Title of Publication Edited by

TMS (The Minerals, Metals & Materials Society), Year

FALCONDO REVISITED
Mr. Edwin de Jess Deveaux1 and Mr. Franscisco Geraldo Longo1
1

Falconbridge Dominicana, Mining & Development, Box 1343,

Santo Domingo, Dominican Republic

Keywords: Laterites, grade control, mining methods, environment

Abstract
After 32 years of operations beneficiating lateritic nickel ore in a fully integrated
pyrometallurgical complex, Falconbridge Dominicana (FALCONDO), situated at Bonao and
La Vega Provinces, Dominican Republic, has become profitable with one of the lowest nickel
grade content processing plants in the world, and literally without any by-product (granulated
slag, will be utilized in the future as a post-processing subproduct). To December 2002, mineral
reserves were 64.1 million tonnes containing laterite grading as low as 1.15 % Ni when full
dilution is applied. At a cut-off grade of 1.20% Ni, the reserves will provide 15-20 years of
production. The mineralized thickness over the seven active deposits averages 6 m.
Development of very selective and unique mining practices, together with improvements in the
process plant, are key to achieving the production goal (30 kt Ni/yr) and to meet the quality
standards for the ferronickel produced.
Introduction
Falconbridge Dominicana, C. por A. (FALCONDO) has a fully integrated mining and
processing complex that produces a ferronickel product containing 38 to 40% Ni. The Company
is ISO 14001 (Environmental) certified, being the first company in the country to obtain the
certification. The company also is ISO 9000 (Quality) certified.
The laterite deposits from which the nickel is extracted are situated in Bonao, Dominican
Republic (Figures 1 and 2). A pyrometallurgical process is used to produce ferro-nickel in the
form of Ferrocone shapes.

La Vega
Sabana del Puerto
Maimon
Falcondo
Plant

La Vega

Montaa

LA VEGA PROVINCE

MONSEOR NOUEL
PROVINCE

Bonao

Piedra
Blanca

Figure 1: Location of Falconbridge Dominicana Quisqueya No. 1 Concession

Figure 2: FALCONDO Process Plant - Aerial View

FALCONDO'S ACTUAL & FORECAST ORE RESERVES (1)
Projection including dilution tonnages mined and Ore Reserves Additions
10-Year Forecast, excluding Ore Reserve Additions

60

Barmac Reject Stockpile

Addition

Diluted Reserves

55
50
Projected Diluted Reserves
1.20 % Ni Cut - Off

1.40 %Ni Cut-Off

Ore density factors updated

40
Switch to
1.20 %Ni Cut-Off

35

Mine Planning
Ten-Year Forecast

30

Likely Scenario
1.20 %NiCut - Off

25
20
15
Projected Undiluted Reserves
1.20 %Ni Cut - Off

10
5

st

(1) 10 Year Forecast Dated Dec. 31 , 2003. Excludes Possible New Reserves to be Added By Future Reserve Definition Drilling

