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By G Danckert

The key technical theme of ‘orebody knowledge’ has been applied by Rio Tinto in the Pilbara iron ore precinct from 1966, when operations first started there. It forms the basis of present day application, as well as planning for the future.This paper will review how the early towns and mines commenced and how they formed the basis of Rio Tinto’s early operations, on which the Pilbara precinct has been based. A profile of the last decade of Pilbara growth will be highlighted, together with the current integrated network of mines, rail and ports and the next generation of expansions.The paper will specifically describe the Rio Tinto process of significant resource evaluation, including comprehensive drilling programs and the conversion from resource to reserves. It will also describe the overall mine planning process, both from the strategic view, as well as for short-term mine plans.The ability to innovate in resource development will be discussed. This will include not only the technical dimension of changing cut off grades, use of low-grade ores and managing low-grade stockpiling and beneficiation, but also the broader application of new technology and innovation in the iron ore business.

Jul 11, 2011

By J Kwak

Driving sustainability concepts and practices into the heart of the design process is the key to achieving a successful, sustainable plant design. Engineering design practices, tools, systems and methodologies should be prepared around true eco-efficiency parameters, adopt wholesystems-thinking and consider life-cycle impacts for the design task. Experience dictates that the application of sustainable plant design practices is most likely to succeed if: The principles are well documented and explained. All stakeholders agree on what sustainability means. Sustainable plant design is treated as a core process. The principals of sustainable plant design are equally applicable in brownfield and Greenfield environments. Although brownfield situations provide the designer with less latitude for change, these types of projects do allow easier measurement and demonstration of relative impacts. This paper further develops the above points by drawing on case studies from HatchÆs repertoire.

Jan 1, 2004

By Y Akiti, J Moller, E Esper, R Rugolo, A Pains

"Morro do Ouro Mine is a high tonnage/low-grade mine located in Paracatu, Minas Gerais State, Brazil. The mines move around 55 Mt of ore per year at an average grade of 0.4 g/t. The auriferous mineralisation of Morro do Ouro is related to hydrothermal fluids rich in arsenic (As), gold (Au), lead (Pb) and zinc (Zn). These percolated along favourable structures contained within phyllites of Upper Proterozoic age and defined a mineralised megaboudin which outcropped with 4 km extension and up to 2 km in width. The litologies in the interior of this structure are typically more deformed, sericitised and sulfidised, and exhibit the development of quartz boudins in the centre of the more deformed zones where are found the higher Au grades and the coarser sulfide crystals. Gold is preferentially associated with arsenopyrite, mainly occurring in fractures or aggregations of crystals and is rarely in solid solution or refractory. Over 90 per cent of the gold contained in the sulfide ore is free or extractable by cyanidisation. The current mineral reserve is 17.9 Mt at 0.403 g/t published at the end of 2012.In order to get a good grade estimation that represents the orebody more accurately a solids methodology was used to distinguish the different orebodies. Before 2011 the orebodies were worked with two domains relating to the weathered mantle. The B1 ore, which is oxidised, is located at the top of mineralisation, and is used to feed Plant 1. Underneath B2 ore, which is fresh sulfide bearing, represents over 30 years of production in Plant 2.In order to improve the predictability of gold grade estimation in geological modelling and to get a better predicting behaviour of each domain on the deposit, studies were carried out in which it was possible to show a correlation between elements and the mineralisation. One strong correlation and spatial distribution between Au and As, As and sulfur (S), Au and Pb, Au and Zn were found.Based on geochemistry, mineral correlations, amount of sulfide, structural deformation, texture of sulfides and the daily experience of the mine, it was possible to create solids that individualised bodies with similar mineralogical and chemical characteristics using the parameters listed above.After 2011, a new modelling concept was proposed and built with 11 different domains, compared with the previous, and with two more parameters: recovery acid neutralised capacity (ANC).Each of these bodies have different behaviours in mineral processing, like flotation and metallurgy. For example, bodies with pyrrhotite bring problems in the flotation, bodies with high arsenic do not recover well, bodies with high As with coarse texture have good recovery, bodies with fine texture do not have good adherence in production.In the present state of knowledge, protocols are being developed for bench testing to predict the recovery of each geochemical domain aiming to include these in the geological model for the parameter recovery. It is intended to create a field throughput in the model of ounces per hour, from each block of each domain to better predict the production, using the parameter recovery, Au and Bond Work Index (BWI).CITATION:Esper, E, Rugolo, R, Moller, J, Akiti, Y and Pains, A, 2013. Morro do Ouro geological model with a metallurgical view, in Proceedings The Second AusIMM International Geometallurgy Conference (GeoMet) 2013, pp 67-74 (The Australasian Institute of Mining and Metallurgy: Melbourne)."

