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By John S. Cummings

Although there are many geologic situations which might be discussed at a session such as this, as I considered the problem, it became apparent to me that I should discuss a situation which has been of concern to me, and should be of concern to the geologic community. As a result, the questions which I will pose, and the criticisms, have not been arrived at quickly or easily, but have accumulated through time, to the point where I feel discussion is necessary. Very briefly let me say that my criticism of geologic mapping, of conclusions reached, and objectives or lack of such, results from my association with many areas where such studies have been completed, and resultingly my inability to comprehend the system of evidence or logic which supports extensive age-formational designations. The heart of the problem is that many conclusions resulting in geologic designations are based on weak or non-existent evidence, and such should be catagorized as hypotheses. Although the geologic community as a group does not approve or disapprove of such designations, it is evident that many or most of such designations attain a "status", and arc accepted as more or less valid statements. As will be shown, the amount of specific lithologic data provided in some quadrangle mapping projects is exceedingly slim. However, of concern herein is that the type of information presented at any stage is sufficient to warrant conclusions drawn. To see the magnitude of the problem, it is probably necessary to review some basic fundamentals upon which our geologic systems are established. The United States Geological Survey has defined a "formation" as the broad unit of geologic mapping consisting of a large and persistent stratum of one kind of rock. Obviously such a designation allows that a formation could be considered "time variant" in a horizontal as well as in a vertical context. However, other definitions enable a formation to mean units

Jan 1, 1972

By A. K. Sinha

Modern mine ventilation systems have grown rapidly in recent years both in tern of its complexities as well as its value for human health and safety. Although computer models are now available to help the design and operation of mine ventilation systems, considerable differences often exist between the computer based predictions and practical results. Research conducted to compare computer result with practical measurements made in ventilation circuits simulated in a physical model seems to confirm such differences. It is concluded that although a mine ventilation computer model is a very powerful tool, it can be utilized to its full potential only after more reliable input data are developed.

Jan 1, 1985

By J Evans-Wheeler

"The mandate of the 2005 VALMIN Code to provide ‘(all) reliable, thorough, understandable material information required by investors and their advisers when making investment decisions’ requires that due diligence for tenure be full and thorough. Yet a published due diligence would often appear to be simply a list of tenures allegedly held without any commitment as to the standing of the tenure as safe and secure or otherwise.The value of due diligence for tenure, as mandated in the 2012 JORC Code and the 2005 VALMIN Code, must focus on compliance rather than simply on ‘vital statistics’. Enforcement in every jurisdiction in Australia focuses on penalties (some more harsh than others) for non-compliance, which, in turn and most importantly, reflects directly on security of tenure. Some 22 Acts (on average) impinge on security of tenure and fundamentally underpin the security of any mineral asset.This paper will outline regulatory processes to demonstrate how tenure compliance is achieved and argue that the rigorous application of good practices in tenure evaluation will lead to more of this information being made available on a regular basis.The paper will then focus on further practical examples of tenure compliance failures, the application of these to the requirements of the JORC and VALMIN Codes and due diligence that failed to fulfil the mandate. Examples will be given that alerted other professionals using the JORC Code to complex geological and mining situations of which they were unaware in their valuations.Finally, the author will make a personal plea for tenure to be considered at the commencement of any reporting process.CITATION:Evans-Wheeler, J, 2016. The VALMIN code and tenure compliance – not just a list, in Proceedings Project Evaluation 2016, pp 112–121 (The Australasian Institute of Mining and Metallurgy: Melbourne)."

Mar 8, 2016

By Craig Roberts

"While various methods are available to estimate a mining project's value, value is only established through a transaction. Comparable methods allow the value estimated for a mining project to be benchmarked against mining project values established in the market. Comparable methods thus are a key tool for ensuring value estimates are congruent with what the market would actually pay. For example, if the value estimated for a mining project using discounted cash flow analysis differs significantly from the value implied using comparable market methods, the valuator may be using metal price or discount rate assumptions that differ significantly from those the market is currently willing to pay for.The paper provides an overview of market comparable valuation approaches, and discusses some of the difficulties and limitations that arise in using these approaches. The types of market values that are typically utilised are discussed, including asset sale prices, share prices (market capitalisations), and values established in corporate mergers and acquisitions. Topics discussed include methods used in estimating a mining project's value based on the market value of the company that holds the asset, and limitations that arise because of unique features of mining projects and of companies that hold them.It is concluded that market comparable and fundamental (e.g. NPV) approaches to project valuation should not be viewed as alternative approaches to estimating project value, but rather can and should be integrated to derive a single value estimate based on both market andfandamental data. A method for integrating these approaches is discussed, and illustrated by example."

