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By Trevor R. Ellis

Minerals appraisers/valuers often find great difficulty in attempting to employ the sales comparison approach to the market value appraisal of development and operating stage mineral properties. An important factor generally overlooked is a comparison of net operating income (NOI) margins on a per-unit-of-production basis between mineral properties, whether these be demonstrated or forecast margins. NOI margins can vary greatly between mines or quarries that are producing similar products. Ultimately, the expected NOI margin determines what a buyer is willing to pay for an income-producing property. Here, common criticisms of the sales comparison approach by mineral appraisers are introduced. These are counterbalanced by raising some issues in the way the inputs for the income approach are usually derived by minerals appraisers and by review of some conspicuous examples of the much-too-common misuse or abuse of the income approach in market value mineral appraisals. Example transaction analyses and sales comparison analyses are used to demonstrate the author?s methodology for adjusting units of resource in his transaction adjustment tables. The examples are used as the basis for a discussion of ways to employ adjustments for operating economics and many other factors, while warning against the potential for double counting. The conclusions include a recommendation that minerals appraisers attempt to apply at least two of the three valuation approaches when appraising the market or fair value of development and operating stage mineral properties, the two being the sales comparison and income approaches.

Jan 1, 2011

By Jeffrey Meissner, Charles Dowding

Cracking is one of the concerns cited by owners of structures adjacent to construction or mine blasting. During the past decade a large number of measurements have documented the low level of crack response produced by typical, ground motions compared to those produced by climatological effects. These data support the observation that there is a level below which ground motions do not cause even cosmetic cracking. As with all new findings, these crack response measurements need to be thoroughly investigated for all possible alternative interpretations. Among these alternatives is that uncracked locations are more affected than cracked locations. This paper presents measurements to shed light on the influence of existing cracks and the response of uncracked, but weak locations. Blast and weather induced responses of cracked and uncracked areas of gypsum wall board are compared in two structures: one near a surface coal mine in Indiana, the other near a limestone quarry in Florida. The ground motions that excited one of the structures were unusual in that the dominant excitation frequencies of 5 Hz were near the structure’s natural frequency and amplitudes exceeded 0.7 ips (18mm/s).

Jan 1, 2011

By S. Amid, D. Fisk

"Wireless technologies are permeating the mining and metals industry and enabling a myriad of benefits. With standards such as IEEE 802.11 for wireless devices and ISA100.11a for wireless field instruments protecting their investments, customers look to benefit from the cost and flexibility offered by wireless devices. Using wireless field instruments, plants are eliminating the costs associated with wired system by 50 to 70% and using these savings to install more field instruments, which, when used smartly, enables them to optimize their processes efficiency and equipment reliability. Wireless also empowers a mobile workforce by allowing them to have access to key process and maintenance data directly from the field. This paper describes how wireless can help operations and maintenance personnel to be more effective. Three case studies, illustrating how the mining and metals industry is taking advantage of the technology today, are presented:1.,Optimisation of the water recovery process using wireless2.,Field operations improvement with wireless handhelds3.,Improving fleet maintenance through wireless mobile equipment management"

Jan 1, 2011

By J. van Huyssteen, M. Cantor

Newmont Ghana Gold Limited's Ahafo Operation has matured from its project ramp up stage into steady state operations after three years of operation. Management focus has shifted from addressing construction and commissioning problems to optimization and improvement. This focus change has coincided with the introduction by Newmont of a Continuous Improvement (CI) program across the company which provided a project management methodology that can be used in the execution of smaller scale projects. This paper focuses on the application of CI principles at the Ahafo Plant through the discussion of several case studies that demonstrate how these principles are applied.

Jan 1, 2011

By Steve Chorley

Open-type, or main beam, tunnel boring machines (TBMs) can achieve impressive rates of production. This type of TBM typically outperforms other types of TBMs currently in use around the world. In good ground conditions, main beam machines have achieved production rates of more than 1 km/month (0.6 miles/month). However, installing effective ground support in poorer rock conditions on main beam machines can be a major cause of concern. The design of main beam machines is such that installation of ground support equipment, particularly at the front of the machine in what is commonly known as the L1 support zone, has traditionally been limited to rock drills and basic working platforms. Personnel working in the L1 zone have, until recently, been protected by roof supports and extended fingers, often with restricted access to working areas.

