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By O Rojas

The Telégrafo copper – gold deposit is located in the Centinela district of the Antofagasta region in northern Chile. Telégrafo is a porphyry copper deposit of Eocene – Oligocene age which has a total mineral resource in measured, indicated and inferred categories equal to 2.6 billion tonnes with an average grade of 0.38 per cent copper.Currently the project is in the prefeasibility study phase, including an infill drilling campaign to improve the knowledge of the deposit that should result in an improvement of the mineral resource classification. In this context was decided to review the classification criteria in order to optimise the drill hole density necessary to support the project.This paper presents an application of conditional simulation to evaluate the risk related to drill hole spacing, using a geostatistical approach that mimics the process of evaluation of resources from the perspective of geological modelling and grade estimation. The first step of the approach is the generation of conditional simulations using the available samples to generate several plausible scenarios of the deposit in terms of copper grades and geological units. These scenarios are considered as the unknown reality of the deposit and sampled by synthetic drill holes in order to replicate the geological model process and copper resource estimation. In this way it is possible to establish differences between the possible scenarios and the generated resource estimation models for several simulated drill hole spacing alternatives. These differences or errors can then be quantified in terms of estimated mean, metal content and tonnage over different production volumes.The resulting errors were useful in assisting the decision making process related to the design of drill hole spacing for each category of mineral resource in the Telégrafo project, and to redistribute the budget associated to the drill campaigns for the next stage of the project.

Aug 22, 2011

By G Chitombo

Mass mining methods have become the mining industry’s preferred way of extracting most of the world’s most important metal and mineral commodities. Given the rapidly increasing global demand for commodities, the requirement to increase the contribution of some of these (eg copper and gold) from underground sources also continues to grow. In the case of copper this contribution is needed by a number of major producers to supplement production from their ageing deep open pits. Satisfying this increased demand will require the design, construction and operation of more effective, higher capacity and larger scale mines which, in turn, will require enhanced mass underground mining techniques such as block caving (BC), panel caving (PC) and sublevel caving (SLC).It is now widely accepted that future discoveries of orebodies, which will be developed using these methods, are almost certainly to be much deeper than the deposits presently being mined in this way and made more challenging because of the likelihood that the associated grades may be much lower than currently mined. The design and mining of future large-scale cave mines (supercaves) will become crucial in order to extract full value from such deposits. An essential prerequisite of this will be a much improved knowledge of the deposit, ie Total Deposit Knowledge. In this context, Total Deposit Knowledge is the characterisation of the ore deposit and its surrounds at all scales and includes; rock type (lithology), the spatial orientation of a range of geological features or discontinuities, rock mass fabric knowledge, metal grade and distribution data, geometallurgical data (including alteration), geo-hydrology, permeability and porosity. This is the information that will be used, as now, to delineate geological and geotechnical domains and construct models, but with outcomes superior to those presently available. From this information better-informed feasibility study design decisions and performance predictions must be made. In summary more geological information and analysis is required and this needs to be aligned to potential mining and processing requirements much earlier in the project than commonly occurs.

Aug 22, 2011

By D A. Sketchley

The Merlin Zone, a 2008 high-grade Mo-Re discovery, is a part of the Mount Dore Deposit in the Eastern Succession of the Mount Isa Inlier in Queensland, Australia. Hosted by carbonaceous metapelites and phyllites, the Merlin mineralisation comprises molybdenite veins, breccia infillings, stylolitic fracture fillings, and disseminations. Because rhenium is geochemically similar to molybdenum and commonly associated with it, global production of rhenium has been mostly a by-product of molybdenum refining. The high-grade rhenium in the Merlin Zone is an exciting discovery that is expected to become a direct source of rhenium. At the time of discovery, quality assurance (QA) procedures for rhenium were not in place at the Merlin Zone; therefore, they needed to be developed.The Merlin Zone was discovered using reverse circulation drilling, which led to concerns about molybdenite loss due to poor sample recovery. The twinning of the discovery hole with diamond core demonstrated a two-fold increase in molybdenum grade over several tens of metres. Consequently, the resources of the Merlin Zone were defined using assays from diamond drill core.Early analytical work, which was initially done only for molybdenum, comprised geochemical analysis with an aqua regia digestion, which have poor precision and can be biased low. Although initial testing for rhenium used similar procedures to those for molybdenum, a scarcity of commercial rhenium reference materials led to a validation process using neutron activation analyses and different digestions. This resulted in introduction of four-acid digestion assays, development of matrix-matched reference materials, and improvements to the quality of molybdenum and rhenium assays for reporting resources. Coarse and pulp duplicates were used to check for sampling bias and to ensure that levels of precision were adequate for the style of mineralisation and analytical methods. In addition, the direct and consistent geochemical correlation between molybdenum and rhenium provided another method for checking analyses.

