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By G Nicholas, S Coward, J Vann, R Wolff, S Jackson, S Moayer, A Bye

"A new approach to mineral project evaluation is described called Scenario-Based Project Evaluation (SBPE). SBPE incorporates well established æscenario planningÆ and æscenario thinkingÆ approaches, which are used extensively in other industries,?most notably the?petroleum industry. While most scenario planning is qualitative and non-probabilistic, the approach described here includes both quantitative and qualitative aspects. SBPE is complementary to optimisation approaches and allows mining firms to build and operate projects that are more robust in the face of adverse changes as well as proactively respond and exploit the upside offered by a realistic assessment of variability. The approach has potential to improve project performance and decrease operational risk. It also has important applications for currently operating mines.Conventional evaluation of metalliferous mineral deposits uses estimates of metal grades and deleterious attributes in singular æorebody modelsÆ, usually 3D block models, which fail to capture two critical aspects that underpin the realised value of mining projects: the inherent uncertainty of the estimated attributes the spatial variability of attributes, at the scale of mining selection, which impact on downstream processing steps and fundamentally drive realised value. While singular models are appropriate for estimating block averages, conditional simulation (CS) models of the relevant attributes are needed to represent uncertainty and capture spatial variability. Any attributes that can be either built into CS models and/or modelled in the envisaged mining/processing steps, can be evaluated fully through to highly ægranularÆ (ie detailed and un-smoothed) cash flows. A complete view of SBPE relies on selected strategies being tested against plausible æscenariosÆ of factors external to the project and thus outside management control. æExternalitiesÆ captured in such scenarios include market prices, costs and taxes. Via SBPE, project managers may demonstrate that there is material value in preserving or purchasing options that provide future flexibility to respond to the changing externalities or changes in orebody performance. Such flexibility generally comes at a cost but is very difficult to value. It is argued that full value chain evaluation using SBPE can help to value these options for a mining company. A case study for a gold mine is presented.CITATION:Vann, J, Jackson, S, Bye, A, Coward, S, Moayer, S, Nicholas, G and Wolff, R, 2012. Scenario thinking - A powerful tool for strategic planning and evaluation of mining projects and operations, in Proceedings Project Evaluation 2012, pp 5-14 (The Australasian Institute of Mining and Metallurgy: Melbourne)."

May 24, 2012

By C A Heinrich, Morse M. P, Cruickshank B. I, Pyke J. G, Whitaker A

Very little public domain information is available on the exploration signature of the Coronation Hill Au+Pd+Pt deposit. From 1987 to 1990 the BMR (now AGSO) carried out geological, geophysical and geochemical (whole-rock, stream, soil and rock chip) surveys within the South Alligator and Kakadu Conservation Zones and defined several key parameters useful for exploration programs. The essential geological ingredients for the style of Coronation Hill Au+Pd+Pt¦U deposit are oxidised, low pH fluids, dilatant fault structures, a thick neutral to oxidised cover sequence and chemical traps in the basement. In geophysical data, the areas surrounding the mineralisation can be detected by airborne magnetics as major lows in magnetite-rich rocks, whereas in airborne gamma-ray spectrometry data, imaged spectrometric channel ratios such as U2/I'h and U2/K highlighted alteration surrounding the deposits. Three types of stream-sediment and soil samples were taken from each site: (1) -1 mm mesh, 5 kg sample for bulk cyanide leach (BCL) analysis for Au, Pd, and Pt; (2) 1 kg sample of -1 mm mesh sediment for fire assay/ICPMS analysis for Au, Pt and Pd; and (3) 50 g - 180¦ mesh sample for a variety of trace element analyses, including Au, Pd and Pt. Techniques 2 and 3 gave similar results for Au, Pt and Pd, while the recovery rates for Pd and Pt from the BCL samples were considerably lower. Other trace elements did not define unique indicators for Pt or Pd mineralisation, as each sample reflected the dominant lithology in the drainage basin. Rock chip surveys were useful in determining which faults were associated with the ore fluid in regions of multiple fracturing. Results from these exploration-style surveys also confirmed that the Coronation Hill deposit is a variant of the unconformity-style of mineralisation, as all significant geochemical and/or geophysical results occur at or below the unconformity.

