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By M Ind, B Usher

Environmental regulators are increasingly adopting risk-based approaches to protect aquatic ecosystems. The Australian and New Zealand Environment and Conservation Council (ANZECC) and the Agriculture and Resource Management Council of Australia and New Zealand (ARMCANZ) (2000) introduced a risk-based approach to water quality guidelines that use decision frameworks to adapt water quality guidelines to local environmental conditions. Environmental quality objectives are no longer a simple ‘pass or fail’ number such as restricting total suspended solids (TSS) concentration to a specified limit for a particular rainfall event. This approach ignores spatial and temporal variability and the complexity of aquatic ecosystems. The risk-based approach establishes levels where adverse effects may occur. If these objectives are not met, further risk-based investigation is undertaken to assess the potential impact to the ecosystem. Klohn Crippen Berger (KCB) developed a dynamic simulation to predict the variability of sediment discharges, which is applicable for risk-based impact assessment of aquatic ecosystems. The application of the methodology over the life of a mine site is illustrated using a proposed South Pacific mine.The site location is in extremely rugged terrain with a high annual rainfall of approximately 4.7 m. There were two major sediment ponds proposed to reduce sediment discharges. A sediment and hydrology model was developed in Goldsim to provide daily estimates of run-off flows and sediment concentrations. A modified algorithm based on the Australian water balance model was created and incorporated into the Goldsim model and calibrated using recorded field data.The sediment module was developed based on a Revised Universal Soil Loss Equation (RUSLE) assessment, an annual prediction of soil loss over a catchment. A land-use type erosion vector was developed for different land-use types and for each of the subcatchments, a subcatchment erodibility vector was calculated. This vector and the daily rainfall erosivity factor were used to estimate the daily soil loss. The estimated soil loss and the modelled run-off yielded predictions of daily sediment concentrations. Finally, a sediment settling module was used to predict the daily efficiency of the sediment ponds and hence discharged sediment concentrations.The results of this modelling form the first part of a quantitative risk-based assessment into suspended solids impacts. The second part is the assessment of the effects of these predicted TSS concentrations on aquatic ecology. As part of the feedback-loop required in a risk management framework, if the environmental quality objectives are not met then further management decisions and actions may be required to reduce the risks presented by suspended solids. This may include modifications to: the mine-development plan; construction techniques and scheduling; processing techniques; rehabilitation strategies; or hard-engineering solutions such as sediment basins or flocculation.The Goldsim water-balance model provides a quick and efficient method of testing potential remedial actions on predicted sediment loads and concentrations. In combination with a cost-benefit assessment, options for reducing sediment releases from the mine site can be effectively and quantitatively compared thereby providing mine operators with a basis for decision-making. Regulators can also be satisfied that potential impacts to aquatic ecology have been comprehensively assessed and the necessary management decisions have been initiated to limit risk to the environment.CITATION:Ind, M and Usher, B, ?2014. A dynamic sediment simulation to predict the variability of suspended solids concentrations over life-of-mine for application to a risk-based environmental assessment, in Proceedings Life-of-Mine 2014 , pp 191–204 (The Australasian Institute of Mining and Metallurgy: Melbourne).

Jul 16, 2014

Laboratory scale flotation tests were done on mineral hematite and aspecular hematite ore using oleic acid and sodium oleate as collectors. The mineral hematite floated strongly in the neutral pH region, with an increased pH range of flotation at higher oleate additions. Concentrates with sufficient hematite grade to meet the paint pigment specification were produced using oleic acid and sodium oleate as hematite collectors on the specular hematite ore. Hematite recoveries of 70 per cent at 60 per cent Fe grade were obtained using stagewise roughing. The interaction between hematite and oleate was confirmed as chemisorption but the exact mechanism could not be determined, as two independent phenomena can be used to explain the fact that the pH of maximum grade increased with increasing oleate addition.