Sep 29, 2013

By O Bascur, A Soudek

Large metallurgical complexes are substantial users of energy, water and assets. To improve the effectiveness of energy and assets the quality of the data and events become paramount for real-time operational management. A lack of resources at the local operations and at the enterprise makes it impossible to process the sea of information and many projects have failed. As such, a novel approach for implementation of continuous improvements at the local level and innovations at the strategic level was implemented at all operating plants at Anglo American Platinum. Sixteen concentrators, three smelters and two refinery process systems were integrated to scale the information for manufacturing services at the local and enterprise level. The new capability of an enterprise real-time monitoring and diagnosis software infrastructure was available to implement many business strategies in tandem. Mineral and metallurgical processing knowledge is used to simplify the implementation of the data model. As such, asset monitoring, energy, production and process control management were implemented in an integrated approach reusing the same data but with different context and time horizons to have a standard methodology for local root cause analysis. This paper will highlight a sustainability management approach to change and empower the local and strategic team to collaborate using a new approach for adaptive reporting and condition-based event management and notifications. The results based on the integrated and collaborative team efforts will be presented. OSIsoft Plant Information system was installed and configured to achieve a targeted reduction in energy consumption of 15 per cent by 2015.CITATION:Bascur, O and Soudek, A, 2014. Implementation strategies for energy effectiveness and sustainability – example of Anglo American Platinum, in Proceedings 12th AusIMM Mill Operators’ Conference 2014 , pp 101–108 (The Australasian Institute of Mining and Metallurgy: Melbourne).

Sep 1, 2014

By C G. Sweeney

The underground mining industry is seeing unprecedented shortages in skilled labour. Migration to Australia being at an all-time low is a leading concern, with pandemic-induced border closures and lockdowns only exacerbating the skills shortage, not causing it. The skills shortage is forecast to peak in 2023 and remain high beyond 2025. With this skills shortage in mind, mining companies throughout Australia are trying to deal with stricter protocols around Health and Safety (H&S) legislation, as well as more stringent controls on quality assurance, particularly as underground mines are reaching greater depths and extending into ‘unchartered territory’. The cumulation of this is proving to be a major hurdle in ‘effective’ operational geotechnical management. The drive for automation in mining is bringing another level of complexity. However, ‘once automation is up and running, it presents the opportunity to access talent pools that may not normally be available. There is also a change in skillset that will be required to drive automation. ‘The top two emerging roles that will be critical for the future of the mining industry are artificial intelligence and machine learning (AI/ML) specialists, and process-automation specialists’ (Writer, 2021). If anything positive has come from the pandemic, it has shown that remote working can be effective and that the drive for automation and critical evaluation of skills required on-site should be given greater priority. UQ acknowledges that the industry is changing, and that digital technology is required to be offered in mining related disciplines. Industry and academia need to do more to promote geotechnical engineering in mining and balance the curriculum to suit the future of mining and make it more enticing. The average cost of a geotechnical failure is about $5 million in coalmines and can be into the hundreds of millions of dollars if production is affected (Cartledge Mining and Geotechnics, 2020). The cost of a good geotechnical design far outweighs the potential losses if a failure were to occur. This alludes to the growing importance of experienced geotechnical consultancies playing a pivotal role in managing mine site geotechnical hazards, while the industry is developing the next generation of geotechnical engineers.

