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By N Swiegelaar

Loubert Witbank is a defunct coal mine situated near Ermelo in South Africa. Mining ceased in 1992, and within a short period acidic decant occurred, with a significant impact on the regional catchment. The problem was studied during 1996/1997, and the site remediated in 2001/2002 by the Department of Water Affairs and Forestry. Remediation involved primarily submerging of carbonaceous material, backfilling of voids, and capping of the site. Acidic water with high iron levels was also neutralised and discharged. The project was used to assess the cost benefit of different options to the downstream users, from which target expenditure was derived for the various improvements. The cost benefit analysis for neutralisation provided a basis for the investigation of low-cost neutralisation options that are robust enough to be applied in a remote environment.

Jan 1, 2003

By W J. Shaw

Mining operations must become more predictable to overcome the volatility that has characterised the mining industry. Comparisons of production against predictions will become more consistent as mining operations merge and expand, as personnel move from site to site, and as public reporting of reconciliations becomes more prevalent. More consistent approaches are already being seen in the industry using the terminology used in this paper and elsewhere.Examples are provided that show how use of the waterfall chart as a reconciliation management tool can provide objective analysis to improve practices.Geometallurgical modelling is becoming more useful and will continue to do so as we move from a few bulk samples to better interpretation of material properties from geological mapping and drill sampling. Reconciliation has evolved to the stage where predictions of geometallurgical properties to optimise mill performance, and of geotechnical properties derived from better 3D geological models, should also be reconciled.CITATION:Shaw, W J, 2014. Reconciliation – outcomes and expectations, in Proceedings Ninth International Mining Geology Conference 2014 , pp 123–128 (The Australasian Institute of Mining and Metallurgy: Melbourne).

Aug 18, 2014

By M Robertson

3D photogrammetry is a powerful tool for data capture and interpretation, utilised at all Australian underground MMG sites. In personnel constrained mines, 3D photogrammetry can free up personnel time, improve data quality for resource modelling, as well as benefit other mining departments.At Rosebery one of the challenges faced by geologists was no longer data capture but, rather, avoiding paralysis by analysis from the sheer abundance of information currently available to the department. Although the data had been interpreted, the structural model was cluttered; the geological block model was not incorporating any geological domains captured by 3D photogrammetry, nor was it being utilised by other departments such as geotechnical engineering.The geology department is now focusing on utilising all the interpreted data gained from each photograph heading into an uncluttered, easily understandable model for geologists and other mining departments.Our solutions involve integrating the Leapfrog modelling suite into the process, streamlining the structural model, tailoring the data interpretations for future updates of the block model and training other departments to improve utilisation of the interpreted data. This process also uncovered other benefits for near-mine exploration, and improving our understanding of the deposit’s origin.CITATION:Robertson, M, 2017. The practical use of underground 3D photogrammetry data at MMG Rosebery polymetallic mine, Tasmania, Australia, in Proceedings Tenth International Mining Geology Conference 2017, pp 409–412 (The Australasian Institute of Mining and Metallurgy: Melbourne).

Sep 20, 2017

With the iron ore industry in Australia producing hundreds of millions of tonnes of ore per annum, the associated costs of these operations extend into the billions. It is no surprise in the current economic climate that more and more companies are looking into different ways of optimizing their costs to keep their sites operational. One way of improving operations is the use of electronic initiating systems like i-kon and Uni tronic detonators. These systems have been used around the world to improve current practices and optimize drill and blast costs. However, these systems have yet to make an impact upon the iron ore sector in Australia. Some of the potential improvements include:pattern expansion and a subsequent reduction in drilling and explosive costs;improved fragmentation and hence increased dig rates, thereby driving $/tonne down;embracing the 'mine-to-mill' concept by reducing the downstream costs of crushing and milling;improving the overall condition of pit walls and floors, leading to a safer working environment in which optimal haulage performance can be achieved; and improvements in vibration management around heritage sites and critical infrastructure, thereby saving the cost of relocation works. This paper introduces some of these concepts and the process of making the changes leading to potential savings from the improvements, using various examples as proof of the concepts.