Aug 22, 2011

By D Cooke

In 2010, Kalgoorlie Consolidated Gold Mines (KCGM) was Australia’s largest gold producer, with total annual production of 788 000 ounces. Of the gold produced by KCGM in 2010, 95 per cent was extracted from the Fimiston open pit, also known as the Superpit. The Fimiston operation encompasses the historic Golden Mile, from which more than 55 million ounces of gold have been extracted from the world-class Fimiston lode style mineralisation.The operational performance of the KCGM Fimiston open pit was reviewed for the period between 2005 and 2010. Key performance metrics reviewed included mined tonnes and grade, cost per ounce of gold produced and the mine to mill reconciliation trends. The years 2007 and 2008 were characterised by a decline in performance against key performance metrics. The ore zones were diluted, with the excess tonnes mined resulting in lower grade and an increase in the cost per ounce. Poor reconciliation between ore mined, the ore reserve model and the grade control polygons was also observed.A series of improvement initiatives were implemented in late 2008. As a result of changes made to the grade control and mining practices, the site performance recovered. Unplanned dilution was reduced, which had a positive impact on mined grade. The lower tonnes combined with higher grade reduced the cost per ounce to below budgeted levels in 2009 and 2010, enhancing the profitability of the operation. The operational performance between 2005 and 2010 was compared to the turnover statistics for the KCGM geology department over the same period. Turnover accelerated between 2005 and 2007, peaking at an annualised rate of 43 per cent. With the onset of the Global Financial Crisis and the implementation of retention initiatives, turnover reduced significantly between 2008 and 2010. A strong consistent correlation was observed between the turnover trends in geology and the performance of the grade control function and resultant site metrics.The cost of turnover is known intuitively, however, rarely quantified. To evaluate the benefit of the improved performance, a detailed financial model was used to quantify the impact of the grade control function. In 2010, the headgrade exceeding budget by just four per cent contributed an additional A$24 M of value to KCGM. In contrast, if the 2008 performance had been replicated in 2010 (-9 per cent on headgrade), the result would have removed A$61 M in value from the business. The KCGM experience between 2005 and 2010 demonstrates the value of human capital in a mining operation and the importance of a high performing geology grade control team to the profitability of a mining operation.

Aug 22, 2011

By V Yadi

Geostatistics has been widely used for more than four decades as a powerful tool in ore resource/reserve estimates and grade control. This method has gradually replaced the conventional method such as polygon and cross-section for grade estimation by more mathematical techniques such as kriging. The advances in geostatistical understanding and the availability of appropriate software packages have given much more contribution in speed and high accuracy during production. However, in many cases, these techniques are sometime applied without support with a good thorough understanding of the geological controls on metal distribution. To produce the result close to actual, the geological control in interpretation and appropriate geostatistical task is a must. Geological logging was described in the core must be consistent with the level plan produced by commercial modelling software used as a guide for grade control during production. Experience gained through evaluation of the Central I deposit resulted that the most effective systems continue to be based on geostatistical methods of resource estimation. Computer applications modelling software packages are necessarily as the core of an efficient in undertaking these assignments. They contribute to make a valued to data management and are becoming increasingly effective during processing. The latter role is particularly important to check the actual versus estimated values where will significantly to improve personnel to have a confident with their knowledge combined with experience and complete their jobs satisfy.

