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By Harrison AT, Smart RM

Backfill systems using unconventional cementitious hinders have been successfully used in relatively deep and hard rock tabular mines for longwall, scattered stoping and shaft pillar removals. Two unconventional cementitious systems are discussed: 1. A ground granulated blast furnace slag (GGBS) with an activator containing lime. This has been used with a total tailings 'stable' slurry at a relatively low dosage of less than seven per cent, by mass, based on dry solids. The room and pillar stopes supported with this fill were up to 20 in high and the tailings were relatively high in pyrite. .\ GGBS binder plus a silicate based activator and gelling agent that virtually eliminated all water drainage (and hence post filling shnnkage). The system used a slurry, but the addition of the ;iutivator created a final placed product that had the behaviour of a paste. The system has been successfully used for almost ten years in the following applications: ò sloping widths (mining heights) above 1.6 in; and ò shaft pillar removals in seismically active areas at the end of the life of the shafts. \This paper discusses the technical merits and costs of the systems and compares them to other fill systems (including true paste systems).

Jan 1, 1998

By C Simpson

In 2011 the forecasted world demand for iron ore continues to grow, and during this time Australia is looked upon as a reliable supplier of high quality ore. The expansion of the current Australian mines is unlikely to meet the forecast demand. New mines are therefore being actively explored for and when discovered, are quickly being developed into mines in order to meet the world’s hunger for steel.The Solomon Project area is a large new iron ore discovery, located in the central Hamersley Ranges of the Pilbara province in Western Australia. The first Fortescue exploration drill holes commenced on the project in 2007 and to date three billion tonnes (Bt) of iron ore have been defi ned within the project area. Fortescue is fast-tracking the development of the ‘Solomon Stage 1’ project, with rail and mine construction commencing during 2011, and ore to be railed to Fortescue’s existing shipping operations at Port Hedland commencing in 2012. At a designed production rate of 60 Mt/a, the Solomon operation will be one of the biggest production centres of iron ore in the Pilbara.Deposit types include the three dominant mineralisation styles of the Pilbara province, being bedded iron deposits (BID), Channel iron deposits (CID) and detrital iron deposits (DID). All these mineralisation styles are present in large concentrations within the Solomon project area, and when mined will produce two product streams. These are a single product of CID, and a combined product from a blend of BID and DID material.This paper defines the geological characteristics of the Solomon iron deposits as recognised through the exploration and development of this vast resource over the three years since exploration commenced on the project.

Jul 11, 2011

By H S. Smit, P Lotz

Gold mining companies who are signatories of the International Cyanide Management Code (visit www.cyanidecode.org for further information) are required to measure WAD cyanide on-line and destroy WAD cyanide in excess of specified limits. Weak acid dissociable (WAD) cyanide refers to those cyanide species liberated at a moderate pH of 4.5 such as HCN(aq) and CN-, and the majority of Zn, Cd, Cu, Ni and Ag complexes with low dissociation constants. It is potentially toxic to humans and animals. Recognising and in response to the gold mining industryÆs need for an on-line WAD cyanide measurement device, Mintek recently developed the WAD Cynoprobe. The WAD cyanide analysis technique is based on the use of a ligand exchange reagent that liberates WAD cyanide from metal-cyano complexes. The ligand exchange reaction is represented by the following chemical equation: Metal(CN)X + yLigand <-> Metal(Ligand)y + xCN- The plant filtrate is treated with a ligand exchange reagent, to liberate WAD cyanide, before measuring the free cyanide concentration via amperometry. The instrument proved to be accurate and reliable in the laboratory as well as under industrial gold plant conditions during various trials. It has gained wide-spread commercial acceptance both locally and internationally. However, itÆs recent exposure to complex ore types have called for refinements to the analysis technique. It has been further developed to improve its precision and accuracy and to remove reagent and thiosulfate interferences. Its compatibility with the most commonly used destruction oxidants has also recently been investigated. The WAD Cynoprobe may be configured to measure both free and WAD cyanide concentration. Its fast analysis time, approximately 5 min, makes it suitable for use in the control and optimisation of the cyanide destruction and recovery process. Proper oxidant dosage control and monitoring of effluent concentration levels will ultimately result in less cyanide and post-destruction salts discharged into the environment.

