Search Documents

It has long been recognised that applications of the Net Present Value (NPV) investment decision making methodology can have serious deficiencies in situations where investment can be delayed and, once made, various options allow increases or decreases in the level of output. NPV valuation can undervalue the project if it does not incorporate future flexibilities or ""options"". It is important to realise that a proper valuation of a project (ie, valuation of its future cash flows) must incorporate an analysis of optimal future decisions involved in managing the project. Current valuation cannot be divorced from a consideration of future decision making. There is now a considerable amount of literature, mainly academic, identifying and exploring ways of remedying these deficiencies in the application of NPV. While the necessity of period by period analysis is sometimes acknowledged, little if any practical illustrative model building has been published to date, aside from algorithms using continuous time stochastic processes which deny access to the uninitiated.

Jan 1, 1994

In the consideration of coal resources in this country one of the most neglected aspects and perhaps one of the most important is that of the geologic controls on coal formation. The composition, properties, thickness and distribution of the coal are all determined by geological factors. The extent and amounts of coal to be found in the South Auckland area have great economic significance, and are in the main considered here. Upheaval of the New Zealand geosyncline during the Rangitata Orogeny produced a system of parallel, north-south trending basement ridges and basins in the South Auckland area. A subtropical climate and relative tectonic stability allowed deep weathering of these mesozoic greywackes in the late Cretaceous and early Tertiary. Such weathering, markedly reduced the landscape relief, and provided vast supplied of very fine detritus for later sedimentation as the Waikato Coal Measures. This coal measure phase marked the beginnings of Tertiary  sedimentation in this region and represented a change from a sub-aerial weathering regime to a fresh water swamp environment.

Jan 1, 1976

Aberfoyle sought to reduce Hellyer project development risk to a greater degree than usual. Consequently the ore reserves estimate and feasibility study were particularly comprehensive. A detailed ore reserve study was completed based on extensive drill core and underground sampling, large scale pilot plant work and a detailed feasibility study. Leading external consultants were used for advice on commercial matters which impact on ore reserves and to audit major technical conclusions, including the results from pilot plant work and the ore reserve estimate. Other project risks were diminished by negotiating a State agreement covering security of title, royalty formula and environmental management procedures, by obtaining sales contracts, and by analysing Hellyer's position on an industry cost curve. The task of financing the project was much simplified by the extent and quality of information available from the ore reserves estimate and feasibility study report.

Jan 1, 1990

Equilibrium in the reaction H2(g) + [%0] (in liquid copper) = H2O (g) was investigated at temperatures between 1200 -and 1350°C with p(H2Oj/p(H2) ratios between 1 to 15. A semi-microbalance was used for direct measurement of dissolved oxygen in molten copper. Oxygen was found to obey Henry's law under the experimental conditions used. The standard free-energy change for the above reaction is given by Equation 1where 1 weight per cent solution is the standard state for dissolved oxygen.For the dissolution of oxygen in copper according to 1/2 O2(g) = [%0] (liq. Cu), the standard free energychange is given byEquation 2.

Jan 1, 1973

Capital expenditure on sampling and blending is often very difficult to justify. The costs are easy to estimate but the benefits likely to be obtained by constructing good sampling and blending facilities are generally difficult to estimate. For instance, improving blending of the ore feed to a smelter would improve throughput, yield and controllability ... but by how much? Similarly, better sampling would allow processing conditions to be dynamically adjusted and would improve extraction ... but by how much? Predicting benefits often requires the use of simulation models which carefully distinguish between true grades, predicted grades and observed grades. The parameters of these simulation models must often be estimated from rather inadequate information. These difficulties are illustrated using three scenarios.

Jan 1, 2005

By Floyd JM

Conventional smelting reactor systems were designed to recover only one main element from their feedstocks. They did not possess sufficient flexibility to allow optimisation of co-production of multiple values from a complex feed.New reactors such as Sirosmelt and Top Blown Rotary Converters are providing new possibilities for making separation between components and this is of great significance for the complex feeds which are becoming prevalent in the metal extraction industry.Process routes using chemical procedures which take advantage of the flexibility of these reactors will be discussed in relation to a number of possible feedstocks.

Jan 1, 1985

Applications of chlorine metallurgy to the extraction of metals often result in the production of volatile metallic chlorides, most of which condense directly to a solid phase at 1 atm pressure. A stirred-bed condenser suitable for the recovery of these materials is described.The unit, developed from the concept of a fluid bed condenser, has the advantages of versatility of operation and ability to control fog and dust formation. Test work using aluminium chloride vapour (as an example of a volatile chloride) gave recoveries approaching 100 per cent. The yield was dependent upon halide content of the vapour, flowrate, and, to a lesser extent, upon coolant temperature. Analysis of the heat transfer dataindicated condensation side coefficients in the range 10 to 30 B.T.U./hr sq. ft. 0p.

