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By Stewart Gillies AD

Resource rent taxes are taxes which only become effective at such a time as a pre-determined rate of return has been achieved by an operation. Resource Rent Taxes have from time to time been considered for implementation in both Australia and New Zealand. The offshore petroleum industry in Australia is already subject to RRT as is the Roxby Downs (Olympic Dam) Mine in South Australia. Both the mining and petroleum taxation regimes in Papua New Guinea include a resource rent tax component called Additional Profits Tax.

Jan 1, 1995

This paper reviews factors involved in the feasibility stage of underground mine project development. Emphasis is placed on the need to first select the best method of extraction and make the most accurate assessment of the expected output even with the uncertainties which may exist in structural interpretation, ground stress, geotechnical factors, and industrial conditions. The subsequent engineering planning should be undertaken from the point of view of the face requirements and is subject to constraints imposed by the method of work and nature of the deposit and, in the case of access, to surface constraints and services.

Jan 1, 1983

By A Sellgren, M R. Carstens, R Visintainer

There is a wide variety of industrial pastes or non-settling slurries pumped in mining, dredging and reclamation projects as products, refuse and tails. The types and/or names of some of the common ones are alumina red mud, phosphate clays, tar sands mature fine tails, tar sands (CT) consolidated clays and fly ash. The pipeline performance or friction of these varies dramatically with the type, its concentration and the particulars of the actual slurry making it difficult to select pumping equipment and to design associated pipelines. The GIW Hydraulic Laboratory in Grovetown Georgia has tested a number of these slurries over the last 30 years for various mining customers. Where available in the public domain and/or where permission has been obtained, the results of those tests are presented in this paper in a form usable for pipeline and pump system designers and users.

Jan 1, 2005

By S Slusarczyk, Z Kozlowski

Vibration of surface caused by seismic quakes can make a risk to great mining costruction. We have to do with this risk in the Belchatow open cut mine where seismic quakes of various energy and range have occured since the end of 1970s. The seismic risk influence on the mine structure with the special attention to the slopes of an internal dump has been presented. Hydrogeological and geotechnical conditions of the lignite mining and internal dumping of overburden and ash from Belchatow power plant have been considered. Seismic activity in Belchatow open cut from 1979 to 2001 was described and the connection between mine working and seismicity of this area was investigated. The energy and approximate location of the quakes and seismological parameters of the strongest ones observed from 1995 to 2001 were presented. The mechanism of the quake focuses was determined by means of the primary-arriving wave method. Stability of the slopes was evaluated by means of the Fellenius method. It has been found that seismic events occured in Belchatow region may cause only local eboulements whereas there are not any safety risks to the stability of slopes of the internal dump in Belchatow open cut.

Jan 1, 2003

Passive systems for the treatment of acid mine drainage (AMD) are typically more economic in the long term than active systems. Various flow charts for treatment selection have been prepared by scientists in the USA, however, they have typically not included a variable important at New Zealand AMD sites on the West Coast: topography and available land area. Very steep topography, dense and often protected vegetation (and animals such as snails), and a high-rainfall climate result in AMD with very high flow rates in locations with very limited space for remediation. Flow charts specific to New Zealand have been prepared which accommodate topography and available land area. Parameters necessary to use the flow charts are iron and aluminium concentrations, pH, ferrous to ferric iron ratio, dissolved oxygen concentration, topography and available land area. Prior to full scale construction, is it recommended that flow rates be quantified, small-scale trials be conducted, and cost, effectiveness, limitations, and risk of failure be reviewed for various options. One full-scale remediation system has been installed in New Zealand based on this methodology and another is planned. The performance of these systems, as well as future systems to be installed, will be used to validate these treatment system flow charts.

