Blasting News Q4 2016

Blasting News VOLUME 25 ISSUE 4 2016

IN THIS ISSUE • Accuracy key to blasting a 1 000 ton bridge in the less than the blink of an eye • AEL celebrating 120 years • Vertical Drop Launch at Unki Mine Zimbabwe

Printed on 100% eco friendly paper

SPECIALIST SPEAK

Specialist Speak

Editor’s Note This year AEL celebrates its 120 year anniversary and armed with over a century of expertise and knowledge in developing groundbreaking and innovative blasting solutions, we aim to add value to

CONTENTS

our customers’ operations.

by Simon Tose, Global Mining Optimisation Manager

In this issue we bring you another instalment of Specialist Speak

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SPECIALIST SPEAK by Simon Tose

4

AEL PRECISION: Accuracy key to blasting a 1000 ton bridge in the less than the blink of an eye

6

AEL THOUGHT LEADERSHIP: EXPLOSIVES TODAY 17

10 AEL HISTORY: AEL celebrating 120 years 18 AEL INNOVATION: Vertical Drop Launch at Unki Mine Zimbabwe

by our Global Mining Optimisation Manager, Simon Tose who will tackle the subject of complacency versus best practices.

The technical answer is easy to take, termed “best Under our Thought Leadership banner, we offer you the latest

practices”. Add to the blast procedure the line that all free

issue of our successful series of our technically-driven customer

faces need to be profiled to identify potential hazards and

publication, Explosives Today which focuses on. “Destruction of

addressed in the charging and timing plans. Does that

explosives – initiation systems”.

address the complacency? In short No! The real challenge to those of us involved in blast training is

In AEL Precision, read about how accuracy was the key to blasting a 1 000 ton bridge near homes and businesses bordering

Watching a recent television documentary “Seconds from

the N1 near Polokwane, in less than the blink of an eye and the

disaster”, it was encouraging from a professional point of

re-opening of the road to traffic within hours.

view that the industry experts were able to clearly identify the chain of events that resulted in the incident. Whilst

In our AEL Innovation section, we share news of another of our successes with our ground-breaking vertical drop installation at Unki Mine in Zimbabwe.

In our AEL History section, we take you on a trip down memory lane sharing our major historical milestones over the past 120 years. Enjoy your read!

there were a number of technical failures in the event, the underlying theme was the flawed decision making process taken by the individuals involved.

In my previous editorial I spoke about a recent blast investigation. A chain of events; a modification in the

drilled holes and an extra timing delay in the blast pattern To receive the latest news from the AEL world, we invite you to

all resulted in a change in the direction of the planned

subscribe to Blasting News by visiting our website

movement of the muckpile exposing the blasting team

www.aelminingservices.com and clicking the Publications tab.

to flyrock. This highlighted that it is seldom a single item

Also follow the AEL conversation on our social media sites such

rather a series of events that lead to an undesirable

as Twitter, LinkedIn, Facebook and YouTube.

outcome.

Happy holidays!

However at the root of this investigation was the word; Complacency, the dictionary defines the word as; a feeling of calm satisfaction with your own abilities or situation that prevents you from trying harder: The individuals involved had followed the blast process

Cover image: Stock Image - Machines working in an outdoor quarry

Contact Details: Eubulus Pillay - Editor I Tel: +27 11 606 0313 eubulus.pillay@aelms.com I www.aelminingservices.com

and analysed the risk factors in their planning sessions, in principle addressing the hazards. In practise, our word complacency had crept in and the new information and changes in the day to day practical application of the blast

Disclaimer This publication does not necessarily reflect the views and opinions of AEL Mining Services Limited management. The copyright to this publication rests in AEL Mining Services Limited. Other product and corporate names used in this publication may be trademarks or registered trademarks of other companies, and are used only for explanation and to the owner’s benefit, without intent to infringe.

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Blasting News I Fourth Quarter 2016

to prevent this sequence of events occurring again?

Does our +20 year old blaster actually understand the legal letter of appointment that they sign and the consequences?

Get it wrong and they could end up in jail with a criminal record. The managers who issue those letters must also realise that they could join their blaster in jail, if they have not enabled them to fulfil their major obligations: •

the control and accounting of the mass of explosives and number of initiating systems and accessories used in

planned initiation point of the blast; over and under burdened blast holes at the free face; an area of short

Eubulus Pillay

how do we secure that life learning experience and emotion

the blast.

•

the restricted access of personnel and equipment on bench during the loading of explosives on the blast block

•

the clearance of mining area, the management of guards to prevent unauthorised access, the determination of the risk areas and the pressing of the firing button!

•

the examination of the blasted area and declaring it safe to resume normal mining operations

As a manger or supervisor ask yourself three questions before you next sign off on your blast: •

When did you last run a planned task observation on your blasting crew?

•

Are you happy with the position chosen for the blasting crew to stand?

•

Have the operational changes been accounted for before the sirens are sounded and the buttons pressed?

design had not been addressed.

Blasting News I Fourth Quarter 2016

3

AEL PRECISION

AEL PRECISION

Accuracy key to blasting a 1 000 ton bridge in the less than the blink of an eye

of schedule.

“The customer was extremely happy with the results and we are proud to have been part of such a rewarding project,” Matlala said.

