Search Documents

By C. Hutton

"SynopsisThe last commodities supercycle (2003 to 2011) was characterized by a belief in volume at any cost, where absolute output was deliberately prioritized over productivity considerations. This practice fuelled overoptimistic forecasting and planning, which in turn contributed to the economic crisis that followed. The sudden collapse of commodity prices has resulted in mining companies scrambling to find the right balance between optimizing current operations and preserving sufficient flexibility to grasp future opportunities. The runaway costs of building and operating mines have almost squeezed out profit margins, while lower ore grades are inflating production costs. Mining companies therefore need to look at the business with fresh eyes, and develop strategies to attract equity capital as traditional approaches are simply not working anymore. This is especially so in the context of a dwindling investor base that continues to demand greater returns, despite a significantly lower appetite for risk. This paper revisits the micro-economic concepts and demonstrates how pressure from shareholders to prioritize output contributed to spiralling costs and value destruction. Practical techniques are described to model cost curves to optimize a Mineral Resource endowment and address the need to rightbalance a business and preserve agility.IntroductionHenry Lazenby (2014) for the Mining Weekly writes, ‘Bruised and battered, the global mining industry today is undergoing a sea change. Practices and policies that might have worked wonders in the past are not as relevant today, and new approaches to running profitable mining operations need to be found.’ One significant practice the mining industry had during the last commodities supercycle (2003 to 2011) was chasing volume at any cost; absolute output was deliberately prioritized over productivity considerations (Goldsmith, 2013). Lazenby contends that in the face of falling and volatile commodity prices, many mining majors ‘across all commodity groups are currently grappling with sagging profits and low company valuations. This is often regarded as the result of the were in pursuit of growing their output at all costs in a high commodity price environment.’ Lee Hodgkinson, KPMG’s Canadian mining industry leader and quoted by Lazenby, says that ‘mining companies are now trying to find the right balance between optimizing current operations and preserving their agility to grasp future opportunities. The runaway costs of building and operating mines have almost squeezed out profit margins [whilst] lower grades of ore are inflating production costs. Mining companies need to look at the business with fresh eyes, and develop strategies to attract equity capital as it seems clear that some of the traditional approaches to the mining business are simply not working anymore."

Jan 1, 2015

By L. F. Contreras

In open pit mine design, it is customary for geotechnical engineers to define the appropriate slope design angles within practical limits. The conventional approach to slope angle design is based on the comparison of calculated stability indicators, such as the factor of safety (FS) and the probability of failure (PF), with generic acceptability criteria not directly related to the impacts of failure. A major drawback of this type of approach is related to the difficulty of defining meaningful acceptability criteria. An alternative methodology of pit slope design is proposed, where the economic impacts of potential slope failures are calculated and used as the elements on which to apply the acceptability criteria for design. The methodology is based on the construction of a graph, referred to as a risk map, that relates the probability of exceeding the economic impact of slope failure to the magnitude of the impact measured in monetary terms. The process includes the analysis of a selected number of representative years of the mine plan and slope sections of the pit areas to define the required inputs for the construction of the risk map. The paper discusses the concepts used in interpreting the probability of slope failure, and describes the approach followed for the estimation of the economic impacts of slope failure and the construction of the risk map. Finally, the two main uses of the risk map are discussed, including the comparison with acceptability criteria for the evaluation of a specific open pit design and the comparative analysis of open pit design options in terms of value and risk to identify optimum pit layouts.

Jan 1, 2015

By C J. de Beer

The Kwaggashoek East pit is one of the four production areas of Thabazimbi Iron Ore Mine. The Kwaggashoek East Open pit mines through the abandoned sublevel caving operations of the Kwaggashoek East underground workings. A risk assessment indicated that the primary risk is the occurrence of surface subsidence. Based on local knowledge, a hypothesis, that most of the cavities were filled with broken rock as a result of roof collapse and bulking of failed material was formulated. To test the hypothesis a number of geophysical methods as well as probe drilling was utilized. The results of the resistivity, gravity and ground penetrating radar surveys were inconclusive in determining the position of voids. Either there were no voids present or the resolution of the surveys was not high enough to pick it up. It is accepted that only small voids remained, and that the supported roof hypothesis is valid. As a precautionary measure all the production blast holes within the caving area were over-drilled by forty percent. This would collapse the roof of any small voids or tunnels immediately below the block. This operation proved to be successful as two of the three underground levels have been mined out with no subsidence occurring in the pit floor.

