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This paper summarises the performance of the gold exploration industry in the Western World since 1970, with particular emphasis on the period 1985 - 2003. It identifies the number and size of major (ie >1 million ounce) primary gold discoveries made over this period by location and type of company. Estimates are also made of the likely contribution from smaller discoveries down to 0.1 million ounces. It also assesses the overall trend in the percentage of grassroot discoveries that are converted into mines, and the time taken to get them into production. By comparing the discovery data against total exploration expenditures it is possible to determine the average unit cost of finding a major gold deposit. It is significant to note that the average unit cost per discovery and per ounce of resource has tripled over the last 30 years. An attempt is made to determine the overall economic value generated by the industry. This is based on a detailed analysis of the rates of return and the Net Present Values (NPVs) of 109 major gold projects. After including an adjustment for discoveries not modelled, the NPVs are compared against the total amount of money spent on exploration to determine the value-to-cost ratio for the industry. Based on historical spot gold prices and tax rules, it is found that the return on investment for gold exploration in the Western World over the period 1985 - 2003 was around five per cent real after-tax. The returns achieved in the US and Australia was significantly higher than that for Canada. The returns also appear to have declined in recent years. With regard to the relative performance of junior versus major companies, the paper estimates that the junior sector accounted for 30 - 40 per cent of the total exploration expenditure, and were was associated with 34 per cent of the total number of major deposits, 27 per cent of the contained ounces and 25 per cent of the economic value found.

Jan 1, 2004

Despite the research interest on non-cyanide gold lixiviants over the past three decades all the non-cyanide gold processes are still at the developmental stages with limited understanding on solution and pulp chemistry in some cases. This is partly associated with:the difficulties in measuring reliable equilibrium data for various gold(I/III) complexes with non-cyanide ligands; the lack of knowledge on mixed-ligand complexes; and different kinetic stabilities of gold(I) complexes with respect to disproportionation. This paper presents reliable equilibrium data for complex formation, dissolution, precipitation, hydrolysis and disproportionation reactions of gold(I/III) compounds with a range of non-cyanide ligands: S2-, HS-, S2O32-, SO32-, SCN-, SC(NH2)2, OH-, NH3, Cl-. Solubility of gold(III) compounds with non-cyanide ligands follows the order: Cl- > NH3 > OH-. In the case of gold metal the solubility order at a given temperature is MgS > Fe(III) or Cu(II) / Cl- > Cu(II)/NH3 > NaOH, but the solubility increases with increasing temperature. Rate of gold oxidation with different non-cyanide lixiviants depends on the oxidant, ligand and temperature and follows the general order of oxidants: Fe(III) or Cu(II) > X2 or OX- > O2 (X = halogen). In the case of metal ion oxidants oxygen is required to reoxidise Cu(I) or Fe(II). Some of the reported data on chloride and thiosulfate leaching of gold are presented to highlight the effect of additives and the copper, silver and sulfur contents of the starting material on the success of non-cyanide leaching processes.

Jan 1, 2004

By L C. Thompson

Biomineralisation is the process by which microorganisms mediate and catalyse inorganic reactions so as to form new mineral assemblages. The goal of biomineralisation as a remediation tool is to control microbial processes and their environment so as to sequester and immobilise specific toxic metals within exceptionally strong bonds of neo-formed mineral assemblages. In this way, the bound metals are no longer mobile within a geological time-scale. Applied biomineralisation uses microorganisms, which are isolated from a metal waste environment and are selected for their ability to rapidly catalyse neo-mineral development from dissolved or leachable metals. A typical waste environment will contain microbes that contribute to the mobilisation of metal contaminants as well as microbes that possess the potential for remineralising available metals. Selection and augmenting the correct combination of bacteria and eliminating the competing mineral degrading reactions are the key to applying biomineralisation as an in situ remediation process. Applied biomineralisation harnesses the microbesÆ ability to stabilise toxic soluble metals into non-mobile mineralassemblages. This paper will discuss and demonstrate the biomineralisation process through several case studies including the Summitville mine site in Colorado, the McCoy-Cove mine in Nevada, the Argonaut mine in California, and an historic lead site in Crooksville, Ohio.

