Search Documents

By S Love, M Anderson, M Boland

"The high rate of failure of new mine developments to meet feasibility study expectations has been the subject of many fine technical papers. Yet failure rates remain stubbornly high.Similarly, the common occurrence of disastrous acquisitions resulting from failed due diligence on projects is well known. Yet such mistakes continue to be made.The authors argue that project and due diligence failure are caused at least partly by cognitive biases. These biases pervade decision-making throughout project evaluations.A wider understanding of these biases (and their effects) is necessary. Only then can mitigating actions be taken.The opportunity for this wider understanding exists. A number of best-selling books have been published on the topic in recent years. With wider understanding of key concepts and terms, cognitive biases can be recognised and discussed. They can also be challenged and mitigated.The authors believe that these concepts should be entry-level, required knowledge for anyone evaluating, developing, reviewing or financing mining projects.Perhaps the most prevalent biases in project evaluation failure are the ‘over-optimism’ biases. In particular, the planning fallacy and confirmation bias.The anchoring effect is also pervasive. This bias propagates unrealistic assumptions from scoping and prefeasibility studies through to so-called definitive feasibility studies. Unrecognised anchoring biases also undermine the validity of many ‘independent’ due diligence reviews. They are also prevalent in corporate acquisitions.The availability heuristic refers to a mental shortcut that can lead to a number of biases. One of these is the narrative fallacy. The mind constructs coherent narratives and opinions, regardless of the amount and quality of the information that support them. Narrative fallacy commonly occurs in the evaluation of social and political risk. Another is disaster neglect, which is especially common in the failure to assess risks associated with tailings management.This paper outlines the relevance of these biases to mine project evaluations. It also provides examples where the authors have observed their effects.CITATION:Love, S, Boland, M and Anderson, M, 2016. Influence of cognitive biases on project evaluation, in Proceedings Project Evaluation 2016, pp 226–235 (The Australasian Institute of Mining and Metallurgy: Melbourne)."

Mar 8, 2016

Ilmenite production in Western Australia commenced in 1956. There are now five producers, all in the Bunbury-Capel district, and current total production capacity is about 450,000 t.p.a.The deposits occur near the surface and average between 10 and 50 per cent heavy mineral. About 70-85 per cent of the heavy mineral is ilmenite. Other heavy minerals present include leucoxene, zircon, rutile, monazite, and garnet. The ilmenite contains 52-60 per cent Ti02. and is very low in chromium (0·03-0·04 per cent CrS03)Mining is done by sluicing, drag line excavation, or dredging. Primary concentration of the heavy minerals is achieved by spirals, revolving cones, or Reichert cones. After drying and screening, ilmenite is separated from the heavy mineral concentrate by various types of magnetic separator.Separate leucoxene, zircon, rutile, and monazite concentrates are also produced. Each plant uses a different technique and the processes used include chemical attritioning, screen plate electrostatic separation, high tension rolls, air tables, and dry launders.INTRODUCTIONThe treatment of beach sands in the Bunbury/Capel area for the extraction of ilmenite is a very recent development in the mining industry in Western Australia. Nevertheless, since the commencement of production in 1956, ilmenite has become the sixth most important mineral produced (Table 1).The increasing world recognition of Western Australia as a major producer of ilmenite (Table 2) is due primarily to the low chromic bxide content of the mineral (0' 03-0' 04 per cent Cr203), combined with a medium to high titanium dioxide content (54-60 per cent Ti02), supported by large reserves, a stable government, and close access to good shipping facilities. Ilmenite is. produced from these deposits at low cost which enables the industry to compete on world markets despite high rates for sea freights because of the distance from major markets.

Jan 1, 1965

The theme of the conference is "excellence", an epithet of special significance in tertiary education. It appears in the mission statements, goals and plans to achieve them of most, and quite possibly all, tertiary institutions in Australia. In the context of excellence, this paper examines the current statue of professional education in the principal mining industry related discipline of Mining Engineering. It furthermore, identifies and discusses a number of special problems in mining education that the tertiary sector has long endured. Some of these problems are becoming acute, and solutions will have to be found soon in order for the industry to be assured of the supply of well motivated and appropriately qualified young engineers and scientists necessary to achieve and maintain the excellent to which it aspires.

Jan 1, 1989

By D Cliff

"It has been 17 years since the mine disaster at Moura No 2 Mine in Queensland. Recent disasters in the USA and New Zealand prompt the question what has changed since 1994. This paper att emptsto answer this question and identify areas that need improvement."

