Search Documents

By C M. Côte, P Bolz, L Pagliero, M Edraki, M Shaygan, P Erskine

Mines in Queensland must now prepare a Progressive Rehabilitation and Closure (PRC) plan, with the requirement to justify the selection of the post-mining land use (PMLU) for each rehabilitation domain. Given that there are nearly 200 mines who must undertake a comprehensive PMLU assessment, there is a need to develop methods that will minimise the duplication of effort. As part of a broader initiative on innovative post-mining land use planning, this project undertook a regional analysis of the technical suitability of several PMLUs.

Aug 2, 2023

By D Corley, J Moore, M Grant, A, W R

Resource estimates are the corner stone of technical and investment decision-making. Prior to mining, resource estimation uncertainty has the greatest potential to lead to poor investment decisions, despite a significant component of resource estimation uncertainty being unknowable at this critical stage in the mining cycle. This presents a conundrum to the resource geologist in terms of risk evaluation and resource classification. Ahead of mining, there is normally considerable focus on drill hole spacing analysis to determine the ‘optimal’ drill hole spacing, taking grade and geological continuity into account; cost-benefit analyses balance improved resource definition against cost; the law of diminishing returns and the exponential cost increases acting together as spacing is reduced. Typically, a lower limit to the drill hole spacing is identified. After completing the resource drilling to an agreed spacing, resource estimation is then undertaken. At this point it is common to attempt to bracket the resource estimation uncertainty. In many cases conditional simulation is used, based on a modelled, but largely assumed, variogram model. It is also assumed that the histogram of the available drill hole sample data is representative of the in-ground mineralisation. The purpose of this paper is not to diminish the importance of drill hole spacing and simulation studies, but rather to illuminate an important aspect of estimation uncertainty that, although previously recognised, is typically overlooked – the question of how representative the available data set is in characterising the true (but unknown) distribution of mineralisation. To do this, we lift the lid on one of OceanaGold’s former operations, the mined-out Globe Progress Mine, by resurrecting a high quality, close-spaced, reverse circulation (RC) grade control data set. The Globe Progress Mine is within the West Coast Region of New Zealand, it was closed and transitioned to rehabilitation in 2016 and is now known as the Reefton Restoration Project. The exhaustive Globe Progress grade control data was used to repeatedly ‘redrill’ the deposit by extracting 35 m × 35 m spaced subsets from the original 5 m × 5 m spaced grade control data. Utilising closely spaced grade control data removed the need for assumptions regarding short range continuity, which are necessary with forward-looking analyses that are based upon broader spaced resource drilling. The extraction process used a nearest neighbourhood algorithm, repeatedly moving the origin in 5 mE, or 5 mN increments. Individual resource estimates were then completed for each of the extracted drill hole data sets (49 in total) as well as a grade control estimate based upon the exhaustive data set. Whilst the data unpinning each of the 49 estimates changed, the geological assumptions, variography, and modelling parameters remained constant. This approach was taken to isolate the impact of changing the input data. The 49 estimates were then compared against each other and the grade control estimate. The mean of all 49 sensitivity estimates was close to that of the grade control estimate in terms of contained gold, tonnes and grade. Whilst it is acknowledged that the grade control estimate itself is subject to some degree of estimation uncertainty, the close match between the average of the 49 estimates and the grade control estimate suggests that the resource estimation methodology is reasonable and appropriate. Whilst this comparison is important, the focus of this study is on the component of estimation uncertainty related to the underlying data, and this is reflected in the spread across the estimates. The spread across the 49 global estimates (highest to lowest) for this particular Mineral Resource Estimation Conference 2023 | Perth, Australia | 24–25 May 2023 142 case study was found to be significant (approximately 20 per cent in grade and metal) and that is attributable solely to the underlying data. This exercise quantifies a component of the estimation uncertainty that is inherent to all drill hole data and is distinct from the uncertainties associated with modelling methodology choices, sample and subsample quality and drill hole spacing-related interpolation uncertainty. Importantly, this uncertainty is unknowable prior to mining; we can only directly compare the resource drill hole data against grade control data after mining has taken place. For the case study, approximately 65 per cent of the estimates fell within 5 per cent of the grade control estimate for contained-gold, suggesting that for many projects the histogram of drill hole data is unlikely to differ noticeably from that of the in-ground resource. However, about 15 per cent of the estimates in this study differed by more than 7.5 per cent, suggesting that a not-insignificant proportion of estimates will be materially compromised. Whether or not the available drill hole data is representative comes down to the ‘luck of the draw’ and cannot be known at the time of resource estimation. Given the challenge of attempting to evaluate forward-looking estimation uncertainty, a component of which that can only be quantified retrospectively, what should we do as resource geologists? What are the implications for risk evaluation, resource classification and reconciliation? Furthermore, without rigorous post-mining data checks, resource geologists may conflate suboptimal modelling with the shortcomings of the underlying data. An example of this problem is discussed in the following section.

