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By Jr. Watts, B. K. Cantrell, D. H. Carlson, K. L. Rubow

"The use of diesel equipment in underground coal mines is controversial because ""whole diesel exhaust"" is regarded as ""a potential occupational carcinogen"" by the National Institute for Occupational Safety and Health (NIOSH). Threshold limit values (TLVs) are recommended for the gaseous pollutants; CO, CO2, NO, NO2, SO2, and some hydrocarbons emitted in diesel exhaust. There is, however, no TLV recommended for diesel exhaust aerosols (DEA) nor is there a standard method for sampling these aerosols.The University of Minnesota and the Bureau of Mines have collaborated to develop a personal diesel exhaust aerosol sampler (PDEAS) which utilizes size selective, inertial impaction and gravimetric analysis. During the field tests of this sampler, numerous air quality measurements were conducted in underground coal mines using diesel equipment. The objective of this report is to present these data and to assess the impact of diesel face haulage equipment on mine air quality.Air quality data were collected in four underground coal mines using continuous mining methods with diesel haulage equipment. Daily samples were collected at the section intake, haulageway, and on haulage vehicles. Both full-and partial-shift samples were collected using a variety of aerosol instruments, including the PDEAS and the micro-orifice, uniform deposit impactor (MOUDI) which sample the mine aerosol diesel exhaust fraction. Two of the mines were also monitored for the major gaseous constituents found in diesel exhaust CO, CO2, NO, NO2, and SO2. These measurements were made by either collecting bag samples for subsequent gas analysis or by Palmes dosimeters.The concentrations of CO, CO2, NO, NO2, and SO2, were well below regulated levels. The mine average DEA concentration determined by the PDEAS in the haulageway for the three mines surveyed using this instrument was 0.79 mg/m3, with a standard deviation of 0.19 mg/m3. DEA contributed 65% of the respirable aerosol, at this location. These results were the same as the mean DEA concentrations calculated from size distribution measurements obtained using the MOUDI. This was 0.78 mg/m3, with a standard deviation of 0.22 mg/m3."

Mar 1, 1992

By John E. Pahlman

An increasing number of gold and silver mining operations are employing cyanide solutions to effectively dissolve silver and gold from finely disseminated ores. Many of these operations use small, packaged processing systems like the State of Maine filter system, which employs zinc precipitation of gold and silver. Solution-clarifying filters in these systems become blinded with calcium carbonate (CaC03) scale and require frequent (every 2 to 10 days) dismantling of the filter units for acid cleaning, This is a hazardous operation as it is not compatible with the alkaline cyanide leach solutions and may result in the evolution of toxic hydrogen cyanide (HCN) gas during cleaning and during any accidental acid spill. The Bureau of Nines has investigated an alternative, nonacidic method of cleaning blinded State of Maine filters that employs ethylene- diamine-tetraacetic-acid (EDTA) type chelating agents to dissolve the scale. In situ cleaning of a 150-st/d State of Maine filters with EDTA- type chelating agents was successfully demonstrated. Greater than 90 pct of the CaC03 scale was removed in about 10 min with circulation of 31 L of 2.5-pct-EDTA solution through the filter unit. The EDTA cleaning method not only eliminates the cyanide hazard in filter cleaning but is advantageous from the standpoint of operating costs and productivity.

Jan 1, 1986

By L R. Sousa, M He

Rock burst is common in deep underground excavations and is characterised by a violent ejection of block rocks from excavation walls. It is critical to understand the phenomenon of rock burst and particularly the failure mechanism. Laboratory experiments are one of the ways. For that purpose, a rock burst laboratory test system was developed at the State Key Laboratory for Geomechanics and Deep Underground Engineering at the China University of Mining and Technology, Beijing. A true triaxial test system, designated the Deep Underground Rock Burst Analogue Test Machine, was developed, which can transfer a stress state from three-direction-compression on six surfaces to the compression on five surfaces with one set free. The rock burst experimental system comprises an acquisition of acoustic emission signals, a high-speed recording in order to accurately record the kinetic characteristics of rock fragments ejected during a rock burst event and the possibility of infrared thermography showing the surface temperature of the samples. In this paper, analyses of typical results from rock burst tests are presented with a description of the obtained results. The mechanisms of rock burst are illustrated, and a rock burst classification is proposed based on these laboratory tests. For the control of rock burst, the constant resistance, large deformation (CRLD) bolt or anchor is presented for accommodating the large displacement of surrounding rock masses and absorbing the impact of the sudden release of rock burst while outputting a constant resistant force in response to the external load. The CRLD bolt or anchor has had practical applications in underground mines. Finally, in situ tests performed in a tunnel at Qingshui coalmine, China, are analysed in detail.CITATION:He, M and Sousa, L R, 2014. Experiments on rock burst and its control, in Proceedings AusRock 2014: Third Australasian Ground Control in Mining Conference , pp 19–32 (The Australasian Institute of Mining and Metallurgy: Melbourne).

