EASTERN LEASES
FEASIBILITY
STUDY
COMMITTED TO EXCELLENCE.
SECTOR / DISCIPLINE
Mining Infrastructure
LOCATION
Groote Eylandt Mine
Darwin, NT
DATE
June – July 2021
ASSET OWNER
Groote Eylandt Mine Company
(GEMCO) (Made up of two Shareholders: South32 Pty Ltd (60%) and Anglo Operations (Australia) Pty Ltd (40%))
CLIENT/DELIVERY AGENCY
South32 Pty Ltd
VALUE
$180m+
PROJECT DESCRIPTION
The Groote Eylandt Mine Company (GEMCO) operates an open cut
manganese mine on Groote Eylandt in the Northern Territory. GEMCO is proposing to develop the Eastern Leases Project in order to access additional mining areas to the east of the existing mine.
There are substantial undeveloped manganese resources within the
project site. The project is proposed in order to efficiently extract these resources in a safe and sustainable manner. The development of the project will allow the existing mine to continue supplying a product that is based on a specific quality to market as well as extending the lifespan of the mine.
JC CIVIL PROJECTS ROLE
JC Civil Projects was engaged by South32 to deliver a comprehensive budget estimate tailored for the preparation of the feasibility study. This involved conducting a thorough assessment and analysis to accurately forecast the associated costs development of the additional mining areas.
Additionally, JC Civil Projects collaborated closely with South32 to ensure alignment with project objectives, regulatory requirements, and industry standards, providing a budget estimate to support financial decision-making processes throughout the feasibility study.
KEY DELIVERABLES
JC Civil Projects played an important role in preparing associated cost estimates for the feasibility phase of the project. This included:
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Delivered a cost estimate within five business days of the final prepared BOQ and design
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Provided detailed manhours, concrete, fuel, and other material usage data to integrate with the client’s final schedule
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Identified and notified the client of seven constructability issues within the design and developed a strategy to deliver the project as designed, as well as provided an alternative cost estimate and program option
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Provided detailed Request for Information (RFI) records that tracked project issues throughout a 5-month period, which included a revolving design and BOQ project. These records maintained accurate documentation of all changes made to the estimates
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Delivered a first principles cost estimate within 3.2% of a large bulk earthworks contractor who was engaged during the ECI period, which produced a parallel estimate.
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Located options for onsite concrete batching to meet project specifications and timeframes.
KEY PROJECT HIGHLIGHTS
The quarries and haul roads at the Eastern Leases were developed in stages and progressively rehabilitated as mining was completed. The overall scope included:
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Vegetation Clearing
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Stripping and recovering topsoil
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Pre-stripping overburden
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Drilling and Blasting the manganese ore
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Mining or using excavators and haul trucks
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Backfilling quarries following ore removal
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Topsoil Replacement
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Revegetation
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Monitoring Rehabilitation areas for performance and undertaking any require remediation.
OUTCOMES AND ACHIEVEMENTS
Under stringent time constraints, JC Civil Projects provided a
thorough cost estimate for the feasibility study while identifying
constructability issues and offering alternative solutions.