Jan 1, 1999

By J Geronimo, P Kumar, Z Yussupova, M Yahyaei, M Powell

This work goes beyond the general perception of how the well-known mine to mill process can be applied, by applying deeper knowledge along the mining chain. Grade deportment and dilution are considered at the mining stage, and modelled with the new SMI blast movement simulator, linking with the block model data. Assessing the shift to a considerably more competent section of the orebody is quantified via substantial milling trials at standard and higher-intensity blasts. These were stockpiled for batch processing through the mill to ensure feed integrity. The trial work included operating the mill at widely different fillings to develop Grindcurve milling responses. Additionally, model informed process control is initiated via a mill prediction tool.It has been found that accounting for blast movement for the higher intensity blasts could generate additional value of around $1.5M per blast. With the high-intensity blast and changing mill control, the plant was easily able to exceed projected mill throughputs with the far more competent Pipeline ore. Strategies to shift the workload and debottleneck the milling circuit were proposed and proven during the milling trials, demonstrating an increase in throughput of 7 per cent despite running at a lower SAG mill speed, and potential of 16 per cent for increasing the SAG mill to standard operating speed. A number of process improvement opportunities have been identified to enhance current productivity and ensure long term capability to process the considerably more competent future ores. All of this is being linked in with the major digitisation program at the Barrick Cortez site, with an objective of linking all the data into a mine-wide process optimisation system, that can embed the processes by providing process-wide data access and production support via the future dynamic models linking ore body knowledge to productivity along the full process chain.CITATION:Powell, M, Yahyaei, M, Geronimo, J, Yussupova, Z and Kumar, P, 2018. The designed approach to mill liner optimisation – experience at Pustynnoye mine, Kazakhstan, in Proceedings 14th AusIMM Mill Operators' Conference 2018, pp 595–612 (The Australasian Institute of Mining and Metallurgy: Melbourne).

Aug 29, 2018

Large mining operations need equipment that consistently performs as expected. The most effective way of ensuring this is to have a defined life cycle with an optimised maintenance strategy. The determination of this life cycle is an economic decision, influenced by the construction and utilisation of the equipment. An effective life cycle costing (LCC) tool must be able to process the many variable factors involved.Many factors influence the costs that are associated with a machine over its life. The most variable of these are the costs of maintaining the equipment. Maintenance costs are dependant not only on the utilisation of the machine, but also on the strategy that has been developed to support the machine through its life. A combination of supplier support, component changes, regular servicing and unscheduled maintenance needs to be modelled, based on a variety of drivers. Traditionally spreadsheets have been used to model these factors, but the increasing complexity of the situation can make spreadsheets unwieldy and difficult to manage. A database solution that breaks each activity into its constituent components, links them to an associated mine plan driver and then aggregates the result is the ideal tool to provide a time based cost profile. The evaluation of a number of scenarios, representing different maintenance strategies/life cycles can be rapidly undertaken. Auditability through inbuilt tools is required to provide easy tracing of data. Use of the host company's account structure allows for reporting against the standard chart of accounts.

Dec 6, 2010

By P Lindsay

A numerical model has been developed to simulate the effectiveness and costs of a number of conceptual remedial measures aimed at reducing acidity and metal concentrations in the Ngakawau River and its tributaries near the Stockton Coal Mine, situated on the West Coast of New Zealand. The Stockton Coal Mine has been in operation over the past 100 years. During that time, seepage from waste rock dumps has contributed to elevated acidity and metal concentrations in the Ngakawau River and some of its tributaries. The yearly mean rainfall at the mine site is 6000 mm. The model, developed using GoldSim software, simulates rainfall, run-off and stream discharge for 26 tributaries. It then calculates acidity and metal concentrations in the mine impacted tributaries and the dilution downstream from the mine. The model has been calibrated to measured flow and acidity and metal concentrations in the Ngakawau River and some of its tributaries. Acidity and metal loads are removed from the system in accordance with specified efficiencies and capacities of the respective conceptual remedial measures. The user can compare specific remedial measures, or a combination of conceptual remedial measures. The model predicts the acidity and metal concentrations at a number of monitoring stations for any remedial strategy selected by the user. It also calculates the capital and operational costs for that particular remedial strategy. This paper presents the development of the numerical model and describes how the end-user can use it to compare the efficiency and costs of various remedial strategies by running different æwhat ifÆ scenarios.