Safely blasting a 1000-ton bridge near homes and businesses, and making sure the road beneath it reopens

He said AEL’s flagship system in electronic detonators,

to traffic within hours, is no easy

Digishot Plus, was chosen for the project because of

feat. However, this is exactly what a

the high-accuracy needed to complete such a careful

collaboration between AEL Mining

operation. AEL also supplied the cartridges for the

Services and Catnis achieved on

blast, which was designed and timed by Catnis.

November 9, 2016.

The targeted 1000 ton bridge

“We needed the charges to go off with spot-on timing,

The teams needed to set off a series

that was the big focus,” said Shane Boswell, Blasting

of blasts within 170 milliseconds (0.17

Technician at Catnis.

seconds) of each other, approximately the same time as it takes for an eye to

“If the blast didn’t break the structure of the bridge

blink twice, in order to not only safely

and its support cables, or if it fell skew, we would have

bring down the structure – but to make

faced severe financial ramifications. That’s why I’m

sure it was broken evenly.

extremely satisfied with the timing accuracy of the detonators, I think the product was a driving factor behind the success of the blast,” Boswell said.

“There was simply no room for error,” said Patrick Matlala, Explosives Engineer at AEL, “The site was just a

In addition to timing, the blast had to ensure that the

few hundred metres from residential

concrete was broken with the correct fragmentation.

Preparing for the blast

properties and a petrol station, safety

This was key because enough steel had to be exposed to allow teams to cut and remove the rubble safely and

through accuracy was crucial.”

accurately, yet still efficiently in order to reopen the road in time.

The bridge needed to be removed as road upgrades take place at the interchange just before Polokwane

Matlala said this project is a perfect example of

on the N1, which is a major trade and

intelliBlast™, AEL’s total value proposition, and how

travel route between South Africa and

it shows the company is strategically positioned to

Zimbabwe.

deploy into customers operations seamlessly, through innovative and agile products and services.

The N1 road was closed for safety

“Whether customers need us to supply them with

reasons, with the successful blast

these products and services or would like us to take

taking place at 10am, and was

over the project from end-to-end, we are ready to take

reopened at 3pm – three hours ahead

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The result after accurate blasting

Blasting News I Fourth Quarter 2016

Blasting News I Fourth Quarter 2016

on any task,” Matlala said.

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AEL INTERNATIONAL AEL ENERGY EFFICIENCY THOUGHT LEADERSHIP

THOUGHT LEADERSHIP

1. Chief Inspector of Explosives The CIE controls the manufacture, storage and transport of all explosives, and their use on sites not covered by the Mines Health and Safety Act, Occupational Health and Safety Act and other Acts & Regulations (like the Basic Conditions of Employment Act, Employment Equity Act, etc.) These explosives must be destroyed in a manner prescribed by the CIE or DMR.

EXPLOSIVES TODAY Series 4 I No 17

DESTRUCTION OF EXPLOSIVES - INITIATION SYSTEMS

By Ken Meiring – Manager Blast Optimisation

A previous issue of Explosives Today Series 3 Number 10, dealt with the destruction of blasting accessories (as initiating systems were referred to then). Due to the introduction of new product types into the market and changes in legislation, these guidelines need to be reviewed.

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This issue describes methods for destroying initiating systems including shock tube assemblies, detonators (pyrotechnic and electronic), detonating fuse and Pentolite boosters.

REASONS FOR INITIATION SYSTEMS

DESTROYING

The reasons for destroying explosives may be due to the following circumstances: 1. Small quantities of surplus explosives at a blast site which cannot be returned for storage to a licensed explosives magazine; 2. Misfired, unexploded or damaged explosives recovered from charged

blastholes or found among debris after a blast which are too dangerous to transport; and 3. Limited quantities of unserviceable explosives in a licensed magazine which have passed their use by date and are considered to be unsafe to extend the expiry date.

LEGAL CONSIDERATION Depending on the circumstances the destruction of explosives in the Republic of South Africa falls under either the Chief Inspector of Explosives (CIE) for surface workings, or the Department of Minerals and Resources (DMR) and Department of Labour (DoL) for underground workings.

Blasting News I Fourth Quarter 2016

The basic requirements for the destruction of explosives under the jurisdiction of the CIE are laid down in the Draft Explosives Act 15 of 2003 and include the following: • No person other than a Blaster as defined in the Explosives Regulations, or a person specially authorised in writing by an Inspector to do so, shall destroy or attempt to destroy any blasting materials • Explosives shall be destroyed only in a manner previously approved , in writing, by an Inspector and the person carrying out the destruction shall adhere in every detail to the method so approved • Whenever blasting cartridges in excess of one case (25kg), or 1000 detonators (all types), or one reel of detonating fuse have to be destroyed for any reason, the destruction shall not be proceeded with until the circumstances have been reported to an Inspector and his authority obtained for the destruction Employer to appoint a “destruction” blaster, who has the necessary training, knowledge and experience. Destruction only to take place at a place determined by the employer after a risk assessment and in such a manner to: • Cause no danger to people or property;

Blasting News I Fourth Quarter 2016

•

•

•

•

•

Cause as little damage to the environment as is reconcilable with safety.

Destruction methods to follow guidelines as per Annexure B of the Explosives Regulations as well as in line with the methods recommended by the manufacturer of the explosives/ initiation systems.

Permission is required from an Inspector of Explosives to destroy in excess of: • One case or 1000 items (whichever is the lesser) from Compatibility Group B, e.g. explosives, detonators, boosters; • One case or 25 kg (whichever is the lesser) from Compatibility Groups C and D, e.g. deflagration explosives/black powder; • One case or 5 kg or 1000 items (whichever is the lesser) from Compatibility Groups G and S, e.g. pyrotechnics.

