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By Andrew K. Simpson

What will this deal do to the company’s stock price? This question arises when a publicly traded mining company is presented with a new mine project, or business combination. The standard tool for addressing this question is to use discounted cash flow analysis, or net asset value(NAV), which is discounted cash flow net of liabilities. Cash flow-based analysis is invaluable for assessing project costs and other impacts on debt service capacity and internal rates of return. But cash flow analysis and NAV do not work very well for stock price analysis.

Jan 1, 2000

By I Mason, G Turner, J Hargreaves

One of the key objectives in production from any mine is the minimisation of ore loss and dilution. This can only be achieved when the distribution of ore within the mine is known. The distribution of ore is usually evaluated from a combination of drill hole information and underground mapping data. Three-dimensional models of the ore distribution are then constructed by interpolating grades, contact locations and confirming these estimates through mapping. While the interpolation procedure can incorporate an understanding of the local geological conditions, it is an approximation and thus susceptible to some degree of ore loss or dilution. Naturally, such problems increase in areas of sparse geologic information or greater geologic complexity. Borehole radar offers an approach to decrease the interpolative aspects of modelling by providing a continuous image of some ore contacts. Borehole radar works by building a two-dimensional image of an ore contact from radio waves bounced off the contact from closely spaced positions along a borehole. This image can be imported into Datamine (or a similar design package) and incorporated into geological models of a given ore block. The results of a trial survey from the Mariners nickel mine at Kambalda are presented to illustrate the improved level of detail and accuracy that can be achieved through the incorporation of borehole radar into orebody delineation practice. Once implemented on a large-scale this technique has the potential to greatly increase the cost-effectiveness of long hole stoping at Kambalda, through increased ore recovery and reduced dilution.

Jan 1, 2000

By Marc Liebman

We present the results of a telephone survey of electric arc furnace (EAF) steel producers. This report characterizes the current status of EAF dust generation, treatment and disposal. It indicates the quantity generated, zinc content, other relevant constituents, and plans and trends that will impact on the quantity and characteristics of the dust generated. The survey covers EAF based steel producers in the United States and Canada. It identifies the processors currently employed, opinions about the use of these processors and services, as well as new technologies being considered.

Jan 1, 2000

By S Brown

With oxygen conditioning routinely used in both the lead and zinc circuits at Pasminco Elura Mine a more sophisticated method of determining oxygen demand was required. It is known that different ore types have different oxygen consumption rates, however oxygen is added at a fixed rate regardless of ore type in the plant. Therefore, a simple laboratory test was devised to measure the oxygen demand of ores. The paper describes the technique employed, and provides an interpretation of the results. These data, together with pulp chemical measurements (Eh, pH and EDTA extraction data) were correlated against laboratory flotation performance to establish the relationship between oxygen demand and the position of the grade/recovery curve.

Jan 1, 2000

By Robert Sutton, Milan Sjaus

Conveyor pulleys are an important and integral component of a conveyor. Conveyors work in sequence to make up conveyor systems. Each conveyor system is only as reliable as its crudest component. If the pulley fails, then the whole material handling system stops. So what is the effect of this downtime? What are the costs of repair? How much are we willing to pay to solve the problem? What should we spend to prevent an unscheduled shutdown? Do we use the technological improvements at our disposal or do we ignore them to satisfy immediate cost savings? This study will focus on the cost of pulleys relative to the total conveyor cost, the cost of downtime, the maintenance costs and the costs for resolution of the problem. Some philosophic and design concepts are injected for illustration and discussion.

Jan 1, 2000

By J. Ouellet

"ABSTRACTA brief background on in-situ testing of mine backfill, as well as pressuremeter testing is briefly described, and results from an in-situ testing on paste backfill are presented. A series of self-boring pressuremeter tests were done from the top of a backfilled stope in an underground mine. The tests were conducted along a 20-metre vertical line in the centre of the stope. Some 14 tests were performed along this depth. The instrument used was a Camkometer built by Cam Insitu, Cambridge. The instrument proved to be efficient and reliable for underground testing in a cemented paste backfill. The testing program was conducted within the planned schedule with a high success rate. The test done in this study permitted the measurement of paste backfill strength, stiffness and in-situ horizontal stress within the backfill. RésuméUn bref historique des essais in situ dans le remblai minier est présenté. L’essai pressiométrique est décrit succinctement et des résultats d’une campagne d’essai dans un remblai en pâte sont présentés. Un programme d’essais au pressiomètre auto-foreur a été réalisé à partir du sommet d’un chantier remblayé sous terre. Les essais ont été réalisés le long d’un ligne vertical d’environ 20 mètres pour un total de 14 mesures. Le Camkometer de la firme Cam Insitu de Cambridge a été utilisé. Cet instrument s’est avéré efficace et fiable pour tester le remblai en pâte cimenté sous terre. Le programme d’essai s’est déroulé à l’intérieur de l’échéancier prévu avec un taux de réussite élevé. Ces essais ont permis de déterminer la résistance, la rigidité de ce remblai ainsi que les pressions in-situ prévalant dans le remblai."

