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By K H. Esbensen

Sampling of grain, animal feeds (solid and liquid) including important mineral mixtures in the Danish agricultural sector is subject to an ongoing investigation with the objective of improving existing (suboptimal) sampling procedures. Results from the first six months are presented here; the project will continue for two more years and will include international collaborators (Australia and Canada). The Danish authorities have instituted a system of control analysis, which contains a set of mandated sampling and analysis methods. From a preliminary survey it was concluded that in fact all of the existing sampling procedures are not optimised in the light of Pierre GyÆs Theory of Sampling (TOS).

Jan 1, 2005

The rapid industrialisation of the world was driven by an improved ability to utilise chemical energy. Unfortunately harnessing explosive energy did not come cheaply given the hundreds of lost lives. However, the modem explosives industry has made significant technological achievements, for explosives are now considered to be both safe and extremely effective. Upon closer inspection, it would appear the key to this achievement has been the development of initiation systems. While the focus may have been originally on safety, modem developments have concentrated upon harnessing the benefits of initiation control. Before attempting to gaze into the future, it is worth reviewing some of the significant advances that have occurred.

Jan 1, 1990

THE filter-press, which has done so much for the successful-treatment of the sulpho-telluride ores of Kalgoorlie, has a serious rival in the vacuum process, and this paper is written with a view to arousing more interest in the cheaper working of the press, it being doubtful whether its efficiency in extraction can be improved upon. Before proceeding with the actual working of the press, it may be as well to make brief mention of the character of the ore treated at the Associated Northern Blocks, where these notes were compiled. A sample from several weeks' run was taken of the raw ore, with the following analysis...

Jan 1, 1911

By C Donnelly

Redpath Australia is using a unique mining method for the Australian underground coal industry at Kestrel Mine Extension in the Bowen Basin, Central Queensland.The project involves completing two separate drifts from the surface for access to the German Creek Coal Seam located approximately 230 m below the existing surface. The scope of work is primarily the construction of two drifts; the first is 1577 m at 1 in 6 gradient and the second 1874 m at 1 in 8 gradient. Each drift has been developed by a Mitsui S200 roadheader with modifications to allow for a continuous tunnelling/mining cycle operation. A shotcrete boom has been fitted to the left hand side of the machine with the operators console located at ground level. Another operators console is elevated on the right hand side of the machine to allow operation of the rotary drill boom which is mounted on a slide rail to allow flexibility of positioning depending on the stage of the cycle. In support of the roadheader activities, an integrated conveyor system mounted on a sliding floor arrangement is able to be advanced as the mining face progresses. This sliding floor consists of four 1.5 m × 6 m sections that utilise hydraulic rams to ‘walk’ inbye, allowing room for installation of precast concrete floor panels for final floor completion. This method borrows from the tunnelling and construction industries to eliminate place-change delays in the mining cycle by enabling complete ground support installation without retreat of the primary development machine from the face. The aim is to reduce the project duration with the completion of final floor and services to within 30 m of the operating face as it advances.

Mar 21, 2011

This paper summarises the current status of the mining sector in Poland in terms of vertical transport system safety. Selected results of research programs conducted at the AGH-UST relating to mine hoist system safety are reviewed. The conclusions support the notion that the costs of vertical transport systems can be reduced, while at the same time maintaining the required safety and reliability levels. Novel solutions: movable fender beams HWR, linings modar« and the integrated shock absorbers PHH for conveyance guiding systems fully confirm this hypothesis.

