D&d magazine issue 14 dec 2015 feb 2016 (web)

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AUSTRALASIA’S QUARTERLY OIL, GAS & MINING MAGAZINEDECEMBER 2015 - FEBRUARY 2016 • ISSUE 14

SANTOS FIRST CARGO SHIPPED FROM GLNG

ICHTHYS PIPELAY COMPLETED

BHP-VALE DAM IN BRAZIL

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This year has been volatile for the energy and resources sectors seeing a massive decline in global commodities markets. September, 2015 quarter GDP growth in Australia was three times stronger than the previous period leaving the annual rate at 2.5%, which is stronger than the US, Eurozone and Canada. We are making the transition from Australia’s largest resources investment boom in our history to a broad based net growth with large increases in exports, but iron ore prices are still falling as key trading partner China’s economy slows.

A few attention seeking analysts vying for media coverage are making some outrageous forecasts about a pending recession in Australia, but there does not seem to be any of the usual recession indicators. Australia is grappling with falling commodity exports prices, including iron ore and oil but I do not believe Australia is heading for a recession. It is important to note that the world economy is actually growing at a reasonable pace with global real GDP expected to rise between 3 and 3.5% in 2016. This will drive Australia’s export sector and assist with much needed business confidence. There is an enormous difference between a recession and weak GDP growth.

I congratulate Gina Rinehart for being awarded 2015 miner of the year by the Sydney Mining Club. The Roy Hill Mine started construction in 2014 in the Pilbara, Western Australia and is the largest private land based mining and infrastructure project in the world. This $10 billion iron ore project that will produce 55 million tons of iron ore annually and is a credit to her vision and entrepreneurial talent.

In addition to developing mining and processing facilities, Gina Rinehart has built a new airport to handle 737 aircraft, a 344 kilometre heavy haul standard gauge railway line for 232 wagon trains that carry 32,000 tons of iron ore each day from the Roy Hill mine site to Port Hedland, 277 kilometres away and two new shipping berths have also been dredged in Port Hedland’s inner harbour, which has already seen the first shipment depart. Gina Rinehart is truly an inspirational Australian.

Woodside Energy and all the North West Shelf Project participants have announced an additional $2.75 billion investment in the Greater Western Flank Phase 2 (GWF-2) Project. Located off the north-west coast of Western Australia, the.GWF-2 development will extract 1.6 trillion cubic feet of raw gas and the initial project start-up is expected to commence in 2019. The North West Shelf Project has provided over 40% of Australia’s total oil and gas production since it commenced production in 1984. As we remain on track to become the world’s largest LNG exporter by 2020, continued investment in this import project further highlights Australia’s ability to develop our gas. And 15 new projects worth around $13 billion have been approved for investment in Australia’s resources and energy sectors since November, 2014.

The Australian government is taking steps to expand our domestic uranium mining and the New South Wales government is encouraging further exploration of the state’s reserves. Global uranium prices plunged after the Fukushima disaster in 2011 but analysts predicting that the industry will soon recover and that uranium prices will flourish by the end of the decade. Demand for the radioactive fuel is rising from emerging giants, such as India and PR China and this surge in demand will boost prices. Market insiders predict that uranium demand could double over the next 20-years as PR China and other developing countries turn to this carbon-free, non-polluting source of energy.

We are always looking for interesting and innovative energy and resource sector news and I invite energy and resources sectors members to contact me directly with any information that may be of interest to our readers. I look forward to receiving your feedback.

Best regards

Len F retwell

Editor’s Letter

Publisher / Managing Editor Digging & Drilling Australasia and Race & Restore Magazines

LEN FRETWELL

4 DIGGING & DRILLING MAGAZINE DECEMBER 2015 - FEBRUARY 2016

IN THIS ISSUE

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Digging & Drilling Australasia welcomes comments and suggestions, as well as information about errors that call for corrections. We are committed to presenting information fairly and accurately.

Disclaimer: Reasonable care is taken to ensure that Digging & Drilling magazine articles and other information are up-to-date and accurate as possible, as at the time of publication, but no responsibility can be taken for any errors or omissions contained herein. The opinions expressed are those of the authors and do not necessarily reflect the views of Digging & Drilling Magazine. The publisher, editors, contributors and related parties shall have no responsibility for any action or omission by any other contributor, consultant, editor or related party.