Figure 3: FALCONDO Actual and Forecast Ore Reserves

2027

2026

2025

2024

2023

2022

2021

2020

2019

2018

2017

2016

2015

2 014

2013

2012

2011

2010

2009

2008

2007

2006

2005

2004

2003

2002

2001

2000

1999

1 998

19 97

1996

1995

1994

1993

1992

1991

1990

0
1989

Millions dry tonnes

45

Summary
FALCONDO commenced operations in 1971. Ore reserves at June 2003 were 63,549,000 dry
metric tons: 1.19% Ni, at 1.20% Ni cut-off, with a mine life projected of 20 years. The annual
nickel production averages over 28,000 metric tons (Figure 3).
The richest ore is found in the finer size fractions. Consequently a rubbler plant is provided to
separate the fines from the coarse portion. All the material above 2 inches is rejected at the
rubbler mill. All the material below 2 inches is fed to the drying plant, where the material is
dried from 28% H2O (average) to 18% H2O.
The material then passes through 10 mm (3/8 inch) screens in closed circuit with 2 Barmac
crushers, one at each line. All the material below 10 mm is ore preparation product, and is
stored in 4 silos with 2,500 tonnes capacity each, prior to belt conveying to the process plant
The first stage at the process plant is reduction. The oxides are reduced after passing through
twelve vertical furnaces arranged in parallel. Finally, the reduced calcine product is melted in
two electric furnaces at 1,650 C where the ferro-nickel metal is separated from the slag. The
crude ferro-nickel is refined in a ladle refining system prior to casting into Ferrocone shapes.
The slag is discarded to slag dumps.
A power plant of 198 MW capacity supplies all the energy needed at the plant. Any excess is
sold to the national grid.
A 75-km. long pipeline (oleoduct) transports the oil from the Haina port to a topping unit at the
plant site. At the topping unit, gasoil and naphtha is produced, the latter being used mainly at
the process plant in the vertical reduction furnaces. Water for the process and power plants is
provided from a nearby river.
This paper describes improvements that have taken place in recent years for ore grade control,
methods of ore extraction and haulage and in environmental controls.
Geology Of The Deposit
The FALCONDO nickeliferous laterite deposit was formed by intense tropical weathering of
the parent bedrock serpentinized peridotite. Leaching of the more mobile elements was
followed by solution transport along preferred structures and permeable pathways and residual
concentration on the less mobile elements. In its present state, the FALCONDO nickel laterite
deposit can be classified into the following layers:
A zone: Chocolate brown limonite
B zone: Ochre brown limonite
C zone: Soft Serpentine
D zone: Hard Serpentine
E zone: Serpentinized Peridotite
F zone: Original rock
FALCONDO has utilized each of these layers: A and B (<1.20% Ni) layer is for reforestation
purposes; B, C, D and E (occasionally) layers are for mining purposes and E + F material is
used for road construction and/or road maintenance. (Table I).

Table I - LATERITE ORE TYPES

Zone
A

Name
Limonite
(Superior

Color and Texture

Mainly goethite. Some hematite.

>40%Fe, low nickel, silica and
magnesium.
High sulfur and cobalt.

Normally constitutes the overburden.

CONTACT: Regular with B zone, and
parallels the surface topography.
USE: Reforestation. May contain
commercial %Ni

Limonite

Ochre-brown.

CONTACT: Gradational and irregular

with C,D&E.

(Inferior

Reddish to
yellowish
Brown. Very
compact & clayey.
Some plasticity.

Mostly goethite, with some serpentine

minerals.
>35% Fe, lower iron, sulfur and cobalt
(still high).
Higher nickel, silica and magnesium.

Laterite)

USE: Commercial values or reforestation.

Soft
Serpentine

Vary from green to Green serpentine (lizardite) with

brown (yellowish or goethite close to the contact with B.
reddish)
>12%Fe. <14%Fe, when pure

Up to 20% by volume of boulders of hard

serpentine
(Increases close to contact with D)

(Saprolite)

Loose and clayey.

Some plasticity.

USE: Commercial values.

Hard
Serpentine

Green
Rocky

Other Comments

Chocolate-brown
Loose and friable.

Laterite)
B

Composition

Serpentinized Gray color

peridotite

Rocky

Unaltered

Dark gray to black

Ultramafics

<12%Fe. High nickel, silica and

magnesium.
Low sulfur and cobalt.

20 - 50% by volume of angular joint

blocks (5-25 cm.diameter)
in a matrix of soft serpentine.
USE: Commercial values

<10%Fe. Lower %Ni than C & D zones. 50 - 70% by volume of massive angular
joint blocks (>25cms diameter).
Very high silica and magnesium. Very
USE: Commercial values or road
low sulfur and cobalt.
construction
Maximum silica and magnesium values
and minimum nickel, iron, cobalt
and sulfur.

USE Road construction. The reject

(mostly F zone) is used to build and
condition the access roads to the
mining fronts.

The zoning description is referred to at FALCONDO as the Ideal Profile of Laterites. But the
area has been strongly faulted and folded and frequently pockets of one zone can be seen inside
another. This is referred to as the Real Profile of Laterites.
The peridotite ultramafic rocks found in the deposit are classified as:

Harzburgite: the most abundant classification.

