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By G J. A Dewar

The Australian Corporations Law generally requires Independent Expert Reports to be presented in support of capital raising or in defence of mergers and takeovers. The introduction of the VALMIN Code in 1995 (and its recent revision issued as the VALMIN Code, 1998) made Assessment and Valuation Reports in these circumstances much more comprehensible than before because of its key requirements for transparency and materiality. By forcing the Independent Valuer to provide an explanation of the reasoning behind the estimation of a particular resource asset, VALMIN allows the reader to clearly see any error or illogicality in the valuation methodology used and to seriously question or even reject the resulting value. Even though many elements of resource asset valuation practice are undeniably subjective, there must be some basis of objective rationality to it. Independent resource asset Valuers are the essential link between mineral explorers/miners on the one hand and brokers/analysts/fund managers/investors on the other. The minerals and financial industries both expect them to not use inappropriate or invalid valuation methods and illogical steps within these methods. This paper examines some of the less sensible ways in which some of the main techniques that Valuers commonly use to assess the fair market value of mineral properties have been applied in recent instances. The authors hope to discourage the adoption or perpetration of the æWhat-number-did-you-have-in-mind?' approach. It is MINVALÆs view that as many methods as possible should be used in any resource asset valuation. If any of the resulting estimates are in approximate agreement (particularly if they were derived using the less subjective of the available methods), ie if they cluster, they are probably more persuasive as being the Preferred Value of the asset than outlier values within the Valuation Range.

Jan 1, 1999

The modern resource extraction enterprise is a complex capital intensive business operating in a world of constantly evolving social, environmental and economic scrutiny. Investors, government, media and special interest groups expect to see business environmental and social performance respond and deliver increasing corporate responsibility and sustainability.   Thorough interrogation of business performance using a multi-disciplinary due diligence approach presents a more sophisticated review and benefits beyond the traditional compliance/conformance 'audit' style assessment.   Using a due diligence approach allows assessment through a comprehensive lens which examines potential short- and long-term risks including sometimes less tangible environmental and social liabilities, and informs management, investors and regulators of broader business performance. This approach provides information in a form that business can measure performance in a repeatable and enterprise wide sense.   This paper provides an outline of the due diligence process applied in this way, drawing from lessons learnt and industry based experiences in the due diligence process and the benefits and tools that can  be applied in an environmental and social due diligence business performance assessment

Jun 1, 2010

A comprehensive analysisof rock structures in non-oriented (axially oriented) drillcore is now available (Laing, in press). The system embodies new concepts which better equip the geologist and engineer to deal from the outset with optimising the acquisition of structural information in drillcore, logging, interpreting, and graphically presenting the results. The few existing techniques for determining orientations of structures are augmented by a wide range of new techniques, and all are brought together into two solution types by considering the underlying Euclidean geometries. Analysis of these solution types in terms of what data are required to implement each solution and what assumptions need to be made, leads to strategies which facilitate intelligent design of different drilling programs for blind and outcropping situations. Drillcorc is variably structurally fertile, depending on the number of different structures present. This concept fosters the selective logging only of the more fertile core. Drillholes are also variably fertile, depending on their orientational relationship to the structures in the host rocks. Structural parameters are either vectorial or non-vectorial. Vectorial structures parameters comprise normal structural orientations plus polar vectors like vergence, younging, shear sense and so on. They can be determined by one of two solution types: external solutions, which use an external reference structure to fix the drillcore and thus permit orientation of all structures within that core, and internal solutions, which use orientational data from a selected structure at three or more different drillhole orientation to determine the unique orientation of that structure, without reference to any external structure.