Explosives in different Compatibility Groups must not be destroyed at the same time.

A document specifying methods of destruction of explosives and initiating systems in amounts smaller than those requiring prior permission is available from the CIE’s office (SAP 397B).

The Explosives Act No15 of 2003 and Regulations (Draft 2007) are currently under review and will be implemented once promulgated.

2. Department of Mineral Resources (DMR) On sites covered by the Mines Health and Safety Act and others, once the explosives have been drawn from the magazine, the Chief Inspector of Mines, through his Assistants and Inspectors

of Mines, has responsibility for their use and destruction. Regulation 9.4.2 states that explosives shall be destroyed in a manner laid down by the Mine Manager, by a person he has appointed in writing. This person must be in possession of a valid blasting certificate (Regulation 9.4.1) THE DESTRUCTION OF BLASTING INITIATION SYSTEMS METHODS OF DESTRUCTION In recommending methods of destruction for blasting initiation systems the general principle is that, where possible, those systems whose primary function is to detonate should be destroyed by detonation and pyrotechnic systems should be destroyed by burning. Attempts to destroy pyrotechnic systems by detonation are likely to result in burning debris being scattered over a wide area around the site, and may also impact negatively on areas surrounding the destruction site in terms of noise and airblast.

Blasting explosives and initiation systems must never be buried in the ground in the hope that they will break down naturally and be rendered safe by the elements. Initiation systems in general and detonators in particular, can remain in a dangerous condition for many years after such illegal and dangerous disposal. The various categories of initiation systems are listed in Table 1 together with the preferred method of destruction.

GENERAL PRECAUTIONS OBSERVED

TO

BE

The destruction of large quantities of explosives is a hazardous operation and the CIE should always be contacted prior to such an operation.

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AEL THOUGHT LEADERSHIP

AEL THOUGHT LEADERSHIP

Product type

Detonate

Burn

Detonators (All types – pyrotechnic, electronic,

NO

YES

unexploded detonators being scattered far and wide.

electric) Detonating relays

NO

YES

Detonating cord

NO

YES

Shock tubing

NO

YES

Shock tube connectors

NO

YES

Detonating Cord

NO

YES Table 1

1. The site should be sufficiently far away enough from any buildings, public roads, powerlines, etc. to avoid potential damage from shrapnel, ground vibrations and airblast. The site should be free from all loose stones and rocks to reduce the chance of flyrock causing injury or damage.

2. The site selected must be free of vegetation, so that there is no risk of grass or bush fires.

3. The remaining initiation systems to be destroyed must be stored far away enough from the destruction site to prevent possibility of accidental detonation or catching fire.

4. After the destruction the blaster must ensure that the material has been completely destroyed. If a detonation occurs while burning initiation systems then a thorough search of the area must be made for unburnt material.

5. The usual precautions, such as placing of guards and warnings must be observed. It should be remembered that certain burning explosives can detonate.

6. Most pyrotechnic initiation systems are highly flammable and generate intense heat, flames and hot gases which can spread out over an unexpectedly large area. Extra care is especially necessary when incendiary powders are burnt due to their extreme flammability and rapid burning rate.

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DESTRUCTION BY DETONATION PREPARATIONS Detonators – pyrotechnic, electric and electronic. Detonation is a method of destruction for all detonator types and starters where an incinerator or burning ground is not available. The lead wires, safety fuse or shock tubing must first be cut off about 50mm from the detonator.

A small number of detonators (up to 100) can be destroyed by tying them into a bundle using elastic bands and inserting a live detonator in the middle.

This package, with the detonators pointing downwards, is then placed in a hole about 60cm deep, covered with sand and detonated from a safe place. (Detonation is no longer the preferred method due to the inherent safety risk and environmental impact on surrounding communities and industries. Should detonation however be the only feasible method of destruction, this method as described, should be used.)

Detonators which are suspected of being insensitive, or are in a poor condition, can be destroyed by placing the loose detonators in a paper bag which is then placed in a 60cm deep pit.

Two or three made up primers are then placed on top of the detonators and the charge covered with paper followed by sand to ground level. It is important that the detonators are below the explosives to avoid any possibility of

Detonating fuse. A maximum of one reel should be destroyed at any one time. The detonating fuse should not be removed from the reel which is placed in the bottom of a 60cm deep pit. A detonator is attached to a dry portion in the centre of the detonating fuse on the reel, away from any possible insensitive wet ends, and the pit filled with sand.

Pentolite Boosters. These must only be destroyed by detonation and never by burning due to their power and intensity of detonation. They are treated in the same manner as blasting cartridges (See Explosives Today Series 3 No 5) FIRING THE CHARGE Place guards at all access points, clear the danger area of all personnel, sound the necessary warning signals and then detonate the charge. Initiation by capped fuse is no longer recommended

by AEL due to the inaccurate timing which could cause people to suspect a misfire and then return to the blasting site only to walk into the blast. If initiating with capped fuse, and more than one pit is being detonated, return only after the required half hour delay following the last blast heard.

An electric or preferably an electronic detonator will ensure that the exact time of firing is known and indicated by the shot firing equipment.

CLEARING UP THE SITE The pit and surrounding area must be examined to ensure no unexploded or detonators remain.

DESTRUCTION BY BURNING Burning is the preferred method of destroying all incendiary products such as pyrotechnic, electric and electronic detonators.