Dunite: less abundant variety, but is the highest in nickel content.
Serpentinite. which is usually very sheared
Grade Control

Grade control is very important to the FALCONDO operation, since the deposit is very
heterogeneous. There are several aspects to applied grade control at FALCONDO:

1)

Drilling

The method now used is rotary percussion with down-the-hole hammer. The particles cut by the
drill bit, on the hammer, are pushed to the surface, by air, where they are collected in two metal
boxes located around the drill rod string. Samples are quartered and placed in bags to be sent
to the laboratory for chemical analyses. The three drilling machines are track-mounted with
attached air compressors to supply the air for the movement of the machine as well as for the
rotary percussion.
There are two main types of drill holes:
Reserve Estimation Drill Holes: These holes are 50 meters spaced. A sample is taken for each
meter drilled. The information gained is used for the estimation of the official reserves. It is also
used for the long-term 18 month and 10 year forecasts. Past drilling practice used an Air Flush
diamond drill.
Production Drill Holes: These holes are spaced at 12.5 meters. A sample is taken every two
meters. The information gained is used for grade control while mining. It is also used for shortterm forecasts. In the past, production samples were taken every meter.
As of November 2003, 58,804 meters has been drilled. The average drilling depth was 14.8 m,
with a performance of 10.5 m/hr, and a utilization of 62.9%.
In the past, drilling was carried out 24 hours/day and an additional crew was utilized to take
channel samples. Samples were quartered only at the laboratory. This practice was changed, as
follows:

The night shift for the drilling crew was eliminated, reducing labour costs without affecting
production. The helper of the morning crew, while the operator is drilling, is focused on
preparing the area to have a good production in the next shift: building access, etc. Now, the
drillers take the channel samples, instead of an additional crew.

Outsourcing of the equipment repair and maintenance has increased the mechanical
availability. (See Figure 5)

Automatic generation of maps (AUTOCAD) has saved a lot of time. Now, the Drilling
Supervisor can spend more time at the field and more people have copies of these maps.

Internal auditing of the sampling procedures is routinely performed.

Projects:
Drilling machine with air compressor integrated (Not attachable, but integrated). This is
in-progress.
Other evaluations
Ground Probing Radar (GPR) to detect the contact between the rock and the lateritic soil is
being evaluated

Drilled Meters vs Cost by Drilled Meter. From 1997 to Nov. 2001

$90,000.00

$80,000.00

Costo por
Metros
Perforados

$70,000.00

Metros
Perforados

$60,000.00

$50,000.00

$40,000.00

$30,000.00

$20,000.00

$4.77

$5.48

$4.65

$6.33

$5.84

$10,000.00

$1997

1998

From 1991 to sept. 1995 we worked with the

same four machines.
In august, two new dirll machines and air
compressors were acquired

1999

At the end of october of 1998 we started a

shutdown until january 1999. We also reduced
from 3 to 2 drilling shifts.

2000

2001

December 1999, we started outsourcing the services of

repair and maintenance of drilling machines and air
compressors.

Figure 5: Drilling Production and costs after outsourcing

2)

Mine Planning

The assays of the drill hole samples are received in the mine planning unit after they are
validated at the drilling unit. The information in this database is used to:

Estimate the official ore reserves of the deposit.

Calculate the ore reserves by benches.
Generate geological maps, cross sections, etc(Figures 6 and 7)
Elaborate the mining forecasts. A three-month forecast is generated each month, an
18-month forecast each semester, and a 10-year forecast each year. (Table II)

The main criteria to consider a mineralized range in a drill hole are:

1. a mineralized layer more than 1 meter thick (2 meters for the production holes).
2. a grade average equal to or more than 1.20% Ni.
3. a stripping to ore ratio equal or lower than 2:1
Note: Internal dilution is included in the ore reserves.
For easier location at the field, the deposit is divided in 7 Lomas, namely Fraser,
Guardarraya, Larga, Peguera, Taina, Caribe, and Ortega.
These Lomas are divided into blocks (150 m x 150 m) usually including 9 ore reserves
estimation drill holes.