EDITOR’S LETTER

MOMENTS IN PICS: PERTH TRUCK & TRAILOR SHOW

BHP-VALE DAM IN BRAZIL

NEWS IN BRIEF: OIL, GAS & MINING NEWS HIGHLIGHTS FOR THE QUARTER

AUSTRALIAN MINISTER FOR RESOURCES, ENERGY AND NORTHERN AUSTRALIA MESSAGE

SANTOS FIRST CARGO SHIPPED FROM GLNG

PROJECT POSTCARD: SANTOS GLNG FIRST CARGO DEPARTURE

ICHTHYS PIPELAY COMPLETED

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WHAT’S IN THIS ISSUE »

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Moments

MOMENTS IN PICS »


PERTH TRUCK & TRAILER SHOW

DECEMBER 2015 - FEBRUARY 2016 DIGGING & DRILLING MAGAZINE 7

BHP-ValeDam inBrazil

Brazilian authorities were racing to rescue victims and determine the death toll after a town was flooded by mine waste from a burst dam owned by two of the world’s largest mining companies, Vale SA and BHP Billiton Ltd.

The flood and its toll on the local community threatens to be major financial and reputational challenge for BHP and Vale, which jointly own the iron-ore mine operated by Samarco Mineração SA. BHP shares fell by up to 5.4% Friday in Australia and more than 4% in London as investors fretted about the damage.

BHP Chief Executive, Andrew MacKenzie held a news conference in Melbourne to address the unfolding crisis, calling it a “tragic incident.” He said the local area had been devastated by flooding, but that the companies “still don’t know the full extent of the situation.”

“We really need to be able to look a bit more carefully when we have daylight,” he said. Mr. Mackenzie said he couldn’t comment on possible fatalities or what role weather conditions had played in the incident.

“Our biggest imperative is to secure the safety of the community and obviously our workforce,” he said.

The dam broke at 4:20 p.m. local time on Thursday the 5th of November, 2015. The structure that failed is what is

known as a tailings dam, used to hold water and discarded minerals from the nearby iron-ore mine.

Mr. MacKenzie said the miner’s priority was to help manage the immediate rescue efforts. Firefighters were using tractors to open a road to reach stranded residents, and a bus with medical personnel had been moved near the scene.

The flood felt like an earthquake as it rushed through Bento Rodrigues, said Andrew Oliveira, who was working there at the time, in an interview with Globo TV. He said he ran until he reached safety.

“So I survived, thank God, for not having stopped running, this saved my life,” he said.

Samarco isn’t directly run by the global mining giants, but is operated as a separate company, with BHP and Vale as joint shareholders.

A spokesman for Vale declined to comment, pointing to a statement by Samarco that said the venture was prioritizing helping people and mitigating damage to the environment and that it wasn’t yet possible to confirm the cause of the incident.

Mining accidents aren’t uncommon in the region. In January 2007, the collapse of a tailings dam owned by Mineração


Rio Pomba Cataguases Ltda. resulted in catastrophic flooding that rendered thousands homeless in the cities of Miraí and Muriaé.

But such events are a rarity for mining giant BHP, which prides itself on high safety standards. Still, in the year through June it recorded five worker fatalities, compared with none the 12 months prior. It said it had since implemented a new companywide safety program.

The last significant tailings dam failure at a mine owned by BHP was at Pinto Valley in Arizona in 1997. A dam was being covered with waste rock when its wall collapsed, sending a wave of tailings and rock into the creek below. There were no serious injuries. BHP sold that mine two years ago.

Investors feared Thursday’s incident could cause the Samarco mine to shut down for some time, said Angus Nicholson, a Melbourne-based analyst at broker IG. BHP’s Australia-listed shares closed down 2.5%, compared with a 0.4% rise in the broader Australian market. The company is dual-listed in Sydney and London.

“It could be a significant amount of time before it [Samarco] gets back to production, so I am only surprised we haven’t seen a bigger selloff,” Mr. Nicholson said.

Samarco is an important business for BHP, accounting for

roughly 3% of annual earnings and 5% of valuation—a meaningful unit for such a large company, said Australian bank Macquarie.

In the year through June, the venture contributed US$695 million to BHP’s underlying earnings and generated a total US$1.41 billion in revenue. Macquarie values Samarco at US$6.2 billion.

“The dam failure is a major concern and could have a material impact on the near-term production outlook for Samarco,” it said in a client note. BHP is one of the world’s biggest producers of iron ore globally. Its earnings have been hit by a slump in prices for the commodity since the start of last year, although both it and fellow mining giants Vale and Rio Tinto PLC have continued to increase their output.