Jan 1, 2011

The objective of this handbook is to provide the inspector with guidance for recognizing hazards from inhalation contaminants in above ground work areas of underground and surface metal and nonmetal mining and processing facilities and evaluating these hazards by collecting samples or making field determinations and interpreting the analytical results. Portions of the handbook that should prove most useful to the inspectors include a survey check list, rules for determining if sampling is required, list of most frequently encountered contaminants, list of candidate contaminants and their sampling conditions, interpretation of results, and a procedure for a health and safety inspection.

Jan 1, 2011

By D. Lauriski

The recent spate of catastrophic events at U.S. mines raises the question as to whether or not the mine safety and health system in the U.S. is broken. The prescriptive regulatory regime in the U.S. is not a cure-all for a broken system. Without totally dismissing the contribution of a prescriptive regulatory approach, this paper argues that safety in the U.S. mining industry would be enhanced if the nation adopted a scheme that provides a balance between specification standards and two alternatives: performance and systems-based standards. This would allow effective and flexible means to continuous health and safety performance improvement. Mine operators, regulators and politicians could then go beyond thinking that compliance alone equals strong safety by creating a proactive system that emphasizes continuous improvement. By adopting performance and systems-based standards, exemplary safety and health performers can be recognized, allowing regulators to focus their efforts on those without sound occupational safety systems and who have substandard safety performance. Mining Engineering, 2011, Vol. 63, No. 7, pp. 77-82. Official publication of the Society for Mining, Metallurgy and Exploration, Inc.

Jan 1, 2011

The ability to increase and maintain dragline productivity is a key mine driver for the Coal Creek Mine. The Coal Creek Mine is owned by Arch Coal Inc subsidiary Thunder Basin Coal Company; located near Gillette, WY. Coal Creek Mine overburden stripping is primarily accomplished by a BE-1570W walking dragline in combination with cast blasting and dozer assist for bench preparation. The two main variables impacting dragline performance are maintenance reliability and operator skill levels. The mine?s most recent process improvement efforts have focused on its most valuable asset - the operator. Various techniques have been used to reduce variability in the dragline operator?s digging performance. Utilization and communication of operator performance data, statistics, and video reviews have been of great value towards achieving this goal. Operators are given a chance to critique operational tendencies from a third-person point of view, and are also presented statistical feedback to support observations. From these sessions, operators gain knowledge as to what portions of the dig cycle can be improved in order to reduce cycle time and increase productivity. BACKGROUND The BE-1570W walking dragline was commissioned at Coal Creek in November 2006 after relocating from Arch of Wyoming located in southeast Wyoming. The first two years of operation the machine was performing simple side cast stripping due to the low ratio. Coal Creek Mine is a multiple seam operation with overburden thickness ranging from 24 to 140 feet. Early in 2009 the ratio increased to the point where transitioning to cast blast/extended bench stripping was necessary. The current mining conditions consist of a mixture of both stripping styles where the ratio allows. The dragline crews running the machine consist of a mixture of experience levels ranging from 30+ years to only a few years. It has been in this digging environment and slightly inexperienced personnel that the focus has been set for improvement in dragline performance.

Jan 1, 2011

By V. O. Tenorio

The implementation of autonomous technologies for production in surface mines demands changes in the existing monitoring and control systems. The present study deals with the concepts involved in the development of a decision support system (DSS) for the supervision of a combined fleet of manned and unmanned equipment operating in a surface mine. The project was carried out as part of an autonomous mining program that lasted from early 2006 until the end of 2008. The objective of the DSS was to achieve short-term planning goals while maintaining safe working conditions. Supervisory tasks become more complex when several autonomous vehicles operate simultaneously alongside manned equipment. The operation center where the DSS was installed allowed autonomous vehicle operations to be controlled while tracking technology reliability experiments performed on control display interfaces and interaction provided design parameters for more complex supervisory systems for autonomous mines. Mining Engineering, 2011, vol. 63, no. 11, pp. 80-86. Official publication of the Society for mining, metallurgy and exploration, Inc.