Nov 5, 2014

By A. G. Mattes

This paper presents an overview of passive, engineered, biologically-based anaerobic bioreactor (ABR) treatment systems of the sort that can be used to remove dissolved copper from mine wastewaters. The paper begins with a brief history of the origins of this treatment technology and continues with a discussion of principles of engineered wetlands (EWs, advanced kinds of constructed wetlands, CWs) and the use of vertical sub-surface flow (VSSF) varieties that contain pulp & paper biosolids as the reactive medium for EW cells. A brief outline of a procedural methodology used in evaluating the potential for biological treatment on a site-specific basis is also included. An introduction to the microbiology of passive biologically-based treatment systems is followed by some recent research results in the general area of wetlands and ABR research. The paper concludes with a brief discussion of several sites known by the authors to have successfully (or not) demonstrated the potential of this treatment option.

Jan 1, 2007

By G. B. Harris

It has long been appreciated that chloride chemistry has a number of advantages over the more traditional sulphate route for both extracting and separating metals. Modern materials of construction, coupled with the development of a more cost-effective and efficient hydrochloric acid regeneration technology mean that chloride-based processes are now more competitive and attractive. Such processing routes are able to recover more of the contained metal values in a feed, including iron in a benign and/or marketable form, and particularly the so-called rare and rare-earth elements which are increasing in demand in our electronic age. These factors, therefore, add appreciably both to the overall economics of a project, but also offer a much more sustainable approach to our dwindling natural resources. Additionally, chloride-based flowsheets can be much more environmentally-friendly, offering practical alternatives to two of the biggest headaches faced by the industry, namely cyanide usage and the generation of red muds. This paper presents a brief theoretical background, focusing on the latest developments of ferrous iron oxidation and the low-temperature, selective hydrochloric acid regeneration process, which is the key unit operation for any chloride flowsheet, and discusses in general the advantages of the chloride approach. Several recently-developed flowsheets, which have been tested at the miniplant level, are presented for gold, base metals, titaniferous magnetites and lead-silver ores wherein the advantages of considering a chloride approach are highlighted.

Jan 1, 2014

By J. Restrepo, N. Ripepi

"The International Organization of Standards defines risk as “the effect of uncertainties on achieving objectives (15).” In mining, many uncertainties can influence the outcome of personal or professional objectives and are often difficult to predict. Risk management, the minimization and control of adverse effects from exposure to identified risks, is a well-established concept that can summarized as “being smart about taking chances” (12). Risk management now consists of management processes unique to numerous organizations across many industries, as varying sectors encounter a variety of needs, including the analysis and mitigation of risks related to physical security, product liability, information security, various forms of insurance, regulatory compliance, and workplace safety (12). The reoccurrence of multiple fatality events in the US mining industry, especially the underground coal sector, suggests an opportunity for improved methods of major safety hazard identification, assessment, and mitigation. A risk management approach would include ready identification and mitigation of these risks, inclusive stakeholder engagement, and rapid integration. While many solutions to reducing the risk of mine disasters have been proposed including stricter regulation and improved technology, a comprehensive risk management approach has yet to be fully integrated in the US mining industry. In December of 2006, R. Larry Grayson of the National Mining Association’s Mine Safety Technology and Training Commission called for “a new paradigm for ensuring safety in underground coal mines, one that focuses on systematic and comprehensive risk management as the foundation from which all life-safety efforts emanate (7).” A risk management approach has already been implemented with success in Australia’s minerals industry as part of a transition during the mid-1990s from a prescriptive based health and safety attitude to a more proactive, duty-of care [risk-based] philosophy (13, 16, 17).FUNDAMENTAL ELEMENTS OF RISK MANAGEMENT TECHNIQUES The fundamental components of a comprehensive risk assessment/management program are well-established within the realm of mining health and safety. Figure 1 depicts the elements of a typical mining hazard management framework. The first step in any safety-based risk management system is to identify and assess hazards by their location, nature, and magnitude within a mine. Next, a decision is made about choosing to eliminate, mitigate, or tolerate each hazard. Ideally, a hazard will be eliminated during the design stages of mining, though dynamic mining conditions often require continuous improvement and reevaluation of existing hazard controls. If elimination is not possible, hazard mitigation actions can consist of methods, rules, equipment, competencies, or other mechanisms. If a hazard is simply tolerated, as many inherent mining hazards must be, then specialized administrative controls must be utilized to minimize losses. During this process, the performance of each action is monitored and modified as needed (13)."

