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By Gordon A. Gross

During the last half century major steel industries of the world have become dependent on iron and manganese resources derived from siliceous ironformation sediments. More than two billion years ago vast amounts of iron and manganese were deposited in ironformation sediments on all continents and until recent years their genesis was considered to be a uniquely Precambrian phenomenon. Research work has demonstrated that the origin of the banded ironformations was related to major tectonic features and associated volcanogenic processes that were active throughout geological history. Similar sedimentary-tectonic environments are being explored on the seafloor where metalliferous sediments are forming today. Ironformations are now considered to be a major part of the stratafer group of stratiform metalliferous deposits. They developed in sedimentary basins in areas where deep tectonic fracturing intersected high thermal gradients in the earth?s crust and gave rise to profuse volcanism and the hydrothermal effusive discharge of metals in the vicinity of the volcanic centres. Concepts for the genesis and metamorphism of stratafer deposits as revised in the last half century have had a profound impact in the development of iron ore resources and have had a dramatic impact in the use of metallogenetic concepts for guiding exploration for other mineral resources. They are based on the tectonic history and stratigraphy in the sedimentary basins, the role of hydrothermal volcanogenic processes , as well as environmental and sedimentation factors which influence the deposition of silica, iron , and other metals that were emphasized in the past. Topics of special interest in the genesis of ironformation and stratafer deposits and for guiding mineral exploration are: biomediation in their sedimentation and genesis, the significance of metamorphism in the processing and beneficiation of iron ore and in the genesis of iron ore by natural enrichment processes, syngenetic concentrations of Mn, Ti, Cu. Zn, Pb, Ni, Co, REE, F, Ba, B, As, Hg, W and Au in ironformations and stratafer lithofacies, and the mobilization of gold and other elements by alkaline solutions during diagenesis of ironformation and other stratafer metalliferous sediments.

May 1, 2003

By T. Eger

Load Haul Dump vehicles (LHD) are extensively used in underground mining however equipment design and operating conditions contribute to restricted operator?s visibility. The inability to clearly see people, objects or hazards around the machine has contributed to a number of accidents including fatal injuries. In order to identify vehicle design characteristics resulting in restricted and blocked sightlines visibility assessments are traditionally completed in the field. However, field methods are unable to evaluate visibility under dynamic operating conditions and are limited in their ability to provide feedback on the impact of various operator characteristics such as sitting height, for example. Results of this research show computer simulation and virtual reality can be successfully used to evaluate visibility during the operation of LHD vehicles. In order to benefit from virtual reality applications the work environment, LHD vehicle and human posture need to be represented as accurately as possible. A computer simulation program with ergonomic ana lysis features, Classic JACK 3.1, was successfully used. Threedimensional CAD models of LHD vehicles were developed from manufacturer specifications and pictur es taken from LHD vehicles currently in use. The LHD models were imported into the JACK environment, a digital human was positioned in the cab of the LHD vehicle and the vehicle and human where driven over a typical mine route. Real-time feedback in the JACK program was used to identify what the operator could see under different operating conditions. Machine characteristics and operating scenarios resulting in impaired visibility were successfully identified with this method. The JACK program can also provide real-time feedback on the human?s joint forces and torques, strength requirements, postural comfort, and metabolic energy expenditure. As a result, this method could be used to successfully evaluate musculoskeletal injury risk factors along with system design recommendations to improve workplace safety and productivity in any setting. The LHD VRML files imported into JACK have also been combined with environment files into other VR software packages (e.g. Maverik) to view in a VRL facility, managed by MIRARCO at Laurentian University. The VR models using these packages can be viewed in stereo to provide better appreciation of spatial visibility issues.

