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This paper describes preliminary research on the application of Markov Decision Processes (MDP) to Real Option Valuation (ROV) and the optimisation of mine scheduling. The MDP framework is a novel approach to option valuation and scheduling in mining operations. A learning agent is introduced into the valuation process of an open pit, where prices and block ore grades have probabilistic values. The prices are modelled using a mean reverting diffusion process and the block grades using sequential Gaussian simulation. The agent is asked to learn which production parameters should be used in order to maximise the overall value of the project. The introduction of the agent permits a real option approach to mine valuation, such that the value associated with the robustness of a design to uncertainty can be measured. A simulated example is used in which there are ten blocks to be extracted under conditions of grade and price uncertainty. Using policy iteration, an optimal policy is generated and the value of production options is found. The potential financial gains from applying MDPs to mine valuation and optimisation are substantial and warrant further investigation.

Jan 1, 2007

The Burra Burra Aline is in complexly folded Torrensian dolomites and limestones forming the faulted axial region of a major anti cling. The orebody mined was largely of secondary origin and confined between two faults, Kingston's on the west and Tinline's on the east. The orebody occurred at the junction between cherty dolomites and a clastic limestone with a large mass of marble breccia along its western margin. Secondary ore consisted of carbonates and oxides in the breccia and the ore bed and detrital copper minerals deposited. As part of a clastic breccia in sink holes and solution cavities in the dolpthites and ore beds.Primary sulphides occur disseminated in the marble breccia and in stratiform habit in the ore bed. Kingston's so-called 'Lode' may be mineralised marble breccia.The marble breccia appears to be of diapric or sedimentary origin and there is evidence to support a sedimentary origin for some 'of the copper sulphides. No igneous rocks have been discovered within 20 miles of the mine and any hydrothermal activities were probably at comparatively low temperature. The possibility of extensive stratiform and disseminated copper sulphide mineralisation in the marble breccia and ore bed requires testing by further drilling and geophysicalsurveys.

Jan 1, 1963

A simple method of designing effective fill drainage systems for slurry backfill is presented. By using the proposed method, it is easy to calculate and predict the expected fill drainage rates or to provide additional drainage systems to accelerate the fill drainage. The fundamentals of hydraulic fill and an efficient method to determine its permeability is also explained. The safety in hydraulic filling and bulkhead stability depends totally on achieving effective drainage regime for the fill. This paper provides the basis for creating such efficient drainage regimes. The recent fatal fill bulkhead failures in Australia were the result of poor drainage from the respective fill masses, and therefore it is more important to provide suitable drainage arrangements to continue using hydraulic fill to the benefit of the mining industry. At present there is no procedure available to mine operators to estimate the expected bulkhead pressures to design a satisfactory bulkhead. Some mines are constructing bulkheads after their initial investigations carried out years ago. Other mines have simply borrowed the ideas from the pioneer mines and using in their areas. It is high time that we develop a rational approach to estimate the expected bulkhead pressures for the design of bulkheads. We need a simple model that could be understood and used by the mine operators on a day-to-day basis. This paper also presents a model to predict the bulkhead pressures for designing safe bulkheads.

Jan 1, 2002

By Torckler L, Brathwaite R. L

At Neavesville gold-silver (electrum) mineralization occurs in steeply-dipping zones of intense fracturing, brecciation and quartz veining within rhyolitic pyroclastics, carbohaceous shales and andesites. Hydro- thermal alteration extends over an area of greater than 3 by 1.5 km. In rhyolitic tuffs, highly silicified zones containing quartz- adularia-illite assemblages are flanked by less silicified assemblages composed of albite, illite-montmorillonite and chlorite. The mineralogy ana sequence of alteration are comparable with the alteration zones which envelop the steam-producing fissures of the active Wairakei and Broadlands geothermal fields. Primary fluid inclusions in quartz from five fissure veins in the Neavesville field show maximum homogenisation temperatures ranging from 220 - 260¦C and salinities of 0.0 - 1.1 wt. % NaCl equivalent, which cover a similar range to actual measured temperatures and salinities in geothermal fluids at Wairakei aria riroaolan¦s. The age of the rhyolitic pyroclastics and related alteration and mineralization is probably Pliocene and Neavesville therefore represents a fossil geothermal system.

