For Immediate Release
SUDBURY, May 27, 2011 – Vale today announced that construction has begun on the Company’s CORe (Challenging Ore Recovery) project at Clarabelle Mill. The $200 million investment will increase metal recoveries at the mill by four per cent, increasing the value extracted from existing resources.
“The CORe project is part of a $3.4 billion investment plan Vale announced for our Sudbury operations in November of last year,” said Jon Treen, General Manager of Vale’s Ontario Operations. “This investment will help modernize our operations and contribute to our ongoing competitiveness and sustainability for years to come in Sudbury.”
The CORe project includes the construction of a new 38,000 square foot flotation plant containing a new flotation system using state-of-the-art technology. The project also involves technology improvements to existing mill infrastructure including installation of a new Isa Mill and replacement of flotation cells. A new dry (change house) is also part of the project along with a construction and equipment laydown yard to accommodate the anticipated workforce.
The project is expected to create 150-200 skilled trade jobs during peak construction. Construction is scheduled to be complete in July 2013.
“We are very pleased to break ground on this project and demonstrate our commitment to investing in our operations in Sudbury,” said Treen.
Manager, Corporate Affairs
Vale, Ontario Operations
Vale’s CORe Project at Clarabelle Mill
• The CORe project is a $200 million investment that will result in a four per cent increase in nickel recoveries at Clarabelle Mill.
• A four per cent increase in recoveries means Vale generates more nickel for every pound of ore mined. This increases the ability to maximize the value of the resource in the ground and, consequently, increases the resource base we have to choose from as borderline ores become more attractive.
• This project is part of a $3.4 billion five-year investment plan for Vale’s Sudbury Operations and part of a $10 billion overall investment package for Canada through to the end of 2015.
• The project will create 150 to 200 new external skilled trade jobs during peak construction periods.
• Construction on the CORe project includes a new flotation plant and a new dry (change house) for employees. The flotation plant will be completed in July 2012 and the new dry building was completed in the spring of 2011. Modifications to the existing mill, including the installation of new flotation cells, will be completed in July of 2013.
• Within the existing mill, a new state-of-the art Isa Mill will be installed and flotation cells will be replaced by mid-2013. Impacts on production will be minimized during the installation process by the re-circuiting of equipment that is not currently in use.
• CORe is an acronym for Challenging Ore Recovery.
Key project commodity and equipment quantities:
• Concrete – 4,375 yd3
• Structural steel – 1,780 tons
• HVAC platework – 100 tons
• Instrumentation and electrical cables – 358,366 feet
• Pipe – 53,971 feet
• Electrical and instrumentation equipment – 510 pieces
• Major pieces of mechanical equipment – 86 pieces