Aug 22, 2011

By R H. Sibson

Magmatic and/or hydrothermal fluid systems in island or mountain arcs self-organise to critical states subject to perturbation by changes in the regional stress, which plays a controlling role in the containment of overpressured fluids. Whether the magmatic arc is under compression (eg Andes, northern Honshu) or extension (eg Taupo Volcanic Zone, New Zealand) is a key factor controlling the ease of magmatic or hydrothermal fluid ascent. Abrupt changes in the stress regime have the potential to induce major episodes of fluid redistribution. Large earthquake ruptures along plate boundaries may induce such changes over broad areas, also contributing to fluid redistribution by renewing fault permeability along the causative rupture zone or reactivating distant fault-fracture permeability by shaking from radiated waves. High-resolution geophysical investigations of active arc systems and the subduction thrust interface underlying their fore-arcs reveal repositories of overpressured hydrothermal fluids. In active magmatic arcs under compression such as NE Honshu or Cascadia, there is evidence for a heterogeneous distribution of overpressured hydrothermal fluids in the middle-to-lower crust trapped around the base of the upper crustal seismogenic zone. Investigations of the subduction thrust interface responsible for great (Mw = 8.0) ‘megathrust’ earthquake ruptures has revealed in some instances (Cascadia, SW Japan) the existence of a belt of non-volcanic tremor (NVT) with accompanying slow slip episodes defining the base of the megathrust interface at 40 ± 5 km and 350°C??-??550°C. Aqueous fluid at these depths is likely derived from dehydration reactions accompanying the basalt-eclogite transition in subducted oceanic crust. NVT sequences in the hanging-wall above the interface may be defining migration pathways into the overlying crust.The potential for eruptive episodes in magmatic arcs and redistribution of hydrothermal fluids is assessed in the light of the stress changes that followed the 2011 Mw9.0 Tohoku subduction thrust rupture which extended along strike for over 500 km and down-dip for over 150 km, with maximum slip of c 50 m.

Aug 22, 2011

By D Smith

The Broken Hill deposit is located in Australia in the far western region of New South Wales. The deposit was found in 1883 and has been mined continuously since its discovery. It is considered the largest lead, zinc, silver deposit that has been discovered in the world and originally contained around 340 Mt of ore at a grade of around 12 per cent lead, ten per cent zinc and 150 g/t silver. The material remaining in the deposit represents only a fraction (perhaps ten per cent) of the original resource. Several of the world’s largest mining companies can trace their origins to the Broken Hill Field. The remaining resources on the CML7 consist of two large lower grade resource lodes that have not been subject to mining, some scattered areas of zinc lode material and the pillars and remnants of the main lead lodes.The deposit occurs in metamorphic rocks of the Broken Hill Group a division of the Willyama Super Group contained within the Curnamona Craton. The Broken Hill Group rocks have undergone multiple phases of deformation. Metamorphism is granulite grade with major shears cutting through the deposit having been retrogressed to mica schists. The deposit lies in an antiform associated with the second phase of deformation.The resultant proposed mine is situated on Consolidated Mining Lease 7 (CML 7) which occupies a strike length of 3.6 km in the central part of the 7.8 km long footprint of the orebody. Underground mining on CML7 ceased in 1975 with surface mining of silver chlorides in the weathered zone continuing until 1991. CBH Resources has been continually working to define and evaluate the remaining resource since 2002. This work has included four surface drilling programs, two underground drilling programs, an exploration decline, enormous amounts of compilation of historical data and detailed three- dimensional (3D) modelling of historical mining and the resource lodes. It is currently planned to commence production at the Rasp Mine in late 2011. The operations will produce from previously unmined lodes and from remnants and pillars.This paper primarily aims to encapsulate the processes involved from information acquisition through to resource estimation and also to highlight some of the challenges encountered and the specific techniques and practices used to overcome them. Many of the experiences at Broken Hill are applicable to all brown field sites.

