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By M Nehring, E Topal

Nowadays mining projects are seeking new versions of evaluation that are based on the flexibility in the project. Real option valuation (ROV) is one of the modern evaluation methods that provides a tool to adapt and revise mining projects under uncertainty and future variable movements. Most evaluation approaches simply assume that some variables are fixed, such as production rate, variable cost, fixed cost and lifetime of project. The first section of this paper reviews a comprehensive study of ROV in mining projects. The paper then introduces a new model that solves problems where previous methods lacked. The new method endeavours to find maximum mining project value by adding total cost as a function of production rate into ROV. The second section has been applied to a new model on the Century zinc mine in north-west Queensland, thus illustrating the future overview of that mine. The new version of ROV gave a significant positive value for the Century Mine, when the closure and reopening options where available throughout the life of the mine. Consequently, the new method evaluates real options to add value to mining projects, maximising projectÆs value, estimating cost function, optimising production rates and offers opportunities in projects to amplify gains or to mitigate losses.

Jan 1, 2009

By J Canterford

There is an apparent push to develop and commercialise "new and innovative" process flow sheets. A not-too-difficult reality check clearly demonstrates that the success rate of this push is not particularly significant and in fact could be regarded as a waste or misappropriation of R&D funding and the associated brain power. As Julian Sumner Miller would comment "why is this so?" To put it bluntly, many of the so-called innovative developments are equivalent to gold plating the dunny door - visually interesting but of very limited practical value. This presentation encapsulates some personal lessons learnt over the past 45 years.CITATION:Canterford, J, 2013. Developing a ænew and innovativeÆ process flow sheet - Traps for all players of all ages, in Proceedings MetPlant 2013 , pp 1-5 (The Australasian Institute of Mining and Metallurgy: Melbourne).

Jul 15, 2013

By A Black, A de Jo, J Cavanagh, J Harding

Acidic and metal-rich waters have been discharging from Sullivan Mine, West Coast, New Zealand since the closure of the mine during the early- 1990s. This has resulted in a decrease in pH from a background of 4.5 to 2.8 and an increase in metallic elements in nearby Rapid Stream. In addition to the chemical effects on Rapid Stream, a study of freshwater macro-invertebrates revealed the absence of most biota downstream from the discharge. An attempt is being made to use the Sullivan Mine as a case study of problem and remediation analysis.

Jan 1, 2003

By A P. Wibowo

Indonesia holds a significant role in the utilisation of coal resources in the world. Although the number of Indonesian coal resources and reserves do not fall into the world’s top ten, according to 2009 statistics, Indonesia is the seventh largest producer of coal with a production of 256 Mt. More than 80 per cent of this amount is sold in the export market, making Indonesia the world’s second largest coal exporter. Most of the exported coal from Indonesia is used to fulfil the needs of the Pacific market, such as Japan, Taiwan, China, among others. It is also possible to reach the Atlantic market.Along with Indonesia’s development program, until 2025 the Indonesian government has adopted a National Energy Policy that aims to reduce the role of petroleum in electricity generation and replacing it with coal. As a follow-up of the policy, since 2009 PT PLN, the state electricity company has built steam power plants throughout Indonesia as an implementation of the first stage of the Electrical Acceleration Project with a capacity of 10 000 MW. Moving forward, in 2011 PT PLN will also build the second stage of the project with a capacity of 10 000 MW. As a result of the program, the domestic need for coal is expected to increase as much as 44.8 Mt.With the increase in domestic need and decrease in the number of reserves, the Indonesian government has adopted policies to secure the domestic coal supply. A policy that may potentially be adopted by the government is the limiting of coal production, seeing the high rate of increase in Indonesian coal production. The adoption of such a policy will change the distribution map of coal in the Pacific market. Thus, this paper will evaluate the change of coal distribution patterns in the Pacific market along with the increase in Indonesian domestic needs and Indonesian adoption of policies regarding the securing of coal supplies.

