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SMC EEO REPORTS

 
   
 
 
SUN METALS CORPORATION
EEO PUBLIC REPORT 2011
 
 
Part 1 - Corporation Details
Controlling Corporation
 Sun Metals Corporation Pty Ltd From  1 July 2006 To    30 June 2011
 
Table 1.1 - Major Changes to Corporate Group Structure or Operations
 Table 1.1 - Major Changes to Corporate Group Structure or Operations

 In September 2010 Sun Metals Zinc Refinery modified the zinc leaching process. This involved significant changes in the Leaching &  Purification area, and changes to the distribution and consumption of steam in the first two stages of the refining process. These  modifications were made to improve cost efficiency.

 
Table 1.2 - Aggregate energy assessed covered in this report
 Total energy use covered by all assessments in this report 4,716,555 GJ 
 Total energy assessed as percentage of total energy use of the corporate group 100 % 
 
Declaration
 Declaration of accuracy and compliance

 The information included in this report has been reviewed and noted by the  board of directors and is to the best of my knowledge, correct and in  accordance with the Energy Efficiency Opportunities Act 2006 and Energy  Efficiency Opportunities Regulations 2006.

 Young Min Park, CEO

 Date                       29 Dec. 2011
 
 
Part 2 - Assessment Outcomes
Table 2.1 - Assessment Details
 It is compulsory to complete a separate table for each group member, business unit, or key activity that has been assessed
 Name of group member or business unit or key activity  Sun Metals Corporation
 
 Total energy use in the last financial year  4,716,555 GJ
 Energy use assessed in this entity as a percentage of total entity energy use  100 %
 Energy use assessed in this entity as a percentage of total corporate energy use  100 %
 Accuracy of above estimates related to energy use assessed  ¡¾5 %
 
 Period over which assessment was undertaken From  01/05/2008 To    30/11/2008
 Description of the way in which the entity carried out its assessment

 Since conducting detailed assessments in 2008 as part of the ¡®Energy Efficiency Opportunities¡¯ program, the process of evaluation of  opportunities, as identified and prioritised, has continued. Energy Efficiency Projects have been implemented where the business case  demonstrated a clear and sustainable benefit to the business.

 The identification, assessment and of implementation of energy efficiency projects involved staff from all levels within the organisation and  external consultants.

 Energy assessment and improvement has become part of Sun Metals¡¯ operation, being included in our HSEQ policy, operational plans  and area budgets. Sun Metals has made available all process area superintendants, process coordinators, and team leaders with  assistance from the Technical Services department to conduct EEO surveys and projects. External consultants have also been brought  in to assist with surveys and projects.

 Sun Metals has experienced a challenging recent few years due to the global financial crisis. As a result the company undertook a  program of cost reductions, meaning that both capital investment and operating expenditure has been limited to that necessary to sustain  the operation. Operating in an energy efficient manner and seeking to implement energy efficiency projects is viewed as smart business  at Sun Metals, especially during a period of economic uncertainty.

 
Table 2.2 - Energy efficiency opportunities identified in the assessment
 Table 2.2A - New Opportunities assessed to an accuracy of better than (≤) ¡¾30%
 ≤ ¡¾30%  Number of opportunities    Estimated energy savings per annum by   payback period (GJ) Total estimated energy savings   per annum (GJ)
   Status of opportunities identified  0 - < 2 years  2 - ≤ 4 years  > 4 years
No of Opps GJ No of Opps GJ No of Opps GJ
 Business  Response  Further Investigation  Required  8  3  909  4  87,494  1  394  88,797
 To be Implemented  2  0  0  1  204,156  1  34  204,190
 Implemented  12  10  94,443  1  1,521  1  1,070  97,034
 Not to be Implemented  7  0  0  0  0  7  3,116  3,116
 Outcomes of  assessment  Total Identified  29  13  95,352  6  293,171  10  4,614  393,137
 
 Table 2.2B - New Opportunities assessed to an accuracy of worse than (>) ¡¾30%
 > ¡¾30%  Number of opportunities    Estimated energy savings per annum by   payback period (GJ) Total estimated energy savings   per annum (GJ)
   Status of opportunities identified  0 - < 2 years  2 - ≤ 4 years  > 4 years
No of Opps GJ No of Opps GJ No of Opps GJ
 Business  Response  Further Investigation  Required  39  7  16,482  1  3,600  1  22  20,104
 To be Implemented  4  4  1,699  0  0  0  0  1,699
 Implemented  8  5  5,011  0  0  2  87  5,098
 Not to be Implemented  3  0  0  0  0  1  101  101
 Outcomes of  assessment  Total Identified 54 16 23,192 1 3,600 4 210 27,002
 
