Northparkes Mines

Northparkes Step Change Fact Sheet

Northparkes is currently undertaking a Pre-Feasibility Study to evaluate the potential for further underground mining and processing operations based on a series of large tonnage, low-grade areas of mineralisation within the existing mine leases.

Figure 1: Cross-section showing the zones of mineralisation in relation to existing and proposed mine infrastructure.

Graph

The results of an Order of Magnitude study completed in 2010 indicated that ore extraction at a rate of 30 million tonnes per annum could be achieved from multiple block caves using an expanded version of Northparkes' highly productive block cave layout.
The key elements of the $114 million Pre-Feasibility study includes 155 km of mainly underground diamond drilling to define the areas of mineralisation to allow detailed design of the potential mine layout and associated surface infrastructure including the ore processing plant and tailings facilities. The study has a strong focus on the application of new technologies to reducing energy and water consumption, improve underground tunnel development and safety and make the project financially robust. improve the projects financials. The first stage of these new technologies includes the trial of a tunnel boring system in 2012 in conjunction with Rio Tinto Innovation group and Aker Wirth.

While Northparkes Mines will concurrently be proceeding with a major project application to the NSW Government it should be noted that the Pre-Feasibility Study is the third step in a five stage process and there is no guarantee that the project will go beyond the current study.

Key Areas Of Assessment


Given the step change project would be a significant expansion of operations, there are key areas of assessment that need to be addressed as part of the major project application. These are as follows:

Ore Processing
A new ore processing facility would be constructed as part of the SCP. This will lead efficiencies in our current as well as our expanded operations. The location, amenity and operation of this new facility will be part of the major project assessment.

Additional Power
Step change would require significant additional power and negotiations have already commenced with electrical utility providers on the feasibility of sourcing additional power from the NSW grid.

Additional Water
A key part of the assessment will be access to water. The pre feasibility study is focussed on new technology which could minimise water consumption such as thickened tailings deposition and High Pressure Grinding Rolls (HPGR) in lieu of SAG milling.
As a responsible water user Northparkes will be sustainable in its approach to water. Northparkes are here for the long term and have an obligation to look after the land and water assets which it uses.

Tailings
The Step Change Project will require additional tailings storage capacity suitable for the proposed increase in ore mined and treated. We will be exploring a number of options in relation to deposition of tailings including the use of block cave subsidence zones and in-pit deposition, and the use of thickened tailings.

Other areas of assessment
Other important areas of the major project assessment will include Aboriginal Heritage, European Heritage, Flora and Fauna, Dust, Noise, Visual amenity, Traffic, Socio economics and Rehabilitation.

Once a final Environmental Assessment is complete it will cover all of these areas and go on public exhibition. We are planning to lodge the final application in the first half of 2012 after we have completed the studies outlined above.

The Step Change Project provides an exciting opportunity for Northparkes to not just grow our operations and extend the life of mine but to lead the way in incorporating new technology and innovation while also taking care of our land and local community.

For further information please contact Brad Welsh, Principal Community and Environment on (02) 6861 3067.