May 24, 2023

By A Reschke

The Thiess John Holland Group is undertaking the design and construction of Brisbane’s Airport Link Project, the largest single investment in transportation infrastructure in Australian history. Twin Herrenknecht TBMs are being used to bore parallel road tunnels from Kalinga Part in Toombul through to Lutwyche, a distance of 2.45 km. At 12.48 m, these tunnel boring machines (TBM) are the largest diameter machines, outside of Japan, to incorporate annular two-component type grouting through the tailskins.Grout design, preparation and injection have been given particular attention in this project in order to push the boundaries of achievement. Laboratory testing was conducted on various mix designs to ensure the contract specifi cations for grout strength could be met. To study the mechanics of the grout injection process, Herrenknecht supplied a test rig which duplicates the grout injection systems on the TBMs. Multiple recipes were tested, carefully selected to balance the requirements of rapid strength development with high mobility (to completely fill the void between the segmental lining and the ground) and minimal bleed.Team Mixing Technologies, Canada, was selected as the grout plant provider based on the technical performance of their high shear colloidal mill mixers. Field results have shown that the colloidal mixer prepared grout gives almost double the strength of an identical grout prepared by a paddle mixer.

Mar 8, 2011

By D Kay, M Lovitt

Mass Blasts are generally required at the completion of longhole stoping cycles to maximise the recovery of ore from a specific orebody. During the course of mining, the practice is to leave pillars of ore to support the opening left by extracted ore and to mitigate stresses from working areas of the stope. These pillars usually contain ore that has been included in the resource evaluation and is highly valuable to the mining operation. Due to their stressed nature, the removal of pillars by conventional blasting techniques, through small blasts, can result in pillars being reduced beyond their critical size and ultimately failing, rendering the ore unrecoverable. The AurionGold Kanowna Belle Gold Mine operates a Mine to Mill philosophy. This philosopy requires the fine tuning of blasting to provide the best possibe ore feed at the highest grade for mill productivity. This means that ore to the mill must be well fragmented from blasting that provides high extraction rates from draw points, with minimal dilution from overbreak or fall off, and sized to maximise SAG mill throughput. The AT04 Mass Blast contained significant ore reserves which were required to meet gold production targets. KBGB needed the AT04 Mass Blast to perform as well as if not better than conventional stope blasts to maintain mill production. This paper describes the circumstances, planning philosophy, techniques, including the use of Electronic Initiation Systems and Bulk Emulsion Explosives, and results that provided a highly successful outcome.

