Industrial Minerals And Rocks of Turkey

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ISSN: 2146-9423
Mining & Earth Sciences Magazine
Spring 2015 | Vol 4 | Number 8 | www.miningturkeymag.com
Industrial Minerals And Rocks of Turkey
2014 Turkish Industrial Minerals Export
Another Step Forward In The Mining Industry
1957
www.fkk.com.tr
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Spring 2015
1
contents
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FROM THE EDITOR
TURKISH MINING SECTOR NEWS
TYRFIL: FLATPROOFING SOLUTION TO TIRES - FKK
INDUSTRIAL MINERAL AND NATURAL STONE
EXPORT OF TURKEY IN 2014 -Hazal Birses
INDUSTRIAL MINERALS AND ROCKS OF TURKEY –
PRODUCTION ASSESSMENT AND IMPLICATIONS - Özcan Yiğit
ANOTHER STEP FORWARD IN THE MINING INDUSTRY - Göknil Ceylan
EFFECTIVE ROADHEADER FOR COAL MINING - Sandvik Mining
LIFE OF A MINE MANAGER AMIDST CULTURAL
TRANSFORMATION - Shane Gant, Sean Dessureault, M. Mustafa Kahraman
HIGH CALORIFIC VALUE COAL: GLOBAL AND TURKISH
OUTLOOK - Mustafa Kerem Topuz, Süheyl Bilgel
ARGETEST - Argetest
VALUATIONS IN MINING & MINERAL ASSETS - PART I - Alan M. Clegg
PLEASE START USING PETROFER “FIRE RESISTANT HYDRAULIC
FLUIDS”!!! - Petrofer Turkey
TURKEY’S HIDDEN POTENTIAL: THORIUM - Hazal Birses
SPOTLIGHT ON UQ IN TURKEY - The University of Queensland
ADVERTS INDEX
EVENTS LIST
Cover Photo
Aragonite, which largely compose limestone with calcite, is a naturally occurring mineral and crystal form of calcium
carbonate. Limestone is an abundant
sedimentary rock; in fact it consists
10%of all sedimentary rocks. Turkey is
an important limestone producer, and
the majority of the Turkey’s limestone is
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Spring 2015
recovered in the Aegean region. Limestone is used for several industries such
as construction industry, medical industry and chemical industry. The naturally occurring aragonite crystal sample
on the cover was obtained in Elmadağ,
Ankara.
Editor
www.miningturkeymag.com
Passive – Aggressive Mood of Turkish Mining Industry
Hazal Birses | [email protected]
Turkish mining industry has been seeking a way out from the drawbacks of the latest legislations for the last two years. The
government has been trying to provide an optimum solution, being conscious about the industry’s apprehensions and
demands. Authorities did not flinch from consulting public institutes or associations before enacting the mining legislations.
Companies, on the other hand, were suffering from two major subjects which are permitting process and the value of forest
lands. Exploration companies had difficulties obtaining environmental permits and surface areas; therefore many considerable
exploration projects had to be precluded by reason of permitting process. Besides, both exploration and production companies
were forced to pay high forest land fees in order to do operations.
A number of international exploration companies, including large scale companies, have decided to hand over their projects to
local or other international companies during this period. They showed “risky condition of Turkey” as their reasons for leaving.
On the contrary, some other internationally large scaled companies have entered to Turkish market to take advantage of this
tense atmosphere. These companies either consider this period an exact time to be involved in the mining industry of Turkey
or they see the light at the end of the tunnel.
The government has recently published a new amendment to the Mining Law No. 3213 on the official gazette. As a whole,
the amendment pleased the mining industry although some articles are not found satisfactory by company authorities. A
circular about all entailed lands of Turkey has been constituting the major problem of mining companies since 2012. The new
amendment failed to offer a solution to this problem, which obliges all transactions related to State owned lands subject to the
approval of the Prime Ministry. Hence, mining industry keeps insisting on their primary demands about the circular before it is
too late. On the other hand, recent efforts of government may relieve the industry’s anxiety.
The amendment cleared up an important struggle for the exploration companies. Some clauses of the Law had been penalizing
exploration companies by delicensing before the amendment; but now the companies are served with fine.
Thus, all the efforts of the exploration companies will not go down the drain for an unexpected reason.
Another unpleasant incident showed up with the application regulation of 16th article of the Forest Law no. 6831 on April
2014. Despite the complaints of the industry before the regulation, the regulation instead, tripled the value of use and sale of
government forest land. Hopefully, Republic of Turkey Ministry of Forestry and Water Affairs published a draft that lowers the
value 50%.
In general, mining companies are optimistic about the future of Turkish mining industry. They believe that engaging in
dialogue with government structures will solve all of these problems eventually. Recent exploration results and opportunities
of Turkey keep attracting companies around the world. However, in order to accelerate the mining development of Turkey, the
government needs to get a move on. Collaboration between mining industry and government authorities with the consult of
associations, institutes and universities could be the driving force of this acceleration.
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Spring 2015
News
Turkish Energy and Natural Resources Minister
Commented About Privatization of Boron Mines
Energy and Natural Resources Minister
of Turkey Taner Yıldız commented on a
Turkish TV channel program that privatization of Turkish boron is beside the
point. “We would not privatize boron. We
do not have any privatization schedule, on the contrary we would like to
emphasize that boron should remain
nationalized. Neither Justice and Development Party (AKP) nor Turkey has
any cogitation about privatization of
boron.” said Yıldız, regarding privatization of boron mines, which has become a current issue lately.
October 2014
Koza Announced Partnership
Agreements in Ireland and Portugal
Koza Limited, a subsidiary of Koza Altın
İşletmeleri A.Ş. has signed an agreement with IMC Exploration Limited
regarding gold, silver and base metal
exploration activities on IMC’s four license areas in Ireland. The agreement
includes exploration operations, geological surveys and their finance. Koza
Ltd, which will operate and/or develop
the Project, will have the right to own
55%of shares of JV company. Koza had
signed an agreement with Lonmin Limited in Ireland in 2014. Thus, Koza has
increased the JV companies to two in
Ireland with the latest agreement. At
the same time, Koza Ltd announced another agreement with Kote Medgold to
TSX. Koza acquired 19.31%of Medgold
stakes by issuing C$1.5 Million through
Joint Venture agreement. The agree-
ment includes exploration operations
of gold and silver deposits in Portugal
and Koza will owe the higher share of
JV company. Koza Limited will initially
have the right to owe of 55%of shares
whereas the company has an option to
owe 75%of shares of the JV company.
March 2015
İhlas Madencilik Continues Operations
İhlas Madencilik, an important metal
mining company of Turkey released
its 2014, 03 report. According to the
report, İhlas has continued to reserve
determination process on its existing
mines as well as making geological surveys in 29 fields in 2013. The company,
on the other hand, has applied for 81
royalties so far. İhlas initially plans to
increase the capacity of Bayındır zinc
– lead facility, implement polymetal
investment in Salihli and complete
preliminary preparations at Elbistan
power plant. Reserve determination
and development operations will continue by application results and other
investment projects will take a place
in 2015 schedule. İhlas Madencilik
had completed feasibility studies and
capital budgeting for Salihli polymetal
project in 2013. The company applied
for mining license and has been wait-
ing for response from competent authority. Mir İç ve Dış Ticaret, which is
a subsidiary of İhlas Madencilik has
completed the feasibility studies to
produce concentrated zinc – lead
with 500 tons/month capacity in two
fields in Bayındır region. İhlas has time
extension option in group IV mine in
Çanakkale – Kalkım, whose royalty
was obtained by Oreks Madencilik.
November 2014
2 Billion TL Budget for 52 Projects in 2015
52 mining and petroleum-natural gas explorations are 2.016 billion TL budgeted on
2015 annual investment program. According to Anatolian Agency (AA), mining and
petroleum-natural gas explorations were
1.977 TL budgeted in 2014, now this value
has raised to 2.016 billion TL in 2015.The biggest share of this budget belongs to Turkish
Petroleum (TP) General Directorate while
General Directorate of Mineral Research and
Exploration (MTA) becomes the most budgeted mining institute currently. Electricity
Generation Company (EÜAŞ) General Directorate is also one of the most budgeted in-
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Spring 2015
stitutes among all mining sector related to
institutes. EÜAŞ budget is determined as
100 million TL for its 8 projects. State-owned
coal producer companies, Turkish Coal Enterprises (TKİ) and Turkish Hard Coal Enterprises (TTK) will carry out 10 projects. 5 projects of TKİ have 100 million budget whereas
5 projects of TTK have 95 million TL budget.
On the other hand, Eti Maden General Directorate will carry out 11 projects with a
60 million TL budget and Republic of Turkey
Ministry of Energy and Natural Resources
has 4 million TL budget for 3 projects.
January 2015
Source: wikipedia.org
Çelikler Won Orhaneli and Tunçbilek Thermal
Power Plants and Properties of Bursa Lignite Tenders
Çelikler Taahhüt İnşaat ve Sanayi AŞ won
privatization of Orhaneli and Tunçbilek
thermal power plants and properties of
Bursa Lignite tenders for $521 million offer. Tender was initiated by Privatization
Administration of Turkey and closed offers were taken at preliminary qualifica-
tion. Highest offer was $160 million in this
qualification then two more tender qualification sessions were opened. Starting bid
was $463.8 million on auction and minimum bid was set to $100,000. Konya Şeker
Sanayi ve Ticaret AŞ and Çelikler Taahhüt
İnşaat ve Sanayi AŞ were the two compa-
nies on auction and Çelikler won the tender after a 30 minutes session.Çelikler had
also won Seyitömer thermal power plant
tender for $2.2 billion in 2012.
December 2014
Qatari Company Negotiates to
Invest in Turkish Coal Power Plant Project
Negotiations between Qatari company,
Nebras Energy and Turkish authority are
proceeding for a large scale project including operation of Afşin – Elbistan coal
field and constructing a thermal power
plant on this region. “Along with developing coal mines, the project will aim to
build coal power plants that will be able
to generate 4,500 megawatts of electricity. Nebras Power and Qatar Holding, in
cooperation with some of the world’s
most experienced developers in this
field, have begun working on project
feasibility studies.” said Khalid Jolo, CEO
of Nebras Energy. Negotiations between
Turkish authority and other companies
for Afşin – Elbistan project could not be
concluded previously.
December 2014
Chinese Investors Caused Marble Crises in Turkey
One of the most important sectors in Turkey, natural stones and marble sector, has
been facing crises after Chinese marble
quarry investments in Turkey. Balance of
marble sector has been upset because of
being a rapidly growing and export-dependent sector in Turkey. Chinese inves-
tors have acquired more than 100 marble
quarries in Mediterranean region of Turkey
which is a critical region for Turkish marble
sector. Chinese block marble merchants,
who prefer to invest in Antalya, Isparta
and Burdur, have come a long way in
forming the sectors’ rules. Mediterranean
sector representatives claim that marble
purchasing in Turkey are encouraged and
credited by Chinese Government, whereas Turkish companies continue to look for
a way to get over this crises.
December 2014
Lundin Mining Corporation Opened Turkish Branch
International mining company, Lundin
Mining Corporation opened their Turkish
Branch in January 2015 in Ankara. Directors
or delegates of Turkey’s leading mining and
earth sciences companies joined the opening cocktail. “We believe in mining potential of Turkey and we would like to invest in
Turkish mining industry through Lundin’s
experience. As a result of our persistence in
this issue, our Ankara branch was opened
with your kindly participation. I hope Lundin Mining, which has an understanding of
caring about people and environment, will
contribute to Turkish mining industry and
economy.” said Tayfun Cerrah, New Business Development, Europe and Near East
Director of Lundin Mining. Ciara Talbot, Corporate Manager Exploration and New Business Development of Lundin Mining made
a statement about Lundin’s Turkish Market
penetration. According to Talbot, Lundin
has been seeking for mining opportunities
of Turkey and evaluating several offers since
June 2014
Imerys Acquired S&B Minerals
Imerys, the world leader in mineralbased specialty solutions for industry,
acquired S&B Industrial Minerals assets
for €525 million. S&B minerals is the European leader in bentonite and the world
leader in continuous casting fluxes, wol-
lastonite and perlite-based solutions.
Therefore Imerys, which holds feldspar,
calcite and perlite mines in Turkey, is expected to take the world leader position
in bentonite, perlite and wollastonite
production after acquisition of S&B. Ac-
February 2015
quisition does not include S&B’s bauxite
mines in Greece and it will come into
force by confirmation of competition authority in 2015.
December 2014
Spring 2015
7
Chesser Resources Leaves Turkey
Australian mining company, Chesser
Resources, which has been operating in
Turkey for 7 years, announced that they
would leave. Turkey by the end of June
2015. Chesser had mentioned conducting a strategic review for company’s fu-
ture in a previous announcement, then
capital distribution to shareholders instead of investing in sources was decided
by company managers. According to the
report that was given to Australian Stock
Market by Chesser, company’s former
project, Kestanelik had a considerable
potential for future operations. However
Chesser decided to sell the project that is
under development process to avoid several political or other risks.
February 2015
Anatolia Energy Completed Prefeasibility Study for Temrezli
According to the prefeasibility study
(PFS) carried out by Anatolia Energy,
Temrezli Uranium Project is found out
as profitable. By taking 5.2 million tons
of uranium oxide (U3O8) resource into
consideration, PFS was based on processing of uranium bearing solutions,
which are obtained from Temrezli field,
in a central processing plant that delivers 1.2 million tons of U3O8. PFS shows
that $41 million will be invested by
Anatolia Energy in order to recover 9.9
million lb (around 4500 tons) U3O8 in
following 12 years. “Completion of the
PFS is a significant milestone for Anatolia and takes the company to a great
deal closer towards achieving our objective of becoming a high margin producer of uranium in the near term. Our
focus over the coming months will be
to complete detailed plant designs and
seek to assess the project capital based
on local Turkish plant costs ,which we
believe may substantially reduce up
front capital requirements.” said Paul
Cronin, CEO of Anatolia Energy. Besides, Anatolia Energy plans to submit
environmental and social impact assessment (ÇED) at the end of February
while they will be working on converting their operating license into an operating permit.
February 2015
Ariana Resources Evaluated 2014 Operations
Anglo-Turkish gold exploration and
development company focused on
Turkey, Ariana Resources made a brief
evaluation of company’s Turkey operations. According to the announcement; Ariana successfully completed
the permitting process required by the
Turkish Ministry of Environment and
Urban Planning as a part of the Environmental Impact Assessment (EIA) reporting process by the end of 2013, so
the company could apply for a 20 year
license extension. Besides, Ariana’s application to the Ministry of Economy for
a series of tax incentives and other gov-
ernment support mechanisms was also
approved in June. Finally the company
obtained 100%of the land rights for
their primary Reserve at Kızıltepe. According to the announcement, Ariana
is likely to move into mine construction
at Kiziltepe as they await the delivery
of the final permit for access to government-owned land, which in this case
relates to an area of forest. Moreover,
the company indicated that expanding
Kızıltepe resources, which is a part of
Red Rabbit district, in size and scale is
taking their priority. Once the Kiziltepe
mine becomes operational, Ariana
expects to convert this potential into
further mineable reserves, enhancing
mine life as well as the long-term economics of the mine. On the other hand,
Ariana continues to advance their exciting Ardala-Salınbaş JV project with
Eldorado Gold Corp. Independent reviews of geological, metallurgical and
mining data were completed and the
JV is in the process of compiling this
data as part of an internal scoping
study which will be used to gauge the
potential value of the project.
February 2015
$100 Million Investment to Perlite by Bergama Madencilik
Bergama Mining, which is a perlite mining company of Turkey plans to invest
$100 Million to company’s existing mines
in Aliağa and Akhisar regions and projects to produce perlite this year. Chairman of Bergama Mining, Levent Çullas
emphasized that 74%of world’s total
perlite reserve (5.7 billion tons) present in
Turkey and he added “EU countries have
been studying on modification of perlite
for more efficient use in recent years and
R&D department of Bergama has been
following the same procedure.” Bergama
mining recovers perlite from 10 differ-
ent perlite ore quarries in İzmir, Manisa,
Çanakkale and Ankara which are expanded in 5,752 hectares and the company
produces recovered perlite in İzmir and
Konya processing plants.
February 2015
Source:bergamaperlite.com
8
Spring 2015
Mediterranean Resources Leaves Turkey
by Selling its Interests to Turkish JV Partner
Canada based, gold and base metal exploration and mining company Mediterranean Resources announced sale
of its Turkish property to company’s
Turkish joint venture partner. Mediterranean has had exploration and development projects in Artvin region of
Turkey since 2007. The company closed
the sale of 80%interests in its Turkish
subsidiary, Akdeniz Resources Madencilik AŞ for $9 million to JV partner Çeka
İnşaat ve Sanayi Ticaret AŞ. “The joint
venture with Çeka started well. In fact,
had Çeka not made timely payments
on the Company’s behalf, prior to signing the joint venture, it was likely that
the Company would have lost its licenses. Unfortunately, the mounting
political risks have led Çeka to believe
that even a more aggressive development schedule is the solution. Giving
growing concern around the political
climate, we believe the Property will
have a better chance of succeeding
with a domestic owner who has better access to capital. We continue to
believe that the Property has tremendous potential, but given our financial
position, we believe we are much better off selling the Property to Mr. Kaya.”
said the Company’s President and CEO
Robert Abenante. March 2015
Kazan Soda Project of Ciner Group was Awarded
Turkish market leader in natural soda
ash production, Ciner Group was given
ECA Deals of the Year 2014 award by
Trade & Forfaiting Review (TFR). As well
as the size and the environmental sufficiency of the project, financing agreement between a subsidiary of Ciner
Group, Kazan Soda Elektrik Üretim AŞ
and China’s Sinosure also made a contribution to the company to win the
award. Ciner group, which has a production capacity of 1.1 million tons a
year, wanted to ramp up its output and
sought support for investment in a 2.7
million tons-a-year soda plant together
with a gas-fired 800MW generation
power plant in Turkey. The agreement
is the largest Sinosure-covered longterm facility in Turkey at more than
$1billion of financing, and Ciner Group
is the first Turkish company which is
funded by both Chinese and international banks at the same time.
