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By H M. Parker, G Verly, T Postolski

Assessing the uncertainty and risk in mineral resource estimation is required for best practice and is implied by the public reporting codes in the categorisation of mineral resources and reserves. One industry best practice is quantifying the risk on future production for a given period, which can be done using two geostatistical approaches: conditional simulation and drill hole spacing studies based on estimation variances. Conditional simulation can provide a more complete and flexible answer to the problem, but it takes a fair amount of time to complete. Drill hole spacing studies are simpler, faster and can provide reasonable assessments of mineral resource uncertainty.This paper is a presentation of the principles, theory and practice of drill hole spacing studies. Various types of risk assessment are considered. Difficulties encountered in practice are discussed, and solutions are proposed. The important parameters impacting the results are reviewed. Examples of results and sensitivities are shown.CITATION:Verly, G, Postolski, T and Parker, H M, 2014. Assessing uncertainty with drill hole spacing studies – applications to mineral resources, in Proceedings Orebody Modelling and Strategic Mine Planning Symposium 2014, pp 109–118 (The Australasian Institute of Mining and Metallurgy: Melbourne).

Nov 24, 2014

By W P. Darcey

Jabiru Metals completed a feasibility study on the Jaguar Base Metal Project in July 2005. The study was based on conventional truck haulage via a decline. Conveyor haulage was considered but not in sufficient detail to provide a meaningful comparison. The current study investigates the cost and productivity of alternative ore transport systems for the Jaguar project. The options considered are conventional underground truck, conveyor, road train, rigid frame truck, monorail haulage and shaft hoisting. Shaft hoisting was not considered in detail due to the high capital outlay for such a relatively short mine life of less than six years. This study goes beyond the common approach of evaluating haulage systems in isolation; it includes development costs, timing of ore production and costs associated with mine services as well as administration and milling costs. The results of this study indicate that the best haulage option for the Jaguar project is conventional truck using the Hitachi AH400 trucks. The net present value (NPV) for this option is A$8.13 million higher than the next best option namely the Kiruna E635 electric truck. The conveyor option has the lowest operating cost per tonne of ore but the longer development time negatively impacts on its NPV. The monorail option is considered impractical due to the number and length of trains required to achieve production targets.

Mar 21, 2011

Amongst the unavoidable studies of the mining engineer who desires to reach the maximum efficiency, is the subject of patents. With the fundamental principles of the patent laws of this and other leading countries he should of course befamiliar, but still more should he keep abreast of that practical knowledge which will enable him to act or advise wisely when the patenting of a new invention, or the sale, purchasing, or adoption of a new patented machine or process becomes amatter for consideration. As every engineer worthy of the name is an inventor and more particularly every mining engineer he has a direct interest in watching the progress of legislation and administration concerning patent monopolies.His worldly prospects may indeed, to a considerable extent, depend upon the defeat of bad patent laws and the removal of incompetent officials, or the appointment of better ones. Better patent administration is always in Australia a valid requirement, and until engineers generally take up and press the demand, bad administration is likely to continue. Even though every engineer is not a patentee, nevertheless his interests in patents must always be direct and powerful, and ignorance or apathy in regard thereto must inevitably injure either his own interests or those of his employer. When we consider the tens of thousands of mines scattered through Australia alone, on everyone of which there is expensivepatented machinery, and when we consider the thousands of...

