With one year until their Environmental Assessment Certificate (EAC) extension runs out, HD Mining is hoping to convince the Environmental Assessment Office (EAO) that they’ve made a substantial start on the Murray River Project.
HD was awarded the EAC on October 1, 2015, which gave them five years to get the mine “substantially started.”
However, the mine didn’t receive their federal approval until Dec 2017, more than two years after the province awarded theirs.
Also delaying the project was two court cases, which sought to stop the company from bringing in temporary foreign workers until enough Canadians could be trained to work underground.
Finally, the agreement on the southern mountain caribou population wasn’t finalized until February, 2020. This meant the mine was finally clear from all legal entanglements months before their EAC was set to expire.
So the company asked for a five year extension, which was granted. The mine has until October 1 of next year, but is beginning the process of proving to the BC Government that the mine has been substantially started now, and has prepared a draft report, which came before council on September 23, as the company is looking for the district to provide a letter of support.
The proposed mine would produce up to six million tonnes of coal and have a lifespan of 31 years.
But unlike the other mines in the area, it would be an underground mine, using what’s known as the longwall mining technique. As a result, investment costs are much higher than with an open pit mine. While an open pit mine can start small and expand, a longwall mine needs all the infrastructure and equipment in place at the start of the project, leading to higher up-front costs, but lower costs during the mining phase.
There are five main infrastructure components: The mine itself, the decline site, the shaft site, the coal processing site and a secondary shaft site. According to HD, construction has started on four of these. “HD Mining has invested considerable time, effort and resources in engineering, permitting, construction, and underground mining to physically develop the Project. HD Mining has spent $294 million to date on the Murray River Project, including exploration, engineering, equipment, construction, financial and management costs.” says the report. “No construction has commenced at the Secondary Shaft Site, as infrastructure at this site is not required until year 15 of mine operations.”
HD Mining has all permits in place to begin work, and over the past year, they have submitted over 30 environmental and social management plans to meet the conditions in their mines act and environmental act certificates. “Eleven follow-up monitoring programs and communications plans have also been submitted to meet conditions in the Federal Decision Statement. Additionally, prior to construction, HD has developed occupational and health and safety programs specific for underground coal mining to control the potential for the creation of a thermite spark in all areas of the mine where flammable gases, vapours or dust may be present in quantities sufficient to produce explosive atmospheres.”
HD Mining started mining coal back in January 2014 as part of their bulk sample. “Over two years, HD Mining’s effort and resources advanced a 4.55 m high x 5.5 m wide decline 1,375 m down to the D coal seam. The service decline is an integral component of the underground mine, and it was sized to account for the future ventilation requirements of the operating mine. The total planned length of the service decline is approximately 1,500 m; mining of this component is 90 percent complete.”
After the bulk sample was concluded, the underground portion of the mine was flooded.
Earlier this year, they engaged Thyssen Engineering to begin the processs of restarting activity underground. This includes finishing the service decline, boring the ventilation shaft, and collar and extend the production decline. As of October 1, the process of draining the water from the mine began.
“The decline portal serves as access to the initial underground development and base of the ventilation shaft during the construction phase and as the access point for workers and materials during the operations phase. It also serves as the main intake airway for the mine, providing between 60 and 75 percent of the fresh air required to maintain a safe workplace. Re-entry into the decline and its rehabilitation is essential to make it safe and advance mine construction.”
Currently, the decline site covers 13.7 ha, which will nearly double in size once operations begin. Since May, the company has been working on rehabilitating previously built infrastructure, as well as building a new hoist house and monorail system, and building an electrical substation.
The rails for the monorail are expected to arrive soon, and construction on that should be underway by the end of the year.
According to the company, they have invested $294 million so far in the project. While they have not announced a start date to the mine, they are confident the work that they have done or will have completed by this time next year will qualify as a significant start to the project.
Trent is the publisher of Tumbler RidgeLines.