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By M Bellamy

The DeGrussa copper deposit was discovered by Sandfire Resources in April 2009. Construction of the 1.6 Mt/a concentrator, open pit and underground mining operations commenced in March 2011 with first concentrate production achieved in October 2012. Over the next ten years, DeGrussa grew to include both the DeGrussa and Monty underground mines, establishing itself as one of the world’s premier copper producers with total production of 663 000 t of contained copper by the time the mine closed. Final ore was trucked from Degrussa on 5 October 2022. This paper examines the mine closure experience from both a planning and operational perspective. The paper provides an overview of the site’s mine planning process including the factors involved in determining the end of the mine life and how this was tracked and communicated in the lead up to the end of mining operations. It will also look at some of the specific operational aspects involved in maintaining steady state production all the way through to the last day while facing increasingly challenging conditions. These factors, along with the external factors faced by most of the industry such as labour shortages and COVID related disruptions, contributed to making it an interesting journey to the end of operations at DeGrussa.

Mar 29, 2023

By P Donecker

Like all chains, iron ore values chains are only as strong as their weakest link, which in ore processing is often the humble chute. While mechanically the simplest element in the iron ore flow sheet, chutes are often the most problematic and regularly the major cause of unscheduled downtime. Chute designs have remained static for decades, despite the extra demands being placed on them by grade reduction, which impacts chutes in three ways viz: 1. Higher volumetric rates as infeed increases to meet production targets. 2. Higher moisture content as mining goes below water table. 3. Stickier properties as the dilution phase is often clay based. While there is no shortage of ideas and the geometry options are infinite, the fact is that chute design has not kept pace with grade decline and has remained essentially unchanged. One reason cited for this lack of innovation is the difficulty evaluating and de-risking designs. While the power of computers running Discrete Element Method (DEM) models has advanced, the models themselves still need to be ‘calibrated’ with the dynamic properties of the ore. Flow properties commonly measured for bin design are useful for static situations only and were never intended to predict dynamic behaviour as in chutes, a critical qualification lost in the mists of time. So while they always produce a colourful and reassuring animation, DEM models informed by static ore properties often result in wildly inaccurate real world predictions. Responding to this low success rate, many operators are now utilising physical modelling to help reduce risk and avoid the consequences of having an underperforming chute in their value chain. Physical testing, in a dimensionless scale-down of the proposed system (bulk material and chute geometry), addresses the shortcoming of mathematical models designs and when used in combination with DEM is the best option. In the ideal world, the focus of chute modelling should be innovative design concepts aimed at addressing future needs, however in reality the focus is nearly always on modifications to installed chutes that are underperforming even today. This situation can be traced back to design procedures which if informed at all, are based static ore properties. As an industry, we need to break this cycle and become more proactive, which means addressing flaws in the current design process. In 30 years of providing modelling support to the industry, I have looking at hundreds of underperforming chutes in the iron ore industry. This practical experience has led to a unique and unbiased perspective on chute design and their performance in the real world. The knowledge presented in this paper can not only be used to help avoid baked-in problems now, but also help guide and evaluate designs so we can deal with the challenges of our low-grade future.

Sep 18, 2023

Production sharing and cost apportionment in joint ventures is commonplace in Australasia today and elsewhere. It is a recognised convention that, with the exception of a free carry situation, joint venture participants usually share the proceeds of the joint venture in direct proportion to their respective participating interest, after having first paid its respective cash calls, in advance, to cover the projectÆs ongoing operating and capital cost requirements.In surface mines, the parties simply pay their way and take their proceeds in this manner. In underground mines, the situation is no different, though treatment of capital, depreciation and tax may differ between the parties. A common feature in many cases is the creation of a joint venture entity to conduct the business. This entity then collects cash from the parties, banks it, employs the staff, runs the operation, provides reports and pays out the proceeds. This convention appears to be relatively simple in application. In practice, it has been known to be complicated in the situation where the participants take their product at the mine gate and undertake their own marketing and selling arrangements. A more complex situation presents itself where the joint venture tenement boundary with an unrelated third party straddles an economic deposit. In this scenario, both the joint venture parties and the third party may wish to mine the deposit, sharing some infrastructure and costs, yet taking their own product as it is produced. A case study outlining such a situation is presented in the paper, outlining firstly how the major cost categories were identified and treated for cost apportionment purposes. Secondly, a mechanism for the equitable apportionment of product is suggested. Finally, issues such as timing and cost reporting are dealt with, together with a checklist of points which should be considered when a similar situation might arise in the future.

