Expansion at Khumanimeru coffee


Situated near Kathu in the Northern Cape Province, Khumani Mine is an open cast mine named in honour of the San miners who once mined ore in the region. Operated by iron, chrome and manganese-miner Assmang (jointly owned and controlled by African Rainbow Minerals and Assore), Khumani Mine currently produces an annual total of 10 million tonnes of lumpy ore (66 per cent iron), middlings (65.5 per cent iron) and fines (65 per cent iron).

Phase One of the mine’s development involved the construction of a Greenfield iron export mine on the Bruce farm, adjacent to Kumba Resources’ Sishen mine. Though completed in 2009, phase one has been operational since 2008. Following the positive findings of a study on the feasibility of expanding the mine, Phase Two commenced in early 2009.

Elaine Young writes about the Khumani Expansion Project, a R6.5 billion (US$ 961 million) project which will increase the mine’s iron ore output from 10 million tonnes to 16 million tonnes per annum.

Catalysts for Growth

Thanks to the high quality and sizeable quantity of the Khumani iron ore deposit, the feasibility study for Phase Two estimated the lifespan of the expanded mine at 25 years or more, at a production rate of 16 million tonnes per annum. An additional catalyst for the mine’s expansion was a commitment by logistics parastatal, Transnet to increase the tonnage of iron ore allowed on its rail channel between Sishen and Saldhana Bay, 860km to the west. Thanks to Transnet’s undertaking to increase its current iron-ore export allocation on the Sishen-Saldanha export channel from 10 million tonnes per annum to 14 million tonnes per annum, Assmang was able to go ahead with plans to increase its export capacity considerably. As a result, 4 million of the mine’s additional 6 million tonnes per annum will be channeled to the export market.

Open Cast Mining
Using conventional drilling and blasting, Khumani’s iron ore is mined from a series of open pits and then hauled by truck to primary crushers. The crushed run-of-mine ore is then transferred by conveyor to stockpiles, where it is divided into ‘on grade’ and ‘off grade’ material. The on grade material, which is of higher quality, is washed and screened, with the oversized material being crushed again in a tertiary crusher. Off-grade material is also washed and screened, and oversized material crushed. To remove contaminants, it is then beneficiated through jigs. Finally, the ore is stockpiled and loaded onto rail trucks at a rapid train loading station where it is dispatched onto the Sishen-Saldanha line.

Phase Two in Brief
Phase Two of the Khumani Project has been under way since early 2009, and is proceeding exceptionally smoothly. The main components of the project include:

  • Construction of a new mine on the King farm, with associated infrastructure and plant;
  • Material handling systems, including a new primary, secondary and tertiary crusher, as well as a new overland belt;
  • Additional jigging capacity and water circuits;
  • Additional run-of-mine stockpiles, with associated stacker-reclaimer;
  • A local railway siding to access the Port Elizabeth line (for locally-bound ore);
  • A second railway balloon and rapid load-out (train loading) station;
  • Extensions to the paste deposition facility;
  • Haul roads; and
  • Additional laboratory facilities.

    • Ahead of Schedule
    Due for completion by June 2012, the project is currently ahead of schedule, says African Rainbow Minerals (ARM) Project Executive Brian Gilgannon. All long-lead items (such as crushers and the new stacker-reclaimer) have been ordered from overseas and are beginning to arrive on site. The engineering phase is nearly complete, and the emphasis is moving from the design office to site, says Gilgannon.

    Safety Record
    A major coup for the project came in December 2009 when it was announced that the Khumani Expansion Project had achieved one-million lost-time injury-free shifts. This record – and the overall smooth execution of the project – Gilgannon attributes to the experience and dedication of the project team, many of whose members were involved in the first phase.

    “DRA Mineral Projects [the main EPCM contractor and managing contractor for the project] has a longstanding relationship with the ARM group, one with which we are very happy,” Gilgannon adds.

    Challenges
    As with any brownfields project, the project has had to accommodate the existing mine’s operations – a process which has been smoothened by good communication between the project team and the mine administration. In addition, says Gilgannon, the project team has taken care to ensure that oversees suppliers are kept on track, and to engage reliable and competent contractors on site.

    Promising Future
    With the demand for iron ore expected to grow, and with it the likelihood of increased rail and port capacity, Assmang is positioning itself strategically for the future.

    According to Graham Butler, Director: ARM Ferrous, “Negotiations and studies are being undertaken together with Transnet to increase the Sishen to Saldanha export capacity beyond 60 mtpa. This would be the catalyst for a further increase in the capacity of the Khumani Mine.

    “The Beeshoek Mine (which currently only supplies the local market) can also be expanded should markets be established,” he continues. “Increases in output for both operations will not only increase volumes sold, but also bring about efficiency improvements and cost reductions for Assmang’s iron ore division.”