Jan 1, 2000

By Peter Wells, Laxman M. Amaratuga, Todd M. Kanhai

"Certain mining methods (eg. Cut-and-fill) result in the contamination of run-of-mine ore with shotcrete. This shotcrete remains mixed with the ore throughout processing. Experimentation performed by Falconbridge Limited revealed that underground contamination of ore by shotcrete (eg. as little as 1% by weight) has led to ill-effects on the nickel recoveries from the flotation process in the mill. The nickel recoveries of contaminated samples were lower than tests without the shotcrete Contamination.To optimize flotation circuits it is important to know why the contamination has created these effects and also to find a method to abate or remove them. Laboratory testing showed that the age of the shotcrete was a factor in it’s effect on nickel recoveries. Younger aged shotcrete gave nickel recoveries lower than baseline nickel recoveries with no contamination. Older shotcrete gave nickel recoveries similar to the baseline.Literature on other cementitious material contaminations on ore revealed that a possible means of remediating this problem is the use of acid in the flotation. The initial pH in the flotation pulp was designed to be pH 9.2, but with the young shotcrete contamination the pH was in the neighbourhood of 10.5. Acid addition may act as a means of lowering the pH to the optimal operational value. Laboratory test work showed that acid addition brought nickel recoveries closer to the baseline."

Jan 1, 2000

By Ronald Klepper

In hydrometallurgy, pure gases like oxygen and hydrogen are used for oxidation and reduction. The gases are expensive and therefore should be used efficiently. Non reacted gas can be recycled into the liquid. Historically vortex gassing has been used; Le. a mixing impeller close to the liquid surface entrains gas from the headspace into the liquid through a gas vortex. Novel and more efficient methods are surface gassing with up pumping impellers and self- inducing gassing impellers. These alternative impeller systems are well established and common in the chemical industry, but have not been used until recently in hydrometallurgy. Gassing impellers act as internal compressors and increase the interfacial surface for a much higher mass transfer compared to alternate methods mentioned. In the paper results from lab and pilot tests and data from operated plants will be presented. The reactions with gases normally take place under moderate to high pressure, therefore a safe enclosure with mechanical seals and the safety "philosophy" is important. Experienced life and replacement cycles will be reported.

Jan 1, 2000

By R A. Medower

This paper provides a glimpse into the future of minerals processing with emphasis on æAutomation InnovationsÆ for the new millennium, particularly those involving advanced process control and innovative new applications of process control technology in 2007.

Jan 1, 2000

By S Dirdjosuwondo, R Plaisance, L Thoma

PT Freeport Indonesia, a subsidiary of New Orleans-based Freeport McMoran Copper and Gold of New Orleans, operates a large mining complex on the Western half of the Island of New Guinea in Tembagapura, Irian Jaya, Indonesia. The IOZ (Intermediate Ore Zone) mine, one of the underground orebodies, is mined by block caving. The area affected by the cave collects a large quantity of rain and ground waters mixing with fine rock particles. The mixture, commonly called æwet muckÆ, sometimes spills into drawpoints and makes the working environment hazardous to the loader operators. Wet muck is observed in an increasing number of drawpoints in the IOZ mine and remote LHD (Load-Haul-Dump) technology has been implemented to handle the ore. The driving force for this automation project has been the safety of the loader operators. The system has been developed mainly in-house and incorporates state-of-the-art features. Up to eight remote loaders and nine rock breakers are controlled from an underground control room located approximately 400 metres from the active extraction panels. The two underground crushers and nine conveyor feeders are also operated remotely from an adjacent control room. The development of FreeportÆs remote system has taken time and considerable effort. Not only the success of the IOZ mine was at stake but also the fulfillment of environmental commitments pertaining to the mill tailings. Approximately eight per cent of the mill feed must come from underground skarn deposits to neutralise the acid-generating tailings generated by the huge Grasberg open pit ores.