Jan 1, 2003

By W. Robert Power

Dimension stone includes a wide variety of natural materials that are put to an equally wide variety of uses. It is possible to classify dimension stone according to the end use to which the stone is put or according to the lithology of the stone. Both schemes are used by the United States Bureau of Mines in the annual Minerals Yearbook. The 1969 Yearbook lists 15 specific uses and has additional miscellaneous catagories. The same Yearbook lists five specific rock types or lithologies, and also includes a miscellaneous category. In a short presentation it would hardly be possible to list and define all these categories, much less discuss the evaluation of deposits with regard to all possible combinations. Besides, I am only slightly familiar with some of the uses and their requirements. I have therefore chosen to limit my remarks to some special problems in evaluating dimension stone that is to be cut and finished to specific sizes, tolerances, and finishes for use in buildings and some monuments. This use class is called cut stone in the Minerals Yearbook. In terms of dollar value it is the largest single use category. In 1969 the dollar value of cut stone was $29,122,000 which is more than twice the value of the next largest category. For those of you who are interested in other use applications of dimension stone I suggest that you start with recent articles by Bowles (1960), Currier (1960), and Barton (1968).

Jan 1, 1972

By Lyon F. Terry

ACCEPTED current practice for A the valuation of mineral property is based upon Hoskold's theory and valuation tables first published in 1877, and popularized by Herbert Hoover's "Principles of Mining" issued in 1909. In more recent years the procedure has been developed further in the course of the extensive valuation work required for Federal taxation purposes. The 1-aluation of oil and gas properties and of mines is based upon the same principle-the estimation of the present worth of future net revenues. However, in valuing oil and gas properties the method used for discounting future revenues differs somewhat from that adopted for mines, owing principally to the nature of the re- source. production from oil and gas properties usually declines from year to year, whereas coal and ore de- posits are adapted to a more uniform rate of output.

Jan 1, 1940

By Ying Gu

Automated mineralogy methods and tools, such as the Mineral Liberation Analyzer (MLA) and the QEMSCAN, are now widely used for ore characterization, process design and optimization. Several case studies published recently demonstrate that large gains can be obtained through grinding and flotation optimization guided by automated mineralogy data. However, since automated mineralogy can only provide the information pointing to where the process gains can be made, it does not directly impact the production gain. Thus, a question is often asked: how to value the contribution of automated mineralogy to process improvement of a particular plant. This appears to be a difficult question. On close examination however, it is found that this is essentially a question of the value of information and it is reasonably well documented in various other industries. Hubbard (2010), in chapter 7 ?Measuring the Value of Information?, dealt with exactly this type of problem. The value of information is the reduced risk of an investment and opportunity loss. The methods Hubbard developed can be applied to estimate the value of automated mineralogy, as well as metallurgical test work, which also produces information that reduces the risk of investment. This paper first introduces Hubbard?s theory on the value of information and how to measure it. It then applies his methods to estimate the value of automated mineralogy, using Anglo Platinum?s fine grinding project as an example. In this case, the value of automated mineralogy includes the reduction in investment risk worth US$ 62.5million, in project rejection worth US$197 million and in opportunity loss worth US$320 million. In the end, a general model is developed to allow the simulation of the value of automated mineralogy in different mining operations constrained by different parameters.

Sep 1, 2012

By M L. van Kampen

The recent (2005) amendments to the Resource Management Act 1991 have made it clear that there is no obligation on an applicant to consult. However the importance and value in consulting with the community, particularly before commencing a major project, cannot be understated.   This paper looks at the provisions of the Resource Management Act as they relate to consultation and public participation in the process, and will discuss the benefits of consultation both before an application is filed and following the filing of the application. Engaging with the local community can help shape a project to better fit the community, engender support and address opposition. In short, taking the extra step to what is legally required, can help smooth what is potentially a bumpy road. Examples in practice of the value of consultation are given.

Jan 1, 2006

By S L. Martin, M Wimberger

The binary indicator coding of assay and lithological data according to a single criterion or multiple criteria is a powerful technique for representing mineralised shapes through the modelling of probabilities. This can be as simple as using a single indicator to model the probability of occurrence of a condition, usually a grade threshold or a lithology, but it can also be used with a number of categories. Case studies are presented to show the power of this approach, where the geological controls on mineralisation or on the distribution of a rocktype or alteration, often coupled with mineralisation, are unclear. The categorical approach is often used as a de facto grade filter in disseminated or stockwork mineralisation. The ultimate expression of the indicator formalism is in multiple indicator kriging (MIK), where a conditional distribution of probabilities is generated for each estimation panel. This has applications in recoverable resource estimation, as the input for continuous or categorical simulation, where the distribution of sample grades is multimodal, or when there are superimposed mineralisation events with different orientations. However, in some cases, MIK is being used as an excuse for ignoring a quality geological interpretation. Examples from the public domain show the abuse of the categorical and MIK approaches to modelling probabilities, together with a plea for greater consideration of the geology.

