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By A Liu, T Ren

Gas explosion in underground coal workings can pose a serious threat to the safety of mine workers and the entire mine operations. Gas explosion is a very complex thermal-chain reaction in a confined underground environment. Based on combustion and explosion theory, three dimensional (3D) computational models were developed to simulate mine gas explosion flame and overpressure wave propagation in a single entry gateroad in underground coalmines. Six different explosion scenarios were modelled and compared with large scale experimental results and AutoReaGas simulations. Model validations show that the use of shear-stress transport (SST) k-? model together with eddy-dissipation model (EDM) produces good agreement with both experimental and AutoReagas simulation results. Modelling results demonstrated that the changes of temperature versus time can be divided into four stages, ie the initial condition stage, and periods of warm-up, active burning, and burnt-out. Assuming a limited volume of methane is involved in the explosion, the maximum temperature decreases as the distance increases from the explosion point, with the highest temperature reaching about 2460 K. Modelling results show that the evolution of the explosion flame shape experiences four typical stages, ie spherical flame, finger-shape flame, flame with the skirt touching the side walls (ribs) and tulip flame, which are similar to the pattern of a duct explosion. The pressure in the gateroad remains the same as the initial value before the arrival of the explosion wave and then increases rapidly to the maximum value. Modelling results from this study will be used for the design of explosion arresting devices and mine seals in underground coalmines.CITATION:Liu, A and Ren, T, 2017. Computational simulation of gas explosion and its propagation in single entry gateroad, in Proceedings Australian Mine Vent Conference 2017, pp 181–188 (The Australasian Institute of Mining and Metallurgy: Melbourne).

Aug 28, 2017

By D Craw, C Smith, C Rufaut

Oceana Gold (NZ) LtdÆs, Macraes Gold Operation currently has two tailings impoundments, the larger of which covers approximately 75 ha. When an impoundment is temporarily out of use, the surface dries and dust can be blown from the surface to the surrounding area. At present water spraying is used to stabilise the surface, but this is not ideal as Macraes mine can experience water shortages during the summer. This paper examines an alternative method of surface stabilisation using vegetation as a ground cover. The tailings have a low natural fertility, so it is important to determine what will actually grow in the tailings, and whether amendments are necessary. Also important is the effect of the amendments on arsenic mobility in the tailings as the schist rock at Macraes has naturally elevated levels of arsenic. Three plants species, rye corn, barley, and lupin, were grown in metre-deep lysimeters at Macraes mine site. The plants were grown in unaltered tailings, and tailings with one of two amendments added: Bioboost (an organic fertiliser containing biosolids), and superphosphate fertiliser. The leachate from each lysimeter was collected and analysed monthly to determine the extent of arsenic mobility. In addition, laboratory experiments were set up to determine arsenic mobility in tailings with amendments at the centimetre scale.   All plants grew best with the fertiliser amendment, with rye corn growing the best overall. Plants growing in unaltered tailings either barely survived (rye corn, barley) or died (lupin). Plants in the Bioboost amended tailings grew only slightly better than in the unamended tailings. Laboratory experiments indicate that the addition of phosphate fertiliser greatly increases arsenic leaching at the centimetre scale when compared to unamended tailings. The addition of Bioboost only marginally increases arsenic leaching, compared to unamended tailings. This trend has not been repeated in the lysimeter trials on the metre scale over four months. Current results suggest that of the plant types trialed and amendments used, rye corn with superphosphate is the most practical short-term tailings stabilisation method at Macraes.

Jan 1, 2004

By J R. Lang, J K. Mortensen

The Canadian Cordillera contains numerous classic porphyry deposits and several unusual subtypes, including the alkaline suite of porphyry Cu-Au deposits and the Tombstone magmatic suite and associated Au¦W deposits. The alkaline suite formed in collisional settings in island arcs whereas the Tombstone suite was emplaced in an active fold and thrust belt in a continental arc. In addition to different regional settings, these suites differ in the type of underlying basement, metallogeny, and the styles of mineralization. Both magmatic suites were emplaced over short intervals, probably in response to specific tectonic events. In the case of the alkaline suite, the tectonic event promoted magmatic processes suitable for the formation of porphyry Cu-Au deposits. The tectonic environment is less well constrained for the Tombstone suite, but the result was the formation of distinctive porphyry and intrusion-related Au¦W deposits.