Jan 1, 2005

By R G. Skirrow, M Cooper, J Claoué-Long, K Czarnota, H Dulfer, J Thorne, D C. Champion

"An EXTENDED ABSTRACT is available for download. A full-length paper was not prepared for this presentation. Tholeiitic intrusion-hosted nickel (PGE-Cu) sulfide deposits are under-represented in Australia’s inventory of known resources of this deposit type, relative to regions globally with comparable geology. To support discovery of major new deposits, a continental scale analysis of Australia’s potential for tholeiitic intrusion-hosted nickel (PGE-Cu) sulfide deposits is being undertaken. The analysis applies a mineral systems approach to map the four essential components of the ore-forming systems:1. sources of ore constituents2. crustal and mantle lithospheric architecture3. energy sources or drivers of the ore-forming systems4. gradients in ore depositional physico-chemical parameters.The results reveal several regions of Australia with potential for discovery of large tholeiitic intrusion-hosted nickel (PGE-Cu) sulfide deposits, mostly around the margins of Archean and Proterozoic lithospheric blocks. These include the south-east and northern margins of the Yilgarn Craton, the south-west and south-east margins of the Kimberley Block, the southern margin of the Arunta Province in central Australia, the western flank of the Gawler Craton in South Australia, and possibly some areas within the Palaeozoic Lachlan Orogen of eastern Australia.CITATION:Skirrow, R G, Dulfer, H, Czarnota, K, Champion, D C, Thorne, J, Cooper, M and Claoué-Long, J, 2015. Australia’s potential for nickel sulfide ore systems – a new continental-scale time-space framework for exploration, in Proceedings PACRIM 2015 Congress, pp 679–684 (The Australasian Institute of Mining and Metallurgy: Melbourne)."

Mar 18, 2015

By R Justa Cámara, J María Bertrán Llop

"The need for suitable geotechnical characterisation of the rock mass for underground construction is evident. The enlargement project of Railways of the Generalitat of Catalunya (FGC) in Sabadell is a patent example.In general, it is uncommon to encounter problems in the identification and characterisation of certain relevant weak rock formations, which affect project designs. However, all materials should be properly studied, as mischaracterisation can lead to a suboptimal design, resulting in construction problems during the course of the work.Good quality rock is generally not difficult to characterise, but this is not the case for Quaternary or Tertiary cemented soils. Geotechnical investigations based on boreholes do not provide enough information because samples are often badly damaged during the drilling process, if appropriate techniques are not taken. The samples can be altered and may not be representative of the in situ?material.The design and construction of the extension to the FGC line in Sabadell highlighted the importance of the characterisation of Quaternary and Tertiary cemented soils, in particular their rigidity and its underestimation. The twin tunnel project had a total length of 5.1 km, including five stations with 3.5 km excavated by tunnel boring machine (TBM). The remaining 1.6 km was constructed using cut and cover methods. The TBM portion of the tunnel had a bored diameter of 6.83 m with an internal radius of 3 m and 0.25 m thick precast concrete segments. Much of the tunnel alignment passed through and was affected by the presence of certain stiff layers of Quaternary cohesive materials.In this paper the TBM challenges faced will be discussed in detail. In particular:  TBM excavation rate reductions and overheating problems due to the required excessive thrust and torque floating problems in the lining due to nil earth pressure over the rings and the development of an improved, controlled setting time mortar to address this issue block-in and block-out methodology for each station, in some cases with internal blocks to prevent earth pressure drops and soil scouring the relevance of performing simpler solutions, for example, hyperbaric interventions to examine the cutter wheel tools when it has been shown that interventions under atmospheric conditions were equally feasible the implementation of conventional bivalve machines as standard procedure for excavation of diaphragm walls in stations, where in fact, hydrocutter machines or pile boring machines may have been required, given the mechanical characteristics of the materials to be dug out.CITATION:Justa Cámara, R and María Bertrán Llop, J, 2014. Underground extension of the FGC line in Sabadell through cemented soils, in Proceedings 15th Australasian Tunnelling Conference 2014, pp 161–170 (The Australasian Institute of Mining and Metallurgy: Melbourne)."

