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By J R. Lang, J K. Mortensen

The Canadian Cordillera contains numerous classic porphyry deposits and several unusual subtypes, including the alkaline suite of porphyry Cu-Au deposits and the Tombstone magmatic suite and associated Au¦W deposits. The alkaline suite formed in collisional settings in island arcs whereas the Tombstone suite was emplaced in an active fold and thrust belt in a continental arc. In addition to different regional settings, these suites differ in the type of underlying basement, metallogeny, and the styles of mineralization. Both magmatic suites were emplaced over short intervals, probably in response to specific tectonic events. In the case of the alkaline suite, the tectonic event promoted magmatic processes suitable for the formation of porphyry Cu-Au deposits. The tectonic environment is less well constrained for the Tombstone suite, but the result was the formation of distinctive porphyry and intrusion-related Au¦W deposits.

Jan 1, 1995

By D Craw, P Upton

"An EXTENDED ABSTRACT is available for download. A full-length paper was not prepared for this presentation. The Otago Schist belt of southern New Zealand hosts widespread orogenic gold deposits. Erosion of these orogenic gold deposits has led to the formation of numerous placer deposits distributed across and beyond the host schist belt. Numerical modelling of crustal scale deformation and geomorphic evolution has defined the key tectonic features that have controlled the severance of detrital gold deposits from their sources. Tectonic activity over the past 20 million years, during development of the modern Pacific-Australian plate boundary, has severed links between some placers and their sources. Detrital gold was transported south from the Otago Schist source region in two different river systems in the Miocene. Mesozoic orogenic gold deposits shed gold into rivers that flowed to the south. These rivers were terminated by the rise of north-west-trending basement ridges at the boundary between weak schist crust and strong greywacke crust, and the ridges were controlled by pre-existing faults at that rheological boundary. In contrast, rising mountains close to the developing plate boundary in the Miocene were the locus of new orogenic gold deposits hosted in extensional faults. These gold deposits were rapidly exhumed and contributed detrital gold to orogen-parallel Miocene rivers that flowed to the south-west. Pleistocene deformation on mainly north-west and north-east orientations, and associated river capture, has severed the links between these Miocene orogenic deposits and downstream detrital gold.CITATION:Craw, D and Upton, P, 2015. Tectonic severance of links between placer gold and its sources, southern New Zealand , in Proceedings PACRIM 2015 Congress, pp 541–544 (The Australasian Institute of Mining and Metallurgy: Melbourne)."

Mar 18, 2015

By D N. B Skinner, R L. Brathwaite, M S. Rattenbury

The Institute of Geological and Nuclear Sciences is undertaking a mineral resource assessment study of the Coromandel region, due for completion in July 2000. A key part of the study is the assembly of a geographic information system (GIS), a computerised tool for layering, analysing and presenting spatial information. The GIS is being assembled with ArcInfo/ArcView software and to date includes layers for a digital terrain model, an aeromagnetic map (open file mining company data), a geological map (from the QMAP project), areas of hydrothermal alteration, locations of mineral deposits (GERM database), stream sediment geochemical analyses (REGCHEM database), and a lineament map derived from satellite remote sensing data.

