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It is commonly accepted that govern ments have a role in the financing of mineral development. The reasons for government involve- ment are examined in general and in the light of the current situation in Aust- ralia, particularly having regard to the ownership of resources. A brief introduction is given to the new Australian Government bodies, the Petroleum and Minerals Authority and the Australian Industry Development Cor- poration, designed to fill a new role in mineral development, and to the basic changes brought about by the Australian Government's decision to become involved in the future development of the country's mineral resources. It is generally accepted that governments do have a role in financing mineral development. This acceptance does not seem to be confined to Aust- ralia alone but is more a worldwide phenomenon. Mineral development has traditionally been regarded as the pre- serve of private enterprise and there- fore is presumed-to be profitable, and so it is instructive to ask why there is this special role for governments.

Jan 1, 1974

This paper compares and evaluates the impact of income tax and value-added tax on the decision to explore for minerals or to develop a mine in four countries: Australia, Papua New Guinea, Argentina and Indonesia. Three aspects are considered in depth:- domestic tax rules applicable to mining projects;- taxation of foreign mining investment and foreign providers of expertise;- taxation of project finance (other than equity) from foreign sources.Specific tax issues discussed include tax deductibility of various costs, treatment of tax losses, special tax incentives, comparative treatment of various corporate structures, non-resident withholding taxes, and tax costs of various forms of project finance. The paper also illustrates the comparative impact of income tax on rates of return by means of a simulation of a mining project in each of the four countries. The simulation demonstrates why the highest rate of return may be obtained in Argentina and the lowest in Australia.Relevant features of the income tax systems in each country (at 15 February 1990) are summarized and compared in several tables annexed to the naner.

Jan 1, 1990

This paper explains why the valuation of mining assets is often a very different exercise from the valuation of the shares in the mining company which owns those assets. The fundamental reason for this is that mining assets, and the shares of the company which owns those assets have different risks. In order to properly value mining securities it is essential to: ò ensure all the different risks and other factors which impact on the value of the mining assets and the value of the shares are taken into account; and determine the extent to which the different risks and other factors are addressed in the value of the mining assets and the value of the shares so as to avoid double counting or not counting at all. If the alternative, but far from consensus, view is accepted that the correct valuation methodology to apply to shares in mining companies should be based on option pricing theory then conventional valuation practice of both mining assets and shares in mining companies will need to be fundamentally reassessed.

Jan 1, 1994

By Phillips J. T, Hutton W. A

This paper discusses why Argyle Diamonds adopted thickened tailings disposal in 1985 and how the system was developed over the next seven years. A wide ranging review of the thickened tailings disposal system and the tailings deposit it was producing was carried out during 1992 and 1993. The results of that review led to the abandonment of thickened tailings disposal at Argyle because of serious concerns about the stability of the resultant tailings deposit. The exposure to the risk of liquefaction and an assessment of the consequences if this happened to the thickened tailings deposit are shown. The criteria for selecting the new tailings disposal strategy are then described. The final section of the paper discusses the management strategies that have been put in place. These are designed to: ò reduce the risk posed by the thickened tailings deposit to an acceptable level; ò safely store tailings to the end of mine life; ò produce a land form that can be decommissioned to the satisfaction of Government regulatory bodies.

Jan 1, 1996

This paper discusses why Argyle Diamonds adopted thickened tailings disposal in 1985 and how the system was developed over the next seven years. A wide ranging review of the thickened tailings disposal system and the tailings deposit it was producing was carried out during 1992 and 1993. The results of that review led to the abandonment of thickened tailings disposal at Argyle because of serious concerns about the stability of the resultant tailings deposit. The exposure to the risk of liquefaction and an assessment of the consequences if this happened to the thickened tailings deposit are shown. The criteria for selecting the new tailings disposal strategy are then described. The final section of the paper discusses the management strategies that have been put in place. These are designed to: ò reduce the risk posed by the thickened tailings deposit to an acceptable level; ò safely store tailings to the end of mine life; ò produce a land form that can be decommissioned to the satisfaction of Government regulatory bodies.