Jan 1, 1901

By S Arnold

Properties of the soil profile fundamentally control water-limited ecosystems. Soil water availability affects vegetation dynamics of plant communities, but is also affected by these communities in return. Understanding this eco-hydrological interplay and the role of physical soil restoration is crucial for successful rehabilitation and management of post-mining landscapes in semi-arid areas. However, uncertainties exist in both the mathematical description of plant communities within ecological submodels and the predictability of future rainfall events. This study uses information gap decision theory combined with an ecohydrological system model to investigate how both uncertainties impact decision-making in the context of ecosystem rehabilitation. A range of management strategies are investigated to identify the optimal soil thickness for successful rehabilitation of native plant communities in Central Queensland. The results emphasise that thicker soils can counterbalance uncertainty in mathematical description of plant communities by increasing the simulated survival probability of plant communities. However, the influence of thicker soils on the robustness of plant communities against a change in future rainfall amount is rather marginal. By allocating an economic value for restoring a particular thickness of soil layer, these results can be used to evaluate the costs of ecosystem re-establishment with regard to two target measures - the survival probability of the plant community and their robustness against climate change.CITATION:Arnold, S, 2012. Finding optimal soil restoration strategies in the face of uncertain future rainfall amount, in Proceedings Life-of-Mine 2012 , pp 91-96 (The Australasian Institute of Mining and Metallurgy: Melbourne).

Jul 10, 2012

By A Hutton, C Dick, D Fletcher

Mine and facility closure planning is a dynamic and rapidly evolving landscape. In this landscape, mining companies and industry consultants are generally good at estimating the associated earthworks and rehabilitation costs, because it is æcore businessÆ. Through our extensive work in mine closure, we have found that the safe and cost-effective demolition of mining related infrastructure is often grossly underestimated. Or alternately, it is simply assumed that the returns on scrap steel and the sale of re-usable plant will cover the related costs. With fluctuating steel prices and no guaranteed buyer for the assets, the estimated monetary return is often unreliable and in many cases unrealistic. On this basis this logic is fundamentally flawed. We have found that on most occasions this has meant that closure cost estimates fall well short of what the actual costs are to close the mine.GSSE and Liberty Industrial have worked on over 60 mine closure projects in Australia and overseas of varying scales and across a range of commodity types. An evaluation of these projects has shown that costs associated with the safe demolition and removal of a mining related infrastructure is in the order of 20 - 30 per cent of the total cost at closure. We believe it is one of the top three risk areas associated with mine closure planning and cost estimation, alongside bulk earthworks and the capping of tailings and waste rock storage facilities.Our paper uses examples from recent projects to demonstrate all aspects outlined above. We have also endeavoured to address the following key points related to the demolition and removal of mining related infrastructure:If companies fail to plan appropriately, complicating factors such as contamination, hazardous materials, mobilisation/demobilisation, geographical location, decommissioning standards, site constraints and weather, can add considerable costs to the project and result in variations for the demolition contractor.Closure planning often assumes infrastructure that is no longer required can be utilised by a third party and/or the new land holder. We intend to show that unless adequate consultation and planning is undertaken, this is not beneficial to the mining company, the environment, or the local community.CITATION:Fletcher, D, Hutton, A and Dick, C, 2012. The æsmoking gunÆ of detailed mine closure cost over-run - A review using case studies of the real costs associated with the demolition and removal of infrastructure in mine closure, in Proceedings Life-of-Mine 2012 , pp 325-332 (The Australasian Institute of Mining and Metallurgy: Melbourne).

Jul 10, 2012

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

Solid Energy New Zealand Limited (æSolid EnergyÆ) is a state-owned coal mining company, producing 4.0 Mtpa from a number of opencast and underground mines in the Huntly, West Coast and Southland regions in New Zealand. The company currently exports 2.1 Mtpa of coking coal. Exports are expected to grow strongly over the next five year as the company expands production into new semi-soft and thermal coal reserves. Domestic coal demand is also expected to grow strongly, particularly in the North Island, as the Maui gas field reserves diminish, and thermal coal becomes more important for electricity generation and meeting the energy needs of forest processing and other industries. Solid Energy is expanding and developing its risk management practices across all areas of the business: strategic planning û extensive use of scenario analysis and probabilistic modelling over a 20 year period; investment decisions û development and application of a rigorous six stage æProject Assessment GuidelineÆ process for all new mine developments; geological and geotechnical risk assessment techniques û use of best practice techniques including seismic surveys; financial risk management û a dynamic approach to hedging based on effects based analysis of Cash Flow at Risk analysis against preset risk tolerances; risk financing û the use of a captive insurance subsidiary, and the experiences of a small coal company seeking to obtain insurance cover on a æhardÆ international insurance market; and integrated risk management û the challenges of trying to implement a broad integrated risk management approach across the company, that supports implementation of strategic objectives as well as meeting æcompliance or legislative basedÆ risk management requirements.

