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By D Brereton, C J. Moran

In this era of rising focus on the social and environmental costs and benefits of mining operations, the valuation methodologies used to assess such impacts become increasingly important. Within an industry dominated by an engineering culture that places emphasis on net present value (NPV) calculations using high discount rates, difficulties often arise when attempting to justify projects with longer-term, harder to quantify benefits. This is particularly so when these benefits fall in the social and environmental domains and involve other stakeholders. In this paper, we summarise the results of a recent literature review on this subject, which focused on the valuation of æBeyond ComplianceÆ initiatives in the mining sector. We discuss a range of approaches including the quantification of hidden internal costs, financial methods of incorporating risk into calculations, the integration of quantitative and qualitative information, and also the valuation of æexternalitiesÆ or costs and benefits borne by others. We then use a series of examples relating to the management of water in the minerals industry to illustrate how some of these approaches could be applied. There are high-level commitments from both individual companies and groups such as the ICMM to incorporate sustainable development criteria into decision-making processes within the industry. We conclude the paper by arguing that, to meet these commitments, there is a need for the industry to adopt a broader range of valuation methodologies than appears to be the case at present.

Jan 1, 2006

By L Nicholls, A Parbhakar-Fox

Reprocessing Queensland’s historical copper tailings for critical minerals is an opportunity to circularise the state’s mining industry by converting waste liabilities into assets. Mine waste valorisation enables economic rehabilitation of legacy mining sites, improves environmental outcomes, and can establish a secondary resources sector that produces a sustainable supply of critical minerals to supplement growing global demands (Australian Government, 2023). The North-West Queensland Minerals Province (NWQMP) hosts numerous copper mines with known cobalt mineralisation (Degeling, 2020). Cobalt is a critical metal essential for green energy and battery technologies, however its global supply is at risk due to geopolitical and ethical concerns (Rachidi et al, 2021). Historically mining in the NWQMP has focused on copper, leaving cobalt to theoretically accumulate in the mine waste. First-pass geometallurgical characterisation of waste repositories by the Sustainable Minerals Institute identified Capricorn Copper as a key site for further investigation into cobalt deportment and recovery potential.

Aug 2, 2023

ADDRESS BY THE PRESIDENT OF THE INSTITUTE (MR. J. G. SYMONS) IN PRESENTING THE AWARD TO ELLIOTT SYLVESTER TIMOTHY O'DRISCOLLTim O'Driscoll comes from a mixture of Irish and Scottish stock. His family on the paternal side settled on land in Western Australia in the middle of the last century. His family on the maternal side were part of the W.A. goldfields scenc, including places such as Kanowna, and the Great Fingal mine, near Cue, where his grandfather lies buried.The combination of land and mining environments may perhaps have contributed to an innate interest in geology shared by Tim and his two brothers, all of whom became geologists.Tim showed an early liking for mathematical and geometric subjects, and in his B.Sc. studies at the University of Western Australia he took a major in mathematics along with geology in 1940.His first job was on the Kalgoorlie Golden Mile, and then at Norseman. After serving as a flying boat navigator in the north and south Pacific theatres in World War II he returned to Kalgoorlie and thence to Broken Hill.

Jan 1, 1977

By S Robertson, I Buitrago

Mine life cycle planning and enduring value are taking centre stage to meet corporate goals and deliver socio-economic outcomes for communities over the life of a mine. There is a general agreement in the literature about mining-induced effects on locals adjacent to mining operations and subsequent closure. In response, international regulatory bodies, through the implementation of global agendas, encourage exploration and mining companies to embrace the concept of corporate social responsibility. This concept is designed to provide sustainable outcomes and maintain a social license to operate over the life of a mine. This paper proposes a practical application of the sustainable livelihood approach as a tool for international planning. With this approach as the governing framework, this paper proposes an innovative tool for mine life cycle planning. Based on the findings, this paper discusses the socio-economic impacts of mining and mine closure. It also argues that transferring some of the benefits from mining to create lasting value for communities needs to be considered at the initial stages of planning for the mine and the community. Findings also indicate that conditions such as a strong local government, good governance arrangements, relevant capacity-building for sustainable livelihoods and a diversified economy are important to transferring some of the benefits from mining to create lasting value for communities. The paper is based on a mixed research technique for data analysis and a case study methodology. The case studies were conducted in Australia and Colombia.CITATION:Buitrago, I and Robertson, S, ?2014. Mine life cycle planning – creating lasting value for communities, in Proceedings Life-of-Mine 2014 , pp 301–312 (The Australasian Institute of Mining and Metallurgy: Melbourne).

