Search Documents

By P Navarra, R Kuhne

Dynamic simulation (discrete event simulation) is the preferred methodology to evaluate the impact of dynamic aspects of processing plants on the overall plant capacity. This tool can be used to: identify bottlenecks in the plant,justify upgrade and expansion projects by evaluating their impact, oroptimise maintenance and operating practices without disrupting the operation. Iron Ore Company of Canada's (IOC) pelletising plant is a complex operation because of multiple products, varying equipment capacity and shifting bottlenecks. Furthermore, with extensive capital requirements for projects and long lead times, a high level of confidence in project outcome is required. Therefore, a model of IOC's pelletising plant in Labrador City was constructed in 2007 by a joint IOC and Hatch team. The model includes both operational and metallurgical aspects in order to better capture the complexity of IOC operation. In this paper, the justification, boundaries, and functionality of the model are described. A comparison of simulation results to historical plant operation is given. It is observed that projects have interactions and that the benefits of combined projects are not equal to the combined benefits of the individual projects. Projects can have synergies that result in greater benefits when combined or can have overlapping benefits that result in lower benefits when combined. The power of the proposed modeling exercise lies in the ability to assess the impact of projects on overall performance.

Jan 1, 2009

By M Rauer

With a worldwide growing population the demand for higher living standards, food and the development of new technology is rapidly rising. To allow for a continuous growth, larger quantities of minerals and raw materials are needed at a faster pace. Different methods have been developed to access or tap ore more quickly, such as improved drill and blast operations, mechanical mining methods using equipment such as roadheaders (RH), longwall miners and other technical equipment. Another possibility to access and develop mines faster is the use of a tunnel boring machine (TBM).The historical usage of TBMs is surprisingly long, but the opportunity for technology adoption by the majority of worldwide mining companies remains largely untapped. Dozens of full face TBMs have been used by mines around the world, including two that will begin operation soon in Australia. TBMs have been used to safely and rapidly gain access to the orebody, or to expand access to the orebody to increase output by running a TBM along the edge of the orebody for several kilometres. These machines have also been used for ventilation and for conveyor tunnels for ore removal. They have been used to quickly excavate long and winding declines giving access to an orebody at several levels in a short period of time.Tunnel boring technology can be used for mine declines, mine access tunnels and all sorts of different mine designs and set-ups. TBM technology simply needs to be adapted to the mine conditions and, if manufacturers are involved early on in the planning process for mine development, the operation can be very successful. In some cases, historically typical mine designs may need to be re-thought.One mine, the Stillwater Platinum mine in Nye, Montana, is currently employing its fourth TBM in 25 years. Two were used to create tunnels running alongside the orebody, rapidly expanding access to the orebody in many locations for increased output. Two were used to create parallel access tunnels to a mine expansion at the East Boulder orebody; one tunnel is for conveyor haulage and the other for vehicular access. TBMs have been employed successfully many times to rapidly drive vehicular decline tunnels to multiple mine levels, such as at the San Manuel – Magma Copper mine in the USA. While TBM technology may not seem to be optimal for every mine, these success stories show that the method can provide vast benefits for the right projects.Early use of TBMs in extremely hard rock metal mines, in the 1960s and 1970s, had limited success since performance was low. However there have been great improvements made over the years in the strength of rock which can be excavated by TBMs with high performance. Other important improvements involve the provision of a safe work environment, safely and rapidly supporting the rock and predicting geology ahead of the TBM.This paper will briefly note the more than 20 TBM mining projects and highlight some notable successes. It will then go on to give a status report on the two active TBM mining projects in Australia and the difference between a TBM operation versus other excavation methods such as drill and blast (D&B) or RH excavation.CITATION:Rauer, M, 2014. Tunnel boring machines in mines – a?brief review of past use with a status report on use today in Australia, in Proceedings 15th Australasian Tunnelling Conference 2014 , pp 663–670 (The Australasian Institute of Mining and Metallurgy: Melbourne).

Sep 17, 2014

By W Roy

When it comes to plan implementation and securing success in organisations in the 21st century, if there was such a thing as the secret to success it would be effective communication. Commoditisation brings financial, operational and cultural advantages to organisations that use effective communication. Effective communication tools turn æpeople problemsÆ into system control solutions, removing personality clashes that hide procedural malfunctions. By introducing communications frameworks available in the market place today, and case studies of their use, this paper provides insights into the successes available to organisations courageous enough to redefine their communications for the 21st century.