Jan 1, 2006

By T. Tamura

It is known that the CaO-FetO-P2O5slag system has a wide liquid miscibility gap at steelmaking temperatures and this two-liquid slag phase has many advantages such as high activities of both FetO and CaO and high amount of P2O5. The phosphorus distribution ratio between the two-liquid slag and molten steel was confirmed to be higher than that between CaOsat.-FetO-P2O5slag and molten steel. The two-liquid slag may be useful for dephosphorization of molten steel and reduction of slag volume. Furthermore, the phase equilibrium of two-liquid CaO-FetO-P2O5slagsaturated with MgO was measured to determine the applicability of the two-liquid slag to dephosphorization in steelmaking process. Keywords: slag, refractories, solid solution, two-liquid phase, dephosphorization, steelmaking, phase equilibrium.

Jan 1, 2004

By R. T. Jones

Slags have been produced as by-products from pyrometallurgical processes for thousands of years, and have generally been regarded as waste. Many of these slags are no longer seen as residues merely to be discarded, but as potential economic sources of metals, or as useful by-products in their own right. Slag cleaning can enhance the recovery of valuable metals in existing pyrometallurgical processes, or can produce economic value from recycling old slag dumps. For example, a process has been developed and implemented industrially for recovering cobalt from copper smelting slag in a DC arc furnace. The relatively non-leachable behaviour of glassy slags allows them to be used as a very safe means of disposal of metallurgical waste streams, including many that are classified as hazardous. The high temperatures, reducing conditions, and good mixing that can be achieved in a DC arc furnace enable the effective functioning of this environmentally beneficial means of disposal. Lead blast furnace slag can be rendered safe for disposal by treating it using the Enviroplas process, which strips most of the hazardous lead from the slag (and traps the rest in an insoluble glassy slag) and recovers economic quantities of zinc by absorbing (in a lead splash condenser)the zinc vapour that is fumed off in the furnace. Another example can be seen in the recovery of a chromium- and nickel-containing alloy from stainless steel plant dust, while producing a disposable residual slag. The examples presented here illustrate that it is possible to develop processes that are both economic and environmentally beneficial. Keywords: DC arc furnace, plasma, slag cleaning, cobalt recovery, zinc fuming, Enviroplas, jigging, re-melting fines, environmental, economic

Jan 1, 2004

By Y. M. Chen, H. L. Zhang, W. U. Bing, C. Q. Zhou

Multiphase flow in the widely used Vanyukov furnace was numerically studied. An unsteady three-dimensional and three-phase flow model was firstly built using the computational fluid dynamics (CFD) software ANSYS FLUENT®, and then solved with the volume of fluid (VOF) and k - ??model. The results showed that the proposed model could be used to predict the multiphase movement, the slag/air fluctuation, the vortex formation, and effects of structural and operational parameters. By fast Fourier transform (FFT), the dominant frequency of density with time signal was calculated as 0.29 Hz. The analysis of different injection flow rates of enriched air indicated that this variable has a major effect on the mean slag velocity. The peak mean velocity increased from 2.17 to 4.99 m/s while the flow rate of enriched air varied from 70 to 160 m/s. The proposed model provides a method to optimize the furnace structure and operating conditions for the best furnace performance and lowest energy consumption.

Jan 1, 2015

By F. Dehghani

The influence of different grinding methods on the shape characteristics of magnetite particles was investigated. Also, the effect of particle shape on the flotation of the magnetite, both alone and in the presence of quartz particles, was investigated. The shape characteristics of the magnetite particles were measured and calculated from images obtained by scanning electron microscopy via an image analysis system. The flotation tests were performed using a laboratory flotation cell. Results showed that in the -250+212 µm and -106+75 µm size fractions, ball mill products have a higher elongation value than rod mill products, while in the -150+125 µm size fraction, rod mill products have a higher elongation value. Particles with higher elongation values and lower roundness values have a higher flotation kinetic constant. Furthermore, the influence of magnetite particle shape on flotation is greater, and the flotation kinetic constant is higher, in the presence of quartz particles than in the flotation of magnetite alone Keywords shape, elongation value, flotation kinetics, magnetite.