Jan 1, 2000

By H. Dong, J. J. Valencia, L. Nastac

"A comprehensive computer model was developed to understand and optimize the centrifugal casting process for manufacturing TiC/Al-bronze friction drums. Performance of these components requires proper distribution of TiC particles, which is shown by dimensional analysis to be dominated by centrifugal buoyancy effects and solidification kinetics.The model addresses the following: (1) a rheology-viscosity model of the interference between moving particles, (2) engulfment (entrapment) or pushing of particles in the mushy region by the advancing solid/liquid interface, (3) nucleation and growth of equiaxed and eutectic phases, (4) effects of particle size, particle concentration, and cooling rate on the final grain size, and (5) the impingement effect of particles on the nucleation and growth kinetics of solidifying microstructure.Parametric studies were conducted using the computer model to investigate the effects of various process and material parameters on the distribution of TiC particles. The effects of the volume fraction, size, and morphology of the particles (including clusters and agglomerates) on the particle distribution were evaluated in detail. The complex interaction between the solidifying structure and insoluble ceramic particles in centrifugally-cast metal-matrix-composites was also investigated.The model predictions of particle distribution and microstructure were validated with experimental data for centrifugally-cast A356/SiC and TiC/Al-bronze alloys.This work was conducted by the National Center for Excellence in Metalworking Technology, operated by Concurrent Technologies Corporation under contract No. N00140-92- C-BC49 to the U.S. Navy as part of the U.S. Navy Manufacturing Technology Program."

Jan 1, 2000

By M. Board, R. Pakalnis, S. Seldon, R. Brummer

The Kidd operation mines roughly 10 000 tpd of copper and zinc ore from underground and employs about 700 personnel. In the late summer and fall of 1997, major movements in the proximity of the east wall of the Kidd open pit had been observed. The Kidd pit had been mined from 1965 to 1977 to depths of 260 m (850 ft), followed by subsequent mining by underground methods to current depths in excess of 1830 m (6800 ft). The No. 1 Mine (2600 Level to pit bottom) is approximately 90% extracted, with most of the remaining reserve between 2000 and 2500 levels. Although initial concerns centred on the stability of the pit walls, the potential ramifications of the movements to the underground were recognized and measures were implemented to ensure the safety of personnel as well as to minimize the potential damage to existing operations. In late October, damage to underground operations was observed as deep as the 2000 Level. In the final assessment, the global mobilized mass was a “wedge”-shaped hangingwall block extending from surface to about 610 m (2000 ft) below surface. The “wedge” boundaries are defined by a fault and shear zone which have continuous lengths in excess of 1070 m (3500 ft); its base by shearing through the host rock mass; and its eastern face by deep tension cracks (Fig. 1). Mined and filled excavations at the western face of the “wedge” allowed mobilization of a mass in excess of 30 M tonnes. Movements in excess of 75 cm (30 in.) per day were recorded on the surface stations that preceded the complete shutdown of operations on October 29, 1997. The evaluations in the days following the shut-down were centred on mitigation of immediate and future possible negative impacts on infrastructure and mining of the remaining No. 1 Mine reserves while ensuring the safety of the operators. This effort required the rapid assessment of the potential damage of the block movement on underground infrastructure, stope access, drainage and ventilation, as well as airblast potential due to the falling of a large block into the pit near the ventilation intake at the base of the pit. These assessments were presented in a previous paper (Seldon et al., 1999). In total, the lateral movement of the block on the ground surface was over 4.3 m (14 ft). This paper describes the detailed studies performed to understand the failure mechanism and to assess the impacts on future mining in No. 1 Mine.

Jan 1, 2000

By D Guibal, J Vann, M Harley

Many sample value distributions are highly skewed and present variograms with high relative nugget effects and/or short-range structures. In consequence, significant deskewing of the histogram and variance reduction occurs when transforming between sample and block support, where blocks are of significantly larger volume than samples. When making estimates in the mining industry we usually wish to estimate on the basis of block support rather than sample support. The selective mining unit (SMU) refers to the minimum support upon which ore/waste allocation decisions can realistically and practically be made. The SMU is usually significantly smaller than the sampling grid dimensions, in particular at exploration/feasibility stages. In a non-linear estimate, for each large block (by convention called a æpanelÆ) we estimate the proportion of SMU-sized parcels above a cut-off grade threshold. A series of proportions above cut-off defines the SMU distribution. Use of such non-linear estimates reduces distortion of grade-tonnage curves and provides a better basis for mine planning and economic decision-making. At present, Multiple Indicator Kriging (MIK) is the most widely used technique for performing estimation of recoverable resources. MIK is not the only approach available and it has some potentially serious limitations. The MIK technique is described and a number of theoretical and practical implementation issues are examined. In particular: MIKÆs assumptions about spatial distribution of grade; the behaviour of indicator variograms; application of change of support models; order relationship problems; and modelling the tail of the distribution. Some simple tests are described which allow us to determine the suitability of different estimators for a given deposit and criteria to identify a preferred estimator are also examined. Uniform Conditioning (UC), an alternative estimator which may be used instead of MIK, is described.

