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By J C. de Vries

When times are tough in the mineral industry û as they have been for some time û typical responses by mining companies are to cut costs and/ or increase production. The latter is seen to spread fixed costs, thereby also reducing unit costs per tonne mined. However, most mineral deposits respond to increased production rates by lowering ore grades, so the reduction in cost per tonne of ore does not necessarily result in a reduced cost per unit of metal produced. The authorsÆ experience is that this process often leads to a mine plan that is a long way from optimal. Producing to the point where marginal cost equals marginal revenue may work well in a manufacturing operation, but it is not necessarily the best strategy for a mining company with a depleting resource. Variations in tonnage and grade with depth, ore reserve optimism and a variety of other factors conspire to produce variations in production rates and grade that often result in suboptimal outcomes and potential mine failure. Added to this is the focus of industry analysts and senior corporate management on such measures as unit costs and ounces in reserves. This is perceived to have the perverse effect of driving the share price down when strategies are adopted that actually improve the value of the mining operation, and vice versa! Many mine failures can be prevented by a close examination of the tonnage grade curve and an understanding of how margins, net cash flows and resulting business risk change with cut-off grades and rates of production. A few relatively simple analyses early in the evaluation of a project can demonstrate the tradeoffs between the main decision parameters, leading to right-sizing of the operation. Once major commitments to major capital items have been made, and reserves have been publicly reported, optimisation of the operation becomes much more difficult than if it had been done earlier. Such investigations can also identify the upside potential and downside risks associated with factors outside the companyÆs control. Many strategies that may enhance value in the good times significantly increase the downside risk in the bad times. What is often called risk analysis typically looks at superficial issues, and does not evaluate the major factors leading to the potential for financial disaster. This paper illustrates some of these major risks, and demonstrates how they may be fully evaluated so that corporate decision makers can make fully informed decisions that take account of the real risks.

Jan 1, 2003

Tasker (1985) has detailed the accepted practices for constructing polygonal blocks of influerrce in the estimation of ore reserves. Further he suggests that users might fall into traps such as omission or overlap when determining the area of influence for each sample point.As an example of these types of errors Tasker (1985) describes under "Coverage ofthe Area" how 25 per cent of the exploration area will not be included in an equiangular triangular grid where hexagonal blocks of influence are used.The introductory suggestion of Tasker (1985) of "incorrect procedure" by Rudenno (1983) (and Armstrong (1983)) reiterated around the Figure 2a of Tasker (1985), is based on the brief description of the polygonal area of influence by Rudenno (1983). That description is not too different from that given by King, McMahon and Bujtor (1982).

Jan 1, 1985

The efficient and profit-maximising daily and long-term management of the Vera Nancy resource depends on decisions based upon assay data. This paper examines the range of sample sources, the methods of sample collection, assay techniques and Quality Assurance used by the mine. The orebody has a relatively low nugget effect for a gold mine (around 25 per cent) and this greatly assists in reducing sampling error and producing reliable assay data for production decision-making. Reconciliation between mine and back-calculated mill grades generally sees the mine under-calling mill grades by around four per cent.

Jan 1, 2000

The considerations which led to the decision to_ install discs at the Dampier Pellet Plant of Hamer ley Iron Pty. Ltd. are described. Initial testwork showed that the ore could be ground dry in open circuit to a Blaine index of 2500 cm2/g and that it pelletized readily. The various design criteria including diameter, slope, speed, motor size, depth of sidewall, feed point and water spray location were then determined. Plant performance after commissioning is described including the various problems encountered and the modifications since carried out to overcome them. The main problem was quickly identified as disc feed rate control. Various bin and bin feeder modifications were tried to overcome the effects of the fluidising characteristics of the dry ground ore. Other factors found to affect disc operation are ore size distribution, additives and operator competence.