Jan 1, 2003

A clear understanding of the meanings of terms is important when discussing a project. Whether it is a submission, an investment study, a feasibility study, an environmental impact statement, an estimate, a tender, a contract, or a close-out.report, the need for all parties involved to understand what is under discussion or what has been written is paramount. The clarity of definition and the level of understanding can affect the outcome of the project. It is vital that all parties know what is wanted, what is expected, and what it will cost. This paper draws attention to some of the problems that beset many projects, clients, project managers and contractors, and it is hoped that its presentation will encourage us to pay more attention to defining what it is that is required. Ultimately we should all be the richer for having defined and understood the requirements at the beginning rather than at the end.

Jan 1, 1990

By Linge HG, Fernandez PG, Hughes HC

Aqueous oxidation is a possible alternative to roasting for the processing of gold bearing arsenopyrite (FeAsS) concentrates. The reaction has been studied by voltammetry and this has shown, for the first time, that FeAsS can be readily dissolved without passivation at room temperature in dilute sulphuric acid at relatively modest oxidation potentials (0.7 V SHE). The reaction forms sulphur on the mineral surface and the oxidant consumption is thus minimal. Two practical modes of slurry oxidation are listed.

Jan 1, 1989

By C J. Moran

The Gladstone region, as one of the most industrially intense regions in Australia, uses significant quantities of fresh water. Awoonga Dam, situated on the Boyne River, is the only major source of water in the region. The current typical annual usage is 53 GL (Porteous, 2006) and approximately 80 per cent of the water is used by heavy industry (Gladstone Area Water Board, 2004). Until relatively recently, there has been ready and easy access to raw water for industrial use. The recent drought, which resulted in severe water restrictions in 2002 and 2003, emphasised the importance of water for a dominant industrial region like Gladstone. Although now in the process of changing, the typical contractual arrangements in the past have provided little financial incentive for efficient water use. From research undertaken on potential water reuse opportunities, several key questions have emerged related to water management in an industrial region such as Gladstone. This paper highlights these key questions, presents findings from recent regional strategies and assesses the potential for water reuse. Even though there is no clear-cut financial incentive for reusing water, there could be stronger regional and risk mitigation drivers for doing so. Initiatives to incorporate adaptive capacity through collaborative industrial synergies would allow for robustness and resilience in water security, leading to long-term sustainable water management across the Gladstone region.

Jan 1, 2006

By A Mehrani, F Zamani, A Dehghani

Vibrating screens play an important role in the dry classification circuit of Gol-e-Gohar iron ore processing plant. This circuit was designed to classify the autogenous mill discharge and produce a suitable feed, with K80 about 450 ¦m, for dry magnetic separators. Three parallel vibrating screens produce more than 50 per cent of the separatorÆs feed. The efficiency of the magnetic separator is greatly affected by feed size distribution. In this work, the JKSimMet 5.1 software was used as an analysing tool to assess the flow rates and USIM PAC3 software as the simulation tool to control and optimise the vibrating screens. Samples were collected and the circuit was mass balanced. Then the vibrating screen was simulated and adjustment parameters such as cut-point, bypass and imperfection factor were determined. The product streams of vibrating screens can also be predicted.

Jan 1, 2007

By Probert D. H, Wright E. A, Taylor B. L

A general description of the geology of the Southern Coalfield is given. The relationship between the Illawarra Coal Measures, the overlying Triassic and the underlying Upper Marine Series, of Permian age as are the Coal Measures, is briefly explained and thestratigraphy of each is described. The eight coal seams are then treated in slightly more detail as to their thickness, quality, areas of distribution and best occurrences.In the last few years each of the authors has been concerned with one phase or other of the stTucture of the field in detail or in mining operations with the result that it is now possible to name a number of monoclines, anticlines, domes and synclines defined in detail. A minor quantitative study has been made of faults and dykes with regard to form, direction intensity and inter-relationship. It seems probable that with the further collection of data a more detailed study in these matters will be of considerable value to the economy of mining in the Southern Coalfield.

