the mining advocate march 2014
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Supporting mining and industry in Queensland and the NTSupporting mining and industry in Queensland and the NT
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THIS EDITION
• A lightning-fast way to cut downtime
• New life for Leichhardt copper operation
• Grand plan for Abbot Point industrial hub
• $1.7b range crossing a boost for business
NQ OPERATIONS
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1The Mining Advocate | March 2014 NEWS
All material is copyright and cannot be reproduced in part or in full by any means without written permission of the managing editor. The views expressed in this publication are not necessarily those of the publisher.
CONTACTS
p. (07) 4755 0336 f. (07) 4755 0338
Email: ...............................................................info@miningadvocate.com.au
Address: ........................................13 Carlton Street, Kirwan, Q, 4817
Postal: ...................................................... PO Box 945, Townsville, Q, 4810
Client Services: .................... Marion Lago m. 0414 225 621
March 2014
Managing editor: .........................Robert Dark m. 0417 623 156
Journalists: ............................Bruce Macdonald m. 0418 154 016
...................... Dominique Kimber m. 0414 371 966
Sales: ................................................p. (07) 4755 0336 m. 0417 623 156
Advertising booking deadlineMay 2014 edition: April 23
COVER IMAGE: BHP Billiton Cannington asset president Laura Tyler.
Photo: John De Rooy
5 High strike rate Read about the lightning detection equipment helping worksites reduce unnecessary downtime by providing a more accurate picture of storm threats.
7 Hear me RAW BHP Billiton Cannington asset president Laura Tyler was among the host of worthy winners at this year’s Resources Awards for Women. Mrs Tyler took out the overall title at the Queensland Resources Council-run awards.
9-10 Liftoff Th is edition sees the launch of our new theme pages - Promoting Indigenous Employment and Women in Mining - highlighting initiatives and advances in fostering diversity in the resources industry, the challenges to be addressed, and the individuals and organisations achieving so much in this fi eld.
11 Political intrigue Th e tale of former Queensland Premier Edward Granville “Red Ted” Th eodore and the Chillagoe-Mungana mining deals that destroyed his career.
21-32 Northern lightsOur NQ Operations feature looks at mining and supply industry activity, opportunities and people across North Queensland. From the newly re-opened Leichhardt copper operation in north-west Queensland to the latest fortunes of the former Kagara assets and a grand old dame out at Lawn Hill - it’s all here.
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9 Promoting Indigenous Employment
10 Women in Mining
11 Our Mining Heritage
13 Between Shifts
14 Industry Update - Coal and GasNews in brief across the coal and gas industries.
15 Education in Queensland
18 Building Mining Communities
19 Logistics
20 Living Remotely
21 North Queensland Operations
2 March 2014 | The Mining AdvocateNEWS
Heavy equipment rental company Orionstone’s general manager accounts, Ben Hailes, remembers September 2012 with equal measures of dread and satisfaction.
Th at was when the BHP Billiton Mitsubishi Alliance (BMA) formally announced a major cost-cutting initiative that would see other big players like Rio Tinto, Peabody and Anglo American follow the lead.
Australia’s largest privately-owned heavy earthmoving company supplier, which was only incorporated in 2003, faced its biggest challenge to not just survive, but grow the business.
Headquartered in Mackay, Orionstone’s operations are on the doorstep of the Bowen Basin coal-producing district where the ripple eff ect was felt as profoundly as anywhere in Australia.
“Th e result – it was felt through the food chain very quickly,” Mr Hailes said.
Businesses reliant on the mining industry supply chain faced dwindling profi ts as the coal mining operations shed staff as commodity prices declined. Boom quickly turned to bust in
Mackay and Orionstone, like other businesses reliant on the mining industry, had to quickly rethink strategies to remain viable.
Mr Hailes remembers well the early repercussions of the announcement on his business.
“Enquiry levels for tenure came off and hire contracts that had taken three or four weeks to arrange were taking three or four months,” he said.
“Some hire companies were putting machines out at uncommercial terms to get some cash fl ow rather than no cash fl ow.”
Mr Hailes said Orionstone’s reaction was to put more staff on in the sales area to provide the highest possible level of service while maintaining the same number of orange collar employees (maintenance staff ).
A strategy of off ering dedicated maintenance staff on-site was promoted heavily as a complementary service.
Big equipment contracts included a dedicated maintenance team which minimised equipment downtime.
Satellite maintenance facilities
Company digs deep to surviveBoosting sales staff was among one operation’s
tactics in tough times, writes Bruce Macdonald.
called “igloos” were set up outside the company’s heavy maintenance centres in Mackay and Perth to further minimise equipment downtime.
Mr Hailes is confi dent the mining industry is at the bottom of the cost-cutting cycle and will eventually rebound as commodity prices rise.
Orange collar workers represent about 95 per cent of Orionstone’s 110-strong Queensland workforce and Mr Hailes is delighted to have retained all those staff .
“We have a small turnover and a track record of reliability,” he said.
Mr Hailes said companies remembered the support provided in good markets and bad and knew that you were not just a “fair-weather friend”.
“We have worked hard to keep our labour force, they are a complementary asset to our machines,” he said.
Creative concepts have also seen Orionstone move from the land to the sea to provide clients with the highest level of service.
“While mobilising sea transport is not new, mobilising it from Mackay was something that had not previously been considered or
previously explored as machines were traditionally trucked and loaded in parts,” Mr Hailes said.
“By chartering a barge from Mackay we were able to place our machines on the barge fully commissioned so that they were ready to work upon arrival to site (in Weipa), reducing costs and providing a solution that decreased delivery times.”
Mr Hailes said the nature of the contract displayed the ingenuity of local businesses working together to achieve positive outcomes both for businesses and the region as a whole.Ben Hailes
Orionstone
General manager accounts
Dani Saville works on a Caterpillar 740B Moxy. Photo: Damien Carty
3The Mining Advocate | March 2014 NEWS
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A senior banking offi cial in Mackay predicts another “12 months of hurt” for businesses linked to the supply chain servicing Bowen Basin coal mining companies.
Melissa Green, the manager of the city’s Bank of Queensland branch, said there was a clear trend among businesses asking for temporary and permanent overdraft facilities.
“I’m hearing that a number of businesses aren’t being paid while others are making arrangements with the ATO (Australian Tax Offi ce),” she said.
On a more positive note, Deloitte Mackay business partner and mining services team leader, Nick Harwood, said there had been a “less than expected” number of companies facing liquidation or others being forced into receivership.
“Th ere are new contract opportunities due to productivity gains (in the coal mining industry), which is a good thing,” Mr Harwood said.
A record amount of coal was
shipped through Queensland coal-loading facilities in 2013.
Mr Harwood said there were opportunities for agile companies that delivered a high level of services at a competitive price.
Ms Green said there was money to lend to businesses but she cautioned that “they need to put up a good business case” to be successful in getting a loan.
“We are looking for more diversity in businesses, not just in the (workers’) skill sets but strong fundamentals as well,” she said.
Ms Green said while business owners were hurting, it was fl owing down the line to employees who were not getting overtime they once relied upon to meet payments.
“Employees are in a position where they just don’t know what bills to pay (fi rst),” she said.
An interesting spin-off of the tough times being experienced in Mackay observed by Mr Harwood is a trend of local businesses moving farther afi eld to fi nd contracts.
“Some companies are looking
at LNG and have moved into the
Surat Basin for opportunities,”
he said.
Mr Harwood believes he
will have a clearer idea of how
businesses are travelling in the
next couple of months.
He said the December-quarter
BAS statements had to be lodged
in February and there could well
be a cash shortage around town.
Ms Green said many businesses
were now lean and well placed to
take advantage of the next surge
of development in the Galilee
Basin.
More hurt aheadBut opportunities remain for ‘agile’ players with
competitive prices, writes Bruce Macdonald.
Coal mining industry supply businesses have adapted and evolved to ride out widespread cost-cutting measures in the industry, the leaders of two key central Queensland bodies say.
Bowen Basin Mining Club chair Jodie Curry said the “panic” of 12 months ago had subsided, adding that redundancies had slowed as businesses better understood how to work with the coal companies in the 21st century.
Central Highlands Development Corporation general manager Sandra Hobbs pointed to the organisation’s 2014 Economic Profi le, released in February, which revealed that $12 billion worth of projects
Riding out the coal industry downturn
were going on in the region.“Th ere is a lot of exploration
work (in coal and gas) going on and the region’s agricultural and construction sectors have shown improvement,” she said.
Ms Hobbs said people were realising that the coal prices of a few years ago were “exceptional” and the industry was now back to a more standard level.
“Th ere’s no doubting the cost-cutting measures have hurt businesses across all sectors but businesspeople are telling us that it’s picking up and they are getting work,” she said.
Ms Curry said the days where supply chain providers would sit and wait for the phone to ring had long gone.
“(Business) people are now more strategic, they are getting out and talking with clients,” she said. “It’s clear that the businesses which are adapting to the new environment will ride out the downturn.”
Ms Curry had a word of advice for businesses – don’t focus solely on the big mining companies like BMA but pay more attention to the junior miners.
She pointed to Bandanna Energy, Stanmore Coal and QCoal as signifi cant players in the market that deserved considerable attention.
Suppliers adapting
Businesses in the Mackay area are hurting. Photo: Damien Carty
4 March 2014 | The Mining AdvocateNEWS
Work bonanza from range road
Th e $1.7 billion Toowoomba
Second Range Crossing
(TSRC) is set to create
thousands of jobs over its
three-year construction phase,
according to federal Minister
for Industry Ian Macfarlane.
Th e federal and Queensland
governments recently
announced they would deliver
what would be the largest inland
road project Australia has seen.
Mr Macfarlane said the
project would deliver a huge
boost to employment in the
region.
“At the moment it’s at the
registration of interest stage and
it will then go to the expressions
of interest stage,” he said.
“Following that there will
Local companies are hoping to win a signifi cant
slice of action, writes Dominique Kimber.
be a shortlisting - once that
happens the prime contractor
will be decided.
“For those companies
that aren’t in that category,
they’ll then be able to begin
negotiations with the prime
contractor.
“Th ere will be signifi cant
opportunities right down to
small operators in terms of
participating in the project.
“It’s a very big project and
it will take three or four years
to build it and will come at a
cost of $1.7 billion plus some
add-ons, which will be funded
both privately and by the likes
of the Toowoomba Regional
Council.”
Mr Macfarlane said the
size of the project meant it
had caught the attention of
Australian and international
companies.
“Th ere is a lot of interest
and I’m not going to name
them but Australian companies
combined with international
interest coming out of Europe,”
he said.
“It will be very competitive.
Th e mining industry is going
through a slump so there’s a lot
of yellow machinery lined up
along the road in Queensland
owned by companies who will
be keen for some work.”
Toowoomba construction
materials and mining services
company Wagners is one of the
local businesses interested in
being a part of the build.
“We are in discussions to see
what involvement with other
players there might be on the
project either as a consortium
or a subcontractor,” company
director Denis Wagner said.
“We would hope that a lot
of the subcontract and supply
work is left to local companies
and if they do that then it will
be very benefi cial to the region.
“If they bring in outsiders it
will be far less benefi cial to the
region.
“Our potential involvement
is in concrete and cement
supply, that’s the stuff
we would like to do and
reinforcing steel supply.”
• Logistics boost - Page 19
Ian MacfarlaneMinister for Industry
Denis WagnerWagners company director
Th e State Government is moving to the next phase of the Abbot Point coal loading facility expansion, seeking proponents for its 16,230ha State Development Area (SDA) which is adjacent to the port.
Th e way has been paved by the Great Barrier Reef Marine Park Authority’s approval in January of the removal of 3 million cubic metres of dredge material, with a range of strict environmental conditions.
Th e Department of State Development, Infrastructure and Planning and the Offi ce of the Coordinator-General have been undertaking planning studies for Abbot Point.
Over the past six years, this work has included a number of studies examining the potential of the site which surrounds the existing port facility.
An area of 6000ha has been identifi ed within the SDA for a range of uses and associated rail infrastructure to export coal from the Bowen and Galilee basins.
Th e State Government sees potential for the Abbot Point SDA in the following areas:
1. Large-scale, value-adding industrial development,
2. Bulk mineral resource unloading and stockpiling facilities,
3. Mineral processing,4. An LNG facility,5. Fuel storage, and6. Extractive industries.A Department of State
Development, Infrastructure and Planning spokesman said
Abbot Point development
area open to industry plans
More than two thirds of the Directory of
Important Wetlands Australia-registered Caley
Valley Wetlands falls within the Abbot Point
State Development Area (SDA) and is sure to be
a focus of conservation groups.
Extensive groundwork has been undertaken - as
part of the Department of State Development,
Infrastructure and Planning study - to protect
the 23sq km of estuarine wetlands and another
11sq km of marsh area.
Flood modelling has been undertaken along
with hydrological surveys aimed at providing
physical separation of signifi cant industrial areas
and infrastructure activities.
Only 6000 of 16,230ha of the SDA have
been earmarked for potential infrastructure
development.
A Department of State Development,
Infrastructure and Planning spokesman said
development of the SDA would be staged in line
with emerging, credible demand for industrial
sites.
Key wetlands infl uence land use
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to acquire land needed for
projects, but by declaring an
SDA for the rail corridors
it would make it clear that
land could be acquired for a
project of “state or national
signifi cance”.
Abbot Point is one of fi ve
Priority Port Development
Areas (PPDAs) proposed in
the draft Queensland Ports
Strategy – the Queensland
Government’s blueprint for
managing and improving the
effi ciency and environmental
management of the state’s port
network over the next decade.
Th ese are areas where
development will be
concentrated and encouraged.
GVK Hancock already has
a framework agreement in
place to advance its project
while Adani, which has a
99-year lease on the Abbot
Point Terminal 1, is working
on its second terminal (T0)
environmental impact study of
a site within the port area.
the high-level planning had been undertaken but it was now up to the proponents interested in making use of the SDA to consider their plans and options for proposed projects.
“We have identifi ed areas within the SDA which have potential and it is now up to the proponents to look at the
state’s planning and move their own plans to the next stage,” the spokesman said.
Th e department is facilitating a number of terminal development projects at Abbot Point, in part linked to the potential development of the Galilee Basin.
To further facilitate and fast-track the rail corridor developments from the GVK Hancock mine site near Alpha and a second from the Adani mine site to the north, the State Government has begun consultation on a proposed SDA along the two corridors to assist in the orderly acquisition of property from landholders if necessary.
Th e department spokesman said the government’s preference would always be for project proponents to negotiate commercial agreements
Abbot Point is one of fi ve
Priority Port Development
Areas (PPDAs) proposed
Deputy Premier and
Minister for Development,
Infrastructure and Planning,
Jeff Seeney, had good news
for businessmen and women
who gathered in Bowen
for an industry breakfast
recently, when he outlined
major initiatives to realise the
potential of the Galilee Basin
coal resources.
Mr Seeney, speaking via a
video link from Brisbane, said
the Galilee Basin was forecast
to generate $28.4 billion and
deliver 28,000 new jobs to
Queensland.