Jan 1, 2008

By Iley J. D, Siviour N. g, Moffatt R. J

The process of desilverising by fractional crystallisation with reflux was investigated through laboratory batch tests and continuous laboratory bench scale tests at CSIRO Clayton, to a 300 kg/hr pilot plant at Port Pine. The pilot plant built at BHAS comprised a vertical cylindrical refining column with internal diameter 250 mm and height 3.2 m, attached at the top to an off-set cylindrical stirred crystalliser tank. Crystals were made in the crystalliser by intermittent immersion of steel cold fingers, which were water cooled between immersions. Gas heat was used for melting the crystals at the base of the column and for side compensation heating. A computerised in strumentation system was employed for data logging and for controlling some critical plant operations. A mechanical device was first employed to promote counter-current plug flow of crystals down the column against the rising stream of reflux liquid, but this was found to be unsatisfactory owing to excess noise, frequent mechanical failure, and excessive accumulation of dross. Plug flow was finally promoted by pulsing the column. Low silver levels, less than 1 gitonne, were achieved with both methods of crystal transport under total reflux conditions. The pulsed column gave results for silver and bismuth which agreed with the theoretical predictions of a computer model, but there was some selective drossing of antimony. In the mechanically agitated column, excessive drossing promoted selective removal of most of the antimony and some of the bismuth, and the results after extended operation were well removed from the theoretical predictions. Plant failures and operating problems prevented the achievement of satisfactory product quality with the necessary reliability under production conditions. Other priorities necessitated the termination of the project before the process could be optimised.

Jan 1, 1989

By E S. Weiss, S P. Harteis

The Pittsburgh Research Laboratory (PRL) of the National Institute for Occupational Safety and Health (NIOSH) has conducted full-scale explosion experiments, to evaluate the strength characteristics of various seal designs, used for safely isolating worked-out areas in underground coal mines. Large-scale explosion tests conducted within the multiple entry section of PRLÆs Lake Lynn Experimental Mine (LLEM) is currently the only accepted test method used by the Mine Safety and Health Administration (MSHA), for deeming a seal design suitable for use in American mines. These explosion tests are labour intensive, expensive to conduct, and can interfere with other critical underground safety and health research programs conducted by NIOSH. The PRL has developed an alternative seal evaluation method, based on a hydrostatic pressure loading concept, that can facilitate the in situ testing of seals in an operating mine. Two chambers within LLEM and one within PRLÆs Safety Research Coal Mine (SRCM) were used for hydrostatic pressure loading various seal designs. The results from these chamber tests compare favourably with those from the large-scale explosion tests in the multiple entries. In addition to testing seal designs at the required 20 psi static pressure level, the chamber test approach also allows for the determination of the sealÆs ultimate design strength. Size-scaling relationships for predicting the strength of seal designs as a function of entry size are also presented.