Nov 29, 2022

By D Andrew, G Stanway, P Mahoney, C Griebel

The iron ore mining industry is currently going through an adjustment from high to more moderate growth as China’s economy transitions from capital-intensive investment to a more services-oriented economy. We are now witnessing a renewed focus on productivity improvements and cost savings as planned expansions are completed. Despite the scale and importance that the mining industry plays in the global economy, innovation literature is generally more targeted at faster-moving industries with shorter innovation timeframes and lower capital requirements. To fill this gap, VCI set out to understand the state of innovation in the mining industry in 2014. This State of Play report aims to give an objective appraisal of the strengths and weaknesses of innovation in mining. The report has three sections covering both the structure and delivery of innovation in mining:Ecosystem – focused on understanding how the iron ore mining innovation ecosystem system works, including the roles of large and small miners, service companies, researchers and governments. Our recommendations focus on what is required for the system to work well and improve the level and quality of innovation in the industry.Strategy – how do companies define their innovation strategy in relation to their corporate strategy? How are these related to prevailing global and industry trends? How do they communicate this with their business? How successful are they? These are among the questions that this section attempts to answer. Our recommendations are pitched at the executive leadership of iron ore mining and service companies.Delivery – focused on how companies develop and deliver innovation, looking at the success of different structural options, leadership and culture, partnerships and the best approaches to change. Recommendations are aimed at improving outcomes within the iron ore mining value chain, including the role that suppliers play.CITATION:Stanway, G, Mahoney, P, Andrew, D and Griebel, C, 2015. Understanding the state of innovation in the iron ore industry, in Proceedings Iron Ore 2015, pp 631–646 (The Australasian Institute of Mining and Metallurgy: Melbourne).

Jul 13, 2015

By C Dick

Over the past three decades, mining operations have seen a significant increase in the use of contractors for mining, camp management and catering, recruitment, maintenance, power management, and commissioning. More recently contractors have been engaged for stores and logistics, OH&S, environmental, exploration, training etc. In some countries, such as South Africa, the trend is towards total outsourcing of all aspects of a mining operation which is coordinated by the owners’ management team.During the Global Financial Crisis (GFC) more Australian companies considered and/or took on this approach to recruiting for both projects and operations as mining companies were forced to rethink their corporate strategies as commodity prices plummeted to low levels, pushing operations and projects into potentially financially unviable territory.This paper discusses the labour recruitment, commissioning and operating strategy of Western Areas NL (WSA), with the assistance of Independent Metallurgical Operations Pty Ltd (IMO), as it progressed construction, commissioning and operation of the Cosmic Boy nickel concentrator at the Forrestania Nickel Project during and post GFC. The use of IMO contractors allowed Western Areas to mitigate labour cost risk during the uncertainty caused by the GFC and let their management team focus on the task of bringing a new operation into viable and profitable production.

Aug 8, 2011

Addressing community concerns in relation to an economic activity, particularly when it causes significant community impacts, is especially important for the development of extractive industry projects. Pipelines comprise an integral part of many hydrocarbon developments, which may cause different effects on local economic development, communities and the environment compared with open cast mines. This paper explores community impacts associated with a case study of the oil pipeline æEastern Siberia-Pacific OceanÆ in the Republic of Sakha (Yakutia), Russia. Based on semi-structured interviews, conducted in 2006 - 2008 in Russia, the paper investigates claims of local communities about potential impacts of the pipeline development of their environments and economic activities as well as community claims for greater involvement in sharing the benefits from this major infrastructure project. A community of Indigenous people, Evenk, is likely to be most profoundly affected by the development due to impacts on their traditional activities such as hunting and reindeer herding. The paper examines in detail the regional economic, social, environmental and Indigenous peoples concerns over the construction of the oil pipeline and investigates actions and methods adopted by community organisations to voice their concerns about the pipeline development. Finally, the paper assesses the process of interaction between the pipeline developers and regional stakeholders.

