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In mineral asset valuation the use of any valuation method requires the input of competent and independent technical professionals. A resource valuation must be as transparent as possible to allow others to assess the validity of their underlying assumptions. Materiality is a dominant factor in all valuations and a valuer should set out the basis for the subjective decisions made in this regard. Any valuation methodology must comply with the requirements of the law, practice notes and guidelines issued by the various relevant authorities and professional bodies. The valuation methodology chosen to value a mineral asset depends upon the amount of data available on that asset and the reliance that can be placed upon those data. Mineral assets generally fall into one of three broad categories, depending upon their state of development, ie whether they are at the exploration, development or operating stage. Naturally there are transition phases. Hence, there are ""Grass Roots"" Exploration Areas and Advanced Exploration Prospects; Pre-Development Projects and Developing Mines; and Operating Mines. The features of each of these mineral asset status categories are described, mainly in terms of the confidence in the contained identified Resources/ Reserves. The various subjective methodologies available for the valuation of ""Grass Roots"" Exploration Areas and Advanced Exploration Prospects -are specifically reviewed. The pitfalls in adopting a ""recipe"" approach are noted. It is the author's view that the Expected Value Method (based on the probability adjustment of the output of a Discounted Cash Flow/ Net Present Value model) has little application in the valuation of exploration mineral assets, so it is only briefly addressed. The methodologies reviewed are listed below. ò Multiple of Exploration Expenditure Method (expenditure based). ò Joint Venture Terms Method (expenditure based). ò Geoscience Rating Methods (eg Kilburn - area based). ò Comparable Market Value Method (real estate based). ò Rules of Thumb (eg $/Resource or production unit; % of in situ value). Some recent Prospectuses are used to provide examples of their misinterpretation and misapplication.

Jan 1, 1994

In the- past, at Great Boulder Gold Mines Ltd,, ,' s.. number of attempts ' ha'tre been made to remove water ' `solublo copper and' iron sa'lt's from calcined pyritic concentrates, but various problems have arisen and the methodsi ve been abandoned. A method of rapid washing has now been developed,, and although some problems still. exist,, a workable `process has boreh established .which. has; resulted in 'substantial savings of 'reagents used for. the. cyanidation of calcine

Jan 1, 1964

By Graham JW, Cullen GV

edicted increase in, Aluminium production and the possibility of a diminishing supply of petroleum coke for anode electrodes in alumina reduction cells makes it desirable to find alternative electrode materials. Brown coal char, with a lower ash content and with an elemental purity similar to petroleum coke, has been produced by leaching in hydrochloric acid, washing with water and charring at 115000. The cost of processing is estimated to be competitive with petroleum coke. Without further processing the bulk density and real density were undesirably low, but. by briquetting the coal before charring and crushing, the bulk density was improved to 92 per cent of the petroleum coke value and the Particle density was improved to 92 per cent of the density of petroleum coke by water-displacement or 75 per cent by mercury displacement. Pre-baked electrodes were prepared from the char alone, mixtures of petroleum coke and char and from petroleum coke alone, all bonded with coal tar pitch. The electrodes were tested for the usual physical properties and were, evaluated for performance in a laboratory size alumina reduction cell. Electrodes based on brown coal char alone were found to be inferior in physical properties, and performance, but mixtures of the char and petroleum coke, despite poorer density, electrical resistivity and carbon consumption on a theoretical basis, in performance tests gave up to 17 per cent better carbon consumption per weight of aluminium produced and 21 percent better electrical current efficiency than the electrodes based on petroleum coke alone. It is suggested that larger scale tests are warranted.

Jan 1, 1970

By Blackwood R. L, Crichton G. P

In recent years, the value to Australia of the introduction of a system of resource rent taxation on the mining industry has been frequently debated. The forms that this rate of return based tax could take, and the impli- cations on government revenue and mining com- pany profitability have been discussed at some length. Further, the selective application of this taxation scheme to certain mining industry sectors has received considerable attention. This study takes the form of a survey of the taxation history of one significant Australian mining venture, the Mount Lyell Mining and Railway Company. The conditions faced by this company during its history are used as a base for the imposition of rent taxation schemes. Comparisons are drawn between the historical taxation liability of the company and that which would have been incurred if a resource rent form of taxation had been in existence. From the results of the study, it can be concluded that while the company can be con- sidered to have been a successful enterprise during most of its history, it has not achieved a level of profitability which would warrant the collection of any form of excess profits Tax.

