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The optimum plant capacity for a new mine is usually based on empirical studies or ærules of thumbÆ, subject to confirmation by detailed scheduling of the proposed mining operation. The mining industry has a record of poor returns on investment and a high rate of project failure using these methods, with under-performance in grade being a common experience. The assumption that æeconomies of scaleÆ will result from increasing throughput rates needs to be balanced by an awareness of the adverse effects of increasing the rate beyond a level that issupportable by the resource. For each scale of operation considered, it is a reality that for any intended head grade, at the associated intended cut-off grade, the actual head grade achieved will fall as the mining rate increases. This effect is known to people at operations but is not recognised in current ore reserve estimation methodology. Once recognised, this dependency of head grade on mining rate can be quantified and used to establish the economically optimum mining and processing rate for a new project. A simple analysis is proposed, which may be extended to detailed spreadsheet modelling for financialoptimisation.

Jan 1, 2002

By E Ahern

In exchange for issuing minerals rights from the Crown Mineral Estate to explorers and miners, the Crown expects a æfair returnÆ on this investment, ultimately for the benefit of all New Zealanders. In the case of mining permits, this return is in the form of a tangible asset û royalties from mining activities. But for exploration activity, the return sought by the Crown is an intangible asset û information. The information obtained serves three purposes û in helping Crown Minerals to set work programme conditions during permit allocation, for monitoring the performance of permit holders in accordance with permit conditions, and for archiving and making available for future interested explorers and other parties. Difficulties can arise during the allocation and monitoring process when either party has more information than the other that is not shared. To date not enough emphasis has been placed on the intrinsic value and content of the information generated by explorers and the importance this information can have in the exploration process leading to new mineral discoveries. For attracting exploration investment, the quality and availability of such information, combined with other geoscientific data, is a fundamental determinant for potential explorers when choosing to explore in a global market, and strongly defines the mineral prospectivity for a country. This is something the Australian States and other jurisdictions seeking mineral investment learnt long ago, and who now provide substantial amounts of cheaply or freely available packaged geoscientific datasets, increasingly over the Internet. To have a vibrant mineral exploration industry so that the benefits from the mineral estate can be realised for all New Zealanders, a shift in emphasis to the value of its mineral information base itself is required. Such an approach is befitting of a true Knowledge Economy, and would enable the Crown to make better-informed decisions regarding utilisation of its natural resources.

Jan 1, 2002

By A Scott

Long before a modern mine commences operations it has already become a wealth of information. After start up, it can generate enormous quantities of data û especially with semi-automated data acquisition by instrumented mine equipment. However, much of this data is of limited use for evaluation of (potential) performance unless it links in some way to the site business model. An underlying reason for this waste of data is that the different cultures, financial, technical, community, environmental, etc not only have many areas of interest but also have very different conceptual models by which they evaluate performance. It is too ambitious to attempt to bring all of these cultures together û in a single step. However, the success of the Mine to MillTM project has demonstrated that substantial operational value can be added by using a more integrated approach to comminution. The next logical step is to integrate measurement and then to track performance from orebody model to saleable product and waste disposal. From resource to product also represents a path from very sparse, highly variable data to much more detailed measurement and more representative sampling. However, in both cases the data collected is strongly focused on the technical requirements û not on the business model. This paper considers how to define at least some of the key decision points in terms of some case studies. Performance data from many areas might be used to derive simple models which can then be used for forecasting and optimisation of planning.

Jan 1, 2002

The extent to which man's activities are influencing the earth's climate is subject to considerable debate. Internationally however, this debate has been put aside somewhat by the Kyoto Protocol. This international agreement is the political response to the threat of Global warming, predicated on the precautionary principle.NZ is seeking to be a leader in the Kyoto Protocol. Given our unique GHG emission profile and the structure of our economy, and the major uncertainties in both the science of climate change and the Kyoto Protocol itself, this desire to lead is absolutely inappropriate in this instance. We face a different, and often more severe, set of challenges in an economy that prices C emissions than virtually all of our trading partners. Unfortunately, these differences have not been reflected in climate change policy development to date. This represents a major threat to New Zealand's economy, wealth and jobs, particularly in the sectors that have been the core drivers of our economy over the last 20 years or so - agriculture, energy, primary processing. We do not, and should not, seek to avoid the issue but we must protect our economy and move with or follow our trading partners and competitors, not lead them.