Jan 1, 1994

By R Ashworth, S J. Hall

During trials which began in May 2005, traditional steel dump bodies for transporting iron ore on 220-tonne haul trucks at a Labrador iron ore mine were compared to a novel rubber suspended dump body. Loads were measured and compared over some 93 700 loads, representing more than 20 Mt transported. Maintenance costs and downtime were also measured over the course of the trial, which lasted nearly one year. This paper outlines the parameters and results of the trials. Parameters measured included payload and production improvements, carry-back reduction, downtime due to body maintenance, and wear on the floor of the suspended dump body. These parameters were then compared to those for conventional steel dump bodies in use at the mine, and conclusions were drawn. The resulting comparisons were significantly positive in favour of the new suspended dump bodies, confirming that each truck could haul an additional 41 000 tonnes per year, that downtime hours could be considerably reduced, and that body availability and service life can be extended through use of the suspended dump body. There was also a high level of operator acceptance of the suspended dump bodies due to less loading shock and a smoother ride.

Jan 1, 2007

By P Bartsch

Uranium solvent extraction, USX has been applied commercially for recovery and concentration for over 50 years. Uranium in acidic liquor, which is prepared following ore leaching, solid/liquid separation and clarification, can be treated through a sequence of operations; extraction-scrubbing-stripping, to obtain purified liquor. USX has dominated the primary uranium industry as the preferred technological route to converter grade yellowcake. The practices of design and operation of USX facilities has found renewed interest as new mines are developed following decades of industry dormancy. This article seeks to outline principles of design and operation from the practitioner’s perspective. The discussion also reviews historical developments of USX applications and highlights recent innovations. This review is hoped to provide guidance for technical personnel who wish to learn more about good practices that leads to reliable USX performance.

Aug 8, 2011

By T Tan, C P. Holmes, C E. Hartford

Transportation of iron ore from the mine to the plant is critical to business success. Ore from the mine may have to be transported across states, countries and even continents to get to the processing plant or export facilities, and ultimately to the client. Numerous transportation steps may result in potential logistical difficulties. Companies are continually seeking ways to increase production rates, decrease delivery times and reduce operating costs. Transportation cost is a major component of the total cost of mining iron ore and therefore requires effective use of transport systems.Bottlenecks in iron ore transport systems, due to material handling issues, can result in loss in profit in the order of millions of dollars per hour. Bottlenecks can be seen anywhere in the transport system where the desired flow rate cannot be achieved. These bottlenecks occur for various reasons such as increasing throughput in a transport system originally designed for a lower throughput resulting in plugged transfer chutes, changing material characteristics (eg finer material, increased moisture content), changing to a new type of material or blend that again alters handleability, or changes in operational philosophy due to equipment availability or process utilisation.Stockpiles may have limited live capacity such that an adequate amount of ore may not be readily reclaimed when required (eg to fill a complete train’s railcars). In bins and hoppers, material may discharge through a central flow channel resulting in the formation of a stable rathole, which can then collapse causing material to flood the downstream system and cause significant downtime for clean-up (eg railcars beneath train load outs). In transfer chutes, bottlenecks can be caused by pluggages or downtime required for the change-out of liners due to excessive wear. In ship loading, long settling or de-aeration time, or material exceeding its transportable moisture limit (TML) may result in further bottlenecks. These bottlenecks all have associated costs because of the need to address their causes and because of the lost opportunities for throughput.This paper will discuss how bulk material technology and proper understanding of material flow characteristics can be applied to mitigate bottlenecks. It will discuss how to predict potential bottleneck locations through a scientific method of analysis and evaluation to determine if an increase in throughput of an existing transport system is possible, as well as whether or not a new material will flow reliably through an existing system.CITATION:Hartford, C E, Holmes, C P and Tan, T, 2015. De-bottlenecking iron ore transportation from mine to plant, in Proceedings Iron Ore 2015, pp 393–398 (The Australasian Institute of Mining and Metallurgy: Melbourne).

