Mine eyes K540m power plant

The National Business

By MALUM NALU
The Wafi-Golpu mine in Morobe will build a US$170 million (K541 million) power plant as part of its infrastructure, according to an updated feasibility study report released last week.
The report said that to ensure a reliable base-load power supply, a modular-designed power plant was proposed with a capacity of 140MW, together with associated fuel supply infrastructure.
It said the facility was proposed to be located proximate to the Watut process plant with a 22-day fuel storage capacity on site.
It has a fuel off-loading and storage facility located in the Port of Lae with 45-day fuel storage, and constructed along with an 87km pipeline for delivery of fuel oil from Lae to the power generation facility.
“The decision to build a power plant has increased project capital by approximately US$170 million and reduced operating costs by approximately US$4.30/t (K13.69/t) milled over the life of mine,” the report said.
“Further work will continue on identifying other power solutions which may include hydro, gas, renewable and hybrid.”
Other developments include:

  • Two other pipelines proposed from the mine – a tailings pipeline to a deep-sea tailings placement (DSTP) outfall location at the coast and a concentrate pipeline to the proposed new port facilities at Lae. The proposed new port facilities will be established within the Port of Lae and designed to handle, store and export the peak production rate of 84,000 wet metric tonnes (wmt) of copper concentrate per month;
  • a conventional storage shed designed to hold 70,000wmt of copper concentrate;
  • a surface workshop to serve the maintenance requirements of heavy equipment, light vehicles, process plant equipment (mechanical and electrical), general machine shop and warehouse planned to be built at the site;
  • permanent accommodation facility for rostered employees, proposed to house 1400 people along with a temporary construction camp for 1000 people;
  • water treatment facilities; and,
  • A new northern access road intended to be a 35km long extension from the Highlands Highway to the mine. The road crosses the Markham and Watut rivers requiring the construction of two significant bridges and three further bridges across secondary rivers and creeks. The cost of the northern access road, bridges and two new community roads are included in the project capital expenditure. These additional roads will significantly benefit the region and improve social development by providing remote communities, with access to markets for their agricultural produce.