March 2015
Pilot Gold Acquired 60%of TV Tower Project
International gold exploration company,
Pilot Gold acquired 60%interests of TV
Tower Project in Biga Region of Turkey.
TV Tower is a joint venture between Pilot
Gold (60%) and Teck Madencilik Sanayi
Ticaret A.S. (Teck) (40%), which is a Turkish subsidiary of Teck Resources Limited.
The TV Tower project has delivered four
gold, silver and copper-gold discoveries
over the past four years, and hosts numerous untested targets. The Company
expects to start the 2015 program soon.
The company’s priority is to complete
drilling operations. The Joint Venture
company, which consists of the predecessor company of Pilot Gold, Fronteer
Gold and Teck, has been working to define the potential of the district. On the
other hand, Pilot Gold defined Turkey’s
3rd largest silver deposit with significant
gold credits in 2014.
March 2015
Source: pilotgold.com
MNG ORKO Buys Balogo Gold Project
Turkish private gold exploration company, MNG ORKO announced an agreement with Golden Rim Resources to acquire its entire interests in Balogo Project
for $10 million in staged cash payments,
plus a 1%net smelter return.Balogo is an
advanced gold exploration project situated in southern Burkina Faso that will
be managed by MNG Gold through its
subsidiary MNG Gold Burkina Sarl. The
Project, which is comprised of 2 joint licenses covering 360km2 and 43,070m of
drilling, has been completed to date. “I
10
Spring 2015
am delighted to execute this acquisition
agreement. Balogo is a high grade gold
Project that Golden Rim has been able to
develop to its current level through their
professionally run exploration activities.
We believe that the further funding that
we are able to provide from our existing
cash resources will enable us to improve
upon the resource identified to date and
the Project moved into production in a
relatively short time frame. Balogo also
demonstrates the first step of our gold
mining investments in Burkina Faso. Our
aim will be continuing to develop the
Balogo Project with consideration of the
environmental / social impacts and local
community collaboration to commence
production right after our Kokoya Project in Liberia commences production.
Our pipeline of projects started with
the acquisition of the Kokoya Project in
2014 and will continue with the Balogo
Project purchase in line with our targets
and strategies.” said Serhan Umurhan,
General Manager of MNG ORKO.
March 2015
Life Sentence Trial for Soma Mine Executives
Turkish prosecutors demand a life
sentence for the eight executives of
Soma mine who are accused of being
responsible for involuntarily causing
301 deaths in Soma coal mine. CEO
of Soma Kömür İşletmeleri Can Gürkan, General Manager of Soma Kömür İşletmeleri Ramazan Doğru and
six other executives face life sentence
whereas prison sentence between 32
months and 20 years was demanded
for the eight other company officials.
According to the investigations in
Soma mine, insufficiency of CO2 detectors and quality oxygen masks and
some other defects were revealed.
301 miners had died of carbon monoxide poisoning after the explosion in
the mine.
December 2014
Source:sendika.org
Konya Şeker Won Soma B Thermal Power Plant Tender
Konya Şeker won privatization of Soma
B Thermal Power Plant and its properties’ tender for $685.5 million offer.
Alsim Alarko Sanayi Tesisleri ve Ticaret
AŞ, Kalyon İnşaat Sanayi ve Ticaret AŞ,
Konya Şeker Sanayi and Ticaret AŞ, Bereket Enerji ve Üretim AŞ participated
to the tender. Soma B Thermal Power
Plant is a lignite fired thermal power
plant which consists of 6 units with 165
MW installed power.
January 2015
Record Funding to Yıldırım Holding by UniCredit and EBRD
Yıldırım Holding agreed with UniCredit
and European Bank of Reconstruction
and Development (EBRD) for company’s
Voshkod chrome mining complex in
Aktobe, North-Western of Kazakhstan.
The agreement was signed after an
evaluation of health and safety, technical, taxational and judiciary criteria of
Voshkod complex. The EBRD is considering a loan of up to US$130MM as part
of a US$260MM A/B facility whereas
the 50%of the loan will be financed by
UniCredit. Credit agreement between
Yıldırım Holding and EBRD was signed
in London with presence Prime Minister of Kazakhstan Karim Massimov and
executives of financial institutions on 23
February 2015. The loan will be used for
reconstruction of Voskod complex and
supporting environmental, operational
and safety standards. Chrome production in Voshkod started in July 2009 and
Yıldırım Holding acquired the complex
at the end of 2013. The complex consists
of an underground chrome mine and
a processing plant. Mineral processing
capacity of Voshkod is 1 million ton annually whereas its potential is 1.5 million
tons. “Our group accelerated metal and
mining investments by acquiring Voshkod chrome complex in 2013. This loan
is the longest term credit for a mining
company as well as being the first international long-term credit of our company. We feel right pride of being the
first company which takes a loan of this
amount from EBRD.” said Yüksel Yıldırım,
CEO of Yıldırım Holding.
March 2015
Eti Maden Aims to Reach $2.5 Billion Export
Eti Maden, Turkish state-owned mining and chemicals company focusing
on boron products, plans to invest $17
million in R&D studies in 2015 and aims to
reach $2.5 billion by 2023. The company
will employ around 2,500 people through
this investment plan. Eti Maden has quadrupled its profit for the 5 years, thus the
company plans to focus on R&D studies
all year round. “Increasing the market
share of Eti Maden in world market and
entering new markets rely on using of
contemporary and modern technology,
therefore R&D study investments are crucial. Keeping the world leader position in
sector, permanence and constant growth
underlie a proper R&D policy of the
company. Besides, Eti Maden has been
12
Spring 2015
studying to supply foreign-dependent
equipment in Turkey.” said Orhan Yılmaz,
Chairman of the Board of Eti Maden.
“We give weight to value-added boron
in production process. In this context,
concentrated products’ share has been
decreasing in overall boron export while
boron chemicals’ or equivalent products’
share has been increasing.” said Yılmaz.
He also stated that 5.5 million tons of boron chemicals and equivalents producing capacity and $2.5 billion revenue are
aimed in 2023. According to Yılmaz, they
expect a significant growth in their boron
based detergent export. Yılmaz added
“Our R&D studies are in the lab scale but
we produce in industrial scale and supply
these products for international markets.
For example, boron oxide, calcined colemanite, calcined tincal, boron soda, Eti
Matik, Boron Cleaning Product, glassy
boron oxide, zinc borate consist some of
our products.”
January 2015
Source:wikipedia.org
Conference on Historical Mining
Sites of Turkey Will be Held in Trabzon
1st Conference on Historical Mining Sites
of Turkey (CHMT 2015) will be held on December 3-5 2015, in Trabzon city of Turkey.
After the presentation sessions and the
official closing ceremony on December 4,
the World Miners’ Day will be celebrated
at beach complex of Karadeniz Technical University. Sightseeing and Technical
tours in Trabzon and Gümüşhane cities
will be organized on 3rd day of the conference.The aim of the conference is to
be a platform for researchers of the topics of mining history and preservation
of historical mining sites. It will be free
to attend the conference presentations.
The fee for dinner and sightseeing tours
will be announced through 2nd draft.1st
Conference on Historical Mining sites of
Turkey is organized by Mining Engineering Department of Karadeniz Technical
University, International Society for Rock
Mechanics Commission on Preservation
of Ancient Sites, Madencilik Türkiye Mining & Earth Sciences Magazine and International Society for Soil Mechanics and
Geotechnical Engineering Asian Technical Committee on “Geo Engineering for
Conservation of Heritage Monuments
and Historical Sites.
CONFERENCE PROGRAM:
3 December 2015 - Mining and Tunnel
Engineering in History
13:00-13:30 Opening ceremony
13:30-15:20 Presentations (Session 1)
15:20-15:40 Coffee&Tea Break
4 December 2015 - Preservation of Historical Mining sites and Tunnels
14:50-15:10 Coffee&Tea Break
17:00-18:00 Music recital & Closing
ceremony
18:00-23:00 Dinner & Celebrations of
World Miners’ Day
5 December 2015
Sightseeing and Technical tours in Tra-
bzon and Gümüşhane cities will be organized on 3rd day of the conference
(Details will be in the 2nd draft)
ORGANIZED BY:
Mining Engineering Department of
Karadeniz Technical University
ISRM Commission on Preservation of
Ancient Sites
Madencilik Türkiye Mining & Earth Sciences Magazine
ISSMGE Asian Technical Committee on
Geo Engineering for Conservation of
Heritage Monuments and Historical Sites
ORGANIZING COMMITTEE:
Prof. Dr. Ali Osman Yılmaz (Karadeniz
Technical University, Turkey)
Dr. Guo Qinglin (Dunhuang Academy,
China)
Dr. Zhang Jingke (Lanzhou University,
China)
Onur Aydın (Madencilik Türkiye Mining
& Earth Sciences Magazine, Turkey)
Eren Komurlu (Karadeniz Technical
University, Turkey)
Sener Aliyazicioglu (Karadeniz Technical University, Turkey)
Fatma Sinem Özkan (Karadeniz Technical University, Turkey)
Ali Osman Çakır (Karadeniz Technical
University, Turkey)
LANGUAGES AND PROCEEDINGS
The official languages of this conference are
Turkish and English. Turkish Proceedings
should be sent with an abstract in English.
Proceedings will be published with a special issue of MT Bilimsel Journal of Underground Resources as free to read online and
download. Please, use the web site of journal to see writing norms (www.mtbilimsel.
com). To download guide for authors, the
link is http://www.mtbilimsel.com/dosyalar/MTBilimsel_Yazim_Kurallari.pdf In addition to full manuscripts, English and Turkish
abstracts booklet will be published. Please
use the contact e-mail
address given below
for sending abstract
and full manuscript.
The conference can
be followed on facebook (www.facebook.
com/chmt2015)
IMPORTANT DATES
Abstract Submission - 13 March 2015
Notification of Abstract Acceptance - 27
March 2015
Full Paper Submission - June 2015
Full Paper Notification - 24 July 2015
Revised Paper Submission - 4 September
2015
INTERNATIONAL SCIENTIFIC AND
ADVISORY COMMITTEE:
Prof. Dr. Ayhan Kesimal (Karadeniz
Prof. Dr. Bahtiyar Ünver (Hacettepe
University, Turkey)
Prof. Dr. C. Okay Aksoy (Dokuz Eylul
University, Turkey)
Prof. Dr. Chen Wenwu (Lanzhou University,
China)
Prof. Dr. David Williams (The University
of Queensland, Australia)
Prof. Dr. Eduardo A.G. Marques (Federal
University of Vicosa, Brazil)
Prof. Dr. Erkan Topal (Curtin University,
Australia)
Prof. Dr. Ömer Aydan (University of the
Ryukyus, Japan)
Prof. Dr. Resat Ulusay (Hacettepe University, Turkey)
Prof. Dr. Wang Xudong (Dunhuang
Academy, China)
Prof. Dr. Yoshinori Iwasaki (Geo-Research Institute, Japan)
Assoc. Prof. Dr. H. Aydın Bilgin (Middle
East Technical University, Turkey)
Assoc. Prof. Dr. Bayram Ercikdi (Karadeniz Technical University, Turkey)
Assoc. Prof. Dr. Guzin Gulsev Uyar
(Hacettepe University, Turkey)
Assoc. Prof. Dr. Melih Genis (Bulent Ecevit University, Turkey)
Assoc. Prof. Dr. Mostafa Sharifzadeh
(Curtin University, Australia)
Ass. Prof. Dr. Ferdi Cihangir (Karadeniz
Ass. Prof. Dr. Ibrahim Cavusoglu (Gumushane University, Turkey)
CONTACT WITH:
Eren Komurlu (PhD. Candidate)
KTU Mining Engineering Department
61080 Trabzon Turkey
e-mail: [email protected]; [email protected]
Phone: +90462 377 42 97, Mobile:
+90554 412 72 98
February 2015
Spring 2015
13
Mining Sector Will Achieve its
2023 Goal through New Mining Law
According to the announcement of Aegean Exporters’ Association, new mining law pleased Turkish mining sector
with about $5 billion contribution to
the sector and the sector is now one
step closer to its $15 billion 2023 goal.
However, association has been waiting
for cancellation of mining circular that
obliges obtaining royalties directly to
Prime Ministry.Mining Law No. 6592,
which is vital for mining sector in terms
of contributing natural resources to
Turkish economy, was approved on 4
February 2015 by Turkish Parliamentary. The law was published in Official
Gazette of Turkey on 18 February 2015
after President’s approval.
February 2015
Approval to Çöpler Sulphide Project by Alacer’s Board
Alacer Gold, a leading intermediate gold mining company with its
Turkish subsidiary Anagold Madencilik, approved the Çöpler Sulphide
Project for company’s world class Çöpler Gold Mine. Board of Alacer Gold has
approved advancement of the Project
into detailed engineering and procurement of long-lead time items. Company
would be waiting for obtainment of
land use permits of the project to start
construction.“ The Board’s decision to
approve the advancement of the Sulfide
Project represents a significant milestone for both the Çöpler Gold Mine
and Alacer. We remain focused on further de-risking the Sulfide Project and I
am confident that we have the resources and expertise in place to advance the
Project into the execution phase.” said
Rod Antal, CEO of Alacer.
April 2015
Source:alacergold.com
Alacer Obtained Environmental
Impact Assessment Report for Çöpler Sulphide Mine
Alacer, a prominent metal miner of
Turkey announced that the company
obtained Environmental Impact Assessment (EIA) report by Turkish Ministry of Environmental and Urbanization.
Alacer took an important step to increase its production to 3.2 million oz.
over 20 years after obtaining the EIA
report. “The approval of the EIA represents a significant positive milestone
for Çöpler and the Sulfide Project and
demonstrates the ongoing support
from the Turkish Ministry of Environment and Urbanization for Çöpler and
the Project. ‘’The EIA approval is a fur-
ther evidence that the Sulfide Project
is fully on track and we can now begin
the process of securing the necessary
land use permits. In parallel with the
land use permitting process, we will
continue to advance basic engineering and de-risking efforts. With no debt
and a growing cash balance of $320
million, Çöpler’s high-margin production provides the platform to deliver on
our strategy of becoming a sustainable
mining operation with a focus on Turkey.” said Rod Antal, Alacer Gold CEO.
December 2014
Source: lidyamadencilik.com.tr
Tigris Resources is Listed as Royal Road Minerals in TSX-V
Royal Road Minerals, which is a gold
and copper focused exploration and
development company working in
Western and Southeastern Regions
of Turkey announced that its ordinary
shares have been approved for listing
on the TSX Venture Exchange, and will
commence trading on April 20, 2015
under the ticker RYR.“Listing is a challenge at the best of times but doing so
at the bottom of a cycle is a test of con-
14
Spring 2015
viction and evidence of the Company’s
commitment to its projects, people
and plans. We are very grateful for the
incomparable loyalty of our staff, for
the understanding and support of our
local partners and for the hard work
and persistence of our financiers and
our legal and accounting teams.” said
Dr. Tim Coughlin, President and CEO of
Royal Road Minerals Ltd.
April 2015
Source:royalroadminerals.com
Turkey Becomes a Member of International
Lead and Zinc Study Group (ILZSG)
Turkey has joined to International Lead and Zinc Study Group (ILZSG),
which is an effective international mining organization. According to the interview that was made by Mining Turkey Magazine, Selim Ergüder received a
congratulation mail from ILZSG regarding the membership of Turkey.
Membership of Turkey on behalf of Eti
Maden has been approved in March
2015. Intervention of Ergüder, who was
invited to study group as an observer
member in Portugal in 2013, and the
contribution of Deputy Undersecretary,
Ministry of Energy & Natural Resources
Nevzat Kavaklı, played an important
role for this membership.
TURKEY WILL ACQUIRE THROUGH
THE MEMBERSHIP:
•Intergovernmental
dialog
about global zinc, lead and metal
industry,
•Representing Turkey in global intellectual platforms,
•Following the recent developments
and R&D studies of the global nickel and copper industries,
•Sharing the latest industrial innovations and technological developments
with other group member countries,
•Attending to organizations where
the results of ILZSG studies are
shared with sector representatives,
•Acquiring about global supply and
demand balance information,
•Obtaining raw material production and consumption in galvanize,
iron, steel and automotive industries data,
•Acquiring a new vision in industrialized countries platforms.