Aug 22, 2011

By N Burgio

Block cave mines are often thought of as rock factories where high volumes of production are mined from a fixed area suggesting little requirement for geological input and control. Yet caving operations have peculiar and specific technical requirements from prefeasibility through to post-mining reconciliation. Whilst essential elements such as resource definition, geological interpretation and sampling strategies are common to all mining methods, planning for a block cave requires a different emphasis and philosophical approach in how we deal with these issues. We will examine why a geoscientist’s input is critical towards the successful planning, design and monitoring of a caving operation.

Aug 22, 2011

By C L. McIntosh

The west coast of New Zealand’s south island is host to a large number of placer goldfields that stretch from the Westport area in the north to Gillespies Beach in the south and inland to the foothills of the Southern Alps. This area is host to a large number of alluvial, glacial and strand line deposits ageing in range from Recent to Tertiary. In recent years exploration models have been developed for off shore placer deposits on the continental shelf.Gold mining on the west coast has exploited placer gold resources from the 1860s to present, and with the recent surge in the gold price the industry is currently undergoing a resurgence. The current increase in mining is dominated by small-scale mechanical operations usually involving one to two people at each site; a few larger operations also exist such as the Grey River Dredge.Mining methods range from using floating bucket dredges to small diggers. Some of the mining technologies used are similar to those employed during the great gold rushes of the 19th century. Exploration and grade control techniques can be very rudimentary often relying on previous sampling programs or wide spaced bulk sample drill holes. Some bulk sample drilling is used on the larger operations as a form of grade control, most of the small operations tend not to use any ore control sampling prior to mining. Extraction techniques relying on simple gravity based designs with riffle tables or spirals are the most commonly used. Environmental standards are very high within New Zealand and require operators to return mined areas to preagreed to landforms. The high rainfall experienced on the west coast causes challenges to operators in regard to water quality. Technical issues combined with often limited capital provide for challenges to the operations.

Aug 22, 2011

By S Pontual

The use of spectral data has traditionally been for obtaining mineral information and for mapping out alteration systems. The output from these data is typically in the form of mineral assemblages and data on relative proportions of minerals. However there is much more than just mineral information in the spectral data. Most importantly, the data allow the user to obtain vital information on mineral chemistry for some key alteration minerals. The mineral chemistry data allow the users to evaluate multiple phases of alteration of the same key mineral species, and to assess which phase is related to mineralisation. Mineral indices can be extracted from the spectral data and plotted to represent variations in the chemistry and relative proportions of key mineral phases as downhole, section and three-dimensional (3D) plots. These data can also be compared with the spatial distribution of the mineralisation by integration with geochemical and logging data. Through spatial and statistical evaluation the mineral information obtained using spectral analysis can provide vital information to assist in building alteration models and therefore improve targeting for further drilling and exploration.

