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By F F. Pitard

The optimisation of a metallurgical plant requires two kinds of sampling systems. The first provides samples to follow process changes, so in due time actions to maintain key parameters within pre-established specifications can be applied. The second provides composite samples at the end of a working shift to demonstrate that valuable constituents sent to the plant went to either a final concentrate or to the tailings in a logical, expected proportion. Contrary to what many experts may claim, these two kinds of sampling requirements are incompatible and cannot be fulfilled using the same sampling systems; this is because the required samples have completely different objectives. A process control sample is an instantaneous sample with increments taken at short intervals, and the objective is to know where the process is at any given time. Excellent accuracy is not a must, however good precision is recommended since a possible process correction may need to be made. Online analysers fed with in-stream stationary cutters or other kinds of in-stream or by-stream probes can do well for such a mission. A composite sample for metallurgical accounting with increments collected over a long period of time, for which excellent accuracy and good precision are both required, must be generated by sophisticated and extremely well-maintained cross-stream sampling stations. The use of process control sampling systems to achieve good metallurgical accounting has been promoted by several manufacturers of sampling equipment around the world; it is a grave mistake that is misleading top management and a practice that should be scrutinised and preferably eliminated. Furthermore, bias tests used to prove otherwise are often based on insufficient data to draw valid conclusions; a guideline is provided.CITATION:Pitard, F F, 2014. Sampling systems for process control and metallurgical accounting, in Proceedings Sampling 2014 , pp 25–32 (The Australasian Institute of Mining and Metallurgy: Melbourne).

Jul 29, 2014

Coal exports are forecast to grow strongly, so that coal is likely to remain very important to Australia for the foreseeable future. However there is no sign that prices or profitability will rise of their own accord. Therefore the intense squeeze on costs will continue for the foreseeable future. This will mean lower manning, more outsourcing and probably an increasing rate of company attrition. As well, the political pressure from the greenhouse debate is only going to intensify and the pressure on the Federal Government after Kyoto is likely to be irresistible.

Jan 1, 1998

By R Grogan

Nautilus Minerals Inc is a sea floor resource exploration and development company focused on developing the Solwara 1 Project, a copper-gold sea floor massive sulfide deposit in the territorial waters of Papua New Guinea, for which it holds a mining lease and associated environment permit.Economies depend upon four key types of capital: built, natural, financial and human. Natural capital consists of the ‘minerals, energy, plants, animals, ecosystems (climatic processes, nutrient cycles and other natural structures and systems) found on Earth that provide a flow of natural goods and services’ (Daly and Farley, 2004). Many ecosystem goods such as fish, fruit and water are already valued and sold in markets; however, some ecosystem services are not amenable to markets and have remained unvalued in traditional accounting methods, even though they provide significant value (such as flood protection, climate stability etc; Batker and Schmidt, 2015).There are now economic methods available to quantify and value natural capital and many non-market ecosystem services. When valued in dollars, these services can be incorporated into a number of economic tools, including benefit-cost analysis, accounting, environmental impact statements, asset management plans and rate of return on investment calculations. Their inclusion ultimately strengthens decision-making. When natural capital assets and ecosystem services are not considered in economic analysis, they are effectively valued at zero. This omission can lead to poor decisions, inefficient capital investments, higher incurred costs and losses due to unexpected events (Batker and Schmidt, 2015).In 2015 Earth Economics was commissioned by Nautilus Minerals Inc to conduct an independent, objective environmental and social benchmarking analysis of the proposed deep seabed Solwara 1 mine with terrestrial copper mines (referred to as ‘the report’). The report represents the first ever natural capital accounting and ecosystem goods and services framework for seabed mining.The report compares the proposed Solwara 1 mine with three terrestrial mines: Bingham Canyon (Utah, USA), Prominent Hill (South Australia, Australia), and Intag (a proposed mine in Intag Province, Ecuador), and provides a natural capital accounting assessment for all four operations.CITATION:Grogan, R, 2016. Natural capital accounting – a sea floor mining application, in Proceedings Life-of-Mine 2016 Conference, pp 2–4 (The Australasian Institute of Mining and Metallurgy: Melbourne).

