them to be “trafficable” — able to safely hold the weight of humans and equipment. By reducing total deposition in tailings ponds by 5% to 10% per site, this would avoid approximately 120 billion litres per year of froth treatment tailings being deposited into tailings ponds.
Urgency and innovation
Tailings ponds are a significant concern to local communities,
CVW mineral separation process in action: Producing zircon concentrate on a wet shaker table at the company’s minerals separation laboratory at CanmetENERGY.
CVW tailings distillation unit at CanmetENERGY’s froth treatment pilot plant in Devon, Alta.
including Indigenous Peoples, because of the potential to negatively impact their way of life. The urgent need to accelerate reclamation is evidenced by the government of Alberta’s recent formation of a committee to advance the reclamation of tailings ponds. Working together with the government and oilsands operators, CVW CleanTech can support the de-risking of one of Canada’s largest environmental liabilities, while creating additional value as well as diversification for communities alongside an industry that is critical to the economic health of both Alberta and Canada. CMJ
Akshay Dubey is the chief executive officer of CVW CleanTech Inc. Akshay is an experienced executive in the natural resources space, previously structuring investments at an institutional investor and leading a mining and metals platform.
Froth treatment pilot plant at CanmetENERGY in Devon, Alta. Foreground shows the tank farm, with the pilot facility in background. CREDIT: CVW CLEANTECH
Status of the critical strategic minerals industry in Alberta
Critical strategic minerals are the building blocks for a green and digital economy. The six critical minerals that hold the most significant potential for Canadian economic growth are lithium, graphite, nickel, cobalt, copper, and rare earth elements. These minerals are used in the production of many products including electric vehicle batteries, solar panels, and wind turbines.
The Canadian Critical Minerals Strategy (CCMS) aims to help Canada in the global energy transformation by making Canada a clean energy and technology supplier of choice in a net-zero world. The CCMS is backed by $3.8 billion of funding announced in the federal government’s Budget 2022 and includes a 30% critical mineral exploration tax credit for targeted critical minerals.
As a major resource player in Canada, Alberta has been investigating how it can diversify its oil and gas industry and create a robust minerals industry.
Government of Alberta
In Alberta, lithium, nickel, and cobalt are among the critical minerals that have potential to be produced. The province’s lithium deposits are considered one of the world’s largest, located deep underground in the Leduc geological formation, which is also a major oil and gas producing region.
Alberta recently completed a refresh of its mineral industry’s legislation and regulations to increase regulatory clarity, efficiency, and effectiveness and provide certainty for the industry.
Alberta’s Minerals Strategy and Action Plan (MSAP) is aimed to position Alberta as the preferred producer and supplier of minerals and mineral products. Currently, there are no existing critical minerals’ mining operations in Alberta, but the province has potential for any new mineral projects that open up, including brine-hosted lithium and rock-hosted mineral projects.
“Alberta has been focusing on many key areas of the MSAP, including enhancing mineral public geoscience, to better understand our mineral resources and lower any risks associated with mineral exploration and improving the fiscal and
regulatory environment for the mineral sector,” said James Snell, press secretary to the Honourable Brian Jean, minister of energy and minerals.
To achieve Alberta’s vision of becoming a preferred producer of minerals and mineral products, and to contribute to and benefit from the global energy transformation, Alberta’s current minerals strategy focuses on six key areas, which include enhancing the fiscal and regulatory environment and promoting responsible development.
Combined with the Responsible Energy Development Act (REDA), the Mineral Resource Development Act (MRDA), proclaimed on Feb. 28, 2024, provides legislative authority to the Alberta Energy Regulator (AER) to regulate mineral resources in addition to their authority over other energy resources.
Snell said, “The REDA provides the AER with the authority to be the single regulator for upstream oil, gas, oilsands, and coal projects in Alberta. The AER is responsible for regulating energy resource developments under the specified enactments from initial application to reclamation.”
The MRDA allows for the responsible development of Alberta mineral resources in the public interest. It is administered by the AER and applies to all naturally occurring mineral resources in the province and related wells, facilities, well sites, facility sites, mines, mine sites, external mine discard dumps, and processing plants throughout their life cycles.
“The MRDA aligns the AER’s authority over minerals with its authority over other energy resources and enhances the fiscal and regulatory environment for metallic and industrial mineral development. This one-window approach provides regulatory clarity and certainty for industry and investors, while protecting the interests of Albertans by ensuring the orderly and responsible development of the province’s valuable mineral resources,” said Snell.
Alberta’s MSAP outlines a path to unlock Alberta’s untapped mineral resource potential, which will help to meet the increas-
E3 Lithium says its Bashaw district is among the world’s biggest lithium brine projects. CREDIT: E3 LITHIUM
JOURNEYTHE TO REDUCED-EMISSIONS HAULING
When it comes to your hauling operation, Caterpillar and Cat® dealers are here to help you achieve your emissions-reduction targets. One of our most important goals as a manufacturer is to find new ways to make every mining truck we offer more sustainable. Solutions like renewable fuel options and autonomy help you reduce emissions by decreasing carbon and increasing productivity. And we’ve increased component and fluid life and offer solutions like rebuilding to help you reduce lifecycle waste.
CAT® MINING TRUCKS: FINDING
NEW WAYS TO MINIMIZE ENVIRONMENTAL IMPACT
Sustainability is one of the core values in the Caterpillar Code of Conduct. With a focus on “building a better world,” the company is committed to balancing environmental stewardship, social responsibility and economic growth and helping its customers do the same. Maintaining a social license to operate, minimizing environmental impact and protecting people and communities is a way of life for mining companies.
One of a mining operation’s key contributors to emissions and carbon footprint is its haulage fleet, which is one of the reasons the Cat ® mining truck team has been laser-focused on finding new ways to reduce them.
REDUCING EMISSIONS INTENSITY
There are a number of Cat solutions that help reduce exhaust emissions. Some reductions are achieved through improvements in productivity, others directly decrease the emissions produced, and some have an impact in both areas.
Renewable Fuels. Caterpillar is seeing interest around the world for renewable fuels and continues to research various solutions both in the lab and in the field. Renewable fuels are an energy source made from organic matter or wastes that can play a valuable role in reducing lifecycle carbon dioxide emissions, although tailpipe greenhouse gas (GHG) emissions are essentially the same as traditional fuels.
Electrification. Following the demonstration of its first battery electric 793 Cat Mining Truck Prototype in 2022, the company continues to work with customers to accelerate the deployment and validation of battery electric trucks at their sites.
Scale Studies. Caterpillar scale studies utilize truck scales and bed scanners to help optimize empty machine weight, reduce carryback and ensure maximum payload. Reducing weight or payload lowers CO2 per ton.
Production Studies. Conducted by Cat Job Site Solutions, these studies help optimize operations and utilization at the site, fleet and enterprise levels.
Site Assessments. Caterpillar experts will evaluate various aspects of a mining operation, primarily looking at ways to improve haul road efficiency, which yields faster cycle times, better productivity, lower fuel burn / cycle and lower maintenance costs.
Payload Optimization. Caterpillar application experts, in collaboration with Cat dealers, can help optimize the material extraction process to achieve a consistent, quantifiable and optimized payload. In addition, the Cat Payload system helps ensure trucks are optimally loaded.
Partial Zero-Fuel Operation. A feature unique to mechanical drive trucks, the engine consumes zero fuel during resistive braking (retarding). Zero fuel burn during braking, combined with high mechanical drive powertrain efficiencies, can decrease the truck’s fuel consumption.
Autonomous Trucks. Cat MineStar™ Command for hauling provides the fully integrated operation of autonomous mining systems. Autonomy improves efficiency beyond staffed operations by decreasing idle time and delays, eliminating unnecessary empty travel so utilization and productivity is maximized.
REDUCING REGULATED CRITERIA POLLUTANTS
Caterpillar provides U.S. Environmental Protection Agency (EPA) Tier 4 Final, European Union (EU) Stage V or equivalent products in North America, Europe and select regions around the world. U.S. EPA regulations define specific limits for particulate matter (PM), non-methane hydrocarbons (NMHC), nitrogen oxides (NOx) and carbon monoxide (CO).
Fuel optimized / U.S. EPA Tier 2 equivalent engines have lower PM, hydrocarbons (HC), NOx and CO in comparison to U.S. EPA Tier 1 and non-regulated engines. This improves mine-site air quality.
REDUCING LIFECYCLE WASTE
Reducing lifecycle waste is another way Caterpillar supports its customers’ sustainability initiatives.
Rebuilds. Cat Certified Rebuilds and dealer rebuilds can extend the economic life of a truck and its components well beyond 100,000 hours. As compared to new manufacturing, rebuild programs employ reused steel, consume less manufacturing energy, reduce emissions versus manufacturing new trucks and offer budget flexibility.
Engine Oil and Fluid Life Extensions. Cat Mining Trucks include features such as the Centrifugal Oil Filter and SelfCleaning Filter, as well as Cat diesel engine oil and S•O•S SM Services to maximize the life of engine oil and minimize environmental impact and disposal costs. In addition, S•O•S Services can monitor the condition of engine coolant and hydraulic and drivetrain oils, enabling mining operations to maximize fluid life while balancing component durability and responsible consumption of fluids. Additionally, this reduces hazardous waste transport and disposal costs.
REDUCING GHG FOR MINIMAL INVESTMENT
Caterpillar’s breadth of truck offerings allows the manufacturer to provide solutions that meet individual mine-site needs. Those offerings are accompanied by a network of dedicated truck experts who can help customers identify the right solution for their operation.
Solutions are available to help mining companies achieve their sustainability goals today, while preparing to meet future goals. Caterpillar can help miners develop a customized, phased approach to zero exhaust emissions solutions and meet cost and production targets along the way.
Initially, the NICO mine will be open pit, but underground test mining has also been done.
ing global demand while creating jobs and attracting investment.
Snell said, “It is difficult to predict the socio-economic benefits for a nascent industry. However, it is known that a sizable mineral sector in the province will contribute to Alberta’s prosperity by helping to diversify its economy.”
Alberta’s energy regulator and Alberta’s geological society
In 2021, the government of Alberta, the AER, and the Alberta’s Geological Survey (AGS) started work to build one of the largest mineral mapping programs in Alberta’s history, which involved the collection of geological and geophysical data.
This collaboration is part of a multi-year mineral mapping program that includes collecting and publicly releasing raw data, interactive maps, technical reports, journal publications, and giving public presentations. This data will help provide critical information for producers on the resource development potential. Anticipating future critical mineral developments, the AER has developed new regulatory frameworks to ensure the safe and efficient development of these resources.
As of 2022, several exploration projects focused on discovering critical mineral deposits have taken place across the province. These projects include the acquisition of one of the largest high-quality regional airborne geophysical surveys in Canadian history, with over one million line-kilometre covering the entire province, using satellite-based remote sensing to analyze mineral occurrences on the land surface in remote locations, sampling for the presence of indicator minerals from 1350 glacial till and stream sediment samples from across the province, digitizing 329 historical mineral assessment reports, and evaluating thousands of newly collected and archived rock samples and tens-of-thousands of meters of mineral and oil and gas industry drill cores. This data can be found on the AGS’s website at https:// ags.aer.ca.
Since 2016, the mining industry has focused a lot of attention on discovering lithium because of an increased global demand for this mineral. It is also commonly found in oil and gas fields in Alberta, which are plentiful.