Sep 17, 2014

By N Petropoulos and M J Thurley, E Righetti, M Wimmer

Fragmentation in sublevel caving (SLC) is vitally important. Both gravity flow and any downstream processes are affected. Reasonably coarse fragmentation may lead to larger draw bodies (isolated extraction zones) and hence potentially higher primary ore recovery and depressed/delayed waste rock inflow from above. Fewer flow disturbances are expected by mitigating oversize. In addition, it requires less boulder handling and reduces wear and possible hang-up problems in orepasses. To assess the present-day functionality of large-scale SLC, a multiyear, comprehensive measurement program was initiated. It covers the main elements for SLC, namely blast function, fragmentation and gravity flow. The present paper focuses on fragmentation measurements. An image acquisition system was used to document the drawpoint and the load-haul-dump (LHD) bucket for each mucking cycle. At the beginning, four buckets (about 70 t total) were sieved to validate the results of both 2D and 3D image analysis techniques. The fundamental and specific problems are discussed herein. At the moment, fragmentation of the SLC rings is evaluated using a quick rating system and a 2D fragment delineation software. The results enable a description of fragmentation and its variation during mucking but also – combined with the gravity flow measurements – conclusions on the fragmentation for different parts of the SLC ring. Possible influences on flow disturbances and ore recovery/dilution are investigated. The recent findings allow a better understanding of breakage and flow and support future process improvements.CITATION:Wimmer, M, Nordqvist, A, Righetti, E, Petropoulos, N and Thurley, M J, 2015. Analysis of rock fragmentation and its effect on gravity flow at the Kiruna sublevel caving mine, in Proceedings 11th International Symposium on Rock Fragmentation by Blasting, pp 775–792 (The Australasian Institute of Mining and Metallurgy: Melbourne).

Aug 24, 2015

By J Crosbie, M Lord, R Bitencourt, P Defferrard

The MMG Century mine, which is the largest zinc/lead mine in Australia, began operating in 1999 and ceased mining from the open pit in July 2015, with processing completed in early 2016. Closure plans were developed from 2006, and detailed planning for closure commenced in early 2011 with the appointment of a dedicated closure planning resource. The site will continue to be managed during the active and passive closure phases to complete rehabilitation commitments and demonstrate that closure completion criteria have been achieved.Completion of the mining/processing phase of the project provides an opportunity to reflect on successes, missed opportunities and lessons learnt with respect to planning and execution of mine closure. This paper highlights examples of success at Century and also identifies key learnings and areas for improvement in progressive closure outcomes. Specific examples examine mine planning and execution involving bulk movement of waste rock and construction of permanent waste encapsulation landforms. The paper also provides recommendations for other sites that are planning for closure.Decisions made during the operational phase of the project life can result in a significant increase in closure liability and reduce the likelihood of achieving lease relinquishment. Likewise, it is of paramount importance to assess the consequences and thoroughly understand the risks associated with changes or deferral of closure plans, progressive rehabilitation targets and closure related key performance indicators.CITATION:Lord, M, Bitencourt, R, Crosbie, J and Defferrard, P, 2016. Closure planning lessons Learnt from the Century mine, in Proceedings International Mine Management Conference, pp 207-216 (The Australasian Institute of Mining and Metallurgy: Melbourne).