Jan 1, 2007

By A D. Bugarski, B R. Conard, G H. Sc

The objective, of the Diesel Emissions Evaluation Program (DEEP)-sponsored project at IncoÆs Stobie mine, was to conduct a long-term field evaluation of selected diesel particulate filter (DPF) systems, available to the underground mining industry. Nine state-of-the-art DPF systems were retrofitted to heavy-duty and light-duty vehicles and were subjected to extensive long-term in-mine evaluation. Periodic efficiency tests were conducted at various stages of the study (in 2001, 2002 and 2004) to establish in-use efficiencies and durabilities of the tested DPF systems. During efficiency tests, the vehicles/engines were operated over several steady-state operating conditions. Various instruments were used to measure particulate and gaseous emissions upstream and downstream of the filter systems. The results were used to assess the effects of the filter systems on the concentrations of diesel particulate matter (DPM), nitric oxide, nitrogen dioxide and carbon monoxide in the vehicle exhaust. Experience with the operational issues related to deployment of the filter systems on underground mining vehicles, coupled with the assessment of the filtration efficiencies, were the primary objectives of the study. The variety of filtration systems and regeneration concepts used in this study offered the opportunity to investigate the advantages and disadvantages of the various types. Some of the major issues studied were criteria for selecting the filter media, means of regeneration, the long-term operational reliability, and the occurrence of unwanted secondary emissions.

Jan 1, 2005

A review of publicly available coronial inquiries into fatalities that have occurred within the resources sector since the year 2000 reveals that a loss of corporate memory has been a contributing factor in 40 per cent of these accidents (National Coroners Information Service, 2010, Appendix B). With the highest levels of employee turnover within the Australian economy, increasingly complex operations and an ageing workforce, the management of corporate memory within the Australian resources industry poses a significant and often unrecognised safety risk.    The North Parks airblast of 1999 is used as a case study to highlight how corporate memory loss poses a significant hazard to resources projects and how such incidents will continue to occur if corporate memory is not effectively managed. Best practice from other industries is discussed to demonstrate how knowledge management systems can effectively work. This paper discusses how systems can be put in place within the geographically diverse resources sector, and how at the heart of any knowledge management system a culture of knowledge management needs to exist within an organisation.   The paper then discusses the importance of retaining key personnel and utilises findings from primary survey data collated in 2009 to show the size of the retention problem within the industry. From the data possible solutions to retaining key staff are proposed.   Finally the large and increasing role of contractors and consultants within the industry is discussed and methods of managing their knowledge are proposed.

Jun 1, 2010

By J S. Moema, R Paton, J Zimba

Today, most organisations are familiar with the pressure to increase their effectiveness and efficiency, regardless of the nature of their business. Cost cutting and increased productivity are the main themes of many initiatives to ensure the profitability of operations and, ultimately, shareholder satisfaction. It is well known that the cost of comminution to liberate minerals such as gold from their respective ores is a major expense for mines. Comminution costs consist predominantly of grinding balls and electricity. However, there are no national or international standard specifications for grinding balls û on which a single mine may spend several million dollars per month. In addition, in the past mines generally did not specify the minimum requirements when purchasing grinding balls from suppliers. The result is that every supplier has its own grinding ball recipe (regarding chemistry and heat treatment), and is under no pressure to implement a quality assurance plan to ensure that a consistent product is delivered. The resulting variation in the quality of grinding balls leads to increased steel consumption rates and hence increased milling costs. A more stringent quality plan will generally not be welcomed by suppliers since this may entail further investments and/or reduce the production rate. In a sense, suppliers benefit from poor quality grinding balls as this leads to increased sales. Perhaps the main problem is a lack of understanding of the factors that influence grinding ball performance. This paper will describe the factors that influence the wear rate of grinding balls from both a microstructural perspective and a mill perspective. In addition, some insights are provided on the different grinding balls available and ways that users can verify their quality.

