ISSUE 44 Quarter

Transcription

1 MIDAS GAZETTE ISSUE 44 Quarter INDUSTRIAL FACILITIES DESIGN RELIABLE, COST-EFFECTIVE AND OPTIMUM OPERATIONS PAGE 5 PROCESSING LATERITE NICKEL AUSTRALIA IS IN THE RACE PAGE 6

2 EDITOR Tanja Bronkhorst p4 DESIGN/PRODUCTION Tanja Bronkhorst CONTRIBUTING WRITERS DAMIAN CONNELLY KEVIN HOWIE BRUCE SANDERSON KARRI DORRINGTON JAMES BARCLAY-MARTIN JOHN ROSTOM CATHY GALLI DAVID WEBB COVER IMAGE CONSTRUCTION SITE AT DUSK (MIDAS PHOTO LIBRARY) p4 CONTENTS p7 COVER STORY FEATURES MIDAS ENGINEERING GROUP PTY LTD COPYRIGHT 2014 ALL RIGHTS RESERVED 5 INDUSTRIAL FACILITIES DESIGN Reliable, Cost-effective and Optimum Operations 3 Process Improvements through Simulation Benefits of Simulating a Range of Metallurgical Processes HEAD OFFICE L 6, 524 HAY STREET PERTH WA PROCESSING LATERITE NICKEL Australia is in the Race NEWS 4 OPTIMISE BUILDING SYSTEMS WITH COMMISSIONING The Benefits of Commissioning Effectively BRISBANE OFFICE L 2, 71 GREY STREET SOUTH BRISBANE QLD MELBOURNE OFFICE 117 MILLER STREET THORNBURY VIC SCHOLARSHIP WINNNER WA Mining Club Scholarship Sponsored by METS ENVIRONMENTAL NEWS Cumulative Impacts and Mining 7 7 SUBDIVIDING YOUR PROPERTY A Myriad of Steps PROJECT FOCUS Tri-generation Energy Centre NEWCASTLE OFFICE 28 MACQUARIE STREET BELMONT NSW NOOSA OFFICE SE 7&16, L 1 COOLOOLA CENTRE 97 POINCIANA AVENUE TEWANTIN QLD Page 2 October 2014 MIDAS AT A GLANCE Midas Engineering Group is a diverse engineering group, which comprises Mineral Engineering Technical Services (METS) - a globally renowned process engineering firm; CDMS Consulting Engineers - a structural and mechanical engineering business with specialist expertise in piping and pressure vessel design; Wilkie Civil Engineering and Norden Engineering - civil and structural engineering consultants; Midas Environmental - an environmental management consultancy firm that services the resources, urban and agricultural sectors; Sanderson Consultants - a leading engineering and management consultancy providing mechanical, hydraulic, electrical, communications and fire protection services; and TCT Electrical Engineering - electrical engineering consultants. Together the group provides a wide array of quality engineering services across the resources, water, infrastructure, environmental, land and building sectors with expertise across a range of engineering and consulting services. Midas capabilities range from engineering design, project management and planning services through to innovation, operations and specialist services.