Samarco produces about 29 million metric tons of iron ore, and is one of Brazil’s biggest deposits of the steelmaking commodity. It has enough reserves to last for more than three decades, at current rates of production.

Image Caption: The US$33 billion expansion plan was shelved in 2012.

Image courtesy of BHP Billiton

NEWS IN BRIEF »

OIL, GAS & MINING NEWS HIGHLIGHTS FOR THE QUARTER

The Australian Government has provided the first look at Australia’s new icebreaker that will offer scientists an extended access to the Southern Ocean and Antarctica.

The new, custom built icebreaker will be uniquely tailored to meet Australia’s needs. It will be faster, larger, stronger and offer increased endurance compared with the ageing Aurora Australis.

The new ship provides a modern platform for marine science research in both sea ice and open water, MP Malcolm Turnbull wrote.

A multi-beam bathymetric echo sounder will enable seafloor mapping, while portable and flexible science laboratories will offer scientists space to conduct research.

Greg Hunt and Malcolm Turnbull unveil the vessel.

Greg Hunt and Malcolm Turnbull unveil the vessel.

The procurement represents the single biggest investment in the history of Australia’s Antarctic programme, with additional funding committed by the Australian Government to modernise shore-side infrastructure and equipment at Australia’s Antarctic stations and in Hobart.

For decades the Aurora Australis has been an icon in Hobart. The new ship will also be home ported in Hobart, further demonstrating the Government’s commitment to Tasmania’s role as the gateway to East Antarctica, MP Turnbull said.

Australian company DMS Maritime Pty Ltd has been selected as preferred tenderer to undertake the ship design and building process, and will then operate and maintain the icebreaker. The Department of the Environment and DMS Maritime Pty Ltd have recently started formal contract negotiations.

Subject to successful contract negotiations, the icebreaker will be built by Damen Shipyards. The new icebreaker is expected to be commissioned in October 2019.


NEPTUNE WINS SHELL CRUX CONTRACT OFF AUSTRALIA

Neptune has been awarded a geophysical and light geotechnical survey services contract by Shell Australia Pty Ltd (Shell).

The work will start in November 2015 and includes a site survey of the Crux gas field and a 160km route survey between the Crux and Prelude gas fields, in water depths ranging from 90m to 280m, the company informed.

Neptune will collect high resolution Multi Beam Echo Sounder (MBES), Side Scan Sonar (SSS) and Sub Bottom Profiler (SBP) data on-board the ‘Mermaid Investigator’ Offshore Supply Vessel (OSV).

Neptune Chief Executive Officer, Robin King, said: “This project is the first to be awarded to Neptune by Shell in Australia and we are delighted to be involved. Furthermore, our survey business in Australia has been awarded a number of contracts in recent months and it is pleasing to see a steady flow of work for our Geomatics team.”

AUSTRALIA UNVEILS NEW RESEARCH ICEBREAKER FOR ANTARCTICA

DEEPOCEAN NETS POST-LAY TRENCHING JOB IN AUSTRALIADeepOcean 1 UK Ltd., a subsidiary of DeepOcean, has been awarded a contract for the provision of post-lay trenching and survey works in Australia.

Works will be performed from DeepOcean’s DPII MSV Volantis using the 2,800hp jet trencher UT-1.

This contract for post-lay intervention works is scheduled for Q4 2015 and will see DeepOcean’s Volantis mobilize from current works offshore Malaysia to Australian waters.

Tony Stokes, Managing Director of Asia Pacific & Middle East said:

“We are extremely pleased to receive this award in Australian waters. This project highlights the requirement for such front-end trenching technology in the region and the demand for expertise found within DeepOcean and the UT-1. We look forward to a successful campaign and growing our presence in Australian waters”

NEW AGREEMENT SIGNED WITHBANJIMA PEOPLE

BHP Billiton has signed a new native title agreement with the Banjima People in Western Australia.

The BHP Billiton Banjima Comprehensive Agreement covers an area of 8263 square kilometres and includes a number of the Company’s Pilbara-based iron ore operations and most of the Banjima Native Title determination area.

BHP Billiton Iron Ore President, Jimmy Wilson, said the agreement was believed to be one of the most significant of its kind in Australia and highlighted the Company’s transparent and unique approach to engaging Indigenous communities.

