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By Singh DP, Singh TN

The present study attempts to critically review the pillar-design as required by Coal Mines Regulations of India vis-a-vis latest rockmechanics formulae. Equivalent material modelling was the approach adopted for testing the safety and stability of the pillar sizes predicted by various formulae. Two parameters, considered here for calculating pillar sizes was the stresses acting over the pillars and the strength of the pillars. Stresses acting on the pillars were calculated by the tributary area method. Based on the studies of Coates and Hustrulid, the stress obtained was reduced by 40 percent. For calculating the strength of the pillars, three formulae, namely Holland and Gaddy, Salamon and Munro and Central Mining Research Station, India, were used. The pillar widths were then determined by equating the product of recommended factor of safety and pillar stress with the pillar Strength.

Jan 1, 1992

For the past five years the University of Queenslandhas, through its various workshops, been preaching to Australia that there was a potentially hazardous situation from earthquakes for urban Australia. A few people outside The University accepted this, but largely the warnings fell on deaf ears.The 1989 Newcastle earthquake changed that per-ception. The most important lessons to emerge from Newcastle were (i)the realization that in continental areas small earthquakes cause widespread damage:(ii)the local geology of an area is of great importance in the damage done by an earthquake.These two factors clearly indicate that, in the future, we must take far greater account of the "Urban Geology" of an area. This paper discusses the need for urban geology and its impact on seismic risk and compares that with the traditional methods of assessing seismic risk.

Jan 1, 1990

The occurrence of metallic minerals in Australia to the time of the proclamation of South Australia as a Colony in 1836 was unknown. It is, therefore, perhaps, surprising that British settlers arriving in the Coromandel included among their number a German scientist Johannes Menge who had been appointed by the South Australian Company to the post of Mine and Quarry Agent and Geologist on 1 July 1836. His instructions were to `explore the natural productions of the Colony above and below ground and to superintend the working of quarries of stone and slate, the boring for water, metal, lead, coal and other mines at a salary of ú150 per annum for one year and for as much longer as the Company require your services not however exceeding five years'. In the event, he was to have little influence on those matter.

Jan 1, 1993

This monograph presents a unified theory of adsorption and desorption of aurocyanide on activated carbon. This theory has proved useful for CIP/CIL carbon adsorption and Zadra and AARL elution process and equipment design; in accounting for the effects of various water qualities and process temperatures; and in the development of reagents to improve these processes. The theory presented is based on rigorous fundamentals : Classical Eyring theory links initial first order kinetics with Langmuir isotherm equilibria, and this isotherm is demonstrated for the first time to be a consequence of the activated complex postulate of Eyring theory. Simple extension to Freundlich conditions at high solution tenors is possible, but not presented. Supporting entropy data determined by the author includes practically all the pioneering CIP plants built in South Africa and Australia in the early 1980s.

Jan 1, 1991

By Corrans I. J, Yan D. S

The CIP process for gold recovery has enjoyed widespread application in most gold-producing countries. The development of a mathematical model of the CIP process has value for use in process design, process optimisation, and process control. Mathematical model development through laboratory experimentation is an important step in the design and optimisation of the CIP process. For this purpose, data has been generated through small scale laboratory leaching and adsorption tests both in batch and continuous mode. This test program has been carried out on specific ores of various types prior to the application of the models to production CIP plants utilising these ores. The applicability of leaching models derived from batch experiments was tested in a continuous five stage CIP pilot plant. The models were then adapted to scale-up the batch to the small scale continuous operation.

