Search Documents

By W. K. Osae

A value assessment model which uses deal objectives, financial and non-financial indicators as a guide to assess value creation in mergers and acquisitions. The extent to which post- merger deal objectives are achieved and the potential benefits derived from mining deals that may not necessarily be financial of nature, but which are necessary to sustain and enhance future performance, were considered. The pre-merger and post-merger performances based on some financial indicators that reflect profitability for shareholders were also used. This value assessment model was used to assess four major deals that have occurred in the South African mining industry since 2003 as part of a postgraduate dissertation. In this paper, the Harmony and ARMgold merger is used as an example of how the model can be applied. The model?s relevance and applicability can also serve as a guideline in developing a framework or holistic guideline in assessing whether mining BEE deals in South Africa create value.

Jan 1, 2011

By L. P. Fatti

An important feature affecting the classification of a remotely sensed scene is that the data are, in general, spatially correlated. Various approaches are discussed towards incorporating the correlation between neighbouring pixels when they are classified on the basis of their spectral reflectance data.

Jan 1, 1987

By F. H. Touwen, N. C. Joughin

"Simulation is a technique for studying the operation of systems by synthetic experimentation. With digital computers it is possible to simulate even the complex production processes in gold mining. This has great potential in that it enables the investigation, analysis and comparison of mining systems to be done accurately, rapidly and at low cost. Two programs have been developed to simulate the principal underground production processes in gold mining.These are the simulation of any stope contract and the simulation of underground transport operations. The programs synthesize these mining activities from a large number of small unit operations. The stope contract program simulates rockbreaking by drilling and blasting and the cleaning of the panels by face and gully scraping. The transport program simulates the functions and movements of all vehicles running on rails on one underground level. The simulation programs provide an effective means for experimenting with mining activities."

Jan 1, 2014

By J H. Sullivan

Contents Background information Locality of Kumba?s Iron Ore Mines Sishen?s Product Specifications Geological Description of boreholes Sample Preperation Block delineations Production Geology Process Laboratory information Turnover times reached Inter Laboratory Comparisons Quality control activities in lab Purpose of laboratory Results attained Standard samples Monitoring of processes with QA/QC standards Mean paired difference of duplicates Duplicate samples Conclusion

Jan 1, 2005

By D. Wines

"Slope stability analyses have traditionally been undertaken in two dimensions assuming plane strain conditions. Although three-dimensional analysis techniques are widely available and used routinely for open pits, two-dimensional analyses are still more common due to the relative ease of model construction and the relatively rapid simulation times.Two-dimensional analyses will often produce different results to three-dimensional analyses for the same slope. It is generally thought that two-dimensional analyses will produce more conservative results. The main reason for the differences is the ability of three-dimensional analyses to account for the three-dimensional nature of the various model inputs, including the slope geometry, the distribution of soil and rock mass domains, the orientation of geological structures with respect to the excavation face, the orientation of the in situ stresses, and the distribution of pore pressure. In some cases, for a long, straight slope in basic geological conditions, two-dimensional analyses can provide a reasonable representation of the problem. However, in many cases, the inability of a two-dimensional analysis to represent the true three-dimensional nature of the problem will lead to unrealistic analysis results.This paper discusses the reasons, as detailed above, for the differences in two-dimensional and three-dimensional analysis results. Work by others is summarized, and additional numerical analyses are performed to provide an improved understanding of the effects of slope geometry, structural orientations, and in situ stresses on predicted stability. Case studies are presented for both stable and unstable slopes, and the behaviour of these slopes is related to the three-dimensional nature of the slope geometry and geology.The previous work, the new analyses performed here, and the case studies show that it is often important to provide a realistic representation of the slope in three dimensions in order to obtain reasonable stability analysis results. This is particularly true for hard rock environments where structurally controlled failure mechanisms are most likely. The paper also highlights the fact that back-analysed properties obtained from one analysis technique are not necessarily applicable to forward analyses using another technique."