Jun 1, 2012

By Mills R, Shannon W. T, Finch J

As an extension to investigations into methods of upgrading the Iitania content of ilmenite concentrate from beach sands using 100 g/day, a small pilot plant treating 23 kg/ day of ilmenite was used.In the pilot plant the iron oxide in the ilmenite was reduced to iron at 1200°C using carbon (coal/char) without melting the material, using a tunnel kiln heating cycle, the charges contained in saggars, The iron was then separated from the titania fraction by ball milling, wet magnetic separation, and screening. The resulting magnetic product was high in iron (about 80 per cent Fe) and the non-magnetic product high intitania (about 70 per cent TiO2).From this trial sufficient data were obtained to enable the preparation of a flow sheet for a plant producing 62,300 tonnes/year total products, and an estimate of costs to be made. This has shown that for an estimatedcapital expenditure of nearly $6,000,000 and annual production costs of about $4,000,000, the cost per tonne of high titania product (76 per cent TiO2) would be nearly $70.

Jan 1, 1977

Miners and mineral explorers are concerned at the increasingly hostile environment being generated towards their industry and their profession. There is little official or public recognition that the mining industry is essential for the maintenance of the country's standard of living; a large part of this hostile feeling is caused by the assumption that mining destroys large tracts of our attractive countryside. This paper presents a historic review of the impact on the countryside of the major land using groups commencing with the Polynesian migration. European farming practices, subsequent expansion of the urban dweller and the land management practices of the two Government Departments, Lands and Survey and New Zealand Forest Service who between them control half of the total land area, are discussed. Estimates of total land area to date, directly and indirectly affected by mining have been calculated and a broad estimate of 18 000 ha or 1/1500 of total land area is indicated; current annual mineral production requires some 240 ha. These gross areas take no account of subsequent land rehabilitation, its improvement upon the original in some cases and the recreational, historic and aesthetic areas gained. Comparisons are then drawn with some current land practices in New Zealand.

Jan 1, 1977

This paper reviews rehabilitation, closure, and post-closure management of the Tui, Golden Cross, and Martha Mines, all of which are located in the Waikato Region of New Zealand. There was no requirement for rehabilitation of the Tui mine, which was abandoned in 1973. There was a requirement to rehabilitate the Golden Cross mine. Mining at that site ceased in 1997, and rehabilitation is now well advanced. When first approved, there were some requirements for rehabilitation of the Martha Mine, but when reconsented in 1998, those were extended, and in addition a requirement for post-closure management was included. As a result, a Trust, funded by the mining company, has been established to take long-term responsibility for the site following completion of closure. The different rehabilitation/closure requirements at each of these sites illustrates that we have learnt something from the experiences of the past.

Jan 1, 2003

By S F. Rogers, K Doumis, J H. Graaf, B J. Barsanti

Advances in technology now allow geotechnical practitioners to better describe the properties and variability of a rock mass through advances in surface and underground mapping, borehole technology and geophysical imaging. Yet the way in which practitioners use this data is not being realised to its full potential and the quality and quantity of data that is collected is often superior to the conventional design approaches that are typically adopted. A discrete fracture network (DFN) approach provides the ideal basis for using this data to generate geologically-realistic rock mass models based on parameters derived from field data, which more effectively capture the variability and rock mass behaviour. However, until recently, the DFN approach has mainly been applied to cave mining and small-scale models associated with synthetic rock mass modelling or groundwater flow modelling for the nuclear waste and oil and gas industries.Ground support design for blocky rock masses in Australia is often dealt with in a rather traditional manner, adopting either an observational empirical approach through rock mass classification systems or conventional wedge stability analysis techniques. Using these methods requires several generalised assumptions about the rock mass fabric and excavation geometry. As such, the support system is often designed for a worst-case scenario based on a predetermined risk tolerance that the mine is willing to accept and a design block size that is generally determined by the proposed excavation dimension.A study by Doumis (2014) used conventional wedge stability analysis and the probabilistic key block analysis software JBlock (Esterhuizen, 1996) to estimate potential block sizes and support requirements. A DFN approach has also been adopted at Callie underground mine using FracMan™ software (Golder Associates, 2014). The methodology of the DFN wedge analysis will be compared with the key block analysis work undertaken by Doumis.CITATION:Graaf, J H, Barsanti, B J, Doumis, K and Rogers, S F, 2014. Towards the implementation of discrete fracture network modelling as a geotechnical design tool – case study of callie underground mine, in Proceedings AusRock 2014: Third Australasian Ground Control in Mining Conference , pp 399–408 (The Australasian Institute of Mining and Metallurgy: Melbourne).