Jan 1, 2011

By C. C. Jobes

Operating large face equipment, such as continuous mining machines, is one of the most basic and most dangerous elements of an underground coal mining operation. The operator usually performs cutting and tramming tasks in a restricted workspace with reduced visibility. During the execution of these tasks, operators often cannot see all of the locations needed to safely operate the continuous mining machine (CM ), which has sometimes resulted in accidents. In an effort to prevent these accidents, researchers at the National Institute for Occupational Safety and Health (NIOSH), Pittsburgh Research Laboratory, examined the continuous mining machine operator?s current information cues, or visual attention locations, so that risk of injury relative to the task, equipment and workplace environment can be evaluated in the future. The eventual goal is to develop interventions to enhance the information cues, and thereby increase the safety and health of machine operators. This paper details the operator interview process, determination of visual attention locations (VALs) and simulation of various mining scenarios.

Jan 1, 2011

By A. Golpaygan

Application of Computational Fluid Dynamics (CFD) modeling for simulation of fluid flow and combustion in industrial scale electric furnace is presented. Poor combustion efficiency, roof and/or side wall overheating, carry over to off-gas system and non-ideal radiative heat transfer to processes or cooling systems have been common limiting factors causing inadequate process performance of the furnace, operational problems, and safety hazards. This paper describes how CFD analysis can be used to obtain a better understanding of commonly observed problems associated with freeboard combustion. Examples are presented to describe using combustion CFD modeling to understand requirements to diagnose a problem with furnace design including required freeboard volume or possible roof/side wall overheating.

Jan 1, 2011

By A. R. Barnes, N. Stubina

Increasingly, gold producers are forced to treat ever more refractory ores. While ores containing pyrite, arsenopyrite and carbonaceous material have been subjected to complete pressure oxidation (PDX) as the standard process for such ores, recent improvements in fluid bed roasting technologies have led to a resurgence of interest in roasting as a viable alternative. The lower capital and operating costs of roaster installations add further impetus to this trend. The Extractive Metallurgy Group at Xstrata Process Support operates four fluid bed reactors of various sizes which have been utilised on a large number of projects to treat highly refractory ores. Preliminary mineralogical modelling of both the physical and chemical aspects of the roasting process and subsequent testing under carefully controlled conditions has allowed clients to obtain gold recoveries approaching or matching those achievable by PDX. The flexibility of the units to operate in various modes- " bubbling bed", circulating bed, two stage, sub-stoichiometric and combinations of these, and the range of sample sizes accommodated, from a few kilograms to a few tons, has enabled XPS to accommodate clients with a wide variety of gold bearing refractory ores from all over the world. This paper outlines the key challenges of fluid bed roasting of refractory gold ores, describes the methodology used to design the testwork program and provides some results from select test campaigns.

Jan 1, 2011

By N. Shi, T. G. Joseph

ABSTRACT One-twentieth-scale field trials for conventional and concept dipper designs were compared to mid- and ultra-class-sized conventional dipper performance. Digging effort was used as the performance indicator for comparison. It was shown that linear relationships exist between dipper capacity, suspended hoist load, and peak hoist load. A ratio of conventional and concept dipper performance at the 1/20th scale was then evaluated to allow prediction of the performance of an ultra-class concept design using an independent ultra-class conventional dipper dataset. The outcome indicated a peak hoist requirement of 15.5% less to achieve the same production as the conventional design.

