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NEWS
THE LATEST MINING AND SAFETY NEWS
AUSTRALIAN MINING PRESENTS THE LATEST NEWS FROM THE BOARDROOM TO THE MINE AND EVERYWHERE IN BETWEEN. VISIT WWW.AUSTRALIANMINING.COM.AU TO KEEP UP TO DATE WITH WHAT IS HAPPENING.
PEAK MINE LIFE EXTENDED TO 2035
Aurelia Metals has received regulatory approval to extend the life of its Peak gold and base metals operations up until 2035.
The New South Wales Government has issued development consent for the New Cobar Complex, a State Significant Development (SSD) that amalgamates the existing approved underground mining of the Chesney and Jubilee deposits, and development of new underground workings at the Great Cobar and Gladstone deposits.
The approval allows the establishment of a new underground mine at the Great Cobar copper–gold deposit, increasing the company’s exposure to a critical, future-facing commodity experiencing significant demand and record prices.
The Great Cobar Pre-Feasibility Study (PFS) released in January supported the development of a new satellite mine based on initial mining at Great Cobar with a maiden 840,000-tonne Ore Reserve to offset mining depletion at Peak.
The PFS also showed mining Great Cobar could deliver 2.3 million tonnes to the Peak mine’s process plant over a nominal five-year production period to produce highquality copper–gold concentrate and gold–silver doré.
The investment of $65 million in the underground mine delivers economic benefits to the Central West NSW region, including sustaining 400-plus jobs at the Peak operations and an additional 140 jobs during the construction phase.
Aurelia anticipates it will commence development of the Great Cobar exploration drive in mid-2022.
Aurelia chief executive officer and managing director Dan Clifford said the company had reached a critical milestone in its strategy to optimise its assets through extending mine lives, as well as positioning itself as “copper-ready” – a commodity that will be the foundation in a global shift towards a decarbonised society.
“Our team has done a great job in bringing the project online at a time where copper prices are collecting more than US$9000 per tonne,” Clifford said.
“We are also excited by the fact Aurelia is one of the only producers in the region to bring a new copper deposit into production in just two
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years’ time, a catalyst that will deliver significant value for our shareholders and stakeholders, in particular the communities where we operate.”
KGL CAPITAL RAISE BRINGS IN $23 MILLION
Australian copper explorer and developer KGL Resources has raised $23.04 million from its onefor-six non-renounceable entitlement offer of fully paid ordinary shares in the company.
KGL is focused on the delineation and development of the high-grade resource at the Jervois Copper Project in the Northern Territory and establishment of a world-class, lowcost copper mine.
KGL managing director Simon Finnis said the project feasibility study was on target for completion in mid-2022.
“The study was extended to allow for potential business-case advantages to be investigated and incorporated, including the benefits of the Glencore offtake agreement and the updated Jervois mineral resource,” he said.
The funds raised under the entitlement offer will allow the completion of the feasibility study and the continuation of the front end engineering design (FEED).
Based on the outcomes of the study, the funds will also go towards
KGL IS FOCUSED ON THE DELINEATION AND DEVELOPMENT OF THE RESOURCE AT THE JERVOIS COPPER PROJECT IN THE NT.
placing orders for long lead time items and commencement of early works.
KGL received valid applications under the offer for 62.27 million new shares, representing about 95.2 per cent of the new shares offered to shareholders. The applications included participation by KGL’s major shareholders, KMP Investments and Denis Wood (on behalf of his controlled entities).
CALL FOR MORE PROTECTION FOR COAL INDUSTRY
Adani Australia chief executive officer and country head Lucas Dow has called on all political parties to protect the nation’s prosperity by ensuring coal communities can access reasonably priced finance and insurance services.
In a presentation at the Sydney Mining Club, Dow recounted the testimonies to an Australian Parliamentary Inquiry by small and family-owned companies in central Queensland and the Hunter region where rising insurance and finance costs are threatening their livelihoods.
Other small north Queensland businesses testified to the Inquiry that they could not get cover at all because they did not meet insurers’ requirements that not more than 25 per cent of their business be in or supporting the coal industry.
“Coal is Australia’s second most valuable export after iron ore,” Dow said.
“Miners and the businesses that support them are proud they are helping our nation pay for things like the National Disability Insurance Scheme, schools, roads, and national security.
“Australia’s miners are proud that no other country does mining as well as we do.
“But while demand for Australian coal remains strong, the prosperity and sustainability of coal mining communities is being put at risk by the actions of banks and insurers.
“Banks and insurers denying service to businesses directly and indirectly involved in the coal and the gas sectors is an unacceptable risk to an industry that helps fund the way of life many of us take for granted.