ABOUT INTERNATIONAL LEAD AND
ZINC STUDY GROUP (ILZSG);
ILZSG was formed by the United Nations in 1959 to:
•Provide opportunities for regular
intergovernmental consultations on
international trade inlead and zinc,
•Provide continuous information on
the supply and demand position
of lead and zinc and its probable development and to make special studies of
the world situation in lead and zinc,
•Consider possible solutions to any
problems or difficulties which are
unlikely to be resolved in the ordinary development of world trade.
The main role of the ILZSG is to ensure transparency in the markets
for lead and zinc worldwide. This is
achieved by producing a continuous flow of information to the market
place on supply and demand developments in lead and zinc through the
monthly publication of high quality
statistics and in depth economic studies. We also organize international sessions and special conferences bringing
together industry and governments
to discuss matters of concern in
the lead and zinc sectors.
May 2015
Short Stories ...
Mining Law and Other
Laws No. 6592 Entered into Force
Merger between Park Elektrik
and Silopi Elektrik was Cancelled
Coal Import of Turkey Reached
Record High in 2014
Mining Law No. 3213 was amended
with the Law Amending the Mining
Law and Other Laws No. 6592 after
approval of President of Turkish Republic, Recep Tayyip Erdoğan on 17
February 2015. New mining law was
published in the Official Gazette of
Turkey on 18 February 2015.
February 2015
Merger between two subsidiaries of
Park Holding, Park Elektrik AŞ and
Silopi Elektrik AŞ was cancelled. Reason for the cancellation was shown as
the unexpected long process of the
merger.
February 2015
According to data obtained from Montel-Foreks, coal import of Turkey reached
to 29.8 million tons with a 12%increase
in 2014. Turkey imports the majority of
its coal from Russia and Colombia.
February 2015
Alkim Continues R&D Studies
Odaş Enerji Started Gold
Exploration
Aşkale Çimento Buys
Sançim Bilecik Çimento
Anadolu Export Maden Sanayi, subsidiary of Odaş Enerji announced an
agreement with Stratex Madencilik
that includes gold exploration and
production. Completing gold exploration of Karaağaç district near Kütahya
and Uşak, and investing through exploration results are included in terms
of the agreement.
February 2015
Two important cement companies
of Turkey agreed that the sale, and
conveyance will be completed after
competition authority’s approval.
Sançim Çimento has been acquired
for $220 million by Çimsa Çimento
before.
January 2015
Alkim Alkali Kimya, which is the largest
sodium sulphate company of Turkey,
Middle East, Northern Africa and Eastern
Europe, has published a report regarding company’s R&D studies and investment policy. Alkim will produce high
quality and purity magnesium chloride
solution, magnesium hydroxide, magnesium oxide and potassium chloride
thanks to their recent studies. On the
other hand, the company completed
permits for a chrome processing plant.
November 2014
Spring 2015
15
Profile
TyrFil: Flatproofing
Solution to Tires
Mining Turkey Magazine made an
interview with Vice President of FKK
Eyüp Altuncu and Director of Internatyional Sales of Arnco Pathway
Fernando Bedos about TyrFil which is
distributed over 7 countries including
Turkey by FKK Group, and the partnership between FKK and Arnco Pathway.
FKK was found in 1957 to produce
automotive spare parts from metal
and rubber. Today, the company produces more than 3000 type of products from SMR, NBR, EPDM, Vulkollan®, Polyurethane, Polyamide and
16
Spring 2015
other elastomers in its three production units and supplies to automotive, mining, textile, construction,
petroleum and earthmoving machinery industries.
On the other hand, Arnco Pathway is
a subsidiary of Accella Performance
Materials, which is owned by Arsenal Capital Partners. In 1971, Arnco
Pathway invented TyrFil, the world’s
first polyurethane tire fill material intended to flatproof tires. Since then,
TyrFil has not only eliminated flat
tires in the most hazardous industries, but has also
been specifically
formulated to promote safety by significantly reducing
the transmission
of G-Force vibrations.
According to Bedos, TyrFil is a liquid
polyurethane that
has two components: polymer and
catalyzer. It is injected to the tires,
then the chemistry
starts and after 24
hours it takes its elastic form. He added,
“For the sake of good order, there is
no more air in the tire, and the tire becomes flatproof. TyrFil is widely used in
mining, construction, airport, sports,
military applications etc. We present
in 65 countries, and we are happy that
FKK is our partner in Turkey.”
Altuncu states that FKK and Arnco Pathway has started a JV for Turkish market and six other markets. FKK is the
distributer of Arnco Pathway in these
countries. He also mentioned that steel
industry, mining industry and airport
industry consist their major customer
profile.
Bedos expresses his opinions about
MINEX: “Fair is a perfect opportunity
for us to present our products, to
open the eyes of OEM’s. It is a perfect
venue for us to see other manufacturers, clients, products etc. and make
them know about our products.”
CONTACTS
FKK Güney Oto Lastik A.Ş.
Email: [email protected]
Web: www.fkk.com.tr
15th – 17th June, 2015
Turkey Istanbul
“
“Excellent opportunity to meet and
discuss mutual challenges in the mining
industry, especially those challenges that
if overcome, could enable significant value
generation for the future of mining”
Paul Roos, Vale
Special discount for Madencilik Turkiye Magazine readers.
Book now and save up to 25% off the standard price.
Use discount code: UB927MTM
www.miningoptimization.com
Article
Industrial Mineral and Natural
Stone Export of Turkey in 2014
After a sharp decline in Turkish export
value in 2009, it started to accelerate in positive direction. This positive
trend came up with a short break in
2013 yet overall export increased to
$157.6 billion in 2014. Meanwhile,
total mining export had been increasing proportionally between 2009 and
2013. Although a positive trend occurred in overall Turkish export, mining export value decreased to $4.6 billion in 2014. Figure 1 shows that total
mining export share on overall export
dropped to 2.9%in 2014 comparing to
3.3%in 2013.
On the other hand, natural stones and
industrial minerals constitutes the
Source: robonik.com.tr
2008
2009
2010
2011
2012
2013
2014
Overall Export Value
(1000 USD)
132,027,195
102,142,612
113,685,989
134,571,338
151,860,848
151,707,002
157,622,057
Mining Export Value
(1000 USD)
3,241,019
2,508,609
3,655,300
3,876,465
4,181,381
5,042,322
4,646,945
Mining Export Share
on Overall Export (%)
2.4
2.4
3.2
2.9
2.8
3.3
2.9
Figure 1
Mineral Export Distribution
Natural Stones
Industrial Minerals
Others
Metalic Minerals
Figure 2
Top 10 Turkish Mineral Importers
PRC
USA
Italy
Belgium
Iraq
Saudi Arabia
İndia
Spain
Russian Federation
Netherlands
Others
Figure 3
18
Spring 2015
majority of Turkish mineral export. Figure 2 shows
that 46%and 18%of total
mineral export consists of
natural stones and industrial minerals respectively.
Variety of natural stones
and industrial minerals in
Turkey has been exciting
importing countries’ attention recently, and more
than 25 varieties of natural
stones and industrial minerals are exported worldwide every year.
Mineral potential of Turkey has been attracting industry giants of the world.
China and USA, which are
ranked 1st and 2nd respectively with their industrial
outputs among the world’s
most industrialized countries, have imported the
majority of Turkish minerals by 70.9%in 2014 (Figure
3). These countries are fol-
lowed by Belgium, Italy, Iraq and
Saudi Arabia respectively.
Marble kept the leading position as most exported Turkish
natural stone and industrial
mineral with a value of 4.8 billion kg in 2014, despite a significant drop in marble export
(12.3%) between 2013 and 2014 (Figure 4). On the contrary, feldspar export increased by 11.3%and reached
to 4.5 billion kg in 2014 but due to
decline in feldspar price, total feldspar
income of Turkey increased by 9.5%.
Turkey is the primary source of
world’s borate and boric acid demand. Although unit borate and boric acid price remained close to previous years’ unit price, total borate
and boric acid export of Turkey increased by 14.9%in 2014 comparing
to 2013, and consequently Turkey
CONTACTS
Hazal Birses
Mining Turkey Magazine
Petroleum and Natural Gas Engineer,
Web: www.miningturkeymag.com
obtained more than $266 million income from boron product’s export.
813.6 million kg of gypsum were exported in 2014, which is 13.9%less
than 2013 export value. The decrease was resulted in a $12 million loss in Turkish economy with
respect to 2013 value. On the other
hand, quartz export contributed to
Turkish economy positively in 2014.
Quartz export of Turkey increased by
10.8%in amount and 20.6%in value.
Another important mineral recovered in Turkey is perlite. As Turkey is
the second largest perlite supplier of
the world after Greece, perlite export
tends to increase every passing year;
thus perlite export reached to 418
million kg ($25.4 million) in 2014.
Despite a decrease in bentonite export amount, export value increased
by 3.2%in 2014 due to increase in bentonite price.
One of the most significant increase in
mineral export of Turkey occurred in
barite with 28.9%in 2014. Other outstanding changes in mineral and natural stone export of Turkey take place
in salt, sulphur and sepiolite exports.
On the other hand, graphite, soda ash
and diatomite exports faced a significant drop in 2014. Besides, although
19%increase occurred in granite export in amount, total income dropped
9.2%due to granite price in 2014.
INDUSTRIAL MINERALS AND NATURAL STONES EXPORT OF TURKEY
Export - Amount
Product
Export - Value
2014 (kg)
2013 (kg)
2014 ($)
2013 ($)
Change in
Amount
Change in
Value
Marble
4,897,548,418
5,704,375,982
975,951,933
1,120,397,059
-14.1%
-12.9%
Feldspar
4,559,460,171
4,096,543,407
155,621,851
142,146,429
11.3%
9.5%
Borate,
Boric Acid
848,590,793
738,429,859
266,745,180
232,974,801
14.9%
14.5%
Gypsum
813,653,682
945,161,533
77,718,780
90,068,356
-13.9%
-13.7%
Quartz
442,808,101
399,494,744
62,580,166
51,869,981
10.8%
20.6%
Perlite
418,095,684
384,217,222
25,478,527
22,316,106
8.8%
14.2%
Bentonite
370,153,765
393,862,684
47,899,135
46,402,693
-6.0%
3.2%
Magnesite
303,434,857
304,800,068
100,868,748
104,480,835
-0.4%
-3.5%
Barite
273,831,267
212,516,491
39,783,642
31,988,996
28.9%
24.4%
Salt
158,951,859
90,192,484
18,288,722
12,335,067
76.2%
48.3%
Granite
140,282,381
117,928,261
17,850,462
19,667,825
19.0%
-9.2%
Pumice
129,621,944
121,831,071
9,883,033
8,508,804
6.4%
16.2%
Kaolinite
117,303,902
91,340,586
4,056,305
3,255,783
28.4%
24.6%
Sulphur
62,813,898
47,707,119
10,373,839
6,765,215
31.7%
53.3%
Dolomite
53,593,768
47,589,716
6,371,366
5,603,395
12.6%
13.7%
Diatomite
46,444,956
55,444,644
3,164,155
3,963,561
-16.2%
-20.2%
12.8%
Slate
5,347,497
4,628,839
637,846
565,711
15.5%
Steatite
3,379,515
3,404,869
1,331,379
1,381,883
-0.7%
-3.7%
Leucite
2,926,297
8,000
357,928
5,945
36478.7%
5920.7%
Calcium
Phosphate
1,301,727
1,128,000
329,133
275,672
15.4%
19.4%
Graphite
662,930
835,604
960,505
1,270,338
-20.7%
-24.4%
Mica
572,095
623,742
170,826
203,162
-8.3%
-15.9%
Soda Ash
395,051
652,184
400,425
434,907
-39.4%
-7.9%
Sepiolite
197,201
45,841
52,511
18,894
330.2%
177.9%
Figure 4
In the meantime, import values
of some of these minerals and
natural stones take attention unexpectedly. Although magnesite,
barite, kaolinite, sulphur, salt and
feldspar are ranked in Top 20 exported industrial minerals and natural stones of Turkey, significant
amount of these minerals was imported imported by Turkish industry in 2014. Turkey based minerals
and natural stones such as marble,
boron derivatives and perlite were
not affected from this situation. For
example, boron derivatives import
was only 4.127 kg and perlite import was 1.4 million kg in 2014
Source: wikipedia.org
Spring 2015
19
MARBLE EXPORT BY COUNTRY
Country
Export Amount (kg)
1
China
No
Export Value ($)
Country
Export Amount (kg)
4.879.840.748
977.151.188
China
4.055.249.268
824.962.675
2013
Export Value ($)
2014
2
India
153.343.821
42.302.754
India
185.225.664
51.319.255
3
Syria
116.325.713
3.179.841
Syria
141.297.539
4.885.995
4
Taiwan
95.067.876
19.931.325
Egypt
103.069.843
9.328.416
5
Egypt
92.359.526
7.469.893
Taiwan
84.357.683
19.598.037
6
Jordan
55.985.159
2.111.987
Greece
34.676.040
3.460.649
7
Italy
33.666.625
10.009.994
Jordan
33.033.786
1.311.752
8
Indonesia
31.400.152
8.703.925
Italy
24.864.787
9.913.775
9
Greece
29.183.558
3.240.992
Lebanon
24.212.915
3.388.845
10
Hong Kong
22.631.972
5.221.430
Indonesia
19.664.504
5.553.546
As Chinese investors have acquired more
than 100 marble quarries in Mediterranean region of Turkey, which is a critical
region for Turkish marble sector, most
of the marble has been exported to
China. However, Chinese marble import
dropped by 16.9%between 2013 and
2014. Except from China, India, Syria,
Egypt and Taiwan are listed in the top of
the Turkish marble importers ranking respectively in 2014 (Figure 5).
Figure 5
FELDSPAR EXPORT BY COUNTRY
Country
Export Amount (kg)
No
Turkey’s most exported industrial
mineral, feldspar has been mostly
demanded by Italy. Italy’s feldspar
import reached to 1.9 billion kg in
2014 with a slight increase. Other
Mediterranean country, Spain,
took 2nd place in 2014, and followed by Russia, Bulgaria and
Egypt. (Figure 6)
Export Value ($)
Country
2013
Export Amount (kg)
Export Value ($)
2014
1
Italy
1.820.892.404
56.650.460
Italy
1.891.511.866
57.400.032
2
Spain
850.198.756
23.340.749
Spain
1.003.798.123
26.819.638
433.175.456
14.571.161
Russian Federation
394.809.871
14.129.423
Russian
Federation
4
Poland
147.519.291
5.099.187
Bulgaria
133.774.800
3.397.863
5
Bulgaria
110.665.437
2.932.293
Egypt
126.349.200
7.038.394
6
Egypt
104.250.527
6.071.514
Poland
121.000.200
4.666.218
7
Saudi Arabia
85.800.600
4.815.911
Tunisia
93.747.000
2.534.733
8
Netherlands
77.704.000
4.297.882
Ukraine
85.842.500
3.059.290
9
Belarus
68.644.000
1.732.671
Netherlands
76.134.500
4.307.522
10
Ukraine
62.276.193
2.790.067
Israel
73.541.615
4.669.151
3
Figure 6
BORATE and BORIC ACID EXPORT BY COUNTRY
Country
No
1
Export Amount (kg)
Export Value ($)
Country
2013
China
330.914.881
Export Amount (kg)
Export Value ($)
2014
109.509.565
China
353.831.030
118.038.212
2
USA
133.394.100
31.424.176
USA
173.927.798
41.408.295
3
Taiwan
51.855.000
18.069.393
Taiwan
53.092.000
18.682.543
4
Spain
42.538.000
10.686.320
India
50.601.606
14.097.549
5
India
36.849.311
10.180.640
Spain
42.224.000
10.886.802
6
Romania
29.907.000
11.025.865
Austria
30.100.000
11.154.463
7
Japan
17.285.000
5.690.130
Japan
29.799.000
9.733.310
8
Belgium
16.373.058
6.028.260
Malaysia
16.168.000
5.735.440
9
Malaysia
14.000.000
5.040.000
Russian
Federation
14.298.278
5.684.220
10
Russian
Federation
8.393.110
3.643.198
Netherlands
10.921.000
3.613.493
China, USA, Taiwan, India and Spain remain in the top of the list as the major
borate and boric importers of Turkey
(Figure 7). Although Austria did not take
any place in the Top 20 borate and boric
acid importers list in 2013, the country
imported 30 million kg borate and boric
acid from Turkey in 2014. Besides, Netherlands, France and Romania also take
attention by entering the Top 20 ranking in 2014.
Figure 7
Source: hurriyet.com.tr
GYPSUM EXPORT BY COUNTRY
Source: acgmaterials.com
Country
Export Amount (kg)
No
Russian Federation remains as the top
Gypsum importer of Turkey in 2014.
Russia imported $19.8 million of gypsum comparing to $25.8 million in
2013. Nigeria, Ukraine, Georgia and
Iraq stand in the leading positions of
the Top 20 gypsum importers ranking
in 2014 as in 2013 (Figure 8).