Jun 22, 2016

By P C. Miclea

Transportation networks extend every day around the world, requiring safe and well-maintained structures for efficiency and for users’ safety. Due to specific features of the infrastructure, such as longer tunnels, increased traffic and marginal safety rules, fire safety in rail and road tunnels becomes more challenging.The situation becomes more critical due to the global economy and increasing worldwide tourism, with multi-national companies often involved in both design and construction of transportation routes or systems in other countries. Tourism brings the risk of visitors becoming victims in a foreign land; thus, international law becomes more and more applicable to transportation projects all over the world, requiring a consistent approach to safety (UN Economic and Social Council, 2001; US DOT Federal Highway Administration (FHWA) 2006; US Transportation Research Board, Committee on the Role of Public Transportation in Emergency Evacuation, 2008; UK Parliamentary Office of Science and Technology, 1997).There are significant differences between rail and road tunnels, both in their functionality and safety requirements. Most tunnels over a certain length are equipped with emergency ventilation systems capable to control the spread of smoke by creating an air stream in the desired direction. Besides ventilation, fire-life safety (FLS) includes smoke and heat detection by linear or spot detectors, closed-circuit television (CCTV) and public address systems with prerecorded announcements, as well as evacuation signage and monitoring capabilities (Vägverket – Swedish National Road Administration, 2004).There isn’t a consistent, worldwide approach to the design of emergency ventilation systems for tunnels, with significant differences from continent to continent (US DOT Federal Highway Administration (FHWA), 2004, US Federal Transit Administration, Transportation Research Board, 2006). In North America US NFPA 130 and 502 standards for rail and road tunnels, respectively, represent the main criteria, however, they are continually revised and new versions issued every three years. For road tunnels the World Road Association PIARC issues guidelines, but they are not truly enforceable. There are no similar international guidelines for rail tunnels, except general recommendations by the International Association of Public Transport (UITP) (IAPT, 2003).In Europe the Directive #54/EC adopted by European Community Parliament in 2004 requires a minimum level of safety for road tunnels users in all existing and proposed tunnels in the Trans-European road network that are greater than 500 m in length. Authorities having jurisdiction in many other individual countries, such as Australia, Austria, Germany, Japan and others, enforce specific safety regulations (Miclea et al, 2007). While it is impossible to summarise all aspects of this topic in a short paper, a review of the design approach, the existing differences in safety requirements, as well as applicable design solutions to meet safety codes for both rail and road tunnels are discussed below.

Mar 8, 2011

By G Harbort

Traditional engineering design for flotation circuits use the “Rule of Thumb” approach. Typically this uses a nominated maximum head grade for design. A scale-up factor is applied to laboratory flotation tests for residence time. This scale-up factor is usually based on a designers experience at other flotation sites and may or may not be relevant to the circuit being designed, or the flotation equipment being used. A small number of locked cycle tests are assumed to represent the ore body and the results of these are often used for financial analysis, independent of changes in mine plan throughput and mineralogy.The engineering “Rule of Thumb” approach is only strictly accurate where there is very little variability in throughput, head grade and mineralogy. It may provide accurate design for mature established operations where a brownfield expansion is being considered but is unlikely to provide accurate design for a new, greenfield site.The use of geometallurgical modeling with floatability component simulation provides a design methodology with significantly less associated risk. The use of geological data for optimisation of operating plants has become a significant part of the modern process mindset. The underlying principle is to use spatial metallurgical information to drive production planning, mine planning, blast design, blending strategies and plant set-up. At a design stage the process designer can use geometallurgical information to evaluate bottle necks and potential design flaws and propose the best investment strategy for the project benefit.This paper details the geometallurgical characterisation of the Andash deposit and methodology used to review the project’s detail design and projected production.

Aug 8, 2011

By E Widzyk-Capehart, C Hölck Teuber, S Steffen, V Rivero, O Fredes, E Sanchez, I Pedemonte, N Gonzalez

This paper summarises the research, development and initial application of a sensing platform that has the potential to monitor subsurface deformations, pore pressure and other variables simultaneously to gain a better understanding of rock mass behaviour. The platform is based on Networked Smart Markers (NSMs) devices, which, with their ability for wireless communication between individual sensors and the possibility of real-time data acquisition and processing, will assist in the development of predictive tools to better assess rock mass behaviour.A good opportunity to implement this technology is in the specific application of transitioning from an open pit mine to an underground caving operation. One of the key elements to maintaining the mining business during such a transition is having a good understanding of the unique geotechnical conditions of mutual influence created during the open pit to underground interaction. The knowledge acquisition will require the implementation of a robust platform for geotechnical monitoring, which could be enhanced by incorporating the NSMs. The integration of sensors within the NSMs would enable the collection of additional data about rock mass behaviour (ie caving propagation and crown pillar fracturing), which could be used to improve the management of mining operations and, specifically, allow the development of reliable predictive tools based on the data collected.CITATION:Widzyk-Capehart, E, Hölck Teuber, C, Fredes, O, Rivero, V, Sanchez, E, Pedemonte, I, Gonzalez, N and Steffen, S, 2016. Understanding rock mass behaviour through the development of an integrated sensing platform, in Proceedings Seventh International Conference and Exhibition on Mass Mining (MassMin 2016), pp 275–284 (The Australasian Institute of Mining and Metallurgy: Melbourne).