Jan 1, 1995

By N Elith

Coal is a valuable energy source in New Zealand and has been mined from the West Coast for over 100 years. Stockton Mine is New Zealand's largest opencast coal producer supplying around 1.5 Mt of hard coking and thermal coal to international markets annually. The Stockton Plateau forms an extensive, gently inclined dip slope on erosion resistant Lower Eocene Brunner Coal Measures unconformably overlying basement rocks. The dip slope rises 600 - 1000 masl, locally dissected by fault scarps and present-day fluvial systems, some of which are deeply incised. Within the Mt Augustus Mining Block overburden comprises of a 30 - 40 m thick sequence of fluviatile, coarse to granular coal measure sandstones. High quality coking coal is preserved as a gently dipping, 10 - 12 m thick seam. High and sometimes very steep cliffs of jointed overburden shape the skyline escarpment, above steep forested slopes and gullies. As mining has progressed at Mt Augustus individual coal blocks are progressively becoming more technically challenging. This paper outlines the scientific approach taken by Solid Energy International and mining contractors to carefully unlock many thousands of tons of coal whilst protecting nearby flora and fauna from the impacts of dislodged rock and other blasting side-effects. The strategy involved: an expert-driven onsite risk assessment,formulation of a management plan to manage impacts,conducting an in situ vibration research program, andanalysis of results and operational designs to eliminate potential environmental problems.

Jan 1, 2003

By D Cumming-Potvin, S W. Jacobsz and E Kearsley, J Wesseloo

This paper describes a physical modelling program that recreated block cave propagation in a geotechnical centrifuge. A brief description of the design of the test along with the sample material and monitoring equipment is given. The samples tested showed caving behaviour and fragmentation distributions that one would expect from caving mines, with one cave deviating due to pre-existing major discontinuities in the sample. A series of fractures formed ahead of and parallel to the cave, implying that an extensional failure mechanism may play a larger role in cave development than previously thought. The results of acoustic emission monitoring of the tests show a seismogenic zone advancing ahead of the cave; however, the quantity and quality of the data is too limited to draw any further conclusions.CITATION:Cumming-Potvin, D, Wesseloo, J, Jacobsz, S W and Kearsley, E, 2016. Results from physical models of block caving, in Proceedings Seventh International Conference and Exhibition on Mass Mining (MassMin 2016), pp 329–340 (The Australasian Institute of Mining and Metallurgy: Melbourne).

May 9, 2016

By J Dwyer, M Hill

Downer’s mining division has made an operational and financial commitment to developing engineered solutions that mitigate the risks associated with operator proximity to uncontrolled development drill boom movements, and unguarded rotating drill steels.With the potential for serious injury or fatality, these identified risks are categorised as critical. Previous attempts by the industry to engineer them out have produced limited success, with numerous incidents still occurring year on year. Ultimately, the industry (as a whole) remains reliant on procedural prevention for operator safety.Downer understood the success of such an initiative would largely depend on the effective collaboration between operational experience, technology experts and automation. With so many variables requiring consideration; such as physical operator movement, machine boom movements, variable machine positions, and underground environmental impacts – challenging traditional technologies was necessary to deliver an optimal solution.For that reason, discrete detection (similar to laser curtains or beams) was considered not fit for purpose. The use of situational mapping, using rotating lasers, however, provided the optimal solution. The lasers collect data that is then processed using a custom software application.The software application is specifically programmed for tracking and classifying objects within detection zones, using advanced algorithms and filtering. Recognition and removal of non-positive disturbances are possible without losing personnel detection capability. The detection of relevant classified objects (humans) is determined by analysis of object size, age, movement, and speed etc. When the relevant object is detected, an alarm and inhibit function is applied preventing drilling functions.Any breach of the safety zone (forward of the front jacks) will automatically disable the hydraulic boom function. This can only be reset in the cabin once the person or persons have returned past the front jacks of the development drill into the safety zone.Downer, in collaboration with partner YUMARR Automation, has successfully developed this reliable boom isolation system, and is called JumboGuard. The system has now been commissioned and installed across all Downer Mining development drill fleets, operating in Australia.CITATION:Hill, M and Dwyer, J, 2017. JumboGuard – automatic boom isolation system, in Proceedings 13th AusIMM Underground Operators’ Conference 2017, pp 287–294 (The Australasian Institute of Mining and Metallurgy: Melbourne).

