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By John Chadwick

In the drive for faster development advance rates, railbound systems can be advantageous, in the right application. Skanska BS, the contractor to mine-owner VSK Mining, is driving an adit access deep into the Volouské Urchy Mountain in Slovakia to access the Gemerská Poloma talc deposit, some 70 km (43 miles) west of Ko?ice, the economic and cultural center of eastern Slovakia. Skanska began driving the Stolna Elisabeth drift in February 2007, extending 25 kg/m (50 lb/yd) rails (with 750 mm or 30 in. between sleepers) into the mountain to provide the main haulage to bring talc ore and waste out of the new mine once it gets into production. It will also be used for personnel transport, and is now almost complete. As a second egress and for ventilation, a 2.5-m- (8.2-ft-) diameter shaft of about 300-m (984-ft) depth will be sunk from surface down into the orebody. Stolna Elisabeth is a 4.2-km- (2.6-mile-) long drift mined at a cross section of some 11 m2 (118 sq ft). The finished profile is 3.2-m- (10.5-ft-) wide by 3.6-m- (11.8-ft-) high. It has been developed on a very slight incline so that water runs down it to the portal. The portal is 450 m (1,476 ft) above sea level and the end of the tunnel is 475 m (1,558 ft) above sea level. Much of the rock through which it has been developed is magnesite with a compressive strength of 150 MPA. The drilling jumbo is an Atlas Copco twin-boom Boomer 282 Raildrill drilling 42- to 45-mm- (1.6- to 1.7-in.-) diameter holes to a maximum length of 2.5 m (8.2 ft), depending on ground conditions. This is a drill jumbo that Skanska has used successfully on a number of projects during its life. The condition of the rock through which this drift has been driven is extremely variable. Five classifications of A1 and A2 and B1, B2 and [ ] B3, where A1 is the most competent rock and B3 is the worst, have been established. The amount of support used, of which more later is determined by the classification of ground conditions. At the time of the author?s visit, the project it was about 40 days ahead of schedule, thanks to high advance rates. For instance 6 m/day (20 ft/d) was the plan for the advance to be achieved in B1 rock, but sometimes the crews have achieved 8 m/day (26 ft/d) ? which is the average for the whole project ? in those conditions. In A1 the best advance rate achieved is 12 m/day (39 ft/d). The loading unit is a Häggloader 9HR-B on crawler tracks with a pony track to run on the rails. This allows the unit to be towed up and down the drift along the rails. To load from the face, the Häggloader lowers the foot of its onboard conveyor system to the floor and the backhoe pushes material on to it. This digging arm-conveyor combination produces uninterrupted, optimal volume loading of the haulage unit, without spill ? a technique offering load capacities as high as 180 m3/h (6,356 cu ft/hour). Further-more, as an electrically powered machine, it offers great

Jan 1, 2009

By A Misra

In pursuit of solving the development rate problem the coal industry has investigated various development systems. While all the systems may improve the development rate they may not necessarily he cost effective. This paper carries out an economic analysis by developing cost models for present and future development systems for retreating longwall faces with particular reference to Australian longwalls. A critical cost analysis of various development systems is presented by taking into consideration all the costs associated with development systems. The costs have been divided into equipment, face and panel services, belt and structure, wages, roof and rib support, ventilation, consumables, power and maintenance. The annualised cost of various equipment has been obtained on the basis of depreciation rates prescribed by the Australian Taxation Office.

Jan 11, 1996

By Kurt Westerlund

Cooling of hot sticky gases with solids in a circulating fluidized bed called FLUXFLOW is described. Fluxflow is used for gas streams from metallurgical reactors, e.g., Isasmelt copper in Australia and TBRC for lead in Sweden. The features and potential of this technology in metallurgy and waste treatment ie described. The FluxfLow la a new, cost efficient high availability solution to treat hot sticky gases that has made new gas handling and heat recovery flow sheets available to the process industry.