Export Value ($)
Country
Russian
Federation
210.677.243
19.831.174
2013
Export Amount (kg)
Export Value ($)
2014
1
Russian Federation
257.692.205
25.875.620
2
Ukraine
139.206.428
11.033.648
Nigeria
138.769.161
15.982.971
3
Nigeria
120.676.855
14.730.007
Ukraine
98.339.689
7.911.647
4
Iraq
67.801.782
6.910.329
Georgia
58.460.650
6.029.638
5
Georgia
50.399.533
5.361.053
Iraq
50.456.665
4.082.936
6
Azerbaijan
37.404.692
3.774.467
Bulgaria
33.090.077
3.151.698
7
Turkmenistan
32.275.746
2.734.338
Turkmenistan
32.048.219
4.034.258
8
Bulgaria
30.344.198
2.933.471
Azerbaijan
23.647.215
2.327.173
9
Lebanon
12.090.043
236.638
Israel
11.137.629
363.775
10
Israel
7.790.709
303.539
Lebanon
10.671.563
256.510
Figure8
QUARTZ EXPORT BY COUNTRY
Country
No
Export Amount (kg)
Export Value ($)
Country
Export Amount (kg)
2013
Export Value ($)
2014
Russian
Federation
210.677.243
19.831.174
11.033.648
Nigeria
138.769.161
15.982.971
14.730.007
Ukraine
98.339.689
7.911.647
6.910.329
Georgia
58.460.650
6.029.638
4.082.936
1
Russian Federation
257.692.205
25.875.620
2
Ukraine
139.206.428
3
Nigeria
120.676.855
4
Iraq
67.801.782
5
Georgia
50.399.533
5.361.053
Iraq
50.456.665
6
Azerbaijan
37.404.692
3.774.467
Bulgaria
33.090.077
3.151.698
7
Turkmenistan
32.275.746
2.734.338
Turkmenistan
32.048.219
4.034.258
8
Bulgaria
30.344.198
2.933.471
Azerbaijan
23.647.215
2.327.173
9
Lebanon
12.090.043
236.638
Israel
11.137.629
363.775
10
Israel
7.790.709
303.539
Lebanon
10.671.563
256.510
Top two quartz importers were Israel and Spain in this order both in
2013 and 2014. Quartz import of Israel, Iceland and Vietnam increased by
14.2%, 8.8%and 140.5%respectively,
but quartz import of Spain, Norway
and USA declined by 8%, 71.1%and
29.1%respectively in 2014 (Figure 9).
Figure 9
PERLITE EXPORT BY COUNTRY
Country
No
There was not a significant change in
ranking of the Top 20 perlite importers
in 2014 (Figure 10). Russian Federation
moved up to the top of the list with a
25%increase in total perlite import
while perlite import of Belgium declined by %24.5 this year. Apart from
these countries, Poland, which imported more than 1.6 million kg of perlite
for $150,000 became the new perlite
demander of Turkey in 2014.
Export Amount (kg)
Export Value ($)
Country
2013
Export Amount (kg)
Export Value ($)
2014
1
Belgium
64.274.495
1.679.343
Russian
Federation
67.984.323
3.897.726
2
Russian Federation
54.376.075
3.184.509
Belgium
48.519.926
1.405.795
3
Italy
39.385.962
1.494.643
India
40.990.600
3.028.620
4
India
35.281.461
2.553.713
Italy
34.251.993
1.145.109
5
South Korea
34.231.000
2.814.695
Spain
32.054.528
1.694.844
30.821.518
2.571.391
6
Spain
32.780.681
1.648.776
South
Korea
7
Brazil
23.845.510
1.665.872
China
28.126.026
2.392.221
24.475.800
1.911.424
8
China
19.231.365
1.660.600
Saudi
Arabia
9
Saudia Arabia
14.974.333
1.268.195
Brazil
23.906.895
1.660.127
10
Denmark
11.981.894
551.827
England
17.453.069
956.834
Figure 10
Spring 2015
21
Source: kavga.net
BENTONITE EXPORT BY COUNTRY
Country
No
1
Export Amount (kg)
Export Value ($)
Country
Export Amount (kg)
2013
Export Value ($)
2014
Netherlands
95.349.830
10.319.390
Netherlands
114.392.923
13.196.645
2
Italy
86.301.171
3
Germany
45.999.362
6.281.516
Italy
92.815.762
7.013.386
6.207.870
Germany
28.140.898
3.927.915
2.130.882
4
Poland
41.939.555
2.410.147
Egypt
19.637.020
5
England
18.899.360
1.955.931
Poland
16.002.380
826.301
6
France
16.030.000
1.698.857
England
12.463.560
1.955.089
7
Egypt
15.274.323
1.586.446
Saudia
Arabia
11.273.850
1.406.617
8
Austria
13.072.212
3.596.997
Austria
10.303.610
3.064.711
9
Thailand
9.112.009
1.225.650
Indonesia
9.579.110
1.862.557
10
Indonesia
8.259.010
1.540.732
India
5.612.895
1.353.457
Netherlands, Italy and Germany, top
three bentonite importers, kept their
rankings in Top 20 list in 2014 (Figure 11).
Bentonite import of Netherlands, Italy
and Egypt increased by 20%, 7.5%and
28.6%respectively; on the other hand,
Germany, Poland and England imported
38.8%, 61.3%and 34.1%less bentonite respectively in 2014.
Figure 11
MAGNESITE EXPORT BY COUNTRY
Country
Export Amount (kg)
No
Majority of Turkish magnesite was exported by European countries in 2014
(Figure 12). Although Austria, which
has been the most important magnesite importer recently, decreased its
import by 7.2%, Turkey earned $44.5
million from Austrian magnesite import in 2014
Export Value ($)
Country
Export Amount (kg)
2013
Export Value ($)
2014
1
Austria
137.181.167
54.446.935
Austria
127.302.025
44.527.919
2
Germany
27.581.468
10.522.050
Germany
32.235.210
11.532.986
3
Ukraine
21.139.615
6.307.989
Ireland
25.735.000
7.594.130
4
Greece
20.953.000
1.938.668
Ukraine
17.456.912
5.238.458
5
Ireland
20.139.100
6.202.931
Greece
15.400.000
1.541.274
6
Italy
15.500.629
2.564.505
England
12.186.875
4.124.123
4.556.085
7
England
12.731.420
4.369.069
India
11.392.000
8
USA
9.200.000
3.500.068
USA
11.205.000
3.746.425
9
South Africa
8.455.007
2.745.204
Mexico
9.222.460
2.768.236
10
Mexico
7.900.830
2.779.679
Italy
9.074.000
2.793.590
Figure 12
BARITE EXPORT BY COUNTRY
Country
Export Amount (kg)
Iraq
31.701.096
No
1
Export Value ($)
Country
Export Amount (kg)
4.657.176
Egypt
42.748.650
6.567.637
5.099.318
Saudi
Arabia
33.312.465
3.936.744
2013
Export Value ($)
2014
2
Egypt
31.170.725
3
Azerbaijan
8.534.393
981.524
Iraq
21.742.171
3.127.803
4
Israel
6.264.501
1.281.234
Romania
19.195.500
2.922.346
5
Poland
4.595.575
877.485
Italy
10.216.816
1.709.084
6
Italy
3.933.000
774.778
Malta
6.600.000
1.047.100
7
Germany
2.946.000
617.229
Poland
4.386.000
872.013
8
Finland
2.121.000
640.003
Turkmenistan
2.499.000
362.355
9
Georgia
1.212.000
201.536
Georgia
2.200.500
361.994
10
Romania
952.500
164.578
Germany
2.098.140
461.586
Figure 13
22
Spring 2015
Meanwhile, magnesite import of China,
FYR Macedonia and Romania exceeded
1 million kg and these countries also
ranked in Top 20 list in 2014.Barite export of Turkey shows inconsistent trend
in terms of importer countries (Figure
13). For example, Azerbaijan ranked in
3rd position among all barite importers
in 2013. However import of Azerbaijan
declined by 94%and the country fell
down to 19th position. On the contrary,
Saudi Arabian barite import increased
from 30,000 kg to 33.3 million kg between 2013 and 2014.
REFERENCES:
tuik.gov.tr
immib.org.tr
Article
Industrial Minerals and
Rocks of Turkey – Production
Assessment and Implications
Intrinsic nature of industrial minerals and
rocks is that the majority of them are high
volume but low price. Thus, most of them
have a high-place value; location of the
mine should be close to the market because of the high impact of transportation
costs on the total production cost. A peninsula surrounded by Black Sea, Marmara
Sea, Aegean and Mediterranean Seas with
a large number of industrial ports linked
by a rail network and ever increasing kilo-
try once was a major producer of celestite,
but production significantly declined and
ceased since 2005. It is worth mentioning
that Turkey ranks as the top producer of
cement in Europe and fifth in the world.
62%of the total land area. Volcanic and
plutonic rocks cover 22%of the land area
and metamorphic and ophiolitic rocks
cover the rest of the land area, 16%
(Fig. 3).
In this synopsis industrial minerals and
rocks of Turkey are evaluated using the
author’s proprietary GIS (Geographic Information System) database called Turkish
Mineral Deposit Database (TMDD). The
Especially late Cenozoic shallow-water
lacustrine environments with accompanying volcanism form some of the
world-class industrial mineral deposits
of the country, e.g., borate and trona.
Explanation
42°N
40°N
38°N
0
100
200
kilometers
Rock Types
Sedimentary
26°E
42°E
30°E
34°E
38°E
Industrial Minerals
Alunite
Asbestos
Barite
Boron
Disthene
Feldspar
Fluorite
Graphite
Kaolinite
Magnesite
Mica
Pyrophyllite
Pyrophyllite, Disthene
Quartz
Sepiolite
Silex
S o d a W a te r
Sodium
Strontium
Su lfur
Talc
Trona
Vermiculite
Wollastonite
Zeolite
Volcanic/Sedimentary
Volcanic
Plutonic
Ophiolitic
Metamorphic
Figure 1. Thematic map showing spatial distribution of the industrial mineral deposits in Turkey with background DEM
overlain by major rock types, Lambert Conformal Conic Projection for Turkey, scale accurate for the location’s latitude.
meters of highways, Turkey has a modern
transport infrastructure linking Europe to
Asia. Turkey, on the doorstep of Europe,
with an abundant variety of industrial raw
materials and large prospective land area,
approximately 0.8 million square kilometers, is a major player with a unique position in the market with competitive prices.
TMDD contains more than 12,000 deposits
and prospects, including metallic, industrial, and energy raw materials. Some of the
industrial minerals with both industrial and
metallurgical uses, e.g., bauxite and chromite, are already mentioned in mineral deposits of Turkey by Yigit (2009), and therefore they are not mentioned in this paper.
Though nowadays Turkey is a hot exploration and mining point for precious and
base metals in the Tethyan Metallogenic
Belt, especially gold and copper, she has
also been the major producer of the some
industrial raw materials, e.g., boron, barite,
bentonite, feldspar, magnesite, perlite, and
pumice. Recently the country became one
of the major producers of trona, used for
production of soda ash, as well. The coun-
The complicated geologic and tectonic
history related to Tethyan evolution has
produced the wide spectrum of metallic, industrial and energy raw materials in
the country. Industrial minerals and rocks
are given separately in Figures 1 and 2 for
simplicity.
24
Spring 2015
In Turkey, majority of the land area is covered with sedimentary rocks, forming
The country produces a wide variety of inFig.different
1
dustrial minerals associated with
geological and tectonic settings (Fig. 1 and
2). These include alunite, asbestos, barite,
boron, disthene (=kyanite), feldspar, fluorite, graphite, kaolinite, magnesite, mica,
pyrophyllite, quartz, sepiolite, silex, soda
CONTACTS
Özcan Yiğit
SEG Fellow, received his PhD from Colorado
School of Mines, has worked for many major
mining/exploration companies and is currently
associate professor of Economic Geology at
Canakkale Onsekiz Mart University, Turkey.
E-Mail: [email protected]
42°N
Explanation
Industrial Rocks
Bentonite
Brick-tile raw materials
Cement raw materials
Clay
Diatomite
Dolomite
Emery
Gypsum
Limestone
Marble
Perlite
Phosphate
Pumice
Quartz Sand
Quartzite
Refractory clay
Sand and gravel
40°N
38°N
0
100
200
Rock Types
Sedimentary
kilometers
Volcanic
26°E
30°E
34°E
42°E
38°E
Plutonic
Ophiolitic
Metamorphic
Figure 2. Thematic map showing spatial distribution of the industrial rock
deposits in Turkey with background DEM overlain by major rock types, Lambert Conformal Conic Projection for Turkey, scale accurate for the location’s
latitude.
Though there are many diverse commodities mined in Turkey, the country is a major
player in the world for some industrial minerals and rocks. The country is the leading
producer of boron (Fig. 4) and has 72.5 %of
the world’s boron reserves, a total of 935.8
Mt B203. Boron is the only commodity in
Turkey that is controlled by a state-owned
mining company called Eti Maden. The major producing mines are located in northwestern Turkey, from west to east, Bigadic in
Balikesir, Kestelek in Bursa, Emet in Kutahya,
and Kirka in Eskisehir districts. Bigadic district produces colemanite and ulexite ore,
Kestelek and Emet districts produce colemanite ore, and Kirka district produces tincal
ore. Eti Maden produced 47.2 %of the world
boron in 2012 and had 46 %of the world
boron market share allocation. Turkey has
become one of the largest producers of natural soda ash, trona, since
2009. Trona production reached
1.853 Mt in 2012 (Fig. 5).
The country has significant reserves of trona in Beypazari and
Kazan deposits in Ankara, central Turkey. The Beypazarı trona
deposit has 236 Mt at 70 to 90
%Na2CO3 reserves, and recently
discovered Kazan deposit has
607 Mt ore at 31 %trona.
86
11%
38 18
41 5% 2%
5%
Sedimentary
Fig. 2
Volcanic
Metamorphic
472
62%
111
15%
Ophiolitic
Plutonic
Figure 3. A doughnut chart showing land area of the major rock types,
and their corresponding allocations to total land area.
7.0M
5.8
6.0M
Boron ProducƟon / Mt
water, sodium, strontium, sulfur, talc, trona,
vermiculite, wollastonite, and zeolite (Fig.
1). Industrial rocks produced include bentonite, brick-tile raw materials, cement raw
materials, clays, gypsum, limestone, marbles [dimension stones], perlite, phosphate,
quartz sand, quartzite, refractory clays, and
sand and gravels (Fig. 2).
Rock Types by Land Area (thousand sq km)
5.0
5.0M
4.0M
6.3
3.5
4.0
4.4
4.2
3.9
Other industrial minerals with sig3.0M
2.4
2.3
nificant production in world stan2.0M
dards, based on the USGS Mineral
1.0M
Commodity Summaries and Min0.0M
erals Yearbooks production data,
2003 2004 2005 2006 2007 2008 2009 2010 2011 2012
Years
in the last decade (2003-2012) are
Figure 4. Histogram showing boron production of Turkey, data for the last
barite, kaolin, feldspar, magnesite
decade (2003-2012, the most recent available data) in this and following
including hydromagnesite, salt inhistograms are from Turkish Mining Bureau (MIGEM).
cluding rock, solution, and evaporites as well as magnesium salts,
has produced a large amount of kaolin from
sodium sulfate and zeolite. Barite producmany small operations, reaching 3.806 Mt in
tion of the country jumped up to 1.677 Mt
2012 (Fig. 8). The largest kaolinite deposit in
in 2012 from 0.25 Mt in 2011 (Fig. 6). FeldTurkey is located in Duvertepe in Balikesir
spar production had reached 9.480 Mt at
northwest Turkey, containing 63.7 Mt at 13
Fig. 4
the end of the decade (Fig. 7). The country
to 33 %Al2O3. Magnesite and hydromag
Spring 2015
25
Fig. 3
nesite production figures reached up to
2.588 Mt in 2011 and 2.476 Mt in 2012 (Fig.
9). Total salt production from rock salt, solution salt, evaporitic salt and magnesium salt
mines steadily increased in the last decade
and had reached 6.546 Mt in 2011 and 5.225
Mt in 2012 (Fig. 10). Sodium sulfate production reached a peak in 2011 with 2.491 Mt
production (Fig. 11). Zeolite production has
been up and down in the last decade, highest productions were in 2005 and 2011 with
249.6 kt and 214.2 kt respectively (Fig. 12).
Additionally with global interest in graphite
in recent years, the country’s total production increased up to 31.5 kt in 2012.
Turkey is within the top five producers of
dimension stones in the world. Production figures for dimension stones including ignimbrite, marble, onyx, and travertine in 2011 and 2012 were 5.835 Mm3 and
5.314 Mm3 respectively (Fig. 18). Production of other natural stones including andesite, basalt, granite, slate, serpentinites,
diabase, and miscellaneous construction
stone increased significantly in recent
years and was 24.242 Mt in 2012 (Fig. 19).
they occur, and industrial minerals of Turkey
will become more critical for nearby demanding markets, e.g., densely populated
developed EU countries as well as developing countries in the surrounding region. It
appears that Turkey will have a bright future
for industrial minerals since being close to
the market will bring advantages of competitive prices and positive impact on environment, i.e., reducing carbon footprint.
Industrial mineral companies in Turkey,
especially junior, mid-tier, and even
some majors, have neglected mineral
exploration for years and focused only
on production of the known reserves.
It is time that industrial mineral companies in Turkey should take mineral
exploration seriously, as in the metal
mining business, and they should take
steps to be prepared. They should invest in research and development, in
this case mineral exploration, to define
new reserves and/or resources rather
than depleting existing reserves or
making acquisitions. Since most of the
big and easy targets have already been
mined or taken, future success will
come to the industrial mineral companies with the largest reserve and/or
resource base.