Jan 1, 2016

By F. A. G. M. Camisani-Calzolari

The uranium production forecasting program described in this paper projects production from Reasonably Assured, Estimated Additional and Speculative Resources in the cost categories of less than $130/kg U. Originally designed to handle South African production, it has been expanded and redimensioned using available published information to forecast production for countries of the Western World. The program forecasts production from up to 400 plants over a period of fifty years and has built-in production models derived from documented historical data of the more important uranium provinces. It is particularly suitable to assess production cavabilities on a national and global scale where variations in outputs for the individual plants tend to even out. The program is aimed at putting the uranium potential of any one country into a realistic perspective, and it could thus be useful for planning purposes and marketing strategies.

Jan 1, 1987

Anglo Platinum is in the process of introducing a number of initiatives, varied in nature, on a scale that will impact operations in the short, medium and long-term. The advent of mechanization on a large scale and the introduction of new mining technologies therefore require a different approach to the design of ventilation and cooling systems. In addition, the ventilation and cooling systems serving increasingly deeper operations will place a greater demand on electrical power consumption?this in an environment where power generation is limited and increasingly expensive. Ventilation and cooling systems currently being employed in platinum operations have evolved from practices first pioneered in deep level gold mines. However, in modern and future platinum mines, deepening of operations will take place in a somewhat different environment?particularly in terms of geothermal settings and electrical power utilization. This provides the opportunities to devise novel and energy-efficient ventilation and cooling strategies tailor-made to meet these challenges. The need for refrigeration and cooling at depth will increase the capital and operational cost component of ventilation systems and the medium-term limitations on the availability of electrical power will require the provision of innovative systems. The increased use of diesel-powered vehicles underground, the viability of energy recovery and feasibility of thermal storage opportunities are discussed in this paper. Some of the challenges and the solutions currently proposed in terms of ventilation system design, refrigeration plant selection and chilled water distribution methodologies are described. Changes in strategies core to this discipline that affect the health and safety of employees and the profitability of modern operations are deemed necessary to support the transformations that are envisaged.

Jan 1, 2008

The key functions of project evaluation are to assess potential profitability and to develop an effective operational design. For mining projects, design aspects include mining methodology, ore treatment methodology and production rates. All of these characteristics impact on project economics and overall value. Resource models, which form the ultimate basis of project evaluation, typically consist of tonnes above cut-off, grade above cut-off and the spatial distribution (connectivity) of tonnes/grade above cut-off, for one or more variables. Dilution, ore loss and metallurgical recovery are all modifying factors applied to the resource model during evaluation and determination of profitability. A key issue is: how is the value determined? In addition to traditional combination of in situ tonnes/grade, the following merit serious consideration: the concentration of deleterious elements, throughput rates, mining/processing costs and - importantly - metallurgical recovery. Geometallurgy is an emerging field targeted at integrating these issues by identifying either direct measures or proxies for throughput (hardness, grindability), recovery (liberation, mineral shape/texture, etc) and concentrate quality from easily collected macro-, meso- and microscopic data. These 'geometallurgical variables' drive project costs and revenues in a fundamental way. For geometallurgical characterisation to have a real impact on business design, it must enable improved mine planning. When creating spatial estimates for such variables, it is preferable to find proxies that can be measured as close to the intact rock mass as possible. However, spatial estimation of proxies for geometallurgical properties and responses is complex and requires special consideration. Unlike grades, both proxies and absolute measures of geometallurgical variables are not necessarily linear or additive and therefore require very careful geostatistical consideration. In some cases, models must predict extreme values of geometallurgical attributes rather than averages. Incorrect characterisation of metallurgical recovery/throughput can (and has) led to misspecification of the scale of projects, and thus can be seriously value destructive. Aspects of geometallurgy have long been important in iron, bauxite, manganese and coal deposits and are increasingly on the radar for base and precious metal miners. However, as more metallurgically complex deposits are developed and mining of large-scale, low-grade deposits becomes more commonplace, the importance of characterising the metallurgical response in order to generate properly optimised projects will rapidly increase. It is possible that in many `traditional' (ie grades and tonnes) reserve models, the variables that drive the project are missing!