Figure 6: Production Map

Figure 7: Geological Sections

Table II: Three-month forecast

DECEMBER, 2003
Undiluted Drill Indications
Mining Fronts dry tonnes wet tonnes %Ni %Fe %S Ni/Co Si/Mg %Al %Co %Si %Mg
F-29 (261)
14,866
19,191 1.49 18.3 0.012 31.0 1.88 2.6 0.048 41.5 22.1
G-72 (266)
7,220
9,320
1.49 11.3 0.003 48.1 1.70 1.4 0.031 43.2 25.4
L-235 (576)
10,071
13,001 1.57 10.3 0.005 65.4 1.37 2.0 0.024 41.4 30.3
L-246 (646)
6,825
8,810
1.50 10.5 0.008 71.4 1.19 1.7 0.021 36.9 30.9
L-241 (616)
4,919
6,350
1.46 13.3 0.008 50.3 1.31 2.2 0.029 37.2 28.4
L-232 (346)
13,793
17,805 1.40 17.4 0.010 37.8 1.45 3.8 0.037 35.6 24.6
P-338 (566)
13,622
17,585 1.58 16.0 0.021 39.5 1.32 3.5 0.040 33.5 25.3
P-306 (536)
12,510
16,149 1.74 13.1 0.011 58.0 1.55 2.6 0.030 37.5 24.2
T-402 (556)
11,159
14,405 1.64 19.0 0.022 34.9 1.37 2.6 0.047 30.5 22.2
T-428 (521)
13,247
17,101 1.75 10.5 0.008 72.9 1.36 1.2 0.024 37.9 27.8
T-448 (441+436) 12,803
16,527 1.92 09.7 0.007 91.4 1.53 1.5 0.021 43.2 28.2
T-406 (100)
10,391
13,414 1.30 16.0 0.020 32.5 1.64 2.3 0.040 37.8 23.0
C-562
19,346
24,974 1.57 14.0 0.010 49.1 1.61 2.4 0.032 41.7 25.9
(219@205)
C-1608
9,132
11,788 1.38 18.7 0.007 28.2 2.28 1.7 0.049 40.2 17.6
(282+275)
C-573 (233+226)
7,945
10,256 1.48 21.1 0.008 30.2 1.83 1.7 0.049 36.8 20.1
C-605 (240)
8,748
11,293 1.43 24.4 0.010 24.7 1.96 7.3 0.058 28.4 14.5
C-566 (170)
18,625
24,043 1.66 09.4 0.005 87.4 1.69 1.4 0.019 44.6 26.4
C-726 (373)
5,239
6,763
1.39 15.1 0.012 25.7 1.80 3.0 0.054 40.0 22.2
C-726 (366)
16,842
21,741 1.45 16.7 0.010 31.5 1.88 3.3 0.046 39.1 20.8
C-509 (177)
13,049
16,845 1.70 12.1 0.009 68.0 1.80 1.9 0.025 42.2 23.4
C-588 (100)
10,000
12,909 1.32 14.5 0.012 34.7 1.67 2.6 0.038 37.2 22.3
C-518 (100)
9,102
11,750 1.33 14.6 0.009 40.3 1.71 2.1 0.033 37.3 21.8
C-604 (233)
10,622
13,712 1.55 22.7 0.016 28.2 2.05 5.8 0.055 26.9 13.1
O-844 (450)
3,042
3,927
1.54 16.8 0.016 36.7 1.39 4.1 0.042 32.2 23.1
O-805 (275)
17,890
23,094 1.60 11.0 0.007 55.2 1.36 1.8 0.029 38.4 28.2
O-824 (219)
48,202
62,224 1.45 18.8 0.019 27.4 1.60 3.8 0.053 35.1 21.9
FIRST MONTH 329,210
424,977 1.53 15.3 0.012 40.1 1.60 2.8 0.038 37.7 23.6
Plant Feed
1.18
Rock 53%
(Fully Diluted)
Serpentine 36%
Limonite 11%
Improvements in mine planning
Originally, the mineralized range was manually calculated and then introduced to the computer
(IBM System 36) for ore reserves calculation. FALCONDO introduced the following changes
in the mine planning function:

At the beginning of the 1990s the Geological Information System (SIG, in Spanish) was
created. SIG is an in-house developed software, in FoxPro database. From this database,
the mineralized range is calculated and updated automatically, as well as the ore reserves.
Geological maps, cross sections, etc. are also generated automatically with this program, in
AutoCAD base.