Jun 28, 2016

By S A. Campbell

There has been a reduction of coal production in the United States due to environmental pressure and the increased use of natural gas. This reduction will require coal producers and consumers to make decisions on whether to sample more to verify contract quality or sample less in an effort to cut costs.CITATION:Campbell, S A, 2014. The shrinking coal market in the US – sample more or sample less?, in Proceedings Sampling 2014 , pp 3–6 (The Australasian Institute of Mining and Metallurgy: Melbourne).

Jul 29, 2014

By D W. Wall, J P. Vagenas

Questions of sampling precision and accuracy affect every process plant in differing ways and to differing extents. To address these perceived issues, chemists, metallurgists and engineers are often asked to check their results to confirm their reliability. However, it is not possible to achieve the level of detail required to check every sample, especially if the event has already occurred. No operation has the resources to frequently sample every point in the process for the purpose of verification.One way to address this scenario is by generating a sufficiently detailed comparative data set from a dynamic mass balance simulation of the processing plant. This mass balance uses both sample and plant instrument data to model every flow, while also taking inventory changes and process chemistry into account.The mass balance data can be used to identify any bias present in plant sampling and analysis. It can also be used to verify any unexpected assay results by taking a holistic view of the process. Improving the precision and accuracy of sampling data helps support operational decision-?making and understanding. It also improves the accuracy of the dynamic mass balance used in this process, facilitating further improvements.CITATION:Vagenas, J P and Wall, D W, 2017. The benefits of automated metallurgical accounting for plant sampling, in Proceedings Eighth World Conference on Sampling and Blending , pp 203–210 (The Australasian Institute of Mining and Metallurgy: Melbourne).

May 9, 2017

By J Rayo

Andean countries (Chile, Peru, Bolivia and Argentina) have 42 semi-autogenous mills (SAG) in operation and there are more than 30 projects in the pipeline that consider SAG mills. At the end of the next decade, the total amount of SAG mills in this area will likely be close to 100.There is a lot of reliable operational information collected by JRI Ingenieria Sociedad Anonima, the author’s engineering company, for more than 20 years and processed by statistical software, to be used as a reference for design basis of future projects or to improve operations by comparison. JRI Ingenieria Sociedad Anonima has reliable information related to the performance of more than 50 per cent of the Andean SAG plants.The paper presented considers a set of graphs that summarise the collected and verified SAG plants technical data. The figures will show key parameters as circuits and equipment data, energy consumption, technical availability, utilisation rates, throughput variability, pebble productions, steel consumption and others.The data is compared with typical design basis of several engineering companies and the main differences are analysed and/or commented on.CITATION:Rayo, J, 2014. Comparison of semi-autogenous mills operations in Andean countries, in Proceedings 12th AusIMM Mill Operators’ Conference 2014 , pp 283–296 (The Australasian Institute of Mining and Metallurgy: Melbourne).

Sep 1, 2014

By N Collins, A Woodley, A N. Danoucaras, C McCombe, N C. Kunz

Over the past decade, the mining industry has come to recognise the importance of water both to itself and to others. Water accounting is a formalisation of this importance that quantifies and communicates how water is used by individual sites and the industry as a whole. While there are a number of different accounting frameworks that could be used within the industry, the Minerals Council of AustraliaÆs (MCA) water accounting framework (WAF) is an industry-led approach that provides a consistent representation of mine site water interactions regardless of their operational, social or environmental context that allows for valid comparisons between sites and companies.The WAF contains definitions of off-site water sources and destinations and on-site water use, a methodology for applying the definitions, and a set of metrics to measure site performance. The WAF is comprised of two models: the input-output model, which represents the interactions between sites and their surrounding community, and the operational model, which represents on-site water interactions.Members of the MCA have recently adopted the WAFÆs input-output model to report on their external water interactions in their Australian operations, with some adopting it on a global basis. To support this adoption, there is a need for companies to better understand how to implement the WAF in their own operations. Developing a water account is non-trivial, particularly for sites unfamiliar with the WAF or for sites with the need to represent unusual features. This work describes how to build a water account for a given site using the input-output model, with an emphasis on how to represent challenging situations.CITATION:Woodley, A, Danoucaras, A N, McCombe, C, Kunz, N C and Collins, N, 2013. A robust methodological approach for mine site water accounting, in Proceedings Water in Mining 2013 , pp 335-342 (The Australasian Institute of Mining and Metallurgy: Melbourne).