Dec 1, 2013

By A. Bascetin

One very important aspect of mining is deciding what material in a deposit is worth mining and processing, versus what material should be considered waste. This decision is summarized by the cut-off grade policy. The cut-off grade strategy for an open pit mine influences the annual cash flows and affects the net present value of a project. The optimization of cut-off grade strategy requires the knowledge of detailed operational costs, mining sequence, mining operation, processing, and product constraints, as well as the grade distribution of a given deposit defined by pit, phase, and different material types. Cut-off grade optimization algorithms have been developed in the past. The most common criteria used in cut-off grade optimization is to maximize the net present value (NPV). This paper describes the determination of a cut-off grade strategy based on Lane?s algorithm adding an optimization factor based on the generalized reduced gradient (GRG) algorithm to maximize the project?s NPV. The introduced algorithm is a windows based program developed at Virginia Tech that is based on a series of Visual Basic routines within a spreadsheet environment (Excel).The benefits of the methodology are demonstrated using a hypothetical case study. Keywords: Cut-off grade optimization, net present value maximization, generalized reduced gradient algorithm method.

Jan 1, 2007

By Alan Bye, Megan Little

Geology, and the detailed understanding of its properties, are fundamental to the optimal design and successful operation of any mine. To that end extensive fieldwork has been conducted at Anglo Platinum?s PPRust operation to collect geotechnical information both from exploration boreholes and in-pit mining faces. Since 1998, geotechnical data has been collected from over 337 km of exploration core, 7 km of exposed mining faces and more than 15 600 field and laboratory tests, in order to define the complete set of geotechnical properties for each rock type in the mining area. The geotechnical information collected is stored in two databases, SABLE Warehouse and MineMapper3D before it is imported into the Datamine mining software package. The geotechnical parameters, mining rock mass rating system (MRMR), uniaxial compressive strength (UCS), fracture frequency per metre (FF) and rock quality designation (RQD), are modelled using geostatistics to generate a 3D geotechnical block model. Data is interpolated between exploration boreholes and exposed mining faces and modelling is constrained, using wireframes, by rock type and structural features. By having detailed geotechnical information available in a 3D model that can be readily accessed and interpreted, significant production optimisations, feasibility studies and planning initiatives can be implemented. From a slope design perspective the model is used to target data deficient zones and highlight potentially weak rock mass areas. As this can be viewed in 3D, the open pit slopes can then be designed to accommodate the poor quality area before it is excavated. It also follows that geotechnical zones can be readily identified and the slopes optimised accordingly. Rather than viewing the drill and blast department as an isolated cost centre and focussing on minimising drill and blast costs, the fragmentation requirements of the comminution and load and haul business areas are studied. It is well understood that chemical energy is the cheapest form of comminution and that major downstream benefits can be derived by increasing drill and blast expenditure. 238 blasts were assessed to determine the optimum fragmentation requirements for ore and waste. Based on the study a mean fragmentation target of 150 mm was set for delivery to the crushing circuit and a mean fragmentation of 230 mm was set for waste loading from the pit. Substantial benefits have been realised in the drill and blast department by developing empirical correlations that relate the MRMR values in the geotechnical model to a blastability index, fragmentation, required powder factor and costs. As the geotechnical model can predict changes in geotechnical conditions, the blasting

Jan 1, 2007

By P Knight, P A. Walker, H E. Speight

Pushback 8 South is the final cut back on the south wall of the East Pit at BHPBilliton?s Mt Whaleback iron ore mine in the Pilbara region of Western Australia. Development of the cutback commenced in 1999 and is now nearing completion with ultimate pit walls up to 300m high. This paper describes the geotechnical, structural and hydrogeological setting of PB8S, reconciliation between design and slope performance and the slope engineering techniques used to effectively manage the risks associated with the slope. These techniques include slope buttressing and sequential mining with waste backfilling, as well as a detailed program of displacement and hydrogeological monitoring, structural mapping and slope stability assessment. During the course of slope formation recent developments in remote slope displacement monitoring using radar and remote structural mapping using terrestrial photogrammetry have also been applied. Aspects of the PB8S slope management plan are relevant to many large scale open pit slopes. This paper provides geotechnical practitioners with information which may be helpful in managing geotechnical risk in similar environments.