Jan 1, 2004

By P D. Franzmann, D J. Readett, J Peterse

A better connection between laboratory- and pilot-scale test results, and heap bioleaching performance can be achieved by generating reliable information on the fundamental microbial, chemical and physical processes that occur in heaps and incorporating this information into a comprehensive and robust model. More efficient heap bioleaching, particularly of chalcopyrite, has the potential to add value to the mining industry as well as deliver attractive environmental and social benefits to the communities within which those companies operate.The results of fundamental chemical and microbiological studies of the leaching mechanism, the temperature dependence of chalcopyrite bioleaching, and the optimisation of leaching conditions are described with examples from full-scale heaps. The development and application of a number of novel techniques and tools has assisted our understanding of heap subprocesses mineralogy, hydrology, chemistry and microbiology. The heap bioleaching model HeapSim, which embodies a large number of effects not previously accounted for in other models, continues to be refined and has been applied successfully to the study of several heap bioleach systems.

Jan 1, 2004

By L Torckler, J Hobbins

Favona is a blind low-sulfidation epithermal vein deposit in the Waihi Vein System approximately two kilometres east of the world class Martha Hill deposit that has produced nearly 6.8 M oz Au to date. The Favona epithermal system has surface expression in variously altered and mineralised hydrothermal eruption breccias forming a series of low hills that are windows through post mineral dacites and ignimbrites. The tip line of the Favona vein is about 50 û 100 m below surface with a steeply east dipping principal vein structure carrying numerous hanging wall splays in the upper flatter section and thickening down dip where the vein steepens. Host rocks comprise feldspar phyric andesite flows with minor pyroclastics. Although Favona has a strike length in excess of 1000 m and vein widths up to 25 m over a vertical range in excess of 400 m it was only recently discovered after nearly thirty years of exploration by various companies involved in the Martha Hill joint venture that operates the Martha Mine. Since discovery in 2001 a feasibility study based on 27.5 km of diamond drilling in 83 holes has been completed reporting a reserve of 1 Mt @ 10 g/t Au against a resource of 1.8 Mt @ 10.3 g/t Au. Exploration is continuing with a further 20.5km of diamond drilling completed to date on nearby prospects.

Jan 1, 2004

The unique chemical and physical properties that can be displayed by polypropylene and its copolymer derivatives are enabling its development as a truly versatile material for water filtration. Well known applications include spiral wound cartridge filters commonly used for household water or the office drinking fountain, to pressure membranes that provide micro, ultra or nano size filtration barriers, whilst needle-felt or woven cloth filter belts or inline pressure bag cloths are well known to the hydro metallurgist and process engineer. A relatively new filtration concept that is generating interest and applications across all industries including the mining sector involves use of a unique fabric type filtering media made from polypropylene fibres. This technology not only has a vastly wider window for potential applications, it delivers an attractive cost saving alternative to the traditional sand media or diatomaceous earth type filters, along with potential benefits for integrated filtration units. This paper discusses the proven potential of the fabric media technology with examples of performance comparisons and confidence gained from full scale operating installations at mine sites and other locations.

Jan 1, 2004

By L C. Thompson

BioLix is the term for a new class of biologically-derived lixiviants for precious metals (gold and silver) recovery. BioLix can be used as an alternative to cyanide on virgin and spent ores. The BioLix process is based on inducing microbial enzymatic reactions that generate organo-lixiviant chemicals. The bioprocess involves a two-stage culture strategy. First, specialty microorganisms are cultured to generate a high biomass. Then, a food-grade quality amendment is introduced that forces the microorganisms to produce the organo-lixiviant. The second-stage culture is applied to the ore where the microbial/lixiviant system acts on mineral surfaces to extract precious metals. The process operates at ambient temperatures and near neutral pH. This paper will examine the BioLix process through an extensive laboratory development and demonstration project. Laboratory development consisted of identifying and isolating specialty microorganisms and inducing agents for the production of the organo-lixiviant solutions. A demonstration was performed on low-grade and high-grade oxidised ore from the Buffalo Valley mine in Nevada, USA. Results indicate that the BioLix process was comparable to cyanide in terms of gold recovery and operated at near neutral pH and ambient temperatures. Applications for the BioLix process will be discussed including spent-ore re-leaching, cyanide replacement for virgin ore, and in situ mining.

