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Production sharing and cost apportionment in joint ventures is commonplace in Australasia today and elsewhere. It is a recognised convention that, with the exception of a free carry situation, joint venture participants usually share the proceeds of the joint venture in direct proportion to their respective participating interest, after having first paid its respective cash calls, in advance, to cover the projectÆs ongoing operating and capital cost requirements.In surface mines, the parties simply pay their way and take their proceeds in this manner. In underground mines, the situation is no different, though treatment of capital, depreciation and tax may differ between the parties. A common feature in many cases is the creation of a joint venture entity to conduct the business. This entity then collects cash from the parties, banks it, employs the staff, runs the operation, provides reports and pays out the proceeds. This convention appears to be relatively simple in application. In practice, it has been known to be complicated in the situation where the participants take their product at the mine gate and undertake their own marketing and selling arrangements. A more complex situation presents itself where the joint venture tenement boundary with an unrelated third party straddles an economic deposit. In this scenario, both the joint venture parties and the third party may wish to mine the deposit, sharing some infrastructure and costs, yet taking their own product as it is produced. A case study outlining such a situation is presented in the paper, outlining firstly how the major cost categories were identified and treated for cost apportionment purposes. Secondly, a mechanism for the equitable apportionment of product is suggested. Finally, issues such as timing and cost reporting are dealt with, together with a checklist of points which should be considered when a similar situation might arise in the future.

Jan 1, 2002

Visual computing opens the design process to a wider audience and allows rapid communication of mine plans to all stakeholders. The integration of software and hardware technologies that take advantage of a graphical environment will continue to improve both long-term and short-term mine design (Figure 1). A good design must be adaptive to respond to decision changes as the mine develops and more information becomes available. The constraints on mine design predicate careful analysis in order to operate the mine as efficiently and safely as possible.Continuous improvement in mining is assured by developing innovative technologies that target mine survey, drill and blast, modelling, short-term design and pit and stope optimisers. The design life of a mine has to be sufficiently long to ensure the mine is commercially successful, justifying the high start-up capital costs. Being able to execute a plan so that it honours the design realises the rewards of computerised mine planning and the long-term investment in data acquisition.

Sep 26, 2011

By D Baas, Y Atasoy

With increased pressure for companies to cut costs during design of new mineral processing plants, overall plant design has changed over the last decade with less design for feed blending and less installed surge capacity. This has changed the operability of new mineral processing plants, where disturbances due to variable ore types have resulted in the evolution of new control techniques. These techniques are necessary to maintain stability and optimise the performance of these new plants. This paper describes the benefit of applying these new control techniques in a new mineral processing plant in Australia utilising RockwellÆs ControlLogix system architecture.

Jan 1, 2008

The Mt Muro gold and silver deposit in Central Kalimantan has been in production since December 1994. The geology is characterised by narrow high-grade lodes containing gold and significant amounts of silver. From a largely untrained workforce in the grade control department, production per crew and per geologist has tripled during the three years of production. Grade control drilling evolved from blast hole sampling to reverse circulation sampling. National geologists are trained in basic modeling procedures. A fully integrated reporting and reconciliation system was programed and implemented.

Jan 1, 1997

By J Player, R de Vries, E Villaescusa, R Hassell

Concerns regarding the uncertainty of stope dilution at MMG Dugald River Underground Mine led to a trial stoping program to acquire full-scale comprehensive geotechnical information and to test the validity of the geotechnical and mining parameters. Given that stope production drilling and blasting is a key parameter that influences dilution a detailed stope blast vibration project was implemented. The stoping trial consisted of 19 stopes, a combination of both sublevel open stoping and longitudinal and transverse stopes, of which five were monitored for blast vibrations.The blast vibration project utilised 20 triaxial geophones and five triaxial accelerometers installed in the hanging wall of five monitored stopes. For each stope fired, full blast waveforms were recorded along with detailed information of the blast design. Analysis of the blast vibrations used the Holmberg-Persson approach, with potential damage determined by the relative (Holmberg-Persson) K values.The project identified the benefit of parallel, breakthrough slot holes in reducing blast vibration damage. The results show that radial rings toeing or stabbing into the stope wall lead to higher vibrational energy yield which contributed to increased overbreak. Hanging wall overbreak, by comparison, with parallel, breakthrough blastholes with 1 m standoff, combined with lower density explosive charging (0.8 EP) and increased delays limited blast vibration damage. A number of ring burdens from 1.4 m to 2.5 m were monitored with no difference in terms of energy yield being identified. Changes to the stope drill and blast design are suggested to better control the large blast vibrations and recommendations from this project have been implemented into future mine design and planning.CITATION:Hassell, R, Villaescusa, E, de Vries, R and Player, J, 2015. Stope blast vibration analysis at Dugald River Underground Mine, in Proceedings 11th International Symposium on Rock Fragmentation by Blasting, pp 221–232 (The Australasian Institute of Mining and Metallurgy: Melbourne).