Mar 22, 2022

By Douglas Brand

"The data that many mineral processing plants make use of, is provided by samples taken from sampling systems which are inadequately designed or improperly maintained, and therefore cause detrimental effects to plant operations, production planning and metallurgical accounting! Poorly designed or maintained sampling systems will likely produce low probability samples which give the operator a false sense of security of the product and the process. If data is the basis for action (Flintoff, 1992, p.2), then using the resulting suspect or bad assays by operators, control systems, or metallurgist and administration personnel will act and make decisions which may adversely affect the profitability of a processing plant. Here we will discuss some of the fundamental sampling problems, propagation of errors and a method to estimate what impact this has on an operations Net Smelter Return.INTRODUCTIONIn order to control a mineral processing plant at its best potential, it is necessary to obtain the best possible measurement results of the metal or mineral in question. The sample which is delivered to a measuring instrument, or lab, needs to be of the highest probability to be able to achieve this. This paper will discuss the effects of sampling errors on grade / recovery and grade / Net Smelter Return (NSR) and provide a method to estimate the monetary advantages of using probabilistic sampling in a processing plant.REVIEW OF SAMPLINGSampling, by definition, is the removal of a small representative portion from a total consignment, or flow, for the purpose of accounting or process control.• A sample can only be considered representative, if each and every increment collected, in each of the sampling stages, is representative.• Each particle of the sampling lot must have the same probability of being included in the final sample.• If both of the above conditions are met, then the final sample will be representative of the complete sampling lot.It is commonly known that in order to take truly representative and probabilistic sample, best practices indicate that:• The total stream should be sampled.• The sample cutter should intersect the sample at right angles to the flow.• The sample cutter should travel through the stream at a linear and constant speed and the speed deviations should be less than 5%."

Jan 1, 2016

By O. Norman Lotter

There are many scales of innovation in the pursuit of concentrator performance improvement, including paradigm change, inventive change and incremental change. All are important, but the last is low risk, low cost and has a relatively high probability of success, given the right metallurgical skills. Seeking continuous improvement is also essential to ensure that performance does not decline over time due to ore type changes, personnel changes, equipment wear and other factors. When properly implemented, these small gains offer a very high rate of return for the project cost because they are made from marginal, not total, operating costs of the plant. To be effective this approach requires plant trials that use designed structure and appropriate statistics to test the observed differences arising from the old and new process treatments, be they a change in flotation reagent, in grind, pulp density, etc. However the pursuit of small but financially significant performance gains is often regarded as fruitless because of the range of variance in plant data, and the consequent difficulty of ‘proving’ that a benefit has been achieved. Opportunity for improvement is thus sometimes relegated to the realm of the impossible, or at best, treated with skepticism. Operations managers prefer to look for the larger gains, which are easier to demonstrate and prove. Unfortunately, these are seldom to be found; rather, a large gain can be more easily made by executing a series of small recovery improvements that are together equivalent to the ephemeral single large gain. In this paper we advocate a policy of continuing improvement driven by rigorous performance testing protocols and a formal ‘risk analysis’ approach to judging the efficacy of changes implemented in the plant. Following these simple procedures allows rational decisions to be made on the basis of quantifying risk and reward. In particular we consider the choice of hurdle rate for decision-making which best balances risk and reward. It is shown through case studies from actual industrial practice that this approach is practical and delivers significant financial value to the operation.

By B. Simser, T. Butler

Glencore’s Nickel Rim South Mine, located in Sudbury, Ontario, Canada, is a primary/secondary blasthole operation with ore zones lying between 1,100 and 1,700 m below surface. One of the main benefits of the primary/secondary mining method in high stress ground is that up to 50% of the mining will take place in secondary stopes that should be in a yielded rock mass state. Every future secondary mining stope begins as a primary stope abutment pillar. As with many mines, the stress loading history and rock mass conditions can vary considerably in space and time. Safe mining practices cannot allow for an assumption that the planned secondary stopes are indeed yielded. An incorrect assumption can result in mining development and stoping taking place in high stress ground rather than the expected yielded rock mass conditions. This can result in higher levels of seismicity than expected and incorrect ground support recommendations in areas where workers could be exposed. Seismic monitoring is the mines’ premier tool to track the actual rock mass response to mining. Yielded zones have a reasonably clear seismic signature/pattern over time that is visible in the collected data. The ability to accurately locate small magnitude seismic events can help define and delineate different stages of rock mass failure. The vast majority of the seismic data recorded by the microseismic monitoring system is below moment magnitude (Mw) 0.0. Examples are provided showing how small seismic events (Mw < -1.5) can help provide feedback from the rock mass deformation that allows the ground control engineer to gain a better understanding of how the rock mass is responding to mining processes.