Jan 1, 2002

By P Guj, J A. Bell

The valuation of early-stage exploration projects requires a valuer to take into account a large number of uncertain value drivers, the interplay among which may be non-linear. This paper examines some of the key value drivers including geology, target metrics, project area and maturity, the market and the psychology behind the decision-making process. The commonly accepted valuation methods and their underlying logic are outlined, including a view on why they evolved, what value drivers they attempt to address and their potential shortcomings. These methods include the multiple of exploration expenditure, geoscience rating, expected values and market based methods. The potential future valuation methods of replacement values and neural networks are also introduced along with how to minimise heuristic bias and error within the market-based approach.CITATION:Bell, J A and Guj, P, 2012. Exploration value drivers and methodologies, in Proceedings Project Evaluation 2012 , pp 17-28 (The Australasian Institute of Mining and Metallurgy: Melbourne).

May 24, 2012

By M Berry

Many mining companies routinely use benchmarking to review their operational activities and associated costs. The aim is to measure operational performance against industry norms, and identify areas where a company is performing better or worse than industry best practice. The goal is continuous improvement.In general, mine technical services, including mining geology activities, are not routinely benchmarked. There are exceptions, such as the cost of drilling per metre and the average discovery cost per unit of metal, but generally mining geology activities are only included indirectly in mining benchmarking studies.Aspects of benchmarking can play a critical role in assisting mining geologists to improve the efficiency and effectiveness of the services they provide. Industry norms for many generic mining geology functions have not been developed and measured, and therefore it is impossible to use external benchmarking to assess performance against other mines. But when used in parallel with quantifying the value of mining geology functions and establishing strategic goals for the team, key components of benchmarking methodology can provide essential feedback on how a team is performing against these strategic goals.CITATION:Berry, M, 2014. Benchmarking – does it have a role in improving the performance of mining geology?, in Proceedings Ninth International Mining Geology Conference 2014 , pp 361–366 (The Australasian Institute of Mining and Metallurgy: Melbourne).

Aug 18, 2014

By L Langer, R Simcock, M Davis

Rehabilitation of mining sites helps to achieve the purpose 5(2c) of The Resource Management Act 1991 û æavoiding, remedying, or mitigating any adverse effects of activities on the environmentÆ. The environmental outcomes for recent and current mining operations on the West Coast are variable. There are some exemplary mining operations which are restoring or even improving land use and environmental factors in the region, particularly those operated by the larger mining companies. There are also examples of an exploitative mentality where the environment and land have been severely degraded by mining activities. Technology has been developed to prevent a repetition of the historical destruction of the environment through mining. Failure to rehabilitate mined land is no longer acceptable to the New Zealand public in the 1990s and damages the credibility of the mining industry. Examples of successful mine site rehabilitation to pastoral farming and to production or plantation forestry are illustrated from the alluvial gold mining industry. Planning, sequencing of operations, the utilization of sailor plant growth materials, and aftercare are key factors in successful land rehabilitation to these productive uses. There is also a recent focus on restoring indigenous forests and wetlands at both coal and gold mining sites, particularly for mines on or adjacent to the conservation estate. The results of scientific research and efforts by the industry on techniques for rehabilitating rainforest and pakihi wetland after mining are presented, particularly from the Giles Creek Dunoille Coal Mine. There is a need for further research and trials to apply and extend rehabilitation techniques to other geological and environmental situations, particularly to mines in mountainous areas and to difficult environments like the coal measures ecosystems of the plateaux above Westport.

Jan 1, 1996

Continuous, steady-state laboratory flotation tests showed that the recovery of cha1copyrite from a naturally occurring ore, under conditions closely resembling those of plant practice, could be expressed in terms of a first order rate equation.Tests on full-scale plant flotation cells, using impulse tracers, indicated ideal mixing of the pulp in the cells.It was demonstrated that values of first order flotation rate constants can onlv be obtained from conventional methods of analysis in special cases.Analysis of a plant sampling campaign by the author supported a first order kinetic equation for two mineral species, and for the individual size fractions of one of these.The effect of stage-addition of reagents is interpreted in kinetic terms.

Jan 1, 1966

In the last 40 years, New Zealand has developed a number of liquid- dominated geothermal steam fields, for electricity generation and indus- trial process steam. New technologies were developed, and in this work, New Zealand led the world. The policy of full publication of the results, in a wide range of sciences, provided a reservoir of detailed data defin- ing the geology, size and shape, and the chemical and physical regime, of many geothermal fields and their constituent parts. The discovery of precious and base metal deposits /precipitates in geothermal drill cores and steamfield equipment, suggested a clear link- age with epithermal mineral fields in general, and with that of the Coromandel (Hauraki) Region in particular. Further work on geothermal/ epithermal relationships have implied that the techniques, developed to obtain an understanding of geothermal fields, could be applied also to epithermal mineral exploration. This work is developing fast, and is now proceeding in many coun- tries. Future work may show that the presumed relationship between geothermal and epithermal deposits may be applicable in the wider con- texts of all hydrothermal deposits, and possibly in many other minera- lised areas with volcanic "country rocks".