Jul 13, 2015

"Cash flow modelling during project evaluation is enhanced when probabilistic methods are applied to the inputs. One of the important inputs is the quarterly production profile. Typically, the steady-state production profile provided to project evaluation practitioners is deterministic, with each quarter the same as every other quarter. This is unrealistic as actual production profiles from existing mines exhibit a range or quarter-on-quarter variance. Monte Carlo stochastic simulation of the production profile can be used to provide a range of possible outcomes, but how are these ranges selected? This paper describes the use of quarterly production variance from a large database of mines worldwide as a benchmark to inform the appropriate selection of ranges. The coefficient of variation is used to rank the production from mines, with quartile analysis applied to indicate industry best, median and worst variation. Due diligence of existing mines and evaluation of future production performance can be quantitatively assessed using this approach. Examples of the effect on value are provided.CITATION:Stewart, C A, 2016. Production variance benchmarks and their use in project evaluation and due diligence, in Proceedings Project Evaluation 2016, pp 201–213 (The Australasian Institute of Mining and Metallurgy: Melbourne)."

Mar 8, 2016

By S D. Dessureault

The largest surface coal mine in North America requires complex materials handling infrastructure to fulfil the highly variable quality specifications of its contracts. These diverse demands, reflected in the arrival of numerous customer trains every day, necessitate the integration of information in every stage of production. To meet this goal, quality measurement, train line-up and mine planning processes are being integrated into local and remote control rooms. The effectiveness of such a system can only be measured by comparing decisions that are made with, and without, each of the individual integrated control systems. Traditionally, mine controllers use their experience, intuition or a variety of trial-and-error spreadsheets to determine the ideal materials handling flows needed to achieve the correct quality. These balanced decisions are complex since many factors must be considered such as the mine plan, fleet costs, quality variability and others; consequently mine controllers usually have widely varying success between crews.An evaluation model was developed to assess the impact of a decision support system (DSS) integrated in a control room for controlling the coal blending process. To this end, an ARENA-based simulator representing the whole production process can be used to pull performance and current materials handling settings directly either from the real-time systems in the mine, or from historical data. In this way, the same shift (breakdowns, cycle rates, etc) can be simulated and performance compared. Different settings of the DSS, in terms of what information is displayed and the methods for doing so, can be tested for effectiveness. The historical data are extracted directly from a corporate data warehouse, without altering the everyday working databases. At the same time, the simulator writes its results back into the same data warehouse structure, allowing the same KPI reports to be used to measure simulated shifts.

Sep 26, 2011

By M Wagner, H Assimi, F Neumann, C Garcia, B Koch

Run-of-Mine (ROM) stockpiles are the inventory of valuable materials extracted from the mine. Depending on the customer requests, a selective addition of ore from stockyards should be selected at the required tonnage. In the stockyard, stackers and reclaimers are the machines which load and unload ore, respectively. Currently, humans determine the reclaiming/stacking planning sequence in the stockyard by rules of thumb. However, this is a complex task subject to multiple operational constraints, such as where undesirable mineral properties should not exceed certain limits in a request. Human planning can lead to limited decision support and lower ability to consider the upcoming blends and requests. This kind of decision making can cause perturbations in the assumed profit and unexpected loss in practice. Therefore, an intelligent decision-maker and sequence planner would be highly valuable to automate stacking and reclaiming operations in practice. The benefits are reducing variability in decision-making and operation costs. This paper considers a stockyard with available mineral information in the stockpiles using load and dump locations from GPS data feeds. We present an optimisation problem to find a solution which results in reclaiming more ore in a shorter time. To solve the problem, we develop an automatic search strategy based on the greedy search algorithm independent of the type of machine used in reclaiming. The proposed method plans a sequence for stockyard recovery blend optimisation to meet multiple customer demands in a timeframe. Blend optimisation is subject to various constraints such as the elemental composition of the valuable materials and penalty elements. We present three case studies using EKA’s simulator, to fulfil two to four requests from four stockpiles. We compare the obtained results with a pilgrim step reclaiming heuristic and we show how our proposed search strategy outperforms the current strategy used in practice.