Nov 26, 2013

By C J. Moran

Given that the mining industry is committed to sustainable development principles and that Australia is experiencing changes to the regulatory environment that aim to modernise the water sector and encourage adoption of consistent approaches, there is a well defined need for the Australian minerals industry to develop a water accounting framework. This requires: key terms and definitions for water metrics for use in the Australian minerals industry that is consistent with the wider water sector, a suite of metrics representing key components of an operationÆs water balance, a calculation method for some of the metrics, and a reporting protocol. This paper presents the methodology that was used to derive these four components. Existing accounting frameworks were reviewed and key terms and definitions that were consistent with current requirements were proposed. A calculation methodology was developed to obtain some of the key indicators and variables that cannot be easily measured directly (water loss through evaporation is an example). The adopted terms and definitions dictated model development, with the conclusion that a systems approach was the most effective calculation process. To test the proposed definitions and calculation methodology, values for water metrics were derived for eight sites. The proposed framework and definitions could deal with the specific situations selected as case studies. The associated calculation methodology produced complete accounts at various levels. Some elements of the accounts could be directly checked against available data and simulations. The framework captured well variations in the reuse efficiencies; reuse efficiency could even vary for similar processes. It is concluded that this preliminary accounting framework provides a consistent language and metrics for quantifying and communicating water management, both at the intersection of the site with the surrounding landscape (through detailed reporting of site inputs and outputs) and within operational activities. Using this consistent framework for quantifying and documenting water use within an operation will provide a platform for compiling and comparing minerals industry water use with other sectors. This may support benchmarking activities within regions or companies and help demonstrate leadership amongst water users in water resource stewardship. The approach presented here is applicable to a wide variety of mining and processing activities, and biophysical environments, and can be adopted as the first step towards developing national water accounts for the Australian Minerals Industry.

Jan 1, 2009

By Robertson AC

Studies by Tennent, Isokangas Pty Ltd (TIP) have indicated that underground quarrying of backfill may be a cost competitive option for providing backfill for specialised situations in underground mining. Situations where suitable bulk fill material may not be available on the surface, and where the total cost of setting up a fill distribution system are prohibitive, could favour the mining of fill material underground adjacent to the stopes being mined. Considerations include environmental impact, scheduling, surface constraints and total costs. The examples quoted in this paper, and the case studies are based on the authors' personal observations and experience.

Jan 1, 1998

By A C. Robertson

Studies by Tennent, Isokangas Pty Ltd (TIP) have indicated that underground quarrying of backfill may be a cost competitive option for providing backfill for specialised situations in underground mining. Situations where suitable bulk fill material may not be available on the surface, and where the total cost of setting up a fill distribution system are prohibitive, could favour the mining of fill material underground adjacent to the stopes being mined. Considerations include environmental impact, scheduling, surface constraints and total costs. The examples quoted in this paper, and the case studies are based on the authorsÆ personal observations and experience.

Jan 1, 1998

Mining companies around the world devote considerable effort to production reconciliation and metallurgical accounting. However, although sampling, weighing and analysis methods used to obtain the raw data for metal balancing continue to improve, they are still areas that are sadly neglected. Using the latest metallurgical accounting package to improve metal balancing is fundamentally flawed if the data used are unreliable in the first place. The basic rule for correct sampling is that all parts of the material being sampled must have an equal probability of being collected and becoming part of the final sample for analysis. If this rule is not respected, sampling bias can easily be introduced. Unlike precision, which can be improved by replication, bias cannot be reduced once it is present. Sampling and sample processing procedures must therefore be carefully designed both to minimise bias and to obtain acceptable precision. The most suitable sampling location is the discharge point of a process stream, where increments can be obtained by taking a complete cross-section of the stream with a sample cutter. Sampling devices that take only part of the stream may introduce serious bias and must be avoided. The moisture content and wet mass of the material being sampled are of similar importance to chemical analyses for determining metal content. The accurate determination of moisture content is particularly difficult, because the moisture content of samples can change after the sample is taken, eg due to moisture evaporation. Hence, moisture samples need to be taken quickly and placed in sealed bags or containers that are impervious to moisture. The moisture content should then be determined without delay. To determine wet mass, a range of weighing methods are used in industry, including weighbins, weighbridges, conveyor weightometers and platform scales. The precision and accuracy of these methods vary considerably, so it is important to select a method with the appropriate precision and ensure that the weighscale is well maintained and regularly calibrated.