Jan 1, 2002

The source and origins of the hydrothermal fluid of orogenic, or quartz-vein lode-gold deposits remain uncertain and disputed: Resolution would likely have a significant affect on exploration strategy. The gold-carrying fluid is interpreted to be a low-salinity mixed aqueous-carbonic fluid of near ambient pH and redox state, that may be derived either magmatically through crystallisation of granites at depth in the crust or through metamorphic reactions in a range of rock types. Classic isotope and geochemical tracers of fluid source have not differentiated these possibilities and have produced conflicting conclusions. Mass balance calculations show that fluid composition will be modified by wallrock reaction between source and deposit, and tracers should not be expected to give clear indications of fluid source. Fluid oxidation state can also be modified along flow paths. Tracers should be interpreted with care and with view to possible modification. Modelling of full flow paths and examination of the hydrothermal histories of proposed source rocks may be alternative approaches to determining fluid source.

Jan 1, 2002

By S Jokanovic

At New Zealand Steel MiningÆs Waikato North Head operation a Bucket Wheel Excavator û shiftable conveyor mining system is used to excavate titanomagnetite bearing sand and clay. The system utilises two Bucket Wheel Excavators and two Beltwagons with a two shiftable bench conveyors and two common trunk conveyors to deliver material to a processing plant. The original system was commissioned in 1984 as a high capacity, low cost method of excavating. In 1996 a second Beltwagon was purchased, increasing the flexibility of the mining system.

Jan 1, 2002

I would like to start by thanking The AusIMM and CSIRO for organising this excellent conference and inviting me to give a keynote address. Today I will focus on some broad observations of our industry, and leave the technical discussion to my colleagues who are presenting specific papers covering a wide range of topics. In preparation for this paper, I did a little research into the early history of the Pilbara iron ore industry. I was fascinated to read a quote attributed to Harry P Woodward, the Government Geologist in the late 19th century, before Federation. Mr Woodward described the Pilbara as an iron ore country and observed that æthere is enough to supply the whole world should the present sources be worked outÆ. Mr WoodwardÆs prediction could be viewed as wishful thinking and certainly at Hamersley Iron I would gladly envisage the Pilbara supplying the worldÆs entire iron ore needs! In reality, Western Australia accounted for 162 million tonnes or 36 per cent of seaborne trade in 2001. An impressive effort, but not quite the total world supply as Mr Woodward imagined. But we shouldnÆt dismiss these historical musings out of hand û perhaps we could see it as a challenge for the industry to æwork outÆ the present sources. We all know there is abundant iron ore in the Pilbara, and I expect it is only a matter of time until our collective technical expertise and sheer hard work will enable us to utilise its greater range of ore types. Opening up new markets will be a key pathway to creating additional value from the Pilbara ores. Today I will examine the state of play of our industry and the major influences that shape our business at present, before considering what the future might hold for us. I canÆt guarantee the accuracy of my crystal ball, but the stability and long-term nature of our industry does enable some reasonable hypotheses on where we are heading. I will also spend some time examining the way in which the iron ore producers are working to maximise the value of their resource base and obtain more from their existing capital assets.

Jan 1, 2002

By D Craw, K A. Hunter

Deposits of the metalloids arsenic and antimony occur in quartz veins of mesothermal hydrothermalsystems in the South Island as arsenopyrite (AsFeS) and stibnite (Sb2S3). Arsenopyrite and stibnite occur in natural exposures in gold-mining areas, and additional arsenopyrite and stibnite have been exposed to the atmosphere by mining activity. At present the drinking water limits for dissolved As and Sb are 10 ppb and 3 ppb respectively. Sampling and analysis techniques are critical to determination of metalloid concentrations at these low levels. Endeavour Inlet in the Marlborough Sounds is an historic mining area (late 19th Century) with elevated As and Sb in waters emanating from mineralised rocks. Waters running out of abandoned adits have concentrations of As and/or Sb up to ppm levels. Natural waters have high Sb and low As, and the As levels increase markedly where anthropogenic activity has exposed rock. Changes in Sb/As ratio could potentially be used to quantify the anthropogenic component of metalloid mobility on mine sites on the 100-year time scale.

