Search Documents

By S H. Burgmans, B Anderson

This paper aims to define the specific challenges relating to dredging fine tailings from an above ground storage facility for transferral to a mined-out pit. In addition, it compares dredging and mining perspectives on dredging of fine tailings.

Jul 1, 2021

By M Passmore, N Poznik

Olympic Dam is a world-class deposit and is unquestionably one of the most geologically, structurally and texturally complex orebodies in the world. As development advances into the Southern Mine Area (SMA) the geological understanding is rapidly evolving as underground drill rigs are prioritised to provide the additional data necessary to convert Indicated and Inferred Resources into Measured Resources. The SMA represents approximately 70 per cent of Olympic Dam’s total resource and is significantly more complex when compared to the Northern Mine Area with respect to the diverse nature and origin of lithotypes, rock mass characteristics and the extent of major structures controlling primary mineralisation trends.Recent mine development into the central SMA has been impacted by a major structural gouge zone. Sound geological interpretation allowed mine geologists to successfully integrate their local understanding of the distribution of lithotypes with critical geotechnical data, chiefly rock quality designation (RQD), to delineate and better predict this major structural gouge zone. As a direct result, development rates improved whilst also increasing awareness for the importance of sound geological interpretation utilising all available data. In order to maximise predictability across all systems in place through the mining geology value chain, the integration of geological and geotechnical data in a geotechnical RQD block model provides an additional tool to assist in preventative solutions for complex problems to achieve a proactive mining environment.This paper details the methods used to build the RQD block model, the geostatistical estimation parameters, 3D geotechnical domain wireframes, challenges regarding legacy approaches, and collection of geotechnical information and incorporating/linking geotechnical data with geological features, including the use of grade and lithotype domains. Although the geotechnical block model proved difficult and complex to construct, the resultant product has seen successful integration of geological and geotechnical data into mine planning providing higher resolution of critical parameters for local mining areas.CITATION:Clark, J M, Passmore, M and Poznik, N, 2017. Olympic Dam rock quality designation model – an integrated approach, in Proceedings Tenth International Mining Geology Conference 2017, pp 27–36 (The Australasian Institute of Mining and Metallurgy: Melbourne).

Sep 20, 2017

By Q Zhou, J Pan, D Q. Zhu, C C. Yang

Oxidised pellets have become an indispensable high-quality charge for blast furnaces (BF) due to their uniform particle size, high iron grade, high mechanical strength, good metallurgical performance, as well as relatively low energy consumption and gaseous pollutant emissions in pellet production. Nevertheless, due to the rapid development of the global steel industry, highquality pellet feeds are becoming more and more scarce. In order to broaden the source of pellet feeds and reduce the production cost of pellets, more and more steel mills are going to use coarse iron ore fines with relatively low iron grade and low impurities for preparation of desirable pellet feeds through a typical wet grinding-settling-filtering process. In this work, the grinding, settling and filtering behaviour of Brazilian and Australian iron ore fines are studied and compared, aiming at finding out the internal relationship between the mineralogical characteristics of different iron ore types and their grinding-settling-filtering performance. The results show that the grindability is heavily dependent on the hardness of iron ores, which is governed by the mineralogical characteristics of the raw materials. Usually the higher the hardness, the more grinding energy is required. Except for Brazilian specularite, Australian hematite-goethite type iron ore fines and Brazilian hematite ore fines exhibit good grindability with a Bond Work Index of about 10–15 kW•h/t. In addition, the settling and filtering performance of ground iron ores are largely affected by the density, mineralogical characteristics of iron ore fines (eg, quantity of clay minerals and goethite and porosity of ore particles), grinding fineness, etc. Generally, iron ore fines with higher density, lower quantity of soft minerals (clay and goethite) and larger particle size give superior settling and filtering performance. For iron ore fines with inferior grinding, settling and filtering performance, applying more energy-efficient grinding techniques, blending with ore types with good settling and filtering performance can reduce grinding energy consumption and improve settling and filtration rates to maximise the productivity of equipment and lower the operational cost

Sep 18, 2023

By G Balog, T Ormerod, D Cox

This paper discusses the methods utilised by the technical team to identify and quantify the SLC risk factors, the modifications to mine design and scheduling, and the changes to the planned risk management practices. The paper also describes the future work currently planned by the OZ Minerals technical team to quantify the various risk factors in terms of space, time and magnitude. This may better inform the future mining practices within not only the Carrapateena province but also the wider Gawler Craton.