Nov 5, 2014

By N Van Buc, E Coroiu

The rapid socio-economic growth of Hanoi City coincides with a corresponding growth of the transport demand. Today, the transport in Hanoi is completely dependent on private modes of transport. Because of the lack of an efficient public transport system and the expected rapid increase in traffic volumes, the movement of people and goods in the urban areas of Hanoi will cause congestion in the present city transport network. The solution of the construction of new roads, or the widening of the existing streets, is very expensive in urban areas and usually causes many social problems due to the resettlement of people. From the point of view of the number of inhabitants, Hanoi City is now over one million. Above this number the international experience shows that the public transportation must be a mass transport system with large capacity, commercial speed and also independent as much as possible from the street network. According to the Hanoi Master Plan for 2020, the Hanoi urban population will be over 3.5 million persons. Also, in the next 15 years, the distances between centre-destination points will be doubled by comparison to 1995.

Jan 1, 1999

A hidden asset in most exploration and mining activities is data. Common practice involves the spending of large amounts of money to discover, define and prove the viability of a mining project. Some organisations have used operations research analysis and internal costing methods to allocate a value to their data and to compare the costs of data maintenance to other more tangible activities like plant and equipment maintenance. Those organisations, which do not undertake such an analysis often, have little knowledge or understanding of the extent and the worth of their data. Often the organisations lack of knowledge and understanding of the data is indicated by their failure to fully exploit or realise their opportunities. The focus of this paper is to discuss new technologies that optimise the management and security of collected and derived data. The technologies discussed are components of the software systems acQuire and MineSight.

Jan 1, 1999

By M Fishwick Tapia

This paper was prepared and translated from the final report of the investigation into the Codelco Chile Salvador DivisionÆs air blast which occurred in the Inca-West area. In this section of the block cave mine, a stable arch formed covering an area of approximately 15 000 m2 . This zone subsequently collapsed producing a massive air blast. The collapse followed a series of planned extraction activities and occurred on 5 December 1999. This paper discusses the cave back arching event and the measures that were taken in order to induce the controlled collapse. This was to minimise risk to personnel, equipment and installations. The results obtained to date are presented.

Jan 1, 2000

Thermodynamic properties of the solutions of hydrogen in metals and carbon in austenite were investigated and it is possible to predict the interstitial solubility in these systems over relatively wide ranges of temperature and solute activity. Monte Carlo methods were used to compute the arrangements of interstitial atoms on the tetrahedral sites in body centred cubic metals and the octahedral sites in face centred cubic metals. It was shown that the non-configurational entropies of solution of hydrogen in metals can be interpreted as being principally vibrational and on this basis the potential value of the isotopic solubility ratio theory in indicating the compositional variation of these non-configurational entropies was discussed. The need for future work along these lines is pointed out.

Jan 1, 1970

By G Hall

BHP BillitonÆs (BHPB) Yandi ore deposit is a channel iron deposit (CID) in the Pilbara district of WA. The ore is predominantly a goethite-hematite pisolite and overlays a clay at the base of the deposit. Knowledge of the location of the contact prior to mining is critical to maximise ore extraction and minimise contamination from and mining of the underlying clays which contain high levels of alumina. The contact between the iron ore and the clay is highly irregular. Traditionally the contact has been delineated by closely spaced drilling û this can be expensive and since each drill hole only provides a point sample measurement, irregularities in the contact surface can be missed. In September 2001, three high resolution geophysical techniques were trialled to see if they could be used to improve the efficiency and accuracy of ore delineation. The three techniques were resistivity imaging, ground penetrating radar and electromagnetic conductivity imaging. The resistivity data showed a favourable correlation with the available ground truth data from drilling. Using this ground truth data as a calibration, an interpretation of the depth to the base of the channel iron deposit (CID) ore was constructed for the areas surveyed. A significant attribute of the method is that the position of the base of the ore is imaged continuously along the lines that are surveyed rather than at discrete points. No continuous well defined ground penetrating radar (GPR) reflections were observed from the base of the CID ore. There did appear to be some correlation between the range of echo times that reflections were observed and the drill data, however the precision to which the range of echo times could be estimated was of the order of several metres and therefore not adequate to replace current procedures. The electromagnetic data showed good correlations with the existence of shallow clays but did not discriminate between variations in CID ore depth. This technique is therefore not suitable for mapping the base of the CID ore but may still be useful as a rapid tool for mapping the position of clay bands.