3 director s note Welcome to the 44th edition of the Midas Gazette It has been a busy quarter for the group once again, with the implementation of new project management software across all divisions and the expansion of our Brisbane office. We now also have a dedicated QA Coordinator on board, who will evaluate and improve our quality assurance policies and procedures, and ultimately ensure superior quality engineering output for our clients. Our more diverse skill base offers the opportunity, as never before, for continuous growth of the group, and there is no doubt we have an exciting future ahead. In this issue of the Gazette we will take a look at process improvements through process simulation, the benefits of properly planned and executed commissioning in the building sector, and how effective industrial facilities design increases productivity, among other interesting topics. ON THE COVER: processing laterite nickel Kind Regards, Damian Connelly Director / Principal Consulting Engineer PROCESS IMPROVEMENTS THROUGH SIMULATION BENEFIts of simulating a range of metallurgicalprocesses In order to simulate a process or operation, a model representing key characteristics of the process needs to be developed. Simulation can then be used to show the effects of changed conditions and actions. For simulation of a plant process, a range of software programs can be utilised to model both existing and future plants. Computeraided simulation is most often applied to optimise comminution, flotation and CIL/CIP circuits in the initial design stage, but also as solution-finders for existing operational issues. During design, simulations can be used to determine the number of stages required and to estimate equipment sizes to produce the optimal product. It can also be used to model potential circuit arrangements in order to optimise the design and prevent operational issues. For existing operations, the adjustments required to correct plant issues, or possible modifications to improve the current operation, can be simulated without the need for expensive and disruptive plant trials. A range of information and outcomes can be produced from data analysis and simulation, where a variety of plant configurations can be tested, ensuring the best alternative is selected. An example of this type of simulation software is Bruno, a crushing and screening simulation software written by Metso. Other software programs, such as LIMN and Syscad, can be used to create solid and water mass balances for the entire process. Both programmes utilise slurry properties to generate slurry, solids and liquor flowrates for each circuit and therefore the simulation can illustrate problem areas such as water losses and bottlenecks. For example, in regions where water is scarce or rainfall is low, the simulated mass balance allows the process design engineer to focus on such critical issues. The design can then be adjusted to ensure minimal water loss and to maximise water recycle and recovery. As illustrated, there is a variety of simulation programmes available that can be used for new plant designs, or modifications to existing operations and modelling a selected process option. These can range from the simulation of a particular circuit such as comminution or flotation or a programme that assesses the entire process. Simulation programs are important tools to be incorporated into the plant design process, aiding in the selection of equipment and in determining areas that may be of concern. The models used can be as simple or as complex as the available data allows or the accuracy that is desired. NEWS: WINNER WA MINING CLUB METS SCHOLARSHIP Midas Gazette

4 NEWS SCHOLARSHIP WINNER WA MINING CLUB SCHOLARSHIP SPONSORED BY METS The annual WA Mining Club Scholarship Program Awards Dinner was held last August to celebrate the achievements of the scholarship winners. The evening was a great success, with WA Minister for Mines and Petroleum, The Honourable Bill Marmion presenting the scholarships to outstanding students enrolled in mining-based disciplines. Midas Engineering Group would like to congratulate Michael Assman on winning the scholarship in Metallurgy, sponsored by Mineral Engineering Technical Services (METS). Michael would like to be involved in consulting and design work, and plans to continue studying towards a PhD. Down the line, he sees a future in management and has not ruled out studying towards a MBA. The scholarship program fosters the talent of bright and diligent students studying geology, environmental science, engineering and metallurgy and scholarship winners are awarded $10,000 to assist with their education and development. Optimise Building Systems with Commissioning The benefits of commissioning effectively Incorporating energy efficiency and sustainable features into buildings has become a key priority for owners and managers. However, designing and installing such features is not enough to ensure that energy usage is optimised over the life of the building. The building systems that use energy, or impact on the use of energy, require effective commissioning, re-commissioning or retro-commissioning to ensure that they perform as effectively as possible whilst using the least amount of energy. Building commissioning, as defined by the American Society of Heating Refrigeration and Air Conditioning, is a quality-oriented process for achieving, verifying, and documenting that the performance of facilities, systems, and assemblies meets defined objectives and criteria. Too often, commissioning is overlooked or ineffectively executed, leading to building systems which do not perform properly and which are wasteful. In a study of sixty new buildings, conducted by the US Department of Energy s Lawrence Berkeley National Laboratory, half suffered from defective control systems, forty percent suffered problems with air conditioning systems, fifteen percent had missing equipment, and one quarter of variable frequency drives did not function. If existing buildings were studied, they would probably fare much worse, primarily resulting from degradation that occurs naturally over time as components wear and tolerances widen. processes for identifying less-than-optimal performance in building systems and making adjustments to optimise performance. Recent research in the US shows that retrocommissioning provides on average 20-40% reduction in building energy use(1). A retro-commissioning and re-commissioning process should usually consist of a planning phase; an investigation phase (to review existing documentation, perform functional testing and monitoring and develop a commissioning action plan), an implementation phase (to execute changes, make improvements, and verify the results) and a persistence strategy phase. Retro-commissioning should be an ongoing process, extending beyond the implementation phase. The persistence strategy phase designed to ensure continued or prolonged existence of the benefits of commissioning should include continuous measurement and verification of results, and ongoing programmed maintenance. The benefits of properly planned and executed commissioning processes are significant. They should optimise building systems to lessen excessive equipment repair and replacement, improve comfort for occupants, lessen adverse impact on the environment by limiting energy use, and reduce cost. Page 4 October 2014 Retro-commissioning focuses on the current use and requirements of the building systems; whereas re-commissioning brings building systems back to the originally intended performance and operation. These quality and risk management processes are proven and low-cost approaches to minimising energy use. They are systematic (1) Building Commissioning: A Golden Opportunity for Reducing Energy Costs and Greenhouse Gas Emissions, Evan Mills, 2009, Lawrence Berkeley National Laboratory Berkeley, CA USA).