Jan 1, 2006

By N Tyson

Throughout Australia and the world, there have been in recent years a number of incidents involving the reaction of ammonium nitrate based explosives with ground containing certain types of sulphides. This paper presents a comprehensive strategy designed to identify, assess and mitigate the risks involved with blasting in areas of reactive ground. Undertaking blasting in reactive or potentially reactive ground involves a degree of risk, the level of which is dependent upon the controls in place for specific sites; this in turn depends upon the degree of sound reasoning and judgement behind the implementation of these controls. Implementation of controls to minimise the risk of incidents also involves a measurable increase in production and blasting costs. To achieve a balanced solution to this matter, decision-makers need to understand how the risks eventuate, how they should be evaluated, and how control measures reduce the risk. Also required is an understanding of how the problem affects the economics of the operation, and the magnitude of this effect. It is the aim of this paper to provide a structured approach to gaining this knowledge, so that mine management, the workforce and explosive suppliers may jointly develop more effective economic and safe blasting systems for potentially reactive ground. Using a combination of fault/event tree risk assessment and semi-quantitative analysis, a structured approach to dealing with the issue will be illustrated.

Jan 1, 2001

By Jingmin Xin, Wenhua Xing, Zongxin Huo, Hongzhang Chen

Drawing up the successive plan for mining and development is a very important and regular plan work. The expert system of the successive plan for mining and development drawn up by computer is developed on the basis of network, computer simula

Jan 1, 1998

By R Stefansen, T Wisdom, A Nicholson, K Rahal

The challenges of increasingly scarce water resources and the risk of dam failures has seen the mining industry turn to sustainable tailings management solutions such as dewatering and dry stacking. Filtering tailings has been seen in the past as a cost-prohibitive process for larger throughput mines. However, as larger pressure filters are developed, the economic case for filtered tailings has gained traction.Focus has largely been placed on the correct design and operation of the filters. It is critical, however, that the material handling portion of the disposal system is also properly designed and operated. Thorough testing at laboratory and pilot scale to determine the conveying properties of the filtered material needs to be conducted. This testing will insure the material handling system meets the important availability needs of the mine even during periods of variability in the upstream processes and mine plan.The control system must also be robust and flexible in design to compensate for this upstream process variability. The control system needs to allow for different flowsheets including straight filtered tails as well as EcoTails™, a low-energy solution for co-mingling waste rock and filter cake.This paper will present case studies of different material handling solutions, the testing required for them and the lessons learned from each.CITATION:Rahal, K, Nicholson, A, Stefansen, R and Wisdom, T, 2018. Material handling testing and control system requirements for dry stack tailings, in Proceedings Mine Waste and Tailings Stewardship Conference 2018, pp 361–368 (The Australasian Institute of Mining and Metallurgy: Melbourne).

Jul 23, 2018

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

Jan 1, 1982

By A L. de Ambrosis, S J. Clarke, R Bertuzzi, J Redelinghuys

The M2 Upgrade Project involved widening 15 km of the existing M2 Motorway, which is a key route in Sydney’s road network. The Norfolk Twin Tunnels in North Epping convey traffic over a 460 m length of the motorway. The project involved widening the twin tunnels to provide a third lane and breakdown lane in each direction.The widening of the tunnels was fundamentally different to other ‘greenfield’ tunnel projects in that the operation of the tunnel was maintained throughout construction, with motorway traffic permitted close to the excavation faces on a daily basis. The widened works had to integrate with the existing tunnel support, construction details, and mechanical and electrical infrastructure.The existing tunnel afforded the opportunity to review existing ground conditions in the tunnel. Exposures were mapped within the tunnel, and key design parameters were back-analysed from the original monitoring data to provide increased confidence in the assessed impact from the widening works.Traffic capacity of the tunnels was maintained by detailed staging of the works, and included the ability to reopen the tunnels at short notice.A permit to tunnel system was developed to manage the risks associated with re-opening the tunnel to traffic. A comprehensive suite of instrumentation was maintained to provide reliable monitoring data to support this process. Emphasis on the robustness and reliability of tunnel instrumentation provided increased confidence in the adequacy of the tunnel support being installed. The monitoring was routinely compared with design predictions to check the adequacy of the support measures being installed and confirm the design.The approaches and methodologies developed for the widening of the Norfolk Tunnels were effective in maintaining the safe operation of the tunnels throughout the two years of construction, and provide a framework for increasing the capacity of existing tunnel infrastructure in the future.CITATION:Clarke, S J, de Ambrosis, A L, Bertuzzi, R and Redelinghuys, J, 2014. Design and construction for the widening of the M2 Norfolk Twin Tunnels, in Proceedings 15th Australasian Tunnelling Conference 2014 , pp 591–602 (The Australasian Institute of Mining and Metallurgy: Melbourne).