Jan 1, 2002

Cleaner Production stands for a proactive and preventive approach to industrial environmental management and aims for process- and/or product-integrated solutions that are both ecologically and economically efficient (æeco-efficiencyÆ). Pioneers in the field were large manufacturing and processing industries in the USA (since the late-1970s), but it took until the early-1990s before Cleaner Production was generally recognised as a valuable approach for large and medium sized enterprises. The application of Cleaner Production in mining and minerals, metals and energy production appears to lag behind other sectors, such as manufacturing and processing. This paper starts with a discussion of the Cleaner Production concept and provides examples of its application from a few selected Australian mining and minerals processing industries. This evidences that Cleaner Production can achieve significant reductions in environmental impact, in terms of reduced waste and emission generation and in terms of conservation of materials, energy and water, while simultaneously reducing operating costs. The paper then investigates a number of key issues pertaining to the implementation of Cleaner Production; ie organisation and management of Cleaner Production activities, effective tools for mastering the Cleaner Production concept as a way of life, and performance measurement.

Jan 1, 2002

By T F. McConachy, B I. A McInnes, R A. Binns

Within the last decade, major research discoveries have been made in the submarine realm of magmatic and hydrothermal activity of arc-backarc systems in the southwestern Pacific. These include identification of numerous particulate-poor, gas-rich (CO2-CH4) hydrothermal plumes emanating from arc front volcanoes, actively forming porphyry-copper-gold style mineralisation, and new backarc spreading systems erupting alkali basalt-trachyandesite magmas. Major goals of these studies have been identification of modern analogs to ancient volcanogenic massive sulfide ore bodies, and quantification of the volatile fluxes though supra-subduction zone systems.

Jan 1, 2002

By C S. Szentesy, K Howie

The Rosia Montana gold deposit is located within the æGolden QuadrilateralÆ area in the Apuseni Mountains of Transylvania, Romania. The deposit is situated approximately 85 kilometres north of the regional centre of Deva, within the province of Alba, at elevations of up to 1100 metres above sea level. The Rosia Montana deposit contains a current resource of 344.07 million tonnes at an average grade of 1.3 grams per tonne (g/t) gold (Au) and 6.0 g/t silver (Ag) for a total (measured, indicated and inferred) contained resource of 14.29 million ounces of gold and 67.00 million ounces of silver. The resource was calculated using a 0.6g/t Au cut-off, a 10 x 10 x 10 metre block size and multiple indicator kriging. The low sulfidation style epithermal mineralisation at Rosia Montana is hosted within Tertiary age dacite intrusions and related vent breccias. Mineralisation is generally disseminated and associated with silica, adularia, illite, pyrite and carbonate alteration of host rocks, with minor late carbonate-base metal veins. Precipitation of precious metals is generally considered to have occurred as a result of over-pressurization, boiling and subsequent brecciation. The dacite intrusions are hosted in Cretaceous shallow marine and deltaic shales and slates, which overlie older Paleozoic sedimentary and metamorphic rocks within uplifted sections of oceanic sea floor.

Jan 1, 2002

By R Billingham

QueenslandÆs new safety legislation for metalliferous and coal mining (Mining and Quarrying Safety and Health Act 1999 and Coal Mining Safety and Health Act 1999, together with the Regulations) came into effect on 16 March 2001. The legislation places clear obligations on mine owners, operators and workers to have a safe place of work and to manage risks to safety and health. It also places obligations on contractors, designers and providers of services. The legislation is non-prescriptive in that it states what outcomes must be achieved and not what must be done. The key issue is that the risk of injury to people must be at an acceptable level. The legislation creates a Mines Inspectorate with powers of inspection and audit of mines, their safety management systems and the management of risks. Auditing of the risk management process is carried out against standard risk management techniques and directives for corrective action may be issued when audits reveal non-compliance or unacceptable levels of risk.

Jan 1, 2002

By E Hollinger, J L. Mauk

Gold-silver mineralised veins at Favona, represent a new low-sulfidation epithermal vein discovery that occurs less than 1 km southeast of the world-class Waihi deposit. The Favona vein is hosted in Late Miocene andesitic lava flows and local dacitic tuffs that are intensely altered to quartz, adularia, chlorite, illite or interstratified illite-smectite (with ten to 70 per cent smectite) and pyrite. Adularia is widespread and envelops the veins, whereas chlorite and illite are mostly restricted to the footwall, and illite-smectite is confined to the hanging wall of the Favona vein. At shallow levels, kaolinite, cristobalite and rare alunite overprint the above minerals. A polymict hydrothermal breccia also occurs above and in the hanging wall of the Favona vein and contains clasts of altered andesite and various quartz vein fragments. Fluid inclusions in quartz veins sampled over a 300 m vertical interval have a homogenisation temperature range of 175¦ to 266¦C and dilute apparent salinities of 220¦C and grading into illite-smectite and local smectite which formed at 2. In contrast, late kaolinite, cristobalite and alunite formed from descending steam-heated acid-sulfate waters. Overall, the Favona and Waihi deposits are interpreted to have formed at similar levels in a single low relief hydrothermal system, with each deposit representing a distinct zone of fluid upflow.