“A number of (coal)
mining projects in
the Bowen Basin are
also moving in a very
positive direction
which is good news
for Bowen and the
Whitsunday coast
region,” he said.
“We are focused on
growing the business of this
state and we will do all we can
to facilitate the progression of
resource projects in the Galilee
and Bowen basins.”
Mr Seeney said he was
pleased with the strong interest
being shown from the private
sector, mining companies
and infrastructure providers
towards investing in the
resources sector and in the
necessary infrastructure such as
the Abbot Point coal-loading
expansion project.
Seeney stresses good news from Galilee
5The Mining Advocate | March 2014 NEWS
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High strike
rate pays off Technology is helping worksites cut
downtime when storms approach.
A global mining company with operations throughout Australia is using state-of-the-art lightning detection equipment capable of saving millions of dollars in unnecessary shutdowns due to inaccurate notifi cations.
BHP Billiton trialled the GPATS lightning detection system in 2011 at its Northern Goldfi elds nickel mine in Western Australia.
Using GPATS (global position and tracking systems) lightning sensors located right across Australia, mine sites can track the movement of storms and associated lightning with a much higher level of accuracy, according to GPATS network administrator Michael Tang.
“Th e new lightning detection technology provides an actual position of every lightning strike, rather than just an estimated range (non-directional) to the closest strike,” he said.
“GPATS data detection effi ciency is up to 98 per cent and the geographical accuracy is from 200 to 300m.”
Mr Tang said GPATS sensors were capable of picking up lightning strikes that occurred up to 10,000km away, off ering the potential of global coverage.
Mine sites subject to lightning strikes get a fi rst alert when the approaching storm is 80km away and a second when it is 30km away.
Production supervisors on threatened mine sites work with specially trained staff who track storms on equipment set up by GPATS using the Google Earth database.
When an approaching storm is 10km away, outside staff are instructed to seek shelter and vulnerable equipment is also shut down.
Such has been the success of the GPATS test project, the technology is being rolled out at mining operations across the country prone to lightning strikes.
Ultimo, New South
Wales.
It was founded in
1983 by Dr Rodney
Bent, who pioneered the
development of Time-
Of-Arrival technology
which is now a world
leader in the detection
and tracking of lightning
strikes.
GPATS works closely
with the Bureau of
Since commencing operations, GPATS has had great success in capturing clients for its lightning location systems and data services.
Th e list includes governments, meteorological bureaus, power companies, airlines, news broadcasters and now mining operations.
GPATS operates in 50 countries around the world and its Australian operation is based at
Meteorology and has
been responsible for
the operation and
maintenance of the
Australian National
Lightning Network for
more than 10 years.
Lightning sensors
automatically detect
and analyse the radio
wave produced by each
lightning strike (cloud to
ground and inter/intra-
cloud).
In addition, sensors
can monitor the altitude,
longitude and latitude of
every strike.
Th is data is fed into
a Central Analyser
Processor, which can
archive data for more
than one year for ongoing
analysis.
Mr Tang said
subscription fees started
from $1500 (plus GST)
per month and the
company was in the
process of developing a
mobile application for
displaying lightning data
on smart phones.
GPATS keeps track of lightning. Photo: Roslyn Budd
6 March 2014 | The Mining AdvocateNEWS
Big dry chokes North West
Councils and businesses in the North West are looking at ways to stay alive as Queensland faces the largest drought on state record. According to government reports, drought now spreads across almost 80 per cent of Queensland, with 38 drought declared areas and four partially drought declared shires by early March. “Our major dam that we depend on is only 33 per cent full,” Mount Isa Mayor Tony McGrady said. “While there has been some rain around the district, Mount Isa has missed it and we still need signifi cant rain for the drought to be over.
“You don’t have to be a scholar to say that if you don’t have signifi cant water to run an enterprise, then something has to happen. If we don’t get big rains soon we’ll have to take it to the Premier’s offi ce and lay our cards on the table.”
Cloncurry Mayor Andrew Daniels said the neighbouring town was also feeling the mounting pressures of a dry wet season.
“Th e drought has basically crippled a lot of the industry and
there has been a lot of damage done in terms of confi dence,’’ Cr Daniels said. “It’s a serious issue and a diffi cult time and we need to work together and put in some serious infrastructure to try and bring a good plentiful supply of water, power and transport.”
Operations in the region are also facing the possibility of closure and job losses if signifi cant rain doesn’t fall soon.
CopperChem and Exco Resources chief executive offi cer Brendan James said the drought meant the company may have to close down its concentrator.
“We got to the point in December where we were trucking water in at a fairly expensive cost to the business and even when doing that we could only run the operation at about 45 per cent of its production capacity,” he said.
“Forty-fi ve per cent capacity and buying water is not viable to run the concentrator, the revenue generated just doesn’t cover the cost of operation. So we’ve had to look at everything we can do and part of that is looking at putting the concentrator into care and maintenance until such time that
CopperChem is among industry players hit by
lack of water, writes Dominique Kimber.
we not only get a little bit of rain
but that we can get enough water
in front of us to get us through this
next upcoming dry season.”
Mr James said a number of
contingency plans had been put
into place to try and avoid job
losses but, unless a substantial
amount of rain fell, up to 30 jobs
could be on the line.
“Now we’ve had a little bit of
rain lately but it’s just not enough
to get us through,” he said.
“We’ve advised all staff that
it (the concentrator) may be put
into care and maintenance but
before we do that we’re going to
trial every opportunity to keep it
running.”
Director of local business Curry
Contracting, Dionne Connolly,
said small businesses were also
under threat.
“We’ve really noticed a
diff erence in the demand from
mining,” she said. “CopperChem
is one of our major partners, we are
their preferred supplier for labour
hire and we have actually provided
a service to them for three years.’’
North-west Queensland is doing it tough as drought takes hold.
Weekly
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McNab secures three-year Santos
construction and maintenance contractConstruction and civil contractor McNab will continue its ongoing relationship with Santos, with the award of a three-year design, construction and maintenance contract.
The Toowoomba-based company was one of two contractors selected to undertake ongoing building, civil and maintenance works on Santos’ building infrastructure throughout Queensland.
“We have been working on Santos projects in the Surat Basin for a number of years, and are thrilled to support Santos as they move into the operational phase of their GLNG project,” said McNab managing director Michael McNab.
“Awarding long-term contracts to businesses in the region is not just good corporate citizenship, it makes smart business sense as well.”
McNab provides construction, civil,
maintenance and environmental
services on many of Queensland’s
largest energy projects, as well as for
resource companies including Anglo
American and BHP Billiton.
Projects range from a 3000-megalitre
tailings storage dam and compressor
hub buildings for the gas industry, to
ongoing environmental rehabilitation
and stabilisation across Queensland.
Works are also wrapping up on the
design and construction of Anglo
American’s Grosvenor Mining Industrial
Area near Moranbah.
The contract award follows a
number of recent milestones for
McNab, with the achievement of a 0.00
Lost-Time Injury Frequency Rate and
more than three million hours without
a Lost-Time Injury.
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7The Mining Advocate | March 2014 NEWS
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The fi rst woman to be appointed as an asset president within BHP Billiton has won Queensland’s Resources Award for Women.
Cannington Mine asset president Laura Tyler introduced the north-west Queensland operation’s fi rst diversity plan to improve the attraction and retention of women in the company’s workforce.
Th e mother of three has worked across four continents and recently became the fi rst woman to be appointed as a vice-president of the Queensland Resources Council (QRC).
Mrs Tyler said men in the industry must be encouraged to speak out on the subject of workforce diversity.
“Th ey remain the dominant hiring managers in our business and it is only through their engagement that we will see magnifi ed change in the status quo,” she said.
“I have spoken at women’s events around the world to empower other women and show them that females can successfully fi ll senior roles in the industry. I believe diversity
Trailblazer
honoured Cannington chief stresses importance
of diversity in the mining workforce
is not only important for individuals but also for our businesses.
“Often I am the only woman at the table in meetings. Th is needs to be corrected.”
Resources Awards for Women (RAW) Gender Diversity Champion winner Craig McCabe - the general manager of Wesfarmers Curragh - said he wanted to start having brave and open conversations about why some men found it diffi cult to relate professionally with women in the resources industry and what needed
to be done about it.“Mining has traditionally
been a male-dominated industry - but this is one tradition that we don’t want to continue with in the future – we actually cannot aff ord to,” he said.
“If half of the population believe our industry isn’t attractive then we will not have the technical and leadership talent we need to remain globally competitive in the future. And if half the population aren’t involved in the conversations and the decisions we make on the job then we’re not going to get the innovative ideas needed to remain competitive and sustainable in the longer term.”
QRC chief executive Michael Roche said the RAW awards were part of the peak body’s plan to increase the proportion of women in non-traditional roles in the resources sector to 20 per cent by 2020.
“Our 2012-13 returns show women make up 17 per cent of our overall workforce, up from 14 per cent in 2011-12,” he said.
“Th e proportion of women working in our sector in non-traditional roles, which include senior management, engineering, trades, geology and operators, has increased from 11.9 in fi nancial year 2011-12 to 13.5 per cent in 2012-13.
“Th e proportion of women who are executive managers rose from 7 per cent to 9 per cent, project management from 8 per cent to 21 per cent, superintendents from 13 per cent to 19 per cent and supervisors from 5 per cent to 7 per cent.
“Female engineers increased from 12 to 15 per cent, and geologists up 1 per cent to 32 per cent. Th e proportion of operators also rose 1 per cent to 10 per cent.
“Disappointingly though, the proportion of female tradespeople languishes at just 2 per cent of the trades workforce. We have a lot more work to do in this area, and not just for women. Trade training needs to come into the 21st century.”
• New Women in Mining focus - Page 10
Laura TylerBHP Billiton Cannington Mine
asset president
RAW winners - 2014 Overall winner: Laura Tyler - BHP Billiton
Cannington Mine asset president.
Highly Commended: Linda Murry - Rio Tinto
Alcan Weipa planning and logistics manager;
Amy Hodson-Clarke - Geodynamics well
engineering and technology manager; Leisa
Elder - Arrow Energy vice-president community
and sustainable development.
Rising Star: Cindy Emmett - Anglo American
Metallurgical Coal, Moranbah North Mine
graduate mechanical engineer.
Trade: Amy Woods - Glencore Mount Isa Mines
underground install electrician.
Operator: Leah Ross - Th iess Mining, Curragh
North Coal Mine superintendent open-pit
operations.
Gender Diversity Champion: Craig McCabe
- Wesfarmers Curragh Coal Mine general
manager.
Best Company Initiative: BMA - Daunia and
Caval Ridge mine diversity program
8 March 2014 | The Mining AdvocateREGIONAL ROUND-UP
MoranbahIsaac Mayor Anne Baker has lashed out at the State Government, describing 100 per cent forced FIFO as the single biggest threat facing central Queensland.
Cr Baker’s comments came after Deputy Premier Jeff Seeney said Isaac Regional Council was “scaremongering” over its opposition to a possible 100 per cent FIFO workforce at BMA’s Red Hill project near Moranbah, the Daily Mercury reported.
She had called for BMA to state whether the proposed Red Hill mine would be another 100 per cent FIFO like Caval Ridge and Daunia, as well as stating that she looked forward to Premier Campbell Newman keeping his election commitment in relation to FIFO.
A BMA spokeswoman said while the miner acknowledged local concerns, the decision to source the workforce for two new mines from the Cairns and Brisbane regions refl ected its belief that the employment and economic benefi ts of mining should be shared with other regions.
TownsvilleTwo Great Barrier Reef Marine Park Authority board members have been cleared of having a confl ict of interest.
Federal Environment Minister Greg Hunt ordered an inquiry after environmentalists raised concerns that former Townsville mayor Tony Mooney and Queensland public servant Jon Grayson held interests in resource companies that could benefi t from expanding coal and gas production near the reef, the ABC reported.
Mr Mooney is the stakeholder relations manager with Guildford Coal – which is working towards the development of mines in the Pentland area south-west of
Townsville, while Mr Grayson holds shares in Gasfi elds Water and Waste Services.However, the report’s author and legal expert, Robert Cornall, found the
two GBRMPA board members had not breached their public duty and had appropriately disclosed their fi nancial and personal interests, the ABC said.
“Th e report fi nds that allegations of confl ict of interest are unfounded,” Mr Hunt said.
GBRMPA in January announced it had approved an application by North Queensland Bulk Ports Corporation to dispose of dredge spoil from Abbot Point expansion work at a deepwater location off shore.
GladstoneEff orts continue to rescue the Gladstone Steel Project after
Boulder Steel went into administration, with creditors recently agreeing to a new proposal.
Th e Observer reported that Otsana Capital, working with Paul Sundstrom, was behind a Deed
of Company Arrangement for Boulder Steel and that the matter was expected to go to
shareholders within the next three months.A community rescue bid led by Mr Sundstrom had raised about $120,000
to support the project by the end of January, the paper said.
Th e steel plant project off ers the prospect of 1800 permanent jobs in addition to those created in the construction phase, according to Mr Sundstrum.
Otsana Capital specialises in IPO’s (Initial Public Off erings), corporate restructuring and recapitalisation of ASX-listed companies.
Western DownsLandholders in the Western Downs region have raised concerns about weeds spreading due to resources industry workers taking a careless approach to vehicle wash-down procedures.
Surat Basin News reported there were fears of disastrous fi nancial implications for agriculture due to those procedures not being rigidly enforced for gas company employees and contractors.
Th e news service quoted a GasFields Commission Queensland spokesperson as saying that more could be done to continue to improve washdown practices.
“Landholders, local and State governments and the gas industry all have a role to play to ensure they are well managed and eff ective in reducing weed seed spread,” the spokesperson said.
Meanwhile grazier Allan Leech has launched a legal battle with gas company QGC over the spread of African lovegrass on his property, 40km west of Dalby, Th e Chronicle reports.
EmeraldA local fossicker picked up a 753-carat sapphire after rain on the
gemfi elds near Emerald.
ABC Rural reported that the man had been “specking” - simply looking on
the ground as you walk along – when he came across the stone.
Larger than a golf ball, the stone has been named the Sapphire Princess.
“Th is is an exciting fi nd not just for the lucky fossicker but also for anyone
thinking of heading out to the Sapphire Gemfi elds,” Central Highlands
Development Corporation tourism development offi cer Peter Grigg told the
APN group.
“It goes to show that you can come to the largest sapphire gemfi elds in the
southern hemisphere, explore and get your hands dirty, hopefully walk away
with a fantastic memento.”
Mount IsaMember for Mount Isa Rob Katter has used a speech in
Parliament to push for Mount Isa to become a gas supply
hub for domestic consumption, linking the pipelines
from southern Queensland and the Northern Territory.
“Th is hub would help overcome the dire undersupply
of gas for domestic use in Queensland, and it would
create jobs in new industry to help off set more traditional
forms of mining,” he said.
Mr Katter said he had written to federal Industry
Minister Ian Macfarlane, asking him to honour his
pledge to commit $1 million for a feasibility study for a
pipeline linking Tennant Creek to Mount Isa and the
national pipeline grid.