Aug 24, 2015

By Zhou A, Cadogan J. M

Direct reduction of iron ore (DR) is one of the promising technology emerging in the world's steel industry. Kinetics and Mossbauer studies of DR with hydrogen have been carried out at two temperatures of 600¦C and 800¦C in this investigation. The results show that different controlling steps govern the reduction rate at different temperatures. The mechanism was also found to vary during the reduction. The Mossbauer spectra of the samples reduced in various time intervals were studied to determine the phase changes during reduction.

Jan 1, 1997

By J N. Farrell

Metallurgists frequently use a small number of large samples to characterise expected mill performance, with the a priori assumption that these few samples are representative of the entire deposit. Geometallurgical sampling is becoming more prevalent as a way to use many smaller samples to indicate the expected recovery as part of the Mineral Resource or Ore Reserve estimation.The evaluation of magnetite deposits involves specialised approaches to sample preparation, sample analysis and resource estimation. The sampling protocol for magnetite deposits will typically include the use of Davis Tube analysis. The Davis Tube is a mini-pilot plant that is used for determining the mass magnetic recovery from a small amount of sample ground to a specific size. The magnetic concentrate may then be analysed and together with the mass magnetic recovery, may be used to simulate the expected mill recovery. The magnetite sampling protocol is specific to each deposit, and is typically designed around a specific metallurgical flow sheet.During resource modelling, the mass magnetic recoveries and concentrate grades may be estimated directly or assigned to a block model using regressions with other chemical constituents. For estimation, the concentrate grades are weighted to account for the different mass magnetic recoveries of each sample and the impact of these differences on the concentrate estimates.

Sep 5, 2011

Australia contains a variety of iron ores, differing in grade, chemistry, size distribution and genesis. While a proportion of this ore is used world-wide as blast furnace lump, much of the material mined is high grade fines, requiring agglomeration (usually sintering) before blast furnace reduction. Sintering studies initially concentrated on the production of ferrous material of high iron content, coarse size and sufficient cold strength. In recent years research involving pilot plant sintering, precise test procedures and mineralogical analyses has focussed on the additional sinter properties of hot strength and reducibility. Aspects of mineralogical studies applied to iron ore sintering are described.

Jan 1, 1989

Heavy medium separation is widely used because of the precision of separation achievable and the flexibility of control. Good design is manifest in the eventual achievement of the operational objectives. These objectives which take account of the assessed quality of raw feed, market requirements and production cost levels need to be carefully prepared and realistic.

Jan 1, 1987

By Noakes MJ, Willsteed TV

In the past few years an elevated gold price has resulted in the evaluation of many small scale surface gold deposits in Australia typically containing about 2-3 g/t Au. Operators have tended to assume that at the lower end of the grade spectrum only heap leaching is economically possible whereas above some assumed "cut-off" grade, carbon-in-pulp or similar techniques can be considered to have economic advantages.Studies made on a number of these prospects has indicated that this rather arbitary choice of treatment method can be mis-leading.A case study has been prepared assuming a "typical" situation and is presented. The deposit contains three million tonnes of ore assaying 3 g/t Au and is amenable to open pit mining methods. The mine site is remote but accessable and existing infrastructure is minimal. There are no unusual environmental constraints.