Jan 1, 2006

By D. Malovichko

Seismic events and pillar failures observed in two platinum mines in the Rustenburg area, South Africa, were investigated. We studied the sources of approximately 300 largest seismic events recorded in 2009. Moment tensors of these events were estimated from amplitudes and polarities of P- and S-waves. The inverted mechanisms contain isotropic implosive components in many instances. Analyses of uncertainty of the moment tensor solutions confirmed the significance of the implosive component in general. Several documented cases of pillar failure were considered in detail. For each of these a seismic moment tensor was calculated from an elastic stress model assuming an instant removal of a failed pillar. The geometries and magnitudes of the theoretical seismic moment tensors are in agreement with the observed (i.e. inverted from seismic data). The results indicate that either pillar failure or fracturing in the proximity of the reef (within a fraction of the dominant wavelength of seismic waves) are responsible for a significant portion of the large events recorded in these mines.

Jan 1, 2012

By G. M. J. van Heerden

Paper written on project work carried out in partial fulfilment of B. Eng (Mining Engineering) degree The Union Section of Anglo Platinum is situated ±18 km west of the town of Northam on the north-western rim of the Bushveld Igneous Complex. Both the Merensky and UG2 reefs are mined. Support of the Merensky stoping areas with rock bolts is specifically problematic due to the stoping width restrictions varying around 90 cm. The installation equipment of in-stope rock bolts and the effectiveness thereof in the Merensky stoping areas was critically evaluated. In order to do this a background research on the need for better on-the-face support had to be conducted. The need for improving the rock bolt drilling and the equipment had to be investigated and the financial implications and justifications for the improved equipment examined. To conduct the search an overall study was done on the rockfalls and safety aspects throughout the platinum industry in South Africa and specifically Union Section. It was found that most of the rock falls in the Merensky stoping areas of which ± 70% are less than 1.2 m in thickness generally occurs within 4 m from the face and causes ± 60% of the in-stope injuries. Serious shortcomings had been identified with respect to the airleg, rock drill machine and the drill steels used in the drilling of the rock bolt holes. Through experimentation, using a testing frame built for this purpose on surface and with the co-operation of mine staff and suppliers, a number of possible modifications were identified and tested. This resulted in the final product with which it was possible to drill a 1.2 m hole in the hangingwall of the stopes ranging with an angle to the hanging from 90° for a 90 cm stoping width and 67° for a 80 cm stoping width. It is confidently concluded that this system will effectively improve the total face support and result in a substantial reduction of rock falls and consequently the occurrence of injuries and fatalities in the Merensky stoping areas. The installation of rock bolts on the face with the modified drilling equipment will increase the direct support, but the system has a potential of a substantial reduction in the profile stick support density and an increase in productivity in the stoping areas due to fewer occurrences of rock falls. It was finally concluded that effective modifications to the drilling equipment for rock bolt in-hole drilling could be made and the installation thereof in the stope face is adequately justified.

Jan 1, 2002

By N. B. Devi

The extraction of copper(II) from sulphate solution was investigated using LIX®984N in kerosene. The parameters that could affect the extraction, such as equilibrium pH, extractant concentration, salt concentration, various diluents, and temperature, were separately investigated. On the basis of slope analysis, the complex formed in the organic phase is proposed to be CuR2, where R is the anionic part of LIX®984N. The extraction equilibrium constant and Gibbs free energy ( G) of the extraction process were determined. The positive value of H obtained from temperature variation studies showed that the extraction process is endothermic. The extraction of copper was lowest when chloroform was used as the diluent. Separation and recovery of copper from a synthetic copper-nickel solution containing 6.35 g/L Cu(II) and 0.58 g/L Ni(II) was carried out using 20%(v/v) LIX® 984N. The separation factor ( = DCu/DNi) was found to be pH-dependent. A two-stage batch countercurrent extraction was carried out at an O:A ratio of 3:4 at equilibrium pH 1.05 for extraction of copper from copper-nickel solution, followed by copper stripping from the loaded organic phase with 15% H2SO4 at an O:A ratio of 3:1.

