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Mining and metallurgy are more capital intensive than all other industry in Australia. Capital demands are met by domestic and foreign sources of finance for whom the major constraints are the supply of funds and factors of risk and uncertainty. in both mineral development and institutional financing policies, specific options are available to administrators which would allow mining to benefit from a more reliable supply of capital. The strength of major partners involved and overseas participation are important aspects of financing mineral developments. Future changes in financing for the mineral industry are considered most likely in variable interest rate funding, in the leasing of major plant items, and in the development of flexible techniques to ease the burden of infrastructure costs. In a consultancy sense, financiers are available to mining to assist with and to advise on optimal develop- ment of mineral industry projects.

Jan 1, 1975

The liquid products of low-temperature carbonisation of coal are of variable composition, very much influenced by the rank and type of coal, and process parameters. In general the tar contains a high proportion of phenols and a low proportion of bases. The neutral oil is more analogous to a thermally cracked petroleum oil than to a high temperature tar. Present practice and possible future trends in the production of chemicals and liquid fuels from low temperature tar are reviewed in the light of recent work on the detailed composition of the tar The phenols and aromatics will probably continue to be of most value, with the bases a useful source of spec- ialty products. However the high aliphatic content of the neutral oil (particularly 1-olefins and n-paraffins) is bound to receive more attention for chemicals as well as for liquid Fuels.

Jan 1, 1969

Geomechanics is one of the more specialised aspects of site supervision on a major tunnell- ing project. The controlled deformation of a rock mass as a result of tunnelling and the knowledge of loading of temporary and permanent underground supports are important for safe, economic construction. These basic parameters depend on the construction method and sequence and the geological conditions through which a tunnel is driven. Thus geomechanical monitoring during the construction phase provides feedback to a design team and allows any revisions to a design to cater for local conditions not revealed by earlier investigations. Detailed geological mapping is an integral part of geomechanics in the construction phase. It serves as a monitor on pre construction predictions and also forms part of the as- constructed record. If conventional excavation-techniques are adopted, geomechanics can provide a service of blast' vibration monitoring of surface structures in urban areas.

Jan 1, 1976

By Hengst B

The first production stage in any mining operation is the breaking of whole rock into fragments small enough for loading and subseq- uent handling. This primary fragmentation is most frequently accomplished with blasting. The maximum fragment size and the fragment size distribution have an influence on the subsequent loading, handling and crushing costs. It is assumed that total rock fragmen- tation in practice is a result of an interact- ing array of radial cracks from various blastholes. The representation for the basic pattern of radial cracks emitted from a particular blasthole is first described. A model is then developed simulating the interaction between blastholes at various burdens and spacings, and in simultaneous and delayed modes. The resultant picture is analysed and a fragment size distribution calculated. Methods of incorporating the existing faults in the rock are also discussed. Finally application of this model to various facets of mining are considered.

Jan 1, 1977

By Strickland R. E J

Heap leaching is establishing itself as an efficient method for the extraction of gold from low grade ore. It has the advantage of low capital costs, low operating costs and rapid startup. However, not all ores are amenable to heap leaching. It is only applicable to well oxidized ores that have reasonable permeability characteristics. Ore with excess fines or clay often display low permeability and are unsuitable for heap leaching.In this study, an attempt has been made to increase the rate of cyanide leach solution percolation by flocculating clay particles or reducing the surface tension of the leach solution. A wetting agent was found to decrease the rate of gold dissolution, possibly by presenting a hydrophobic surface to the gold particle. Flocculation of the clay increased the solution flow rate. The flocculation agent had no affect on the total gold leached but decreased the leaching rate.

Jan 1, 1992

By F Pothitos, S Hewson

The geological and geotechnical conditions at the Cadia Hill Open Pit are very complex. This complexity coupled with high mining rates has required significant technical input into the design and optimisations of the pit slopes, accesses, cutbacks and scheduling. A multi-discipline team of NML engineers, geologists and external consultants has been conducting comprehensive geological and geotechnical programs in order to achieve an optimum design of the pit slopes. Extensive data collection, analysis and interpretation has led to the formation of working geotechnical models of large structures, rock masses, and back-analysed slope performance charts. The current Cadia Pit Optimisation Project focuses on the risk-and-return principle for pit design and on the integration of geotechnical, hydrogeological, mining engineering and scheduling. The risk management for pit design has also been incorporated into the short term and long-term operation of the pit mining to ensure safety and production.