Mr Katter said the exporting of gas was hiking the
price up domestically and that was impacting on industry
and on Mount Isa, which was reliant on gas-fi red power
stations.
Armour Energy, which holds gas tenements in north-
west Queensland and the Northern Territory, has entered
an agreement with the APA Group to transport gas to
Mount Isa, Sydney and various markets in Queensland.
Emergency response teams from
throughout southern Queensland
joined a day of skills exercises at
New Acland Mine, north-west
of Oakey on the Darling Downs,
recently.
Th e inaugural inter-company
Southern District ERT Skills
Office Ph: (07) 4759 0300
7-8 Reward Court
Bohle QLD 4814
Fax: (07) 4759 0333
Email: info@mineforce.com
Web: www.mineforce.com
Specialising In: Civil Construction Steel FabricationCNC Machining De-ConstructionStructural and Mechanical Installation Project Management Poly Welding Labour Hire
Southern teams gather to boost rescue skillsDevelopment Day was an
initiative of the New Hope
Group.
It saw teams join a number of
exercises run under the guidance
of specialist mentors and coaches
such as St John Ambulance
and Queensland Mines Rescue
Service.
Teams from the Meandu
Mine, Commodore Mine, Kogan
Creek Mine, Kogan Creek Power
Station, Millmerran Power
Station and New Acland Mine
participated.
New Acland general manager
Andrew McDonald said the
development day was a way
for local ERTs to develop
relationships and learn from one
another on diff erent emergency
response skills.
“Emergencies happen rarely
at mines, but it is extremely
important to be prepared and to
have personnel equipped with
the right skills to manage all
situations,” Mr McDonald said.
“We thought the event would
be a great way to collaborate with
other local ERTs and also have
a bit of friendly inter-company
rivalry.” Th e organisers hope to
see the combined site training day
become an annual event.
New Acland Mine ERT member Brett Jackwitz tends to “casualty” Jim
Thornton during practice drills.
- Specialists in earthmoving, power & light, access, air & portable buildings. Call 13 15 52
9The Mining Advocate | March 2014 PROMOTING INDIGENOUS EMPLOYMENT
JV breaks into major projectsA Queensland-based indigenous consulting and project management business has prequalifi ed for major project work with Arrow Energy and Santos through its joint venture work with two other companies.
Indigenous Development Solutions has teamed up with civil construction company Silverstrand Developments and modular building manufacturer Allplates. Company managing director Garry Green said the joint ventures aimed to increase Aboriginal participation particularly in the resources, oil and gas sectors.
“Aboriginal participation and quality participation in these sectors is down right across Australia,” Mr Green said.
“So what we tried to do with the joint ventures was to bring the best of our indigenous consulting and project management business that we had with IDS, and align it with organisations that were also accredited across the board and had a long track record within the space to provide that
demonstrated capability, fi nancial capacity and document control that the large major projects want. It’s areas that sometimes Aboriginal people fall behind in.”
Mr Green said that growing up he spent a lot of time in remote indigenous communities across Australia and he noticed a gap in the consultation process between non-indigenous organisations, government bodies and traditional owner people.
“I guess the cultural values and cultural integrity of what was being put out into the community was sort of being thrust upon them. In talking to a number of the communities, we came up with Indigenous Development Solutions,” he said.
“We have a common goal to build people like building infrastructure. We think that it’s really important because a lot of these communities, with the remote isolation of it all, don’t get many great opportunities.
“We are able to assist these communities in having a voice in a culturally sensitive way, to talk
to large-scale mining companies,
non-indigenous organisations and
government statutory authorities
and provide that specialised voice.
IDS also works with indigenous
communities to help them get
their own business ventures off
the ground.
“We’re all about fi nding out
what the community wants. We
are purely a voice and we purely provide the project management experience and experience to pull the required consultants together to get the venture off the ground,” Mr Green said.
“Aboriginal people have a lot of great ideas and they have a good sense of business. It’s just about being able to provide that support and that mentoring to help them navigate that tricky space.”
Garry GreenIndigenous Development Solutions
managing director
Employers looking to increase indigenous participation in the workforce can look to recruitment and skills-based organisations in Queensland such as Skill360 Australia.
Skill360 Australia services all of North Queensland and the Torres Strait region off ering a range of services to assist industry and business in recruiting, training and mentoring their workforce.
Th e company provides specialist mentoring and training solutions as well as consulting services through its Indigenous Workforce Solutions unit.
“Th e service we off er to employers essentially means working with them across all arms of their business with a purely indigenous focus to tailor programs,” Indigenous Workforce Solutions manager Rebecca Burke said.
“We also go into the wider community to consult with community organisations, any relevant government organisations as well as traditional owners to talk to them about employment and training opportunities within their communities. Every employer has diff erent needs when it comes
to developing or implementing indigenous workforce programs. We can advise them on strategies and then help them to locate and screen suitable candidates. We assess all of our candidates’ skill levels and can provide pre-employment training to give them the basic skills required to succeed in the placement.”
Skill360 Australia delivers accredited training courses from Certifi cate I up to diploma and its group training division manages apprentices and trainees employed across a wide variety of industries including mining.
QGC is teaming up with the Titans to support an indigenous
youth program encouraging young Aboriginal and Torres
Strait Islander people in the Surat Basin to fi nish school.
Th e natural gas company will contribute $420,000 in a year-
long partnership with Titans 4 Tomorrow, the community
outreach arm of the Gold Coast Titans Rugby League Club.
Th e partnership will result in 14 three-day camps at which
local elders and traditional owner groups will help to connect
young people with their cultural heritage and mentors will
advise on educational and vocational opportunities.
Participants will come from Dalby State High School,
Our Lady of the Southern Cross, Miles State High School,
Chinchilla State High School, Tara Shire State High School,
St John’s College and Roma State College.
QGC vice-president sustainability Brett Smith said the
goals of Titans 4 Tomorrow refl ected the commitments of
the QGC Reconciliation Action Plan and Social Impact
Management Plan for the Queensland Curtis LNG Project.
Skill360 Australia promotes worker participation
Skill360 Australia supports indigenous participation in the workforce.
QGC, Titans join forces
10 March 2014 | The Mining AdvocateWOMEN IN MINING
Juleen Brown runs a busy schedule as the AMEC Mining Sector Lead for Environment, Women In Mining and Resources Queensland (WIMARQ) Chair, AusIMM committee member, wife, and mother of her 16-month-old son.
Ms Brown says, for her, success is all about grabbing opportunities as they come along.
“I’m always open to new opportunities that come along, and I think that it is really important to be able to be fl exible and to see opportunities and take them,” she said.
“Most of the high-level women that speak at the WIMARQ events have that common theme of grabbing opportunities when they’re there.”
Ms Brown joined WIMARQ in 2006 - in the early years of the organisation, and about 12 months ago took up the position of chair.
“I got involved because I had been on another committee with AusIMM with one of the WIMARQ founding members. I kind of pursued coming on board with them because she was involved, and I have been involved ever since. I really enjoy it, they’re a really great group of women,” she said.
“Our key goal is really to provide support and network opportunities for women in the
industry. We want to provide a place where women can come and have a drink, have a laugh, meet other women and to share stories.
“We’ve probably progressed on from that a little bit in recent years.”
Th e group had started an annual conference called Inspire and was kicking off a mentoring program, she said.
Ms Brown began her career as a mining engineer after completing a bachelor degree in engineering and mining.
She then completed a masters in environmental management and has been working in the environmental fi eld for the last eight years.
“My role at the moment is to develop the environmental business within the mining sector. So AMEC is a very big organisation worldwide but they are relatively new in Australia. So we’re really trying to develop what is already a very strong business in the Americas and the UK,” she said.
“It involves client meetings as well as some travel. I was recently in Perth and I’ll be heading to Canada in coming weeks.
“I really enjoy my job and down the track I would like to work my way back up to full-time work. I think I would one day like to move back into more of
WIMARQ chair Juleen Brown, AngloAmerican Coal global head of human resources and corporate aff airs David
Diamond, Queensland Education, Training and Employment Minister John-Paul Langbroek, QRC/WIMARQ
Mentoring Program director Ali Burston and QRC deputy chief executive Greg Lane at the Sundowner event to
launch the mentoring program.
Women in Mining and Resources Queensland (WIMARQ) recently launched its pilot mentoring program aimed at supporting professional women in the mining industry through career guidance and networking.
Th e mentoring program is the fi rst of its kind and was created in response to an increasing demand for formal mentoring assistance to the rising number of women working in Queensland’s minerals and energy sectors.
Project director of the Queensland Resources Council (QRC) and WIMARQ Mentoring Program, Ali Burston, said men and women were invited to participate as mentors.
“Th e QRC/WIMARQ Mentoring Program 2014 will run February 2014-June 2014 and implements a heavily structured framework that includes a comprehensive matching process conducted by a registered psychologist for all participants,” she said.
Th e program was heavily oversubscribed - resulting in 22 matches for 2014, that is 22 mentees and 22 mentors.
“Mentors occupy senior positions such as chief executive offi cer, asset president, chief operating offi cer, principal, general manager and directors from organisations such as BHP Billiton, Anglo American, Downer EDI, BMA and Arrow Energy – to name a few,” Ms Burston said.
Th e program is supported by the Queensland Government and the QRC. Anglo American was the venue host for the recent Program Commencement Sundowner event.
Th ere will be three offi cial ‘sundowners’ held throughout the program: a launch function, midway networking function and a celebration function at the end of the program.
the environmental manager or
environmental community roles
on the corporate side. But as
I said, I’m always open to new
opportunities that come along.”
Ms Brown said that one of
the biggest pieces of advice she
could give to other women in the
industry was to network and to
get practical experience in their
relevant fi eld rather than moving
directly into city-based jobs.
“I started out in the Northern
Territory on a gold mine called
Th e Granites in the Tanami desert
as a project engineer,” she said.
“After that I was at a small
coal mine near Lithgow in NSW,
then Ernest Henry mine in
Queensland as a mining engineer.
“After two and a half years
consulting as an environmental
project manager I went back to
EHM for another year as the
environment superintendent.
“Since then I’ve had Brisbane-
based roles.
“Really go out and get that
solid on-site experience. I had
about 10 years on site and it really
was invaluable. You become
better at your job if you have that
practical experience.”
Juleen grabs
opportunity
for success
Mentor program for
mining professionals
11The Mining Advocate | March 2014 OUR MINING HERITAGE
Red Ted’s aff air to remember
National experts Slater & Gordon
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Almost 100 years ago in a small mining town in far north Queensland a political scandal began that would become known throughout Australia as the Mungana Aff air.
In 1922 the Queensland government under Premier Edward Granville Th eodore (“Red Ted”) agreed to purchase some Chillagoe-Mungana mining properties in a move that was supposed to increase employment opportunities in the state.
In the years that followed the acquisition, accusations of corruption erupted against Red Ted and another former Queensland Premier, William McCormack, stating that they had had fi nancial interests in the purchase.
Professor of History and Politics at Griffi th University and author of 36 books including “Red Ted”, Th e Life of E.G. Th eodore, Ross Fitzgerald, said that the scandal caused irreparable damage to Th eodore’s reputation and eff ectively destroyed his career despite being found innocent in civil proceedings.
“He (Th eodore) and Bill McCormack had supposedly made quite a lot of money out of dubious land deals and mining deals in far north Queensland Mungana mines around the Chillagoe area.
“Certainly he was not proven to be guilty but it certainly did tarnish his career.”
Professor Fitzgerald’s book tells how what he describes as political attempts to discredit Red Ted began and ended.
“…On 4 July 1930 a blow fell which would not only remove Th eodore from active politics during the next six months but would irreparably taint his reputation during his lifetime and beyond. For it was on that day that Ted’s political opponents in Queensland released a judicial report fi nding gross fault with his conduct over the Queensland Government’s acquisition of the Mungana mines.”
In August 1931 Red Ted was found not guilty of any of the charges laid against him including corruptly receiving shares in Mungana
leases and conspiracy to sell the Mungana mines to the government at an infl ated price.
Despite the fi nding there are those who to this day believe that Ted was guilty.
Author of Th e Mungana Aff air: State Mining and Political Corruption in the 1920s Dr Kett Kennedy said that there were
E.G Theodorecourtesy of National Archives of
Australia
some things that made him
sceptical about Ted’s innocence.
“Th eodore himself never
gave account of fi nancial
transactions shown on his bank
statements obtained during the
civil proceedings. Th is is what
changed my mind about his
innocence,” he said.
“Th eodore’s barrister
advised him not to explain the
transactions, which to me was
very suspicious.
“A lot of people argue that the
civil proceedings exonerated him,
but they didn’t at all because he
never explained how the money
got into his back account.”
Girofl a mine, Mungana district, about 1900.
Photo: courtesy of State Library of Queensland
Girofl a smelting works at Mungana, about 1900.
Photo: courtesy of State Library of Queensland
Th e former mining town of Mungana, near Chillagoe west of Cairns, was was initially part of the community of Girofl a.
Mungana was surveyed on June 26, 1901 by C. Andrews to serve the mines in the area, according to Angor to Zillmanton: stories of North Queensland’s deserted towns by Colin Hooper.
Th ese included the Girofl a, Lady Jane, Dorothy, Red Dome and Griffi ths mines.
Queensland Labor Premiers Ted Th eodore and Bill McCormack received their political training as mine union organisers in Mungana,
and later became involved in the Mungana
Aff air.
Many years later, in 2005, a new gold zone
was discovered by Kagara Zinc, according to
University of Queensland website Queensland
Places.
Mungana Goldmines is seeking to develop
the Mungana and Red Dome gold projects
along with polymetallic deposits in the area to
be acquired through an agreement with former
shareholder Kagara, which has gone into
liquidation.
Mungana past and present
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13The Mining Advocate | March 2014 BETWEEN SHIFTS
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Mackay Area Industry Network (MAIN) members briefing
Skytrans Toowoomba - Roma service launch
Harrup Park Country Club, Mackay
Toowoomba airport
Alistair Emery (Momentum Software Solutions), Derek Ellis
(Emeco), Jamie Sleeman (Mastermyne) and Mike Browne
(Brown & Bird Financial).
Steve Jones (Skytrans) and Phil Gregory (Wellcamp Airport).
Steve Ross (Gibsons Consulting), Gary Riches (NQBP), Rex Vegt
(Gibsons Consulting) and Peter van Iersel (MAIN).
Toowoomba Mayor Paul Antonio and Skytrans managing director
Simon Wild.
Nathan Cross, Sarah Day and Bec Obermeit (all Dowdens Group)
with Amy Vizer (Airconstruct).
Meagan Anserth (FCM Travel), Barry Dixon(Maranoa Mail) and
Bernadette Dixon.
PHOTOS: Damien Carty
PHOTOS: Andrew Coates
Inland Rail forum
Burke and Wills Hotel, Toowoomba
Mary O’Brien (Cotton Growers Australia) and Priscilla Radice
(Port of Brisbane).
Wayne Newton (AgForce Grains), Ashley Geldard (Red Industrial),
Rob Taylor (Northern GRDC) and Graham Geldard (Red Industrial).