Jan 1, 2007

By Q. G. Reynolds

The dual-electrode direct current (DC) arc furnace uses two graphite electrodes, one connected as cathode and one as anode. Such an arrangement avoids some of the design difficulties associated with the anode hearth traditionally used in single-electrode and twin-cathode DC furnaces, but can introduce other design and operational difficulties including deflection of the arcs toward the furnace walls. Counter-intuitively, both arc jets in a dual-electrode furnace travel from the electrode down to the bath surface, despite carrying electric current in opposite directions?this is suggested in the theory of the governing equations of arc formation, and confirmed by experiments using high-speed photography. The dual-electrode arc system at small pilot-plant scale is studied using a transient magnetohydrodynamic model capable of predicting arc deflection and interaction from first principles, and the results are compared to the behaviour of twin-cathode systems at similar power. Finally, a simple arrangement of the furnace busbars, M configuration, is shown to provide some passive protection against arc deflection.

Jan 1, 2011

By J. Güntner

Most copper/cobalt ores from the Central African Copperbelt contain sulphidic compounds, which are not extractable in direct leaching. Roasting provides the possibility to transfer the valuable components into leachable compounds. In an operation window defined by temperature and off-gas composition it is possible to selectively oxidize iron sulphides to haematite and copper/cobalt sulphides to sulphates. Selective sulphating of the valuable minerals is an important condition for the subsequent leaching stage. The dissolved copper and cobalt are recovered by solvent extraction and electrowinning. This technology has been part of an established process for many decades. The concentrates from recent projects on the Copperbelt have lower sulphur contents, and frequently higher copper contents, than those from older projects. The paper shows the consequences of this trend for plant operation and explains useful counter actions by means of case studies. Autothermal combustion is ensured even at very low sulphur contents. Off-gas treatment has so far been based on SO2 removal through sulphuric acid production. The generated acid is used to make up acid losses in the hydrometallurgical plant section. This well-proven process combination is still the preferred route if the feed sulphur content is high enough; however, some cases may require different off-gas cleaning concepts without compromising on clean air quality. Roasting in a fluid-bed furnace remains the core of the technology. Fluid-bed roasters are easy to operate and provide an excellent control of the calcine quality. Different feeding and heat-recovery systems are used to provide a tailor-made solution for each project. Outotec built it first sulphatizing roaster in Zambia about 30 years ago. At that time, the roasting of metal sulphides was already one of the main technologies in the company. Outotec has developed roasting solutions for copper, gold, zinc, lead, molybdenum, and pyrite ores. The continuously expanded and upgraded research facilities provide an excellent basis for developing sustainable, energy-efficient, and economic solutions for copper and cobalt production in Africa.

Jan 1, 2012

Outotec?s direct leaching process is an atmospheric leaching process for sulphidic zinc concentrates. The direct leaching process, based on special leaching reactors developed by Outokumpu, is the most economical way to produce electrolytic zinc. The production scale applications of the process realized so far are in use at Boliden?s Kokkola and Odda zinc plants. A new full-scale application of Outotec?s direct leaching process will be started in 2008 in China. The process is integrated into the existing production plant, replacing part of the old production facilities by modern technology. Besides high zinc extraction the plant expansion and modernization offers also indium recovery, iron precipitation and solution purification processes. The process equipment includes tailor-made reactors designed on the basis of the work and experience of Outotec research centre. Keywords: zinc, concentrate, atmospheric leaching, technology, indium, iron precipitation, solution purification, Outotec.

Jan 1, 2008

By V. E. Ross

A computer program was developed that incorporates a novel analysis of the behaviour of the froth in full-scale cells to predict the performance of the froth over a wide range of operating conditions. The program has the distinct advantage that it can be easily implemented on a microcomputer, which allows rapid computation and processing of the results. The program utilizes experimental data obtained in flotation-plant and laboratory testwork to provide parameters for the froth model under an initial set of operating conditions. These parameters can then be used in conjunction with a model describing the transfer of material from the pulp to the froth to predict the performance of the cell when its dimensions and operating variables are changed during scale-up.