Jan 1, 2005

By G R. Dickens, N H. S Oliver

The genesis of giant hematite ore deposits in northwest Australia remains a contentious topic in part because key evidence supporting a unifying genetic model has not been found at all deposits. In particular, several papers have proposed that carbonate replacement of silica layers in banded iron formation (BIF) by basinal brines is a requisite first step toward ore formation. This initial hypogene stage is inferred primarily from the presence of silica-poor, carbonate-rich rocks found below ore and along normal faults at the Mount Tom Price and Giles Mini deposits. However, until recently such rocks have not been identified at the largest martite-microplaty hematite deposit, Mount Whaleback. In this study, samples of the upper Mount McRae Shale are examined for their chemistry, mineralogy and petrography. These samples were collected from several key locations, including within drill core that penetrates an area immediately beneath ore along the Mount Whaleback fault at Mount Whaleback. Compared to unaltered black shale from Wittenoom Gorge in the north and altered black and red shale at Mount Whaleback, reddish-green shale below the Mount Whaleback deposit is significantly enriched in MgO and CaO and depleted in SiO2. Samples of this shale consist predominantly of fine- to medium-grained dolomite and ankerite cut by chlorite and carbonate veins, contrasting with unaltered equivalents that contain mostly stilpnomelane, K-feldspar and relatively minor carbonates. This alteration is distinct from assemblages developed during regional metamorphism, and possibly represents hydrothermal alteration after metamorphism. Although several questions remain unanswered, these results support models that invoke an early hypogene stage during the formation of the martite-microplaty hematite deposits in the Hamersley Province.

Jan 1, 2005

By J N. Farrell

Metallurgists frequently use a small number of large samples to characterise expected mill performance, with the a priori assumption that these few samples are representative of the entire deposit. Geometallurgical sampling is becoming more prevalent as a way to use many smaller samples to indicate the expected recovery as part of the Mineral Resource or Ore Reserve estimation.The evaluation of magnetite deposits involves specialised approaches to sample preparation, sample analysis and resource estimation. The sampling protocol for magnetite deposits will typically include the use of Davis Tube analysis. The Davis Tube is a mini-pilot plant that is used for determining the mass magnetic recovery from a small amount of sample ground to a specific size. The magnetic concentrate may then be analysed and together with the mass magnetic recovery, may be used to simulate the expected mill recovery. The magnetite sampling protocol is specific to each deposit, and is typically designed around a specific metallurgical flow sheet.During resource modelling, the mass magnetic recoveries and concentrate grades may be estimated directly or assigned to a block model using regressions with other chemical constituents. For estimation, the concentrate grades are weighted to account for the different mass magnetic recoveries of each sample and the impact of these differences on the concentrate estimates.

Sep 5, 2011

By S A. Ravishankar

In heavy minerals separation, the titanium and iron oxide phases are separated from silicates in the coarser particle size range (80 - 150 mm) using magnetic and electrostatic separators. With the ongoing challenge of heavy mineral ore deposits getting increasingly finer in particle size, conventional separation equipment suffers from the ability to process this material at the same throughput rate as coarser particles. A variety of magnetic separation technologies were developed to perform at a much finer particle size range, down to 2 mm in the clay industries mainly to remove titaniferrous oxide particles. Complementing the developments made on the physical aspects of magnetic separation, Cytec Industries has recently developed a ‘bolt-on’ chemical enhancement technology for magnetic separation (CEMS). This is to enable separation of finer particles, and weakly paramagnetic titanium phases from diamagnetic silicates that are not amenable to magnetic separation. This paper will provide an outline of the technology, illustrate its ability to process a wide variety of ores, and also discuss plant limitations. The major advantages of chemical enhancement technology to magnetic separation includes: simple dosing equipment extension to existing magnetic separation technology; ability to produce product of comparable quality with improved cost effectiveness, when compared to incumbent flotation; removal of impurity minerals over wider size range; enhanced removal of non-magnetic impurities; and improving the process robustness. Furthermore, chemical enhancement technology for magnetic separation has also emerged as a platform for removing impurities at lower levels in other mineral systems as well.