Jan 1, 2002

By C Hawtin, B Miller, D Ashton

Ernest Henry mine (EHM) is an Iron oxide copper-gold sublevel cave mine located 30 minutes north of Cloncurry in North-West Queensland. The underground mine lies beneath open pit excavations, which were in operation from 1999 to 2011. Fault structures carry large quantities of water from the cover sequence aquifer into the underground mine area. The open cut excavations exacerbates vulnerability of the underground mine to the high intensity wet season storms of northern Queensland. These factors combine to make hydrogeological issues high priority for mine operation. Water-related risks include the cost of removing water from the mine, flooding risk and mud rush potential.Turnover of key technical staff in late 2015 at EHM resulted in the mine being left in an untenable position of losing the primary source of technical knowledge. Due to encouragement of cross-disciplinary activity coupled with workload and resource sharing, the management team were confident in utilising on-site personnel to offset loss of experienced personnel.Remaining geology personnel took additional responsibility for hydrogeological monitoring equipment and planning of upcoming work. Consultant input was limited to review only and an emphasis was placed on knowledge transfer to the geology team. Using this strategy, a 13 hole dewatering program was successfully implemented, achieving a significant water level drop in areas of elevated hydrological risk, whilst also upgrading the hydrological monitoring sensor array.Through a development program centred on cross-disciplinary exposure, the technical team was able to retain key technical knowledge despite staff turnover and produce strong results outside traditional training and roles. This paper serves as a case study on the methods, strengths and drawbacks of putting a focus on cross-disciplinary exposure as a method to combat staff turnover.CITATION:Ashton, D, Miller, B and Hawtin, C, 2017. Go with the flow – managing hydrogeological staff turnover at Ernest Henry mine, in Proceedings Tenth International Mining Geology Conference 2017, pp 129–136 (The Australasian Institute of Mining and Metallurgy: Melbourne).

Sep 20, 2017

A metallurgical balance drawn around a mineral processing plant or smelter must involve all process streams crossing the plant boundary. Modern sampling theory, as formulated by Gy, and sound statistical method can be used to determine the uncertainties in the observed assays for the set of balance analytes and in the mass flow rates of the process streams for the balance period. These uncertainties can then be used together with the material balance equations to arrive at adjusted component mass flows that satisfy the material balances exactly. To determine whether or not the data is consistent with the level of uncertainty in the data and with the material balance equations, a goodness of fit test is applied. This goodness of fit criterion is the principal tool to quantify the quality of the material balances. The mathematical structure of the statistical material balance problem poses a number of challenges. For example, while the variances of the adjusted component mass flows do not vanish, the variances of the sums of the adjusted component mass flows about each balance node do vanish, simply because the balancing computation demands that the balances close exactly. Even though it can be shown that the variances of the adjusted component mass flows are always lower than the estimates for the corresponding unadjusted component flows, it is still not possible to construct a confidence interval on the component mass flow into (and out of) a balance node using the adjusted component flows. On the face of it, such a confidence interval is exactly what is most desired from the balance calculations. The problem arises because the balance problem is a data adjustment rather than a parameter estimation problem. It is possible, however, to calculate the recovery of a component to a product stream and determine a confidence interval for the recovery value. It is also possible to calculate an uncertainty in the mass flow of any balance species in any process stream, before and after balancing.

Jan 1, 2005

Every step on the path from the mine to the smelter invites a comparison between material inputs on one side and outputs plus accumulation on the other. Or put simply, between what you think you have produced with what you find you have at hand. The discrepancy between these sets of comparisons is the error. Following that error in a systematic and objective manner is a way to improve the mineÆs measurement systems, that in turn leads to more accurate accounting for ores, metals and concentrates. Because the control of production is so tightly coupled with the accounting of materials, any lasting improvements in materials accounting will benefit the predictions of materials movements and quality. This translates to more reliable planning and scheduling in stockpile management, logistics, shipping and marketing. The statistical tools described are direct adaptations from the long-standing methods used to maintain the quality of manufactured product in the discrete parts industries. Their use in the process industries, of which mining is one, requires some care owing to the continuous nature of ore extraction and its variable properties. The tools can be used for problem diagnostics and as early warning systems. In common practice many professional staff, in attempting to get a perfect reconciliation between expected and observed results, try to explain away the error or bury it completely. The methodology advocated here requires a different mindset because the error must be given pre-eminence for lasting improvement to be realised.