Table 2.3 - Details of significant opportunities identified in the assessment
 Corporate Groups are required to provide at least 3 examples of significant opportunities for improving the energy efficiency of the group  that have been identified in assessments.
 Description of Opportunity  Voluntary Information

 Excess Steam Utilized for Electricity Generation

 In the process of ¡®roasting¡¯ zinc concentrates, steam is generated as a by-product  from waste heat boilers that cool the off gas stream, and cooling coils that run through  the bed of the roasters and help to maintain the roaster temperature. This steam is  'clean energy' generated with virtually no greenhouse gas emission.

 The steam generated has been used for heating in other areas of the process.  However due to some process changes at the end of 2010, there is now a significant  amount of excess steam that can be utilized for electricity generation using a steam  turbine. The electricity generated will account for about 7% of Sun Metals  Corporations total electricity consumption.

 This project has been approved for implementation. Construction commenced in  November 2011 and is expected to be complete for commissioning and operation from  September 2012.

 Business Response  To be implemented
 Energy saved (GJ)  204,000
 Greenhouse gas abated  (CO2-e)  55,800 tonnes
 $s saved  $ 2.8 million per year
 Payback period  3.4 years
 
 Description of Opportunity  Voluntary Information

 Improved Electrolyte Solution Quality

 Zinc concentrates contain small amounts of magnesium, typically 0.3%. As there is  insufficient natural bleed in the electrolytic process, accumulation occurs in process  liquors. Increased levels of magnesium in electrolyte result in unfavorable energy  consumption in the electrolysis process

 2 projects have been implemented in 2011 to remove magnesium from the zinc circuit.

 One of these projects involves treatment of a portion of the in-process solution. By  treating the solution magnesium can be separated from zinc by precipitation. Once  this separation is complete the zinc is then returned to the process circuit. There are  additional benefits with this project, including other solutions that can be treated in the  same manner to increase zinc recovery.

 Business Response  Implemented
 Energy saved (GJ)  35,424
 Greenhouse gas abated  (CO2-e)  10,037 tonnes
 $s saved  $ 2.6 million per year
 Payback period  0.2 years
 
 Description of Opportunity  Voluntary Information

 Improved Temperature Control of Zinc Casting Moulds

 LPG burners are used in the Casting Plant to preheat moulds prior to casting zinc  ingots. It is important to maintain the moulds at a high temperature to avoid thermal  shock and ensure safe and controlled conditions for casting of the final zinc ingot  product. However if the burners are not set correctly it can result in unfavourable LPG  consumption.

 A temperature sensor has been installed to monitor the mould temperature. Currently  the burner adjustment is manual. It is proposed to automate the burner adjustment by  interlocking it with the temperature sensor.

 This project is currently under investigation.

 Business Response

 Under Investigation

 
 
DETAIL OF ENERGY ASSESSMENTS CONDUCTED BY AREA
 
Part 3 - Energy Efficiency Opportunities that have been identified and evaluated
Part 3A - Update of assessments in previous Public Report
 
ROASTING & SULPHURIC ACID PLANT
 
Table 3.1 - Assessment Details
 Name of group member or business unit or key activity  Roasting & Sulphuric Acid Plant
 
 Total energy use in the last financial year  1,272,672 GJ
 Energy use assessed in this entity as a percentage of total entity energy use  27.0 %
 Energy use assessed in this entity as a percentage of total corporate energy use  100 %
 
 Period over which assessment was undertaken From  01/05/2008 To    30/11/2008
 Description of the way in which the entity carried out its assessment

 EEO assessments were conducted site-wide at Sun Metals Zinc refinery in 2008.

 The Roasting & Sulphuric Acid Plant is the first process area of the Sun Metals Zinc Refinery. Detailed energy efficiency assessments  were conducted in 2008 in line with assessments being conducted in other process areas of the refinery. (as outlined in table 2.1)

 Roasting & sulphuric acid plant process area superintendant, process coordinator, and team leaders have been involved with reviewing  energy use, identifying energy efficiency opportunities and assisting the Technical Services department in conducting EEO surveys and  projects. External consultants have also been brought in to assist with surveys and projects.