Jan 1, 2006

By B McCreath

Industrial process water for the Commodore Coal Mine and the adjoining Millmerran Power Station is provided by pumping secondary treated sewage effluent 100 km from the Wetalla Sewage Treatment Plant near Toowoomba. (A separate source is used for potable water.) The effluent is not of sufficient quality for discharge to a watercourse, but it is suitable, with further treatment, for the mine and power station. In designing and constructing the pipeline, special emphasis was placed on preventing accidental spills or planned releases to the environment. The pipeline and associated works can transfer 1000 ML/annum for reuse in the coal mine and power station.

Jan 1, 2003

We are moving into an era where we experience the consequences of the skills crisis û namely many resource models have been generated by inexperienced people under pressure to deliver high quality resource estimates in unsupported environments, often without technical mentors. These resource models form the basis of our decision to pursue actual mining. This begs the question: how valid are the resource models that form the basis of our mining decisions? This paper presents various model validation tools such as comparison of input and output statistics, swath plots, sectional or bench comparisons between drill holes and models as well as a variety of other approaches. Each model validation tool currently used in industry is examined:how the tool generates results,what assumptions exist,what constitutes a pass/fail in the test, and what interpretations to consider when using the validation tool. Each validation toolÆs suitability and the inherent flaws in the underlying assumptions are also discussed. These are supported with examples of good versus bad validations. Our principles based reporting codes provide flexibility in how models are generated and what approaches and/or parameters are used to generate resource estimates. This flexibility works well when used by experienced practitioners. However, our reporting codes assume a level of experience not always available in the current skills crisis. This paper seeks to provide minimum model validation prerequisites for model acceptance and suitability, regardless of the resource analystÆs experience. As we move forward, our immediate challenge is to ensure our baseline resource models are material, transparent and competent.

Jan 1, 2009

By R L. Brathwaite

In New Zealand, volcanogenic massive sulfide (VMS) deposits are found in three main geological environments associated with: 1.   ophiolitic basalts of Oligocene age in Northland and East Cape (eg Pupuke, Pakotai, Parakao and Lottin Point); 2.   with chert and pillow lava in greywacke sequences of Permian-Jurassic age (Torlesse and Waipapa terranes; eg Kawau Island, Te Kumi and Maharahara) and their metamorphic equivalents (Haast Schist; eg Moke Creek and Waitahuna); and 3.   with greenschists (metabasalts) and metaserpentinite of Permian-Triassic age (Ponamu Ultramafics) in Westland (eg Bowen and Wilberg ranges). The deposits consist of small lenses of disseminated to massive sulfide minerals, mainly pyrite and chalcopyrite. Small quantities of copper ore were mined from some deposits in the 1800s (eg Kawau Island from 1846), with the last mining at Parakao from 1961 to 1966. Several deposits have been recently examined for their gold potential with assays on sulfide rock samples as high as 75 g/t Au (Lottin Point).

Jan 1, 2005

By G Morgan, C Kemp

In December 2010, a trial of borehole radar technology was conducted to test the usefulness of the technique in better refining the position and geometry of narrow vein orebodies away from the primary data sources of drilling and mapping of development excavations. This paper summarises the reasons why the technique was applied, describes the testing methods selected and summarises the outcomes of the trial.Poor reconciliations of recovered metal from a section of an orebody at Jundee mine site, Western Australia, led to an investigation that identified insufficient understanding of the geometry of a narrow vein orebody as a potential cause. This orebody was situated between mapped development excavations and away from surrounding drill holes. Borehole radar was identified as a possible technique that could supply information on vein location and continuity away from other data sources allowing more accurate orebody modelling and subsequent stope optimisation.A borehole radar instrument (10 - 100 MHz frequency) was inserted into pairs of purpose-drilled boreholes on either side of relatively well-constrained mineralisation and the radar reflection data was collected. This process was repeated in five locations across the mine to represent the most common geological settings, lithologies and orebody varieties encountered at Jundee to determine the suitability of applying the technique in each of these settings. Collected, processed and interpreted radar data was compared to other geology data collected independently for verification and interpretation.Conclusions drawn from the analysis were that the technique could effectively determine the following features of the mineralised veins in the majority of test environments: geometry of veins, magnitude of offsets where structures intersect and orientations of planar structures with short strike length. The technique was very useful in selecting the appropriate structural interpretation where available data could lead to multiple, equally likely, interpretations.CITATION:Kemp, C and Morgan, G, 2012. Using borehole radar to refine orebody interpretations in a narrow vein gold deposit, in Proceedings Narrow Vein Mining 2012 , pp 121-130 (The Australasian Institute of Mining and Metallurgy: Melbourne).

