PERUMIN 2013

The Future of Water in the Mining Industry

AREQUIPA, PERU
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Global Water Situation

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We Live on a Salty Planet

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A Growing Population Needs More Water

From Allianz.com

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Global Water Withdrawal and Consumption

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Global Fresh Water Withdrawals

Total global withdrawal approx 4,000 km3/yr in 2010
Industrial/Energy 800 km3/yr 20%

, 0, 0%

Mining 7-9 km3/yr 0.2%

Municipal & Domestic 400 km3/yr 10%

Agriculture 2,800 km3/yr 70%

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Environmental Water Scarcity Index for 2030

NIC, 2012

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Effects of Climate Change

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Water Challenges, Causes and Risks

(From CEO Water Mandate, 2012)

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Water For Mining

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Copper Demand Curve

(World Copper Factbook, 2010)

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Copper Production
(World Copper Factbook, 2010)

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Mining Industry Differentiators

Water is essential for most mining Mining and processing often at a
massive scale, large water requirements

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Operations are relatively short lived,

water requirements are temporary

Remote global locations

Little or no infrastructure
Often must deal with stringent
regulatory requirements

Environmental sensitivity

Social issues and conflicts

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Major Drivers for Water in Mining

Mines being developed in water poor
places - investment in pipelines, wells, and desalination plants.
Physical Availability

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Increased reliance on low grade ores more water is required for each tonne of refined product.
Legal Availability

Mining companies must treat wastewater

to higher standards increased regulation, need to recycle and commitment to sustainable water use.

Social License to Operate

Water is a major environmental concern problems caused by acid rock drainage and other impacts to water resources.

Physical and legal water availability does not guarantee a sustainable water supply solution!

Mining companies trying to reduce their

water footprint

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Future of Mine Water Resource Management

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Integrated Water Management for Mines

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Other water users Mine water sources Permitting, environmental, social, legal constraints

Mine water needs

Integrated water management for mining

Ecosystems

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Integrated Water Management Key Areas

ADMINISTRATIVE Meet regulatory standards Integrate water strategy into corporate and business unit strategies Develop management structure TECHNOLOGICAL/INNOVATION

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Manage Water:
Establish water balance Measurement instrumentation Manage database Audit results Preventive water use: Redesign process Minimize water losses Water-saving techniques Protective management strategies/ measures and technical solutions:

COMMUNITIES Engage early with all stakeholders, including communities Use water unsuitable for other industries, i.e., sea water

Determine potential for AMD

Identify discharge points Improvement of infrastructure to contain runoff Monitoring information management

Tools are available to proactively manage water

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Water Footprint, Carbon Footprint & Lifecycle Assessment

WATER FOOTPRINT CARBON FOOTPRINT
Measures emission GH-gases No spatial / temporal dimension Global average values Weighting water volume based on impacts Many efforts focused on offsetting (carbon emission units are interchangeable)

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LIFE CYCLE ASSESSMENT

Measures overall environmental impact No spatial dimension

Water footprint, Carbon footprint and Life Cycle Assessment are complementary tools

Measures freshwater appropriation Spatial and temporal dimension Actual, locally specific values Actual water volume, no weighting Reducing specific water footprint (water use units are not interchangeable)

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Water Disclosure is Becoming a Reality

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Future of Water Governance

Future water governance changes will be seen in four main areas: technology, energy, water pricing and other users rights to water
TECHNOLOGY New technologies are developed to meet stringent regulations ENERGY Conservation and efficient use

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VALUE OF WATER

RIGHTS TO WATER

Water supply and demand

Conflicts and priorities

Source: http://www.willmsshier.com/articles.asp?id=86
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Efficiency of Water Use for Mining

Corporate goals and commitment to efficient water use Accurate water balance and measurements of water use Process optimization to reduce waste water volumes Improved tailings water management thickened and dry stack tailings

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Water re-use Zero liquid discharge

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Storage and Transport of Water

Catch and store surface water runoff surface reservoirs, aquifer
storage and recovery (ASR)