Recently, the FoxPro database was transferred to an Oracle database, with web base, giving
more security, reliability and flexibility to the system.

Calculation of Potential ore reserves in a lower level is now automatically integrated to

the ore reserves. Before, it was not possible to calculate the ore reserves of a lower
mineralized range with potential of becoming part of the ore reserves if, for some reason,
some of the material on top was removed resulting in a lower elevation of the new surface

Determining the density by type of ore (A, B, C, D, E and F) and application in mine
planning is now routine. Before, an average of the densities of the different types of ore was
used.

FALCONDO applies the Canadian regulations of estimating and reporting ore reserves with
2 geologists affiliated to the Association of Professional Geoscientists of Ontario (APGO).

Projects

GPS is now routinely used to update the elevations and receive a quick feedback to produce
accurate mining forecasts.

Other evaluations

A Geostatistical system to estimate reserves was evaluated. At present, the in-house "
developed software is still being used.

3)

Grade Control At The Field

Approximately, every 3 days the filling of a 50,000 metric tons capacity bay (ore storage) is
forecast. At each shift, there are 2 geological technicians in the field, who control the quality of
the ore mined at the mining fronts. To do that, they use visual control and information from the
geological maps and bay forecast (drill hole information) and channel samples.
There is also a senior geological technician who supervises the geological technicians, by
giving them all the tools and information needed, and who is also responsible for making the
bay readjustment. The bay readjustment consists of calculating the tonnages and
percentages of each element needed to finish the bay with all the parameters as required by the
process plant. The technicians select the appropriate available mining fronts and must include
adequate and realistic tonnages.
The geological technicians receive in-house training to visually estimate the nickel content
and other elements such as % Fe and SiO2/MgO ratio. They do that based on the physical
characteristics of the ore, mainly the color, texture, weight and friability.
The geological technicians make the decisions on ore or waste during the grade control at the
mining fronts and give instructions to the truck drivers where the material is to be hauled from
amongst several possibilities:

to the dump slip. If it is mineable ore (>1.20% Ni) and fits the required chemical
parameters at that moment,

to waste stockpiles,

to low grade ore stockpiles,

to limonite stockpile, or

to stripping stockpiles

Note: If it is mineable ore, but is not required at the moment, it is left at the mining front.
A key factor for decision-making in grade control is the sampling at the face of the mining
front. Urgent Samples are sent to the laboratory when quick feedback is required of the nickel
content of a material that visually appears to have low nickel content. Urgent samples are taken
on the occasion when there are doubts about other elements such as % Fe, SiO2/MgO.
Each truck, filled with ore, is weighed and grab-sampled. A composite sample is sent to the
laboratory each 4 hours (two per shift).
The sampler gives feedback to the shovel operators about the weight of the truck, although most
of the mining trucks have weightometers integrated into the machine. The sampler also ensures
that the truck number and weight, operator name, etc. are registered on the computer.
Improvements in grade control
FALCONDO introduced the following changes in the grade control function:

More extensive formal training to the geological technicians

Grade control training to the shovel operators.

Low-grade ore stockpiles now form part of the plant feed. Presently, mining is being carried
out from 1.20 to 1.39% Ni stockpiles. This material was previously stockpiled when the
mine cut-off was 1.40% Ni.

Detection and mining of pockets of ore not included in the ore reserves (20 millions tonnes
from 1971 to 1996, 14 millions tonnes from 1997 to 2002, were mined over what was
estimated in the ore reserves).

Increase of internal dilution and low-grade ore, extracted from the mining fronts. 19.1%
internal dilution plus low-grade ore has been extracted (November 2003).

Geological Production System (SPG in Spanish) computerized system allows the geological
technician to quickly handle more information. This has reduced the time needed at the
office and now the senior geological technician is investing this additional time in
supervising activities.

Operational efficiency was gained because the mine no longer requires a geological
technician and a mine supervisor by area (Peguera, Caribe and Ortega). Instead there are
Jefes de Turno (shift bosses), who are in charge of the grade control, as well as of
everything related with the operations at their areas.

Lowering the bench height decreases the dilution in the mining activity as an example from
10 m to 7 m and then to 5 m. A 7 m bench height is maintained where the mineralized layer
is thicker (Loma Caribe and Loma Ortega).