Apr 26, 2022

By K. G. Chipman

The Geological Survey is the oldest map making department in the Canadian Government service, and when organized in 1842, one of the first principles to be recognized was the absolute necessity of having good maps. The primary purpose of the Survey has always been geology; but because a graphic representation by means of maps makes the written report .more readily intelligible; because the correlation of known geological facts is often difficult or nearly impossible unless they can be represented on a map; and, because the public demand information shown in this way, the Geological Survey must continue to supply maps; and the supplying of these maps must be considered as an essential part of the work of the Survey. It is a commonly recognized principle of pedagogics that an appeal to the eye is quicker than one to the ear; that children (and others) learn more quickly when a thing is presented to them through the eye rather than through the ear. The application of this principle to the work of the Geological Survey is that, to a large number of people, the message of a map is more quickly grasped, is more readily intelligible, and is in many ways of more interest and value than is the same information in a report. I do not mean that the maps are of more importance than the reports.

Jan 1, 1924

The lignites of Otago and Southland offer a potentially viable future feedstock for electricity production and possible conversion to petrochemicals or liquid fuels. The deposits, when combined, represent New ZealandÆs largest energy inventory; equivalent to about 74 000 petajoules û or approximately 35 times current natural gas reserves. Too often dismissed as irrelevant to New ZealandÆs energy future because of adverse perceptions of the value of low rank coals, the strategic value of this resource is in fact huge. &nbsp; Investigations of the lignites extend back over more than 50 years (LFTB various, CRL Energy Ltd). Whilst it is not the intention of this paper to review this work, these investigations have confirmed the suitability of the resource as a feedstock for thermochemical conversion. Current estimates of South Island lignite mining costs are NZ$1.0 - 3.0/GJ (Natusch 2005), making these resources amongst the most competitively-priced energy sources available world-wide. &nbsp; This value, however, will only be captured if we as a country begin to envisage a world-scale, long-life, integrated and multi-faceted development sized to supply world markets for chemicals or fuels. Recent CAE studies (Hooper and Riddolls, 2005) have emphasised the vital importance of ensuring that any exploitation of this resource maximises their value to New Zealand. The question that thus must be applied is how might large-scale utilisation of the resource fit with New ZealandÆs primary energy supply, and its potential for the export of high-value commodities. &nbsp; From the broader perspective of New ZealandÆs total energy supply equation we need to examine other supply options beyond just the generation of electricity. We face in this country a situation wherein almost all our liquid fuels feedstock has to be imported with projections for an increasing dependence on imported oil. In addition NZ has a natural gas reserves-to-production ratio of less than ten years, and dwindling supply from local production. Without further natural gas discoveries, New Zealand has only a window of approximately five years before we will need to commit to imported LNG or some other thermal fuels option. &nbsp; In other words, New Zealand is facing an uncertain future unless we can restore energy inventories to cover an adequate strategic reserve capacity as well as enable long-term investment in alternative sources. Within this context the South Island lignite resources are thus deserving of more attention. The extent of the resource is well known, its suitability for conversion reasonably assessed, and its magnitude such that there is little doubt that lignite conversion could adequately meet NZÆs future energy needs for many years out. &nbsp; This paper reviews coal gasification technology, its application to lignite and the possibilities for future development of the lignite resources. It is argued that the strategic imperative for this country is to secure the lignite resources as a primary energy source for this country well into the latter half of this century.

Jan 1, 2005

By Francis A. Thomson

DO the curricula of our mineral technology schools prepare their graduates to meet properly the full range of their responsibilities in after life? An unequivocal "no" could be returned to this question, because training and experience in professional work are quite as important as adequate college preparation. Furthermore, a had curriculum with a splendid corps of men doing the teaching and a competent body of students doing the learning will produce a better result than an ideal curriculum in the hands of unqualified teachers and poorly prepared students.

