25th annual Mechanical Engineering Safety Seminar 2015

1. Cristal Mining
Mechanical Engineering – Pillar for safe
sustainable mining in the Murray Basin mineral
sand mines
An operations perspective.
Logan Francis
Mining Operations Manager - Australia

2. Cristal Mining
Disclaimer
This document has been prepared by Cristal Mining Australia (the “Company”) solely for use at its presentation to credit rating agencies. By accepting
this document, you agree to maintain absolute confidentiality regarding the information disclosed in this document.
The information contained in this document has not been independently verified. No representation or warranty express or implied is made as to, and
no reliance should be placed on, the fairness, accuracy, completeness or correctness of such information or opinions contained herein. The information
contained in this document should be considered in the context of the circumstances prevailing at the time and has not been, and will not be, updated
to reflect material developments which may occur after the date of the presentation. None of the Company nor any of its respective affiliates,
advisers or representatives shall have any liability whatsoever (in negligence or otherwise) for any loss howsoever arising from any use of this document
or its contents or otherwise arising in connection with this document.
This document contains statements that reflect the Company’s beliefs and expectations about the future. These forward-looking statements are based
on a number of assumptions about the Company’s operations and factors beyond the Company’s control, and accordingly, actual results may differ
materially from these forward-looking statements. The Company does not undertake to revise forward-looking statements to reflect future events or
circumstances.
This document contains proprietary information and no part of it may be reproduced, redistributed or passed on, directly or indirectly, to any other
person (whether within or outside your organisation/firm) or published, in whole or in part, for any purpose.”

3. Cristal Mining
Content
Cristal Mining Overview
Mineral Sands Overview
Mechanical Engineering Challenges

4. Cristal Mining
Who Are Cristal
We are a world leader in TiO2 production
Recently 100% subsidiary of Tasnee Industrial Corporation (KSA Ownership)
-Cristal are predominately Pigment producers
-Other products made include Titanium Metals, Powders, Inks, and other consumable
materials for chemical and consumer groups
-Tasnee Produce almost everything in plastics, metals, TiO2, chemicals, Polymers,
Batteries
-Highly Vertical Integrated Business – Mines to Final Product
-Cristal Mining is the Arm of the Business which mine the HMC (formerly Bemax, Cable
Sands)

5. Cristal Mining
Strategic Purpose
The Safe Production of Quality Titanium Products to Support
Our Customer Needs
How We Work
Performance, Professional, Care, Collaboration

6. Cristal Mining
Cristal Locations
*Tasnee operate in every major industrialised continent focussing in on Europe,
China, America

7. Cristal Mining
Paraiba
Brazil
Gwindinup
Australia
Ginkgo
Australia
Snapper
Australia
Bunbury
Australia
Cristal Mining
Atlas
Australia
Campaspe
Australia
Crayfish
Australia
Perth HO
Australia
Mildura TC
Australia
Wonnerup
Australia
Ludlow
Australia Weeman
Australia
But, We are always looking at our competition, markets and
customers…
OPPORTUNITIES!!!
Broken Hill
Australia

8. Cristal Mining
Mining Operations At-A-Glance
North Shore
6 Operating,
5 New
Approved,
3 Rehab
Snapper
Paraiba
Broken Hill
Ginkgo
Wonnerup

9. Cristal Mining
Mining Operations in the Murray Basin Mineral Sands

10. Cristal Mining
How are Sand Mineral Deposits Created?
What do you think about when we talk a sand mine?
10

11. Cristal Mining
What do we Mine? What are Mineral Sands?
Rutile
Zircon
Ilmenite
Leucoxene
Kyanite
Various Other trash products…….why?
Are they all Trash?
11

12. Cristal Mining
What are Mineral Sands used for?

13. Cristal Mining
Facts About Cristal Mining – Murray Basin
->650,000t HMC/pa
->50,000,000BCM/TMM/pa
->$300,000,000 revenue/pa
-Cost Performance running in 1st Quartile for Industry
-Safety Performance in 1st Quartile for region

14. Cristal Mining
The Murray Basin Deposit
Ginkgo & Snapper
deposits

15. Cristal Mining

16. Cristal Mining
Murray Basin Climate
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Weather
Temperatures
Highest: 47.6°C (117F)
Lowest: -4°C (24F)
Average rainfall – 276mm (10.8in)
Population
Area: 70,000
Density: 0.3 person per km²
Small Barkandji indigenous population.
Oldest known human existence outside
africa 42,000 years old.
Commerce:
Primary production – Sheep, Cattle,
grain crops, fruit and vegetable.
Mining – Mineral sands, silver, lead and
Zinc