Oct 5, 2011

By C Katonga

Mindola mine is currently the deepest mine in the Zambian copper belt. Stoping is currently active to 1330 m below surface with long range plans indicating future production from 1590 m level. The orebody is tabular and dips between 55o to vertical. The thickness varies from 8 to 14 m. The vertical crater retreat method of mining was first introduced at Mindola mine in the late-1980s following several trials that helped define the design criteria for its application. Over the last ten years the method has been continually modified to improve safety and maximise ore production. For example, due to the weakness of some rock units within the orebody formation and the instability of the hanging wall, the last VCR slices are usually between 8 - 10 m thick, and efforts are being made to strictly apply shrinkage method in order to reduce dilution. Recent advances in mining technology in the areas of equipment, blasting techniques, rock mechanics and materials handling have been employed to increase the overall productivity of the mine. Large down-the-hole machines capable of drilling 165 mm diameter blast holes, up to 80 m long are used in stoping. Each stope produces up to 20 000 tonnes of ore per month and can last for three months. Heavy systematic ground support of VCR development has significantly enhanced safety for mining crews and equipment. Crater mining has not only improved productivity and enhanced safety, but also overcome various problems associated with conventional sublevel open stoping previously employed at the mine. This paper discusses the technical and operational aspects of vertical crater retreat mining at Mindola mine during the last ten years. The changes in mining method are often accompanied by changes in mine design, blast design, mining equipment, ground support and operating practices.

Jan 1, 2000

By F I. Cox, D Peeler, T Bodisco

"Diesel particulate matter (DPM), in particular, has been likened in a somewhat inflammatory manner to be the ‘next asbestos’.From the business change perspective, there are three areas holding the industry back from fully engaging with the issue:There is no real feedback loop in any operational sense to assess the impact of investment or application of controls to manage diesel emissions.DPM are getting ever smaller and more numerous, but there is no practical way of measuring them to regulate them in the field. Mass, the current basis of regulation, is becoming less and less relevant.Diesel emissions management is generally wholly viewed as a cost, yet there are significant areas of benefit available from good management.This paper discusses a feedback approach to address these three areas to move the industry forward. The six main areas of benefit from providing a feedback loop by continuously monitoring diesel emissions have been identified: Condition-based maintenance. Emissions change instantaneously if engine condition changes. Operator performance. An operator can use a lot more fuel for little incremental work output through poor technique or discipline. Vehicle utilisation. Operating hours achieved and ratios of idling to under power affect the proportion of emissions produced with no economic value. Fuel efficiency. This allows visibility into other contributing configuration and environmental factors for the vehicle. Emission rates. This allows scope to directly address the required ratio of ventilation to diesel emissions. Total carbon emissions. For National Greenhouse Emissions Reporting (NGER)-type reporting requirements, calculating the emissions individually from each vehicle rather than just reporting on fuel delivered to a site.CITATION:Cox, F I, Bodisco, T and Peeler, D, 2014. Continuous remote emissions monitoring – the lynchpin for air quality management, in Proceedings 12th AusIMM Underground Operators’ Conference 2014, pp 137–142 (The Australasian Institute of Mining and Metallurgy: Melbourne)."

Mar 24, 2014

By B Wong, R G. Coleman

In flotation, the selection of the size, number and type of cell for a particular duty depends on two important factors. Firstly, the required flotation residence time and secondly, the physical constraints of how much concentrate can be recovered for a given froth surface area and concentrate lip length. The residence time is influenced by ore type and characteristics such as liberation, kinetics and reagent dosage. The amount of concentrate that can be recovered for a given froth surface area and lip length depends on ore type and other characteristics such as particle size, specific gravity and mineral grade. Residence time is determined through a combination of laboratory-scale test work and design scale-up factors. However the critical froth transport parameters such as froth carry rate and froth lip loading cannot be determined in a laboratory. This is because the froth is scraped during a laboratory flotation test and thus does not exhibit natural behaviour, and it is not possible to scale-up froth transport distance or air rate. These values are generally compared via calculation to rule-of-thumb maximum values to establish if these values will be exceeded by the flotation cell selection.This paper first reviews these critical froth transport parameters and then discusses actual parameter values across diverse operating sites, with varying cell duties, cell sizes and types, orebodies and particle sizes. These values are compared against the industry rule-of-thumb to test the applicability of the rule-of-thumb to actual performance. Options are also presented for adjusting these parameters in operating flotation cells.CITATION:Coleman, R G and Wong, B, 2018. Flotation launder design and the measurement of critical froth transport parameters, in Proceedings 14th AusIMM Mill Operators' Conference 2018, pp 353–362 (The Australasian Institute of Mining and Metallurgy: Melbourne).