“BHP Billiton and the Banjima People have carefully considered all of the terms of this agreement over many years to ensure it would provide real and lasting benefits to both parties,” he said.

“I am incredibly proud that we have secured an agreement that reflects our approach of developing true partnerships with Indigenous communities. It moves us away from transaction-based engagement to an ongoing and open relationship that will span generations to come.

“With a life of more than 100 years, it provides long-term certainty for both BHP Billiton, in terms of our current operations and potential future developments, and the Banjima People, with regards to how we will respect and treat their land.”

Banjima Native Title Aboriginal Corporation RNTBC Chairperson, Slim Parker, said: “We are in the midst of a period of great change. Through the agreement, the Banjima People have a great opportunity to build a fantastic future through programs and projects.

“The Banjima People are privileged to be at the forefront of a future that can truly be fabulous in all areas of our lives. Change is the name of the game if we the Banjima People are to build prosperity through self-determination. This will enable sustainability of our law and culture for future generations to come.”

Simon Hawkins, CEO of Yamatji Marlpa Aboriginal Corporation, the native title representative body for the Pilbara region, said this agreement between BHP Billiton Iron Ore and the Banjima People is a positive outcome after many years of negotiation.

“This agreement between BHP Billiton and the Banjima People is a great achievement for all parties involved. It shows that mining and Traditional Owners can co-exist if parties are willing to listen and work co-operatively,” he said.

The area of the BHP Billiton Banjima Comprehensive Agreement includes some of BHP Billiton’s interests at Mining Area C, Yandi, Munjina, Upper Marillana, Ministers North, parts of Mudlark, Roy Hill and Marillana.

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A V I A T I O N

First cargo shipped from GLNG

Santos announced the first shipment of liquefied natural gas (LNG) from its US$18.5 billion GLNG project left Curtis Island on the 16th of October, 2015 bound for South Korea.

First cargo shipped from GLNG

16 DIGGING & DRILLING MAGAZINE JUNE 2015 - AUGUST 2015

The first cargo is being carried by the Malaysian-owned LNG ship Seri Bakti and will be delivered to South Korea in the coming weeks.

Santos Managing Director and Chief Executive Officer David Knox said today’s announcement was the culmination of a historic journey for Santos.

“This is the largest project we have ever undertaken as a company and I am so proud that we have been able to deliver this on time and within budget,” Mr Knox said.

“Successfully delivering our first operated LNG project is a testament to our dedicated employees and contractors, the support we have received from governments, local communities, our customers and shareholders, as well as the strong relationships we enjoy with our joint venture partners.

“The first cargo from GLNG strengthens our position as a major and competitive LNG supplier to Asia.

“GLNG is a robust project and will generate strong cash flows for the

business for decades to come.”

Project construction began in 2011 and has taken more than 95 million work hours to date. More than 10,000 people have worked on the project which saw more than $15 billion invested Australia- wide, including $8 billion in Queensland alone.Production from the first train commenced in September and work on the second train is continuing to progress well, with Train 2 expected to be ready for start-up by the end of the year with first LNG in the second quarter 2016.

GLNG is a pioneering venture which produces natural gas from Queensland’s coal seams and converts it into LNG. It involves gas field development in the Surat and Bowen Basins, a 420-kilometre gas transmission pipeline and a two-train LNG plant on Curtis Island, near Gladstone which will have the capacity to produce 7.8 million tonnes of LNG per year when fully operational.

Santos is the operator and has a 30% interest in the project. Other co-venturers include PETRONAS of Malaysia (27.5%), Total of France (27.5%) and KOGAS of South Korea (15%).

My AFRICA: KenyarPOSTCARD PROJECT»

18 DIGGING & DRILLING MAGAZINE DECEMBER 2015 - FEBRUARY 2016 v

SANTOS FIRST LNG SHIPMENT FROM GLNG

5

Figure 2:Project area conceptual layout

EPA: Iron ore mine expansion recommended for approval Report 1562

An expansion to an existing iron ore mine in Western Australian’s Pilbara region has been recom-mended for approval by the Environmental Protection Authority.

The approved Hope Downs Iron Ore Mine Proposal, 75 kilometres north-west of Newman, includes open cut mine pits and associated infrastructure. Proponent Hamersley HMS Pty Ltd, represent-ing the Hope Downs Joint Venture partners, proposes to amend the existing Ministerial Statement (584) to develop and operate the Baby Hope proposal, which includes three above water table open pits, associated waste rock dumps, stockpiles and haul roads.