Jan 1, 2002

By R Stefansen

Stockyard operations are governed by the interaction between the different disciplines required to successfully schedule and control the supply chain of raw material through the stockyard in combination with the effectivity of the operation of the stockyard equipment. The system demonstrates a proven technology for implementing a centralised operation of full unmanned stockyard equipment, using a high precision absolute positioning system based on a Real-Time Kinematic (RTK) Global Navigation Satellite System (GNSS) receivers in combination with 3D rangefinders. The system implementation maps the surface profile of the stockyard inventory and allows in combination with proprietary algorithms for full operation of the stockyard machines without on-board operators. The operational impact of delayering the process by moving to a centralised operation is examined, together with the combined effect on the overall safety in the stockyard as a result of a change in reliance on operator skill dependencies. Average performance gains range from 10–20 per cent. The performance of the automation system is related to a consistency and reliability of uniform operation, which has an impact on the life expectancy and the effectiveness of the equipment. The effects of having instantaneous and correct information about the stockyard inventory volume measurement are investigated in relation towards spot price trading in current fast reacting markets.CITATION:Stefansen, R, 2017. Advanced automation for centralised stockyard operations, in Proceedings Iron Ore 2017, pp 105–110 (The Australasian Institute of Mining and Metallurgy: Melbourne).

Jul 24, 2017

By P Knights

This paper examines the process and specialised skills required to extract insight from data routinely collected by mine operations, maintenance, engineering and environmental departments. Typical insights include: enhanced understanding of root causes; recommendations for next best actions; and simulation of likely scenarios. The skills required for advanced analytics are not currently the domain of mining engineers. The professions required by tomorrow’s mines are likely to be diverse and multi-disciplinary, and will include control engineers, software engineers, mathematicians and statisticians. A case study is presented that correlates mobile equipment production delays with rainfall events across three mines on the east coast of Australia. One mine is shown to have significantly more rain related downtime than the other mines, providing compelling evidence to improve productive performance.

Nov 22, 2011

By M Jones

The past 100 years the mining industry can be characterised by a focus on increasing financial returns often to the detriment of social, human, manufactured and environmental capitals. Despite the sustainable development principles promoted by the International Council on Mining and Metals (ICMM), the Equator Principles and the African Mining Vision, which should have enhanced project promoters’ ‘licence to operate’ within a host community or nation, the industry has often failed to integrate proven innovations and best practices that enhance sustainability outcomes for mineral resource projects. This failure has led to delays, the abandonment of projects, with value destroyed for promoters, governments, host community and investors.The paper will outline the application of proven innovations, Enterprise Optimisation (EO), and Sustainable Operations (SUSOP®), during the pre-feasibility phase of a project. By determining the value of each capital before and after the application of proven innovations, the presentation will outline how and where value can be created across all five capitals over the life of a project or operation.The paper will demonstrate how the application of proven innovations significantly transforms the value-proposition of a mineral resource project or operation by generating additional value across all of the five capitals, reducing project risk, thus generating value for all stakeholders.CITATION:Jones, M, 2015. Fundamentally transforming the economic and sustainability signature of mining assets, in Proceedings Third International Future Mining Conference, pp 169–180 (The Australasian Institute of Mining and Metallurgy: Melbourne).

Nov 4, 2015

By C Johnstone

Project management is not a task to be undertaken lightly. Mining projects generally present even more challenges due to ChinaÆs remoteness and complexity. Having experiences in project management in the West is certainly an asset, but China can present the uninitiated with any number of headaches. To undertake a project there can have many problems that are unique to China. For the last 15 years, China has seen an increasing number of foreign capital investment projects in the mining industry. Practices involved in mining project development have experienced/are experiencing an evolution. Since 1996, Sino Gold Mining Ltd has delivered three mines in China, ie Jianchaling Gold Mine, Jinfeng Gold Mine and White Mountain Gold Mine. Through the work, Sino Gold has established a solid knowledge base and a capable and skilful workforce in effectively undertaking mining projects in China. This paper is concerned with the experiences accumulated so far by Sino Gold in project management in China. An overall review is conducted regarding the reform of the mining project development in China. Opportunities and challenges are highlighted within the political, economic and culture context. Brief summaries of the development of the three gold mines are presented.

