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An ode to mineworkers – heroes in helmets

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In 2021, the mining industry accounted for 8.2% of South Africa’s GDP. During the COVID-19 pandemic, the industry carried the country’s GDP, as some operations continued. But what does this take and who is at the preface of this crucial process? My recent tour to Menar’s Kangra Coal mine in Saul Mkhizeville, Mpumalanga propelled a deep sense of appreciation for the men and women in helmets.

Our tour consisted of a group of twenty seasoned journalists and students from across Gauteng, who had been chosen to attend the 2022 Menar Mining Journalism Training, to better understand the intricacies of mining for informed reporting.

After a four-hour drive from Johannesburg to Saul Mkhizeville, we were welcomed into a rigorous safety class and indemnification process. From there, we headed to the changing room, where the work began. We put on our gear: long wool socks, one-piece overall, knee-high safety boots, thick belt, helmet, rubber hand gloves, glasses, earpiece, and a face mask. The few kg’s added were equivalent to 4 hours’ worth of work at my office in Johannesburg! (It was heavy).

As we took the bus to go have our safety lights fitted, the atmosphere changed from excitement to tension. I guess this is probably why most mine workers sing on their way to their shifts- to ease the tension. In addition to the extra 10kgs I had accumulated at the dressing room, a chemical oxygen self-rescuer was fitted onto the side of our belts in case of an emergency.

Day two of Menar academy’s MJT2022 saw the trainees’ visit the Kangra coal mine in Saul Mkhizeville, Mpumalanga.

Now we were ready.

We then got to the mining site and started walking downhill toward the entrance. Lined up in silence, we all marched into the black hole…

I walked about 500m in heavy sludge that came up to the knee, depending only on the light fitted to my helmet. As we got further in, I began to see where all the magic started. Men and women were operating drill machines, some driving the mined coal toward the conveyor belt and others constantly checking for safety hazards. Greasy overalls and faces smudged in coal. It was all in a day’s work for them. The experience was both daunting and exciting.

As we finally headed out after the tour was done, I asked one of the officers who had accompanied us what made him jump out of bed every morning to spend 10 hours underground, where there’s minimal to no lighting, no glass walls and pot plants- where there was no coffee machine!

He turned and pointed to the coal that was being spewed out from the conveyor belt while a truck was loading it, and said “That has kept me coming back to work for the past 20 years.” I was inspired.

From that day, my perspective shifted.  Having a glimpse of the daily demanding activities of a mineworker, propelled a great sense of respect in me. We must also appreciate the new technology that allows miners to work in safe environments. LED lighting, proximity detections systems (PDS), netting, bolting, remote VR-led inspections and drilling all come in handy for these tough conditions.

Miners needn’t go on strike for a decent salary. They should not have to struggle to make ends meet. In fact, these are some of the workers that need to be treasured the most. If anything, I hope for a day where there will be a national day of mine workers in South Africa, that will serve as a constant reminder of the bravery, agility and service of these great men and women who risk their lives to keep the country going.

While mining output and exports are catalysts to the growth of an economy, it is always important to remember those at the helm of production.

First fully traceable mineral extracted in Ghana

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For the first time in Ghana’s mining history, Minexx, in collaboration with Solidaridad, a civil society organisation, has successfully exported 11.62 grams of gold fully traced with Minexx’s blockchain technology platform from the Obeng Mine in Ghana.

The gold was exported via trader HA Exploits Ltd. to the international market.

Marcus Scaramanga, CEO, and co-founder of Minexx, said:

“We are very pleased and proud to have achieved this milestone. Ghana is now the largest gold producer in Africa, so it is significant for this landmark to have happened here.”

He said, Minexx is connecting local responsible miners to responsible buyers on the international market, adding that the milestone kick-starts his organization’s growth and scaling in Ghana. 

“It is more important than ever that we moved with pace, leveraging technology to provide solutions to the challenges the world faces and to play our role in delivering benefits to all in the supply chain — from the artisanal and small-scale miners through to the consumer. This breakthrough in Ghana is another important step in this journey,” Marcus said.

Over the last six months, in partnership with Solidaridad, Minexx has worked with several mining companies, including the Obeng Mine, gold traders and officials of the Ghana government, to roll out its blockchain platform. All mining sites involved in the programme have been carefully selected after rigorous and thorough due diligence and undergo regular monitoring. 

Isaac Gyamfi, Regional Director for Solidaridad West Africa, said as an organisation promoting responsible practices in artisanal and small-scale mines in Ghana, Solidaridad is extremely excited to see responsibly produced gold being fully traced from mines it supports to the market.