“It’s time for our political leaders of all colours to step in and act where the market has failed.”
Dow said the answer was an unequivocal commitment from Australia’s political parties to support the introduction of a selfsustaining coal industry mutual insurance fund.
A mutual insurance fund was one of the key recommendations of the Australian Parliament’s Joint Standing Committee on Trade and Investment Growth’s Inquiry.
“The industry has done its homework and has developed a mutual insurance fund model that would be self-sustaining within five years,” Dow said.
“The challenge is getting the fund off the ground initially, and to do that we’d need the Government to provide an initial drawdown facility to ensure fund solvency in the early years of the fund.
“Importantly, this would not be a handout and would only take the form of a contingent liability in the event of potential extreme payout events. Should the drawdown facility need to be accessed, the government would be repaid at commercial rates.
“This goes beyond a lip service pledge of support for the 50,000 Australian voters and their families who directly work in the coal sector, it goes beyond energy security, it’s about backing Australians and Australian industry.
“This is real action that will secure jobs and billions of dollars in investment and taxes.
“Now is not the time for our political leaders to turn their backs on those whose hard work directly contributes to our national prosperity and way of life.”
COAL IS AUSTRALIA’S SECOND MOST VALUABLE EXPORT AFTER IRON ORE.
SEMINAR SERIES A HIGHLIGHT OF MINING AND ENGINEERING EVENT
The Queensland mining sector’s thought-leaders are gearing up to share their insights at the Queensland Mining and Engineering Exhibition (QME) from July 19–21, with the informative Seminar Series program.
The QME Seminar Series, sponsored by Komatsu, will feature panel sessions, keynotes and thought-provoking topics including innovation, industry outlook, exponential technology, workforce, sustainability and occupational health and safety. With thousands of attendees expected and more than 280 confirmed exhibitors, the Seminar Series promises to be another major drawcard in an action-packed week.
QME Seminar Series sponsor Komatsu’s regional manager mining Scott Harrington said it was important to hear from different voices in the sector, from sitebased executives right through to consultants and academics.
“The topics covered by the Seminar Series are topics that we’re passionate about in our business: how technology is changing the face of the work site, the future of automation and AI, the importance of diversity and opportunities for industry growth through collaboration,” he said.
“It’s the collective wisdom of the entire industry that will push us towards a sustainable future.”
One of the speakers headlining the first panel session on day one is Christine Gibbs Stewart, chief executive officer of national METS industry association Austmine. Gibbs Stewart is keen to discuss the possibilities surrounding the electrification of mining equipment.
“Electrification of the mining industry is seen as a key strategy in the reduction of our carbon footprint” she said. “Our members are leading the way in this by creating and implementing technology that is good for both industry and the environment.
“There are many initiatives to advance electrification and it is one area where the industry has come together to collaborate. Initiatives like the Charge On Innovation Challenge, looking at the electrification of large haul trucks will no doubt accelerate technology adoption in this area and be significant in reducing our environmental impact.”
Day 3 of the Seminar Series will see Professor Neville Plint from the University of Queensland’s Sustainable Minerals Institute outline and address complex problems the industry needs to solve on the path to sustainability.
“As society develops, metals and minerals play an important part in building cities, feeding a growing population and keeping us connected,” he said. “But there are challenges along the way that don’t have easy answers – challenges in sustainably accessing, processing and exporting those necessary minerals and metals.
“The Sustainable Minerals Institute involves some of Australia’s leading experts in research to seek out answers to those challenges, and we think it’s important to collaborate and partner with industry as we do so.
“QME is a great opportunity to further that collaboration.”
STUDENTS CRACK THE MINING CODE
Year 7 students from Clermont State High School cracked the code to a magnitude of exciting career opportunities at the Queensland Minerals and Energy Academy’s (QMEA) recent Mining for Code workshop.
QMEA director of skills, education and diversity Katrina-Lee Jones said choosing a professional or trade pathway after school might be a daunting concept, but if the next generation was looking to work with innovative technologies in a sector with sustainability at the forefront, they need to look no further than resources.
Thanks to the support of Glencore Coal, around 40 students from Clermont State High School worked alongside industry professionals to test their science, technology, engineering, and maths (STEM) skills as they completed activities in programming, automation, and route optimisation.
Students programmed a “mining truck” (EV3 Robot) to travel autonomously from a designated “mine site” to another area simulating a “processing plant”, where it was then unloaded before travelling back to the “mine site”.
Glencore Coal human resources manager Anthony Exelby said the diversified global mining company, and the resources sector in general, had myriad professional and trade roles that students could pursue through STEM or vocational pathways after school.
