14 minute read
Menar develops East Manganese
MENAR DIVERSIFIES
Develops East Manganese
By Nelendhre Moodley
As part of its diversification strategy from coal, mining investment company Menar is at an advanced stage of developing a test case through its East Manganese operation in the Northern Cape.
The Hotazel operation is on course to produce first ore by the end of August 2021, ramping up to nameplate capacity of 30 000 tonnes a month of ore by September.
SA Mining recently caught up with chief operating o icer of the East Manganese project, Kobus Rothmann, to chat about the project development and its environmental management strategy.
According to Rothmann, Menar is carrying out concurrent rehabilitation of mining areas as it progresses the project.
“To date, the Menar Mining Services workshop has been completed, as well as the ablution facilities, the run-of-mine pad, the processing plant and the pollution control dam, ramps and mine roads. The onsite laboratory is in the final stages of construction,” he says.
Given that the East Manganese mine is situated in a water-scarce area, the water is being sourced from the Sedibeng pipeline. Strict compliance with environmentally sound water-use methods will be considered part of the project’s success.
“The mine’s dry crushing and screening plant is being commissioned, which will improve the mine’s water-use e iciency. East Manganese uses a closed water reticulation system, which ensures that no contaminated water is released from the site,” Rothmann says.
“The water is channelled and collected in pollution control dams. This water is in turn used for dust suppression within the mine’s boundary and in the processing plant. The project is committed to adhering to all environmental regulations.”
Rothmann says potable water is used only for consumption by the mine’s employees.
Although the miner has considered the use of solar energy to power the mine’s infrastructure, such as weighbridge and o ice operations, the idea was considered not viable due to the limited life of the mine’s three years.
“We would have liked to use solar, but unfortunately it would not have been economically e icient because of the short lifespan of the mine,” says Rothmann.
Thus all electricity needs are met through generators.
East Manganese is contributing to the economic development of the small mining town, as it will create between 70 and 80 direct new jobs at peak production. Over 60 people, mainly from the local areas, are already employed.
“If we multiply this figure by 10 (which is the average number of people who are dependent on a single salary earner in South Africa), then in essence 700 to 800 people will directly benefit from this project. The mine currently has 80 employees, mainly recruited from local communities,” Rothmann says.
“In addition, indirect economic benefits of the operation, even though not quantifiable, will also be far-reaching. We have since inception provided opportunities to local companies with abilities to deliver cost-e ectively. We are engaging with local stakeholders, including the local municipality, to finalise and execute our Social and Labour Plan as required by legislation.” ■
+700
Number of people benefiting from East Manganese mine
MENAR GROWTH STRATEGY
■ Aside from its commodity diversification strategy, which includes entry into anthracite, manganese, nickel-cobalt and gold,
Menar is seeking geographical expansion into Turkey and the
Kyrgyz Republic. ■ The company’s growth strategy is underpinned by acquisitions and greenfield project developments.
NAVIGATING THE COVID-19 PANDEMIC
AT IVANHOE MINES’ PLATREEF OPERATION
By Jasmine Abrahams: group manager, sustainability – Ivanhoe Mines
Last year (2020) was a year that rocked the globe and brought industries, economies and entire nations to their knees. Some organisations and industries, however, managed to remain resilient by relying on their agile riskmanagement approach and the adoption of technology as key drivers for their survival. The world was forced to adapt to rapidly changing circumstances such as nationwide lockdowns, social distancing and remote working. But despite the continued spread of the COVID-19 pandemic around the world, wave a er wave, which created an unprecedented series of impacts on everyone’s work and personal lives, we recognised that operational continuity is and remained critical for jobs, the communities around our Platreef operation and the local economy. The nature of our mine development project is such that certain work cannot be done remotely, so our focus has been on reducing the risk of COVID-19 spreading to our project. Ivanhoe therefore took swi and precise steps to both reduce the risk of the virus spreading and to ensure that we have the financial strength and resilience to weather the pandemic crisis in order to protect the continuity of our business. And we couldn’t do this without our people. Despite the strain, grief and challenges presented during 2020, our teams rallied together, providing their unwavering commitment and support.
They enabled Ivanhoe not only to navigate the unprecedented impacts of COVID-19 on our operations and daily engagements, but also to foster innovative partnerships and solutions to some of our problems which will have lasting, positive e ects for our operations and host communities.