Jan 1, 2002

Risk management has become an essential tool for mining companies to ensure their projects are well-managed and profit expectations are achieved. Risk management has also become a mandatory corporate governance requirement in Australia for publicly listed companies and equally important to attract investors. This paper provides a brief overview of the essential tools needed to implement a practical risk management framework to comply with the internationally recognised ISO 31000:2009 risk management-principles and guidelines from the perspective of small or soon to be producing mining companies. To?successfully?deal with the unknown and to manage the opportunities and risks involved with a mining project requires a clear understanding of the basic risk management principles. These include how to develop a project risk register, how to develop a project risk treatment plan and how to manage and monitor project risks to take full advantage of the opportunities presented.The first step is to identify and fully appreciate the risks that face a mining project. There are many risk identification methods that can be used including checklists, brainstorming and hazard and operability (HAZOP) studies. These often lead to a telephone book full of risks which are near to impossible to manage. A risk library specifically designed?for mining?projects containing no more than 100 risks will cover the major showstoppers, is practical and can be readily implemented and successfully managed.A risk framework also needs to be established which is compatible with the companyÆs structure and objectives. Once each risk has been assessed in regard to consequence and likelihood and the risk control systems are in place they need to be assigned to the responsible manager. The extreme or high risks will require a risk treatment plan to be developed. Risks will change during the life cycle of a mining project. Hence, a reliable monitoring system is also required for compliance.CITATION:Jones, J A, 2012. Mine project risk management, in Proceedings Project Evaluation 2012 , pp 117-122 (The Australasian Institute of Mining and Metallurgy: Melbourne).

May 24, 2012

Generating short- and long-term mine production schedules in isolation and independently from each other means that only a local optimum can be achieved when each scheduling phase is carried out. The globally optimal solution however, can be achieved when integrating scheduling phases and accounting for the interaction between short-term and long-term activities simultaneously. This paper addresses the task of integrating short- and long-term production plans by combining the short-term objective of minimising deviation to targeted mill feed grade with the long-term objective of maximising net present value (NPV) into a single mathematical model. A case study is presented which compares the present values of the same stope data set scheduled via separate long and short-term models and than by the proposed integrated model which applies a predetermined penalty for each tonne of metal deviation to target for the respective ore tonnage being processed. This allows an operation to obtain a globally optimal scheduling regime when taking into consideration the cost and loss of value resulting from fluctuations in grade to the mill over the short-term.

Dec 6, 2010

By C Catania

Mining companies and operations across the globe typically target best practice financial management, along with a focus on economically driven mine plans. Not only is this inherent in running a successful mining business, but also critical in addressing investor scrutiny. The standards for social and environmental practices is less consistent than this, with most companies adopting standards that are driven through legislative and compliance requirements of the nations in which they operate. Although there is still room for improvement, Australian is a country that stands at the forefront of social and environmental legislation, driving more sustainable planning practices for mining operations, with an ever-increasing focus on mine closure considerations. Of the many nations yet to reach such a legislative position, Kazakhstan is a place where some companies are driving towards world class standards beyond what is government mandated. CITATION:Catania, C, 2018. World-class mine planning for a sustainable future in Kazakhstan Mining, in Proceedings Life-of-Mine 2018, pp 6–7 (The Australasian Institute of Mining and Metallurgy: Melbourne).

Jul 25, 2018

By S Thomas, E Grimsey

Mining education in Australia has undergone another cyclical downturn over the past five years and several departments have been discontinued while others are still teetering on the brink of destruction. During this downturn Curtin UniversityÆs WA School of Mines (WASM) has managed to stay alive and well, but this has not been by accident. This paper outlines some of the strategies and experiences that have kept WASM in a strong position and offers hope to other departments and schools elsewhere that are still experiencing difficulty. This paper is also directed at all mining departments and schools that are certainly going to see it all happen again after the next mining boom turns to bust.

Jan 1, 2004

By G Brudek, P Elestedt

Schalker Eisenhütte und Maschinenfabrik GmbH, Nordic Minesteel Technologies and Bombardier Transportation have developed an evaluation tool that considers the main cost drivers of the rail, truck and conveyor haulage systems on the market today. In almost every circumstance, the advantages of a haulage solution are clear. A haulage system is outlined that is fully automated, including driverless operation, and that provides increased tonnage, safety and equipment life and reduced maintenance downtime. The haulage system has been implemented by a number of companies, including Codelco, LKAB and Freeport’s Grasberg mine. CITATION:Brudek, G, Elliott, R P and Elestedt, P, 2016. Moving mORE for less, in Proceedings Seventh International Conference and Exhibition on Mass Mining (MassMin 2016), pp 535–542 (The Australasian Institute of Mining and Metallurgy: Melbourne).