Jan 1, 1999

By J Araya, O Leiva

The mine evaluation process, composed of the designing, planning and valuation of a mine project, is, among other variables, based on an estimated orebody model. However, as the information from the drill holes is limited, it is impossible to know with certainty the mineral content in each block within the estimated block model. Consequently, uncertainty about the value of metal grades, or other geological attributes, arises because of the lack of information at unsampled locations. This is one of the reasons why, in any mine operation, there will always exist a divergence between estimated and real values. Cut-off grade optimisation is the process used to determine the operating mining strategy (long-term production scheduling) that will maximise the total profit value (normally referred as the net present value (NPV)) of a mine operation. This is done by defining a dynamic cut-off grade policy which is constrained by the production capacity of the mining, mill and refining.Real options is a type of contract, written on real assets such as mining, oil and other natural resource industries, that gives you the right but not the obligation to exercise the contract. It is based on operational and managerial flexibility, which allow mine decision makers to react to either good or bad operational and economic events in the future. But, what do geostatistics and cut-off grade optimisation have to do with the application of real options in a mine project evaluation process? The objective of this paper is to answer the previous question by showing how geostatistics combined with cut-off grade optimisation are key tools for corporate/managerial decision makers, which allow them not only to analyse the resource/reserves of their projects, but also to generate operational strategies that can maximise project value by minimising the downside risk due to ore tonnes and grade uncertainties, while achieving operational and physical constraints such as mining and processing capacities. A real copper grade open pit mine project is used as a case study.

Sep 26, 2011

By D Lichti

This paper presents recent advancements in the MillMapper software technology, developed and used for thickness gauging of liners of cylindrical grinding mills used for mineral comminution. MillMapper uses calibrated laser scanner data captured inside a mill to determine thickness at several million points on all liner surfaces with millimetre accuracy. The paper is structured as follows. First, a review of the technology and its numerous advantages over existing techniques and the value it adds to operations are presented. These are followed by discussion of recently-implemented innovations, including improved visualisation and inspection tools, automatic ball charge volume measurement and automatic mill liner volume/weight measurement. Results from its application at several sites in Australia are presented throughout.

Jan 1, 2007

By J T. Woodcock, G J. Sparrow

A sample of pyrrhotite flotation concentrate pulp assaying 15.3 g/t Au, which had been prepared from an old tailing dump, was treated to extract the gold. Examination of the concentrate with an SEM showed that exposed or free native gold, 5- 40 ¦m in diameter, was present but no locked gold was observed. Direct cyanidation of the concentrate to extract the gold showed that the flotation reagents present inhibited gold extraction. A range of pre-treatments was used to overcome these effects. Direct cyanidation for 48 h extracted only 26 per cent of the gold, indicating possible contamination of the gold in the concentrate with flotation reagents. Pre-treatment of the concentrate pulp by aeration for 24 h, or by 72 h aeration with an addition of 3.65 kg/t of sodium sulphite, gave little improvement in gold extraction by subsequent cyanidation. Pre-treatment by filtration, or by aeration with 12.5 L/t 100 volume hydrogen peroxide, followed by cyanidation for 48 h gave gold extractions in the range 67-77 per cent. Combining filtration and an aeration period with hydrogen peroxide addition raised the subsequent cyanidation extraction of gold to 88 per cent, giving a tailing assaying 1.5 g/t Au. Re-cyanidation of some of the dried tailings from the initial tests extracted most of the remaining gold giving a tailing assaying 0.5 g/t Au. This indicated that most of the gold was available for dissolution by cyanide. The poor dissolution of gold by cyanidation of the untreated concentrate was attributed to the presence of flotation reagents. It was shown by UV spectrometry that xanthate-containing compounds were present in the solids fraction of the original pulp and that they were partly removed by pre-treatment. MIBC was also present, and dithiophosphate, which was used in the flotation step, was also probably present. The results indicated that the improvement in gold extraction after filtration and oxidation of the original pulp was due to partial removal of the flotation reagents, and illustrates the detrimental effects that residual flotation reagents can have on the extraction of gold by cyanidation of a flotation concentration.

Jan 1, 1990

Review of the mining legislation in New Zealand has coincided with a number of radical changes. These include a redirection of economic management towards a more open and competitive economy; major reform of the state sector aimed at greater efficiency, transparency and accountability; a new environmental administration; and a fundamental review of policy for management of natural and physical resources. These changes provide an opportunity to develop a consistent and coherent approach in the minerals and related statutes that will achieve objectives of economic efficiency, equity, practicability and good environmental management.