Jan 1, 1958

The Australian minerals sector has a shortage of skilled professionals to satisfy an industry that is experiencing renewed vitality. Graduate numbers are low throughout Australia and the world, while economic rationalisation is seeing many educational institutions downsize, or even close, their minerals-related programs. In addition to requiring more entry-level graduates, minerals producers are looking to update the skills of their current workforce to keep up with the industryÆs continuing technological revolution. To address the issue the Minerals Council of Australia (MCA) endorsed collaboration between several Australian minerals producers and a team of universities to generate the Mineral Tertiary Education Council, or MTEC. MTEC recently initiated a venture to increase the availability of professionals with relevant skills to the minerals industry. Primarily aimed at delivering postgraduate programs, the initiative will allow graduates from other disciplines to æconvertÆ to the minerals sector as well as provide professional development training to an existing work force. This venture represents a novel approach in that courses will be delivered by more than one institution and will employ innovative teaching materials with flexible and remote delivery formats. The programs will cater specially for professional development in the minerals sector, which generally requires high flexibility due to the nature of work conditions and locations.

Jan 1, 2004

Purification of Nickel and Cobalt from Heap Leaching Effluents Using Ion Exchange Resins A comparative study among several chelating resins for purification of a heap leaching effluent from a nickel laterite ore has been finished. Chelating resins with iminodiacetate (IDA) and bis-picolylamine (Bis-PA) functional groups, from different suppliers, have been evaluated for their selectivity and loading capacities for nickel and cobalt over impurities. The two evaluated IDA resins, Amberlite IRC 748 and Monoplus TP 207, showed very similar results for both loading capacity and selectivity. Better performance was obtained at 7 BV/h at a pH of 4. Evaluation of Bis-PA resin showed that XUS 43578 has better performance than TP 220, with a 30 per cent higher loading capacity and superior selectivity for nickel over impurities.

Sep 13, 2010

By T Baumgartl, J Burgess, B Emmerton, P D. Erskine

Large-scale open cut mining in the Bowen Basin has been undertaken for over 40 years. During this period, improved mechanical capability and economics have allowed extraction to greater depths, resulting in post-mining landforms of increasing height. Rehabilitation practitioners face significant challenges in stabilising these landforms and require a comprehensive understanding of the Bowen Basin Coal Measures strata likely to be disposed of during mining. Knowledge regarding the potential behaviour of differing spoil materials (following disturbance) provides a rationale to maximise short- to medium-term surface stability of constructed landforms by identification, salvage and advantageous reuse of cladding resources as a means to minimise erosional risks.CITATION:Emmerton, B, Burgess, J, Baumgartl, T and Erskine, P, 2016. Bowen Basin coalmine spoil classification for improved mine rehabilitation outcomes, in Proceedings Life-of-Mine 2016 Conference , pp 142–147 (The Australasian Institute of Mining and Metallurgy: Melbourne).

Jun 28, 2016

As the question of zino recovery from lead blast furnace slags has lately become such an important subject with lead metallurgists, the following description of some of the work carried out in this oonnection by the Sulphide Corporation, at CockleCreek, should prove of interest to those concerned. Early in the life of the works it was realised by the metallurgical staff that a very wide field for investigation lay before them. At the head of these was the late Mr. F. H. Evans, and it was due to his work and suggestions that the question has grown from a mere hypothesis to a commercial undertaking, in so far as these works are concerned. A great deal of the early work was carried out in the form of small laboratory expe!iments, those giving the best results being ear-marked for subsequent trial on a larger scale. One of the main obstacles in the way of research was the lack of any data or information of similar work done in other...