Jan 1, 1979

By R Ballantyne, M Adams

Time Usage Models, used as a basis for calculating performance indicators for mobile mining equipment, have developed from very simple to very sophisticated models. This development has paralleled the increased collection and analysis of production data that itself has been enabled by the evolution of underground voice and data communications along with the relevant information systems. A Time Usage Model divides the hours that equipment is (or is not) used into standard components, by a hierarchical breakdown, so that measures of productivity can be used to compare performance of both people and equipment. The calculation of equipment availability, and thus the underlying Time Usage Model, has always been an extremely emotive topic as different groups use time usage information for different purposes. The direct link between measuring performance Key Performance Indicators (KPI) calculated from these models and employee rewards impacts upon the workforce. This paper discusses the conflict in use by various stakeholders and proposes ways to address some of the more contentious issues each supported by case studies. The simple status code functionality used by early systems has proven inadequate, leading to the evolution of “work-arounds”. These workarounds have become the norm and unfortunately have become embedded in the next generation of models and the information systems that incorporate them. This paper contends that the industry should stop building Time Usage Models to accommodate shortcomings in proprietary systems, but rather collaborate with suppliers to develop innovative methods to deal with the fundamental requirements. There are many points of differentiation that are not clear-cut. Pitfalls are discussed as well as threats to success. A framework of rules is developed as guidelines for how a Time Usage Model should be developed and applied. This will hopefully stimulate the on-going discussion as to how Equipment Availability and other components of the model should be calculated.

Mar 15, 2021

By Baafi EY

Deposits of gold, silver and other precious metals often display a high variability of grade values, usually a very low average metal content and are frequently not easy to sample reliably. The characteristics, together with the volatility of precious metal prices, make evaluations of precious metal deposits extremely difficult to make. Geostatistical estimation techniques can be used to make grade estimates of precious metals and to assess the reliability of these estimates. Two case studies are presented.

Jan 1, 1987

Dilution in underground coal operations can be underestimated by up to five times during feasibility studies, with disastrous economic consequences. Every one per cent of stone waste introduced can reduce an in situ specific energy of 25 MJ/kg by some 0.25 MJ/kg and increases the abrasiveness of the run-of-mine coal. Where a wash plant is not in place, penalties imposed for not meeting contractual specifications alone can amount to some $A 1 million per year. This paper presents a method for monitoring, reporting and ultimately controlling dilution in an underground coal mining operation and presents the dilution trends from a continuous miner/longwall mine over an eight year period. The overall dilution level for the mine can be back-calculated by comparing the run-of-mine coal quality to the predicted in situ, undiluted quality. However, this will not identify the actual contaminant types, areas of the mine responsible for the dilution and the reasons for the dilution. This additional information is essential for controlling dilution to acceptable levels. Quality and horizon control using existing sampling information is generally only adequate for longer-term control purposes, and is not suitable for monitoring mining-induced dilution. The cost of close-spaced surface drilling to collect the information necessary for short-term control is prohibitive, particularly for deeper mines. However, much of this data can be collected through underground channel sampling and horizon control measurements taken during continuous miner development and longwall extraction. The mine runs the risk of not meeting contractual quality specifications and of increased equipment wear if this additional information is not available and the sources of dilution cannot be controlled. The information can also be used to plan longwall extraction heights on a short-term scale with resulting improvements in productivity.

Jan 1, 2003

AND INTRODUCTION The Lochiel coal deposit, a large Tertiary soft brown coal deposit in the mid north of South Australia, is currently being investigated by the Electricity Trust of South Australia (ETSA) as a potential source of fuel for a base load power station. Feasibility studies indicated that the proposed dragline method of overburden removal was viable but economically sensitive to both highwail and dump batter angles. The unusual properties of the unconsolidated overburden sediments and the groundwater regime posed a number of intimately related hydrogeological and geotechnical questions which were addressed before and during the excavation of a trial pit. All strata at Lochiel are of soil strength, and artesian aquifers occur above and below the coal. From the initial evaluation of the deposit a number of hydrogeological questions were defined. These related to the rate at which the pore pressure in the silts is reduced by dewatering, the extent of the reduction in pore pressure due to prestripping, and the feasibility of dewatering and depressurising carbonaceous silty sand sequences. The site of the trial pit was selected to answer these and other questions from the basis of a detailed geological, hydrogeological and geotechnical understanding. The trial pit dewatering system simulated a full scale mine dewatering system and included ten pumped wells, twenty drainage wells, and nearly 400 monitoring instruments. It operated from September 1986 to June 1987. The excavation was carried out between February and May 1987.