May 1, 2003

By Karl J. C. Harries

This paper looks briefly at some of the agreements and types of royalties that may be met during exploration activities, but does not go into details relating to them. Agreements can either make or break a deal or relationship. A well drafted, comprehensive and fair agreement can create good relations and trust among the parties and will go a long way towards making a deal work. In the best of all worlds the agreement will be put away and not need to be referred to after it has been signed (but it will be there if needed to sort out potential problems). On the other hand, a poorly drafted agreement or one that is inappropriate to the circumstances or unfair to one of the parties can break a deal and end up with the parties facing each other in that expensive, unproductive and time-consuming occupation ? a lawsuit. Accordingly, it is advisable to involve professional advisers with any agreement. The straightforward one may involve no more that a read through whereas the more complex agreement will require considerable involvement. There is, however, one rule for every explorationist to remember: a professional adviser is only an adviser. His responsibility is to make sure that you have the necessary information to make a reasoned decision but the decision is yours, not the adviser?s. It is your deal, you are going to have to live with it, and it is inappropriate for an adviser to introduce new concepts or amend negotiated ones without your specific instructions. Mineral exploration agreements, although basically option, acquisition and joint participation agreements, come in all the shapes and forms, appropriate to give effect to the endless variety of deals negotiated by the ever-active minds of explorationists. You will note the reference to "joint participation agreements" rather than "joint venture agreements". The latter term was purposely avoided because, with the current activity of explorationists from common law jurisdictions in civil law jurisdictions, it has become necessary for the explorationist to become familiar with corporations and shareholders agreements. As most of you are no doubt aware, under the civil law system a joint venture is normally not recognized as a legal entity and, therefore, joint participation in projects is usually by way of corporations.

May 1, 2003

By Qian Liu

Mining in highly stressed ground conditions has been an increasing challenge at the Brunswick Mine. Two large regional pillars were established on the 1000 m Level to support the ground for safe extraction of the surrounding ore. The South Regional Pillar contains about 5 million tonnes of ore and the North Regional Pillar has about 3 million tonnes of ore. In the fall of 2000, mining activities were suspended following a series of ground movements around the South Regional Pillar along weak geological structures. After extensive geotechnical investigations, a decision was made to carry out a mass destress blast in the West Ore Zone (WOZ) to cut the principal stress across an area of 135 m along strike and 86 m high. At the end of July 2001, the WOZ mass blast was successfully initiated. Following this success the mine decided to take a similar approach to destressing the North Regional Pillar (NRP). The final mass blast was taken in early February 2003. Advanced blasting technologies, including state of the art electronic detonators and blast simulation, played an important role in achieving the successful blasts. The high precision of delay timing and long delay duration of the electronic detonators ensured accurate and reliable initiations of over 800 blastholes in the WOZ mass blast. Orica?s DMC_Blast (Distinct Motion Code) simulation code was used to study different blasting blocks for the desired timing in the initiation sequence. This paper describes the process of applying electronic detonators in complex blasts, and discusses how blast simulation results were interpreted to guide engineering design of the mass blasts.

May 1, 2003

By Fred C. Delabbio

The successful implementation of a new technology in an underground production mine requires many challenges to be overcome. These challenges include mine hardening of new technology, mitigation of safety risks and hazards, mine operation support, and technology transfer to mine staff. In the end, the majority of these challenges relate to the human aspects of implementation. The approach selected to overcome these challenges must be customized and appropriate for each unique situation. This paper outlines the approach used to address these challenges as part of successful implementation and resulting demonstration of the hydrogen fuel cell locomotive at the Placer Dome (CLA) Limited, Campbell Mine. This technology demonstration at Campbell Mine is critical for determining technical, regulatory and implementation aspects to be incorporated into future fuel cell prototypes such as the LHD project.

May 1, 2003

By Joel Werner

Weak metal prices, declining head grade, and increased operational costs are forcing many open pit mining companies to look to their balance sheets for significant cost reductions in order to remain competitive. Maintenance continues to represent a significant proportion of the total operating costs in the mining industry. Compared with the other major cost components of the mining process very little effort has gone into maintenance optimization. The potential payoff from maintenance optimization on the cash cost of the commodity is enormous. A large percentage of these costs are incurred in unscheduled maintenance events, which typically cause serious disruptions to the production process. These maintenance induced production losses can be a significant contributor to the overall operating costs. A structured proactive maintenance approach using the latest advances in technology can achieve dramatic cost reductions and productivity improvements. Remote condition monitoring systems are becoming increasingly commonplace and have the potential to identify problems prior to failure. Detection of equipment degradation prior to failure will enable repairs to be scheduled thereby reducing costs and interruptions to production. Remote condition monitoring technology has evolved rapidly in recent years, with a host of new tools becoming available to assist mine operators in improving their maintenance operations. These tools have capabilities such as: remote real-time vital signs and performance monitoring, alarm/event handling, trend analysis, and maintenance workflow management. When these monitoring tools are used in conjunction with a mine management system the vital signs data can be integrated and associated with maintenance history, predictive maintenance data, operational information, and geographical information. This integrated approach to the management of vital maintenance data will help shift the mobile equipment maintenance paradigm from reactive to proactive. This paper will introduce a proactive approach to the management of the maintenance process and the tools required to facilitate this process.