Jan 1, 2003

The accurate calculation of ore reserves is one of the most important functions under- taken at a potential or operating mine. In recent years there has been a trend towards recommending more and more complex techniques for the calculation of reserves. However these are not always necessary and many improvements could be made by the use of all potential data and a heavier geological input. An ore reserve should be the result of geological not mathe- matical or engineering reasoning. All ore reserve estimates are wrong and the important thing is to.recognise why they-are wrong and to take action to minimize the errors. Geostatistics and other complex mathematical techniques may appear to answer all our needs for ore reserve accuracy but there are many drawbacks, not least of which is the communi- cation gap which may develop between the operator and both management and production Personnel.

Jan 1, 1979

The Permian coal in the Muja Coal Measures of Collie Basin of Western Australia has a subdued lustre because of the fine laminations of lithotypes, and the dominance of dull and dull banded lithotypes with minor bright, bright banded and fusinous types. The maceral composition of the coal is variable, however the macerals of vitrinite and inertinite groups dominate and the exinite and mineral matter contents are low. The lithotypes have low concentrations of trace elements and the boron concentration is between 10 - 100 ppm recorded only from the dull lithotypes. On the basis of organic petrology, the inter-seam sediments, flora and the very low concentration of boron, the depositional environment postulated for the coal is braided, fluvial and fluvio-lacustrine with marked fluctuations in the water table. The low water table in the environment accounts for fusain and inertodetrinite in the coal.

Jan 1, 1996

By Rieniets S, Somerville J. L

In Morwell Open Cut brown coal mine, the overburden 'firehole' materials which have resulted from ancient coal fires vary-from hard baked clays to firm laminated lacustrine clays. The need to pre-strip designated areas to reduce the slope height and attain safe digging conditions for the bucket wheel excavator operation is now accepted practice at the open cut mine. In this study, the inherent spatial variability of undrained shear strength of the clay materials has been incorporated in a visco plastic, finite element based, probabilistic slope stability analysis. Data on the costs of initial pre-stripping, excavation and slope failure are collected to provide an economic basis for the optimisation of the design of the overburden batters in Morwell Open Cut. This improved stability modelling is enabling costly pre-stripping to be minimised while ensuring acceptable slope stability conditions and minimising the risk to personnel and plant.

Jan 1, 1994

By Waters A. G, Nightingale R. J

The quartzite added at the blast furnace for the purpose of adjusting the chemistry of the burden inputs is shown to have a disproportionate impact on both the level and the variability of the hot metal silicon (HMSi). This conclusion is supported not only by direct correlation involving data from five blast furnaces, but also by mass balances. In one case the R2 correlation coefficient was 0.96 and the mass balance was accurate to within five per cent for a wide range of quartzite additions. The results indicate that as much as 43 per cent of the silicon in the added quartzite reports directly to the hot metal. Indeed, silicon from quartzite was found to be much more likely to report to the hot metal compared to silicon from regular sources (eg coke and sinter), reflecting differences in the activity of the silicon source.

Jan 1, 1994

By Staunton W. P

The presence of cyanide soluble copper in gold ores can give rise to serious operational and economical difficulties in CIP and CIL operations. Cyanide consumption can result in the ore being uneconomic to treat by conventional means. Loading of copper onto carbon can also have deleterious effects on gold recovery and subsequent stripping and bullion recovery. The recovery of gold from high copper ores has been previously reviewed by Muir, LaBrooy and Cao (1989). Work undertaken for Mt Gibson Gold Project by Australian Mining Advisors with the assistance of the Chemistry Centre (WA) resulted in the patenting of a process and subsequent construction of a plant at Mt Gibson to overcome some of the difficulties encountered with copper. This paper discusses some of the work which was undertaken during laboratory investigations prior to commissioning of the plant and some further considerations for the treatment of high copper gold ores.

