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By R. Tinsley

Project-finance risk assessment is mature and approached systematically. Mining industry due diligence remains fragmented with specialists addressing different aspects of the project such as reserves/JORC, environmental impact, commodity market, even financial analysis/ modelling. Each professional has a natural tendency to believe that the risk factors they have examined are the key ones necessary to be reviewed, as if their review will stand in isolation from others in the way a project materialises. By first laying out the project risk categories and risk matrices, this paper examines the due diligence process with a keen eye to the risk assessment and overlap/interaction. Some cross fertilisation of due diligence techniques from other industry sectors is placed into the mining context. Six case studies are then presented with regards to due diligence features in each project's feasibility review or financial information/ offering memorandum. A power case first shows the differences between the due diligence expectations of banks versus bond financings. Then some Australian and Indonesian mining development cases are analysed to see the due diligence learning points. Some of these were project/due diligence failures. The conclusion focuses on the value of a systematic risk assessment for project evaluation, all from the project-finance perspective.

Jan 1, 2007

By A. Chryss, L. Pullum

Shear-thickening suspensions abound throughout the hydraulic conveying industry; at least this is the perception of many engineers running plants where hydraulic conveying is commonplace. In reality, shear thickening behaviour is limited, in the main, to high concentrations of fine particles, including colloidal and biological suspensions, at moderate to high shear rates. In the authors? experience most cases of shear-thickening behaviour have been either simple ?coarse? particle interactions, poor instrumentation techniques, or both. In some cases these were obviously heterogeneous flows, while in others flows that were homogenous, or were thought to be homogenous. Examples, which illustrate this erroneous perception are given. However, the trend towards pastes and complex suspensions that use high concentration carrier fluids means that the underlying slurries for many of these flows may now be truly shear-thickening. Unfortunately, suspensions that might exhibit shear thickening also invariably exhibit slip, or wall-particle depletion. These separate phenomena are difficult to resolve experimentally and many observations of apparent shear-thickening behaviour are in fact obscured or convoluted by slip effects. A method is presented whereby the true flow properties of these high concentration suspensions, and hence accurate prediction of pipeline flows, can be made using a parallel plate rheometer.

Jan 1, 2007

Scrap printed circuit boards were selectively smelted at 1 200°C to produce a metallic alloy having three phases. These phases were identified as a lead-rich phase, a low tin content alpha bronze phase, and a high tin delta phase. Electrochemical leaching studies on this alloy were done in 1 mol/dm3 sulfuric acid or in 2 mol/dm3 hydrochloric acid (adjusted to an ionic strength of 3 mol/dm3). The lead rich phase was more strongly passivated in sulfate media, and in this medium the high tin content delta bronze was more resistant to corrosion than the lower tin alpha bronze phase. In chloride medium the lead phase and both bronze phases corroded readily, but with current densities about an order of magnitude lower than in sulfate medium (static conditions) for the bronze phases. The high tin delta bronze phase was found to form a passivating layer in sulfate media. A similar layer was not seen in chloride medium. The leaching studies in sulfate medium also showed the existence of an alpha bronze phase of lower tin content in the centres of the alpha phase grains. This phase was quite resistant to leaching in sulfate medium.

Jan 1, 2009

In many practical situations, the samples available to estimate a block of ore are not located on a regular grid. The sample sizes and orientations are not constant, and the number and relative position of the samples used for valuation of each block change from block to block. Estimation of a block W might be very complex and time consuming if each sample in the neighbourhood of the block were considered individually. A practical solution consists of grouping the samples in blocks Wi (i = 1, 2, . . . n) in the neighbourhood of W, and estimating µw as a weighted average of the mean xi of the samples in Wi. Possible ways of grouping the samples are illustrated in Fig. 1 1.1. More complex patterns can be found in the literature (Krige, 1966) To calculate the kriging estimator of pw, we must be able to calculate the variance of xi, the covariance of xi and xj, and the covariance of xi and pµw. The purpose of this chapter is to show how these quantities can be calculated when we ignore the position of the samples in the block Wi. We consider the samples to be randomly distributed in Wi; kriging with this assumption is known as random kriging.