Jan 1, 1987

By C. Nangolo

Mineral commodity prices comprise one of the key criteria in the selection of mining stocks. We contend that of the three principal elements of mineral commodity prices, spot price, forward price and long-term price, one has a greater impact on the share valuation processes used by investors. This research paper examines the extent to which each of these elements influences the valuation process. The intention is to provide investors in mining stocks with a greater understanding of how fluctuations of commodity prices over time affect the prices of the mining stocks they hold, or intend to sell or buy. Three mineral commodities, gold, silver, and copper, were used as case studies, since market data on these commodities is readily available in the public domain. Nine market indices covering all three mineral commodities were selected. These are based on clearly defined criteria with the intention of eliminating ambiguity and to test for correlation with the three sets of mineral commodity prices. Nine mining companies, which were not the primary drivers of the relevant indices employed in the study, were used to validate the results obtained from the indices in order to avoid duplication of the same correlation during cross-checking. Each commodity price was adjusted for operating costs. For each market index, an average operating cost was calculated from the companies comprising its basket, while each company?s annual operating costs were used for the stocks of the individual companies examined. The data was collected for the period January 2004 to October 2010. This period was further split up into three sub-periods to account for the Global Financial Crisis (GFC) period that started in mid-2008. We conclude that mining stock prices are correlated with mineral commodity prices, but with spot and forward prices exhibiting stronger correlations than long-term price. This finding should be useful for evaluation purposes. Where cash flow methodologies such as discounted cash flow or earnings per share are used to value ordinary shares and commodity prices are required to estimate future cash flows, the findings suggest that spot prices should be used as opposed to long-term prices. The work reported in this paper is part of a current MSc research study at the University of the Witwatersrand.

Jan 1, 2011

By N. Graham, C. Walker

The SORD Miner is a patented mining principle being developed to exploit mineral and energy resources that current technology can not access. SORD Miner is designed to operate in underground wet, granular, continuously collapsing geological environments such as alluvial and marine deposits. It is somewhat like a cutter suction dredge and should be capable of mining its way through any fine granular material like sand or gravel, pumping the slurry back to the surface. In areas where the target layer is covered, the SORD Miner is inserted below the water table and will tunnel its way to the mineral deposits at depth. This paper describes the development, concept testing and prototype construction of the SORD Miner.

Jan 1, 2007

Mining executives often have a difficult task determining what the strategic objective of the business should be as this can be impacted by the prevailing market conditions. In addition, they have no mechanism to quantitatively 'test' the impact of this strategic decision on the business and understand the underlying dynamics. During the commodities bull run of 2003 to 2008 the strategic objective may have been to grow the long term value of the business (NPV) through increased tonnage, acquisition and finding new reserves, which all came with an increasing fixed cost base. Now with the financial crisis upon us and the collapse of commodity prices and demand, executives have adjusted their strategies as 'cash is king' and short-term cash flow, in some instances at the expense of long terms value, is the order of the day. For many mining companies, mine closures, reductions in production and cost cutting exercisers are now the focus. In many instances, management do not have an ability to rapidly test different strategic alternatives to 'test' the impact on value, unit costs, reserves and profitability at the operational level and optimize the underlying trade-off variables. Economic modelling of the complete business value chain is a means of linking the operational 'reality' and strategic choices, so that the full impact can be assessed. This paper describes some of the challenges facing mining executives and how economic modelling can be applied to make decision making more rigorous.

Jan 1, 2010

By Nelson Sánchez

The Los Bronces Development Project (LBDP) was approved in October 2007 by the Anglo American plc Board at a capital cost of some US$1.74B, and is scheduled to be completed by the end of 2010. The project represents a big step forward for the Los Bronces mine since it will increase the treatment rate by 140%, the mining rate by 64% and almost double copper production during the first four years of the project. This economy of scale will also position Los Bronces as a much bigger and efficient mining operation, better prepared to face adverse market scenarios and allowing Anglo to consolidate its position in base metals. The project addressed numerous scope alternatives such as plant capacity vs mine capacity, cut-off grade strategy to maximise value based on the existing flotation and leaching process, cutback strategy, etc. Main infrastructure aspects of the project are as follows: ?Dump area with 2400Mt capacity for waste and low grade material ?Mining equipment: 1 x electric shovel, 12 x 300t trucks, 1 x drill ?Primary crusher: 60? x 89? ?Three new power lines (144MW capacity) ?Grinding plant at 87kt/day nominal capacity (includes a 4.3km tunnel with a regenerative conveyor belt) ?Grinding plant: 1 SAG mill 40? x 25?, 2 ball mills ?Slurry pipeline (52 km from grinding to flotation plant) with five choke stations ?Flotation plant (rougher, cleaning, regrinding circuits and molybdenum flotation). The history of Los Bronces started in 1867 when it was discovered. In 1978 ENAMI (Government company) sold Los Bronces to Exxon for US$112M. The same year a snow avalanche destroyed San Francisco Flotation Plant. In 1979 the plant was rebuilt at 4.9kt/day and from 1979 to 2002 several plant expansions were made up to 54kt/day capacity. In 2002 Anglo acquired Los Bronces for US$1.3B. The 2002 resource and reserve statement showed reserves at 459Mt at 1.02%CuT and resources at 780Mt at 0.80%CuT. The 2007 statement shows reserves at 1,480Mt at 0.67%CuT and resources at 1,644Mt at 0.45%CuT. Defining the size of a plant expansion is the key challenge that any expansionary project faces. The scope of this paper is a general review of the project, describing all the mining techniques that were used to define the best options that maximise value. In this context, a range of plant capacities (from 58 to 230kt/day) combined with a range of mining capacities (from 83 to 166Mt/a) were evaluated in detail, defining for each option a mine plan, Capex and Opex, and cut-off grade strategy for flotation and leaching processes and the associated Net Present Value (NPV) that was used as the selection criteria. The Los Bronces mineral resources potential provides good growth opportunities for the mine beyond LBDP implementation, offering an exciting invitation to continue studying new initiatives that maximise the value of this deposit.