Blasting News I Fourth Quarter 2016

THE BURNING BED Once a suitable site has been identified, a burning bed is made using wood shavings, sawdust or well crumpled newspaper. Wood shavings are preferred as these shavings burn the best. The bed should be about 200mm wide, 25mm thick and long enough to accommodate the materials being burnt. It must be aligned parallel to the wind direction. The initiating systems to be destroyed are laid on the bed as described below, and are well saturated with illuminating paraffin (not diesel, petrol or power paraffin). The paraffin is sprinkled over the whole bed using a watering can, at the rate of about 0.5 litres per metre of bed. The bed is lit using a paper train, long enough to enable the person destroying the explosives to walk to a safe distance. Inhaling smoke from any burning explosives should be avoided as it can contain poisonous gases from plastics, polymers and metals.

AEL Mining Services makes use of another method of destruction at its manufacturing facility, namely detonator destructing pots. In this method waste initiating system detonators are placed inside a steel container specially designed to prevent shrapnel and flames from the burning material from escaping to the atmosphere. Illuminating paraffin is poured over the contents of the pot which is in turn set alight, thus burning the pot contents.

Figure 1 - View of the Destruction Bay

Figure 2 - View of the burning bed container and shrapnel muffles

Detonating cord. The detonating fuse must first be cut into three-metre lengths. It can then be destroyed in the same manner as safety fuse.

Damaged shock tube detonators. These should be scattered loosely and individually on the bed in a single layer. See Figure 3 above.

Figure 3 - Example of the sawdust bed with pyrotechnic units to be burnt

All other accessories. Contact the CIE or AEL Explosives Engineer for advice on the destruction of any other blasting accessories.

CONCLUSION Because the destruction of explosives and initiation systems is known to be a potentially hazardous operation, both manufacturers and authorities throughout the world tend to be very cautious in giving advice on this subject.

However, the chances of accidents occurring are minimal if the task is properly planned and carried out.

Most of the procedures described in this Explosives Today are covered by the Mining and Explosives regulations and our recommendations should be considered as ancillary to these statutory requirements. AEL Explosives Engineers based in your regional offices are available to advise on methods and procedures to ensure the safe destruction of explosives. They have been trained in the safe destruction of explosives and should be called upon to assist if those doing the destruction are inexperienced.

Blasting News I Fourth Quarter 2016

Figure 4 - Destructor Pots

Figure 3 - Example of the sawdust bed with pyrotechnic units to be burnt

This document replaces all previous Explosives Today on this subject including Explosives Today Series 3 Number 10 (C Impey and KS Ireland).

Acknowledgements LONMIN Platinum Mines for the photographs of their burning grounds.

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AEL HISTORY

AEL HISTORY

AEL CELEBRATING 120 YEARS With its head office at Modderfontein in Johannesburg, South Africa, AEL was established in 1896 and has become one of the world's leading suppliers of explosives and initiating systems. AEL Mining Services comprises 16 businesses complimented by production facilities and offices throughout Southern Africa, Africa, and select international regions in South East Asia, South America and Europe. AEL has 58 plants and 34 sites in more than 20 countries.

The original factory office

Our History

1924 African Explosives & Industries Limited formed - The formation of African Explosives and Industries Limited in 1924 breathed new life into Modderfontein factory with new developments commencing on a scale that merited the title of “the biggest commercial explosives factory in the world”.

From its beginnings in 1895, the Zuid Afrikaansche Fabrieken voor Ontplofbare Stoffen Beperk was referred to as ‘The Dynamite Company’. Today, this has more of a figurative rather than literal meaning - we still have a ‘dynamite factory’, but it uses modern technology and strives to make blasting safer.

1886 – 1896: The Witwatersrand gold rush 1886 Gold discovered - At the end of the nineteenth century George Harrison discovered gold on the Witwatersrand reef and with that the largest market for dynamite exploded into existence.

The Witwatersrand gold rush was the catalyst that fuelled industrial awakening in South Africa.

1895 SA’s President initiates first explosives factory - The great demand for explosives prompted the then President of the South African Republic – Paul Kruger – to initiate the establishment of the ‘Zuid Afrikaansche Fabrieken voor Ontplofbare Stoffen Beperk’ at Modderfontein.

Construction of explosives factory commences - Dr Franz Hoenig, an

10

Train station at Modderfontein

Austrian seconded from the Nobel explosives factory in Pressburg, Hungary, was the first manager and was in charge of construction, which started in 1895 and took about a year to complete.

1896 Factory opens - On 25th April 1896 President Paul Kruger officially opened the factory on one of his rare visits to the Rand.

First cartridge explosive - The first cartridge explosives were produced on 29th June 1896 with full scale production commencing in November of that year. At that time, cartridges were paper-wrapped and bulk explosives were not yet available.

Business was booming at the Modderfontein factory, driven by the relentless pace of progress in mining and industry, particularly the gold mining industry.

1907 - 1924 - First World War and Beyond By this time, Modderfontein factory was producing around 22 000 cases of explosives per month (i.e. 264 000 per annum).

1919 Two factories unite - After World War I, the Modderfontein factory and Kynoch’s Umbogintwini factory amalgamated. Explosives production was centred at Modderfontein and the Umbogintwini factory went over to making fertilisers - at this point, Cape Explosives Works was the only rival to Modderfontein.