Jan 1, 1978

By V. N. Medvedev, A. M. Bryukhanov

Stationary mine air control equipment enables monitoring of CH4 concentration only in sensor locations. CMC-4 individual indicator built into a caplight has been developed in Ukraine, extending CH4 monitoring to manned job sites. Major technical characteristics of the indicator are demonstrated. It features two operation thresholds: 1st threshold 1.0 to 2.0% vol. 2nd threshold 1.5 to 2.5% vol. Basic absolute accuracy ± 0.2% Caplight battery is a common power supply for the lamp and CH4 indicator, providing at least 10 hours of the system non-stop operation. Average pre-failure life is at least 10,000 hrs. It features: an explosion proof design and intrinsically safe test circuit; a small-sized sensor as an integral part of the caplight; a hybrid microcircuit to facilitate functioning of methane monitoring unit. The CMC-4 indicator weight is the weight of the caplight itself and equals 2.4 kg. A two-threshold design makes possible to distinguish between methane sources: slow accumulation due to diffusion or sudden rushes due to a gas-dynamic event. CMC-4 indicators in addition to stationary equipment minimize the risk of CH4 explosion underground determined as a product of accident intensity by calculated time interval.

Jan 1, 2003

By N. J. Roodt

Mine dumps created in terms of the pre-MPRDA regime (old order mine dumps) are currently not regulated by the MPRDA, and the common law owners of such dumps are free to process them without the need to obtain the relevant rights. The MPRDA Amendment Act purports to change this position. However, the wording of the Amendment Act raises a number of problems which render the post-amendment position at best unclear and at worst absurd and unworkable. The primary concern with the Amendment Act is that, on one interpretation, material placed on the same dump at different times may be treated differently at law. Thus, parts of a dump may be subject to one person?s right while others may be subject to another?s right. Moreover, case law has generally regarded mine dumps as movable property and, by extending the MPRDA to apply to all mine dumps, the Legislature is extending the ambit of the Act to cover movable property, a scenario not contemplated by the wording of the Act (even after its amendment) in relation to applications for rights. The better interpretation of the amendments, which are not yet in force, is that they will not apply retrospectively to old order mine dumps.

Jan 1, 2010

By A. J. Barrett

Backfilling at Vaal Reefs during the experimental phase has been carried out using cyclone-separated tailings which are transported underground hydraulically by means of a borehole. The selected tailings are piped from the borehole to the stope and then, after the addition of a flocculant, deposited in place via single or multiple nozzles. The successful performance of the backfill/stope system relies not only on the actual quality of the placed material, but also on the effective operation of stope filling. The success of stope filling relates to the complex, time- dependent interaction of backfill, stope and barricade materials, and the transport and placement procedures used. A comprehensive laboratory testing programme was carried out on backfill materials at Vaal Reefs in conjunction with the experimental stope- filling operation. The range of testing techniques corresponds to the requirements of each stage of the backfilling process. Where necessary, new or alternative techniques were sought during the course of the experiment to satisfy and facilitate better understanding of the different processes. These techniques comprise both routine quality control testing and research-oriented testing. The laboratory testing techniques appropriate to each stage of the backfill process are briefly discussed. This paper presents the main conclusions of the study and identifies areas for further research.

Jan 1, 1988

By Jonty Tshipa

The Mine Site Technologies, MST BlastPED ST is a wireless/remote blasting system used in more than sixty (60) mines (including two mines in Zambia and one in Tanzania) since its release in 2002. The system consists of a controller and signal tube initiator which communicate wirelessly using spread spectrum frequency. This technique ensures a robust and secure wireless link between the controller and the signal tube initiator. The configuration of the system ensures ease of use with all the instructions for initiating the blast printed on the equipment. This means little or no formal training is required to use the system. The technology enables you to have your blasting point at a distance of up to 4 km, line of sight (LOS), as opposed to the traditional distance of 500m from the blast. This ensures the blast takes place from a safer and secure location. The paper and presentation will provide the audience with the benefit of many years of international mining know-how in this technology as well as more recent local African experiences. There will be references to demonstration blasts done in South Africa, current users in Africa and elsewhere. Practical Return on Investment (ROI) calculations and references to safe blasting practice will also be included.

