IM 2020 May 20 | Page 12

REPROCESSING AND TAILINGS REDUCTION Profits from the past While tailings dam liabilities and falling water resources are affecting the ability of miners to start new mines, or expand existing ones, these issues are strengthening the case for reprocessing and retreating ‘waste’ sites or streams. Dan Gleeson explores an increasingly diverse market focused on revenue generation and risk reduction ith improved transparency around tailings dams and waste stockpiles now part and parcel of being a responsible mining company, investors and the wider mining world are becoming aware of the opportunities to clean up legacy operations, while, at the same time, generate extra revenue. These opportunities are growing in value and quantity as water scarcity in many major mining hubs accelerates and the ability to expand existing tailings impoundment areas diminishes. The trend is further aided by the fact costs and liabilities associated with these facilities continue to increase. At the same time as this, these opportunities are becoming more feasible as the cost of specialised equipment drops – making the upfront capital expense more manageable – and the number of large mining companies looking at removing these ‘liabilities’ from their portfolios expands. This has seen a new generation of ‘miners’ spring up intent on profiting from processing material previously categorised as ‘waste’. New Century Resources, for instance, emerged in 2016 to restart the Century mine in Queensland, Australia, through an initial tailings reprocessing operation after the much larger MMG had decided the asset had reached the end of its profitable life earlier that year. The Australia-based base metal producer is now aiming to become one of the world’s top 10 zinc producers through a ramp up of operations at Century to 12 Mt/y. GoGold Resources, in Mexico, is using the proceeds from heap leaching the Parral tailings operation, in Chihuahua, to progress with its exploration projects in the country. The recent addition of a sulphidisation, acidification, W 10 International Mining | MAY 2020 recycling and thickening, or SART, plant from BQE Water will only bolster cash reserves through the recovery of a high-grade saleable copper sulphide product, the re-generation of cyanide (a major operating cost at Parral) and an improvement in the leaching efficiency of the heap. In Africa, the likes of Goldplat and Jubilee Metals Group have been profitably processing gold and platinum group and base metals from waste streams for many years. Central Asia Metals built its name on the Kounrad asset, a copper dump leach operation in Kazakhstan, which, through reprocessing and SX- EW, has produced more than 100,000 t of copper cathode since operations began in April 2012. The list goes on. Removing the ant heaps “Reprocessing is one strategy, if it’s worthwhile from an economic standpoint,” Theo Gerritsen, Stantec’s Global Tailings Practice Lead, said in response to a question about what strategies miners were evaluating for legacy tailings dams/waste stockpiles within their portfolios. Speaking from his home office in Brisbane, Australia, in April, he reflected on his time working in South Africa to provide some evidence: “For example, at one point, in the middle of Johannesburg, there were these giant ‘ant heaps’, old tailings which were processed 100 years ago by gold mining companies. “These ‘ant heaps’ had more gold in them than most current day gold mines. Because the technology at the time was not very sophisticated, they could not recover as much as they can now. Most of those historic tailings have now been reprocessed.” This reprocessing opportunity is one of the In Colombia, AuVert's technology is being combined with CDE's experience in dewatering and tailings management to extract the remaining precious metals existing in the ground, while removing up to 93% of residual mercury which has to date prevented this land from being used by the local population reasons why mining companies may be cautious about using tailings as backfill material or relocating current day ‘waste’ to an inaccessible area of the mine, according to Gerritsen. “As technology improves, the opportunity to recover more of the metals/minerals increases,” he said. “There are elements where that may not be the case – coal ash, for example, cannot be reprocessed but can be used to produce cement. There are certainly opportunities with gold, copper and even coal, for instance.” The strategies companies ultimately pursue for these ‘waste streams’ depend on the technology available and the safety of the facilities, Gerritsen remarked. “For instance, it may not be economically viable to reprocess the material currently in a tailings storage facility and, therefore, the owner may decide to close it or put it into a non-active state,” he said. One company looking to address the availability and cost of specialised technology for reprocessing tailings and other ‘waste’ is CDE. An industry-leading manufacturer of wet processing equipment for materials processors, CDE has seen a significant rise in proposal requests for dewatering and dry stacking equipment over the previous 12 months, according to Kate McCormick, Mining Sector Executive at CDE Meta. Most requests have focused on re-processing existing tailings, recovering the valuable fractions, and dewatering and dry stacking the waste products, she explained. “We are increasingly approached by clients seeking to recover value from their waste stockpiles, which have accumulated in times where high-grade ore was abundant and lower grades were set aside as waste, or processing technologies were not sophisticated enough to capture fines fractions or suitably upgrade the ore deposit,” she told IM. McCormick said CDE was receiving these requests from smaller mining companies looking to specialise in reprocessing brownfield sites. “Increasingly we are seeing junior miners adopting a strategy of purchasing waste dumps or historic tails for re-processing as an economic source of commodities,” she said. “This value is easy to recover as the material has already been mined and avoids the substantial extraction costs of virgin mining, yet these tailings deposits contain high recovery rates with existing projects, for example, recovering 2 g/t Au and achieving 63% Fe grade at 50% yield.”