Sep 17, 2014

By T McLeod, B Catto

AngloGold Ashanti Australia’s (AGAA) Tropicana gold mine (TGM) geology department seized the rare opportunity of building a new geology department for a new operation: the philosophy, the people and the processes. Not satisfied with the status quo, or simply repeating what was familiar and already known, the vision was for an innovative, agile, multidiscipline, high performance team, capable of delivering on expectations.To achieve this, the geology department has operationalised key components of human resource management (HRM).This paper describes the operational design and implementation of key HRM components: job analysis, organisational design and organisational development. The benefits of this approach are presented in terms of engagement and autonomy in roles, opportunity for role variety and flexibility of the organisational structure. The result is a geology department that provides the functions of mine geology, resource development, regional exploration, survey, data management, geographic information systems (GIS), resource modelling, scheduling, sample preparation, resource coordination and hydrogeology, and even geotechnical engineering for a year!Considerations for application in other geology departments are presented in terms of fundamental requirements and lessons learnt. Fundamental requirements for success have been the sustained support of the general manager, valuing the scrutiny that comes with continuous improvement, high quality HRM systems and tools within the organisation, and a committed leadership group within the department. One of the most important lessons learnt is that a robust process of ‘induction to role’ is critical – the process of familiarising new starters with who we are and the way we work.CITATION:Catto, B and McLeod, T, 2017. Rewriting the rule book – geology organisational design, in Proceedings Tenth International Mining Geology Conference 2017, pp 137–142 (The Australasian Institute of Mining and Metallurgy: Melbourne).

Sep 20, 2017

By B Hartmann

In 2003, Independence Group NL purchased the Long Shaft Nickel Mine complex (Long) in Kambalda, Western Australia. Lightning Nickel, the nickel operating arm of Independence Group, faced considerable challenges operating the mine, with the most significant challenge being able to prove that the remnant ore at Long and the associated orebodies could be mined safely and efficiently. Given the seismic history at Long, the magnitude of these challenges could not be underestimated. In an effort to achieve 100 per cent extraction of the flatter orebodies, traditional methods such as room and pillar were dismissed. A method consisting of transverse sills, butting into each other was proposed. To stop fill material from the first sill rilling into the adjoining sill, it was proposed to backfill the sills with pumped cement fill. The capital cost of the fill plant was estimated to be in excess of $1.5 million and the cost for cement alone was $1.0 million per annum. Shotcrete was already an extremely useful tool in dealing with the widely variable stress environment, but was to be used in an innovative manner that would enable the full extraction of a tabular section of the Victor South orebody. A layer of shotcrete, approximately 100 mm thick, was to be sprayed on the up dip wall of the initial development sill. The sill was to be backfilled with ænormalÆ development waste and ætoppedÆ with sand backfill. The next sill, ie slightly up dip and alongside, was to be mined along the shotcrete boundary wall. With respect to wall stability, the premise was that the shotcrete wall would stay in place and prevent the backfill (development waste and sand) from rilling into the adjoining development. It was also proposed that any breaches of the shotcrete wall would be repaired using shotcrete before substantial inflow of backfill into the ænewÆ development. This paper describes the development and implementation of this mining method, as well as some of the associated financial aspects.

Jan 1, 2008

By C McCamley

"The requisite for maintaining optimal carbon concentration levels in a carbon-in-leach (CIL) circuit is of paramount importance in the prevention of gold losses. The process’s ability to recover gold from the aqueous phase is primarily dependent on the carbon loading profile of the CIL train.Newmont Boddington Gold (NBG) have over 2015 tested the Mintek online carbon concentration wmeter (C2 Meter) suitability for effective carbon concentration measurements in their CIL circuit compared to the standard method where the readings are taken twice a shift by the operations staff. The C2 meter works by passing a 1MHz ultrasonic signal through a slurry containing carbon where there is a relationship between the carbon concentration and the attenuation of that signal.It also highlighted another area where the C2 meter could be implemented at NBG whereby the instrument can be as a cautionary device for carbon losses in place of carbon safety screens.Citation:McCamley, C, 2016. Continuous Carbon Concentration Measurement at Newmont Boddington Gold, in Proceedings 13th AusIMM Mill Operators’ Conference 2016, pp 207–212 (The Australasian Institute of Mining and Metallurgy: Melbourne)."