Jan 1, 2007

Future depth and production limitations of an ore hoisting system are fixed by its initial design criteria. There is little scope to extend these limitations once installation is completed. Depth and production rate upgrades from the initial duty to the hoistÆs practical limitations require capital expenditure in stages, each of which can be defined when assessing the initial system design criteria. A means of presenting and assessing the design criteria, the limiting factors in each option and the relative present and future capital costs is necessary to arrive at a solution that delivers the best value to the mine. Application of this technique to recent friction winder installations and upgrades in the Australian mining industry is of particular interest; however, the analysis methods are also applicable to drum hoists. It is usual to specify a minimum hoisting capacity and depth, based on mine ore handling design and production needs. The final hoist depth and production rate are usually a result of the initial hoist design and hence it is useful from the outset to specify a required production versus depth envelope for the mine. Technical solutions can then be modelled within this envelope at their initial and final duties and a comparative analysis made against the cost of installing and progressively upgrading each solution. Understanding the factors that constrain each solution to a maximum production rate at a given depth is important, as the costs of overcoming limiting parameters such as rope tread pressure and motor power can be significant. The task of understanding and evaluating the options open to the hoisting system designer is simplified using this approach. Communicating the results of a multi-dimensional problem such as hoist specification is also made easier using the graphical methods inherent in the analysis.

Jan 1, 2005

By J J. Cilliers, K Hadler

Froth structure and stability are known to play important roles in determining mineral flotation recovery and selectivity. However, measuring froth stability in a consistent manner remains a significant challenge, especially at an industrial scale. Following preliminary tests on a copper concentration plant, a quantitative dynamic stability measure is investigated in this study in order to extend the results over a wider range of conditions and on a different orebody. The technique is based on the Bikerman foam test and uses a non-overflowing froth column to quantify froth stability. Experiments were carried out using an automated version of the froth stability column under different operating conditions. Air flowrate was the key operating variable. Tests were reproduced on a single flotation cell of a Platinum Group Metals concentrator. The froth stability factor, , was measured for each operating condition, and compared with the air recovery in the cell, , which was measured using image analysis. The froth stability column results gave the same trends as image analysis. In particular the froth stability factor was found to be linearly related to the actual fraction of air overflowing the cell. The metallurgical results clearly indicated that changes in air flowrate result in variations in flotation performance that can be attributed to changes in froth stability. The results showed that high froth stability conditions occur at intermediate air flowrates, and result in improved flotation performance. It is found that the froth stability column is a simple, cost-effective and reliable method for quantifying froth stability, and for indicating changes in flotation performance.

Jan 1, 2005

By Broome A

In a technologically oriented industry, it is important to understand and apply technology very consciously to create competitive advantage. Technology is not an activity which is simply restricted to CSIRO or the research and technology department. Technology improvement is a part of everyone's role. It is a way of life - the technology facet of continuous improvement. For this reason, The AusIMM has organised this Travelling Technology Forum - a series of presentations about automation in mining. To make the message more accessible, The AusIMM had originally planned to take the Forum to four regional mining centres: Mackay/Townsville, Singleton, Burnie and Kalgoorlie, but only one seminar was held, ie at Singleton in March 1997. Seminars at other locations were cancelled because of insufficient registrants. The presentation by Andrew Logan of BHP Cannington was not available for the Singleton forum. The aims of the forum were: ò to heighten awareness of the key technologies and their impact in the minerals industry in the medium term; ò to foster creative thinking; ò to encourage people to broaden their technical and commercial skills and develop individual networks and linkages based on an interest in these key technologies; ò to share information on the application of these technologies in the industry; ò to promote an enhanced appreciation of the need for an innovative culture; and ò to encourage staff to consider post graduate courses in technology management. The AusIMM wanted to not only raise awareness about `automation in mining' issues, but also to get technology in a more general sense back onto `centre stage'. The Forum was generously supported by CSIRO, Western Mining Corporation Ltd, BHP Coal Ltd, Aberfoyle Limited, Goldfields Ltd, Novacoal Australia Pty Ltd, Pasminco Ltd, and RGC Limited. The program was endorsed by the Centre for Mining Technology and Equipment (CMTE). Copies of the full papers are available from the authors, see `References'.