Michelle Reynolds (Freight Terminals) with Dallas Hunter
(FK Gardner and Sons).
PHOTOS: Andrew Coates
14 March 2014 | The Mining AdvocateINDUSTRY UPDATE COAL AND GAS
Whilst some pay the ultimatesacrifice, others returnrequiring assistanceRSL (Queensland Branch) supports over 45,000 currentand ex-service personnel.
Your support of the RSL will help provide vital services tothese men and women.
Your direct donation, bequest or sponsorship will make areal difference and enable the RSL to continue with thisvital support and assistance.
Make a donation at www.rslqld.orgor call (07) 3634 9444
The Returned & Services League of Australia (Queensland Branch)
REMEMBERING the past • Supporting the future
Major Ichthys LNG contract
Th e UGL Kentz joint venture has won a
$740 million contract for the structural,
mechanical and piping construction
package for the Ichthys LNG Project in
Darwin.
Th e contract was awarded by JKC
Australia LNG, a joint venture between
JGC Corporation, KBR and Chiyoda
Corporation that is responsible for
the engineering, procurement and
construction of the onshore LNG
facilities, including the gas processing
plant at Blaydin Point.
Th e contract will provide more than 900
jobs for construction personnel in the
Northern Territory, according to UGL.
Easternwell picked for rig job
QGC has awarded contracts worth a
total of $90 million to Easternwell to
build and operate specialist rigs.
Under a $50 million contract,
Easternwell will construct two servicing
rigs at its Toowoomba factory to be used
for maintenance of QGC wellsites in the
Surat Basin.
QGC and Easternwell have signed
a separate $40 million contract for
construction of an exploration drilling
rig incorporating the latest technology
including automation.
All the rigs are expected to be operating
from the second half of 2014.
QGC recently announced that deputy
managing director Mitch Ingram would
succeed Derek Fisher as managing
director on April 2.
Broadmeadow mine milestone
BHP Billiton Mitsubishi Alliance has
offi cially opened its US$966 million
extension at the Broadmeadow
underground coking coal mine in the
Bowen Basin.
Th e Broadmeadow Mine extension
project will increase the mine’s
production rate by 400,000 tonnes per
year, and introduces Longwall Top Coal
Caving technology to the operation.
“Unlike other conventional longwall
mining techniques, Longwall Top Coal
Caving allows both the lower and the
top portion of the coal seam to be
mined,” BMA asset president Lucas
Dow said.
“BMA is the fi rst asset within BHP
Billiton and Mitsubishi, and one of
only a small number of Australian
mines, to implement this technology.
Th is extension will sustain operations
at Broadmeadow Mine for another 21
years, and takes BMA another step
closer to completing a $9 billion pipeline
of major projects in Queensland.”
Cockatoo takes over Blackwood
Cockatoo Coal has completed a takeover
of Blackwood Corporation, which holds
tenements in Bowen Basin, Galilee
Basin, Surat Basin and Clarence-
Moreton Basin.
Cockatoo Coal managing director
Andrew Lawson said the combined
company was well positioned to
continue the expansion of the Baralaba
mine on time and on budget, and to
rationalise and realise value from an
extensive portfolio of additional assets.
“Cockatoo, with the integration of
the Blackwood employees, has a
management and workforce which
I believe is extremely capable and
eminently able to deliver value to all of
our shareholders in 2014 and beyond,”
he said.
Former Rio chief at GVK Hancock
GVK Hancock has appointed Darren
Yeates as chief executive offi cer to help
lead the fi nal development stages of its
Galilee Basin mining projects.
Th e company said Mr Yeates, previously
chief operating offi cer and acting chief
executive offi cer for Rio Tinto Coal
Australia, brought more than 30 years’
experience in coal mining operations,
mine infrastructure and resource sector
industries.
More coal for Curragh
Wesfarmers Resources is adding to its
coal reserves at the Curragh operation
near Blackwater by buying a nearby asset
from Peabody Energy for $70 million.
Mineral Development Licence 162
is located between the Curragh and
Curragh North mining leases and
contains 67 million tonnes of coal
reserves within a total resource of 255mt.
Wesfarmers said the acquisition, which
increases the reserves potentially
available at Curragh by about 29 per
cent, was expected to extend Curragh’s
mine life and provide future options to
further optimise mine operations.
Brain drain on horizon
More than two-thirds of the world’s oil
and gas professionals are approaching
retirement, potentially creating a major
skills gap for the industry just as peak
demand looms, new research shows.
A study conducted by recruitment
website OilCareers.com and energy
industry adviser Douglas-Westwood
found that about 69 per cent of industry
professionals were likely to retire within
the next 10-15 years.
Groundwater report released
Th e Queensland Government says a
report into coal seam gas (CSG) impacts
has found industry was working well to
manage any impacts on groundwater
resources from development in the Surat
Basin.
Natural Resources and Mines Minister
Andrew Cripps said the independent
Offi ce of Groundwater Impact
Assessment, which prepared the
report, was progressing a wide range of
research projects in the Surat Basin to
better understand groundwater aquifer
connectivity and refi ne the model of
likely CSG impacts, when the report is
updated in December 2015.
Jemena is fi nalising plans to increase the capacity of the Queensland Gas Pipeline (QGP) by installing a 35km loop near the Rolleston Compressor Station in central Queensland.
Th e project was sparked by demand from new and existing customers, Jemena general manager, pipelines commercial and business development, Dave Green said.
“We’re aiming to start construction of the almost $40 million looping project by June of this year and aim to complete the project by the end of the year,” he said.
Built in 1989, the QGP links the Wallumbilla gas hub in south central Queensland to large industrial gas users in Gladstone and Rockhampton.
In 2010, in response to the economic and industrial growth in the Gladstone region, Jemena invested more than $100 million in doubling the QGP’s capacity to 52 PJ/annum via 113km of looping and the installation of two midline compressors – one at Banana and one at Rolleston.
In the loop
A freshly-cut bucket wheel trench ready for pipe laying on the Queensland Gas Pipeline.
15The Mining Advocate | March 2014
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89C
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Th e popularity of boarding school education seems to be on the rise as schools report a growth in demand partly attributed to the FIFO and DIDO workforce in the mining industry.
Th e Cathedral College, Rockhampton principal Rob Alexander says the school currently has 950 students with about 16 per cent of them boarding.
“We’ve seen a surge in the popularity of our boarding facilities, both boys’ and girls’,” he said. “We have a number of kids whose parents live in Rockhampton but then travel out to mining communities to work and we have seen an increase in that over the last four or fi ve years.
“It’s people from Rockhampton who aren’t in town through the week, who don’t know what their roster will be in two months’ time, and so they put the kids into boarding. It gives the kids stability in their studying.”
Mr Alexander said that while some kids had diffi culties adapting to a boarding school lifestyle, overall students responded well.
“It’s a really diverse range of kids, some take to boarding like fi sh to water and others struggle,”
he said. “Th ere’s been a very big emphasis on the care of students, particularly on the transition from their families into boarding itself. It’s a process that has certainly undergone a lot more care as time has gone on.
“We like to use the term loco parentis to say that our boarding staff are stand-in parents in the absence of the real parents. We are acutely aware of the diffi culties that the kids go through.”
Australian Boarding Schools Association (ABSA) executive director Richard Stokes said boarding school was becoming a more viable option for working families.
“We’ve done some research over recent years and we’ve seen a reasonably steady, be it small, increase in students from mining families,” he said.
“What boarding school provides for kids is a very stable and well-based education so that when things are changing, for example families that might be a little bit disjointed with work requirements, the kids are a little bit more settled.
“If I look back 35 years, the boarding schools looked after kids, meaning they were safe and
Mining families get onboard
Boarders at The Cathedral College, Rockhampton.
Education in Queensland
secure and fed well, but nowadays it’s about providing a really rich and diverse opportunity to enjoy
all parts of school life. Once upon a time parents might have sent their kids away to punish them
because they were naughty, now if I was one of those kids I’d be saying ‘yes please’.”
16 March 2014 | The Mining AdvocateEducation in Queensland
A boarder’s life for meWhen Max MacRae left his home
in Mount Isa to begin his journey as a boarder at Brisbane Grammar School, he remembers feeling “excited and scared” at the prospect of living in a new city.
“My parents own a newsagency in Mount Isa and my Dad works in the mines, so it was a big decision for me to move to the city,” he said.
While initially everything seemed so big and diff erent, Max said it didn’t take long for him to sett le into his new school and he now considers Harlin House a home away from home.
Weekend trips to the beach, paintball excursions, ice-skating and socials with other boarding schools
are some of the activities that Max has enjoyed as a boarder. Th is busy activities schedule is complemented by an extensive program of academic enrichment with nightly tutorials facilitated by Brisbane Grammar School teachers.
“It’s been helpful for me to have our teachers come into Harlin House and assist us with our school work,” Max said.
“I would defi nitely recommend becoming a boarder. I have made so many new friends and become a lot more mature and independent. I have learnt to live with diff erent people and am more responsible in my behaviours.”
Brisbane Grammar boarder Max MacRae from Mount Isa loves the boarding life.
ADVERTORIAL
Experience worth the sacrifi ceMany families living in remote locations throughout Queensland turn to boarding school education for their kids. Mother of fi ve, Rebecca Burge says that having her boys away for school can be “gut wrenching” but that she still considers it a worthwhile sacrifi ce.
Th e Burge family lives at Lamonds Lagoon Station, about 90km south of Mount Garnet and almost fi ve hours from the nearest cities of Charters Towers, Townsville and Cairns.
All fi ve boys have completed or are completing their schooling up to Grade 7 through Charters Towers School of Distance Education, taught by Mrs Burge, and have then gone on to boarding school at Toowoomba Grammar School.
Mrs Burge says that boarding school education off ers a range of opportunities that aren’t available to the boys at home.
“We chose boarding school due to distance and isolation. It was either continue distance education or go to boarding school. By the end of Year 7
the boys needed more than I could off er them,” she said.
“A boarding education off ered them greater opportunities in many fi elds: including socially, academically and sporting.
“Attending boarding school means no fi ve-hour trips to play sport, not having to contact your teacher by phone when needing to ask questions and, best of all, no great technology issues.
“Th ere is also that team sport and comradeship.”
Mrs Burge said that despite the positives, the boarding school lifestyle had not been without its hardships.
“While our children enjoyed Toowoomba Grammar and especially the older boys have a special place for their school, none of them have enjoyed being away from home,” she said.
“As a parent and mother it is a gut-wrenching thing to drive out of Toowoomba and leave your children behind.
“Th ere are always tears at the beginning of every term but once they get back to school they soldier on and enjoy all
the school has to off er. Th ey miss the home cooking and the warm weather of North Queensland.”
Two of the boys have now completed their
schooling. Nicholas, 21, has just completed his trade as boilermaker in Townsville, while Samuel, 19, works at home building up his own herd of cattle.
Harry, 15, and Angus, 13, continue their studies at Toowoomba Grammar School, and Lachlan, 11, is completing Grade 6 with Charters Towers School of Distance Education.
The Burge boys - (back) Samuel, Nicholas, Harry, (front) Lachlan and Angus.
CQUniversity is helping workers in the minerals and resources sector to achieve recognised qualifi cations while gaining valuable on-site experience. Th e university off ers specialised mining industry courses aimed at helping companies to skill up their existing workforce whilst continuing full-time employment, without the need for a three or four-year full-time bachelor degree. Discipline leader in mining and geoscience programs and senior lecturer in geosciences at CQUniversity, Dr Andrew Hammond, said the associate degrees off ered by the university were paraprofessional qualifi cations. “We currently off er three associate degrees including the associate degree in mine technology with mining or mineral processing specialisations, the associate degree in mine operations management with underground coal or surface coal options, and the associate degree in geosciences,” he said. “Th e idea is that the students formalise their practical work experience
and gain theoretical skills too. Many of the students are in supervisory positions already but the whole thing is they are paraprofessionals and they work under the supervision of fully qualifi ed folk, those that have bachelor or higher degrees.” Cadia Valley Operations control room operator Jonathon Rossiter is studying the associate degree in mine technology (mineral processing specialisation). “With the position I’m in at the moment, I operate the processing plant so a lot of the information with the minerals processing degree can be directly applied to my job,” he said. “It’s helping me increase my knowledge and could
also open up the option for a full degree later on if say the position of metallurgist comes up. “I haven’t really got any trades or qualifi cations. It wasn’t until I was actually in the mining industry that I found out about the opportunity to study.” Next year CQUniversity will join forces with other universities, TAFEs and the Minerals Council of Australia to off er a new suite of associate degree programs called MINAD (Minerals Industry National Associate Degree). Th is will deliver new versions of the existing associate degrees, including the associate degree in mining engineering and the associate degree in geoscience.
Uni mines real potential
Cadia Valley Operations control room operator Jonathon Rossiter
is studying through CQU.
17The Mining Advocate | March 2014 Education in Queensland
Seventeen Queensland students are a step closer to a rewarding career in the resources sector following their acceptance into the Queensland Minerals and Energy Academy (QMEA) Ambassador Program.
Th e Year 12 students from schools in Blackwater, Brisbane, Emerald, Gladstone, Mackay, Moranbah, Mount Isa, Rockhampton and Townsville are acting as QMEA Student Ambassadors over the course of the 2014 school year.
Th e student ambassadors will participate in a range of activities across a 12-month period that will aim to increase their understanding of the resources sector, provide opportunities for networking with other students and industry representatives, and develop leadership skills.
“Our programs provide students with the opportunity to learn more about pathways into our sector through genuine engagement activities,” acting director Katrina-Lee Jones said.
“Th ese are our brightest minds, and through previous QMEA activities they have developed a genuine intent to pursue a career in the resources sector.
“Th e QMEA Ambassadors play an important role in
Mining engineers won’t have to miss work and travel long distances in order to log their continuous professional development (CPD) thanks to a new project by Engineering Education Australia (EEA).
EEA’s Engineering Online (EOL) is a digital platform for engineering professionals and students to access a portfolio of online resources including courses, webinars and technical workshops.
Group general manager for EEA Ann Ellis said EOL was developed in response to feedback from engineers and engineering organisations on how they would like to receive professional development.
“Some time ago people would come along to face-to-face courses and they were quite happy to do so, but over the last year things have changed,” she said.
“People are less likely to want to leave work and it’s a bit costly and there’s often a lot of travel involved. So when people are looking to get their CPD they don’t necessarily want to come to workshops.”
EEA’s EOL resource follows the trend of other education providers in delivering content to clients and students in diff erent ways.
“We have done some webinars and delivered some online courses and qualifi cations and thought that what we really should do is have one place where we can put a whole diverse amount of CPD that addresses the way that people learn diff erently and also covers all of the specialisations for engineering,” Ms Ellis said.
“EOL is a site with courses, qualifi cations, interviews, case studies, showcasing of projects, and technical content by experts. So we’re building more like a television channel really that has a variety of content for all diff erent groups.”
Students and professionals can access about 60 or 70 items free of charge and there are 455 items available online through subscription.
promoting to students in their
schools the opportunities
provided by the QMEA and the
range of careers that exist in the
resources sector by drawing on
their own experiences with the
sector.”
