How Mining EVs in Newfoundland Will Help Defrost US Roads

Atlas Salt has announced a significant expansion of its strategic relationship with Sandvik Mining, moving the Great Atlantic salt project in Newfoundland and Labrador toward a major electrification milestone.

The development, building on a September 2024 memorandum of understanding, secures the advanced electric vehicle technology required to significantly increase the volume of salt mined for North American road safety.

The updated agreement targets a steady-state production capacity of 4 million tonnes per year. This represents a substantial shift from the 2.5 million tonnes originally planned, made possible by the integration of high-capacity electric mining systems.

Integrated electric project delivery strategy

The expanded partnership designates Sandvik as an integrated project delivery partner, specifically focusing on the transition to zero-emission underground operations.

In this role, the Swedish engineering firm will align mine design with its battery-electric vehicle (BEV) portfolio to meet safety and productivity goals.

The commercial value of the electric equipment and associated services is now estimated at US$132m, a rise of US$59m. This investment covers the supply of underground mobile electric units and digital automation systems.

The deal also includes vendor-supported financing to help Atlas Salt manage the capital requirements of this large-scale electrification project.

Securing domestic supply with electric efficiency

The Great Atlantic Salt Project is ideally located to penetrate Eastern North America’s road salt market using a modern, sustainable approach.

Higher shipping costs and ageing, diesel-dependent mines have threatened the long-term security of the domestic rock salt supply.

Approximately 25 million tonnes of de-icing salt is used on US roads annually, with a large portion currently imported from overseas. By using a high-efficiency electric fleet, the project could alleviate reliance on imports while providing a lower-carbon supply for eastern Canada and the US.

This transition to electric extraction ensures the asset remains valuable and scalable for future generations.

Swedish engineering and global EV leadership

Sandvik AB is a Swedish multinational engineering giant that provides high-tech solutions for the manufacturing, mining and infrastructure sectors.

Founded in 1862 by Göran Fredrik Göransson, it has grown to 41,000 employees and operates in over 150 countries. The company organises its work into three primary units, including mining and rock solutions, which pioneered battery-electric vehicles and autonomous systems.

It also operates manufacturing and machining solutions alongside rock processing solutions. Its expertise in EV technology is a cornerstone of the Great Atlantic project, bringing state-of-the-art battery solutions to the Canadian mining sector.

Electrification and reducing operational risk

A central component of the updated feasibility study is the deployment of a predominantly electric and battery-electric underground fleet. This strategy is intended to reduce diesel emissions and underground heat load, leading to lower greenhouse gas emissions and improved working conditions for staff.

Sandvik’s technology platform, which includes the AutoMine automation system and digital fleet management tools, will be used to improve long-term cost certainty.

By integrating these battery solutions, the project aims to reduce energy intensity. The equipment list includes high-capacity continuous miners, battery-electric haul trucks, and loaders designed for Newfoundland’s unique conditions.

Strategic partnership and long-term BEV vision

Nolan Peterson, President and CEO of Atlas Salt, said: “The UFS reflects the scale and longevity of the Great Atlantic Salt Project and our relationship with Sandvik has evolved accordingly.

"What began as an equipment supply arrangement has developed into a long-term strategic partnership aligned with construction, ramp-up and decades of expected operations."

Peter Corcoran, Vice President of Sandvik Mining Canada, said: "The UFS confirms a long-term vision that aligns well with our portfolio of electrified equipment."