Jan 1, 1991

By E Drueppel, M Mistry, J Pateiro

As mining undoubtedly influences the natural environment future challenges of copper ore mining are minimisation of land use in area and duration, proper land rehabilitation as well as tailings management. One possible solution to avoid these negative impacts could be the application of underground mining with backfilling tailings compounds. This approach would definitely increase the production cost. Against this background the project analyses the influence of an æecologically satisfyingÆ copper ore mining on world market prize and demand as well as on the environment. In the project 261 copper ore mines accounting for 98 per cent of world copper production have been examined. After modelling a backfill plant, analyses of applied backfill techniques were conducted. Afterwards a method of cost estimation was developed and then the backfill plant model was applied in three case studies. The results were transferred into scenarios. The work closes with a short discussion and gives an outlook to forthcoming research. The results presented in this work have been generated within the Collaborative Research Center (CRC) 525 entitled æResource-orientated view of metallic raw material flowsÆ. This interdisciplinary project was established at Aachen University of Technology (Germany) in 1997 and is funded by the Deutsche Forschungsgemeinschaft (DFG). The long-term goal of this research program is the identification of options for the resource-sensitive supply and processing of metallic raw materials. In order to address the sustainable development challenges facing the metals and minerals industry an integrated resource management system is to be developed and tested for important metallic raw materials. Case studies for aluminium and copper are being conducted by the CRC 525 in order to provide useful and efficient tools for decision makers over the entire life cycle of these materials.

Jan 1, 2003

By P Cameron

The Julius Kruttschnitt Mineral Research Centre (JKMRC) has recently commercialised a variety of new products for the mining industry through its commercial division (JKTech). Although the products cover a wide variety of niche applications, a common thread runs through the Research, Development and Commercialisation (RD and C) process: they have emerged from industry sponsored projects. The development history of JigScan (a control system for the mineral-processing jig) is a good example of how this RD and C process works in practice. It involves building mutually beneficial partnerships between the JKMRC and the mining industry through several incremental projects with one or more industry sponsors. All research projects have objectives to demonstrate but these projects also feature a degree of product development to actively encourage and support the longer-term vision for the mature commercial technology. The process to develop JigScan as a commercial product worked because each incremental project recovered costs, provided an immediate benefit for the sponsor and contributed to the longer-term development objectives of the JKMRC. Integrating development with research need not greatly increase the cost of research objectives generally provides a more robust research outcome for the sponsor and greatly reduces the overall development risk. Successful projects often feature industry mentors actively participating in the RD and C process. Additional funding from government appears to be easier to obtain when such close partnerships with industry are apparent. Finally, the business structure of the JKMRC within the University of Queensland ensures that commercial outcomes, developed within the contractual arrangements of the underlying RD and C projects, are used to benefit and support further RD and C with the mining industry. This paper tells the story of the development and commercialisation of JigScan, and draws conclusions about this kind of RD and C model.

Jan 1, 2000

The mining industry has had lengthy experience with risk management involving technological situations imposing risks to people and property. In such situations the relevant parameters can be fairly well defined, the outcomes can be broadly predicted and probabilities of these can be estimated. Accordingly quantitative risk assessment can be applied. In recent years there has been increased emphasis in risk management on a broader set of potential consequences. These include potential impacts on the flora and fauna of ecosystems. These are typically poorly understood and this is especially true in Australia where the vast size of the continent and sparse population make gathering a comprehensive data base on biological resources a difficult task. The resulting scientific uncertainty and ignorance regarding the potential for serious or irreversible harm to the environment mean not only that quantitative risk analysis techniques are not appropriate, but also that the precautionary principle (PP) needs to be applied as a complement to qualitative ecological risk analysis. The potential for significant impacts is particularly high in Australian ecosystems. These comprise one of the 12 æmegadiverseÆ regions of the world in terms of biodiversity and, hence, have global significance. Moving from risk management to application of the PP by the mining industry provides a significant challenge. Application of the PP has no clear guidelines to follow and, to-date, has been highly unpredictable. However, there is much to be gained for industry in embracing this challenge and taking a pro-active approach in exploring methods that will provide for clearer guidelines and hence more certainty in outcomes of environmental management decisions involving precaution. As well, there could be considerable other advantages for the mining industry in terms of reputation assurance, community acceptance and greater certainty in terms of access to resources.