Nov 22, 2011

By H Ishikawa, R Halomoan, S Palaniandy

The Karara iron ore project is a magnetite operation consist of open pit mining and concentrator to produce high-grade magnetite concentrate. The concentrator has adopted three stages of comminution, ie fine crushing in the high pressure grinding rolls (HPGR), primary ball milling and fine grinding in the TowerMill plus magnetic separation in between these comminution devices. Since 2014, the concentrator has increased the plant feed rate by 18 per cent. Meanwhile, the ore hardness has increased by 13 per cent to a Bond work index value of 15 kWh/t that led to a coarser flotation feed. Karara Mine has decided to shift the comminution workload from the primary ball mill to the TowerMill circuit by bypassing the 100 µm fine screen in between the ball mill and TowerMill circuits. This action has increased the circuit feed particle size distribution with a top size close to 1 mm. The specific energy consumption of the TowerMill circuit was approximately 3.4 kWh/t, and the circuit product sizes (P80) were ranged between 38 and 45 µm. A joint process improvement exercise was carried out to reduce the circuit product size closer to the magnetite liberation size, ie 35 µm. Among the activities were circuit audit, recommendation for improvement, modelling and simulation, multicomponent analysis, implementation of recommendations and quantification of the improvement. One of the key findings was the density effect of multicomponent minerals in the hydrocyclone. The analysis revealed that the low density coarser gangue minerals were bypassed to the hydrocyclone overflow stream that has resulted in a coarser particle size distribution. Meanwhile, more than 20 per cent of fine (-35 µm) high-density magnetite particles were recycled back to the mill through the hydrocyclone underflow stream and increased the circulating load. Based on these outcomes, several recommendations such as conversion to bottom feed configuration, use of smaller grinding media, high operating hydrocyclone pressure and additional grinding power to the TowerMill circuit were made to improve the overall circuit performances. Karara Mine has prioritised to implement those recommendations that have a minimal financial implication. Full-scale plant trials with bottom feed configuration and 17 mm grinding media were conducted to evaluate its performances. These trials have indicated that the grinding efficiency in the TowerMill was enhanced by 10 – 30 per cent. In May 2017, all the five TowerMills were converted to the bottom feed configuration. This paper discusses the impact of shifting the comminution workload load from the primary ball mills to TowerMill circuit and the performances enhancement of the TowerMill circuit. CITATION:Palaniandy, S, Halomoan, R and Ishikawa, H, 2018. Shifting the comminution workload from the primary ball mill to TowerMill circuit, in Proceedings 14th AusIMM Mill Operators' Conference 2018, pp 163–176 (The Australasian Institute of Mining and Metallurgy: Melbourne).

Aug 29, 2018

By A Madera, R Watt

The Tampakan deposit is a strongly telescoped high-sulphidation-epithermal/ porphyry deposit pair which is hosted by a sequence of probable Pliocene age subaerial andesite flows. These host units lie on the western flank of a deeply dissected andesitic stratovolcano within the northernmost portion of the Sangihe Arc in southern Mindanao. The deposit was discovered by WMC geologists in 1992 and is currently undergoing resource evaluation. Preliminary resource estimations indicate a total inferred metal content of 12 million tonnes of copper metal and 16 million ounces of gold. Using a 0.2 per cent Cu cut-off grade, the deposit has a current mineral resource of approximately 2.5 billion tonnes with an estimated grade of 0.48 per cent copper. At a higher cut-off grade of 0.5 per cent Cu, the mineral resource is approximately 900 million tonnes with an estimated grade of 0.75 per cent copper. Mineralisation is open both to the west and at depth. The Tampakan district is centrally located with respect to a 100 km wide zone of left-lateral strike-slip deformation represented by the trans-Mindanao Cotabato Fault Zone. The district is transected by several WNW-striking wrench faults which represent strands of the regional Cotabato Fault Zone. High-sulphidation epithermal mineralisation within the Tampakan deposit is strongly controlled by NNE-trending faults which lie along a dilational orientation within the Pliocene stress field associated with the Cotabato strike-slip fault zone. The mineralisation is broadly hosted by a gently-dipping, tabular zone of partial to massive silicification which displays multi-phase brecciation, acid-leaching, related vuggy porosity and which is developed within a district-scale advanced-argillic and argillic lithocap exceeding 90 km 2 in area. High-sulphidation epithermal mineralisation is associated with a silica-pyrophyllite-dickite-alunite-diaspore¦sericite alteration assemblage which is transitional downward to sericite-chlorite alteration and relict potassic biotite-chlorite-magnetite-anhydrite alteration associated with pervasively developed but weakly mineralised porphyry quartz stockwork veins. The high-sulphidation mineralisation is dominated by disseminated, vein and vug-filling enargite-bornite-digenite-chalcocite-covellite ¦ molybdenite which has overprinted an earlier phase of porphyry copper stockwork veins associated with high-level porphyritic hornblende diorite stocks. The distribution of high-sulphidation alteration and mineralisation reflects strong stratigraphic and structural controls. The high-sulphidation mineralisation covers a surface area of approximately 1.6 km by 2.0 km and forms a tabular, flat-lying to gently-dipping body between 200 and 500 metres thick. It is intersected at RL-1200 m ASL (at surface) in the northern portion of the deposit and extends down to RL-600 m ASL at the southern end. The deposit has been diamond-drill tested to a depth of 400 - 500 metres where low-grade chalcopyrite-bornite-pyrite mineralisation is hosted by pervasive quartz stockwork veins. This deep-level mineralisation represents the outer portion of a porphyry Cu system hosted by both andesite flows and the uppermost portions of high-level hornblende diorite stocks. Deep drilling to test for higher tenor porphyry Cu mineralisation is planned.