Jan 1, 1937

The first form of a surety bond was an honest handshake between two or more parties, agreeing to a decision and their personal guarantee of following through to completion. This has all changed. In 1895, the United States Treasury Department disclosed that $35 million worth of personal surety guarantees on file had become worthless. At that time, a law was passed, requiring all surety bonds, in favor of the United States, must be corporate surety bonds. Today, a surety bond is one of the nation&apos;s leading financial instruments used to guarantee the completion of an obligation.

Jan 1, 1989

By D. S. Barr

Mineralogical, lithological, and metallurgical studies were conducted on various gold ore deposits currently controlled by Freeport-McMoRan Gold Company. Ore samples were first lithologically and mineralogically categorized, then subjected to chlorination, roasting, and autoclaving pretreatments to determine their effects on gold recovery in a subsequent alkaline cyanide carbon-in-leach extraction. The studies indicate that, while organic carbon and sulfide sulfur are the primary refractory components, their effect on process response must be interpreted with respect to the deposit&apos;s geology and mineralogy. This approach has proven to be an effective method for evaluating metallurgical alternatives and fore-casting future mill performance.

Jan 1, 1987

By R. Gilman Brown

INTRODUCTION. MINES are interesting by reason of what they have done for man, or of what has been done for them by nature. Not all are interesting on both scores. Many profitable mines are commonplace to the geologist; and many presenting unique geological conditions have been sad failures commercially. The Standard group at Bodie has produced in 25 years, $14,500,000, paying $5,000,000 in dividends.&apos; On the other hand, this output has been mined (almost wholly above the 1,000-ft. level) from a system of more than 100 veins, ranging in thickness-from 0.5 in. of "specimen rock" to 30 ft. of clay and quartz; distributed through a zone about 2,000" ft. in width, and representing from three to five distinct periods of formation. This group, therefore, by reason of its industrial record as well as its geological features, may fairly be regarded as doubly interesting. The Bodie district occupies an island of recent (Tertiary) hornblende-andesite, surrounded by a complex of igneous rocks and breccias. It lies at the summit of the eastern foot-hills of the Sierra Nevada mountains, and within the Great Basin, a few miles from its western edge, marked here by Mono lake on the line of the Great Fault. The average elevation of the outcroppings of the veins may be taken at about 5,700 ft. The andesite projects from south to north in a great tongue, 12,000 ft. long and 5,000 ft. wide, reaching an extreme height at the northern end of perhaps 1,000 ft. above the adjoining small canyons. These separate it from the main mass of the foot-hill

Jul 1, 1907

By R Brake

The Enterprise Mine (EM) is located at Mount Isa and is wholly owned by Mount Isa Mines Limited (MIM). This high-grade copper mine extends from about 1000 m below surface to almost 2000 m below surface. A recent $400 million upgrade has taken the operation from a production rate of 1.3 Mtpa to a capacity of 3.5 Mtpa. The effects of high surface ambient temperatures in summer, combined with the depth of the mine and high virgin rock temperatures results in heat stress in the working place that, without intervention, would exceed the levels that human physiology can withstand. It would also result in significant decreases in productivity and high accident rates even where work is possible. Moreover, with a very hot and deep mine, the needs of æegressÆ and entrapment of workers during a mine emergency must be carefully considered. Enterprise Mine has taken a æsystems approachÆ to the issue of working productively, healthily and safely in heat. This involves setting limits of thermal stress for workers, understanding productivity decrements when working in heat, establishing productive and healthy environmental targets, developing engineering solutions to meet these targets, creating a well-educated workforce with respect to working in heat and then developing health protocols to ensure workersÆ health is protected. Refrigeration must be added to the mine to provide acceptable and productive conditions underground. By the time the mine is commissioned in 2000, Enterprise mine will have an installed refrigeration capacity of in excess of 40 MW(R). The ventilation engineering principles proven over many years at the other Isa underground mines are tailored to æfloodingÆ the mine with air to remove the heat, which is the main contaminant. This principle will not work at the Enterprise Mine, for reasons discussed below. With the underlying ventilation principle no longer satisfactory, a complete review of the entire ventilation principles and engineering solutions was required for the Enterprise Mine.

Jan 1, 2000

By M. Peters, P. Schmäh

The development of renewable energies and a sustainable power grid are the challenges for future energy supply. Underground cables will replace the vulnerable overhead lines, because of their safety benefits. Due to the public environmental awareness, smart tunnelling and trenchless solutions are required for inner-city and cross-country installations of underground cables, as well as for crossings and the landfall sections to connect offshore wind farms to the transmission grid. Methods from the tunnelling and pipeline industry provide a high flexibility in the planning of alignments, including versatile tunnel concepts and the installation of protective pipes with E-Power Pipe and Direct Pipe.

Jun 13, 2023