Jan 1, 2008

By B. P. Watson

The Bushveld platinum group metal deposits in South Africa are the largest in the world. These deposits occur as two distinct stratiform tabular ore bodies and strike for many hundreds of kilometres. Mining is extensive, with depths ranging from close-to-surface to 2300 m. The mining method is a variation of planar open stoping. Crush pillars are widely used to support the open stopes. These pillars are designed to fail and the residual strength provides the required support resistance to stabilize the stoping excavations. This paper describes the in situ measurement, of stress within a Merensky pillar from Impala Platinum. These measurements were used to derive a stress-strain curve that includes pre and post failure behaviour. 2D FLAC modelling, with strain softening, was done to investigate how damage expands into the hanging- and/or footwall. Although the so-called ?squat? effect is always present, the modelling suggests that it does not dominate the pillar system behaviour at larger width to height ratios. Punching of the pillar into the hanging- and/or footwall increasingly controls the pillar system behaviour with larger width to height ratios. The paper investigates the behaviour of a system that incorporates the immediate hanging- and footwall, as well as the pillar itself.

Jan 1, 2009

Acid heap leaching has been extensively applied to the processing of copper oxide ores, with recovery of copper by solvent extraction and electrowinning. Heap leaching has also been extended to the treatment of secondary sulphide copper ores, where oxidative conditions are generated in aerated heaps by the bacterially-assisted oxidation of ferrous iron to ferric iron. The treatment of low-grade chalcopyrite ores has recently been the focus of research, with Mintek playing a prominent role. When processing chalcopyrite ores, more complex column test work is performed, which incorporates the prediction and simulation of temperature behaviour in pyrite-containing heaps. Mintek has devised a trade-marked column leaching apparatus (SmartColumn?) for the simulation of the natural temperature profile development in pyrite-containing heaps. As heap leach applications are becoming more complex, the parameters that need to be built into the design and operation of heap leach plants are growing in number, and the amount of data to be collected and processed, and the number of decisions to be taken daily, are also increasing. Mintek has therefore developed the HeapStar® administrative advisory software, as a guidance system to ensure that the correct protocols are implemented at various stages of the leach cycle.

Jan 1, 2012

By A. Dabbagh

The aim of this research was to investigate the effect of coke particle size on the thermal profile of the charge bed in the sintering process of iron ore. Six different ranges of coke particle size that could be used in practice in the sintering line of Esfahan Steel Company (ESCO) were used while parameters such as ratios and particle sizes of other ingredients, ignition temperature, and suction power were kept constant. Thermal profiles were obtained by measuring the temperature changes at three points in the sintering bed. The influence of coke particle size on rate of temperature rise, maximum temperature of the sintering bed, and the flame front velocity of the sintering bed was determined by analysing the thermal profiles. Moreover, the cold strengths of the sinters were measured using the Tumbler method. The results indicated that the coke particle size has a significant impact on the thermal properties of the sintering bed. Based on the results, a coke particle size between 0.212 mm and 3.350 mm was determined as the optimal range for the specific conditions in the sintering line of ESCO. Keywords iron ore sintering, coke particle size, thermal profile, flame front velocity, Tumbler index.

Dec 1, 2013

Assuming that a gold ore has been effectively ground to ensure maximum economic liberation of gold, the circuits that will have the most effect on the successful operation of a gold plant will be that of the leaching and carbon-in-pulp circuit (CIP). The reagent and utilities operating costs associated with leaching, adsorption, elution and regeneration would typically make up some 15% of total operating cost, whilst the capital costs associated with these areas is about 16% of the total. Although not largest (capital and operating costs associated with comminution are generally dominant) these items represent a significant proportion of capital and operating cost. Much more importantly, these plant areas represent the primary gold recovery process and their technical and operational efficiencies will have a significant impact on overall plant efficiency. The objective during process design of these sections is thus to develop a design which provides maximum technical and economic efficiency and which is robust to potential changes in ore throughput, mineralogical characteristics and head-grade. Experience has shown that, particularly for longer life and higher-grade projects typical of the South African underground gold mining industry, small changes in recovery and efficiency have a significant value over the life of the project.