Jan 1, 1988

By Palmer DJ, Bain JH, Pullen JB

Over the last ten years at Risdon, zinc production capacity has almost doubled. This has resulted in modifications, many of which have affected zinc deposition operating conditions in the cells. Some of these changes appeared to have affected average current efficiency to such an extent that a special investigation was initiated, using multiple regression analysis to assess historic cell unit operating para- meters. The study highlighted the importance of certain parameters in maintaining maximum current efficiency for zinc deposition from !Risdon purified solutions under conditions of !changing current density, acidity and zinc con- centrations. Maximum current efficiency was obtained only within a zinc to acid ratio in cell electrolyte of 0.45 - 0.55 and a residual zinc concentration greater than 48 g.1-1, irrespective of actual zinc concentration or The investigation also established: ieters giving minimum power consumption at termined current density; the effect of ntration changes in common impurities on nt efficiency; the existence of high s of some impurities in solids precipit- in the cells and pure solution tanks.

Jan 1, 1975

The Century zinc-lead orebody was discovered in 1990 and contains sufficient reserves to sustain open cut mining at 5 Mtpa of ore for approximately 20 years. It is proposed to pipe mineral concentrate in slurry form 300 km from the mine to the port of Karumba on the Gulf of Carpentaria. The concentrate will be dewatered at Karumba before being transported off-shore to deeper water in a self-unloading shuttle vessel for transfer to export bulk carriers. The four main environmental issues that attracted attention during the impact assessment phase of the project were: the selection of Karumba as the export port, the use of a pipeline to transport concentrate, the risk of concentrate spillage in the marine environment, and aquifer drawdown in the vicinity of the mine. This paper discusses these issues with emphasis on the context of the relationship between the Pasminco Century Project and Gulf communities. Environmental safeguards are discussed, including those that arose out of the negotiations regarding Aboriginal native title.

Jan 1, 1998

By Holliday RJ

The Imperial Smelting Furnace (ISF) was developed in Britain during the 1950's as a process which could produce zinc from a blast furnace. Since then it has evolved into an efficient means of producing zinc and lead from lower grade raw materials, both of primary and secondary origin. These changes have been in response to the need to improve the cost competitive position of the ISF in a climate of decreasing metal prices. The improvements at the Cockle Creek smelter of Sulphide Corporation Pty Limited have resulted from work undertaken in four main areas: 1. Changes in plant design and operating practice to give more stable furnace operation. 2. Improvements to the quality of sinter being charged to the furnace. 3. Improved monitoring of process variables and the formulation of control strategies based on the improved data. 4. Increased understanding of the processes occuring within the furnace shaft to allow predictive modelling to be undertaken. Work in these areas is still progressing but the work to date has resulted in a significant improvement in the production rate and efficiency of operation.

Jan 1, 1984

Two characteristics of the modern mining industry are that there is a skill shortage and that young professional people rise rapidly into highly responsible supervisory positions. With this responsibility comes the burden of identifying and managing health and safety risks. Without the benefit of a comprehensive health and safety training program, these young professionals may be putting both themselves and those under their supervision at risk. The Moura Mine explosions and the asbestos health disaster should not be just artifacts of history, but highly valued lessons that impress the need for comprehensive health and safety risk management strategies on young professionals. From the perspective of the former secretary of the Committee to implement the findings of the Moura (Disaster) Inquiry and as the former coordinator of the Coal Workers Health Scheme, key issues in occupational health and safety management systems are explored.