Jan 1, 2015

A significant technological development is discussed for the processing of certain problem power plant flyashes which contain a high water soluble mineral content and which are known to yield inferior flyash based brick. This development is based on the addition of hydrochloric acid to the flyash-bottom ash-sodium silicate blends used for the production of flyash based structures. Favorable changes are evident in (1) sodium silicate consumption, where often approximately one-half of the amount used for making brick from normal flyash is required; (2) processing costs; and (3) strength and appearance of the resulting freshly formed green and fired structural products. In some high cost instances-(above the cost of 30 dollars or less per thousand brick estimated for normal flyashes) hydrochloric acid additions can replace or reduce other costly additives required with problem flyashes to result in a savings of as much as nine dollars per thousand brick. These developments offer promising possibilities for utilizing problem flyashes as well as flyashes which may come into contact with water soluble, sulfur as a result of the eventual application of certain experimental air pollution control processes.

Jan 1, 1968

By C. H. Hopper

THE gold orebodies of the Matachewan Consolidated mine are of particular interest geologically because of their odd shapes, their apparent lack of connection one with another, and the fact that they occur in a number of different formations. All of the orebodies exhibit a similar fracture pattern and the areas of fracturing appear related to the local folding. However, the lack of either horizontal or vertical continuity suggests additional controls not yet discovered. The question of origin, so ably discussed by H. C. Cooke in 1919, will be reviewed in the light of the additional evidence uncovered since his examination of surface trenches twenty-four years ago. The Matachewan Consolidated mine, with its neighbour, the Young-Davidson mine, is in Powell township, 25 miles by road northwest from Elk Lake, 30 miles west of Kirkland Lake, and 45 miles southeast of Porcupine. It may be considered as being on the westerly extension of the Kirk-land Lake sedimentary belt, where the rock column is markedly similar. There is no similarity in structure, however, for great ore-bearing shears and faults simply do not occur at Matachewan. Rather may it be said that the region, under stress, failed in isolated brecciated patches, some of which make up today's orebodies. The mine currently treats 1,000 tons a day of porphyry ore averaging 0.10 oz. gold per ton. It started operations in 1934 on greenstone ore, and the mill then treated 150 tons a day of ore averaging 0.23 oz. gold per ton. Total production to the end of 1941 has been 929,484 .tons averaging 0.160 oz. gold per ton.

Jan 1, 1942

By S. L. May

The Bureau of Mines has developed several methods for extracting tantalum and columbium (niobium) and the rare-earth compounds from ores and concentrates. A cooperative agreement was made by the Bureau with Porter Bros. Corporation of Idaho to process 200 pounds of its euxenite concentrate by methods that had been developed at the Albany, Oreg., Metallurgy Research Center. The euxenite concentrate was processed to extract and purify the valuable metals by chlorination, solvent extraction, and hydrometallurgical techniques. Chlorination was used to convert the valuable constituents into chlorides and to partly separate them. Solvent extraction techniques were used to separate the tantalum from the columbium. The rare-earth and uranium compounds were purified by hydrometallurgical methods.

Jan 1, 1959

By M. J. Lempel

A theoretical study of the heat-transfer characteristics of a dilute gas-solids mixture in an externally heated tube is reported. Detailed equations are developed describing the system, and a numerical method is presented to solve the equations using a digital computer. The methods are applied to a system containing fine coal particles entrained in hydrogen, flowing through a hot tube. Heat-transfer coefficients and several other physical constants are evaluated in detail.