“We will continue to support mines to meet the CRAFT Code requirements and use the Minexx traceability platform to trace the gold produced right from the mines to the international market, thereby giving assurance to consumers that the gold is coming from a responsible source — respect for human rights, health and safety of workers, and good environmental management, among others,” Isaac said.

Since 2018, Solidaridad has been supporting the Obeng/ Daakye Mine, a small-scale open pit mine located in the Western region of Ghana, founded in 2012, to transition from its conventional mining practices to a sustainable and responsible one. At the maiden Responsible Small Scale Mining Awards held in December 2021, the mine won the National Overall Small-scale Mining Award for 2021 for producing gold responsibly.

“With the support of Solidaridad, responsible and sustainable mining has become the hallmark of our operations. We will continue to give priority to the safety of our employees and ensure good environmental management,” Stephen Baidoo, General Manager of Obeng Mine, said.

Nana Akwasi Awuah, MD of the Precious Minerals Marketing Company in his recent article on illegal mining in Ghana, said:

“As a gold producing country, responsible sourcing is crucial for Ghana if the country is to obtain full value for its precious mineral.”

Minexx unlocks the small-scale mining opportunity for mines, mineral buyers, and government. Their Responsible Minerals Platform is at the heart of the solution shifting small-scale mining to a transparent digital environment where it pays to act responsibly.

For miners this means they benefit from market access, capital, and expertise. The platform is powered by Finboot’s MARCO blockchain platform and deployed in several Sub-Saharan African markets. In 2021, Minexx, in a world first, exported minerals from the DRC, processing US$250 000 of digital, blockchain certified payments.

This comes at a time when the LBMA announced the planned expansion to include verified sources of artisanal and small-scale gold, which accounts for 30% of global production worldwide.

Developing sustainable roadmaps for the lithium and copper mining industry

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Improving the efficiency and sustainability of lithium mining is key in the growth of the Electric Vehicle (EV) motor industry, as it relies on this metal to produce battery manufacture. Further, the transition towards a battery-powered life will contribute significantly to climate change mitigation and decarbonization initiatives.

Similarly, yet for different reasons, copper mining is also important, with experts forecasting major shortages in the years ahead. This is despite copper’s recycle value being quite high, where premium-grade scrap is said to have circa 95% of the value of the primary metal from newly mined ore.

Lithium mining projects are complex to manage, and often come in over-budget and off-schedule​. The involvement of multiple vendors, consultants, and internal ​stakeholders can lead to costly miscommunications​.

Further, a lack of common standards across various vendors can lead to extra engineering hours and project delays, and a lack of integration can impact future operations and plant efficiency. ​

Rockwell Automation solutions for lithium and copper mining (amongst other minerals), which in the form of Integrated Architecture can help increase operational efficiency, improve visibility and enable better decision making, enable a modernized and empowered workforce, allowing superior mine-to-market integration, while operational transparency and monitoring help to manage environmental concerns & community integrity.

On 20 July, Rockwell Automation and Mining Review Africa hosted a Webinar on how integrated systems and scalable analytics enable improved mine-to-market visibility and allow for better decision-making to build and operate more efficient and sustainable lithium and copper mines.

SPEAKERS

  • Canninah Dladla, AFRICA COUNTRY SALES DIRECTOR
  • Steffen Zendler, EMEA HEAVY INDUSTRY STRATEGY & MARKETING
  • Alwyn de Vries, EMEA LIFECYCLE SALES SPECIALIST

Multotec at the heart of servicing the full African continent

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Peter Mbada, MD of Multotec International, talks to Laura Cornish, Editor-In-Chief of Mining Review Africa at Electra Mining Africa about the company’s presence and footprint in Africa, its key focus areas and what it means to be a true service provider, beyond supping equipment.

https://youtube.com/watch?v=KM-ebL6LqqY%3Ffeature%3Doembed

Access more Multotec’s videos from Electra Mining Africa here

GoviEx moves closer to being a uranium producer by 2025

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GoviEx Uranium has closed its previously announced bought deal private placement financing which includes a partial exercise of the over-allotment option, at a price of C$0.22 per Unit for aggregate gross proceeds of C$10,166,860.

Each unit consists of one Class A common share of the company and one-half of one Common Share purchase warrant.

Each Warrant entitles the holder thereof to purchase one common share at US$0.24 until October 25, 2025. The company expects to close an additional tranche of units on the same terms as the Private Placement in the coming days.