Jan 1, 1971

By Huajun W, Long LZ

The composition of fly ash and formation mechanism of cennospheres are introduced in this paper. The signification of using this potential new mineral processing resource is emphasised. The beneficiation properties of the components of fly ash, such as susceptibility, specific gravity, size, shape and flotability etc have been examined in detail. A technique was designed to process fly ash from the XiGaoJing power plant in Beijing, and a flowsheet is also presented. Flotabld cennospheres, magnetic beads, sinkable beads, carbon and advanced pozzolamics can be obtained as separate products through this flowsheet. It is emphasised that the beneficiation of fly ash is an efficient means of totally utilising the resource. Examination of the products show that they have good physico-chemical properties. Possible areas of their application are also Suggested.

Jan 1, 1993

This paper examines the methods and people required for the evaluation of project or corporate acquisitions. Experience over the past five years has shown that some growth can be achieved by carefully evaluated acquisition of gold projects within regions where the acquiring company has gold processing facilities. Many Western Australian companies have participated in this process and the trend seems likely to continue with a diminishing number of larger producing companies controlling through joint venture or direct purchase of widely spaced ore deposits. In some cases the acquisition may include ore processing facilities, however an increasing number of smaller project acquisitions, involving small open pit gold deposits, which are within trucking distance of the acquiring company's mill. Whilst gold prices remain at the current depressed level we can expect to see this trend continue.

Jan 1, 1989

The low grade Mount Charlotte orebody was first mined with minimum capital expenditure by mechanised cut and fill stoping. The lower block was prepared simultaneously for open stoping by shaft sinking and installing another crusher and services. Similar development for the third block was discouraged by economic factors and reduced tonnage. Decline develop- ment required less capital and opened up ore reserves commensurate with advance, providing flexibility to stop operations without commit- ment: A 1 in 7 decline measuring 4.25m x 5.5m to accommodate standard Euclid 25 tonne dump trucks was developed south of the orebody. A fleet of four trucks average 12 loads each per shift over a haul distance of 700m.

Jan 1, 1973

By Tyler MA

If the record of maj or proj ects in Australia is taken into account, it is apparent, the proper planning of an industrial relations strategy for many such projects has been ill considered by project developers. The recognition of the need to develop a plan from the initial feasibility study has been forced on those promoting new projects by the publicity given to the Australian industrial relations record. The delays in delivery caused by factors supposedly out of the project's control are often given for non-performance of contract and used as an excuse for limiting further development. Many of the problems experienced in project development can be overcome with sound industrial relations planning. The promises given in the euphoria of the early stages of a project relating to price and delivery often become a burden for the future because the complexities of the Australian Industrial Relations Systems are not understood or considered. The recognition by senior executives of their responsibilities in this area will contribute greatly to a new era of project development.

Jan 1, 1983

By Staude W, Rosser A

Due primarily to the publication of the Fitzgerald Report the impact of taxation on the mining industry and the amount of taxes actual- ly paid by the industry have become items of intense debate. However, the discussion has been governed more by impassioned rhetoric than considered logic. It is equally as wasteful to the economy for the mining industry as a low cost efficient export earner to be punitively taxed, as it is for the industry to be given excessive taxation assistance. A comparison of the effect of five tax- ation policies on the cash flow of a capital intensive mining project is presented. The policies considered are Liberal 1969, Liberal 1976 with and without the coal levy, Labor 1975 and Labor 1976. The mining project used in the analysis is modelled on published estimates for the proposed Nebo coal project. The analysis is equally applicable to any large mining or petroleum development.

Jan 1, 1977

Exploration of a coal deposit provides the data on which a range of mine plans can be developed during project feasibility. The stages of exploration use methods and procedures which initially outline the deposit with more detailed data gathering and analysis of the specific site complexities. The in situ coal resource and reserves are calculated. The mine plan is a function of the mining method chosen and can have significant impact on the recoverable reserves. Other factors which can impact on the recovery of the reserves and the ability to maintain planned production levels are those which were either undetected during exploration or were misinterpreted. Exploration programs should be detailed enough to minimise to an acceptable standard the recognised and potential risks. Past programs which explored to achieve a minimum exploration density required to satisfy measured reserve status have generally proven to be inadequate, placing reserves and production at risk.

Jan 1, 1997

By S Vianna

Mineralogical information obtained from plant surveys is subject to errors, both due to sampling and experiment. To reduce these errors, and to ensure that information is consistent, a data reconciliation model has been developed for mineralogical data. Its capability includes mass balancing size data, total assays, assays within size-classes and liberation data. Unlike any other mass balance package, this package also allows reconciliation of the complex mineralogical information. For example, particles cannot simply be treated as binary, but consist of combinations of many minerals. Hence the distribution of mineralogical information is multidimensional and the mineralogical distributions are referred to as multiphase. In this paper, the different levels of mass balancing are explained, including how to mass balance liberation data. Furthermore a new technique based on probability theory can be used to infer distributions even when there is insufficient information to perform a mass balance, and this technique is also explained. Results for various stages are given.