May 9, 2016

"Cash flow modelling during project evaluation is enhanced when probabilistic methods are applied to the inputs. One of the important inputs is the quarterly production profile. Typically, the steady-state production profile provided to project evaluation practitioners is deterministic, with each quarter the same as every other quarter. This is unrealistic as actual production profiles from existing mines exhibit a range or quarter-on-quarter variance. Monte Carlo stochastic simulation of the production profile can be used to provide a range of possible outcomes, but how are these ranges selected? This paper describes the use of quarterly production variance from a large database of mines worldwide as a benchmark to inform the appropriate selection of ranges. The coefficient of variation is used to rank the production from mines, with quartile analysis applied to indicate industry best, median and worst variation. Due diligence of existing mines and evaluation of future production performance can be quantitatively assessed using this approach. Examples of the effect on value are provided.CITATION:Stewart, C A, 2016. Production variance benchmarks and their use in project evaluation and due diligence, in Proceedings Project Evaluation 2016, pp 201–213 (The Australasian Institute of Mining and Metallurgy: Melbourne)."

Mar 8, 2016

By J Schrank

Double-stack trains in the United States date back to the early 1980s, starting about the time deregulation of the rail industry occurred. Freight rail became increasingly more competitive to trucking and barge or ship, and led to major investments in railroad infrastructure. Since most railroad tunnels in the United States were constructed between 1880 and 1930, they were not built tall enough to accommodate modern double-stack intermodal railcars. Therefore, as double-stack trains became the norm, existing tunnels became bottlenecks, and railroads wanted the tunnels made larger without impacting traffic. This need to increase the clearance while not impacting rail traffic launched a very specialised industry: the design and construction of replacement lining systems in existing tunnels.Several large multitunnel railroad clearance improvement projects have been completed in the country in the last decade, and they have all been done under ‘live track’ conditions. Live track conditions consist of work windows, often anywhere from four to 12 hours, that are provided to the contractor to complete the construction work. By the end of each work window, the tunnel must be secured so that the railroad can run trains.In addition to improving the clearance, these projects provided the railroads with an opportunity to improve the general condition of the tunnels, including structural, seepage, drainage and icing conditions. This paper discusses the design considerations, tunnel assessments and construction methods used for these live track railroad tunnel projects. Seepage and drainage improvements that were incorporated into the clearance improvement projects are also discussed.CITATION:Schrank, J, 2014. Live track railroad tunnel repair and clearance improvement in the United States, in Proceedings 15th Australasian Tunnelling Conference 2014 , pp 619–628 (The Australasian Institute of Mining and Metallurgy: Melbourne).

Sep 17, 2014

By T Atchison

In-pit crushing and conveying (IPCC) systems have come under growing scrutiny as a perceived mitigation to fuel and equipment price fluctuations, labour shortages and the need to move everincreasing volumes of material. Individual vendors and delivery organisations are now offering a sometimes confusing array of systems, particularly for the dig and dump side operations.One system does not suit all operations. This paper seeks to document the factors that should be considered in assessing the suitability of different IPCC systems, with a focus on dig side equipment layouts in particular. These factors include the productivity of the systems, interactions with the drill/blast and bench operation sequence, the ease of relocation, flexibility to changes in the reserve, scalability and compatibility with other elements of the system.