Kelsey McCormack, the director of geology and resources at the AGS, said, “Although it is still early days in the context of our current mineral mapping program, we have already identified several critical mineral occurrences, such as lithium, vanadium, cobalt, rare earth elements, and nickel throughout many regions in Alberta. Our objective is to improve and expand our collective knowledge of Alberta’s mineral potential and ensure this data and information highlighting Alberta’s diverse and extensive mineral potential is easily accessible in a variety of formats to meet the needs of our many stakeholder groups.”
On March 1, 2024, the AER assumed full regulatory oversight of mineral resources development in the province. Under the MRDA, the province will increase regulatory clarity and certainty for the minerals industry, and it is the final step in creating a single regulator for mineral developments in Alberta for mining critical minerals in Alberta.
Tyson Flynn, vice president of Regulatory Enhancement at the Alberta Energy Regulator, said, “The AER is now responsible for serving as the single regulator for mineral development activities in the province. A big part of our new work is focused on ensuring that industry, Albertans, and First Nations and Metis groups have access to our new mineral data and a robust understanding of the newly created regulatory system. We have strived to balance out environmental and safety issues with the development of an efficient and effective regulatory system.”
Flynn also said, “The new regulatory frameworks under the MRDA provide the AER with the necessary tools to mitigate any issues that might arise with applications for mining permits, mining operations, or safety and environmental issues. The new system is outcomes focused which ensures that we can manage risks on a project-by-project basis, and it allows us to be flexible in our approach for each site based on the nature of risk, type of technology being proposed, and concerns from shareholders.”
Alberta Innovates
Alberta Innovates drives research and innovation by providing funding to industry. Under its “Critical Minerals and Emerging Tech” category, this program supports development of critical strategic minerals for a more sustainable minerals industry which contributes to the decarbonization of energy systems, creates new end-use products, and enables achievement of emission reductions targets and net-zero goals.
E3 Lithium
One of Alberta Innovates’ CMET-funded programs is the advancement of Direct Lithium Extraction (DLE) technology to unlock E3 Lithium’s significant lithium resources. One major advancement occurred in 2023, when E3 constructed and operated Alberta’s first lithium extraction pilot project in its Clearwater project area.
E3 has also received funding from the federal government. In addition to government funding, E3 formed a strategic agreement with Imperial Oil, where the oil giant invested $6.35 million in the company, which will draw lithium from under the Leduc oilfield, the site of Imperial Oil’s historic discovery of its Leduc No. 1 well in 1947. Lithium is a brine-hosted mineral, a naturally occurring metal found in abundance in many oilfields.
The results of E3’s 2023 field pilot plant, located east of Olds Township and north of Calgary, which began operations in summer 2023 and paused operations in November 2023 after the successful testing of its DLE technology at near commercial scale, exceeded all key performance indicators. E3 tested its proprietary DLE technology and four third-party DLE technologies at scale in 2023, all with successful results. One thirdparty technology tested at E3’s field pilot plant achieved 94% lithium recovery and lithium concentrations at 80.1% and 909.0 mg/L in the lithium product stream. Each DLE technology evaluated achieved technical success, significantly de-risking the commercial viability of E3’s Leduc brines. The production of high-quality concentrate at relatively high low rates enables E3 to proceed with developing lithium in Alberta.
E3 also announced it had successfully produced 99.78% pure battery quality lithium hydroxide monohydrate (LHM) in October 2023. A purity of 99.5% or greater is typically considered sufficient quality for sale to offtake customers like EV manufacturers.
E3 plans to deliver its lithium products with reduced environmental impact including using less than 3% of the land of typical lithium projects, with no tailings or evaporative ponds. The company’s goal is to produce high purity, battery grade, lithium products for the global market.
The Clearwater project area is in E3’s Bashaw district. The company aims to produce upwards of 25,000 t/y of battery-grade lithium products via its first commercial facility and believes its resources in the Bashaw district could support the production of up to 150,000 t/y once fully operational across several commercial facilities.
The company plans to sell its battery-grade lithium products directly to battery producers and EV companies. This year, E3 is finalizing and publishing its pre-feasibility study and will begin its feasibility study immediately thereafter. Along with completing advanced engineering studies, the company will progress consultation and regulatory permitting, secure project financing, and sign offtake agreements with customers, as it works towards construction of its first commercial plant. E3’s goal is to begin construction of its first commercial plant in 2026, with an updated commercialization schedule to be released with its PFS.
“The achievement of this year’s goals will mark a fundamental shift in our business; one that sees us move from a technology and resource developer to a commercialization company on a clear and demonstrated pathway to operations,” said Chris Doornbos, president and CEO of E3 Lithium. “In addition, completing the milestones we have outlined for 2024 will establish the Clearwater project as one of the few advanced stage lithium developments in Canada and North America.”
Fortune Minerals
Another upstream mineral production and refining project under Alberta Innovates’ Clean Resources funding program is Fortune Minerals’ NICO cobalt-gold-bismuth-copper critical minerals project. Although this project will be located in the Northwest Territories (NWT), it includes a refinery, which will be located in the Industrial Heartland northeast of Edmonton, Alberta.
Fortune is developing the vertically integrated NICO cobaltgold-bismuth-copper critical minerals project, comprised of a mine and concentrator in the NWT and a hydrometallurgical refinery in Alberta.
The NICO project is an advanced development stage asset that Fortune has expended more than $137 million to advance from an in-house mineral discovery to a near shovel-ready development asset. To date, the NICO project has received a positive feasibility study, environmental assessment approval, and the major mining permits for the facilities in the NWT. However, Fortune still needs final approval on its management and closure plans.
The mine and concentrator are anticipated to take two years, and the Alberta refinery would take 18 months for construction, conducted concurrently. Commissioning is expected to take place in late 2026 or early 2027, subject to project financing.
The NICO project will have an average annual production of 1,800 metric tonnes of cobalt (approximately 8,780 tonnes of cobalt sulfate), 47,000 oz. of gold, 1,700 tonnes of bismuth, and 300 tonnes of copper.
Fortune has also entered into a process collaboration agreement with Rio Tinto to assess the feasibility of processing intermediates products from Kennecott smelter wastes in Utah at Fortune’s planned Alberta refinery to increase bismuth and cobalt production. This cross-border initiative is aligned with the Canada-U.S. joint action plan on critical minerals.
The NICO project will produce three minerals identified on Canada’s critical minerals list: cobalt, bismuth, and copper. Although Alberta is not geologically well-endowed with metals, it is a very attractive jurisdiction for processing minerals, particularly in the Industrial Heartland.
The Heartland is an existing critical minerals processing hub with Sherritt International operating a similar hydrometallurgical refinery in Fort Saskatchewan producing nickel and cobalt briquettes and nitrogen-based fertilizers. Umicore also operates an adjacent metals alloy facility, and there is lithium from brine exploration projects being assessed for development nearby.
Cobalt is particularly important because of its expanding consumption in lithium-ion rechargeable batteries used to power electric vehicles, portable electronics, and stationary energy storage cells.
The Alberta refinery will process concentrates from the mine to produce cobalt sulfate needed to make the cathodes of most lithium-ion rechargeable batteries, gold doré, bismuth ingots, and copper cement.
Robin Goad, president and CEO of Fortune Minerals, said, “The NICO project will provide an important new North American source of critical strategic minerals to diversify their supply chains and reduce risks associated with some of the current supply sources as a result of geopolitical issues.” CMJ
Diane L.M. Cook is a freelance mining writer.
The billion-dollar stakes of overlooking mining risks
How understanding and mitigating risks can save mining companies from catastrophic losses
For C-suite executives in the mining industry, maximizing shareholder value is paramount. This means keeping operations running smoothly and avoiding disruptions at all costs. But is your organization taking the necessary steps to be truly resilient? Can you confidently say your organization has a holistic view of risk? What if you are exposed to disruptions beyond your control? Is your business prepared to weather any storm?
Completing a thorough risk assessment is crucial to understanding the full, and sometimes devastating, financial impact a potential disruption can have on a mining company. Overlooking the hidden costs of disruption is a critical mistake that can leave your organization vulnerable to millions or billions of dollars in losses from missed growth opportunities, negative investor sentiment, and the worst-case scenario — losing market share to your competitors.
In this volatile industry, you cannot afford not to be prepared. Prices of commodities can fluctuate drastically. Experiencing a disruption when prices are at a peak can exacerbate your losses. A thorough evaluation of your finances, business model, and engineering reports is the only way to develop a holistic view of how risks could impact your business. With this knowledge, you can carefully plan and mitigate the potential risks before disruption occurs.
But it takes investment to get there. Going through the business risk assessment process can help your organization prioritize risk mitigation tactics to prevent problems before they occur.
As the global manager of business risk consulting at FM, my team and I have uncovered countless potentially detrimental risks and hidden interdependencies that threatened our clients’ operations and finances. Identifying them allowed us to improve resilience and future-proof operations for our clients.
The potential risks
For many mining companies, the business model itself has numerous inherent risks that make resilience more of a challenge and operations more susceptible to disastrous events. From my firsthand perspective, I have witnessed the impacts that can arise when mining companies ignore risk exposure. From conveyor belt fires to flooding or supply chain delays, these events can lead to weeks or even months of downtime, and many do not realize the financial and reputational impact these events can have. A holistic risk assessment and robust contingency plan can avoid these lengthy delays and opportunity cost losses.
Mining companies also face immense risks because of the remote and often inaccessible locations where operations take place. Unlike other businesses, these companies must build entire self-sustaining cities from the ground up, and the onus is on them to create and maintain critical infrastructure for utilities, power generation, water treatment, and more. With so many interdependent systems required for mining operations to take place, there are countless single points of failure that can bring everything to a halt.
One of mining’s most significant risks is fire. The “2024 FM Mining Loss Report” found that fire is the single-biggest driver of losses at 21%, with the most significant rise in fire incidents related to fixed plant rubber belt conveyors, vibratory screens, hydro cyclones, piping, and rubber-lined equipment. Natural hazards like floods and earthquakes are also a high possibility, accounting for 13% of losses. In addition, the breakdown of electrical and mechanical equipment, along with large equipment failure, accounts for the largest combined losses.
In the event of a breakdown or disaster, mining companies cannot expect spare parts to be replaced promptly because of how difficult it can be to access the worksites. In addition, there are high chances for supply chain disruptions, and certain parts can be challenging to obtain. It can take weeks or even months to replace materials, and if mining companies are not prepared for this possibility, it can result in extended periods of disruption and lost production. Additionally, if a disruption occurs at a time when prices are high, it could mean an even larger financial impact. Therefore, mining companies must think through what pieces of equipment are critical for their operations and make sure that they are covered with enough in stock or a solid plan to get them in short order.
The cost of doing nothing and the importance of risk assessment
It is essential to understand what is at stake if your company does not plan for disruptions. The ripple effects often extend far beyond the initial disruption; they can last long after operations resume, and can contribute to a loss of market share, investor confidence, and a company’s ability to operate.
From a financial perspective, mining disruptions cause missed opportunities. If a mining operation goes down, customers are forced to look elsewhere for their resources, causing organizations to lose business that is hard to gain back. Losing customers can immediately result in lower revenue and profits and often plummeting stock prices that can take years to bounce back.
Investing in resilience for the road ahead
Business impact analysis (BIA) gives a consistent structure to this approach and helps identify critical functions and dependencies that have the most significant financial impact to the enterprise, allowing companies to better understand risk, develop contingency plans, and allocate resources more effectively. This holistic view of risk considers financial losses and broader implications across the value chain.