Jan 1, 1997

By S La Brooy, C Fountain

Throughout its history the mining industry has focused on the highest-grade deposits sited in the most convenient locations. The burgeoning global population and higher standards of living not only increase the demand for mineral products but also make it harder to mine and process them. The future will include the development of lower-grade, more complex orebodies, and orebodies in difficult locations. The industry will be expected to provide for humanityÆs needs while reducing its environmental footprint and maintaining profitability. This paper reviews some of the likely adaptations in mineral processing that will occur over the next 20 years. The challenges inherent in adapting to lower grade and more complex materials might be exacerbated by such factors as the availability of water and low-cost energy. In underground mining, higher energy costs are likely to foster further developments in underground preconcentration, especially for ores that can be upgraded at relatively coarse sizes. The adoption of underground crushing could also render material amenable to semi-dry preconcentration options such as might be achieved by the rotary classifier developed by CSIRO and being commercialised by RCR Tomlinson, or more modern versions of the hand-sorting of ore that use sensors based on colour or other suitable rock properties. The cement industry and some gold roasters have used the alternative of dry grinding and classification, which might also have a part to play in dry processing. There is also likely to be increased interest in options such as in situ leaching that further minimise the surface disturbance. Underground operations will have to balance the energy savings from reducing the amount of material brought to the surface and reduced surface disturbance against the practical limitations of installing and maintaining processing equipment underground. On the other hand, surface disturbance and energy issues in open cut operations will be balanced by potentially lower mining costs and higher overall recovery from the deposit.

Jan 1, 2008

By J B. Farrow

The AJ Parker Cooperative Research Centre for Hydrometallurgy carries out research on behalf of, and in collaboration with, the Australian mining industry. As might be expected, much of its research is directed towards improving the efficiency of alumina and gold processing plants. However, the Centre also carries out research of relevance to base and other metal producers. A key element in its work is the successful transfer of its technology to the companies with which it is working. In general, this is achieved in the following five steps:definition of the problem through discussions with the company commissioning the research; execution of the research; assessment of the research findings; testing of the research findings by pilot plant or on-site trials; and implementation of the results on the full-scale. This pattern is exemplified by the work carried out by the Centre to improve the performance of gravity thickeners which are used throughout the minerals industry for solid-liquid separation. The research has focussed mainly on ways to optimise the use of flocculants (long chain polymers) to enhance thickener performance. It has been shown that the way the flocculant is mixed with the slurry is of profound importance. Computational fluid dynamics modelling of the feedwell region of thickeners and laboratory and plant flocculation studies have been used to determine better ways to contact the flocculant with the feed slurry. Implementation of these and other findings on the full-scale confirmed that improvements in thickener performance were indeed possible. As a result of this AMIRA funded thickener technology work, there have been considerable savings to a number of Australian mineral processing companies, through improved operation, higher throughputs and flocculant savings.

Jan 1, 2000

A metallurgical balance drawn around a mineral processing plant or smelter must involve all process streams crossing the plant boundary. Modern sampling theory, as formulated by Gy, and sound statistical method can be used to determine the uncertainties in the observed assays for the set of balance analytes and in the mass flow rates of the process streams for the balance period. These uncertainties can then be used together with the material balance equations to arrive at adjusted component mass flows that satisfy the material balances exactly. To determine whether or not the data is consistent with the level of uncertainty in the data and with the material balance equations, a goodness of fit test is applied. This goodness of fit criterion is the principal tool to quantify the quality of the material balances. The mathematical structure of the statistical material balance problem poses a number of challenges. For example, while the variances of the adjusted component mass flows do not vanish, the variances of the sums of the adjusted component mass flows about each balance node do vanish, simply because the balancing computation demands that the balances close exactly. Even though it can be shown that the variances of the adjusted component mass flows are always lower than the estimates for the corresponding unadjusted component flows, it is still not possible to construct a confidence interval on the component mass flow into (and out of) a balance node using the adjusted component flows. On the face of it, such a confidence interval is exactly what is most desired from the balance calculations. The problem arises because the balance problem is a data adjustment rather than a parameter estimation problem. It is possible, however, to calculate the recovery of a component to a product stream and determine a confidence interval for the recovery value. It is also possible to calculate an uncertainty in the mass flow of any balance species in any process stream, before and after balancing.