Jan 1, 1974

By R W. Henley, L Knuefing, M Turner, Y Zhang, M Saadatfar, A Limaye, R Cruikshank, M A. Knackstedt, A Kingston, L Beeching, N Francois

A better understanding of ore fragmentation and the textural features of ore is a key to the energy efficient extraction of targeted minerals from low-grade ore deposits. In this study, X-ray microcomputed tomography (micro-CT) is employed to study mineral liberation during the tensile failure and onset of fragmentation of a copper ore. Our results show that X-ray micro-CT could inform new studies of ore micromechanics and fragmentation at the laboratory scale and may offer new avenues to address current challenges in the design of efficient comminution processes. We present the results of experiments based on a high-pressure apparatus enabling micromechanical studies to be carried out in situ (inside a micro-CT scanner). This platform produces high-quality 3D images of the evolution of a sample of porphyry copper ore during an in situ fragmentation test. A sequence of tomographic images enables mapping in 3D of both the deformation of mineral phases and the fragmentation process. The fragmentation occurs quasistatically through multiple stages starting with an initial tensile fracture splitting the ore diametrically, followed by tensile-activated nucleation and growth of multiple fractures producing a complex fracture network. Coupling breakage with microstructural information enables quantitative determination of the impact of ore texture heterogeneity on fracture patterns and mineral liberation. This microstructural information can be compared to key measurements of the ore mechanical behaviour such as the global deformation energy, strain deformation field and the stress relaxation response. The latter allows one to identify interesting precursor signals of the tensile failure. The copper liberation, fragment size distribution and breakage patterns are statistically characterised and related to comminution mechanisms which are clearly identified in the sequence of tomographic images. The two dominant mechanisms are rock-rock friction/compression induced by fracture closing and compression-driven fragmentation at rock-crusher contact points.

Aug 24, 2022

By H S. Pescini

A material aim when feeding ore blends into a processing facility is to reduce the variability of the properties of the feed material and to maximise the output, or throughput. At the Mining Geology conference of 2019, we presented a paper on optimal blending of coking coal given geological variability. The paper introduced integer-programming techniques to both maximise value and minimise feed or product variability. We discussed an application where the geological uncertainty is characterised using a normal distribution and exact solutions are readily obtainable using second order conic constraints in the mathematical model. Geological uncertainty is not always normally distributed, many properties will be characterised as log normal or some other skewed distribution. For example, copper can be some form of lognormal and Fe in Iron ore has a left skewed distribution. In this paper, we discuss some distribution free techniques to optimise the blends of plant feed or output given a quantified geological uncertainty. We discuss the sample average approximation method and how to set-up and apply the method to an ore blending problem. Evaluating a case study demonstrates that the explicit use of non-normally distributed geological uncertainty can better optimise feed into an ore processing facility and potentially add significant value. The approach is equally applicable to all mining and processing operations that blend material into a processing facility or directly into a saleable product.

Mar 22, 2022

This paper discusses equipment replacement strategies and specifically addresses the upgrading of technologically superseded equipment. The process of equipment replacement evaluations is reviewed, and areas have been highlighted where currently accepted practice results in a bias towards retaining existing equipment longer than otherwise justified. The Discounted Average Cost Method is described and the advantages of the technique for this style of decision making discussed. Several key issues influencing the replacement evaluation are also presented together with examples from recent consulting work.

Jan 1, 1992

By V Gupta, Z Huang, S K. Biswal

G-Cell is a new design modification of the Imhoflot pneumatic flotation technology, which utilises a self-inducing aerator inside a downcomer, where bubble-particle attachment takes place. The present study has investigated the suitability of the G-Cell technology for cleaning fine coal using a 0.8 m diameter prototype unit at a coal preparation plant operating in the Midwestern United States. A slip-stream obtained from the overflow of raw coal cyclones operating in the plant, containing nominally minus 150 micron size particles and having ash content in the range of 40 per cent to 50 per cent and sulfur content in the range of 1.30 per cent to 1.50 per cent, has been used as the feed for the G-Cell. The performance data produced from the G-Cell tests are found to be very close to the ideal performance curves produced from release analysis. A statistically designed experimental program has been conducted to investigate the parametric effects on various key process responses, such as combustible recovery, product ash and sulfur rejection. The empirical models developed in this study have been utilised to identify a suitable experimental region for achieving a desired combination of response targets.

Jan 1, 2005

By Costello MC

An alternative process for desorbing and recovering metals from activated carbon has been developed, and is the subject of several patent applications by Micron Research (W.A.) The system uses the principle of conditioning the carbon in a strong alkaline cyanide solution followed by distillation desorption in a fractionating column, using the carbon as the column packing and methanol as the desorbing agent. The system offers the following advantages : (a) The processes of desorption, methanol recovery and reactivation are all carried out in a single column with the carbon itself acting as the column packing. No other desorption plant items or fractional distillation equipment are required. (b) The metal values are concentrated into the water content of the carbon and no other water is used except as condenser coolant. This produces very high grade gold silver solutions which give high current efficiencies in the electrowinning step. These high gold concentrations allow almost complete separation of gold and silver from copper in the electrolytic cell. (c) The process is completed to a tailing assay of less than 200g Au/tonne carbon in 15 - 20 hours allowing turn around of carbon batches on a daily Basis.