Oct 16, 2017

By J M. Galvin, B J. McKinnon

Lightning Ridge, Australia, is the largest opal producing area in the world. Most opal is mined from shallow underground mines by individuals or small partnerships with the industry having been protected from large-scale development to date. The safety performance of opal mining has lagged both general mining industry standards and community expectations. The application of geotechnical analysis to the opal fields has the potential to considerably reduce injuries and fatalities. With consideration of the local culture, preliminary geotechnical analysis has been applied to some current methods of work utilised at Lightning Ridge. Practical solutions have been advocated and are presented in this paper. Improvements to safety generated by these practical solutions indicate that further geotechnical research at Lightning Ridge is warranted and would be beneficial.

Jan 1, 2002

By G Baird, M Seto

Reliable evaluation of in situ stress is an important phase in the analysis and design of underground excavations, particularly for evaluating the stability of underground structures to prevent failure or collapse. A technique for the estimation of the full stress tensor based on acoustic emission (the Kaiser effect) is being developed and trialed at the WA School of Mines. The result obtained compare well with the standard over-coring method. The advantages of the technique are that it is relatively cheap, non-time consuming and is applicable to in situ stress measurements at depth in remote regions.

Jan 1, 2002

By Finlayson E, Hilyard D

1:100 000 geological mapping of Bougainville Island has resulted in refinement of stratigraphic subdivisions and relationships. We subdivide the sequence into basement Atamo Volcanics (Late Eocene-Early Oligocene), consisting of spilitised pillow basalts, which are overlain unconformably by Late Oligocene-Early Miocene Keriaka Limestone. The latter is unconformably overlain by fine-medium grained volcaniclastics and minor lavas of the Middle-Late Miocene Toniva Formation which coarsens upward and passes gradationally and conformably into the coarsely volcanolithic latest Miocene-Pliocene Arawa Conglomerate. The Kupei Complex, host to the Panguna.porphyry Cu-Au deposit, consists of medium - K20 microdiorites, granodiorites, and andesites intruding Arawa Conglomerate and Toniva Formation. K/Ar isotopic dates on the Kupei Complex range from 4.8-1.3 Ma, and hence overlap the age of the Arawa Conglomerate. We believe that the Arawa Conglomerate consists of mass flow deposits on a volcani- clastic apron surrounding a volcanic edifice above the intruding Kupei Complex.

Jan 1, 1990

The authors describe two stratiform intrusions within a two miles thick ophiolite belt, one of the many ophiolite (serpentine) belts of the eugeosynclinal sequences of the Kalgoorlie System (metamorphic age c.2700 million years). Unusually good evidence of gravitational differentiation involving cumulates for an Alpine type peridotite-gabbro intrusion has been obtained, in spite of modifications of the original igneous rocks imposed by regional metamorphism. Unmetamorphosed relics of cumulate rocks are a surprising feature of this occurIfence.'fhe differentiation process reflected in the layered sequences is compared to that of the Stillwater Intrusion, Montana. Phase, cryptic and rhythmic layering are recognized. The economic significance of this study lies not only in the possibility of nickel mineralization in this ophiolite belt, but also in that much detailed information on the nature of these belts, which is difficult to obtain in the case of the more altered and sheared rocks of the belts carrying gold and nickel ore deposits nearby, is gathered from the Yilmia occurrences.

