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In the UK during the 1990s the energy companies had developed a policy of æDash for GasÆ, building large natural gas power stations to produce more than 30 per cent of the UKÆs electricity demand. The price of imported thermal coal was dropping and the electricity generators were putting pressure on the UK coal producers to produce coal at a reduced cost. Imported coal from Columbia, South Africa, America and Australasia had increased their market share in thermal coal sales to over 50 per cent of a 55 Mtpa market. The pressure on the UK coal industry to reduce costs and improve productivity levels from an ever decreasing resource was high. Companies were benchmarking their operations on the imported coal producers and had to realign their organisations, productivity levels and costs to world best practice, not just technically, but in world class organisational management techniques.

Jan 1, 2005

By D Cork, R Peet

"Methane is a signifi cant greenhouse gas. Methane is released from coal seams during the mining process, both in surface and underground operations. This uncontrolled release is termed æfugitive emissionsÆ and in underground mines is transferred to the atmosphere in ventilation air, known as ventilation air methane (VAM). The global VAM emissions are over 369 Mt of CO2-e/a (Butler, 2011; US EPA, 2010). Coal mines may abate this VAM or consider abatement should there be a price on carbon. These fugitive emissions are heading towards ten per cent of AustraliaÆs emissions by 2020 (Department of Climate Change, 2011).There are safety issues involved in VAM destruction. Due to the nature of coal, and coalextraction, unpredicted methane spikes above the lower-explosive-limit (LEL) can occur in theventilation air; for example outburst events or ventilation failure. This could lead to a mine fi re ifthe mine ventilation air was connected to a VAM abatement plant and the risks are left unmitigated.CorkyÆs is working with the mining industry to directly address these safety issues. CorkyÆs calltheir technology VAM RAB, which stands for ventilation air methane regenerative afterburner(VAM RAB). VAM RAB utilises the principles of a thermal oxidiser.This paper discusses fi ve independent layers of protection (ILPs) to fi rst stop methane reachingthe thermal oxidiser and secondly prevent the fl ame front from burning away from the VAMRAB. The test work completed or contemplated includes safety integrity level (SIL) assignmentto various vents, barriers and door systems to prevent a fl ammable mixture reaching the VAMRAB, proven rapid response methane monitoring sourced from the petrochemical industry, anddefl agration experiments to test the eff ectiveness of the passive geometry and active engineeringcontrols. These experiments and SIL assessments indicate that it is possible to safely connect theVAM RAB to a working coal mine.Further work is required to upscale the pilot safety work. Refi nement to the design is possible;for example improvement to safety duct controls once trialled at demonstration scale plus thermalenergy capture for power generation or other applications to provide heat. Nevertheless, thispaper shows how safety issues can be managed by a multilayer of protection approach usingvents, barriers and doors, and appropriate thermal oxidiser geometry."

Jun 1, 2012

By J Coombes, R Sterk

The efficiency of the Australian and New Zealand stock exchanges relies on a fully informed market: shareholders and investors are fully and transparently informed of all material information relating to the shares. These principles of transparency and materiality are similarly core to the Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves (the JORC Code). The JORC (Joint Ore Reserves Committee) Code also includes a principle of competency to ensure that the person providing the material information for public disclosure is suitably qualified and experienced.Since its inclusion into the ASX (Australian Securities Exchange) Listing rules in 1989, the JORC Code has continually improved and evolved in attempts to meet the market’s need for competent, transparent and informed disclosure. The quality and effectiveness of Public Reporting in accordance with the JORC Code is under constant challenge: some practitioners argue there is insufficient regulation, while others argue the need for greater self-regulation.This paper contributes to that discourse by exploring how well the Reporting expectations are met, and, whether Public Reporting in accordance with the JORC Code has a material impact on share-price movement.CITATION:Sterk, R and Coombes, J, 2017. Public reporting – new standards or no standards?, in Proceedings Tenth International Mining Geology Conference 2017, pp 423–432 (The Australasian Institute of Mining and Metallurgy: Melbourne).

Sep 20, 2017

People in the work environment (and often elsewhere) are seen as a commodity (we use them for our purposes).The general accepted view of a Company is that shareholders are "The Company" and that they employ people to utilise their money in a particular field to generate more money to give a return on investment. To achieve this, capital equipment is purchased to fulfil a task and people are employed to use this equipment. Equipment and people are commodities purchased with money.The focus of this approach is MONEY. The equipment and people, and the use of them, determines the amount of money that can be generated. In this approach people are motivated by financial concerns. The harder the times the more money becomes the focus.