May 9, 2016

A co-operative research project, combining Commonwealth Scientific and Industrial Research Organisation (CSIRO) research scientists findings and company iron ore geologists' expertise, resulted in new concepts about the origins, distribution and complexitie of iron ores and their parent rocks (banded iron-formation or BIF) in the Hamersley Iron Province of Western Australia. Understanding these problems was important to the efficiency of exploration, development and ultimate mining of iron ores. This genetic model, based on a detailed mineralogic background, was modified by Mt Newman geologists to obtain a user oriented classification for practical application in the field.The proposed Pilbara Iron Ore Classification (PIOC) gives iron ore geologists a basis from which to understand, identify and record the various mineralogic and physical characteristics of the many genetically different ore types occurring within and between orebodies in the Pilbara. More definitive quality control over ore products can be achieved based on the detailed understanding of ore types which the PIOC allows, compared to current classifications which deal only with the physical nature of ores. Of equal importance, the classification remains sufficiently simple to enable owners, operators and buyers to achieve a basic appreciation of ore type variations.With little modification, it is believed the classification has applications beyond the Pilbara, to iron ore worldwide.

Jan 1, 1984

By B J. Monaghan, R J. Longbottom, D J. Pinson, S J. Chew

Recycling steel plant by-products is a critical issue for achieving both environmental and economic sustainability of integrated steel plants. A key steel plant by-product stream is dust from basic oxygen steelmaking (BOS), which can be recycled back to the BOS vessel as iron units and to aid slag formation. The major limitations for its recycling are zinc and the uncertainty in zinc speciation of the dust. This uncertainty affects the amount of dust recycled and how it interacts with the slag during processing. BOS dust in stockpiles can undergo self-sintering reactions that oxidise the iron-bearing components. As this occurs, zinc (or oxide) may combine with iron oxides to form a zinc-iron spinel solid solution phase. Knowing which zinc-bearing species are present in the BOS dust is a key aspect in understanding and developing an efficient recycling process for the dust. To overcome difficulties associated with phase identification in the BOS dust (both fresh and selfsintered), particularly the magnetite-zinc ferrite spinel solid solution using X-ray diffraction (XRD) / scanning electron microscopy (SEM) / energy dispersive spectroscopy (EDS), high end characterisation tools, transmission electron microscopy (TEM) and Mössbauer spectroscopy, were also used. Such an approach allowed improved phase identification of key zinc- and iron-bearing phases that were not previously resolvable. The zinc in fresh BOS dust was mostly present as extremely fine separate particles of zinc oxide, attached to the iron particles. These extremely fine particles were <10 nm in size. Additionally, a small amount of zinc ferrite was also identified within the sample (most likely contained within a magnetite-zinc ferrite spinel solid solution). However, the zinc in the self-sintered BOS dust, was found to be present entirely in a magnetite-zinc ferrite spinel solid solution. While this spinel phase had been previously identified by XRD, it was not clear that it contained zinc. The Mössbauer results provided definitive evidence of zinc within the spinel phase.

Jun 19, 2024

The long-term outlook Tor Australla&apos;s traditional mining products is for flat demand and continuing low prices. This has come about because of three far-reaching changes since earlier boom days: 1. Continuing declines in intensity of usage of basic mine products; 2. The failure of newer western and third world developing countries to realise growth expectations; and 3. Continued production pressure from third world countries (and first-world primary producers) in an effort to earn foreign exchange and rectify trade balances. These trends have led to a general situation of excess supply and weak demand. In this environment, the prerequisites for survival in the mining sector are first-class mines, modern and efficient production methods, low unit costs, aggressive marketing, and products with reasonable operating margins. Many of Australia&apos;s mines meet these prerequisites. Following the A$ depreciation and widespread unit cost reductions, most of these mines will be moderately profitable at current depressed commodity prices. They are well placed to benefit from price rises if these eventuate. A new generation of mines is concentrating on a more profitable product range (gold, diamonds, uranium, mineral sands). Australia&apos;s balance of trade remains firmly dependent on the primary mining and agricultural industries (Fig. 1). Despite optimistic talk of high-tech developments, tourism and a resurgence of manufacturing, these will remain a small component of Australia&apos;s export structure.