Jan 1, 2004

By I R. F MacCulloch, K Jones

Pintail Systems, Inc, a Colorado USA based company has developed and commercially applied bioremediation processes for biological detoxification of cyanide compounds in mine waste. Site-specific microorganisms are isolated from spent ore, tailings or process solutions and augmented in the laboratory for cyanide oxidation, denitrification and metal biomineralisation. Biological processes typically treat complex contaminants (cyanide compounds, soluble metals and nitrates) in a fraction of the time of conventional remediation processes. Cyanide is used in microbial metabolic processes as a carbon or a nitrogen source. Biological detoxification processes applied at the end of mine life can end long-term liability and perpetual monitoring and containment. Case studies from commercial application and demonstration programs for the US Environmental Protection Agency will be presented in this paper.

Jan 1, 2004

By J Liu

In situ coal gasification is a method of extracting a high proportion of the energy value from coal without the need for mining. In situ conversion of coal to combustible gases is achieved by drilling wells into the seam, injecting gasification agents and initiating combustion. The product gases are then extracted to surface using production wells. These gases are clean energy sources for power generation, heating or synthetic fuel production. In situ coal gasification is of particular interest with respect to its lower environmental impact, potential application to otherwise inaccessible energy resources (ie offshore, deep deposits or beneath protected lands) and low capital intensity. Practical application of this clean technology is restricted primarily by lack of satisfactory quantitative descriptions of the processes involved, in particular the hydromechanical processes.In this study, three characteristic physical zones of an in situ gasifier are identified as the rubble zone, combustion front and virgin coal zone. Coupled mechanical processes of coal consumption and overburden collapse are used to describe the permeability profile in the rubble zone. Additionally, the redistribution of overburden load associated with coal consumption is accounted for with the formulation of a stress (compressive) dependent permeability profile, which is applied to the virgin coal zone. The model was implemented into and solved by FEMLAB, an advanced computer simulation tool. The flow process, according to DarcyÆs Law, is subsequently described in terms of permeability dependent injectivity. Injectivity is an indicator of flow velocity, which has been identified as a crucial factor in determining the commercial value of product gases from in situ coal gasification. The stress alteration to coal permeability was found to have a dominating influence on the flow process. This finding implies that a greater understanding of the in situ coal burning induced deformation of surrounding rocks would be of significant value in assessing the economic viability of applying this clean technology to potential sites.

Jan 1, 2004

I report results of over 850 microprobe analyses of sulfides, sulfosalts and electrum from the Favona adularia-sericite epithermal deposit of the Waihi district in the southern Hauraki Goldfield of New Zealand. Pyrite and marcasite from altered wall rocks that enclose the veins are stoichiometric, with compositions of FeS2, and no significant trace elements. In contrast, pyrite in veins commonly contains appreciable As (up to 3.2 wt per cent), and locally contains several tenths of a percent of Cu, Zn, Co, Ag and Sb. Vein pyrite may contain up to 0.22 per cent Au, but Au contents do not show a positive correlation with As. Limited electrum data indicate that it ranges from Ag0.47 Au0.53 to Ag0.54Au0.41Cu0.01Zn0.04. Chalcopyrite is stoichiometric CuFeS2, and most galena is PbS, but some galena contains up to 4.4 wt per cent Se, which substitutes for S in its lattice. The galena is not argentiferous; the highest Ag content is 0.45 wt per cent Ag. Sphalerite averages 4 mol per cent FeS, but ranges up to 15 mol per cent. Tetrahedrites [(Cu,Ag)10(Zn,Fe)2(As,Sb)4S13] show variable substitution, but most are Cu- Zn- and Sb-rich. Veins also contain aguilarite (Ag4SeS), stromeyerite (CuAgS), naumannite (Ag2Se), and mckinstryite [(Ag,Cu)2S].