Th e students have already
participated in industry site
tours such as Swanbank Power
Station and SIMTARS and
worked on problem solving
challenges alongside engineers
at Hastings Deering, Skills
Tech and the University of
Queensland.
Th e QMEA works with 34
schools throughout Queensland
and links them with sponsor
companies looking to provide
rewarding and long-term careers
in the resources sector.
It is a partnership between the
Queensland Resources Council,
State Government and resources
sector companies.
Resourceful ambassadors
QMEA students Natasha Leway (Alexandra Hills SHS), Madison Matschoss
(Moura SHS), Nicholas Curmi (Kirwan SHS) and George-Ellis Kaisara (Kirwan
SHS) participate in an engineering challenge at the University of Queensland.
EEA engineers new
project to aid learning
Th e expansion of St Joseph’s Catholic School to off er junior secondary came as welcome news to families in Cloncurry this year.
Townsville Catholic Education Diocesan director Dr Cathy Day said the development to extend the primary school to off er years 8 and 9 was the result of co-operative plan-ning between key organisations.
“St Joseph’s Catholic School has been, and will continue to be, an integral part of the Cloncurry district,” Dr Day said.
“Much has been done since I fi rst met with a group of enthusiastic parents in the school’s shed some time ago, pressing us to extend our Catholic Education off ering here in Cloncurry.
“Aft er working with the local community, the Cloncurry Shire Council, the local parish and all levels of government, we were thrilled with the approval to extend St Joseph’s Catholic School to off er years 8 and 9.”
Mayor of Cloncurry Shire, Cr Andrew Dan-iels, said the development was a great op-portunity to keep families in the Cloncurry community longer and to also att ract new families to town with the provision of quality junior secondary schooling.
“Th is development will complement the quality education already off ered by Clon-curry State High School,” Cr Daniels said.
Most Rev Michael Putney, Bishop of the Townsville Diocese, is also delighted with the collaborative approach to ensure this dream has become a reality.
“Education is a key activity in our mission as
Church,” Bishop Putney said.
“Our investment in St Joseph’s Catholic School continues the Church’s commitment to serve the spiritual, educational, social and community needs of country parishes in our Diocese.”
Dr Day encouraged parents to use this op-portunity to ensure their children had the best start to a Catholic secondary education.
“We are delighted to support families in the Cloncurry community by extending our delivery of Catholic education and we hope parents will consider one of our Catholic boarding schools for the senior years.
St Joseph’s Catholic School principal, Bob Grant, said this expansion into junior second-ary was an historic occasion for the town.
“St Joseph’s Catholic School was established in 1909 and therefore this is a major mile-stone and a sign of the community’s support of the development of educational opportu-nities in Cloncurry,” Mr Grant said.
“We encourage families relocating to Cloncurry and interested in a Catholic junior secondary education to call us for further information.
“Families and friends of St Joseph’s can also now follow us on Facebook to keep up to date with the school’s news and develop-ments.
“St Joseph’s is a very close-knit and family-oriented school. We warmly welcome our new families and look forward to them being actively involved in the life of our school.”
St Joseph’s Catholic School, Cloncurry Expands to Secondary
18 March 2014 | The Mining Advocate
Support for youth
Santos GLNG has received a national award that recognises the business’s eff orts in measuring and managing the impacts of its operations in Queensland.
Social Impact Measurement Australia’s panel of judges announced Santos GLNG as the winner of the Impact Measurement Achievement Award in the Government, Corporate or Philanthropic Organisation category at a recent ceremony in Sydney.
Santos GLNG social performance manager John Phalen said the project’s Social Impact Management Plan (SIMP) outlined how it maximised the benefi ts and mitigated the impacts of its activity across the Maranoa, Banana Shire, Central Highlands and Gladstone regions. “We have invested more than $50 million into regional Queensland communities where we operate and we continue to proactively engage with communities on social impacts and mitigation strategies through a range of forums and channels,” he said.
Mackay engineering supplies
business McGinns is holding a
month-long promotion for the
McGrath Foundation.
March will see McGinns
“go pink” selling a variety of
McGrath Foundation pink safety
equipment, raffl ing Einhell
products and hosting a Family
Fun Day on Saturday, March 29.
“Recently some of our
employees and their family
members have been personally
aff ected by cancer, so McGinns
wants to raise donations
to support the McGrath
Foundation, whilst helping raise
awareness of breast cancer in
Mackay,” McGinns manager
David Evans said. “Our goal is
to help fund the appointment of
another McGrath Breast Care
Nurse, as there are currently only
two McGrath Breast Care Nurses
for Mackay and the surrounding
communities.”
As part of the Dowdens
Group, McGinns will also use the
organisation’s lifestyle program to
help promote the cause and raise
further donations courtesy of the
entire Dowdens Group workforce.
Award for Santos GLNG
McGinns’ McGrath month
Milestone a reason to smile
Glencore Copper Assets North Queensland chief operating offi cer Mike Westerman (far left) and chief mining offi cer
Matt O’Neill (far right) congratulate St Joseph’s Catholic School principal Bob Grant, Cloncurry State School P&C
president Deb Twomey and deputy principal Brendan Baillie, and Cloncurry PCYC branch manager Sergeant Michael
Maguire on being awarded 2014 partnerships under the Glencore Community Program North Queensland.
Cannington
Proudly supporting mining communities
February marked the fi rst anniversary of the Royal Flying Doctor Service (RFDS) and QCoal’s Community Dental Service.
Th e three-year partnership was launched to provide free-of-charge preventive dental care in regional communities.
RFDS (Queensland Section) chairman Bill Mellor said the service had received a big response.
“Over 2000 patients from more than 13 rural communities across central and western Queensland have received treatment,” Mr Mellor said.
To date the communities of Clermont, Sapphire, Blackall, Winton, Hughenden, Camooweal, Richmond, Greenvale, Collinsville, Bowen, Dajarra and Normanton Th eodore and Monto have benefi tted from the service.
The QCoal Community Dental Service has celebrated its fi rst anniversary.
Bechtel safety in another league
A three-year partnership with a
pledge of $195,000 to support a
new youth offi cer for Cloncurry
is among Ernest Henry
Mining’s latest community
initiatives.
About 140 local residents
attended the recent Ernest
Henry Mining public barbeque
to celebrate the announcement
of the mine’s 2014 community
partnerships.
Th e Glencore Community
Program North Queensland
(GCPNQ) was established
in 2005 under Xstrata and
aims to support initiatives that
promote economic growth and
sustainability in the local area.
So far $28 million has been
allocated through the program
on initiatives benefi tting the
communities of Cloncurry,
Mount Isa, Townsville and
Bowen, with more than
$5.6 million committed to
Cloncurry alone.
Th is year’s partnerships
included Cloncurry State
School, Saint Joseph’s Catholic
School and Cloncurry PCYC.
A spokeswoman for Ernest
Henry Mining said $321,000
had been allocated to the 2014
partnerships.
“Th e partnership with
Cloncurry state school is
$80,000 and is for one year,” she
said.
“Th e funding will be used
for new sun shelter and seating
for the students. Sun safety is
important here, and this will
help the kids to be sun smart
when playing outside.
“Th e second partnership with
Saint Joseph’s Catholic school
is for $46,000 and will be used
for science room and laboratory
fi t-out. Saint Joseph’s was just
a primary school until recently
and it has now been extended to
include years eight and nine. So
the school now has to be able to
provide for additional subjects
and extra rooms so we’re helping
with that.
“Th e last partnership is our
largest one. It is a three-year
partnership with the Cloncurry
PCYC and is for $195,000 in
total. We’re helping to create a
whole new job for a youth and
community engagement offi cer.
Th e role will fi rstly develop a
longer-term crime prevention
strategy and will include a roll
out of new and exciting PCYC
programs in Cloncurry.
“It’s an exciting partnership
that will aim to really provide a
lot for the local youth.”
Broncos players Sam Th aiday and Corey Parker
provided a bit of safety inspiration for Bechtel teams
on the Santos GLNG project during a recent visit.
Th e NRL stars made the trip as part of the Bechtel
Safety League campaign which was launched last year.
Th e program challenges Bechtel staff to improve
workplace safety with an overriding goal of
signifi cantly reducing on-site injuries.
So far the initiative has seen some successful results,
with the team recently recording two million hours on
the Curtis Island site without a lost-time injury.
Th e site’s environment, health and safety manager
Jeff Weldon said the players motivated the workforce
to continually improve their safety performance.
“Sam and Corey compared their pre-season
training to how the workforce should approach
personal safety and the safety of their mates every
single day,” he said.
“Th e entire team on site has embraced the Safety
League program and injuries have been reduced
because of the team’s engagement.”
Building Mining CommunitiesSUPPORTED BY BHP BILLITON CANNINGTON
19The Mining Advocate | March 2014 LOGISTICS AND MATERIALS HANDLING
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Th e largest inland road project that
Australia has seen will act as an enabler
for economic growth and open up the
region of Toowoomba as a freight and
logistics hub, according to the co-chair
of the Engineers Australia Toowoomba
regional group.
Th e Toowoomba Second Range
Crossing (TSRC) was recently
secured for the state by the federal and
Queensland governments.
Dr Steven Goh described the
road project as a “once in a lifetime
opportunity to open the gateway to the
outback” and connect Brisbane with
regional Queensland.
“It’s a bypass road project that involves
funding of approximately $1.7 billion.
So it’s quite a signifi cant transportation
and road project, in fact it’s probably one
of the largest road projects in the country
at the moment,” he said.
“Th e current route is one of those
major hurdles because you have this road
going up the range and it’s very slow. As
I recall it’s about 16 traffi c lights. Th ere’s
a lot of traffi c coming from all over the
country to this region and the bypass
would be able to divert the freight traffi c.
“And when you talk about dealing with
the mining potential out west around the
Surat Basin, well it would be a gateway
to the coal deposits out there.
“It’s a key ingredient in establishing
a national transport and freight hub
at Charlton (on the outskirts of
Toowoomba) as part of a national freight
network inclusive of road, rail and air
transport.”
Th e TSRC was set to provide
a signifi cant boost to the region,
potentially helping to kickstart
$30 billion worth of mining projects in
the Surat Basin alone, Dr Goh said.
“Th e potential for increasing
productivity of freight and human
cargo, government fi gures suggest, are a
$2.6 billion contribution to the regional
economy, and $3.1 billion nationally.
“Th e land has been bought, the initial
conceptual design has been put out
there, so it’s essentially what we would
call shovel-ready. Th ere are still some
fi nal designs to be done but that should
happen pretty quickly and then it would
be about three years to construct.”
Rail project builds up steamTh e Inland Rail project has been on the drawing board for decades but it’s beginning to get attention from the government and private sectors to get it going.
Th e Federal Government has earmarked $300 million to kickstart the project, which will connect Brisbane to Melbourne via an inland route through Toowoomba.
Toowoomba Surat Basin Enterprise (TSBE) chief executive offi cer Shane Charles said the project would be critically important for the resources and agricultural industries.
“It will be particularly important for the resources industry in trying to get more of the coal to port, especially considering the Glencore Xstrata decision not to proceed with the Surat Basin Rail project - it’s left a bit of a hole,” he said.
Th e Surat Basin Rail project was a joint venture between Xstrata Coal, ATEC Dawson Valley Railway (a subsidiary of Australian Transport and Energy Corridor)
and QR Surat Basin to build a rail line between the western railway system near Wandoan and the Moura railway system near Banana.
“Th at decision not to proceed with the Surat Basin Rail has put a constraint on the remainder of the coal producers in the southern Surat Basin that they have no ability to get their coal to port so we need another solution,” Mr Charles said.
He said the Inland Rail would act as a solution, with aims to get stage one - between Toowoomba and the Port of Brisbane - in action during the fi rst term of the Abbott government.
“It’s a 10-year project but it depends, as it is a very complex fi nancing deal,” Mr Charles said.
“We would hopefully be looking at the fi rst stages to start almost immediately and as the demand grows, move to fi nalise stages two and three. So we’re certainly pushing for the connection from the Port of Brisbane to
Toowoomba to be started very shortly.” He said there was growing momentum in private and political circles to see the project succeed.
Australian Logistics Council (ALC) managing director Michael Kilgariff said the rail project was
of particular importance for the growth of the Port of Brisbane.
“ALC welcomes the Federal Government’s commitment of $300 million to progress this project and its establishment of an inland rail implementation group
to put together the project plan,” he said. “An important part of the group’s work is preserving and protecting the preferred alignment now so that the land will be available when the Inland Rail freight line is eventually built.”
Road ahead looks positive for $1.7b bypass initiative
TSBE chief executive offi cer Shane Charles, implementation group chair John Anderson and Port of
Brisbane chief executive offi cer Russell Smith at an Inland Rail forum in Toowoomba. Photo: Andrew Coates
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Th e Queensland Resources Council has released a new guide to aid workers and families preparing for and adjusting to the fl y in-fl y out lifestyle.
Th e Guidance for Long-Distance Commuting (FIFO/DIDO) Workers outlines the benefi ts and challenges of the lifestyle and highlights some of the social and personal issues individuals and families face.
It also contains a list of organisations that can provide assistance to commuting workers and their families and can form the basis of an induction tool to be used by HR professionals.
“We recognise that the lifestyle does have some challenges for families, and this guide provides valuable advice for people already working FIFO or DIDO rosters, or those considering them,” QRC chief executive Michael Roche said.
Founder and director of FIFO Families, Nicole Ashby, said guides such as this were important but that even more could be done.
“Research shows that the fi rst six months of FIFO is a crucial period for both the worker and the family unit, so going into the FIFO lifestyle with your eyes wide open and being prepared certainly infl uences how well your transition into the lifestyle will be,” she said.
“So resources like this are a win-win for everyone, for the workers, for the families, and for the companies.
“I think that companies can do more to prepare their workers
Guide gives advice
on FIFO lifestylein terms of induction. FIFO Families runs seminars that we’ve done at corporate level for industry.
“It highlights the issues and challenges that you face in the lifestyle, but ‘look here’s the solutions and the resources and the strategies you’ll need to get through it’. It’s so important we believe.”
Mrs Ashby said she had experienced the diffi culties of the FIFO lifestyle fi rst-hand.
“My husband works off shore in oil and gas and his roster is four weeks on and four weeks off and he’s been doing that for the
last fi ve and a half years and we have three kids aged four, six and eight,” she said.
“I didn’t have any preparedness entering the lifestyle. An opportunity just came up and then, yeah, he was gone.
“So I realised quite quickly that if you don’t have the people around you that understand the lifestyle and you don’t have the support system it can be very isolating, lonely and extremely stressful.”
Th e Reference Guide for FIFO/DIDO Workers can be downloaded from the QRC website at www.qrc.org.au.
Mining companies
support the need for
rescue helicopterTh e RACQ NQ Rescue helicopter service based in Mount Isa continues to fl y even though chief executive offi cer Alex Dorr, his staff and a band of volunteers fi nd it increasingly diffi cult to fi nd the $1.6 million that is needed annually to remain in the air.