Mar 26, 2012

By M Orunesu Preiata

The Odysseus Project is part of the high-grade Cosmos Nickel Complex that lies 30 km north of Leinster. The Odysseus definitive feasibility study (DFS) was approved by the Western Areas’ board in October 2018. Early works commenced in January 2019 with rehabilitation of the existing underground infrastructure. In June 2022 Western Areas was acquired by IGO Ltd. The project is now well advanced to meet its target of first concentrate. The project included the construction of a haulage shaft. The design of the hoisting equipment and the shaft barrel evolved from the initial DFS design stage to the final execution, as the data were made available from the initial investigation to the data gathered during execution (although this did not change from its initial concept). The design philosophy for the haulage shaft incorporated, from the beginning a multidisciplinary approach with inputs from three main areas involved in such projects, namely excavation techniques, geotechnical assessments, and infrastructure construction. This interaction is a fundamental component for the success of such a critical project. In fact, each of these three areas influences each other in a cyclical manner, triggering a continuous review of the project inputs and outputs, while maintaining the original project goals: the design of an infrastructure able to deliver the desired throughput. The throughput dictates the infrastructure that needs to be built, which in turn controls the size of the shaft. The key assumption applied to this is that the rock mass can accommodate the excavation void, and the excavation technique with its tolerances and limits that ultimately need to be verified back with the initial assumptions used for the infrastructure design. The aim of the paper is to present a case study of the experience gained with the Odysseus hoisting shaft and to propose a possible logic path for similar projects elsewhere.

Mar 29, 2023

By Ramsden AR, French DH

The limited contrast range of conventional black and white imaging does not enable full use to be made of the dynamic range of the video signal obtained from a scanning electron microscope or microprobe. The use of false colour substantially increases the information that can be derived from such images enabling relationships to be displayed that cannot be observed in black and white. This capability is now used extensively in combination with quantitative electron microprobe analysis as a research tool for ore characterization and host rocks studies related to minerals exploration in the CSIRO Division of Exploration Geoscience.

Jan 1, 1989

By A Bax, G Wardell-Johnson, W P. Staunton, J McGrath, J J. Eksteen

Since 2001, the AMIRA P420 gold processing technology project series has been studying the recovery of gold using gravity devices, with particular emphasis on the centrifugal units, Knelson and Falcon concentrators. The work has entailed the surveying of operating gravity circuits in Australia, Africa and North and South America.This paper reviews some of the results and lessons of these studies, including common circuit operating and design factors, which limit gravity recovery; pointers towards effective modelling of gravity circuits; and the contribution of gravity to overall gold recovery.CITATION:Wardell-Johnson, G, Bax, A, Staunton, W P, McGrath, J and Eksteen, J J, 2013. A decade of gravity gold recovery, in Proceedings World Gold 2013 , pp 225-232 (The Australasian Institute of Mining and Metallurgy: Melbourne).