Jan 1, 1987

Three large deposits of good quality lignite were located and delineated in the Central Otago region between October 1978 and July 1979. The program was initiated and funded by Mines Division of the Ministry of Energy as part of the national Coal Resource Survey. The exploration work was carried out by Lime and Marble Limited on a contract basis (Bowman, 1980). The three deposits were all potentially mineable by open cast methods and possessed combined indicated and, inferred reserves in the order of 1000 x 106 tonnes. They ranked with the previously discovered Eastern Southland 1ignites and as such constituted an important national energy resource. Fifteen months later a second more detailed investigation of similar duration was undertaken by the Liquid Fuels Trust Board (LFTB). The objective was to upgrade and refine the geological data base of all of the nine South Island 1ignite deposits in order to make preliminary economic assessments of their potential. Again Lime and Marble Limited acted as the exploration operator (Bowman, 1981a, 1981b, 1981c).

Jan 1, 1983

By R Smart

This paper examines the longer-term predictive capacity of the GAMSPATH computer program (developed by the Alberta Research Council) for a waste rock (sample MS) obtained from the Kaltim Prima Coal (KPC) mine, Kalimantan that contained significant framboidal pyrite. The model was refined by comparison with the net acid generation (NAG) and column leach tests to provide a basis for calibration of the model for both short term and longer-term reaction trends. The oxidation of pyrite during the kinetic NAG test using H2O2 provides oxygen directly at the mineral surface, generating a measured oxidation rate for pyrite of 1.16 + 10-6 mol m-2 s-1, whereas the oxygen diffusion limited rate in the leach column air equilibrated reaction was of the order 10-8 mol m-2 s-1 as calculated from the GAMSPATH thermodynamic database. Results indicated that the oxygen derived from hydrogen peroxide had to be included as a reactant (eg a reacting mineral) in the simulation to account for the direct availability of oxygen at the sulfide mineral surfaces. Optical investigations identified the proportion, particle size, and surface area, of framboidal and euhedral pyrite in sample MS. The reactive surface areas of the two morphologies were very different (eg ratio: 5:1). To manage these two different pyrite morphologies the GAMSPATH thermodynamic database was updated to include framboidal pyrite, with similar thermodynamic properties and oxidation rate to euhedral pyrite but with a particle size based on the size of the individual internal framboid microcrysts. This modification, with framboidal pyrite reaction based on the size of its microcrysts produced results that correlated well with the kinetic NAG and column leach test results when the measured (kinetic NAG test rate) and calculated (column test rate) pyrite oxidation rates were employed. This provided some confidence that the model could be extrapolated to indicate longer-term geochemical reaction trends.

Jan 1, 2003

In understanding the consequence of existing law, and the likely implications of its reform, it is necessary to comprehend the logic of the situation that the law provides individual decision makers and how that situation would be adjusted by reform. In particular, the way in which natural resources, including minerals, are used and managed is influenced by the definition and structure of property rights that the law provides. Property rights are enforceable claims to use or to benefit from resources. An example is a mining licence that allows its holder to extract minerals in a specified area. Property rights establish the structure of incentives, opportunities and constraints within which resource use decisions are made, ie the logic of the situation, and hence influence the use and management of resources. The extent and type of mining in New Zealand, for example, reflects the rights that miners have to extract minerals, and their rights to benefit from mining as against their duties to compensate landowners and pay royalties. This paper describes the characteristics of minerals that are relevant to the definition of property rights, analyses the implications of alternative property right arrangements and describes the existing situation.