“The subjects that students choose in their senior high school years heavily influence the study and training-based options available to them upon graduation,” he said.
“By engaging with students in the early stages of the senior school journey, we aim to not only show them the various exciting career opportunities on offer in the resources industry, but also encourage them to continue excelling in STEM subjects.”
Jones said professionals with strong STEM backgrounds were highly sought after in the resources sector.
“Students are often pleasantly surprised to learn about the hightech and rapidly evolving careers in the mining industry, and QMEA workshops are all about demonstrating how STEM subjects can play an integral role in shaping a student’s education pathway after school,” she said.
As Australia’s largest and most successful industry-led education and schools training initiative, the QMEA seeks to broaden student and teacher knowledge of career opportunities in resources.
The academy encourages a talent pipeline into vocational and professional careers, with a focus on female and Indigenous participation. The QMEA engages with over 90 schools and is a partnership between industry and the State Government under its Gateway to Industry Schools program.
AROUND 40 STUDENTS WORKED WITH RESOURCES PROFESSIONALS AS THEY COMPLETED ACTIVITIES IN PROGRAMMING, AUTOMATION AND ROUTE OPTIMISATION.
LATROBE VALLEY MINES SET FOR REHABILITATION
The Victorian Government plans to improve the management of coal mine land in the Latrobe Valley once production has ceased.
State Resources Minister Jaala Pulford announced enhanced provisions will be applied to Victoria’s declared mines, making rehabilitation a priority.
The provisions will allow for better preparations for land rehabilitation with future generations in mind as Victoria transitions away from coal-fired energy.
Under state legislation, mine rehabilitation and post-closure arrangements are operator-led and funded; these new provisions will strengthen the requirements for operators to deliver on their obligations.
The State Government will amend Victoria’s Mineral Resources (Sustainable Development) Act 1990 to ensure rehabilitation liabilities of declared mines remain the responsibility of the mining industry, in line with similar provisions passed by the Federal Government for decommissioning offshore infrastructure.
A trailing liability regime will also allow the state’s mining monitors to issue remedial directions to former title holders for any required future works.
As with the federal scheme, the intent is for this legislation to be backdated to the day of announcement.
A consultation paper on the provisions will be available later this year, allowing the community, mining industry, relevant agencies and other interested parties to have their say.
The Government will also shortly release its Draft Declared Mine Regulations for public comment. They aim to set clear standards for the rehabilitation plans being developed for the Latrobe Valley’s three coal mines and ensure mine operators know their responsibilities.
Rehabilitation bonds for the state’s declared mines will also be reassessed later this year in line with the recommendations of the Hazelwood Mine Fire Inquiry.
“Provisions need to be in place for the long term when it comes to the management of the land where large-scale mining has taken place,” Pulford said.
“This will provide Victoria with the contemporary tools required to ensure rehabilitation remains the responsibility of the coal mine operators.”
MENTAL HEALTH AT THE MINES UNDER MICROSCOPE
NEW RESEARCH WILL GATHER DATA ON SEXUAL HARASSMENT AND ASSAULT, HARASSMENT, MENTAL HEALTH, DRUG AND ALCOHOL USE AND SAFETY ISSUES IN MINING.
The Western Australian Government has appointed the Centre for Transformative Work Design, part of the Future of Work Institute at Curtin University, to undertake a four-year research project to gather and evaluate data on sexual assault, harassment, mental health, drug and alcohol use, and emerging mine safety issues.
The landmark study forms part of the WA Government’s Mental Awareness, Respect and Safety (MARS) program, which was launched in December 2021 to address health and safety in the state’s mining industry.
The preliminary findings, expected to be completed by September this year, will be used to further develop mental health and workplace culture initiatives and improve safety outcomes for mine staff.
A panel consisting of staff from the Department of Mines, Industry Regulation and Safety, the Mental Health Commission and the Department of Communities reviewed the submissions received as part of the tender process.
The Centre for Transformative Work Design focuses on researching and understanding work design to encourage wellbeing and greater productivity.
WA Mines and Petroleum Minister Bill Johnston said the Government would continue to work with industry and the community across all sectors to eliminate all forms of harassment, bullying and discrimination in the workplace.
“Workers and their families are the backbone of WA’s mining sector and we remain committed to ensuring they work in a safe environment,” he said.
“Important steps have already commenced to create safe, genderequitable and inclusive workplaces through the implementation of the Stronger Together: WA’s Plan for Gender Equality plan and the WA Sexual Violence Prevention and Response Strategy.
“Health and safety champions such as the Centre for Transformative Work Design will play an important role in shaping our future workforce.”