Jul 11, 2011

By J J. Van Wijk, A R. Penney

Successful management of geotechnical risk at a mining operation is more than just having a good ground control management plan or using advanced numerical modelling and the latest monitoring technologies. The fundamental requirements for effective geotechnical risk management include identification of potential failure modes, identifying and implementing appropriate controls, and demonstrating the effectiveness of those controls. Effective geotechnical risk management requires an integrated approach by confirming that appropriate risk management systems have been identified and implemented (management plans, procedures etc), and that these systems are executed consistently in the field across all working areas. Development of a thorough integrated auditing process executed by an experienced team of technical subject matter experts with substantial operational knowledge, provides a more complete picture of catastrophic hazard management. Following consistent evaluation criteria allows benchmarking of systems and implementation compliance between the sites being audited, and the results can then be ranked against other operations in an industry database.

Nov 29, 2022

By P B. Card

"The website www.economicevaluation.com.au, which had its origins at the Project Evaluation Conference 2009, provides a free way for industry professionals to teach themselves economic evaluation. At its core is a set of fast-moving modules and three worked examples.The website recognises that economic evaluation is a discipline with a hierarchy of three levels:decision-makingevaluating the project/businesshands-on modelling.There are a set of modules for each level that describe the concepts and activities in detail. These emphasise that the most important and rewarding work is the evaluation of Level 2. The economic model created in Level 3 is merely a working tool and should not become a sophisticated ‘trophy’ in Excel that only one or two people can comfortably use.Hands-on modelling contains three sets of practices designed to make any model rigorous and intuitive so that it can be easily understood and used by others in the project team. Even if the model develops into a long, detailed and complex workbook, it should remain easy to follow and be intuitive. The website advocates freedom to devise any architecture that best suits the project under study, but promotes rigour through the following practices:four cash streams and graphsthree architectures – concept, prefeasibility and feasibilitysix principles.The modules in the Level 2 evaluation use conversational language to describe in detail the broad range of activities needed to properly understand and characterise a project/business. It stresses that net present value is nothing more than the mathematical treatment of a whole set of opinions, is not an absolute truth and is only a fraction of the evaluation process. The modules describe in detail the range of economic metrics that should be computed and the full spectrum of equally important characterisations required to make the decision in Level 3.CITATION:Card, P B, 2016. Teach yourself economic evaluation, in Proceedings Project Evaluation 2016, pp 160–171 (The Australasian Institute of Mining and Metallurgy: Melbourne)."

Mar 8, 2016

The creation of an accurate and precise enough database requires the collection of many representative samples, subsampling and assaying them without destroying their integrity. The selection and implementation of sampling protocols often lead to severe difficulties, making the unaware practitioner vulnerable to massive exploration, feasibility and operating failures. Therefore, there is no substitute for a good understanding of the Theory of Sampling (TOS). Either because of ignorance, or because of short-term economic reasons, failure to comply with many stringent conditions can be devastating for the validity of a feasibility study, leading to false evaluations, to the abandonment of a viable property, or to the exploitation of one that is not profitable. All these failures have something in common: insufficient duplicate sampling, subsampling and assaying were performed; very important, preliminary heterogeneity tests were never performed; for short-term economic reasons, poor sampling and subsampling protocols were selected, second-class sampling systems and weightometers were installed and poor preventive maintenance and cleaning were implemented;and sampling experts were called only when the project was obviously in trouble. The conclusion is clear: in due time, iterative auditing of sampling practices is an insurance policy against massive financial losses for the company involved. A complete, comprehensive 100 point checklist of sampling Quality Assurance and Quality Control is provided, so critically important details to ensure success are not forgotten.