Jan 1, 2002

By T E. Norgate

Salinity in Australia is caused by over irrigation and land clearing for agricultural use over the last 100 years. It is now the biggest threat to the quality of land and water in the Murray Darling Basin and Western Australia. Pumping the saline waters straight into the ocean or transporting the solid residue (mainly sodium chloride) to the ocean after evaporation of the water is expected to cost the taxpayer millions of dollars every year. This paper proposes that the salinity problem of Australia, at least in part, can be converted to an asset rather than a liability if it is exploited and used to make value-added products. The more value made out of saline waters, the more saline water is processed and therefore the more salt is extracted from the land. The value-added products that can be made out of saline waters are numerous and diverse. Rough calculations show that value addition to the saline waters could potentially generate up to $A 200 million per annum business in the Murray-Darling Basin. Although it is a challenge to make cost competitive products and find markets for these products it is possible that up to $A 100 million per year may be gained from import substitution. Value addition to salinity would also reduce the threat on the environment and existing agricultural industry. Investment to add value to salinity will create business in the region, nurture the local small population communities, and increase services and long-term employment.

Jan 1, 2002

The Department of Mineral Resources has a statutory responsibility for mine site environmental management and control in New South Wales. The Department is focusing on an environmental management systems (EMS) approach, as a management tool to achieve æbest practiceÆ outcomes both within our own organisation and on mine sites. One of the DepartmentÆs tools is environmental risk assessment and management which incorporates the Mining, Rehabilitation and Environmental Management Process (MREMP). The MREMP was introduced many years ago in order to integrate the activities of key stakeholders who may have a material interest in the mine. The MREMP provides an ideal mechanism by which ædue diligenceÆ requirements and environmental management programs can be integrated into mining operations and lead to a sustainable post-mining land use.

Jan 1, 2002

By W J. Rankin

Metals are well suited to sustainable development goals. They are not biodegradable and have virtually an unlimited lifespan and the potential for unlimited recyclability. Thus metals can be considered as renewable materials. However mineral resources, the source of primary metals, are ænon-renewableÆ as their supply is finite, but this does not necessarily mean scarcity. In this paper the results from a series of Life Cycle Assessments of primary metal production processes for copper, nickel, lead, zinc, aluminium and steel have been used to examine how metals may contribute to societyÆs transition to sustainable development. Particular issues considered include:current metal reserves and how these may change in the future; some of the environmental impacts (Total Energy, Global Warming Potential and Acidification Potential) associated with primary metal production and how they will be exacerbated by declining ore grades; new processing technologies with lower energy consumptions and improved metal extraction efficiencies that will reduce reserve depletion and environmental impacts; increasing the utilisation of æmetals in useÆ by recycling, with particular reference to aluminium; and the potential impact of a carbon tax on metal prices and how this may influence the ways in which metals are used in the future.

Jan 1, 2002

By F R. M Pires, Y Hasui, A Schrank

The iron ores of Alegria mine are composed of itabirites enclosing minor bodies of high-grade ores. The itabirites are classified according to mineralogical composition in five types: martite-rich, goethite-rich, specularite-rich, magnetite-rich and anphibolite-rich ores. The hematites are martite-rich, magnetite-rich, specularite-rich and more rarely, amphibolite-rich. Other classification criteria of the ores are based on the physical properties and the degree of compaction. As such, the itabirites and hematites can be classified as hard, friable and soft types. The mineralogical/textural evolution of the ores is linked to the pressure and temperature conditions that accompanied the tectonic processes in anphibolite facies and the different degrees of subsequent surficial weathering processes. Petrographic and microstructural studies indicate that the magnetite and amphibole bearing itabirites represent the parent rocks that created the other itabirites and that the specularite itabirites and the hard martite types are related to silica dissolution and redeposition in zones of high and low strain. Most of itabirites ores correspond to chert oxide facies banded iron formation, except the goethite and amphibole bearing itabirite that resemble a silicate or oxide-silicate facies with minor carbonate impurities. The great mass and pods of soft martite itabirites are probably shaley oxide facies BIFs with little volcanic contribution. Trace element contents of the AlegriaÆs itabirites show strong dissimilarities with BIFs associated with volcanism (Algoma type), but closely ressemble to the Lake Superior type, with high content in Cr, Co and low V, Ni, Cu and Zn. Although the absolute contents of REE present in the AlegriaÆs itabirites are, in general very low, the pattern when normalised by NASC is similar to the great majority of the Archean and Paleoproterozoic BIFs elsewhere in the world, and characterised by positive Eu anomaly.