Jan 1, 1988

This paper addresses the unique environ- mental programmes which prevail at Ranger and their importance in the future profitability, of Ranger Uranium Mines Pty Ltd. (RUM) Industrial relations, general safety, and occupational health have long been regarded as part and parcel of the concept to 'manage for profits'. More recently, the need for environmental protection has also become an important management consideration. This is particularly so at the Ranger Uranium Mine where environmental protection is very closely and continuously regulated. Since the commencement of operations at Ranger some three years ago the company has operated within these regulations and demonstrated clearly that yellowcake can be produced efficiently, economically and safely. The company also recognises that in order to ensure continuity of production, it will have to continue to operate within these strictly supervised Regulations.

Jan 1, 1984

By B Dodd

This paper details how the Australian Securities and Investments Commission (ASIC), as a disclosure and conduct regulator, approaches regulation of continuous disclosure, capital raising and control transactions in the mining and resources sector, and the reasons for the approach. In examining this topic the paper considers the Joint Ore Reserves Committee (JORC) Code (JORC, 2004), the VALMIN Code (VALMIN Committee, 2005), the relevant ASX Listing Rules and the relevant provisions of the Corporations Act 2001 (Corporations Act). This paper discusses ASICÆs approach to expert reports and disclosure with reference to Regulatory Guides 111 Content of expert reports and 170 Prospective financial information.CITATION:Dodd, B, 2012. Issues in capital raisings and disclosure, in Proceedings International Mine Management 2012, pp 3-14 (The Australasian Institute of Mining and Metallurgy: Melbourne).

Nov 20, 2012

By B Lance, D O’Brien

The Hidden Secret ore body is located within the Mt Charlotte underground mining system in Kalgoorlie, Western Australia. Mineralisation of the Hidden Secret ore body is lode style and therefore differs from the typical economical mineralisation mined at Mt Charlotte and consequently demanded a novel approach to the mining methodology. The ore body is lens like in shape, extending 200m along strike, 210m vertically, and dipping at 55 degrees. The lode width varies from 1.5m at the extremities to over 22m in the central zone of the ore body. Average grade is 3.4 Au grams per tonne. The initial mining methodology was Modified Avoca utilising Longhole Open Stoping with pillars, in a bottom up stoping sequence. However, as Hidden Secret became better defined and wider than initially modelled, it was identified that a high portion of gold would remain in the pillars and other mining concerns emerged such as remote backfilling large open voids and potentially unsafe vertical standoff distances between levels and wide open stopes. A re-evaluation of this method was undertaken and a new approach adapting a variation of Avoca methodology was identified to remove the rib pillars and replace them with a sill pillar separating the 4 levels into 2 distinct blocks. This new approach provided an immediate advantage by removing the bogger backfilling activity from the same level of the active stope front, enabling stope drilling and prepping to occur during the backfilling cycle. Bogging productivity has also improved as the fired ore is funnelled to the draw point by the backfill rill, significantly reducing the requirement for remote bogging thus improving bogging productivity. This mining method is currently in progress in the first of the two mining blocks and is on track to realise the targeted recovery of 7,700 ounces from the rib pillars.

Mar 15, 2021

By A Manzoori, M T. Shadloo

This paper describes a CFD modelling study which was carried out to investigate possible improvements in the design of an alumina precipitator tank at the Jajarm plant of Iran Alumina Company. In particular, the tank has an impeller located very close to the tank bottom, such that it quickly becomes covered with settled solids after a shut-down of the agitator, making it difficult to restart. A CFD model was firstly set up in which the existing design was evaluated in terms of flow pattern, off-bottom suspension and distribution of solids, and power consumption. Further simulations were then carried out to test alternative designs, leading to a recommended design, which maintains good mixing, with the same power consumption and without the use of a low-clearance impeller.