Jan 1, 1994

By T. Hayes

Track-type tractors remain one of the most cost-efficient stripping tools available to coal miners. Whether they are "sweetening up" a dragline operation with pre-benching or serving as the primary stripping tool, dozers can play an important role in driving down mining costs. This paper reviews the application zone of track-type tractors. In addition, it provides tips on site set-up, equipping of tractors, and machine operation which the audience can take home and apply.

Jan 1, 1996

By A. J. MacKellar

The economic viability of any project is generally assessed on an evaluation of the total capital constructed costs along with operating costs, owner's costs and market conditions. This paper will be directed to the role that Cost Engineering plays in the development of the capital costs and the cost control techniques applied thereto.

Jan 1, 1975

By David C. Slack

In recent years public concern over the environment has grown enormously. A very aware populace has exerted pressure on its legislators to enact enforcement laws dealing with pollution. Among the different types of pollution, sulfur dioxide in the air is a large and readily identifiable constituent. Air pollution, according to the EPA, costs the U, S. billions annually with SO2 a major portion of this cost. Fossil fuel and oil fired power plants release better than 50% of the SO2 in the country. Thus great attention is being focused on the methods power plants are utilizing to control emissions. With a time schedule of compliance by early 1975, decisions are being made and systems chosen that will have to perform - and perform - and perform. Therefore, a large majority of the power plants are presently considering lime in the planning and operational phases of their stack gas desulfurization programs. The reasons for this are: Lime scrubbing has more development and pilot work completed than most other methods; the removal potentials are relatively high; the stoichiometric ratios are not excessive and, the process has relatively low capital and operating costs. Many pilot plant studies have been completed recently using lime and the first operational full scale lime scrubbing unit is now in the start-up phase at this time at Duquesne Light Company's Phillips Station here in Pittsburgh. Also, because of completed development work, the problem of solid waste disposal will also be tackled at this power station at the same time. There are various methods for the use of lime in scrubbing for S02, but for our purposes I would like to describe the cyclic wet lime process. This method called "Scrubber Addition of Lime" involves contacting the flue gas with a slurry of milk of lime.

Jan 1, 1973

By O. Schumacher

Guidelines for publication of information defining the amount and grade of resource material available in a deposit are well established in Australasia?s JORC Guidelines, Canada?s National Instrument 43-101 and similar documents in South Africa, Peru, Chile and elsewhere (Table 1). These guidelines provide standards to apply regarding the geologic and geostatistical basis for describing the level of confidence to be assumed for an estimate of the amount and grade of material. All of them provide for a strict distinction between material that has been demonstrated to be economically mineable and that which has not, and all of them provide terms such as ?resource? or ?exploration information? to be applied to data regarding material that has not been demonstrated to be economically mineable. It is not until an economic study has been completed that we are allowed to apply the powerful terms ?reserves? and ?ore? to our deposit material. Indeed, the application of these eye-catching labels immediately tells the reader that an economic study has been completed by a qualified person, and that the results of the study were positive. While extensive guidelines are established for describing the level of confidence in published geologic data, and the nature of the economic study that should be accomplished before using the terms ?reserves? or ?ore?, surprisingly little guidance is provided regarding the process to use, and the level of detail to attain, for estimating capital and operating costs for the study. The intent of this paper is to lay the groundwork for development of suitable guidelines for the cost estimating process. While the codes do not provide specific instructions for the cost estimate, they do provide numerous hints and clues to help determine the level of detail expected and the type of procedure to apply in preparing the estimate. This paper will first review the various codes to gain an insight into the thinking of the drafters of the codes regarding their unstated expectations for the cost estimating process. Based on this review, a series of guidelines are proposed for this purpose.