Mar 15, 2021

By D Horacek, I K. Sheppard

Ok Tedi is in a period of transition. By 2008 mill feed will consist of higher levels of high-grade but metallurgically challenging skarn ores. Additionally, the Taranaki pit will start production in 2008 along with the start-up of a new pyrite concentrator. Taranaki ores are very high in sulfur. Sulfur is captured in a pyrite concentrate prior to tailing entering the Ok Tedi River. These and other complex scheduling issues will need to be resolved over a critical three-year period. With these requirements in mind, Ok Tedi contracted AMC Consultants to develop a custom version of the Life of Business Optimisation System (LOBOS¬) to assist medium-term production scheduling at Ok Tedi. LOBOS utilities enable Ok Tedi planning engineers to:import polygon-based reserve data (Blast Masters) from MineSightÆs Interactive Planning Tools (IP Tools); graphically construct block sequencing and material flow constraints; edit constraints defining standard scheduling, processing and financial relationships; define dump and stockpile attributes; and assign capacities to production systems, plants, dumps and stockpiles. LOBOS converts Ok TediÆs production scenario into a mixed integer program (MIP) and submits the resulting model to IlogÆs Cplex MIP Solver. The Solver seeks an optimal production schedule that maximises net revenue per mill hour while meeting all constraints. This paper introduces Ok Tedi and its production requirements and relates these requirements to the facilities developed for an Ok Tedi version of LOBOS.

Jan 1, 2007

By J Li, J Regan, D Payne

The Caval Ridge Mine is an open cut coalmine and located within the Bowen Basin region in Central Queensland, and commenced mining and processing operations in 2014. A number of geotechnical challenges for managing dragline bench and lowwall stabilities have been encountered in both southern and northern pits over the years. Southern Pits contain steep seam dips of up to 15° (27 per cent) whilst the northern pits also have shears below pit floors. Geotechnical guidelines to manage the risk of dragline bench failure and lowwall instability have been developed and improved since these geotechnical challenges were identified. The dragline guidelines include dragline tub offset distances from the 60° Line (SDL) or buttressing thickness for different seam dips greater than or equal to 8°. The low wall stabilisation guideline established floor disruption widths and depths depending on seam dips and presence of floor shears to known depths of up to 3 m. As mining operations advance, lowwalls have remained stable until floor disruptions were fired, then returned to stable soon after the shot. The maximum distance of lowwall cracking with blasting has been as far back as the second spoil peak (the prestrip truck dumps construction limit). These failures need to be eliminated to allow the operational flexibility and haulage benefit of constructing the prestrip truck dumps behind the first spoil peak, while maintaining no risk to personnel or equipment. The floor shear depth was verified by collaborating with the exploration teams and taking advantage of the already planned 8-inch coal quality core holes, drilling them an extra 5–10 m past the coal seam floor and locating the shear presence. With this continuous improvement effort, no lowwall failures have occurred during floor disruption firing from the second strip after the new floor disruption depth guidance have been applied. This paper documents the processes for developing these geotechnical guidelines, operational implementation, and outcomes. Operational applications over the years confirmed that these guidelines have effectively managed the dragline bench and lowwall failure risks related with the steep seam dips and floor shears in this open cut coalmine.