Jan 1, 1999

By J. N. Van der Merwe

The principal goal of the research described in the paper was to determine, by measurement of pillar scaling on pillars that have not failed, whether the pillar life prediction method developed by van der Merwe (2003) was valid as it stood or whether adjustments were necessary to the rates indirectly derived from observation of failed pillars. To this end, measurements were taken on over 350 pillars at 13sites on 6 mines. The project was done as a collaborative effort between the University of Pretoria, the Nancy School of Mines and CSIR Miningtek. During the course of the investigation, it was found that the majority of pillars display maximum scaling at mid height, that there was no clear preferential direction of pillar scaling, and that pillar corners do not scale significantly more than the mid pillar areas. The most important conclusion was that the scaling rates found by measurement agreed with the inferred rates found in the previous work. The previously developed procedure for the prediction of pillar life spans consequently requires no adjustment, although the error span is in the region of 20%. It is recommended to do further research into the effect of sealing of panels and, possible chemical changes taking place in the pillars as they age on the scaling rate.

Jan 1, 2004

By M. Suzuki, T. Shiomi, M. Nakada, K. Tsutsumi

Mold powder plays an important role in the continuous casting process for high quality steel production. It is well known that mold powder entrapment causes surface defects in steel sheet and the high viscosity of mold powder prevents the entrapment of mold powder in molten steel in ultra low carbon steel. This paper deals with the entrapment of mold powder caused by suction by Karman?s vortex in a laboratory experiment. At first the effect of the viscosity of oil and interfacial tension between water and oil was investigated in a water model experiment. Then hot model experiments were carried out by mold powder and molten steel. The amount of mold powder entrapment was affected by the viscosity and the interfacial tension between molten steel and mold powder. As a result, the following equation of the mold powder entrapment was obtained. m=1.06*107?-0.255?m-s-2.18 The amount of mold powder entrapment decreased when the viscosity and interfacial tension increased. But the effect of viscosity was larger than that of interfacial tension in the case of the industrial mold powder when the viscosity was under 0.5 Pa.s, interfacial tension was from 1200to 1300 mN/m.

Jan 1, 2004

By J. G. Wiese

Reagents are added to the flotation process of Merensky Reef ores to achieve specific functions that enable the separation of valuable minerals from gangue minerals on the basis of the difference in their surface properties. However, due to the complexity of the process, the various interactions that occur as well as the incomplete liberation of the ore and range of minerals present, it is difficult to quantify the behaviour of each of the reagents. More specifically, changes made to achieve a particular outcome may have secondary effects that can override the desired effect. If all the effects and interactions can be accounted for, it is possible to manipulate reagent suites and obtain better overall metallurgical performance. This paper discusses the effect of the addition of copper sulphate at different operating points of the recovery of the sulphide minerals. Batch flotation tests indicated that the recovery of chalcopyrite was not affected when operating conditions were varied, whereas pentlandite recovery was strongly affected by the point of reagent addition, and pyrrhotite recovery was enhanced by copper sulphate addition, irrespective of the point of addition, with the extent being dependent on the ore source. Floatable gangue was activated by copper sulphate in the presence of the dithiophosphate collector. Froth stability was also affected by copper sulphate addition.

Jan 1, 2007

By S. Achilleoudes

This paper describes the various factors that contribute to the maximum design pressures acting on box fronts and how these factors influence the mass and economy of box front steelwork. The influence of material density, rock size and moisture content on the incidence of hang ups and mud rushes in the rock pass is also highlighted. The loads acting on any box front are a function of several different parameters. These include natural, operational and excavational parameters. A case study analysis was carried out using UG2 ore and a typical box front structure to demonstrate the relationship between the mass of the box front and the material pressures resulting from variations in the above parameters. Based on the results of this case study, the required design mass of a side mounted box front for a rock pass containing platinumUG2 increases in (close to) linear proportion to % overbreak and is also linearly proportional to the pressure on the face of the box front beyond saturated conditions. The mass of the box front structure also doubles with a 100%increase in over-break which emphasises that a box hole excavation that is as neat as possible will yield a lighter and more econimical box front structure.