The funds raised will enable continued development of GoviEx’s projects, bringing the company closer to its target of becoming a uranium producer by 2025, subject to project financing.

With the release of the FS results for its Madaouela project in Niger in September, the company will now focus on progressing offtake and debt financing options for the project.

The net proceeds of the private placement will also be used to continue the development of the Muntanga project in Zambia, where GoviEx aims to complete a FS by the end of 2023, and the continued exploration of its earlier stage Falea project in Mali.

In addition to the foregoing, the net proceeds from the Private Placement will be used by the company for exploration and general corporate and working capital purposes.

Can Enoch Godongwana follow through on SOE financial intentions?

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The Minerals Council South Africa welcomes the Government’s continued resolve for fiscal consolidation enabled by budget overruns, its doubling of capital expenditure, and its highly conditional financial support of key state-owned entities that are constraining economic growth.

There was clear recognition in the Medium-Term Budget Policy Speech delivered by Finance Minister Enoch Godongwana of the extensive damage caused to state-owned entities during years of corruption and mismanagement, and which are now having severe negative consequences for the entire economy. He also announced progress in designing a framework for the evaluation of the continued existence of state-owned enterprises.

Strict conditions would apply to the future funding provided to Transnet, Eskom, Denel and other state-owned entities, a decision strongly endorsed by the Minerals Council, which has noted the enormous amounts of money injected into government companies with very little to show for it.

RELATED:
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Transnet strike costing R815 million worth of exports a day
Stop the gaslighting and stop forcing the red pill down our throats

The gross tax revenue overrun for the 2022/23 financial year was revised upward by R83.5 billion, with the financial, manufacturing and mining sector royalties providing improved corporate income tax.

A R2.9 billion cash injection for Transnet to return idled locomotives to service and a further R2.9 billion to repair flood damage in eThekwini will address two areas of concern within the rail and ports state-owned company. Transnet has said it has a backlog in maintenance of 300 locomotives.

However, the Minerals Council remains concerned that there was no mention of Richards Bay, which is a major bottleneck for exports of chrome, ferrochrome, and magnetite along with other exported and imported products. Transnet is lagging rail delivery targets for bulk minerals. The Minerals Council estimates an opportunity cost of R50 billion for the industry this year when actual deliveries are measured against target. In 2021, the industry lost R35 billion using the same metric.

The Minerals Council is disappointed that there is still no firm government decision to increase private-sector access to Transnet’s rail and port infrastructure, particularly on the bulk mineral export corridors, outside the limited access the Government has already earmarked. Private sector participation in rail and port infrastructure is key to unlocking an estimated R151 billion of mineral exports.

Minister Godongwana said the Government would take between a third and two thirds of electricity monopoly Eskom’s R400 billion debt under strict conditions and an independent review of Eskom’s coal-fired power plants. This will give Eskom increased flexibility to be unbundled into its three constituent parts and to focus on plant maintenance of its aged fleet of power plants and capital investment which is vital because of the continued disruptions to electricity supply for the country.

The R3.4 billion allocated to Denel, the state-owned military equipment maker, is important for the mining industry because the company supplies critical chemicals needed for security and explosives used in blasting. Its stabilisation is critical for sustainable mining operations.

A doubling of government infrastructure spending to R112.5 billion by 2025/26 to rehabilitate and build new roads, bridges, and other infrastructure is important for economic growth and should address the average annual contraction in gross fixed capital formation of 4% between 2016 and 2020 from the R796 billion peak in 2015.

It is disappointing that government is resolute to increase carbon taxes steeply after 2023, as announced earlier. However, a paper on tax-free allocations to be published in 2023 is eagerly awaited, as mining, which is a low carbon emitter, will simply experience higher tax costs without being able to cut emissions much further. Most self-generation projects will entail renewable energy sources though. Mining companies have a pipeline of 6.5GW of renewable energy projects worth more than R100 billion to reduce their reliance on Eskom’s carbonheavy electricity supply.

Government’s strong resolve to fund increased policing and security to curb crime, is strongly supported. The mining sector suffers from the disruptions of public infrastructure theft, criminals attacking the transportation routes for exports and mining installations, as well as the prevalence of illegal mining.

 PGM sales volume decrease by 31% during Q3,2022

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Total PGM production from own-managed mines decreased by 3% to 587,200 oz (platinum production decreased by 4% to 265,400 oz, while palladium production decreased by 2% to 211,500 oz) primarily due to Eskom power outages, lower production from Amandelbult due to infrastructure closures and lower grade at Mogalakwena, partially offset by strong production from Unki and Mototolo.