Jan 1, 1999

By R J. Goldie

The Monty Copper Gold Deposit is an ultra-high grade mine in Sandfire Resource’s Doolgunna region which was completely drilled out and developed within two years of commencing mine development. During this period, a total of 986 grade control diamond drill holes were completed, assayed, and validated, 15 levels developed, and 3136 faces mapped. The aggressive schedule meant a high flow of geological data was produced, validated, and incorporated into regular geological model updates. To process this data at a rate which allowed for timely use, more robust data processing methodologies needed to be generated. A new validation system was implemented which required two levels of validation being applied to any diamond drilling update. Step one was the validation of initial physical data including survey pick-ups and logging. This was done prior to new drill data being added to the geological model. Step two was the validation of assay data which was required prior to resource estimation. The implementation of Seequent’s Leapfrog Geo modelling software also allowed for a more seamless and efficient modelling workflow. The use of the Leapfrog Geo vein systems allowed for more rapid generation of geological models which then afforded more time for stringent assessment of the mineralisation system. An example of this was the introduction of cross-shift peer reviews in which opposing rosters of geologists would rigorously evaluate the previous rosters work prior to reporting. This additional level of validation resulted in more robust geological models and the identification of new ore trends. This presentation will detail the evolution of the Monty Geological model from a simple tabular indicated resource into a complex highly refined measured resource. Themes will include how the model was produced using workflows developed and optimised to meet key deliverables.

Mar 22, 2022

The Resource Management Act has been in force now for approximately ten months. This Act, and the Crown Minerals Act which accompanied it, have substantially changed the manner by which mining operations and other resource uses obtain access to resources and are subject to controls of their environmental effects. This paper briefly summarises the key elements of the regulatory provisions of the Resource Management Act. It identifies the types of resource consents required, and discusses these and procedural matters in relation to mining in Otago. It addresses the transitional provisions and highlights inconsistencies and difficulties in the implementation of these provisions. This paper identifies potential future developments in the planning and regulatory environment relating to mining in Otago.

Jan 1, 1992

This paper examines some of the fundamental economics of mining - in particular, for optimisation studies, for production rate determination and for reserve estimates.It includes introductory discussion on the principles as to how economics drives mining investment decision-making, applicable to the optimising of pit shapes and production, or truck fleets, or any other part of the mine.The main part of this paper looks at the decision to start-up a mine and why the 'optimum' production rate to start-up a mine is not the point of lowest cost according to traditional discounted cash flow (DCF) analysis. The optimum production rate is usually substantially less than this rate. The paper recognises the difference between typical mining investments and investments in other industries that do not have the unique characteristics of mining and the problem of uncertainty resolution. It examines the marginal revenue effects, the marginal cost of capital and the value of a real option to expand pending uncertainty resolution as determinants of optimum initial production rates.The final part of this paper looks at applying these principles to renewable and non-renewable resources. It examines mine life and reserve estimates from an economic perspective.

Dec 6, 2010

The offshore Maui gas/condensate field was discovered by Shell BP and Todd on Services Limited in 1969. Subsequent appraisal drilling and negotiations with the Government led to a development agreement, æThe Maui White Paper' being concluded in 1973. Part of this agreement provided for the Government to take a 50 per cent shareholding in the field. The field is comprised of a double domed anticlinal structure containing two gas reservoirs at depths ranging from 2700 - 3000 m. Water depth is 110 m. The development plan called for two standalone steel platforms to be installed sequentially over a period of some years depending on gas demand. The first platform (MPA) was put in place in 1976 but difficulties were experienced with piling and drilling of the 12 (later increased to 14) wells did not start until 1978. First gas was piped ashore late in 1979.