1924 - 1938: The birth of an industrial giant: African Explosives & Industries Limited

Blasting News I Fourth Quarter 2016

1931 Sir Ernest Oppenheimer is appointed chairman - Sir Ernest Oppenheimer is appointed chairman of African Explosives and Industries Limited.

1932 Ammonia synthesis plant - The history of AECI and of Modderfontein factory is synonymous with the history of industry in South Africa. As a generator of wealth with its products and as a creator of supporting industries, its value was incalculable.

The board of directors decided to erect an ammonia synthesis plant at Modderfontein in this year. Applying Fritz Haber’s process which used coke as a feedstock and iron as a catalyst, Modderfontein scored two firsts: this was arguably the greatest industrial development of the 20th century in South Africa and Modderfontein became the world leader in explosives and chemical technology.

Production at No 1 Ammonia Plant began in 1932 and, as a result of producing ammonium nitrate, research started into the substitution of ammonium nitrate for nitroglycerin

Blasting News I Fourth Quarter 2016

Two of the original locos

in explosives manufacture.

Further research and development of a vast range of chemicals and explosives was facilitated by the ready availability of ammonia and nitric acid. The use of ammonium nitrate as a partial substitute for sodium nitrate in nitroglycerin explosives led to the introduction of ammon dynamite and ammon gelignite, thus paving the way for a new generation of ammonium nitrate-based explosives.

manufacture of a range of chemicals, many of which were long overdue, and which were aimed at improving the general standard of life in South Africa. The range, which included aluminium sulphate, zinc chloride, zinc ammonium chloride, sodium thiosulphate, silver nitrate and special curing saltpetre, opened the portals of scientific progress and paved the way for an improved quality of life for all.

African Explosives and Industries Limited remained an innovative company and pioneered the introduction of pension schemes, sickness benefits, medical care, trade unions, collective bargaining and many other facets of modern labour practice.

1944 Name change to African Explosives & Chemical Industries - After World War II, research and development facilities were consolidated and expanded at Pinelands in Modderfontein, whilst international liaison with ICI Explosives Research and Development centres intensified.

In 1944, the company name was changed to African Explosives & Chemical Industries Limited to reflect the increasing importance of its chemical manufacturing activities.

South Africa went off the gold standard in 1932.

1933 Ammon gelignite takes off - Three thousand cases of ammon gelignite, the new ammonium nitrate explosive, were put to the test. Within five years, ammon gelignites would completely replace straight gelignites.

1939 - 1944 - The Second World War & Post War South Africa’s participation in World War II led to diversification into the

AEL in the 1950s Health committee- Unlike a conventional town with a municipality, Modderfontein consisted of a factory surrounded by houses. As a result a steering committee was established to oversee infrastructure, health, development and maintenance of the area and Modderfontein was proclaimed a “Health Committee”.

11

AEL HISTORY

AEL HISTORY

Management had decided to use crude oil in the production process which led to closure of the factory in the 1980s.

1954 No 2 Ammonia Plant - Against a background of burgeoning activity in mining and quarrying, African Explosives & Chemical Industries Limited solidified its reputation as a pioneer of explosives and explosives accessories.

The No 2 Ammonia Plant erected in 1954 heralded the production of methanol and formaldehyde.

1957 Igniter cord introduced - The company introduced the capability for sequential delay timing for capped fuse systems in narrow reef mines by introducing igniter cord, which went into production at Modderfontein in 1957 and replaced ‘chesa sticks’, which had been in use for lighting fuses for 70 years, but which limited the number of shots that could be fired.

Original factory manager’s residence

AEL in the 1970s Fuse heads manufactured Modderfontein started manufacturing fuse heads for electrical detonators to replace imported products, thus making South Africa completely independent of imported components for blasting accessories.

Harry Oppenheimer appointed chairman - Harry Oppenheimer succeeded his father as chairman.

1959 Freflo and Dynagel developed- The ever-increasing range of mining activities in South Africa facilitated some pioneering work on explosives and explosives accessories for the gold, diamond, platinum, iron ore, coal, copper, asbestos and quarrying industries.

In 1959, “Freflo”, a loose explosive for pouring into vertical drillholes, was developed. Dynagel®, a low nitroglycerin content, water-resistant explosive was also introduced. Both products attracted world attention and Dynagel® in particular was a great success with the mines.

AEL in the 1960s First urea plant- The first urea plant in Africa was opened at Modderfontein, to supply the agricultural industry.

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1968 Slurry explosives developed - The development of a range of slurry explosives and on-site mixing techniques ushered in a new era in explosives technology. These innovations would prove to be especially important to the open cast mining sector. At this time, slurried explosives were produced in pilot quantities mainly for research and development purposes.

Offloading Nitrate of Soda

1961 Black powder & BGP safety fuseThe production of black powder and BGP safety fuse commenced at Modderfontein. At its peak, the plant produced 300 million metres of safety fuse per year.

1963 First pentolite boosters- Somerset West factory produces the first pentolite boosters.

1964 Sales exceed R100 million- Annual group sales exceed R100 million.

1966 ANFO introduced - The 1960s saw the introduction of porous prill ammonium nitrate that facilitated the production of ammonium nitrate

fuel oil (ANFO), a new blasting agent.

In this year, AE&CI built a plant at Modderfontein to permit full scale production of ANFO. The branding of ANFO as Anfex®, an AE&CI Limited trademark, developed into a generic term for ANFO throughout the mining industry and is still today the most commonly used term for ANFO. AE&CI Limited lists on the JSE - AE&CI Limited listed on the Johannesburg Stock Exchange.