EPA Chairman Dr Tom Hatton said the proposal, which was assessed as an Assessment on Propo-nent Information – category A, could be managed to meet the EPA’s environmental objectives.

SEPTEMBER - NOVEMBER 2015 DIGGING & DRILLING MAGAZINE 21DECEMBER 2015 - FEBRUARY 2016 DIGGING & DRILLING MAGAZINE 21

6

Figure 3:Hope D

owns 1 D

evelopment Envelope

“The EPA has recommended that this proposal be approved, subject to a further set of conditions,” Dr Hatton said.

“In addition to the existing conditions in the Ministerial Statement, the EPA has recommended the proponent ensure all areas within the development envelope are rehabilitated and decommissioned to restore ecological sustainability.”

Dr Hatton said this would be achieved with the implementation of a mine closure plan, which will be regularly revised.

“The EPA has also recommended the proponent contribute funds to a government-established con-servation fund to mitigate the significant residual impact of clearing up to 800 hectares of native vegetation in ‘good to excellent’ condition,” Dr Hatton said.

The EPA’s report to the Minister for Environment is now open for a two-week public appeal period, closing November 30, 2015. Appeals are administered independently by the Appeals Convenor and can be made at www.appealsconvenor.wa.gov.au

The Minister for Environment will make the final decision.

EPA Report 1562 is available at www.epa.wa.gov.au

Offshore pipelay has been completed for the Ichthys LNG project. Laying of the 42-in. gas pipeline began in June 2014.

The 890-km pipeline will deliver gas from Ichthys gas-condensate field offshore Western Australia to onshore gas liquefaction facilities at Bladin Point near Darwin, Northern Territory, for processing (OGJ Online, Sept. 25, 2015).

Inpex Corp., Tokyo, said the line is the “longest subsea pipeline in the southern hemisphere and the third longest subsea pipeline in the world.” Inpex is operator and 62.245% interest holder in the Ichthys LNG project.

The pipeline was installed by two Saipem barges.

ICHTHYS - OffshorePipelay Completed

Innovation in Australian subsea construction

As far as offshore pipelines being

constructed in Australia go, it doesn’t get

much bigger than the 889 km subsea

export pipeline for the INPEX-operated

Ichthys LNG Project.

Once completed, the 889 km, 40-inch

diameter pipeline will transport gas

from the Ichthys Gas Field, located

in permit WA—37-R in the Browse

Basin, approximately 200 km offshore

northwest Australia, to an onshore LNG

processing facility located at Blaydin

Point, Darwin.

Before leaving the gas field, the gas

will undergo preliminary processing

at the offshore central processing

facility (CPF) to remove water and raw

liquids, including a large proportion of

the condensate. This condensate will

be pumped to a floating production,

storage and offloading (FPSO) facility

anchored nearby, from which it will be

transferred to tankers for delivery to

markets.

Reserves for the project stand at more

than 12 Tcf of gas and approximately

300 MMbbl of condensate.

The project is initially expected to

produce 8.4 MMt/a of LNG from two

trains, 1.6 MMt/a of LPG and 100,000

bbl/d of condensate at peak. The

facilities will include two 165,000 cubic

metre LNG storage tanks.

The Ichthys LNG Project equity interest is INPEX (66.070 per cent), TOTAL (30 per cent), Tokyo Gas (1.575 per cent), Osaka Gas (1.2 per cent), Chubu Electric Power (0.735 per cent), and Toho Gas (0.42 per cent).

Saipem have been awarded the main

construction contract for the offshore

pipeline, following on from initial front-

end engineering and design works

undertaken by JP Kenny and AMEC.

Boskalis is also subcontracted to Saipem

to assist with associated pipeline works.


ICHTHYS - World’s Largest Semi-Submersible Platform

The INPEX-operated Ichthys LNG Project has announced a major milestone for its Central Processing Facility (CPF).

The first dry dock hull block erection was celebrated with a ribbon cutting ceremony in the Samsung Heavy Industries (SHI) shipyard in Geoje, South Korea, where the CPF is being constructed.

The ceremony was attended by INPEX president Director Australia Seiya Ito and Ichthys Project Managing Director Louis Bon.

Speaking at the event, Mr Ito said the ceremony was significant as it recognized the introduction of the first large hull block to the SHI floating dock, where the CPF will be constructed.