Jan 1, 1984

By S Harrison

Work health and safety duties around Australia include duties to manage psychosocial health and safety (mental health) of workers engaged by businesses or undertakings and of other persons impacted by the operations of the business or undertaking. Persons conducting a businesses or undertakings must develop systems of work and policies and procedures for ensuring, so far as is reasonably practicable, the safety and health of workers and other persons. Officers have a duty to exercise due diligence and to ensure effective systems are developed, implemented and resourced. The developed systems will only be effective with worker’s co-operation and engagement. The duties placed on workers by work health and safety laws are an important part of the safety matrix of obligations. Supervisors and Leaders are workers and they play a critical role in delivering health and safety outcomes. To deliver these health and safety outcomes with respect to psychosocial safety Supervisors and Leaders need to understand their obligations and have a framework to use to assist them in understanding what workers require and what steps need to be taken to meet their duties. They also need to take steps to assist those workers that they supervise to meet their duties.

Apr 16, 2024

By B Beale

Bow-tie analysis is a commonly used tool to identify and display risks that have the potential for an undesired hazardous event. The output of the analysis are bow-tie diagrams, which are an effective and versatile communication format that can be applied to any type of risk. Contrary to their simplicity, a proper bow-tie diagram that maintains its usefulness and clear communication is difficult to build. Over two decades assisting Major Hazard Facilities with bow-tie analysis for Safety Cases, several common mistakes have been identified. This paper aims to highlight those issues with examples and provide improvement strategies. A sample of the most common mistakes are: - overly complicated risk analysis - poorly scoped and defined terms - poor descriptions and justifications - identifying too many dependent controls. Overly complicated risk analysis leads to wasted time in obtaining data for little gain. The bow-tie diagram is only a model. Effort should be redirected into identifying and managing controls that will make a tangible difference to site risk. Broad scopes lead to enormous and confusing bow-tie diagrams for both the user and the workshop team. Defining the scope of the study, the consequence severity of interest and critical control characteristics creates focused workshops and targeted analysis. With more definitive scope, there may be more bow-tie diagrams, however, they are succinct and specific. Well described causes are imperative for clear communication to users, regulators and future bowtie review workshop groups. It is best to use common wording structures and explain the event stepby- step. Also, clearly document any likelihood calculations and use data references where applicable. Identifying all possible controls creates a false sense of security that there are many layers of protection. In reality, most controls are dependent on a single system or person and could all be compromised from a single failure. A definition of a ‘bow-tie’ control is required whereby it must be independent from other controls. Improving the bow-tie analysis process will assist operators in developing meaningful and ‘operational’ bow-tie diagrams to support risk management systems and practices.

Apr 16, 2024

By Thomas MJ

The Cannington silver-lead-zinc deposit is located at latitude 21¦ 52' 9" South, longitude 140¦ 55' 10"" East, on the south-eastern margin of the Proterozoic Mount Isa Block (Figure 1), 135 kilometres south-east of Cloncurry. Access is via a graded shire road for 80 kilometres south from the small pastoral community of McKinlay.REGIONALThe deposit is hosted by the Proterozoic Soldiers Cap Group within the Mount Isa Block Eastern Succession. South of the Cloncurry Beardsmore et al (1988) have grouped part of the Eastern Succession stratigraphy intothe Fullarton River and Soldiers Cap groups (1760-1740 million years) which together make up the Maronan Super Group. This is an apparently conformable sequence 10 kilometres thick and consists of metamorphosed sediments and volcanics with intrusive amphibolite bodies.The Maronan Super Group has experienced a complex history of deformation with up to six events having been recognized. The stratigraphy trends broadly north-south and is predominantly characterized by tight, upright isoclinal fold structures.

Jan 1, 1993

By Tullemans FJ

This paper describes the general approach to ore reserve estimation and mine planning used at the Kidston Gold Mine. The geological setting and exploration is briefly summarized for background information.A geostatistical study of the deposit was carried out to determine the geological ore reserve. This was confirmed using a manual polygonal technique. Optimum pits outlined by a Lerchs-Grossman open pit design algorithm were manually smoothed allowing mineable reserves to be calculated. Mine production schedules based on kriged block grades and tonnages are continuously updated using production blasthole assays. An arithmetic mean technique of block grade estimation has proved successful to date. After milling approximately 4.9Mt of ore, the mill grade of 2.13g Au/t is only 0.5% above the mine estimate of 2.12g Au/t. The difference in contained gold between "As staked" blasthole reserves and kriged mineable reserves is 3.8%. The application of blasthole kriging as a basis for ore/waste classification in erratically mineralized areas is being evaluated. Planned future developments are briefly mentioned.