Jul 16, 2014

By L Clarkson, D Williams, P Redcliffe, F van der Wal

This research presents a snapshot and insight into the trends, patterns, and common considerations identified in the current standing of real-time tailings dam monitoring practice. Based primarily on information derived from concurrent research by the author (in form of a Catalogue of Real-time Instrumentation and Monitoring Techniques for Tailings Dams), challenges and opportunities when transitioning to a real-time monitoring system are discussed. Learnings and key considerations between different monitoring approaches are explored, including themes of limitations and advantages that were observed consistently through global supplier feedback.

Jul 1, 2021

By J Langhans, Y Choi, Q Wang, J Y. Baron, P Kondos

Barrick has successfully developed the thiosulfate leaching process to treat sulfidic high preg-robbing ores. The process was developed through rigorous bench test programs and proved in pilot campaigns and demo plant operations. The process uses calcium thiosulfate as a leaching reagent, resin for gold recovery with sulfite/trithionate elution and reverse osmosis as a mean of reagent recovery. The thiosulfate leaching plant is under construction as a brownfield project and the start-up is planned in 2014 at Goldstrike, Nevada, USA, one of BarrickÆs operations.CITATION:Choi, Y, Baron, J Y, Wang, Q, Langhans, J and Kondos, P, 2013. Thiosulfate processing - from lab curiosity to commercial application, in Proceedings World Gold 2013 , pp 45-50 (The Australasian Institute of Mining and Metallurgy: Melbourne).

Sep 26, 2013

By A Yáñez, P Vallejos, R Grau, J Yianatos

In flotation cells, especially in large flotation units, froth management is a crucial variable that should be considered during the design phase or optimised to improve the performance of existing flotation circuits. This paper presents a simulation evaluation of the effect of launder design on the metallurgical performance of an industrial flotation circuit consisting of five TankCell® e630 (630 m3 ) cells in a Cu rougher duty. This analysis was carried out using a new industrial simulator, which was built on a wide database collected from many industrial concentrators. This tool is currently incorporated into HSC Chemistry® software and allows evaluation of the effect of launder design on mineral froth recovery, water recovery, entrainment, and other variables to be quantified. The industrial flotation circuit was evaluated under different launder design scenarios, considering an actual flotation circuit that includes TankCell® e630 cells for calibration and as a reference (baseline). Firstly, two different designs were evaluated in the full circuit: a standard launder design and a new launder technology. It was found that the new launder technology enabled improvement of the mineral recovery along the circuit, mainly for coarse particles, due to the improvement in froth mineral recovery. Next, the partial upgrade of the launder design along the circuit was analysed. Thus, the new launder technology was evaluated in the first and the last two cells of the bank. The results showed that upgrading the launders in different cells along the circuit delivered an increase in the final recovery with respect to the baseline, with a partial impact on the concentrate grade. However, these changes are less than those when evaluating the full upgrade scenario. A partial launder upgrade either in the first or last two cells of the bank showed similar final recoveries, but the latter enabled a slightly higher concentrate grade (about 1 per cent higher) to be achieved. Finally, the evaluation of launder design using the industrial simulator made it possible to estimate its effect on variables that are not commonly obtained from plant surveys, including froth recovery per particle size, collection recovery per particle size and liberation, gangue entrainment and bubble loading grade.

Aug 24, 2022

By J Wheeler

The objective of this paper is to examine the operation of high frequency screens in closed circuit grinding, where the outcomes achieved indicate favourable economic gains at the comminution stage and downstream processes, including flotation, dewatering, and filtration operations. The classification process in grinding circuits has been slowly evolving within the last century. The history of classification devices brings to mind rake classifiers and spiral classifiers, which although having higher efficiencies compared to hydrocyclones, were not able to keep pace with the evolution of concentrator equipment treating higher tonnages. This higher tonnage throughput has tended to drive the concept of utilising hydrocyclones as the classification stage in closed grinding circuits. The comminution process is commonly the most energy intensive stage of mineral processing. Researchers have determined that the classification stage in the comminution process has the greatest potential for improvement. This paper is intended to inform mineral process engineers of the benefits that high frequency screens offer over hydrocyclones. This will be done by reviewing the purpose for the evolution of classification in the comminution process, documenting past and recent studies, and explaining the modern technology that is currently available.