Nov 29, 2022

By C Zhang, I Canbulat, G Fan, D Zhang, C Wang

A clear understanding of the intensity of coal and rock burst is the basis for future research on burst mechanism and control. There has been a wide variety in the description of coal and rock burst damage at different countries using multi-methods, which makes the common understanding even more challenging. Therefore, this paper presents a broad review on the quantifications of intensity of coal and rock burst and seismic risk around the world, considering critical factors including seismic energy, magnitude, peak particle velocity and ejection velocity. It is found that the seismic energy of coal and rock burst can widely range from 0.002 MJ to 60000 MJ, with equivalent Richter magnitude from -1 to 4. The daily seismic energies can be used for seismic risk potential assessment, with energy levels from 0.1 KJ to 10 MJ, which is much lower than the burst sources. The magnitude of the seismic events can be also estimated based on the weight of damaged coal mass and human senses of vibration and sound. For the seismic intensity represented by peak particle velocity (ppv), it keeps constant within fault radius and attenuates with a speed of 1/r4 and 1/r in near and far field respectively, thus it is possible for a small seismic event to induce considerable ppv causing severe damage if the epicentral distance is small enough. There has not been a strong correlation between the ejection velocity and ppv, as seismic energy is only one of the energy sources that contribute to the kinetic energy of burst damage. CITATION:Wang, C, Zhang, C, Canbulat, I, Zhang, D and Fan, G, 2018. Intensity quantification of coal and rock burst risk – a review, in Proceedings The Fourth Australasian Ground Control in Mining Conference (AusRock), pp 223–233 (The Australasian Institute of Mining and Metallurgy: Melbourne).

Nov 30, 2018

By D Reid

Run-out analyses of tailings storage facilities are typically undertaken using methods based on rheological theory. These are reasonable techniques to model the behaviour of tailings that, through significant run-out and possibly mixing with supernatant water, are generally acting in a fluidised manner. Such modelling often follows on from two-dimensional continuum analysis models where, if failure is predicted, grid failure often occurs when deformations begin to increase. This results in a disconnect between the prediction of failure and the modelling of the potential extent of the failure.Recently, rezoning methods have been incorporated into commercially available two-dimensional soil mechanics deformation codes. Rezoning techniques enable large deformations to be modelled within a two-dimensional continuum analysis framework; however, while promising, the use of such tools is not yet widespread, and a consensus is yet to develop on how they should be applied to tailings dam run-out modelling.This paper uses FLAC rezoning techniques to model the flow behaviour of two historic tailings dam failures. The purpose of these analyses is to critically assess the performance of rezoning against some available historic failures. The required data to undertake such an analysis is outlined, along with the inherent limitations and assumptions required. Parametric analyses are outlined to address some of these issues. In general, the analyses undertaken underestimated the flow distance observed in the historic failures by varying degrees; however, in some instances, the analysis reasonably reproduced the qualitative shape of the initial failure zone. A variety of potential reasons for the discrepancy between historical observations and the models undertaken are provided.CITATION:Reid, D, 2015. The use of rezoning techniques to model historic tailings failures, in Proceedings Tailings and Mine Waste Management for the 21st Century , pp 201–206 (The Australasian Institute of Mining and Metallurgy: Melbourne).

Jul 27, 2015

Alfred Nobel first invented a practical detonator in 1863 and then the blasting cap in 1865. At that time the detonator was used on the end of a length of safety fuse to initiate nitroglycerine-based explosives. Since then the detonator has gone through a number of changes. The instantaneous electric detonator was the first to allow remote firing. The electric delay detonator followed and allowed for timing between holes. In the mid 1970s the NONEL« Tube was invented. This tube combined with NONEL« detonators meant that many of the safety issues, such as stray current and radio frequency, associated with electric delay detonators were eliminated. This system gave the mining industry a reliable and fairly accurate system with which to detonate shots of any size. Since the early 1980s a large amount of research and development work has been done around the world to create a more accurate detonator for the mining and quarrying industry. After years of research, electronic detonators have emerged as the most accurate and precise initiation system available to the mining and quarry industry today. Electronics provide the user with millisecond timing accuracy. The improved level of timing control allows operations to improve fragmentation, throw and reduce vibration levels. There are now a number of different electronic detonator suppliers on the market today. In 2004 Dyno Nobel formed a joint venture called DetNet with AECI. DetNet has a suite of electronic detonators: DigiDet«, HotShot« and QuickShot«. This paper will focus on the HotShot« system, the first of the three new initiation systems to be released to the market in Australia by Dyno Nobel.

