A decade ago in a surprising turn of events, mining giant Rio Tinto became the biggest hay farmer in Western Australia’s north, a title it’s held consistently since.
The miner’s need to dewater its Marandoo and Nammuldi iron ore pits in the Pilbara sparked a solution that appealed to the local pastoral industry — 20 years of irrigated hay production on a large scale.
Now, 10 years from the project’s anticipated finish date, the Nammuldi mine’s 900 hectares of farmed land sits empty while statewide demand for hay is higher than ever.
Short supply from top to bottom
At Deepdale, east of Geraldton, hay, cereal and sheep farmer Ben Royce sold out of hay months ago.
“The demand is out of control this season compared to what it has been. But it’s just not there. The hay just isn’t there this year,” Mr Royce said.
He has been taking daily phone calls from people looking for stock feed, as farmland from the west Kimberley and the Pilbara down to the Great Southern has experienced some of WA’s lowest six-month rainfall totals since records began.
With producers across the state looking far and wide for hay, Rio Tinto’s sudden drop in production has come as a blow to the livestock industry.
In a statement, the mining company confirmed it suspended the Nammuldi Agricultural Project earlier this year “in an effort to reduce water consumption”.
While the nearest Bureau of Meteorology rain gauge to the mine, located at Paraburdoo, shows the region has received less than half its average six-month rainfall, independent mining analyst Peter Strachan said rain had little to do with the water the mine used to grow hay.
“Nammuldi, like a number of mines in the Pilbara, have dug down to a level where they hit the water table, but if they’ve still got high-grade ore to dig any deeper, they have to dewater to get all their equipment down to the bottom [of the pit],” he said.
“Then the issue is what do they do with the water [they are removing].”
Utilising the dewatering surplus
Environmental approvals in WA would not allow Rio Tinto to pump the dewatered surplus into a creek bed, as is done in other mining operations, so the company created the Hamersley and Nammuldi agricultural projects to use the water for irrigation.
Mr Strachan believes Rio’s halt in the use of the water may stem from a different reason.
“Maybe they’ve changed their mining plan in the short term; they might have discovered some high-grade material, which is shallower [and above the water table] which obviates the cost of dewatering.”
While Rio Tinto did not answer the ABC’s further questions on the nature of the water supply, the company acknowledged the impact the suspension of the Nammuldi Agricultural Project had on the region.
“Production of hay from the nearby Hamersley Agricultural Project is being increased to help offset the loss of production of the Nammuldi project as we endeavour to supply as many local farmers as possible,” it said.
The Hamersley project operates 16 centre pivots over 850 hectares, slightly less than that of Nammuldi.
Kimberley hay production also dips
For a decade Robert Boschammer has grown hay in one of the largest operations in the Kimberley, covering 600 hectares in the Ord Valley.
While his business has been experiencing high demand, it has been a tough season.
“We lost about 90 per cent of our crop over the wet season,” Mr Boschammer said.
“Added to that, we leased some of the farming land and they’re wanting that land later this year to plant cotton into.”
He expects their production to be down 60 per cent in years to come as a result.
“It’s been a struggle but there’s strong demand. We had a shed full at the beginning of the season and now it’s almost all gone.”
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