Jan 1, 2002

Timely disclosure of information germane to the taking of investment decisions makes an essential contribution to ensuring the growth, efficiency and integrity of our capital markets. It is a core contributor to the maintenance of fair, orderly and transparent markets. Australia has a strategic need to protect and enhance market integrity. Australia is ranked tenth in the Morgan Stanley Capital International (MSCI) World Index, yet represents only 1.59 per cent of that Index. In order to survive and grow in this globally competitive environment, Australian capital markets û the drivers for economic activity in Australia û need to attract foreign investment and engage retail capital. The communication of relevant and comprehensible information to the investor plays a vital part in fostering investor confidence, thereby building depth and liquidity in our market. We have had a rewarding partnership with the mining industry to develop and recognise reporting standards which could allow ready comparability and investor understanding of the mining investment vehicle. Our mining market has been successful because of the high standards of professionalism and the intellectual capital that has been built up among the participants û the mining professionals, brokers, analysts, mining investors, professional advisers and the market operator. The balance of knowledge and understanding among these participants combined with the competition for capital, contributes to the standards for our mining market in a way that the market operator simply cannot replicate by market rules alone.

Jan 1, 2002

By C C. Souza, S C. Amarante, A C. Arauj

All major companies now producing iron ore in Brazil currently employ or are planning to employ some sort of concentration method to upgrade their fine sized products (sinter feed fines and pellet feed fines). The criteria for the selection of the most suitable concentration method for each application include a series of parameters; the most important among them being related to ore mineralogy. This paper reviews the concentration operations currently employed in Brazil and shows how ore mineralogy plays a fundamental role in the selection of a given method. Examples involving gravity concentration (jigs and spirals), magnetic separation (Rare Earth wet drums, ferrous wheel, and Jones type magnetic separators) and flotation (especially column flotation) are discussed. Fundamentally important for the selection of a concentration method is the mineralogy of iron-bearing minerals and gangue minerals presented to the feed to the concentration unit operation. For instance, the presence of liberated quartz as the major gangue mineral for a pellet feed size stream generally indicates that flotation will be the best selection for the concentration of that stream. However, even if magnetite is present only in the form of crystal relicts within hematite grains, it may lead to the selection of either magnetic separation alone or a combination of magnetic separation and flotation for concentrating such material. Presence of gibbsite and/or kaolinite as the major phase containing alumina will also affect the selection of the concentration method in all cases. Again for the case of pellet feed size streams, kaolinite does not interfere with flotation whereas gibbsite tends to contaminate flotation concentrate (pellet feed fines) as it is depressed together with iron oxides and hydroxides during the reverse cationic flotation process.

Jan 1, 2002

By I Thin, I Sheppard

Resin encapsulated rock bolting practices have been adopted by Mount Isa Mines since the early-1980s. Fully encapsulated rock bolt systems meet designated requirements for long-term ground support in the mines. A variety of rock bolts, resins and installation methods have been utilised over this period in underground mining. As a parallel to this evolving application, Mount Isa Mines have tested various resin encapsulated rock bolt systems. Testing has included routine underground pull testing and the development and implementation of the push test for the entire encapsulated bolt length. The latter test enables a greater understanding and representation to be had of the overall mixing, level of encapsulation and capacity of the system. Rock mechanics at Mount Isa Mines undertake evaluation of new bolt systems that become available, in addition to the maintenance of compliance with quality control measures for the existing systems. Improved methods of installation and systems are also investigated to further the cost-effective nature and minimise risks associated with resin rock bolt practices.

Jan 1, 2002