Search Documents

In constructing a financial model of a project significant effort is expended on capital and operating cost estimation, commodity price forecasts, and choice of discount rates while uncertainty in the primary input, the reserve, is often completely overlooked. The aim of this paper is to highlight the impact of uncertainty in the resource/reserve estimation process on the assessment of the financial performance of a project. Four qualitative processes have an impact on resource/reserve uncertainty. These stages are: 1.Ore definition 2.Geological interpretation 3.Resource estimation 4.Ore reserve estimation and mine planning. Each stage contains a number of tasks that may be considered as key performance activities (KPAs). Optimizing the manner in which these KPAs are completed can remove a great deal of uncertainty and error from the resource/reserve process. Examination of these KPAs within a company can also provide an insight to the quality of the information underlying the project. This will allow the company to identify any shortcomings in the data and to assess the resulting risks (Gilfillan, 1998). A hypothetical financial model based on a gold operation has been used to estimate the potential effect of resource/reserve uncertainty on revenue. Monte Carlo simulation has been employed to simulate a number of hypothetical scenarios: 1.a base case scenario which assumes no major errors or biases, but contains realistic margins for uncertainty that would exist in any project where work is being completed to the limit of best endeavours 2.a poor sampling scenario which assumes poor sampling practice and lack of understanding of sample preparation 3.a poor resource estimation scenario which assumes poor modelling and inappropriate choice of interpolation technique, and 4. a ?typical? scenario which represents a project where the majority of KPAs are not performed as best as they could be. The results show that realistic uncertainty ranges can generate changes in the estimate of potential revenue of plus or minus 30%.Therefore, it is important to allow for errors in these processes in any financial analysis or feasibility study. It is recommended that, when building a financial model, are view of relevant resource/reserve KPAs be carried out and appropriate ranges for uncertainty be applied to provide a range of potential outcomes. These outcomes can then be factored into the detailed cash flow analysis in order to ensure that technical uncertainty is built into financial decisions.

Jan 1, 1999

By R. M. Kear

Strategic and tactical planning are both required in the mining industry but have completely different objectives and require different environments. If these are not fully understood, then the best value for a mining operation may not be realized. This paper examines the differences in these approaches and how they interface in the mining environment. The objectives, content, skills required and the implied management issues for these two components are examined with the hope that this will assist management and the planning teams in defining their respective roles and expectations. The opinions are those of the author based on his experience on several mining operations and projects.

Jan 1, 2006

Each year the South African Institute of Mining and Metallurgy offers a prize (or prizes should the entries warrant it) of up to RlOO for the best paper or dissertation on a topic appropriate to the interests of the Institute. The competition is open to all Student Members of the Institute. A Student Member who is in fulltime study at a university may submit the dissertation or thesis he has to write in part fulfilment of his university degree, provided that it is presented in a manner and on a topic suitable for publication in the journal. Entries for 1976 should reach the Institute by 31st December, 1976.

Jan 10, 1976

Mintek now offers a service for the accurate measurement and analysis of air pollution in South Africa. 'The deteriorating air quality and general degradation of the environments in industrialized and urban regions of South Africa have been of concern for more than a decade', says Mintek's Dr Johann Engelbrecht. 'The accompanying effect on health, visibility, and damage to property and the environment have prompted the public, authorities, and industry to take appropriate action. A recent study conducted by the Medical Research Council on schoolchildren in the Vaal Triangle, clearly demonstrated the relationship between the deficient quality of the air in that area, and the resultant respiratory diseases.

Jan 1, 1996

By B. C. Alberts

This. paper indicates how the South African Iron and Steel Industrial Corporation Limited (Iscor), as a major consumer of raw materials, determines the tonnage and quality of essential raw materials required to satisfy an increasing demand for steel and how this led to the establishment of a coal mine with a highly sophisticated beneficiation plant in the Waterberg coalfield, near Ellisras in the Transvaal. The planning of the project, with specific reference to the limited reserves of metallurgical coal in South Africa, the quality and quantity of the coal to be produced, and the way in which the project was managed is discussed briefly.

Jan 1, 1982

By G. E. Blight

It is shown that the profiles of beaches of hydraulic-fill tailings dams can be predicted with good accuracy the use of small-scale laboratory deposition tests on materials from a prototype tailings dam. Although the slope of a tailings beach at any point is related to the shear strength of the settled slurry, are severe practical difficulties in the prediction of beach profiles from shear strengths measured in the laboratory. The hydraulic sorting of particle sizes that occurs on a tailings beach results in a gradient of permeability the beach, and this gradient has the significant effect of lowering the phreatic surface in the tailings dam.