Aug 29, 2018

Consideration is given to the factors affecting raceway activity and the hearth design of a zinc-lead blast furnace. Results of measurements made on operating furnaces are given and comparisons are made with published data both from operating iron blast furnaces and from dynamic models of the zinc-lead blast furnace. Indication is given of the methods used for assembly of the relevant information into the specification of a commercial furnace design. A discussion on the comparative merits of furnaces of circular and essentially rectangular plan is given based on the concepts explained in the paper.

Jan 1, 1981

By N Gupta, R Trivedi, S Bhandari

Managing blasting operations in four mines surrounded by villages is a challenging task. This study aims to compare the blast-induced flyrock as observed in opencast mines by predicting flyrock distance using a soft computing approach known as an adaptive neuro-fuzzy inference system (ANFIS) and Flyrock Predictor software based on empirical studies. Blast design and geotechnical variables such as linear charge concentration, burden, stemming length, specific charge, unconfined compressive strength and rock quality designation were selected as independent variables, while flyrock distance was used as a dependent variable. Out of 120 blasts, data from 100 blasts was used to train and test the ANFIS model. Flyrock distance for the remaining 20 blasts was used to evaluate the model. Flyrock distance has also been predicted using Flyrock Predictor software based on an empirical approach using the same data sets as those used for ANFIS. Performance indices like root mean square error (RMSE), mean absolute error and coefficient of determination (R2) were evaluated to compare the reliability of ANFIS and Flyrock Predictor quantitatively. ANFIS was found to be a better predictive tool, with 1.75 m RMSE and 0.966 R2 compared to Flyrock Predictor, which returned RMSE and R2 values of 2.48 m and 0.932 respectively.CITATION:Trivedi, R, Singh, T N, Gupta, N and Bhandari, S, 2015. Soft computing approach to predict blast-induced flyrock, in Proceedings 11th International Symposium on Rock Fragmentation by Blasting, pp 455–462 (The Australasian Institute of Mining and Metallurgy: Melbourne).

Aug 24, 2015

No Paper

Jan 1, 1996

By D J. Brake

The importance of mine ventilation to health and safety in both coal and metalliferous mines has been long recognised. The primary and secondary ventilation systems in most metalliferous mines incur 50 per cent or more of the total mine electrical power consumption and frequently about 10 per cent of total underground mine operating costs. The requirements for ventilation-related horizontal and vertical development, fans and cooling have a significant impact on mine capital costs and also on mine schedules and start-up times and hence cash flows. There are increasing pressures on regulators and miners to reduce airborne contaminants such as diesel particulatematter, nitrogen dioxide and heat (wet bulb temperatures), and significant pressures to reducegreenhouse gases such as fugitive methane emissions from coalmines and the carbon dioxide footprint of both coal and metalliferous mines. Many previously Australian miners are now globaloperators and have extensive overseas mining operations where local ventilation standards and expertise may not be consistent with Australian practices. The role of the site ventilation officer is also changing with strict new requirements for the statutory position being introduced into Queensland metalliferous mines and the potential for this to become more widespread. Recent regulator and parliamentary review committees have identified systematic shortcomings in mine ventilation compliance, and statutory certificates in both Queensland and NSW now require continuing professional development to maintain currency. Public and investor support for mining are also increasingly contingent on safe, healthy and environmentally responsible practices and the standards for these are frequently tightening. Good ventilation design and operating practices that are consistently well executed therefore contribute significantly not only to a safe and healthy mine but also to a productive and cost-effective operation and the ongoing social licence to operate. There are a variety of ways of providing technical design and oversight into a mine’s ventilation systems; this paper explores some current trends in ventilation standards and statutory requirements, as well as ways to support and develop mine ventilation staff for both domestic and international operations and also the emerging senior technical roles of Group/Principal/Corporate mine ventilation engineer.