May 1, 2003

By Brian Hall

For some years, the mining industry has been consistently delivering returns below the market average. One of the causes is a disconnect between what is perceived to drive value creation by many industry analysts and senior corporate executives, and what actually drives the intrinsic value of mining operations. The perverse effect is that strategies that should increase value are perceived to have the potential to drive share prices down, and vice versa. This paper challenges common perceptions of what drives a mining company?s value. Anecdotal evidence suggests that the key drivers of value in the market, and hence in many boardrooms, are such things as increasing the reserves and production rate, and reducing unit operating cost. However, while the quoted reserves may satisfy ore reserves reporting code requirements to be economic, this does not imply that they are optimal. Often, a proportion of the quoted reserve reduces the potential value of the operation. Metal price increases, increased production rates, and operating cost reductions are all seen as conditions or actions that can improve value, and lead to cutoff grade reductions, thereby increasing ore reserves. However, modern cutoff theory and studies conducted by the author and his colleagues show clearly that, while breakeven cutoff grades will fall in these circumstances, optimum cutoffs may be much less volatile, and may even increase. Results from case studies indicate that value is maximised by right-sizing, not maximising, the production capacities, and by optimising the cutoff strategy. Values of many existing underground mining operations can be increased significantly by a substantial cutoff grade increase. Also, an increase in downside risk, and hence reduced returns, can occur using typical life-of-mine planning strategies if prices received are lower than predicted. Since this is often the case, low industry returns may be a direct result of typical strategic mine planning processes. Relatively simple cost-effective techniques are available to provide senior decision makers with information needed to assess the tradeoffs between their many conflicting corporate goals, and the balance between risk and reward. Often this information is not being generated at all. If it is, decisions affecting the value of the company are occurring by default at relatively low levels within the hierarchy, with senior executives apparently unaware of them or their potential impact. The paper concludes that without a re-evaluation of the way mining projects are valued, to demand proven value optimisation from mining plans by boards and mining analysts, the industry will continue to deliver below average returns.

May 1, 2003

By Ron Doucet

Industry today is now more than ever dependent on its assets and on the standard of maintenance. Changes in technology, environmental regulations, a continually improving focus on safety and global competitiveness has made maintenance a key activity in sustaining safe, financially viable and environmentally integral operations. Maintenance used to be looked upon as a cost centre with a sole focus of fixing equipment to attain high availability. Maintenance today affects all aspects of the business: safety, environmental integrity, energy efficiency, productivity, costs, and product quality. These new demands on the function of maintenance requires us to think vastly differently about what maintenance is all about, even to the point of contradicting old beliefs. In the following paragraphs we will examine some of the changed thinking that has evolved over the last 50 years. These new concepts will lay the foundation for the implementation of 21st century best practice maintenance.

May 1, 2003

By Iain G. Bruce

The need to improve supply reliability while improving our environmental record during the past half decade of low metal prices has required the mining industry to prioritise expenditures. Quantitative Risk Assessments using third party reviewers and specialist risk management teams have assisted in identifying hazards that can both disrupt supply and impact the receiving environment. Graphical displays using risk ellipses can simplify the presentation of the results in a Probability-Consequence (PC) graph. Development of risk acceptability envelopes using readily available financial data superimposed onto the same PC space assists management to prioritise their risks and focus on risk reduction measures. Development of this system and examples of the successful implementation of the system from several recent projects are described.