Jan 1, 2009

By J A. Braithwaite

Social licence to operate is not a new concept for the mining industry, referring to stakeholder approval or acceptance for the activities and impacts of a project, company or industry. It is intangible, dynamic and non-permanent, hence it needs to be earned and then maintained (Thomson and Boutilier, 2014). It has also been argued that social licence extends beyond building approval or acceptance, into engagement for long-term development (Owen and Kemp, 2012).There are many examples where stakeholder opposition – or withdrawal of social licence – have increased capital and operating costs, extended schedules and impacted reputation. At its extreme, the withdrawal of social licence to operate can also contribute to or be the catalyst for mine closure.The key benefit of obtaining a social licence is a reduction of risk. Stakeholder support and advocacy, as well as the implementation of social performance programs that contribute to social licence, can be beneficial in terms of schedule, costs and other benefits.While decisions to close a mine are generally driven by resource availability or economic conditions, the social, economic and environmental legacy remaining post-closure is of importance to many stakeholders. With a number of significant mines now approaching closure within Australia, we are seeing heightened community concern about the economic and social impact of mine closure and the success of land rehabilitation. So how does the concept of social licence to operate extend into the closure phase of the mining life cycle?CITATION:Braithwaite, J A, 2016. Social licence to close?, in Proceedings Life-of-Mine 2016 Conference, pp 176–179 (The Australasian Institute of Mining and Metallurgy: Melbourne).

Jun 28, 2016

By B Wu, C Zhao, B Lei

At present, the friction factor is calculated by measuring pressure drop and airway configurations. However, the workload of on-site measurement is heavy, and the measurement results are easily disturbed by the external environment. In order to meet the need of intelligent ventilation to quickly and accurately obtain the friction resistance of roadway. Based on the important of roughness in Atkinson friction resistance formula, in this paper, fractal theory is used to characterise the 3D rough surface, and a method based on fractal dimension to describe the roughness of roadway surface and calculate the friction resistance was proposed. A computational model of friction resistance for fractal characterisation of roadway 3D rough surface was established. The parameters of the model were deduced and verified by using Nikuradse experimental data. The fractal dimension of roadway surface was calculated by 3D laser scanning data of Kailuan roadway, the established friction resistance calculation method was compared with the field resistance measurement results. It is considered that the calculation method of friction resistance based on fractal theory is reliable and can well represent the influence of 3D rough surface characteristics of roadway. The result show that the new established friction resistance formula compared with the traditional Atkinson formula in Nikuradse experimental, the average relative error is 6.874 per cent, and compared with the measured results of ventilation resistance in Kailuan experimental roadway, the relative error is 6.667 per cent. Comprehensive evaluation and analysis suggest that the new formula can well reflect the influence of 3D rough surface on friction resistance, combined with 3D laser scanning technology, the friction resistance of roadway can be calculated quickly and accurately. This research provided a reference for the key technology and theoretical development of intelligent ventilation parameter measurement.