Jan 1, 1994

By J Seccatore, F Golin, E Munaretti, M Cardu, J C. Koppe, J Bettencourt

Contour blasting is commonly performed by employing linear charges decoupled from the boreholes. This method is common in surface and underground excavations, either for civil or mining purposes. To achieve the best results in terms of rock breakage and respect of the excavation profile, blasting theory suggests that charges should be inserted coaxial to the holes to grant uniform distribution of the explosive energy, therefore obtaining a uniform radius of damage. Nonetheless, due to readiness of operations or lack of availability of specific products on the market, non-coaxial charges are often employed in blasting practice. Non-coaxial charging methods include the employ of high-power detonating cord (40 to 100 g/m), low-power detonating cord connecting small-diameter cartridges (commonly 10 g/m detonating cord priming 1” cartridges) or string loading (a thin layer of bulk emulsion pumped with controlled flow and controlled extraction of the injecting rod). This research focuses on evaluating the effects of the first two charging methods on the quality of final walls in open pit and underground operations. Different drilling geometries and charging configurations were applied to both quarrying and tunnelling blasts. The half-cast factor, the overbreak and the underbreak were evaluated as control indicators. Rock quality designation and rock mass rating were used to classify the rock mass. The research was aimed to push contour blasts to their limits, observing for which geometry and charge configuration the blast lost its design threshold with respect to the final wall for every given rock mass. Results show the operational limits of non-coaxial charges encountered in the rock masses object of this study. In good-quality rock, smooth blasting with decoupled linear charge of 40 g/m can be extended to a spacing S = 22Øf with little or no detectable drawbacks in terms of final wall quality, in contrast with theoretical formulae for the determination of the radius of damage. On the other hand, when the rock is poor, any quality of the final wall is hardly achieved at all, in spite of any care in the details of execution of smooth blasting. It is concluded that any design criterion and theoretical approach modelling the effects of contour blasting cannot ignore the features of the rock mass.CITATION:Seccatore, J, Golin, F, Cardu, M, Munaretti, E, Bettencourt, J and Koppe, J C, 2015. Evaluating the effects of non-coaxial charges for contour blasting, in Proceedings 11th International Symposium on Rock Fragmentation by Blasting, pp 267–278 (The Australasian Institute of Mining and Metallurgy: Melbourne).

Aug 24, 2015

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

"A new approach to mineral project evaluation is described called Scenario-Based Project Evaluation (SBPE). SBPE incorporates well established æscenario planningÆ and æscenario thinkingÆ approaches, which are used extensively in other industries,?most notably the?petroleum industry. While most scenario planning is qualitative and non-probabilistic, the approach described here includes both quantitative and qualitative aspects. SBPE is complementary to optimisation approaches and allows mining firms to build and operate projects that are more robust in the face of adverse changes as well as proactively respond and exploit the upside offered by a realistic assessment of variability. The approach has potential to improve project performance and decrease operational risk. It also has important applications for currently operating mines.Conventional evaluation of metalliferous mineral deposits uses estimates of metal grades and deleterious attributes in singular æorebody modelsÆ, usually 3D block models, which fail to capture two critical aspects that underpin the realised value of mining projects: the inherent uncertainty of the estimated attributes the spatial variability of attributes, at the scale of mining selection, which impact on downstream processing steps and fundamentally drive realised value. While singular models are appropriate for estimating block averages, conditional simulation (CS) models of the relevant attributes are needed to represent uncertainty and capture spatial variability. Any attributes that can be either built into CS models and/or modelled in the envisaged mining/processing steps, can be evaluated fully through to highly ægranularÆ (ie detailed and un-smoothed) cash flows. A complete view of SBPE relies on selected strategies being tested against plausible æscenariosÆ of factors external to the project and thus outside management control. æExternalitiesÆ captured in such scenarios include market prices, costs and taxes. Via SBPE, project managers may demonstrate that there is material value in preserving or purchasing options that provide future flexibility to respond to the changing externalities or changes in orebody performance. Such flexibility generally comes at a cost but is very difficult to value. It is argued that full value chain evaluation using SBPE can help to value these options for a mining company. A case study for a gold mine is presented.CITATION:Vann, J, Jackson, S, Bye, A, Coward, S, Moayer, S, Nicholas, G and Wolff, R, 2012. Scenario thinking - A powerful tool for strategic planning and evaluation of mining projects and operations, in Proceedings Project Evaluation 2012, pp 5-14 (The Australasian Institute of Mining and Metallurgy: Melbourne)."