5 ENVIRONMENTAL NEWS CUMULATIVE IMPACTS AND MINING industrial facilities design reliable, cost-effective and optimum operations Sometimes called Non Process Infrastructure Design (NPI), Industrial Facilities Design (IFD) is the systemised design of optimised industrial facilities (e.g. warehouses, mine infrastructure, factories, process plants, treatment works, production lines, pump stations, emergency response facilities etc.). Without IFD guidance, industries can often not achieve all of the benefits of an optimised design, which eventuates in unduly compromised safety and operations, high capital costs and high operational costs. Production Project Managers are usually heavily involved in the day-to-day running of the plant and cannot always devote adequate time to oversee new projects and interface with system providers, designers and suppliers. Instead, they rely heavily on efficient, integrated professional services to deliver production and infrastructure design and procurement. A trained IFD team adds value and saves costs by facilitating smooth design, documentation and delivery of an optimum solution within reasonable budget and time allowances, to help design optimal facilities with minimal client inconvenience. IFD processes lead the full design team to achieve integrated strategic designs that optimise operational and capital efficiencies for industrial projects. The design team often requires the efforts of many skilled professionals and departments including Business Managers, Operational Managers, Constructors, Site Services, Building Engineering, HSE, Materials Handling, Hydrology, Waste Management and many more. Leading, assessing, compiling and quantifying engagement with managers and other stakeholders; Establishing facility needs integration based on project objectives and KPIs; Delivering legal, safe and operationally optimal facilities to the requirements of management and stakeholders; Optimizing capital and operational cost outcomes; Identifying foreseeable opportunities and constraints for the operations, the site and the facility to maximise long-term operational efficiencies and production; Guiding innovative design responses based on the actual outcome requirements (not just following standard industry practice); Delivering rigorous Health, Safety and Environmental (HSE) outcomes; Complying with the many complex legislative requirements; Guiding design in a linear, methodical and rational process; Delivering procurement strategies with due concern to industrial and human relations requirements; To achieve optimised design solutions, correctly structured IFD teams utilise design and quantification systems that enhance process and non-process infrastructure planning, geological aspects, facility planning, plant selection, non-process infrastructure, environmental management, stakeholder needs, management requirements, operational requirements and financial analyses to address the many conflicting objectives. At the moment, the most topical conversation in the environmental mining space, beyond the woefulness of market forces and whether the relinquishment of the mining tax will change anything, is cumulative environmental impacts. The West Australian Environmental Protection Agency s (EPA) Chairman, Dr Paul Vogel has raised this issue at various forums this year, specifically in relation to mining in the Pilbara region. Cumulative environmental impact assessment is evolving and opinions diverge on whether or not this should be separate, or as part of the environmental and social impact assessment process. The question to ask ourselves in dealing with cumulative impacts is what our valued environmental and social components are. Indeed, in the context of someone living in Perth or as a fly in fly out worker, this is difficult to answer. How relevant would biodiversity conservation be when most people live in urban areas, on the coast line and tend not to frequent the Pilbara interior but for Karajini National Park? We have knowledge of biodiversity values that are unique to the region but what is their true value? How relevant or sustainable would a conservation strategy and plan be post mining? Where would we be without mining and the knowledge gained through baseline surveys to assess the environmental and social impact of mining? It is time to put strategies in place in close collaboration with the industry, in order to ensure sustainable development in the Pilbara region and improve our understanding of cumulative environmental impacts. Midas Environmental will continue to follow the developments closely and will explore some of the above mentioned issues in subsequent editions of the Midas Gazette Each of these disciplines needs to operate as a coordinated team rather than being driven by the passionate few as often happens, which delivers skewed and therefore less optimal outcomes. IFD guided projects achieve optimised outcomes by: An effective Industrial Facility Design will increase productivity, which will produce a less costly product, within the expected time frame and within the projected contract costs. In case you missed it, the recent formal advice from the EPA to the Minister for Environment can be found on the EPA website at Midas Gazette