Jan 1, 2005

The purpose of this paper is to outline the current status of financing in the Australian Gold Mining industry and to discuss a number of developments that have occurred during 1983/84.Recognising the importance of equity financing various equity issues, including project valuation, will be discussed against the backdrop of an industry experiencing both rapid growth and a changing structure.Nothwithstanding the current tax exempt status of the industry there is a trend towards more debt financing. A number of financing issues will be covered and it will be shown howvalue can be created through astute financing planning.

Jan 1, 1984

It is a commonplace of our industry that prices of most minerals have been historically weak during the 1980s. The International Monetary Fund's index of prices of metals fell 25 per cent between 1980 and 1982, rose slightly in 1983, and has since fallen further. In December last year it was 37 per cent below its 1980 average. The few temporary exceptions to the mineral industry's malaise highlight the excess capacity, which largely explains the weakness of prices. The industry has painfully come to recognise that more satisfactory prices will not be restored until supply capability and demand move back into better balance. Mine capacity was installed in the expectation of much faster growth of demand than has occurred. For a variety of reasons mine and plant closures have been insufficient to restore equilibrium to the market-place. The industry may, therefore, have to resign itself to continued weak prices for some years more, at least by the yardstick of the 1970s. Growth rates of demand have slackened off in line with economic activity, and in response to continuing substitution and technological improvements. To the extent that the recent weakness of oil prices stimulates the industrial countries' activity, demand for non-fuel minerals may grow faster than most forecasters now predict. It is, however, much too early to say how long the weaker oil prices will persist, and even more difficult to estimate their probable effects. In typical post-war business cycles the usual response to recession was to batten down the hatches, and ride out the storm. Sooner or later, and probably sooner, demand resumed its previous trend path, and prices recovered. The market, in effect, bailed mines out of trouble; the more efficient could make attractive pre-tax profits whilst even the poor to mediocre could earn a satisfactory living. Prices rose at least as fast as general inflation, and in the early 1970s much faster. In retrospect those price rises of the early 1970s were historically abnormal but they did not appear so in the prevailing inflationary climate of the time. When the market failed in the early 1980s many of the hardest hit companies looked for scapegoats.

Jan 1, 1986

Over the last 20 years the mining industry has played a key role in the further development of many Central Queensland and New South Wales communities. The number of people who are employed by the coal mining industry, the number of transient residents, shift work and the town facilities have all contributed to how the community views the coal mining industry. As the coal mining boom continues and the mining communities continue to grow more emphasis is needed to address the community concerns, specifically the socio-economic and environmental impacts that the coal mining companies may have on these communities. Central Queensland coal mining operations are situated in the Bowen Basin. Many of the towns in the region have been developed specifically for the coal mining industry with 13 - 50 per cent (Australian Bureau of Statistics, 2006) of people living in the communities being directly employed by the mines. The introduction of shift work, differing rosters and the mining boom have resulted in considerable changes to these communities with more transient contractors and permanent employees taking up residence outside of these communities. This change, however, has not been as noticeable in the Hunter Valley region. The Hunter Valley, situated in the Sydney Basin has two main mining towns, Singleton and Muswellbrook. Of the 37 173 (Australian Bureau of Statistics, 2006) people that reside in the communities 13.8 to 16.5 per cent (Australian Bureau of Statistics, 2006) are employed directly by the mines. The Hunter Valley is a large tourist destination due to its many vineyards; this results in a diverse community where mining is not the sole means of employment. Similar to Central Queensland the mining boom has brought more people to the Hunter Valley region, although greater percentages have taken up residence in the communities. The views vary between the two regions on the coal mining industry, specifically on the socio-economic and environmental impacts that the industry may have on the surrounding communities.