Aug 22, 2011

By C F. Stokes

The Trident Gold Deposit has been successfully developed by Alacer Gold (formerly Avoca Resources Limited) into a 1.3 Mt/a operation in the space of four years from discovery to first gold pour (2008). The current in situ Resource for Trident is estimated to be 5 900 000 t @ 5.0 g/t for 940 000 ounces at a cut-off of 1 g/t or 2 g/t depending on ore style. Production to date (Alacer and previous owners) is in excess of 500 000 ounces. The deposit lies towards the southern end of the Norseman-Wiluna Greenstone Belt in the Archaean Yilgarn Craton, where it is centred on the historical Higginsville Mining Centre, midway between the world class gold centres of St Ives (+15 Moz) and Norseman (+6.5 Moz). Trident is hosted primarily within a thick, weakly differentiated gabbro with subordinate mafic and ultramafic lithologies and comprises a series of north-northeast trending, shallowly north plunging ore zones. The deposit comprises two main mineralisation styles; large wallrock-hosted ore-zones comprising sigmoidal quartz tensional vein arrays and associated metasomatic wall rock alteration (Eastern Zone, Western Zone and Apollo) hosted exclusively within the gabbro; and thin, lode-style, nuggety laminated quartz veins (Athena and Artemis) that formed primarily at sheared lithological contacts between the various mafic and ultramafic lithologies. The initial interpretation of the Trident Deposit was based on steeply-dipping structures controlling the zones of mineralisation, with much of the targeting and drill-testing aimed at this style of orebody. Subsequent exposure of the orebodies has identified a series of shallow-east dipping mineralised systems (interpreted to be large reverse shears) that at their intersection with the steep-dipping structures cause significant gold enrichment. It is postulated that both orientations are primary fluid pathways with the intersection between the two resulting in zones with significantly high concentrations of gold mineralisation (in excess of 300 000 ounces). This new understanding on ore controls at Trident has identified that the thin lode-style shear-hosted laminated veins are continuous for over 1700 m along strike as they step en echelon down-plunge. In addition, a repetition and periodicity to the intersection between these steep dipping lode-style systems and the shallow-dipping mineralised zones (estimated to be 700 - 900 m down-plunge) has been identified which has considerably increased the down-plunge potential of the Trident Deposit.

Aug 22, 2011

By J Vann

The philosophical context of many activities in mine geology can be an important lever in adding value to operations. For mine geologists (including resource and grade control geologists) we argue that the tasks of problem formulation, observation and data collection, interpretation and modelling invoke various philosophical considerations whether the practitioner is aware of them or not.Constructing testable models to explain reality is the definitive aspect of any activity claiming to be ‘scientific’. A primary goal of mining geology is to build models that accurately predict reality to an acceptable degree and these include litho-structural, stratigraphic, grade control, resource or reconciliation models. What’s more, in mine geology we are often able collect additional drill samples or access new underground openings, for example, that can provide relatively rapid feedback on how predictive, and therefore useful, our models are. In this paper, we describe the key philosophical frameworks proposed for conducting scientific investigations, including falsification, the method of multiple working hypotheses and structural concepts of scientific theory. The strengths and weaknesses of these approaches are discussed and an attempt is made to relate them to activities undertaken by mine geologists. Common perceptions of what constitutes the scientific method have been dominated by how scientists do experimental physics and chemistry in particular. There are very important differences in the types of problem confronted in these experimental sciences compared to the ‘historical sciences’, such as geology, where the processes studied are unique and only evidential traces of past events are available. The philosophical implications of attempting to validate numerical geological models, such as resource estimates are also briefly considered.Some practical conclusions are drawn about how mine geology activities can be better implemented if practitioners are cognisant of the importance of philosophical considerations when attempting to gain new knowledge through a scientific investigation. We believe that the implications for creating additional value to a project or operation can be very significant when geology is applied by a practitioner with an understanding of the philosophical basis of the activities we think of as constituting a scientific investigation.Remember that all models are wrong; the practical question is how wrong do they have to be to not be useful? (Box and Draper, 1987, 74 p).The demand that theories be highly falsifiable has the attractive consequence that theories should be clearly stated and precise. If a theory is so vaguely stated that it is not exactly clear what it is claiming, then when tested by observation or experiment it can always be interpreted so as to be consistent with the results of the test. (Chalmers, 1999, 67 p).