 The Roasting & Sulphuric Acid Plant will continue to evaluate and implement energy efficiency opportunities that are beneficial to the  business.

 
 Table 3.1A - Opportunities assessed to an accuracy of better than (<) ¡¾30%
 ≤ ¡¾30%  Number of opportunities    Estimated energy savings per annum by   payback period (GJ) Total estimated energy savings   per annum (GJ)
   Status of opportunities identified  0 - < 2 years  2 - ≤ 4 years  > 4 years
No of Opps GJ No of Opps GJ No of Opps GJ
 Business  Response  Further Investigation  Required  3  1  68  1  11,983  1  394  12,445
 To be Implemented  1  0  0  1  204,156  0  0  204,156
 Implemented  2  2  12,740  0  0  0  0  12,740
 Not to be Implemented  4  0  0  0  0  4  2,403  2,403
 Outcomes of  assessment  Total Identified  10  3  12,808  2  216,139  5  2,797  231,744
 
 Table 3.1B - Opportunities assessed to an accuracy of worse than (>) ¡¾30%
 > ¡¾30%  Number of opportunities    Estimated energy savings per annum by   payback period (GJ) Total estimated energy savings   per annum (GJ)
   Status of opportunities identified  0 - < 2 years  2 - ≤ 4 years  > 4 years
No of Opps GJ No of Opps GJ No of Opps GJ
 Business  Response  Further Investigation  Required  10  3  8,119  0  0  1  22  8,141
 To be Implemented  0  0  0  0  0  0  0  0
 Implemented  3  2  1,384  0  0  1  74  1,458
 Not to be Implemented  1  0  0  0  0  0  0  0
 Outcomes of  assessment  Total Identified 14 5 9,503 0 0 2 96 9,599
 
 
LEACHING AND PURIFICATION PLANT
 
Table 3.2 - Assessment Details
 Name of group member or business unit or key activity  Leaching & Purification Plant
 
 Total energy use in the last financial year  579,337 GJ
 Energy use assessed in this entity as a percentage of total entity energy use  12.3 %
 Energy use assessed in this entity as a percentage of total corporate energy use  100 %
 
 Period over which assessment was undertaken From  01/05/2008 To    30/11/2008
 Description of the way in which the entity carried out its assessment

 EEO assessments were conducted site-wide at Sun Metals Zinc refinery in 2008.

 The Leaching & Purification Plant is the second process area of the Sun Metals Zinc Refinery. Detailed energy efficiency assessments  were conducted in 2008 in line with assessments being conducted in other process areas of the refinery. (as outlined in table 2.1)

 Leaching & Purification plant process area superintendant, process coordinator, and team leaders have been involved with reviewing  energy use, identifying energy efficiency opportunities and assisting the Technical Services department in conducting EEO surveys and  projects. External consultants have also been brought in to assist with surveys and projects.

 The Leaching & Purification Plant will continue to evaluate and implement energy efficiency opportunities that are beneficial to the  business.

 
 Table 3.2A - Opportunities assessed to an accuracy of better than (<) ¡¾30%
 ≤ ¡¾30%  Number of opportunities    Estimated energy savings per annum by   payback period (GJ) Total estimated energy savings   per annum (GJ)
   Status of opportunities identified  0 - < 2 years  2 - ≤ 4 years  > 4 years
No of Opps GJ No of Opps GJ No of Opps GJ
 Business  Response  Further Investigation  Required  2  0  0  2  3,475  0  0  3,475
 To be Implemented  1  0  0  0  0  1  34  34
 Implemented  2  2  1,958  0  0  0  0  1,958
 Not to be Implemented  2  0  0  0  0  2  0  0
 Outcomes of  assessment  Total Identified  7  2  1,958  2  3,475  3  34  5,467
 