17. Cristal Mining
GINKGO MINE, WHIMS AND ADMINISTRATION

18. Cristal Mining
Ginkgo and Snapper Mines
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19. Stratigraphy
Blanchetown Clay
Upper Loxton Parilla Sands – Beach/Dunes – un mineralised
Upper Loxton Parilla Sands – Offshore – un mineralised
Loxton Parilla Sands – Ore Zone
Mineralised beach and dunal sands

20. Cristal Mining
Grade accumulation due to faulting. A common
theme in mining
Fluvial = increased
sediment load onto
the beach & forming
delta = trap site

21. Cristal Mining
Ginkgo Deposit – cross section
Beach 1Beach 2Beach 3
Regression

22. Cristal Mining
Natural ground water
Mining pond level
Black water
Mining Direction
Ginkgo Deposit – long section

23. Cristal Mining
Snapper Deposit – cross section
Beach 1
Beach 2Beach 3
Beach 4
Beach 5

24. Cristal Mining
Snapper Deposit – long section
Natural WT
Mining pond level
Fault
Mining direction

25. Cristal Mining
The Mining Process

26. Cristal Mining
Typical Mining Overburden Equipment
26
Major Contractor in MB is Basin Sand Logistics : A CMC enterprise

27. Cristal Mining
Typical Ore Dredging and Floating Concentrator

28. Cristal Mining
Typical Mining Ore Equipment

29. Cristal Mining
Ginkgo Bucket Wheel

30. Cristal Mining
GINKGO MINE AND WET CONCENTRATION PLANT

31. Cristal Mining
SNAPPER MINE AND WET CONCENTRATION PLANT

32. Cristal Mining
Gravity separation - spirals

33. Cristal Mining
GINKGO and SNAPPER MINE WHIMS and ROM Pad

34. Cristal Mining
BROKEN HILL MINERAL SEPARATION PLANT

35. Cristal Mining
Mining East Products Railed from Broken Hill to Port Adelaide

36. Cristal Mining
Mechanical Engineering Challenges for our Team

37. Cristal Mining
Key Considerations
We are 7 hours from Melbourne, 5 hours from Adelaide
Emergencies are extremely expensive
Dredging is a small market in Australia and Mineral Sands in not common (knowledge and spares are
limited)
Salt concentration levels are 45,000ppm. Sydney coast is 19,000ppm
2 Main Dredging units.
One Dredge and Concentrator was made in 1982 (IHC), Older styled MCC’s, Hydraulic motor rooms,
bucket wheel, drive gear and gearboxes are underwater (positive pressure air) (1000tn). Was originally
the largest dredge in the southern hemisphere (4000tn/hr)
Second dredge and Concentrator was custom made in 2010, modern MCC’s, Hydraulic central systems,
PLC/scada control, various engineering quality related issues to today
Largest cost is overburden, maintenance is not too far behind
Extremely corrosive slurry (Sand, salt, Heat, Lime) requires high wear resistant metals/composites
Critical Spares (all are expensive and some don’t exist)
Operations Teams are 100% local team. (Maintenance Teams are predominately from Agriculture,
Vineyards, logistic companies)

38. Cristal Mining
Our Performance to date – On Stream
Dredge Availability Dredge Utilisation Concentrator Availability Concentrator Utilisation
2011 83.8% 90.4% 78.8% 79.2%
2012 95.6% 94.4% 92.6% 86.5%
2013 94.0% 88.0% 95.1% 94.2%
2014 98.4% 94.6% 98.1% 98.0%
0.0%
10.0%
20.0%
30.0%
40.0%
50.0%
60.0%
70.0%
80.0%
90.0%
100.0%
AxisTitle
SNAPPER AVAILABILITY AND UTILISATION GROWTH PA
Dredge Availability Dredge Utilisation Concentrator Availability Concentrator Utilisation
2011 94.1% 88.5% 88.9% 78.8%
2012 87.7% 92.2% 83.2% 88.4%
2013 90.0% 83.8% 93.2% 81.5%
2014 97.0% 96.3% 98.4% 94.7%
0.0%
10.0%
20.0%
30.0%
40.0%
50.0%
60.0%
70.0%
80.0%
90.0%
100.0%
AxisTitle
GINKGO AVAILABILITY AND UTILISATION AVERAGES GROWTH PA

