scully mine restart matt lehtinen, president & coo · industrial supplies (pipe, valves,...
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WWW.TACORARESOURCES.COM
Scully Mine RestartNovember 27, 2018
Matt Lehtinen, President & COO
Bob Gagne, VP & General Manager
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The Scully Mine
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The Scully Mine
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The Scully Mine
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Tacora – Town Hall Meeting
Staffing4
Sustainability1
Schedule3
Procurement Priorities5
Business Opportunities6
Pre-Qualification Process7
Our Team Vision2
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BEFORE IMPLICATIONS
Mn Constraints, Deep Pit
Reduced Strip Ratio, Ore Closer
to Surface
AFTER
MILLLimited Mn
Control
Magnetic Separation for
Mn Control
~2% Mn Pellet <2% Mn Concentrate
MINE Lower mining costs
Higher weight recovery
Larger accessible reserves
Proven technology
Modest capital
Better product control
Taps strong concentrate markets instead of oversupplied North American pellet market
Eliminates pelletizer bottleneckPRODUCT
Sustainability1
New 5-year CBA with union aligning incentives, reduced job classifications, and
contracting-out where appropriate
Union Contract
Supplier ContractsCosts reduced, limited “take or pay”
Negotiated rail contract and new multi-user port access with capability to load Cape-size
vessels
Logistics Contracts
Sales & MarketingNegotiated 100% offtake contract through 2033
with Cargill, one of the largest traders of iron ore in the world; more potential end users of
material
OPERATING APPROACH COMMERCIAL APPROACH
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Sustainability1
1. We earn the respect of the regions in which we operate.2. We meet and exceed our customer’s expectations. 3. We are good neighbors. 4. We are focused on the personal safety of our employees. 5. We teach awareness & safety instruction every day.6. Our business is sustainable by producing a high quality product and
maintaining a low cost structure.
Tacora’s Core Values:1. Safety2. Teamwork3. Winning
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To Be the Best Mine in the Labrador Trough1. The Safest Mine2. The Lowest Cost Mine3. Producing The Highest Quality Product
We mandate a flat, team-based organization that empowers our team members to take initiative as problem solvers and make decisions.
We believe in Winning which requires hard work, dedication, creativity, efficient execution and a One Team mindset all while maintaining safety as our top priority.
Our Team Vision2
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The Old Way:
“Not my Job” Many job classes “Us versus Them” “The only way I can make
more money is to work more overtime”
Corporate only visits to criticize
“I tell my manager but nothing ever gets done”
Our Team Vision2
The Tacora Way:
Core business only Few job classes based on skill The better job we do, the
more money we make Sr. Management and
corporate are miners We win and celebrate together High Performance Work
Systems
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Construction
2018 2019Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun Jul Aug Sep
Ramp up
Financing
Q2 2019 to 2021
Schedule3
Mn reduction installation - Started Concentrator upgrades - Started Construction of additional load-out bin -
Started Improve material handling equipment at
Pointe Noire Concentrator commissioning Resume Mining
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Actively recruiting for the following: Controller/Human Resource Manager/Chief Mine
Engineer/Health, Safety & Environmental Manager ~ 280 team members at Scully Mine, most are expected to come
from the Labrador West region. Although there is no recall, we encourage past Scully employees to apply.
Agreement with USW Competitive compensation. Hiring the best applicants based on skill, experience and fit. Incentive based pay system. Defined contribution retirement plan – 5% of base wages. Typical supplemental healthcare for current employees.
Staffing – Opportunities for Lab West – Work where you live!4
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Using KBRS to accept applications for the Scully Mine Website - https://www.meridiarecruitment.ca/Tacora Email - [email protected] Phone – (709)-722-4462
Phase 1 assessment – an evaluation to identify which individuals are most likely to become valued team members.
Phase 2 assessment – have met the criteria for success through phase 1 and will undergo evaluation which helps identify key motivators and behaviors. An understanding of the impact of personality on job performance – right fit for the right role.
Background verification and reference checks – including drug testing & fit for work testing.
TACORA requires a drug and alcohol free workplace, all of our roles are safety sensitive positions.
Staffing – Hiring Process 4
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Operators – Our core business is operations! Entry level non-trade Employees including HTDs.
Trained and certified on multiple equipment within the
mine and mill including entry level shovel Operators
and boiler Operators.
Trained and certified on all equipment in mine and
incremental multi-disciplined mill Employees.
Certified Millwrights and/or Diesel Mechanics.
Mechanical 1 plus certification in at least one additional
certification. Ex. Millwright plus certified Welder.
Certified Electricians.
Electrical plus certification in at least one additional
certification. Ex. Electrician plus Welder.
Staffing – Team based approach – That is my job!4
Hig
her P
ay
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Administrative assistants Engineers/Technologists – Process, Mechanical, Electrical,
Mining Supervisors – Maintenance and Operations Process Control Technician Mine Dispatchers Planners HSE Advisors/Technicians HR Warehouse Coordinator IT Purchasing Lab Technicians
Staffing – One Team – How can I help?4
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Procurement Priorities
Develop long term relationships which maximize value to both Tacora
and our suppliers
Cost minimization
A fair, transparent and highly competitive sourcing process
Adhere to a disciplined process to pre-qualify vendors
Price is only one metric of value
Capital allocation and payment terms
Commitments in various strategic agreements:
Industrial Benefits Agreement (NL government)
Impact and Benefit Agreement(s) (various Indigenous groups)
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Business Opportunities
Tacora often seeks pre-qualified vendors in the following business areas. This listing is not all-inclusive, but represents the majority of business opportunities within our company.
Vehicle maintenance and repair (cars, small trucks)
Construction Consulting Cranes Electrical equipment and service Environmental Equipment rental Explosives – Blasting Freight – logistics Fuel – Oil – Lubricants Geotechnical Heavy Equipment Industrial Supplies (pipe, valves,
fittings, steel, welding materials, etc.)
Information Technology
Janitorial Laboratory services Landscaping Mechanical maintenance Medical Safety Metal Fabrication Mobile equipment parts and
service Office Supplies & equipment Rail services Roofing Safety Supplies Scaffolding Surveying Training Translators Waste Management
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Pre-Qualification Process
There are several criteria that must be described in the appropriate level of detail. The company should prepare an informational package that addresses the following topics:
Safety, health and environmental procedures and records Previous experience in performing projects of a similar nature, including
quality of work and adherence to schedule and budget Continuity of supply Timely performance Ability to provide the required works, goods or services, including the
ability to provide any required follow-up works, goods or services Qualifications, experience and capabilities of personnel Management structure, including self-identification within applicable
“designated groups” Operational integration of any business partners Financial capacity Insurance and bonding Quality management systems
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Pre-Qualification Process (continued)
Submit the information package to :
Tacora Resources Inc.1 Wabush Mines RoadPO Box 3000Wabush, NL A0R1B0Attn: Purchasing Department
Once a potential vendor’s information package has been reviewed and determined to be acceptable to Tacora, the New Supplier Form is completed. Contact information Banking information Tax filing status “Designated Group” self
identification
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Appendix
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The Port at Pointe-Noire