Jan 1, 1920

By James JV, Petho SZ

The South Deep surface shaft system is being sunk to a final depth of 2750 in below surface and on completion will be the deepest single drop haft in the world. The shafts will intersect the target reef horizon at 2650 to below surface. In order to negate the requirement for a shaft pillar, which would he extremely large at this depth, the reef horizon in the vicinity of the intersection is currently being mined. A high quality crushed waste/classified tailings backfill is being placed in the longwall stoping panels around the shaft intersection area. This kill limit closure and ride which following shaft reef intersection could have a detrimental effect on the long term shaft stability. This paper discusses underground instrumentation results and numerical modelling exercises carried out to confirm that the shaft system will he stable throughout the life of the mine. Instrumentation projects include closure and ride measured between backfill paddocks and haulage leveling exercises carried out to determine the far field rockmass response to mining with stiff backfill.

Jan 1, 1998

By Baohm C, Barker T

There have been significant changes in the Australian mineral sands industry in recent years due to changing supply and demand conditions, new product opportunities and opportunities for rationalisation of operations. Earnings within the industry have typically been volatile and this has been reflected in the share prices of listed mineral sands companies. Apart from the effects of variations in the state of the economy on the industry, share prices have also reflected the extent to which a company's earnings volatility is due to capital structure, the relative proportion of fixed costs to total costs and the nature of th'- sales mechanism. At the time of writing, the high prevailing share prices for industry participants and the current outlook for the industry would suggest that the time is opportune for raising equity capital. The immediate outlook for the industry and its various product segments appears favourable but beyond this the usual uncertainties remain. The new tax environment will cause most companies in the industry to have to rethink their dividend and capital structure policies. Most shareholders will now be concerned to maximize dividend receipts and minimise exposure to capital gains tax. Companies in the industry that have relied fairly strongly on earnings retention to help finance growth in the past will- need to look to increased equity raisings in the Future.

Jan 1, 1986

In todayÆs evolving and globalised world, mining companies are being pressured to move beyond compliance towards long-term sustainability and sustainable development. Companies are expected to æengageÆ communities and measure the success of these engagements without a clear understanding of æhowÆ to do this. This move, away from compliance, develops more of a focus on sustainability and æcommunityÆ social responsibility rather than corporate social responsibility. This shift leads to the development of world-class projects that provide sustainable development for people, reduce the incidence of costly delays, and promote good global citizenship for companies. The process of æengagingÆ communities in mining project design and development leads to sustainable development, a stronger license to operate, and a reduction in social and political risk. To create this mutually beneficial relationship between communities and companies, communities must be æengagedÆ in the project development and risk assessment processes as early as possible, preferably during the exploration or the concept phases. How to create this æengagementÆ and manage this risk will be discussed.

Jan 1, 2007

By D Kent, R Paine

"Automated mining systems are increasingly being seen as a key requirement for a productive mining operation in the future. The importance of an integrated communication network infrastructure to support such systems is growing.This paper outlines the introduction of automated mining systems in large conventional mines as well as their growing role in block cave mines currently operating or being developed. The paper will then focus on a case study of how the communication infrastructure is fundamental to the operation of such systems and explain why the resultant communication networks require much more than just increased bandwidth (data capacity) to properly support the automation system within the overall mine operation.Mining operations already embarking down this road are discovering that the required network must be based on a true enterprise level architecture to not only enable the mine’s current plans for remote and automated mining, but also provide a scalable and integrated platform for future developments and requirements. The emerging issues for the communication network to truly support automation systems include: increased complexities of operating and maintaining multiple networks integration issues with disparate systems problems with reporting particularly as demands for corporate reporting and compatibility with enterprise systems become the norm ongoing management challenges, which will only increase with the proliferation of new technologies.The paper will explore how certain mining operations are addressing this by adopting a long-term strategy for automation deployment, which includes laying the necessary foundation architecture to meet their current requirements, while supporting their future visions for the fully automated mine.CITATION:Paine, R and Kent, D, 2014. Developing the foundation communication infrastructure to support remote and automated mining initiatives in underground mines, in Proceedings 12th AusIMM Underground Operators’ Conference 2014, pp 151–158 (The Australasian Institute of Mining and Metallurgy: Melbourne)."

Mar 24, 2014