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By B E. Hall, J Poniewierski, A J. Hills

Following a review of life-of-asset work at MMG’s Rosebery mine in which a proposal to increase production from 0.8 Mt/a to 1.2 Mt/a was mooted, questions were raised as to the seemingly arbitrary reasoning for the production increase. They included: Did the proposal actually add value? Was the production rate from the mine sustainable? Was it the best identifiable value-adding configuration?A multiple scenario analysis study commenced to model how various cut-off grade values against mill throughput, along with associated capital expenditure, would impact on the potential value of the operation. This was carried out utilising the ‘hill of value’ approach promoted by AMC Consultants.The traditional approach to these studies uses a constant cut-off value (NSR – net smelter return) for the whole mine analysis. This was thought to potentially introduce a large amount of variability to the model as different ore types were thought to have different processing costs and different underground lenses were thought to have different mining costs. With the aim of developing a consistent value measure that would be comparable between the lenses, an alternative measure was suggested for all ore block values in this model, irrespective of lens location.The new measure used was a mine variable value (MVV). This allowed for the variable factors of final metal concentrate production to be removed from the ore value. From a mining point this was the haulage distance from ore source to run-of-mine (ROM). For the mill it was the amount of reagents required, varying based on grade together with the amount of power required for crushing, grinding and tailings handling.From the initial run of the model, preliminary results lead to a conclusion of increased value being gained by either increasing cut-off grade or increased mill throughput rate. The validity of the result was tested using alternative price scenarios, which although changed the absolute value achieved did not significantly change the identified value-adding strategies. The realisation of these value increases identified are however contingent on higher sustainable development rates being able to be achieved mine-wide, higher backfilling rates being able to be achieved and overcoming recognised ventilation constraints. Further detailed studies are being put in place to identify the practicality of overcoming these recognised constraints and achieving the higher-value strategies identified.The ongoing objective of the hill of value model built is to keep the model alive as a life-of-asset planning tool and to continue refining the foundation data, such that various mining strategies can be analysed with increased confidence.CITATION:Hills, A J, Hall, B E and Poniewierski, J, 2014. Mining scenario analysis and mine variable value, in Proceedings 12th AusIMM Underground Operators’ Conference 2014 , pp 111–118 (The Australasian Institute of Mining and Metallurgy: Melbourne).

Mar 24, 2014

The originally estimated mine life at Kidston (starting 1984) was 12 years. Through a continuing process of re-evaluation and improvement in the operation and by expanding the geological knowledge in the region, the mine life has been considerably extended. With falling grades and harder ore, the additional reserves have come with increasing risk - not only in an economic sense associated with diminishing profit margins but also operationally, requiring innovative milling technology and geotechnical designs to provide a lower cost environment for continued profitable mine production.

Jan 1, 1994

The authors have succeeded in providing additional rigour and clarity to the formulation and execution of the dynamic programming algorithm for optimum open pit limit determination. The inclusion of the blocks on the J + 1 column in the search for Pmax, and constraining this search with blocks assigned a value of negative infinity, ensures an optimal solution within the defmed blocks. The effect of the negative infmity blocks is to preclude mining along the diagonal blocks from the first row that they occur in. Figure 1 graphically illustrates the effects of this on the calculation of P. A practical application for constraining mining with negative infmity blocks is the case where the pit outline is defined by lease boundaries and not by the value of blocks to be removed. Any legal, social or physical constraint could be accounted for in the same way.The danger in applying this technique is that the negative infinity blocks will override any other more profitable solutions that may exist. This is in fact what has happened in the example that the authors use. If a further column is added to the left hand side (column -1) and the calculation is carried out again, a more optimal x-section can be found. (If the negative infinity values are removed the same result is obtained.) This gives a pit value of 112 as against the 108 of the authors' optimal pit. This calculation is shown in Figure 2. Lerchs-Grossman optimization is reliable only if there are sufficient columns available to allow "mining" to optimum depth of the ore body and still allow the pit to break out at the surface within the confines of the columns.This author's approach is to create enough columns each side of the lateral limits of the ore to allow the pit to intersect the surface while still within the confines of the block model. Implementing the methods discussed by the authors helps to reduce the number of columns required to achieve this.