Jan 1, 1998

By L I. Rozman

"There have always been development projects that fall short of expectations. In the last decade, we have seen more than the usual number of mining and oil/gas development projects taking significantly longer to develop and costing materially more than expected. The recent resource-equity market slump proves that investors are now far more cautious about investing new capital in the mineral and petroleum resources sector.What have we learned since 2005? Why have projects missed their targets? Why do investors often feel misled?Valuation of a project and the estimation of value is a more complex process than the evaluation of the merits of project development. The merit of project development can be clear from a prefeasibility evaluation, but this is no reason to skip the rigour of a feasibility study. The valuation of any project that is developed with any added risk should be discounted for this added risk.The development of a project impacts on other stakeholders, and the indirect cost of these impacts can have material implications for the cost structure, time and ultimate valuation of the project for its financial backers. The development of new projects (and thereby supply) can also have an impact on commodity prices, and therefore an impact on returns for financial backers.This paper will provide commentary on the author’s experiences and observations as a project developer and operator for 25 years, before becoming a project financier a decade ago.CITATION:Rozman, L I, 2016. Project evaluation and valuation – an investor’s golden rule, in Proceedings Project Evaluation 2016, pp 31–36 (The Australasian Institute of Mining and Metallurgy: Melbourne)."

Mar 8, 2016

By L A. Balzan, F Nieuwenhuys

GEOSCAN on belt analysers have been widely utilised in iron ore for nearly two decades. Since the first installations in 2003, the availability of accurate and reliable grade data has become standardised across iron ore mines in the Northern Cape in South Africa, where various streams are monitored continuously to ensure the optimal functioning of plants. Assmang Khumani has been at the forefront of technology adoption, and has implemented 19 GEOSCANs at various locations throughout the plant, monitoring run-of-mine, stockyard feed, beneficiation plant feeds, and products. Over the years, collaborative advances in the technology have allowed for numerous benefits and gains to be made. In recent times, there has been a concerted effort on the development of analysis for phosphorus in the material flows, and based on Scantech’s experience in the phosphate industry, this element has now been calibrated to achieve statistically acceptable and repeatable accuracies for real time analysis of this element on many of Khumani’s GEOSCAN analysers. This paper provides an overview of GEOSCAN use at Khumani, while focusing on the development of phosphorus analysis. A case study of analysis results is presented for a range of analysers that have been calibrated for this element, as well as a discussion on the benefits obtained as a result of this analysis.

Nov 8, 2021

By A De, B Palmer, rade, P Stowasser, A Fanning

Mining and tunnelling share many commonalities (eg confined working environments, excavation equipment and processes), but of significance is an overarching commitment to provide safe work conditions and environments. This includes reducing exposure to hazardous airborne contaminants such as dust and fumes, in particular Respirable Crystalline Silica (RCS) and Diesel Particulate Matter (DPM), with methods that are environmentally sustainable. In mining, wet methods are common to suppress airborne contaminants, however these methods are reliant on water availability, can be less effective for respirable dust, can have implications for environmental water contamination and can increase maintenance on mining equipment. In contrast, the use of dust scrubbers that provide filtration of airborne contaminants are well established in the tunnelling industry and frequently used to provide spot extraction (dust control at the source) and act often as a complement to the main ventilation system. This paper sought to learn more about the advancements in tunnelling that could be readily applied to mining to improve health outcomes. The paper includes a review of literature and legislation related to health and sustainability and interviews with three respected, and experienced managers from the global tunnel construction industry. It is from these interviews that the focus of the paper turns to Sydney’s WestConnex underground tunnel network and the success of stage 3A M4-M5 construction link. The findings position dust scrubbers as integral to the overall project success as they enabled a Tunnel Production Line (TPL), where multiple stages of construction could take place simultaneously by controlling high volumes of dust at the source. The findings also suggest efficiencies of using mobile scrubbers, both track mounted and hydraulic stepping systems, to accompany road headers and other equipment throughout the excavation process. The findings have transferable applications to underground mining processes in which workers are exposed to high volumes of dust (eg drill and blast) or situations in which dust control at the source, mobility and flexibility offer value (eg room and pillar mining).