Oct 12, 2022

By S Vearncombe

SpaDiSÖ is a revolutionary approach to the spatial analysis of point data using geometry to analyse geometry! SpaDiSÖ uses each and every spatial relationship and is not dependent on mathematical models. For n points there are n2 û n spatial relationships and, because of the square function, the method yields interpretable results for both small and large data sets. SpaDiSÖ is an alternative to variography for directional studies. At the regional scale, the analysis can assess distribution patterns of mineralisation and potential controlling structures. At the deposit scale, the characteristics of zones of mineralisation such as direction, spacing, high-grade ore direction and grade distribution can all be deduced.

Jan 1, 2000

The Henty Gold Mine is a good example of a situation where conditional simulation and optimisation techniques may have useful impact on modelling of mineralisation distribution and ore definition. Much of the gold mineralisation at Henty is concentrated within an alteration zone which is both physically discontinuous and forms only a small fraction of the overall mineralised volume. The alteration units are mappable from diamond drill core and underground workings. Conditional simulation and optimisation techniques for ore definition have found considerable success in the open pit gold mining environment. For many reasons including computational efficiency, lack of consistent geological information, and lack of familiarity with ideas and methods among mine geologists, implementations of these methods in open pit mining have been comparatively simplistic. Modelling is commonly reduced to treating the sample data as a single geologic population. This paper discusses the application of the MP method (a particular implementation of conditional simulation and optimisation) to modelling the distribution of potential ore blocks in the Henty gold mineralisation. The approach allows the mine geologist to model both the spatial geometry of the alteration types and the gold grades associated with each alteration type in a single process. Options allow the geologist to include or exclude underground geological mapping and face sampling depending mainly on the abundance of drill hole sampling and the quality of the face sampling. An optimisation algorithm based on maximisation of profit from mining is used to assist in ore definition.

Jan 1, 2000

By M Clay, J Dunlop

Thermal and metallurgical coal mining in Queensland has resulted in mines which contain voids due to open cut mining. While there are several proposals for greenfield coalmines or expansions to existing operations, many existing open cut coalmines are reaching maturity and most will leave one or more residual voids in place. The rehabilitation of mine voids is challenging. Water held in voids will evaporate over time leaving solutes to concentrate. This is likely to lead to poor water quality with limited practical use. The most basic practices to rehabilitate voids have historically involved stabilising the high and low walls, bunding to provide flood protection, and preventing public access. Regulatory reforms for mine rehabilitation were introduced in Queensland as part of the Mineral and Energy Resources (Financial Provisioning) Act 2018, and aimed to strengthen progressive rehabilitation planning, limit risks to the environment and improve outcomes for local and regional communities. Under the reforms, the goal for rehabilitation of voids is to achieve a safe, stable, and non-polluting landform, which can sustain a post-mining land use (PMLU). The reforms also introduced a requirement to describe rehabilitation of mined land in Progressive Rehabilitation and Closure (PRC) plans, replacing the description of such plans in Environmental Authorities (EAs). The reforms are not retrospective and recognise historic approvals for voids, meaning established voids will remain in the landscape as non-use management areas (NUMAs). The objectives of this study were to outline historic void rehabilitation planning practices, describe water quality limitations of Queensland mine voids and identify possible opportunities for improved planning