Jan 1, 2000

By J Webb

Anoxic limestone drains (ALDs) have been widely used in the passive treatment of acid mine drainage (AMD), but their effectiveness has often been less than anticipated. Iron hydroxide often precipitates around limestone particles and inhibits neutralisation. To determine the conditions under which iron hydroxide precipitates, a small-scale laboratory ALD system was built to enable a detailed examination of the chemistry of iron within the drain. For one experiment, a mixture of limestone and quartz was introduced to the drain to assist in the determination of the key mechanism governing iron precipitation. Synthetic anaerobic acid mine drainage containing Fe2+ (~130 ppm), SO4 2- and H+ was pumped at a rate of 30 mL/min up a 90 cm tall, 15 cm diameter vertical column filled with limestone gravel of 98 per cent purity. Three sampling ports were fitted at equal intervals along the column; water was periodically extracted for analysis at the sampling ports over an 11-hour period. Experiments were run at influent pH levels of 2 and 4. Results show that acid neutralisation to pH greater than 6 occurred at the inflow end of the drain. The greatest amount of iron precipitation (19.5 per cent) also occurred in this area. The lack of iron precipitation on the quartz surfaces in the quartz/limestone mixture indicates that neutralisation is the key mechanism for the precipitation of iron hydroxide on limestone particles. A pe-pH stability diagram derived for the laboratory ALD system indicates that ALDs will not be effective for AMD with pH 2. Influent waters with pH 2 require a pe of -2 (Eh: -118.4 mV) to avoid Fe precipitation upon neutralisation. Influent waters of pH 4 require a pe between -2 and -4.

Jan 1, 2003

Neutralisation, normally using lime, is the most widely used method for treating high flows of acid mine drainage (AMD). Lime costs can be very high however. If carbonate sources could be used to achieve pH values above six, costs could be greatly reduced. For example, use of locally quarried limestone at Mt Lyell could potentially reduce alkali costs from about $A 3.5 to $A 1 million/year. Methods for enhancing the effectiveness of limestone and magnesite for neutralising Mt Lyell and Savage River AMD respectively have been examined through a series of investigations. Small-scale testwork found that the maximum pH economically achievable with ground limestone was about five, due to slow dissolution rates and surface armouring. The problems of surface armouring were greatly reduced by the use of crushed limestone or magnesite at high pulp densities (75 per cent solids w/w), enabling pH values >6 to be achieved in a practical time frame. The use of particle sizes in the range 6 mm and finer also reduces costs by avoiding the need for grinding, and reduces the problems of solid-liquid separation and solid recycling that arise if large additions of ground carbonate are used. Pilot scale tests were carried out using tumbling drum reactors with limestone and Mt Lyell AMD and a pulsed-bed static reactor with magnesite and Savage River AMD. pH values averaging 6.2 and 6.4 were achieved with Mt Lyell and Savage River AMD respectively. Approximately 80 per cent of feed acidity was neutralised. A preliminary engineering design and cost estimate has been completed on the pulsed-bed reactor and shows that the concept is technically feasible and, if results are confirmed, economically attractive. Further pilot testing is planned.

Jan 1, 2002

By J D. van Wees

Preliminary project evaluation is relevant to the evaluation process of the decision makers (or executives) prior to making the critical business choices. Important to the assessment is an integrated sensitivity, scenario and risk analysis at every stage of a mining project. This should include the evaluation of different options taking into account uncertainties. Construction of interactive financial computer models where each element is functionally integrated into a fully integrated life-cycle allows rapid and automatic study of the sensitivity of each element through changes in the value of an input. The scenario analysis is the effect of changing more than one input at a time, organised through scenarios in a decision tree. Risk analysis is an integrated analysis of the effect of all uncertainties of the parameters, using Monte Carlo simulation. Key to the asset decisions process is that the decision maker is provided with the essential integrated decision information. We have clustered this information into several scenario groups. Within each group, two levels of uncertain information are distinguished: discrete scenarios critical for the decisions; and remaining uncertainty within the scenario (risk analysis) which can be modelled by continuous probability density functions (pdfÆs). For an asset, the relevant scenarios in each group and the associated continuous pdfÆs need to be defined. When the scenario groups and associated pdfÆs have been defined for the asset, the decision process can be started by structuring the different scenario groups in a Scenario Tree. A Scenario Tree contains decision and end nodes. Each end node corresponds to a completely defined mine project or asset model. The calculations for each end node result in a set of stochastic realisations for the reserves, production forecast, cash flow, and profitability indicators (NPV, IRR, DPR). Thus, a deterministic and fully probabilistic multi-commodity analysis tool is provided to investigate the sensitivity and robustness of decisions.