Feb 27, 2013

By Arthur F. Johnson

THE principal costs of making a pound of aluminum are for 9 kw-hr of electricity and for 1.9 Ib of the oxide (A1203) called alumina. A pound of alumina is made by digesting 2 or 3 lb of bauxite in hot caustic solutions, settling and filtering out the oxides of silicon, iron, and titanium and precipitating and calcining the A1203 as a pure, white powder. The cost of foreign bauxite delivered at an alumina plant in the U.S. may equal or exceed the cost of its chemical treatment to make alumina. Some of the principal factors affecting costs in the utilization of foreign bauxites are: transportation from mine to market, mineralogical and physical composition of the bauxite, thickness of the bauxite beds and their clay and forest overburden, amen- ability of the bauxite to beneficiation and to caustic extraction of the alumina, and lastly size of bauxite deposits and rate of mining employed.

Jan 6, 1954

By James E. Breland

Society's growing concern over the number of deaths and serious injuries occurring in coal mines, coupled with a growing sentiment to develop and promulgate improved mandatory health or safety standards, was no doubt the basis for passage by Congress of the Federal Coal Mine Health and Safety Act of 1969, being Public Law 91-173 approved December 30, 1969. Even prior to passage of the Act, strong reaction was quick to arise concerning the effect of such legislation upon the coal mining industry. Initial response varied from mild forms of criticism to' the expressed fear of complete suspension of operations and mine closings. Primarily responsible for these early forms of skepticism were speculative or fanciful cost estimates which led operators to contemplate a less than prosperous existence. However, in spite of this unfavorable outlook, the majority of the operators have faced up to the situation and have been striving to comply with the Act and the regulations issued thereunder. While encouraging strides have been made toward implementation of the Act, it must be recognized that noticeable results have been attained only through many months of determined effort and, as anticipated, at quite heavy expense to the operator.

Jan 1, 1973

By Bruno C. Boik

INTRODUCTION Cost Management is the evaluation and control of project scope, budgets, and costs with the objective to minimize costs and maximize the benefits to be derived from the use of project resources in conformance with Criteria stipulated or approved by the Owner. In order of importance, Cost Management is one of the most prominent Project Management functions because of its impact on the financial success of the venture. Cost Control and Cost Accounting are essential parts of Cost Management. The principal objectives of Cost Control are to monitor project commitments and expenditures, and measure performance for the detection of variances from acceptable standards and from control budgets so that timely action can be initiated to minimize costs. Cost Control is evaluation of current costs and projection of future costs, rather than the reporting of actual costs. Cost Control is not Cost Accounting. The primary objectives of Cost Accounting are the determination, classification, analysis and reporting in useful detail of actual costs. Following are some considerations on Cost Management and Cost Control as practiced by Owners and Contractors of industrial projects, Mining and Metallurgical projects in particular. COST MANAGEMENT Functions Conforming with the requirements of Owner's Criteria, the principal Cost Management functions are to • evaluate estimates of project costs and establish budgets for a scope of work and schedule; conversely, evaluate the scope of work that can be executed most effectively within a budget and schedule. • promote investigations and comparative evaluations of alternate designs and plans to find the most cost effective way to execute a project and minimize its operating costs. • based on Cost Control and Cost Accounting input, evaluate and initiate appropriate actions to correct deviations from approved budgets. assess project economics, the effect of changes on project economics and, if necessary, revise Project Criteria to modify their impact on costs.

Jan 1, 1986

By B King

Processing expansion options and mining fleet purchases are major cost items that receive due focus in most cost management analyses. If these items are not needed, they can significantly reduce a project’s short-term capital spend and improve profitability and value to shareholders. When conditions change prior to purchasing equipment, the purchase may no longer represent the best decision for the project.This paper outlines a structured approach for making major cost decisions to improve the value of a project, determining which items should be kept and which should be eliminated.CITATION:King, B, 2014. Cost management optimisation, in Proceedings Orebody Modelling and Strategic Mine Planning Symposium 2014 , pp 7–12 (The Australasian Institute of Mining and Metallurgy: Melbourne).