Jan 1, 2008

By W. J. C. Pothas

This paper describes the state of the art in backfilling techniques used on East Driefontein Gold Mine. Areas covered are the preparation plant, the distribution plant, the pipeline network and finally placement techniques. The in-situ performance of placed backfill has been assessed by the Chamber of Mines Research Organization, and results to date will be shared. Details of the backfill expansion programme that will enable this facility to be made available to all working places are included. Benefits obtained by the introduction of backfilling are described, together with certain management aspects to be considered in the control of quality and quantity of support supplied via a pipeline.

Jan 1, 1988

By C. Kelley

For years urethane screen surfaces have been used in a wide range of wet screening applications where openings as fine as 75 microns and coarser have been used. In dry screening operations these same urethane screen surfaces have been relegated to only the coarser separation ranging from 1.0 mm and larger. The purpose of this paper is to expose the reader to new developments in both screen surface and screening equipment technologies, which allow an end user to consider urethane screen surfaces for dry screening operations where separations as fine as 75 microns are required. These technologies allow an end user to realize the inherent advantages of urethane in wear resistance while also realizing the benefits that a high open area urethane screen surface can bring. These benefits include non-blinding characteristics and feed capacities, which rival that of traditional stainless-steel woven wire mesh screen surfaces. The paper will highlight the features of this patented urethane screen surface technology and the screening machines in conjunction with which they are used. There will also be a presentation of several case studies of commercial installations where these technologies are utilized. These case studies are from the mineral sands industry; therefore relevance to the conference is direct and not inferred. Included in the paper will also be constraints, which must be taken into account when considering urethane screen surfaces such as temperature and chemical attack. This paper will expose potential end users to a possibility of using screens to achieve extremely accurate size separations in applications where screens were previously not considered. The paper will explain and demonstrate that prior concerns of screen surface blinding, high screen surface consumption rates and large screen surface area requirements can be eliminated by proper utilization of high open area urethane screen surfaces.

Jan 1, 2007

This paper presents the development of a regrind facility design at BHP Billiton's Leinster Nickel Operations (LNO) in Western Australia. The recovery opportunity was identified from an analysis of plant operating data together with scanning electron microscope (SEM) measurements on relevant tailings streams from LNO. A laboratory procedure was developed to determine the potential recovery improvement of installing a regrind facility at LNO. The last step in formulating the process flow sheet and defining the process design criteria was to construct and operate a pilot plant, which incorporated four banks of flotation cells and an Xstrata M20 Isa Mill. Pilot plant on/off trials were used to define the expected metallurgical benefit. A prefeasibility engineering design and cost estimate was completed. Following a successful internal business evaluation, a feasibility study is currently underway.

Jan 1, 2007

By John Taylor

?Introduction to Black Mountain ?Historical metal accounting practice ?Metal accounting audit ?Feed measurement ?Sample precision ?Concentrate measurment ?Current metal accounting practice ?Further refinements to the metal accounting practice

Jan 1, 2005