Industrial minerals and rocks market in Turkey is largely controlled by Turkish companies, unlike precious and base metal exploration and mining. Many of the companies are
relatively small in size but recently they have
been involved with government agencies as
well as foreign companies to take advantage
of the bullish mining market. Some of the
major industrial raw material companies in
the country have already expanded their operations to other countries. The proven track
record of production capacities and large
underexplored prospective land area with
great mineral exploration potential, amplified by a well-established infrastructure on
the doorstep of Europe, testify to the fact
that the country is and will be a strong player
in the industrial minerals and rocks market
for a long time to come.
Though the country produces many different industrial rocks (Fig. 2), some of
the industrial rocks with considerable
amount of production in world standards
include bentonite, gypsum, perlite, and
pumice. Bentonite production peaked
in 2007 with 1.742 Mt and was 1.034 Mt
in 2012 (Fig. 13). Gypsum, perlite and
pumice productions steadily increased
and were 8.248 Mt, 0.888 Mt and 4.557
Mt respectively in 2012 (Fig. 14, 15 and
16), reflecting the dynamic nature of the
country’s construction industry in recent
years. Turkey is the leading producer and
exporter of pumice.
The country is one of the largest producers
of cement and construction raw materials
including limestone, sandstone, marl, clay,
pyrophyllite, trass, schists, bitumen schist,
other cement raw materials, construction
fillers, brick-tile clays and dolomite. Total production of cement and construction raw materials reached 434.485 Mt in 2012 (Fig. 17).
REFERENCES
As in the global mineral industry, industrial
mineral sector will be facing some environmental challenges in the coming decades,
though they are not affected as much as
metal mining, e.g., gold, at the moment in
Turkey. Mining, extraction, processing and
transport of minerals cause significant effects on land use and level of carbon footprint. Minerals can only be worked where
Yigit, O., 2009, Mineral deposits of Turkey
in relation to Tethyan Metallogeny: implications for future mineral exploration, Economic Geology, v.104, p.19-51.
*An earlier version of this article was published in “Industrial Minerals” in 2014
1.8M
2.0M
1.6
1.6
1.6M
1.7
1.7
1.6M
1.4M
Barite Production / Mt
Trona ProducƟon / Mt
1.8M
1.9
1.4M
1.2M
1.0M
0.8M
0.6M
0.4M
1.2M
1.0M
0.8M
0.6M
0.5
0.4M
0.2M
0.0
0.0M
0.0
0.0
0.0
0.0
0.0
0.1
0.2M
3.8
4.0M
3.5M
6.5
7.0M
7.1
6.8
6.3
5.8
6.0M
4.6
5.0M
3.4
3.9
Kaolin Production / Mt
Feldspar Production / Mt
0.3
0.2
2003 2004 2005 2006 2007 2008 2009 2010 2011 2012
9.5
8.0M
4.2
3.0M
2.0M
1.0M
3.0M
2.5M
2.0M
1.5M
1.0M
0.6
0.7
0.9
1.1
1.2
0.9
0.8
0.7
0.8
Fig. 6
0.5M
0.0M
2003 2004 2005 2006 2007 2008 2009 2010 2011 2012
Fig. 5
Figure 7. Histogram showing feldsparYears
production of Turkey in last decade.
26
0.2
0.2
0.2
Years
Figure 6. Histogram showing barite production
of Turkey in last decade.
9.0M
4.0M
0.2
0.0M
2003 2004 2005 2006 2007 2008 2009 2010 2011 2012
Years
Figure 5. Histogram showing trona production
10.0M
0.1
Spring 2015
0.0M
2003 2004 2005 2006 2007 2008 2009 2010 2011 2012
Years
Figure 8. Histogram showing kaolin production
9.0M
2.6
2.5M
2.3
2.2
Gypsum ProducƟon / Mt
Magnesite+Hydromagnesite Production / Mt
3.0M
2.5
2.0M
1.5M
1.0M
0.5M
7.3
7.0M
6.3
5.7
5.5
6.0M
5.0M
4.4
4.4
3.5
4.0M
3.0M
2.4
2.3
2.0M
1.0M
0.8
0.6
0.6
8.2
8.0M
0.0M
0.7
2003 2004 2005 2006 2007 2008 2009 2010 2011 2012
0.5
Years
Figure 14. Histogram showing gypsum production of Turkey in last decade.
0.1
0.0M
2003 2004 2005 2006 2007 2008 2009 2010 2011 2012
1.0M
Years
7.0M
6.5
Salt Production / Mt
6.0M
5.3
5.0M
3.8
4.0M
3.0M
0.8M
0.7
0.7M
0.6M
0.4M
0.3
0.3M
Fig. 14
0.0M
2.3
2.2
2.2
2.2
2.4
2.5
2003 2004 2005 2006 2007 2008 2009 2010 2011 2012
Fig. 9
Years
Figure 15. Histogram showing perlite production of Turkey in last decade.
7.0M
Pumice ProducƟon / Mt
0.0M
2003 2004 2005 2006 2007 2008 2009 2010 2011 2012
Years
Figure 10. Histogram showing salt production of Turkey in last decade.
3.0M
5.8
6.0M
5.0M
4.0M
3.5
3.0M
4.3
4.0
4.6
4.2
3.4
2.4
2.2
1.9
2.0M
Fig. 15
1.0M
2.5
2.5M
0.0M
2003 2004 2005 2006 2007 2008 2009 2010 2011 2012
2.0M
Years
Figure 16. Histogram showing pumice production of Turkey in last decade.
1.6
1.1
0.9
0.9
0.8
0.8
1.0
Fig. 10
0.8
0.5M
0.0M
2003 2004 2005 2006 2007 2008 2009 2010 2011 2012
Years
Figure 11. Histogram showing sodium sulfate production of Turkey in last decade.
500.0M
Cement and Construction
Raw Materials ProducƟon / Mt
1.4
1.5M
450.0M
414.9
434.5
400.0M
350.0M
286.0
300.0M
250.0M
207.3
200.0M
314.7
242.9 246.3
134.6
150.0M
72.4
69.9
100.0M
50.0M
Fig. 16
0.0M
0.3M
2003 2004 2005 2006 2007 2008 2009 2010 2011 2012
Years
249.6
0.3M
Figure 17. Histogram showing cement production of Turkey in last decade.
214.2
0.2M
7.0M
156.9
141.7
0.2M
121.0
104.1 108.0
Fig. 11
0.1M
60.3
0.1M
33.8
19.2
0.0M
2003 2004 2005 2006 2007 2008 2009 2010 2011 2012
Years
Figure 12. Histogram showing zeolite production of Turkey in last decade.
Dimension Stones ProducƟon / M3
Zeolite Production / kt
0.4
0.3
0.5
0.5
0.1M
2.0M
1.0M
0.5
0.5
0.5M
0.6
0.2M
4.0
1.0M
Sodium Sulfate Production / Mt
0.9
0.9M
Perlite ProducƟon / Mt
Figure 9. Histogram showing magnesite and hydromagnesite production of Turkey in last decade.
including ignimbrite, marble, onyx, travertine
5.8
6.0M
5.0M
3.8
4.0M
2.0M
3.8
3.1
2.9
3.0M
1.8
1.5
5.3
4.3
2.3
Fig. 17
1.0M
0.0M
2003 2004 2005 2006 2007 2008 2009 2010 2011 2012
Years
Figure 18. Histogram showing dimension stones production of Turkey in last decade.
2.0M
1.7
1.3
1.4M
1.2M
1.0M
30.0M
1.6
1.6M
1.1
0.9
0.9
0.8M
0.6M
0.5
1.0
0.8
0.5
Fig. 12
0.4M
0.2M
0.0M
2003 2004 2005 2006 2007 2008 2009 2010 2011 2012
Figure 13. Histogram showing bentoniteYears
production of Turkey in last decade.
28
Spring 2015
Natural Stones ProducƟon / Mt
Bentonite ProducƟon / Mt
1.8M
25.0M
27.2
including andesite, basalt, granite, slate,
serpentinites, diabase, and miscellaneous
construction stone
25.5
24.2
20.0M
15.3
15.0M
12.3
9.8
10.0M
6.1
5.0M
0.0M
0.2
0.3
2.5
Fig. 18
2003 2004 2005 2006 2007 2008 2009 2010 2011 2012
Years
Figure 19. Histogram showing natural stones production of Turkey in last decade.
Magazine on Turkish Mining Sector in English
Article
Another Step Forward
In The Mining Industry
The long awaited amendments to the
Mining Law No. 3213 (the “Mining Law”)
have now been enacted paving the way
for a better and more serious practice
in the Turkish mining industry. As discussed earlier in Volume 4 of Mining
Turkey Magazine, amendments to the
Mining Law have been in the agenda
of the Turkish government for almost
a year and finally entered into force on
18 February 2015 with the enactment of
Law No. 6592 (the “Amendment”).
The Amendment brings significant
changes especially in terms of fees,
securities, royalty agreements, supervision of activities, sanctions,
permitting process and transfer of
licenses which basically expedites
permitting process and increases the
costs associated with mining operations.
A. MINE GROUPS
The Amendment re-classifies the
mine groups by removing Group VI
and listing radioactive minerals such
as uranium, thorium and radium as
Group IV.
B. THE FEES
Since security deposit is abolished,
forfeiture of security deposit is now replaced with administrative fines. Where
the forfeiture of the security deposit is
in question, the license holder will be
imposed an administrative fine in the
amount of TL 10,000 – 50,000 which
shall be revised by the Ministry of Finance annually.
Spring 2015
D. TERM OF THE OPERATION LICENSE
The Amendment brings changes in
the state royalty amounts especially
for Group IV mines, which aims to
work in parallel with the variations
in prices. The new royalty amounts
provided under the Amendment cannot be less than the annual license
fee, except for resource salts. In relation to gold, silver, platinum, chrome,
lead, copper, zinc, aluminium and
uranium oxide which are classified
as Group IV mines, the Amendment
provides for increasing percentages
from 2%to 16%depending on the
London Stock Exchange pricing per
ounce. For instance, for gold mines,
the pricing and accordingly the state
royalty changes in a range between
US$ 800 and US$ 2251. The new royalty amounts for the other groups are
as follows:
Calculation of the pit head sale price
was unclear in the legislation and
was being calculated in accordance
The Amendment decreases the upper
thresholds for operation licenses (i.e. 30
years for Group I, 40 years for Group II, and
50 years for the other groups of mines).
The Minister of Energy and Natural Resources is authorized to extend the term
of mining licenses for Group I and Group
II; whereas, the Council of Ministers is authorized to provide an extension for other
group of mines. The terms provided before the Amendment will continue to apply to the currently existing licenses.
E. ROYALTY AGREEMENTS
One of the most important changes
brought with the Amendment is the
prohibition on entering into royalty
agreements between license holders of underground coal mines and
third parties. Otherwise, the operations under the relevant royalty
agreements would be suspended.
This prohibition does not apply to
public authorities and royalty agreements for other mining activities
Group of the Mine
1.
The Amendment introduces a new fee
system where only one payment under
the name of “annual license fee” is foreseen. The current payments of “security
deposit” and the “environmental compliance security” are abolished. The annual
license fees shall be calculated in accordance with the relevant mineral group
and the size of the area covered by the
mining license, instead of the previously
fixed annual license fees. The new license
fee mechanism will be applicable to existing licenses starting from 1 January 2016.
30
C. STATE ROYALTY
2.
3.
4.
5.
Royalty over pit-head sale price
Before the Amendment
After the Amendment
Group I
4%
4%
Group II (a)
4%
4%
Group II (b)
2%
4%
Group II (b) if extracted ores are processed into a final product
in the facilities of the license holder in Turkey
1%
N/A
4%
Group II (c)
N/A
Group III (except for resource salt)
4%
5%
Group III (resource salt)
4%
1%
Group IV (excluding gold, silver, platinum, chrome, lead, copper, zinc, aluminium and uranium oxide)
2%
2%
Group IV (radioactive minerals except for uranium oxide)
N/A
8%
Group IV (c) if extracted ores are processed into a final product
in the facilities of the license holder in Turkey
1%
50%discount
Group V
4%
4%
with the practice of the Mining Department. With the enactment of
the Amendment, a clear calculation
method is provided which will be determined in accordance with the mineral group and the region to be announced by the Mining Department
each year.
CONTACTS
Göknil Ceylan
Associate, Akol Avukatlık Bürosu
E-mail: [email protected]
have been subjected to the approval
of the Ministry of Energy and Natural
Resources.
In relation to the existing royalty agreements, the Amendment provides that
the existing royalty agreements shall
be notified to the Mining Department
by 18 May 2015; otherwise, operations
under the relevant existing royalty
agreements would also be suspended.
F. COMPLETION OF NECESSARY
PERMITS WITHIN THREE YEARS
The disputed cancellation sanction envisaged for operation license holders,
who cannot complete, within three
years, the environmental permits and
surface rights is abolished. Instead of
cancellation, an administrative fine in
the amount of TL 50,000 is envisaged
for each year of delay in obtaining the
G. TRANSFER OF MINING LICENSES
Pursuant to the Amendment, transfer of mining licenses shall be subject to the approval of the Ministry
of Energy and Natural Resources,
which was previously subject to the
affirmative opinion of the Mining
Department. The fee to be paid during the transfer is also increased by
the Amendment (i.e., two times of
the annual license fee).
H. CONCLUSION
The amendments to the Mining Law
have been in the agenda of the government for a long period; however,
they had been withdrawn from the
Parliament’s agenda upon the tragic
Soma accident since priority was given
to other amendments to the Mining
Law such as prohibition on subcontracting of mining works, providing
more strict rules with regard to health
and safety. Eventually, in February
2015, with certain changes to the previous drafts, the Amendment, which
aims for the mining sector to be operated by actual investors, entered into
force. We understand that different
than the previous drafts, the Amendment has been prepared in consultation with mining industry operators
providing for positive developments
in the sector in the long run.
by
ISSN 1309 - 1670
Madencilik ve Yer Bilimleri Dergisi
relevant permits. In the event the required permits cannot be obtained
during the term of the operation license, the term of the license shall
not be extended. License holders who
have applied for the required environmental permits but not yet obtained
them as of the date of the Amendment, shall be imposed an administrative fine in the amount of TL 30,000.
ISSN: 2146-9423
Mining & Earth Sciences Magazine
Fiyat 8 TL | 15 Temmuz 2014 | Yıl 5 | Sayı 40 | www.madencilik-turkiye.com
April 2014 | Vol 3 | Number 6 | www.miningturkeymag.com
2013 Review of theTurkish
Mining Sector
A Decade of Modern Gold Exploration
in the Ancient Land of Turkey
Overview of Lignite in Turkey
T.C. Enerji Bakanlığı - Güvenli
Yer Altı Madenciliği Çalıştayı
Soma Faciası, İş Kazaları ve Madencilik
Türkiye’de Elektrik Üretiminde Kömür
Kullanımı ve Stratejik Önemi
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Magazines of Mayeb Ltd.31
Spring 2015
Article
Effective Roadheader For Coal Mining
with a variety of safety equipment,
from lights, helmets, masks, goggles
and boots to the lifesaving breathing
apparatuses that are vital in the event
of a methane leak or underground
fire. Then they take a twominute ride
on a highspeed elevator 600 metres
down into the earth. After that a
small, fourcar train that runs throughout the mine’s labyrinth of tracks and
corridors transports them further
downward for about 10 minutes until
they reach paths that are accessible
only on foot.
net extraction of around 21,700 tonnes
There are no dragons here. No dwarfs or
of coking coal.
ogres either, but from the dark depths
of EFFECTIVE ROADHEADER FOR COAL
the BoryniaZofiówkaJastrzębie coal
ABOUT JSW SA
mine
in Poland, 21,700 tonnes of cokMINING
Established in April 1993, JSW
ing coal are expertly and efficiently
SA
comprises five mines that exextracted every day. Jastrzębiezdrój,
tract
coking coal and steam coal:
Poland.
JASTRZĘBIEZDRÓJ, POLAND. There are no dragons here. No dwarfs
BoryniaZofiówkaJastrzębie, Budryk,
Theor ogres either, but from the dark depths of the BoryniaZofiówka
BoryniaZofiówkaJastrzębie coking
Krupiński, Pniówek and Knurów
Jastrzębie coal mine in Poland, 21,700 tonnes of coking coal are
coal
mine sits in JastrzębieZdrój, the
Szczygłowice. The company processexpertly and efficiently extracted every day.
heart
of coking coal mining in Poland,
es about 50 percent of the coking
about
60 kilometres southwest of Kacoal it produces, enabling JSW SA to
The BoryniaZofiówkaJastrzębie coking coal mine sits in JastrzębieZdrój, the heart of coking
towice.
Huge deposits were found in
offer a more processed, highervalue
coal mining in Poland, about 60 kilometres southwest of Katowice. Huge deposits were found
thein the area’s picturesque green hills during the 1960s, and over the course of 12 years five
area’s picturesque green hills durfinal product. In 2013, JSW SA’s mines
ingmines were set up. Coking coal is used predominantly to make coke, an essential component
the 1960s, and over the course of
produced 9.8 million tonnes of cok12 years five mines were set up. Coking
ing coal (including 7.8 million tonnes
coal is used predominantly to make
of hard coking coal) and 3.8 million
coke, an essential component for protonnes of steam coal. In the same
ducing steel from iron ore.
year, JSW SA’s coking plants produced
3.9 million tonnes of coke.