Oct 10, 2016

By T D. H McGrath, W P. Staunton

Benchmarking, comparing an operation or process with the industry standard, is known to be a useful method for identifying plant optimisation opportunities, and in many cases providing the pathway to realise the benefits. The difficulty is generating the database of plant data necessary for a benchmarking exercise. Larger companies can benchmark internally; this option is not available to smaller companies, and the full value can only be realised with a comprehensive “industry wide” approach.The Gold Technology Group at Curtin University through the AMIRA P420 series of projects has undertaken several comprehensive metallurgical industry surveys in the gold industry over the last two decades. Analysis of these surveys has demonstrated areas where many operations can benefit from re-assessment of their operating practices.This paper will review the work undertaken by the Group in this area, in particular the 1999 surveys of gold companies in the Australasian region, and the 2012 international survey of the industry. The challenges of, and opportunities arising from these surveys will be discussed. Some of the highlights from analysis of these databases will be presented as well as noting changes in processing practices observed by the Group over the last 20 years.CITATION:McGrath, T D H and Staunton, W P, 2018. Keeping up with the Joneses – the value of industry surveys and benchmarking, in Proceedings 14th AusIMM Mill Operators' Conference 2018, pp 509–516 (The Australasian Institute of Mining and Metallurgy: Melbourne).

Aug 29, 2018

By R L. Grogan

Regulators of deep-sea mining projects are becoming increasingly hesitant about the concept of adaptive management as a tool to facilitate compliance and continuous improvement. Adaptive management is a relevant and useful instrument to ensure that the mine plan is successfully implemented throughout the life of mine, in parallel with optimum environmental performance and compliance.CITATION:Grogan, R L, 2018. Adaptive management in deep sea mining – looking like you know what you’re doing when it’s never been done before, in Proceedings Life-of-Mine 2018, pp 20–22 (The Australasian Institute of Mining and Metallurgy: Melbourne).

Jul 25, 2018

By D R. Seaman, R P. Tooher, B A. Seaman

"Several mine scheduling tools exist for use in optimising and scheduling the reserve according to in situ value. These tools generally value the ore on a per block basis according to regressed recovery models based on ore grade and type. It is then the task of the plant metallurgist to ensure that these ore blocks are fed to the plant in a manner that satisfies the prevailing plant constraints. This task is often completed in complex Excel® spreadsheets that are modified over time with factors applied to account for plant modifications or limitations.It is the authors’ experience that this approach is difficult to audit and replicate in a consistent manner. Furthermore, operational decisions, such as primary grind size or autoclave oxidation are made on the metallurgist or managements’ perceived optimum value and does not necessarily represent a cash flow based optimum.Many processing plants contain multiple internal constraints. As ore feed grades and properties change over the life-of-mine (LOM), processing-bottlenecks shift from one unit process to another and different operating strategies need to be adopted to maximise cash generation from the process.This paper presents a unified optimisation approach to scheduling ore based on a circuit mass balance to describe the process plant with individual models for each significant unit operation. The approach allows for optimisation over multiple input variables and the inclusion of linear and non-linear constraints.This optimisation process has been applied to different complex gold operations. The end result is an automated scheduler that selects the optimum blend of ores as well as plant operating conditions that satisfy all internal plant and shutdown constraints while maximising the objective of choice (metal production or cash flow). The models are also valuable for evaluating expansion or debottlenecking opportunities of individual processing units. These models are coded in Matlab® R2016a provided by MathWorks®, and can be deployed to end users in a compiled version with significant savings in time to run different scenarios over the Excel®-based systems.Citation:Seaman, D R, Tooher, R P and Seaman, B A, 2016. Optimisation of Complex Gold Processing Plants with Multiple Unit Operation Constraints - the Newcrest Planning Scheduler, in Proceedings 13th AusIMM Mill Operators’ Conference 2016, pp 191–198 (The Australasian Institute of Mining and Metallurgy: Melbourne)."