Jan 1, 2009

By R C. A Minnitt

The Witwatersrand Supergroup is host to the world’s largest gold deposits. The location, quantity, grade, continuity and other geological characteristics of a Mineral Resource are either known, estimated from specific geological evidence and knowledge, or interpreted from a well constrained and portrayed geological model. Establishing such a model is an integral part of the evaluation process in the Anglogold Ashanti (AGA) group, and is referred to as a Geoscience Business Model for the mining operations. The geological model established over the years has relied on detailed descriptions of the mineralisation, and understanding of the regional and local geology of the Witwatersrand sediments, in the West Wits and Free State goldfields. The processes of data collection in regard to underground stope and developing mapping, structural and sedimentological mapping, and the geological inputs to mine planning systems are described, together with aspects of drilling, sampling, grade control, and data management. Anglogold Ashanti’s Geoscience Department employs a complex and unique process to generate the Mineral Resource, including a 3D geological structure model of the orebodies which are usually highly faulted, and a robust mineralisation/facies model on which the decisions about domain boundaries are established. A Mineral Resource Inventory System (MRIS) has a dynamic graphic interface to the resource database that is used for compiling the resource statement. It is also used to determine the gold-called-for, as well as short and long-term planning. A unique estimation process using the extensive closely spaced stope face sampling database and the more widely spaced surface drilling information is used in combination in the Macro Co-Kriging estimation. The use of different support sizes in the C0-Kriging process is preceded by the equally unique ‘clusterisation’ and ‘acceptorisation’ procedures by which the data are quality controlled and assured prior to their use in the kriging process. The Mineral Resource and Ore Reserve estimates are classified according to the SAMREC code through a method that ensures that they are compliant, auditable, transparent and reconcilable with previous Mineral Resource and Ore Reserve statements.

Aug 22, 2011

By G Pitkin, D Sorley

The purpose of any consultancy is to provide a superior service for their client. Organisational structure is a key element in providing this service and differentiating between consultants.In an organic organisation the emphasis is on effectiveness, problem solving, responsiveness, flexibility, adaptability, creativity and innovation. Such an organisation is able to respond in a timely manner to change because employees are empowered to be creative, to experiment and to suggest new ideas. The process of innovation is triggered by employees throughout the organisation in a collaborative manner.Problem solving becomes a core competence of the consultancy. A multidisciplined approach arrives at superior solutions that are rigorous, holistic, achievable and often novel. It allows the mining consultancy to extract the most from a very talented and experienced team.This paper highlights the advantages of an organic structure for a mining consultancy and how to implement such a structure. It draws on examples of innovative problem solving from feasibility and strategic studies carried out in Australia and Africa.CITATION:Pitkin, G and Sorley, D, 2016. Organic management structure – its advantages in a mining consultancy, in Proceedings International Mine Management Conference, pp 155-162 (The Australasian Institute of Mining and Metallurgy: Melbourne).

Jun 22, 2016

By Twemlow GL

The accounting profession in Australia and overseas has taken up the responsibility of setting standards specifically relating to the minerals and energy industries. Australia led the way with AAS7 Accounting for the Extractive Industries. This statement was issued in 1976 and amended 1977..It largely deals with accounting for preproduction expenditure and uses the term "economically recoverable reserves". It does not require disclosure of reserve quantities or values in balance sheets or as supplementary information in financial statements. The United States accounting profession in 1982 finally resolved an accounting standard in the same area as AAS7-SFAS69 Disclosures About Oil and Gas Producing Activities. It applies only to oil and gas producers, but has extensive disclosure requirements, including proved oil and gas reserve quantities. Current developments indicate that Great Britain is about to follow the US example. At this time in Australia, AAS7 or some other statement relating to the extractive industries has not been issued as an approved accounting standard by the ASRB. Standards issued by the ASRB are binding in law.