Jan 1, 1996

Ore sorting is a high capacity, low cost method of preconcentrating ores and in some cases of producing a marketable concentrate. In most cases it is applied to run of mine material, immediately after primary crushing and screening in sizes ranging from 10 mm to 150 mm. Recent developments in bulk sorting of friable uranium deposits have resulted in machines capable of handling fine materials with sensing and separation being achieved on a zone by zone basis. Modern ore sorting machines rely on the synchronous operation of four internal sub systems, feed presentation, sensing, data processing and separation. A variety of different sub systems is available which can be combined in various forms to produce sorters capable of handling a wide variety of mineral types. The benefits in using ore sorting cover a wide range of situations and are applicable to both established mines as well as new mining ventures. Reduced operating costs, increased productivity, capital savings, energy and resource conservation and environmental issues are all part of the reason why ore sorting is finding rapid acceptance in today's mining industry.

Jan 1, 1980

In the past ten years or so there has been a renewed interest worldwide in the processing of refractory gold ores. The Archean province of Western Australia contains both numerous and major gold deposits, and has a long history in the development and practise of treating refractory ores (eg Blaskett and Woodcock, 1953). Depletion of shallow oxidised ores in recent years has re-focused attention on deeper sulphidic ores, and as a consequence has renewed interest in treatment methods for those ores which are refractory. Mineralogical factors he at the heart of reasons as to why these ores are refractory, and are the key to designing and improving treatment options in the longer term. This paper presents an overview of mineralogical factors that are relevant to the processing of refractory gold ores in the Archean of Western Australia. It is based on a number of research projects and other work on a variety of gold deposits, mainly in the Eastern Goldfields region, carried out over the past five years or so.

Jan 1, 1991

By R Bunduwongse

The oil crisis had repercussions throughout the world and most importantly on mining, where the drive to reduce the use of liquid fossil fuel led directly to the appearance and subsequent growth in the design of mobile crushers in late 1970s early 1980s, which heralded a new era in both quarrying and mining. Even though mobile crushing has now become common, even preferred in the quarrying industry, this has not been the case in mining. This paper looks at why, in spite of the initial optimism, this technology has yet to gain full acceptance in the mining industry. The paper examines some of the problems that have been encountered in the past and offers suggestions as to how they can be avoided by applying the appropriate technology. It then takes a look at the successful application of the semi-mobile in-pit crushing system used by Italian Thai Development Company (ITD), on the Mae Moh Phase 5 contract and examines how the techniques used successfully there could be applied to the industry at large.

Jan 1, 2007

The pressure of low commodity prices forced the design process for the second lift of Northparkes E26 Mine to adopt a continuous improvement philosophy. The emphasis was to minimise capital expenditure while still maintaining the excellent low operating costs achieved on Lift 1. Although the first block cave lift at Northparkes is the most productive underground mine in the world and is held up as a benchmark for the use of technology in mining, areas for improvement were identified. Every area was critically assessed and investigated for the possible application of new techniques and technologies. Key learnings from the construction and production phases of Lift 1 were captured, documented and used as the starting point for the Lift 2 design. This paper shows how and why the design parameters initially used onLift 1 were changed to become the current E26 Lift 2 developmentproposal. The main differences between the two block caves arehighlighted. The alternative techniques and equipment that wereconsidered are also discussed. * Originally published in the Proceedings of MassMin 2000,published by The AusIMM.

Jan 1, 2001

By R Polmear, G Mauger

You wouldnÆt start excavating before testing core samples, so why would you approve a project plan before all factors have been identified, reviewed and addressed? Even a champion sports team made up of the best players canÆt produce optimal results without a well understood and agreed game plan. Could an F1 racing team produce their outstanding performance without rigorous evaluation and testing of the factors for successful performance? Why would we expect a capital works project team to be able to get it right without an understanding and an involvement in setting and implementing the overall game plan and without an understanding of all stakeholder requirements? For International PowerÆs Hazelwood (IPRH) mine in Victoria, the challenge was development and delivery of a 40 year mine plan, ultimately involving relocation of existing mine operations into an adjacent new coal field, land acquisitions and major environmental and other approvals to allow diversion of three streams, a highway, an Over Dimension route and other infrastructure in a political and environmentally sensitive atmosphere. The lessons from International Power HazelwoodÆs (IPRH) experience are: that the clear set of project principles and guiding values ensured delivery of a robust plan; a robust plan can withstand significant change; and value management (VM) played an important role in providing assurance, to all, that the plan was sound at both the strategic and micro levels. This Hazelwood mine project included five major VM workshops. The first was a critical review process in addition to design and cost reviews. This VM workshop was used to analyse, at a high level, the preferred coal mining sequence and design concepts, together with the interaction between design elements, risks and costs. In addition to this, the workshop provided an agreed common pathway for all downstream decisions. A second VM study was conducted to ensure that the proposed plan and design for relocation of the conveying systems from the existing mine into the new field were planned for optimum achievement from a whole of life cost, time, operational and maintenance perspective, plus the logistics of continuing operations while relocating assets. A third study followed to review the Conveyor Transfer Alliance and review functional design. A fourth VM study workshop was formed at the start of Phase 2 Alliance to ensure that the best value for money was being achieved through the current design, schedule and project arrangements and that all interfaces between parties had been reviewed and responsibilities were clear and understood. Other studies are outlined later in this paper. This paper details the evaluation criteria and processes used in the project evaluation that led to the WestField Mine Development.