Apr 16, 2024

By G Lane

This paper discusses the factors that contribute to the cost effective design of a concentrator. Concentrator design and layout outcomes are functions of the team (engineer’s and owner’s) participating in each particular project. The benchmark for relatively modest projects was set in the 1980s and 1990s during the ‘gold boom’ when numerous cost effective plants were designed and constructed on a lump sum basis in a very competitive market. A number of factors contribute to lack of transference of the lessons learnt in gold plant design to concentrator design including established paradigms in the design and layout of concentrators, lack of experience in cost effective design, operator’s preferences for flowsheet and layout and simple lack of appreciation of the impact of plant footprint on materials quantities and resultant capital costs.Experiences with recent copper concentrator projects (both small and large) are used as case studies.

Aug 8, 2011

By P Bartsch

Uranium solvent extraction, USX has been applied commercially for recovery and concentration for over 50 years. Uranium in acidic liquor, which is prepared following ore leaching, solid/liquid separation and clarification, can be treated through a sequence of operations; extraction-scrubbing-stripping, to obtain purified liquor. USX has dominated the primary uranium industry as the preferred technological route to converter grade yellowcake. The practices of design and operation of USX facilities has found renewed interest as new mines are developed following decades of industry dormancy. This article seeks to outline principles of design and operation from the practitioner’s perspective. The discussion also reviews historical developments of USX applications and highlights recent innovations. This review is hoped to provide guidance for technical personnel who wish to learn more about good practices that leads to reliable USX performance.

Aug 8, 2011

By P J. Harper

Maximising shareholder value is a widely stated strategic goal of many mining companies. Mining projects can be capital intensive and achieving good returns is essential to encourage future investment in the industry. Despite the widely accepted importance of shareholder value, the minerals industry is often accused of providing relatively poor returns when compared to other industries. There are many recent and well publicised examples of minerals companies that have failed to deliver value to their shareholders. There are numerous business improvement initiatives employed within the mining industry to assist mine operators improve performance. Some are more effective at creating value than others. Benchmarking is one technique that is commonly used to identify performance gaps and target and prioritise opportunities for improvement. However to be effective, Benchmarking must be used appropriately and result in actions that lead to measurable operational improvement. When conducting a Benchmarking project it is important to remember that the aim should be to improve value. For this to be achieved, the strategic goals must be incorporated into the process. This paper details a structured and comprehensive approach to conducting a successful Benchmarking project. Focusing on Benchmarking as a technique for measuring and improving operational performance in underground mines, the underlying drivers of best practice in underground mining are identified.

Jan 1, 2005

By C Dick

Over the past three decades, mining operations have seen a significant increase in the use of contractors for mining, camp management and catering, recruitment, maintenance, power management, and commissioning. More recently contractors have been engaged for stores and logistics, OH&S, environmental, exploration, training etc. In some countries, such as South Africa, the trend is towards total outsourcing of all aspects of a mining operation which is coordinated by the owners’ management team.During the Global Financial Crisis (GFC) more Australian companies considered and/or took on this approach to recruiting for both projects and operations as mining companies were forced to rethink their corporate strategies as commodity prices plummeted to low levels, pushing operations and projects into potentially financially unviable territory.This paper discusses the labour recruitment, commissioning and operating strategy of Western Areas NL (WSA), with the assistance of Independent Metallurgical Operations Pty Ltd (IMO), as it progressed construction, commissioning and operation of the Cosmic Boy nickel concentrator at the Forrestania Nickel Project during and post GFC. The use of IMO contractors allowed Western Areas to mitigate labour cost risk during the uncertainty caused by the GFC and let their management team focus on the task of bringing a new operation into viable and profitable production.

Aug 8, 2011

By P B. Swart, P D. Erskine

Despite an increasing focus by media, communities and activists driving an elevated regulatory focus in Australia and indeed some other mining jurisdictions, the mining industry globally has had limited successful mine lease relinquishments and transfers to support a next land use.Critique from anti-mining lobbyists frequently uses the large estimates from historically abandoned mine sites to influence risk-averse regulatory reforms to improve environmental performance. The mine rehabilitation regulatory processes in Australia, and specifically in the State of Queensland, are thus largely in place to prevent mining operators from abandoning their obligations.Regulatory responses to the lack of mine rehabilitation and closure performance in the last five to ten years have primarily focussed on compliance and enforcement of rehabilitation conditions in environmental approvals. Additionally, financial assurance measures have been tightened to protect against abandonment of rehabilitation obligations by the Industry, including the Chain of Responsibility legislation (Queensland Government, 2016b) in April 2016, to hold to account those who have benefitted from mining and processing/refining projects, and then avoid their environmental obligations.CITATION:Swart, P B and Erskine, P D, 2018. Are our closure planning and regulatory processes adequate to identify, quantify and appropriately transfer residual risks after successful mine rehabilitation?, in Proceedings Life-of-Mine 2018, pp 155–158 (The Australasian Institute of Mining and Metallurgy: Melbourne).