Jan 1, 1969

By B Powell

Coastal acid sulfate soils (ASS) are wetland soils and unconsolidated sediments that contain iron sulfides which, when exposed to atmospheric oxygen in the presence of water, form sulfuric acid. ASS form in protected low energy environments such as barrier estuaries and coastal lakes and commonly occur in low lying coastal lands as Holocene marine muds and sands. When disturbed, the iron sulfides in these soils can oxidise and produce large volumes of sulfuric acid (essentially similar chemistry to acid rock drainage with mines) resulting in the subsequent release of toxic levels of iron, aluminium, manganese and possibly heavy metals. This results in detrimental effects on aquatic biota, plants, animals and steel/concrete structures and on human health in the surrounding environment. There are an estimated 2.3 million ha of ASS located along 6500 km of the Queensland coastline. In contrast to many mineral sulfides encountered in the mining industry, the pyrite crystals in ASS can be as small as 2 mm and commonly occur as framboids with extremely large surface area per unit mass, substantially increasing their reactivity if exposed to air (oxidation). Highly reactive iron monosulfides can also occur, particularly in drains and shallow lakes. Many coastal areas, where some 80 per cent of the population of Queensland reside, are coming under pressure for agricultural and urban development. Construction of canal estates, marinas, housing/industrial estates, roads, golf courses, aquaculture ponds, sand/gravel extraction and drainage for sugar cane can disturb ASS and release sulfuric acid, which may then drain into adjacent waterways with heavy rain. As development continues to encroach on coastal lowlands, the identification, quantification and management of ASS must be addressed as part of a commitment to the principles of Ecologically Sustainable Development (ESD). ASS can be successfully managed by adopting best practices and following guidelines, but government, community and industry must collaborate to raise awareness, avoid æhot spotsÆ and develop more cost-effective solutions. Scientists led the education and public awareness program showing infrastructure and environmental damages arising from ASS in Queensland. Using results from mapping and research, they convinced policy makers, industry and polititians to accept the need for legislation founded on good science. The resulting æState Planning Policy 2/02: Planning and Managing Development Involving Acid Sulfate SoilsÆ identifies the StateÆs interest in acid sulfate soils. The Queensland Government considers that development involving acid sulfate soils in low-lying coastal areas should be planned and managed to avoid potential adverse effects on the natural and built environment (including infrastructure) and human health. SPP 2/02 states where the policy applies and when a development application will trigger the policy. It can also be used to assist local governments in preparing their planning schemes under the æIntegrated Planning Act 1997Æ. The SPP 2/02 comes with a æState Planning Policy 2/02 GuidelineÆ to provide advice and technical information on interpreting and implementing the SPP 2/02. This guideline has legal status in assisting in the interpretation of SPP 2/02. Those seeking more detailed technical information can now also access the æSoil Management GuidelinesÆ and ASS æSampling GuidelineÆ, available from the Department of Natural Resources and Mines website. These are some of a series of chapters being developed for the æQueensland Acid Sulfate Soil Technical ManualÆ.

Jan 1, 2003

Treatment of the Siirt-Madenk÷y Ores by Flotation

Sep 13, 2010

By I M. Platten, Y Xie, B W. Cuffley, S C. Dominy

"Geometallurgical programs require the collection of representative samples for geochemical, mineralogical and metallurgical test work. Such protocols must be designed to suit the style of orebody in question. The distribution, proportion and size of gold particles have a direct impact on the effectiveness of sampling and test work protocols, and the gold recovery processes employed. Characterisation studies focusing on ore mineralogy, and gold particle deportment, size and distribution are required. High resolution X-ray computed tomography provides a non-destructive method for analysing the 3D nature of gold in rock samples. It can be used to calculate the modal abundance, particle size and distribution of gold in the sample volume. This paper presents a case study of the imaging of in situ gold particles in a high-grade gold ore. The Nick O’Time reef system comprises laminated quartz veins, which locally bear extreme grades of up to 100 oz/t gold. The mineralisation has previously been characterised from both a mineralogical and metallurgical perspective. Eight visible gold-bearing vein samples were scanned using X-ray microtomography. Microtomographic data were integrated with previous mineralogical and metallurgical test work outputs.CITATION:Dominy, S C, Platten, I M, Xie, Y, Cuffley, B W and O’Connor, L, 2016. Characterisation of Gold Ore from the Nick O’Time Shoot (Tarnagulla, Australia) Using High Resolution X-ray Computed Tomography, in Proceedings The Third AusIMM International Geometallurgy Conference (GeoMet) 2016, pp 241–254 (The Australasian Institute of Mining and Metallurgy: Melbourne)."

Jun 15, 2016

The construction of mine headframes of reinforced concrete is not a new departure as many structures have been built of this, material particularly in Canada and South Africa. This type of construction has been satisfactorily tested in service and is now accepted by the mining fraternity.The two headframes at New Broken Hill Consolidated Limited are the first structures of this type to be built in Australia, and provide an interesting application of reinforced concrete design and construction.Reasons for Adoption of ConcreteDuring 1947 the writer visited D.S.A. and Canada and inspected three headframes, of reinforced concrete construction.Leading details are as follows:(i) Hollinger Gold Mines. (Timmins, Ontario) : Height of sheaves 110 ft. Shaft has provision for 4 skips each of 12,000 lb. capacity. Structure incorporates surface crushing plant.(ii) International Nickel Corporation-Murray Shaft (Sudbury): Height to sheaves 153 ft. 6 in. Shaft provides for 2-12 ton skips and 2 cages. Surface crushing plant built integrally with frame.(iii) Asbestos-Johns Manviae (Quebec): Height of sheaves 116 ft. Shaft provides for 2 skips 200 cu. ft.