 Table 3.2B - Opportunities assessed to an accuracy of worse than (>) ¡¾30%
 > ¡¾30%  Number of opportunities    Estimated energy savings per annum by   payback period (GJ) Total estimated energy savings   per annum (GJ)
   Status of opportunities identified  0 - < 2 years  2 - ≤ 4 years  > 4 years
No of Opps GJ No of Opps GJ No of Opps GJ
 Business  Response  Further Investigation  Required  10  1  241  0  0  0  0  241
 To be Implemented  0  0  0  0  0  0  0  0
 Implemented  3  2  3,563  0  0  1  13  3,576
 Not to be Implemented  0  0  0  0  0  0  0  0
 Outcomes of  assessment  Total Identified 13 3 3,804 0 0 1 13 3,817
 
 
ELECTROLYSIS PLANT
 
Table 3.3 - Assessment Details
 Name of group member or business unit or key activity  Electrolysis Plant
 
 Total energy use in the last financial year  2,664,731 GJ
 Energy use assessed in this entity as a percentage of total entity energy use  56.5 %
 Energy use assessed in this entity as a percentage of total corporate energy use  100 %
 
 Period over which assessment was undertaken From  01/05/2008 To    30/11/2008
 Description of the way in which the entity carried out its assessment

 EEO assessments were conducted site-wide at Sun Metals Zinc refinery in 2008.

 The Electrolysis Plant is the third process area of the Sun Metals Zinc Refinery. Detailed energy efficiency assessments were conducted  in 2008 in line with assessments being conducted in other process areas of the refinery. (as outlined in table 2.1)

 Electrolysis plant process area superintendant, process coordinator, and team leaders have been involved with reviewing energy use,  identifying energy efficiency opportunities and assisting the Technical Services department in conducting EEO surveys and projects.  External consultants have also been brought in to assist with surveys and projects.

 The Electrolysis Plant will continue to evaluate and implement energy efficiency opportunities that are beneficial to the business.

 
 Table 3.3A - Opportunities assessed to an accuracy of better than (<) ¡¾30%
 ≤ ¡¾30%  Number of  opportunities1    Estimated energy savings per annum by   payback period (GJ) Total estimated energy savings   per annum (GJ)2
   Status of opportunities identified  0 - < 2 years  2 - ≤ 4 years  > 4 years
No of Opps GJ No of Opps GJ No of Opps GJ
 Business  Response  Further Investigation  Required  1  0  0  1  72,036  0  0  72,036
 To be Implemented  0  0  0  0  0  0  0  0
 Implemented  2  2  77,465  1  0  0  0  77,465
 Not to be Implemented  0  0  0  0  0  0  0  0
 Outcomes of  assessment  Total Identified  3  2  77,465  1  72,036  0  0  149,501
 
 Table 3.3B - Opportunities assessed to an accuracy of worse than (>) ¡¾30%
 > ¡¾30%  Number of  opportunities1    Estimated energy savings per annum by   payback period (GJ) Total estimated energy savings   per annum (GJ)2
   Status of opportunities identified  0 - < 2 years  2 - ≤ 4 years  > 4 years
No of Opps GJ No of Opps GJ No of Opps GJ
 Business  Response  Further Investigation  Required  7  1  3,780  1  3,600  0  0  7,380
 To be Implemented  0  0  0  0  0  0  0  0
 Implemented  0  0  0  0  0  0  0  0
 Not to be Implemented  0  0  0  0  0  0  0  0
 Outcomes of  assessment  Total Identified 7 1 3,780 1 3,600 0 0 7,380
 
 
CASTING PLANT
 
Table 3.4 - Assessment Details
 Name of group member or business unit or key activity  Casting Plant
 
 Total energy use in the last financial year  184,710 GJ
 Energy use assessed in this entity as a percentage of total entity energy use  3.9 %
 Energy use assessed in this entity as a percentage of total corporate energy use  100 %
 
 Period over which assessment was undertaken From  01/05/2008 To    30/11/2008
 Description of the way in which the entity carried out its assessment

 EEO assessments were conducted site-wide at Sun Metals Zinc refinery in 2008.

 The Casting Plant is the fouth process area of the Sun Metals Zinc Refinery. Detailed energy efficiency assessments were conducted in  2008 in line with assessments being conducted in other process areas of the refinery. (as outlined in table 2.1)

 Casting plant process area superintendant, process coordinator, and team leaders have been involved with reviewing energy use,  identifying energy efficiency opportunities and assisting the Technical Services department in conducting EEO surveys and projects.  External consultants have also been brought in to assist with surveys and projects.

 The Casting Plant will continue to evaluate and implement energy efficiency opportunities that are beneficial to the business.