“The placement of the hull block marks the culmination of huge fabrication efforts since the first steel plates were cut in January last year,” he said.

“Successful delivery of the CPF is of great importance as it is the centre of the Project’s offshore development, with all

future production being processed through this facility.

“Today’s event is another major step towards the completion of this world-class facility by late 2015, and a major step in the delivery of the Ichthys LNG Project – one of the world’s most exciting and challenging developments.”

The CPF is a very large floating facility that gathers natural gas and condensate from the Ichthys Field’s subsea wells.

Gas will undergo initial processing on the CPF, which will be permanently moored at the field, to extract condensate and water and remove impurities in order to make the gas suitable for transmission.

Most condensate will be transferred from the CPF to the nearby floating production, storage and offloading facility (FPSO) for

offshore processing, with the remainder sent to Darwin with the gas via the 889 kilometer gas export pipeline.

Earlier this year on 19 February, a major milestone was reached for the FPSO when the Project celebrated its keel laying.

With topside dimensions of 150 metres by 110 metres, the CPF will be the world’s largest semi-submersible platform.

Once complete, it will be towed around 6,000 kilometers to the Ichthys Field in the Browse Basin, offshore Western Australia.

Work is underway for all major Ichthys LNG Project facilities, including the Central Processing Facility, the FPSO, the subsea structures, flow lines and umbilical’s, the Gas Export Pipeline, and the onshore LNG processing plant in Darwin.

December 2015 - February 2016 DIGGING & DRILLING MAGAZINE 27

As part of its commitment to both the Pilbara and to science and technology, Orica has donated significant equipment and training to local schools and Nickol Bay Hospital.Orica Mining Services Pilbara CEO, Paul Bernhardt, said: “With over 100 Orica employees working in the Pilbara region, and projects in train that will further cementour local presence, we are dedicated to making a positive contribution to thiscommunity.”

ORICA FURTHER ENGAGES LOCAL PILBARA COMMUNITY PARTNERSHIPS

ORICA PARTNERS WITH THE SMITH FAMILY AND STELR TO BOOST EDUCATION IN THE PILBARA

Orica has joined forces with The Smith Family and the Science & Technology Education Leveraging Rel-evance (STELR) Project, to host a teachers’ professional development day, and donate science and technol-ogy equipment to Pilbara High Schools on Tuesday 1 December.

The initiative is part of a new three-year funding commitment from Orica to the Australian Academy of Tech-nology and Engineering’s STELR Project, which underpins an ambitious program to expand the reach of in-

L-R: Cameron Ross, Head of Department at Hedland Senior High School; Cathryn Cutfield, Karratha Senior High School Teacher; Grant Lo wood, Tom Price Senior High School Teacher; Paul Natale, Newman Senior High School; Teacher Pennie Stoyles, STELR Program Manager; Daphne Trevurza, The Smith Family Pilbara Team Leader; Greg Boylan, Hedland Senior High School Teacher


novative science education. Newman, Port Hedland, Karratha, Tom Price and St Luke’s Senior High School Teachers will attend the professional development course, where they will learn how to utilise the equipment effectively in the classroom to maximise the benefit for local students.

Orica Mining Services Pilbara CEO, Paul Bernhardt, said: “Orica is the founding and major sponsor of STELR and has been involved since 2009. As an organisation that has technology and innovation at its core, Orica is proud to support STELR, which aims to engage students in science, technology, mathematics and engineering. The program’s hands-on renewable energy module now reaches more than 35,000 students each year.

“Thanks to the combined efforts of Orica, STELR and The Smith Family, we have been able to identify the need for equipment and training within schools in the Pilbara region, and activate this fantastic venture,” he said.

Australian Academy of Technology and Engineering (ATSE) Education Manager, Peter Pentland, said: “STELR puts a practical science-based curriculum into the classroom, building on what students are already learning with the aim of encouraging students to consider science-based careers. “We are proud to work with Orica and through The Smith Family’s local contacts to provide a valuable learning opportunity that is already in more than 450 schools across the country,” said Mr Pentland. The Smith Family, a national chil-dren’s education charity, has partnered with Orica in Western Australia since 2014. The partnership supports The Smith Family’s education programs in the Pilbara region for disadvantaged children. Lorna Woodley, WA General Manager at The Smith Family, said: “With Orica’s support, in the Pilbara we now help more than 200 students through our Learning for Life financial sponsorship, working in 15 partner schools, and we run a range of learning programs including student2student, Learning Clubs and iTrack.” “With this initiative, we were able to assist STELR to make some local contacts thanks to our in-region presence, and it will be great to see the hard work come to fruition on the 1st knowing it will benefit students in the region,” she said.