Jan 1, 1990

By E A. G Marques, P M. Dight, T A. V Costa, K Mercer

Brazilian banded iron formation (BIF), known as ‘itabirite’, is the main host rock for iron ore in the Iron Quadrangle mines, Brazil. Their geneses are controversial and it is agreed that diagenetic, metamorphic and tectonic events, as well as weathering processes, were responsible for the iron concentration. In addition, it is understood that weathering processes are mainly responsible for reducing the original high intact rock strength, and for generating deep weathered profiles with low strength rocks commonly observed in Vale’s mines.A considerable amount of work has been done to correlate the macro and micro aspects of the itabirites as physical, chemical and geotechnical characteristics that directly or indirectly affect the intact rock strength; however, it is not yet clearly understood what effects the weathering processes have on the strength reduction of these rocks and its associated impact on pit slope stability. This forms a key focus of the lead author’s current research work.This paper presents a review of the geological, geotechnical and weathering characteristics of the itabirites, and early results for the evaluations of fresh itabirites from the PhD thesis research being undertaken by the authors at the Australian Centre for Geomechanics, School of Civil, Environmental and Mining Engineering, The University of Western Australia, sponsored by Vale SA.The results showed that to evaluate the density and unconfined compressive strength (UCS) correlation, not only the porosity but also the geological features should be considered, as they are responsible for data dispersion; however, the presented data suggested a trend that provides the confidence to develop advanced studies and a data population increment to establish proper correlations to support a reliable UCS method.CITATION:Costa, T A V, Dight, P M, Mercer, K and Marques, E A G, 2015. An overview of the weathering process, preliminary density and unconfined compressive strength correlations for fresh itabirites in vale mines on the western side of the Iron Quadrangle, Brazil, in Proceedings Iron Ore 2015, pp 241–254 (The Australasian Institute of Mining and Metallurgy: Melbourne).

Jul 13, 2015

By J Cronin, R Burgess-Limerick, T Horberry, L Steiner

"Automation offers the mining industry great potential for improvements in productivity and safety. However, the experience of introducing automation in other industries has been that the full potential of new technology is not always realised. Designers are surprised, for example, to find that automation does not eliminate human errors. Unwanted and unexpected consequences also arise if the introduction of automation fails to consider how people will adapt to the new technology. A focus on the technical aspects of automation is necessary but not sufficient for success. The potential for improvements in productivity and safety promised by automation will only be achieved if the joint cognitive system that emerges from the combination of humans and automation is designed to perform the functions required for system success. This case study describes the human factors issues associated with the introduction of automation generally, and describes a case study of the successful implementation of loader automation at Northparkes mine.Information obtained through a site visit and interviews with operators, safety staff and the project manager revealed the following strategies for successful design and implementation of the automation system: involve the people who will be impacted encourage constant communication between operators and designers provide operators with essential information avoid providing non-essential information provide the operators with flexibility empower operators to take action take advantage of the new possibilities automation provides.CITATION:Burgess-Limerick, R, Horberry, T, Steiner, L and Cronin, J, 2017. Mining automation human-systems integration – CMOC-Northparkes case study, in Proceedings 13th AusIMM Underground Operators’ Conference 2017, pp 93–98 (The Australasian Institute of Mining and Metallurgy: Melbourne)."

Oct 16, 2017

A new watersoluble binder for mineral ore pellets has been developed by the sulfonation of bituminous materials. A highly effective binder for iron ore pellet making is obtainable from bituminous materials produced in the hightemperature cracking of crude oils. This paper deals with production process and basic properties of this binder as well as new applications in the field of iron ore pelletizing.

Jan 1, 1974

In this paper the system of an operative expert estimation of innovative policy of mining enterprise technological development on sustainable development principles, created in the laboratory of economic analysis, planning and management of Mining Institute after D A Kunayev is represented. It is based on application of technology of satellite navigation and global positioning system (GPS). It allows to estimate the geotechnological complex functioning efficiency in the automated mode and on the basis of the obtained results to develop a complex of management measures on the competitiveness increase, realised by means of the automated corporative management system of geotechnological complex. The estimation of complex competitiveness is carried out on such basic aspects, as: technical, technological, organisational, ecological and economic as all of it give certain expenses and influence on complex overall performance. The major difference of the given approach is its realisation within the limits of the automated corporative management system of geotechnological complexes. It is based the fact that data of monitoring of complex's work will provide a sustainable development of geotechnological complex of mining enterprise.

Dec 6, 2010

By Longworth C. R

Competing requirements for land usage sometimes make the correct all- ocation difficult. The decision can be complicated by many factors such as local resident pressure, previous government decisions, economic pres- sures and the duration or permanency of the competing land usages. This problem often confronts the extractive industries with consequent delays in granting leases and some- times considerable local dissension. A proposal to extend the high grade silica sand quarry of the Wamberal Sand Company Pty. Limited is a microcosm of these competing requirements. The sand quarry is located on the New South Wales central coast. It is an open pit operation on a near beach deposit of silica sand suitable for flint glass manufacture.