Jan 1, 2007

By S A. McManus

With the advances in software speed and capability, many of us now are running multiple scenarios on entire models rather than just testing small areas or a few blocks. In the authors experience both the geological and geostatistical academic theory and our rules of thumb, often prove un-useable or incorrect in the real world we work in. The only way to truly validate and tune our models is to complete the entire model and ‘see if it works’. If it lacks some property we were expecting, then we need to find out why and/or run different scenarios to see what changes. This is not always possible with tight project timelines but we find ourselves doing more and more of this sort of thing, and in so doing, understand that every deposit is different and requires its own ‘rules’ to get valid and useful results. For the purposes of this paper, this process is termed Empirical Geostatistics. Take Clayton Deutsch’s ‘all realisations all of the time’ concept a step back. Before you even think of simulating, test the alternate realisations generated by alternate parameters such as different domaining, varying search neighbourhood parameters etc.

Mar 22, 2022

Valuers of mineral properties should be aware that accountants are a major user of their opinions of value. Reliance by accountants can range from obtaining comfort that book values in balance sheets are not overstated to establishing values by which to assess the fairness of a takeover offer. Accountants using mineral property valuations clearly can't be expected to have the same level of expertise as the valuer and ""second guess"" the valuation. But they do have an obligation, under the ASC guidelines and their own professional standards, to'check the logic and reasonableness of the valuation before being able to rely on it. This means reviewing the valuation report for general sensibility, discussing the methodologies and assumptions with the valuer and being satisfied as to his competence and independence. This paper outlines how accountants use mineral property valuations, the level of scrutiny applied to such valuations and the problems commonly encountered in practice by accountants seeking to rely on them. The paper also explains how values of-mineral properties are established in company balance sheets and why these often differ, quite validly, from fair market values.

Jan 1, 1994

By S A. Prevec

"An EXTENDED ABSTRACT is available for download. A full-length paper was not prepared for this presentation. Traditional models employed to genetically link associated chromite and platinum-group elements have favoured crustal contamination as the primary process for inducing sulfide and oxide saturation. The association of chromite ores with crustal contamination is well established in the literature. However, in the 1970s (cf Irvine, 1973, 1975), Irvine demonstrated that crustal contamination was in fact problematic as a tool for inducing chromite precipitation in mafic to ultramafic magmas. His results are re-examined here, along with some attempts to reconcile them with the effects of adding Fe to the models. It is concluded that crustal contamination is indeed problematic based on phase relationships alone. However, the role of fluids as a compensating agent is evaluated, which may explain why crustal contamination may indeed facilitate oxide and sulfide precipitation.CITATION:Prevec, S A, 2015. Chromite and platinum-group elements coprecipitation by crustal contamination or magma mixing revisited – genetic and exploration implications, in Proceedings PACRIM 2015 Congress, pp 311–316 (The Australasian Institute of Mining and Metallurgy: Melbourne)."

Mar 18, 2015

In order to fully understand why Amax Coal puts such extreme emphasis on the drilling and blasting programs at each of our mines, we must review the past. This paper will discuss the drilling and blasting techniques we used in the 1970s and their evolution to current practices. As time progressed, major changes influenced the surface mining of coal through new more restrictive governmental controls and local communities organising into groups with two goals in mind, one to shut down the mines and the second to try and get rich by making false and unjust damage suits against the mines. In virtually all of our midwest surface operations we have at one time or presently are facing litigation that has reached into the millions of dollars. Amax Coal has worked in co-operation with the United States Bureau of Mines in the areas of blast vibration, shot design, highwall safety, blast casting studies and many more. Today we are continuing to work with Dr David Siskind and his expert staff seeking answers to old and new problems addressing the blasting of overburden and parting seams.