Aug 22, 2011

By M Fitzgerald

Fimiston Open Pit is operated by Kalgoorlie Consolidated Gold Mines (KCGM) as a joint venture between Barrick Gold and Newmont Mining. Over 110 years of underground mining resulted in the development of nearly 3500 km of underground workings including backfilled and open stopes up to half a million tonnes in size. These voids significantly complicate blasting processes at KCGM, influencing blast movement direction and magnitude. Blast movement monitoring to improve mine reconciliations was identified as an improvement project in the business plan for the geology team in 2008. Following successful trials in 2008 to 2009, blast monitoring and translation of ore blocks were implemented as a permanent grade control program from late 2009 and is now part of the Management Operating System (MOS) of the mine. This paper presents a summary of results from the Blast Movement Monitoring (BMM®) data collected to date. Ore blocks at KCGM are translated primarily using BMM® data. This data is obtained from the BMM® system which measures the movement of a radio transmitter installed in a blast pattern from a preblast position to a post-blast position. The application of the data collected by the BMM® tends to be both mine site and blast specific. At KCGM, an average distance obtained from the BMM® data within a given shot is the primary method used for translation. In the case that BMM® data is unavailable, a theoretical movement vector established from Orica Shotplus with distances gained from the historical BMM® database is used. Data is presented in an ore loss and dilution exercise for a bench undertaken at KCGM to understand the potential effects on reconciliations. Improvements that have flowed from implementing blast monitoring include improved reconciliations when combined with other grade control improvement projects. The increase in liaison between the geology and blast personnel at KCGM has been a significant improvement gained from the implementation of the blast monitoring program. This has allowed a better understanding of blast movement and the effects on ore dilution and ore loss by the mine geology team. In addition, the discussion of blasting tie-in plans between geology and blasting personnel has been improved which leads to more favourable blasting practices that take ore movement into account.

Aug 22, 2011

By P Odins

Traditionally, stratigraphic deposits have been represented by a large number of gridded surface and product analytical models, related to each other by naming convention. This approach, though suitable for structurally simple stratigraphic deposits, does not lend itself well to addressing the complex style of stratigraphic deposits which are becoming more prevalent. In addition, the sheer number of individual gridded models involved makes it very difficult to keep a consistent audit trail of the overall deposit model. Recently, a new enhanced block model structure known as Horizon Adaptive Rectangular Prism (HARP) models was introduced to address these issues. An HARP model is specifically designed to allow stratigraphic units to be represented with virtually no loss of structural integrity, by allowing the tops and bases of the individual HARP blocks to ‘bend’ in concert with the input surfaces. By bringing together the best of grid modelling, triangulation modelling, block modelling and grade estimation, the HARP model opens up many exciting new opportunities for the stratigraphic geologist or engineer to take their model further than was previously possible. Examples of improvements in modelling methodology using a HARP model include: the ability to represent complex normal, reverse and thrust faulting; the ability to store thousands of additional analytical, geotechnical or calculated variables in each individual block; advanced visualisation, manipulation and plotting capabilities; and the ability to calculate volumes and resources against complex, three-dimensional (3D) solid pit designs. Finally, several ‘real world’ scenarios, illustrating how this advancement in modelling technology can benefit a wide range of mining professionals are detailed. These examples demonstrate how productivity gains can be made in both long-term resource modelling and short-term ‘week by week’ geological modelling as an adjunct to mine planning.

Aug 22, 2011

By D Timms

The Kempfield deposit is located in the Hill End Trough, one of several intracratonic basins developed during Silurian–Devonian time, in the eastern province of the Lachlan Orogen, Eastern Australia.The deposit contains an oxide resource of 5.8 Mt @ 58 g/t Ag and a sulfide resource of 14.4 Mt @ 45 g/t Ag, 1.7 per cent Zn and 0.6 per cent Pb, classified and reported in compliance with the JORC Code. The deposit has been previously explored by a number of companies, including INCO, Shell, Jones Mining, Golden Cross Resources and recently Argent Minerals Ltd (Argent). Argent is currently completing a definitive feasibility study with a view to mining the deposit.The deposit is hosted at the boundary between the Molong High to the west, comprising Ordovician sediments and volcanic rocks and the Hill End Trough to the east, interpreted as a back-arc basin containing Silurian sediments and siliceous-feldspathic volcanic rocks. The boundary between these two strato tectonic units is an imbricate thrust fault zone known as the Copperhannia Thrust.The Kempfield deposit is hosted in felsic volcanic rocks known as the Kangaloolah Volcanics. These have been in-faulted and folded into the Middle Ordovician meta-sediments of the Coombing Formation of metasediments along the Copperhannia Thrust. The Kangaloolah Volcanics belong to the Late Silurian Mumbil Group, comprising submarine carbonate-shale facies interspersed with extensive felsic volcanic piles, which grade conformably upwards into turbiditic sandstone and siltstone sequences (interpreted to represent a deeper depositional environment). These turbiditic rocks are known as the Campbells Formation, comprising siltstone, sandstone and andesitic tuff. The rocks at Kempfield are metamorphosed to lower greenschist facies, reflected through the different type of schists.Silver, gold, lead, zinc mineralisation is hosted in barite-rich horizons, near the boundary to quartz-phyric tuffaceous rocks in submarine, immature, reworked felsic ash tuffs. Barite appears to be hosted in greatest concentrations by the coarser grained volcanoclastic sandstones and grits, whilst intercalated siltstones are volumetrically minor and tend to return low barite and silver. Mineralisation is hosted in stratiform and probably stratabound barite-rich horizons. A northeast-trending, steeply dipping, metamorphic cleavage (S1) occurs throughout the project area.