Jan 1, 1987

Gold rooms represent a high security area and preventing theft is a challenging task. Where gravity concentrates or high value unit intermediate products are present, particular and specific security procedures must be put in place. This paper describes the development and implementation which reflects best practice in gold room security. Procedures involving key holder systems, key locks, swipe cards and double locks preventing any one person having access to the gold room, including specific procedures for gravity gold concentrators, will be addressed. The use of monitoring and how to deal with alarms and potential hold ups will be reviewed. The use of cameras and archival DVD recorders is common in gold rooms. The use of electronic surveillance, movement detectors, seismic monitors and the two person policy and gold room entry procedures are described, including how to deal with visitors. The importance of confidentiality regarding smelting and gold pick-up days, plus strategies employed to minimise storing large quantities of gold on site will be presented. The role of metallurgical accounting in providing quality auditable information and the minimum standards of record keeping required is discussed. The role of the Gold Squad will be outlined. Regular auditing and risk analysis and several case studies are cited where security was deficient or improved.

Aug 1, 2010

By Y Cao, J C. Tien

Occupational health and safety is essential in modern mining workplaces and in China it is often not given enough emphasis due to a lack of knowledge and/or appreciation. Although many health and safety regulations have been passed over the years, serious and relevant laws and regulations on mine health and safety are of recent history (since 2002), the level of stringent enforcement is still inconsistent and accurate field data are scant and not readily available. As of year-end 2006 there were 676 562 recorded cases of occupational diseases in China, of which 616 442 or 91 per cent were miners’ pneumoconiosis. Of these, 146 195 (23 per cent) have died, and an average of 10 000 new cases were added every year between 1991 and 2006. Another report shows that 93.18 per cent of miners have never had a contract with their companies, which means their cases were not even part of China’s official statistics. This study attempts to examine the prevalence of occupational diseases in the Chinese mining industry during 2000–2013, compiled from government annual reports and academic studies. The research will review the correlational analysis among occupational diseases, ventilation practices, protection devices and legislation.CITATION:Cao, Y and Tien, J C, 2015. Occupational diseases in China, with the emphasis on its occurrence in Chinese mine workers, in Proceedings The Australian Mine Ventilation Conference, pp 155–160 (The Australasian Institute of Mining and Metallurgy: Melbourne).

Aug 31, 2015

Exploring long-term future possibilities for your business and methods for achieving them are critical functions of leadership. More than ever, strategic initiatives today have to be planned and delivered in an environment of disruptive change û driven by shifting business or regulatory imperatives, new technologies and global economic change, and diverse stakeholder interests. The notion of The Future as a single inevitable outcome is obsolete. There are many possible futures. This paper explains an innovative process û known as scenario planning û to help executives in the construction and testing of longer-term strategies to deal with uncertainty.

Jan 1, 2006

By P Micale

Geological data provides the foundations for the mining value chain. It is used to underpin the modelling and planning and consequently optimise downstream business decisions. However, it is often forgotten or taken for granted. End users often assume the data to be sound without verification. Geological data can be considered a company’s number one asset. Subsequently, the storage, use and management of this data need careful curation and time invested in preserving and protecting it. An established polymetallic mine with 20 000 drill holes could have a data replacement value in excess of $500M at 2020 prices, excluding labour and salary costs. The Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves (the ‘JORC Code’) provides guidelines for Public Reporting. Within the code, Table 1 requires discussion around the different types of geological data, its collection and use. What is needed is additional details regarding the validation and integrity of the geological database. A comprehensive guideline specifying minimum geological standards for geological databases has been developed. This expands on the critical points outlined in Table 1 of the JORC Code. This guideline can be used by companies where geological databases are managed in-house or used to assess these services’ outsourcing. This guideline will ensure that geological data is reliable and unadulterated and can be used with confidence. Using this guideline will assist in preserving the investment of geological data in the mining value chain

Mar 22, 2022

The following paper outlines the types of employment immediately available to graduates following their university degree, a discussion on mine manager requirements, mentions career advancement and time frames to achieve this as well as providing some key information regarding student vacation work. The author hopes to educate present graduates, as well as inform students of characteristics to develop the most opportunities in life.

Jan 1, 2006

Outsourcing of mining operations and services is done for various reasons and there is no single model which fits all situations. Experienced contractors and mine owners have also developed, more often than not, jointly, numerous commercial arrangements and project delivery methods to suit their particular project. It is often the case that some mine owners who have not considered outsourcing to contractors do so because of a simple lack of understanding of the potential benefits. This paper will highlight the potential benefits and perceived disadvantages of outsourcing for mine owners and demonstrate how these issues have been addressed by the mining contracting community over recent times as well as demonstrate the evolution of current commercial arrangements in engaging mining contractors.