Jan 1, 2005

By J Manuel, A Trudu

Regulations on the emission of particulates from sinter plant stacks are becoming increasingly stringent and reducing these emissions by improving gas cleaning systems is a significant cost to the sinter plants. This paper describes an investigation into the emission of particulate matter from an iron ore sinter bed during the sintering of a Japanese Steel Mill (JSM) style ore blend in a 300 mm diameter pot grate test facility. Several techniques were trialled to determine a reliable method to sample the quantity of dust emitted and determine the mechanism of dust emission from the sinter bed. The nature of the dust was also examined using chemical and size analysis as well as optical and scanning electron microscopy. The paper discusses the techniques used to carry out the program as well as results on dust loading measured during sintering and the nature of the dust captured.

Jan 1, 2002

By J Nixon

I have to say that my story is not too much different to many others who grew up and worked in the great mining fields like Broken Hill, Mt Isa, Rosebery, Kalgoorlie or Kambalda and any one of them could have stood up here and spun you a good yarn.What does my paper offer you in this volume? By sharing my experiences I want to encourage you to consider your own experience with leadership, taking on change, learning from and contributing to the development of others.I have been very fortunate to be part of many new innovations into underground mining over the past 40 or so years; most of it with Conzinc Rio Tinto Australia (CRA)/Rio Tinto operations.•From hand-held drills and a homemade single boom Jumbo mounted on an old Airtrak, to the sophisticated twin boom jumbos with high speed drifters all controlled by an on-board computer;•from a Scraper winch and a Wagner 2D loader to fully automated electric LHDs that navigate to the tipple, empty the bucket and return to where they come from;•from hand-held cut-and-fill and timber stoping in Broken Hill to the bulk mining methods of a block cave where at Northparkes we mined more ore in a month than we mined in the total five years of operations at Currawang;•from hand-held scaling and bolting with no skin protection to installing ground support with Jumbos and sophisticated Cable Bolters and the introduction of in cycle shotcrete;•from hand-held ladder rising and shaft sinking to Box Hole rigs, Raise Bore Machines and Blind Hole shaft sinking; and•from Gelignite based AN60 stick explosives, ANFO, fuse firing and half second detonators to Powergel, Emulsions and electronic computer programmed detonators that can somehow be initiated by ‘Blast Ped’ travelling through the rock.

Mar 21, 2011

It was Harold McMillan, Prime Minister of England 30 years ago, who used the phrase "The Wind of Change" to describe political events in Africa in his day. So well did this phrase capture the spirit of the time that it echoed around the world, and the echo has never stopped. Change is the constant factor in the society in which we live and everyone of us has had experience of the effect which it has had on our professional and personal lives.Change will not stop, it will continue at an increasing rate and the questions we must answer are how do we prepare ourselves to meet the challenge of future change and how do we take advantage of the opportunities which it will bring?It is these questions which I wish to discuss in this address.There is nothing new about change in the mineral industry, it has been happening for thousands of years and it will continue as long as civilisation exists on earth. One type of change is economic and we are all aware of the rises and falls which occur in the prices of metals and minerals (Figure 1). When these have happened in an orderly manner, and could be predicted and planned for, it has been possible to take advantage of the benefits and minimise ill-effects, but when they were sudden and precipitate, and could not be predicted, the consequences were serious. The extreme example, of course, was the oil price shock of the 1970s which had such disastrous effects on industry and society.Other types of change are social, cultural and political. They have all been important in recent years and will continue to be so in the future.But it is technological change which may well be the most important because its effects are profound and irreversible, and alter irrevocably the way in which we live. So in discussing the mineral industry in a changing world I will talk specifically about technological change.