Jan 1, 2003

By Dickson B. L

Groundwater geochemistry is controlled by chemical interactions with aquifer rocks, and offers a powerful geochemical exploration technique for locating concealed mineral- isation. Techniques are applied for identifying constituents of aquifers using the compositions of their groundwaters, collected from the surface through drill holes, water bores or springs. Even slowly moving groundwaters have passed through large volumes of rocks which surround any sample site. Products from these rock-water contacts modify the groundwater. By relating water composition to the minerals from which the dissolved species may have been derived, geochemical exploration information is obtained for a significantly larger zone than is represented by drill hole rock samples. In this paper we describe some solution chemical tech- niques we are applying in mineral exploration, particularly in areas of Australia where ground- waters are highly saline and contain enhanced concentrations of trace metals. EQUILIBRIUM MODELS FOR SALINE GROUNDWATERS Central to our technique is the assumption that in low rainfall regions, aquifer rocks and contained groundwaters are in chemical equili- brium. Solubility calculations then allow us to predict upper limits to the soluble products of groundwater interaction with aquifer rocks and to identify minerals with which the groundwater is saturated. Whilst equilibrium calculations require input of concentrations of all dissolved species, they are actually based on "activity" of dissolved species rather than the analysed concentrations. Unless waters have very low ionic strengths (a measure of total dissolved solids), activity of a solute is not equal to its analytical concentration but equals concentration multiplied by an "activity coefficent". Several methods exist for calculating mineral solubilities. The ion-association model, commonly used in programs such as WATEQ (Truesdell and Jones, 1974) and later deriv- atives such as MINTEQ, assume the formation of complex ions such as MgSO4(0), CaCl+, which are described by formation constants. Activity coefficients are obtained by the extended Debye

Jan 1, 1988

By Yeliseyev AK, Shestakov AM

Comminution is the most power-intensive process in the technology for ferrous quartzite concentration. That is why improving comminution efficiency leads to the most appreciable economic effect on the concentration process. The trend towards reducing the lump size of crushed ore before charging the mill is considered to be of major importance in improving comminution efficiency. A considerable number of investigations have been performed in this direction. At the same time, a strong interest is also maintained in the increase of comminution efficiency due to optimisation of process taking place in the mill. Recently, investigations of the power intensity of the breaking process inside the mill have been carried out at the Krivoy Rog Mining Institute. It was ascertained that the routine conditions of comminution at a low mill ball charge ratio resulted in an unnecessarily high power consumption due to the force of impact of falling and milling bodies far exceeding the power required for comminution. For example, the power value for falling balls of 60 - 125 mm in diameter reaches 0.3 kNm, and the force and stress due to ball contact with the lining reaches 60 kN and 250 MPa respectively. These values exceed the force required for comminution by a factor of ten. Analysis of the mechanism of ore particle size reduction during comminution in the ball mill indicates that the size reduction is due to impact load, attrition load, and static load. The efficiency of size reduction is very low. During comminution in the ball mill, impact loads prevail and amount to 85 - 90 per cent of the total load. In this situation, not more than 10 - 15 per cent of destruction is due to attrition.