Jan 1, 1987

By Rautio V

The mining sector has been automated and robotised very rapidly during the last few decades. The organisation of work, schedules and housing has been modernised from the traditional modes of industrial society toward the more flexible modes of

Jan 1, 1998

By Reifenstein A

ACIRL's petrographers apply microscopic techniques to coal exploration, production, preparation and processing problems and research investigations as well as provide a commercial service for quality control of export coal shipments. This paper describes a number of case studies of applications of petrography to coal industry problems and coal research, including

Jan 1, 1989

The paper presents an overview of the mining industry of Papua New Guinea. Although the Bougainville problem is still unresolved, new mines like Ok Tedi, Misima and Porgera, which have come on stream during recent past, have raised hopes of sustained growth period in the industry. Kutubu Oilfield is also being developed in the Southern Highlands and the oil production has commenced from July 1992. Government revenue from these mega projects will increase five-fold during 1993 and 1994. A new mine which is being planned is the fabulous Lihir Deposit, on an island renowned to be full of gold. Gold occurs within a volcano which still contains high temperature ground water because the system which created the deposit is still geothermally active.In Papua New Guinea, problems of environmental management are far easier to tackle than those of a socio-political and economic nature involving compensation payments to the landowners and the distribution of royalties and taxes between the national and provincial governments. At the socio-political level, the country has not been able to resolve the problems of land rights versus mining rights. Whenever mining starts in a big way, it raises people's expectations to a very high level, which then becomes the focal point of dispute between landowners, provincial governments, national government and mining companies. A new system called 'Forum' has been tried to bring all parties together and son out the issues. The system appears to be working well in new mines like Ok Icdi, Porgera, Misima and Kutubu Oilfields.

Jan 1, 1993

By Filigenzi M. T

Stresses around mine openings at depth can cause the surrounding rock to fail, releasing stored strain energy. When this happens, the rock may literally explode or `burst' into the opening without warning. As mining progresses deeper into the earth, the possibility of seismic events and rock bursts increases. Researchers at the US Bureau of Mines (USBM) are currently studying seismic activity in three underground hard-rock mines in the United States: the Homestake Mine, Lead, SD; the Lucky Friday Mine, Mullan, ID; and the Sunshine Mine, Kellogg, ID. Waveforms from seismic events are recorded by personal-computer-based hardware and software. This information is archived and transferred from the mine sites to the USBM via modem communication links. Then, using USBM-developed software, the events are analysed to determine various parameters, including magnitude, frequency, and location. In addition, researchers are modelling the deep levels of the Homestake Mine using a finite-element code. These models generate stress and displacement values for a given loading condition. By studying material properties, in situ stresses, and seismic activity along with actual scope sequencing, researchers can make correlations between stresses induced by mining and the frequency and magnitude of seismic events. Information on seismic events coupled with results from finite-element analyses have increased understanding of rock mass behavior and the mechanisms that may lead to rock bursts. Optimisation of slope sequencing designs as a result of these studies could reduce rock burst hazards.

Jan 1, 1995

By A B. Christie

In Northland, Coromandel, Taupo and Canterbury, weathering and hydrothermal alteration of Cenozoic volcanic rocks has resulted in the formation of various types of clay deposits. Subtropical weathering of rhyolite in the Matauri Bay area (Matauri and Mahimahi deposits) in Northland has formed high quality halloysite deposits. The Matauri Bay halloysite is mined and processed to produce reputedly æthe world's whitest clayÆ that commands a high price in niche ceramic markets. In the Coromandel, some argillic alteration zones contain kaolinite clays (at Hahei) and advanced argillic alteration zones contain kaolinite-gibbsite-pyrophyllite assemblages (at Pumpkin Hill and Lookout Rocks). In addition to known halloysite and kaolinite clay deposits, there is also economic potential for smectite clays produced by hydrothermal alteration of volcanic rocks. Bentonite (mainly ferriferous-beidellite) is mined from weathered basaltic ash in Miocene lake beds at Coalgate in Canterbury.   We have compiled interim mineral deposit profiles for bentonite in basaltic ash, halloysite in rhyolite, kaolinite in altered rhyolitic rocks, kaolinite-gibbsite-pyrophyllite clays in advanced argillic alteration zones and for smectite clays in argillic alteration zones. These deposit profiles include geological and mineralogical attributes, which are linked to the underlying volcanic, hydrothermal and weathering processes that have produced the clay minerals from their source volcanic rocks. Further work on refining the deposit profiles includes characterising the composition of selected deposits to determine spatial trends in mineralogy and geochemistry.

