BHP has boosted its underground mining productivity through a $840 million investment, with the funding contributing to a series of growth-enabling projects at its Olympic Dam project in South Australia.
In a bid to continue building its “world-class copper province” in the state’s far north, the Big Australian will develop an underground access tunnel, a new backfill system to deliver paste fill via underground pipes to new areas of the mine, expansion of ore pass capacity, and installation of a new oxygen plant.
According to the company, these projects, along with those underway elsewhere across Copper SA, will improve efficiency and support future growth options for South Australia’s copper province, reinforcing the state’s role as a globally significant supplier.
“We are fortunate to have a world-class copper province right here in South Australia to do just that,” BHP chief operating officer Edgar Basto said. “The South Australian copper province is already performing strongly, consistently delivering more than 300,000 tonnes a year for the past three years.”
The Southern Mine Area access tunnel will improve access to the underground mine and streamline the transportation of materials and equipment. The project is expected to create nearly 200 construction jobs throughout the project development.
A new backfill delivery system will enhance the stabilisation of mined areas. The system will deliver cement paste fill directly through an underground pipe network, allowing access to previously inaccessible ore sections.
Olympic Dam is expanding its underground electric rail network from 4.85 kilometres to more than 6 kilometres, supported by six new locomotives. The ore pass capacity project will streamline materials handling in the Southern Mine Area, reducing truck haulage and improving safety and efficiency.
The new oxygen plant will support the smelter’s debottlenecking program, increasing copper concentrate smelting rates from 80 to 85 tonnes per hour. Oxygen plays a crucial role in the smelting process, helping to separate and remove sulphur and iron impurities to produce blister copper with a purity of 99%. This is then cast into copper anodes and refined into final products, including copper cathode, gold, and silver.
Alongside this, a new backfill system will also be introduced, which will deliver fill material via underground pipes and will be supported by the installation of a new oxygen plant to improve smelter performance. There will also be a crucial increase in ore pass capacity, “streamlining ore handling and reducing haulage distances”, according to BHP.
“We are standing at the edge of a generational opportunity to unlock transformational copper growth in South Australia,” said Anna Wiley, BHP asset president Copper SA. “By continuing to work together across government and industry, we can capture that opportunity and achieve our shared vision to increase Australian copper production.”
This sentiment was echoed by the South Australian Premier Peter Malinauskas, who said: “Copper is key to the electrification of transport fleets, for building renewable energy infrastructure, and for energy generation, distribution, and storage.”
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