Jan 1, 1991

Within the Mt Whaleback open cut mine the integrity of the final pit wall is achieved through careful rock slope design, use of rock reinforecement technology where marginal stability exists and use of controlled blasting techniques and excavation practices. By reducing the effective density of ANFO explosive within blastholes to around 0.2 glcm', and developing standard blast pattern designs for various rock types, blast damage to pit walls has been minimised. Accurate geological prediction is necessary for optimum blast design. Controlled blasting is undertaken where blasting occurs within 90 m of the designed final batter crest and hole by hole assessment of final limit blast patterns is undertaken before pattern charging. Shovels and trucks remove the bulk of blasted and dozed rock material, but due to the mine's variable pit wall slope configuration, bulldozer excavation of some critical design batters has been successfully Implemented.

Jan 1, 1986

By Fukui M

An increase in pig iron output by 50 per cent was aimed at after re-lining No.2 blast furnace of NAKAYAMA STEEL WORKS. This had to be achieved by increasing both the furnace volume (from 673 to 757 m3) and its productivity, Without equipment for high top pressure operation, high productivity was mainly attained by the following three measures; (1) improving the gas flow characteristics by maintaining a high ratio of agglomerated ores, increasing the strength of sinter and coke, and optimizing the charge distribution, (2) decreasing the fuel ratio by low Si operation and the use of hot blast, and (3) oxygen enrichment. In addition, the tapping controls for pig iron and slag were intensified. As a result of the above measures an excellent hot metal output of 2.7 tonne/m3/day was attained in April 1979 (monthly average).

Jan 1, 1980

By Bingwen Z, Fengyi K

The hydraulic-stowing mining method is most effective for mining thick coal seams. It is superior to the sliced cover- caving and artificial mining method and the fully mechanized sublevel-caving mining method for the following reasons - a much higher recovery rate is achieved, there is much less surface subsidence and roof pressure, there is no hidden danger of gob fire, and much less methane emission and coal dust problems, etc.. However, its superiority is overshadowed by its backward stowing technique which makes mechanisation of mining and stowing difficult, causes bleed water interference to production and to the environment and is uneconomic because of the high cost of stowing material. These disadvantages limited its application to coal seams that are difficult and not suitable to be mined by other mining methods. The remedy is in reforming it thoroughly to permit mining of otherwise unminable seams and this paper presents the reformation.

Jan 1, 1992

For the purposes of this paper the Newcastle Coalfield is considered to be that 35 km wide rectangular tract of country west of a line running 45 km along the coast, south from Newcastle.

Jan 1, 1993

By D B. Donato

Gold mining cyanide-bearing solutions can pose a risk, cause significant wildlife deaths and adverse public relations and result in non-compliance with regulatory conditions. The International Cyanide Management Code for the Manufacture, Transport and Use of Cyanide in the Production of Gold (the Code) was developed as a voluntary code to encourage industry-wide improvements in managing cyanide responsibly. The Code requires design and implementation of robust monitoring programs for compliance under the following standards of practice: 4.1, 4.4 and 4.9. A robust monitoring regime can be complicated as each processing and tailing system is different. The following systems are commonly used in Australia: carbon-in-leach (CIL); carbon-in-pulp (CIP); heap leach process ponds; tailing waste disposal systems; peripheral discharge, central discharge and in-pit disposal. Some terrestrial wildlife can be denied access by fencing tailing storage facilities (TSFs) or other physical barriers, therefore limiting wildlife interaction with cyanide-bearing tailing and solutions to mainly birds and bats. While wildlife monitoring programs for processing and TSFs contain similar core attributes, it is necessary to adapt monitoring to take into account the site-specific features of each system. These core attributes are discussed in this paper, with reference made to cyanide concentration and associated methodologies. The issue is considerably complicated if tailing solutions are deemed or discovered to be toxic to wildlife. Essentially cyanides are required to be measured to gain an understanding of the concentrations to which wildlife may be exposed. This usually equates to measuring the cyanide concentration of solutions entering and leaving a tailing system. To assess the risk to wildlife presented by tailing and heap leach systems it is necessary to monitor both the hazard (cyanide concentrations) and the exposure (live wildlife species, presence and interaction). These tasks need not be arduous and a system of simple frequent monitoring has been developed and implemented for Code compliance. The wildlife monitoring developed by Donato Environmental Services (DES) and used at mining operations departs from the industry norm. It documents observer effort, live wildlife presence, habitat and behaviour in a tailing system, as well as deaths and carcasses. A greater understanding of wildlife cyanide toxicosis associated with this monitoring approach will enable mining companies to adopt a proactive approach to significantly reduce, or preferably eliminate, the impact on wildlife and assist in gaining Code compliance.