1967 No 3 Ammonia Plant commissioned A factory was built at Modderfontein for the production of PETN and detonating cord.

The No 3 Ammonia Plant was commissioned at Umbogintwini along with an ancillary urea plant.

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1972 AE&CI abbreviation - The company name was abbreviated to AE&CI Limited in order to facilitate financial investment from overseas.

1974 No 4 Ammonia Plant completed - In this year, a massive new nitrogen complex known as No 4 Ammonia Plant was built. It used coal as a feedstock and produced 1 000 tonnes of ammonia a day and included downstream plants for the conversion of ammonia to nitric acid, ammonium nitrate, urea, liquid carbon dioxide and methanol – all essential components in the manufacture of a vast range of products such as fertilisers, paints, plastics and obviously, explosives.

Far more than simply an explosives company, AE&CI Limited became a key chemicals supplier to South African industry and a powerful role-player in the everyday life of the

Blasting News I Fourth Quarter 2016

nation.

1976 Name change to AECI Limited - The company name was changed to AECI Limited, to follow modern trends.

1978 First emulsion patent - AECI Limited filed its first emulsion explosives patent.

AEL in the 1980s First shock tube system - An AECI scientist started with research and development into a narrow reef assembly (NRA) shock tube system that would give the ability to achieve discrete changes in rapid, precise, sequential firing of shock tube systems in narrow reef panels.

Wet spun safety fuse - Also at this time, AECI’s research into the development of wet spun safety fuse was extended to a pilot plant.

1982 Mankwe opens- The first new commercial explosives factory since 1908 was opened at Mankwe, near Rustenburg, with production of 100 million capped fuses per annum and a capacity of 80 000 tonnes of Anfex® per annum. The plant was hailed as a catalyst for new jobs and new opportunities in that district.

Powergel introduced- Powergel® bulk emulsion explosives were introduced to the surface mining industry and field trials of cartridged Powergel® emulsion explosives began. Nonel® non-electrical initiating systems were introduced.

1983 Safety fuse produced at Mankwe - A new plant at Mankwe factory came on stream for the manufacture of safety fuse.

No 3 Ammonia Plant closes - No 3 Ammonia Plant in Umbogintwini which had been operational since

1967 and which used crude oil in the production process, was mothballed.

This was as a result of the OPEC oil crisis and ongoing problems in the Middle East which caused production costs to spiral out of control.

1985 Wet spun safety fuse innovation - Flowing from research that had commenced in 1980, AECI developed and in 1985 industrialised, a process for manufacturing safety fuse by a wet process.

AECI’s development of wet spun safety fuse was the most significant change in safety fuse in the 20th century. It was also the most significant breakthrough in safety fuse technology since Bickford’s original patent revolutionised blasting practice in 1841.

The safety, speed and efficiency of manufacturing operations was revolutionised as well as the quality and predictability of the world-leading fuse products that were the final outcome.

This technology is used to make millions of kilometres of Durafuse® and Stopefuse® annually, in South Africa.

New plants for Powergel & EnergexAt Modderfontein, a new plant to manufacture 700 000 cases of packaged Powergel® came online and Energex® watergel explosives were manufactured at a pilot plant.

Nitroglycerin phased out- The phasing out of nitroglycerin explosives manufacture at Somerset West factory commenced.

1986 Narrow reef assembly innovationAfter six years of research and development, AECI introduced a new invention - the narrow reef assembly (NRA) shock tube system that would give the ability to achieve discrete changes in rapid, precise, sequential firing of shock tube systems in narrow

13

AEL HISTORY

AEL HISTORY

Market in Africa opened up.

The Dynamite Company Museum

reef panels.

Bethal operations opened - The new R25 million explosives factory and distribution centre at Bethal came online with a production capacity of 600 000 cases of Energex® a year. It is also tasked with the distribution of explosives and accessories.

AEL in the 1990s Asset swap with ICI - Through an asset swap, ICI exchanged 25% of its share in AECI Limited for 51% of the newly-formed AECI Explosives Limited.

Nitroglycerin plant closes - AECI was in the process of phasing out nitroglycerin production as it was a very unstable substance and had caused a number of accidents worldwide, through the years. In September 1994, a fatal accident occurred at Modderfontein. After the accident, AECI immediately closed this nitroglycerin plant. Powergel emulsion, which was already being manufactured, replaced nitroglycerin.

Manufacturing centralised - A corporate decision had been taken to centralise the manufacturing hub once again and as a result Bethal, Zomerveld and Mankwe manufacturing plants were closed.

However, on occasion the Mankwe factory is still used to produce safety fuse and capped fuse.

1995 Closure of Somerset West explosives factory in line with the centralisation policy.

1996 Centenary celebration - 100 years of explosives manufacturing at Modderfontein.

The Dynamite Company Museum opens- The Dynamite Company Museum was officially opened by former AECI Chairman Harry Oppenheimer.

Through its shareholding in AECI Explosives Limited, ICI Explosives enhanced its position as the world’s largest explosives manufacturer.

Modern international benchmarks in manufacturing and technology were instilled in AECI Explosives Limited and its position as a world class supplier was boosted by the shared technology and processes brought in

by ICI Explosives.

1989 Emulsion chemical gassing sensitisation innovation - AECI introduced emulsion chemical gassing sensitisation technology to the South African explosives industry.