Aug 2, 2023

By G W. Croft, L E. Krause

The current copper ore handling systems in use at Xstrata CopperÆs Mount Isa Copper Operations are up to 33 years old and have hoisted over 160 Mt at a rate of around 6 Mtpa. The mineÆs production profile is increasing in line with the optimum life of mine plan to over 6.6 Mtpa, which requires a system utilisation and reliability above that previously achieved. Copper ore is hoisted up the U62 shaft, which forms the central part of the U62 ore handling system. In theory this system can cope with the duty planned if the bottleneck is only the U62 winder. To achieve the planned production rate will require increased focus on reliability of each component in the ore handling system so that ore is available at the shaft for hoisting whenever the shaft is available, and the shaft is available for the maximum practical time. Increased availability will be achieved through the outcomes of the study of each component in the U62 system, and the internal ore handling systems that deliver ore from as far as 2 km laterally and 700 m vertically from the U62 shaft. The true capacity of each component is being determined and current performance is being measured with the aim of improving performance through root cause analysis and engineering out the causes of delays. The program began in March 2004 and this paper describes the progress achieved as of April 2005.

Jan 1, 2005

By M C. Ackland

The Grande Côte Mineral Sands Deposit (GCMSP) is located on a coastal mobile dune system in Senegal on the west coast of Africa. Senegal is a stable, democratic republic, having gained its independence from France in 1960. It has a population of about 12.5 million people. The dunes begin about 25 km north-east of Dakar, the capital city of Senegal, and extend northwards for more than 140 km. The mineralised dune system averages about 2 km wide with some areas extending to up to 4.5 km wide.Mineral Deposits limited (MDL), a Melbourne-based company with over 60 years operational experience in mineral sand mining in Australia, holds, through its Senegalese subsidiary MDL Senegal SARL (MDLS), a 25-year Mining Concession covering the deposits. The main heavy mineral (HM) areas identified to date are, from south to north, Mboro, Fass Boye, Diogo and Lompoul. Within the Mining Concession there is potential to identify additional resources beyond the limits of present drilling. The dunes are mobile or semi fixed, pale yellow in colour and overlie older white marine sands. The dunes range between 5 m and 30 m in height and the mineralised zones, which are essentially flat-lying, average around 15 m in thickness. The mineralisation consists, principally of ilmenite with accessory zircon, rutile and leucoxene. Zircon and ilmenite are the main commodities of interest.Independent consultants AMC estimated mineral resources for the four main deposits in 2006 of 1330 Mt of sand averaging 2.0 per cent HM at a cut-off grade of 1.5 per cent HM. At a cut-off grade of one per cent the resources were 3200 Mt averaging 1.5 per cent HM. All of the estimate was classified as Inferred Resources under the 2004 Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves (JORC, 2004).Subsequent completion of infill drilling, sampling and assaying of the initial mining area, centred at Diogo, was completed in 2008, enabling a final dredge path to be designed and ore reserves estimated, based on a JORC compliant Measured and Indicated Mineral Resource. Infill drilling is continuing in the Lompoul and the results of this campaign will be included in the JORC compliant data base by AMC in April 2010 to enable the 15 per cent year dredge path and mine plan to be finalised.Development studies have shown that the project can be optimised as a dredging operation, with mineralised sand being treated in a conventional floating spiral preconcentrator, wet concentrator and dry mineral separation plant. Engineering work now substantially completed by Ausenco Limited (Ausenco) has developed the combination of some existing plant from MDL’s past operations, and new plant for the complete process from dredging to final product separation and grading. Testwork on a series of bulk samples has determined that the project can yield a high quality zircon product and an ilmenite product along with minor rutile and leucoxene.Work to date indicates a likely output of around 80 000 t of zircon in various quality streams (Primary, Secondary, Standard and Foundry Grades), around 550 000 t of ilmenite plus around 15000 t of rutile and around 12 000 t of leucoxene/secondary ilmenite. Planned zircon output would represent around 7per cent of the total world production, which would make the GCZ&IP a significant producer on a world scale.The studies have indicated capital costs to be in the range of US$400 M total operating cost (after completion of ramp-up) of around US$50 M - $55 M/a. Revenue is expected to be in the range $127 M - $157 M/a.

Oct 5, 2011