Jan 1, 1982

By W Russell, P Wighton, J Franke

Recent advances in ruggedised industrial control system technology and architecture in combination with latest technologies in the fast-evolving 3D LiDAR sensor sector becoming available have enabled the implementation of sophisticated automation algorithms for mining equipment such as bucket wheel reclaimers, as published by the authors in the peer reviewed AusIMM 2019 Iron Ore conference proceedings. This paper provides an overview of a second use case for such automation technology in bulk material ports integral to iron ore operations. The real-time 3D machine-vision based port automation system described in this paper was originally developed for the BHP-Mitsubishi Alliance’s (BMA) Hay Point port. The system has seen deployment at other major mining and general ports in Australia, such as at Dalrymple Bay Terminal (DBT) (shown in Figure 1) managed by Dalrymple Bay Infrastructure Management (DBIM), Hay Point, Queensland. It has the following use cases:

Nov 8, 2021

By Kentwell D. J, Cusak C. J, Harvey-Kelly F. E L, M D. Goodz

The Morning Star Gold Mine presents an example of a prolific operation with considerable historical records, mine workings, drill hole logs and countless plans from greater than 20 adjacent mines which have now been consolidated to form the current project. Implementation of 3D computer modelling in the planning stages has provided an additional tool to integrate and refine geological models as a guide to some exploration strategies. It has allowed for a re- interpretation of the host rock units, dimensional constraints, new exploration extensions and provisional resource modelling. The initial consideration of this project was to integrate 135 years of mining history into a single database. Each historic mining area had an unrelated mine grid, often established parallel to the long axis of their main stopes; some were based on magnetic or true north. Survey plans were in chain, imperial or metric units. Through the manipulation and rotation of old grids, previously unrelated mine workings began to form continuous mineralised zones, with unmined portions still remaining in between the existing development. Furthermore the current drillhole database of >433 holes showed numerous confirmatory intersections of new mineralisation. A series of tiered tables were created within a relational database to derive guidelines for assessing data to attribute a Mineral Prospectivity Value [MPV] based on key indicators of mineralisation. Indicator logging now forms the basis of geological descriptions.

Jan 1, 1997

The process of hydraulic transport through pipelines, world-wide well known for the trans- port of fine-grain solids is also being used to a greater extent in mining for the handling of 1rimarily coarse-grain solid - water mixtures r the removal of, for instance Coal and waste mixtures after coal winning rising hydraulic monitors, lings for backfilling underground and :her tailings and flotation waste to A large-scale test unit was taken into service at the Bergbauforschung GmbH (Mining P',search Company) in Essen-Kray, GFR, to ¦urther improve this technology. The unit was :fanned and built by Krupp Industrie- and +hibau of Duisburg in cooperation with i r

Jan 1, 1980

The Energy Authority of NSW has wide powers and responsibilities conferred by its Act which are pertinent to the State's coal industry and its development into the next century. With respect to coal, the broad objective is to maximise the benefits to NSW and its people derived from the State's coal resources. The initial focus of the Authority's coal-related activities in the late 70's and early 80's was on petroleum substitutes from coal. Research was supported, especially on hydrogenation, and the Authority participated in the Joint Australia/Federal Republic of Germany coal-to-oil feasibility study. It also co-ordinated a State Government initiative to involve the private sector in examining the possible establishment of a synthetic fuels industry based on Hunter Valley coal. With a short-fall in world-wide petroleum supply now seen as less likely for some years, the Authority is looking also at ways of working towards the broad objective in the field of coal utilisation on both domestic and export markets. Areas of interest include possibilities for using washery rejects, means of making NSW coal more competitive as an energy source, use of coal-seam gas and new or special technologies for burning coal. The future is expected to see renewed interest in producing petroleum substitutes, and coal - as the State's major energy resource - is seen as a strong contender as a basis for such an industry. Developments in coal-based power generation are also expected to have an impact, with advanced technologies having a possible place here as well as Overseas.