As its name implies, BoryniaZofiówka
Jastrzębie is actually three coking coal
The sprawling Borynia
Zofiówka
mines (Borynia, Zofiówka and JasMos)
Jastrzębie site, covering 66 square km,
that were combined into one in Januis home to a processing facility, adminary 2013. The mine is operated by state
istrative offices, storage and such shipowned Jastrzębska Spółka Węglowa
ping infrastructure as mining elevators,
S.A. (JSW SA) and was strategically interails, trains and trucks. The mine itself is
grated to make better use of the coka vast interconnected network of tuning coal deposit and production assets,
nels and caverns, some of which are
incorporate the best design solutions,
1,200 metres deep.
implement the best organizational
ONE DEEP DIVE
practices into everyday work and optiIt takes about 25 minutes to get from
mize employment resources. Borynia
the surface to the belly of the mine.
ZofiówkaJastrzębie currently employs
First the miners equip themselves
10,560 people and has an average daily
32
Spring 2015
It’s at this point that the heat, which
has been steadily rising during the
descent, reaches temperatures around
30 degrees Celsius. It is also very dark.
At some points, the only light available to the descending miners emanates from the lamps on their helmets,
which gives
their approach an otherworldly feel,
as if they were exploring an unknown
planet or the bottom of the sea. This
feeling is compounded by the utter silence (all sound is insulated and
dampened by the rock face) and the
puffs of dust each footstep produces.
This beige powder is the product of
rock dust brought in to trap the flammable coal dust. Still, the miners are in
good spirits. Despite working in dark,
confined spaces, their sweaty, swarthy
faces smile readily, and they address
one another with a tip of the hard hat
or a handshake and a hearty “Szczęść
Boże” (“God bless”).
After a 15minute walk downward, the
sounds of the drills and conveyor belts
that carry the coke coal rise, their din indicating the location of the day’s activities that involve developmental work
on the rock wall.
CONTACTS
Sandvik Mining Turkey
Website: mining.sandvik.com
“I lead a group of about 350 people,”
says Zbigniew Czarnecki, developmental mining manager at Borynia
ZofiówkaJastrzębie. “I plan and manage the preparatory work at the mine,
which involves cutting through the
sandstone to expose the coal. We excavate a lot of coke coal here, which is
later cleaned and treated at our processing plant.”
SANDVIK TRISPEC TOOLS
Sandvik TriSpec tools are equipped with
a carbide ring placed slightly below the
tip to prevent body wear and maximize
carbide tip use. Each tool is available
with either an insert or cap carbide tip.
Sandvik TriSpec tools are the top of the
line in high bodywash conditions.
TOUGH TOOLS FOR HARD WORK
Czarnecki’s team employs Sandvik
MR340 and Sandvik AM75 roadheaders
to build galleries along the coal bed for
future extraction. It is hard work; each
shift of miners cuts around 80 centimetres in a cycle before steelarch supports
need to be erected to protect against a
cavein. Where the rock is too hard for
the roadheader, the team uses a drill
and explosives, which limit the amount
of hard manual labour required.
“We have a face with a lot of hard rock
to work through,” says Pawel Stepowy,
a muscular roadheader operator with a
decade of underground mining experience. “The rock is both up and down
in the excavation’s cross section. A big
advantage with this roadheader, other
than its toughness, is the visualization
it offers. It really helps with excavating
the rock when dust limits visibility. And
then there are the resilient cutting tools
it uses to strip away the sandstone.”
“Before Sandvik won the contract,
each potential supplier was asked to
participate in a number of obligatory
tests even before actual negotiations
commenced,” says Przemysław Brychy,
Sandvik regional sales director. “Our
products performed extremely well in
these tests, outperforming competing
products by 150 percent.”
Increased efficiency
Janusz Piechoczek, another roadheader
operator with eight years on the roadway development team, knows how
important it is to have robust cutting
tools. “We use around five Sandvik TriSpec tools for every 20 metres of excavation,” Piechoczek says. “The quality of
the tools is excellent, and these ones
don’t get worn out quickly, so they have
to be changed less frequently. It makes
the whole project go much faster.”
Czarnecki was also impressed with the
performance of the tools . “The tools the
mine used earlier wore out very quickly,”
he says. “With the new Sandvik TriSpec
tools , the efficiency of the process was
raised by some 50 to 80 percent, and
the process of excavating the rock became more productive. The interruptions for the change of tools are shorter and fewer. The cutter drums are also
protected, and this is comforting for
the operator, who does not have to
worry about what is going on at the
front of the face and can concentrate
on the excavation process.
Trusted partnership
The cooperation between Sandvik
and Borynia
Zofiówka
Jastrzębie extends well beyond the supply of robust tools, and looks to continue for
some time in the future.
One of the most important considerations at BoryniaZofiówkaJastrzębie is
productivity. The robustness of the rock
tools used at the mine is directly correlated to downtime, lost production and
higher labour costs. Sandvik TriSpec
tools are equipped with double carbide
“My experience with Sandvik has
been very positive,” Czarnecki says.
“Each and every time I have a remark about anything, there is always
a quick reaction from their side. We
definitely see a continued partnership
going forward.”
rings that substantially improve wear
resistance, an essential feature in the
harsh environment of a coal mine.
Once the difficult work of clearing the
rock away is complete, the excavation
of the coking coal can commence.
When the mine is running at full capacity, express elevators ship around 15
tonnes of coking coal up to the surface
every 30 seconds. After that, the coking
coal is processed and prepared for shipping to the coke plant, all run by JSW. It
is an efficient process, one dependent
on the developmental phase, which is
made even more productive when the
tools are right and strong enough to
tackle hard rock deep down inside the
mine.
THE SANDVIK SOLUTION
Along with Sandvik AM75 and Sandvik MR340 roadheaders, the Borynia
ZofiówkaJastrzębie mine also operates a loader from Sandvik. But it’s
the Sandvik TriSpec cutting tools
that keep this mine humming at an
efficient pace. These tools have improved operations by increasing
production, offering better costp er
tonne efficiency, improved process
cost savings and enhanced energy
efficiency.
TECH SPECS
SANDVIK MR340 ROADHEADER
Max. cutting height 4.87 m
•Total weight 52 t
•Total length 10,300 mm Height over
canopy 1,850 mm Width over loading table 2,800 mm Ground pressure
0.13 MPa Electrical system 1000 V/50
Hz Cutter motor 200 kW
•Hydraulic power pack motor 63 kW
•Loader motors 2 x 36 kW
Power supply demand
•Via transformer 630 kVA
•Via generator set 800 kVA
Conveying system
•Loader star drive via conveyor motors
•Chain speed 1.1 m/s
•Capacity of conveyor max. 400 m3/h
•Cutting profile
•Height 4,870 mm Width 7,400 mm
Undercut 350 mm
•Negotiable gradients +/20 gon
Speed of cutter head 2.3 m/s Tramming speed 0 – 8.8 m/min
Spring 2015
33
Article
Life of a Mine Manager
Amidst Cultural Transformation
A key issue for all mining operations is
a need for reliable, accurate, and up to
date information that allows management the ability to make data driven
decisions. Access to this type information can be used to positively influence
performance in the areas of cost, safety,
and productivity.
In operations, where inconsistent or
poor performance exists, it is sometimes very difficult to grasp the causes
and many variables needed to be analyzed to fully understand these universal short comings, but in most cases it
comes down to lack of actionable data,
a poor workflow process, and most importantly, lack of site wide engagement
from both hourly and salaried employees. In essence, to improve overall
mine performance a complete cultural
change was required
The goal of this short article is to describe the total cultural transformation
that occurred in a coal mine in Canada,
when a three prong process is used to
drive performance. It can be referred
to the three P’s of the cultural transformation. The three P’s stand for people,
process, and platform.
The “platform” in the three P’s is referring the technology platform that exists
within a company. Examples of this in include fleet management systems, mobile
apps and data warehouses. The “process”
is referring to the company’s operations
work flow process. Finally the last P is for
“people”. This P is the most important
and most difficult to change.
Home
Date
Monday, April 07 2014
Spring 2015
All
Key Performance Indicator
Actuals
Goals
Points Possible
Points Achieved
Last 30 Days %
Incidents (first aid or any
incident )
0.0
0.0
20
20
64.5%
Coal Mined (Tonnes )
6,107.0
5,890.0
10
10
71.0%
Total Production - Shovel /
Excavator (BCM)
75,469.4
85,566.0
20
0
0.0%
Production Meters Drilled
1,640.2
2,370.0
20
0
6.5%
Leading Indicators
Actuals
Goals
Points Possible
Points Achieved
Last 30 Days %
Safety Interactions
23.0
36.0
20
0
3.2%
Equipment Health Alarm
2.0
0.0
20
0
3.2%
BCM/Shovel Ready Hour
1,164.5
1,355.0
10
0
3.2%
Meters/Drill Ready Hour
30.6
30.0
10
10
64.5%
BCM/TruckReady Hour
274.0
241.0
10
10
71.0%
AM Production BCM’s
(6am to 8pm)
4,327.0
5,350.0
10
0
3.2%
PM Production BCM’s
(6am to 8pm)
4,856.6
5,350,0
10
0
3.2%
41.9%
Avaible hours (Shovel)
94.6
86.4
10
10
Avaible hours (Truck)
359.2
394.4
10
0
54.8%
Avaible hours (Drill)
108.9
118.1
10
0
12.9%
Operational Delays
(Primary Shovels)
14.2
9.5
10
0
32.3%
In order to invoke positive change in
these respective areas a data driven
solution with a deliberate meeting
processes must be developed. One
of the most effective tools to achieve
this is the balanced scorecard concept.
The balanced scorecard system is a
24 hour look back at the overall mine
performance. It is based on a set of
KPI’s that are driven by leading indicators. KPIs are what most mines use to
measure performance and are things
such as tons or accident count. But
this is like driving the business through
the rear-view mirror. These are things
that have already happened. It does
not give managers a direction on how
to improve. The review of the leading
indicators is how to truly drive performance. The leading indicators are the
things you must do right on a daily basis to achieve your overall objectives
(KPI’s). This approach to the overall
management of the mine changes the
culture in positive ways.
A meeting is held every morning at
7:00 AM that allows each department
34
Shift
head to review their specific (operations, maintenance, plant, and engineering) areas performance with the
mine manager. The figure below is an
example scorecard. There are a few core
elements to a proper scorecard:
CONTACTS
Shane Gant1
President, Dakota Westmoreland Corporation
Sean Dessureault
CEO, MISOM Technologies
M. Mustafa Kahraman
University of Arizona
1) Shane Gant has worked in various
positions in mining in past 15 years. Some of
his last roles include director of continuous
improvement, operations manager and mine
manager in Walter Energy Canada. He is
currently President and General Manager at
Dakota Westmoreland Corporation.
KPIs: as mentioned, these are key measures that we traditionally use in mining. Every manager has their own set of
measures. Only the areas, for which the
manager has control, should be used.
Leading Indicators: these are measures
that help lead the manager toward asking the right questions. Leading indicators drive the manager to focus on what
needs to be done to improve.
Goals: are cultural enablers.
They
drive a conversation and competition
between managers. Since each manager has different KPIs and Leading
Indicators, the only means of friendly
competition are points (a score). This
social aspect of the scorecard process is
critical. Goals can be weighted according to their perceived importance.
Last 30 Day %: this measure helps to hyper-focus the scorecard meetings. Managers do not have the time to review each
measure. However, with the %achieved
metric, managers can immediately see
which areas are in need of more attention
(safety interactions, Ready hours, production, etc…), and which are opportunities
for congratulations.
Wrapping all these elements together,
consider this example: note that the
KPI goal for total production (Bank Cubic Meters (BCM) for this mine manager
has not been met once in the last 30
days. The leading indicators for this
measure are the BCMs during the startup hours ‘AM Production BCM’s (6am to
8 am)’ and its afternoon counterpart.
It had only been achieved once in the
past 30 days. Having a good shift start
is critical to achieving production goals.
The manager can now focus on getting
his shifts started-up and productive.
card, along with MISOM’s mobile app,
boosted productivity by 17%.
The final phase of the scorecard process
is a 30 day review, which is a meeting
held by the GM with individual department managers to review the previous
month’s performance. This serves as a
platform to identify the validity of leading indicators (remove or add measures).
The meeting should be formal and supported by ad hoc analysis from the DW
supporting the manager’s performance.
The simple question that needs to be
answered is “what is the data telling you”
and “what are you doing about it.
Following the scorecard process yields
long-term results. At a large coal mine
where MISOM has worked for the past
decade, the improvements persisted.
It also shows the impact of measures
on a manager’s card. The graph below
shows shift change time (in minutes)
for two managers, the coal manager
(in red) and overburden (waste) manager (in blue). The scorecard process
was initially implemented in 2006. It
was placed on the coal manager’s
scorecard but not the overburden
manager’s, where a clear 15 minute
difference can be seen. In the last
quarter of 2008, managers changed,
along with their scorecards. Now the
coal manager did not include shift
change whereas the new overburden
manager did. Within two quarters,
a clear improvement in the OB manager’s crews occurred and devolution
in the new coal manager’s crew’s performance. Finally, in the last quarter
of 2012, increased scrutiny identified
that shift change was a key leading
indicator, and it was placed back onto
the coal manager’s scorecard and
within single a quarter, performance
was restored.
Technology alone cannot solve all the
problems. Change management, business process re-design and data utilization are key elements for successful
operations. Current market conditions
accelerated globalization in mining
industry. Reducing the costs and increasing safety and productivity have
become global targets of mining companies. However, these goals can only
be achieved through cultural transformation and process improvement.
Since the MISOM data warehouse is
easily viewed through OLAP-linked
pivot tables in excel, the data can be
quickly mined for reasons for underperformance if necessary. This highvisibility allowed for greater scrutiny on
costs during a period of low-prices, enabling a reduction of 10%in costs. This
continuous focus through the scoreSpring 2015
35
Article
High Calorific Value Coal:
Global and Turkish Outlook
Despite the fact that coal has notorious perception due to its impacts on
the environment, it’s not possible to
neglect its share in the global energy
supply. Especially, in emerging markets
with ever growing energy demand, relatively cost and eligibility advantages
bring coal into prominence.
reaching over 235 million tonnes and
for the first time China get ahead of Japan whose coal import accumulated to
185 million tonnes. India and South Korea from Asia & Pacific region also Germany, England, Turkey, Italy and Spain
from Europe are rated among the other
major coal importing countries.
Deloitte Turkey has recently published
a public report on the global and local
use of high calorific value coal with extensive commentary and data visualisations. For a printed or electronic copy
of the report please e-mail ktopuz@
deloitte.com
Market Value: As global coal market
volume increased by 5%in 2012, Asia &
Pacific region countries and top 10 hard
coal companies remained their leading
positions. Especially, production of top
10 hard coal companies accumulated
to 1.8 billion tonnes and market value
of 123.3 billion USD. This also indicates
that top 10 hard coal companies hold
24%of hard coal production and 20%of
hard coal market value.
GLOBAL
Production: In parallel with developments in economies that consumes
coal intensively; global coal production reached 7.9 billion tonnes and hit
the record high level in 2013. Among
the coal types, hard coal stands for
91%of global coal production and recent increase in hard coal supply is
mainly stimulated by steady growth in
steam coal production. Also, steam and
coking coal production increased by
0.3%in 2013 and reached to 7.2 billion
tonnes production level.
Consumption: When sectorial consumption of coal is analysed, global
coal consumption increased by 3%and
reached to 7.8 billion tonnes at the end
of 2013. It is occurred that electricity
and heat generation sector maintains
its leadership with more than 3.8 billion
tonnes and this situation can be seen in
Turkey as well.
Trade: In 2013, coal trade volume increased by 6%and reached at 1.2 billion
tonnes of which 1.1 billion tonnes is
transported by sea freight and only 95
million tonnes is carried by land transport. Coal trade volume represents
17%of total coal production whereas
remaining coal production is basically
consumed in the same country where
it is produced. As a result of increasing
coal demand, China’s coal import activities has shown great advancement by
36
Spring 2015
TURKEY
Production: Turkey has 1.3 billion
tonnes of hard coal reserve of which
514 million tonnes is classified in
proven category. However, in the recent years, reserve volume of major
hard coal fields remained at the same
level. When local production and import analysis conducted, it is seen that
decreasing production rate of TTK and
local private sector players lead hard
coal importers to close the increasing
hard coal supply deficit. In order to uplift the decreasing hard coal production of TTK, mining sites are started to
be transferred to private sector players
in exchange for royalty fees as from
2005. Private sector players’ production increased to 1 million tonnes level
in 2006 and yet could not able to maintain this performance due to ups and
downs over the years. Eventually, in
2013, Turkish hard coal production has
decreased to 1.6 million tonnes and hit
the record low levels since 2000.