Jan 1, 2008

By J Centofanti, D Conti, R Riske, C Morley, A Cook

Why is it so difficult? Why are there differences throughout the resources industry in how reconciliation factors are reported and calculated? Why is there no standard formula to use? These are common questions asked when mining companies try to compare reconciliation results across operations or attempt to undertake internal or corporate governance reporting processes. For many mining companies the calculation of reconciliation factors is often a very time and resource intensive part of mandatory reconciliation reporting. Some major mining companies, that move millions of tonnes of material per annum, dedicate full time resources to the calculation of reconciliation factors. The willingness of these companies to set aside resources demonstrates the value that operations place on good reconciliation reporting. Reconciliation is about measuring the variance between two like measures at different points along the mining sequence. It can be undertaken between predictive models, forecast plans and actual measured performance. Calculations are used to derive a variance between two sections within the mining sequence, with the result being commonly known in the resources industry as a æfactorÆ. Mining companies use the calculation of reconciliation factors as key performance indices (KPIs) to provide a æhealth checkÆ of their operation, with variances often pointing to issues either with the accuracy of the original estimate or the quality of the measurement being used in the comparison. There are many reconciliation factors that can be calculated and reported. This paper will set out, clarify and provide a recommended standard means of calculating each specific factor that, where adopted by a company, will ensure compliance with the international reporting codes, such as JORC. Using case studies from Rio Tinto Group (Rio Tinto) and BHP Billiton Mitsubishi Alliance (æBMAÆ), and the authors experience across a wide range of mine sites, the outline of a generic solution for tracking a parcel of material from the pit through to the port along with appropriate reconciliation factors is provided. The intention of proposing standardised reconciliation factor terminology and methodology is to provide the foundations of a system to enable communication and comparison across different commodities, companies and mines sites.

Jan 1, 2009

One of the more recent developments within the mining industry has been the adoption of formal continuous improvement programs. A continuous improvement (CI) program was launched across Kalgoorlie Consolidated Gold Mines (KCGM) in early-2002. The purpose of this program was to identify further operating improvements within departments. The focus of the continuous improvement program was not only on the areas of the operation which were performing below expectations but also on areas of the operation which were performing well but could still be further improved.The effectiveness of a continuous improvement program depends on the stability of the processes in place and the participation of many employees from all levels of the business.Continuous improvement has had some successes and failures at KCGM and this paper will discuss both within the open pits department. Further improvements that could be made to the process will also be discussed. Kalgoorlie Consolidated Gold Mines Fimiston operation is located in the Kalgoorlie Goldfields and it the largest gold mine in Australia producing over 800 000 ounces of gold per annum.

Jan 1, 2004

By Sehic OA

One aim of testwork and flowsheet development is to ultimately provide a reliable and flexible plant that is simple to operate and maintain. Testwork can indicate amenability of ores to CIP treatment and provide a basis for process design and economic appraisal. Batch cyanidation and CIP tests are often sufficient for small projects. Continuous multistage test rigs can be operated to simulate plant operation and to provide data for flowsheet optimisation. Operating requirements, gold recoveries and potential problem areas can be anticipated at an early stage with more confidence. Subsequent project development involving decisions on the basic flowsheet, equipment types and general plant arrangements are based on practical considerations and experience. Computer aided process modeling and economic appraisal can be useful in analysing various tradeoffs, firming up the flowsheet and equipment sizes, and in specifying operating targets for the future CIP plant. INTRODUCTION Carbon-in-pulp (CIP) technology which has developed rapidly since 1974 is now accepted as an economically and technically viable process for the efficient recovery of gold. This paper describes testwork and flowsheet development procedures used for CIP evaluation and design.

Jan 1, 1982