May 24, 2012

The long-term production schedule of open pit mines that maximises the net present value (NPV) of a given project relies on the proper design of phases (pushbacks) within the ultimate pit limits. There is not a phase design algorithm applied in the mining industry today that gives yearly production schedules that are optimum.The majority of phase design algorithms currently in use by the mining industry aims at grouping the blocks that fall within the ultimate pit limits into phases such that the average value of the blocks within each phase decrease as the size of the phases increase. Current phase design methods are typically based on a pit limit optimisation algorithm, originally introduced by Lerchs and Grossmann (LG) in 1965. To obtain multiple pit shells to be used for the phase design, the LG pit limit algorithm successively applied to economic block models by changing the price of the commodity or some other factor that properly parameterises the size of the pit. These modified economic block models are developed by predetermining the destination for each block in the model based on a breakeven analysis and highest economic outcome between alternative destinations. Phase designs determined by these existing algorithms may be suboptimal if a given project utilises multiple processing facilities for metal recovery and particularly if these facilities have restrictions (constraints) that require blending of attributes in the feed. To overcome these problems in obtaining phases that optimise overall production schedules, a new algorithm is developed at the Colorado School of Mines. The algorithm determines the phases of an open pit mine by taking into account multiple process options for the blocks and period by period blending requirements. This algorithm has been implemented within a software program (the software) and is being prototyped successfully in the design of improved pushbacks at a copper mine in South America and on a gold mine in Nevada. This presentation will demonstrate the shortcomings of the traditional phase design methodologies based on comparison of results coming from the new approach versus the traditional.

Dec 6, 2010

Both here and in Australia, the unique commercial and tax features of joint venture are finding favour in forestry, fishing, technology and infrastructure projects. For New Zealand mining companies, joint ventures provide a means of access to foreign know how and investment funds, while retaining their corporate independence and their hard-earned tax losses.   This paper discusses some of the practical income tax and GST considerations where a joint venture structure is contemplated. The first part of the paper considers income tax, and in particular how joint ventures enable companies to access and carry forward tax losses. It explains why a joint venture may be advantageous relative to a jointly owned company.   The second part of the paper concerns GST and the focus is on two aspects: 1.   Joint ventures may be registered for GST. In some instances they have no choice and are required to do so. Where a joint venture is registered in respect of a taxable activity, the members are not permitted to register in respect of the same activity. This may be problem where the member has incurred its own expenses and the member wishes to register in its own right to claim back the GST on those expenses. This paper explores the issue and possible solutions. 2.   It is not uncommon to see joint ventures claiming GST on the costs of production, and the production being sold (and GST is being charged) by the members. In this paper we consider whether these arrangements have a tax risk, and what can be done to make them technically sound.

Jan 1, 2005

Reverse sensitivity is a critical issue for all extractive activities. Extractive industries can only establish in the location of the particular resource sought to be extracted. Avoiding a location near sensitive activities (such as residential activities) may, therefore, be more difficult for extractive industries, than for other industry (such as dairy factories).   This paper focuses on the following matters: +        principles to be derived from case law, +       district and regional council approaches managing reverse sensitivity effects, and +        avoiding, remedying or mitigating reverse sensitivity effects in the future.

Jan 1, 2006

By JOHN G. RAYNER

An examination was made of the filtration characteristics of a haematite slurry using a range of polyacrylamide based flocculants in solutions containing up to 3 per cent sodium chloride. The polymers used were "high" and "Iow" molecular weight and had from 0 to 40 per cent charged groups.Increasing charge density tends to reduce the dose required to achieve optimum performance measured by filtration rate and by cake moisture. In general increased salt addition tends to increase the dosage required to achieve these optima. Both these observations result from the change in polymer extension and accord well with the bridging theory of flocculation.The dose required for optimal cake moisture is up to three times greater than that required for optimal filtration rate. This effect is reasonably consistent for all polymers studied and appears to be non-linearly dependent on salt concentration, with the difference being small at 0 and 3 per cent but quite significant at 1 per cent.