Jul 25, 2018

By J Harris, M Shi, S Vink, P A. Kirsch

Across the life-of-mine, water is both an essential commodity to mining, and one of the most significant hazards. In Australia, a land of drought and floods, availability of water is a critical strategic risk for mine sites and neighbouring stakeholders, with both insufficient water leading to curtailed operations and contested space, and extreme water closing operations through flooding of mine sites, transportation infrastructure and unplanned regulatory restrictions. In addition to these major strategic risks, water must be addressed in operational risk management activities in many different ways.This paper develops a set of categories for classification of water risks based on academic papers from the water in mining literature. These categories are applied to media content analysis of articles in International Longwall News (ILN) (an online coal industry news site) obtained with the search terms ‘water’, ‘rain’ and ‘flood’. Identified risks are discussed within the context of the life-of-mine. The paper uses these same categories to analyse the treatment of water risks in a new coal industry risk management body of knowledge called RISKGATE (http://www.riskgate.org, Minerals Industry Safety and Health Centre, The University of Queensland). The discussion of water risks in both INL and RISKGATE is compared and contrasted to pinpoint opportunities (and a roadmap) for further development of a specific RISKGATE water module for site-based operations. The media review also identifies areas for development of RISKGATE expansion topic(s) that would address other strategic water risks, eg severe weather events.CITATION:Shi, M, Kirsch, P A, Vink, S and Harris, J, ?2014. Water as risk in mining – media analysis and the RISKGATE body of knowledge, in Proceedings Life-of-Mine 2014 , pp 205–218 (The Australasian Institute of Mining and Metallurgy: Melbourne).

Jul 16, 2014

By M Olsen

"Segregation of conveyor roadways is a ventilation practice that is being increasingly applied in Australia. It is largely driven by the legislated requirements in Queensland pertaining to separation of escapeways from the mine. This legal requirement was based on a recommendation from the Moura No. 2 WardenÆs Inquiry (Windridge, 1996) into the mine disaster that claimed 11 lives. The report recommended: ... the introduction of a requirement for all underground mines to have one intake airway that is completely segregated from other parallel intake airways so as to provide two separate means of egress from the mine via an intake airway.This recommendation seeks to assist mine workers in escape from a mine after a fire by providing them with an airway that is free from smoke or contaminants.The concept of an airway being æcompletely segregatedÆ is an ideal that is challenging to implement in practice when considering the effect of leakage. The practice of belt segregation is concerned with the potential for fires in the belt roadway although there are numerous other potential fire sources in underground coal mines. A review of segregation practices has been conducted applying ventilation engineering principles. Four different scenarios have been analysed with regard to the effectiveness of the segregation stoppings in preventing potential fire contaminants migrating to other parts of the mine. The results show that in some cases the benefits of segregation to a person evacuating a mine in the event of a fire range from beneficial to detrimental. This is influenced by many factors including the location of that individual in that particular mine. There is room for improvement in the design and implementation of escapeways in underground coal mines. Escapeways need to be planned and designated with regard to the potential sources of fire, pressure differentials between escapeways and the operational practicalities of maintaining the pressure differential between them.CITATION:Olsen, M, 2013. Belt road segregation and escapeways - Compliance or risk management?, in Proceedings The Australian Mine Ventilation Conference, pp 311-318 (The Australasian Institute of Mining and Metallurgy: Melbourne)."

