REMOTE MINE SERVICES
ALE has successfully transported 30
components making up two new Sandvik
bucket wheel stacker reclaimers inside Richards
Bay Coal Terminal
and the bucket wheel boom (measuring 63 m
long), that were transported in specialised
support frames so they could be carried at height
to clear obstacles on the route.
“During the project we worked very closely
with the client to find a solution that would
reduce the road works as much as possible. By
designing a bespoke support frame for the
particularly long components, we could provide a
solution that could clear the route,” explained
Project Manager Vivian Young.
“We also faced the challenge of working within
a confined space at the port, with limited storage
facilities. This meant that we had to devise a plan
to transport all pieces directly to site within a
short period of time of six days. This project
demonstrates our capabilities within the mining
sector to deliver a bespoke and quickly-mobilised
transport solutions.” It took just eight days to
receive and deliver all 30 components.
FIFO news in Australia
The big news in the Australian fly-in fly-out
market for mining (FIFO), announced on 18 May
2017, is that the Australian Competition and
Consumer Commission (ACCC) has granted
authorisation to a Charter Alliance Agreement
between several of the market leaders, Virgin
Australia Airlines, Virgin Australia Regional
Airlines (VARA), and Alliance Aviation Services.
Under the proposed Charter Alliance, VARA and
Alliance Airlines propose to jointly bid for and
contract with corporate charter customers in
relation to the provision of FIFO services, of
which mining is the dominant industry served.
The only significant operational overlap between
VARA and Alliance Airlines is in the provision of
charter services in Western Australia.
“The ACCC considers that there are public
benefits that outweigh any detriment arising
from the loss of competition between VARA and
Alliance Airlines in providing FIFO services to
corporate customers in Western Australia,” ACCC
Commissioner Roger Featherston said.
“The Charter Alliance is likely to realise
significant public benefits such as efficiencies
16 International Mining | SEPTEMBER 2017
from integrating VARA and
Alliance Airlines’ Perth operating
bases, increased flexibility and
optimal use of aircraft through
combining their fleets, and
enhanced product and service
offerings through combining
Virgin Australia’s national regular
passenger network with Alliance
Airlines’ national charter
network.”
The parties also propose to cooperate on
various aspects of their FIFO operations including
aircraft maintenance, airport handling, check-in,
frequent flyer programs, lounge access,
scheduling, pricing, and sales and marketing.
The ACCC had expressed concerns about the
effect of the Charter Alliance on competition
when it released its draft determination in
December 2016. “However, following further
market inquiries, the ACCC has concluded that
there are a number of factors that mitigate the
risk to competition. As a result, the ACCC is now
satisfied that the likely public benefits of the
alliance outweigh the likely public detriments.”
“The operational synergies which are likely to
result from the Charter Alliance and bringing
together VARA and Alliance Airlines’
complementary networks should reduce their
costs and allow them to make more competitive
offers to customers,” Featherston said.
“Further, many of the larger FIFO customers
are sophisticated and well-resourced companies
with procurement expertise who have strong
bargaining power in their negotiations with FIFO
operators. These customers will continue to have
viable alternatives, in particular Qantas and
Cobham. Market conditions in Western Australia
suggest that these airlines will continue to
compete strongly with the Charter Alliance,”
Featherston said.
Cobham Aviation Services has recently been
awarded a two-year contract by Australian mining
company, OZ Minerals, to provide FIFO services
between Adelaide, Port Augusta and its
Prominent Hill copper-gold mine in northern
South Australia. Approximately 15 new aviation
jobs are being created at Cobham in Adelaide as
a result of the contract being awarded, which
includes a three year extension option. Services
will commence in August 2017 and involve up to
20 flights a week using a mix of jet and turbo-
prop aircraft to