Sep 26, 2013

Study on Beneficiation Technology of a Refractory Fluorite Ore in North China

Sep 13, 2010

By T J. Callaghan

The Avebury nickel mine in Western Tasmania is a disseminated nickel sulfide deposit hosted in intensely metasomatised Cambrian ultramafic resulting from later Devonian granite related hydrothermal activity.Variable metasomatism of the ultramafic has formed two distinct gangue mineral assemblages. Less metasomatised ultramafic is comprised of fine grained black antigorite with minor disseminated chromite, magnetite and pentlandite. Intensely metasomatised ultramafic is altered to a pale grey or green, coarsely crystalline tremolite/actinolite and diopside assemblage with minor magnetite, chromite and sulfides. Both gangue mineral assemblages are frequently intermixed in ore grade mineralisation.The bimodal gangue of either serpentinite or metasomatised ultramafic presents challenges to drilling, mining, resource estimation and mineral processing as they possess very different physical properties. Mineralised serpentinite has a mean bulk density of 2.8 g/cc and the ultramafic skarn a mean bulk density of 3.2 g/cc. Physically, the ultramafic skarn is hard to break percussively creating difficulties in the crushing circuit and reducing mine development rates. However, it is non-abrasive and grinds readily, resulting in increased diamond drilling rates and increased mill throughput. Conversely the serpentinite gangue is softer and breaks easily resulting in accelerated development rates and crushing circuit throughput. However, its fibrous nature reduces grinding efficiency, increasing bond work indices and reducing diamond drilling rates.Predicting the ratio of serpentinised to metasomatised ultramafic is possible through use of the resource blockmodel, assisting mine scheduling, predicting mill throughput rates, energy consumption and grade control drilling rates.CITATION:Callaghan, T J, 2017. Challenges of bi-modal gangue mineralogy in mining geology, in Proceedings Tenth International Mining Geology Conference 2017, pp 23–26 (The Australasian Institute of Mining and Metallurgy: Melbourne).

Sep 20, 2017

The energy supply in the 21st century is still secured by coal. According to estimates of the International Energy Agency (IEA), coal will have the same importance as oil for the world-wide supply of energy until 2030. Coal is also an important element of EU policy, its future use is closely linked to effectively addressing the environmental challenges it poses. Hard and brown coal represent approximately 80 per cent of European Union (EU) reserves of fossil fuels and coal utilisation can co-exist with the development of power generation based on renewables. Europe is the world's third largest consumer of coal behind China and the United States.The Czech Republic is poor in energy resources except for coal. Brown coal is relatively abundant (mineable reserves estimated at 1800 Mt, output 48 Mt/a) and significant quantities of hard coal (mineable reserves 900 Mt, 13 Mt/a), much of it suitable for coke production, are also present.Severoceske Doly (SD Company), the biggest Czech coal mining company (22 Mt/a, 48.6 per cent Czech market share) and one of the biggest in Europe, reinforces despite the last deep crisis in the Czech and European economies its long-standing stable and strong market and financial position. From 2009, the SD Company co-owns, with partners, a brown-coal mining company MIBRAG (21 Mt/a). SD Company invests in large mining equipment (eg new giant spreaders and bucket-wheel excavators, extension of overland belt conveyors), rebuilds and upgrades mining and processing installations, auxiliary and other machinery. We should see the investment we make today in tomorrow's mining and reclamation as an opportunity and not as a burden. They enable to make our position more resistant in the longer term. Projects focused on the environment and operational safety went hand in hand with these efforts.R&D activities relate to technical innovations, improvements of mining equipment, research and evaluation of conditions for extracting coal seam and/or overburden and mitigation of environmental impacts, utilisation of coal in new products. The company spends considerable amounts on reclaiming affected land and creating a new post-mining landscape.Our dialogue with influential stakeholders in the region where we operate contributes to the long-term improvement in the quality of life of local residents. Such dialogue with communities in the last ten years has been instrumental for confidence building. SD Company helps to develop many projects of towns and villages in its vicinity. The stable and transparent relations with our neighbours are in accordance with our basic principles of corporate social responsibility.