Jan 1, 1967

By Mitchell P. Rothman

This paper concentrates on profits and other measures of return in the Canadian mining industry, especially in the non-mineral-fuels sector. The paper examines the historical patterns of mining profits, both before and after taxes, as compared with profits in other sectors of the Canadian economy, as well as some of the more important influences on mining profits. These include the prices of mineral products, provincial and federal tax policies with respect to mining , and the effect of inflation on mining profits and the financial position of mining firms - in each case, comparing mining with the other sectors of the economy. Finally, the paper provides an analysis of current and prospective rates of mining profits in relation to the capital required to ensure the future viability of the Canadian mining industry.

Jan 1, 1977

By S Romanchuk, V N. Macvkiw, D. J. I. Evans

The paper describes the processes developed and piloted by Sherritt Gordon Mines Limited for recovering copper, in the form of specification copper powders, from Lynn Lake sulphidic copper concentrates and Fort Saskatchewan Refinery by-product copper sulphides. The process includes ammonia pressure leaching and hydrogen reduction from solution. Nickel and cobalt present in the con-centrates dissolve in the leach solution and a method was developed for separating these metals from the cop-per. Methods are described for con-trolling the physical properties of the copper powder produced in the reduction vessel. The chemistry of the process is briefly discussed and the effects of some of the more important process variables are described. SHERRITT Gordon Mines Limited have developed and proven on a pilot plant scale, a process (I) for the production of copper powder

Jan 1, 1961

By C. G. Hunkin

In situ, or in-place leaching is concerned with the extraction of metals from natural mineral disseminations without removal from their geologic location which, in many cases, amounts to the reversal of the deposition process accompanied by a presumed increase in velocity of the processes, if the project is to be profitable. Solution mining processes involve removal of minerals such as sulfur, common salt, and potash, generally leaving cavernous voids, in contrast to in situ leaching which term is applied to the selective dissolution of a mineral from its gangue without sensible disturbance of the formation. Where such a process can be operated, the advantages are manifold and have been so recognized by miners from the earliest days of mining. Recent technological developments have encouraged a reassessment of the status of in situ leaching, and it now appears possible to extend the application of the method from a few isolated special situations to many uranium and copper deposits. Anaconda's interest in the techniques stems from long experience with vat and heap leaching, 'dump leaching, and natural leach activities associated with several established mines. Increasing activity through-out the industry has been noted, particularly in leaching low grade pillars and the peripheral zones of operating mines, often by the introduction of leach solutions via boreholes drilled from surface. Reactivation of dormant mines] using similar techniques has been successful. Over the long term, environmental improvement activity will lead to excess sulfuric acid production, even to a disposal problem. The cost of leach solutions and reagents must be reexamined in this light. The mineral industry now classifies as uneconomic deposits of readily soluole minerals whose potential value, on a per acre basis, may De several times that of many currently profitable oil field reser-

Jan 1, 1971

By J Johansson, J Lööw

Attractive mining workplaces are good, safe and healthy environments. They are also workplaces that the workforce of the future wants to work in. As skilled miners and engineers are already scarce, this is important both for today and for the future. However, the future of mining will also be subject to increased international competition. In attempting to become more competitive, many mining companies turn to rationalisation, looking to both rationalise their production and organisation as well as optimise their processes. Work organisation is important in both rationalisation and providing attractive mining work. As a result, this paper investigates a ‘lean production’ (LP) philosophy for the organisation of future mines. The aim of the paper is to investigate to what extent LP can be used to organise for attractive mining. It first defines what attractive mining work is and to what degree it can be influenced by work organisation. A short insight into the LP concept will be given as well as a review of how it is discussed and utilised in mining today. In conclusion, a summary of LP’s potential to realise future attractive mining is given.CITATION:Lööw, J and Johansson, J, 2015. Work organisation for attractive mining – lean mining and the working environment, in Proceedings Third International Future Mining Conference, pp 197–204 (The Australasian Institute of Mining and Metallurgy: Melbourne).

Nov 4, 2015

By W. A. Haley

As far back as 1939 state laws have required reclamation of mined lands. Reclamation has been the topic of many discussions and presentations, especially since the late 1960's. In the past ten years many states have added legislation concerning the reclamation of coal-mined lands. In the near future, it seems certain that some federal regulations will be passed that will set minimum guidelines for the states to regulate. Besides the requirement of returning the land to the approximate original contour, future regulations will more than likely demand replacing topsoil from one to five feet thick. As regulations become more stringent, costs will rise accordingly. Since no one has developed a machine that can do all reclamation work by itself, it is necessary to review in detail the tools available and to select the most economical means.