Jan 1, 2006

By D Q. Zhu

In this paper, the pretreatment of concentrates by roller press was present to improve the granulation of blends comprising some 30 per cent iron ore concentrates and enhance the sintering performance. It is shown that by pretreatment of fine concentrates through roller press, the content of +3 mm fractions of granulation mixture and sinter mixture permeability are elevated by ten per cent and 35 per cent. In the meantime, a sinter productivity increase from 1.51 - 1.62 t.m-2.h-1 is attainted in pot tests with similar sinter tumble index and at lower coke rate. The mechanism of the pretreatment of concentrates process to improve sintering performance of fine iron ore concentrates was demonstrated by mineralogy that better permeability help form more calcium ferrite and good microstructure of sinter, further proven by the better metallurgical performance of sinter.

Jul 11, 2011

To carry out its responsibilities the SECV needs to manage the visual environment effectively. Every land oriented decision effects what we see and the value in pursuing visual excellence is supported by informed opinion, widespread community interest and evidence of cost- effectiveness.By knowing how we perceive the landscape and then changing or conserving it we can assist in fostering a positive mental image of a countyside which is welcomed by the local and regional community.It is useful to examine key design elements and the value we place on visual impressions in relation to three significant SECV rehabilitation projects, at Loy Yang, Newport and Morwell Open Cut.

Jan 1, 1992

By A J. Ryan

The Ernest Henry copper-gold Mineral Resource is the major asset heldby Ernest Henry Mining Pty Ltd, comprising A$6.4 billion of containedmetal. The case history presented below describing the evolution andevaluation of this resource generally observes best industry practice and is a good example of effective due diligence in the resource delineation and estimation process. Early reconciliation data from mine production confirms the accuracy and validity of the resource estimate, providing valuable assurance to the mine owners.

Jan 1, 1998

By P B. Hills

Increasingly over the past couple of decades, the importance of understanding the in situ stress regime in underground hard rock mines has become accepted by all. Providers have responded to this requirement and various techniques for undertaking the measurements have been honed while others have slipped from use. It is a simple, though not inexpensive task to engage a provider to undertake the require measurements, and a comprehensive report will ensue. So, what has actually been obtained? What should the geotechnical engineer do next? What tools are necessary to do so? Regardless of the method of measurement, the report will describe the location of the measurement site and describe the basis of the methodology used in undertaking the measurements and a log of the measurement program. Finally, it will include the results, which should incorporate the normal and shear stress components of the full stress tensor. Ground control management plans (GCMP’s) and stress summary reports and spreadsheets prepared by site geotechnical engineers always include the magnitude, trend and plunge of the principal stresses. Remarkably few site-based summaries include the full stress tensor. This is a significant gap as the full stress tensor is vital for any further data manipulation. However, without the algebraic tools to undertake those manipulations, their value is diminished. This paper seeks to provide a checklist of ideas to be considered. It provides commentary on the options available to dissect the stress measurement report and ensure that the maximum possible value is derived from it. The manipulation and presentation of component stress data is also discussed. The various methods of stress measurement are not the focus of the paper but some of the strengths and weaknesses of them over which the site geotechnical engineer has some control, are highlighted.

Nov 29, 2022

By A Woodley, N C. Kunz

A mine site water balance is important for communicating information to interested stakeholders, for reporting on water performance and for anticipating and mitigating water-related risks through water use/demand forecasting. Gaining accuracy over the water balance is therefore crucial for sites to achieve best practice water management and to maintain their social license to operate. For sites that are located in high rainfall environments the water received to storage dams through run-off can represent a large proportion of the overall inputs to site; inaccuracies in these flows can therefore lead to inaccuracies in the overall site water balance.Hydrological models that estimate run-off flows are often incorporated into simulation models used for water use/demand forecasting. The Australian Water Balance Model (AWBM) is one example that has been widely applied in the Australian context. However, the calibration of AWBM in a mining context can be challenging. Through a detailed case study, we outline an approach that was used to calibrate and validate AWBM at a mine site. Commencing with a data set of monitored dam levels, a mass balance approach was used to generate an observed run-off sequence. By incorporating a portion of this observed data set into the calibration routine, we achieved a closer fit between the observed versus simulated data set compared with the base case. We conclude by highlighting opportunities for future research to improve the calibration fit through improving the quality of the input data set. This will ultimately lead to better models for run-off prediction and thereby improve the accuracy of mine site water balances.CITATION:Kunz, N C and Woodley, A, 2013. Improving the accuracy of mine site water balances through improved estimation of run-off volumes, in Proceedings Water in Mining 2013 , pp 267-272 (The Australasian Institute of Mining and Metallurgy: Melbourne).