Dec 6, 2010

By Johnson M. W

Factual data about the sedimentation in the Newcastle Coal. Measures are presented. Data concerning the total coal measure sequence (isopachs, sand /shale ratio and total coal thickness variation), data about three coal seams (Borehole, Dudley and Victoria Tunnel) and data about interseam con- glomerate units are discussed. From this data conclusions are drawn about the coal measure environment. The western edge of the coal basin, the Lochinvar Dome, although a high feature was apparently stable during coal measure time. Despite its height it apparently supplied little sediment to the basin. The northern and north-eastern edge, which was unstable, suppl- ied most of the coarse detritus including the conglomerates to the basin. The conglomerates show patterns of fluvial origin but after a period of "normal" variations in pattern they become restricted to two parallel zones evidently tectonically controlled. Deposition of conglomerates is episodic and separated by periods of coal formation when deformation was apparently slight. Formation of each of the three seams considered followed a rather similar pattern - each shows development of thick coal around the basin edge and poor thin coal in the "axial" region of the present synclinal structure. Evidence of in-situ formation of some areas of the seams is discussed and periodic deformation of the basin during coal measure time is postulated.

Jan 1, 1969

By Hoffmann CF

Thermal conditions at depths of several k.i'-.r.,etres in hydrothermal systems are a major (actor controlling gold transport into the epithermal environment. Understanding of the coupling of thermal, metal and ligand (HZZ S) sources in the root zones of hydrothermal systems therefore becomes important for the application of tectonic and igneous petrochem- ical studies to regional scale precious metal exploration. The evaluation of favourable conditions in this source zone and application to explor- ation rests on a detailed knowledge of the gases, H2S, CO2 hydrocarbons and other trace components preserved in fluid inclusions. Recent developments in analytical techniques now permit examination of these components and the recognition of complex hydrocarbons in rluid inclusions from epithermal and other lydrothermal systems appears promising for ieoosit-source correlation.

Jan 1, 1987

By P Mikula, R Geranmayeh, R Carlton, M Ferguson, R Whiting

The concept of using specially designed slot blasts to mine through stress abutments that intersect faults, while controlling fault-slip seismicity, has come of age at Mt Charlotte Mine. Due to the high and adverse stress field and the presence of major faults, the mine is vulnerable to significant fault-slip seismicity. As mining proceeded, advancing stress abutments around various mined areas encroached on several major subvertical faults. If the sequence formed a diminishing pillar between stope and fault, the removal or failure of that pillar daylighted the fault, and often resulted in significant fault-slip seismicity. A new strategy called ‘Tight Slot Blasting’ (TSB) was developed to restrain or dampen this style of fault-slip movement. The TSB has geometric similarities to a conventional cut-off slot used to create stress shadows, but its function is different. Its objective is to trigger and control a sudden shift of the stress state on a fault from an initial stable state, through an unstable transition, to a second stable state. A TSB firing advances a long tall narrow slot through a stressed abutment between a stope void and a nearby fault, using a rapid blast with a low swell ratio, so that the slot substantially and rapidly fills with blasted rock fragments. During the blast process, the stressed rock is rapidly removed and transformed into the fragmented rock fill in the slot. The strategy deliberately allows a fault-slip episode to manifest at a chosen time and place. The tight-packed broken rock in the slot performs an essential shock-absorbing function by controlling the slip amount and rate on the fault, while at the same time the fill becomes compacted by the movement. This controls the dissipation of fault-slip energy, and greatly reduces the seismic response in time and space. A small closure across the slot occurs, with consequent relaxation and destressing of the adjacent rock mass. Stress monitoring data shows that slot creation lowers the abutment stress in the nearby rock mass, while the newly placed fragmented rock fill acts as a shock absorber, providing considerable resistance to substantial fault-slip movement that otherwise could deliver a significant seismic event. First used in 2007, the strategy has been refined to become a routine specialised practice for management of seismically hazardous situations at Mt Charlotte, with 12 successful TSBs conducted to date. Despite mining through multiple high stress abutments, seismic reactions have not exceeded ML 2.1 with any TSB firing, all remaining below the site tolerable maximum of ML 2.3. This paper presents an overview of the strategy, and five case examples of the strategy in critical stressed areas in July 2016, Sept 2017, Dec 2017 and two in Oct 2020. The strategy has successfully managed the seismicity and is expected to remain an essential part of the seismic management plan at Mt Charlotte Mine.