Jan 1, 1989

By A Späth

Active explosion barriers are used to contain and suppress a methane gas and/or coal dust explosion propagation, including localised mine fires. Early research indicated that these active explosion barriers could be used on a mechanised cutting machine, making it the only technology that could suppress an explosion during its propagation phase at the cutting face. Thereby not only adding protection during mining operations but also reducing the development of toxic gases, fatal temperature increase and fatal overpressure build-up. During their evolution over the last two decades, further advantages of Active explosion barriers were proven in mine operations in countries such as South Africa and China. Characteristics such as effectivity, efficiency, mobility and space restrictions allow these systems to be used in various locations within a mine operation, including highwall operations. This improved technology contribution to safer coal mining was recognised by mine operators, workers and regulators. The Queensland’s Recognised Standard 21 (Resources Safety and Health Queensland (RSHQ), 2021) stipulated active explosion barriers as a technology to ensure the safety within their underground coalmines. The mobility and flexible implementation of the active explosion barriers allow a feasible and practical solution for all critical locations for explosion and fire management in an underground coalmine. The conformance to the Recognised Standard can be achieved all underground coal mining operations such as Bord and Pillar, and Longwall mining. This paper describes the conformance, implementation and use of Active explosion barriers for Longwall mining and development as well as Bord and Pillar mining in Queensland’s underground coalmines.

Oct 12, 2022

By R Durchholz, A-J Heiertz, R Schmitz

Mining of lignite is the largest bulk materials handling activity in Europe. In order to mine this lignite, with an average calorific value of only a third of bituminous coal in an economical way, highly efficient opencast mining technology is mandatory. The total continuous mining of overburden and lignite was introduced more than 60 years ago and was subsequently developed stepwise into the largest mass transport system of the world. In 2011, the Inden Mine, one of three RWE Power mines, stripped 90 Mbcm of overburden to produce 22 Mt of lignite. In total, nearly 100 Mt of Lignite was produced from the three mines of RWE Power in Germany. Beside bucket wheel excavators (BWE), several high-performance in-pit crushing and conveying (IPCC) systems, which allow the adoption of continuous mining systems, even for typical shovel and truck (S&T) operations, are available today. RWE Power assists operators considering a change from the S&T to IPCC technology, both in the planning process involving large-scale belt conveyor systems and later with operational know how transfer. In a number of cases, the challenges associated with this system change have been addressed and solved successfully. One key challenge is managing the development of skills for operating the belt conveyor systems efficiently. This paper compares the effectiveness of S&T to different configurations of continuous mining operation for an up to 170 m deep mine with a total annual output of 117 Mbcm. From the mine operatorÆs point-of-view, the quantity and skill level of staffing required for operation and maintenance are discussed in detail. The main conclusion of this paper is the larger the operation becomes and the longer the mine life is, the earlier fully continuous mining systems should be planned and implemented.CITATION:Schmitz, R, Durchholz, R and Heiertz, A-J, 2012. Change challenges for large open pit mines, in Proceedings Eighth Open Pit OperatorsÆ Conference , pp 103-110 (The Australasian Institute of Mining and Metallurgy: Melbourne).

Sep 18, 2012

THIS paper deals with the handling of the various materials used in the 100-ton zinc plant at Risdon, and, in view of the magnitude of the works, the configuration of the ground covered by these works, the variety of the rnaterials used, and the large quantities, a very attractive and interesting subject is opened.The works are situated on the right bank of the River Derwent, about four miles above Hobart, the capital city of Tasmania. The Risdon works cover a space of 149 acres, the area being :3800 yards long by 2800 yards wide, and the elevations vary from 6 ft. above high-water mark at the wharf and foreshore to 163 ft. above high-water mark at the power station, these being the limiting points as regards elevation which are considered in this paper. Throughout the paper elevations are given in feet above high-water mark. Fig. 1 shows a general view of the works taken from the opposite bank of the River Derwent. The wharf is clearly shown, with SS Kekerangu loading residue; behind the wharf is seen the inclined conveyor leading to the cakine bin; further up the hill is the leaching division. No. 1 haulage runs to the left of this up to a point on the left of the power station, the large reinforced concrete building at the top of the hill. Below this is the cell room, the largest building on the plant. The roasting division, not very clearly seen, lies at the foot of the main stack, and the casting division lies to the left of this, between the leaching division and the cell room. A large wharf has been construl'ted alongside the works. This wharf is 880 ft. long and 60 ft. wide. It is capable of berthing large overseas steamers, as at low tide there is a depth of :30 ft. of water. The rise and fall of the tide at the wharf is 4 ft. 6in., and the river is navigable at all states of the tide. Just above the company's wharf...