Aug 22, 2011

By J Coombes

The JORC Code lists the three core principles of Transparency, Materiality and Competency as fundamental to how mineral estimates are publicly reported. But where the principles of Transparency and Materiality can be considered conscious choices underlying decisions at the point of disclosure, Competency is a self-declared position statement based on one’s confidence to defend a technical position (as well as the functional pre-requisites of institute membership and a minimum of five years relevant experience).Developing competency in the mining industry is an ad hoc process, generally left to the individual to chart through a process of osmosis from personal work experiences that lead to a sufficient level of confidence. Companies that actually present professional development programs leading to reporting competency are rare. And even once a person has followed a program, there is no specific outline of what constitutes technical competence.No doubt, there are persons signing off on mineral statements who would benefit from developing and/or updating their technical skills (they may not even be aware of unmastered skills). Equally, there are technical practitioners who are sufficiently competent, but lack the confidence to step up and publicly report their estimates. Confidence in one’s own abilities plays a significant role in deciding when one is ready for the responsibility of submitting mineral estimates for public consumption. In addition, a person’s organisational support, such as the availability of suitable peers and professional development programs, and opportunities to learn from a variety of technical projects contribute to developing relevant experience. Increased exposure in both technical breadth and depth enhance confidence in one’s ability and competence.The mining industry provides numerous opportunities through direct and indirect means to develop the competency underpinning a stable reporting code. This paper examines a theoretical framework and associated processes that could be used to examine how the mining industry, companies and individuals collaborate to develop this vague principle of competency. This paper seeks to initiate research with the express purpose of enabling more effective and efficient development of reporting competency in our industry.

Aug 22, 2011

By M F. Gazley

The amphibolite-facies metabasaltic rocks of the Mine Mafic Package at Plutonic Gold Mine, Marymia Inlier, Western Australia, contain an estimated total endowment of 12.2 Moz of Au, which includes 4.71 Moz of past production and 2.77 Moz of reserves and resources; the remainder comprises lower-grade inventory. Over 65?000 multi-element analyses of whole-rock core and face channel samples from the underground workings of the deposit have been collected by portable X-ray fluorescence (pXRF) using a handheld Innov-X Omega pXRF unit. The analyses were performed on pulverised samples through paper bags, and were corrected using a pulverised, matrix-matched, reference standard. This method of data correction compares favourably with conventional XRF analyses performed on the same samples.A preliminary study based on pXRF analyses from a small number of drill holes found that a geochemical stratigraphy was evident in the pXRF data, and that this stratigraphy strongly controlled the location of Au mineralisation. The present study incorporates a much larger pXRF data set that samples a greater volume of diamond drill core and face channel samples and presents the data in a three-dimensional (3D) framework.This data set allows an investigation of the mineralogy of Au mineralisation with varying geochemical associations across the deposit. Historically, there has been a strong relationship identified between As and Au, which has caused issues with metallurgical performance, rendering some areas of the deposit only marginally economic. Utilising seamless data integration of the pXRF data set allows for recognition of the different styles of Au mineralisation using elemental concentrations and ratios from the multi-element analyses (Au:As, Au:As:Cu, As:Cu vs. K:V), and to visualise the distribution of these different mineralogical associations in 3D. The results of the 3D modelling and geochemical characterisation of the different styles of Au mineralisation are currently the focus of an extensive metallurgical testing program, the preliminary results of which are presented here.