Oct 12, 2022

By B N. Noller, J C. Ng, S L. Bruce

Mining activities can result in the transfer of harmful elements, including arsenic and lead, into the environment. In Australia, one of the potential future uses of rehabilitated mine land is to stock grazing animals. Elemental uptake is dependent on bioavailable fraction for adsorption upon exposure. Bioavailability data are generally lacking in order to provide realistic health risk assessments relating to harmful elements from mine tailings in Australian conditions. Another key component of risk assessment is the ability to estimate a realistic exposure, or dose rate, of the tailings to the grazing cattle over a set period of time. Hence, we aimed to conduct grazing trials directly on rehabilitated tailings facilities in order to provide valuable in situ information on heavy metal dose rates and associated accumulation. For the laboratory-based evaluation of comparative bioavailability, groups of cattle were fed five days a week on a normal diet spiked with mine tailings or soluble pure salts of target elements (eg sodium arsenate, sodium arsenite and lead acetate) for about eight months. For the field validation, cattle were allowed to graze directly on rehabilitated tailings facilities over a similar length of time. Blood and a biopsy of the muscle and liver were periodically collected to monitor arsenic accumulation. At necropsy, blood, muscle, liver, kidney and other saleable tissues were measured for arsenic concentrations. Although this study was focused on arsenic, lead and other metals were also measured. Predictive models for arsenic and other metals have been established to calculate the maximum grazing duration without the risk of exceeding specific food safety guidelines. The outcome of this study is a predictive model for maximum beneficial use of certain rehabilitated tailings for cattle grazing where grazing activities do not impact on the integrity of the tailings dams.CITATION:Ng, J C, Noller, B N and Bruce, S L, 2014. A predictive model for beneficial use of rehabilitated mine tailings for grazing cattle after mine closure, in Proceedings Life-of-Mine 2014 , pp 563–572 (The Australasian Institute of Mining and Metallurgy: Melbourne).

Jul 16, 2014

By T Jones, K Karunaratna

The Kalgoorlie Consolidated Gold Mines (KCGM) Fimiston Open Pit is located on the eastern boundary of the Kalgoorlie-Boulder City and is mining an area traditionally known as the Golden Mile. The pit area has been continuously worked since 1893, predominantly by underground mining methods and more recently through open cut mining. There are over 2000 km of old mine headings and numerous stopes under the open pit area. KCGM has interpreted and digitised the underground mine plans and stope sections into a common database. A 2D-model software package, called Pits, was developed in-house and allows old workings to be displayed at any bench level; this is integrated with 3D Vulcan modelling software, which allows triangulated surfaces to be displayed. Almost every mining activity is affected by underground workings. The effective management of the interaction between current mining and the underground workings is very important for safety and production. A specific ævoidÆ management department has been formed and its broad objective is to minimise the impact of underground workings upon production while maximising safety. Special criteria and procedures have been developed and implemented to keep personnel and machinery from being exposed to unsafe ground. It is of primary importance to accurately define the location and outline of underground workings in advance. Probe drilling has been used as the key tool for that purpose. Various geophysical methods have also been trialled on site to detect underground workings; these are discussed in some detail. This paper discusses ævoidÆ management issues such as data integration, void detection and flagging. The impact of underground workings on mine planing, production and slope stability is also discussed.

Jan 1, 2003

By P Chapman, B Moosapoor

The objective of this paper is to present the potential applications of geostatistical analyses in planning CPTu investigations, as well as interpolation of CPTu data. The paper presents a case study of a geostatistical analysis of CPTu data undertaken between 2004 and 2017 for an upstreamraised TSF located in the Goldfields region of Western Australia. An initial model is developed using the 2004, 2009 and 2017 CPTu data. The model is used to predict in situ cone tip resistance (qc) measurements, as the interested primary variable, at the selected locations where 2019 CPTu were undertaken, and the results of the prediction and the actual data are compared.

Jul 1, 2021

By M D. Goodz

MacPhersons Reward gold deposit is in a post-kinematic tonalite intrusion which is a setting different from many other deposits of the Coolgardie goldfield that are hosted in early Archaean tholeiitic sills or meta-sedimentary rocks. Gold mineralisation at MacPhersons Reward consists of auriferous quartz veins that are best developed in the tonalite but extend to the adjacent komatiitic rocks and along the lithological contact zones. The gold-related alteration halo is dominated by biotite-chlorite and pyrrhotite. Unlike many other Coolgardie deposits, the As concentrations are low.