Jan 1, 1986

By Quan P. M

The great advances made in the application of solvent extraction to the recovery of copper from low grade ore sources over the past 15 to 20 years are well known. Solvent extraction is an essential step in the recovery and purification of copper from dilute sulphate leach solutions by which some one million tonnes of copper are now electrowon annually. A reagent is also available for the selective recovery of copper from chloride leach solutions and this may hold the key to the processing of complex sulphide ore concentrates. By comparison, the use of solvent extraction in the recovery and processing of zinc has as yet found little favour and is confined to only a few specific and comparatively small applications. This is despite the ready availability of a large number of low grade zinc sources and zinc-bearing wastes and residues. It is suggested that this difference is due in large part to the absence of suitable reagents having the particular features required to enable them to fit into a solvent extraction - electrowinning based process for zinc. Ideally, for the recovery of zinc from dilute sulphate solution, an extractant should operate on a proton exchange principle and be strong for zinc in the same way that o-hydroxyaryloxime reagents are strong towards copper. It should load efficiently with zinc at the pH of typical sulphate feed streams without the need for neutralisation and yet be stripped efficiently by spent zinc electrolyte. Another factor of major importance for many applications, however, is that it should be highly selective for zinc over ferric iron. These features have now been realised in a development extractant DS5846, which is a formulation of a novel class of reagent currently under investigation by Zeneca Specialties. The properties of this reagent are described with respect to selectivity, isotherms and how they compare with phosphoric and thiophosphoric acids that have been previously proposed for the extraction of zinc. For the recovery of zinc from concentrated chloride solutions a solvating or neutral donor type of extractant is required which again should ideally have high selectivity for zinc over a number of other metals, particularly iron. The new reagent Acorga ZNX50 is based on a formulation of a novel class of compound developed specifically for this purpose. It gives efficient extraction of zinc from feed solutions that are four to six molar in chloride ion but is readily stripped at 60 - 65¦C using either water, dilute brine, or spent zinc chloride electrolyte. The reagent is highly selective for zinc over iron and a range of other metals including cadmium, arsenic, lead and magnesium.

Jan 1, 1993

By M Pyle, T Vizcarra, G Ballantyne, B Foggiatto

Bulk Ore Sorting (BOS) has the potential to add significant value to mining operations by manipulating the feed grade and throughput to the processing plant. However, assessing the performance of BOS is complex, as it is influenced by geology, equipment, spatial and time domains. This increases the risk (real and perceived) of the technology. To manage risk, brownfield operations have the option to: (a) first test the variability in feed grade using a detector on the feed conveyor and subsequently construct the diverter and associated materials handling equipment when the value is established; or (b) conduct site trials with standalone sorting plants. The approaches described for brownfield projects are not available for greenfield projects where the in-situ heterogeneity needs to be quantified and translated into an economic evaluation to test the viability of BOS. Ausenco has developed a methodology that allows assessing the in-situ ore heterogeneity and uses an in-house technoeconomic model to determine the value of BOS for greenfield projects and assess the effects of sorting performance on project economics. The in-situ grade heterogeneity can be measured on a length of drill core and fitted to a mathematical model to assign a heterogeneity index. Given the spatial location, this heterogeneity index can be mapped across a deposit in combination with the average grade. Linking this information with relevant mixing models can determine the likely technical performance of BOS at an operation. However, the real value is only realised when this technical understanding is linked with an economic model and used to optimise the mine plan. Three case studies will be presented that show how Ausenco applies this methodology to assess the value of bulk ore sorting for greenfield studies.