Realising the importance of having an “airborne hospital” in the vast Outback of north-west Queensland, BHP Billiton Cannington mine has joined the increasing number of mining companies which support the service with a $20,000 donation.
Th e service is off ered 24 hours a day, 365 days a year and includes air medical services to residents, workers and visitors to
Th e Outback over a footprint of 500,000sq km from Mornington Island in the Gulf to Birdsville in the far south-west corner of Queensland.
Service representative Kara Th ompson said community and corporate support was vital to keep the service operating, irrespective of any government support.
“Over the past couple of years we have seen a signifi cant growth in support within the mining community,” Ms Th ompson said.
“Th ere is a realisation of our invaluable support for on-site mining injuries and the immediate aero-medical transfer we’re able to supply.”
Helipads have been installed at the Cloncurry and Mount Isa base hospitals which in turn see a faster turnaround for patients who require critical treatment from mine sites that have helipads installed.
Operating costs and equipment place a huge fi nancial strain on the service, which struggles to get support from the State Government.
Ms Th ompson said it cost $5250 per hour to fl y the helicopter and the annual fuel bill was in excess of $100,000.
Th e helicopter, valued at $2 million, is leased at $100,000 per month and the fi t-out as an aero-medical facility cost in the region of $2 million, according to Ms Th ompson.
“Th e need for the service is unquestionable and the organisation continues to work hand-in-hand with the State Government on ways in which to secure long-term funding support,” she said.
The RACQ
NQ Rescue
helicopter,
based in
Mount Isa.
21The Mining Advocate | March 2014 NQ Operations
New life for Leichhardt projectNew owners plan to start open-cut mining by mid-year at the Leichhardt copper project in north-west Queensland, building to a workforce of about 70 when fully operational.
Malaco Leichhardt general manager Stewart Robinson said the company was sending out tender documents for mining, explosives and transport services.
“From the request for quotations we will be shortlisting and from that discussions will be held with those parties,” he said.
“We are not ruling out mining ourselves and tenders will also be going out for pricing on equipment and then we’ll be reviewing what we do.”
Th e parent company – Malaysian fi rm Malaco Mining – had already spent a considerable amount of money to bring the site into compliance and upgrade processing plant, he said.
It began producing copper cathode in mid-February from stockpiled ore at the project, purchased for $14.75 million from Cape Lambert – which took on Leichhardt copper in 2010 after former operator Matrix Metals went into receivership.
While administration for the operation will be headquartered in Adelaide – where Mr Robinson
is based – it will use Cloncurry and Townsville as its main hubs for goods and services.
“Th e majority of our contractors that have been involved to date have been Townsville, Cloncurry and Mount Isa based,” Mr Robinson said.
Materials processing company Nordev is one of the fi rst to benefi t from the reopening of the Leichhardt operation, undertaking interim crushing and screening work at the site.
“We’re excited about the prospects in the Cloncurry district,” Nordev managing director Greg Raines said.
“It shows a glimmer of hope for further works in the western province area.”
Mr Robinson described the development as good news at a time when industry was slowing down a little in north-west Queensland.
“We’re in an ideal time to start operations up, with the cost of mining coming down,” he said.
All mining companies had to run smarter now than they had in the past to be profi table and Leichhardt Malaco was striving to be a very lean organisation, he said.
Mr Robinson said Malaco Mining had the advantage
of being a privately owned
company - without the costs and
hierarchical delays of a publicly
listed business – with a geologist,
executive chairman Dato’ H K
Sia, at the helm.
Th e new owners plan to
mine the Leichhardt project’s
Mt Watson pit at a rate of about
1.5 million tonnes of ore per
annum, grading about 0.85 per
cent copper.
Th e ore will go through the
operation’s heap leach, solvent
extraction and electrowinning
facility at nearby Mt Cuthbert.
Mr Robinson said there
were stockpiles of mined ore
containing about 4000 tonnes of
copper when Malaco took over.
Th e site had produced about
100 tonnes of copper cathode
in the fi rst three weeks of
commissioning the newly
refurbished plant, he said.
Glencore is the off take partner
for the product – Grade A plate.
Mr Robinson said the
Leichhardt tenement package
held huge exploration potential,
and that Malaco Leichhardt
would push to establish resources
to support a fi ve to 10-year mine
life.
“Our hope is to grow the
business to a bigger footprint,
with potential diff erent process
streams,” he said. “We will be
exploiting our tenement package.”
Copper solution
from the leach
heaps at Malaco
Leichhardt’s
Mt Cuthbert site.
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NQ Operations
Staff working at Incitec Pivot’s Phosphate Hill mine in north-west Queensland are taking innovative and eco-friendly steps to overcome a shortage of acid used at the site.
Th e regular supply of sulphur dioxide from the Glencore Xstrata copper smelter in Mount Isa will dry up when the facility closes in late 2016.
Gypsum and site waste water containing low concentrations of phosphoric acid are produced as by-products during the manufacture of ammonium phosphates at Phosphate Hill.
IPL managing director and chief executive offi cer James Fazzino said these by-products were disposed of in cells adjacent to the plant through a wet stacking process.
But when gypsum is combined with the waste water it produces a liquor that is continuously recirculated through the cells, increasing concentration.
Th e liquor contains 4 to 5 per cent phosphoric acid, which is then placed in evaporation ponds to increase its concentration up to 20 per cent.
Th e concentrated phosphoric acid is then pumped back to the plant for the manufacture of ammonium phosphates.
“Th e process of recovering phosphoric acid in this manner is referred to as decant,” Mr Fazzino said.
“In a nutshell, the solution is to use our gypsum cells as a solar phosphoric acid plant.”
An Incitec spokesman said the company had known of the decant process for some time.
“Th e recent advancement was the capability to bring it back to the plant. Th is involved a dedicated on-site project team utilising skills and expertise from across the site and building on capabilities learned as part of our business improvement program, Business Excellence,” he said.
Solar solution to acid shortfall
“Given it is recycled and doesn’t
require transportation, the decant
represents a cheaper source of
phosphoric acid although it is
obviously a limited resource.”
Th e shortfall will be made up
by importing additional product
from within Australia and
overseas.
Pondage at Phosphate Hill where Incitec Pivot is undertaking the solar evaporation trials.
Townsville has been labelled as a key industry hub
by the event coordinator of the inaugural North
Queensland Industry and Resources Expo.
Australian Events director Bob Carroll says
Townsville has signifi cant investment potential
alongside a pool of high quality trades, products and
technologies.
“Some companies are looking outside of Mackay
and the Bowen Basin for investment opportunities
and I believe that Townsville and the far north can do
that for them,” he said.
“Th e industry expo in Townsville will give
attendees the chance to get a very good picture of
how the industry is going in all areas in and around
Townsville, and where these opportunities may lie.
“Th ey will also see new product and ways of
improving productivity and cutting costs.”
Th e expo will take place at the Townsville
Entertainment Centre on March 27-28 and is
expected to host a large range of exhibitors.
“So far we’re on track to have the event sold out,”
Mr Carroll said.
“Based on our online enquiries we would expect up
to 3000 delegates to attend over two days.”
Th e event will kick off with a welcome breakfast at
Jupiters Hotel Casino.
“Th ere will also be some functions attached to
the event. Th is means people will not only get the
opportunity to see the product, but they also have the
opportunity to network,” Mr Carroll said.
Expo showcases Townsville region
23The Mining Advocate | March 2014 NQ Operations
Glencore Xstrata’s exit strategy from its copper smelting operation in Mount Isa and associated refi nery in Townsville is proceeding on schedule for a December 2016 shutdown, contrary to industry rumours that it could remain open until 2020.
A company spokeswoman said such strategies took time to implement and there had been no change to the longer-term aim to rationalise production strategies in the North West.
Th ese strategies will not see a slowdown in output - in fact operations are being ramped up and production increased.
Th e focus will now shift to the company’s Port of Townsville operations. A new berth – off ering 2.5 times more shiploading capacity, greater berth effi ciency and signifi cant improvements in environmental performance – will come online this year and secure opportunities for future export growth, according to the company spokeswoman.
Th e berth will handle not only Glencore Xstrata mineral concentrates but concentrates and fertiliser from third-party mines
and mineral processing operations
in the North West.
Production fi gures tallied
during 2013 underscore that
Glencore Xstrata is in a growth
phase. Copper production was
249,600 tonnes in 2013, a 25 per
cent increase over 2012.
Th is increase mainly related
to higher anode production at
Mount Isa (up 26 per cent),
driven by higher concentrate
feed from Ernest Henry mine,
which produced 70,700 tonnes
of copper in concentrate in
2013, an increase of 107 per cent
compared to 2012, relating to that
site’s $589 million life-of-mine
extension project.
Glencore Xstrata’s Australian
zinc and lead production rose
by 3 per cent and 10 per cent
respectively in 2013, mainly
driven by the growth projects at
McArthur River and Mount Isa.
Th e George Fisher project at
Mount Isa reached its planned
annualised ore mined run rate
capacity of 4.5 million tonnes
in June 2013. Commissioning
for the McArthur River Phase 3
project is expected by mid-year.
Isa output still going stronga
Sky-high progress for shaft workA delicate balancing act was performed at the Ernest Henry mine recently when the sky shaft was moved into its fi nal position within the shaft headframe.
Th e 1000m shaft is complete and hoisting is expected to begin in May.
Construction work is also under way for the underground components of the materials handling system including primary crusher, surge bin, trunk conveyor and loading station.
On the surface, construction is progressing well for the overland conveyor.
Th e head-end, consisting of three gantries and two trestles, was moved into place in January. Final construction works are scheduled
to start now the sky shaft is
in position. “Once completed,
the shaft will allow us to ramp
up production rates to around
6 million tonnes per annum,
extending the mine life to at least
2024,” underground shaft project
manager Adam Beswick said.
The sky shaft is moved into position within the headframe.
Switched on at McArthur River expansionEnergy Developments Ltd completed its biggest
remote area power installation project when workers
fl icked the switch on a 58Mw facility at Glencore
Xstrata’s McArthur River zinc mine in the Northern
Territory recently.
It was a logistical exercise of major proportions
and involved transporting six 8.9Mw power plants,
each weighing 180 tonnes, by road from Darwin.
Th e installation was part of the $360 million Phase
3 upgrade of the McArthur River operation. Th e
upgrade - doubling ore capacity to 5-5.5 million
tonnes per annum - is more than 80 per cent complete.
The power installation project at McArthur River Mine.
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24 March 2014 | The Mining AdvocateNQ Operations
Spotlight on
supply routeTh e question of pit-to-port supply chain co-ordination via the Mount Isa to Townsville rail corridor could well become clearer for prospective investors with the release in April of the North Queensland Resource Supply Chain report.
Th e study fl ows on from the Mount Isa Townsville Economic Zone (MITEZ) report, 50-year Freight Infrastructure Plan, released in 2012.
MITEZ executive offi cer Glen Graham said a $1.6 million grant from the then-Labor Federal Government funded a more detailed study of issues raised in the 2012 report.
Th ose fi ndings were to be released in March but have now been delayed until April.
Mr Graham, who was a member of the working group which was tasked with overseeing the study, said it was now in the hands of the State Government.
Th e study centred on three main areas: a demand analysis model, an infrastructure capacity audit and supply chain co-ordination.
Mr Graham said the 2012 MITEZ report raised a raft of issues which confronted new players wanting to tap into the mineral wealth of the North West who felt continuity of rail capacity could become an issue longer term as tonnages destined for the Port of Townsville ramped up.
He said that a number of issues in the public arena at the moment, including the
Glen GrahamMITEZ executive offi cer
privatisation of the Mount Isa
to Townsville Rail Corridor
and the Port of Townsville
and news that the federal and
State governments had agreed
to investigate incorporating
Queensland into the national
rail network, was adding to
uncertainty.
Meanwhile, Glencore Xstrata
has pulled out of the joint
venture Cloncurry Multi-user
Rail Load-out Facility planned
for the outskirts of Cloncurry.
Both Glencore Xstrata and
MMG were to build storage
facilities on the site while
copper junior CuDeco had
planned a container loading
facility.
CuDeco – which is developing
its Rocklands Group copper
project near Cloncurry - is now
the sole operator of the site
but will more than likely look
to share the facility with third
parties.
Construction of the Diamantina Power Station is well advanced.
DPS build still on the boil
Find extends Mount Wright production
Progress has continued at the Diamantina Power Station (DPS) site despite contractors Forge Power Group going into receivership, with the plant’s third gas turbine fi ring up in February.
Th e 242MW plant is being constructed in Mount Isa under a turn-key contract with Forge for owners/developers APA Group and AGL Energy.
It is supplying power into the North West Power System from three of its four gas turbines, with only one remaining gas turbine to be commissioned in open-cycle mode before the next
phase of commissioning activities for closed-cycle mode commences.
“We want to thank all of the employees, contractors and subcontractors who have remained committed to delivering this project for the region,” DPS project director Stephen Ohl said.
DPS has been in discussions with Korda Mentha, the receiver and manager for Forge Group, negotiating the terms of a transition deed.
Th is was executed on February 25, allowing for security of payment to Forge employees as well as Forge subcontractors working on site.
Cash boost for tungsten project
Glencore Xstrata has wound up mining operations at Mount Margaret, near Cloncurry in a move aff ecting about 150 employees and 140 contractors.
Th e company suspended work on four of the fi ve open pits at the site in September to further investigate ways to reduce mining costs and improve processing outcomes.
“Ultimately, we decided to place the operations into care and maintenance once we
completed mining activities at E1 North,” an Ernest Henry Mining spokeswoman said.
Mining at E1 North fi nished in early March, sparking the start of redundancies - although the EHM spokeswoman said about 30 per cent of the workforce would be required until June.
“We have worked to redeploy our people, particularly local people, within our operations in the north-west region wherever
possible, and are pleased to have
been able to provide 85 per
cent of impacted personnel, and
92 per cent of locals, with their
preferred outcome,” she said.
“Mount Margaret has played
an important role in the success
of (Ernest Henry Mining)
operations, contributing
signifi cantly to our production
profi le as we worked to advance
our $589 million underground
development project.”
The Mount Wright gold mine outside Ravenswood.
Resolute Mining has announced a 46 per cent increase in reserves at the Mount Wright underground gold mine which is part of its Ravenswood operation.
Recent detailed underground diamond drilling conducted from the bottom of the mine has confi rmed suffi cient mineralisation for the viable development of a further three underground levels and stoping operations below the current mining base.
Th e company says the extra production at the mine, which has been operating since 2007, extends the mining and processing operations until at least the September quarter of 2016.
Resolute chief executive offi cer Peter Sullivan said this gave the company further fl exibility in planning the development
of the Ravenswood operation, where
it has optimisation work under way
after completing a defi nitive feasibility
study for its Sarsfi eld expansion project.
Exploratory drilling continues at Mount
Wright, seeking potential extensions of
mineralisation at depth and north of the
current rhyolite breccia ore body.