Jan 1, 2007

By Parker RL

A 250 tons per day ammonia-ammonium carbonate leaching plant is now being operated by Samin Limited, to extract copper from the oxidised ores at the Burra mine. This forms the first stage of a plant, which will eventually have a capacity in excess of 1,000 tons per day. The article reviews the history of the mines at Burra and the metallurgical studies which have been undertaken since the old mines closed in 1917, in an endeavour to recover the copper from the low-grade deposits left by the original miners. The reasons why an ammonia leaching process was selected instead of the conventional flotation or acid leaching methods are discussed. The paper concludes with a detailed description of the plant and the basis on which it was designed.

Jan 1, 1971

By Lightfoot BW, Foo KA, Conochie DS

Aberfoyle Limited operated a matte fuming pilot plant, incorporating a SIROSMELT furnace in 1980/81. This plant was a significant advance in both smelting and tin extraction technology. Important design, construction and commissioning aspects are discussed and some of the key points to emerge from this phase of the work are reviewed.

Jan 1, 1984

By Hughes DC

Coal development in New South Wales can involve a complex series of government approvals, a requirement that results from the coincidence of many development sites with environmentally sensitive areas. The concept of network analysis is applied to the pre- development regulatory procedures leading up to the grant of a coal lease. The network facilitates a quantitative and qualitative analysis of activity schedules relating to pre- requisite statutory approvals. The sequencing of activities (with clear start and finish nodes, identification of sensitivities and time estimates for completion of each phase of the network) provides government and industry with an effective planning tool.

Jan 1, 1983

By LaBrooy S. R

Crushing for the gold industry involves fine crushing and a degree of primary milling, and this presents new problems and challenges, partiuclarly on many of the new ore-bodies now being opened up. All of this calls for a better understanding of some of the basics of fine crushing and milling. Accordingly, in this paper the "typical" contemporary Australian gold mining operation is firstly delineated, in terms of representative ore types and typical crushing and milling tasks. Then some of the technical and economic basics related to fine crushing are re-examined, including: energy relationships in crushing and milling; concepts of reduction ratio; recirculating load controversies; and questions of realistic economics in crushing gold ores. The economics of the typical gold mining operation are shown to be rather marginal; not the lavish "bonanza" many may imagine. Likewise, crushing cost expectations are frequently quite Unrealistic.

Jan 1, 1987

By N C. Steenkamp

The Northern Cape Province of South Africa is host to the Kalahari Manganese Field (KMF). The northern portion of the KMF hosts high-grade manganese referred to as Wessels’ type ore and is mined mostly from underground operations. WorleyParsons TWP is currently involved with the development of a ventilation shaft for one of these mines. The main challenge is to develop through the unconsolidated Kalahari material and weathered portion of the Karoo formation. These formations are preserved very erratically over short distances. A lack of understanding of the unique challenges presented for developing shafts in this area has resulted in the failed development of a shaft on an adjacent property and over-expended budgets on others.The renowned red sand of the Kalahari forms the top several tens of metres and overlies a horizon of gravels and calcrete that pose seasonally variable water ingress problems. A very stiff red clay horizon is then intersected. The Red Clay is prone to swellling during excavation and has been the main stumbling block on previous constructions. The standard approach has been to develop non-stop through this layer. The red clay is underlain by another horizon of calcrete, gravel and conglomerate that marks the bottom of the formation. The top of the Dwyka Tillite (Karoo Formation) is usually highly weathered and has a distinctive yellow colour. The weathered tillite is highly susceptible to drying and becomes friable. At reef-intersection, the combination of subhorizontal bedding and joints with the dominant subvertical faulting results in potential wedge failures in the manganese and ironstone units.This paper describes the geotechnical issues identified during the planning of the ventilation shaft and the risks associated with development through the Kalahari and weathered Karoo Formations. A new approach to developing ventilation shafts in overcoming these challenges is recommended.CITATION:Steenkamp, N C, 2014. Challenges of developing a ventilation shaft in Kalahari and Karoo formations, Northern Cape, South Africa, in Proceedings 12th AusIMM Underground Operators’ Conference 2014 , pp 81–88 (The Australasian Institute of Mining and Metallurgy: Melbourne).