Aug 22, 2011

By J Jones

A common problem in the mining industry is that company exploration groups operate in relative isolation to the rest of the company; resulting in poor knowledge transfer (Qureshi and Briggs, 2006) and often priority conflicts with mine geology, operations and project departments. In recognition of this problem, Newcrest created a Minerals Division responsible for stewardship and governance of mineral assets across the value chain from reconnaissance to rehabilitation. It was recognised at an early stage that effective collaboration both internally and externally would be required to improve decision making, deliver faster cycle times and improve governance.Collaboration in companies is generally associated with the introduction of new IT functions. However, modern IT-based collaboration systems and practices are relatively simplistic compared to the long-standing practices associated with collaboration and knowledge management in science and engineering disciplines such as geology and mining.The authors of this paper have started a trial of a 12-point plan for effective collaboration, which recognises that significant efficiencies can be gained and barriers to future success removed if more effective collaboration can be achieved between science and engineering divisions in a company along with external professionals and with the collective intelligence (Tapscott and Williams, 2006) of the outside world. To meet growth aspirations some companies, like Newcrest Mining Ltd, are adopting this comprehensive, step change approach by moving from a closed model the isolates mine geologists to an open and collaborative model that uses IT visualisation systems strategically. The paper describes how an open model provides people with the right work environment and the right information at the right time, which will help individuals and workgroups to work more collaboratively day-to-day. The aim is to achieve speed, focus and mitigate risk through an environment where everyone and anyone can contribute effectively (Cisco, 2008).

Aug 22, 2011

By P Hodkiewicz

Recent structural interpretations based on historic stope shapes were used to develop a rapid and innovative method to domain and simulate structurally complex, high-grade gold veins at depth in the Edna May deposit. This involved ‘implicit’ modelling of drill hole data using Leapfrog software, which allows complex wireframe domains to be built and updated rapidly, compared to ‘explicit’ manual wireframing methods that are too subjective and time consuming. Conditional simulation was used for resource estimation, in order to simulate the highly variable gold grades associated with the veins. Similar modelling methods could be used to determine the mining potential of other historic gold deposits that are receiving renewed interest because of the high gold price.Gold at Edna May is hosted in the Edna May Gneiss, which is a WNW-striking tonalitic intrusion along a shear zone that dips approximately 45° towards the NNE. Gold occurs in multiple 0.5 - 5 m thick arcuate quartz veins that plunge steeply towards the west. Two phases of historic underground mining at Edna May (1911 to 1922 and 1935 to 1947) produced 360 000 ounces of gold at an average grade 19.5 g/t from seven ‘reefs’ to a depth of 240 m. This established Edna May as one of the highest grade gold mines in Western Australia at the time.Recent drilling by Catalpa Resources confirmed the potential for down-plunge continuity of high-grade veins. New structural interpretations, based on historic level maps and wireframe re-constructions of the arcuate stope shapes, were used as ‘structural trends’ in Leapfrog to model the mineralisation. The resulting wireframes capture the complex distribution of gold in the deposit and were used as domains for resource estimation.Conditional simulation using the Turning Bands method was used to simulate the expected variability of gold grades associated with this mineralisation style and the median of the 100 realisations was used to report an inferred resource. Results of this modelling method are being used to target vein extensions at depth, to consider different underground mining scenarios, and to assess the risks associated with developing and mining this high-grade and high-nugget gold deposit.

Aug 22, 2011

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