Jan 1, 2011

By B. Westin, G. Voicu, C. Daoust

Orogenic gold deposits represent a major class of deposits that are found in various rock types of various ages. Those deposits show a strong structural control that usually complicates their interpretation at the regional and deposit scales. The Rosebel Gold district located in Surinam (South America) is hosted in a Paleoproterozoic greenstone belt of the Guiana Shield, and has been recently classified as one of those orogenic gold deposits. The gold district comprises eight distinct deposits located along three different structural trends and within different rock types. The mineralization is undefonned and shows a strong structural control characteristic of orogenic gold deposits. All the deposits of the Rosebel Gold district have been subject to a detailed structural analysis that has led to the elaboration of a new structural model for the whole gold district, which is now differing considerably from the previous models. This characterization had direct implications at three different scales. 1- While the older models were considering some areas of the property as gold-barren, the new structural model has led to recent exploration campaigns which have revealed positive results. 2- At the deposit scale, the comprehension of the various vein systems and of the folding of the host rocks has helped the establishment of optimized drilling campaigns. 3- At the mining scale, the comprehension of the architecture of the veins helps for the elaboration of optimized mining method. This study thus shows that the structural analysis of orogenic gold deposits is critical, and should be a priority for exploration and production in any mine.

Jan 1, 2011

By Kretschmar. U. H.

Fieldwork in the Meguma of Nova Scotia and Archean equivalents shows that bedding-parallel quartz lode gold veins (LVs) commonly occur at the top of graded elastic sequences. We define a "gold cycle" (GC) by analogy with Bouma turbidites and show that most "shear zones" and "lamprophyres" correspond to the upper pelagic-pelitic (E) division. We describe GCs from Archean Chester Twp, ON; Elmhirst, ON; Bourlamaque, QC; "intrusions" and interpret them as crystal tuffs and tuff-breccias. Extensive early Archean pyroclastic volcanism is implied: the genesis of trondjhemite-tonalite-granodiorite (TTG) rocks must be re-examined. The geopetal nature and asymmetric alteration of LVs indicates genesis from sea-floor hydrothermal vents. Textures suggest that often quartz was deposited as a gel. Vent geometry (fracture, point source or diffuse seep), bottom topography and vent spacing is reflected in wade-thickness plots. GC facing directions survive metamorphism. The Bourlamaque batholith was a flat-lying sheet of quartz-feldspar-hornblende crystal tuff, and isoclinal folding has repeated one or more gold-bearing horizons. Syngenesis clarifies and simplifies LV formation with major implications for models. Exploration becomes more cost-effective. Basin analysis, whole rock geochemistry, ore lens geometry and vent spacing can be used.

Jan 1, 2011

Barrick Gold Corporation is the gold industry leader, with 25 operating mines and a pipeline of large, long-life projects located across five continents, in addition to large land positions on some of the most prolific mineral districts. Barrick's high level of commitment to sustainable economic development and environmental stewardship was recognized by Dow Jones Sustainability Index (DJSI) - World, for the third consecutive year in 2010. The potential for adverse environmental effects from acid rock drainage (ARD) and metals leaching (ML) and their financial implications for Barrick are key considerations in our environmental assessment and business development processes. Barrick's membership in the International Network for Acid Prevention (INAP) reflects the importance of these issues to our business. INAP's development of the Global Acid Rock Drainage (GARD) Guide (a best practices guide for acid rock drainage prevention) provides Barrick with an important tool to assist in the assessment of environmental and financial risks from ARD and ML associated with our planned and ongoing mining operations (INAP, 2009). In this paper we will discuss how Barrick incorporates the GARDGuide and its principles for ARD and ML prediction and prevention in our business development processes and the management of our operations. The GARDGuide serves as a key reference for our project environmental assessments and as a common link between our projects and operations management, consulting specialists, permitting and regulatory authorities and the public. We will discuss how the GARDGuide is being "syndicated" throughout Barrick as a standard of practice and present a case study of how it was used in a recent Barrick Business Development Project.