Proprietary engineering data, gathered through decades of work in the mining industry, helps mine operators to develop robust risk management strategies, ensuring a proactive and evidence-based approach to building resilience.
By recognizing the interconnectedness of operational risks and implementing proactive mitigation measures, mine operators can safeguard their operations, protect their bottom line, and position themselves for sustainable growth in the face of evolving challenges.
The threat of disruption is only going to increase, with wildfires, floods, and other extreme weather events on the rise. Investing in resilience is not just insuring against loss. It is about investing in the future and bolstering your competitive position for the decades to come. Therefore, investing in business risk analysis is no longer a “nice to have” — it is imperative for remaining competitive and sustainable in this volatile era.
The “High Cost of Disruption in Mining” report is the latest mining industry paper. Stay up to date by reading it at risk. fmglobal.com/mining. CMJ
Eric Jones is the global manager of business risk consulting at FM Global.
Modernizing mining operations: EMBRACING AUTOMATION FOR FEEDER CONTROL
The ancient Egyptians built monumental structures like the Great Pyramids, where huge limestone and granite blocks were carved by hand after being extracted from local quarries. Today, as the demand for construction materials persists, mining remains indispensable but transformed by technological advancements. With a focus on automation, modern mining operations are seeing a surge in efficiency and safety measures.
The feeding process, whether for screening, crushing, or washing, is critical for overall efficiency. Typically, a feeder, acting as a reservoir, steadily dispenses materials into the processing plant at a controlled rate. The synchronization of this rate with the processing machinery’s capabilities is essential for maintaining productivity.
According to the government of Canada, in 2022, Canada produced over 60 types of minerals and metals worth $75 billion. Based on these figures, it is no surprise that Canada is a leading global producer of several critical minerals essential for clean energy technologies. This has fuelled continued industry growth.
Take, for instance, Canada Nickel, a Canadian company engaged in advancing its nickel-sulfide projects to deliver nickel required to feed the electric vehicle and stainless-steel markets. In 2027, it aims to begin production in Ontario and process 80,000 t/y of nickel. For production of this scale to be successful, even small productivity gains can have a significant impact on a mine’s bottom line.
However, it is not just in Canada where mining operations are expanding. Demand for mined materials is global. In fact, the Mineral Products Association (MPA), the trade association for the aggregates, asphalt, cement, concrete, dimension stone, lime, mortar, and industrial sand industries stated that, in a typical year, the U.K. alone uses 250 million tonnes of aggregates. To meet this demand, optimization of processes, like feed control is key.
Challenges of manual feeder control
Traditional manual feeder control methods involve operators
using earthmoving equipment to regulate material flow into the hopper. However, this approach presents several shortcomings. Manual adjustments often result in inconsistent feeding rates, leading to inefficiencies and reduced productivity. Moreover, human error can lead to overloading and equipment damage, increasing operational challenges.
To avoid these problems, the operator must regulate the feeding speed based on the processing capacity of the plant. However, relying on a manual process often leads to variations in feeding rates.
Advantages of automation
Automating feeder control avoids these issues and allows for precise adjustments in material flow rates. By factoring in geological conditions, such as hardness and fragmentation, engineers can fine-tune extraction and processing processes with unparalleled precision, based on their in-depth knowledge of the mine’s geography.
For example, when dealing with particularly hard or abrasive materials, feeder rates can be adjusted to minimize wear and tear on downstream equipment, thereby improving the overall productivity and curbing maintenance cost caused by equipment damage.
While automation promises efficiency, its implementation must also prioritize workforce considerations. By automating tasks traditionally performed by personnel, mine operators can reduce the risk of worker accidents or injuries. This, in turn, allows for the reallocation of human resources to more strategic roles like data analysis, process optimization, or equipment maintenance.
Beyond reducing worker accidents, automation contributes to an overall safer working environment through the implementation of advanced safety features. This could include collision avoidance systems, like using sensors and real-time data to detect potential collisions between vehicles or equipment, prompting automatic interventions to prevent accidents. Furthermore, automated emergency shutdown procedures are
also a crucial safety mechanism in mining operations. This should include procedures for swift response to emergency situations and ensuring the protection of personnel and assets.
Dispelling misconceptions of automation
A common misconception surrounding automated feeder control is the notion that higher speeds equal increased throughput. Contrary to this belief, optimal feeder control maintains a steady pace. Meaning that a controlled feeder can result in higher throughput by maintaining a more constant pace — as opposed to forcing rapid feeding.
If you feed at the correct speed for the equipment, then you get elevated levels of efficiency, and the product will be of higher quality. This method also reduces stop-start cycles and improves overall efficiency, providing an energy saving opportunity by minimizing wasteful operations.
Remote monitoring and control
Deployment of automated monitoring and predictive maintenance systems can also help minimize downtime in automated feeding. Using such systems offers mine operators real-time access to critical operational data, allowing them to oversee equipment performance, material flow rates, and environmental conditions from anywhere.
This facilitates proactive decision making by providing insights into production trends and potential equipment issues. Systems can detect potential issues before they escalate, reducing the likelihood of equipment breakdown and downtime.
Solutions for industry
Technidrive has developed a solution for automated feed control using technology, including WEG’s CFW11 variable speed drive (VSD) and Vega 80GHz radar sensors. The system operates on a proportional-integral-derivative (PID) loop feedback control system. A PID controller adjusts the control variable, such as motor speed, in a feedback loop to minimize the difference between the desired setpoint and the actual value of the process variable. This achieves precise and stable control of the system.
Using VSD control, this system regulates material flow rates by adjusting motor speed as required. Radar sensors detect specific material levels in the plant, while data on electric current drawn by crushers during operation is collected to create a PID loop. This loop continuously analyzes feedback from sensors to automatically adjust feeder speeds, maintaining optimal material flow rates and preventing overfilling.
Maintaining the optimal level of material in the crusher is essential, as overfilling can lead to inefficiencies, increased power usage, and reduced throughput.
The radar sensors effectively grant the plant its own decision-making capabilities regarding material requirements for efficient operation. If material levels decrease, the system automatically speeds up the feeder and vice versa.
While the fundamental task of extracting materials from the earth remains unchanged, advancements in technology has propelled us forward, presenting innovative solutions to enhance efficiency and safety. By embracing automation, such as innovative feeder control systems, mines can streamline operations, reduce downtime, and focus on worker well-being. CMJ
David Strain is technical director at integrated automation system expert, Technidrive.
HITACHI CONSTRUCTION MACHINERY AMERICAS:
Exhibiting the path to the future of mining at MINExpo 2024
Hitachi Construction Machinery Americas is set to take attendees on an extraordinary journey into the future of mining at MINExpo 2024. With a strong commitment to innovation and sustainability, their showcase promises to highlight the latest advancements and solutions designed to revolutionize the mining industry. Hitachi Construction Machinery’s vision is to create a prosperous land and society for future generations. At MINExpo 2024, they will demonstrate how their innovative technologies and reliable solutions are contributing to the realization of a safe and sustainable society. Hitachi Construction Machinery has been innovating electric technology and solving customer problems for more than 70 years. However, their electrification journey began in 1910 when the founder of Hitachi Limited designed a five-horsepower electric induction motor. Today, they continue to push the boundaries of innovation, developing products and solutions that help customers actively reduce CO2 emissions. One of the standout innovations is the Hitachi Construction Machinery AC-3 truck, which allows operators to switch seamlessly between diesel mode to an optional trolley mode. In trolley mode, the truck is powered via an overhead catenary line, reducing emissions, and enhancing efficiency.
This system enables large, electrically powered dump trucks to draw power from overhead trolley lines on uphill roads and run on batteries in areas without overhead lines. Trucks with this configuration can achieve approximately twice the speed of diesel trucks on uphill slopes when in trolley mode.
Adding to their suite of environmentally friendly machinery is Hitachi Construction Machinery’s EX-7 electric excavator. These machines offer numerous benefits over their diesel variants, not only helping reduce CO2 emissions, but also eliminating the need for consumables like fuel, engine oils, and disposable oil filters. The EX-7 electric excavator represents a significant step towards sustainable mining operations reducing both operational costs and environmental impact.
A highlight of Hitachi’s presentation will be their Autonomous Haulage System (AHS). This system combines advanced technologies with Wenco International Mining System’s fleet management system (FMS) to enable unmanned operation at open-cut mines, optimizing both efficiency and safety. The AHS facilitates automated navigation, route optimization, traffic condition negotiation, optimized acceleration and braking, collision avoidance, and overall supervisory control through the FMS. In addition to these advancements, Hitachi Construction Machinery is collaborating with other autonomous mining technologies and services to build an integrated ecosystem. This interconnected system allows data across an operation to be combined and analyzed, providing valuable insights that reduce risks and costs. By leveraging these technologies, mines around the world can achieve their full potential. Be sure to visit Hitachi Construction Machinery Americas and their partners at booth #8649 at MINExpo 2024 to discover their path towards a more sustainable and efficient future in mining. CMJ
Bridging the data confidence gap in underground mining
The mining sector is currently navigating challenges and embracing opportunities with the integration of modern technologies. Prioritizing the safety of miners remains paramount while simultaneously aiming to boost production, curb greenhouse gas (GHG) emissions, and decrease energy consumption. At the core of these efforts is the ability to manage and leverage the immense volume of data generated by modern mining operations. Transforming this data into actionable insights is key to overcoming these challenges and unlocking new opportunities.
The data dilemma in mining
Ensuring the safety and well-being of miners is the top priority in underground mining operations. One important safety measure is the use of advanced Industrial Internet of Things (IIoT) sensors to monitor air quality, detect gases, and track real-time conditions. However, the quality of the data generated can be flawed, leading to delays in identifying safety issues or ignoring alarms altogether. The absence of high-quality realtime data increases the risks for miners.
Since reaching its peak in the 1990s, mining productivity has declined. This can be partly attributed to the growing complexities of mining operations, which have resulted in data being dispersed across various systems, presenting a significant challenge. The segregation of data has led to the loss of valuable insights and missed opportunities for optimization within the industry.
The mining sector contributes significantly to GHG emissions through its energy activities. Stricter environmental regulations require monitoring and reporting of energy use and emissions. Integrating data from various sources is crucial for compliance and sustainable practices. The challenge lies in analyzing this data to make informed decisions that balance objectives and operational effectiveness.
Energy costs are a substantial part of
mining operational expenses. Traditional ventilation systems lack dynamic adjustment capabilities, leading to inefficiency, higher energy consumption, increased costs, and a larger environmental footprint. Without data-driven insights, opportunities for optimizing energy use and implementing predictive maintenance are missed, causing further inefficiencies and unexpected downtimes. Additionally, the inability to measure and refine system performance means ongoing inefficiencies persist, hindering potential cost savings and sustainability improvements.
Utilizing data for practical insights
The key to overcoming these challenges involves eliminating bad data and converting the remaining dataset into actional decisions through advanced data management and analytics. To do this, mining companies must implement modern solutions to tackle the issues.
Predictive maintenance (PdM) processes leverage real-time data analysis to anticipate equipment failures in advance. This proactive strategy enables scheduled maintenance, minimizing downtime and prolonging equipment life. Real-time data analysis helps proactively identify problems, ensuring smooth and
effective operations. For instance, sensors on equipment can deliver data streams that are analyzed in real time to predict potential component failures, enabling timely maintenance and minimizing costly downtimes.