Jan 1, 1987

This paper describes a detailed geostatistical study of producing copper orebodies at Mount Isa Mines Limited in Queensland, Australia. As a result of this work, kriging has been adopted for grade estimation for final stope design at Isa Mine. Extensive variogram and back analysis studies indicate that one relative variogram model can be used to give optimal kriged grade estimates from production sampling throughout the 100 million tonne copper orebody complex. The kriging method replaces a computer technique used at [sa Mine based on inverse distance weighting using parameters chosen from experience.Comparative stope designs based on 10 million tonnes of ore indicate a 16% increase in minable ore tonnage at a grade well above the cut-off, as a result of the geostatistical work.Although this paper is written as a practical description with simple explanations of geostatistical concepts, the theory and use of relative variograms has been expanded. A possible link is suggested between relative variograms and first order kinetics of natural mineral concentration processes.

Jan 1, 1982

By A Gustafson, G Shekhar, P Boeg-Jensen

The amount of material extracted from each blasted ring in sublevel caving mines is vital when deciding the overall mine production target. The orientation of the production drifts is normally perpendicular to the strike of the orebody, and rings are blasted from the hanging wall side to the footwall side in a retreating manner. For an inclined orebody, a given ring will contain different amounts of material based on its relative position along the production drift. This layout creates a distinctive problem with respect to the extraction ratio optimisation along the axis of the production drift. This paper describes the current drawpoint control strategy practiced at LKAB and presents the variation of drawpoint performance parameters along the production drifts. It uses automatically generated data from a bucket weighing system that measures tonnage drawn per bucket, and it classifies the blasted rings into four zones based on their relative position along the production drift. It considers the loading procedure for blasted rings at Kiirunavaara mine and analyses the variations in drawpoint performance along the production drift. The paper finds that although the current draw control strategy is sensitive to ring position along the drift, it could be modified to optimise the final extraction ratio.CITATION:Shekhar, G, Gustafson, A, Boeg-Jensen, P and Schunnesson, H, 2016. Draw control optimisation along the production drift in sublevel caving mines, in Proceedings Seventh International Conference and Exhibition on Mass Mining (MassMin 2016), pp 241–250 (The Australasian Institute of Mining and Metallurgy: Melbourne).

May 9, 2016

By A Specht, A Müller, V Montenegro, S Winkler, E Klaffenbach, A Schmidt

In the process of primary copper smelting in flash smelting furnace (FSF), the ratio of iron to silica (Fe/SiO2 mass ratio) primarily determines the slag viscosity and magnetite formation. Viscous slag does not only cause difficulties in daily operation, such as in tapping, it also increases the copper losses to slag. Thus, keeping the Fe/SiO2 mass ratio at the desired level is an important aspect of FSF and slag cleaning furnace (SCF) operation. In this study, the improvement of the Fe/SiO2 mass ratio was conducted in two steps: First, the optimal Fe/SiO2 mass ratio was derived based on thermodynamic data. Based on this analysis, appropriate control limits were determined. Second, this range of favourable Fe/SiO2 mass ratios was implemented into operation by an advice-based control system, which suggests the addition of silica based on the analysis of SCF slag. As this approach was successful, the same advice-based control system principle was adapted for the coke addition to the SCF. After testing the new advice-based control for several months, the production data confirm the predictions by thermodynamics: since the prediction was implemented as an advisor, the copper and magnetite content in SCF slag is significantly reduced and viscous slag is reported less often by operations.