Jan 1, 1985

By R. J. Dippenaar, W. H. Van Niekerk, D. A. Kotze

It is generally accepted that alkalis attack and degrade the carbon fraction of coke in a blast furnace. Because South African cokes contain relatively high amounts of ash, the influence of alkalis on the ash fraction was investigated, the carbon and ash fractions being separated and studied separately. Potassium engenders the formation of liquid, with a resultant expansion of volume and a decrease in the strength of the coke ash. However, the ash did not play a significant part in the degradation of the coke, and it was found that the catalytic effect of potassium on the Boudouard reaction was the overriding factor in the coke-degradation process.

Jan 1, 1986

By Page-Shipp. R. J., Elizabeth Harris

A study of the response of South African white gold miners to exposure to dust in their working environment yielded large quantities of dust data. Analysis of this data (presented in summarized form) reveals a variety of interesting relationships, including the shift-long exposure of different occupational groups, the dust levels due to various mining operations, relationships between different dust-measuring procedures and time trends in dust levels during the shift. The statistical probability of contracting silicosis at various levels of exposure to this dust is reported briefly. A new method of using microscope counts to estimate the respirable mass of dust samples is given in an appendix.

By F. Lombard

We consider in this paper the use of a modified version of Hotelling?s statistic in the analysis of particle size distributions. The statistic can be adversely affected by the presence of outliers among the data. We propose a competitor to the statistic that is based on ranks, and hence is less sensitive to outlier effects. The results of a Monte Carlo study suggest that the rank test is highly competitive with the Hotelling test in its ability to detect differences between two mass size distributions. The calculation of the rank statistic is explained in detail and its application is illustrated on two sets of data.

Jan 1, 2012

By F. Lombard

We consider in this paper the use of a modified version of Hotelling?s statistic in the analysis of particle size distributions. The statistic can be adversely affected by the presence of outliers among the data. We propose a competitor to the statistic that is based on ranks, and hence is less sensitive to outlier effects. The results of a Monte Carlo study suggest that the rank test is highly competitive with the Hotelling test in its ability to detect differences between two mass size distributions. The calculation of the rank statistic is explained in detail and its application is illustrated on two sets of data.

Jan 1, 2012

By C. Pamukcu

In this paper, which is aimed to serve as a review article, first of all a breakdown of the earth?s total water reserves is given. The usage areas of water in the mining industry are mentioned and these uses are briefly outlined, together with the main pollution potential of each. According to this, most of the water (almost 80% of it) is utilized in processing. Later on, probable damages that the mining would give to groundwater as a result of acid mine drainage, heavy metal pollution, euthrophication and deoxygenation is described. Finally, the measures and controls that should be taken against water contamination in mines are presented.

Jan 1, 2008

By C. Pamukcu

In this paper, which is aimed to serve as a review article, first of all a breakdown of the earth?s total water reserves is given. The usage areas of water in the mining industry are mentioned and these uses are briefly outlined, together with the main pollution potential of each. According to this, most of the water (almost 80% of it) is utilized in processing. Later on, probable damages that the mining would give to groundwater as a result of acid mine drainage, heavy metal pollution, euthrophication and deoxygenation is described. Finally, the measures and controls that should be taken against water contamination in mines are presented.

Jan 1, 2008

By R. G. B. Pickering

The South African narrow reef hard rock mining industry has been stuck in a time warp with relatively little change in the mining process in the last century. This paper presents a methodology on how to implement change in narrow reef hard rock mining. It then explores a number of technologies that have been introduced into this mining industry and the impact that they have had on the mining process. The author then presents his view on whether the defined change process has been followed and sets out to identify the most critical aspect of ensuring that change is successfully implemented. Future demand will also be speculated on.

