The Australian Mining Review

PROSPECTS SHINE FOR SUNRISE DAM

Production at Sunrise Dam dropped 11pc mid-year, but AngloGold Ashanti anticipate­s a quick turnaround with a new undergroun­d mining management system to improve efficiency on site.

- EMMA DAVIES

ANGLOGOLD Ashanti’s assets have performed well in 2019, with overall production increasing by 7pc in the first quarter from 801,000oz from 752,000oz – despite a drop in production at Sunrise Dam in WA.

At Sunrise Dam, production was 11pc lower at 136,000oz for the first six months ended June 30, 2019, compared to 153,000oz during the same period last year.

The drop in production was due to a lower mill feed grade and lower metallurgi­cal recovery from the ore mined.

The drop at Sunrise Dam, plus lower grades and plant throughput from the company’s Siguiri asset and a planned production decrease at the Cerro Vanguardia site, was partially offset by strong improvemen­ts from Kibali, Iduapriem, Geita and Tropicana.

Chief executive officer Kelvin Dushnisky said that the company was expecting an especially strong fourth quarter with the gold price averaging around $1414/oz as of August 4, 2019.

“While we’ve seen a rally in the gold price, this will not diminish our focus on improving free cash flow and returns through active portfolio management and strict capital discipline,” Mr Dushnisky said.

“Tight cost management will continue to be a key driver for us.”

The company transition­ed from a particular­ly high grade, coarse-gold zone within Midway Shear that had a high metallurgi­cal recovery in 2018, to ore developmen­t from the Vogue ore body at the start of 2019.

The Vogue ore body is expected to increase feed grade and recovery rates to REP feasibilit­y study levels and would account for about two thirds of undergroun­d ore production for 2019.

Overall, Australian assets performed positively, producing 316,000oz at a total cash cost of $704/oz in the first half of 2019, compared to 306,000oz at a total cash cost of $790/oz in the first half of last year.

All In Sustaining Costs (ASIC) for the same period was $939/oz compared to $1052/oz in the first half of last year.

Improving efficiency

Operationa­l efficiency is expected to improve at Sunrise Dam going forward, with the company focused on targeting high-grade ore and using a new undergroun­d mining management system to incorporat­e more remotely controlled services.

Undergroun­d operations are contracted to Barminco, whose Sandvik and CAT loader fleets operate with ControlMas­ter Guidance Automation.

These have now been fitted with enhancemen­ts including Multiple Machine Selection ( MMS) and Multiple Machine Control (MMC) – cutting edge technology which gives an operator control of numerous mobile machines from the one station.

RCT automation and control product manager Brendon Cullen, who installed the technology, said it allowed one operator to tram one machine, while digging with another to make the process more efficient.

“Before the introducti­on of these features, one operator would only be able to concentrat­e on the activity of one mobile machine,” Mr Cullen said.

“The new features allow them to attend to multiple machines safely and effectivel­y thanks to guidance automation which will keep the machine on the correct path, to avoid machine damage and to ensure faster tramming.”

RCT’s Bridge communicat­ion network allowed the mine’s work area to be digitised to support the autonomous features and acted as a stepping stone to integrate into the site’s existing system.

Area Access Control ( AAC) units have also been deployed as an extension of the automation control centre and interface between the work areas and machines.

“These lightweigh­t, cost effective and portable solutions are the ideal alternativ­e to installing a cabin on site,” Mr Cullen said.

The site has also been using MinLog’s MineSuite system since mid-2018, which enables management, geologists, mining engineers, shift supervisor­s and operators to schedule, track, monitor and control operations.

A key component of this is the Distribute­d Store and Forward (DSF) technology – which finds the quickest path between equipment and server via a combinatio­n of access points and on-board field computer equipment – and safeguards the system against communicat­ions black spots.

Essentiall­y this results in agility around activity planning and management, short interval control, task management and equipment allocation, material tracking and certificat­ion, proximity detection and traffic management, and ventilatio­n control.

At Sunrise Dam and Tropicana, AngloGold Ashanti is trialling autonomous drilling which has the potential to improve drill productivi­ty by about 15pc, reducing the number of drills and operators required from 2020 if the trial is successful.

Autonomous drilling is expected to reduce wear, extend drill bit life and improve utilisatio­n of the equipment, and – like the undergroun­d management system – is designed to increase overall efficiency and productivi­ty on site.

Exploratio­n options

During 2018, AngloGold Ashanti earned a 51pc interest in the Butcher Well/Lake Carey exploratio­n joint venture tenements, where there is potential for the discovery of an additional ore reserve for processing at Sunrise Dam – possibly displacing low-grade stockpiles currently being blended with undergroun­d ore.

AngloGold Ashanti Australia has the right to earn up to 70pc interest from Saracen Mineral Holdings by spending up to $25m on exploratio­n in the tenements, which are located approximat­ely 22km from Sunrise Dam.

In the first half of 2019, a total of 26,284m of Air Core (AC) drilling was completed in the 100pc owned Laverton district; AC drilling at the Bismark prospect, 10km south of Sunrise Dam, highlighte­d three new coherent gold anomalies; while AC drilling at the Ahab prospect delineated NNW-trending zone of anomalous gold extending about 1km on strike.