Jan 1, 1995

The concept of "profit" is implicit in the definition of an ore reserve. It is suggested that the flexible concept "economic" is more appropriate. This allows different economic considerations to be taken to account when determining what is ore at the feasibility study stage; during actual mining production; before mine closure; and from the viewpoint of the national economy. Economic factors which are highly variable, and largely beyond a mining enterprise's control, affect the economic exploitation of a mineral resource. Major economic factors include: metal prices; operating costs; the cost of original and replacement capital equipment; the cost of capital; taxation and royalties; inflation; exchange rates and the state of the world economy. The paper suggests why a careful quantification of the average value, trend, and variation from the trend of major economic factors should be made and how this will lead to a better definition of ore reserves. The paper also discusses the necessity of reappraising economic factors during the life of a mine in order to maximise the economic surplus and to minimise the wastage of natural, economic and human resources employed in mining.

Jan 1, 1979

FOR some reason there is not any extensive literature in print on the electrolytic refining of copper, although the method is in general use in America and Europe. In Australia there are but three plants in existence one small one at Wallaroo, in SouthAustralia; one at Lithgow and one at Port Kembla the last two being in New South Wales. The largest of these is the Port Kembla plant. It is also the most modern, and embodies all the latest appliances and improvements of electrolytic practice.The plant and methods about to be described is that at Lithgow, with which the writer was associated for some years, and the experience gained there may be of interest. Electrolytic refining of copper is one of the simplest operations of metallurgy, but, like all metallurgical operations, it requires constant attention and a large amount of common sense. The man in charge should be endowed with an insatiable curiosity as to why certain things are occurring, and an instinct of cleanliness, whichmy first mentor in chemistry, Mr W A Dixon, once impressed on me was better than godliness.

Jan 1, 1911

Direct smelting of copper in a single vessel has long been the extractive metallurgist's dream. Such a process offers the important alvantage. of (i) maximum use of the energy available from oxidizing the sulphur and iron of the concentrate: (ii) restriction of SO2 emissions to a single constant-strength source; (iii) minimum materials handling and (iv) elim-ination of at least one process step. Extensive developmental work was carried out in the 1960's and 1970's to implement such single-step processes. Some of the processes reached the prototype stage and it appeared that copper smelting technology was on the thresthold of a new, efficient, minimum-pollution era. Since that time, however, the forward thrust has slowed and single-step copper smelting is still a process of the future.The paper describes the potential advan-tages of single-step smelting; its history and current status; and the reasons why it has not been adopted industrially. It concludes that the potential benefits of single-step smelting are powerful and that many of the difficulties encountered in the 1970's will be overcome in the 1980's.

Jan 1, 1985

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

By B Mack

The cost of water treatment is now more than ever a major consideration for maintaining an environmentally and economically sustainable mining operation. As an industry, we often have to consider water sources that are highly impure and difficult to treat. We are also discovering the value of our waste waters in this regard and using new and improved methods and technology to reclaim and reuse water. In many instances, the water or waste water to be treated is highly acidic and saturated in sparingly soluble salts. Conventional systems used to liberate this type of water typically involve high doses of lime with large volumes of waste sludge produced, and are comparatively complex to operate, to pretreat the water in order to reduce scaling tendency on the reverse osmosis stage. However, if the water is considered valuable for reuse, then why not avoid difficult and cumbersome pretreatment processes and treat the water at low pH to keep the sparingly soluble salts, metals and other dissolved species in solution. This paper describes a patented technology that uses and successfully proves this concept as a cost effective option for certain situations. Results from a treatability study on an Australian groundwater are discussed, along with an economic comparison to a conventional method and discussion on full-scale potential.

Jan 1, 2009

THE object of this paper is to offer some suggestions to assist metallurgists to supervise the operations of flotation plants. We do not yet thoroughly understand what "flotation" is or "why minerals float" and all attempts that have been made to explain the phenomena have been based on theory or imagination, and have not been capable of substantiation by practical demonstration, or even by laboratory tests; but it is wellknown that particular minerals will float in a liquid under certain specified conditions, and that some other minerals will not float under those conditions, and that, if a mixture of the two classes of minerals be subjected to those conditions, there will be separation of the minerals, of which one class will float and the other will remain unfloated as a residue. The duty of the flotation expert is to so control the operations and the conditions of the liquor as to obtain the best commercial result from the ore he is treating. The chief controlling factors in a flotation plant appear to fall under the following eight headings, all of which are important:1. Crushing.2. Rate and regularity of feed.3. Density of pulp.4. Temperature.5. Addition agents.6. Condition of circuit liquor.7. Agitation.8. Aeration.

Jan 1, 1920