Jan 1, 1956

By S Jokanovic

At New Zealand Steel MiningÆs Waikato North Head operation a Bucket Wheel Excavator û shiftable conveyor mining system is used to excavate titanomagnetite bearing sand and clay. The system utilises two Bucket Wheel Excavators and two Beltwagons with a two shiftable bench conveyors and two common trunk conveyors to deliver material to a processing plant. The original system was commissioned in 1984 as a high capacity, low cost method of excavating. In 1996 a second Beltwagon was purchased, increasing the flexibility of the mining system.

Jan 1, 2002

By M R. Stevens, W Mori, G B. Boswell

The Onemana prospect is located on the eastern Coromandel Peninsula, North Island, New Zealand. Systematic exploration involving surface geological mapping, geophysics, rock and soil geochemistry, reverse-circulation and diamond drilling has identified a number of important features of a fossil hydrothermal system at Onemana. This relatively intact gold mineralised system is hosted within a sequence of rhyolitic volcanics and volcaniclastics, overlain by lake sediments, sinters and hydrothermal eruption breccia. The system lies within a graben/half graben bounded by major NE-trending faults which form the approximate boundaries to hydrothermal alteration. Rock and soil geochemistry indicate a broad zone of anomalous gold, silver, arsenic, mercury and antimony. Overlapping elevated rock and soil gold anomalies indicate strongest mineralisation occurs over two zones of hydrothermal brecciation named 'Breccia Knob' and 'Western Ridge'. Geophysical data obtained from Gradient Array Resistivity and Ground Magnetics have been used to produce anomaly maps. The terrain corrected resistivity plot shows a number of well defined linear resistivity anomalies which are believed to represent large silicified and quartz veined bodies at relatively shallow depths. The strongest of these anomalies correspond with 'Breccia Knob' and 'Western Ridge'. Reverse-circulation and diamond drilling targeting these resistivity and geochemical anomalies has confirmed wide intervals of quartz veining, silicification and gold mineralisation. Petrologic data based on drill samples indicates the existence of a laterally extensive gold bearing epithermal system. Hydrothermal alteration is thought to have been caused by strongly convecting, two-phase (boiling), near-neutral chloride fluids which persisted at high temperatures (170 - 220¦C) to the paleosurface. A geological model is postulated of a large, complex, hydrothermal system developed in a shallow lake or marginal lake environment created by rifting and graben development within a recently extinct rhyolitic volcanic centre. Geothermal activity alternated between relatively quiescent periods of unrestricted fluid upflow and sinter development interspersed with violent hydrothermal eruptions caused by near surface silica capping and overpressuring above a major fluid conduit centred under 'Breccia Knob'.  Opportunities for precious metal mineralisation are evident from drilling to date. Upflow of near-neutral chloride fluids to shallow depths favours the presence of strongly mineralised stockworks at relatively shallow depths. Periodic hydrothermal eruptions would have caused fracturing and rapid depressurisation of the hydrothermal system, strongly favouring the precipitation of gold from solution both near surface and within feeder-vein systems at depth.

Jan 1, 1995

By C Noble, J Webster-Brown

A survey of selected West Coast Streams was undertaken in Summer 2001, Summer 2002 and Winter 2002 to establish the degree of arsenic (As) contamination in waters and sediments downstream of old coal and gold mine workings on the West Coast. Of the catchments studied, Soldiers/Ford Creek and Rapid Stream showed the most significant elevated As concentrations, predominantly in dissolved form, and evidence of AMD or ARD contamination (high sulfate concentrations and/or acidity). The rate and processes of removal of dissolved arsenic from the water column (attenuation) have been studied in these catchments. The Rapid Stream and Soldiers/Ford Creek catchments are directly affected by adit drainage from the Sullivan and Blackball coal mines respectively. Both catchments have high As concentrations in the sediments, with up to 770 mg/kg in Soldiers Creek and 490 mg/kg in Rapid Stream. Dissolved As concentrations are significantly elevated in the neutral pH waters of Soldiers Creek; typically as high as 100 - 200 ¦g/kg, up to 500 m downstream of the main adit discharge (800 ¦g/kg As). Adit inflows to Rapid Stream were acidic and contained 20 - 30 ¦g/kg dissolved As, with relatively high concentrations of arsenic in the stream water in winter (up to 18 ¦g/kg), but not in summer. Analysis of concentration trends and As:SO4 ratios downstream of these obvious As sources confirmed that dissolved As had been actively removed from the water column, but varied seasonally with greater removal evident in summer. Adsorption of arsenic onto iron oxide in the stream sediments is the most likely mechanism of removal. The Snowy River catchment, on the other hand, has relatively high As concentrations in both the sediments and the water column, but there was little evidence of a distinct AMD or ARD input from the Blackwater gold mining area. Preliminary investigation suggests that dilution rather than attenuation is responsible for decreasing As concentrations downstream.

