Jamaica's bauxite reserves: cause for concern

Published: Sunday | August 2, 2009



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A bauxite mining pit in Jamaica.

Anthony R.D. Porter, Contributor

In February 2009, Jamaica hosted the Metal's Bulletin 'Bauxite and Alumina Seminar' at Rose Hall in St James. It was reported that "Jamaica was chosen to host the seminar for a reason. The country is one of the world's main producers of bauxite and alumina, and has an ideal location between two markets - consumers in North America and Europe and suppliers in South America and Africa. Jamaica's reserves, estimated at 2 bln tonnes, are only inferior to those of Guinea, Australia and Vietnam." - Source: RUSAL Newsletter #1 (81) March 13, 2009.

News of the event, including what various speakers had to say about the industry, spread rapidly to individuals and organisations stationed around the globe, thanks to cellphones and electronic mail. One of the emails I received was from someone based overseas, with whom I had worked on a couple of projects and who keeps tabs on the bauxite reserves and resources of all countries around the world.

He wanted me to explain why it was still being reported that Jamaica had reserves of two billions tonnes, when in 2004 the chairman of the Jamaica Bauxite Institute (JBI), Dr Carlton Davis, had gone public and stated that the existing reserves of bauxite ore were about 700 million tonnes and this was equivalent to "only 50 years of bauxite life." (The Sunday Gleaner, May 23, 2004, page A1).

To add to the confusion, in early October 2007, the newly elected Member of Parliament for Central Manchester, Peter Bunting, at a Manchester Chamber of Commerce forum in Mandeville, was reported to have said that the reserves are now set to last another 20 to 30 years (The Sunday Observer, October 7, 2007, Section 1, page 7).

Earlier that year, the JBI reported that some 15 million tonnes of bauxite had been produced in 2006 (The Financial Gleaner, Friday, January 5, 2007, pages 1 & 2). Assuming this production rate can be maintained over 20 years then at least 300 million tonnes of accessible and processable bauxite ore will be required to satisfy a 20-year life. Similarly, for a 30-year life, some 450 million tonnes of bauxite ore will be required. Hence the question: what is the true reserves estimate?

RESERVES VS RESOURCES

In the context of this question, the terms 'accessible' and 'processable' are extremely important, as not everything we affectionately call 'red dirt' in Jamaica is bauxite. To qualify as bauxite ore, the red earth must contain sufficient aluminium oxide (Al2O3) and in such a form that it can be economically extracted by the Bayer Process. To carry out this evaluation, deposits have to be methodically drilled on a specified grid pattern, and the resulting samples analysed and ultimately process tested in the laboratory.

Additionally, if the lands on which bauxite deposits reside are privately owned, each mining company has to ascertain if the land can be economically purchased or leased - either now or at some time in the near future - for purposes of extracting the ore. If the ore is accessible and deemed to be of acceptable grade with good processing characteristics using existing technology, it is considered (using the international classification) as a 'measured' (i.e., proven) reserve. If a deposit does not immediately fulfil all these requirements, it is classified as a resource, and depending on the drilling grid and other parameters is said to be 'indicated' (i.e., probable) or, 'inferred' (i.e., possible).

As an example, consider the town of Mandeville in the parish of Manchester. It is built on good quality bauxite, reportedly in the order of 60-65 million tonnes, but the chances of the buildings and other infrastructure being demo-lished to make way for mining is clearly neither a practical nor economic option. Consequently, this ore is best classified as an encumbered resource.

Elsewhere, construction of housing on bauxite deposits has resulted in sterilisation of the ore and, in this regard, it is indeed unfortunate for the industry that the previous government didn't allocate a small percentage of the bauxite levy funds to acquire and protect bauxite-bearing lands, located outside of existing mining leases (known as SMLs) from being sterilised. So, faced with the widely diverging estimates referred to above, and the uncertainty of what constitutes a reserve versus a resource, speculators and potential investors are left to either ponder or seek answers. Hence the email question from former colleague overseas. In reply to his email I suggested he direct his inquiry to the JBI.

Added to the foregoing is the matter of the Cockpit Country. Under the previous People's National Party-led government, a committee was set up to study and report on what constitutes the physiographic boundary of the so-called Cockpit Country. It is our understanding that the committee, which consisted of three or four members of staff from University of the West Indies, submitted its report many months ago. Why then is the present administration taking so long to disclose the findings of this report?

ACCEPTABLE GRADE

In any event, it should be pointed out that the very core of the Cockpit Country is composed largely of dolomite and dolomitic limestone; and, readers may be interested to know that in the early 1970s a small team of geologists (including me) visited sections of the Cockpit Country in search of a carbonaceous material called lignite, not bauxite. Dolomitic rock, referred to in the Jamaican geological literature as the Troy Formation (Fm) is not a host rock for commercial grade bauxite. Instead, it is on the karstified surface of the limestone formations surrounding the Troy Fm that one finds bauxite of acceptable grade. But, how much is there remains to be accurately quantified, and this, in a nutshell, is the main reason that the previous government granted (but later withdrew under pressure from various interest groups) a licence to Jamalco to explore (not mine) the area.

Given the current economic recession, coupled with the closure of three of the island's alumina refineries - one each in the parishes of St Catherine, St Elizabeth and Manchester - it is my humble opinion that if ever there was a time when consensus was needed on the matter of the island's bauxite reserves and resources, that time is now.

Let's be realistic, it is absolutely essential for those in authority to use this opportunity to ascertain all the facts with respect to the tonnage and grade of the island's 'red gold'.

It is well known in industry circles that much of the best grade has already been mined and, second, that some of the remaining ore is going to present major challenges and difficulties to treat economically. Underlying reasons for this are due to one or more of the following: geographic distance and\or topography; low alumina content; the nature of the alumina-bearing mineral; high levels of some substances, such as phosphorus, silica, or the iron mineral goethite. And what may be acceptable as feed for one plant may be bad news for another.

As a consequence, a new approach is needed for allocating reserves in a more rationalistic manner which will allow for better blending, and so on. Related to this is the suggestion by other persons that some refineries be dedicated to the production of metal grade alumina, and others to hydrate (alumina trihydrate).

As noted at the beginning of this article, we live in an age of cellphones, conferences, electronic mail, and online access to the World Wide Web (www sites), and these avenues keep us abreast of developments and events as they are happening. So let us be ready with realistic options and facts, not speculation, to meet the opportunities that will arise once again, when the clouds of economic uncertainty begin to dissipate. But, someone in authority needs to step up to the plate and lead the recovery charge.

Anthony R.D. Porter is a retired exploration geologist formerly with Alcan, and author of the geo-historical book "Bricks and Stones from the Past: Jamaica's Geological Heritage" (UWI Press).