Jan 1, 1988

By I M. van Waveren, F Hasibuan, M J. Crow

"An EXTENDED ABSTRACT is available for download. A full-length paper was not prepared for this presentation. Two Hg-Au occurrences west of Bangko, Sumatra occur within the West Sumatra Permian Volcanic Plutonic Arc. The Melipun Hg-Au occurrence was exploited in the past and mineralisation occurs within a hydrothermally altered cupola of a buried intrusion. The Salak Hg-Au occurrence occurs within the outcrop of the Dusunbaru pluton, likely within the remnants of a caldera in which hydrothermal mineralisation was developed. Both occurrences formed late in the history of the volcanic arc, probably between the Triassic and early Jurassic. The Melipun occurrence may have potential at depth, but that at Salak is small and lies within the area of a proposed Geopark.CITATION:Crow, M J, van Waveren, I M and Hasibuan, F, 2015. Two Hg-Au occurrences in the west Sumatra Permian volcanic-plutonic arc west of Bangko in Sumatra, Indonesia , in Proceedings PACRIM 2015 Congress, pp 573–578 (The Australasian Institute of Mining and Metallurgy: Melbourne)."

Mar 18, 2015

By A C. Edwards

The Mongol-Okhotsk belt consists of detached fragments of the Circum Pacific fold belt which have been trapped within the Mongol-Okhotsk fold belt. In its western part, the structures of the belt form an east-facing loop that is not connected with the other orogenic structures of Central Asia. In the eastern part of the belt (the Mongol-Okhotsk suture zone) the terranes form a zone between the Siberian craton to the north and the Bureya composite terrane to the south, that is linked with the Circum Pacific belt. The accretionary terranes, together with their Precambrian backstops, form a series of consistently-stacked, paired units that are bounded by northwest and north trending sinistral strike-slip faults. The ages of the rocks forming these accretionary complexes vary from Late Precambrian - Carboniferous in the west to Cambrian - Jurassic in the east. The terranes developed due to a progressive westward stacking of the accretionary complexes during the process of accretionary growth. The magmatic rocks young eastward indicating that migration of the magmatic front of the arc followed the eastward growth of the accretionary complexes. The accretionary terranes may be differentiated by their Paleozoic lithological assemblages. Only the Selemdzha, Niman, and Kerbi terranes located in the eastern part of the Mongol-Okhotsk suture zone contain significant amounts of black shale, and it is these terranes that host the bulk of the hardrock and placer gold mineralisation that is present within the suture zone. Gold mineralisation is present both as vein style and disseminated mineralisation within structural duplexes.

Jan 1, 1999

Recent data contributions to New Zealand Mesozoic terrane geology confirm the consensus interpretation thatNew Zealand grew by the progressive addition of material by plutonic and accretionary processes along the Gondwana margin. The data also: 1. emphasise the discontinuous but inter-related nature of these processes of continental growth, 2. better establish a direct Gondwana correlation of the Western Province and probable Gondwana provenance of at least some of the Eastern Province, 3. suggest specific times and places when passive or strike-slip rather than subduction regimes are recorded along the south Gondwana margin, and 4. potentially lead to interpretations emphasising parautochthonous rather than far travelled relationships between many New Zealand terranes.  

Jan 1, 1995

By R Urie

Dilution and loss of ore during the mining process invariably occur in all underground mining operations. This dilution and ore loss can have a significant effect on the performance and value generated from a mining operation. Further, excessive dilution or greater than anticipated ore loss during mining is often one of the key reasons for the underperformance of a mining project when compared to a feasibility study or annual budget. Mining professionals often go to great lengths preparing detailed mine plans, schedules and economic models only to then apply high-level estimates or rule of thumb values for dilution and mining recovery that can ultimately lead to inaccurate forecasts for the performance of a mine with the resultant loss of value due to the mining of uneconomic material or the loss of potentially valuable ore. This paper discusses processes and practices that can be practically used to manage dilution and mining recovery in an underground mining operation with a focus on understanding and then maximising value. The processes cover items such as the definition and measurement of dilution and mining recovery, techniques for the estimation of dilution and mining recovery, consideration of the economic implications, management of dilution and mining recovery through the stages of the planning cycle, and practices to reduce dilution and improve mining recovery. Common misconceptions and omissions are also discussed.