This initiative led to enormous savings for the local mining industry by its inexpensive replacement of more costly mechanical sensitising agents and is still used for sensitising all bulk explosives today.

Subsequent bids for the business were made by Orica (created from the divestment of ICI Explosives’ interests world-wide and Australian chemical interests) and Dyno Nobel of Norway.

However, these bids were not seen to meet shareholder expectations of AECI Explosives Limited’s value and were rejected by AECI’s shareholders.

This allowed AECI Explosives Limited to be an independent, Africa-based explosives manufacturer.

The company celebrated achieving 10 million reportable accident-free hours.

Production of nitroglycerin explosives ceased at Somerset West factory in the same year.

1994 End of apartheid and first democratic elections in South Africa - First democratic elections in South Africa.

1987 Klerksdorp operations opens - The Klerksdorp factory and distribution centre began operations.

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1998 AECI total ownership - In January 1998, AECI exercised its pre-emptive option to repurchase ICI’s 51% share in AECI Explosives Limited thereby regaining 100% ownership.

ammonia on world markets, high maintenance costs due to the age of the plant and the fact that the technology employed was now outdated.

Sasol agreement- AEL signed an ammonia supply agreement with Sasol which is still in place today.

2001 Electronic detonators- AEL achieved the first 1 500 electronic detonator single blast (at Damang Gold Mine in Ghana) using the AEL-developed programmable Smartdet® system.

AEL has since become the world’s leading distributor of precision timing programmable electronic detonators.

2003 DetNet joint venture- AECI and Dyno Nobel (Norway) entered into a joint venture with DetNet – ‘Changing the Way the World Mines’ with electronic detonators.

2004 AEL’s head office at The Platform - AEL head office moved to The Platform in Longmeadow Business Estate, a new head office building adjacent to Modderfontein.

The move symbolised a culture shift to our new business platform – a centre of connection and place of pride where AEL staff from anywhere in the world can be energised. It also symbolised relentless focus on action, innovation and the breeding ground of an energetic, efficient and vibrant

AEL’s head office - The Platform

workforce, totally dedicated to its customers.

AEL celebrates our dedication to both the people and the country by officially becoming Proudly South African™.

BEE company with Tiso Group - In July AEL became a BEE company - embracing diversity in the true spirit of democracy, AEL, through the AECI Group, became the first black economically empowered supplier of explosives, initiating systems, blasting services and solutions in South Africa.

The empowerment transaction involved the acquisition of a 25.1% interest in AEL by the Tiso Group. The Tiso Group is a majority black-owned and managed natural resources, financial services and industrial services organisation.

AEL remains Africa’s largest manufacturer of explosives and initiating systems and is focussed on maintaining its African market whilst pursuing new opportunities in developing countries beyond Africa.

Highest mine in Africa - The first trial blast at Letseng Diamond Mine, the highest mine in Africa with the coldest period where temperatures drop as low as -27 °C was done in March 2005.

2006 ISAP commences- AEL embarked on the Initiating Systems Automation Project (ISAP) in 2006 and has designed, built and commissioned a high speed automated assembly line to deliver high volumes of shock tube product within a significantly reduced cycle time relative to existing manual processes.

1999 The company name changed from AECI Explosives Limited to African Explosives Limited (AEL).

AEL in the 2000s No 4 Ammonia Plant closes - A combination of factors led to the closure of No 4 Ammonia Plant (operational since 1974). These included the fall in the price of Blasting News I Fourth Quarter 2016

2005 Reducing its footprint - One of our greatest challenges will be the problem posed by operating a huge industrial complex surrounded by densely populated residential areas - a far cry from the factory’s establishment 20 kilometres from the fledgling city of Johannesburg.

A key focus for the future is the reduction of our footprint and the automation of production processes.

Electronic Detonators Blasting News I Fourth Quarter 2016

2007 AEL invests in Indonesia - 2007 saw AEL’s first international product assembly initiative and 15

AEL HISTORY

AEL HISTORY

solved and the cost saving of having to buy virgin oil for the explosive process was passed onto customers. AEL’s R&D team received recognition for the special contribution to innovation and research and technology.

Initiating Systems Automation Project

first capital investment outside Africa in Indonesia. AEL reached an agreement with an Indonesian explosives company, PT Dahana to set up an operation to assemble shock tube. Indonesia has an approximate market demand of 10 million shock tube units per year and growing demand from surrounding countries such as Vietnam, Laos, Cambodia the Philippines and Thailand. The feasibility study, the plant design and contractual documents were signed and finalised in 2007. AEL took this phenomenal first step in its three year international growth initiative to increase its business exponentially in a brave, new frontier.

new era of mining is as smooth and as painless as possible for customers.

Waste Oil Innovation in Emulsion Range - 2007 phased in a new range of bulk emulsion products for surface application. The first emulsion in the new range called Synergy was introduced in April. The new product range was more energetic, effective and efficient in breaking rock. One of the products of note was the Synergy 400 which innovatively used waste oil acting as the fuel in the explosive process instead of virgin oil. The environmental problem of mine’s disposing of the huge amounts of used oil from their mine vehicles was

2008 World first with spray drying innovation - In February 2008 AEL’s R&D team pioneered and patented the world’s first commercial pyrotechnic spray drying plant, which will eventually provide all the delay powders that the company needs for its new automated assembly plant.

The spray drying process produces a uniform delay powder with enhanced flow properties from safe water based slurry feedstock. The unique innovation has been used in the market with extremely good results.