Internal audits are routinely conducted of the sampling procedures, as well as to the process
of filling a truck with ore.

Projects
FALCONDO has the following ongoing projects in the grade control function:

Projects aimed at decreasing the percentage of waste reaching the dump slip.

Laptop computers, integrated to the network so that the geological technicians are able to
see all the information (including maps) in the field. Presently, they are taking with them
hard copies with all that information.

Portable X-ray analyzer (X-met), with the objective of providing quick in-the-field
analytical results of the nickel and iron content of the material at the bench.
Ore Extraction And Haulage

Mining is by direct excavation with front shovel and backhoe. No blasting is used in the mining
activities. The mining benches are 5 m. high, except Loma Caribe and Loma Ortega (7 m).
There are two main mining methods:

Mining with front shovel: A hydraulic front excavator cuts the ore directly from the mining
front and loads the off-highway trucks (55- and 90-tonne capacity). A bulldozer is used to
condition the mining fronts, to lower the bench height and to break the rocks at the benches.
This method is better for the visual control, since the geological technician has an excellent
view of the mineralized face. This method is commonly used when the information
indicates a good distribution of the ore all along the forecasted area, and when there is ore
from top to bottom at the bench.

Mining with backhoe: A backhoe cuts the ore directly from the lower bench and fills the
trucks. A bulldozer is used to feed the ore to the shovel.

This method is better to mine selectively some isolated pockets of ore. Besides, to open a new
bench with backhoe, no ramp construction is needed, which makes this option very useful when
going to a lower bench is needed quickly.
To haul the material from Loma Ortega (48 km) the ore is sent in 50-tonne off - highway trucks
to a Transfer Area, where the 45-tonne capacity highway trucks are filled with a front loader
and the ore hauled to the plant.
As of November 2003 our heavy equipment fleet consists of:

23
10
20
3
20
20
3
5
2

Off-Highway trucks
Hydraulic excavators
Bulldozers
Front Loaders
Highway Trucks
Trailers
Graders
Water Trucks
Lowboys

Improvements in mine operation

FALCONDO introduced the following changes in the mine operation:

Increasing the trucks from 40- and 55-tonne capacity to 90-tonne capacity.

Increasing the capacity of the shovels from 4.5 m3 to 5.6 m3 buckets.

Increasing the size of the dozers from D-7 and D-8 to D-9 CAT bulldozers.

Production Engineering System (SIP in Spanish) computerized system has helped the
efficiency of clerks and samplers and is an excellent source of timely information.

Since 2001 blasting has been used occasionally to increase the speed of the development
activities.

Surveying is now conducted with total stations, instead of the original surveying transits

Staff now uses conventional GPS to update the topography at the mining fronts.

Projects
FALCONDO has the following ongoing projects in the mine operation:

Mining the dryers reject stockpiles. This material was stockpiled when previously mining at
higher cut-off grades.

Evaluating the use of GPS (Global Positioning System) by the surveying team to update
how advancement is progressing at the mining fronts.
Environment

FALCONDO is an ISO 14001 Certified Company. The main environmental issues that are
controlled are:

Reclamation and Reforestation

When an area is totally mined- out, the promontories are cut and holes are filled to create a
smooth surface topography. Then, waste material is deposited in 7-meter benches. When a
bench is finished, high iron stripping material is placed on top. Then, waste is deposited in
the upper 7-meter bench. Simultaneously, in the recently finished benches, grass is grown
(Estrella Africana). When the area is finished trees are grown, mainly Casuarina
Equisestifolia and Acacia Mangium.

Sediment Control
Presently, there are 14 earth sediment dams, which guarantee that the sediments suspended
in the running waters are retained inside FALCONDO properties and are not going to the
surrounding waters. There are permeable and not permeable dams. In streams with
permanent water running we build permeable dams. But in streams where only the
rainwater runs we build not permeable dams, especially if there is agriculture or cattle
land.

Dust Control
Five water trucks (2 in Loma Ortega) are used to water the access roads.

