Orion Minerals Ltd (ASX:ORN, JSE:ORN) has awarded a six-month trial mining contract to P2 Mining (PTY) LTD, a subsidiary of South African mining contractor Newrak Mining Group, which has more than 28 years of operating history behind it.
Newrak will undertake the early works trial underground mining program at Orion’s Prieska Copper Zinc-Mine (PCZM) in South Africa’s Northern Cape Province, as Orion uses the trial as another stepping stone in its transition from developer to operating mining company.
Orion will also draw on the expertise of previous Prieska Copper Mine production manager Andy Brown as part of the Newrak team.
Newrak will operate with a fleet of conventional load, haul and dump loaders and with an innovative continuous loading machine (ITC120), which has recently been introduced to the South African market and secured by Orion on demonstration rental.
The ITC120 continuous loader is expected to bring improved efficiencies to mucking operations and accelerate access tunnel development and ore drive development.
Trial mining will target the +105 Level Crown Pillar, using conventional and alternative underground mining methods. The trial will comprise 120 metres of footwall ramp development, before accessing the high-grade supergene ore of the +105 block with ore development along strike for 150 metres on either side of the primary access as the primary in a cut-and-fill mining cycle.
Access ramp, reef drives and raises in +105 trial Mining Project.
Conceptual Layout of +105 Resource Drift & Fill Mining.
Read: Orion Minerals updates resource for Prieska Copper-Zinc Project in South Africa ahead of trial mining
Innovation leads to transition
Innovation is a key plank in Orion’s aim to transition from developer to operating mining company, as is its commitment to local enterprise.
“This is a tremendously exciting period for Orion as we move to active trial mining at Prieska and start our transition from developer to operating mining company," Orion’s managing director and CEO Errol Smart said
"We have spent the past two months completing essential preparations, such as installing underground refuge chambers, upgrading hoisting capacity of the emergency escapeway to surface and sourcing and installing key ventilation equipment.
“With these essential safety and environmental preparations now complete, we can finally mobilise the mining contractor to commence drilling, blasting and hauling ore to surface.
“The trial mining phase will also see Orion apply our core philosophy of bringing proven, innovative methods matched with appropriate skills and experience to our operations, while at the same time training and upskilling our host community members so that we can ultimately source our staff locally.
"We also aim to develop local enterprises to service Orion’s mines and the South African mining industry, encouraging our service providers and contractors to support these endeavours and contribute to the skills transfer and enterprise development.”
The Newrak contract focuses on the 143 Level historical stope draw-points. The contract stipulates the selective loading and hauling of remaining broken ore to the surface for extensive bulk sampling and metallurgical tests.
Should the trials prove successful, they will contribute to an accumulating stockpile slated for future processing once the concentrator plant becomes operational.
A pivotal aspect of the trial mining contract with Newrak involves the testing of an ITC120 continuous loader along with two 20-tonne bi-directional trucks during the underground development cycle. Conducted at Orion's behest, this equipment trial utilises machinery secured from Germany.
The outcomes of these trials could signify vital advancements in mining operations for Orion.
The ITC120 shows potential for significantly improving cycle times and development rates, compared to traditional mechanised methods of rock loading and hauling.
These projected improvements look like they will have a promising impact for the +105 and the Prieska Deeps mining sectors, especially once dewatering procedures are finalised. The enhanced efficiency could become a pivotal element in the overall productivity and profitability of future mining operations.
Orion and Newrak collaborate
In awarding its trial mining contract, Orion is fully aware of its host community participation framework, developed collaboratively with local business chambers and community leaders.
While Newrak brings in specialised skills and experience for efficient operation start-ups, Orion has designed the trial mining as a platform to educate and train local individuals.
Newrak will facilitate skill transfers and training for host community members during the trial mining period. The initial batch consists of 20 trainees selected for Competency B training at the Murray and Roberts Training Centre in Carletonville. These trainees left for their program on September 3, 2023, and will be evaluated for further training under Newrak’s guidance upon successful completion.
Additionally, Orion and Newrak plan to consult with the most competitive unsuccessful host community tenderers for the trial mining contract. The aim is to investigate potential collaborations and capacity-building avenues during the contract period.
On the equipment front, the ITC120 continuous loader and Paus 20-tonne dump trucks are sourced from Hurst Mine Tec (HMTEC), the local representative for the Swiss group ITC. HMTEC is introducing this established European tunneling technology into South Africa for the first time and will offer local support for the imported machinery.
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