May 1, 2003

By George McIsaac

This paper discusses the formulation of a linear program with the objective of maximizing the cash flow of the long-term plan of an underground operation. A mine is split into eleven independent ore zones, each characterized by its reserves, required development and mining method. Based on practical considerations, maximum rates are set for each zone?s development and production capacity. As for the total mine plan, a minimum daily production rate is set along with a minimum feed grade to the mill. A maximum number of development metres per day is set based on the equipment and labour available. Proven and probable ore is mined preferentially over possible ore in the early years of the plan. Furthermore, the fixed cost of operating the mine is taken into consideration whenever mining activities take place. Once the linear program is solved, it can be critically reviewed, and unrealistic results can be identified. Some resource allocations constraints can then be changed in certain sectors, and new results can be analysed. What-if scenarios can also be examined, such as determining the impact of hiring a contractor to develop a given sector, or dropping an ore zone completely from the plan.

May 1, 2003

By S. D. Tolgyesi

Kidd Creek Background ? Located in Northern Ontario, Canada ? Underground base metal mine ? Operating since 1966 ? Total of 125Mt mined to date (2.43% Cu, 6.60% Zn) ? Current plan at 2.4Mt/Y (6575t/D) Current Practices ? Evaluating stope margins to ensure that value is added ? Scheduling sulphide and Cu stringer ore to limit oxidation in passes ? Scheduling to maintain uniform grades to concentrator ? (SOPs highlight problem stopes on mine plans, and limit blast sizes in those stopes which may contain sulphides prone to oxidation) ? Scheduling high-Pb stopes to avoid spikes to concentrator ? Providing weekly, monthly and long-term forecasts ? Reconciling mine and mill production ? Underground grade and dilution estimates by mine supervision ? Terminate mucking when grade becomes sub-economic ? Laser cavity surveys to provide feedback and improve Designs Cut-off Grades ? Ore value is obtained from copper, zinc and silver ? Ore outlines at 2% copper equivalent used to guide stope planning; sulphide outlines obtained from contacts while copper stringer outlines drawn from block model (kriged) ? Datamine block model and CADD software used to evaluate alternative stope shapes ? Stopes classified as waste, incremental, or full-cost based on margin calculations for each stope ? Incremental ore may be mined if it does not displace fullcost Ore Conclusions ? Grade control remains an important function for optimizing the ore extraction at Kidd ? The scope of the function has changed to a scheduling focus ? A change in grade control practices over time has not led to significant changes in concentrator feed ? The lead and iron sulphide content of the ore display upwards trends and may require more attention in the future ? The key function of field observations has shifted to flagging exceptions and terminate mucking at grade cut-off

May 1, 2003

By Peter N. Calder

Long range mine planning involves developing a mining sequence that schedules the extraction of the ore and waste materials within a final pit limit. The objective is to define a sequence that best meets the defined strategic objectives. The main steps in the creation of an open pit mine plan are the final pit limit design, the design and sequencing of the mining phases, equipment selection and operating cost estimation. Flexibility is the key strategic element in developing a mine plan. Planning the extraction sequences and rates for the various mining areas is a challenging and demanding activity. It is often necessary to consider numerous alternative strategies and what if scenarios. The number of alternatives that can be studied with limited manpower and time resources is restricted. In order to investigate strategic aspects of mine planning, a system to generate workable mine plans rapidly is required. The concept of Visual Mine Planning is that the engineer can visualize the current plan, easily change a component of the plan, such as the annual cut-off grade schedule or the production rate within a particular Phase, and immediately see the effect on the mineralogical and cash flows. If the desired result is not achieved, a change is made and the effect is again immediately seen. This paper presents results of research in this area conducted at the Pontificia Universidad Católica de Chile. The work includes the examination of cut-off grade strategy, sequencing, blending, stockpiling and shovel-truck fleet requirements using simulation.