 
 Table 3.4A - Opportunities assessed to an accuracy of better than (<) ¡¾30%
 ≤ ¡¾30%  Number of  opportunities1    Estimated energy savings per annum by   payback period (GJ) Total estimated energy savings   per annum (GJ)2
   Status of opportunities identified  0 - < 2 years  2 - ≤ 4 years  > 4 years
No of Opps GJ No of Opps GJ No of Opps GJ
 Business  Response  Further Investigation  Required  2  2  841  0  0  0  0  841
 To be Implemented  0  0  0  0  0  0  0  0
 Implemented  3  3  2,215  0  0  0  0  2,215
 Not to be Implemented  1  0  0  0  0  1  713  713
 Outcomes of  assessment  Total Identified  6  5  3,056  0  0  1  713  3,769
 
 Table 3.4B - Opportunities assessed to an accuracy of worse than (>) ¡¾30%
 > ¡¾30%  Number of  opportunities1    Estimated energy savings per annum by   payback period (GJ) Total estimated energy savings   per annum (GJ)2
   Status of opportunities identified  0 - < 2 years  2 - ≤ 4 years  > 4 years
No of Opps GJ No of Opps GJ No of Opps GJ
 Business  Response  Further Investigation  Required  10  2  4,342  0  0  0  0  4,342
 To be Implemented  3  3  763  0  0  0  0  763
 Implemented  2  1  64  0  0  0  0  64
 Not to be Implemented  0  0  0  0  0  0  0  0
 Outcomes of  assessment  Total Identified 15 6 5,169 0 0 0 0 5,169
 
 
OTHER SERVICES
 
Table 3.5 - Assessment Details
 Name of group member or business unit or key activity  Other Services
 
 Total energy use in the last financial year  15,105 GJ
 Energy use assessed in this entity as a percentage of total entity energy use  0.3 %
 Energy use assessed in this entity as a percentage of total corporate energy use  100 %
 
 Period over which assessment was undertaken From  01/05/2008 To    30/11/2008
 Description of the way in which the entity carried out its assessment

 EEO assessments were conducted site-wide at Sun Metals Zinc refinery in 2008.

 Other Services at Sun Metals Zinc Refinery, includes process support areas such as Administration and Maintenance. Detailed energy  efficiency assessments were conducted in 2008 in line with assessments being conducted in the process areas of the refinery. (as  outlined in table 2.1)

 The site electrical engineer, and several mechanical and electrical maintenance personnel have been involved with reviewing energy use,  identifying energy efficiency opportunities and assisting the Technical Services department in conducting EEO surveys and projects.  External consultants have also been brought in to assist with surveys and projects.

 There will be a continued focus to evaluate and implement energy efficiency opportunities that are beneficial to the business in 2012.

 
 Table 3.5 - Opportunities assessed to an accuracy of better than (<) ¡¾30%
 ≤ ¡¾30%  Number of  opportunities1    Estimated energy savings per annum by   payback period (GJ) Total estimated energy savings   per annum (GJ)
   Status of opportunities identified  0 - < 2 years  2 - ≤ 4 years  > 4 years
No of Opps GJ No of Opps GJ No of Opps GJ
 Business  Response  Further Investigation  Required  0  0  0  0  0  0  0  0
 To be Implemented  0  0  0  0  0  0  0  0
 Implemented  3  1  65  1  1,521  1  1,070  2,656
 Not to be Implemented  0  0  0  0  0  0  0  0
 Outcomes of  assessment  Total Identified  3  1  65  1  1,521  1  1,070  2,656
 
 Table 3.5B - Opportunities assessed to an accuracy of worse than (>) ¡¾30%
 > ¡¾30%  Number of  opportunities1    Estimated energy savings per annum by   payback period (GJ) Total estimated energy savings   per annum (GJ)2
   Status of opportunities identified  0 - < 2 years  2 - ≤ 4 years  > 4 years
No of Opps GJ No of Opps GJ No of Opps GJ
 Business  Response  Further Investigation  Required  2  0  0  0  0  0  0  0
 To be Implemented  1  1  936  0  0  0  0  936
 Implemented  0  0  0  0  0  0  0  0
 Not to be Implemented  2  0  0  0  0  1  101  101
 Outcomes of  assessment  Total Identified 5 1 936 0 0 1 101 1,037