39. Cristal Mining
Our Performance to Date - Brief
Record lowest maintenance costs to date
Record lowest downtime to date since inception
Highest Throughput since inception
Highest Availability and Utilisation since inception
Lowest Recordable injury in company history
WHY!!!!!!!!!
Review and change of the Maintenance Practices, leadership styles and
development, enhancing relationships with suppliers, culture and
commitment to zero harm

40. Cristal Mining
Ginkgo Concentrator

41. Cristal Mining
Ginkgo Outrig and Crane Lifting Access
CAPEX VS OPEX

42. Cristal Mining
Snapper outrig and Crane Access

43. Cristal Mining
Overhead Cranage and Access - Ginkgo

44. Cristal Mining
Overhead Cranage and Access - Snapper

45. Cristal Mining
Overhead Cranage and Access - Snapper

46. Cristal Mining
Ginkgo Workspace/Corrosion
Previous LOM uncertain, directive to
spend as minimal as possible.

47. Cristal Mining
Snapper Corrosion Protection
New Plant, old knowledge, Capital VS Operating
Sacrificial Covers
Aluminium vs Copper
Stainless vs Poly

48. Cristal Mining
Salt and Corrosion Protection

49. Cristal Mining
Ginkgo - Guarding
Legacy Issues
-hydraulic, electrical, guarding, access,
-custom fabrication for all works
-training intense process

50. Cristal Mining
Snapper - Guarding

51. Cristal Mining
Maritime Regulations

52. Cristal Mining
Ginkgo Dredge and Concentrator – Walkway

53. Cristal Mining
Dredge Walkway Access

54. Cristal Mining
Walkway, Piping, maintenance accessibility

55. Cristal Mining
Ladder and A Frame

56. Cristal Mining
Grid Mesh

57. Cristal Mining
Rope – Steel vs Synthetics

58. Cristal Mining
Screen VS Trommel

59. Cristal Mining
Sheaves Upgrade
Note: Old (left) sheaves with cable angle not inline with sheaves compared with the new (right)

60. Cristal Mining
Other Mechanical Engineering Programmes
Intense BI Program Roll Out Focus
 Alternative mining methods for Maintenance, ore and OB
 Reduce L&D
 Developing Alliances with suppliers and various ownership models
Significant Cost Reduction Programme but don’t touch maintenance teams
budget outside of unjustified contracting
Achieve Production Targets (what is the ultimate goal)
Increase OST - Understand utilisation, Availability, Downtime
Improve Recovery
Harness and Develop Engagement and collaboration (leadership/culture)
Review every Cost Line by Line and think outside the square
Remove the barriers between maintenance, production, safety, contractors
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61. Cristal Mining
Our Success Has Been Driven By
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Challenging Service Providers. Working Better/Smarter, Together.
Utilise Technology (planning, PLC, tablets, Automation)
Full maintenance plan review focussing in on failures and potential to DT or
Critical spares (DT Incident Investigations)
Walk your assets, ask what if, Risk Assess
Work orders/assets owned by individuals and Supervisors Manage Deferrals
Workorders Approval and Statistics reviewed at the Executive level monthly
Workorders deferred require approval from Maintenance Manager
Supervisors responsible for their own budgets (KPI)
Develop training and development plans for your teams so they own a role
Know your DT
Don’t buy off the shelf, develop it yourself
Unrivalled Commitment to Success, Right People, Right Motivation

62. Cristal Mining
Challenges For Mineral Sands
 Market !!!!!!!!!!
 Continuing to Find Better/Cheaper ways of doing things
 Substitute Products
 Culture – what has been done in the past!
 DIDO
 Temperature and due point (separation)
 Corrosion and Aging plant
 CODB (Rates, Approvals, Community Support, Marketing)
 Business Systems
 Corporate Requirements (ROI)
 Headcount Pressures
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63. Cristal Mining
Journey to Zero,
Leadership, Behaviour and Culture
Total Injuries by Year
63
0
5
10
15
20
25
2006 2007 2008 2009 2010 2011 2012 2013 2014
All Injury Frequency Rate by Year
AIFR
Linear (AIFR)
Year Injuries
2006 52
2007 58
2008 69
2009 50
2010 68
2011 53
2012 42
2013 33
2014 11
2015 (YTD) 5
Good Maintenance Practices = Good and Safe Production = Achieving workforce =
Successful Business

64. Cristal Mining
64
Journey to Zero
What Kind Of Leader Are you?
Questions?