Jan 1, 1976

By S. Banisi, A. Haji-Zadeh, A. R. Hasankhoei, M. Maleki-Moghaddam

At the concentration plant of the Gol-E-Gohar Iron Ore Company (Iran) three 9m × 2.05m AG (Autogenous) mills (fixed speed) are used in parallel in a dry operation. The test works conducted in a scale down mill with a diameter of 1m indicated that conventionally used "deflector" type liners did not provide efficient environment for grinding. In this research, to improve the grinding efficiency, a new design using low profile end liners incorporating radial ribs of proper height was investigated. In order to determine an appropriate liner design at different operating conditions, a 100cm×10.8cm model mill was used for experimentation. The special design of model mill made it possible to increase the radial ribs height in steps of 6mm up to 18.5mm. The transparent end of the mill enabled accurate trajectory determination by image analysis. The results indicated that the new lower height profile deflectors and 15.5mm-height (14.5cm in industrial scale) radial ribs improved the mill performance while avoiding excessive pressure drop across the mill and wear on the liner. The image analysis showed that the use of new liners increased the distribution of coarse particles across the mill cross section from 28% to 35%. A new liner design was proposed by decreasing the number of liners in each slice from 5 to 4 pieces. The thickness of the inner head liners reduced from 45cm to 30cm and the outer deflector liners replaced by radial ribs. The distance between the feed and discharge inner head liners increased from the original 115cm to 145cm which increased the effective length of the mill by 26%. The new design reduced the weight and volume of end liners by 9% and 23%, respectively. It was predicted that the new liners design increases the mill throughput by 10% and reduces the metal consumption by 20%.

Jan 1, 2016

By R Jacobs, J Yeates

"The Stockman base metals project is situated in State Forest in the alpine area of East Gippsland, Victoria, adjacent to a National Park and within the headwaters of a major Ramsar-listed wetland catchment and the Murray-Darling River system. Site topography is steep, and elevated (650 m – 1200 m above sea level), and subject to circa 1 m annual rainfall, with occasional winter snowfall. The project consists of two volcanogenic massive sulfide (VMS) deposits to be mined by underground methods and treated in a 1.0 Mt/a central concentrator to produce copper and zinc concentrates for export over a ten year operational life. New resource projects are rare in Victoria. Recognising the sensitive setting, planning for the Stockman Project, which is now in the advanced permitting stage, has focused on balancing economic, environmental and social outcomes to ensure social licence to operate is secured and can be maintained. This has involved close attention to triple bottom line (TBL) risks and outcomes. Stockman has successfully gained State and Federal approvals via the Environmental Effects Statement process. The process of obtaining these approvals has required close attention to effective stakeholder involvement, and management of a lengthy and difficult approvals process, which is still to be finally concluded. This paper is a case study of the process of that permitting and the issues encountered to date. Key learnings from the experience have included: successful approvals require close attention to much more than just the project and its technical aspects and physical setting – effective stakeholder involvement and endorsement is critical the differing consultation requirements for local, regional and government stakeholders, to design and plan implementation of a project to meet TBL objectives, and to gain social licence to operate within the Victorian approvals process, the need for an effective lead government agency with policy authority dealing with material policy change requiring post-closure financial sureties estimating realistic permitting time and cost during the project evaluation phase. CITATION: Jacobs, R and Yeates, J, 2016. Stockman base metals project – sustainability, social licence to operate and permitting lessons learnt, in Proceedings Project Evaluation 2016, pp 98–110 (The Australasian Institute of Mining and Metallurgy: Melbourne)."