6 COVER STORY processing laterite nickel australia is in the race Page 6 October 2014 The days of high-grade nickel sulphide deposits are slowly coming to a close, but this isn t necessarily a problem. The majority of the world s nickel (70%) is trapped in lateritic ore deposits, 13% of this finds itself within Australia. Australia is very aware of this trend towards lateritic nickel and the CSIRO has been targeting lateritic nickel for this very reason(6), as evidenced by their recent involvement with Sydney based company, Direct Nickel(7). Laterite deposits have generally been of lower interest throughout the 1900 s in terms of nickel production. From a mining perspective, lateritic ores are surface deposits with lower risk and cost compared with underground mining projects. Oxides (laterites) form at the surface as a result of weathering, as opposed to the sulphidic ore variety, which generally requires going deeper into the crust. However, processing technology has long been developed with a focus on the sulphidic form of nickel; and whilst this may seem unintuitive when you look at the availability and accessibility of the ore, this has been the result of a variety of factors, namely being: sulphide grades have historically been higher and sulphide mineralogy is simpler and cheaper to deal with from a processing point of view. There is still room to innovate in the field of laterite processing. So how do we deal with these low-grade but abundant nickel laterites? Laterites can be further subdivided into two groups of minerals: limonite and saprolite. Generally, there are processes which deal with limonite and other processes which are used to deal with saprolite(1). High pressure acid leaching (HPAL or PAL) is suited to handle an exclusively limonite feed; the Caron process is better equipped to deal with limonite but can handle some transitional limonite/saprolite ores with sufficient levels of iron; heap leaching (HL) is relatively cheap and can handle both ore types but at the cost of high acid consumption and a myriad of other issues; energy intensive smelting has been successfully applied to saprolite feeds to produce ferronickel. While all current processes tend to be limited to a particular ore type, there has been some progress made in closing the gap. PAL circuits have been coupled with atmospheric leaches (AL) to handle the saprolite resource (Enhanced PAL, or EPAL, in Ravensthorpe(5)); however this further increases the capital costs of an already costly process. So what other options are being explored? Commercial hydrometallurgical processes all use sulphuric acid. Sulphuric acid is perhaps the obvious choice given its wide application and availability, but recently, the idea of using chlorides and nitric acid has been generating interest. Chloride (e.g. Neomet) and nitric acid (Direct Nickel) processes are reportedly equipped to deal with both saprolite and limonite feedstocks. Neither of these processes have been commercially applied as of yet, but they promise to solve a list of issues hampering current technology. The Direct Nickel process was piloted in Western Australia in 2013 and reportedly demonstrated a solid case for scale-up, so convincing in fact, that PT ANTAM in Indonesia is now in the process of putting together a feasibility study for a ktpa plant to operate in tandem with their ferronickel smelter(2). The Neomet process has been demonstrated at a mini-plant in Montreal and has also generated interest in the Titanium/ Vanadium industry(3) (4). With such an abundance of lateritic nickel available in Australia, and while there is still a large amount of room to innovate in the field of laterite processing, it makes sense that we strive to add value to our resources and ensure that we are at the forefront of this shifting industry. (1) Davli A. D., Bacon W.G., Osborne R.C The past and Future of Nickel Laterites. PDAC International Convention. (2) Direct Nickel, Nickel Production Demonstration Plant Summary report for Direct Nickel Shareholders. Australia, Direct Nickel (3) Harris B., White C Recent Developments in the Chloride Processing of Nickel Laterites. ALTA, Perth, Western Australia. (4) Press Release Nevado to Use Neomet s Patent Pending Acid Regeneration Technology for Its La Blache Titanium Property. The Wall Street Journal. Available at: (5) Taylor, A Laterites Still a Frontier of nickel Process Development. ALTA, Texas, USA. (6) Thyer, R The trillion-dollar Target. CSIRO Process Magazine. CSIRO, Australia. Available at: (7) Treadgold, T Nitric Nickel. CSIRO Resourceful Magazine. CSIRO, Australia.