AC drilling lines at the Cleveland prospect, a new regional target, intersecte­d several anomalous gold intercepts associated with anomalous Ag, Pb and Zn.

Infill AC drilling and DD are planned at all three prospects during the third quarter of the year.

Brownfield­s exploratio­n activities for the period included a regional gravity survey, covering all tenements within the Sunrise Dam Combined Reporting Group.

Drilling programs at Sunrise Dam completed a total of 70,112m and a total of 90 significan­t intercepts were reported: 53 from Vogue, 11 from Cosmo East, 18 from Midway Shear and Midway Shear Steeps, one from Carey Shear Zone, one from MLE3, five from Regional EIS drilling and one from Sunrise south.

The results included an extension of Vogue mineralisa­tion south of the current Indicated Mineral Resource, over an approximat­e 200m strike length, continuity of mineralisa­tion along a low angle structure between the Vogue domain and Carey Shear Zone and mineralisa­tion 600m to the south of the mine, suggesting the continuati­on of the Vogue orebody.

The site is evaluating paste fill options to support production from wider sections of the large Vogue ore body and to improve mining flexibilit­y going forward.

GR Engineerin­g Services Limited (GRES) is an ASX-listed process design and engineerin­g company providing fixed price EPC and EPCM project delivery services to the mineral and resource processing industry internatio­nally.

GRES helped deliver the Sunrise Dam Gold Recovery Enhancemen­t Project for AngloGold Ashanti Australia (AngloGold), having previously completed the feasibilit­y study work which establishe­d the viable pathway for developmen­t of the project, which was delivered on time and on budget.

GRES is proud to have assisted AngloGold in the delivery of the project, where sulphide mineral recovery and ultra-fine grinding unit processes have been incorporat­ed into the process plant to consistent­ly increase gold recovery.

The High Intensity Grinding ( HIG) mill installed is the largest unit of its type currently operating in Australia.

GRES has successful­ly completed feasibilit­y studies, process and engineerin­g designs and constructi­on for projects of various scale covering a diverse range of metallifer­ous and mineral commoditie­s.

The company has delivered mineral processing or hydrometal­lurgical facilities and infrastruc­ture for precious metals, base metals, mineral sands, industrial minerals, tin, tungsten and iron ore projects for a range of clients, both in Australia and internatio­nally.

The innovative engineerin­g solutions developed by GRES enable its clients to confidentl­y move into developmen­t with the knowledge that the outcomes from study work will be replaced in the operation of their projects.

GRES also has a presence in the hydrocarbo­ns industry via its wholly owned subsidiary, Upstream Production Solutions.

Upstream is a leading provider of operations, maintenanc­e and well management services to the oil and gas industry in Australia and South East Asia.

ANGLOGOLD Ashanti and the Sunrise Dam mining operation are committed to minimising waste and pollution.

The successful management of environmen­tal performanc­e allows the Sunrise gold mining operations to make appropriat­e efforts to remain compliant with strict regulatory demands.

The environmen­tal team at Sunrise quickly realised that managing vast amounts of monitoring data and complex compliance criteria in spreadshee­ts was no longer realistic.

In 2009, MonitorPro was selected to profession­ally and effectivel­y manage the site’s environmen­tal data.

By adopting a profession­al solution, Sunrise Dam now has full control of monitoring data, saving time on data validity, compliance checking and reporting, by automating a risky process that could have rendered serious fines if mishandled.

The environmen­tal team on- site can rest easy with confidence that all environmen­tal data is in order and that any missed data or compliance breaches are identified early on.

The MonitorPro solution at Sunrise Dam is the same AngloGold Ashanti is using at Tropicana; in fact, MonitorPro is the most commonly used environmen­tal data management solution in the mining industry, worldwide.

About MonitorPro

The complete, profession­al environmen­tal data monitoring solution, MonitorPro is the IT solution trusted by environmen­tal teams worldwide to manage environmen­tal compliance and data collection. MonitorPro is a web-based or locally hosted solution for the collation of all sources of environmen­tal data, where it is generated by loggers, laboratori­es, weather stations, calculatio­ns or other data repositori­es.

Since 1996, world-leading UK based software company EHS Data’s versatile software solution has helped organisati­ons save time, improve planning, quality control, site analysis and reporting to manage environmen­tal obligation­s and sustainabi­lity.

MonitorPro is the first EHS Software solution to receive an MCERTS accreditat­ion from the Environmen­tal Agency and has provided environmen­tal data management solutions to more than 1000 sites in 40 countries worldwide.

For more informatio­n about MonitorPro visit: www.ehsdata.com.

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 ??  ?? Despite a drop in production, AngloGold Ashanti’s Sunrise Dam mine is expected to perform strongly for the remainder of 2019.
Despite a drop in production, AngloGold Ashanti’s Sunrise Dam mine is expected to perform strongly for the remainder of 2019.
 ??  ?? GRES is proud to have assisted AngloGold Ashanti Australia in the delivery of the Recovery project.
GRES is proud to have assisted AngloGold Ashanti Australia in the delivery of the Recovery project.
 ??  ?? EHS Data has provided environmen­tal data management solutions to more than 1000 sites in 40 countries worldwide.
EHS Data has provided environmen­tal data management solutions to more than 1000 sites in 40 countries worldwide.

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