Aug 21, 2024

By D Cooke

In 2010, Kalgoorlie Consolidated Gold Mines (KCGM) was Australia’s largest gold producer, with total annual production of 788 000 ounces. Of the gold produced by KCGM in 2010, 95 per cent was extracted from the Fimiston open pit, also known as the Superpit. The Fimiston operation encompasses the historic Golden Mile, from which more than 55 million ounces of gold have been extracted from the world-class Fimiston lode style mineralisation.The operational performance of the KCGM Fimiston open pit was reviewed for the period between 2005 and 2010. Key performance metrics reviewed included mined tonnes and grade, cost per ounce of gold produced and the mine to mill reconciliation trends. The years 2007 and 2008 were characterised by a decline in performance against key performance metrics. The ore zones were diluted, with the excess tonnes mined resulting in lower grade and an increase in the cost per ounce. Poor reconciliation between ore mined, the ore reserve model and the grade control polygons was also observed.A series of improvement initiatives were implemented in late 2008. As a result of changes made to the grade control and mining practices, the site performance recovered. Unplanned dilution was reduced, which had a positive impact on mined grade. The lower tonnes combined with higher grade reduced the cost per ounce to below budgeted levels in 2009 and 2010, enhancing the profitability of the operation. The operational performance between 2005 and 2010 was compared to the turnover statistics for the KCGM geology department over the same period. Turnover accelerated between 2005 and 2007, peaking at an annualised rate of 43 per cent. With the onset of the Global Financial Crisis and the implementation of retention initiatives, turnover reduced significantly between 2008 and 2010. A strong consistent correlation was observed between the turnover trends in geology and the performance of the grade control function and resultant site metrics.The cost of turnover is known intuitively, however, rarely quantified. To evaluate the benefit of the improved performance, a detailed financial model was used to quantify the impact of the grade control function. In 2010, the headgrade exceeding budget by just four per cent contributed an additional A$24 M of value to KCGM. In contrast, if the 2008 performance had been replicated in 2010 (-9 per cent on headgrade), the result would have removed A$61 M in value from the business. The KCGM experience between 2005 and 2010 demonstrates the value of human capital in a mining operation and the importance of a high performing geology grade control team to the profitability of a mining operation.

Aug 22, 2011

By G M. Jones, J Rademan

Debswana, owned by the Government of the Republic of Botswana (GRB) and De Beers in a 50:50 joint venture partnership, operates the Jwaneng diamond mine in Botswana - the most valuable diamond mine in the world. The mine provides between 60 - 70 per cent of DebswanaÆs earnings, and about 30 - 40 per cent of the GRBÆs income. In 2008, the company embarked on the Cut 8 Project - an open pit waste cut-back to expose more diamond bearing ore to sustain mine life by another six to seven years. This undertaking was much larger than previous cut-backs; it increased the waste stripping ratio threefold, increasing significantly the waste handling fleet of trucks, shovels and infrastructure, and impacted a large part of the materials handling plant which required replacement with new facilities. The project coincided with the beginning of the Global Financial Crisis (GFC) and a slowdown in the economy. Its $4 billion total life cost was billed as æthe largest private investment project in BotswanaÆ which produced heightened expectations amongst stakeholders that it would redress some of the issues brought about by the GFC and leave behind a legacy of jobs, increased opportunities for citizen owned business and improved social infrastructure.Most of the big project challenges were non-technical and ranged from dealing with various stakeholders?at?all levels, a 25 per cent currency depreciation of the Botswana Pula against the South African Rand, obtaining work permits for non-citizens in a job starved environment, managing construction to world class safety standards, managing the low productivity of construction workers and producing a viable legacy program that satisfied the GRB and stakeholders. Whilst most of these risks were identified in front end studies, the magnitudes were in many instances underestimated. Managing this uncertainty on Cut 8 can provide valuable lessons to other projects in a similar environment, or at least provide the information to indicate that these factors should be adequately provided for in the financial evaluation of a project in the form of budget, schedule, contingency or risk mitigation.CITATION:Jones, G M and J Rademan, 2012. Reliability of expert judgements and uncertainty assessments, in Proceedings Project Evaluation 2012 , pp 109-116 (The Australasian Institute of Mining and Metallurgy: Melbourne).

May 24, 2012