Jan 1, 1980

By D Ziaja, W Jaspers

A brief history of the development of pneumatic flotation cells from early in the 20th century to the present day and a comparison to conventional cells demonstrates the efficiency and simplicity of design and operation of the ænew generationÆ of pneumatic cells. Recent successful testwork on phosphate minerals in the USA and a variety of coal types in Australia confirm the utility and efficiency of the design. The key aspects of this technology are improved recovery and selectivity with lower capital expenditure and operating costs.

Jan 1, 2005

By P C. Hagan

Production scheduling is often reliant on an estimation of a mineÆs trucking capacity. While this mechanistic approach is relatively simple, it often over-estimates actual throughput resulting in under-utilisation of downstream process and a shortfall in revenue. An alternate approach has been developed that recognises the interdependency between processes in the mine production system including materials loading, haulage and crushing. This approach incorporates a heuristic model based on queuing theory that accounts for the variability in performance of individual processes and that this paper presents the results of a study comparing the conventional approach to mine scheduling with a capacity constrained model at a large open cut mine having a truck and shovel fleet. The capacity constrained model consistently predicted a lower material throughput compared to the conventional approach. Differences in throughput between the two approaches were found to increase with loading time, for example when loading time exceeded 3.9 minutes there was a shortfall of up to 40 per cent in estimated throughput. Longer travel times tended to ameliorate any differences. When applied to a mine schedule that extended over a two and a half year period, the difference was equivalent to a shortfall of nearly eight per cent in total material movement.

Jan 1, 2007

By Johnson RD

The variation in coal properties and the coal seam reduced level can be analysed using partial trend-surface analysis techniques. For the area studied seam reduced level and seam thickness data from the Bulli Coal yield trend-surfaces with a high coefficient of determination, since they have relatively small systematic local and random components in their overall variation. Sulphur content appears to have no significant re.gi_onal trend, and phosphorus content has a very weak regional trend. Other analytical variables have regional trends which are of intermediate strength. The strike-directions of.the statistically significant first degree! trend-surface are similar, sug-gesting.: that the variation of the several coal properties was controlled by a set of- related causes. The relations apparent from the dip and strike of the first degree trend-surfaces are similar to- those which are apparent from the trend- surface residuals and'from the results' of canonical trend-surface analysis.'.. It is probable that differential subsidence controlled the areal

Jan 1, 1975

The Mount Morgan massive sulphide body occurs in a volcanic sequence of Lower or Middle. Devonian age, which is subdivided in the mine into "Upper mine porphyries", "Banded mine sequence", and "Lower mine porphyries". This sequence is intruded by latite, Mount Morgan Tonalite (360 million years), and late Permian dykes. Distribution of macroscopic ore textures and minerals in the orebody are discussed and evidence is presented indicating the pre-Tonalite, Devonian age of the orebody.

Jan 1, 1974

By Bangerter PJ

The use of gravity concentration is, and has always been, the conventional primary method for gold recovery from alluvial deposits. The development of high capacity cone concentrators and metallurgically efficient wash-waterless spiral separators has had some impact in the technology for alluvial gold processing, but perhaps more significantly has led to the relatively recent use of this gravity concentration technology in grinding circuits of hard rock ore for "coarse" gold removal and for scavenging gold locked in sulphides from cyanidation tailings streams.Gravity concentration systems are relatively low-cost, non-polluting and energy efficient; and their judicial use in gold treatment plants can significantly reduce overall capital and operating costs.The application of modern gravity concentration technology to hard-rock and alluvial gold ore treatment is discussed. Flowsheets and test and operating data from a number of gold processing operations incorporating gravity concentration treatment are presented.