Mar 29, 2023

Ok Tedi Mining Limited commenced construction in mid-1981 of facilities and infrastructure to mine and process gold ore at Mt Fubilan in Papua ew Guinea. Production ofgold began more or less on schedule in mid-1984 although design capacity is yet to be achieved. Due to geotechnical problems, two important items of infrastructure, hydropower and permanent tailings disposal, are not yet in place. Current low metal prices make it likely that copper facilities will be postponed.The deposit compriscs a leached gold capping overlying copper sulphide porphyry mineralisation containing significant gold and molybdenum. Mining is by open pit methods. The soft leached capping gold ore is ripped and dozed, loaded by hydraulic shovel and trucked to a dump pocket. After passing a large semi-autogenous mill of nominal capacity of I, I00 tonnes per hour, the ore is treated by the carbon-inpulp process, with a gravity circuit to recover coarse gold. The final product is 12 kg dore bullion bars.At present, all tailings are detoxified with hydrogen peroxide; after cycloning, the coarse fraction is stored, and the slime fraction discharged into the river system; expected environmental impact is acceptable. Investigations for a suitable dam site for a permanent tailings system are still underway.Peak 'I. hour power demand for Stage I is 17 MW, presently supplied by a diesel alternator power station and a 2 MW mini hydropower plant.Initial access to the base camp at Tabubil was only by air. Eventually a road was pushed through 134 km from the river port at Kiunga (where port facilities have been constructed) and a further 23 km to Mt Fubilan.Roads are constructed of compacted gravel and crushed limestone generally underlain by geofabric. Eight major steel bridges were built.The town of Tabubil has been established, including housing, airport, shops, offices, schools and all facilities.Environmental studies have been extensive and a detailed monitoring program is maintained. Ok Tedi Mining Limited is making considerable efforts to train Papua New Guineans and to foster local business.

Jan 1, 1985

By Sorentino C

Mineral valuation may appear to be a special field of financial valuation when in fact it is a subset of general investment decision theory. The only significant difference in mineral valuation is that in the case of valuing an on-going mineral asset, ie a mine, often there is no initial capital outlay involved. One is required to determine what the mineral asset as it stands is worth. But this is the same problem as determining the maximum one could pay today and not incur a loss over the life of the asset. In other words one needs to determine the Net Present Value (NPV) of the asset. The two most widely used discounted cash flow methods, NPV and Internal Rate of Return (IRR) came of age with the rapid adoption of the personal computer and spreadsheet programs. The two methods are directly related as the IRR is a special case of NPV. NPV measures the absolute increase in real wealth that can be expected from a certain investment, which makes it particularly suitable for mineral asset valuation, but ignores the efficiency of the investment. In contrast, IRR gives the expected efficiency of the investment but ignores the increase in wealth aspect. IRR has two serious theoretical weaknesses; multiple IRR's and a very rigid assumption about the rate of return of reinvested proceeds, plus if no initial equity expenditure is involved there is no IRR. The choice of the ""hurdle"" rate can also be a problem and in certain circumstances one can obtain different rankings of mutually exclusive projects using IRR and NPV. Although NPV and IRR supposedly measure financial risk, in fact they only address a very narrow area of risk, namely the time value of money given the real discount rate. They side step the issue of what the real discount rate should be and varying degrees of risk. The classical way to establish the real discount rate is to use the weighted average cost of capital.