Digital task management (DTM) platforms consolidate information from sources into a system that offers a comprehensive view of operations. This holistic perspective supports decision-making, streamlined processes, and enhanced productivity.
DTM systems support real-time monitoring and management, ensuring all aspects of mining operations are optimized and aligned. By consolidating data points into a platform, mining companies can eliminate inefficiencies and guarantee smooth operation.
Edge-based data analysis processes information directly from where it originates, reducing delays and enabling responses to changing circumstances. This is especially vital in mine ventilation, where swift adjustments to airflow and quality are essential for miner safety and operational effectiveness. Processing data instantly, edge-based analysis facilitates management and quick decision-making. For example, sensors at the
The Digital Mine is founded on the use of critical data to increase production, reduce costs, and enhance worker safety. CREDIT: MAESTRO
edge can promptly adjust ventilation systems based on realtime air quality readings to maintain conditions for miners.
Analytics can uncover patterns and trends within data that are not immediately obvious. These insights drive decision-making, empowering mining operations to streamline processes, cut costs, and enhance performance. By focusing on insights, mining companies can shift from reactive management to addressing issues before they escalate. This analysis allows for enhancements that can increase productivity and lower expenses.
Introducing Duetto Analytics
Maestro Digital Mine has developed Duetto Analytics to ensure the reliability and relevance of data for making crucial decisions that impact worker safety and operational efficiency. The system acts as a bridge between IIoT devices and critical decision-making processes. Utilizing proactive and predictive maintenance strategies ensures that only accurate and relevant data informs maintenance schedules and operational decisions. This proactive approach minimizes unplanned downtimes, extends equipment life, and enhances overall efficiency.
A standout feature of Duetto Analytics is its capability to predict sensor failures,
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allowing for timely maintenance and reducing costly disruptions. By optimizing maintenance schedules, Duetto ensures continuous, efficient operations and cuts unnecessary costs. Additionally, Duetto Analytics streamlines workflows through its digital task management functionalities, improving coordination among departments and aligning efforts with overall organizational goals.
By handling data at its origin, Duetto Analytics minimizes delays and enables swift responses to changing conditions. This is vital for mine ventilation, where sensors can quickly adjust airflow and air quality, ensuring safe and efficient working conditions. This enhances safety and conserves energy by running venti-
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lation systems only when necessary, reducing operational expenses and environmental impact.
Duetto Analytics uncovers hidden patterns in data, empowering mining operations to address inefficiencies, cut costs, and improve performance proactively. This transition from reactive to proactive management helps tackle challenges before they escalate, increasing productivity and reducing expenses.
Furthermore, Duetto Analytics provides a competitive edge by helping mining companies meet regulatory standards and sustainability goals. Its advanced features monitor and report energy usage and emissions, ensuring compliance with environmental regulations. Duetto Analytics supports sustainable mining practices by optimizing energy consumption and reducing GHG emissions.
Using proactive and predictive maintenance strategies, Duetto Analytics builds user confidence in the data, ensuring that decisions are founded on precise, dependable information. By translating this data into actionable decisions, mining operations can improve safety measures, boost productivity, manage operational impacts, and reduce energy costs. By incorporating predictive maintenance features, digital work management systems, and on-site data analysis, Duetto Analytics equips mining operations with the essential tools to navigate this landscape confidently, fostering a more efficient and sustainable mining environment.ng. CMJ
Jacob Lachapelle is CEO-in-training at Maestro Digital Mining.
Duetto Analytics promises to bridge the data confidence gap in mining by transforming segmented data into actionable insights. CREDIT: MAESTRO
Powering the future: EMBRACING
ELECTRIC
ACTUATORS FOR MINING EQUIPMENT
In dynamic fields like mining, construction, and other heavy industries, the relentless pursuit of efficiency and sustainability has driven significant technological shifts, with mobile equipment electrification being one of the most notable. While mining equipment manufacturers have excelled in developing and deploying electric powertrains, one key area that remains to be decarbonized is hydraulics. Hydraulics on heavy equipment convert mechanical energy into hydraulic energy to power components, enabling the lifting and lowering of heavy loads, movement control, and enhanced steering and braking. They also multiply force, allowing for tasks like digging, grading, and lifting heavy materials with greater precision and power. However, the replacement of hydraulic actuation with electric actuation in electric mining equipment has largely eluded the industry. This evolution represents a fundamental transformation with far-reaching benefits and the state of the technology for these applications is on the cusp of viability and commercialization.
Hydraulic systems, used since the early 1800s, have been a robust solution for many industries. However, advancements in electromechanical actuation, which uses an electric motor to create the necessary force to move a load, have made replacing hydraulic systems more viable. Even modern hydraulic systems are inherently inefficient because of energy losses in the
Centre for Smart Mining mechatronics student installing electric actuator on a mini loader.
form of heat and fluid friction. In contrast, electric actuators offer precise control with minimal energy loss, translating to lower energy consumption, potentially more sustainable operations, and reduced operational costs.
Hydraulic systems are complex, involving numerous moving parts, hoses, fluids, filters, and fittings that require regular maintenance and can be prone to leaks and failures. Electric actuators simplify the system by eliminating many of these components, resulting in fewer points of failure and significantly reduced downtime and maintenance costs.
With advancements in safety technologies like collision avoidance and automation, the precision of movement in mobile equipment has become paramount. Electric actuators provide superior precision and control compared to their hydraulic counterparts, which is crucial in mining applications where accurate positioning enhances work quality and improves safety. They can be easily programmed and adjusted, offering operators fine-tuned control over equipment movements. Additionally, electric actuation systems can include advanced safety features such as real-time monitoring, automatic shut-off, and fault detection, preventing accidents and ensuring operator and personnel safety. These actuators are also compatible with modern smart technologies, including internet of things (IoT) and artificial intelligence (AI), enabling advanced monitoring and diagnostics, predictive maintenance, and autonomous operation capabilities, further enhancing operational efficiency and productivity.
The transition to electric actuation also contributes to a greener environment. Hydraulic systems are prone to fluid leaks, which can cause significant environmental damage. Electric systems eliminate the risk of such leaks, promoting cleaner and more environmentally friendly operations.
Despite their increasing popularity, electric actuators still have some limitations compared to hydraulic systems. They
TRUCKS AND HEAVY EQUIPMENT
With advancements in safety technologies like collision avoidance and automation, the precision of movement in mobile equipment has become paramount.
traditionally provide lower force and power density, making them less suitable for heavy-duty applications, and can be less reliable in harsh environments because of their sensitivity to dust, moisture, and extreme temperatures. However, advancements in technology are rapidly improving the performance and reliability of electric actuators. Innovations in materials, design, and control systems are making them more robust and efficient, promising a future where electric actuation can meet or even surpass the capabilities of hydraulics in many applications. Several noteworthy nascent technologies are becoming available on the market.
For example, U.S.-based Rise Robotics offers technology that provides several benefits over traditional hydraulic systems. Their electric linear actuators deliver high efficiency and precision while significantly reducing energy consumption and operating costs. Rise Robotics’ solutions are simpler, cleaner, and easier to maintain. Additionally, their technology elimi
Similarly, Germany-based Ewellix offers advanced linear motion and actuation solutions that ensure high precision, efficiency, and reliability, making them ideal for various industrial applications. Ewellix’s actuators are designed for easy integration and maintenance, reducing downtime and operational costs. Their technology also offers high energy efficiency and energy recuperation, making it ideal for battery electric vehicle deployments.
The advent of battery electric equipment in underground mining has made the shift from hydraulic to electric actuation timelier and more achievable. By offering enhanced energy efficiency, reduced maintenance costs, improved precision and control, increased safety, and significant environmental benefits, electric actuation technologies are becoming viable alternatives. As the industry continues to embrace these advancements, we can expect a future where diesel and hydraulic oil in mining operations have been all but eliminated. CMJ
Steve Gravel is the manager of the Centre for Smart Mining at Cambrian College.
Kal Tire’s new OTR training stand will help technicians hit the ground running
A showcase of progressive innovation
For Kal Tire’s Mining Tire Group, innovation and sustainability solutions deliver positive change for customers.
Recently, I attended the ribbon cutting ceremony of the new state-of-the-art, off-the-road (OTR) tire installation stand (CAT 797 hub) in Kal Tire’s training facility in Fort McMurray, Alberta.
The focus of Kal Tire’s Mining Tire Group is on innovation and answering critical tire management demands by developing proprietary solutions that improve safety, refine practices, and overcome challenges. The group provides mining tire management solutions that improve sustainability and tire performance as well as safety and productivity.
“We are in a time when mines are acting on new and forward-thinking commitments to ESG issues, and that is exciting because we are offering several solutions that align with this future-minded focus. We are developing offerings that do not exist, so we can protect people from risk and bring mining operations even greater safety, productivity, and sustainability,” said Dan Allan, senior vice president, Kal Tire’s Mining Tire Group to CMJ.
Kal Tire’s tire technician
training program
Mike Weir is the operations manager, Canada, at Kal Tire’s Mining Tire Group. His primary role is to support Kal Tire’s mine ser-
vice operations in everything that has to do with training, standards, procedures, practices, and operational excellence within the country. He also spoke to CMJ about how Kal Tire governs training activities within its business, what that looks like, and the value that brings to Kal Tire team members and customers.
“When we’re talking training and tires, the first thing we need to recognize is that there is no recognized or accredited tire technician training program (or red seal program) available in Canada for a tire technician trade,” said Mike. So, tire service companies are left up to their own devices to determine how to train technicians to ensure that they are competent to safely perform the tasks of the job. There are certainly industry standards, training aids, and resources available such as those provided by the Tire Industry Association (TIA) which Kal Tire uses throughout their larger training program.
However, Kal Tire’s team goes far above and beyond what is considered the industry norm in terms of training tire technicians in Canada. Upon joining Kal Tire in Canada, the new OTR technicians embark on a 27-month practical training program that encompasses over 250 online learning modules through its LMS (learning management system). Most of those modules are proprietary training material that encompasses a full suite of pictorial safe work documentation that supports new team members as they progress through the tooling specific training and assessments, task specific training and assessments, and, eventually, equipment specific training and assessments throughout the program. The training is bolstered by Kal Tire’s in house mentor and assessor certification program as team members are gaining knowledge, proficiency, and expertise in the trade.
The online LMS system maintains and tracks all training activities worldwide with drill down capability right to the site and to the team member level, giving Kal Tire the ability to see in an instant, the training status of every single one of their team members worldwide. In terms of the implementation of the training itself, like any apprenticeship program, most of that training takes place at the site level. So, the trainees are
Ribbon cutting ceremony left to right: Dan Allan, senior vice president; Mike Weir, operations manager; and Dave Allan, vice president, at Kal Tire’s Mining Tire Group. CREDIT: TAYLOR GOTTFRED/KAL TIRE
TRUCKS AND HEAVY EQUIPMENT
paired up with a senior technician or a mentor, where they learn the practical side of the trade, how to safely use the tools, and safely service the equipment.
Finally, when the trainees are ready to complete a competency evaluation they go before a certified Kal Tire assessor to demonstrate knowledge and competency on a skill, tool, task, or working on a piece of equipment. That is the training program in a nutshell.
It is worth noting that Kal Tire hires about 20 to 25 new technicians every year in the Fort McMurray region to support their customers and sustain their business. In addition, there are about another 40 to 45 technicians working through the training program in various advanced stages of the curriculum.