Jan 1, 2007

By F. P. Janse van Rensburg, P. J. Le Roux

"There are numerous factors that affect open stope stability and often result in falls of ground. These falls of ground can be attributed to factors such as beam failure due to a larger than normal roof area (hydraulic radius too large), adverse ground conditions, seismicity, the stress-strain environment, absence of support, and poor drill-and-blast practices. The effect of time on the stability of open stopes is sometimes underestimated and is relatively unknown, especially on Target Mine. Actual data was collected from open stopes at Target and analysed to show the effect of time on open stope stability. The benefits of this analysis will include improved understanding of time-dependent failure, which can assist in reducing dilution and the risk of sterilization of future mining blocks. IntroductionTarget Mine is situated adjacent to the town of Allanridge, some 20 km from Welkom in South Africa’s Free State Province, and is the most northerly mine in the Welkom Goldfields area (Figure 1). The mine consists of a single surface shaft system with a sub-shaft (Target 1C shaft) and a decline. Ownership was attained by Harmony Gold Mining Company Limited in May 2004 (Harmony Gold Mining Company Limited, 2010). Before discussing the selection of open stopes for the back-analyses, a brief explanation of open stoping as practiced at Target Mine will be given. The orebody is some 180 m in thickness and 270 m wide and comprises multiple reefs overlying one another. The 180 m thick reef package is termed the Eldorado Reefs, as shown in Figure 2. The Eldorado Reefs suboutcrop against the Dreyerskuil Reefs, as shown in Figure 3. The dip of the reef varies from as low as 10° in the west to 75° in the east.Compared with most Australian and Canadian open stoping mining operations, Target Mine is unique. In most Australian and Canadian mining operations the hangingwall and footwall of the open stopes comprise waste rock, and the orebody dips relatively steeply. Due to the depth of Target Mine, some 2300 m to 2500 m below surface, a destress slot (Figure 4) is mined to create an artificial, shallow mining environment whereby the field stress is managed and kept at values of around 60 MPa. The destress slot comprises a narrow tabular stope with an average width of 1.5 m, and is mined on the Dreyerskuil Reefs.At Target Mine the hangingwall, sidewalls, and footwall of the open stopes all comprise reef of different grades, except for the EA1, where the EB footwall is waste rock. If a stope, for example, is mined alongside an existing old stope, the western sidewall of this stope will consist of backfill. The general mining direction of open stopes is from the lowest position of the reef on the west, progressing up towards the east as shown in Figure 5."

Apr 1, 2019

By Z-P. Song, Z-B. Jiang, A-N. Jiang

"In deep excavations under conditions of high ground stress, even hard rock undergoes creep and other time-dependent effects that may result in instability. This study involves an analysis of the typical damage to the surrounding rock in the deep tunnels of the Jinchuan nickel mine in China. In order to understand the creep mechanism, triaxial creep laboratory tests were conducted under high stress. The creep characteristic curves and the Nishihara model parameters of typical rock were obtained from these tests. The numerical simulations, with which the creep model is developed, were performed using Flac3D. The creep model parameters were back-analysed on the basis of field monitoring data. Finally, appropriate support schemes for deep tunnels are suggested. The creep deformation of rock increases with time and axial load. At the same load level, the creep deformation of unloading is greater than that of loading. The simulated deformations of the surrounding rock are coincident with those from in situ monitoring, indicating the applicability of the presented rock creep model in situations of high ground stress. The results constitute a reference for support design in deep mining tunnels.IntroductionThe excavation of underground caverns can alter the natural stress field of the surrounding rock. In deep engineering projects under conditions of high ground stress, even hard rock shows obvious creep properties and time effects (Yao, 2005; Liu, 1994). The time effect of excavation not only causes decompression of the floor and increases sidewall stress, but also leads to stress concentration at the corners of the excavation, which influences the stability of the surrounding rock in a very complex manner.Many researchers have studied the creep properties of rock. ‘Griggs (1939) showed that creep occurs in sandstone, shale, and silty sandstone rock under the load of 12.5%–80% of the failure load.’ Subsequently, much research has been published on rock creep tests, including the uniaxial compressive creep test, the triaxial compressive creep test, the discontinuity rock shearing test, and field tests (Wawersik, 1974; Amadei et al., 1980; Okubo et al., 1991; Jin et al.,1995). A rheological model is used to describe the complex rheological deformation of material. This model is based on various fundamental parameters including rock elasticity, plasticity, and viscous properties, which can be combined into a constitutive model to reflect the rheological properties of various types of rocks. Wang et al. (2014) studied the creep– damage–rupture characteristics of rock salt by applying a creep-damage model. Munson (1997) developed a multi-mechanism constitutive model of creep of polycrystalline rock salt based on steady-state creep and modified it to incorporate transient creep through work hardening and recovery. An elasto-viscoplastic approach was developed to simulate the timedependent nature of the fracture zone (Malan, 1999). Rheological models were proposed to understand the collapse of iron ore mines in Lorraine by Dragan et al. (2003)."