Jan 1, 2005

Diamonds have been known in Australia for many years, especially in association with alluvial gold and tin occurrences. Exploration for primary sources in the Kimberely area of Western Australia has been carried out since 1968, culminating in the discovery, in 1979, of the Argyle Kimberlite No 1 (AK1) kimberlite pipe. Various techniques have been used in the search for diamonds such as geologic interpretation, aerial photography and Landsat, soil geochenical techniques, geophysics, and stream sediment sampling. Stream sediment sampling, a method developed in South Africa, using the detection of indicator minerals derived from kimberlites in gravel samples, has had wide application and success in Australia. Nevertheless, although Australian diamond bearing kimberlite and lamproite rocks contain some of the classic indicator minerals, their concentrations are generally much lower than in South Africa and Russia. Despite this paucity of indicators, stream sediment sampling is still the best known and most commonly used method of diamond prospecting in Australia. Small samples are treated by hand but larger samples require the use of diamond pans, jigs or heavy media separation plants. Each of these methods has advantages and disadvantages. The final concentrate is passed over a grease table or subjected to x-ray sorting.

Jan 1, 1984

By Arndt MB, Bamberg S

The evaluation of risk is becoming more important in the siting of mining operations in the United States as well as the rest of the world. The determination of environmental, economic, as well as health and safety risks is an important step in the planning of any mining operation. Hydrogeology plays an important role in pre-mine planning and in the determination of these risks. The mine operators must determine if ground water would inhibit mining in any way. Factors which are important to consider include mine dewatering economics, slope stability, and other adverse hydrologic impacts. This paper presents methodologies for the characterization of hydrogeological risks for a mining operation. First of all, the term risk analysis is defined and its utility is addressed. Then, stepwise methods for performing a typical risk analysis are presented. Finally, the application of risk analysis to hydrogeology in mining is given. With slight modification, it is believed that these methodologies can be used to evaluate the hydrogeological risks for any mining operation.

Jan 1, 1988

By J Emslie

Newmont AustraliaÆs Callie Underground Gold Mine is located on the Dead Bullock Soak Mining Lease, approximately 600 km NW of Alice Springs, NT, in the Granites-Tanami Goldfield. Dead Bullock Soak is part of NewmontÆs Tanami Operations, which also include the Granites Gold Mine and processing plant, Groundrush Open Pit and Tanami Mill. Callie is a world class Proterozoic gold deposit; production to date is in excess of 1.7 million ounces, with an additional Proved and Probable reserves at the end of 2002 of 10.8 Mt at 6.3 g/t. Gold mineralisation at Callie occurs in thin (1 - 30 mm) steeply dipping quartz-chlorite sheeted vein system that cuts across a 40¦ plunging folded sequence of medium to fine-grained metasediments. While the vein system is highly continuous, the gold distribution is highly variable and is controlled by the interaction of lithology, alteration, structure and vein density. The mineralisation is commonly coarse-grained and has a relatively high nugget effect, consequently the orebody is problematic to estimate and shows a high degree of sensitivity to drill hole density. Resource modelling at Callie is an example of a geologically driven model that has evolved with increasing data and understanding. Lithological and structural models are employed to define domains within which the grade estimation is undertaken using multiple indicator kriging. This gradual model evolution impacted greatly on the selection of the mining method. Uncertainty in the estimation of the orebody was a significant factor that led to sublevel open stoping with cemented aggregate fill being adopted as the mining method to improve extraction selectivity. Callie often shows strong positive reconciliation compared to the mill. The mine geologistÆs face the challenge of limiting the degree of underestimation of the core of stopes whilst ensuring that stope boundaries are not conservative. This can only be achieved through the mapping of subtle geological features in order to confirm the orebody model. The increased use of the geological mapping has improved our understanding of the controls on mineralisation and has been extended into the development of new models for near mine underground exploration.

Jan 1, 2003

By OÆBrien D, Priddle D

In order to avoid costly moisture penalties on coal shipments and to minimise rail freight costs, screen bowl centrifuges were selected and installed in the Mount Thorley Coal Preparation Plant for dewatering fine coal product. The Mount Thorley fine coal circuit consists of desliming the -0.5 mm (ww) fine coal in two stages of classifying cyclones prior to recovery by froth flotation. Provision has been made to bypass the flotation circuit with the classified flotation feed reporting directly to product and the centrifuge dewatering circuit has been designed to handle either flotation feed or flotation product. Major mechanical failures of the gearboxes and the ceramic tiling occurred early in the operation life of the machines which led to design changes being made to achieve satisfactory operation. This paper discusses the operating experience at Mount Thorley with respect to both mechanical and metallurgical performance of the screen bowl centrifuges since their installation in 1985.