Jan 1, 1993

In line with the recommendations of The AusIMM/AMIC Joint Committee Report in 1981 Isa Mine ore reserves are quoted in proven and probable categories (recoverable ore reserves). Internal reporting considers geological mining and extraction reserves in terms of proven and probable categories. Proven reserves are subdivided into detailed and confirmed ore. External reporting includes a possible ore category (not a reserve). The basis for these divisions is the spatial distribution of sampling data. Proven ore is defined by data 80m apart or less and probable ore by data 80m to 150m apart. Within the proven ore category detailed ore is defined by data 40m apart or less and confirmed ore by data 40m to 80m apart. Kriging is used to provide tonnage and grade information for the currently producing 1100 and 1900 orebodies. Kriged cross sections are initially produced to coincide with existing geological sections and are used for stope design. Stope ore reserves calculations are ideally performed at three discrete design stages, which in order of increasing accuracy are: preliminary design (PD), final design (FD) and ring design (RD). At each of these stages Kriged meshes incorporating the most recent sampling information are produced for reserve calculations. Historically derived mining and extraction factors are applied both to global reserves and individual stope reserves to reflect changes in geological and mining conditions as well as the sequencing of extraction. These factorised reserves are then inserted into the computerised reserves inventory system (RIN). Monitoring of individual stope performance continues into the production stage with input from planning, research, survey and production personnel. This allows actual extraction factors to be derived for comparison with predicted factors, providing some measure of stope performance.

Jan 1, 1987

By Tyler DB, Thin LGT

Coal mass strength properties must be estimated to obtain realistic estimates of coal pillar strength. The limitations of existing techniques for approximating these properties are discussed. The coal mass is anisotropic. The Hoek and Brown approach to rock mass property estimation is modified to allow for this. This approach requires the Rock Mass Rating (RMR) for the strata. In the normal case where bedding is sub-horizontal, these major planes of weakness have little effect on the strength of pillars. As a result of this the RMR must be measured parallel to bedding. This means that a significantly higher rating than that usually obtained for coal is observed. The use of mass strength property estimates in extant empirical relationships is outlined. At high width to height ratios, an acceleration in the rate of increase in pillar strength with increasing width to height ratio has been observed. The empirical relationship developed by Salamon (the so called squat pillar formula) takes account of this. This relationship was found to have significant limitations with respect to its universal application. Modifications are made to Bieniawski's empirical formula to extend its use to large width to height ratio (squat) pillars. This new squat pillar formula has none of the disadvantages associated with Salamon's relationship. Strain softening was incorporated into non-linear finite difference numerical modelling to estimate pillar strengths. The technique outlined above is used to obtain peak coal mass properties. Modelled pillar strength was found to be sensitive to both peak and post peak mass strength properties. Post peak properties were found to be difficult to obtain and required some back analysis. Modelling results were used to estimate both the strength of squat pillars and parameters for use in a new squat pillar empirical strength relationship.

Jan 1, 1992

By T J. Orr

The changing demographics of the mining industry make successful passing of knowledge and skills to the next generation critical. Training methods and technologies are being developed to meet this need. Twenty years ago classroom training was largely a one-way transfer of knowledge through instructor lectures. In contrast, instructors today can use virtual reality technologies to guide trainees as they fully participate in learning experiences. Trainees can interact with the virtual work environment, co-workers, and equipment without being exposed to workplace hazards. The speed of advancement in mine safety, health, and production training shows no sign of slowing in the next 20 years. Researchers at the National Institute for Occupational Safety and Health have studied and participated in the evolution of miner training. A look at training materials they have created in the past and those they are currently developing reveals changes in methods and technologies over time and also key characteristics which have remained constant. Possibilities for the future can be discussed in the framework of an implementation of virtual reality in new miner training sessions. The example computer-based training package teaches new miners to read mine maps and provides opportunity to practice navigation skills in a virtual mine. With this æserious gameÆ, trainees experience the look and feel of moving through an underground coal mine while in the safety of their classroom. During field-testing in 2007, trainees and instructors responded very favourably to this new way of learning. The software was usable by mine trainers with even limited computer expertise and could be installed on the affordable computers they were using for their more traditional slide presentations. The Underground Coal Mine Map Reading TrainingÆs foundation on past successful development strategies and its acceptance by todayÆs instructors and trainees provide valuable lessons for developing training materials, strategies, and technologies for miningÆs future.