Nov 26, 2013

By S Thomson, M Lovitt, T Purvis, C te Kloot, T Nguyen, Z Liu

Ernest Henry Mine (EHM), located in north-western Queensland, is an underground copper/gold sublevel caving operation currently producing over 6 Mt/a of ore. The mass mining method of sublevel caving (SLC) used at EHM involves systematically blasting a series of uphole rings in parallel ore drives and drawing the broken ore using a top-down approach. Each ore drive contains multiple precharged rings to prevent having to charge in close proximity to the brow of the previously fired ring; however, the current initiation system still involves ‘hooking up’ all detonator lead cords of the first precharged ring. The unstable nature of a rill and working close to a brow presents hazards to personnel completing the hook-up process. There is also a business risk of ore loss when damaged ground support completely prevents access to the next precharged ring. If the hook-up step could be eliminated, the risk to personnel and the business would be significantly reduced.EHM engaged Orica Mining Services in 2016 to trial their WebGenTM 100 – wireless electronic blasting system (WEBSTM) for the first time in an underground mining environment. Having successfully signal-tested the equipment, two test holes were initiated, followed by a single production ring and then multiple production rings. In total, 30 production rings were successfully fired underground at EHM in 2017. To do this, WEBSTM was successfully integrated into EHM’s current charging and firing process, resulting in no business delays or loss to production. None of the 30 rings required hooking up and all were initiated from the surface with no personnel underground. A high level of ownership from all personnel involved ensured the trial was a success, and provided scope for wireless detonators to be used successfully on a large scale – both at EHM and other sublevel caving operations. WEBSTM is now a proven example of technology that can be used to improve safety in the mining industry, through eliminating the need for personnel to work in hazardous areas.CITATION:te Kloot, C, Liu, Z, Purvis, T, Thomson, S, Lovitt, M and Nguyen, T, 2017. Improving safety through technology – Orica wireless electronic blasting system trials at Ernest Henry Mine, in Proceedings 13th AusIMM Underground Operators’ Conference 2017, pp 39–50 (The Australasian Institute of Mining and Metallurgy: Melbourne).

Oct 16, 2017

By T Purvis, Z Liu

Ernest Henry mine (EHM) is an underground sublevel caving mine located in north-west Queensland with a production rate of 6.4 Mt/a. The mine has sublevels spaced with a 25 m vertical interval. The production process on each level starts with the drilling and firing of a blind uphole rise to start the slot extraction. These rises are fired as a single shot and routinely need to achieve a design height of 22 m to 30 m depending on the local mine geometry. If the rise fails to perform as designed then the production phase of the level is delayed with significant rework required to remedy the situation.This paper describes the process that the EHM team has followed to improve the first time performance of each rise. The improvement process commenced with a review of results from previous rises and resulted in the identification of a number of improvement opportunities. A revised holistic approach was established for the process, which included involvement from operators and engineers. Through continued measurement and review of rise performance, inputs to the process were improved to a point where reliable results can now be expected. The successful performance of subsequent rises has been verified through a comprehensive quality assurance quality control (QA/QC) program. Before quality control processes were implemented, the success rate of blind uphole rises was only 11 per cent (one out of nine rises) at EHM. In comparison, the success rates have been vastly improved to 25 per cent (one out of four) and 75 per cent (three out of four) respectively following two stages of improvements. This paper concludes with the ‘current’ series of best practices used at EHM and recommendations.CITATION:Purvis, T and Liu, Z, 2017. Improving the performance of blind uphole rises at Ernest Henry Mine – a case study, in Proceedings 13th AusIMM Underground Operators’ Conference 2017, pp 335–340 (The Australasian Institute of Mining and Metallurgy: Melbourne).

Oct 16, 2017

By T A. Carter

In 2010 Agnew Gold Mine (AGM) struggled to produce the required tonnages from its stopes. The longhole rises used to create void in stopes were unreliable and often failed to gain the designed rise height. The number of firings per stope was having an adverse impact on the ground conditions at the stope brows, impeding stope productivity.Through practical experimentation with longhole drill rigs, box hole rigs and development drill rigs as well as trialling new methods in conjunction with reviewing drill hole data, drill hole accuracy was observed to be an issue on-site. Innovative dragging methods such as the reverse drag, combined with a slope instead of a vertical face on the rear of stopes, have improved dragging and a reduction of firings per stope, enabling larger production blasts.The methods trialled and subsequently implemented at AGM have facilitated the mine achieving budgeted targets for six consecutive quarters. This paper documents the use of these methods in a key lode of AGM’s operations to improve drill and blast practices in order to achieve production targets.CITATION:Carter, T A, 2014. Improving production drilling and blasting in the Kim South orebody at Agnew Gold Mine, in Proceedings 12th AusIMM Underground Operators’ Conference 2014 , pp 251–258 (The Australasian Institute of Mining and Metallurgy: Melbourne).

Mar 24, 2014