Jan 1, 1989

IT is very difficult for a founder engaged in jobbing work, comprising all sizes and classes of castings, to appreciate that the analysis of the iron he is using cannot entirely fill the situation he desires for his varied classes of work. Neither is there any panacea in the shape of an iron mixture that will suit the whole of his floor for the day.From his own experience he generally alters his cupola charges during the cast, endeavouring to meet at the same time the requisite metal composition for the castings he is about to pour.The founder on repetition work is in a much better position to stabilise his methods, arrive at a certain pig-iron' analysis, regulate...

Jan 1, 1926

By T Walkemeyer, R Elliott, D Chang-Martin

Over the past decade, discrete element method (DEM) simulations have seen increasing adoption by the resources sector to inform the design of materials handling equipment such as transfer chutes, bins and hoppers. But, if ‘all models are wrong, but some are useful’ (Box, 1979) what approaches are available to check that a DEM simulation is useful? How to avoid garbage in equals garbage out. This work considers what properties of bulk solid flow behaviour are important to transfer chute simulation. Cohesive bulk solids (such as sticky iron ore fines) can develop sufficient strength to form a stable cohesive arch, this phenomenon is not well predicted by measurements of angle of repose. This work presents a two-part approach to the development of a useful DEM model that can be used to add value to the design and optimisation of bulk materials handling equipment. Part 1 is the calibration of not just one, but a range of material models chosen to envelope the range of anticipated materials that will be handled. This work describes the DEM simulation of a batch of direct shear cell tests to develop material models that can be measured by the same metrics routinely used to characterise the flowability of cohesive iron ore fines. Part 2 of this work describes systematic methods for validation of the transfer chute DEM simulations. The DEM model is only useful if it can adequately represent the typical problems observed within a transfer chute, such as blockages due to build-up and cohesive arching. Proper validation requires good observations. Validation examples of site observations are shown side-byside with simulations to demonstrate the adequacy of the DEM model and calibration approach. DEM simulations have the potential to add significant value by allowing engineers and designers to predict material flow-through equipment based on a range of material properties, allowing for stress testing designs and making iterative improvements.

Sep 18, 2023

The blasting of the 2190_6095 stope at Kimberley Nickel MineÆs Sally Malay operation in Western Australia is an example of what can be achieved with electronic detonating systems when a drill and blast engineering team is faced with complex blast geometry and a major pump station in close proximity to the stope. Using Dyno NobelÆs HotShotÖ system, the engineering team successfully designed and initiated the 36.5 Kt stope firing, with a powder factor of 0.35, resulting in no damage to the pump infrastructure, better fragmentation of the ore and less overbreak in what had previously been a geotechnical and geometrically challenging stoping environment. This paper will discuss the design parameters used for this stope blast as well as the benefits the operation found in using precision detonator timing in this 252 hole shot over two levels using a combination of up and down and slashing rings that were initiated in four different directions.

Jan 1, 2007

Subsidence prediction methods can be divided into two basic types: empirical and analytical. Empirical methods are based largely on a combination of experience, intuition and observations from a large number of observed subsidence data. They are simple in their application, but they are not based on any principle of mechanics. Analytical methods are based on equivalent material modelling principles, where the ground surrounding the extraction is mathematically represented by idealised materials that deform according to the principles of continuum mechanics. Wide applicability and improved understanding are the principal advantages claimed for this approach. In NSW, significant progress has been achieved in the area of subsidence prediction during the last ten years. Empirical prediction curves are available in NSW for predicting the ground movement in the Southern and Newcastle Coalfields. A' comparison of subsidence values predicted from these curves with the actual monitored values indicates that the curves are adequate for use in conjunction with the existing damage assessment methods. Future research for improving the existing empirical prediction curves can only be justified if it is cost effective. There are several numerical models currently in use in NSW for predicting subsidence. The models do not appear to be superior in their ability to predict subsidence when compared with the empirical curves. the performance of these models will no doubt improve along with advances in defining strata properties and failure mechanisms.

Jan 1, 1991