Mar 8, 2016

By Kumar P. Dharmasena, Haydn N. G. Wadley, Bill W. Choi

"Non-contact eddy current sensing methods have been developed and applied to Cd0.955Zn0.045Te crystal growth to obtain a better understanding of the melt, solid nucleation, and the growth process. The application of this sensor approach relies on a large difference in liquid and solid electrical conductivities near the melting point and requires knowledge of the relationships between the electrical conductivity, melt composition, and temperature. Using a multifrequency encircling eddy current sensor, the electrical conductivities of three different Cd1-xZnxTe (x=0.00, 0.045, and 0.08) alloys were measured as a function of temperature in a laboratory-scale vertical Bridgman furnace. The measured solid and liquid electrical conductivities were then used in electromagnetic finite element models to analyze the multifrequency responses of eddy current sensor designs during the simulated growth of a crystal. These eddy current sensors were fabricated and installed in a vertical Bridgman furnace and used to monitor many Cd0.955Zn0.045 Te growth runs. One sensor was placed in the vicinity of the ampoule tip to detect undercooling/spontaneous nucleation and two other sensors (""absolute"" and ""differential"" designs) placed to monitor the movement/curvature of the liquid-solid interface during crystal growth. The sensor data was used to characterize the initial melt state, detect the onset of nucle-ation, determine the growth velocity, and identify the shape of the interface.IntroductionSingle crystal CdTe and its solid solution Cd1-xZnxTe alloys (0.03<x<0.05) are used as infrared transparent substrates for infrared focal plane array (IRFPA) detectors [1-6] and as solid state y- ray detectors [7-9j. Cd1-xZnxTe substrates are normally ""mined"" from large polycrystalline boules grown by the unseeded directional solidification of Cd1-xZnxTe melts using either a vertical or horizontal Bridgman process [10-14]. The vertical Bridgman method is particularly popular for growing CdTe and its related compounds. In this process, a Cd1-xZnxTe ingot is produced by first melting a charge in the hot zone of the furnace and then vertically translating the furnace (with its associated axial temperature profile) relative to the stationary crucible to cause directional solidification. In spite of many experimental efforts to investigate the relationships between material purity, stoichiometry, the controllable growth parameters (furnace temperature profiles, ampoule geometries/materials, furnace translation rates and starting position) and the resulting material characteristics (grain structure, dislocation densities, IR transmission, macro-segregation etc.), the yield of Cd1-xZnxTe of a quality suitable for large area (e.g. 4 cm x 6 cm) substrates remains low (<10%). Since much of this poor yield is directly associated with the crystal growth process (e.g. melt stoichiometry, solidification velocity, interface shape, temperature gradients, cooling rate, etc.) intensive efforts are under way to improve this technology."

Jan 1, 1997

By Michael Perch

The fact that coal is a complex organic material and heterogeneous in composition has made its study extremely difficult, particularly in regard to obtaining a fundamental concept of the processes involved in the formation of coke. It has been stated recently that coals are natural polymers and that in a complex reaction such as occurs during carbonization the differences between coals are quantitative and not qualitative. Such being the case, it would be expected, therefore, that a series of coals subjected to exactly the same conditions of coking would produce results that should be related quantitatively to the chemical analyses of the individual coals. In the past, however, this fact was not generally recognized and consequently many empirical test methods were devised for testing coals. The interpretation of the results obtained depended upon comparing a set of data with other data on coals of known characteristics. The testing procedure had to be con- ducted in precisely the same manner each time and not the least requirement in making the interpretation was experience. The test methods varied from those utilizing a gram of coal to the plant-scale tests in which one or more ovens were charged with the test coal. The aim had been principally to find some simple, inexpensive means by which the coke-making and other properties of coal could be predicted. It is not necessary to emphasize the importance of these endeavors, for anyone acquainted with the problems involved in the selection of coals for making coke is well aware of the time and expense involved in making a series of definitive tests.

Jan 1, 1949

By G. R. Lane

A large opencast gold mining company in Africa had just completed a feasibility study for the expansion of the operations. A traditional net present value project valuation methodology had been used that showed a very positive net present value (NPV). The project team had conducted a qualitative risk assessment that identified and logged all potential project risks and had subjectively incorporated ?risk? via the discount rate and other assumption contingencies around gold price expectations, operating parameters etc. Management requested that an independent quantitative risk modelling approach be adopted to obtain a better understanding of the impact of risk on the overall project valuation and confidence level in the final valuation. A detailed project valuation model was configured in the Carbon Modelling Technology and the stochastic modelling module used to perform the Monte Carlo simulations. Analysis of historical operational performance data relating to actual achievements versus planned and budget determined the historical variability of the underlying parameters as well as variance to budget. This was done at a detailed level for mining rates and costs, processing rate, costs and recovery, and other operational efficiency measures. External market assumptions relating to gold price, exchange rate, and inflation were modelled and the dependency between them modelled using a copula. This case study will demonstrate the approach taken to building and populating the quantitative risk model and the overall results of the Monte Carlo simulation. The final valuation demonstrated that the project had a 44 percent probability of an NPV less than zero i.e. 44 percent chance of project finance loss.

Jan 1, 2012