Nov 10, 2020

By J S. Kuszmaul, T O. Aspinall

The applicability of environmental geotechnics for erosion management is increasing in importance worldwide. The environmental impact of mining and evolving environmental legislation has been receiving increased attention worldwide in the last two decades (Bradfield, Shultz and Stone, 1996). The potential impacts associated with unstable spoil dumps from mine operations is the focus of concern both by the mining industry, environmental legislative agencies and members of the public. This is because of the need to increase the reliability of erosion prediction and in the minimisation of costs for spoil dump design. Engineered slopes of mine spoils may be stable at the end of construction, but they can deteriorate over time. Engineering design of mine spoil dumps seeks to reduce the potential for such erosion damage through correct selection of an initial stable landform scheme (Goh, 1997). The design of mine spoil dumps must also conform to the specifications of evolving legislation. The Queensland Environmental Management Overview Strategy (EMOS) states that, for minimised degradation of the surface area due to erosion during the development of a project, the erosion rates should be between 12 - 40 tonnes/hectare/year and that the depths of rills and gullies be limited to less than 30 cm (QDPI, 1988). The aim of engineering design is to ensure the long-term stability of the spoil dumps. The implementation of effective planning and operating procedures through recontouring and grading assists in the reshaping of spoil dumps to a safe, stable and non-erodible environment.

Jan 1, 1998

By G Showers, R Triglavcanin

The complexity of understanding the whole thickening process to achieve real performance improvements cannot be underestimated. The last significant change in feedwell design was more than 15 years ago with the introduction of self-dilution systems û firstly with OutotecÆs Autodil, followed by FLSmidthÆs E-Duc. Now, following many years of extensive in-house research, including close collaboration with AMIRA and the CSIRO, Outotec has launched the next generation Vane Feedwell. The Vane Feedwell has been globally patented and installed at various sites. This paper briefly outlines the feedwellÆs development using CFD modelling and its subsequent performance in a æreal lifeÆ site installation. Plant results of the first commercial Vane Feedwell, in a mineral sands application, are discussed. The Vane Feedwell was retrofitted so comparative data of pre- and post-installation is shown.

Jan 1, 2009

This paper addresses the role of mine geology in mining geotechnics. The role is assessed and discussed in terms of five main elements; geotechnical complexity, geological complexity, mine scale, percentage sampling and geological uncertainty. Lastly, the overall objectives and mine geology requirements are listed in terms of the various mine development stages; exploration, feasibility-design and operating.

Jan 1, 1993

By Meyer C. F

The increasing use of continuous miners in the extraction of high coal seams has amplified the need for enhanced ventilation systems in the headings. Owing to larger face dimensions and higher production rates, more ventilating air is required to effectively dilute liberated methane to acceptable concentrations. However, the increased air quantities raise and entrain greater amounts of dust, to which the operator is subjected. Various methods (eg sprayfans, on-board scrubbers and jet fans) are used in various configurations and combinations to ventilate the headings. These arrangements generally result in a complex air flow pattern, which complicates achieving an optimum balance between diluting methane and minimising dust capture. In order to cost effectively investigate and propose solutions to this problem for the South African coal mining industry, the Division of Mining Technology has embarked on an extensive work program to evaluate various ventilation methods presently in use. Four currently generic ventilation patterns in various heading scenarios have been simulated using the Computational Fluid Dynamics (CFD) computer program. Evaluating these outputs against a predetermined set of criteria allows the best system for a particular situation to be chosen. The program also facilitates fine-tuning of an adopted system without incurring the cost and inconvenience of doing such tests in situ. This process not only provides solutions at significantly reduced costs, but also yields deeper insights into the factors affecting heading ventilation than hitherto possible.