The total number of detonators using the spray drying method is 6.18 million, with a failure rate of less than one in a million. The first plant arrived from Denmark late 2007 with the first product being produced in February 2008.

AEL Zambia makes history - AEL Zambia signed the biggest explosives supply contract in more than a 100 year history of the company.

The contract was for the supply of explosives to the Lumwana copper mine to produce and deliver the required quantities of bulk emulsion, a record breaking deal worth US$280

Official launch of AEL Mobile Training Unit - AEL launched its mobile training unit at Modderfontein as part of the solution to quality training in the application of shock tube products and commitment to ensuring a smooth transition for customers from old to new technology. A first of its kind in the world, the centre trains supervisory and senior mine personnel in a simulated environment while underground conversions take place and no disruption to normal mining activities. A marked achievement for AEL ensuring the

KPC plant in Indonesia

million over a period of ten years.

2009 AEL establishes presence in North Africa - AEL successfully established a presence in North Africa and installed its emulsion plant at Sukari Gold Project in Egypt and commenced blasting operations at the mine.

First Automated Shock Tube Blast - In June 2009, AEL delivered its first fully automated shock tube blast at Anglo Platinum’s Brakspruit Mine in the North West province in South Africa, followed by successful field trials of 150 000 units.

AEL reduces ammonium emissions - AEL commissioned its modified Ammonium Nitrate Solution (ANS) plant to reduce ammonium emissions from 100 tons per month to 10 kilograms per year, benefitting the environment and residents from surrounding communities in Modderfontein, South Africa.

New plant at Gold Fields, Ghana African Explosives (Ghana) Limited (AEGL) commissioned its new bulk emulsion plant at Gold Fields’ Tarkwa operation in Ghana, following the renewal of the explosives supply agreement between the two companies for a further period of 5 years.

Major contracts in Indonesia - PT

AEL Indonesia was awarded its first two major contracts in this region for the supply of explosives and services by two of the leading coal mining contractors, PT Bukit Makmur (BUMA) at Gunungbayan Coal Mine and PT Thiess Contractors Indonesia (TCI) at Melak Coal Mine.

Early warning hot hole device - AEL developed and launched an early warning device which will assist in detecting and reducing the safety risks posed by hot holes in coal surface mining.

AEL awarded KPC Contract - In October, AEL Indonesia was awarded 50% of the contract from PT Kaltim Prima Coal (KPC), one of the world’s largest coal mines for the supply of explosives and services to PAMA & Thiess operation at Sangatta and Dama Henwa operation at Bengalon.

New E-20T MMU launched - In October, AEL unveiled its largest ever, new generation E-20T Mobile Manufacturing Units (MMU) to customers and media at an event at the group’s head office in Modderfontein, Johannesburg, South Africa.

Gautrain project completed - In November, AEL completed the blasting for the Gautrain project, which involved 15.8km underground

tunnelling under the city of Johannesburg.

2010 New brand strategy and corporate identity- AEL launches its new logo, brand strategy and corporate identity at Indaba in February. At the same time, AEL launches its new global website.

AEL Opens Offices in Chile - AEL opens its first South American operation and establishes offices in Santiago, Chile.

2011/2012 Ground-breaking innovations: PCU 010 pump, Shock Tube Uni-Delay LP Vivid, Rhino Shock Tube Connector and Powercord 8 Premium.

2013/ 2014 More trail-blazing innovations: Blast Initiation Timer (BIT), GeoShotTM (Electronic Delay Detonator), CE4 Tagger and Hot Hole Monitor, Vertical Drop System.

2015 Latest innovations: InstaStem- nondetonating rock-breaking cartridge.

2016 Latest innovations: IntellishotTM, PCU 011 pump, IntelliBlastTM (AEL’s Value Proposition)

The world’s first commercial pyrotechnic spray drying plant 16

Blasting News I Fourth Quarter 2016

Blasting News I Fourth Quarter 2016

17

AEL INNOVATION

AEL INNOVATION

Vertical Drop Launch at Unki Mine Zimbabwe AEL Mining Services launched the installation of the Vertical Drop System (VDS) at Anglo Platinum’s Unki Mine, Zimbabwe on the 11 November 2016.

The VDS is the first of its kind in Zimbabwe and was commissioned in June 2016.

The VDS is recognised globally as an innovative system which has potential to save up to 13% on fuel and running costs of charging equipment by making

From left AEL Zim Trevor Lilford shares a lighter moment with Unki Mine GM Walter Nemasasi and Chief Government Mining Engineer Noel Paskwavaviri

use of a vertical drop emulsion delivery system.

Some of the delegates underground at the Unki Mine Vertical drop station

“The system provides significant safety enhancements as it reduces the interface time with explosives which are manufactured at working faces during charging and also improves security through streamlined delivery channels,” said AEL Zimbabwe MD

AEL Zim MD Trevor Lilford, handing over the Vertical Drop Facility to Unki Mine General Manager, Walter Nemasasi

Trevor Lilford.

The VDS launch began with underground and surface tours followed by presentations and was attended by AEL senior management and customers, Unki mine management, as well as officials from the Zimbabwe Chamber of Mines and Ministry of Mines.

Unki Mine GM, Walter Nemasasi addressing attendees during the Vertical Drop System Launch at Unki Mine 18

Blasting News I Fourth Quarter 2016

The new emulsion storage silos (underground)

Blasting News I Fourth Quarter 2016

Loading emulsion into an Underground Charging UV

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