May 1, 2003

By Alim Ullah

Danieli entered into the Direct Reduction (DR) field in order to offer its clients complete turnkey facilities for steelmaking?from processing of raw materials through finished products. The Danarex® Process produces a passivated product, called the Supermetallic (SPM), without hot-briquetting. One of the main features of the Danarex® Process is its ability to produce approximately 50% of the Direct Reduced Iron (DRI) through reduction gas generated in a reformer and another 50% through recycling preheated furnace exit gas. Some other distinguishing features are: separation of carburising and cooling zones and the use of double bustle for better distribution of gas inside the shaft furnace. A pilot plant was set up at Hazen Research, Inc., Golden, CO in order to show that the integrated process works as expected and to obtain process data. The SPM obtained was of a very high quality, evidenced by metallization levels of 92% to 98%. The carbon content could be controlled between 1.5% to 4.0% by varying the operating conditions and approximately 75% of this carbon was present as Fe3C. The product was tested for inertness by Chilworth Technology, England, using UN standard tests and was found to be safe for outdoor storage and transportation.

May 1, 2003

Overview n Why we audited the IRS n How we did it n What we discovered n What we learned n Where we are going next The unbroken chain of safety The Internal Responsibility System (IRS) The network of roles and relationships in a workplace, through which everyone works with mutual commitment to reduce or eliminate hazards.

May 1, 2003

By Greg Baiden

Telerobotics focused on mining is currently being introduced into production systems around the world. Mining companies in Canada, Sweden, South Africa and Australia have tended to lead the international charge to this form of technology for mining. While this introduction is taking place a few basic questions have yet to be answered. How many machines can a single operator run? How many types of machines can a single operator run? A new Canadian Research Chair in Robotics and Mine Automation has been established at Laurentian University. This chair will investigate these questions and many more through a series of experiments in a newly established telerobotics laboratory that connects Laurentian teleoperation workstations to model mining machines at Cambrian college?s eDome. The laboratory will support many experiments allowing researchers to physically run multiple robot scenarios differing the numbers and types of machines at one/quarter scale. Further experiments are being designed to investigate the potential for managing time delays in telerobotics. This paper describes the laboratory, experiments and some preliminary results.

May 1, 2003

By François Baillargeon

Two types of ore deposit provide the bulk of the world nickel production. They are the hypogene magmatic massive sulfide deposits and the supergene lateritic deposits. Platinum group elements (PGE) are also extracted from magmatic sulfide deposits. Recent sky-rocketing price of palladium has prompted the mineral industry to seek alternative resources. In such a manner has emerged the Lac-des-Iles type of target, a very low sulfide-bearing bulk tonnage type of deposit. Furthermore, unconventional (e.g. non-magmatic) types of deposit are now sought more intensively (Wilde et al., 2003). Considering both this trend of the PGE Industry, and that only a few magmatic deposits account significantly for the world nickel production, someone may wonder if a diversification of the hypogene nickel resources base would not be needed in the near future. Laterites are residual deposits developed on ultramafic rock under wet tropical climate. Are all ultramafic protoliths equal to generate high-grade lateritic deposit? Are some preweathering processes important to generate favourable ultramafic protoliths? The mineralogical heterogeneity of some ?dry? lateritic nickel deposits renders their ore beneficiation difficult. Is the type of nickel-bearing mineral found in the protolith a significant factor influencing the laterite heterogeneity? To contribute to answer all these questions, we have undertaken a research project on the nickel occurrences of the southern Quebec serpentinite belts. Why choosing this specific region for such a project? First because, due to continuous mining of asbestos ore since 1870, the serpentinite belts of this region are among the best exposed and studied in the world. Secondly, this region host a complete spectrum of nickel deposits that have been described before in the scientific literature. Furthermore, this region is slightly to moderately metamorphosed which make it perfectly suited to study the departure from magmatic nickeliferous paragenesis through various metamorphic conditions. As a matter of fact two orogenic events affected this region, the Taconian, in Ordovician time, and the Acadian during the Devonian. The magnitude and the timing of these dynamo-metamorphic events vary considerably through the region (Gauthier et al., 1994). These variations are now well constrained due to precise age dating.