Imports: In order to satisfy the increasing hard coal demand, Turkish hard
coal supply leaned to imports and as a
result import ratio in hard coal supply
reached to 95%. For the six years between 2008 and 2013, coal Imports increased to 26.6 million tonnes. Among
the hard coal types, steam coal import
represents 81%of total hard coal import with 21.5 million tonnes and also
coking coal imports reached to 5.1 million tonnes. With more than 8.6 million
tonnes of steam coal import, Russia
took the lead in Turkish steam coal market where Colombia and South Africa
exported 7.2 and 3.3 million tonnes of
steam coal to Turkey respectively. In recent years, U.S.A. has come into prominence in global coking coal supply and
constituted 69%of Turkish coking coal
imports with 3.5 million tonnes.
Consumption: In 2013, hard coal consumption decreased by 10%and fell
to 28.2 million tonnes. As the biggest
hard coal consuming sector, electricity
& heat generation constituted 62%of
Turkish hard coal consumption and
recent coal power plant investments
increased the hard coal consumed in
power plants.
Installed Capacity: The installed capacity of imported coal PPs in Turkish
electricity market has passed 3.9 GW
by the end of the 2013. On account of
increasing Turkish electricity demand
and economic advantages of imported
coal, it wouldn’t be wrong to expect
that imported coal PPs will show significant growth. In the first seven months
of 2014, additional installed capacity of
950 MW connected to the grid.
Uncertainties related to natural gas
power plants and unexpected delays in
lignite projects lead investors to hard coal
CONTACTS
Mustafa Kerem Topuz
Senior Manager
Süheyl Bilgel
Consultant
With more than 15.4 billion proven reserves, in 2013 Turkish coal production
reached at 57.5 million tonnes. As usual, demand is still driven by conversion
TURKISH
COAL
BALANCE
energy sector
along
with
residence & services and industry sectors.
With more than 15.4 billion proven reserves, in 2013 Turkish coal production reached at 57.5 million tonnes. As
usual, demand is still driven by conversion & energy sector along with residence & services and industry sectors.
2013
2013
as relatively more eligible and cheaper
energy source and as a result great number of projects showed up. As of end of
2013, 7 imported coal power plants are
connected to the grid whereas there
are 20 projects under the evaluation, 10
power plants under construction and 3
power plants have obtained pre-licenses.
In total, current and upcoming imported
coal power plants accumulate to 30 GW
of installed capacity. After the natural gas
investment propensity in 2011, Turkish
electricity market has a new tendency to
imported coal power plants.
On the other side, it becomes apparent
that all locations available to imported
coal power plants are already held by
investors and some of these projects
will be driven out of the competition.
Hard
Hard
Coal
Coal
Lignite*
Lignite*
1.Reserve
1. Reserve
(billion
tonnes)
(billion tonnes)
2. Supply
(million(million
tonnes)
2. Supply
tonnes)
Production****
Production****
TTK
TTK
Private Sector**
Private
Sector**
(1.3)
(1.3)
TTK
TTK
Private Sector**
Private
Sector**
(1.6)
(1.6)
EÜAŞ
(8.0)
EÜAŞ (8.0)
TKİ
(21.7)
TKİ (21.7)
TKİ
(2.1)
TKİ (2.1)
Private
(9.2)
Private Sector
Sector (9.2)
Total
(15.4)
Total (15.4)
Total
(57.5)
Total (57.5)
17.8
17.8
5.7
5.7
4.7
47.5
47.5
4.7
4.5
3.9
Total
Total (26.6)
(26.6)
4.5
Total
Total (84.1)
(84.1)
Source:
TTK
&&
TKİ
Reports
2013,
ETKB
Energy
Balance
Source:
TTK
TKİAnnual
Annual
Reports
2013,
ETKB
Energy
Balance
Conversion&&Energy
Energy
Conversion
2013,
Analysis
2013, Deloitte
Deloitte Analysis
Residence&&Services***
Services
sector’slignite
lignite
reserves
subjected
to declaration
**Private
Private sector’s
reserves
are are
subjected
to declaration
Residence
** Includes
production
**
Includesasphaltite
asphaltite
production
Industry Industry
*** Includes
of agriculture
sector
***
Includesdemand
demand
of agriculture
sector
**** Includes stock changes
**** Includes stock changes
Deloitte Turkey, Member of Deloitte Touche Tohmats
© 2014 Deloitte Turkey, Member of Deloitte Touche Tohmatsu©2014
Limited
TRENDS
China: Coal is mainly consumed in the
same region where it is produced, that
is the reason why coal production and
consumption activities are affected
directly by regional developments.
In this respect, economic development in China and other Asia & Pacific
countries is the main factor behind the
increasing coal activities. For the six
years between 2008 and 2013, despite
the decreasing coal production trend
in the rest of the world, Asia & Pacific
region coal production increased by
1.2 billion tonnes and uplifted global
coal production by 1.0 billion tonnes.
U.S. Coal Imports: As a result of U.S. shale
gas development, decreasing natural gas
prices triggered natural gas preference
over coal in electricity generation sector. However, due to unexpected delays
in LNG exports investments and licencing procedures, shale gas production in
U.S. is mainly consumed internally, over
supply of natural gas triggered decline
in the natural gas prices. Hereby, natural
gas power plants came in more favourable position against the coal power
plants which used to dominate the U.S.
electricity generation market. Decrease
in U.S. coal consumption caused excess
coal supply in the market and triggered
coal export activities to force global coal
prices to fall. In the third quarter of 2012,
coal exports grew by 31%and reached to
34 million tonnes and it caused coal price
(FOB ARA) to drop by 11%.
However, Asia & Pacific was still net coal
importer region in 2013. By representing 50%of global coal demand, China
came into prominence as the biggest
coal importer in the world.
Global Trade: Developments in coal
market provide opportunity for financial & physical trading to have more
widespread, liberal and liquid market
structure. Physical coal trade activities
When global coal market analysed,
trends like China’s growing coal demand, shale gas impact on coal prices
and carbon policies can be defined as
major indicators that have determining
role on coal pricing.
Import (26.6)
3. Demand
3. Demand
(million
tonnes)
(million tonnes)
EUAS
(25.0)
EUAS(25.0)
MTA
MTA
Private Sector**
Private Sector
(4.0)
(4.0)
Development of Coal Power Plants:
In 2013, coal power plants share in
global electric generation increased
by 4%. According to the forecast study
shows that coal power plant generation
will increase by CAGR of 1.2%and Asia &
Pacific region will represent 70%of that
generation at the end of 2020. Especially, China is expected to increase its
share from 45%in 2013 to 48%in 2020.
It is also worrying that such coal projects can also bring serious environmental issues.
Import
Import
are carried out in ports and price indices
related to these ports enable traders to
fulfil the financial activities. As a result,
these price indices provided better risk
management opportunities for trades.
In 2000, global coal trading activities
actualised in financial and standardized markets had a very small volume
however as from 2007 the trading volume showed a significant increase. Volume of steam coal derivatives grew by
13%from 1.3 billion tonnes in 2007 to
2.4 billion tonnes in 2012.
Carbon Emission: Within the scope
of environmental policies, low performance of carbon markets caused
continuation of the coal power plants’
advantages against the greener competitors like natural gas PPs and renewables. In order to decrease global
carbon emission, several actions are
taken however, EU-ETS (European
Union – Emission Trade System) was
the first and biggest practice introduced to carbon markets. EUA emission credits started from 21 EUR/
tonnes in 2005; however, it showed
poor performance afterwards. In a
period between 2008 and 2011, EUA
felt by 54%and became 7 EUR/tonnes
whereas CER dropped by 69%. Due to
the low performance of carbon prices,
carbon markets could not be a treat to
coal investors and coal power plants
maintained competitive advantage
against natural gas power plants.
Spring 2015
37
Profile
Argetest
ARGETEST where the basic principle is
to provide quality services to its clients
was established in November 2012,
and it embodies Mineral Processing
Laboratory, R&D Laboratory and Mineral Analysis Laboratory. It is the first
laboratory in Turkey which does mineral processing and R & D works in the
private sector and also it is included
among the few worldwide laboratories in this field.
ARGETEST Mineral Processing and
R&D Unit services offered: lab scale mineral processing test studies, mineral process
characterization and process mineralogy,
pilot scale mineral processing test studies, mineral processing plant flow chart
design, plant optimization and revisions,
determining the plant problems with the
site application and works on overcoming
these problems and On-site applied trainings.
lation). Considering the international ore
norms; along with geochemical analysis,
precious metal analysis, ore sample analysis, import-export analysis, metal-alloy
analysis, industrial raw materials analysis,
major and minor elements in coal ash
analysis, rare earth elements analysis and
boron analysis, we respond to the sector’s
needs economically and quickly by presenting analysis packages which be created depend on client’s requirements.
ARGETEST where main principle has
been quality since the day it was founded, possesses TS EN ISO/IEC 17025
Testing and Calibration Laboratory Accreditation Certificate. Furthermore,
it have been certified with ISO 9001:
2008 Quality Management System Certificate, ISO 14001:2004 Environmental
Management System Certificate, OHSAS
18001:2007 Occupational health and
Safety System Certificate.
ARGETEST mineral processing and hydrometallurgy unit works: Mineral characterization and process mineralogy,
Comminution tests, Classification, Beneficiation (Gravimetric separation, Wet &
Dry magnetic separation, Flotation and
Hydrometallurgy) and Dewatering and
solid & liquid separation
ARGETEST which based on quality,
privacy and customer satisfaction were
tripling its capacity as of January 2015.
Also the correlation between results
and core logs services has been opened
besides monitoring the analysis process, 7/24 reaching and archiving the
analysis result and images of samples,
online payment facility with our online
services.
MINERAL PROCESSING AND R&D
In our laboratories, mineral processing
works of the metallic ores, industrial
raw materials and coals can be done
by the physical and chemical methods and also recovery of tallows of the
outdated technological plants can be
done.
The obtained data after Studies are reported in Turkish, English, Chinese, Persian and Azerbaijanis languages with
the international reporting standards
and also these are submitted as printed
or electronic copies.
38
Spring 2015
MINERAL ANALYSIS LABORATORY
The applied methods and results by our
certified laboratory with TS EN ISO/IEC
17025 Testing and Calibration Laboratory
Accreditation Certificate are regularly controlled with certified standard samples,
internal inspection samples, duplicate,
replicate, quartz and blank samples to statistically prove the accuracy and precision.
Our mineral analysis laboratory can be
performed quantitative analysis of more
than seventy elements. Analysis which are
done by applying international standards
were performed by ICP, AAS, UV, volumetric-gravimetric methods, and also gold,
silver and platinum group elements analysis were performed by Fire Assay (cupel-
ARGETEST that shorten its analysis delivery period under international standards, convey the result of analysis to
its clients at the same time with online
services. Simultaneously update clients
about analysis result with short message
(sms) and e-mail.
CONTACTS
Argetest
Web: www.argetest.com
Analysis Services
Geochemical Analyses
Precious Metal Analyses
Ore Grade Analyses
Import - Export Samples Analyses
Metal Alloys Analyses
Industrial Raw Materials
Major - Minor Elements Analyses in the Coal Ash
Rare Earth Elements
Boron Analyses
Online Services
 Follow the analysis process
 24 Hours access to report and photographic archives
 Analysis request
 Technical support
 Online payment
Mineral Processing and R&D
Article Series
Valuations in Mining &
Mineral Assets - Part I
BACKGROUND TO THIS DISCUSSION PAPER
In 2005 the IVSC (International Valuation Standards Council) issued Guidance Note 14 (GN14) The Valuation of
Properties in the Extractive Industries.
It formed part of a suite of Standards,
Applications and Guidance Notes that
collectively made up the International
Valuation Standards (IVSs). In 2006 the
IVSC commissioned a Critical Review
of all its existing standards. The report
of the Critical Review Group was published in July 2007 and comments were
invited upon it. It identified a number
of weaknesses with the IVSs as they existed at that time.
VALUATION SCOPE
EXTRACTIVE INDUSTRIES.
•The term “Extractive Industries” is
commonly used to describe both
mining operations and the extraction of oil and gas. In its former
GN14, the IVSC combined guidance
on both, with the only specific exclusion being the extraction of water
from the earth. The IASB also has
adopted a similar approach in creating a single standard, IFRS 6 Exploration for and Evaluation of Mineral
Resources.
In 2008 the IVSC Standards Board
agreed to commence an Improvements
Project that should address the weaknesses identified by the Critical Review
Group. This project involved a comprehensive reorganization and rewriting of
the previous documents. The Improvements Project was completed in July
2011 with the publication of 12 new
Standards.
•In support of this approach it is argued that there is no clear distinction between the extraction methods employed, with some metals
being recovered by fluid dynamics
and in-situ recovery techniques that
are almost identical to those used in
secondary oil recovery. Geothermal
energy production is also an extractive industry, and again the technology of hot water or steam production is similar to that developed with
fluids like natural gas.
The IVSC has also been encouraged
to develop improved standards in this
area by securities regulators who are
concerned at the diversity of valuation
information on extractive activities presented by companies under their jurisdiction.
•In addition to the similarities in
the processes the relevant valuation inputs and considerations
such as the life of the asset mean
that the valuation methods used
are very similar, subject to only
minor variation between industry
subsectors.
The Board has therefore agreed that
a dedicated project is required to determine appropriate valuation practice in the extractive industries and
develop as necessary a dedicated
standard and supporting technical
guidance.
For the current practice however the existing standards as published by professional
institutes of the Mining Industry are used
predominantly by professional qualified
persons and accepted by the main governmental and non-governmental investment institutions, equator banks and
securities regulators and major resources
bourse like TSX, LSE, ASX, JSE, etc.
40
Spring 2015
•A contrary argument is that the
mining and oil and gas industries
are individually among the largest
in the world and the major entities
specialise in one sector or the other. The skills required in each are
highly specialised and therefore
to be meaningful valuation guidance has specific to one sector or
another.
Separate guidance for the resource
type is most definitely appropriate for
the following key reasons;
1.The two industries are very different at
the fundamental levels that are important;
2.The investment profile and quantum
is several orders of magnitude different
in size;
3.The strike rate for discovery of economic volumes of resources are very
different;
4.The time frame to economic production of any discovered resource is very
different;
5.The regulatory frameworks and local
jurisdictional & physical environments
around them are generally very different; and
6.The overall risk profile and magnitude of potential losses for no results to investors are vastly different.
ASSETS TO BE INCLUDED
Because of the interdependence of;
a) Reserves and resources, b) capital
equipment for extraction, c) infrastructure for extraction, and d) intangible assets employed in extraction,
the scope of any valuation should
examine the impact that all of these
could have on the value of the assets,
either in isolation or as part of an entire business involved in extractive
activity.
CONTACTS
Alan M. Clegg
Chairman, Afrasia Mining & Energy Consulting AS
My belief is that valuation should extend to offer guidance to other assets
employed separately and in terms of approach to entire businesses or discrete
operations separately. Main reasons are;
Assessing value is generally for one of
three reasons, either potential acquisition
or potential sale or Recordal on a balance
sheet as part of financial reporting of NAV;
In all three cases proper independent assessment is required to give credence to
the values recorded. The requisite acceptable Minerals code, i.e. JORC, SAMREC,
CIM, etc. can be used for Resources & Reserves quantification and dependent on
the stage of the resultant Resources and/
or Reserves an appropriate Mineral valuation code can be used, i.e. VALMIN, SAMVAL, or CIMVAL all of which follow and
offer the same approaches dependent on
the stage of the projects development.
For other assets and/or business assessments discretely different approaches
are required which are embedded in
what I call Operational Due Diligence
(ODD). This ODD approach measures the
technical and physical integrity of physical assets being employed, yet also embodies certain financial DD elements, e.g.
Critical inventories of high value contingency spares that ensure business continuity; and even legal DD e.g. Certificates
of competency of HR employed, Statutory inspections and log books carried out,
fault reporting, pollution control & emissions, waste management/environmental, etc. All of these reports into and either negatively or positively affect value.
GN 14
FORMER GN14
In 2005 the IVSC issued “GN14” Valuation
of Properties in the Extractive Industries.
As explained in the introduction to this
paper, the Board decided during its review and updating of all the standards
and guidance issued prior to 2008 that a
fundamental review of this Guidance Note
was required. The Board felt that although
it provided a detailed commentary on the
classification of minerals and of the codes
used for this purpose, it had comparatively little detail on practical valuation
issues, methods that could be used and
the merits of those methods in different
circumstances. It therefore decided that
the material in this GN could not easily be
carried forward as either an International
Valuation Standard or are Technical Information Paper without a fundamental
review. In 2010 the IVS Standards Board
withdrew GN 14 pending review.
RESERVES AND RESOURCES
MINERAL CLASSIFICATION CODES.
GN 14 referenced the CRIRSCO and UNFC
codes. However, other codes are used for
classifying minerals reserves and resources, including the PRMS Code for petroleum
and the NI43-101, SAMREC and JORC for
hard rock. Understanding the Codes used
for identifying minerals is fundamental to
the valuation of the DK assets.
The codes most commonly used in the
industry / sector are NI43-101, JORC,
SAMREC for resources & reserves; VALMIN, SAMVAL and CIMVAL for valuation
of mineral assets.