Jan 1, 2000

By D. R. Parker

"This paper canvasses emerging trends in public policy and law, which may influence the zinc industry's interest in recycling. There are forces at work beyond direct economic benefits that will drive recycling of zinc, including:• corporate determination to pursue sustainable practices and product stewardship.• public perceptions and pressure,• customer and investor demand,• workforce recruitment, and• protection and expansion of marketsIn this paper, these ""indirect"" forces are examined with particular focus on the zinc industry: It is concluded that, in today's world with an emerging precautionary approach to policy and law making, public perception concerning the environmental implications of metal products, and the need to conserve resources for future generation, a strong industry response is required."

Jan 1, 2000

The role of the mine geologist in a business perspective is self-evident to some, but to others it may be a new concept. All mine geologists need to know exactly how they add value to the business if they are to be successful. Alternatively, if they do not add value, then they will become redundant. This paper seeks to understand some of the contributing problems that hinder the mine geologist from operating in a business perspective. In doing so, a new context (for some) is proposed to aid the mine geologist and the operation gain greater value from geology. The proposal suggests how to ensure that the activities of our geologists are intrinsically linked to the business process that we are involved in. The mine geologist can and must play a pivotal role in the success of an operation. To do this, they must understand some principles of business such as:process, customer/supplier relationships, and organisational structure. Our geologists must know the business objectives, understand the product that the customer needs and use their geological skills to deliver the product safely, on time and to specification. As geologists, we can be instrumental in ensuring that the operational environment is structured in such a way that maximum value is realised, not only from the mine geologists but the entire site team. In doing so, mine geologists will realise their full potential in delivering the outcomes the business demand, and therefore be recognised as strong contributors to business success.

Jan 1, 2000

Block caving is the lowest cost underground mining method but it has relatively high risks and a high up-front capital and development cost. It has application to large, often lower-grade orebodies where high production rates can provide good returns on the investment. However, it has a range of technical risks that are peculiar to block caving and the usual financial, political and environmental risks that may be exacerbated by the long lead-in times associated with the development of a block cave operation. With initial development costs that may be $100 M to $1000 M when the building of a treatment plant is also required, it is obviously important to minimise and manage the risks. In a greenfield project, commitment to a substantial proportion of the capital expenditure may be required to gain access to the deposit, and the decision to proceed at this stage would be based very largely on interpretations of drill hole data. In established mines the data may be supplemented by geological mapping and past experience, etc. The quality of this data is critical and yet it is frequently degraded through poor techniques and avoidable omissions. The final decision to proceed would be assessed on projected commodity prices, mining capital and operating costs, dilution and run of mine ore grades. The latter will vary over the life of the project and these can be estimated with drawdown or draw control modelling techniques. In this modelling, there are further risks in the assumed modelling parameters or that the modelling technique may not be applicable or appropriate. The paper addresses the most critical technical and operational risk areas and provides some practical precautions that can be taken to reduce these and improve the reliability of the geological and geotechnical models.