Jan 1, 1976

The Horn Island gold and mineral field produced 194 kilograms of gold in the 4 years subsequent to its discovery in 1894, from an area of shallow workings 1.5 kilometres x 0.5 kilometres. Gold deposits in the adjacent Prince of Wales, Hammond and Possession Islands also drew attention at that time.These islands form part of a Carboniferous sequence of ignimbrites (Torres Strait Volcanics) intruded by the Badu Granite and minor volcanics within the Cape York-Oriomo Ridge. Gold is associated with the epithermal stages of igneous activity. Recent exploration has defined sub-horizontal zones of disseminated gold mineralisation in the sub-surface, as well as reserves in the outcropping sub-vertical structures mined in the past. Released estimates of 170,00 tonnes proven ore and 550,000 probable ore at 4 grams per tonne gold, have been established.Gold is mostly contained in quartz vein stockworks and hydrothermal breccias within the intensely propylitised medium grained granites which form the local host rocks within the coarse grained Badu Granite. Associated vein minerals are sulphides (primarily of lead, zinc and iron) and calcite. Various intrusions of porphyry, aplite and granodiorite occur through the prospect area.

Jan 1, 1986

This paper identifies the challenges and opportunities for mining companies and communities in investing in human rights compatible, credible, effective and representative company-community relationships.   The paper draws on the work of Professor John Ruggie, Special Representative to the United Nations Secretary General on Business and Human Rights, and his Protect, Respect and Remedy framework for business and human rights, The CDA Collaborative Learning Project, and the experience of Oxfam Australia. This paper begins with the premise that Australian companies commence operations offshore with high expectations and a willingness to work harmoniously with local communities. However, as companies increasingly engage in global operations - particularly in weak governance and conflict zones - the challenge to establish and sustain rights compatible, meaningful, corporate community relationships and grievances mechanisms becomes both more complex and necessary. Establishing trust and honouring commitments made to communities, including legacy issues, is a critical component in good corporate community relations.   The second part of the paper will identify some of the impacts and challenges of mining that need to be addressed in corporate community negotiations and consultation. Respect for indigenous people's rights and their right to give or withhold consent for a project to proceed is increasingly evident, as is the growing global expectations with regard to revenue transparency. As such, key challenges include: grievance mechanisms; free prior and informed consent; transparency and accountability; the gender impact of mining; resettlement, compensation and benefit sharing; and security issues.   Finally, the paper will provide practical guidance to companies on how to establish effective corporate community relationships. It will include examples, such as human rights impact assessments, gender impact assessments, and establishing local level grievance procedures. The paper will include an Oxfam Australia case study of a dialogue mechanism at Tintaya copper mine in Peru.

Jun 1, 2010

By D Clarke, I Minniakhmetov

This paper describes the application of the SBRE framework to model the Olympic Dam deposit, one of the largest copper and uranium deposits in the world. Geostatistical simulations are the best practice for quantifying uncertainty in the mineral value chain and estimating resources. However, these simulations are currently undertaken on an ad hoc basis in the mining industry due to the high requirements in computing resources and capabilities in advanced geostatistics. The SBRE project provides a standard framework to test, build, and run conditional simulation workflows, which has been applied to the Olympic Dam deposit. Conventional geostatistical methods face challenges when modelling the Olympic Dam deposit, such as non-stationarity, non-linear correlations, and a large number of grid blocks to simulate. To address these challenges, a combination of methods was used, including projection pursuit multivariate transform, trend-residual decorrelation, pluri-Gaussian simulations, and turning-bands simulations. Various tools and applications were used to build the model, including in-house developed applications, Autovariogram software (Varify), and the RMSP python library. All computations were accomplished on the AWS cloud using the EC2-Batch service. The final set of simulations was validated using various methods, such as grade-tonnage curves, histograms, swath plots, and variogram reproductions, as well as validation using historical samples back-testing. The study highlights the importance of an automated, modular, and scalable framework in the development of conditional simulation workflows and describes the learning gained from trials of different combinations of methods and software

May 24, 2023

We are moving into an era where we experience the consequences of the skills crisis û namely many resource models have been generated by inexperienced people under pressure to deliver high quality resource estimates in unsupported environments, often without technical mentors. These resource models form the basis of our decision to pursue actual mining. This begs the question: how valid are the resource models that form the basis of our mining decisions? This paper presents various model validation tools such as comparison of input and output statistics, swath plots, sectional or bench comparisons between drill holes and models as well as a variety of other approaches. Each model validation tool currently used in industry is examined:how the tool generates results,what assumptions exist,what constitutes a pass/fail in the test, and what interpretations to consider when using the validation tool. Each validation toolÆs suitability and the inherent flaws in the underlying assumptions are also discussed. These are supported with examples of good versus bad validations. Our principles based reporting codes provide flexibility in how models are generated and what approaches and/or parameters are used to generate resource estimates. This flexibility works well when used by experienced practitioners. However, our reporting codes assume a level of experience not always available in the current skills crisis. This paper seeks to provide minimum model validation prerequisites for model acceptance and suitability, regardless of the resource analystÆs experience. As we move forward, our immediate challenge is to ensure our baseline resource models are material, transparent and competent.