Jan 1, 2002

By D von Horn

Mineral sand orebodies are typically mined for their TiO2 content. Increasingly over the past 30 years, the major mineral focus has shifted from natural rutile to ilmenite and an acceptance that the latter generally needs some form of upgrading for economic conversion into TiO2 pigment. This upgrading obviously has a cost, and in conjunction with diminishing mineable feed grades, results in higher cost TiO2 units for chloride route Pigment Plant feedstocks. The net cost of feedstock can be significantly influenced by the recovery and sale of accessory minerals and by-products from the processing chain to the extent that some producers have the potential to achieve a zero net cost. Whilst slagging plants typically reduce net cost from rutile, zircon and pig iron revenues, operations supporting Becher type synthetic rutile operations have been limited to revenues from rutile and zircon only. A range of alumino silicate minerals show industrial potential, as does activated carbon, iron oxide and gypsum, by-products of the synthetic rutile process. Tiwest is a good example of a company maximising revenue from the accessory minerals as well as from by-products of the synthetic rutile process.

Jan 1, 2001

By Morrison RD, Simmons CJ

A bewildering array of process control instrumentation is currently available for mineral processing plants. For sequencing control, special purpose microprocessors or the process control computer can be used. Where continuous control is required, then the choice is between pneumatic controllers, electronic controllers, shared display micro- processor systems and direct digital control. The benefits of each system are discussed and the advantages of using direct digital control in mineral processing plants are outlined. The factors which need to be considered when selecting control systems for new plants are listed. Instrumentation systems designed by Fluor Australia are used as case studies to illustrate the selection process. For established plants, conversion to direct digital can be advantageous, and case studies are given. However, replacement of existing systems requires justification based on a productivity improvement which will allow the control equipment to be paid for within a specific time period. Productivity improve- ments maybe assessed in terms of increased

Jan 1, 1978

The Ladolam gold deposit, located on Lihir Island in PNG, is one of the largest known epithermal gold deposits, with a resource of over 37 million ounces. The deposit is characterised by a telescoped porphyry-epithermal system 2-rich sulphidic hydrothermal fluids capable of transporting significant quantities of gold, and the sudden change from porphyry to pithermal conditions caused by removal of the volcanic edifice. As magmatic ore fluids breached the surface, cool surface waters (seawater and/or meteoric) acted as a diluent. Although no other deposit is known with comparable geological characteristics and size, positive features that may be looked for in exploration for other like-deposits elsewhere include magnetite-rich alkalic volcanic rocks, large carbonate haloes, and presence of phreatomagmatic breccias. New discoveries may be recessive or undercover, due to the quartz-poor nature of the alteration.

Jan 1, 2002

The design, construction and operation of a 500,000 tonne per year Carbon-In-Pulp (C.I.P.) plant at Kambalda embracing the period from 1980 to 1982 has been previously discussed (Sceresini, 1982).Since that time the annual throughput rate has increased to 780,000 tpy.This paper discusses the changes and improve-ment made to allow this increased production to occur with minimal capital expenditure.

Jan 1, 1984

By M.E. Crump

Gallium occurs at above background levels in most samples collected from 11 of the major geothermal areas in the Taupo Volcanic Zone. Concentrations of Ga in the 48 samples ranged from 8 to 144 mg kg-' and varies widely from place to place within each geothermal area. Gallium is contained within the alumino-silicate structure of clay in the mud, having substituted mainly for Al. Suggested deposition mechanisms for Ga also involve co-precipitation with Sb, As, and SiO. colloids. Digestion trials, carried out to determine extraction conditions for possible commercial exploitation, showed that heating the mud to 500 -600¦C for 1 hour followed by acid/alkali treatment gave complete recoveries.

Jan 1, 1995

By Roberts T. J, Thomson I. A

Mill scale, which contains a high proportion of magnetite and wustite, was added to the feed to the Whyalla grate kiln pellet plant during the production of acid pellets for domestic consumption. Its addition resulted in increased production -rates together with reduced consumptions of bentonite, fireclay and fuel. Mill scale was particularly beneficial when treating feed containing difficult to process, earthy, high ignition loss iron ores. Test work in the laboratory and subsequent plant experience showed that the magnetite and wustite oxidised in the drying and preheat sections of the travelling grate. The additional heat reduced gas flows through the grate kiln system, aided the drying of green balls containing earthy ores and increased the preheat strength of the balls. These advantages were offset to some extent by higher power consumptions to grind the harder mill scale and process difficulties caused by the contamination of mill scale with oil and coke.

Jan 1, 1974