Jan 1, 2003

By R L. Grogan

Mining is currently undergoing a progressive expansion into novel environments (such as the deep ocean), commodities (such as tantalum, rare earths, and other ‘green economy minerals’), and new methods (such as the autonomous underwater cutting machines required to operate in the deep ocean environment, or the use of expanding grouts to deliver a blast-free mining method). The advent of novel mining, environments and commodities heralds an era that will undoubtedly start with much discomfort on the part of regulators and stakeholders, due to a feeling of overwhelming uncertainty. These proposed mining scenarios have few precedents, few examples of successful implementation, short baseline monitoring periods, and few examples of legacy sites that may assist with understanding long term risk and exposure. The evolution of the environmental and social impact assessment (ESIA) process in many regulatory environments recognises stakeholder engagement in a formal and facilitated manner. This is a positive step, and allows stakeholders to be much more meaningfully involved in the permitting process than they historically were. However, with this advance comes the challenge of identifying and communicating with stakeholders; sharing information in a meaningful way, fostering relationships with what can be an extremely large group, and delivering on commitments that inspire confidence to permit operations that have never been permitted before. In order to meet this challenge, it is suggested that changes to collection of data, communication of data, the nature of commitments, and the reporting of performance need to be made in order to effectively communicate management of new technologies, and the impacts that mining may have in new environments (such as the deep ocean). The communication challenge is necessarily greater when describing technology that has never been used, or environments that have never previously been accessed by humans on an industrial scale. CITATION:Grogan, R L, 2018. Permitting in the face of uncertainty – how to deliver confidence to regulators and investors, in Proceedings Life-of-Mine 2018, pp 46–48 (The Australasian Institute of Mining and Metallurgy: Melbourne).

Jul 25, 2018

ThePike River coal field is located between 700 and 1000 m above sea level on the West Coast of the South Island. The area contains a resource of some 60 million tonnes of coal in a single coal seam and is part of the Paparoa mountain range that receives between 6.0 and 6.5 m of rainfall per annum. The area has been isolated and has received no on the coal plateau but has been extensively logged in the lower 3.5 km of Pike Stream. The PRCC development proposal recognises this and calls for an environmentally benign development that includes underground development of this resource. The coalfield abuts and is partly overlain by the Paparoa National Park. The underground development will enable a number of environmental goals to be readily achieved: it will be out of sight of the public,it will not impact the national park,noise will be mostly absent,there will be absolute minimal disturbance to the land surface,coal will be transported from the mine to a dewatering complex on PRCC land in a slurry pipeline thus obviating the need for trucks and noise in Pike Stream valley,all water draining from the mine will be collected, treated if required to consent standards and discharged from a single point,the road into the area will allow for an effective predator control programme to be undertaken enhancing native bird life,an environment suitable for the reintroduction of Whio (Blue Duck) will be created, andthe net effect of the mine development on the environment will be positive.

Jan 1, 2003

With the advent of the resources boom in the late 1960s most of the larger scale resources projects in Australasia were commissioned on an æowner miningÆ basis, where the mine owners owned and operated the primary mining equipment. Then, in the 1980s with the arrival of the gold mining boom in Western Australia and elsewhere, a change occurred û most of the mining activities were carried out on a contract mining basis. Over recent years, however, there has been a marked trend amongst larger Australasian open pit mining operations back towards owner-controlled and operated mining operations. The reasons for this are many and are addressed in the paper, but centre on the concept of the owner being prepared to assume more of the mining risk in exchange for the advantage of not having to pay a contractorÆs profit margin. Where mining contracts are entered into, the older æschedule of ratesÆ format is being replaced with less adversarial and more entrepreneurial contract alternatives involving operating cost and risk sharing in a spirit of æfair dealingÆ. Leasing and maintenance issues have also been influenced in recent years by the advent of more flexible contract arrangements with equipment suppliers. Group purchasing has also had some influence for project operators. For many mine owners, the optimal risk management profile involves a practical offsetting of the assumption of mining risk on the one hand, against the removal of litigation risk and potentially reduced operating costs on the other. Potential pitfalls may arise where equipment size and type requirements vary with time or where manpower management, mining flexibility, job skills or safety exposure factors are relevant. These issues are commented on in the context of some well known examples, and an update is provided on contract mining versus owner operation in large scale Australasian open pit mining generally.

Jan 1, 2002