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Interbasin transfers Improved water infrastructure - pipelines, pumping systems, water

tunnels

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Potential Groundwater Sources

Characterization of aquifers water in storage and recharge Use of groundwater with marginal quality - treatment Permitting and environmental issues with potential groundwater sources can we use brackish water resources? Aquifer storage and recovery (ASR) to optimize water storage
Injection for ASR

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Water Treatment and Re-use

Many proven standard water treatment technologies Innovative technologies being developed using membranes and other systems Process optimization to increase water quality of mining effluents Treatment of historical mining water quality issues

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Desalination Systems
Desalination plants Intakes and outfalls Pumping and piping systems Power sources

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Tailings and Water - Industry Trends

High density tailings using:

Thickeners Filtration Centrifuge Chemical additives

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Improved water management:

Upstream cutoff for valley impoundments Separation of seepage and decant flows Reduced beaching length (dry climate) Reduced wet footprint (wet climate)

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Cost vs Benefit to Recover Tailings Water

Where is the best investment in water recovery from tailings for the least cost?
$5 Typical Range $4

Water Loss

$3 $2 $1 $0
Slurry Thickened Paste Cake

Operating Cost

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Mining Impacts on Water

Environmental
Heavy metal
contamination and leaching

Social
Depletion of surface and
groundwater supplies

Acid Mine Drainage Processing chemical

pollution

Soil and water pollution Conflict with other waterrelated or water-intensive industries (i.e., agriculture)

Erosion and
sedimentation
Water has been called minings most common casualty
James Lyon, interview, Mineral Policy Center, Washington DC

Water shortages and

ecosystem damage

Displacement of people/
communities

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A Holistic View of Water

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Tailings Mine

Hydrology

Geochemistry

Sewage, effluent process water, potable and process plant

Integrated Water Management

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Mine Water in Peru and Chile

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Water Availability in Peru & Chile

Balance (millones m3/ao)
Macrozonas I a II III a IV V a RM VI a VII VIII a X XI x XII Ayer 1996 -40 .397 -1.393 16.452 189.204 526.801 Hoy 2010 -928 -873 -1.988 15.173 186.763 526.005 Maana 2025 -1.602 -1.2990 -2.844 12.688 164.517 525.708

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Water Challenges in Peru

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50% of rain water is lost

Increasing glacial retreat rates Only 22% of sewage water from cities receives some kind of treatment prior to discharge. 78% is discharged & lost

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Water Challenges in Chile

Chiles Water Offer & Demand 2011 (DGA)

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Chiles Projected Water Demand for Mining in m3/s (2009 2020) Cochilco, 2009

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The Gap Between Water Availability and Demand

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A gap already exists in areas of Chile and Peru

It will get worse with time as demand increases and available water decreases How are we going to overcome the problem for the mining industry?
Water Demand Water Availability

Water Volume

Gap

In Chile and Peru, desalination will be an essential source of water as other sources are not always available. We need to find ways to reduce costs and impacts of energy production

Growing Gap
1950 2000 2010 Time in Years

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Seawater Desalination Using Renewable Energy

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Potential for Solar Power

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Historical development of global cumulative photo voltaic power installed per region

MW

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Potential for Wind Power

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Cost Reduction of Wind Power

Comparison of Energy Sources

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Seawater Desalination Using Renewable Energies

Why use renewable energy for desalination? Desalination is energy-intensive Provide energy availability in remote areas Why use solar energy? Solar energy abundant in many areas with critical water shortages Solar powered desalination plants are technically feasible where other energy sources are not available

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The Future of Water for Mining - Issues and Solutions

Issues
Water is essential for mining Global water demand is increasing Water shortages will be more common Mining often conflicts with other users Regulation will increase Historic problems must be addressed Many mines are not effective water users
TAILINGS PROCESS ENVIRONMENTAL HYDROTECHNICAL CIVIL GEOTECHNICAL

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WATER

Solutions
Consider water an asset to be managed Deal with water as an integrated system Proactively engage other water users Implement technical innovations Develop alternative water sources Manage water footprint

Holistic water management takes a multidisciplinary approach

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