Nov 24, 2014

The Leigh Creek Coalfield is owned and operated by the Electricity Trust of South Australia to supply fuel to the Northern Power Station. To supply electricity at lowest cost, a costing and decision process that establishes the role of the Leigh Creek Coalfield in the overall system planning and operation is required. The costing is integrated in that it is based not just on a particular mine plan but on the wider need to supply a particular electrical demand. The detail costing has evolved over time from manual to main-frame computer to microcomputer techniques. Now there is a choice between fast consistent costs and a slower but more detailed and flexible costing.

Jan 1, 1990

By M. Z. Emad, S. Raza, K. Jalil, M. A. Raza, M. U. Khan, S. A. Saki

Dimension stone mining is Increasing because of growing demand from the building and construction industries. Diamond wire saw cutting is a popular dimension stone mining technique around the world. Estimation of the production cost for this method is critical for these operations. n this research a production cost model was developed for the mining of granite using a diamond wire saw. Cost and production data were collected from a granitic dolerite operation in Pakistan for a 4.5-year period, and analysed to identify the cost components. Fuel (34%), labour (15%), consumables (40%), and maintenance (5%) were found to be the four major cost components in this operation. A regression-based dimension stone production cost model incorporating statistically significant variables was developed. The data presented a strong correlation of production cost with fuel, labour, and consumables costs. Finally, a production cost model based on the consumption cost of diamond wire is presented. The model was verified using actual production cost data, which indicated 95% (R2 = 0.95) variance in the data between the predicted and actual production cost values. The model may help field engineers in computing their dimension stone operational cost during the cutting phase.

Nov 6, 2023

By M. R. Khalesi, S. Arfania

"Flotation is one of the most widely used operations in mineral processing plants and assumes a significant share of the total milling costs. The purpose of this paper is to introduce a new set of capital and operating cost models for major flotation machines based on the application of single (SRA) and multiple regression analysis (MRA). Thirty-seven major flotation machines were analysed for this purpose. Depending on the machinery type, different technical variables such as diameter, required air flow rate, required floor space, cell volume, required air pressure, and power were considered as predictor variables, individually (in SRA) or simultaneously (in MRA). Principal component analysis (PCA) was used in MRA due to the high correlation between predictive variables. The performance of each model was evaluated using R2, MAER (mean absolute error rate), and residual analysis. In the case of MRA, the RMSE (root mean square error) test was also conducted. Maximum obtained MAER of 13.5% and minimum R2 of 0.86 indicated that these models could be applied as credible tools in estimation of capital and operating costs of flotation machines for design and feasibility studies.IntroductionMineral processing is a vital part of mining projects and mainly involves comminution, sizing, concentration, extractive metallurgical processes, and dewatering. Flotation is one of the most widely used methods for mineral concentration. Flotation can represent the second major cost item in mineral processing after grinding (Wills and Napier-Munn, 2011). Accordingly, it is a main concern of mining project managers to select and optimize flotation circuits in order to decrease costs and increase productivity. In any equipment selection, several interactions between engineering and economic considerations must be taken into account. Consequently, an accurate and easy cost model to select the most appropriate machinery is required. Moreover, cost models could be used in flow sheet simulations applied in design and optimization. Models of unit operations built into the simulators could be improved by linking the equipment cost models (Khalesi et al., 2015)."

Jan 1, 2017

By S. A., Taylor

IT is very difficult to arrive at exact figures for the cost of maintaining excess capacity of coal mines, but we can approximate the various items. To do this, I will take the Pittsburgh district of Pennsylvania and the other districts can be compared to this one. I believe we can take the depreciation item of plant ac- count as a whole and discount it over a period of 20 years; while this is high for some items it is low for others and I believe it is not far from a safe basis. This equals 5 per cent per year, and this depreciation will take place about as rapidly when not in use as when in operation. A fair value in the Pittsburgh district to- day for plant and houses is close to $4 per ton per annum. At 5 per cent this will equal 20 cents per ton per year. The item of keeping the mine in condition, free from water, etc., will be close to an average of 2y2 cents per ton per annum.