Jan 1, 2014

By K. N. Karparov

The classical limit equilibrium methods are suspected to be ineffective in predicting the potential for highwall failure in many instances in coal mines around the world. Slope engineers have for many years recognized a block thrust failure mechanism for slope failures, but little work had been done before 2000 to explain the actual mechanisms which must be responsible for the failure. The main reason for this is that limit equilibrium methods implicitly assume rigid blocks, and the resulting force equations must be satisfied everywhere simultaneously for them to have any meaning. This paper will show that the material involved in the slope failure is not rigid; indeed it undergoes considerable permanent deformation during failure. This observation allows the authors to treat the block boundaries independently, because they need not maintain a constant spatial relationship with one another, as is assumed in other methods. To enable analysis of this type the authors assume that the weight of the blocks is evenly distributed. This is reasonable, because the slope material is not strong enough to be self-supporting without some sort of constraint, or strong enough to be able to apply point loads to the surrounding material. The purpose of this paper is to extend the practical application of the analytical method developed from mechanism studies to provide an objective assessment of the risk of slope failure, and therefore guidelines for more stable slope designs. This work is based on studies carried out on two failures in an open pit coal mine in South Africa, and provides a methodology to assess the potential for failure more objectively than is possible with currently accepted methods, while at the same time remaining sufficiently simple to allow a ?back of the cigarette box? assessment by geotechnical engineers on site.

Jan 1, 2009

By J. W. van der Merwe, A. Palazzo

"Owing to the corrosiveness of the untreated brackish cooling water typically used for steel mills (and other environments), it is important to treat the water and monitor corrosion in such systems. Generally, corrosion rates are monitored with corrosion probes inserted into a pipeline or vessel. This has been standard practice for many years, and is widely accepted in industry. Typically, two kinds of probes are used - electrical resistance and linear polarization resistance (LPR) probes.In this study, the effectiveness and accuracy of the LPR technique was evaluated by comparing the electrochemical measurements with the results of mass loss tests using corrosion coupons. The corrosivity of the environment, a synthetic brackish water, was varied by varying the calcium hardness and alkalinity, and to simulate actual plant conditions temperatures of 35°C and 45°C were used. In addition to the corrosion rate measurements, the iron concentration was measured, as well as the imbalance from the probe.The corrosion rates obtained by LPR were from 57% lower to 385%higher than those from the immersion tests. Most probe measurements were higher than the immersion results, and 50% of the probe results were50% or more higher than the immersion results. The best correspondence between the two methods was obtained at low calcium levels, except for one measurement that was 93% higher than the coupon results. There was no clear correlation between parameters such as temperature and total alkalinity and the difference between the results. It would therefore appear that LPR measurements can differ significantly from immersion results, and LPR results should therefore be used with caution in industrial applications."

Jan 1, 2015

By D. M. Mubita

Dilution reduction is one of the areas that offer metal mines an opportunity to increase revenue and reduce costs, resulting in enhanced profits. Effective dilution control programmes require interaction on a multi-disciplinary level. This paper outlines recent initiatives undertaken at Konkola Mine to reduce dilution and increase revenue. The increase in revenue arising from reduced dilution and high factors between in situ and delivered to mill grades were quantified and amount to close to U$ 1.0 million per one per cent improvement in grade factor at a 75c/lb copper price. Sources of dilution from open and in?stope mining methods practised at the mine were identified and a multi-disciplinary dilution control forum set up to control these. Among the major achievements were the introduction of low dilution in-stope mining methods; the introduction of Gemcom geological and mining planning software to replace traditional pencil and paper methods, leading to better in situ estimation and production planning; enhanced control in open stopes through dilution awareness among mining production personnel; location of critical secondary development ends in correct positions; enhanced blast hole control; tracking of development waste by metal tracers and monthly tally; implementation of a cavity monitoring system to check over-breaks in open stopes; and setting up of a stope history database. The results from the cavity monitoring system showed that stopes with over-breaks of 5 metres or less could be controlled to break along the hangingwall contact.