Jan 1, 1987

By D J. Williams

The approach to the disposal and storage of mine tailings is slowly evolving. Tailings disposal has been based on minimising short-term capital and operating costs, with rehabilitation costs discounted by the application of a high discount factor in a net present value approach to accounting. This has led to the widespread adoption of surface tailings storage facilities (TSFs) to store slurried tailings delivered by robust and cheap centrifugal pumps and pipelines. Depending on the site climate, rate of rise of the tailings, nature of the tailings and the extent to which supernatant water is removed from the surface TSF, the tailings may or may not dewater, densify and gain strength. High rates of rise of dilute tailings to a facility used to store both tailings and supernatant water results in a wet, low-density, soft tailings deposit that not only occupies a large storage volume but also presents rehabilitation difficulties. A low tailings density results in high containment wall costs, very high rehabilitation costs and a low potential for future land use or ecological function. Overall, the cost of slurried tailings disposal, thought to be low, is actually high. However, low rates of rise, even of dilute tailings, in a dry climate with efficient supernatant water removal can produce a dewatered, high-density, stiff tailings deposit that may occupy a large footprint but to shallow depth that is relatively easy to rehabilitate. There are advantages in dewatering tailings in the processing plant to recover process water and chemicals, facilitate tailings disposal in a more solid form and facilitate rehabilitation. However, the cost of dewatering in-plant can be high, and the process water may not lend itself to reuse. There are also advantages in removing supernatant water to facilitate solar and wind drying of exposed tailings, although water is lost to evaporation and the dried tailings may best be harvested prior to inundation by fresh tailings or rainfall run-off. This paper discusses the background and trends towards the elimination of conventional surface slurried TSFs, with examples presented of the management of black coal and other tailings, including those that are clay mineral-rich.CITATION:Williams, D J, 2015. Towards the elimination of conventional surface slurried tailings storage facilities, in Proceedings Tailings and Mine Waste Management for the 21st Century , pp 11–24 (The Australasian Institute of Mining and Metallurgy: Melbourne).

Jul 27, 2015

By Wylie A. W, Jarrett R. G

Two versions of a radiometric-type caliper for measuring borehole diameter are described. One, based on the bow-spring principle, is suitable for percussion (exploration) drill holes. The other, which utilizes hemispherical wall contactors actuated by springs, is suitable for blast holes. Both utilize low-power radioactive sources and employ a scintillation detector to measure the "inverse-square law" response of the device to changes in borehole radius. The performance of the device is examined and examples of its use are illustrated.

Jan 1, 1976

By J F. C L Costa, J C. Koppe

It is recognised by the major international codes that resource classification involves the interaction of numerous qualitative and quantitative criteria such as data quality, geological and grade continuity, etc. However, the difficulty in quantifying the degree of uncertainty associated with mineral resources estimation has led to the creation of a large suite of methodologies, terms and definitions, with almost every mining company having its own set of standards. It is also intuitively known that several traditionally used methods to evaluate resources do not take into account the spatial continuity of the grades, being unable to provide a reliable measure of the error associated with their estimates. Since they do not provide an error assessment, these methods are inappropriate to assess local or global uncertainty associated with an estimate. Faced with these problems, this work aims at developing a methodology for either quantitative or qualitative analysis of mineral resources estimation, through incorporation of uncertainty and the correct definition of the associated risk or error. The proposed methodology includes the development of a software code incorporating all the main classification techniques used by the mineral industry. A comprehensive study about each technique was conducted allowing a comparison of the parameters affecting mineral inventory assessment. A case study was conducted with a typical iron ore deposit data set from the Conceitpo mine of the Itabira Complex in the Iron Quadrangle, Brazil. The results showed the specific limitations of each classification system and the influence in selecting their key parameters, always based on subjective choices.