VALUATION METHODS - GENERAL
In the Extractive Industries the appropriateness of each approach or method will
depend on a number of factors including:
•Stage of project (exploration, de velopment, and production),
•Ability to identify and classify ex
tent of reserves,
•Ability to project capital expenditure,
•Ability to project operating expen
diture,,
•Ability to forecast future prices for minerals/petroleum products,
•Existence of public information regarding comparable projects,
•Stage of regulatory approval, and
ability to forecast risk in progressing
to extraction (existence of EIAS, etc.),
•Certainty regarding title, and other
legal considerations (non-regulatory),
•Availability of financing,
•Availability and financing of infrastructure,
•Marketing of resource considerations,
THE VALUATION METHODS MOST COMMONLY USED FOR VALUING ARE:
•Proven reserves – The Income approach most common, while the
Market approach is used as a potential modifier for upside advantage to
seller. If operations have started the
execution of ODD is also critical as a
modifier to value and its realisation
through operational continuity and
sustainability at an optimum.
•Probable reserves – The income
and market approach both common
but income most popular. The Cost
approach also applied but mainly in
Diamond property valuations in my
experience. ODD may in some cases
apply here also.
•Possible reserves or resources –
The Cost and Market approach used
as a balance to obtain fairness is in
my experience most common.
My experience has shown that the
results obtained using these methods proved over time to be closest to
reality.
In Part 2 to be published in the next issue we will discuss applicable Valuation
Methods in detail, specific Treatment of
Assets, Intangibles and Good Will, Government Regulation, etc.
Spring 2015
41
Profile
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In factories where there is hot metal,
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During last eight months, in iron &
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were many fire accidents happened
because of working with mineral
based hydraulic oil and unfortunately
in some of them, workers even lost
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Mineral based hydraulic oils can
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CONTACTS
Petrofer Turkey
Web: www.petrofer.com.tr
BEFORE HAVING A FIRE IN YOUR FACTORY…
BEFORE LOSING A WORKER OF YOUR FACTORY…
BEFORE BEING DAMAGED BY AN UNEXPECTED ACCIDENT…
BEFORE BEING TOO LATE…
42
Spring 2015
Review
Turkey’s Hidden Potential: Thorium
Source: tomorrowisgreener.com
Turkish Energy Foundation has recently published a report about Thorium and its importance for Turkey.
The report briefly emphasizes on
thorium’s nuclear power plant use
and its contribution to Turkish energy problem.
According to the report, Turkey comprises one of the largest thorium reserve in the world, in fact the second
biggest after India. However, recent
studies and explorations are not sufficient enough to reveal the exact
thorium capacity of Turkey. Mineral
Research & Exploration General Directorate of Turkey (MTA) reported
that proven thorium reserve in Turkey
is 380.000 tons. But OECD and IAEA
claim that thorium reserve in Turkey
is exceeds744.000 tons. The largest
proven thorium reserve is found in India with 850.000 tons amount.
Major thorium reserves are placed in
Eskişehir – Sivrihisar, Isparta – Aksu
and Malatya – Hekimhan in Turkey.
Especially Isparta – Aksu region steps
44
Spring 2015
forward for industry by containing
thorite minerals which are processed
more easily. Eti Copper Inc. claims that
Turkey holds 13.8%of total thorium
reserve of all the world. On the other
hand, the most important challenge
for Eskişehir – Sivrihisar’s thorium
was considered as variance of minerals in this reserve, in fact the amount
of thorium only consists 0.2%of total
reserve. Under favor of high technology, this problem could has been able
to come up with a solution recently.
USA, China, Russia, UK, Japan, Korea,
Belgium and India have a thorium
strategy, even tough not all of these
countries have thorium reserves; such
as Korea and Japan. The main reason
for this countries to have a thorium
strategy expectation of commercialization of thorium technology. Uranium based conventional nuclear power
plants are expected to commercialize
within 5 years; however thorium reactors are expected to commercialize
between 10 – 15 years. For instance,
China is planning to operate its first
Thorium reactor early of 2020’s. Moreover, China spent around $350 million
for thorium projects in 2015, whereas
there have been no discernable studies in Turkey yet.
The report reveals a competitive thorium technology strategy between
these countries. This competition is
named as “thorium race”. According
to the report, thorium developing
countries are not willing to share any
relevant information with each other
and hold their researches under wraps
as a part of thorium race. The report,
on the other hand, suggest that Turkey
research on thorium urgently to catch
CONTACTS
Hazal Birses
Mining Turkey Magazine
Petroleum and Natural Gas Engineer,
Web: www.miningturkeymag.com
up these countries. Pleasingly, a recent
strategic plan has been published by
Energy and Natural Resources Ministry of Turkey and it contains a thorium
chapter.
key is an externally energy depended
country with a 72%ratio. Moreover,
45%of Turkey’s electricity production
is provided by natural gas. Hence, thorium power plants is critical for Turkey.
emission and prevent CO 2 related
environmental destruction and risks
which are counted as the last thorium opportunity for Turkey in the
report.
There are several advantages of
thorium use in power plants rather
than conventional uranium power
plants. Wider existence of thorium
in nature and high efficiency of thorium in power plants with respect to
uranium are counted as major advantages. For example, 1 ton of thorium has equal power capacity with
3.5 million tons of coal or 200 tons
of uranium. Substantial handicap of
thorium is not being a fissile material that means a neutron source is
needed for thorium to be used as an
energy source. Neutron sources are
limited in three options;
Commercialization of thorium reac-
There are some recommendations
•
•
•
Doping via plutonium or enriched uranium
Neutrons produced by GeV proton accelerator
Neutrons obtained by fusion process
Source: defence.pk
Plutonium and enriched uranium
utilization with thorium were successfully experimented in Germany
and USA in 70’s and 80’s. However,
both these elements are also used as
source of nuclear weapons, therefore
uranium and plutonium based power
plants are seen risky but undesirable.
Two other options are relatively safe
with respect to first method. The report reccommends Turkey to consider
these options for a long term project.
According to the report, development of thorium technology culminates in four major opportunities.
Primarily, relatively cleaner, safer
and cheaper electricity production
could be obtained owing to thorium
reactors.
Another opportunity is that thorium
reactors could eventually provide external independence for electricity
production of Turkey and eliminates
overburden on Turkey’s import. Tur-
tors provides high technology product export to Turkey; consequently,
a major growth in Turkish economy
could be expected by thorium product export. Thorium reactors are
principally same as uranium power
plants except for the fuel source.
In case Turkey is capable of building thorium power plants, Turkey
could obtain a significant share from
worldwide projects.
Another major economic impact of
thorium commercialization for Turkey and other countries which have
thorium reserves, is becoming both a
raw material and energy exporter just
as petroleum and natural gas exporting countries. Therefore, thorium rich
countries could provide a stable and
profitable thorium supply by constituting a foundation such as OPEC.
for Turkish Thorium Strategy in the
report. According to the report,
“Turkish thorium strategy should
be conducted as a peaceful nuclear
R&D activity, and be integrated into
the current nuclear strategy. Thus,
long-term administrative commitment and allocation of funding can
be sustained more easily. Turkish
thorium strategy should progress
in an incremental and cumulative way”. The report also suggests
that Turkey to develop its thorium
capabilities into three main topics
which are administrative capabilities, human capital and physical infrastructure.
REFERENCE:
Sultansoy S., Şahin S., Ünal S., Türkiye’de
Toryum: Enerji, Ekonomi ve Siyasette
Fırsatlar, 2, 2015.
Thorium power plants reduce CO2
Spring 2015
45
Article
SPOTLIGHT ON UQ
IN TURKEY
Turkey, the country that joins Asia and Europe, is a nation experiencing immense
growth, with opportunities for UQ to nurture partnerships that are mutually beneficial.
This year, Turkey is hosting a momentous gathering of visitors and participating in significant collaborations
alongside UQ.
Turkey will welcome the world’s leaders
when it hosts the 2015 G20 events. The
country is also seeing a large number of
visitors arrive to commemorate the Anzac Centenary, which marks 100 years
since the historic landing on Gallipoli
took place on April 25 1915.
With the firm advancement of Turkey’s
economy and its subsequent broadened global reach, the University continues to strengthen its engagement
with the unique destination.
In Australia, students are afforded the
chance to enrol in Turkish language
courses. The University additionally offers students the opportunity to participate in exchanges with two Turkish universities through UQ Abroad: Boğaziçi
University and Koç University, both in
Istanbul.
New academic and research collaborations continue to be supported by the
University, which is developing strong
partnerships with Turkish universities,
corporate partners and government
bodies.
Through collaborative ventures —
including a number of archaeology
projects with Hacettepe University in
Ankara involving historically rich research sites across the country — UQ
is exchanging knowledge and fostering strong connections with Turkey.
UNCOVERING TURKEY’S PAST
For archaeologists, Turkey is a rewarding land where relics of a fascinating
history abound.
As Associate Professor Andrew Fairbairn
from the School of Social Science shared,
Turkey has more archaeological sites than
Greece and Egypt combined.
46
Spring 2015
Each year, Fairbairn takes
between four and 10
students, including undergraduates, Honours
and Research Higher Degree students, to Turkish
archaeological sites.
Fairbairn spends up
to 12 weeks each year
working in and discovering more about
A research team led by Associate Professor Andrew Fairbairn
and Professor Douglas Baird gathers at Boncuklu Höyük,
Turkey, and has seen a
the site of a 10,500-year-old village near the city of Konya in Turkey.
steady increase in student involvement since
tre involves collaboration between
he commenced at UQ in 2006.
SMI and UQ’s Faculty of Engineering,
“My research interest in Turkey focuses
on understanding the development of
the farming economy and how it influenced social and economic development from the Neolithic to Iron Age,
approximately 10,500 to 20,000 years
ago,” he said.
To better understand these historical
developments, Fairbairn analyses plant
remains, which he collects during annual excavations on Turkish sites.
DELIVERING EXPERTISE IN MINING
During the past decade, Turkey has
emerged as a strong performer in the
global economy. National policies,
demographics — including having
a comparatively “young” population
and industries such as mining are
playing a critical role in its continuing
growth.
UQ’s Sustainable Minerals Institute
(UQ–SMI) is poised to play a significant part in this process through
a partnership in an International
Mining Centre (IMC) with Turkey’s
Hacettepe University.
The idea for the IMC emerged from discussions in 2014 between UQ–SMI’s
Professor Dee Bradshaw, Hacettepe’s
Professor Hakan Benzer and Turkish
PhD scholar Barıș Yıldırım. The Cen-
Architecture and Information Technology. At the same time, the Soma
coal mine accident in May that year,
which took the lives of more than 300
miners, highlighted the need for improved safety.
The discussions led to a proposal for a
centre based on a model developed by
UQ–SMI. It was supported by the Turkish
mining industry, and officially approved
by the Turkish government in November
2014.
The IMC will be based at Hacettepe,
and Benzer has been appointed as
its Director. “Hacettepe University is
recognised for its technical expertise
worldwide and UQ–SMI represents the
world’s largest concentration of university researchers working on mining
and sustainability issues. The IMC gives
us both an opportunity to consolidate
our efforts,” said Bradshaw.
The University of Queensland and Hacettepe University collaborated among a
unique project. UQ and Hacettepe constituted an International Mining Centre in
Turkey. This article was published on “The
University of Queensland Contact Magazine” in Winter 2015 and the article mainly
informs about this project.
“The aim of the IMC is to provide a platform to ensure the safe, secure and
sustainable future of mining in Turkey,
through a collaboration between government, universities and business.”
Professor Alban Lynch, the founding director of UQ’s Julius Kruttschnitt Mineral Research Centre, established collaboration
between Hacettepe University and UQ in
1998, and there has been a continuous
exchange of staff and students since then.
In 2009, Hacettepe University joined the
Australian Minerals Industry Research Association (AMIRA) P9 project — one of the
world’s longest running research projects,
which began in 1962. In 2012, Hacettepe
was one of five universities in the UQ–SMI
Global Comminution Initiative.
PhD Candidate Bariș Yıldırım chose UQ for
undertaking research in mining because of
the long-standing engagement between
the University and his home country.
“I don’t think I would be able to study
such a challenging subject at any other
university,” said Yıldırım.
“It is a different PhD journey than most.
I am thankful to UQ for the opportunities I’ve received — site studies in Canada and Chile, and experiments in Brazil,
Australia and Turkey. The diversification
of the research, and engaging with
different cultures and world experts,
strengthens the value of the PhD.”
Yıldırım believes that the Turkish mining industry will derive lasting benefits
from the collaboration in Australia.
“The engagement with UQ and SMI
through the IMC will support the Turkish
mining industry and increase the level of
professionalism. It will improve safety, increase social responsibility, train leaders,
apply new technologies and develop linkages. If we can save lives and improve efficiency, this will be the ultimate contribution that professionals can make,” he said.
The dedicated researcher’s fondness
for Turkey extends beyond his research
interests.
Yıldırım and supervising colleagues, Professor Malcolm Powell and
Dr Deming Wang, at the Julius Kruttschnitt Mineral Research Centre.
“Turkey has a very complex landscape,
with an engaging beauty, even in the
central plateau — which is my winter
home — and the people are wonderful,
with a complex culture, fine food and
overwhelming hospitality,” he said.
Fairbairn’s primary focus is on the excavation of Boncuklu Höyük, the site of a
10,500-year-old village near the city of
Konya, which he leads with Professor
Douglas Baird from the University of
Liverpool.
“My work is contributing to providing a
new understanding of this challenging
and unique region’s role in the development of ancient civilisations,” Fairbairn
said.
PhD candidate Xavier Carah seized the
opportunity to visit Turkey.
“For millennia, Turkey has been at the
centre of empire and civilization — a
truly fascinating country to visit and experience,” said Carah.
Fairbairn’s team also liaises with the
Turkish Ministry of Culture and Tourism,
as well as the British Institute at Ankara,
which sponsors the Boncuklu Project.
His research incorporates collaborative
projects between the Japanese Institute
of Anatolian Archaeology and Ankara
University across several important sites.
A number of students also attend Fairbairn’s field school each year at KamanKalehöyük, south-east of Ankara, where
they assist with sample processing and
analysis.
Fairbairn and his students’ efforts in Turkey are long-term endeavours, which
have fostered strong connections with
local communities.
Fairbairn said these connections are
particularly strong in Konya, where
Boncuklu is based.
“The excavation provides continuing
research fieldwork experiences for students and staff, and fieldwork experience
is essential for archaeologists’ training.”
He added, “I am taking part in developing
an exchange program with Hacettepe
University in Ankara, and the projects are
forming a basis for collaboration.”
Back at the St Lucia campus, Fairbairn runs
a course entitled “The Archaeology of Turkey” to prepare undergraduate Archaeology students for conducting research in
Turkey. Having worked in Turkey each year
for 15 years now, Fairbairn’s enthusiasm for
the country remains strong. “The simple
fact is that Turkey, as a place, got under
my skin, and the archaeological questions
there are really engaging,” he said.
Spring 2015
47
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Events List
June 2 - 3 Argus Mediterranean Solid Fuels Conference, İstanbul,
argusmedia.com
June 15 - 17 3rd Optimising Mine Operations Conference: EMEA,
İstanbul, miningoptimization.com
August 27 - 29 Mining Expo Turkey 2015, İstanbul, demosfuar.com.tr
October 15 - 16 2nd Coast and Sea Geology Symposium, İstanbul,
kdjs2015.com
October 22 - 23 Health and Safety in Mining Sites Symposium 2015,
Adana, madenisg.org
August 27 - 29 2nd Tunnel Expo Turkey 2015, İstanbul, tunnelexpoturkey.com
October 25 - 28 Marble Block and Construction Machinery Fair, Bursa,
tblokmermerfuari.com
September 3 - 5 Mühjeo 2015, National Engineering Geology Symposium,
Trabzon, muhjeo2015.org
November 4 - 6 3rd Geothermal Resources Symposium, Ankara,
jmo.org.tr
September 7 - 11 DAJEO2015, Symposium on Eastern Anatolian Geology, Van, dajeo2015.yyu.edu.tr
November 4 - 7 3. Jeotermal Kaynaklar Sempozyumu, Ankara,
jmo.org.tr/etkinlikler/sempozyumlar/index.php?etkinlikkod=108
September 10 - 13 Stone Teck Machinery Fair, Afyon, machineryfair.com
November 4 - 7 12nd International Marble, Natural Stone Products
and Technologies Fair, İstanbul, cnrnaturalstoneturkey.com
September 14 - 15 V. International Conference Mediterranean Coal
Markets, İstanbul, www.b-forum.ru
October 1 - 2 V. International Mining Machinery Symposium and
Exhibition of Turkey, Eskişehir, madenmakina.org
October 1 - 3 International Energy Raw Materials and Energy Confex
(INERMA), İstanbul, inerma.com
October 3 - 4 Mining Law Symposium, Afyon, madenhukukusempozyumu.org
October 8 - 9 Evaluation of Subsurface Resources of Mesopotamia Symposium , Diyarbakır, mezosem.org
October 14 - 15 3rd Geothermal Congress of Turkey, Ankara,
jeotermalkongresi.org
November 12 - 15 2nd Mediacal Geology Symposium, Konya,
tibbijeoloji.org
November 19 - 20 VIII. Drilling and Blasting Symposium, İstanbul,
delpatsempozyumu.org
December 3 - 5 Conference on Historical Mining Sites of Turkey,
Trabzon, ktu.edu.tr/maden-mt
December 9 - 11 Drilling Symposium, Ankara, jmo.org.tr
2015
Our employees are much
more valuable than any
metal we will ever mine.
Asıl cevherimiz
Our real oreçalışanlarımız
is our people

Industrial Minerals And Rocks of Turkey

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