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Glencore mothballs Mount Margaret site
Carbine Tungsten has signed a loan agreement for US$1 million with long-term off -take partner Mitsubishi Corporation RtM Japan. Th e investment is for environmental and engineering works for the stockpile project at the Mount Carbine site in far north Queensland.
Th e funding provided the company with fl exibility to fast-track its hard rock project as it looked to take advantage of the global tungsten supply shortage, Carbine managing director Jim Morgan said.
25The Mining Advocate | March 2014 NQ Operations
Dionne Connolly runs
her business with a strong
community focus and an
overriding goal of “giving
opportunities to locals, when
nobody else will”.
Now, the director of
Cloncurry-based business Curry
Contracting is being recognised
as the Mount Isa electorate’s
“Woman of Generosity”.
As part of the nomination,
Mrs Connolly travelled to
Brisbane recently to attend the
International Women’s Day
breakfast at Parliament.
Mrs Connolly, a Kalkadoon
woman who lives in Cloncurry,
describes herself as a local “fi xer”
and says the company she runs
with her husband Adrian seeks
to help the community in any
way it can.
“Curry Contracting is
currently the Queensland
manufacturing industry’s
(small) employer of the year, the
Northern Outback’s indigenous
business of the year and I was a
fi nalist for the regional services
award,” she said. “I believe we get
that type of recognition because
our business is not solely profi t
driven - we really, really care
Syndicated Metals is starting a new phase of
exploration drilling at a series of copper-gold
prospects about 4km south-west of its fl agship
Barbara project in north-west Queensland.
Th e company said the prospects represented
attractive opportunities for the discovery of
additional copper-gold mineralisation outside
of the main Barbara resource, which is being
developed as part of Syndicated’s 50/50 joint
venture with CopperChem.
Resource development drilling at the
Barbara deposit has been ongoing since
January as part of the work required to
complete a feasibility study, which is being
funded by CopperChem as part of its earn-in
requirements.
Th e Barbara project - about 60km north-
east of Mount Isa - has an indicated and
inferred mineral resource of 5.3 million
tonnes, grading 1.4 per cent copper and
0.1 parts per million gold.
CopperChem, a wholly-owned subsidiary of
WH Soul Pattinson, holds copper processing
facilities at Cloncurry which would be used to
process Barbara ore.
In addition to its Great Australia operations
at Cloncurry, CopperChem began open-cut
mining operations in November at Mt Colin.
Mt Colin is a greenfi elds copper-gold
project about 60km west of Cloncurry, with an
expected mining rate of 400,000 tonnes of ore
per annum.
Contractor makes her mark
Copper-gold sites bear fruit
about our community, the local
economy, the people who work
for us, and the people who can’t
get work in the local community.
“While Curry Contracting is
a private enterprise and not a
community organisation, a lot of
what we do within our business
is really about trying to help our
local community and make a real
diff erence to local people.”
Mrs Connolly said that fi nding
out about her nomination was a
humbling experience.
“In a way I thought to myself,
why me? Th ere are so many
other people who care and who
are invested in the community,”
she said. “I know these people
because I’m exposed to them, I’m
on the committees with them.”
Th e proudest achievement of
her life was her marriage and
three children, Mrs Connolly said.
“Adrian and I have been
married for nearly 10 years and
if it weren’t for my husband the
company wouldn’t be what it is
and we wouldn’t have achieved
all that we have,” she said.
“We are grateful for the
recognition of the work we do in
and for our local community.”
Member for Mount Isa Rob
Katter said Mrs Connolly had
used her business acumen to
not only establish a business
in Cloncurry, but to help local
people practically through the
processes of buying their fi rst
home or car, investing their
superannuation, and discussing
education options with
indigenous parents.
Dionne Connolly at the Queensland
Manufacturing Skills Awards where
Curry Contracting was named Small
Employer of the Year 2013.
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Minelec Pty Ltd is a Townsville-based, privately owned electrical contractor founded in 1991.
The company foundations were built around servicing north-west Queensland metalliferous mines and quarries in the early 1990s, where full-time crews attended everything from surface statutory maintenance in the processing plants to underground high-voltage reticulation in the mine.
In the years that followed and as the company continued to grow, this service extended from the north-west Queensland mining leases down to the coal industry and the central Queensland region.
Today, 23 years later, Minelec continues to provide services to the entire northern half of Queensland including central Queensland (coalfi elds), north-west, north and far north Queensland.
We also send work crews
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Minelec is a long-established and well-known electrical contractor in the region.
We are a multi-award winner in mining and industrial sectors and a business that has capability to deliver on everything from small to large projects with the fl exibility to meet client’s requirements in the current fi nancial environment.
A demonstrated understanding of the current fi nancial environment is in one of the recent underground projects completed, where working together with the mine, we were able to deliver approximately 25 per cent savings on a $2.4M estimated project.
This was achieved with innovation, drive and fl exibility, all the while allowing the mine to continue to operate.
A brief list of services Minelec provides includes construction, maintenance,
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26 March 2014 | The Mining AdvocateNQ Operations
New horizons for Dawsons Group
The Dawsons Training team includes offi ce manager Nile Baker, safety and
training manager Mark Kerridge, and training administrator Sophie Costi.
Following on from the success of its RTO arm in Cairns, Dawsons Group of Companies is embarking on the delivery of scheduled training in Townsville.
Th e Dawsons Training division has been exceptionally well received by its clients – whilst obviously heavily geared towards the resources sector, Dawsons is increasingly picking up clients in defence, education, marine, sugar and power industries.
“It’s our commitment to quality, industry experience and fl exible delivery models that sets us apart” Dawsons Training manager Mark Kerridge said.
Dawsons has been delivering on-site training for many clients
in the Townsville area and is supplementing this with the commencement of public courses in Townsville in March 2014.
Dawsons has a number of unique services for clients, providing value that only an industry-based company could identify.
“We are able to off er clients a seamless shutdown mobilisation process, landing a crew on site fully inducted and passed out and then utilising our trainers to provide on-site safety support and verifi cation of learning and safety behaviours during the shutdown,” Mark said.
Th is model has been successfully rolled out to clients
on sites hubbing from Townsville and Cairns.
Dawsons Training has recently executed agreements with the best mining houses to partner in the delivery of safety and high-risk training – both on and off site.
Recent reforms to RTO compliance requirements mean that now, more than ever, it is not viable for mining companies to also carry the burden of operating as training organisations.
“Clients are examining their business models to leverage industry partnerships to deliver the required outcomes, cost eff ectively and at the best possible standard,” Mark said.
Boilermaker Jacques Cramatte.
Meet a lifelong adventurerIt’s a long way from the Swiss Alps to Groote Eylandt, but Jacques ( Jack) Cramatte feels that his latest job with Dawsons Engineering at Groote Eylandt is taking him back to the great outdoors and his childhood walking expeditions in Switzerland.
“I love the variety and getting out into the environment,” Jack said. A boilermaker by trade, Jack is now seeing the other side of a mining operation, working with a crew of geologists, drillers and environmental engineers on surface and groundwater sampling as part of the EIS process.
“He is an invaluable member of the project team, providing ongoing logistical support and safety supervision to our fi eld teams,” Jack’s supervisor, Mike Chapman, said.
“Th e passion and enthusiasm he demonstrates in his role has provided a very positive impact to those
who work with him.” Jack was headed to
Cairns in 1995, looking for work on the Skyrail construction project. As it happened, he missed that opportunity and ended up at NQEA, staying with them for nearly fi ve years. It was in 2000 that he started work with Dawsons and since then his excellent trade skills and easy manner have seen him deployed to every work site Dawsons has a presence at.
Jack has been part of crews on site in locations from PNG to Western Australia and South Australia and most of the local sites in between, working on projects at
mine operations, sugar mills, slipways and power stations.
When recalling the variety of work over the years, Jack says; “I really enjoyed the construction project Dawsons worked on at Tom Price in WA. It was technically really well organised and the install went together seamlessly.”
Since 2000, Jack has left Dawsons to work on various projects in Abu Dhabi, Dubai and Gove, but always returns. “He’s always welcome back,” Sharon Dawson said. “Jack has been well received at any site we’ve ever sent him to. He always represents himself and our company well.”
Never too old to learnAt the age of 65, most people would be making plans on how to wind down and fi ll their lives with recreational activities.
Not Clive Murray. With a 90-year-old mother who was a teacher, a wife and a daughter who both work in education, Clive decided that it was his turn to give back.
After 38 years working at the Mulgrave Sugar Mill in Gordonvale, Clive - a Wanyurr-majay man from Gordonvale - was convinced to step into a whole new career where he could pass on that knowledge to the next generation.
Over the course of his working life at the mill, Clive had progressed through many occupations, collecting the requisite licences on the way.
Th is wealth of practical experience combined with his naturally easy manner and communication skills made Clive an excellent candidate to transition into a training and mentoring role.
It took more than some gentle persuasion from Dawsons’ then-training manager Robyn Van Rooye to step Clive through the process of attaining his Certifi cate IV in Training and Assessment, then registration with WHS as an assessor.
“To a 65-year-old man with no
computer skills, the concept of completing an online study course was absolutely terrifying,” Clive said. “It was the reassurance and support from Robyn and the team at Dawsons Training that got me through in baby steps.”
Clive trains and assesses in high-risk occupations, forklift, non-slew crane, work platform, rigging, scaff olding and dogging and says that his greatest achievement was overcoming his fear of public speaking in order to be able to impart his knowledge in a classroom situation.
Clive is combining his day job training at Dawsons with his passion for cycling and intends to ride from Cairns to Broome in 2015 to raise funds for breast cancer.
A lifetime’s experience has translated into
a change of career as a Dawsons trainer
for 65-year-old Clive Murray.
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27The Mining Advocate | March 2014 NQ Operations
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Feeding the Lawn Hill giantMMG’s Lawn Hill processing plant in Queensland’s lower Gulf region has a long way to go before retiring.
Th e umbilical connection with the Century pit will be cut in 2016 as the proud parent faces redundancy after 20 years as a world’s best zinc producer.
Enter Dugald RiverMMG Queensland
operations general manager Mark Adams said there was a 45-million-tonne resource waiting to be mined over an estimated 20-year life span.
Th e processing plant, estimated to have a replacement value of about $1.2 billion, would be fully depreciated by 2017 - which was an added commercial imperative, Mr Adams said.
While still in its infancy, the Dugald River project, about 65km north-west of Cloncurry, is well established - taking water from the Lake Julius connection to Ernest Henry mine and power from the
Mount Isa-to-Ernest Henry line.
Getting it rightIt is no secret that Dugald
River presents challenges for mine planners.
Several companies, including Rio Tinto and Pasminco, have owned the lease and failed to realise its potential.
MMG upgraded its estimates for Dugald River in its minerals resources and ore reserves statement 2013, which was presented to the Hong Kong Stock Exchange.
It said; “Dugald River zinc mineral resources have increased as a result of updated mineral deposit interpretation and modelling supported by defi nition drilling and underground geological mapping.”
Zinc was up 1 million tonnes to 7.6 million tonnes, and silver was up 2 million oz to 64 million oz.
MMG maintains new geotechnical approaches will
unlock the riches and says the ore body strikes 10,000m underground.
“Dugald River is one of the fi ve best (zinc) ore bodies left in the world today,” Mr Adams said. “Th e ore body is more complex than expected but that’s underground mining.”
What’s next?Dugald River is not the only
hand MMG will play to keep its Gulf facilities turning over.
Th e company has split the lease up into 30 exploration zones in an eff ort to identify smaller, even higher-grade deposits.
MMG was confi dent the geology of the area, where material that was easily mobilised was forced into fault structures, would reveal reserves of dominantly lead ore, Mr Adams said. Processing tailings dam fi nes was another options being investigated by mine managers, he said.
Th e plant currently extracts about 75 per cent of the zinc
metal and 55 per cent of lead, leaving a vast resource in the tailings dam.
Th at’s estimated to be about 2 million tonnes of zinc alone. “We can now show fairly conclusively (that) technically we can extract it. Previously that was not an issue, we couldn’t extract it. Now the question
is can we run a commercial process?” Mr Adams said.
Processing tailings dam material also removed a major environmental liability which added to the business case, he said.
Th e potential for phosphate production presents yet another option for planners.
The processing plant at MMG’s Lawn Hill site in North Queensland.
Champion going the extra mileTh e processing plant at Century is as much a part of the landscape as the spinifex.
It is one of the largest structures between Mount Isa and PNG in the north and Cairns and Darwin running longitudinally.
It stands obdurate against the extremes of heat, fl ood and age and, after 20 years, it has taken on the colours of the Gulf savannah and blends in like a local.
In the face of increasing challenges to get more zinc concentrate from diminishing grades of ore, the 79 processing plant staff have garnered Ferrari performance.
Th e plant was originally designed to process 680 tonnes of ore an hour. It has been refashioned and refurbished, tweaked and tightened, honed and calibrated to the
point where it is now handling 1000t/hour. No one knows the plant like processing
manager Tim Ackroyd who, like strapper Tommy Woodcock whispering in the ear of Phar Lap before a big race, is forced to ask for more from his champion.
Mr Ackroyd has been in charge of the plant for eight years and sometimes wonders who the master really is, while admitting there is a touch of superstition in maintaining performance from this thoroughbred.
“It’s curious,” he said. “We talk about it (the plant) having a lot of character. We don’t talk too loudly in case she hears us and does something nasty to us. You’re always running around touching a lot of wood.”
Mr Ackroyd estimates the cost to replace the concentrator at the Lawn Hill site would be more than $1.2 billion. Owner MMG is understandably keen to maintain a return from its investment.
“To maintain the performance of this plant, you have to push more through to keep metal production up,” Mr Ackroyd said. “Th at’s what makes a good metallurgist: understanding where you can spend a small amount of money to get good returns. Every plant is diff erent and I think the real trick is understanding the plant and its specifi cs.”
At current production, MMG Century is the third largest zinc producing mine in the world.
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TO THE MINING
INDUSTRY?
28 March 2014 | The Mining AdvocateNQ Operations
Cairns-based chief executive offi cer of shipping company Sea Swift, Fred White, is a fi fth-generation miner who can best be described as a rough diamond who has revealed many sparkling facets.
His childhood was nomadic and began in the Boyne Valley near Rockhampton when his father Alex tried his hand at cattle grazing.
A massive fl ood saw the family move to the Anakie sapphire fi elds west of Emerald in Central Queensland where they lived in a corrugated iron shed.
It wasn’t long before the White clan was on the move again to Clermont in search of gold and then on to Cape River near Pentland. Th e Cape River Mine was established and young Fred was packed off to All Souls College in Charters Towers to continue his education.
“At 42 dad decided he had had enough of the Outback and decided to retire to the coast. Th e family fi nished up in Innisfail,” Mr White said.
Gold fever is a hard malady to shake and it wasn’t long before the White family had a profound shift
From Mount Isa Mines to the helm of Sea
Swift, Fred White has had a varied career.
Plain sailing for shipping boss
of scenery to Tasmania.But Innisfail was to prove a
signifi cant stop in Fred’s journey to manhood. He met his wife-to-be Michelle there – maintaining a long-distance romance before they formalised the union and married in 1987 in Innisfail.