ORICA DONATION BENEFITS LOCAL HOSPITAL

Orica and the Humpty Dumpty Foundation will be making a difference to the lives of children in the Pilbara after the donation of medical equipment to Nickol Bay Hospital on Wednesday 2 December.

The equipment, a Medfusion 4000 Syringe Driver and Jaundice Meter, valued at $14,000, was identified by the Humpty Dumpty Foundation as critical for the wards at Nickol Bay Hospital and come as part of Orica’s recent announcement that it will provide medical equipment to six hospitals across five continents as a single initiative under its Global Community Partnerships Program.

Paul Bernhardt, said: “Working closely with the Humpty Dumpty Foundation has allowed us to identify the outstanding work of health services in the Pilbara and we will continue to support the Foundation to purchase essential and often life-saving medical equipment for sick and injured children in the communities in which we operate.”


L-R: Matthew Ravenscroft, WA Country Health Service Operations Manager West Pilbara; Paul Bernhardt - Orica Mining Services Pilbara CEO; Monica Seth, District Director of Nursing West Pilbara; Jo Dawson, Clinical Midwifery Specialist; Baby Ruby and parents Bonnie and Brett Slater who will benefit from the recent donation; Debbie Jones, Orica Account

Lead; Natalie Baine, Orica Global Community Manager

Orica has sustained a close partnership with the Humpty Dumpty Foundation over the years, having also donated a much needed Mobile Infant Warmer, valued at $10,500, to the Hedland Health Campus maternity ward in 2013.

Humpty Dumpty Foundation Executive Chairman and Founder, Paul Francis, said: “Thanks to our Humpty “Good Eggs” supporters across Australia, we have been able to create a better environment and treatment for children living in the Pilbara. “

With the support of Orica and our community partners, we hope to continue to help Western Australian chil-dren by providing the medical equipment needed for hospitals to specifically care for children and babies,” said Mr Francis.

With Orica and Yara’s Burrup AN plant due to open near Dampier soon, and the company’s existing Pippin-garra Plant near Port Hedland, Orica will continue to invest in the growth and wellbeing of the Pilbara.

As part of its ongoing charitable work, Orica WA also recently joined in with Pilbara customer MACA for the 2013, 2014 and 2015 Ride to Conquer Cancer raising funds for a Perth-based cancer research foundation.

Deep sea mining

MechBro Australia has been set up to respond to the demand for Heavy Duty Diesel Mechanics and Fitters involved in the repair, maintenance and servicing of earthmoving, mining and transport equipment as well as light vehicles.

OFFICE & WORKSHOP 49 Candlewood Boulevard, Joondalup 6027

Tel: (08) 9300 3135 Fax: (08) 9300 3236

Email: [email protected]

OUR PEOPLE Whether it be a civil or mining project, every person on our team knows that to keep plant operating means productivity. We work hard and use our heads! As a collective, our team of highly skilled mechanics diagnose, repair and maintain a wide variety of plant and equipment, dozers, excavators, graders, scrapers, profilers, dump trucks, bobcats, heavy haulage road transport, etc.

Our team has the experience, qualifications and equipment to work on all aspects of these machines including engine rebuilds, hydraulics, track and frame, electrics and air conditioning and on all brands, including, but not limited to; CAT, Hitachi, Komatsu, Terex, O&K, Volvo, Bell, Vermeer, Cummins.

As a team of mechanics, fitters, servicemen and fabricators we keep machines going, as well as being involved in site mobilization where we establish containerized workshops complete with domes and commission machinery ready for operation. Upon project completion we demobilize workshops and plant and are often the last to leave site.

Throughout a project we are able to manage all parts ordering and delivery, including urgent hot shots. Our tilt tray can pick up and deliver parts and 20’ containers up to 8.5T.

WHERE WE’VE WORKED During the last 18 months we’ve worked at many major mine sites owned by BHPB, RIO, FMG, Sandfire Resources and more recently Onslow Quarry. Our people understand the rigorous requirements of working on these sites and act accordingly.

SAFETY FIRST Our aim is to conduct our business using systems and practices which will ensure that our workforce and the community are protected from injury and harm. Safety and productivity go hand in hand with our people working as problem solvers to get the job done.