Jan 1, 2000

The ninth annual Mine Rescue Evaluation was held in conjunction with the RMCMI 2000 convention at the Sheraton Tamarron Resort, Durango, Colorado June 25 thru 27. The purpose of the mine rescue evaluation program is to provide an opportunity for mine rescue teams to learn new skills and improve their existing ones in a non-competitive environment. Several staged "disaster" scenarios were [ ] held where the teams are called upon to exhibit their life saving abilities. The evaluators meanwhile are offering suggestions, both verbal and written, to help the teams better understand the situations presented them. This non-competitive environment allows the teams to work together and share their knowledge with fellow mine rescue teams providing everyone with a positive learning experience. Mine Rescue Chairman Bill Balaz was in charge of coordinating the events. Seven teams consisting of seven to ten members each (totaling 63 members) participated in the two-day event. Each team was required to respond to three different real-life scenarios plus a written general knowledge test daily. This year's four professional evaluators included Art Saenz (Hazardous Materials) of Western Envi¬ronmental Associates; Guy Horton (Ropes), Guy Horton Rope Rescue; Mary Bailey (Medical), MBA Training and Ron Lauer (Confined Space) also lassos Western Environmental Associates. They cash prov- [ ] ided three different challenging mock situations per day per team. The teams had no prior knowledge of what the scenarios would be as details were provided only as they arrived. Ten volunteer victims added much drama and excitement to the event. Their realistic enactments, complete with false blood makeup and severed limbs, made for some very tense scenarios. The Mine Rescue Teams participating this year were BHP LaPlata, BHP Navajo, BHP San Juan, all from Farmington, New Mexico; Bridger Coal Co., Rock Springs, Wyoming; Sabine Mining, Longview, Texas; Solvay Minerals, Green River, Wyoming and Western Energy Co., Colstrip, Montana. Many new [ ] friendships were made and much knowledge shared. A swap meet was held Saturday afternoon for the teams to exchange miscellaneous equipment, hats, shirts, etc. The teams were asked to evaluate the program and the evaluators. Then responded with many positive suggestions that will help improve the upcoming events in the years to come. Culmination of the Mine Rescue program was a Tuesday morning awards breakfast where the teams were presented with plaques. The participating victims and evaluators were also commended for their outstanding efforts. Sponsors for the Mine Rescue program were Big Sky Coal Company, CMC Rescue, Magnum Metals, Inc., and Rocky Mountain Electric. Many hours of volunteer time and effort from various family members of participants helped make the 2000 event a huge success.

Jan 1, 2000

By M K. Singh

Mining is nothing but an art - besides being a science - of extracting valuable minerals from the womb of the mother earth. In this gigantic task, a large number of machinery and equipment are employed judiciously. Wire ropes play a vital role in lifting or hoisting men and materials under hostile/adverse working conditions and constitute a major item of investment on machinery/equipment. The economy of using a wire rope is a concern for engineers, users and the planners. The economic use of wire ropes for mining purposes largely depends on the following factors;Mechanical design considerations - which include tensile strength of wires, elasticity, resistance to abrasion and crushing, fatigue values, static and dynamic loads on wire ropes, factor of safety, fleet angle, etc. Metallurgical consideration - Composition and heat treatment of wire materials, defects like inclusions and voids, surface quality factor, lubrications, micro structural parameters. Operational consideration - Seizing and cutting of rope, storage, care and maintenance, cutting back, etc. Environmental consideration - Temperature and humidity, pit condition, dust, corrosive atmosphere, etc. In the present paper, an attempt will be made to suggest steps for achieving optimum economy while using the wire ropes for extraction of precious minerals and coal keeping in view the points noted earlier. Once technical viability is established, economy is the ultimate consideration for an industry for safe hoisting of men and material.

Jan 1, 2000

By David M. Spatz

The way people interact, collaborate, learn and improve can have a profound impact on a company’s efficiency, performance, productivity and return on investment. This is the motive behind corporate efforts today to replace the traditional hierarchical structure with team-oriented organization. The increased importance of communication and collaboration during the past 20 years has been propelled by rapid advances in technology and increased availability of information. Companies must take advantage of the information that is required for competitive performance and for the continued production of quality products. So it is essential that outstanding communication, cooperation and collaboration take place among multidisciplinary specialists assigned to work together to solve common problems and achieve common goals. Companies are searching for ways to increase knowledge transfer and learning, particularly among people who work on related topics. This will improve efficiency and quality and reduce redundancy and costs.

Jan 1, 2000

By B. Garcia-Egocheaga, J. Rutten, N. Goicoechea, U. Meurer, Mager K., W. Saage, Simonettim F.

Because of the increasing use of zinc as an active and passive anticorrosion agent for steel, leading to constantly growing return rates of galvanized steel components, especially through the automotive industry, major Electric Arc Furnace (EAF) flue dust amounts with higher zinc contents will accumulate in future. Landfilling of steel plant flue dusts is no longer allowable for ecological reasons. These dusts are classified as hazardous by law. Waelz technology is safe and reliable. The range .of treatable feed materials has been extended by process modifications and state-of-the-art offgas technology. Waelz oxide, the product, is delivered to metal smelters for zinc production and the byproduct, Waelz slag, can be used in road construction. Despite the fact that Waelz technology is among the best available techniques (BAT), it is continuously being optimized further with respect to energy input, product and offgas quality in order to comply with the ever more stringent environmental regulations. However, if these flue-dusts are treated, the loops between the steel and the zinc industry can be closed by reusing recovered zinc which in tum leads to savings in natural resources and a more reasonable use of landfills.

Jan 1, 2000