Another project will be an independent review of the Department of Mines, Industry Regulation and Safety’s (DMIRS) capability and enforcement model for incidents of sexual harassment and assault.
The MARS program will also provide ongoing support to DMIRS’ Mentally Healthy Workplaces Grant program and support women in the sector through future education and awareness campaigns.
DMIRS manages the MARS program in partnership with the Mental Health Commission, the Equal Opportunity Commission, the Department of Communities and the Women’s Interests Minister.
The Northern Territory Government has granted Environmental Approval for the Finniss Lithium Project BP33 mine, with Core Lithium to develop and operate an underground lithium mine on the Cox Peninsula, about 33km west of Berry Springs.
This approval follows the assessment of potentially significant environmental impacts by the Northern Territory Environment Protection Authority (NT EPA) in consultation with key government authorities.
The approved mine forms one part of the wider Finniss Lithium Project, which has been recognised by the Federal and NT governments as being significant to the economy and holds major project status.
The mine has a capital investment value of $33.79 million and will create about 60 jobs during construction, and 120 to 150 jobs during operations.
Global demand for lithium is expected to increase significantly over the next two years, driven by its use in rechargeable batteries, electronic devices, and storage of renewable wind and solar energy.
Territorians are invited to comment on development proposals requiring environmental impact assessment as a provision of the environmental regulatory regime. Comments can be made on open consultations via the NT EPA’s consultation hub.
NT Environment Minister Eva Lawler said the Government’s reformed environment protection legislation, which commenced in 2020, provided Territorians with an improved environmental regulatory regime.
“This environmental approval follows a thorough assessment of potentially significant environmental impacts by the NT EPA – it is the second to be granted under the EP Act, and the first for a mine,” she said.
“We will continue to work with Core Lithium on this project to ensure the best outcomes.”
The move comes in the wake of the execution of a crushing services contract with CSI Mining Services for the project.
Run-of-mine ore will be stockpiled prior to feeding into the CSI crusher circuit, and the crushed ore will then be stockpiled before being processed by the dense media separation plant to make spodumene concentrate for export.
The crusher civil works are nearing completion with CSI expected to start mobilising to the project during June.
PACIFIC BAUXITE BOUNCES BACK ON BOURSE
PACIFIC BAUXITE HAS EMERGED FROM ITS RECAPITALISATION PROCESS IN A STRONG POSITION.
Western Australia-based Pacific Bauxite is back on the bourse, following a successful recapitalisation process which raised equity capital of $4.5 million via the issue of 22.5 million new shares.
With a strong, well-capitalised balance sheet that is free of all debt and creditor claims and a cash balance of more than $4 million, the company says it is wellpositioned to kick off its planned exploration programs on its current projects.
Non-executive chair Peter Lewis said Pacific Bauxite had emerged from the recapitalisation process in a significantly stronger position after two years of planning and hard work.
“We are now well-funded to complete our planned exploration activities,” he said.
“We have a fantastic set of assets which have the potential to deliver significant value to shareholders.”
The company is dedicated to pursuing early-stage exploration opportunities that are strategically aligned and have the potential to deliver value and growth for shareholders.
With a strong focus on green metals, Pacific Bauxite aims to advance its highly prospective land holdings in an emerging premier nickel and platinum group elements (PGE) jurisdictions, with the focus initially on exploration activities at its recently acquired PGE Projects (Sylvania, Challa, Bulga, Boodanoo and Melbourne) located in the Eastern Goldfields and Pilbara regions of Western Australia.
The company will also look to progress its Darling Range PGE Project exploration licence application to grant to enable ground exploration activities.
ANGEL NICKEL PROJECT TAKES FLIGHT
Emerging Australian company Nickel Mines has received a licence to begin commercial sales from its 80 per cent-owned Angel Nickel Project (ANI) to Indonesia.
The Izin Usaha Industri (‘IUI’ or ‘Industrial Business Licence’) was issued to the project’s Indonesian operating entity, PT Angel Nickel Industry, and first sales from ANI will occur later this month.
Nickel Mines aims to be a globally significant, low-cost producer of nickel pig iron (NPI), a key ingredient in the production of stainless steel.
The company currently also holds 80 per cent economic interests in the Hengjaya Nickel and Ranger Nickel projects, both of which operate two-line rotary kiln electric furnace (RKEF) plants producing NPI within the Morowali Industrial Park in central Sulawesi, Indonesia. It owns a similar economic interest in the Hengjaya Mineralindo nickel mine, a large-tonnage, high-grade saprolite deposit in the region.
In 2021, the Angel Nickel project was acquired, comprising four RKEF lines and a 380MW power plant, currently being constructed at the Indonesia Weda Bay Industrial Park.