As such, there is a tremendous amount of training activities occurring at Kal Tire on a day-in-day out basis. However, recognizing that the first few weeks are critical in the onboarding process of any new team member in terms of company culture and understanding the critical hazards and controls of the job, Kal Tire puts extra attention into those new hires, and for good reason.
Today, when new team members are hired from the region of Fort McMurray, they spend their first six weeks at the training center.
To facilitate that, Kal Tire has appointed two full time instructors and developed a six-week structured classroom program that balances classroom learning with hands on practical experience and competency assessments all factored into the controlled learning environment at the Fort McKay location.
This helps to ensure that fundamental skills are attained, and safe work behaviours are engrained before being posted to a full-time position on site to continue with their training.
The new CAT 797 training stand
Mining trucks, such as the CAT 797F, have a nominal rated payload of 400 tonne, a gross machine weight of 1,375,000 lb, and a gross power of 4000 HP.
Dismounting the outside tire. CREDIT: TAYLOR GOTTFRED/KAL TIRE
Side view of the new stand. CREDIT: TAYLOR GOTTFRED/KAL TIRE
An aerial view of the oilsands in Fort McMurray, Alta. with hauling trucks on the road. CREDIT: TAMER ELBOKL
Modify work activities to prevent wildfires
During fire season (Apr 1 – Oct 31), industrial operations in or near forested areas should follow the Outdoor Fires
Regulation 207/96 – Part II and refer to the Industrial Operations Protocol to determine if and how these regulations apply to your operations.
Prevent wildland fires on the job site by:
•developing a fire prevention and preparedness plan
•modifying operations based on fire danger
•reporting fires as soon as they're detected
Meanwhile, the training program had a challenge to work through, and that is to become more effective in what is offered to the trainee. It is hard to improve the quality of the training and train more people at the same time. The idea was to make sure that trainees hit the ground running when they are finally on the job site, which was important in terms of increasing safety and cost effectiveness. Instead of sending the trainees to the mine sites to learn how to change the tire of the biggest hauling truck in the world, Kal Tire training staff first thought: do we get a haul truck? “The answer was that we do not need a haul truck. We think we can do this with just the right components,” said Kyle Madill, regional operations manager at Kal Tire’s Mining Tire Group in Fort McMurray.
“What if we were to build something instead? We talked to our neighbors, Finning, whom we have a great relationship with, and we collaborate with them frequently. We asked them whether we could get a scrap wheel hub. They thought they can make it happen. A couple of months later, we had it, and that was the first step,” added Madill.
That component was integral, so that the rest of the stand can be built around it. Then, the rest of the design started to develop, including concrete blocks in the back. Kal Tire then partnered with Weldco-Beales Mfg. to bring the rest of the design to life and build the stand. A couple of months later, the final design drawings were ready. By the time the design was approved by Kal Tire leadership, it had taken 11 months to get the green light to go ahead with building the stand, then the location was mapped,
and some existing infrastructure was utilized.
“RIMEX supported us with some wheels and components, which was a huge contribution to the project,” said Dave Allan, vice president, Canada, at Kal Tire’s Mining Tire Group.
“It is a CAT 797 hub. It has a RIMEX double gutter wheel in the outer position, called a speed wheel, and an IGLR wheel on the inside. So, the inside tire can be dismounted vertically without taking the outside wheel off, and that is very common, so we specifically chose that wheel type to be able to simulate the actual work that our technicians do in the field. It is the exact same setup/assembly that our technicians work on if they go to our customer site,” Madill explained. CMJ
The stand has a RIMEX double gutter wheel in the outer position, called a speed wheel, and an IGLR wheel on the inside. CREDIT: TAYLOR GOTTFRED/KAL TIRE
The race to electric power
How demolition machines provide safe electric power
Alternative power is a worldwide trend. Virtually all large and midsized heavy equipment manufacturers have released an electric option in the last few years. The real question comes in optimizing performance. Does the product have the power to get the job done?
No matter how impressive these new models are, remember some equipment manufacturers developed electric equipment decades ago and have spent years perfecting it. Long before electric equipment became a trend, demolition equipment manufacturers created innovative, safe ways to accomplish dangerous, labor-intensive tasks. As time goes on, these manufacturers have continuously optimized their machines for the best power and performance.
In the beginning
Demolition has always been dangerous. Back in the 1970s, there weren’t many options available to solve the issues contractors ran into: limited access, confined spaces, low floor loads and nearby occupied spaces. The only way to get the job done was to send in workers with hand tools. This put workers at risk of injuries, both long term and short term.
The first remote-controlled demolition machines were born out of the need for safer, more efficient options. While some diesel models are offered today, these machines started and continue to be electric more than 45 years later.
After being introduced in 1976, the technology continued to evolve. Today’s machines look like small excavators with a three-part arm that often wields a breaker but can use a variety of attachments. Robots range in size from 600 mm wide and 560 to 2,150 mm wide and 11.4 tonnes. The smaller robots can drive through a standard doorway, fit in a passenger elevator or even climb stairs.
A variety of attachments further increases the value of compact electric power. Equip the robot with a shears attachment and efficiently and safely tear out concrete reinforcements, sprinklers, conduit, wire and cables.
But do not let the compact size fool you. Demolition robots are engineered starting at the tip of the breaker for maximum hitting power. The result is that, pound-for-pound, demolition robots provide the highest power-to-weight ratios in the industry, delivering the same results as an excavator three times the size. Combine that with a three-part arm, an electric-powered demolition robot offers exceptional reach and power in all directions, providing maximum prevision and accuracy while the operator works from a safe position.
Advancing attachments
A variety of attachments further increases the value of compact electric power. Equip the robot with a shears attachment and efficiently and safely tear out concrete reinforcements, sprinklers, conduit, wire and cables. Or use a concrete crusher for “silent” demolition. The crusher attachment “chews” down a wall as opposed to using the force of the breaker to knock it down, reducing noise and vibration. For top-down applications where noise and vibration are primary concerns, crushers allow contractors to work during the day, sometimes without neighbors noticing.
These capabilities have years of experience behind them, making electric demolition machines the go-to for everything from soft demolition to refractory removal, ladle cleaning, underground mining, tunneling and many other unique applications, including driving helical piers.
Looking toward the future
Electric equipment solutions are nothing new in the demolition sector. For many contractors, it has become just another day on the job. As manufacturers continue to develop their electric
TRUCKS AND HEAVY EQUIPMENT
equipment, they will need to focus on creating equipment that can meet the high-power demands of the demolition and construction sectors. Luckily, some manufacturers have already figured out the power-to-weight ratio of their equipment and continue to work toward perfecting these processes. CMJ
Jeff Keeling is vice-president, sales and marketing, Brokk Inc.
Lighter weight = More power
Choose a lightweight truck body without sacrificing wear
There are some things in life that make more sense, or simply become more useful, when paired together — milk and cookies, cars and heated seats (at least if you live up north), cell phones and internet connection — the list goes on. Each of these items on their own provides some benefit — cookies taste good, cars are much faster than previous methods of transportation, and cell phones are convenient compared to landlines. Add in the complimentary item to each of these though and their benefit is elevated even more.
A similar anecdote could be applied in the mining industry when it comes to lightweight mining bodies. It might go something like ‘if you give a producer a lightweight truck body for added hauling capacity, they will probably want it to last longer than three years.’ It makes sense. Custom truck bodies are a much more serious investment than a cookie, cellphone or even a car. And to truly realize the full utility of one — whether light-
weight or standard — there are many factors producers must consider.
Custom vs. off-the-shelf truck bodies
The first consideration when looking at lightweight bodies is whether or not you need a custom solution to maximize productivity or if an off-the-shelf solution is the right fit. For some operations, an off-the-shelf truck body does the job for standard operations. However, with increasing pressure for speed, efficiency and scaled up production, the need for equipment that can support these demands becomes even more important. For producers that want to truly optimize their operation, boost profits and meet the growing industry pressure amidst the infrastructure boom, custom mining bodies offer what standard OEM bodies and other off-the-shelf bodies just cannot.
Custom bodies allow producers to haul the truck’s full rated capacity by planning for material density and weight. CREDIT: PHILIPPI-HAGENBUCH.
TRUCKS AND HEAVY EQUIPMENT
Producers can work with custom haul truck equipment companies who take information about their needs and use it to design, engineer, and manufacture a custom truck body that accounts for a specific set of challenges and opportunities within the mining operation rather than a blanket solution that would be offered by a standard OEM body or a supplier that has a couple designs and simply puts sideboards and liners on the body to “customize” it.
Custom bodies allow producers to haul the truck’s full rated capacity by planning for material density and weight. The body can also be designed to align with loading equipment the operation uses, be fitted for a custom tailgate if desired to further increase load capacity while shortening the body floor and address other environmental factors of the operation such as overhead barriers or tight spaces. Additionally, manufacturers consider the type of material being hauled and whether it is sticky, requiring a load ejector or other custom equipment to help minimize carryback. On the other hand, abrasive material may call for different engineering requirements or the addition of liners to the body. All of these adjustments lead to an increase in hauling capacity, durability and payload.
When deciding on a custom body, look for a manufacturer that focuses on increased stability and operator safety in the design of custom haul truck equipment. Custom bodies should be constructed with a low center of gravity to ensure the best weight distribution and minimize vibration to the driver as well as impact to the truck overall. Customizing individual truck bodies to the mine’s specifications increases loading safety and greatly reduces the potential for loading damage by ensuring the truck body dimensions are correctly paired with the loading tool.
Another consideration is maintenance, and to truly maximize productivity custom truck bodies should address this concern. Some manufacturers add four free-floating lifting eyes into the body rather than the sides, enabling fast and easy removal or installation of a body for maintenance from a lower overall height without the need for going outside and the use of a portable crane.
Maximizing payload with lightweight bodies
One of the key goals of a custom truck body is to maximize the amount of payload an operation can haul with each pass. While coal operations often have difficulty maximizing a haul truck’s capacity due to the amount of volume necessary with such lightweight material, hard rock operations often face the opposite problem. With a heavier payload and the weight of the standard mining class body, maximum gross weight is reached very quickly, limiting the amount of material hauled in each load. This provides mining operations a dilemma: add more trucks to the haul fleet or utilize the existing fleet more efficiently.
In years past, the solution was for manufacturers to use a thinner steel to reduce the body weight. This reduction in weight directly translated to an increase in payload capacity as more of the haul truck’s rated weight could be allocated to the material hauled with each load. However, the lighter weight steel brought with it a shorter lifespan, often leading to the term “throwaway” body. In other words, producers had to choose between increased capacity or durability. And for some producers, the sacrifice in wear life of the body was worth it for
the ability to haul extra material. Until it wasn’t. Eventually, the need to change out the body after just a few years would frustrate fleet managers and they would return to purchasing the heavier bodies that offered longer life and less maintenance, resulting in a swing between lightweight and standard class bodies as they searched for an optimal solution.
The best of both worlds
But what if the pros could more easily overcome the cons? What if producers didn’t have to choose between capacity and durability? It’s a question that drove some manufacturers to research, engineer and manufacture options that offer the full benefit of maximized capacity in the form of a lightweight body that lasts more than three years. Producers can distinguish these more durable options from the “throwaway” lightweight mining class bodies by looking at the quality of the steel. Some of the most durable options on the market are manufactured with Hardox 500 Tuf steel, which increases abrasion resistance by three times compared to 450 Brinell steel.