Jan 1, 2008

The Wellington Dam catchment has high value water, agriculture and coal and power generating resources. These conflicting land uses are managed through consultation and regulation. The Wellington Dam catchment is unique in that the Collie Coal Basin is located almost to the edge of the dam and has coal mining and power generation as its primary land use. Currently the dam is only used for irrigation due to its high salinity. The State Government has committed to reduce the damÆs salt levels to below 600 mg/L by 2015 so that it can be considered for public drinking water supply. The coal industry in conjunction with the community and State Government has worked together to enhance the water quality within the Wellington Dam to maximise its value and use by using mine dewater for industry, diverting saline Collie River flows, providing environmental (social) flows and enhancing water quality of mine voids to encourage new industry to the Collie Region. Both surface and groundwater in the coal basin are generally fresh, whereas the salinity in the Collie River East Branch generally ranges between 3000 to 20 000 mg/L and 1700 to 10 000 mg/L in the South Branch. Mine dewatering is currently two to three times greater than the recharge to the coal basin. As a result, all mine dewater is sent to power stations in the area, with excess discharged into drainage lines which flow into the South Branch of the Collie River. To maintain environmental and social flows some groundwater is also pumped to the South and East Branches of the Collie River during summer months. Completed mine voids are used for recreation and options for aquaculture are promising. However, handback criteria are yet to be finalised.

Jan 1, 2006

By Kubo H, Ninomiya R, Ojiro T, Sato T

New high-strength Zn alloys for moulds are demanded from the automobile and electric industries in Japan, because the s rength of Zn moulds is still not high enough for the mass production. There are two approaches to improve the strength of Zn alloys. One is to increase the Al content. ZA alloys (ZA-8, ZA-12, ZA-27) were developed through this approach. The other is to increase the Cu content. But it is known that an increase in Cu generally depresses the castability of Zn alloys, so that the alloys with increased Cu have been rarely studied until now. In this study a reconciliation between the strengthening and the castability of Zn alloys by enriching both with Al and Cu has been attempted. Accordingly we have studied on the Zn alloys containing 4 to 25 mass per cent Al and to 24 mass per cent Cu have been studied. Their fluidity, which primarily corresponds to the castability of the alloy, were measured first and 19 alloys were selected based upon their fluidities and casting temperatures. Mainly the mechanical properties of all 19 alloys were tested and some were found to be excellent in both strength and castability. Z1009 (Zn-IOAI-9Cu-0.02Mg alloy) cast in a sand mould has the tensile strength of 360 MPa while ZAS (Zn-4AI-3Cu-0.04Mg alloy), which is the most popular alloy for moulds, is 215 MPa. Z2520 (Zn-25AI-20Cu-0.02Mg alloy) cast in a sand mould has a Vickers hardness of 178, compared to 107 for ZAS and 104 for ZA-27 (Zn-27AI-2Cu-0.02Mg). Furthermore the castability of Z1009 is as good as that of ZAS. The underside shrinkage occuring in casting ZA-27 is restrained in Z2520.

Jan 1, 1993

The nation of Fiji is located the South Pacific on the æRim of FireÆ some four hours flying time from the eastern sea board of Australia. It is a tourist destination situated on the main route from Australia to the Americas. Fiji is a developing country that has had a fewsetbacks but the country has able, happy people that are very resilient. Most importantly, the country is a safe destination for tourists and businesspeople as the local people are friendly, have good ethics, and most speak English. Fiji is a very willing nation, hungry for knowledge and advancement. The Fiji geological setting on the æRim of FireÆ, that runs from New Zealand across the Pacific through Fiji and on to Papua NewGuinea, has many large deposits of gold and copper. Fiji is an exciting destination for mineral explorers with discoveries of gold, silver, manganese, bauxite, iron and copper. Gold was first discovered in 1921 and the first two mines opened in 1935; one of which was Emperor Gold Mining Company (EGM) the other being Mt Kasi. EGM mines gold on the margin of the Tavua caldera, some 85 km north of the Nadi international airport. EGM has operated continuously for close to 70 years, producing approximately 6.9 million ounces of gold and has an underground reserve of 847 600 ounces with a total mineral resource of 12 335 600 tonnes at 10 g/t (as given in the Emperor Mines Limited Annual report 2003). The mineralisation in Fiji is very exciting and it is common to discover spectacular intersections and outcrops, which are typical for this type of epithermal narrow vein mineralisation, but be aware that the orebodies are variable and not easy to understand.