As at the end of April, ANI had produced 2975 tonnes of nickel metal (in NPI), with three of the four lines having entered commissioning.
All producing lines are continuing to ramp up production levels in line with expectations, with all output to date having been stockpiled awaiting the receipt of the IUI licence.
The project’s fourth line is scheduled to commence commissioning by mid-May.
Nickel Mines’ managing director Justin Werner said the company had been stockpiling NPI since late January, and the recording of the first sales from ANI would mark another important milestone for the project.
“Importantly, the project will begin to make a significant contribution to the company’s financial performance in the current quarter,” he said.
BRAND NEW BRAND FOR EMPLOYER GROUP
After 104 years in operation, the national employer association for Australia’s resources and energy industry has a new brand.
The Australian Mines and Metals Association is now the Australian Resources and Energy Employer Association (AREEA).
AREEA chief executive Steve Knott said the association’s members, board and staff were excited for a new brand that reflected the full breadth of the group’s membership network.
“Everyone involved in our national network recognises and is proud of our 104-year-long heritage as the AMMA,” he said.
“However, today AREEA’s membership is much more diverse than when we were founded way back in 1918. Our modern membership network spans every sub-sector of the resources and energy industry, including mining, oil and gas, exploration, construction, blasting, maritime, smelting and refining, transport, facilities management, and even renewables.
“AREEA’s membership base is the most diverse and nationally representative across the Australian resources and energy industry.
“Given many have become accustomed to referring to us as the
THE NEW BRANDING BETTER REFLECTS THE DIVERSITY OF THE AREEA’S MEMBERSHIP.
‘Australian resources and energy group’, our new AREEA brand also reflects how most of the market has understood us in recent years.”
With the re-brand, AREEA has launched a new website, that features a member portal with resources, templates, tools and other information exclusive to members.
With the new brand and website, AREEA still offers and delivers the same exceptional services and representation that its members have relied upon for more than a century: • Expert support and advice across all areas of workplace and employee relations
CALIDUS JOINS RANKS OF GOLD PRODUCERS
• Influence and advocacy at all levels of government on critical policy matters • Leading initiatives across people and culture, mental health and wellbeing and diversity, equity and inclusion • News, information, events, awards and much more
Calidus Resources has poured the first gold at its Warrawoona project in the Pilbara region of Western Australia.The Warrawoona Gold Project is one of the highest margin and significant undeveloped gold projects in Australia.
At the start of April, the company told investors production would follow two weeks after the start of milling, with the first bar scheduled before the end of May.
Calidus managing director Dave Reeves said pouring first gold on time and budget was the culmination of an incredible effort by all employees and contractors involved at Warrawoona.
“With production underway and revenue being generated, we have begun to lay the foundations for ongoing growth,” he said.
The project has entered the ramp-up phase, with the elution circuit currently commissioning. The company said this paved the way for the first bar sourced from the leach circuit to be poured mid-May.
“Cashflow from Warrawoona will provide opportunities to increase production via the development of our Blue Spec deposit and help fund our highly promising gold and lithium exploration,” he said.
A positive feasibility study completed in September 2020 outlined a high-margin gold operation with average production of 90,000 ounces per annum at $1290 ounces AISC, over an initial eightyear mine life via a two million tonnes per annum conventional CIL processing circuit with single stage crush and SAG mill.
FUNDING TO EMPOWER ABORIGINAL OPPORTUNITIES
The WA Government has committed $14.6 million to ensure developments in the state’s resources industry to deliver improved outcomes for Aboriginal people.
The Department of Mines, Industry Regulation and Safety will establish an Aboriginal Empowerment Unit to develop and implement its Aboriginal Empowerment Initiative (AEI) program.
The program will ensure mining and resources projects and policies are developed in a culturally respectful way, and improve Aboriginal people’s access to information on activity on their lands.
The program will also create new Aboriginal liaison officer roles to meet with Traditional Owners to share information and promote best practice engagement between industry and Aboriginal people.
The AEI aims to promote and help maintain strong relationships and partnerships between Aboriginal and Torres Strait Islander peoples, the broader community and the State Government to create and expand economic opportunities in the resources industry.
Part of the funding will be used to create up to 29 jobs at the unit from 2022–23 to 2025–26.
WA Mines and Petroleum Minister Bill Johnston said it was important the state’s mining and petroleum activities also deliver improved outcomes for Aboriginal and Torres Strait Islander peoples.
“While there has been much progress, there is still more work that needs to be done to strengthen the capacity of their involvement in resources development,” he said.
“This includes being part of the decision-making on future economic development opportunities for Aboriginal and Torres Strait Islander people and their communities.”