Jan 1, 2004

By B Roberts

The Department of Industry and Resources (DoIR) is responsible for several sets of legislation, which, among other things, regulate the storage, handling and transport of dangerous goods as well as every aspect of the life cycle of explosives in order to prevent explosions, fires and spillages. The legislation with particular relevance to explosives includes: The Explosives and Dangerous Goods Act 1961; the act deals with the storage, manufacture, sale, import, authorisation and use of explosives. It is primarily framed for use of explosives and fireworks in the general community but also has relevance for storage on mine sites. The Dangerous Goods (Transport) Act 1998; this act regulates the transport of explosives on public roads, but not on mine sites. The Mines Safety and Inspection Act 1994 (MSI Act); this act and supporting regulations deal with the full spectrum of occupational health and safety in the mining industry. There is a substantial section in the regulations dealing with the use of explosives at a mine site.DoIR has identified the need for security upgrades of the Government Explosives Reserves, the need to tighten security measures at mine sites, the need for improved security checking for licensed shotfirers and the need to restrict the availability of explosives to authorised people who have had appropriate security checks. It is also clear that we need restrictions on the sale and use of ammonium nitrate (AN). A number of additional security measures are being proposed and all proposals are being refined by ongoing industry consultations. These will be adopted into new explosives regulations in association with the new Dangerous Goods Safety Act 2002 (DGS Act). Government finalised the act in June 2004. The act remains dormant until new explosives and dangerous goods regulations have been prepared. When the DGS Act and a suite of regulations are proclaimed as a package, sometime between December 2004 and April 2005, the old legislation consisting of the current two acts, will be automatically repealed. It is also proposed that all explosive regulation, including those under the MSI Act will be consolidated in one place under the DGS Act for user friendliness.

Jan 1, 2004

As the mining industry looks to new technologies for a safe work environment and increased production rates, so should emergency response teams when dealing with organisational incidents. Implementation of technology has transformed the nature of incidents within the international mining community with lower frequency, high impact events replacing high frequency, low impact incidents of the past. In turn the approach to mines rescue response and preparation has naturally diversified. New rescue technologies when applied effectively can only further advance preparation and the response of mine rescues teams. This paper discusses some of the changes associated with mines rescue as the industry embraces technology. It highlights some recent rescue responses and their approach and gives examples of some of the new technologies being used for improved mines rescue.

Jan 1, 2004

By F Jiao, J Wang

By the year 2000, China was the sixth largest gold producer in the world, with about one-quarter of total production being derived from refractory or semi-refractory deposits. Although bacterial oxidation plants had been previously tried in China using local technology, these plants had not been commercially successful. The Laizhou Gold Enterprise (Tarzan BioGold Co Ltd) located in Shandong Province, undertook to modernise their gold processing facility in 2000 with the introduction of Bacterial Oxidation (BACOX) Technology. In 1997 BacTech Australia and Mintek of South Africa had formed a technology partnership, combining forces in the provision of bioleach technology. Under a cooperation agreement, BacTech/Mintek were chosen as the preferred technology providers for this first application of commercially proven bacterial oxidation technology within China. The paper describes the successful operation of this plant over the last three years. The events of project implementation are described, from the metallurgical testing of concentrate; through to the commissioning at the design throughput of 100 tonnes per day resulting in 80 000 ounces (2.5 tonnes) per year of refined gold. Process aspects of the operation encountered over the last three years are discussed which illustrate the robustness of the operation. The success of the bioleach facility has led to an advancement of plans to double plant capacity and some of the innovations, which may be employed in this expansion phase, are discussed.