Jan 1, 2009

By C Claassen, R Balusu

Computational fluid dynamics (CFD) models have been developed based upon field data collected from a longwall mine in New South Wales, Australia to study the behaviour of goaf gas flow in both active and sealed goaf areas. A base CFD model was built to represent the goaf situations when the active longwall retreats near the finish-off line. Results from the base model were calibrated and compared against field goaf gas monitoring data. The base model was then used to carry out parametric studies to investigate a number of operational scenarios and their impact on goaf gas behaviour. CFD modelling results indicate that the overall goaf gas flow pattern changes as the operating longwall retreats towards finish-off line. In all cases, oxygen penetration into the active goaf remains high, reaching 15 per cent or higher, even at some 800 m behind the longwall face.The modelling results also indicated that it would be difficult for early detection of an active goaf heating (on the maingate side) based upon CO readings in the return airflow, as the main stream of the gaseous product will be flowing into the sealed deep goafs in adjacent longwall (LW) panels. Monitoring points (such as tube bundles and bag sampling points) should be selected at deep seated seals along the active goaf so that abnormal CO or C2H6 readings can be picked up for early detection and location of potential heating spots; goaf inertisation can be better achieved by injecting inert gas such as nitrogen at deeper points (>200 m) behind the operating longwall; the injection of in-seam drainage methane into the goaf areas will only have a limited impact on goaf inertisation as much of the injected methane will migrate towards deep and higher parts of the goaf due to its buoyancy effect.

Sep 26, 2011

Large mining operations need equipment that consistently performs as expected. The most effective way of ensuring this is to have a defined life cycle with an optimised maintenance strategy. The determination of this life cycle is an economic decision, influenced by the construction and utilisation of the equipment. An effective life cycle costing (LCC) tool must be able to process the many variable factors involved.Many factors influence the costs that are associated with a machine over its life. The most variable of these are the costs of maintaining the equipment. Maintenance costs are dependant not only on the utilisation of the machine, but also on the strategy that has been developed to support the machine through its life. A combination of supplier support, component changes, regular servicing and unscheduled maintenance needs to be modelled, based on a variety of drivers. Traditionally spreadsheets have been used to model these factors, but the increasing complexity of the situation can make spreadsheets unwieldy and difficult to manage. A database solution that breaks each activity into its constituent components, links them to an associated mine plan driver and then aggregates the result is the ideal tool to provide a time based cost profile. The evaluation of a number of scenarios, representing different maintenance strategies/life cycles can be rapidly undertaken. Auditability through inbuilt tools is required to provide easy tracing of data. Use of the host company's account structure allows for reporting against the standard chart of accounts.

Dec 6, 2010

By P Craig, I Canbulat, J Naylor, J Emery, A Sykes

Longwall mining is by far the most common method of underground coal extraction in Australia. Industry trends and expectations are placing increasing emphasis on the reliability and productivity of these operations. Longwalls are becoming wider and longer while retreat rates are continuously increasing due to significant improvements achieved in longwall equipment reliability and automation. This increased longwall productivity is placing significant emphasis on the reliability of longwall panel development.Although there have been significant improvements in the reliability of continuous miners and hydraulic drill rigs, the traditional resin-encapsulated bolt installation is still the principal method used in all major coal producing countries around the world. Anglo American realised that an opportunity existed to introduce an alternative roof bolt installation technique called ‘spin-to-stall’ (STS) into Australia. STS was first introduced by Anglo American Coal in South Africa, where it has been successfully used for over a decade, though implementation of South African STS resin in Australia has proven to be near impossible. Therefore, a new STS development project was initiated between Anglo American Coal and Jennmar Australia. This paper summarises the journey of this project, the results achieved and the successful implementation of STS at Grasstree mine.CITATION:Emery, J, Canbulat, I, Craig, P, Naylor, J and Sykes, A, 2014. Development and implementation of spin-to-stall resin at Anglo American’s Australian Underground Coal Operations, in Proceedings AusRock 2014: Third Australasian Ground Control in Mining Conference , pp 287–294 (The Australasian Institute of Mining and Metallurgy: Melbourne).