May 1, 2003

By Tim Gitzel

Thank you for your introduction, and thank you to the CIM for inviting me to make a presentation to you today. This is my first opportunity to report to you on the status of the Canadian uranium industry and I am pleased to tell you that the industry is in good shape, and well positioned for the future. As you will no doubt be aware, Saskatchewan benefits from the world?s largest known highgrade deposits of uranium as well as from a high level of provincial, public and northern community support. It is within this unique combination of geology and community that our industry operates. Uranium markets have been extremely competitive for a number of years for several reasons. First, deregulation in the nuclear electric power industry has tended to encourage fuel buyers to use up their large inventories built up at a time when rapidly increasing demand was anticipated. Second, alternate sources from surplus commercial stocks, military materials and reprocessed fuel have presented a major additional source of uranium supply. Today, these secondary supplies are meeting about half of uranium reactor feed requirements. Canada (that is, Saskatchewan) is the world?s largest ?natural? uranium producer with about a third of the global production. Saskatchewan?s mines produced more than 30 million pounds of yellowcake in 2002. Despite low prices, steady demand for uranium will continue. In fact, an increase in world uranium production in 2002 helped feed a more than 3 per cent increase in reactor fuel demand. Low cost production is important for surviving low market prices, but investments are based on longer-term strategies rather than simply responding to market cycles. Cost is not the only issue. In these times of increasing regulatory and public scrutiny we must continue to earn the trust of our stakeholders by adopting the highest standards and staying on the leading edge of technical, social and environmental developments. Managing these issues is as important as traditional concerns of ore grade and cost of production. The last two decades of the 20th century saw the Province of Saskatchewan rise to prominence as the leader in uranium production from facilities, which were at the time deemed world class. These facilities are now either at - or nearing - the end of their production years. We are now bringing on new facilities that will position Saskatchewan to remain the world leader in uranium production for many years to come.

May 1, 2003

Located in Timmins, Ontario the Porcupine Joint Venture, a pooling of assets between two existing operations (the Dome Operation of Placer Dome (CLA) and the Hoyle Pond Operation of Kinross Gold Corporation) came about on July 1st, 2002; Placer being the manager of the Joint Venture with 51% ownership and Kinross with 49%. The formation of the Joint Venture was the realization of the dream of many who could envision the benefits of the whole area being operated as one entity ? the combination of the majority of assets in the Porcupine Camp into one venture containing tremendous synergistic potential of manpower, infrastructure, land tenure and exploration development. The name Porcupine in the gold mining industry brings with it the legacy of world class gold mines; the Hollinger, McIntyre and Dome with a proud tradition of excellence. The name Porcupine brings with it the legacy of over twenty individual mining companies in operation at any one time, producing over 65 million ounces of gold.

May 1, 2003

By D. Marcotte

The Rock Quality Designation (RQD) is a standard scalar measure of rock quality used in common rock mass classification systems (e.g. RMR, Q system). RQD is measured along diamond drill holes. RQD interpolation between holes is nontrivial. Despite the inherent limitations of drill hole data and the local complexities of structural geology, it is often the only information available for mining and major civil engineering projects. Therefore, maximizing the usefulness of this data is warranted. We derive a correction for directional effects that help reduce the bias and improve the accuracy of the estimations. The correction is derived with the aid of numerous simulations. It relies on simple information, the angle between the joint normals and the borehole axis (JO). A reference direction is identified as the borehole direction with smallest JO. A multiple linear regression model based on JO statistics in the various boreholes defines the correction model. The corrected RQD values are then interpolated. It is shown the method enables reducing the bias on RQD estimation by 50% and improves the accuracy of the estimates by 30%. The corrected RQD values show stronger spatial continuity than the raw values. The benefits of estimating the RQD indirectly by using joint frequency measures are also assessed.

May 1, 2003

By Véronique Falmagne

The mining sequence at Noranda?s Bell-Allard mine calls for two mining fronts retreating toward a central pillar known as the Retreat Zone between pyramids A and C. It is clear from numerical modeling and rock mass characterization that the induced stress level in the pillar will exceed the rock mass capacity. A mining plan was developed including the re-dimensioniong of stopes in the Retreat Zone, additional ground support and instrumentation in order to ensure the safety of the workforce and to maximize ore recovery while minimizing production delays. The mining strategy consists in allowing the rock mass to fracture and fail progressively while maintaining control of the existing openings with the appropriate support. A systematic analysis of rockbursting and caving hazards was conducted for all accesses and stopes in order to plan ground support and instrumentation needs.

May 1, 2003