WORKSHOP & ONSITE SERVICE We have the equipment and the facilities to service your machinery and vehicles. We will also invest in our business and tailor to your requirements.

REFRIGERENT TRADING AUTHORISATION MechBro has the capability and authorisation to repair your air conditioning units.

MACHINERY AND VEHICLE HIRE Mechbro can provide a variety of machinery and vehicles to suit your needs. MechBro currently have 6 mine specified service vehicles supported by a tilt tray truck capable of loading and unloading 20’ sea containers and moving items of plant up to 8 Tonne.

Having established MechBro Pty Ltd on May 9th 2011, with 2 mechanics we have experienced rapid growth and now have a great team of mechanics and service men. In 2012 we also acquired

.puladnooJ ni pohskrow elcihev thgil aWithin the next 12 months we will be establishing a heavy duty workshop where we can service, repair and store larger equipment.

Our business is based in Perth and also services regional areas, including the Pilbara. Our people are highly skilled and motivated to provide the highest level of service to companies throughout Western Australia. With a fleet of

.ynapmoc erih ruobal a ylpmis ton era ew taht ni euqinu era ew ,seitilitu ecivres deppiuqe ylluf dna defiiceps enimBecause with MechBro you don’t just get a capable individual, you get the strength of our entire team! MechBro’s team of mechanics and fitters are committed to the economic success of our customers. And so, before joining us, must demonstrate they possess the passion, skills and attitude required to satisfy our customers. Accordingly, we believe this set of values will help to ensure the mutual economic success of all parties.

For more info, contact Mark Nielsen Mobile: 0438005655 www.mechbro.com.au

MINERALS COUNCIL OF AUSTRALIA

REALISING AUSTRALIA’S URANIUM POTENTIAL: LAUNCH OF POLICY PAPER ON

AUSTRALIA’S URANIUM POTENTIAL BY PROFESSOR SINCLAIR DAVIDSON AND

DR ASHTON DE SILVA

Australia’s uranium industry holds enormous opportunity for jobs and export revenue growth

as governments around the world continue to adopt policies to deal with climate constraints.

However, such opportunities will only be realisable if Australia undergoes policy reform making

Australia a more attractive uranium investment destination, and a more competitive supplier.

These findings are contained in a new report by leading economists Professor Sinclair David-

son and Dr Ashton de Silva. The report, commissioned by the Minerals Council of Australia

(MCA), is titled ‘Realising Australia’s Uranium Potential’ and provides an economic analysis of

the uranium industry contribution to the Australian economy, as well as its potential in the years

ahead under various assumptions and scenarios.

The upshot is that Australia’s uranium industry could expand from its current state of around

3000 direct and indirect jobs and $600 million per annum value, to over $9 billion per annum

value with over 20,000 direct and indirect jobs by 2040.

deep-sea-hydrothermal-vents


uranium-ore

Professor Davidson and Dr de Silva show that expansion potential in Australia’s uranium sector is

substantial and based on two key variables: growth in nuclear power generation worldwide, and

growth in Australia’s share of global uranium production.

How much nuclear power grows worldwide will be determined by factors almost entirely outside of

Australia. However, their modelling was based on scenarios developed by the International Energy

Agency (IEA) highlighting that the more countries execute policies to mitigate climate change, the

more nuclear power will grow.

More importantly, Professor Davidson and Dr de Silva show that the most significant variable is

largely within Australian control; and that is the share of global production. Despite having almost

a third of the world’s uranium, Australia produces just 10 per cent of global production. With vision,

policy reform, and state and federal commitments to increase competitiveness and investment at-

tractiveness, Australia could target a share of global production closer to its resource endowment.

The economists show that in the process, Australia could reap substantial benefit in jobs and

export revenue; particularly if government policies around the world continue to encourage emis-

sions reduction in energy production. Such scenarios could see Australian uranium fuelling as

much as 5 per cent of the world’s electricity generation with zero emissions coming out of nuclear

reactors. This would be an outstanding contribution to global low emissions electricity generation.

unprocessed-uranium

methane_microbes34 DIGGING & DRILLING MAGAZINE DECEMBER 2015 - FEBRUARY 2016

Statement from Daniel Zavattiero, Executive Director - Uranium, Minerals Council of Australia

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Documents

D&d magazine issue 14 dec 2015 feb 2016 (web)