Jan 1, 2009

By T Raynlyn, R J. Holmes, J R. Manuel, A Poliakov, L Lu

The prediction of sintering performance of iron ore fines and the possibility of targeted optimisation of specific sinter properties are very important for both the iron ore industry and related research organisations. Physical pilot-scale sinter runs require large amounts of raw materials and are expensive, so it is critical to target large test work programs with many different sintering parameters effectively. To predict values for sintering performance parameters such as tumble index (TI), low temperature reduction disintegration index (RDI) and productivity, a comprehensive database of pilot-scale sintering experimental results has been established and empirical modeling conducted. Similarly to earlier work, physical, chemical and mineralogical characteristics of the iron ores have been considered. However, in contrast to the previous work where only one textural parameter was taken into account, namely the proportion of dense haematite ore texture, the current model includes the abundances of several different textures which were combined into different textural factors corresponding to different sinter properties. Coefficients for the variables within specific regression equations can provide a better understanding of the effect of the variables on the corresponding sintering performance. The modelling results have also been used for predicting the sintering performance of mixtures that were not part of the database used for establishing the models. Comparison of experimental and modeling results for the verification test data is also reported in this paper.

Jan 1, 2009

As the worldÆs population and global standard of living increase, the role of metals in the economy will not diminish in the 21st century, despite substitution and dematerialisation trends. Industrial Ecology is an emerging science that attempts to bring together physical, biological and social scientists and develop the tools for good management of the planet in the long run. In engineering terms, Industrial Ecology is defined as the reconfiguring of industrial activities with full knowledge of their environmental consequences. Production and use of materials must take into account the needs of both market and environment. Dispersive uses of metals will be phased out, as is being done with lead in gasoline, and post-use recovery of materials and energy will increase. This will result in an advantage for metallurgical processes that can use as feed materials concentrates as well as metal scrap and waste streams, such as bath smelting processes and slag resistance electric furnaces. The paper also discusses how metal extraction technologies, developed in the 20th century to provide essential materials to humanity, can be applied for the benefit of both mankind and environment in the 21st century.

Jan 1, 2000

The Yanacocha district hosts the largest and most significant acid-sulphate, high-sulphidation deposits in Per· with total production, reserves and resources of over 27 million ounces of gold. Several other smaller high-sulphidation systems are also recognised in the Cajamarca region including La Zanja, Sipßn, Tantahuatay, and San Nicolas. These each have reserves/resources of between 640 000 and 800 000 ounces of gold. Gold deposits in the Yanacocha district are hosted in an extensive volcanic field. Flow domes have intruded precursor pyroclastic rocks and flows that are interpreted as part of an earlier intermediate multi-vent volcanic complex. The larger, contiguous Yanacocha Norte - Sur and Encajon gold deposits are spatially associated with late-stage diatreme breccias. At La Zanja extensive acid-sulphate alteration is associated with the margins of the small San Pedro caldera (6 +4.5 km), nested within the larger, less well-defined La Zanja caldera (19 +24 km). The inner caldera is resurgent with abundant magmatism expressed as several flow dome complexes located on the caldera rim, and shallow level intrusive stocks. Gold mineralisation is associated with a WNW-trending structural corridor that transects the southern margin of the San Pedro caldera. On the eastern side of the La Zanja caldera there are a series of younger andesitic eruptive centres, some associated with acid-sulphate alteration and gold mineralisation. The Sipßn deposit occurs in one such centre with structurally-controlled gold associated with a NE-trending silicified structure developed within a sequence of andesitic tuffs. In conclusion, although a number of high-sulphidation deposits are recognised in northern Per·, their settings and styles of mineralisation are all quite different. Smaller deposits generally have strong and obvious structural controls. In the larger Yanacocha deposits the structural controls are less obvious, and mineralisation is disseminated in porous or strongly fractured and brecciated silica. Erosional levels are probably a significant factor, with disseminated mineralisation at higher levels, and structurally-controlled mineralisation in more deeply eroded deposits.

Jan 1, 1999

By B Dodd

This paper details how the Australian Securities and Investments Commission (ASIC), as a disclosure and conduct regulator, approaches regulation of continuous disclosure, capital raising and control transactions in the mining and resources sector, and the reasons for the approach. In examining this topic the paper considers the Joint Ore Reserves Committee (JORC) Code (JORC, 2004), the VALMIN Code (VALMIN Committee, 2005), the relevant ASX Listing Rules and the relevant provisions of the Corporations Act 2001 (Corporations Act). This paper discusses ASICÆs approach to expert reports and disclosure with reference to Regulatory Guides 111 Content of expert reports and 170 Prospective financial information.CITATION:Dodd, B, 2012. Issues in capital raisings and disclosure, in Proceedings International Mine Management 2012, pp 3-14 (The Australasian Institute of Mining and Metallurgy: Melbourne).

Nov 20, 2012