PGM production at Mogalakwena decreased by 6% to 259,300 ounces (platinum decreased by 8% to 107,600 and palladium production decreased by 5%, to 121,400 oz). Tonnes milled increased by 2%, as the North concentrator maintenance continued into Q3 2022, resulting in the planned South concentrator maintenance being postponed to Q3,2023.

This was offset by a 7% reduction in 4E built-up head grade to 2.84 g/t from 3.05 g/t, due to a delay in accessing the higher-grade South pits due to community protests.

RELATED:
Anglo American’s hydrogen roadmap takes shape
Anglo and Thyssenkrupp collaborate to secure climate-positive technologies

PGM production from Amandelbult decreased by 12% to 192,600 oz (platinum production decreased by 12% to 96,500 oz and palladium production decreased by 13% to 44,800 oz), largely due to the closure of Tumela Upper conventional infrastructures that reached end of life in December 2021, as well as the impact from Eskom power outages.

Mototolo PGM production increased by 9% to 75,400 oz (platinum production increased by 7% to 34,500 oz and palladium increased by 10% to 22,000 ounces), largely due to an improvement in ground conditions which resulted in a 5% increase in 4E built-up head grade to 3.39 g/t, as well as increased stability following the ramp-up of the concentrator debottlenecking project.

Unki PGM production increased by 41% to 59,900 oz (platinum production increased by 41% to 26,800 oz and palladium production increased by 40% to 23,300 oz). The concentrator debottlenecking project was completed in Q4,2021, increasing concentrator capacity from 180 ktpm to 210 ktpm. This led to a 39% increase in tonnes milled.

Natascha Viljoen, CEO of Anglo American Platinum, said:

“Our commitment to eliminate fatalities from our workplace continues to help us keep our people safe. We had no work-related fatalities at our own-managed operations in the period.

“Despite this progress, and our extensive work across all operations to protect the safety of our colleagues, we saw our total recordable case injury frequency rate (TRCFR) increase by 4% to 2.35 per million hours worked. The focus on reversing this trend is the focus of every leader in this organisation.

“Total PGM production was 6% lower compared to the prior period, but in line with Q2,2022. We embedded stability at Unki and Mototolo, following their successful completion of the concentrator debottlenecking projects, which saw Unki increasing production by 41% and Mototolo by 9%.

“We also increased tonnes milled at Mogalakwena, however this was more than offset by a 7% reduction in grade. This grade reduction was due to a delay in accessing the higher-grade South pits from Q3 to Q4, and we have been mining these higher-grade areas since September.

“Amandelbult production was down 12%, largely due to the infrastructure closures at Tumela Upper at the end of 2021, and Eskom power outages.

“Refined production of 994,800 PGM oz was lower as expected, due to the planned rebuild of the Polokwane smelter, its first full rebuild in twelve years to ensure asset reliability over the long term.

“Sales volumes of 933,500 declined in line with refined production. Sales volumes for the quarter were planned to be lower than refined production, as part of our risk mitigation plans during the Polokwane smelter rebuild.

“Eskom power outages have affected both concentrators and smelters, resulting in a loss in production, as well as a build-up in work-in-progress inventory of 40,400 PGM oz.

“We maintain our guidance for 2022 and are carefully monitoring the continued impact of power outages on our operations as we progress through Q4.”

Developing sustainable roadmaps for the lithium and copper mining industry

0

Improving the efficiency and sustainability of lithium mining is key in the growth of the Electric Vehicle (EV) motor industry, as it relies on this metal to produce battery manufacture. Further, the transition towards a battery-powered life will contribute significantly to climate change mitigation and decarbonization initiatives.

Similarly, yet for different reasons, copper mining is also important, with experts forecasting major shortages in the years ahead. This is despite copper’s recycle value being quite high, where premium-grade scrap is said to have circa 95% of the value of the primary metal from newly mined ore.

Lithium mining projects are complex to manage, and often come in over-budget and off-schedule​. The involvement of multiple vendors, consultants, and internal ​stakeholders can lead to costly miscommunications​.

Further, a lack of common standards across various vendors can lead to extra engineering hours and project delays, and a lack of integration can impact future operations and plant efficiency. ​

Rockwell Automation solutions for lithium and copper mining (amongst other minerals), which in the form of Integrated Architecture can help increase operational efficiency, improve visibility and enable better decision making, enable a modernized and empowered workforce, allowing superior mine-to-market integration, while operational transparency and monitoring help to manage environmental concerns & community integrity.