Nov 5, 2014

By A C. Robertson

World urban expansion puts constraints on the available land surface area of our major cities both for accommodating people as well as providing infrastructure and services whilst at the same time attempting to preserve the remaining natural environment. Whilst consideration is often given to underground planning for private and public transport infrastructure, the author is of the opinion that the current lack of underground planning of our cities that are suitable for underground development will have major long implications when finally the need for underground space planning is critical and ultimately recognised. This paper identifies the need for our city planners to integrate surface planning and underground planning as a ‘total planning solution’ where the city plan incorporates the elements of underground space planning as identified in this paper. Investigations by the author reveal that there are very few cities in the world that actually incorporate underground space planning in their city plans. The author uses the City of Brisbane as a case study for the potential introduction of underground space planning as part of the city plan. Despite efforts by the author to include the planning concept of underground commercial development in the latest Brisbane City Plan 2014 as well as four underground space workshops in Brisbane over the past 20 year through the Australasian Tunnelling Society (ATS), underground space planning for the City of Brisbane, apart from infrastructure projects, is not considered of significance to the City of Brisbane.CITATION:Robertson, A C, 2014. Commercial underground space – planned development for the future, in Proceedings 15th Australasian Tunnelling Conference 2014 , pp 513–518 (The Australasian Institute of Mining and Metallurgy: Melbourne).

Sep 17, 2014

The problem of stability of the development working at the great depths of coal winning is of great seriousness. Numerous researches of the problem were carried out in the USSR, the results of which determined that raising of resistance of existing support will not lead to a considerable rise of working output. It is necessary to try to find ways at the expense of heightening the support ability of rock massif. For these purposes it is necessary to direct it correctly and in proper time. While carrying the development working the most intensive deformations of rock occur at a depth of 30m from the entry face. The zone of destruction of rock around the work is realised here for 60 to 70 percent. These facts show that in influence zone of entry face a kind of embryo of the working steadiness is forming, which greatly determines its following conditions. Therefore, it is necessary to begin direction of mining pressure around the work directly in a face.Complex research of the mechanism was carried out starting with the effect of moving face upon the surrounding rock massif. It was ascertained, that the zone influenced by the face is a section of 5 equivalent diameters of the work by the length within which the rock of the sides, roof and floor, experience the cyclical influence of stresses at the time of cyclical shift of the face. The elastoplastec deformation is occurring with it at the moments of rock removal and the deformation of creeping takes place at such intervals.

Jan 1, 1991

By Ramsden AR, French DH

The limited contrast range of conventional black and white imaging does not enable full use to be made of the dynamic range of the video signal obtained from a scanning electron microscope or microprobe. The use of false colour substantially increases the information that can be derived from such images enabling relationships to be displayed that cannot be observed in black and white. This capability is now used extensively in combination with quantitative electron microprobe analysis as a research tool for ore characterization and host rocks studies related to minerals exploration in the CSIRO Division of Exploration Geoscience.

Jan 1, 1989

By M C. Goode

The use of electrical or electronic safety systems to protect personnel, and the engineering tasks associated with the design, manufacture and maintenance of these systems are referred to using the term ‘functional safety’. In the past ten years, the use of such systems has transitioned from its traditional base, in oil and gas major hazard facilities, to being a part of most large mining and materials handling projects. In particular, functional safety is rapidly becoming a significant component of Australian iron ore projects, typically in the form of emergency stops, remote isolation, drive through interlock, robot cell entry or mobile machine anti-collision systems. While these types of systems have been in use in iron ore for a long time, functional safety standards (eg AS61508, AS62061, AS4024.1503) require more rigourous demonstration of the level of risk reduction provided by the systems.The early engineering project development phases require a number of key decisions to be made around functional safety implementation. The decisions made at this point in a project will go on to dictate the required types of risk assessment and analysis, equipment selection, sizing of substations, and training and maintenance requirements for owners. For project teams that are unfamiliar with functional safety, or inexperienced in its application, an incorrect decision or failure to understand the requirements of the chosen standard can lead to a failure to meet contract requirements, as well as major cost and schedule overruns.This paper examines the implications of functional safety on early engineering studies, focusing on the following questions: How does a designer or company determine what standard is best suited to their project? What key aspects of functional safety design need to be considered during project development? And finally, how can the impact of functional safety to the project be minimised?CITATION:Goode, M C, 2017. Functional safety impacts on study stages of major projects, in Proceedings Iron Ore 2017, pp 347–352 (The Australasian Institute of Mining and Metallurgy: Melbourne).

Jul 24, 2017

The introduction of a new mining method to Australia is not without its risks and challenges. This paper discusses the processes of planning a new operation, with particular emphasis on block caving and its Northparkes adaptation. As well as applying advanced technologies, here also is the opportunity to develop the art and science of block caving for its application to a wider range of geotechnical conditions than previously Envisaged.

Jan 1, 1995