Jan 1, 2007

By M Rimes

This paper describes a technique to predict achievable head grades and likely variances from target grade for the Shovelanna Iron Ore Project, in the Pilbara region of Western Australia. The block model from which the production schedule is produced was created from a wide spaced drilling program and was classified as an Inferred Resource under the JORC Code. Ideally, production schedules and target grades would be determined using a combination of Proved and Probable reserves. However sometimes it is necessary to consider the requirements of potential off-take parties who have specific grade tolerances. A technique is needed to simulate mining sequences and grade variations early in the planning process, using an æexplorationÆ block model rather than the normal æminingÆ block model. Marketing contracts require examination whether the target grade {Fe, P, SiO2, Al2O3 can be kept constant, or must be revised during the life of the mine. A model (written in ExcelÖ using Visual Basic macros) develops a feasible, close to optimal, mine plan from block model data. Cut-off grades for minable ore are chosen. The model evaluates ore tonnage, grade and stripping ratio against depth. Outputs at this stage include plots of slices through the orebody, at nominated x, y and z coordinates, showing ore grade, waste, drill hole locations and topography. The model then searches for a feasible satisfactory mine plan. The initial grade target is the average for the identified ore blocks. The available block list (ABL) at any time is the set of ore blocks, any one of which can be mined without removing any other ore block. The entire initial ABL has an unacceptably large ætotal grade stressÆ, defined as [(Grade-Target)/Tolerance]2, summed over the four relevant minerals {Fe, P, SiO2, Al2O3}. The model trims the ABL, removing the block most harming the total stress. Trimming is repeated until the total grade stress reduces to an acceptable level. The trimmed ABL defines the first mine campaign. Removing the trimmed block set, a second ABL is exposed, which is again trimmed and mined. The process is automatic: a few seconds computation provides a complete mine plan. Re-running the model with adjusted grade limits quickly shows whether a uniform target can be achieved or whether the target must be modified during the mine life.

Jan 1, 2007

Solid EnergyÆs project evaluation process utilises a standard staged gate approach, with five levels leading ultimately to project execution (level 6). For a project to progress through each level, specific financial criteria need to be satisfied. Solid Energy primarily use value based (discounted cash flow) metrics to support investment decisions. Within this approach Solid Energy utilise a number risk-based techniques to quantify project uncertainty. This includes the use of risk-based probabilistic analysis using Monte Carlo simulation and probability-based scenario analysis. Figure 1 shows the net present value (NPV) cumulative probability. Project risks are identified through comprehensive risk workshops. The output of these workshops (list of key risks, ranges of uncertainty and probability of occurrence), is quantified within the financial models. Incorporating this risk information on a probabilistic basis allows an investment decision to be made with a robust knowledge of the range of possible project outcomes along with the likelihood (probability) of those outcomes occurring, for example 80 per cent confidence that the project value will be greater than NZ$10 M, 50 per cent confident it will be greater than NZ$50 M and ten per cent confident it will be greater than NZ$70 M. Incorporating risk implicitly into the financial analysis allows the business to easily evaluate/measure projects with different risk profiles. The detailed risk analysis does away with the complexity of arbitrary risk-based hurdle (discount) rates, as projects can be evaluated based on their specific risk characteristics. Whether a project will progress to the next level of investment and ultimately into implementation depends firstly on the value assessment in comparison with the associated risk/uncertainty, and secondly matching this with the businesses appetite for risk. At Solid Energy standard criteria are used for specific project evaluations, but in addition projects are considered on a portfolio or strategic basis also. Solid Energy attempts to maintain a mix of low risk (low value) projects with some high risk (high value) opportunities. The mix of projects must remain in line with the shareholdersÆ risk appetite. One of the keys to a successful investment decision is ensuring that the appropriate information is available to decision-makers so that they may proceed with a comprehensive understanding of the risks and impacts associated with the decision.