Aug 22, 2011

By T McLeod, B Catto

AngloGold Ashanti Australia’s (AGAA) Tropicana gold mine (TGM) geology department seized the rare opportunity of building a new geology department for a new operation: the philosophy, the people and the processes. Not satisfied with the status quo, or simply repeating what was familiar and already known, the vision was for an innovative, agile, multidiscipline, high performance team, capable of delivering on expectations.To achieve this, the geology department has operationalised key components of human resource management (HRM).This paper describes the operational design and implementation of key HRM components: job analysis, organisational design and organisational development. The benefits of this approach are presented in terms of engagement and autonomy in roles, opportunity for role variety and flexibility of the organisational structure. The result is a geology department that provides the functions of mine geology, resource development, regional exploration, survey, data management, geographic information systems (GIS), resource modelling, scheduling, sample preparation, resource coordination and hydrogeology, and even geotechnical engineering for a year!Considerations for application in other geology departments are presented in terms of fundamental requirements and lessons learnt. Fundamental requirements for success have been the sustained support of the general manager, valuing the scrutiny that comes with continuous improvement, high quality HRM systems and tools within the organisation, and a committed leadership group within the department. One of the most important lessons learnt is that a robust process of ‘induction to role’ is critical – the process of familiarising new starters with who we are and the way we work.CITATION:Catto, B and McLeod, T, 2017. Rewriting the rule book – geology organisational design, in Proceedings Tenth International Mining Geology Conference 2017, pp 137–142 (The Australasian Institute of Mining and Metallurgy: Melbourne).

Sep 20, 2017

By J F. C L Costa, J C. Koppe

It is recognised by the major international codes that resource classification involves the interaction of numerous qualitative and quantitative criteria such as data quality, geological and grade continuity, etc. However, the difficulty in quantifying the degree of uncertainty associated with mineral resources estimation has led to the creation of a large suite of methodologies, terms and definitions, with almost every mining company having its own set of standards. It is also intuitively known that several traditionally used methods to evaluate resources do not take into account the spatial continuity of the grades, being unable to provide a reliable measure of the error associated with their estimates. Since they do not provide an error assessment, these methods are inappropriate to assess local or global uncertainty associated with an estimate. Faced with these problems, this work aims at developing a methodology for either quantitative or qualitative analysis of mineral resources estimation, through incorporation of uncertainty and the correct definition of the associated risk or error. The proposed methodology includes the development of a software code incorporating all the main classification techniques used by the mineral industry. A comprehensive study about each technique was conducted allowing a comparison of the parameters affecting mineral inventory assessment. A case study was conducted with a typical iron ore deposit data set from the Conceitpo mine of the Itabira Complex in the Iron Quadrangle, Brazil. The results showed the specific limitations of each classification system and the influence in selecting their key parameters, always based on subjective choices.

Jan 1, 2009

The Imperial Smelting Process (ISP) for the simultaneous smelting of zinc and lead was developed at Avonmouth from the 1930's with activity intensifying in the late 1940's/early 1950's. Present operations are based around the No.4 furnace which was built in 1967. Development during the 1980's has been driven by the need to sustain operations at low metals prices and has been aimed at reducing manning whilst increasing output. Although hit by several major plant disruptions, progress has been steady, culminating in a ú10 million capital programme in 1988?89 to upgrade the operation. The most important technical developments, reflecting the needs of the 1990's have, in the sintering area, included improvements to feed conditioning and sinter quality, a 20% uprate in production capacity by debottlenecking, and pilot work leading to the installation of a Boliden-Norzink mercury removal plant. In the smelting area the ISP furnace has been rebuilt, with a redesigned bottom section to eliminate earlier operating sensitivities, and to achieve higher blowing capability, and at the zinc refinery the columns have been rearranged for more flexible operation and higher capacity.

Jan 1, 1989

The key concepts relating to the calculation of recoverable reserves for selective mining in open pit gold operations are discussed. While the general concepts are relevant to a wide range of gold ore bodies, their application is specific to particular ore bodies.The important factors contributing to the recoverable reserves aregeology, mining method, dilution, ore loss, sampling methods and theultimate bench height used in production.The implications of current methods of computing recoverable reservesare reviewed and some alternative approaches to recoverable reservecomputation based on production experience are presented.