Jan 1, 2004

All companies and individuals who embark on a business venture incur costs. For the most part these costs can be conveniently categorised, firstly into capital and operating costs and then into the various elements of these major cost centres. Although the nature of expenditure naturally differs as between industries certain broad cost types are characteristic of all heavy industries. The capital costs of gaining access to an orebody, equipping a new mine, building a treatment plant and perhaps refining and smelting facilities are likened to capital expenditure by a manufacturer on new plant and equipment required for an expansion or new product innovation. Similarly the day to day costs of labour and materials employed in the running of a mining operation can be likened to similar costs in other heavy industry. There is another group of costs that are not so easily categorised. Most industries incur unavoidable costs that do not form part of the direct or capital costs of physical production. These costs include taxes and other payments to government and research expenditure. The mining industry has a particularly heavy burden of non-production costs and it is the objective here to highlight and analyse a few of them. These costs are exploration expenditure, infrastructure expenditure, royalties and income tax. This is not to suggest that these are the only major non-production costs that the mining industry needs to bear. The industry may incur significant costs for environment protection, land tenure maintenance and on liaising with Government on a wide variety of matters. It is for reasons of subject manageability that the list is confined to the four costs mentioned. For the mining industry, exploration and infrastructure expenditure, royalties and income tax have several distinguishing features. Firstly, they are generally proportionately large costs. Exploration and infrastructure expenditure for example, could well exceed mine development costs. Depending on how royalties are levied, they may be very high in relation to profits earned and many in fact exceed profits. Secondly, except for income tax, they are costs that are generally not payable by other industries. Exploration expenditure is in some respects comparable with industrial research and development. However, because mines are wasting assets exploration is necessary for survival, and it is likely to form a larger part of costs per dollar of profits or sales than R&D. It can therefore be said that exploration is of far more significance to the miner than R&D is to the typical industrial company. Furthermore, unlike exploration expenditure, R&D results are transportable and patents permitting, transferable. The infrastructure burden that miners must carry is unique to the industry. Whereas urbanised industry is not usually liable for the capital cost of power, water, transport, townships and community facilities, the miner must finance these projects himself. Neither the payment of royalties, nor of course, income tax are unique to the mining industry. Royalties are more properly described as a unique charge on some primary industries but however described, they are a charge that manufacturing and service industries do not have to pay. Whilst we all pay income tax, the mining industry's uniqueness derives from the special problem that the industry has in arriving at annual net income in view of the capital intensity of the industry, partly due to expenditure on infrastructure, the indefinite life of capital equipment and its unpredictable residual value, funds expended on exploration and long lead times associated with a mine development. The third distinguishing feature of these costs is that, with the possible exception of exploration expenditure, they are heavily influenced by the policies and actions of Government. As such the industry has a responsibility to promote the industry by emphasising its potential to improve national product including exports and by requesting that the Government provide for the industry in its long term planning and seek its co-operation to prevent the industry incurring inequitable penalties relative to other industries.Finally, exploration and infrastructure expenditure are significant because they are front-end charges on a project. When due allowance is given the time value of money and the deferment of income from a mining development to which they relate, exploration and infrastructure expenditure assume greater importance than the raw money expenditure suggests. For all these reasons, exploration and infrastructure expenditure, mining royalties and mining income tax are worthy of detailed study. This is the purpose of this paper. The objective is to examine the determinants that give rise to them and provide some thoughts on their impact on on-going and potential mining developments and, where relevant, to make some suggestions as to how they may be minimised.

Jan 1, 1977