Jan 1, 1984

By Moore A. J

Control of blast vibration requires that its nature and causes be understood, and that effective control procedures be implemented to ensure compliance with limits related to the probability of damage to buildings/structures and human discomfort. This paper covers measurement equipment, assessment and prediction techniques, blast vibration control procedures and applicable statutory limits. It reviews current practice, and provides information on recent developments in blast vibration measurement equipment and control techniques, using examples based on Hunter Valley mining practice.

Jan 1, 1995

Scale build-up in titanium palladium alloy spent electrolyte heat exchangers in the residue treatment plant commissioned at Risdon, Tasmania in 1971 was shown to be a mixture of manganese dioxide and anhydrite (CaSO4). The manganese dioxide was deposited as a result of thermal decomposition of permanganate ions present in the spent electrolyte. It was shown that deposition of manganese dioxide and associated anhydrite scale could be prevented by prior reduction of permanganate ions to the manganous (Mn++) state by the addition of ferrous ions. In the plant this was conveniently accomplished by injecting into the inlet line to the heat exchangers sufficient zinc plant solution containing ferrous sulfate to decolourise the spent electrolyte. This action prevented deposition of such scale for another 21 years, until the heaters were finally decommissioned in March 1992. Measurements indicated that addition of the reducing solution lowered the anodic potential of the titanium alloy by 200 - 300 mV (depending on the solution resistance), but that it was still +300 to 400 mV with respect to a standard calomel electrode. It was shown that, if necessary, a small impressed current could be applied to provide anodic protection. Before scale deposition was overcome by the addition of ferrous sulfate solution, badly scaled heat exchangers were cleaned by recirculating a solution of hydrogen peroxide in spent electrolyte or dilute aqueous sulfuric acid, after laboratory testing of a variety of possible solvents for the scale. Corrosion tests indicated that attack on the titanium alloy by the acidic peroxide cleaning solution was insignificant.

Jan 1, 2005

By K Paki, K Parker, J F. Dupont

The Mount Charlotte grinding circuit at KCGMÆs Fimiston mill was recently equipped with three 650 mm CAVEX cyclones in order to improve the overflow P80, reduce the fines bypass to the underflow and improve the underflow density/recovery of water to the overflow. After the first two sets of surveys were conducted air core boosters (ACBs) were installed on the 650 mm CAVEX cyclones in an attempt to further increase their performance. JKTech was approached to assist with the examination of the data obtained from the surveys; this data was intensively modelled to determine, to a high degree of confidence, the impact the changes to the cyclones had on the classification and the benefits to the plant. This paper outlines the outcomes of the trial and the methods used to determine those outcomes.

Jan 1, 2007

Detailed studies of mineral paragenesis, isotope and trace-element geochemistry, and physical mineralogy at Mount Morgan are compatible with deductions by Geopeko Ltd geologists concerning field relationships in the mine area. Considered together, field and laboratory data suggest that the Mount Morgan deposit originated from a shallow, intrusive, acid volcanic dome similar to those which produced the Kuroko-type deposits in Japan. At Mount Morgan, however, interaction with sea water was much less, the sulphides were concentrated rather than forming a group of deposits, and only the throat of a breccia vent is pre- served, so that only the lowermost parts of Kuroko-type deposits can be compared with the Mount Morgan mine. A final difference lies in the presence at Mount Morgan of a quartz diorite adjacent to the ore. Mineralogical data are compatible with post-ore intrusion, possibly up an earlier volcanic fissure.

Jan 1, 1974

Mineral Sands - "An Industry for the Future"The mineral sands industry is matched only by the gold industry in relation to its current buoyancy. The strong demand for the various mineral sands products, creates a positive environment in which to review the technical and commercial factors affecting the future of this industry. This conference is clearly being held in the right place at the right time.My role today is to put forward a few ideas that may help Australia to assert its rightful role as a major downstream player in an industry which it has dominated for 25 years as a raw material supplier.