Jan 1, 1928

By D. W. Alexander

Mine fires, explosions, spontaneous heating and inundations are among the leading causes of catastrophes (unplanned, temporary sealing and recovery of major mines). Many reports are available that detail company efforts to re-establish mining operations and agency efforts to regulate away the causes, but the associated costs are rarely included. The increasing scale of coal operations concentrates earning potential and the financial risk of business interruption in fewer locations. Underground coal mine catastrophes are low probability, high loss events that happen nearly every year. This paper will present an evaluation of coal mine catastrophes from case studies.

Jan 1, 2003

By L. B. Rothfeld, R. L. Dolzani

This paper presents preliminary results of a US Bureau of Mines (USBM) study of potential costs of compliance with possible federal regulations for copper heap and dump leaching. The regulations could arise under amendments to the Resource Conservation and Recovery Act (RCRA) and/or the General Mining Law. Estimates are given for the cost of compliance with possible technology standards that would require the use of liners and closure caps regardless of terrain and underlying geology and hydrology. This cost is compared to the cost of compliance with 1992 state requirements for terrains typical of those found at existing copper leach sites in the southwestern United States. Incremental compliance costs are found to widely exceed screening criteria used by the US Environmental Protection Agency (EPA) to denote significant economic impact.

Jan 1, 1995

By L. B. Rothfeld

This paper presents preliminary results of a Bureau of Mines study of potential costs of compliance with the federal Resource Conservation and Recovery Act for copper heap and dump leaching. Specifically, estimates are given for the cost of compliance with possible technology standards that would require the use of liners and closure caps regardless of terrain and underlying geology and hydrology. This cost is compared to the co lit of compliance with present state requirements for terrain a typical of those found at existing copper leach sites in the Southwestern U.S.A. Incremental compliance costs are found to widely exceed screening criteria used by the Environmental Protection Agency to denote significant economic impact.

Jan 1, 1993

By L. B. Rothfeld

In anticipation of RCRA reauthorization and subsequent rulemakings, the Bureau of Mines is studying potential economic impacts of RCRA on mining. For U.S. copper heap and dump leaching operations in a variety of terrains, the cost of liners and closure caps to comply with RCRA Subtitle D ranges from $55 million to $158 million per site, or about $500,000 per hectare ($200,000 per acre). If RCRA technology requirements and financial assurance had been required on current operations, 27 to 100% of production from heap and dump leaching would have been non-competitive at market prices between $2,310 and $1,650 per metric ton ($1.047 and $0.75 per pound) copper. This result is based on an analysis that considers return on capital, corporate overhead, marketing, and freight costs as well as operating and maintenance costs at the mine. Over the same price range, economic analysis using the IMPLAN input-output model on one-or two-county regions indicates potential net job losses of about 570 to 2,700 jobs. Total economic output of those counties could be reduced by about $180 million to $360 million.

Jan 1, 1994

The mining industry is generally regarded as a high risk industry, mainly because of the difficulties in estimating the tonnage and grade of mineral resources, the fluctuations in metal prices, mining problems and other problems which occur with mining in offshore and remote locations, such as appropriation or disruption to supply. As a consequence, finance providers require a high reward from mining projects. In the past two decades, the development of "mega" projects has led to the packaging of the finance becoming more sophisticated. Some would see this move as a measure of the evolution of banking rather than an intrinsic facet of mining finance itself. Project financial managers now require a thorough knowledge of all the financial tools which are available and have to be aware of the funding options so that they can put together a finance package which minimises the cost of the financing with the risk spread adequately between the partners of the financing. The different sources and types of finance for mining projects are described herein along with the factors which determine their costs. To understand the ramifications of financing mining projects, it is essential to appreciate the fundamental difference between debt and equity, which illustrates the importance of gearing. Costs of finance are determined by the interaction of supply and demand forces. Bankers and other financiers have become more adept at isolating a wide selection of risk elements and have devised a formidable range of insurance mechanisms. There is still a lot of money looking for good project risks and if a good project is properly presented and structured, financing can be obtained in today's market.

Jan 1, 1990