Labyrinth Resources Remote Mining Operation uses Virtual Pipeline Power System

Mining Energy

(Credit: Aggreko)

by | Aug 24, 2022

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Mining Energy

(Credit: Aggreko)

A remote mining operation by Labyrinth Resources in Canada received energy from a virtual pipeline power system from Aggreko that also helped lower emissions compared with more traditional mobile energy options.

The five-month gold mining exploration project was located in a remote area on the Quebec-Ontario border where no power grid was available and temperatures in the region could fall below minus-22 degrees Fahrenheit. The virtual pipeline power system used compressed natural gas to tackle those challenges to produce energy for the operation.

Aggreko set up a power plant by installing two 300-kilowatt natural gas generators, as well as a 60 KW diesel generator to deal with peak energy loads. The virtual pipeline approach then facilitated the delivery of the compressed natural gas by way of 48-foot containers trucked to the mine site, which was a gold exploration project.

As opposed to using only diesel generators, the energy system helped Labyrinth Resources reduce carbon dioxide emissions by nearly 75 tons, nitrogen oxide emissions by 10 tons, and saved more than $300,000 in fuel costs. Labyrinth Resources says the use of the power system aligned with its ESG policies and that using sustainable platforms are decision drivers for its operations.

The mining industry accounts for approximately 3% of the world’s emissions, according to McKinsey & Company. Of that, 40% to 50% comes from diesel used in mobile equipment, and another 30% to 35% from nonrenewable electricity, McKinsey says.

Mining is facing various impacts from low-carbon transitions, especially in areas such as energy use and carbon intensity across their value chains, according to a report from Fitch Ratings. Worley acquiring Minera Mining Technologies to improve its automation processes, and BHP Western Australia Iron Ore using battery-operated locomotives for transport are a few examples of sustainable projects within the industry.

Aggreko says a virtual pipeline power system uses other means for transporting fuel needed to produce the energy where no pipeline is available. The company says even with access to pipelines, mines can use the system to help supplement energy supplies during times of high demand or if there is unreliable pipeline capacity.

Labyrinth is an Australian-based mining company focused on gold, with operations in Western Australia and in Canada. Aggreko is based in Glasgow, United Kingdom, with operations in more than 200 locations with a focus on sustainable energy, heating, and cooling offerings using clean fuel and storage platforms.

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