Mar 24, 2014

Maximising margins in highly competitive international markets demands superior productivity. A key to superior productivity is using a process approach to enable rapid, ongoing improvement of production, commercial, administrative, marketing

Jan 1, 1998

Scheduling the transformation of in situ coal to run of mine coal and its subsequent beneficiation to a saleable product involves the use of many `parameters' or `adjustment factors'. These include in situ density, moisture adjustments, mining

Jan 1, 1998

By Corbett G, Iwai N

The Japanese gold mining industry has a long and productive history and is presently undergoing a period of revitalisation encouraged by the Hishikari discovery. Deposits exhibiting the characteristics of epithermal mineralisation are very widely distributed throughout the island chain and an encouraging number of these are large, seven containing gold in excess of one million ounces. All the important deposits are quartz vein type and contain extremely high grade, or "bonanza". Zones.

Jan 1, 1990

I should like to congratulate Dr. Salamy on his most informative paper.Under the heading of "future development" Dr. Salamy states the intention of using 3 in. lifters. In this connection I should like to mention one or two of our findings at the Croesus Plant of North Kalgurli (1912) Limited. We have converted a 5i ft. x 11 ft. grate discharge ball mill to a high level overflow rod mill. When we were considering this conversion we explored the literature and decided on using 2t in. lifters on alternate liners-the results were not encouraging. The mill all but "took off" from its foundations,and performance with regard to tonnage was poor. There...

Jan 1, 1956

By Dionne S, Goodwin F. E

Zinc-aluminium alloy cast matrix composites have been made by squeeze casting, pressure infiltration, spraying forming and stir casting. The overview describes composites made . with these processes. Improvements in properties compared to the conventional alloys are most significant at elevated temperatures. Since stir casting is the most economical viable route of producing composites, progress made in this area is particularly emphasised.

Jan 1, 1993

By Reichman J, Chapman G

The features of seam gas drainage from the point of view of mathematical modelling are outlined and discussed: 1. The use of conventional single phase gas reservoir simulator for very simplified modelling. 2 Alteration of a conventional petroleum reservoir simulator into a specialised simulator for seam gas drainage. 3. Application. of a conventional petroleum reservoir simulator for modelling of seam gas drainage by the way of pseudo-functions and sacrifying one dimension.

Jan 1, 1982

By B Chappell

Backfill in the form of mine waste tailings has inherent problems associated with attaining adequate strengths upon placement. Fines are usually removed to ensure adequate drainage, which lowers the cohesive strength of the fill, leaving the fines to be placed in a tailings dam. Electro-drainage and electro-chemical grouting is examined to investigate its effects on densification and shear strength within a silty clay tailing having low permeability and shear strength. Two separate grouting mechanisms are observed for the iron and silica grouts used. Electroosmosis is associated with iron grout that deposits within the tailing matrix under a converging pH gradient, and increases the permeability of the tailing. This process initiates cation exchange and causes cementing of the granular contact points between the clays. Electro-phoresis causes sodium silicate solution to deposit silica grout in the voids of the tailings. The resultant effect of these mechanisms results in an increase in cohesion, leaving the void ratio of the iron grouted tailings as it was but significantly reducing the void ratio of the silica grouted tailings.

Jan 1, 1998