Jan 1, 1986

By White A, Price G

The main assets of a mining company are its orebodies; the second are the people who find and use them.The graphs in Figure 1 were derived from a paper by Rob Macdonald of Rothschild Australia presented to The AusIMM Centenary Conference in Adelaide earlier this year. They show that the value of the industry on the Australian Stock Exchange halved over the past decade, despite the re-investment of capital equivalent to its full market capitalisation. Why is this so? The average dividend yields for the ASX Mining Index was never above five per cent during that period and barely averaged 2.5 per cent. Why then is $Ai million capital re-investment per employee since 1960 not enough to generate a rate of return to investors better than lousy bank interest? Do the investing public no longer regard our industry's assets to be world class?

Jan 1, 1993

By Benson CD

Increasing numbers of Australian gold companies are active in the United States, due to the great untapped gold potential, which is currently undervalued by traditional U.S. companies. The differences in technical, cultural and financial character between the two mining industries provide the Australian companies with a relatively unique blend of strengths (and weaknesses) that can be used to advantage in the U.S.

Jan 1, 1987

The bulk and surface chemistry of metal ion hydrolysis and precipitation and the redox chemistry of metal ions, sulphur, and other species is central to an under- standing of flotation. The paper contains a review of general hydrolysis-redox chemistry appropriate to the flotation process, and a model of natural and collector-induced flotation of sulphides is constructed. The practical application of the model to real flotation systems is then explored with a view to better under- standing of the chemistry of selectivity and grade control.

Jan 1, 1984

The purpose of the Lower Lea Valley Cable Tunnel project is to relocate the overhead power lines circuits, which currently cross the proposed site for the 2012 London Olympics in East London. This was the first contract to be awarded as an Olympic project and is on the critical path for the proposed Olympic Park as the construction of the Olympic village, stadium and other venues cannot begin until the tunnels are complete, the cables installed and the overhead power lines removed. The tunnelling works for the scheme include two parallel tunnels between Hackney and West Ham. Each tunnel is approximately 6 km in length. One tunnel is 4.15 m ID and connects the National Grid substations. The other is 2.82 m ID and connects the EDF Energy substations. The tunnels were constructed through mixed ground using four earth pressure balance tunnel boring machines. These were driven simultaneously from two drive shafts within a single site. The 12 km of main tunnels were constructed within a year from start to finish, with completion in June 2007. The shafts range between 6 m and 15 m ID. These were constructed using a combination of caisson sinking and underpinning techniques. Dewatering was adopted to suit the groundwater conditions.Other works include the design and construction of the head house buildings, cable and ventilation culverts, mechanical and electrical (M&E) installations and all associated works. In addition to the above, a further 1 km of tunnel and two shafts were added to the project scope connecting the EDF Energy tunnel to the substation at Bow. These additional works provided further challenges to the project to ensure that these works were constructed within the program constraints for the 2012 London Olympics. This involved refurbishing one of the tunnel boring machines from the main EDF Energy tunnel drives and relaunching the machine to construct the Bow tunnel. The Bow tunnel was constructed within two and a half months, with the tunnel boring machine breaking through in August, ahead of schedule. The main challenge presented by this project is the program constraints. This project outlines the requirement for team work between the client, stakeholders, contractor and designer in order to provide program certainty. A close working relationship between the contractor and the designer is required to provide value engineered, time-saving solutions to mitigate the risks associated with the design and construction program.

Jan 1, 2008

By Bailey JG

There are some thirteen laboratories in Australia in which coal petrological work is carried out on a consistent and routine basis. Applied coal petrological research is conducted by several institutions in different disciplines which can be grouped into four main categories:

Jan 1, 1989

The mined-out Old Waite volcanogenic Cu-Zn deposit lies in the Noranda mining district of northwestern Quebec. The deposit has a distinctive pipe-like zone of alteration beneath the massive ore, extending into the stratigraphic footwall. The hydrothermal metasomatism within the alteration pipe produced a concentric zonation. with a peripheral quartz - sericite - chlorite mineral assemblage surrounding an axial core of magnesian chlorite - Phlogopite.

Jan 1, 1989