Oct 10, 2016

By M Medina, J Alexander, R J. Longey

Capricorn Copper Pty Ltd (CCPL) are operating the Capricorn Copper Mine located at Gunpowder, Queensland. As current holder of the environmental authority for the site, CCPL have obligations to rehabilitate areas of the mine that are no longer operational and have the potential to cause/contribute to environmental harm. CCPL sought a voluntary Transitional Environmental Program (TEP) to provide an agreed program of works to cap and rehabilitate the former Mammoth Tailings Storage Facility. The voluntary TEP contained conditions that were required to be met, to reduce the potential for environmental harm from the facility. The former Mammoth Tailings Storage Facility commenced use in the early 1970’s, and is an unlined valley in-fill structure, contemporary in design compared with other such approved structures of the era. The decommissioned Mammoth Tailings Storage Facility, now known as the Old Tailings Storage Facility (Old TSF), has been a legacy source of contamination due to the existing capping not meeting modern cover criterion, and allowing oxidisation and infiltration to the underlying acid forming tailings resulting in Acid and Metalliferous Drainage (AMD) from the facility. A cover design for the Old TSF, and other mine waste storages onsite that required clay capping, had been proposed by previous operators. Under the TEP cover design phase, it was identified that a key constraint was the lack of significant quantities of low permeability clay onsite. The lack of available clay prompted the consideration of alternate lining materials for the Old TSF, with a Bituminous Geomembrane Liner (BGM) being adopted as the preferred alternative. The BGM compared favourably with clay-based materials on seepage analysis, and led to other benefits by eliminating the need for borrowing clay off site, reducing the site’s environmental footprint, and reducing construction time. The BGM cover system on the Old TSF is being monitored with the intent to use this as a case study to confirm expected performance, enabling the cover design to potentially be adopted on the remainder of the site’s mine waste storages that require capping.

Jul 1, 2021

By E N. Sparg, O D. A Deuchar, F Needham

Decline shafts are an attractive option to both new and existing mining operations where there is a need to access an inclined orebody deposit via on-reef development so as to generate a return in the shortest possible time. There are many different technologies that are available to transport men, material and rock in incline shafts. This paper focuses on the applicability of two hoisting technologies for decline shafts, namely endless and direct rope systems. The pros and cons of each system are reviewed. A common concern with direct rope haulage systems is the possibility of generating slack rope during deceleration. This paper illustrates the issues involved in designing a system so as to avoid the possibility of slack rope. In conclusion, the key factors relevant to the selection of endless or direct rope haulages for a particular decline application are reviewed. The paper is a joint submission by FFE Minerals-Vecor and Qualter Hall UK.

Jan 1, 2005

By M D. Taylor, G Duclaux, K Atkinson, L A. Fisher, A R. Latham, M F. Gazley, S J. de Beer, C M. Tutt

Geological logging by mine and exploration geologists involves the application of a logging code that requires a geologist to make a subjective decision to classify a particular rock unit. This will most likely result in inconsistencies in logging that will be difficult to monitor or assess over time. A potential solution to this problem is to have an objective method to determine the true nature of a given rock unit. This can be achieved using portable X-ray fluorescence technology (pXRF), as large geochemical data sets can be collected rapidly and at low cost. Plutonic Gold Mine (Plutonic), Western Australia, has a growing data set of more than 150 000 pXRF multi-element analyses from core and underground face samples, reconciled to Au fire-assay concentration, and logging codes. This study investigates and statistically validates the consistency with which the logging codes have been applied at Plutonic for the last four years, with respect to both Au distribution and other elements. In doing so, we have developed a schema that allows objective logging to occur once core has been sent for assay and analysed by pXRF. While far from replacing the geologist in the field, this is a complementary method that adds significant value to a data set.CITATION:Gazley, M F, Tutt, C M, Latham, A R, Duclaux, G, Fisher, L A, Taylor, M D, de Beer, S J and Atkinson, K, 2013. Objective geological logging using geochemical multi-element data - Plutonic Gold Mine, Western Australia, in Proceedings World Gold 2013 , pp 455-462 (The Australasian Institute of Mining and Metallurgy: Melbourne).