These lightweight mining class bodies offer increased wear life while adding 10% to 20% to payload capacity. This means that a mining class body that was previously 46.350 kg would now weigh approximately 34,000 to 36,290 kg, saving up to 11,340 kg that can be allocated to the payload. The result is an immediate gain of up to 11/3 tonnes in payload capacity. In terms of wear-life, bodies engineered with 500 Tuf steel offer up to 30% to 40% more life than traditional lightweight bodies, creating an ideal solution that maximizes capacity without the extreme sacrifice in durability.
Choose all
Mine operations managers should not have to choose between maximizing payload and getting the best possible life out of their truck bodies. In addition to payload and wear life, producers should consider partnering with a manufacturer that looks at the big picture, including how the truck body fits into their operation while maximizing operator safety.
If you give a mining producer additional payload capacity in the form of a lightweight truck body, they’ll probably want some durability to go with it. And that only makes sense. CMJ
Josh Swank, vice president of sales and marketing at PhilippiHagenbuch
In addition to payload and wear life, producers should consider partnering with a manufacturer that looks at the big picture, including how the truck body fits into their operation while maximizing operator safety. CREDIT: PHILIPPI-HAGENBUCH
How to design successful potash conveyors
The potash industry continues to see growth as the world looks to feed its surging population. Amidst the array of machinery facilitating this effort, one indispensable, yet often overlooked type of equipment stands out: The belt conveyor.
From the rugged terrain of the mine site to the meticulous operation of the processing plant, belt conveyors serve as the lifeblood of potash operations, providing seamless continuity from extraction to loadout. Combined with the high tonnages and demanding conditions associated with potash operations, conveyors must be expertly engineered and incredibly robust to uphold reliability and ensure potash producers can meet their production targets safely and efficiently.
The following information covers essential aspects of designing this critical equipment for use in the potash industry and the sector-specific challenges.
Potash can present producers with a litany of challenges that must be addressed
through thoughtful equipment design. When it comes to handling equipment, there are two primary concerns: corrosion prevention and dust management.
Corrosion prevention
Potash can be highly corrosive, particularly at higher moisture contents. And while different types and sources of potash exhibit varying levels of corrosion, corrosion prevention must always be factored into the conveyor design process. Inadequately designed equipment can quickly lead to frequent outages, excessive maintenance costs, and eventual equipment failure, as corrosion works to degrade components. As such, preventing corrosion is a top priority in conveyor design, playing into several components.
Original equipment manufacturers (OEMs) must consider corrosion at all points of potential contact with the material during the design stages. Most importantly, this translates to:
> Composite Idlers Composite idlers offer
a more effective alternative to steel in handling corrosive materials. These lightweight idlers boast a longer service life and better protection against corrosion (and abrasion).
> Belt Cover Compounds As the component most in contact with the material, the belt requires special consideration. FEECO recommends chemical-rated belting that protects against corrosion and the amine solutions commonly employed in processing potash, which could otherwise degrade the rubber belt.
> Materials of Construction Stainless steel or specialty alloys may also be used in conveyor construction to protect against corrosion, as might surface treatments such as specialty paints, coatings, or galvanizing.
Dust and fines managment
Dust and fines are problematic for several reasons; this fugitive material can
CRUSHERS, CONVEYORS, AND SCREENS
present multiple safety hazards, result in product loss, create housekeeping issues, and damage equipment. These factors, combined with potash’s high potential for dust generation, makes dust prevention and management a top priority.
Conveyors offer ample opportunity for customization to minimize the potential for dust. The following measures are implemented at feeding areas and trans-
fer points, where dust and fines are most apt to occur:
> Skirtboards Skirtboards are integrated along the sides of the conveyor (on the trough interior) to contain fugitive material. They are most common at load points but can also be utilized for the complete length of the conveyor to contain material.
> Apron Seals Apron seals, consisting of an additional piece of rubber, can be incorporated into skirtboard designs to create a double seal against fugitive material.
> Impact Idlers & Beds Impact idlers or beds can be used at loading areas (typically in combination with skirtboards) to prevent material from escaping between idlers. Similarly, idler spacing may be reduced at load points to provide additional support for impact loading.
> Dust Pick-Off Points Dust pick-off points are also common at feeding areas and discharge points. These create a vacuum, or negative pressure, which captures any fugitive dust, redirecting it to a baghouse. From there, the air can be recycled after dust has been filtered out.
> Motorized Head Pulleys Dust allowed to infiltrate equipment components can quickly degrade equipment, particularly when it comes to drive components, which are costly to replace. Combined with the corrosive (and sometimes abrasive) nature of potash, keeping dust out of drive components is essential to equipment reliability and service life. One upgrade FEECO recommends in this effort is a motorized head pulley. With a motorized head pulley, both the motor and the reducer are internally contained within the head pulley, preventing the potential for dust infiltration.
> Taconite Seals Taconite seals are useful in keeping dust out of bearings. These additional bearing seals are filled with
Skirtboard on conveyor with rubber disc impact idlers (conveyor belt not yet installed). CREDIT: FEECO INTERNATIONAL
grease and purged, mitigating the potential for dust to contaminate the lubricant and damage the bearing.
Abrasion
Albeit less of a concern than corrosion and dust management, it is important to note that abrasion can also be a concern in some potash settings as well. When the unique potash source exhibits an abrasive quality, additional measures are necessary to protect equipment. This typically involves reinforcing high-wear areas such as transfer chutes, inlet loading areas, and the like.
Reinforcement may be implemented through increasing material thickness to provide an additional wear allowance, incorporating wear-resistant liners, or both. It is common for contact points such as discharge hoppers and skirtboard side plates to be lined with AR400 plate (quenched and tempered carbon steel).
General handling considerations
Beyond the specific material challenges potash presents, a few other general considerations are vital to the success of a handling system in the potash industry:
> Spillage In addition to dust abatement, minimizing product loss resulting from spillage is another common objective in potash handling systems. Spillage can be prevented through a number of approaches.
• Optimizing feed area design, as well as incorporating skirtboards and decreasing idler spacing (or employing an impact bed) go a long way in preventing the potential for spillage at loading areas. Beyond this, spillage can be prevented by designing for proper belt tension according to load conditions.
• Further, increasing trough depth by utilizing a higher angle of idler helps to keep material contained.
> Saftey Safety is a top priority at all mining and processing facilities, no matter what the material. The primary concern with conveyor safety is protecting people from pinch points and moving parts through guarding. There are mandates to the various points at which guarding is required, though additional guarding beyond what the mandates require is also available.
• E-stops and pull cords can also be integrated into the system to minimize risk in the event of an incident. FEECO also recommends closed-end housing bear-
ings and return idler guards as added safety precautions.
> Reliability The high capacities and demanding conditions associated with conveying potash require equipment that is exceptionally robust to be reliable for the long term. This translates to higher belt tensions and material loading, which in turn influence several factors:
> Belt Selection Belts running at high capacities must be rated for proper tension and ply. Specialty belting can be rated as high as 1,800 PIW (pounds per inch width). In some long conveyor applications, a steel corded belt may be implemented in lieu of the standard fabric cord belting to reduce belt stretch.
> Pulleys Since belt tensions apply their
aximizing throughput and productivity while minimizing unnecessary risks caused by spillage and dust are just two of many bulk material handling objectives at Martin Engineering.
Consider Martin® Transfer Point Kits. These innovative kits include modular loading, settling and stilling zone configurations and a variety of chute options. They are designed to simplify installation and facilitate future upgrades. And all to reduce potential shutdown costs and increase your ROI.
Yeah, we got this.
forces on pulleys, pulleys must also be more robust. FEECO often recommends the use of mine duty or engineered class pulleys in high-capacity applications. Both pulleys are designed for
higher operating tensions. Engineered class pulleys are custom designed for the application and use special profiled end discs to eliminate critical welds at high-stress areas on the pulley.
Screening Media & Wear Solutions
• Extended range
•
• Double the drainage rate
• Dryer filter cake
• No grinding or welding required
• Reduce maintenance downtime
• Used on vibratory equipment
• Patented magnetic fastening system improves hold down
> Idlers Idlers should be higher rated, typically CEMA D or E. In these classifications, idler shaft size and shell thickness increase accordingly to handle higher load ratings.
> Drive Components Drive components such as motors and reducers, head shafts, head pulley, bearings, and external backstops will need to be heavy-duty and appropriately designed for the application.
Operating conditions
As with every industry, facility operating conditions also play into potash conveyor design. Mine sites or plants with conveyors operating outdoors are advised to incorporate weather covers or even full gallery enclosures to protect potash from the elements. As potash is hygroscopic, readily absorbing moisture from the air and resulting in caking, protecting potash from precipitation is especially important.
With most potash mined in Canada, conveyor systems must also be equipped for reliable handling in cold weather. Low-temperature grease in bearings is recommended, as are ductile iron bearings instead of cast iron, which can be brittle in extreme cold. Low-temperature-rated instruments, as well as a heater in the reducer, are also typically recommended.
Concluding remarks
As potash producers continue to ramp up production to meet growing demand, belt conveyors remain a critical aspect of ensuring a safe, reliable, and efficient operation.
The demanding conditions associated with potash conveying mean that the safety, reliability, and performance of these systems relies on addressing the unique challenges this industry presents through careful design, engineering, and fabrication. CMJ
Dan Baxter is in material handling sales at Feeco International
By R.
Conveyor retrofits:
Safety and efficiency do not need to be a compromise
Conveyors are among the fastest and potentially dangerous cargo transport systems for bulk handling operation. Even though their safety and performance are critical to the mine’s success, the impact of their contribution to overall efficiency is often unrecognized by management and workers alike. The operational basics of conveyor belt systems are too often a mystery to those employees who have little understanding about the hardware installed and the performance required from the components.
The knowledge gap is understandable. The attention of personnel at a bulk handling operation is centered on logistical and scheduling concerns. The “care and feeding” of belt conveyors — i.e., the adjustment, maintenance, and troubleshooting — make an enormous difference in safety and performance but are typically outside of operator’s expertise. It is not that they do not care about conveyors, but the ongoing maintenance and service of these systems is often usurped or deprioritized for other issues.
Low-bid process and life cycle cost
Although the policy is not explicitly stated by companies, the low-bid process is usually an implied rule that is baked into a company’s culture. It encourages bidders to follow a belt conveyor design methodology that is based on getting the “maximum load” on the conveyor belt and the “minimum compliance” with regulations, using the “lowest price” materials, components, and manufacturing processes available.
Maximizing the volume of cargo and minimizing the price of the system usually means choosing the narrowest feasible belt, operating at the highest speed possible. This leaves little margin for error and in many cases results in chute plugging, excessive spillage, and reduced equipment life.
When companies buy on price, the benefits are often shortlived, and costs increase over time, eventually resulting in losses. In contrast, when purchases are made based on the lowest longterm cost (life-cycle cost), benefits usually continue to accrue, and costs are lower, resulting in net savings over time.
A properly designed conveyor controls emissions for improved safety and easier maintenance. CREDIT: MARTIN ENGINEERING
The return on better design and quality is realized over the extended life and safety of the system. CREDIT: MARTIN ENGINEERING
CRUSHERS, CONVEYORS, AND SCREENS
Conveyor system design hierarchy
To safely maximize production, designers and engineers are urged to approach the project with a specific set of priorities. Rather than meeting minimum compliance standards, the conveyor system should exceed all code, safety, and regulatory requirements using global best practices. By designing the system to minimize risk and the escape and accumulation of fugitive material, the workplace is made safer, and the equipment is easier to maintain.