Jan 1, 1986

By R Ahola, M D. Henschel, M A. McParland

With the introduction in recent years of third-generation interferometric synthetic aperture radar (InSAR) techniques, monitoring of mine slopes, benches and surrounding areas has benefitted from increased accuracy and coverage. Fundamental research into point and distributed scattering techniques has pushed the use of InSAR to provide higher spatial and height resolution. In this paper we discuss the operationalisation of third-generation InSAR techniques and show its application to active mining operations.This paper will discuss the use of multiple independent measurements of ground movement obtained from operationally-derived InSAR products over a wide variety of deformation areas within an active open pit mining operation (ie pit slopes, dewatering depressions, tailings containment and waste dumps). A technique that shortens the time between observations (increased observation frequency) and provides ongoing estimates of measurement accuracy will be described. The methodology exploits available satellite data by using multiple satellites and multiple beams. The paper will also examine factors in the design of a mine survey with third-generation InSAR and illustrate some of the necessary engineering trade-offs to efficiently monitor a mine from space.Overall, this paper aims to demonstrate the capabilities and advantages of operational third-generation InSAR techniques for ground movement monitoring of mining operations and provide a framework for proper design of a mine InSAR survey.CITATION:Henschel, M D, Sato, S, Ahola, R and McParland, M A, 2014. Designing interferometric synthetic aperture radar surveys for mine monitoring with accuracy assessment, in Proceedings AusRock 2014: Third Australasian Ground Control in Mining Conference , pp 233–238 (The Australasian Institute of Mining and Metallurgy: Melbourne).

Nov 5, 2014

By A Noack

Today underground infrastructures, like tunnels and especially wide spread underground mines, are often equipped with ethernet based communication systems. These networks are used for the unified communication of data, voice and video. As these networks stretch along the major tunnels and in increasing scale also into the production areas, a high degree of coverage can be reached. For wireless coverage, standard IEEE 802.11 WLAN access points are being used. In order to provide a maximum availability and reliability, the active components are equipped with battery backup power supplies and the network infrastructure is set up in a redundant way using ring or meshed topologies. This provides a much higher availability compared to traditional phone systems or dedicated data links using a conventional star topology.Distributed computing intelligence that is installed on active network nodes throughout the whole network, additionally supported by a central server system, creates the basis for new mine safety functions introduced in this paper for both coal and non-coal mining. These new safety functions cover the detection of potential emergencies, using the status of the network as a æsensorÆ, as well as dynamically guiding people to safe exits or rescue shelters in case of an emergency. Furthermore, these functions are of important benefit for improving the efficiency of search and rescue operations following a major incident or accident underground.

Sep 26, 2011

By N Setoudeh, A Nosrati, N J. Welham

The current surge of interest in lithium (Li) is due to the anticipated demand for electric vehicles and small scale power storage. Brine deposits contain most of the global Li resource, however hard rock deposits can be more readily and rapidly developed and comprise the majority of proposed projects. These projects plan to use the conventional processing routes of dense medium separation and / or flotation to produce a spodumene concentrate for sale. The standard route for subsequent processing of spodumene concentrate is thermal decrepitation, acid leaching, solution purification and precipitation of lithium carbonate. This is typically followed by further purification. A number of projects have ores which contain other lithium minerals, principally micas, lepidolite and zinnwaldite, necessitating an alternative treatment route. Several different routes for spodumene processing are under development to reduce costs to compete with brine projects. This paper will give an overview of the strengths and weaknesses of the current and alternative processes.CITATION:Welham, N J, Nosrati, A and Setoudeh, N, 2017. Lithium ore processing – an overview of the current and new processes, in Proceedings MetPlant 2017, pp 185–194 (The Australasian Institute of Mining and Metallurgy: Melbourne).