THE VALIANT EFFORTS OF OUR TASK TEAM
In an e ort to remain as agile and resilient as possible, Ivanhoe adopted a COVID-19 response plan early. This commenced with the appointment of a team with overall responsibility for COVID-19 response e orts.
Following the guidelines outlined by the World Health Organization, and supported by drawing on the experience of its Chinabased partners CITIC Metal and Zijin Mining, Ivanhoe established a task team from senior management with overall responsibility for COVID-19 response planning well before the situation was declared a pandemic.
The team swi ly implemented key procedures across the business to ensure minimal disruption to operations and focused particularly on the health and safety of all of our employees and contractors, as well as our host communities.
Ivanhoe took various measures to ensure business continuity, such as identifying several cost-reduction initiatives to generate cash savings and conducting a continual review of purchase orders and our supply chain to minimise disruption to the project.
Ivanhoe’s “ proactive steps ensured minimal disruptions and mining development was on track. “ – Abrahams
This task team, led by Dr Nicolette du Plessis, a specialist in paediatric infectious diseases and a professor at the University of Pretoria in South Africa, comprised company representatives with expertise in health and safety, operations, law, human resources, and communication, as well as specialist doctors, paramedics, nurses and outside counsel from world-leading epidemiologists.
POLICY ADVOCACY
Ivanhoe also made strides in policy creation, awareness and capacity building for the sake of its people and the security of operational continuity. With agility and supportive risk guidance, the company put in place COVID-19 policies, mandatory codes of practice, standard operating procedures, transport and quarantine/isolation initiatives, training programmes and employee-centric emergency response procedures.
BUILDING A VACCI-NATION
As part of our COVID-19 response plan, the company also implemented a number of health readiness measures to continue improving our health and hygiene protocols and emergency response capabilities, support the most vulnerable people in our society, and provide critical health, safety and other supplies where the need was greatest.
Through these proactive steps, we have ensured minimal disruptions to our activities and kept our mining development on track.
Coordinated treatment e orts in the early stages of the pandemic further saw the company working closely with our host governments, who acted swi ly and decisively in legislating measures to curb the
spread of the disease.
And the journey in our fight against COVID-19 continues. On 26 and 27 July, Ivanhoe partnered with a reputable non-governmental organisation, Ndlovu Lab Services, to vaccinate the Platreef operation’s employees. Over the course of these two days, 293 employees received vaccinations, expressing excitement and gratitude for the notion of better health and a sense of moving forward.
The second phase of the vaccination programme is set to commence in early September 2021, and will include second rounds of vaccinations as well as first rounds for those who missed the initial opportunity. The health and safety of our people remain paramount and we believe that through proactively working together in the spirit of cooperation, we will overcome one of the greatest challenges faced in our lifetime. We commend our teams’ e orts undertaken to date.
As we progress through the development stage of our Platreef project, and from the “new normal” to the postCOVID-19 ways of life, we believe that we are strongly positioned at the forefront of developmental opportunity – for our existing stakeholders and future generations.
Becoming an “impact organisation” is crucial to secure the full benefits of longterm success and we acknowledge that industry and business, as key role players in society, must take the lead in responding to the global challenges and national development agendas.
This means that now, having faced the biggest challenges of our time in the COVID-19 pandemic, recovery is a top priority. Ivanhoe must and will heed the unique opportunity to reshape our economy and society to be more resilient, inclusive and collaborative, and to thrive sustainably. ■
Ivanhoe partnered with Ndlovu “ “ Lab Services to vaccinate 293 employees. – Abrahams
LEGISLATION
HEALTH, SAFETY AND ENVIRONMENT
By Nico Pienaar: director at Aspasa
How did it all start?
The first health, safety and environment legislation was developed in the United Kingdom (UK) in 1878. The rules targeted safety in the quarry sector and included the use of explosives, machinery and plant, duties of owners, first aid and ambulance services, among others. A Quarries Act came into force in 1894, providing the platform for early enforcement of legislation in Europe. The level of enforcement through the courts in the
UK seemed high but this was against the backdrop of 8 000 quarries, from which 1 150 quarrymen were killed and over 12 000 reports of serious injury made. Clearly this was a huge problem, and this spilt over into South Africa as our mining industry developed. As for environmental concerns, these seem to take a backseat when compared to health and safety issues. However the world is under increasing pressure from the depletion of resources.