Life cycle costing should play into all component decisions. Be aware of specifications on project components that state “Specific Manufacturer Name or Equal.” Vaguely written “or Equal” specifications are there for competitive reasons and allow contractors to purchase on price without adequate consideration for construction or performance. Rather, buying on “Life Cycle Cost” or “Engineer-Approved or Equal” and anticipating the future use of problem-solving components in the basic configuration of the conveyor provides improved safety and access, without increasing the structural steel requirements or significantly increasing the overall price. It also raises the possibility for easier system upgrades in the future. The ability to accommodate future increases in capacity can also be included in the original design, expanding options, and reducing future modification costs.
Designing conveyor upgrades for safety
There is continuous pressure from managers to increase production to match demand. However, standards continue to
Rather than meeting minimum compliance standards, conveyor systems should exceed code, safety, and regulatory requirements. CREDIT: MARTIN ENGINEERING
tighten as government regulators retain their strong focus on worker safety, driving the need for equipment designs that are not only safe, but also optimized for safety (designed for safety). Personnel are the single most valuable resource of any industrial operation. That is why conveyor system designers are incorporating greater functionality into designs that will improve safety.
To reduce hazards in the workplace, operators employ a variety of methods from requiring the use of personal protective equipment (PPE) to installing the latest and safest equipment designs. When examining the safety of a system, improving efficiency, and reducing risk can be achieved by utilizing a hierarchy of control methods for alleviating hazards. The consensus among safety professionals is that the most effective way to mitigate risks is to “eliminate the hazard by design”. This usually requires a greater initial capital investment than short-term fixes but yields more cost-effective and durable results.
Examples of “eliminate by design” are longer, taller, and tightly sealed loading chutes to control dust and spillage or heavy-duty primary and secondary cleaners to minimize carryback. By using hazard identification and risk-assessment methods early in the design process, engineers can create the safest, most efficient system for the space, budget, and application. These designs alleviate several workplace hazards, while minimizing cleanup and maintenance, reducing unscheduled downtime, and extending the life of the belt and the system itself.
Experienced engineers often recommend that operators retain an outside firm to examine system requirements and design new equipment around historical issues and specific needs of the application. An outside eye can observe potential hazards that can be overlooked by workers who experience them daily.
Before the drafting phase, designers should establish the goals of reducing injuries and exposure to hazards (dust, spillage, etc.) to increase conveyor uptime and productivity, and seek more effective approaches to ongoing operating and maintenance challenges. Designs should be forward-thinking, exceed compliance standards, and enhance operators’ ability to incorporate future upgrades cost-effectively and easily by taking a modular approach.
Combining safety and productivity
To meet the demands for greater safety and improved production, some manufacturers have introduced equipment designs that are not only engineered for safer operation and servicing, but also for reduced maintenance time. One example is a new family of heavy-duty conveyor belt cleaners, designed so the blade cartridge can be pulled away from the belt for safe access and replaced by a single worker.
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Left: This slide-out belt cleaner is engineered to be accessed safely and replaced by a single worker. Right: The track-mounted systems can be serviced quickly and safely, with no reach-in maintenance. CREDIT: MARTIN ENGINEERING
The same slide-out technology has been applied to impact cradle designs. The systems are engineered so operators can work on the equipment safely, without breaking the plane of motion. External servicing reduces confined space entry and eliminates reach-in maintenance, while facilitating faster replacement. The result is greater safety and efficiency, with less downtime.
Another example of a revolutionary new belt cleaner design that can reduce the need for bulky urethane blades altogether is a belt-cleaning system that has received awards for its innovative design and safety benefits. The patented design delivers extended service life, low belt wear, significantly reduced maintenance, and improved safety, delivering lower cost of ownership. Unlike conventional belt cleaners that are mounted at an angle to the belt, this unique cleaner is installed diagonally across the discharge pulley, forming a three-dimensional curve beneath the discharge area that conforms to the pulley’s shape. The novel approach has been so effective that in many operations, previously crucial secondary belt cleaners have become unnecessary, saving further on belt-cleaning costs and service time.
Conclusion
Engineering safer conveyors is a long-term strategy. Although design absorbs less than 10% of the total budget of a project, engineering, procurement, construction, and management (EPCM) services can be as much as 15% of the installed cost of a major project. Additional upfront engineering and applying a
life cycle-cost methodology to the selection and purchase of conveyor components proves beneficial. By encouraging the use of the “hierarchy of controls” at the planning stage, along with the “design hierarchy” at the design stage, the installation of an “evolved basic conveyor” can be achieved. The system will meet the demands of modern production and safety regulations, with a longer operational life, fewer stoppages, and a lower cost of operation. CMJ
R. Todd Swinderman is president emeritus of Martin Engineering.
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The unique belt cleaner forms a 3D curve beneath the discharge that conforms to the pulley’s shape. CREDIT: MARTIN ENGINEERING
By
Navigating the boys’ club: A MENTOR’S PERSPECTIVE ON EMPOWERING WOMEN IN MINING
The mining industry has long been regarded as a bastion of male dominance — a boys’ club where women are often overlooked, underestimated, and excluded from key decision-making processes. Breaking into the mining world as a woman can quite frankly feel like crashing a guys-only party. Yet, armed with determination and a passion for the industry, I embarked on a journey that would challenge me, empower me, and redefine my perspective on what it means to succeed in mining as a woman.
From the moment I set foot in a boardroom, I was met with skepticism and raised eyebrows. As one of the few (if not only) women at the table, I knew I had to prove myself — prove that I belonged, that I was capable, and that I could hold my own. Every day brought new challenges, from overcoming stereotypes and breaking down barriers to earning the respect of my male colleagues. But with each challenge came an opportunity to defy expectations and show the guys that gender had nothing to do with success in the mining world. Instead of trying to change the system overnight, I made it a point to set high standards for myself, show integrity in everything I did, and tackle challenges head-on.
With every step I took in my mining career, I found myself navigating leadership circles dominated by male voices and despite the progress I have made, there still are instances of dismissiveness, mansplaining, and even outright hostility toward my contributions. But rather than allowing these obstacles to deter me, I use them as fuel to drive my determination to effect change, seeing it as an opportunity to bring a fresh perspective to the table — to challenge conventional wisdom, champion diversity, and drive meaningful change within the industry.
As I rose through the ranks, I recognized the importance of building bridges and fostering collaboration across gender lines. Instead of viewing my male colleagues as adversaries, I saw
Instead of trying to change the system overnight, I made it a point to set high standards for myself, show integrity in everything I did, and tackle challenges head-on.
them as allies — partners in a shared mission to drive innovation, efficiency, and safety in mining. Through perseverance and resilience, I began to see small victories — a seat at the table during crucial discussions, recognition for my contributions, and eventually, opportunities to lead. These successes not only affirmed my place in the industry but also served as inspiration for other women aspiring to break through similar barriers. My journey in the mining industry has been a rollercoaster of highs and lows, challenges, and triumphs. While the boys’ club mentality persists in some corners, I am proud of the progress we have made towards a more inclusive and equitable industry. As I continue to navigate these spaces, I am committed to paving the way for future generations of women, ensuring that they too have the opportunity to thrive and succeed.
Through mentorship, I can not only share my experience and knowledge, but I get to inspire others and empower the next generation of women in the industry. Drawing from my own experiences and insights gained throughout my career, I strive to provide mentees with valuable guidance and perspective. Whether it is overcoming professional obstacles, or finding work-life balance, I share stories of triumphs and setbacks, offering practical advice and lessons learned along the way. By sharing candidly about my journey, I hope to inspire mentees
to persevere in the face of adversity and seize opportunities for growth and development.
One of the most fulfilling moments as a mentor is witnessing the success and accomplishments of mentees and the transformative impact that mentorship can have on the lives and careers of aspiring women in mining. Whether it is landing a dream job, receiving a promotion, or achieving a personal milestone, celebrating these achievements with mentees reaffirms the value and impact of mentorship. As mentees flourish and grow in their careers, I take pride in knowing that I played a small part in their journey toward success.
A notable example of this has been my recent experience mentoring Jacqueline Pashley, a bright and ambitious young woman with a passion for mining. After working in administrative roles for various service and supply companies, she decided it was time to take on a new challenge and opted to enhance her learning via Laurentian University’s Goodman School of Mines’ Mineral Resources Industry Leadership Certificate Program.
The training features an incredibly unique and experiential learning environment, designed to foster leadership, character development, and resource industry stewardship. Each participant is paired with a mineral resources industry professional who acts as a mentor for the duration of the program, and I was lucky enough to be matched with Jacqueline! As a mentor, I saw myself in her — a determination to succeed, a hunger for knowledge, and a drive to break barriers in a male-dominated industry. I knew right away that I wanted to support her.
Our mentorship journey began with sharing experiences — both triumphs and challenges. I opened up about my own journey in the mining industry, the obstacles I faced, and the lessons I learned along the way. Through candid conversations, we explored topics ranging from navigating workplace dynamics to setting career goals and overcoming self-doubt.
One of the most rewarding aspects of mentoring Jacqueline is watching her grow and develop as a professional. From hon-
ing her technical skills to refining her communication style, she embraces every opportunity to learn and improve. I encourage her to step out of her comfort zone, take on new challenges, and never settle for anything less than her best.
Jacqueline recently achieved a milestone in her career — landing her first sales job in mining. I celebrate her success and want her to know how proud I am of her progress. As she continues to grow and thrive in the mining industry, I am excited to see where her journey takes her. Mentoring Jacqueline has been an extremely rewarding experience. Through our mentorship relationship, I have had the privilege of supporting and empowering a young woman as she navigates her path in the mining industry. And while I may have served as her mentor, I have also learned and grown immensely from our shared experiences. Together, we are proof that mentorship has the power to change lives and shape the future of the mining industry for the better.
Mentoring women in mining is a privilege and a responsibility that I hold dear. Through nurturing talent, sharing experiences, fostering growth, building networks, and celebrating success, I strive to empower mentees to reach their full potential and make their mark in the industry. As we continue to mentor and support aspiring women in mining, let us collectively work towards creating a more inclusive, diverse, and empowering environment where every woman can thrive and succeed.
Jacqueline’s perspective: Finding my path with a powerful mentor
As a student at Laurentian University’s Mineral Resource Industry Leadership Program, I have had the privilege of being mentored by Marla Tremblay, the executive director of MineConnect. Having a strong female role model has been invaluable in helping me navigate my career path with confidence.
Marla is a force to be reckoned with — her passion for continuous improvement in mining is contagious. By surrounding myself with like-minded professionals who share her vision, I have been able to accelerate my own growth. Marla has shown me the importance of always striving to become a better version of myself, both personally and professionally.
Through her guidance, I have learned that self-improvement is the key that unlocks so many doors. As I focused on developing myself, I have noticed an incredible alignment starting to happen in my life. The right people, situations, and circumstances seem to present themselves as if by magic.
Most importantly, Marla exemplifies how to be both professional and personable. She brings her authentic self to every interaction while maintaining boundaries. I admire how she can mix witty humour with knowledgeable insights to build real connections.
As I continue forging my path in this industry, I am grateful to have such an inspiring mentor. Marla’s guidance and our shared vision for mining’s future excellence have been key drivers of my success so far. This experience has been a reminder of what can be achieved when you make a commitment to continuous improvement and align yourself with the right people. I see a bright future for the mining sector with positive role models like her and cannot wait to see what doors open next. CMJ
Marla Tremblay is the executive director of MineConnect.