Nov 10, 2020

By R Berry

This paper looks at two ways to estimate the bulk mineralogy of the rocks for assay intervals. The aim is to find an efficient indicator of the most common minerals in the rock. Phase (modal) analysis has traditionally been done using visual methods such as point counting and image analysis. A modern version of this process is the X-ray point counting routine using the SEM-EDS based software. These methods are too slow and expensive for routine analysis of bulk sample mineralogy at the normal assay spacing.Two sources of data were considered that provide information that can be used to determine the mineral abundance in assay samples. The most widely applied method is (semi-) quantitative X-ray diffraction (QXRD). The QXRD method is most applicable to major minerals and has limited application to minerals at low abundance. The nominal detection limit is 0.5 per cent. Values below five per cent have large errors. A second, less common, method is calculation of mineralogy from chemical assay data. Conversion of chemical analyses to mineralogical analyses depends on the unique chemical composition of each mineral. Elements only found in one mineral are easily accounted for, but many compositions are ambiguous. Deciding on the actual mineralogy is not simple. Recalculation of mineral mode from chemical analyses is more accurate than QXRD when the correct minerals, and mineral compositions, are known.Where only a few QXRD analyses are available they can be used to setup a protocol for calculation of mineralogy from assay data. Linear programming works well in this environment. The best results are obtained when both H2O and CO2 are directly measured. Loss-on-ignition (LOI) should be included if these are not available.Where both QXRD and chemical analysis are available for all samples, the best results are obtained using the least squared method to merge the data sets assuming QXRD has much higher analytical errors than chemical assays. The combined method provides more robust results because the high abundance minerals are controlled by the QXRD measurements while the chemical assays improve the precision for low abundance minerals

Sep 5, 2011

By Keele R. A

The Cambrian structure in the Mt Read Volcanics was produced by four deformational events: obduction of forearc-derived mafic/ultramalic complexes in the early Middle Cambrian, a middle Middle Cambrian extensional phase related to the post-collisional Mt Read volcanism and VHMS mineralisation, Middle Cambrian E-W folding, and Late Cambrian N-S folding and basin inversion. The major phase of VHMS mineralisation in western Tasmania is restricted to the very brief period of extensional tectonics within the middle Middle Cambrian. Within this period a N-S graben was produced with a complex series of transfer zones, largely striking E-W. Most VHMS mineralisation is restricted to the top of massive volcanic successions, with several mines close to Cambrian transfer structures. Many of the transfer structures continued to be active until the Devonian. The later compressional Cambrian events are not significant in localising orc formation. Within the Rosebery mine a complex pattern of minor Cambrian normal faults has a second order control on the distribution of the mineralisation.

Jan 1, 1997

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

A study of the effect of nickel on the cupellation process has shown that a very low "nickel limit" must be imposed for cupellation (0·08 grams nickel or 0·05 grams when copper is present). In the presence of slightly greater amounts of nickel, lead tends to spreadon the cupel with detachment of drops from the main lead pool. In crucible fusions nickel contaminates the lead button to a small extent, and this contamination is increased.in the presence of either iron or copper. Nickel also causes "shotting" of the lead, this effect being more apparent in the presence of iron.Both the spreading during cupellation and the shotting during crucible fusion are considered to be caused by adsorption of insoluble NiO at the Pb-PbO interface, lowering the interfacial tension.Excess litharge crucible charges are' fused at 116boC. to eliminate shotting. A brief· soaking in molten basic litharge slag effectively reduces the nickel content of lead buttons. The solubility of silver in litharge slags is considerably decreased in the presence of nickel. Corrections can be applied for silver losses in slags but these corrections are not as accurate as with copper ores.INTRODUCTIONThis paper on the effects of nickel on fire assays for silver is the second of an intended series describing investigations into the fire assaying method.In the first paper, discussing the effect of copper on fire assaying processes (Guerin, 1957), it was shown that certain elements, because of their relatively low affinities for oxygen, will tend to contaminate the lead button during crucible fusion and scorification. Nickel, having a slightly greater affinity for oxygen than has lead, would be expected to be oxidized and slagged readily, and would not be expected to appear in the metal phase (lead button) to any appreciable extent. Thus, judged solely on this basis of...

Jan 1, 1960