The demand for non-renewable resources, such as minerals, results in the destruction of the environment. In the simplest terms – as human beings, we depend on the environment for our survival, and so it is important that we safeguard it. From an industry perspective, Aspasa supports increased accountability aimed at reducing environmental risk – otherwise known as Environmental Management
Systems (EMS). Aspasa has developed its own system based on the EMS with a focus on the smaller opencast mining sector called the About Face RSA Programme.
LEGISLATION GOVERNING HEALTH AND SAFETY IN MINING
There is a separate piece of legislation dealing with health and safety in mining, namely the Mine Health and Safety Act, 1996. Previously, mine health and safety was dealt within the same ambit as the relevant mining law, namely the Minerals Act, 50 of 1991, but it was removed and placed in a separate piece of legislation as the purpose of the two pieces of legislation is o en in conflict.
In unpacking legislation, there are many questions that arise, including: ■ Are there obligations imposed on owners,
employers, managers and employees regarding health and safety?
There are most certainly extensive obligations imposed on all players in relation to health and safety, including in relation to statutory appointments, liability, committees, inquest and inquiries. ■ What environmental authorisations
are required in order to conduct reconnaissance, exploration and mining operations?
Currently the holder of a prospecting right or mining right is required to have an approved environmental authorisation, prior to the conducting of the relevant activities. In addition, the right to use water is governed by the National Water Act, 1998. ■ What provisions need to be made for the
closure of mines?
The holder of a prospecting right or mining right must furnish (during all stages of the project) su icient pecuniary provision for rehabilitation which is reassessed on an annual basis. This is done in terms of a deposit with the Department of Mineral Resources and Energy (DMRE), a bank guarantee, or a trust. ■ What are the rights of the holder of a
mining right to conduct reconnaissance, exploration, or mining to use the surface of the land?
The rights to use the surface of the land to conduct reconnaissance, exploration, or mining in terms of the Mineral and Petroleum Resources Development Act (MPRDA) are extensive. The holder may: ■ Enter the land to which such right relates, bring his or her employees onto the land and any plant, machinery or equipment or build or construction or lay down any surface, underground or undersea infrastructure, which may be required for the purposes of exploration or mining. ■ Prospect or mine for his own account. ■ Remove and dispose of such mineral. ■ Use water in relation to prospecting or mining activities. ■ Carry out any other activity incidental to exploration or mining. ■ What obligation does the holder of a
reconnaissance right, exploration right or mining right have regarding the landowner or lawful occupier?
The holder of a reconnaissance right, exploration right or mining right has duties towards the landowner or lawful occupier in terms of consultation, and the holder of a prospecting right or mining right has to compensate the landowner for loss or damage su ered as a result of conducting of prospecting or mining activities.
It is not necessary for the holder of a prospecting right or mining right to purchase land or even enter into an agreement to use the land with the surface owner once the DMRE has awarded the mineral right.
Are there any special rules applicable to taxation of exploration and mining entities?
There are extensive special rules applicable to taxation of prospecting and mining companies including in relation to capital expenditure deductions. To qualify
– Pienaar
as a mining company, one has to hold a prospecting right or a mining right granted in terms of the MPRDA. ■ Are there royalties payable to the state
over and above any taxes?
Yes there are – in terms of the Mineral and Petroleum Resources Royalty Act, based on earnings before interest and tax formulation. ■ Are there any local provincial and
municipal laws that need to be taken into account by a mining company over and above national legislation?
All exploration and mining companies need to comply with local, provincial or municipal laws to the extent that they are not overridden by national legislation.
Thus for example there may well be zoning requirements imposed in terms of provincial ordinances or, for example, municipal by-laws regarding smoke emission, which need to be complied with by the holder of a prospecting right or mining right. ■ Are there any regional rules, protocols,
policies or laws relating to countries in the particular region that must be considered by an exploration or mining company?
There are rules relating to the Southern
LEGISLATION RELATING TO THE ENVIRONMENT
Legislation pertaining to the mining environment is inclusive of all mining operations – big and small – as well as proposed operations.
You are mining when you remove a mineral from its natural state in the earth. Once you have dug it out, or picked it up, you have mined it.
© ISTOCK – Sunshine Seeds
African Development Community (SADC) region that govern exemptions from import duties, custom restrictions, repatriation dividends and the like that may help companies operating in South Africa regarding activities conducted outside South Africa but in the SADC region. ■