Jan 1, 1995

Five types of mineral resource were known in the sedimentary cover of the oceans and seas floors prior to the 1980's :1) hydrocarbon fields including some very large zones of oil and gas accumulation; 2) "Red Sea" type thermal oozes with increased concentrations of noble metals; 3) ferromanganese nodules; 4) concentrations of metallic sulphides ("Black Smokers"); and 5) cobalt-bearing ferromanganese crusts on the summits and slopes of seamounts. Since then, the so called "White Smokers", containing sulphides of copper and zinc, have been discovered. The ore horizons (manganese, copper, nickel and other metals) of the sedimentary cover of deep-sea basins comprise a sixth type of mineral resource in the oceans. These horizons have not only a theoretical, but also a principal economic significance

Jan 1, 1995

It is a very great privilege for me to be able to address you tonight and I am deeply sensible of the honour which has been done me. I am equally sensible of the inadequacy of my training for the position of President of your Institute.May I say at once what a very great pleasure it is to have so many members from the mainland States visiting us here in Tasmania. We do hope that you will find pleasure and profit in your stay.Since the Annual Conference is always held in the vicinity of one or other of the great mining fields, it has become the practice for the Presidential address to review the history of the particular field and t(j) indicate its place in the economic structure of the country.I propose to follow this practice and to try and present to you a short picture of thÇ mineral industry as it has existed in Tasmania. None of the information is new it is available in diverse and remote geological reports and in publications such as Witham's Western Tasmania and the more recent Peaks of Lyell. The last composite approach was written twenty years ago by P. B. Nye and published as a Geological Survey Bulletin.I have enjoyed preparing this address because on occasion I find it refreshing to look back and see what was known and what was accomplished in the days when the going was a little tougher than it is now, and to speculate upon the reasons that drove men to do what they did. I shall therefore discuss the search for minerals in this State; the discoveries over the years; the elation with which the new fields are greeted; the disappointments attending some of them; the mines that have come and gone; and the...

Jan 1, 1958

By J Manuel, R Muddle

The demand for iron ore has increased significantly in recent years, with new iron ore sources being mined to meet this demand. As the composition of sinter blends changes with the availability and cost of iron ore, so too does interest in the impact of new ore types on granulation and ultimately productivity. This paper describes a study into granulating characteristics of seven iron ore types, including various hematite and goethite ores. The effect of ore type on feed moisture requirements, green bed permeability, green bed strength and granule size distribution was examined for single ore blends containing coke, flux and returns. The ore size distribution was varied in these blends and its effect on granulating characteristics examined. It was found that the optimum moisture requirement of the ore was more dependent on ore type than ore size distribution, but ore size distribution (and specifically intermediate particle loading) had a greater effect on green bed permeability. The saturation moisture value for an ore was found useful in predicting both optimum granulation moisture and green bed permeability.

Jan 1, 2005

For the past five years the University of Queenslandhas, through its various workshops, been preaching to Australia that there was a potentially hazardous situation from earthquakes for urban Australia. A few people outside The University accepted this, but largely the warnings fell on deaf ears.The 1989 Newcastle earthquake changed that per-ception. The most important lessons to emerge from Newcastle were (i)the realization that in continental areas small earthquakes cause widespread damage:(ii)the local geology of an area is of great importance in the damage done by an earthquake.These two factors clearly indicate that, in the future, we must take far greater account of the "Urban Geology" of an area. This paper discusses the need for urban geology and its impact on seismic risk and compares that with the traditional methods of assessing seismic risk.

Jan 1, 1990

Longwall mining has historically been considered an application for only deep reserves. This has changed in the recent past as longwall has become competitive with surface mining. Many resources marked for stripping now he in the domain of longwall. Today, the best longwall mines compete with strip mines operating in even the lowest stripping ratios. Longwall mining has become more widely applicable than it ever has been in the past and it is now generally considered the method of choice in situations where high levels of coal production are required. But the best way to use longwall mining has become less certain with the opportunities that highwall access provides. Wall-to-wall mining is the use of retreating longwall developed from and retreating toward a highwall. As a surface mine reaches its ultimate highwall, the opportunity for longwall punch mining or wall-to-wall mining is obvious. There are several clear operating advantages to operating a longwall in this way and where highwalls are available, the best economic decision will generally favor planning a direct approach. Yet wall-to-wall is not applicable in every situation even when highwalls are available. Moreover, the advantages of wall-to-wall mining do not always justify the cost of trenching or box cuts to access coal . However, many tactical advantages of operating from the highwall can be realized with the use of specially equipped blind drilled or raised bored shafts. This paper discusses novel techniques for a shaft assisted mining system which permits the addition of conveyor structure and mine systems from the surface to the face for advance and retreat mining with longwall, shortwall or room and pillar panels.