7 FEATURES subdividing property A myriad of steps your Many people have been successful in making a profit by subdividing their property. But some others haven t been so lucky and the process has actually cost them money or they have had to abandon the idea halfway through the process. The difference lies in knowing and understanding the various aspects involved in a land development project. The process is often more complex than expected, and one should consider the different steps involved and associated timeframes, as well as the costs, before committing. First and foremost, one has to do their homework by investigating the viability of subdividing the property. To avoid disappointment, knowing the property s zoning (R-code) is key. This density code can be obtained from local councils. This code, together with the shape and area of the block, will either open or shut the door to subdivision. and drawings for water reticulation, sewer reticulation, road modifications, provision of easements for shared services and power and communications supply, just to name a few. Each of these needs to be endorsed by an agency/authority or local government confirming that the WAPC s requirement(s) outlined in the condition(s) have been fulfilled. The majority of expenses will be borne during this stage of engineering designs and construction. Once completed, the final step is submission of a deposited plan (prepared by the surveyor) for certification by a statutory authority that maintains the official register of land ownership and survey information. In WA this would be the Western Australian Land Information Authority, better known as Landgate. Once certified, the statutory authority will forward the plan to the relevant planning authority, which charges a fee for endorsement. Once successfully endorsed, the land owner can apply for new land titles for each subdivided lot through a solicitor or settlement agent, which enables them to sell the lots separately if desired. If you are well prepared for the timeconsuming, complex and expensive process, have conducted your due diligence and appointed a team of suitable professionals, subdividing can be a great way to get ahead and make a profit. To be certain about viability, the first professional that the land owner should engage is a licenced surveyor. The survey plan will confirm that the land can accommodate the proposed number of potential dwellings. Once this is done, the next step is to lodge an application for subdivision with the relevant planning authority. In Western Australia for example, this would be the Department of Planning (WAPC). The application is lodged together with the survey plan and an application fee. The planning approval process usually takes a few months, and usually results in an approval being granted subject to conditions. The WAPC decision is usually valid for four years, during which the developer needs to satisfy all conditions that were set out, or contest the conditions by requesting reconsideration or by applying for a review with the State Administrative Tribunal (SAT). Subsequently, civil engineers will need to be engaged to satisfy the various conditions including preparation of designs project focus tri-generation energy centre Central Park project in the Sydney suburb of Chippendale is a 5 Star Green Start rated urban development project joint ventured between the Fraser Property Group and Sekisui House Australia, located on the old Carlton & United Breweries site. The final project will have two megawatts (MW) of tri-generation capacity installed, run on natural gas and produce low-carbon thermal energy. The energy centre will provide heating and cooling for 3,000 residences and 65,000 sqm of retail and commercial space in 14 buildings at Central Park. During the construction of the first stage of this project (Tri-generation Energy Centre), TCT Electrical Engineering was approached to assist with a number of high voltage design and gas generator interfacing issues that had surfaced, and that were affecting the progress of the construction and final supply authority connection approvals. TCT s involvement with the job included generator interfacing design, as well as high voltage fault level studies, protection grading studies, development of protection settings files, commissioning and supply authority witness testing. Stage 2 of the project is due to commence soon, with TCT being approached to assist with similar works as performed in stage 1. It has been a very rewarding experience for the engineers that were involved in this project, to see it come to fruition and develop to its full potential. Midas Gazette

8 UPCOMING COURSES - Q COURSE DATE price Gold Extraction 2 October 2014 $1,320 Pressure Hydrometallurgy 3 October 2014 $1,320 Metallurgical Accounting 9 October 2014 $1,320 Phosphate Processing 10 October 2014 $1,320 Flotation 6 October 2014 $1,320 Advanced Flotation 17 October 2014 $1,320 Essential Guide to the Mining Industry 22 October 2014 $1,320 Metallurgy for Non-Metallurgists 23 & 24 October 2014 $2,310 Mineral Processing 30 & 31 October 2014 $2,310 Slurry Pipeline Systems 6 November 2014 $1,320 Lead Zinc Ore Processing 7 November 2014 $1,320 Coal Processing 13 November 2014 $1,320 Mining Projects: From Discovery to Production 14 November 2014 $1,320 Metallurgical Testwork/Interpretation 20 November 2014 $1,320 Phosphate Processing 21 November 2014 $1,320 Gold Extraction 27 November 2014 $1,320 Iron Ore Processing 28 November 2014 $1,320 Advanced Mineral Processing 4 December 2014 $1,320 Cost Estimation 5 December 2014 $1,320 Sensible Cost Cutting 11 December 2014 $1,320 Solid Liquid Separation, Filtering & Drying 12 December 2014 $1,320 INSIGHTS SESSIONS Nickel Processing and the Rise of Laterites 7 October FREE Occupational Health & Safety in Process Plant Design 4 November FREE Adding Value to Your Property 2 December FREE ENVIRONMENTAL