Jan 1, 2004

By L B. Sukla, V N. Misra

Microbial desulfurisation of coal has significant advantages over physicochemical desulfurisation processes since the former process selectively removes the inorganic sulfur compounds and heavy metals without significant carbon loss. The purpose of this study was to improve the desulfurisation yield of a coal sample from northeastern coalfields, Assam, India using microbial technique. The coal sample contained 2.13 per cent of total sulfur and 2.59 per cent of ash. Stirred tank reactors of 40 L capacity were operated in batch mode. Initially, the reactor was fed with 40 L of slurry containing ten per cent (w/v) coal, ten per cent (v/v) inoculum of mixed culture of mesophilic acidophiles, native to coal itself and the requisite amounts of constituents for 9K medium without added ferrous sulfate. The percolate of the reactor was then used to seed the medium for the next experiment. The purpose was to obtain a better adapted and more active biomass which would give a better desulfurisation yield for coal. Further studies were conducted in the bioreactor, fed with 40 L of slurry containing ten per cent (w/v) pulp density of coal, ten per cent inoculum (derived from previous studies) and the medium, supplemented with ferrous sulfate. Results showed an increased total desulfurisation yield of 43 per cent in the latter treatment in comparison to the previous one, where the desulfurisation yield was only 23 per cent. The findings also demonstrated the convenience of using inocula derived from coal, where 50 - 60 per cent of pyritic sulfur was removed, while chemical desulfurisation is of little significance with the majority of coal types. The ash content was also reduced to 1.74 per cent as the low pH of the process caused dissolution of a number of common minerals present in the coal.

Jan 1, 2004

By N Patzelt, T C. Logan, I B. Klymowsky

In 2003, NEWMONT MINING CORPORATION, the worldÆs largest gold producer, set out to prove that High Pressure Grinding Roll (HPGR) technology is sufficiently robust and reliable to be considered for the treatment of hard rock gold ores. In collaboration with POLYSIUS, a significant trial was conducted and 127 600 tonnes processed, successfully proving the HPGR capabilities on the Lone Tree Mine, Nevada ore û one of the most competent and abrasive ores in the industry. The success has led a number of mining companies to consider HPGRs for the comminution of gold and copper ores.

Jan 1, 2004

Delivery of effective plant shutdowns is primary to the business success of mining and processing plant operations. This paper sets out a methodology that starts with understanding the business objectives of the shutdown and promotes rigorous detailed planning, effective communication, appropriate governance and effective participation of plant operations personnel. The result is delivery of business effective outcomes.

Jan 1, 2004

By J J. Plumb, P D. Franzmann

A study was conducted to describe the microbiology of the MICCL Monywa chalcocite heap bioleaching operation. Microorganisms were detected in the heap using culture-based techniques and cultureindependent PCR-DGGE analysis of the 16S rRNA gene. The metabolic requirements, temperature and pH optima were determined for selected strains isolated from the heap material. Six strains (BH1-BH6) were enriched and isolated from heap solids and leachate samples. Phylogenetic analysis of the 16S rRNA genes showed that strains BH3 and BH4 were closely related to the acidophilic bacterium Acidithiobacillus caldus and strains BH5 and BH6 were closely related to Leptospirillum ferriphilum. The optimum growth temperature for L. ferriphilum was 41.3¦C and the optimum pH range was 1.1 to 1.5. A new species of Archaea was isolated from the heap samples. Cells of the proposed species, Ferroplasma cyprexacervatum (æcyprusÆ L.n. meaning copper; æexacervoÆ L.v. meaning æto heap upÆ), are non-motile pleomorphic cocci, capable of chemomixotrophic growth with ferrous sulfate and yeast extract. Cells grow anaerobically on ferric iron in the presence of potassium tetrathionate and yeast extract as electron donors. Growth occurs from 14¦C to 63¦C, with an optimum temperature of 55.2¦C. The optimal pH for growth was 1.0 - 1.2. The species was phylogenetically most closely related to Ferroplasma acidiphilum with a 16S rRNA gene sequence similarity of 95 per cent. Molecular analysis of mine samples (16S rRNA PCR-DGGE) detected the above-mentioned cultured strains of microorganisms as well as species of Sulfobacillus and other unknown Proteobacteria. The microbial community of the Myanmar bioleach heaps contained similar levels of diversity to a dump bioleach operation in Chile, but contained greater amounts of biomass than another heap bioleach operation in Australia. The operating parameters of the Myanmar heaps (low pH and moderate temperature) have selected for the growth of moderately thermophilic microorganisms that are more commonly found in extremely low pH acidic mine drainage sites than in heap systems. The novel species of Ferroplasma is thought to be involved in the aerobic and anaerobic cycling of iron within the heap bioleaching environment.