On 20 July, Rockwell Automation and Mining Review Africa hosted a Webinar on how integrated systems and scalable analytics enable improved mine-to-market visibility and allow for better decision-making to build and operate more efficient and sustainable lithium and copper mines.

SPEAKERS

  • Canninah Dladla, AFRICA COUNTRY SALES DIRECTOR
  • Steffen Zendler, EMEA HEAVY INDUSTRY STRATEGY & MARKETING
  • Alwyn de Vries, EMEA LIFECYCLE SALES SPECIALIST

Defining energy security – Power and Mining

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What are the technological solutions that make mines more energy efficient and able to manage their own energy security?

Thursday 24 November 2022

Johannesburg 12pm; Lagos 11am; London 11am; Los Angeles 7am: Melbourne 8pm: Nairobi 1pm; Singapore 6pm

Duration: one hour

Part 4 of the Power and Mining Digital Dialogue, brought to you by Mining Review Africa, ESI Africa and Enlit Africa will consider the following:

  • Am I using the most energy efficient technology available to me?
  • Where can I make big gains with small adjustments?

Join moderator Claire Volkwyn, head of content at Enlit Africa as she asks asks how a mine can deal with energy insecurity.

Fill in the form below to register for Power and Mining: Defining energy security

Op-Ed: An ode to mineworkers – heroes in helmets

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In 2021, the mining industry accounted for 8.2% of South Africa’s GDP. During the COVID-19 pandemic, the industry carried the country’s GDP, as some operations continued. But what does this take and who is at the preface of this crucial process? My recent tour to Menar’s Kangra Coal mine in Saul Mkhizeville, Mpumalanga propelled a deep sense of appreciation for the men and women in helmets.

Our tour consisted of a group of twenty seasoned journalists and students from across Gauteng, who had been chosen to attend the 2022 Menar Mining Journalism Training, to better understand the intricacies of mining for informed reporting.

After a four-hour drive from Johannesburg to Saul Mkhizeville, we were welcomed into a rigorous safety class and indemnification process. From there, we headed to the changing room, where the work began. We put on our gear: long wool socks, one-piece overall, knee-high safety boots, thick belt, helmet, rubber hand gloves, glasses, earpiece, and a face mask. The few kg’s added were equivalent to 4 hours’ worth of work at my office in Johannesburg! (It was heavy).

As we took the bus to go have our safety lights fitted, the atmosphere changed from excitement to tension. I guess this is probably why most mine workers sing on their way to their shifts- to ease the tension. In addition to the extra 10kgs I had accumulated at the dressing room, a chemical oxygen self-rescuer was fitted onto the side of our belts in case of an emergency.

Day two of Menar academy’s MJT2022 saw the trainees’ visit the Kangra coal mine in Saul Mkhizeville, Mpumalanga.

Now we were ready.

We then got to the mining site and started walking downhill toward the entrance. Lined up in silence, we all marched into the black hole…

I walked about 500m in heavy sludge that came up to the knee, depending only on the light fitted to my helmet. As we got further in, I began to see where all the magic started. Men and women were operating drill machines, some driving the mined coal toward the conveyor belt and others constantly checking for safety hazards. Greasy overalls and faces smudged in coal. It was all in a day’s work for them. The experience was both daunting and exciting.

As we finally headed out after the tour was done, I asked one of the officers who had accompanied us what made him jump out of bed every morning to spend 10 hours underground, where there’s minimal to no lighting, no glass walls and pot plants- where there was no coffee machine!

He turned and pointed to the coal that was being spewed out from the conveyor belt while a truck was loading it, and said “That has kept me coming back to work for the past 20 years.” I was inspired.

From that day, my perspective shifted.  Having a glimpse of the daily demanding activities of a mineworker, propelled a great sense of respect in me. We must also appreciate the new technology that allows miners to work in safe environments. LED lighting, proximity detections systems (PDS), netting, bolting, remote VR-led inspections and drilling all come in handy for these tough conditions.

Miners needn’t go on strike for a decent salary. They should not have to struggle to make ends meet. In fact, these are some of the workers that need to be treasured the most. If anything, I hope for a day where there will be a national day of mine workers in South Africa, that will serve as a constant reminder of the bravery, agility and service of these great men and women who risk their lives to keep the country going.

While mining output and exports are catalysts to the growth of an economy, it is always important to remember those at the helm of production.