Kenmare Resources plc’s is working to recover lost production after a lightning strike damaged power lines, “severely” disrupting operations at the Moma titanium minerals mine in northern Mozambique.
GUIDANCE
The company will try to recover lost production of heavy mineral concentrate but expects output of ilmenite and rutile to be at the lower end of the guidance range for 2023.
Due to a drawdown of intermediate stocks at the mineral separation plant (MSP), the guidance range for zircon and concentrates remains unchanged.
The shipping schedule has also been less affected, as the MSP continued to operate, and existing finished product inventories were sufficient to allow product shipments to continue.
DAMAGE
The lightning strike in early February was of “unusually high intensity” and cut two of the powerline conductors as the energy discharged overwhelmed the mine’s lightning protection systems, said Kenmare in a statement today.
“In addition to damaging the power line infrastructure, a large number of variable speed drives and electronic devices at the mine were also damaged, primarily at the three wet concentrator plants (WCPs).
“This was a highly unusual event, which has not previously occurred in Kenmare’s 15 years of operations.”
PROTECTION SYSTEMS
The company has a range of protection systems to minimise the impact of electrical storms during the November to May rainy season, including the recently installed rotary uninterruptible power supply (RUPS).
This ensures stable power to the MSP and a synchronous condenser (a voltage stabilisation device referred to as a ‘Dip Doctor’), which alleviates approximately 80% of the dips and spikes in power supply to the mine.
The company will either replace or repair the damaged equipment, and has restored WCP production capacity at close to normal operating levels.
“The MSP sustained only minor damage, because of additional protection provided by the RUPS system, and returned to operations quickly,” added Kenmare.
“The company is engaging with suppliers to rebuild normal spares inventories of variable speed drives.”
COST IMPACTS
Kenmare aims to establish and mitigate the capital and operating cost impacts of the disruptions.
Insurance cover is in place and the company is liaising with its insurers to process claims in relation to the lightning strike.
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