Th e couple’s travels took them to Mount Isa, where Mr White
landed a job in the lead smelter. “I will never forget that
experience, Mount Isa had 40 days of over 40-degree temperatures after I had just started,” Mr White said. But the wanderlust returned after two-and-a-half years and he was back in Tasmania scratching for gold.
He invested in a gold mine with his father which didn’t reap the rewards of previous ventures and Fred sought work at the Bell Bay aluminium smelter run by Rio Tinto.
“Th at was a turning point in my life, if I didn’t do something with my life now I’d be a labourer all my life,” Mr White said.
“So I decided to become a student full-time and scratch for gold on the weekends.”
He ended up with an associate diploma of metallurgy tucked in his pocket. A stint back in Innisfail working in the local foundry as the afternoon shift furnace boss was the launch pad to a stellar career at Mount Isa Mines.
“I got a call from a guy off ering me a job as a shift boss in Mount Isa, it was a no-brainer,” he said.
Promotion to superintendent of plant at the lead smelter followed and then a management position.
“Around this time Xstrata took
over the mine and I was given the
GM’s role with Xstrata Zinc,” Mr
White said.
At 42 he decided to retire, just
before the GFC in 2008.
“It was a mistake, not so much
fi nancially, but because of the huge
vacuum it left in my life. I didn’t
consider for a second that that’s
what was going to happen,” Mr
White said.
“Even though I asked HR
consultants to take me off all their
employment data bases I got a
call from a ‘headhunter’ enquiring
about a role with Sea Swift.
“I decided to meet the owner,
Sid Faithful, and found I had real
chemistry with him and I was
appointed to run the business.”
In his fi ve years in the chair at
Sea Swift, Mr White has doubled
staff to more than 400, doubled
annual revenue and doubled the
size of the fl eet.
Th e company has also expanded
into Darwin and now services
about 40 remote locations across
northern Australia from Cairns
to Darwin. Sea Swift vessels have
worked on the massive Curtis
Island LNG plant construction
project since it began more than
two years ago.
Fred WhiteSea Swift chief executive offi cer
Heavy equipment bound for Weipa.
29The Mining Advocate | March 2014 NQ Operations
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A Townsville-based business is tackling the issue of safely managing workers travelling or operating in remote and isolated conditions.
JESI ( Journey-Events-Safety-Innovations) Management Solutions recently released journey management software that automates an alert to emergency contacts when a traveller does not reach their destination.
Co-founding directors Joe Hoolahan and Matthew Tebble say JESI is a new and aff ordable software solution accessible from any telecommunication device.
It is not an app, is not GPS-reliant and is capable of automating an alert response to a series of emergency contacts even when a user is incapacitated.
“We didn’t want a system that monitored people’s every movement like a GPS tracker, but wanted a solution that by
exception alerted someone if the user didn’t check in at the time they should have. Simple, automated, aff ordable and reliable was our criteria,” Mr Hoolahan said.
JESI is being piloted across diverse industry sectors
including mining, community,
training, government and health
sectors.
JESI Management Solutions
is seeking distributors to
incorporate the software system
into their suite of products.
Getting them home -new safety technology
Townsville businesses are set to benefi t from Defence’s
Land 121 Project, which includes the acquisition of 2146
lightweight Mercedes G-Wagons and 1799 light and
lightweight trailers.
In answer to questions put by Queensland Senator Ian
Macdonald at recent Senate hearings, Major General
Paul McLachlan confi rmed that maintenance work on the
trailers being acquired under the Land 121 project would be
conducted by local contractors.
“Th is further clarifi cation from the Head of Land Systems
is great news for the North,” Senator Macdonald said.
“As 70 per cent of these trailers will be deployed in
Townsville and Darwin, this is great news for Northern
Australian Defence industries.”
Townsville businesses made up almost 60 per cent of
the contractors engaged under the $148 million Logistics
Transformation Program at Lavarack Barracks.
Of 68 work packages, 39 were awarded to Townsville
businesses and a further 10 to businesses from south-
east Queensland with an established offi ce in Townsville,
according to the Department of Defence.
Senator Macdonald’s questions at the Senate Defence
Estimates Hearings also confi rmed that F44 aviation fuel for
helicopters on Defence’s new LHD ships would be managed
through the port of Townsville.
Trailer work to
stay in Townsville
Co-founding directors Joe Hoolahan and Matthew Tebble.
A Townsville-based business specialising in steel fabrication and supplying equipment and services to the mining and mineral processing sectors continues to prosper in the market as many competitors have been forced to downsize as commodity prices contract.The Wulguru Group boasts 150 employees and company director Wayne Landrigan reckons he knows why
the business continues to do well.
“It’s our people - we don’t have much turnover, within the last few years having several employees reaching milestones of 15, 20 as well as 30 years with us,” he said.
“We have experienced people with the right skill sets who are known by our clients through repeat business, that’s where we shine.”
Wulguru Group staff are skilled in a variety of engineering applications including steel, plate work, tanks and pressure pipe work.
Clients include the BHP Billiton Cannington Mine in the North West, Phosphate Hill, Queensland Nickel, Glencore and the Port of Townsville.
Formed in 1977, the company has evolved and diversified with
the changing market conditions, but one common thread has run through the business since its inception – acquiring the very best staff with a shared view of excellence and a capacity to present engineering solutions across a range of engineering, welding and fabrication applications.For more details visit: www.wulgurusteel.com
Wulguru Group employees Barry Weir (26 years’ service), Jeff Dellit (16 years) and Kevin Cox (32 years).
Wulguru Steel - experienced people with the right skill sets
30 March 2014 | The Mining AdvocateNQ Operations
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In 2001 a quartz deposit about 150km west of the Atherton Tableland near Mount Surprise in North Queensland was found to be the largest known deposit of high purity rock silica in the world.
Th e Lighthouse mine is owned and operated by Auzminerals Resource Group (AMRG) and it produces quartz that comes out of the ground at 99.99 per cent purity.
Th e quartz is sent for processing at AMRG’s Port Melbourne factory where it goes through an extensive purifying process to turn it into High Purity Quartz Sand (HPQS).
AMRG principal Roger May said the company had called on leading experts from Germany and the United States as part of its research process.
“We sent samples of this raw quartz to Doctor Shi, at Suntech Power in China, who is well known in Australia for discovering a new way of making solar panels at Sydney University,” he said.
“I’ll never forget how Dr Shi told us he had been searching the world for a silica quartz of this purity. Suntech was then the largest manufacturer of solar
panels in the world.“For several years we have also
had the assistance of two of the world’s leading experts in the production of HPQS with our research program at AMRG’s private research facility in Port Melbourne.
“It’s not an easy process to actually make high-purity quartz sand. You have to crush it, acid wash it, wash it again, put it through a 2000-degree furnace to burst the crystals to remove any remaining impurities, then re- acid wash and clean it again. Th e HPQS then has to be ground down to a very fi ne quartz sand from the original rock quartz.”
Applications for HPQS include solar panels, semi conductors and high-end electronics, and demand worldwide is currently outweighing production levels.
“Th is year the world usage of high-purity quartz sand was predicted at 170,000 tonnes but the world production is only predicted at 80,000 tonnes. Th is product sells for $7000-$25,000 per tonne so it’s a very profi table enterprise for us, and we have the largest supply in the world,” Mr May said.
Th e Lighthouse mine deposit has been estimated at three to six million tonnes and AMRG has plans in the works to expand the Queensland mine site and the Port Melbourne processing plant in order to meet production demands.
“Th e cost of shipping the raw quartz from the mine
site to the processing plant in Port Melbourne is incidental considering the large profi t margins but AMRG also plans to build a 30,000-tonne factory in Queensland near the Lighthouse mine and we’re looking at having it operational by the end of 2015,” Mr May said.
“We also have a planned new factory building that is four times the size of the existing Port Melbourne processing site which actually adjoins our current factory, so we’re going to expand it into that.
“We plan to have that new facility operational by the third quarter of this year.”
Lighthouse shines for owners
The Lighthouse deposit is the largest known deposit of high-purity rock silica in the world.
31The Mining Advocate | March 2014 NQ Operations
Snow Peak goes into productionSnow Peak Mining is pushing forward with plans at its Surveyor and Baal Gammon projects as refurbishment of its Mount Garnet processing plant nears completion.
Th e ex-Kagara assets, which were formally acquired by Snow Peak Mining early last year, have undergone restructuring and refurbishment.
Snow Peak Mining managing director Ralph de Lacey - also chairman and managing director of Consolidated Tin Mines – expected concentrate production to begin in March.
“We’ve held the assets now since January 25, 2013 and we’ve gone through the process of developing
reserves, establishing mining
professionals, refurbishment
of the processing plant and
developing mine plans, schedules
and budgets,” he said.
“We recommenced mining
at the Surveyor underground
deposit in December last year
and we currently have about 19
people on site there.
“Th e Baal Gammon project
presented a challenge as the pit
had a volume of water in it. Th is
was addressed through a treat
and release program that we
commenced in December last
year. Th e program is ongoing but
achieving desired outcomes.
“Th e plan is to commence
mining at Baal Gammon once all
water is removed from the pit.”
Th e company will increase its
workforce as it ramps up mining
activities and aims to have about
130 people employed by April,
compared to a current workforce
of about 100.
“Th e recommencement of
operations under Snow Peak
Mining is bringing substantial
employment to the region,” Mr
de Lacey said.
“Kagara’s demise left a lot of
people unemployed, so now, as
required and in line with the
ramp-up schedule, Snow Peak
is re-hiring these pre-trained
experienced individuals.”
The Mount Garnet plant refurbishment program is nearing completion.
Kagara liquidators FTI Consulting have sold off the company’s central region assets and entered into a binding Heads of Agreement with Mungana Goldmines for the sale of the northern region projects over the last 12 months, leaving two asset packages for sale.
An FTI Consulting spokesman said while there was some interest in the remaining assets, a sale in the
immediate future would be unlikely.“Th e liquidators have been speaking
to prospective buyers for the two remaining assets – Th alanga (in North Queensland) and Admiral Bay (Western Australia),” he said.
“While talks are continuing, low commodity prices and poor market conditions have impacted on the level of interest in assets of this nature and have
impacted on the timeframe.”Th e current binding Heads of
Agreement with Mungana Goldmines for the sale of the northern region assets is dependent on approval by the company’s shareholders.
Non-executive chairman for Mungana Goldmines, Joe Treacy, said the company aimed to fi nalise the deal by the end of March.
“Mungana have a very large gold resource up there of about 2.7 billion ounces and its acquisition of the Kagara base metals is essentially in the same area and is about 240,000 tonnes of zinc metal and a signifi cant amount of copper, lead and silver,” he said.
“So certainly this acquisition would signifi cantly increase the resource base of Mungana.”
Gold venture picks up key Kagara assets
32 March 2014 | The Mining AdvocateNSS in focus
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Keeping pace with demandNSS is continuing to expand its
equipment and infrastructure to
keep abreast of growing demand
to shift, store, load and unload
goods in Gladstone, Mackay,
Townsville and Cairns.
Townsville is the focus of a
major development with the
construction of an 8500sq m
pressurised storage shed under
way.
NSS has won a fi ve-year
contract to store and ship zinc
ferrite for Sun Metals and half
the capacity of the shed will
house 20,000-30,000 tonnes
of the material at any one
time, according to commercial
manager Ross Grenside.
Th e remaining space will
be set aside to meet growing
demand.
Work on the $12 million
project is expected to be
completed by May, weather
permitting.
Th e shed will be able to
accommodate side-tip, end-tip
and bottom-dump trailers and
has been designed to include
a number of environmentally
friendly features including
negative pressurisation to ensure
that no dust from the stored
NSS commercial
manager Ross
Grenside (left) and
NSS port logistics
manager Jason
Fitzgerald where
the new $12 million
shed will be located.
Leaders in CQ loadingTh e ports of Gladstone and Mackay have been pivotal to the prosperity of Queensland in the past and will be even more so in the future.
NSS is keenly aware of the vital role these two harbours play, investing heavily in equipment, manpower, infrastructure and alliances in both centres.
Th e company’s Gladstone facility features a Liebherr mobile harbour crane (LHM 550 Litronic), a vital addition to a fl eet of advanced port equipment.
Th e acquisition of this 150-tonne capacity crane was sparked by a signifi cant increase in demand for stevedoring, transport and logistics services in the region to support the BHP Billiton Mitsubishi Alliance (BMA) Hay Point coal loading facility near Mackay and LNG developments on Curtis Island off Gladstone.
As the largest cargo handler in regional Queensland, the purchase demonstrates the company’s commitment to the Gladstone area and
ensures that it remains as a provider of premium services to clients.
In 2011 NSS formed a partnership with global construction company Bechtel Corporation, which co-ordinates the construction eff ort at the BMA Hay Point expansion project along with the development of the three Curtis Island LNG facilities.
As part of the partnership, NSS has provided stevedoring and ancillary services necessary to unload vessels, transport and receive and load-out project cargo into storage areas.
Expansion of the BMA Hay Paint coal terminal 40km south of Mackay involves the construction of a third berth, which will increase the terminal’s capacity from 44 million tonnes per annum to 55mtpa. An estimated 390,000 tonnes of cargo is expected to be transported during the project period which will continue through until mid-2014, with project cargo arriving through Mackay and Gladstone ports.
Compliance requirements are a growing function with any company in the 21st century and NSS has been busy in this regard.
Safety and quality initiatives include:• Decision in 2010 to achieve
third-party accreditation of NSS
Safety Management System.• Certifi cation against AS 4801
and ISO 18001 in June 2011• Accreditation program roll-out
to all ports NSS operates. • Ports of Gladstone, Mackay and
Cairns achieved certifi cation 2013.
• Accreditation of NSS quality management system against ISO 9001 in January 2012.
• Ongoing accreditation program roll-out.
• Implementation of the Qudos management system which covers document control and
incident management.Environmental measures
include:• Reviewing operations in terms of environmental performance and sustainability long term.
• Investigating the benefi ts of replacing current bulk hopper
systems with Eco Hoppers.• Developing and implementing a dust suppression system during bulk loading operations.
• Introducing low-frequency reversing beepers across all operations in close proximity to residential areas.
Safer, cleaner places to do business
The Liebherr
LHM 550
Litronic
mobile
harbour crane
is just one of
the fl eet of
advanced port
equipment
at the NSS
Gladstone
facility.
materials escapes outside the
shed’s walls, rainwater run-off
capture and truck wheel washing
facilities.
Increased volumes of material
moving through the Port of
Townsville has also led to NSS
taking steps to purchase a new
mobile harbour crane worth
$5 million. It is a Liebherr
LHM420, with a lift capacity of
120 tonnes.
Mr Grenside said it would
be able to handle bulk cargo,
project cargo and containers.
“Th is crane reinforces NSS’s
commitment to the region and
will increase productivity at the
port, reducing vessel load times
and customer demurrage risk,”
he said.
Mackay is also on the radar
for expansion. “We are looking
at a plan to relocate our Mackay
operations within the port
precinct to a larger area nearer
to the berth,” Mr Grenside said.
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