Jan 1, 2004

In the traditional analysis of airblast and ground vibration, it is often assumed that only that single blasthole possessing the maximum charge weight (or a small group of blastholes initiating in an 8 ms time window) will determine the peak level of airblast or vibration. This assumption is examined in light of waveform superposition, and is found to be unsound. More rational alternatives are given in which all blastholes (or a selected number of blastholes) are assumed to contribute, in varying degrees, to the peak vibration or airblast. However, it is also shown that there is generally no precise solution for determining the number of blastholes that contribute to the peak level. The technique of waveform superposition does not rely on evaluating which group of holes produced the peak, and so is the preferred method for prediction. Some numerical and analytical models of wave superposition for airblast and vibration are also reviewed and recent approaches discussed. The directionality of airblast, in particular, is analysed in detail using a new superposition model that is constructed of two submodels, onenumerical, the other analytical. This model shows that the airblast from even a single blasthole can be highly directional. The detail of this model is commercially sensitive and will not be discussed. Only results and a broad discussion will be given.

Jan 1, 2004

This short paper outlines the authorÆs views regarding the progress we have made as an industry in managing mining assets over the past 500 years. It represents a personal view û but one founded in fact-based observations of mining companies and of the mining industry in general. There is no doubt that AgricolaÆs views as expressed in De Re Metallica (1556) were visionary. There is also little doubt regarding another issue û that whilst a great deal has been learnt about the management of mines since AgricolaÆs time, observations suggest that best practice management is the exception rather than the rule across our industry. Although insights regarding the successful management of mines have become apparent, we still witness unnecessary errors in our industry that lead to the loss of shareholdersÆ funds. By highlighting some aspects of current best practice, particularly in the arena of operations management, it is hoped that this short paper contributes a small step along the next 500-year-long learning curve. The paper concludes with a brief description of the progress and impact of continuous improvement initiatives at Kalgoorlie Consolidated Gold Mines (KCGM). Located in the Kalgoorlie Goldfields, KCGM is currently AustraliaÆs largest gold mine producing over 800 000 ounces of gold per annum. Improvement initiatives at KCGM look set to deliver some $100 million in value over life-of-mine.

Jan 1, 2004

By B A. Wake, G G. Lowder, M J. White

The Tooloom gold field is located within the New England Fold Belt in the far northeast of New South Wales, approximately 130 km south southwest of Brisbane. Gold was first discovered at Tooloom in 1857. Within a few years up to 10 000 people were mining placer gold deposits in the Tooloom valley and a few tried their hand at mining hard rock occurrences as well. Mining of alluvial gold continued in a small way at Tooloom until very recently, but only in the last few years, since Malachite Resources acquired its interest at Tooloom (now 100 per cent), has the full potential of this large, reduced intrusion-related gold field been appreciated. By the mid 1870s, once the alluvials were largely worked out, most of the early miners had made the 270 km trek north to the newly discovered Gympie gold field and Tooloom slipped into obscurity. Such was this obscurity that the Tooloom gold field was not recorded on published Government geological maps until 2001, four years after Malachite became involved. The many hard rock prospects that Malachite has identified in recent years were largely or completely unknown. Tooloom is a good example of blinkered thinking when it comes to modern mineral exploration. The New England province in NSW has long been the æpoor relationÆ to the much better known and more highly favoured Lachlan Fold Belt in NSW. It has also suffered serious neglect compared with the Queensland part of the New England Fold Belt that hosts such major gold deposits as Mt Morgan (>7 Moz), Gympie (>3 Moz) and Cracow (>1 Moz). Tooloom is proof that prospective geology does not stop at state borders.

Jan 1, 2004