Jan 1, 2006

By L Lorenzen, H Muller

"Every year a large number of projects are evaluated by small listed and unlisted mining companies that are hoping to find the ideal project, which will catapult them from a mining junior status to that of a mid-tier mining company. Usually this includes finding the æidealÆ or ærightÆ orebody and then developing a process which will allow cost-effective recovery of the valuable metals and the production of a saleable product. These dreams are seldom realised and there are a number of good and obvious reasons for this. Issues that are generally high up on the agenda for the smaller companies are: cost of developing a project before the feasibility study stage finding a suitable, or optimum processing technology financing of the project dealing with risk.The most expensive part of the development process for the small miner is often the exploration side of the business and finding the æidealÆ orebody. However, finding the right orebody will not be discussed in this paper. The æidealÆ orebody does not necessarily solve the problems of the mining junior, as much of the uncertainty lies in the process required to recover and produce the final metal product. Once a mineralised deposit has been identified and the grade at least reasonably qualified, the development of a suitable process becomes the driver to convert the deposit into an orebody. This paper proposes that a small exploration company has a very limited opportunity to succeed if it does not do sufficient homework before it identifies the æidealÆ orebody. The risk profile for the small mining company, by its very nature, has to be different to that of a major company and as a result the opportunities often lie in managing different and often new process options, which may be the key to bring such projects on line successfully.CITATION:Muller, H and Lorenzen, L, 2012. Project selection and process development for mining juniors, in Proceedings Project Evaluation 2012, pp 149-158 (The Australasian Institute of Mining and Metallurgy: Melbourne)."

May 24, 2012

Since the days of Adam Smith and Milton Friedman the discussion of corporate citizenship and sustainability has been flooded with multiple contradictions, with proponents of sustainability saying that it is a crucial cog in the business strategy, while those against, maintain that æthe business of business is businessÆ and therefore sustainability issues are just add-ons. Sustainability arises from a deeply held vision by corporate leaders that businesses can and should play a role beyond just making money. Businesses should embrace the understanding that everything that a company does has an impact both internally and externally (communities, employees and customers), and the natural environment. This paper highlights the approach that led to a view that there is a contradiction between profitability, sustainability and community development, and we provide a further argument to the contrary. This argument is based on a comprehensive literature review of over three decades by various scholars linking corporate social performance and corporate financial performance. Driefontein Gold MineÆs approach is that of linking the community development, natural environmental and employee well-being initiatives and projects to the mineÆs business strategy. The paper further highlights the coordination and implementation mechanism of sustainability at the mine where the accountability lies with the head of the mine operations. A two pronged approach is employed where there is an internal dialogue on sustainability between the various departments coordinated by the sustainable development department and an external tri-sector partnership with local government, interested and affected parties and the mine. These approaches are closely linked to the contributions towards the mineÆs financial bottom line.

Jan 1, 2009

By P J. McCarthy

Globalisation and consolidation is resulting in the mining industry coming to be dominated by a small number of very large companies seeking to lever assets and knowledge to create wealth. As an important service provider to the mining industry, the minerals tertiary education sector needs to understand these global drivers and respond to them. However, it is under-resourced and its sustainability is under challenge in all Western countries. Through the establishment and funding of the Minerals Tertiary Education Council (MTEC), the Minerals Council of Australia (MCA) has provided a unique opportunity to build a national, world-class minerals tertiary education environment in Australia that can be sustained in the long-term. This paper reviews how the global changes occurring in the mining industry provide the model for what needs to occur in the minerals education sector and how MTEC is the logical vehicle to facilitate these changes. It concludes by suggesting that the time has come to integrate the minerals tertiary education providers into one business. Furthermore, the vision should be for a global mining education academy based around a virtual university capable of servicing the cultural diversity and continuing education needs of the global minerals industry.

Jan 1, 2001