Mar 1, 2010

It was Harold McMillan, Prime Minister of England 30 years ago, who used the phrase "The Wind of Change" to describe political events in Africa in his day. So well did this phrase capture the spirit of the time that it echoed around the world, and the echo has never stopped. Change is the constant factor in the society in which we live and everyone of us has had experience of the effect which it has had on our professional and personal lives.Change will not stop, it will continue at an increasing rate and the questions we must answer are how do we prepare ourselves to meet the challenge of future change and how do we take advantage of the opportunities which it will bring?It is these questions which I wish to discuss in this address.There is nothing new about change in the mineral industry, it has been happening for thousands of years and it will continue as long as civilisation exists on earth. One type of change is economic and we are all aware of the rises and falls which occur in the prices of metals and minerals (Figure 1). When these have happened in an orderly manner, and could be predicted and planned for, it has been possible to take advantage of the benefits and minimise ill-effects, but when they were sudden and precipitate, and could not be predicted, the consequences were serious. The extreme example, of course, was the oil price shock of the 1970s which had such disastrous effects on industry and society.Other types of change are social, cultural and political. They have all been important in recent years and will continue to be so in the future.But it is technological change which may well be the most important because its effects are profound and irreversible, and alter irrevocably the way in which we live. So in discussing the mineral industry in a changing world I will talk specifically about technological change.

Jan 1, 1989

By R Saha, D Barry, C Mawdesley, O Bertoli

Kriged estimates are not typically calculated on blocks substantially smaller than the sample spacing (eg the Standard Mining Unit or SMU). Moreover, the sample spacing for quality variables is often much greater than the SMU size. For short to medium term planning decisions, the shorter term variability in the quality variables is a key economic consideration in defining, setting and meeting coal product specifications.Global uncertainties can be calculated using Drill Hole Spacing Analyses (DHSA). However, knowing the precision of a variable for a one or two year production volume is usually not adequate for variables with low spatial continuity that may fluctuate significantly over daily, weekly, SMU, or shipment volumes.Is there a feasible, reasonable and valid geostatistical method to model the uncertainty of coal quality variables on blocks substantially smaller than the drill spacing (say on the SMU)?The validity of using co-kriging variances, calculated on SMUs to characterise local uncertainty, was tested using a suite of conditional simulations generated for several quality variables for BHP’s Blackwater operation. The conditional simulation results were used as a benchmark against which the results derived from the kriging variances could be compared.The agreement between the kriging and simulation methods for thickness is excellent, with much closer correlations than for the quality variables. Typically, the kriging variances give very reasonable approximations to the simulation-based uncertainties, although there could be some systematic discrepancies which may become much more critical if a classification is to be based on a thresholding of the SMUs relative uncertainties.CITATION:Mawdesley, C, Barry, D, Bertoli, O and Saha, R, 2017. Local uncertainty benchmarking – a coal case study, in Proceedings Tenth International Mining Geology Conference 2017, pp 43–50 (The Australasian Institute of Mining and Metallurgy: Melbourne).

Sep 20, 2017

By C Fricke, R Wood, P Velletri

"In a climate characterised by an ever increasing focus on cost reduction and maximising the utilisation of existing assets and infrastructure, understanding the uncertainty associated with alternative investment and operational choices becomes paramount to minimising the risk of making an ineffective decision. To assist in this process, TSG Consulting has developed an analytic framework to capture the underlying complexity of a mineral supply chain, and then quantify the impact of the uncertainty associated with the key drivers of business productivity. The technical basis of this approach follows three distinct steps: analyse the current system and identify the major factors that drive value build detailed models that can measure the response of the system to potential changes in the factors identified quantify the sensitivity of financial and capacity forecasts to these factors.Each of the above steps draws on a different area from the field of applied analytics, namely: data analytics dynamic modelling and designed experimentation meta-modelling and optimisation.Following the three-step approach described above ensures a rigorous modelling and analysis process is executed to support strategic mine planning decisions. The approach is equally applicable to the analysis of fully integrated system supply chains (pit-to-port), the evaluation of incremental capital investments to targeted areas of a supply chain, or when considering revisions to the operating philosophy of a system in the short term. The basis of each of the three analytic steps is explored in detail in this paper. The result is the definition of a structured mechanism for a business to actively manage risk and drive productivity as a component of the strategic mine planning process.CITATION:Fricke, C, Velletri, P and Wood, R, 2014. Enhancing risk management in strategic mine planning through uncertainty analysis, in Proceedings Orebody Modelling and Strategic Mine Planning Symposium 2014, pp 275–280 (The Australasian Institute of Mining and Metallurgy: Melbourne)."