Jan 1, 2005

By D Reddy

Rosh Pinah Zinc Corporation is a zinc-lead mine located in southern of Namibia. It is currently considering the development of a low grade ore body containing about 2.8% zinc. This ore can be utilised by the concentrator if it could be upgraded prior to the ball mill. Preliminary work indicated that the ore may be upgraded in a pre-beneficiating stage by using dense medium separation, X-ray sorting or a combination thereof to a feed grade of minimum 9% zinc. This paper describes the process followed in evaluating the technologies for pre-beneficiation. The results from test work indicated that the low grade ore is amenable to pre-beneficiation by both dense medium separation and X-ray sorting. A comparison between the two technologies showed that dense medium separation marginally outperformed X-ray sorting on grade and recovery. The results for the X-ray sorting were achieved by tuning the calibration curve specifically for the samples tested.

Jan 1, 2008

By W. J. Errington

The Isasmelt process was developed at Mount Isa Mines Limited in Queensland, Australia in collaboration with CSIRO, the Australian Government research organisation. Originally developed for primary lead smelting, culminating in the construction of a 60,000 tonnes per annum lead smelter at Mount Isa, this technology now also provides a major part of the current 200,000 tonnes per annum copper smelting capacity at Mount Isa. A programme is now in place to expand copper production to 250,000 tonnes per annum. The technology has also been applied to secondary lead smelting at Britannia Refined Metals, a MIM subsidiary company, where a 30,000 tonnes per annum lead plant based on battery scrap feed has been operating since 1991. Mount Isa Mines Limited decided to license the technology in1988, and copper smelting plants utilising Isasmelt technology are now operated by Cyprus Miami Mining Corporation in the USA and by Sterlite Industries in India. In addition, the technology was adopted by AGIP for smelting copper/nickel concentrates in Australia. Union Miniere are currently constructing an Isasmelt furnace to smelt and convert copper-containing materials at their plant at Hoboken in Belgium. This paper discusses these developments and also some likely future developments which include the application of the technology for continuous copper and nickel converting and applications in the treatment of zinc-containing residues.

Jan 1, 1997

By T. Y. Yunsel

Estimation techniques such as polygonal, triangular prism, trapezoid, isopach maps, and inverse distance methods are often used in ore or industrial minerals deposit evaluation. These techniques do not express the variability of the deposit and do not allow a determination of the reliability of the estimates. However, geostatistical methods can express a measure of the error associated with the estimates, by finding weighting coefficients for a given mining block, and can also help with data configuration that minimizes the error. This work addresses an application study on the quality and reserve characteristics of the cement raw materials of the Adana Cement Factory in Adana, Turkey, based on the spatial distribution and variability of the chemical components (Si02, CaO, A1203, Fe203). The study has been carried out using a geostatistical procedure that is useful for site assessment, characterization, and monitoring situations where data are collected spatially. Directional and omnidirectional experimental variograms of the cement raw material variables showed that neither strong geometric nor severe zonal anisotropy exists in the data. The most evident spatial dependence structure expressing the continuity for omnidirectional experimental variograms were characterized by exponential and spherical variogram models. These models have been used in cross¬-validation analysis, which proved that these models, their parameters, and kriging parameters are applicable for the study area. Quality contour maps of the deposits at given levels underground were estimated using a kriging interpolation technique. Anomalies such as bullseyes and drift were not observed in the maps that were generated. Kriged maps showed the spatial distribution of quality continuity and variability of the deposits. Grade-tonnage curves and total tonnage estimates in the particular grade were determined using ordinary kriging in order to improve the mining operation and planning. Consequently, local uncertainty and the probability of extreme values occurring are tools of prime importance for the mine planning, the optimum mix of raw materials coming from different quarry stopes.

Jan 1, 2012

By H. Appiah

Small scale mining (SSM) has been going on for a long time in Ghana. SSM was legalized by the PNDC Law 218, 1989. Since then there have been numerous gains from the SSM industry. The SSM is organized locally by the concession owner who engages people to work for the gold which he buys. Small scale miners (SSMs) use crudely made sluices in Ghana and, therefore, their production falls below what is expected. The SSMs work in groups and not as cooperatives, as they do in Brazil and other Latin American countries. Legalization of SSM has curbed gold smuggling considerably because a gold marketing entity is available. SSM poses certain environmental problems like pollution of water bodies and soils by mercury and indiscriminate digging of pits.

Jan 1, 1998