Marla Tremblay (left) and Jacqueline Pashley (right) during mentorship.
CREDIT: MARLA TREMBLAY
Exploring the history of
diamonds
DBy Kathleen White
iamonds are recognized for their beauty and rarity all over the world. This precious gem has a rich history, but despite this, few people other than those who work directly with the stones know exactly how diamonds are formed, where they come from, or the landscape of diamond mining today. To break it down, we have detailed a brief history of diamonds in this guide, from their ancient beginnings to the gems as we know them today.
Discovering diamonds
Let us start at the beginning: most diamonds are formed around 100 miles below the Earth’s surface, within the mantle, which is made up of molten rock. In these high-pressure, high-heat conditions, carbon is transformed into diamonds over millions of years — which are then carried up through lava flows to the Earth’s surface, where we mine them, and have been mining them, for many thousands of years.
The earliest known mention of diamond trading in writing dates to the 4th
century BC, in a Sanskrit manuscript discovered in India. While this is the earliest written record, we know that diamonds were used throughout ancient times, often as a cutting tool, as well as in various protective talismans — these would often be worn as jewelry, carried into battle, or placed in burials to aid the deceased in the afterlife.
Hundreds of years later, in the 13th century, mentions of diamonds started emerging in Europe. At that time, Venice was considered the capital of European trading for diamonds. In recent centuries, diamonds have been found all over the globe, in Brazil, Australia, Congo, and China, to name but a few. Most famously, South Africa’s diamond pocket in Kimberley — named the largest in the world — was discovered in 1866, which now accounts for up to 90% of the globe’s diamond distribution. Canada has also positioned itself as a major player in the diamond mining landscape, with only a handful of countries having a higher production value for this precious gem.
Diamonds today
Diamonds are around three billion years old, so it is no wonder we have long been fascinated by these precious gems — and willing to pay the hefty cost of owning one. In fact, in 2022, the global market value of diamond jewelry was US$86.5 billion — so diamonds are just as coveted today as when they were first discovered all those years ago.
Mined diamonds increase in value over time because of inflation and their limited supply. However, today, the industry has evolved to suit our penchant for sustainability, with lab-grown diamonds now on offer as an alternative to natural mined diamonds. Lab diamonds are said to have all the same natural properties as natural diamonds and are often graded higher in clarity than natural diamonds because of the controlled conditions in which they are created. However, we have an unlimited supply, so they are valued significantly lower than natural diamonds — and therefore may be less appealing as an investment.
CONTINUED ON PAGE 68
Diamonds in our modern world are still used for industrial purposes, often in metalwork and mining. The stones used for these purposes have usually been rejected for use as precious gems, because of flaws in color, shape, or size. Diamonds are also still popular stones to create jewelry and are used to signify a lifelong commitment between two people when used in an engagement ring.
Looking to the future
Natural diamonds will always retain their rarity and value. But with the impact of mining on the environment becoming an increasing concern for many, and alternative, lab-grown options now on the market, we cannot guarantee that natural
diamonds will always be as highly sought after as they are today. If sustainability initiatives are put in place, mining activities can continue to evolve with the times and provide consumers with natural diamonds that are guaranteed ethically and sustainable as a result.
Diamonds are special gems with an extensive history and have held immense value and cultural importance from ancient times right up until the present day. With the landscape and market con-
LETTER TO THE EDITOR
stantly evolving, history is still being written, and diamonds will continue to be valuable stones cherished by all for years to come. CMJ
Kathleen White is an independent business analyst who serves a variety of sectors. She earned a first-class honours degree in business and management from the University of Bristol. In her own time, she likes to write to impart what she has learned in the hopes of helping other companies.
In response to the May issue article entitled: “Critical mining in British Columbia: $36 Billion in critical minerals investment at stake,” I would like to point out that the map on page 41 omits the largest undeveloped cobalt–copper deposit in BC, namely Windy Craggy. I note that the B.C. Geological Survey has posted a critical cobalt map showing Windy Craggy in their 2024 atlas of critical Minerals in British Columbia (page 28). Thus, the survey must have considered that this deposit has merit.
Windy Craggy has an historical resource (1992) estimate of 297,400,000 tonnes: 1.38% Cu, 0.069% Co, 0.20 g/t Au, and 3.83 g/t Ag, using a 0.5% copper cut-off grade. This estimate should be considered a minimum, as a new zinc-rich zone was discovered at the end of latest drilling campaign in 1990.
I would also point out that the past legacy (~1994) of Windy Craggy probably generated in excess of one billion dollars by way of investment dollars leaving B.C. to other parts of the world, jobs and investment in the expropriation compensation leading to the development of the Kemess south mine, creation of a park to prevent the development of this deposit, B.C. government revenues and benefits for the local First Nations involved in the Kemess mine development. There were no perceived benefits to the Champagne Aishihik First Nation on whose traditional territory Windy Craggy is situated. Now, just imagine what the long-term economic impact Windy Craggy would have on the benefits and balance sheet of future stakeholders.
An interesting past and future legacy story and Windy Craggy has yet to be developed.
Bruce Downing, M.Sc., P.Geo., FGC, FEC (hon.)
Above left: The Diavik diamond mine. CREDIT: RIO TINTO.
Above right: Tectonic breakup aids in the creation of diamonds even if it occurs thousands of kilometres from kimberlite formation
Left: Naturally fluorescing rough diamond parcel from the Gahcho Kué mine in the Northwest Territoriest. CREDIT: MOUNTAIN PROVINCE DIAMONDS
ON THE MOVE
Executive, Management and Board Changes in Canada’s Mining Sector
TOP MOVES IN THIS ISSUE
Kody Penner is the new VP corporate development at Nations Royalty. He brings a collaborative approach to decision-making, aligning the values of rights holders and stakeholders toward common goals. He was previously lead, copper business planning at Teck Resources. He grew also worked at the Ruddock Creek exploration camp and as an underground miner at the Brucejack mine. Penner is a proud citizen of the Tahltan Nation, which has a rich mining history.
Chris Buncic is now president and CEO of Condor Resources
He has over 24 years as an executive in the mining industry and capital markets. He was co-founder and CEO of Alto Verde Copper, and he was president and CEO of Ascendant Resources, that reopened the El Mochito mine. He has served on several boards of TSX, TSXV and CSElisted companies. Buncic is a CFA and has an MBA from Schulich School of Business.
Gregory Huffman is now CEO, president and a director of Nuclear Fuels. His has led crossborder co-ordination in global mining financial matters, including as a mining analyst focused on uranium. His most recent role was global head of mining sales at Canaccord Genuity, where he used his range of geological and financial skills to evaluate exploration, development, and mining projects. He is known for his insightful industry publications, including “Huffer’s High-Grade Nuggets.”
MANAGEMENT MOVES
» Advanced Gold Exploration said is secretary Carly Burk has resigned, and director Radovan Danilovsky has assumed the position.
» Avalon Advanced Materials appointed Andrew J. Ramcharan as its new VP corporate development.
» Blue Thunder Mining promoted Alain Levesque to CFO.
» District Metals named Hein Raat its new VP exploration.
» Energy Fuels asked former General Motors’ critical minerals leader Debra Bennethum to be director of critical minerals and strategic supply chain.
» Galleon Gold announced the passing of Timothy G. Smith, CEO.
» Golden Horse Minerals appointed Nicholas Anderson as managing director and CEO.
» Golden Minerals announced the retirement of Warren Rehn being replaced by Pablo Castanos as CEO and president.
» Hot Chili named Penelope Beattie the company secretary and CFO.
» International Battery Metals said Iris Janchik will join the company as CEO in August.
» Landore Resources tapped Alexander Shaw its new CEO.
» Mayfair Gold named Darren McLean interim CEO and president and chair of the board and Darren Prins interim CFO.
» Midnight Sun Mining appointed Kevin Bonel as COO, Zambia.
» Neotech Metals named Jared Galenzoski its VP exploration.
» Pedro Resources named Jacqueline Wilkie interim CFO in addition to her duties as CEO.
» Prospector Metals appointed Monty Sutton as CFO.
» Matt Manson is now president and CEO of Radisson Mining Resources.
» The new CEO and MD of Robex Resources is Matthew Wilcox Aurelien Bonneviot is no longer CEO but remains at the company as GM strategy and business development.
» Teako Minerals named Freddie Duncalf VP exploration and Vic Fitch CFO.
» Chris Huggins is now CEO of Troubadour Resources Vista Gold welcomed Maris Vallejo Garcia as director, projects and technical services.
» York Harbour Metals named Brandon Schwabe as CFO.
» Yukon Metals appointed Helena Kuikka as VP exploration and Monica Hamm as VP investor relations.
BOARD ANNOUNCEMENTS
» Adyton Resources named Chris Wilson to the board. He was formerly exploration manager with Ivanhoe Mines.
» ATEX Resources added Chris Beer to its board.
» Atex Resources asked Chris Beer to join the board.
» Blue Thunder Mining said Jean-Patrick Lavriviere resigned from the board.
» Patrick Highsmith has joined the board of Brixton Metals
» Canadian Metals asked Kelly Malcolm to join the board as chair.
Chris Buncic
Gregory Huffman
Kody Penner
BOARD ANNOUNCEMENTS
» Capstone Resources announced the retirement of Robert Gallagher from its board.
» Cartier Resources named Danel Masse chair of the board, replacing Jean-Yves Laliberte
» Defense Metals appointed Suzanne Rich Folsom to the board.
» Defense Metals named Guy de Selliers as chair.
» Element 29 Resources nominated Brad Mercer, Chet Idziszek and Mary-Carmen Vera to the board.
» G2 Goldfields added Carmen Diges as an independent director.
» Gemfields appointed former De Beers chief executive Bruce Cleaver chair and independent director.
» Gold79 Mines noted the passing of director James M. Franklin
» Golden – Warren Rehn retired from the board of Golden Minerals
» InZinc Mining appointed Michael Westcott to the board.
» Mayfair Gold added Christine Hsieh and Zach Allwright to the board.
» Mayfair Gold named Sean Pi as a director.
» New Destiny welcomed Robert Schwetzke as a director.
» NexGen Energy added Susannah Pierce to its board.
» The newest director at Northern Superior Resources is Eric Desaulniers
» Dal Brynelsen joined the board of Nova Lithium
» Orezone Gold named Sean Harvey, chair of the board.
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» Pasofino Gold said Warren Greenslade is now interim CEO following the retirement of Daniel Limpitlaw
» Premium Nickel Resources named Norman MacDonald to the board.
» Pure Energy Minerals elected two new board members, Joseph Mullin and Daniel Barnosky
» Quebec Innovative Materials introduced its two new board members, Marianne Richer-Lafleche and Jackson Inwentash. Former board member Patrick Lavasseur resigned.
» Robex Resources named a new board of directors, including James Askew (chair), John Dorward, Howard Golden, Thomas Lagrée, Gérard de Hert, and Mathew Wilox
» Sage Potash appointed Clark Sazwan to the board.
» Snowline Gold added Gil Lawson to the board.
» Strathmore Plus Uranium welcomed Marion Loomis to the board.
» Teako Minerals asked Mark Stelltoft to join the board following his resignation as VP corporate development.
» The Metals Company welcomed sustainability strategist Brendan May to its board.
» Navin Varshney is the new chair of Troubadour Resources
» Fady Mansour is now a director of Volta Metals
» Vortex Metals invited Paul Furst, also a director of Banco de Chile, to join its board.
» Xplore Resources added John Newell to the board.
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