Aug 8, 2011

By D R. Wines

The design of near-surface civil infrastructure requires detailed consideration of the geological/ geotechnical conditions, excavation geometry and sequence and ground support measures to ensure stability of the underground openings and minimal impact on overlying or adjacent infrastructure. Twin parallel road tunnels have been designed and built with connecting cross passages and a piggyback busway tunnel as part of a large infrastructure project in Australia. The tunnels were excavated in poor to fair quality rocks using road headers. Temporary ground support includes shotcrete, rock bolts and canopy tubes. Extensive numerical analyses have been performed to analyse the expected behaviour of the tunnels during excavation, including two-dimensional analyses using UDEC and three-dimensional analyses using FLAC3D. Structural defects in the rock are explicitly included in the 2D analyses to examine the potential for localised ground instability. The stress redistribution is captured by the 3D modelling with an accurate representation of the complex excavation geometry and the detailed excavation and support sequence. This paper presents the modelling methodology, numerical results and discussions on integrating both 2D and 3D analyses to achieve reasonable design.

Mar 8, 2011

By Clark G

The latest addition to the grinding circuit at Bougainville Copper Limited is another 5.5m by 7.3m primary mill (No.13). The mill can operate in a primary or secondary mode. Its distinguishing feature is its capability for speed variation, by means of a cycloconverter-fed synchronous ring motor. The engineering and metallurgical reasons for selecting such a drive system are described together with aspects of the installation and commissioning. Results of investigations into the relationship between mill speed and grinding efficiency are presented. It is concluded that mill speed variation within the range 70 to 80% of critical speed has very little effect on grinding performance. Beyond this range, grinding performance deteriorates. The same conclusions were reached when mill speed was varied at reduced ball charge levels.

Jan 1, 1986

By L O’Connor, S C. Dominy

"Geometallurgy is an important addition to any evaluation project or mining operation. As a discipline, it seeks to maximise the net present value (NPV) of an orebody while minimising technical and operational risk. It also aims to promote sustainable development and initiatives by ensuring that all stages of extraction are performed in an optimal manner from a technical, environmental and social perspective. To achieve these goals, development of innovative technologies and approaches along the entire commodity value chain are being established (Glass, 2016). Geometallurgy has been shown to increase operational stakeholder collaboration, creating an environment for knowledge sharing and improved data acquisition and interrogation, with the end result being the integration of such data into mine planning and scheduling. All of these aspects create better business optimisation, utilisation of staff and targeted and realistic key performance indicators.The mining industry faces numerous challenges including, but not limited to:declining ore gradesgeometrically and/or internally more complex depositsdeep-seated deposits, with potentially high in situ stress regimesincreasing quantities of mine waste that needs to be managed appropriatelyhigher energy, water and chemical costsprocessing of more challenging and refractory ores – textural complexitiesstricter environmental/permitting conditions – so-called ‘licence to mine’increasing demand for specialist metals (eg rare earth elements, In, Ge, Te, Rh, Se, Ga and Li)commodity market volatilitya difficult funding environment.Given these challenges, geometallurgy provides the opportunity to control or at least manage some of them.CITATION:Dominy, S C and O’Connor, L, 2016. Geometallurgy – Beyond Conception, in Proceedings The Third AusIMM International Geometallurgy Conference (GeoMet) 2016, pp 3–10 (The Australasian Institute of Mining and Metallurgy: Melbourne)."

