Sierra Rutile Staff Newsletter 4

MAY 2013
2013 Q2 RUTILE PRODUCTION VERSUS TARGETS -
THRESHOLD, BUDGET AND STRETCH
SUCCESSFUL NEGOTIATIONS WITH THE MINEWORKERS UNION
40,000
35,000
30,000
33,037
31,442
36,462
Sierra Rutile and the Mineworkers Union successfully concluded their wage negotiations last month with an above inflation pay rise of 12% for all
permanent employees below supervisory level who are covered by the Collective Bargaining Agreement. The salary increase is backdated to 1
January 2013. This increase concludes salary negotiations for this year. However other terms and conditions of service will be addressed later this
year at the Mining Trade Group Negotiating Council Meeting.
RUTILE, MT
25,000
20,000
15,000
10,000
14,508
8,241
8,659
9,556
13,865
11,956 12,563
10,017
13,041
11,245
11,816
5,000
4,491
0
Q2 Totals Apr May Jun
Actual Threshold Budget Stretch
In May we produced 10,017 mt of Rutile which was below budget, SGR product quality for the month was 95.1% TiO2
LANTI DRY MINING PLANT
ACHIEVES NAMEPLATE CAPACITY
Sierra Rutile issued a certificate of completion to Consulmet Ltd
last month, when the dry mining concentrator at Lanti completed
its performance testing and achieved its nameplate capacity.
The performance testing, which was jointly handled by contracting
firm - Consulmet, SRL Projects and SRL Operations teams,
consisted of running feed continuously through both feed
preparation circuits and the rest of the plant for 168-hours.
Throughout the process, the team recorded and measured feed
and product tonnages, and collected samples to monitor
metallurgical efficiency.
The objective of the test was to demonstrate the ability of the
plant to achieve the name plate design of 500 tonnes per
operating hour (tpoh) of run of mine (ROM) feed through the
system. The system had to sustain this throughput at 90%
availability over a 168 hour period. In fact during the performance
testing process, the concentrator operated at an average feed rate
of 522 tph, exceeding the design specifications of 500 tph.
The mining operation and the concentrator plant are both currently operating in excess of their design rate of 3.5 million tonnes per annum and, so far, have
not been significantly affected by the rains. The project is forecast to contribute 30,000 - 35,000 tonnes of rutile out of Sierra Rutile’s 2013 expected total
rutile production of 125,000 tonnes.
Commenting on the achievement of the dry mining concentrator’s nameplate capacity, Desmond Williams, Sierra Rutile’s Operations Manager said: “The
ramp-up of the Lanti Dry Mining project to its full capacity and the successful accomplishment of the performance testing process has required the intensive
and co-ordinated effort of the teams involved, and we are delighted with the success of their hard work.”
BUILDING A SUSTAINABLE SIERRA LEONEAN WORKFORCE
With a an innovative ‘Localisation Plan’ in the offing, which will equip high potential Sierra Leonean employees with the skills and experience needed for the
company’s top technical, supervisory and management positions, Sierra Rutile is taking a decisive step towards building a more sustainable workforce.
The ‘Localisation Plan’ is intended to reduce Sierra Rutile’s reliance on expatriate subject-matter experts; as well as contribute to the development of the
country’s technical and managerial pool and ensure that Sierra Rutile meets its obligations under the Mines and Minerals Act 2009.
As is the case in many other countries, Sierra Rutile will still need to call in subject-matter experts for particular specialisms. For example, expatriate
expertise has been essential in re-establishing the company’s post-war operations, and in the recent Lanti Dry Mining expansion. Nevertheless, the company
is committed to establishing a sustainable Sierra Leonean workforce through the recruitment, training and development of local citizens.
The ‘Localisation Plan’ is a massive undertaking, which the HR department began working on last year. It has required a detailed manpower study to
understand what skills, jobs and people the company will need for the next five years. Career and performance management plans are also being put in
place to identify the company’s high potential employees (HiPos) and their training needs.
The HR department is also analysing what skills the company as a whole needs; and how, where and by whom any necessary training will be delivered.
Tertiary education, for example, will need to be delivered primarily through distance learning. On-site courses can address specific skills needs, and on the
job training can help the transfer of skills within the organisation.
Andy Taylor, Head of Operations, explains that the Localisation Plan is a challenging but ultimately rewarding process, which will require the hands-on
commitment of Sierra Rutile’s senior management, as well as the day-to-day drive of the HR department. He concludes: “It is aimed at ensuring that Sierra
Rutile develops employees with appropriate and effective skills, not just for the present but also for the future.”