Jan 1, 1994

By M Rankin, F Medina, R Verburg

We conducted a preliminary assessment of an extensive deposit of historic tailings discharged over a period of 40 years to the shoreline along a Southern Peruvian coastline. The tailings formed an extensive beach approximately 2.4 km long and 300 m wide. The tailings consist principally of pyrite (37 to 59 per cent), hematite (nine to 20 per cent), magnetite (three to 13 per cent) and quartz (11 to 36 per cent). The present operating company was required to evaluate the feasibility of capping the ocean side tailings deposit, however, given the size of the undertaking and the potential to reclaim residual minerals from the tailings, it was prudent to first evaluate whether capping would in fact reduce the impacts to the marine environment. Therefore this preliminary assessment examined: 1. metals contamination in tailings, shoreline porewater and marine sediments; 2. reactivity of tailings and acid generation potential; and 3. the potential for biological effects from metal contamination in the uplands tailings (solid phase) and beach porewater. Based on mineralogy, column leach studies and chemical results, the upland tailings have a high geochemical potential to acidify and release metals, especially copper, nickel and zinc, should they be subject to oxygenated and aqueous conditions. But, the extreme arid climate results in very low potential for precipitation and virtually precludes the transport of acid drainage reaction products from the upland tailings towards ocean. Wind erosion caused by offshore winds is likely a small source of tailing transport to the ocean. Since some potential exists to reprocess the tailings in the future, capping does not seem justified at present.

Jan 1, 2003

By M Ziemski

The provision and management of energy in both fuel and electricity forms is an increasingly important consideration for mines. Pressures from communities, governments and markets are increasing towards more transparent and improved energy management. Combined with the energy-water nexus, where water and energy are closely related in the operation of a mine, this emerging business climate means a more thorough and responsible approach is required for the acquisition and use of energy, as well as the release of emissions. Many of the complexities in potential new ore bodies are borne in remote locations, high altitudes, low grades, arid climates and deep deposits. Each of these challenges affects the successful provision of energy. In combination, such challenges can leave an operation seemingly unviable from an energy perspective, especially when approached from a traditional mining energy feasibility lens. This paper discusses some of the energy alternatives currently available and emerging in the mining industry. Both energy supply and demand options are considered, which can provide a very different energy footprint with the flexibility to address, and potentially overcome, major energy challenges for a mine. CITATION: Ziemski, M, 2018. Energy complexities in complex orebodies, in Proceedings Complex Orebodies Conference 2018, pp 106–111 (The Australasian Institute of Mining and Metallurgy: Melbourne).

Nov 21, 2018

By C A. Locke, M Stevens, P Vidanovich, J Cassidy, J L. Mauk

The Karangahake adularia-sericite epithermal gold-silver deposit, located at the southern end of the Waitekauri Corridor, Hauraki Goldfield, occurs as quartz veins with associated alteration haloes. Integrated geophysical studies were undertaken to determine the expression, location, and extent of these alteration zones. Aeromagnetic data show an extensive, magnetic æquietÆ zone over Karangahake and the southern Rahu Ridge that represents a zone of magnetite destruction resulting from hydrothermal alteration. Analytic signal data are used to define the boundary of this zone; the resulting 6 km2 area is elongate north-south with an irregular boundary. A detailed gravity survey over the area reveals a positive residual gravity anomaly, up to 30 gu in amplitude, over the Karangahake deposit. Density measurements on near-surface rocks give low values indicating that the source of this positive gravity anomaly must be deep; possible causative bodies include an igneous intrusion or dense sulfide mineralisation. To the west and east of the host Waipupu Formation, strong gravity gradients of 100 gu/km and 65 gu/km reflect the faulted boundary of the Hauraki Rift, and the edge of the Waihi Basin respectively. High resolution airborne radiometric data define a 2.2 km2 area of potassium enrichment. This area is elongate north-south and has an irregular boundary. It coincides approximately with the centre of the magnetic quiet zone and the peak of the gravity high, and correlates with known areas of intense mineralisation. Anomalously high potassium counts and elevated K/Th ratios correlate with areas of potassic alteration that have undergone K-metasomatism. Underexplored portions of this zone may indicate areas of gold-silver prospectivity. Combined geophysical data therefore reveal the extent of hydrothermal alteration, and the central zone of Kmetasomatism that is most likely to contain orebodies.

Jan 1, 2005

By Y Ren

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Aug 12, 2013