Jan 1, 2009

By Gartrell H. W

During investigations of the treatment methods for ore from the Bird-in-Hand gold mine carried out at Kalgoorlie and at these laboratories, it was found that excess alkali caused a lowering of extraction by cyanide, the cause of this being attrIbuted to the presence of a small amount of oxidised lead compounds in the ore. The subject has been discussed by various writers,3 but no satisfactory explanation of existing facts has been put forward. The experiments described in this report have been carried out with the object of obtaining some insight into the chemical reactions underlying the effect of lead salts and alkalis in cyanidation.The formation of cyanide-insoluble coatings on gold during roasting with lead compounds is well known, but the adverse effect of alkalis in cyanidation of ore is *This paper represents work done under a co-operative agreement between the Commonwealth Council for Scientific and Industrial Research and the South Australian School of Mines and Industries.Published by permission of the Mining Advisory Committee, Commonwealth Council for Scientific and Industrial Research.

Jan 1, 1935

By R Beaulieu, D Burlingame, C Hanks

The Ekati Diamond MineÖ is CanadaÆs first diamond mine and is located 300 kilometres northeast of Yellowknife in the Northwest Territories. The development of the mine supports sustainable development through the integration of environmental, economic and social considerations with the broad aim of minimising environmental impacts while maximising opportunities and benefits to northern residents and northern businesses. The environmental assessment and regulatory processes for the Ekati Diamond MineÖ were the most extensive seen in the NWT to that date; in Canada only uranium mines receive more attention. In addition to the regulatory requirements, an Environmental Agreement was negotiated with the Governments of Canada and the Northwest Territories to address environmental concerns not covered by existing legislation and regulation. Under the agreement an Independent Environmental Monitoring Agency was set up to oversee the regulatory process and implementation of the Environmental Agreement. Environmental stewardship is implemented through an Operational Environmental Management Plan, part of which includes effects monitoring programs for wildlife and aquatics where available traditional ecological and scientific knowledge are integrated to broaden our understanding of the tundra environment. A Socio-economic Agreement was concluded with the Government of the Northwest Territories to maximise employment and business benefits to the north. Voluntary and confidential Impact Benefits Agreements (IBAs) were also negotiated with four Aboriginal groups who use the area where the mine is located. The intention of the IBAs is to foster development initiatives and a partnership thereby helping to insure that benefits from the project flowed to the Aboriginal groups despite a lack of settled land claims in the region. All these were completed before commercial production in October 1998. Employment targets of 62 per cent residents of the Northwest Territories and 31 per cent Northern Aboriginal have consistently been met thereby ensuring benefits flow to residents of the Northwest Territories. In 2000, $316 million was spent to support operations at the Ekati Diamond MineÖ. Of this, 82.2 per cent of total spending and 26.6 per cent total northern spending was northern and northern Aboriginal businesses, respectively. The environmental and socio-economic monitoring results are reported annually to the responsible government agencies and potentially affected Aboriginal groups. To date, there have not been any significant adverse environmental effects documented and socio-economic targets have been met.

Jan 1, 2002

By F Pirajno

"An EXTENDED ABSTRACT is available for download. A full-length paper was not prepared for this presentation. China’s mineral deposits are the result of metallogenic processes associated with the geodynamic evolution of tectonic plates and eventual amalgamation into their modern configuration. The principal tectonic provinces of China comprise the North China Craton, Yangtze Craton, Cathaysia Craton, Tarim block, Altay-Tianshan-Hinggan orogens (part of the Central Asian Orogenic Bel), Central China orogens, Songpan-Ganze orogen and Alpine-Himalayan fold belts, which are part of the huge Tethysides. These tectonic elements are testimony to a complex geological history spanning more than 3000 million years. This contribution will focus on selected areas of the Altay-Tianshan, the fold belts surrounding the North China Craton and Yangtze Craton and the mineral systems along the Ailaoshan-Red River fault zone. Mineral deposits in these provinces include gold, copper, molybdenum, tin, antimony, nickel, platinum group elements, lead and zinc.CITATION:Pirajno, F, 2015. Metallogeny and related tectonic settings in China , in Proceedings PACRIM 2015 Congress, pp 17–24 (The Australasian Institute of Mining and Metallurgy: Melbourne)."

Mar 18, 2015