Jun 15, 2016

By J Jackson, D C. Curry, A C. Keith

Australian Bureau of Statistics (ABS) data shows that since 2006 the balance of capital costs associated with mine development has become weighted greater than 75 per cent to enabling infrastructure and less than 25 per cent on process plant, equipment and machinery. The well-developed mine planning techniques including pit optimisation and scheduling and process plant design and optimisation have typically proceeded in a linear fashion from geology, mine planning, through processing, with some iterations back to the mine. Only then is attention paid to planning and costing of enabling infrastructure in any detail.Optimisation has typically involved developing cut-off grades, mine plans and schedules and ore processing that produces maximum economic ore. Infrastructure has then been sized æto suitÆ the mining and processing core business drivers.What the ABS data, together with global trends, indicates is that infrastructure can no longer be an afterthought if miners wish to achieve robust project value estimates, realistic ore to market costing and resource statements based on achievable economic cut-off grades.In addition, with such a large proportion of the costs originating from non-mining or processing activities, a mining operation can only be truly optimal if these aspects are given due consideration in the mine design stages, based on quality geometallurgical inputs so that the size and cost of enabling infrastructure is optimised to maximise project value.This paper outlines an iterative holistic approach to mining project development, which integrates the geometallurgical approach and enables infrastructure planning into project design and evaluation. It presents case studies showing reduced overall costs, increased net present value (NPV) and reduced project delivery timelines.CITATION:Curry, D C, Keith, A C and Jackson, J, 2013. Is a 2.5 per cent success rate good enough? Traditional mine development methods have the tail wagging the dog, in Proceedings The Second AusIMM International Geometallurgy Conference (GeoMet) 2013 , pp 113-128 (The Australasian Institute of Mining and Metallurgy: Melbourne).

Sep 29, 2013

By H Bateman, I Cawrse, G Carnes, S Cawrse

In developing mineral resources, the focus typically centres on the management of identified social and environmental impacts and compliance with regulatory requirements. However, opportunities to protect and enhance the environment and communities are most effective in the planning and design phases. Achieving the objective of integrating sustainability considerations as an element of design decision making requires that the design criteria be technically sound, relevant to the project and applicable to desired design outcomes. This is particularly important for projects employing virtual teaming, where design engineers may be geographically dispersed and are unlikely to be familiar with site specific sustainability challenges and opportunities. This paper documents the approach taken by BHP Billiton to incorporate sustainability principles, objectives and guidelines in design criteria for the Olympic Dam Expansion (ODX) project. It describes the range of inputs used in defining sustainability objectives which interface in a framework that is dynamic and transferable to other mining projects and to engineering design in general. The Sustainability in Design Criteria document distils statutory requirements, corporate standards, lessons learned and leading industry practice into a single coherent framework that supports engineers to approach problem solving as a holistic and integrated exercise with a long term perspective. The framework also serves to improve linkages between internal stakeholders by fostering greater communication, collaboration and innovation to deliver more sustainable outcomes through the design process.

Jan 1, 2009

By P Jere

Mechanically coupled rock bolts encapsulated in cementitious or polyester cartridge resin grouts have been widely adopted for various underground rock reinforcement applications. Resin grouts are considered a superior product, however, both systems have their advantages and limitations, with the relative performance, quality installation cost and cycle time as the most notable parameters. Both applications have optimal rock bolt combinations and preferred ground conditions. Cementitious grouts are favourable for use with secondary deep embedment anchors. These are installed using various equipment with a series of autonomous tasks required to complete the installation cycle. The cartridge resin system can be utilised by a bolting or face boring rock drill to complete the full support installation cycle. This reduction in equipment changeouts mid-cycle generally deems it the more practical application and popular choice for primary support. Self-drilling anchors (SDAs) and hollow bolts have been a viable alternative to traditional rock reinforcement in variable and challenging ground conditions. Using a pumpable post installation grouting system, SDAs have proven to aid the quality of installation, but due to the additional equipment and cycle steps associated with application, the cycle time is increased. In recent years, fully mechanised bolting equipment designed to utilise a combination of self-drilling anchors and a thixotropic pumpable resin installed in a single pass has entered the market. This innovation is anticipated to deliver the advantages described above, with fewer limitations, and significantly improved development and rehabilitation rates. St Barbara Mining and Byrnecut Australia, supported by Master Builders Solutions, were first to conduct extensive trials and implement this rock bolting approach in an Australian hard rock underground mine and record the actual performance.

Mar 29, 2023

THE following paragraphs represent an endeavour to describe, briefly the equipment used for the manufacture of sulphuric acid and superphosphates by the Corporation.SULPHURIC ACID PLANTS.Two separate units are in operation, No. I Plant working on sulphur dioxide generated from pyritic ore, No. 2 Plant working on sulphurous gases obtained from the Huntingdon-Heberlein desulphurizing process. The latter plant is unique in being the first installation for the successful use of these gases.