Jul 1, 2013

By D Hope, D K. Mukhopadhyay, J D. Harvey

South32 (S32), a globally diversified mining and metals company, is listed on securities exchanges around the world (ASX, JSE, LSE), with its primary listing being on the Australian Securities Exchange (ASX). Chapter 5 of the ASX Listing Rules (Australian Securities Exchange (ASX), 2019b) requires a mining entity to provide a summary of governance arrangements and internal controls with respect to its estimation processes, estimates and reporting of Mineral Resources and Ore Reserves annually. As a global company, it is also important to design and implement all governance processes and internal controls which can be used consistently across the organisation. The three lines model (previously known as the ‘three lines of defense’ model) is employed across South32 to manage risk where the first line (Practitioners) designs, implements and executes processes and controls to manage risk; the second line (Stewardship) identifies material gaps and improvement opportunities in the first line by monitoring conformance with the group requirements, legislative and regulatory obligations. Second line also assists with the development and improvement of core fundamentals based on industry good practise. The third line (Group Assurance) provides independent and objective assurance over the Group’s system of risk management and control. The estimation of resources and reserves for most of the operations within South32 is managed by the Planning function. The estimation process is part of the annual Life of Operation Plan (LoOP). The LoOP identifies and assesses the strategic alternatives for the development of an operation and recommends the preferred pathway based on value and risk. The LoOP starts with opportunity framing and the updated resources as an input and ends with the short-term plan and annual budget (the outputs). Ore Reserves estimates are one of the outputs from the LoOP. All the inputs and outputs follow internal standards and procedures which includes peer review and performance reconciliation. Stewardship (Second line) which is a centralised function has standards in place to ensure compliance to internal controls and external regulatory requirements. This includes assessment of the competence of Competent Persons, technical reviews, independent audits and training in the relevant chapters of the ASX Listing Rules, Guidance Notes and Appendices. Group Assurance (Third line) which reports to the Risk and Audit Committee of the Board of Directors ensures the design and operating effectiveness of the processes, standards and procedures associated with the estimation and reporting of resources and reserves. While the level of scrutiny has a different intent for each line in the three lines model, the overall purpose is to achieve a consistent outcome across the organisation

May 24, 2023

By I Sucholutsky, D M. First, D Mogilny, F Yusufali

Machine learning is creating value in all facets of the mining industry, from exploration to production. The authors provide an accessible, high-level introduction to artificial intelligence (AI), machine learning (ML), and deep learning (DL); the latter being widely recognised as one of the most powerful forms of ML. In particular, the authors will introduce deep learning models known as convolutional neural networks (CNNs), how they are applied, and the economic considerations necessary for determining when DL may be the right solution to de-risking complex block modelling problems. The authors present preliminary results from the mineral resource modelling study of the Jundee orogenic gold deposit, Yandal belt/gold province, Western Australia. The primary goal was to identify the direction and location of the narrow gold veins more accurately and demonstrate how non-linearly correlated elements are used as direct inputs to the resource model to assist with the target element’s grade prediction. This demonstrates that: (1) existing techniques for finding correlations between assayed elements do not adequately reflect the complex geology of the asset, (2) nonlinear correlations that are difficult to model as simple mathematical functions are representative of geological patterns in a deposit, and (3) non-linearly correlated assayed data, fed as inputs, increase the performance of the resource model as reconciled through blind tests. To conclude, the authors hypothesise that the patterns represented by the DL block models may be revealing the results of overprinting geological processes that generated mineral deposits. For example, the primary hydrothermal processes that deposited metals created depositional patterns that become particularly complex as a result of being overprinted, in part or in whole, by secondary physicochemical processes. This may explain why non-linear geochemical relationships have the capacity to generate more accurate block models of mineral deposits.

May 24, 2023

By W J. Shaw

Mining operations must become more predictable to overcome the volatility that has characterised the mining industry. Comparisons of production against predictions will become more consistent as mining operations merge and expand, as personnel move from site to site, and as public reporting of reconciliations becomes more prevalent. More consistent approaches are already being seen in the industry using the terminology used in this paper and elsewhere.Examples are provided that show how use of the waterfall chart as a reconciliation management tool can provide objective analysis to improve practices.Geometallurgical modelling is becoming more useful and will continue to do so as we move from a few bulk samples to better interpretation of material properties from geological mapping and drill sampling. Reconciliation has evolved to the stage where predictions of geometallurgical properties to optimise mill performance, and of geotechnical properties derived from better 3D geological models, should also be reconciled.CITATION:Shaw, W J, 2014. Reconciliation – outcomes and expectations, in Proceedings Ninth International Mining Geology Conference 2014 , pp 123–128 (The Australasian Institute of Mining and Metallurgy: Melbourne).