Jan 1, 1923

By A Hanna

Quarries around Auckland have reached or are reaching the ends of their lives, which raises issues about rehabilitation. Significant volumes of 'cleanfill' are generated by the City, particularly during phases of urban renewal and development. Emplacement of the fill in quarries removes the problem of fill disposal and provides an opportunity for restoration of the quarry site.There is a compatibility between quarrying and cleanfilling because at quarries:Truck routes are already established Neighbours are accustomed to the effects and appropriate buffer distances have been established Bringing fill into a site attracts aggregate sales and is very efficient. Fill originates from construction sites and ad-hoc excavations and therefore it is not surprising that sampling has shown the quality to be variable. Both Winstone and the Auckland Regional Council have surveyed undisturbed soils in the region to attempt to determine natural background levels of common contaminant substances. Comparison of these levels with delivered fill shows that a high proportion of delivered materials can be regarded as mildly contaminated. Therefore the term 'cleanfill' is, in the Auckland region at least, a misnomer and the term 'managed fill' has been adopted.Historically and presently the only control on quality of 'cleanfill' has been some visual inspection. This leaves the fill operator open to potential liability for creating a contaminated site. Implementation of controls at WinstoneÆs operations has progressed slowly, over some ten years. This is mainly due to the perception that mobility of contaminants within and out of the landfill will be very limited because of the near-neutral pH and abundance of clay minerals in the fill. The methods of control and results of environmental risk assessments at WinstoneÆs Puketutu Island Quarry will be briefly described.

Jan 1, 2002

By M Taylor

The Project Specification and Technical Requirements documents associated with several recent large road tunnel projects within Australia have specified the application of AS/IEC 61508 – FunctionalSafety of Electrical/Electronic/Programmable Electronic Safety Related Systems at very high performance levels for the various control and fire life safety systems associated with such facilities.This paper seeks to explore the implications of referencing this standard within the road tunnel services context in terms of practicality, complexity and cost, whilst providing some examples of how a high safety integrity level (SIL) level can theoretically be achieved given current hardware availability.

Mar 8, 2011

By T Walsh, S R. Mudnuru

The development of lithium-ion batteries, coupled with the global trend towards electrification of transportation, has led to a dramatic increase in the demand for lithium. The production of lithium from hard rock ores is increasing, and flotation has proved to be an effective means for the beneficiation of many pegmatitic lithium ores. Clariant Mining Solutions has developed a range of novel collectors for the flotation of spodumene and other lithium ores, and this paper presents examples of some of the most recent developments. Fatty acids are the typical collectors for lithium flotation, however the grade and recovery achieved with these collectors is often below the desired level. There are also some significant drawbacks associated with the use of fatty acid collectors, such as the formation of calcium soaps which give rise to filtration problems and the need for acid washing. Several FLOTINOR products have been developed as alternatives to fatty acids. These products offer equivalent or better metallurgical performance at significantly lower dosages than fatty acids. This offers benefits to the flotation circuit as well as potentially reducing the issues associated with downstream processing of the concentrate.