Jan 1, 2002

By C Jones

When the Paulsens operation was poised to be placed on care and maintenance, Bill Beament and the rest of the Northern Star Resources (NSR) team capitalised on the opportunity to send the Ashburton region’s only operating gold mine into the record books.A three-stage strategy was devised by NSR to pay off the acquisition and maximise the return from the operation. The first stage was to mine the 55 000 oz mine plan and pay off the cost of the acquisition, then maintain profitable production beyond the seven months and re-establish a mine life. The second stage involved an early commitment to a 220 m long diamond drill drive being placed in the hanging wall of the orebody from which the extensions of the orebody could be further explored, allowing the second stage of the plan to come into effect and extend the mine life by converting Inferred Resources into the mine plan. The third stage of the initial plan was to utilise this drill drive and continue to drill deeper holes beyond the current limit of drilling in the ore zones to extend the orebody and increase the mine’s life.With an ever growing desire to further expand, the young company took on the bold move of establishing its own mining services division. A critical element to the success of this was ensuring that the right people were recruited with the appropriate specialised skill sets.Aligning common goals amongst all NSR team members, from the board and senior management to the work force on site, was critical to integrate the new and driven direction that Paulsens had adopted. It was essential to change the focus and a shift in all employees’ attitudes and values from a mine that was all but down and out, to a site that wanted to be kicking some serious goals.Teaming together a passionate and driven leader with a strong allied workforce was always going to put NSR in the best position possible to make Paulsens the success story that it now is. But without the calculated risks and enthusiastic attitude, the little known mine site in the Pilbara might have remained just that.CITATION:Jones, C, 2014. The Paulsens transformation – a shining light under a northern star, in Proceedings 12th AusIMM Underground Operators’ Conference 2014 , pp 191–196 (The Australasian Institute of Mining and Metallurgy: Melbourne).

Mar 24, 2014

By A Golsby

Although much talked about, social licence to operate (SLTO) is a relatively new concept that has been deemed as one of the four biggest business risks to a mining project over the life-of-mine. There is no accepted single definition of SLTO and this author understands SLTO to be stakeholder perception of the legitimacy of a project, a company or an industry. At a specific site, and across different sites within the same organisation, SLTO ranges through different levels according to stakeholders’ degrees of acceptance in time and space. Management of SLTO is vital for the mining sector but is difficult as it is informal and intangible. Although there are no key performance indicators, there are certain indicators that enable relative measurement of the ‘level’ of the SLTO. Because of the importance of the SLTO, information management during the entire life-of-mine, from exploration to rehabilitation, becomes crucial for the continued operation of a project. This paper identifies ten basic principles for the management of information to support the SLTO.CITATION:Golsby, A, 2014. Managing information to support a social licence to operate, in Proceedings Life-of-Mine 2014 , pp 389–398 (The Australasian Institute of Mining and Metallurgy: Melbourne).

Jul 16, 2014

By Hutchinson IN

In order for the Australian underground coal mining industry to achieve the high productivity rates demanded of it without compromising its good safety record, improved geotechnical monitoring systems are required. One of the main problem areas affecting underground coal mining is the deterioration of previously stable roadways.CSIRO Division of Geomechanics has been working on a NERDDC funded project to develop an instrument to monitor coal mine roof deformation. The instrument which has been developed, Roof Alert, is a self contained, battery powered, intrinsically safe device. It can monitor the magnitude and rate of deformation and give multiple, variable visual alarm signals where preset levels ate exceeded.

