Category: Legacy

THE NSW Government is set to cancel lucrative exploration licences in the Hunter Valley and refuse compensation to owners NuCoal Resources and Cascade Coal, following corruption findings by the Independent Commission Against Corruption (ICAC). Late in 2013, the ICAC found former Primary Industries and Mineral Resources minister Ian Macdonald corrupt for granting a licence to Doyles Creek Mining, chaired by friend and former union boss John Maitland, for coal exploration in the Hunter Valley. Mr Macdonald was also found corrupt for creating a mining tenement at Mount Penny in the Bylong Valley on land owned by the family of former Labor minister Eddie Obeid. In its report released on December 18, the ICAC stated that the granting of the licences…

VICTORIAN gold miner Newcrest has announced the third round of job cuts since July at its Telfer gold mine in East Pilbara. Newcrest did not release formal figures for the redundancies, stating it would first inform affected employees, but referenced the ongoing depressed gold market, high Australian dollar and costly production as primary factors behind the decision. “ is a challenging environment for gold miners at the moment,” a Newcrest representative told The West Australian. “Obviously with the reduced level of mining, it means some workforce reduction.” Newcrest employed more than 1800 people at Telfer before the gold price’s midyear crash. The company’s current 1200-strong workforce, including both employees and contractors, was expected to take a significant hit in the…

WITH declining commodity prices and rising costs creating a challenging investment environment, the Bureau of Resources and Energy Economics (BREE) has predicted Australia is unlikely to see a repeat in the high levels of investment experienced in the last five years. Instead it suggested that production would boom, with investment likely to decline in the medium-term. Even accounting for the cyclical nature of commodity prices, BREE stated it was unlikely that prices would rebound to the very high levels experienced at the peak of the most recent mining boom. The Resources and Energy Major Projects report, a biannual snapshot of the stock of investment in Australia’s resources and energy sectors, provided a projection of the capital stock of expenditure over…

With ongoing concerns over the toxic effects of mercury, a global commitment consisting of some 139 territories and nations have dedicated themselves to making the UN’s Minamata Convention on Mercury an international law. According to a recent news report*, the treaty gives these governments 15 years to put a stop to mercury mining. It has been signed by 92 governments, and shows their intention to follow the treaty, adjusting national law if and where necessary. The document is unlikely to be ratified until 2016 at the earliest – 50 governments will need to signatories in order for the law to be passed – and will not affect mining engineering processes that use mercury in small-scale gold mining. Bloomberg news** reported…

CHINESE iron ore imports surged in September despite widespread predictions of weakening demand and a looming supply glut. Chinese customs data, released mid-October, revealed imports of 74.6 million tonnes were an all-time high, up 8 per cent on August figures and 15 per cent on the same period last year. The country continued to produce steel at record levels of about 2.14mt each day – almost as much as the rest of the world combined – which was a boon for the reinvigorated Australian iron ore sector. While the solid reports and record-breaking production volumes of iron ore heavyweights Rio Tinto, BHP Billiton and Fortescue Metals Group received much of the spotlight, Perth-based Mount Gibson Iron quietly reported one of…

SWIMMING against the current of Queensland’s weakened coal industry, BHP Billiton Mitsubishi Alliance (BMA) celebrated a significant success story when its $1.5 billion, 4.5 million tonne per annum Daunia mine was official opened in September. Daunia, 150km southwest of Mackay, was approved for development in 2011; it began operating in March 2013 and celebrated its official opening in September — ahead of schedule and $250 million under budget. Construction took about 4.3 million man hours and was achieved without any lost time injuries, according to BMA. Importantly, the open cut mine would be capital and cost efficient, with BMA planning to use existing rail and port infrastructure. A low stripping volume would also contribute to its cost competitiveness. BMA’s 5.5mtpa…

TECHNOLOGY has undergone exponential growth in the past decade; technology such as smart phones, iPods and LED televisions have integrated seamlessly into daily life, and with new developments continuing, this ingenuity shows no signs of slowing. At the core of many of these new technologies is a group of lesser known elements: millions of years old, the rare earth elements (REEs) are tiny, magnetised particles that provide the essential functional component of manyof today’s most revolutionary compact electronics and energy sources. Composed of 17 chemical elements — including 15 lanthanides elements, plus yttrium and scandium — most REEs were discovered in Scandinavia, and were often named in accordance with their place of discovery. Despite their ‘rare’ title, REEs are not…

THE vast African continent boasts resources of more than 60 metal and mineral products and about 30 per cent of the planet’s mineral reserves – including a wealth of gold, platinum group elements, diamond, uranium, manganese, chromium, nickel, bauxite and cobalt deposits – and has become an increasingly popular target for exploration and development by Australian mining companies. South Africa, Ghana, Zimbabwe, Tanzania, Zambia and the Democratic Republic of the Congo have typically dominated the industry, however Gabon, Namibia, Botswana, Angola and Sierra Leone have all entered the field, becoming increasingly reliant on mining as a major area of foreign currency income. Mozambique, Nigeria and Madagascar have also shown great potential for base metal and industrial mineral deposits, with the…

WHILE not immune to the fluctuations of the market, Sandfire Resources seems assured of a bright future due in large part to its high-grade, high-margin DeGrussa copper-gold-zinc project. The world-class DeGrussa project, in the northeast part of Sandfire’s Doolgunna project tenements and about 900km east of Perth, began production from both open pit and underground mining in February 2012, less than three years after its first exploration holes were drilled. The DeGrussa copper-gold resource was one of Australia’s most exciting recent greenfield discoveries: initial drilling returned some of the best intersections seen in the WA mining industry’s recent history, with the discovery hole DGDD-001 intersecting a total of 78.3m of high-grade copper-gold mineralisation including 53.2m at 17.3 per cent copper…

WATER scarcity affects more than one in six people around the world. According to the Australian Bureau of Statistics, the mining industry accounted for 4 per cent, or 489 gigalitres, of water consumption by industry in 2009; with metal ore mining the largest consumer at 298GL. The 2013 AusIMM Water in Mining Conference will address the management of this precious resource, during two days in Brisbane from 26 November. The conference will feature a three-day technical program, presenting more than 50 papers, as well as a trade exhibition, several workshops and multiple networking opportunities. Conference chair Professor Chris Moran said the event’s goal was to provide a platform for open and engaging discussion and collaboration between industry experts. “The idea…

EXPORTING the coal produced by six Bowen Basin mines, the Hay Point Coal Terminal (HPCT) handled 34,336,380t of coal during the 2013 financial year – significantly shy of its 44 million tonnes per annum nameplate capacity. However, with the highest throughput in the last three years achieved in June, at 4.1 million tonnes, the necessity of increasing the terminal’s capacity is evident. Owned by the BHP Billiton Mitsubishi Alliance (BMA) and operated by the North Queensland Bulk Ports Corporation (NQBPC), the Hay Point Coal Terminal – together with the DBCT Management-operated Dalrymple Bay Coal Terminal – is within the Port of Hay Point, one of the world’s largest coal export ports. “The majority of coal exported through the port is…