Jan 1, 1987

In November 1986 the Australian Minerals and Energy Council (AMEC) endorsed an "Australian Code for Reporting Identified Coal Resources and Reserves" for use by the Federal and all State Governments. Before this endorsement there were six different coal codes in use in Australia. The code is broad in nature to accommodate the wide range of coal deposits in terms of rank, quality and geological environment, that are present in Australia. In the code, Resources refer to all of the coal in situ which may have potential for use and the various categories indicate the level of confidence of the assessment. Reserves are those Resources which are planned to be mined and for which such planning has been undertaken. Only minimum guidelines are set by the code and the onus is on the estimator to state clearly the criteria used in any Assessment.

Jan 1, 1987

By R J. Goldfarb, A B. Christie, D I. Groves

Small orogenic gold deposits have the same deposit-scale geological and geochemical features as those that characterise giant orogenic gold systems (>16 Moz Au). Therefore, a broader-scale approach is needed to identify the critical controls on giant deposits and their disproportionate distribution throughout time and space. Ages of giant gold systems cluster around well-defined periods of lithospheric growth at continental margins, and it is orogen-scale processes during these Late Archaean, Early Proterozoic and Phanerozoic times that determine gold endowment of a province.   A critical factor for giant orogenic gold provinces appears to be asthenospheric upwelling at the time of gold mineralisation to most effectively transfer the thermal energy required to initiate and sustain high hydrothermal fluid flux. The extent of this fluid flux should be related to thickness of the lithosphere beneath a province at the time of gold mineralisation, such that giant gold deposits are much more likely to develop in orogens with oceanic or thinned continental lithosphere. A proxy for the latter is likely to be a short premineralisation crustal history such that thick subcontinental lithospheric mantle was not developed. Conversely, orogens with protracted premineralisation crustal histories are more likely to have a thick subcontinental lithospheric mantle, which is difficult to delaminate and, hence, such provinces will normally be poorly endowed. The nature of the lithosphere also influences the intrinsic gold concentrations of potential source rocks, with back-arc basalts, transitional basalts and basanites enriched in gold relative to other rock sequences. Thus, segments of orogens with thin lithosphere may be defined by conjunction of giant-scale fluid flux through gold-enriched sequences.   Although the nature of the lithosphere plays the crucial role in dictating which orogenic gold provinces will contain one or more giant deposits, the precise siting of those giants depends on the critical conjunction of a number of province-scale factors that control fluid conduits, traps, and seals in tectonically and lithospherically suitable terranes within accretionary orogens.

Jan 1, 2005

By AMIRA P588 Research Team

This contribution summarises new knowledge and data, obtained during a three year ARCAMIRA funded research project, on the mineralogical and geochemical characteristics of hydrothermal alteration associated with low sulfidation, gold-silver epithermal deposits. These data are used to develop exploration vectors for use at both deposit and district scales, plus techniques have been established to distinguish ore grade epithermal systems from barren or low grade systems. Deposits investigated were Ladolam, Papua New Guinea, Gosowong and Mt Muro, Indonesia, Cerro Vaguardia, Argentina and Bimurra and Twin Hills, Australia.

Jan 1, 2005

By K L. Brown

Sampling and analyses of deep waters from Wairakei and Rotokawa geothermal systems indicate a wide range of precious metal concentrations (<0.1 to 23 ppb Au; 6 to 2400 ppb Ag), suggesting that eastern ôandesiticö TVZ geothermal systems (eg Rotokawa) have higher aqueous gold and silver than western ôbasalticö geothermal systems (eg Wairakei); this interpretation is consistent with known occurrences of high grade precipitates in wells from eastern systems. The fact that the deep waters are undersaturated in gold further suggests that the aqueous gold concentrations of deep waters are limited by metal availability. The flux of gold for the two systems ranges from ~1 to 50 kg Au/yr, and the flux of silver ranges from 65 to 6900 kg Ag/yr. At Rotokawa, it only takes ~600 years to flux one million oz of Au and >100 million oz of Ag. The supply of hydrothermal gold and silver is obviously important during genesis of an epithermal deposit, but ore formation also depends on the existence of a suitable ôtrapö that efficiently extracts metal from solution in a small volume of rock. Such traps seem to have been poorly developed until geothermal drilling in the TVZ.

Jan 1, 2006