Aug 18, 2014

By T Goswami, G Brent

In response to concerns over greenhouse gas (GHG) emissions and an imposed cost in some jurisdictions, many mining houses have committed to reductions in their GHG emissions. However, mining faces particular challenges in this regard, notably from increasing strip ratios. Furthermore, mining activity around the globe is not expected to decrease in the foreseeable future as mineral demand is driven up by the aspirations of rapidly-developing nations. Novel approaches will thus be needed if any reductions in energy consumption and GHG emissions of mining are to be achieved.This paper presents some directions for the mining industry to pursue in reducing their GHG impact, focusing on the difference that blasting methods can make. Importantly, large productivity and revenue gains can also be realised from these methods.Key directions considered here include optimising resource recovery and quality through:reducing coal damage and loss from throw blastingrecovering thin coal seamsproducing cleaner coal with less dilution.Blast design can also significantly improve the productivity of surface mining by:improving muck pile shapingimproving mine equipment productivityimproving scheduling.We show how a particular blasting method can eliminate coal loss in overburden throw blasting and can lead to large increases in coalmine profitability. Thin seams that were previously wasted can also be recovered with this method. Furthermore, the method has been implemented to combine several separate drill and blast cycles into a single cycle, leading to productivity gains.An illustrative example is given to show how increased coal recovery can increase revenues and more than offset any potential GHG emissions liabilities. Overall mine energy and GHG emission intensities can thus be reduced.CITATION:Goswami, T and Brent, G, 2015. Blasting approaches to increase mine productivity and reduce greenhouse gas emissions in surface coal mining, in Proceedings 11th International Symposium on Rock Fragmentation by Blasting, pp 635–644 (The Australasian Institute of Mining and Metallurgy: Melbourne).

Aug 24, 2015

By H Arvidson, V Chamberlain, J Joughin, N Pollock, F Cessford, T Flitton, T Rowl

Environmental, social and governance issues (ESG) have become a defining feature in the marketplace to differentiate preferred investments. With the sustainability commitment and reporting landscape anticipated to evolve exponentially, it is now imperative to rapidly develop the approach taken by mineral companies to adequately identify and address ESG risks and opportunities in the reporting of Mineral Resource and Mineral Reserve (MRMR). MRMR cannot be effectively reported as technically and financially assured and realistically executable, if ESG is not integrated into the strategy, business model, input assumptions and process that defines and drives robust MRMR public reporting. Regulatory reporting codes across the globe are presently in various stages of being updated and modified to ensure ESG factors are appropriately covered as a key part of diligent and transparent disclosure. Security exchanges are making it clear that companies must not omit ESG risks from reports to investors. This paper discusses associated challenges for MRMR reporting and suggests avenues for improvement. Key themes include: the importance of procedure rather than prescription and checklists; how ESG criteria impact Modifying Factors and determination of Reasonable Prospects for Economic Extraction (RPEE); the need for financial models to account for material ESG commitments; the uniqueness of each mineral asset; the need for education, upskilling and accreditation of both ESG experts about MRMR reporting and equally Competent Persons in ESG matters; and the need for clear and balanced reports that meet the needs of end users. (RPEE is adopted here for simplicity and consistency, recognising that some reporting codes still include ‘Eventual’ in the term (ie RPEEE). Whilst RPEE and RPEEE are subtly different the intent is to point to the process of assessing ESG factors in determining reasonable prospects.) The principles of transparency, materiality and competence remain paramount when considering the impact of ESG matters on MRMR reporting, and this necessitates an inclusive, cohesive, and integrated approach to assessing ESG issues to ensure the necessary expertise and diligence is applied.

May 24, 2023

By P J. Fairfield

"This paper reflects on the author’s experiences in undertaking mining studies and reviewing mining projects and technical reports, particularly over the past five years, and the impact of recent changes in reporting standards and listing requirements pertaining to mining-related evaluation and valuation exercises. It also discusses contemporary changes in the expectations of the investment community and the implications for the role of the technical specialist in providing advice to such stakeholders.Not for the first time in history, the resources industry has experienced a significant downturn after a period of strong, sustained growth in line with the traditional view of the cyclical nature of commodity markets. The resource industry is currently faced with capital austerity in the wake of projects ‘failing’ (not delivering to expectations). In response, the industry has experienced changes in investment behaviour (slowing of investment) and an increasing regulatory burden as stakeholders seek a greater understanding of mining project risks.This paper discusses this response and uses case studies to highlight the key learnings (perhaps re-learnt) by the industry. It also discusses the challenges faced by technical specialists in communicating the results of technical and valuation studies to the investment community.As investors seek to take advantage of the current stage in the investment cycle, the key challenge of the technical specialist is to effectively communicate the uncertainty in technical assumptions, risks and opportunities that drive project value.CITATION:Fairfield, P J, 2016. Managing expectations – from buyer beware to buyer be aware, in Proceedings Project Evaluation 2016, pp 66–74 (The Australasian Institute of Mining and Metallurgy: Melbourne)."

Mar 8, 2016