Jan 1, 1918

By A L. de Ambrosis, S J. Clarke, R Bertuzzi, J Redelinghuys

The M2 Upgrade Project involved widening 15 km of the existing M2 Motorway, which is a key route in Sydney’s road network. The Norfolk Twin Tunnels in North Epping convey traffic over a 460 m length of the motorway. The project involved widening the twin tunnels to provide a third lane and breakdown lane in each direction.The widening of the tunnels was fundamentally different to other ‘greenfield’ tunnel projects in that the operation of the tunnel was maintained throughout construction, with motorway traffic permitted close to the excavation faces on a daily basis. The widened works had to integrate with the existing tunnel support, construction details, and mechanical and electrical infrastructure.The existing tunnel afforded the opportunity to review existing ground conditions in the tunnel. Exposures were mapped within the tunnel, and key design parameters were back-analysed from the original monitoring data to provide increased confidence in the assessed impact from the widening works.Traffic capacity of the tunnels was maintained by detailed staging of the works, and included the ability to reopen the tunnels at short notice.A permit to tunnel system was developed to manage the risks associated with re-opening the tunnel to traffic. A comprehensive suite of instrumentation was maintained to provide reliable monitoring data to support this process. Emphasis on the robustness and reliability of tunnel instrumentation provided increased confidence in the adequacy of the tunnel support being installed. The monitoring was routinely compared with design predictions to check the adequacy of the support measures being installed and confirm the design.The approaches and methodologies developed for the widening of the Norfolk Tunnels were effective in maintaining the safe operation of the tunnels throughout the two years of construction, and provide a framework for increasing the capacity of existing tunnel infrastructure in the future.CITATION:Clarke, S J, de Ambrosis, A L, Bertuzzi, R and Redelinghuys, J, 2014. Design and construction for the widening of the M2 Norfolk Twin Tunnels, in Proceedings 15th Australasian Tunnelling Conference 2014 , pp 591–602 (The Australasian Institute of Mining and Metallurgy: Melbourne).

Sep 17, 2014

By L I. Rozman

"There have always been development projects that fall short of expectations. In the last decade, we have seen more than the usual number of mining and oil/gas development projects taking significantly longer to develop and costing materially more than expected. The recent resource-equity market slump proves that investors are now far more cautious about investing new capital in the mineral and petroleum resources sector.What have we learned since 2005? Why have projects missed their targets? Why do investors often feel misled?Valuation of a project and the estimation of value is a more complex process than the evaluation of the merits of project development. The merit of project development can be clear from a prefeasibility evaluation, but this is no reason to skip the rigour of a feasibility study. The valuation of any project that is developed with any added risk should be discounted for this added risk.The development of a project impacts on other stakeholders, and the indirect cost of these impacts can have material implications for the cost structure, time and ultimate valuation of the project for its financial backers. The development of new projects (and thereby supply) can also have an impact on commodity prices, and therefore an impact on returns for financial backers.This paper will provide commentary on the author’s experiences and observations as a project developer and operator for 25 years, before becoming a project financier a decade ago.CITATION:Rozman, L I, 2016. Project evaluation and valuation – an investor’s golden rule, in Proceedings Project Evaluation 2016, pp 31–36 (The Australasian Institute of Mining and Metallurgy: Melbourne)."