Sep 26, 2013

By A Rantala, C Cruickshank, I Muzinda, O Haavisto, J Timperi

The production at First Quantum Minerals’ (FQM) Kevitsa Mine, located in northern Finland, commenced during the second quarter of 2012. Presently, the mine processes approximately five and half million tonnes of ore annually, producing nickel, copper and platinum group metal (PGM) concentrates. In order to support fast production ramp-up and optimise the performance of flotation thereafter, an extensive advanced flotation control solution was implemented by Outotec in collaboration with FQM Kevitsa.In addition to basic process instrumentation and process control, each of the 14 Outotec 300 m3 and another 26 cells, ranging from 20–160 m3, have been equipped with state-of-the-art systems providing froth image analysis and automatic froth speed control. Also, the flotation cell levels are stabilised with advanced feed-forward level control.The online analyser provides key feedback information of the process performance for the advanced process control (APC) system. Based on this information, APC system defines grades and recoveries according to rules defined by Kevitsa process metallurgists. This system executes the control strategies for optimising the production of concentrates.Throughout the implementation and support phases, specific and intensive attention was paid to ensure plant personnel gained full understanding of interacting with the system and how to incorporate their process experience and skills to optimise the APC strategy. This level of expertise is also a valuable asset in understanding the APC system’s contribution to the overall performance of the plant as well as providing the ability and confidence to define key performance indicators used for continuous assessment. The experiences and results from site achieved so far are discussed in this paper.CITATION:Rantala, A, Muzinda, I, Timperi, J, Cruickshank, C and Haavisto, O, 2014. Implementation of advanced flotation control at First Quantum Minerals’ Kevitsa mine, in Proceedings 12th AusIMM Mill Operators’ Conference 2014 , pp 369–378 (The Australasian Institute of Mining and Metallurgy: Melbourne).

Sep 1, 2014

By E S. Bernard

Toughness testing of fibre reinforced concrete (FRC) at 28 days age is typically undertaken as part of quality control for the many applications where fibres are used in concrete, including shotcrete, tunnel segments, and cast-in-place tunnel linings. The performance achieved at 28 days is usually assumed to be retained with increasing age. However, as the average strength grade of concrete used in most tunnelling applications, including tunnel segments, has steadily increased over the last 20 years, this assumption is becoming increasingly unviable. This is because for some types of fibre the mode of post-crack fibre behaviour depends on the strength of the concrete and can change from a desirable high-energy pull-out mode to a low-energy rupture mode as the strength and age of concrete increases. This paper describes a series of trials performed over two years in which the American Society for Testing and Materials (ASTM) C1609/C1609M beam tests were used to assess the performance of FRC reinforced with two widely used brands of steel and macro-synthetic fibre. The hooked-end steel fibres used for half the beams exhibited a dramatic fall in performance beyond 56 days age as the mode of failure changed from pull-out to rupture. The other fibre did not exhibit a fall in performance with age. This phenomenon highlights the need to quantify performance of FRC at much later ages when long-term performance is required, for example, to resist seismic events or changes in ground stress due to nearby excavations. As an alternative, a reduction factor may be applied to the performance of FRC mixes for which evidence of satisfactory long-term performance is not?available.CITATION:Bernard, E S, 2014. Age-dependent changes in post-cracking performance of fibre-reinforced concrete for tunnel?segments, in Proceedings 15th Australasian Tunnelling Conference 2014, pp 229–236 (The Australasian Institute of Mining and Metallurgy: Melbourne).

Sep 17, 2014

The objective of a mine planning exercise is to plan a safe mine that maximises net present value (NPV) for the project. Two primary elements are key to design of a mine plan optimised to maximise profit: selection of an optimised production rate and selection of an optimised equipment fleet. Both depend upon accurate estimations of capital and operating costs for the equipment and for the life cycle of the mining operation. Once a trial production rate is determined, a primary equipment fleet, ie excavators, haulers, and blasthole drills, can be determined based on material characteristics and haulage distances and gradients. An auxiliary fleet, dozers, road maintainers, service trucks, etc can be determined using less rigid productivity criteria. With an equipment fleet determined, operating and support personnel can be assigned based on shift requirements and equipment operating needs; and material and supply requirements can be estimated. Knowing the areal dimensions of the major equipment items, road widths and repair shop dimensions can be determined. Personnel numbers and supply requirements determine the square metre sizes of offices, change rooms, and storage facilities. Reliable sources of capital and operating unit prices and costs for all these items are referenced in the paper. Once preliminary capital and operating cost estimates are calculated by applying unit costs to equipment, personnel, material and supply needs, potential profit can be tested using DCF techniques. An optimised mine plan can then be determined by testing the potential profitability of multiple mine production rates. Because of the economies of scale, full capital and operating cost estimates must be completed for each production rate in order to produce meaningful comparisons.

Dec 6, 2010