Jan 1, 2007

This paper is directed at the problems flowing from Australia's capital gains tax (CGT) on the disposal of exploration and mining tenements both in Australia and overseas. It will seek to identify the issues and give some idea of the dollar consequences of decisions lacking forethought. The paper should not only be seen in the context of Australian tenements. CGT applies to the disposal of any assets by an Australian resident anywhere in the world. Offshore incorporated companies are not necessarily free from CGT risk where it can be shown that control management and control of the relevant company is in Australia. Also the disposal by non residents of Australian tenements are potentially caught by CGT. Some will ask what has taxation got to do with a valuer who merely determines the value of assets. These days no determination can be blind to the consequences. Whether the consequences can encourage a movement in value is another thing dependent upon the circumstances; but? A role of an experienced taxation consultant is to point out parameters within which associated professionals can work. The parameters will vary from case to case, but these when clearly indicated may be of help to persons such as valuers. When one comes down to it real estate salesmen are never wrong. They have a feel for the market and almost through self fulfilling prophesies achieve sales at their guestimates. Whether they could have achieved higher considerations become virtually academic in the process. Of course I am not suggesting that tenement valuers can be compared to real estate salesmen, or am I? What is the value of a tenement? Is it the DCF/NPV type of generated value based on a large number of variable factors (ie what one may call the fundamental value)? Or is it what another may pay to purchase that tenement if it were on the market at an instant point in time? How big is the market, the quality of the bidders, the size of their purses, the needs of the buyer for comfortable fit, the premiums for foreigners, the standard of the marketing, the industry intelligence level of the bidders, the obligation to farm/sell down? The list goes on endlessly. One question must be.asked-"Is a range of values acceptable for tax purposes". ie Would any tax consultant ever provide a valuation to the Australian Taxation Office that indicates three or more possible values ie

Jan 1, 1987

By J Rutter, M NoppT

Ridgeway Gold Mine is part of Cadia Valley Operations which is wholly owned and managed by Newcrest Mining Limited. Ridgeway is an underground sublevel cave (SLC) operation mining approximately 5.6 Mt of gold-copper ore per annum. Ore tracking and accounting systems monitor gold and copper grades, copper mineralogy, host lithology and ore sizing. These factors have material impacts on concentrator throughput and metal recovery. Drawpoint recovered grades are routinely reconciled back to design data to monitor and assess draw performance. Grade control at Ridgeway has been based upon sampling the ore from SLC drawpoint bunds using 15 kg grab samples combined to form 30 kg samples prior to assay. This large sample size was selected in an attempt to representatively sample the coarsely-sized broken ore, the samples collected having a nominal diameter of about 130 mm. The assay results for gold and copper from these samples are extremely variable and the usefulness of the results has been questioned by the mine, particularly given the onerous and OH&S hazardous activity of handling large sample masses. Granulometry testwork at Ridgeway confirmed the extent of the relationship of decreasing sample grade variability with particle size. Based on this relationship, drawpoint sampling tests were carried out using 9 kg samples sieved to -45 mm at the drawpoint site. The gold and copper results from the finer 9 kg samples were significantly less variable than those from the normal, coarser 30 kg samples. The variance reduction was similar to that predicted from broken ore sample theory for the selected sample mass and nominal particle size. This relationship therefore allowed Ridgeway to assess the sample mass and particle size required to achieve a particular precision. In addition to improving the precision, the reliability of assay results from smaller samples from the fine particle fraction for drawpoint control depends on the accuracy of the results. The assumption is that the grade of the finer ore is similar to that expected from the lot, or that if a bias exists, then the extent of this bias is acceptable and consistent enough to be accounted for in the grade control system. The distribution of grade with particle size and the reconciliation of drawpoint sample and mine results is currently under investigation.

Jan 1, 2005