Jan 1, 1998

By J L. Edwards

High resolution, acoustic scanning technology has emerged in recent years as a powerful wireline tool for identifying the occurrence and orientation of structures and borehole breakout û the latter being a strong indicator of horizontal stress directions. While other wireline techniques such as dip metre and calliper logging can provide some of these data in a fairly rudimentary way, the quality and ease of interpretation of acoustic scanner logs provides a level of detail that significantly enhances the risk profile of the analysis which more than compensates for their additional upfront cost (MacGregor, 2002). As is often the case with such technology it is one thing to generate a data set that describes the attributes of the various features apparent in a log, and another to be able to analyse those data in such a way that their individual and collective impact on mine planning issues can be readily assessed (MacGregor, 2003). This paper describes a process for the interactive manipulation and visualisation of joint and breakout data to enable them to be effectively included in the mine design process.

Jan 1, 2009

By R Huntley, D Sims

Pajingo gold mine produces over 240 000 oz Au per year from underground mining using longitudinal bench stoping methods with a 15 m sublevel interval. Average mine head grade is around 12 g/t Au, contained within quartz veins between 0.5 to 16 m wide. The veins dip steeply (>60¦) and exhibit strike variations which lead to many curved and meandering drive/stope geometries. Unplanned dilution at Pajingo is predominantly controlled by fault planes that subparallel the vein and commonly lead to slabbing failure from the stope walls. Initial efforts at determining maximum spans were based on using the Stability Graph method of stope stability. However the method had a number of shortcomings that did not address mine site observations, including previous mining, interaction of different joint sets and the presence of discrete shears which resulted in poor prediction of stability. A method was developed to rate the risk of dilution for a stope based on observations made in the ore drives. The method utilises profile mapping of the ore drive, structural features observed and the orebody itself, on 10 m spaced sections along the ore drive. A matrix of factors determines the dilution risk for stoping at the time of mapping and the rating is transferred to longsection plots in the office. The dilution risk rating is used to determine the position and density of cable bolt support aimed at lessening the risk, and can be used to review blasthole designs prior to finalisation. The method has been used for more than two years and has proven to be a good indicator of potential unplanned dilution (ie waste outside of ring design). A recent review of the dilution risk mapping process has indicated it is assisting in reducing the impact of dilution at the operation and has the scope to be utilised further in the design process.

Jan 1, 2002

By P J. Hawke, M F. Flis

The Hamersley Basin of Western Australia holds significant tonnages of detrital iron deposits. Formed by a cyclic weathering and eroding sequence of nominally barren banded iron formation, they may form rich proximal accumulations of iron cemented gravels distal from any obvious hard-rock iron mineralisation. While generally small, they nonetheless represent excellent economic targets as they are near surface and easy to mine. The relatively high density of iron detritals, when compared with their sedimentary hosts, makes the gravity method the primary method of exploring for these blind deposits. Identification of possible trap sites is used as a precursor to gravity surveying, with magnetics used as an ancillary method prior to drilling. Application of the gravity method in this terrain is not straightforward. Detrital trap sites are best developed next to the spectacular cliffs that form the range fronts to the Hamersley Ranges. Precise terrain corrections and use of first vertical derivatives are routinely applied to gravity data in an effort to map every possible gravity high that may reflect the presence of a detrital accumulation. Extensions to Hamersley Iron Pty LimitedÆs BS2D deposit were discovered by the routine application of gravity. This methodology has been used to create a model by which exploration for detrital deposits continue to the present day.

Jan 1, 2002