Nov 24, 2014

By J Sigda, T Jones, D Staggs, J Ewing, C Cheng, J Pickens, S Paulka

Mine-derived solutes from Energy Resources of Australia’s (ERA’s) Ranger uranium mine have been closely monitored for decades. Ranger is surrounded by the Northern Territory’s Kakadu National Park and is upstream of Ramsar convention wetlands. Modelling of groundwater flow and solute egress from mine wastes to surface waters has helped ERA successfully assess closure options and secure intermediate regulatory approvals during the site closure process. Potential environmental impacts were assessed using groundwater modelling in support of three ERA applications involving disposal of tailings-derived mine waste. Model results were an important part of the basis for obtaining regulatory approval. Three case studies are presented describing the three applications and how the groundwater modelling supported approval of the applications. For case study #1, INTERA supported ERA in addressing stakeholder concerns in 2017 regarding two aspects of tailings deposition in Pit 3. The first was the potential for flow of tailings fluid into the surrounding formations during tailings deposition. The second was the difference in post-closure magnesium (Mg) loading to surface water for two tailings deposition scenarios. INTERA developed a two-dimensional (2D) model that showed excess tailings pore pressures would not cause outflow and solute egress from the pit during deposition. INTERA’s three-dimensional (3D) models demonstrated that post-closure Mg loading to creeks for both tailings scenarios differed marginally and would be a small fraction of natural creek Mg loads. The modelling results helped avoid delays in completing tailings deposition driven by stakeholders’ environmental concerns. Case study #2 consisted of supporting ERA’s 2019 request for approval to change the tailings deposition method and final tailings level in Pit 3. INTERA’s model results for the permitted and proposed deposition methods showed minimal differences in post-closure Mg loading to creeks. The model results helped ERA obtain the needed approval for the tailings deposition method and water and tailings levels in Pit 3. For case study #3, INTERA modelled the comparative impacts from leaving the entire contaminant plume from the temporary tailings storage facility (TSF) in situ or excavating a portion of the contaminated material from beneath the TSF floor and placing it in Pit 3. The modelling results supported an approved TSF contaminated material application important for ERA to stay on schedule and minimise both closure costs and environmental impacts.

Jul 1, 2021

By D Connelly

The Iron Road Limited Central Eyre Iron Project (CEIP) area, located on the Eyre Peninsula of South Australia, covers extensive Archaean iron formations that occur as coarse-grained magnetite bearing gneiss. The cumulative strike length, estimated from aeromagnetic data, is at least 95 km.The project is located in a grain growing area 185 km west of the existing iron ore and steel making operations of OneSteel at Whyalla. A narrow gauge railway built to transport agricultural products to the deep-water port of Port Lincoln, 175 km to the south, traverses the project area. A number of well-serviced rural townships are located nearby. Current activities include resource expansion drilling, extensive metallurgical test work, community consultation and a Prefeasibility Study (PFS) that commenced in April 2010.The PFS has encompassed the Central Eyre Iron Project, comprising the three significant iron occurrences (Warramboo, Kopi and Hambidge) and was completed in early 2011. Extensive test work programs and metallurgical modelling confirmed viable process options for the project, using simple off the shelf processing technology.Preconcentration by coarse cobbing yielded promising results, and is the key to reducing not only the capital expenditure but also the operating cost, in particular the power cost, which is the highest operating cost component of a magnetite benefi ciation plant. The ore is also amendable to high pressure grinding rolls (HPGR) processing. This offers a potential for further reduction of the energy requirements.Test work also confirmed that a high grade blast furnace quality concentrate (~68 per cent Fe) can be produced at a relatively coarse grind (P80 106 µm).

Jul 11, 2011