Nov 29, 2022

By C Rothfuss, X Wang, S J. Herbert, K Prasad

The extraction of groundwater to produce gas from coal seam gas (CSG) reservoirs has highlighted the opportunity for beneficial uses of groundwater in Australia. This paper presents an assessment of alternate groundwater modelling approaches that can be used for assessment of one beneficial use option, that of injection. This assessment examines the outcome of the use of different simulation methods on predictions of hydrodynamic behaviour.In this paper, a simplified hydraulic concept of a multi-aquifer system within the hypothetical injection field was used to investigate the hydrodynamic behaviour of injection into the Precipice Sandstone. Comparisons were made through the analysis of a Theis 3D analytical solution with 2D and 3D numerical solutions. The paper discusses the different solution methods and the impact of these on predictions of pressure and flux. Differences in 2D and 3D solutions result in implications if planning injection as a beneficial use of water. For example, the 2D solution resulted in faster and higher injection pressure build-up when compared to the 3D solutions. The 2D modelling could result in either plans that require higher capital expenditure for a greater number of wells in order to spread the pressure effect and remain below the maximum injection pressure or a reduced injection rate. Meanwhile, the 3D modelling with sensitivity analysis could result in planning for lower capital expenditure for fewer wells required to spread the pressure effect and remain below the maximum injection pressure. CITATION:Wang, X, Herbert, S J,?Rothfuss, C and Prasad, K, 2013. Assessment of effectiveness of artificial recharge for coal seam gas water management based on numerical modelling, in Proceedings Water in Mining 2013 , pp 67-72 (The Australasian Institute of Mining and Metallurgy: Melbourne).

Nov 26, 2013

The transition from exploration to feasibility is a stage in the development of mineral resource projects that is frequently not handled well. The transition marks a point in the project development process where resource evaluation priorities change significantly from the discovery of mineralisation and the rapid assessment of the potential tenor of the mineralised system, to the detailed assessment of the deposit.   Information used in the exploration process tends to be of a qualitative or theoretical nature initially, but gradually becomes more quantitative in character as geological knowledge relating to individual prospects grows.   The transition from discovery and rapid exploration of a new deposit occurs at a relatively early stage in project development, coinciding with the first attempt to prepare a resource estimate for the deposit. Fundamental assumptions regarding both structural and grade continuity and uncertainty inherent in existing information need to be made so that they themselves may be addressed during the collection of additional data.   The effective commencement of feasibility studies involve the introduction of new accountabilities either as a result of appointment of a project manager, and through needing to be able to quantify: ò     the quality of data being collected for resource evaluation purposes; ò     confidence associated with resource estimates; and ò     the need to develop an audit trail for the project, required to make the resource evaluation decision-making process as transparent as possible.   Quality assurance is a concept to which exploration geologists have frequently had little exposure. Being able to demonstrate the quality of data used in feasibility studies is, however, a crucial component of the overall risk management and reduction.   Development of a transparent audit trail for data assists in demonstrating the quality of data which is frequently perceived to translate directly to confidence inherent in resource estimates.   Establishing procedures for geological data collection and management also provides a more reliable framework for making decisions that impact on project execution, again resulting in improved confidence in resource estimates and associated geoscientific data.   Regular, independent technical audits, in principle similar to audits conducted for the ongoing certification of standards compliant quality assurance systems, are a major, positive factor in effective project management and execution.   Information used in project evaluation, feasibility and development must be based on facts. Facts are effectively observations that are ideally made systematically, recorded in a systematic manner, and by being collected effectively are not subject to change.   Effectively managing the transition from exploration to resource evaluation, feasibility and project development involves recognising the nature of changes in the nature, detail and scope of geoscientific data required at each stage of project development. In doing so it is essential to: ò     recognise when the change occurs (as early as preparation of the initial resource estimate for a project); ò     accept that the change may not be gradual; and, ò     ensure that the project evaluation team is adequately resourced.   These objectives require recognition of the value of previous experience and the need to instill a true team approach amongst both staff and contractors associated with the project. Regular formal and informal communications between staff, contractors and other stakeholders in the project are an essential tool in ensuring personnel are aware of factors affecting their role in the project.

Jan 1, 2004