Mar 8, 2016

By S Utili, A Agosti

The Overall Slope Angle (OSA) of pitwalls plays a crucial role in the financial return of an open pit mine. In current practice, pitwall profiles are designed to be planar in cross-section within each rock layer, ie the profile inclination across each layer tends to be constant. A new slope design software, OptimalSlope, has been recently proposed to determine the geotechnically optimal profile shapes for the pitwalls of mines. OptimalSlope seeks the solution of a mathematical optimisation problem where the overall steepness of the pitwall to be designed is maximised for an assigned stratigraphy, rock properties (unit weight and strength) and Factor of Safety. The geometry of the benches is provided as input to OptimalSlope. The results obtained so far on three mine case studies in isotropic rock masses (Utili et al, 2022; Agosti et al, 2021a, 2021b) show that optimal profiles are up to 5° steeper than their planar counterparts – ie the planar profiles exhibiting the same FoS – leading to realising significant saving on waste rock and as a consequence Net Present Value increments and carbon footprint reductions. OptimalSlope algorithms have been modified to deal with anisotropic rock masses characterised by direction dependent shear strength. In the paper, the case of rock masses in banded iron formations (BIF) is tackled. A data set of anisotropic rock shear strengths typical of Western Australia is considered. The Snowden modified nonlinear model was employed to characterise the anisotropy of the rock mass shear strength. From the OptimalSlope simulations performed emerges that optimal pitwall profiles can increase significantly the Overall Slope Angle in comparison with planar profiles featured by the same Factor of Safety. LEM stability analyses of all the profiles were also performed by Rocscience Slide 2 to independently verify the FoSs of the optimal profiles obtained.

Nov 29, 2022

By R Stimpson, B Johnson, B Hesse

During a period of twelve months between FY18-19, a series of trials were conducted to compare production drilling accuracy using two different methodologies, and the subsequent impact this had on stope performance (dilution and recovery). Testing was conducted at a series of underground mines in Australia. The drill rig’s existing alignment processes were compared to a new technology system, with the following observations: • The new technology was proven to limit rig alignment error, thereby reducing average blasthole deviation, resulting in an increase in the number of holes drilled within tolerance by up to 160%. • The increased accuracy reduced stope dilution significantly by reducing over-break of subgrade ore, whilst also increasing drilled meters (faster stope-cycle time), reducing the bridged tonnes ratio, and facilitating the capture of previously uneconomical stopes. A cost-benefit analysis extrapolated from each of the trials showed the extent to which the new technology, when applied to production data, reduced average dilution, increased ore recovery as well as general drill and blast productivity. In one such trial, the new technology was proven to have reduced average dilution by net 45.4%, which if applied to a full year’s production data, would result in AUD8.2M additional ore recovered, with AUD4.5M less spent on wasted cost of haulage and processing of diluted ore. As a result, return per tonne would increase 22%, from AUD87 to AUD106. This improvement was maintained over the following 12 months – reducing average dilution from 22% in FY17 to 12.1% in FY19.

Mar 15, 2021

By P S. Jaitawat, M Sarim, M P. Roy, P K. Singh, A Joshi

Mining is being carried out using the sublevel open stoping method at the Kayad underground mine. The mine will ultimately reach a depth of 390 m. Kayad village is only 100 m (horizontally) from the underground mining areas. As a result, blast-induced ground vibration is one of the major issues for the residents of the village. This paper deals with the process involved in optimising blast design parameters at the development face blast, slot raise blast and ring hole blast to control blast-induced vibration within safe limits while ensuring improved production, productivity and safety. In total, 1041 development face blasts, 110 slot raise blasts and 52 ring hole blasts were conducted, and 2612 vibration data were monitored in the village at different locations. Initially, electronic delay detonators were used, with an emphasis on controlling vibration in the surface structures. Subsequently, shock tube (Nonel) initiations were used as the blasting faces reached lower depths. A comparative study was also performed for both the initiation systems. The orebody width generally varied from 3.1 to 7 m, and ring hole designs were optimised accordingly. The number of holes in a ring was up to seven and the depth was up to 23 m, depending on the size/width of the orebody. The ring blasts were performed with 64–340 kg of emulsion cartridge explosive and detonated with explosive weight per delay of 10.92–17.16 kg. Extensive experiments were performed and blast-induced vibrations were controlled in the village. Deck blasting (ie up to four explosives decks) was used in a blasthole and the explosive charges were separated by delay detonators, which helped to control the vibration in the village. The actual detonation time of each deck was recorded by monitoring the in-hole velocity of detonation of the explosives, and the charging patterns were optimised accordingly to get the desired blast results.CITATION:Roy, M P, Singh, P K, Sarim, M, Jaitawat, P S and Joshi, A, 2015. Blast design and vibration control at Kayad lead-zinc underground mine, in Proceedings 11th International Symposium on Rock Fragmentation by Blasting, pp 533–544 (The Australasian Institute of Mining and Metallurgy: Melbourne).

Aug 24, 2015