Aug 24, 2022

By D J. Gray

The 4 km long Huguenot Toll Tunnel in the Western Cape region of South Africa celebrated its tenth anniversary on 18 March 1998. At present a single (South) bore with bi-directional traffic flow is operational. The North bore was originally excavated but not lined and equipped.The tunnel is fitted with a semi-transverse ventilation system comprising 45/350 kW two speed fresh-air and 1 MW exhaust air fans at each of the portals. These provide ventilation through fresh and exhaust air ducts above the ceiling separated by movable partition doors. Secondary air ducts deliver air at low level. The fan control depends on the levels of CO pollution or visibility measured at six positions along the tunnel.The system performed well during initial tests and under conditions of low traffic volumes. As traffic volumes increased, and user complaints of bad air in the tunnel were received on several occasions, we realised that we had a problem. Tests confirmed that natural airflow within the tunnel induced by prevailing meteorological conditions outside the portals affected the performance of the ventilation system causing a plug of bad air to be trapped at varying positions along the operating tunnel.The control systems in the tunnel are presently being upgraded as described by Gray, Rieckert and Bullock (1998). As part of the retrofit we are implementing a new control strategy for the ventilation system which takes into account the external weather conditions. This paper discusses the 24 month long meteorological data gathering exercise, which is on-going, and explores the philosophies planned for controlling the ventilation system. The correlation between winds external to the tunnel and induced airflow inside the tunnel are examined. The effects of the weather induced airflow on the existing ventilation system are considered and proposals given for taking these effects into account in the new control strategy. These include the implementation of an expert system to predict ambient airflow from prevailing weather conditions, and the use of airflow measurements taken in the uncompleted North bore as a cross-check.The paper highlights the need to take cognisance of external weather conditions when designing tunnel ventilation systems.

Jan 1, 1999

By S Coward, J Vann, R Wolff, S Jackson, S Moayer, A Bye

Uncertainty about the future and orebody should significantly impact evaluation of mining projects. Scenario planning, widely used in other industries, for example in the petroleum industry, can provide organisations with an opportunity to explore the consequences of uncertainty on their future plans. By developing plausible scenarios, scenario planning assists decision makers by allowing them to make systematic and possibly effective decisions for the future. This paper reviews existing mine project evaluation in the context of a new framework called scenario-based project evaluation (SBPE) (Vann et al , 2012) that addresses many shortcomings of existing approaches. SBPE uses conditional simulations (CS) models as inputs which are evaluated against future alternative project pathways (æalternativesÆ). These alternatives are evaluated using multiple plausible images of the deposit (CS realisations) which capture realistic variability and as an ensemble, map uncertainty of various orebody attributes at fine scale. The alternatives can involve different mining, stockpiling, blending and processing strategies. The ultimate output is a (stochastic) set of cash flows for each alternative from which financial measures, such as NPV, can be derived. Alternatives can then be explored in the presence of against external scenarios such as changes in prices, costs, and taxation. The obvious problem with such data rich results is knowing which scenarios or group of scenarios are optimal.An innovative approach to robust stochastic optimisation (RSO) suited to the SBPE framework is presented here for the first time. This approach to RSO aims to deal with the large number of alternatives generated from SPBE. The goal of applying the RSO approach to SBPE is to identify robust strategic alternatives (project configurations) which have the flexibility to deal with variability and uncertainty of geological and processing inputs such as density, grade and process performance. By applying the proposed RSO method, it is possible to deal with uncertainty and identify the best project configuration in the face of a large number of envisaged scenarios. A case study is provided, in which we have tested the application of the proposed method and compared the result with conventional methods. An important conclusion from this research is that selecting the value of the penalty coefficients in the RSO approach proposed is (as is all optimisation) an exercise of trade-offs; a higher net present value (NPV) is generally associated with a higher risk and a lower risk is associated with a lower NPV. Indeed, this is a strong argument for considering the RSO approach outlined here over more conventional approaches.CITATION:Moayer, S, Vann, J, Coward, S, Jackson, S, Bye, A and Wolff, R, 2012. An innovative approach to robust optimisation for scenario-based mineral project evaluation, in Proceedings Project Evaluation 2012 , pp 141-148 (The Australasian Institute of Mining and Metallurgy: Melbourne).

May 24, 2012