Sep 11, 2017

By J Safarian, D Hariswijaya

Treating bauxite residue as an alternative source of metals for iron and aluminium industry is an approach to promote circular economy in metal industries. Reduction of metal oxides with H2-based process is an important step on decarbonisation of metal industry. In this study bauxite residue pellets were prepared and were reduced with different H2-H2O gas compositions at different temperatures which yielded with various degrees of reduction. The bauxite residue pellets were made from a mixture of bauxite residue and Ca(OH)2 powders and sintered at 1150°C. Hydrogen reduction was carried out on the oxide pellets using a resistance furnace at elevated temperatures in controlled reduction atmosphere of H2-H2O gas mixtures which resulted in reduction of iron oxides in the pellets. Unreduced and reduced pellets were subsequently heated to 1400°C to study their smelting behaviour using differential thermal analysis (DTA) and thermogravimetric analysis (TGA) technique to investigate the evolution of phases related to slag formation via smelting. Equilibrium module of Factsage™ ver 8.1 was utilised to analyse results of thermal analysis. It was observed that Tricalcium phosphate-β (CaP2O8), Bredigite (Ca7Si4MgO16), Rankinite (Ca3Si2O7), and calcium alumino ferrite (Ca[Al,Fe]6O10) were formed during thermal analysis as intermediate phases. The initial slag formation for sintered and reduced pellets occurred at 900°C which mainly contains calcium and small amount of strontium component. The slag formation rate increases significantly starting from 1100°C when iron oxides started to form initial molten slag phase which then followed by other oxides dissolution in the system. Gas formation was observed at 1180°C and it was found that the gas to be released from unreduced pellets is O2 meanwhile the gas to be released from reduced pellets is SO2 gas. Gas formation rate for both pellets start to increase at 1280°C when the remaining chemically bonded gas start to be released from the system.

Jun 19, 2024

By S Joyce, Z Agioutantis, D van Zyl, D Shields

Over the past 15 years, the mining industry has begun to incorporate the concepts of sustainable development and sustainable mining practice across the life cycle of mineral operations. This requires addressing economic issues, community impacts and concerns and environmental protection, and is captured in part by the phrase ‘design for sustainability’ (McClellan et al, 2009). Over the same period, the industry has seen a gradual decline in ore grades for many mineral commodities. As a result, large volumes of tailings and mine waste rock are being produced around the world, and it is expected that the annual production volumes of these materials will increase, even if there is not a significant change in the demand for materials.Another related thread of change has been the realisation that societies need to move away from linear economies (raw materials, production, consumption, disposal) towards more circular ones. This will help societies become more resource efficient, which is defined by the United Nations Environment Programme as reducing the total environmental impact of the production and consumption of goods and services, from raw material extraction to final use and disposal. The goal is to create more with less and deliver greater value with less input. Circular economies require thinking in terms of the waste hierarchy (reduce, reuse, repurpose, recycle, recover, landfill).The challenge is that the waste hierarchy was originally designed to address embodied mineral content in products rather than mine waste and tailings generation. It will need to be reconsidered in a mine life cycle context, focusing on a value-based conception of waste (Van Ewijk and Stegemann, in press).In parallel to these changes, it has remained an imperative in the mining industry to dispose of these waste materials as economically as possible while protecting the environment. Single handling of these materials has been the main target, which reduces the life cycle costs of their management but may make reuse of waste and tailings technically more difficult or economically infeasible.This presentation explores a rethinking of the large volume earthen material waste issue at mines. The underlying theme is that some or all of these materials can be valuable resources for the future that can positively contribute to sustainable development. These resources can offer economic gains to firms, communities and societies; contribute to environmental well-being; enhance social interactions with the previously mined landscape if handled properly; and, with proper policies in place, reduce governance commitments. Each of these topics will be briefly explored. This will be followed by a discussion of approaches to manage design and operations to allow future resource recovery.CITATION:Van Zyl, D, Shields, D, Agioutantis, Z and Joyce, S, 2015. Waste not, want not – rethinking the tailings and mine waste issue, in Proceedings Tailings and Mine Waste Management for the 21st Century , pp 7–10 (The Australasian Institute of Mining and Metallurgy: Melbourne).