Jan 1, 2011

By Jacob Chacko

The Izmit Bay bridge, a 3-km-long suspension bridge crossing of Izmit Bay, Turkey is planned to be constructed in one of the most seismically active places in the world. The site, which has the potential to experience significant earthquakes associated with the relative motion accommodated on the North Anatolian Fault, is underlain by deep deposits of soft soils, and areas of unstable and liquefiable soils. Characterizing the seismotectonic setting, foundation soil conditions, potential fault locations, as well as other geohazards was a critical component for the project concessionaire to finance the project and obtain meaningful bids for bridge design and construction. Given the Build Operate Transfer (BOT) funding mechanism, executing this work in the least possible time was critical to the concessionaire?s financing scheme. Fugro was retained to provide geotechnical, geological, and seismological evaluations for the project region, and to generate data for contractors to develop reliable designs and bids. The uncertainties in these data made it difficult for the BOT concessionaire to finance the project and tender Bridge design and construction. The investment in an early and comprehensive site characterization program to evaluate and quantify those uncertainties allowed the concessionaire to save schedule, provide a robust bid basis to bridge contractors, and persuade banks to finance what was perceived to be a relatively high risk project.

Jan 1, 2011

By Stephen Liu

Tunnel excavation while mining is not often performed in North America primarily due to access constraints in both operations. Referencing European approaches for long distance tunneling, the Devil?s Slide Tunnel project has applied innovation and technology to provide the ability to overcome this unique challenge. The Devil?s Slide Tunnel requires the construction of twin bore tunnels excavated based on sequential excavation method (SEM) construction methods using New Austrian Tunneling Methods (NATM) principles. The twin tunnels are approximately 9 m (30 ft) in diameter and 1,250 m (4,100 linear ft) in length. The purpose of this project is to reroute Route 1 from around the Devil?s Slide through the San Pedro Mountains crossing from Montara, CA along the south and into Pacifica, CA in the north. The Caltrans project was awarded in December 2006 for a total of $272,366,000. The job is an A+B job, thus the estimate scheme of final lining while tunnel excavation is important to save time. A+B is a method of rewarding a contractor for completing a project as quickly as possible. By providing a cost each working day, the contract combines the cost to perform the work (A) with the cost of impact to the public (B) to provide the lowest cost to the public. Concurrent mining while lining is achieved through a series of gantries and a set of tunnel forms allowing the pass-through of the excavation equipment. The tunnel lining operation passes through several phases of work that are dependent upon the progress of the tunnel excavation process. This involves unique milestones, such as the evolution of the ventilation system, development of an enlarged cross passage to allow equipment to access each tunnel from within the tunnel and, finally, the installation of an invert prior to arch lining that limits the continuity of the final lining operation.

Jan 1, 2011

By David S. Wong

With air emission limits for total particulates continually tightening, management of `potroom dust' or airborne particulates from aluminium smelting potrooms is of increasing importance. To better understand how settled and airborne particulates are generated within a potroom, methodologies have been developed to sample and analyse the compositional signature of dust, in relation to its sources. During a smelter case study, these methods allowed tracking of mineralogical phases in dust across a range of potroom locations, showing that the mechanisms of dust generation do vary spatially and vertically in a potroom. Such methodologies may also be applicable to other metallurgical industries.

Jan 1, 2011

By F. Chiesa

Experimental results on thin and thick castings poured in aluminum A356 and magnesium AZ91E by the low pressure permanent mold process have been compared to the result of filling simulations for thin and thick castings. If the results of modeling is reliable when the liquid remains above the liquidus temperature, this is no longer the case when partial solidification occurs. The visco-elastic behavior of a partially solidified liquid is difficult to put into equation as it depends on the amount of shear it has been been subjected to. Attempts to predict misruns with a commercial software has been proven to be very difficult if not impossible; divergence of the numerical solution has been observed unless prohibitively long computing times are used. In order to overcome these difficulties from a practical standpoint, a simple method is proposed which consists in tracking the temperature of the advancing liquid metal front so as to make sure it will always be above so-called `Misrun Critical Temperature' (MCT) determined experimentally for thin and thick aluminum A356 and magnesium AZ91E castings. If the liquid metal front falls below this temperature, a cold-shut or misrun is likely to happen at this location. The values of MCT for thin and thick in aluminum A356 and magnesium AZ91E were determined experimentally on misrun castings of extreme geometries (a thin 2.5 mm wall cover and a 6mm to 25 mm thick bell housing). MCT was found to be lower for magnesium AZ91E and for the thicker castings.

Jan 1, 2011