Jan 1, 2016

By B. Larsen

The Søderberg electrode was invented about 95 years ago by the company Elektrokjemisk, later known as ELKEM. It is still the most commonly used electrode system in submerged-arc furnaces for ferroalloys, platinum smelting, and slag cleaning operations. The size of the furnaces and electrodes has increased over the years and electrode diameters up to 2000 mm are today in use. Such large electrodes can be challenging to manage, and large electrodes are also more demanding when it comes to the electrode paste used in the electrodes. Although electrode sizes and equipment around the electrodes have changed, the main principles of the Søderberg electrode processes are the same. To assists in proper understanding of the electrode processes and to optimize electrode management, Elkem has developed several mathematical tools covering various aspect of the process. Both temperatures and thermal stresses can be calculated during dynamic conditions. The paper demonstrates, with examples, how the tools are used in both education and as practical input to improved electrode performance.

Jan 1, 2012

By J. H. E. Perry, V. H. Wiik

"The ore deposits of the Zambian Copperbelt occur in sedimentary strata that have been subjected to relatively mild, flexure-type folding. Unrolling serves to reconstruct the original depositional geometry of the folded sedimentary strata and is in common usage on the Copperbelt both for geological analysis of drill hole data and in routine ore reserve estimation.A computerized method of unrolling was introduced at Roan Consolidated Mines in 1969 based on a standard contouring program. A contour map of the geological structure is drawn from a regular grid of elevations, interpolated from the original, irregularly-spaced intersections. Unrolling is performed across this grid, perpendicular to one or two axes specified by the geologist. Each intersection is unrolled independently, and the new co-ordinates are subsequently processed to produce unrolled maps.The technique has been used successfully at RCM over the last two years in both the estimation of ore reserves and exploration planning."

Jan 1, 2014

By A. K. Anyimadu

Ongoing development work on ultra-fine grinding for various applications at the Group?s concentrators has been conducted by Anglo Platinum over the last few years. Current potential applications for mainstream grinding and concentrate grinding are the subject of a group-wide research and development programme. The first 10 000-litre 2.6 MW IsaMill was jointly developed by Anglo Platinum, Xstrata Technology and Netszch for installation at the Western Limb Tailings Re-treatment project in Rustenburg, South Africa. The unit was commissioned in late 2003/early 2004,and has operated in an intermediate concentrate regrind application successfully since. This paper describes the operational performance to date, as compared with the original duty specifications and objectives. The first mainstream M10 000 IsaMill with a 3 MW drive will be operational in November 2006 at the Potgietersrus Platinum (PPL) ?Platreef? Sandsloot Concentrator in South Africa?s Limpopo Province. Keywords: Western Limb Tailings Re-treatment Plant, IsaMilling, Platreef, platinum, palladium, PGMs, tailings.

Jan 1, 2007

By A. K. Anyimadu

Ongoing development work on ultra-fine grinding for various applications at the Group?s concentrators has been conducted by Anglo Platinum over the last few years. Current potential applications for mainstream grinding and concentrate grinding are the subject of a group-wide research and development programme. The first 10 000-litre 2.6 MW IsaMill was jointly developed by Anglo Platinum, Xstrata Technology and Netszch for installation at the Western Limb Tailings Re-treatment project in Rustenburg, South Africa. The unit was commissioned in late 2003/early 2004, and has operated in an intermediate concentrate regrind application successfully since. This paper describes the operational performance to date, as compared with the original duty specifications and objectives. The first mainstream M10 000 IsaMill with a 3 MW drive will be operational in November 2006 at the Potgietersrus Platinum (PPL)?Platreef? Sandsloot Concentrator in South Africa?s Limpopo Province. Keywords: Western Limb Tailings Re-treatment Plant, IsaMilling, Platreef, platinum, palladium, PGMs, tailings.

Jan 1, 2007

By F. Habashi

The first documentary evidence for the use of fire to extract a metal was furnished by the wall paintings of the ancient Egyptians showing workers using the blowpipe and bellows to increase the temperature to melt gold in a crucible. Furnaces grew in size and complexity, coke replaced charcoal in the blast furnace, and the Industrial Revolution took place in England that gradually spread worldwide. More metals became known and new techniques were introduced for their extraction. Among these, metallothermic reactions became prominent in the nineteenth century immediately after the discovery of the electric current and its use to liberate the alkali metals from their salts. Once these metals became available, they were used to produce aluminium from alumina that resisted all other methods of attack. Aluminium, now available on a large scale, was used to decompose the most stable compounds and liberate more metals that became the basis of modern civilization.

Jan 1, 2004