Jan 1, 1991

By K Ringwood, J Cummings, C J. Moran

The development of a water accounting framework that enables consistent and contextual reporting of minerals operationsÆ water use, represents a key sustainable development objective that many Australian minerals companies have committed to. A future water accounting framework will require: key terms and definitions for water metrics for use in the Australian minerals industry that are consistent with the wider water sector, a suite of metrics representing key components of an operationÆs water balance, a calculation method for some of the metrics, and a reporting protocol. This paper presents the methodology that was used to derive these four components. Existing accounting frameworks were reviewed and key terms and definitions that were consistent with current regulatory requirements and voluntary approaches were proposed. A calculation methodology was developed to obtain some of the key indicators and variables that cannot be easily measured directly (eg water loss through evaporation). The adopted terms and definitions typically require a combination of empirical and estimated data. To test the proposed definitions and calculation methodology, values for water metrics were derived for eight sites, selected to test a variety of commodity and biophysical situations. The proposed framework and definitions could deal with the specific situations selected as case studies. The associated calculation methodology produced complete accounts at various levels. Some elements of the accounts could be directly checked against available data and simulations. The framework captured well variations in the reuse efficiencies; reuse efficiency could even vary for similar processes. It is concluded that this preliminary accounting framework provides a consistent language and metrics for quantifying and communicating water management, both at the intersection of the site with the surrounding landscape (through detailed reporting of site inputs and outputs) and within operational activities. Using this consistent framework for quantifying and documenting water use within an operation will provide a platform for compiling and comparing minerals industry water use with other sectors. This may support benchmarking activities within regions or companies and help demonstrate leadership amongst water users in water resource stewardship. The approach presented here is applicable to a wide variety of mining and processing activities, and biophysical environments, and following a period of stakeholder engagement and third party review, is being refined as a first step towards developing nationally consistent water use reporting for the Australian minerals industry.

Jan 1, 2009

By P G. Gaylard

P754 has been an unusual project in that its main aim was to develop a code of practice for metal accounting with the following key objectives:Development leading to an agreed industry standard at corporate governance level Significant improvement of the credibility of metal accounting from deposit to saleable product Development of guidelines for data collection, data analysis, reporting and audit A data analysis toolbox which provides go/no go testing for metal balance data Promotion of industry adoption of these guidelines to improve transparency and financial credibility. Over time, these guidelines may evolve into a code and eventually into a standard Develop and train engineers to become expert in metal balancing and reporting. Papers like this one and the workshop which follows this conference are part of promoting the code for adoption by industry. Developing a code of practice has traditionally been the provenance of professional bodies associated with particular industries û often on a voluntary basis. Given todayÆs industry pressures, it was felt that funding key input might accelerate the development process as well as offer opportunities to research some of the problems and to train some post graduate students in a difficult discipline. In fact, the project has brought together six industry sponsors from a wide range of process types, three research providers, and funded students in South Africa and Australia. The project has also attracted input from the financial community. A textbook to support the application of the code has also been written. The industry sponsors have made the Code and Guidelines available on request to help to facilitate its use by the mineral industry beyond the sponsor group. The Code and Guidelines have already been translated into Spanish and Portuguese which suggests that industry acceptance may happen quite quickly. The main thrust of the code is to integrate commercial and technical performance to a much higher degree. The Check in-Check out (CI-CO) method has been chosen as the vehicle for this combined approach. The mass and metal values used for CI-CO are 'absolute' and provide the basis of financial transfers. The CI-CO process occurs at each transfer of custody - whether between divisions within a company, or between companies. This approach means that measurement of mass and metal flows becomes the critical element of the process and that a quantitative knowledge of measurement accuracy and precision is also essential. This knowledge allows technical differentiation between differences which are within the expected margin of variation and those which must be formally identified as discrepancies and subject to a process of investigation and sign off. Hence, the application of the code for most companies should be more evolutionary than revolutionary, but with substantially more emphasis on measurement and definition of measurement error. Where this can be achieved, it should bring the mineral industry more into line with other industries competing for investment funds, community acceptance and future employees.

Jan 1, 2008

The objectives of this paper are two-fold. First, it will show what problems can arise when single estimated values are substituted for a distribution of values when evaluating an open pit mine project in the face of uncertainty. Secondly, it will show how the ability to deal with uncertainty and risk in mine project evaluation can have a significant impact on the ownersÆ and stakeholdersÆ investment decision-making. Here a new mine evaluation framework, the integrated valuation/ optimisation framework (named IVOF), is introduced as an alternative tool for mine project evaluation where uncertainty and risk are incorporated in the evaluation process.

Jan 1, 2009