Comparison With Other Operations

FALCONDOs operation is characterized as a low-cost nickel producer, even though fuel costs
are 70 % of total production cost in operating the pyrometallurgical process. Table III
compares other nickel laterite pyrometallurgical operations in the world:
Table III: Current Pyrometallurgical Laterite Operations
Costs in US$/lb of Ni
Company
3

Operation

Country

Reserves
(Mt)

Ni%

%Ni
recov./pay.

Mining

Cash
C1

Oper.
C2

Tcash
C3

Margin

Soroawko

Indonesia

97.0

1.69

141.1

0.27

1.40

2.00

2.17

0.86

BHP Billiton

Cerro Matoso

Colombia

46.9

1.93

110.8

0.11

1.35

1.67

1.95

0.81

PT Aneka Tambang

Pomalaa

Indonesia

21.2

2.42

23.0

0.25

1.75

1.90

1.99

0.80

Codemin

Niquelandia

Brazil

5.4

1.37

14.4

0.22

1.58

1.82

2.10

0.50

FALCONDO

Bonao

Dominican Rep.

60.7

1.14

60.7

0.24

2.32

2.48

2.51

0.33

Anglo American PLC

Loma de Nquel

Venezuela

41.4

4.48

43.0

1.63

2.12

2.45

0.24

SLN

Doniambo

New Caledonia

54.0

2.70

125.7

0.12
1
0.39

2.21

2.38

2.53

0.11

Larco

Larymna

Greece

48.0

1.05

43.0

0.43

2.30

2.85

3.02

-0.17

PT Inco

(1) Includes other costs

(2) Year 2001 database
(3) Co is also produced as subproduct
Source: Brook Hunt Associated-2003
From the table the key features of FALCONDOs economical operations for the 2001 recording
period by Brook Hunt are:

Excepting Larcos operations, FALCONDO is the third lowest margin producer

After PT Inco, FALCONDO has the second largest published ore reserves and the second
lowest %Ni content
Of those operations, FALCONDO achieved the fourth lowest Ni recovery
Conclusions

FALCONDO is a relatively high-cost operation. And the reasons for that are:

Pyrometallurgical Plant. It consumes a lot of energy, making the process very expensive.
Ore Reserves. After 32 years of operation the nickel content and tonnages have decreased.
Location/Logistics. Because it is located on an island, high levels of supplies and
inventories are kept and many varied ancillary facilities had to be built to guarantee some
services; for examples, a power plant, topping unit, oleoduct, water distribution system,
laboratory.
No by-products. Different from hydrometallurgical operations that are producing cobalt as a
by-product, FALCONDO only produces nickel.

The main goal at FALCONDO is to lower the operational costs. To attain this goal, the
company is focused on operating at the highest efficiency. The Mine department has achieved
this higher efficiency through:

Providing more efficient equipment and technology, thus helping to reduce the manpower
requirements.
Optimizing the ore reserves administration.
Adding new reserves.
Improving computer the system and programs.
Quality systems.
Outsourcing repair and maintenance services.
Training.

FALCONDO, despite the high fuel costs (U.S$1.92/pound at November 2003) and low-grade
nickel, is a profitable operation. It is still a very important ferronickel producer supported by
efficient personnel.
References
1.

Corrigan, James; Lithgow, Enrique; Uceda, Digenes. Falconbridge Dominicana

environmental experience in Dominican Republic. March, 2004.

2.

Brook Hunt Associated-2003. Brook Hunt Cost Study 2002.

3.

Deveaux, Edwin. Operacin Minera en Loma Ortega, La Vega. Minera 98 : III

Seminario sobre el sector minero. 1998.

4.

Deveaux, Edwin; Fras, Jos R.; Longo, Francisco. Dominican laterite production :
Mining to metal. Laterite Workshop. March, 1995.

5.

Lithgow, E.W. Geology, mining and metallurgy of the Dominican Republic

nickeliferous laterite ores.

6.

Longo, Francisco. Caractersticas metalogenticas de las lateritas niquelferas de la

Repblica Dominicana. Primer congreso de geologa y ciencias afines de la Hispaniola.

7.

Moore, Chester. Geology and operations of Falconbridge Dominicana C. por A.,

Dominican Republic. February 2001.

8.

SME of AIME. International Laterite Symposium, NY. 1979.

9.

9TH Caribbean Geological Conference. 1980