Jul 27, 2015

By M Skead, H Michael, R Chase, A Davidson

Ashanti Goldfields CompanyÆs (AshantiÆs) most recent development is the Geita Project in the Lake Victoria Goldfield of NW Tanzania. It comprises six distinct gold deposits within two mineralised trends: Nyankanga, Lone Cone, Geita Hill (Geita trend) and Matandani, Kukuluma and Area 3 West (Kukuluma trend). Between 1936 and 1966, the Geita area produced an estimated 5.5 M tonnes of ore from five underground deposits at an average recovered grade of 5.3 g/t. The discovery of Nyankanga was made by Ashanti in 1996 from RAB drilling of a +100 ppb Au anomaly in laterite soil above ferricrete cover. The Kukuluma trend was discovered by SAMAX Resources (taken over by Ashanti in 1998) between 1996 and 1997 from RC drilling of a +80 ppb Au laterite soil anomaly. Oxide facies banded iron formation (BIF) of the Upper Nyanzian System forms prominent topographic ridges and is the dominant host lithology for gold mineralisation. The ridges are flanked by felsic tuff units which lie stratigraphically above. Syn-genetic lamprophyre (vogesite) and post-genetic felsic dykes are also seen in the Geita trend. At Nyankanga a granodiorite-diorite suite has intruded as dykes and sills into BIF from a plug centred on a WNW fault and has produced wallrock alteration assemblages similar to those seen in Cu-porphyry systems (potassic, propylitic, etc) as well as sulphide and gold deposition. However, the main ore-grade mineralisation (as in the rest of the Geita trend) is controlled by low-to-medium angle structures dipping north-west and north with numerous splays in the hanging wall. High-grade shoots at Nyankanga plunge to the west and to the north-west, being lithologically and fault-controlled respectively. At Geita Hill the higher grade shoots are controlled by fold noses in BIF dipping to the north. Free gold occurs within fractures of sulphides. The deposits of Kukuluma and Matandani occur on an ancient (possibly Cretaceous) erosional plateau and are related to two WNW to NW trending shear zones, discordant to the local strike of the BIF sequence. Complete oxidation occurs up to 120 m depth and there is a strong supergene component to the gold distribution. Primary gold mineralisation is divisible into two distinct assemblages: arsenopyriteûpyrrhotiteûmagnetiteûchlorite associated with brecciated cherts and pyrite associated with shaley banded ironstones. Area 3W is most likely the fault-displaced extension of the same mineralised trend and comprises thin, intermittent zones of high-grade gold mineralisation occurring adjacent to a ridge in banded cherts and minor BIF. Current resources (measured, indicated and inferred) for the project are estimated at 89.24 Mt at an average grade of 4.17 g/t (11.97 Moz of contained gold) at a 1.0 g/t cut-off grade. Of this 9.83 Moz is within the Geita trend and 2.14 Moz is within the Kukuluma trend. A resource of 2.74 Moz is from an inferred resource at depth at Nyankanga where the viability of an underground operation is being studied. Proven and probable reserves are 49.77 Mt @ 3.46 g/t (5.54 Moz) based on a $325/oz gold price providing a mine life of ten years at an average production rate of 500 000 oz per year. Reserve estimation was carried out using mineable polygons to select resource blocks based on a series of mining and costs parameters. In addition key cost parameters were tested to provide sensitivities for pit optimisations and pathfinders for negotiations with suppliers and contractors. Construction began in March 1999 and first gold is expected to be poured in the second-quarter 2000.

Jan 1, 2000