Jan 1, 2005

By S. E. Cook

This article uses the case of the Royal Bafokeng Nation to argue that royalties and dividends from mineral resources, if managed well, can provide direct benefits to the surrounding community even while the state collects its share of mining revenues through taxation. The key to this model is the effective management of the resource income flowing into community coffers. Where some of this income may fund urgent interventions in the community, a portion of the income can also be used to establish an intergenerational wealth fund to meet the needs of future generations. As a depleting resource, minerals like gold and platinum are not a sustainable source of income, and must be replaced over time by more regenerative income streams. These strategies and dynamics are manifest in the Royal Bafokeng Nation?s status as both community and quasi-municipality, a labour hosting and a labour sending community, a mine operator and a mine owner. The Royal Bafokeng Nation also owns one of South Africa?s largest community-based investment companies, which channels revenue derived from platinum deposits into a broad investment portfolio that in turn funds an aggressive social development program for 150,000 people living in twenty-nine rural villages.

Jan 1, 2013

By A. Bascetin

One very important aspect of mining is deciding what material in a deposit is worth mining and processing, versus what material should be considered waste. This decision is summarized by the cut-off grade policy. The cut-off grade strategy for an open pit mine influences the annual cash flows and affects the net present value of a project. The optimization of cut-off grade strategy requires the knowledge of detailed operational costs, mining sequence, mining operation, processing, and product constraints, as well as the grade distribution of a given deposit defined by pit, phase, and different material types. Cut-off grade optimization algorithms have been developed in the past. The most common criteria used in cut-off grade optimization is to maximize the net present value (NPV). This paper describes the determination of a cut-off grade strategy based on Lane?s algorithm adding an optimization factor based on the generalized reduced gradient (GRG) algorithm to maximize the project?s NPV. The introduced algorithm is a windows based program developed at Virginia Tech that is based on a series of Visual Basic routines within a spreadsheet environment (Excel).The benefits of the methodology are demonstrated using a hypothetical case study. Keywords: Cut-off grade optimization, net present value maximization, generalized reduced gradient algorithm method.

Jan 1, 2007

By J. V. Simmons

Composite rock mass failures involve intact rock material as well as fracture and shear on existing defects. Experiences from open-cut coalmining in the Bowen Basin of central Queensland are that failures of this nature occur suddenly with little warning, and are much more common than classical structurally controlled failures. Geological conditions and mining practices in the Bowen Basin are described. The circumstances of a sample of composite failures are described in detail in the paper. From this experience it appears that several aspects of conventional geotechnical investigation and design practice have not contributed significantly to either predicting or controlling the risks associated with sudden failures. These practices are described as myths for reasons outlined in the paper. On the other hand, the reality seems to be that high initial stresses and stress changes caused by excavation lead by a process of extensional deformation to a critical stress condition within the rock mass, and that sudden collapse follows when that critical stress condition can no longer be sustained. It is concluded that learnings gained from underground excavations in rock may be more applicable to open pit excavations than previously thought, and that the processes of prefailure deformation require more careful study if we are to develop more reliable risk management controls.

Jan 1, 2006

By C Katongo

Ground condition at No1. Shaft varies across the mine. The different ground conditions arise as a result of the differences in the rock strength and structure, seismicity and induced stresses in abutments areas. Apart from being a major cause of Fall of Ground incidents/accidents, adverse ground conditions where encountered has affected the rate of development advance as well as production. This implies that for support to be cost effective Geotechnical section has to ensure that support is designed to prevailing ground demand to ensure the safety of personnel and minimize loss of production. We have also seen changes in mining methods as a result of change in ground conditions. To avoid incurring unnecessary costs through remedial works resulting from ground deterioration and collapses of development openings due to inadequate support, the principle in engineering design is ?Do it right the First Time?, and this can only be achieved through good understanding of Geotechnical environment. The paper discusses the different ground conditions encountered in various development ends at No.1 Shaft. It also discusses the principles of ground support, failure mechanisms, types of ground support systems employed, and the different techniques used to select support systems, and quality control techniques in underground support installation.

Jan 1, 2005