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By J P. Sykes, C Gemell, A Trench

The perceived and actual impact of government mineral policy upon the government share from gold mining revenues is assessed for ten key countries in which the gold sector is of relevance in advancing economic growth. Five African and five South American jurisdictions are considered, namely Burkina Faso, Ghana, Mali, South Africa and Tanzania from Africa; and Brazil, Chile, Colombia, Guyana and Peru in South America.Both the headline corporate income tax rate and royalty level are identified as poor indicators for the total government share. In addition, significant differences between industry perception and actual government tax levels are identified by this study. The quantitative financial analysis shows that there is no clear relationship between individual taxation rates, taken in isolation, and the overall average effective tax rate (AETR) paid by the project over its life. Neither companies nor governments should use individual taxation rates, or industry perceptions, in isolation to assess the overall competitiveness or equity of a country’s minerals taxation regime – such analysis can be very misleading.In this study, the perceived impact is determined from the well-established Fraser Institute survey published each year, and in 2014 compared 122 minerals jurisdictions globally. The actual impact is determined from quantitative modelling of the financial performance of a hypothetical gold mining project in each country. The technical parameters of the project are held constant; instead the differing mineral policies in each jurisdiction are applied to determine the resultant impact upon the relative share of the economic rents delivered to both private and public sectors. In the quantitative analysis, the total government share varies from 36.3 per cent in South Africa to 66.5 per cent in Ghana.CITATION:Gemell, C, Sykes, J P and Trench, A, 2016. Is perception reality? Evaluating the fiscal attractiveness of international jurisdictions for gold mining investment, in Proceedings International Mine Management Conference, pp 227-238 (The Australasian Institute of Mining and Metallurgy: Melbourne).

Jun 22, 2016

Arm Royalty systems of different types are used throughout Australia by both state and federal governments to raise revenue and thus facilitate in the proper distribution of mineral wealth. Royalty systems should be neutral and equitable but by their very nature these objectives are impossible to obtain. Because of the individual nature of mineral deposits, in particular variable cutoff grades and tonnages, governments should be aware of the possible trade off between short and long term gains of the particular royalty scheme introduced.

Jan 1, 1982

The new field of environmental investiga tions introduces new problems of ethics, res- ponsibility, conflict of interest and technical procedures. Such investigations involve four elements: developer, consultant, approving authority and the public. It is essential that the consultant provide technical competence, speed and efficiency, impartiality and credibi- lity. Despite allegations to the contrary, it is not in the consultant's own best interest to omit, ignore or obscure significant adverse en vironmental impacts.

Jan 1, 1975

Successful restoration of Ballarat region alluvial gold workings to Box-Ironbark forest requires realistic evaluation of techniques. A stocking level threshold of 68 percent is used to rate the success of 'broadcast' seeding of E. microcarpa, E. Melliodora and E. Leucoxylon.Failure necessitates follow-up enrichment planting with tubestock, which is considered undesirable, interalia, due to pathogen, spacing and economic problems.

Jan 1, 1992

By S Versace, D Arnott, D Bojcevs, A Shaw

The George Fisher deposit is a significant sediment hosted silver-leadzinc resource located 2 km north of the Hilton Mine in NW Queensland. The George Fisher feasibility project involved the completion of underground and surface drilling programs to delineate Measured and Indicated Resource which could be converted to an Ore Reserve through mining and commercial studies. The geological information which was collected and used for the feasibility study included a major program of diamond drilling, predominantly from underground sites, but with some drilling also completed from surface. All drillcore was geologically and geotechnically logged, sampled and assayed. Data was also collected from underground cross-cut and drive development which was mapped for rocktype, ore distribution, structure and geotechnical condition. This new geological data, generated during the Pre-Feasibility and Feasibility stages, was combined with results of all previous drilling campaigns in the George Fisher area to produce a comprehensive database on which geological modelling and Resource estimation could be based. To allow fast and accurate collection and utilisation of data from the drilling program, digital collection processes were used where possible. This resulted in rapid data entry into the project database, significantly enhanced data quality, 100 per cent data ownership within the project team and increased productivity levels. Processes used during the project data collection program are described, lessons learned are related and suggestions for ænext timeÆ are listed using the benefit of hindsight.

Jan 1, 1998

This paper examines some of the important aspects of mineral taxation policies and practices, with reference to the mining tax regimes of selected Pacific Rim countries (see Tables 1 and 2). The following subjects are addressed:what is æmineral taxationÆ?, basis for mineral taxation, types of mineral taxes, objectives of the mineral taxation regime, best practices, and mineral royalties. Many countries, in some cases with the encouragement and assistance of international funding agencies, are actively assessing the international competitiveness of their mining tax regimes with a view to attracting investment. However, these countries recognise that the mining tax regime is not the only consideration that is taken into account by prospective investors. The countryÆs geological prospectivity, physical infrastructure, labour force, political risk, and regulatory system are also important factors in the investment decision making process. Although it is probably true that an attractive mining tax regime will not necessarily attract mineral investment, there is a real possibility that an unattractive regime can drive away investment. For example, Hugo Dummett, general manager for discovery at BHP, hinted recently that BHP could cease exploration in Russia in the absence of positive tax changes. Dummett is reported as saying that if taxes æend up being as onerous as they are now, we really have to rethink why we are hereÆ (Mining Journal, London, November 27, 1998).

Jan 1, 1999

By J-M Rendu

Substantial progress has been made over the last ten years in the development of uniform national and international standards covering the definition, estimation and public reporting of mineral resources and mineral reserves. Agreement between the major participating countries has been reached, which includes the requirement that a Competent Person prepare and approve publication of mineral resources and reserves. Most national regulatory organisations have accepted the new standards and have included them in the rules that must be followed by mining companies operating under their jurisdiction. These developments are the result of a concerted effort on the part of professional societies, national regulatory agencies, international organisations, and many dedicated individuals. The historical development of these standards is summarised in this paper. Accepted definitions of mineral resources and mineral reserves are discussed, as well as the definition and role of the Competent Person. Additional effort is needed before the international standards are fully understood, accepted and followed by mining companies, regulatory agencies, the investment community and the general public. Steps being taken toward development of an International Code are outlined.

Jan 1, 2002

A major problem with many items of underground equipment is that they have either been converted or adapted from surface equipment, or that they have been designed and assembled in comfortable offices and factories with adequate lighting, specialised tools, and ample space. As soon as they are in use underground in cramped spaces maintenance frequently becomes difficult, parts are awkward to change, and a whole range of accidents can happen.Similarly, ingenious operators discover a whole range of uses for which the equipment was not designed, such as using a loader bucket for a work platform, or scaling backs with it.Design modifications of equipment and removal of hazardous components that can trap limbs is expensive when the dangers are discovered in operation, sometimes posthumously, and it is not surprising that workers compensation insurance premiums are high. The cheapest place to ensure that equipment is safe is in the design office, where the operator should be considered first, rather than being added to a purpose built machine as an afterthought.

Jan 1, 1992

By Butcher NM, Walker GS

Argyle Diamond Mines Pty. Limited (ADM), manager and operator of the Argyle Diamond Mines Joint Venture (ADMJV) will recruit approximately 400 employees during 1985 to operate the new large-scale, open-cut diamond mine and treatment plant being developed at Argyle, in the East Kimberley Region of Western Australia. These employees will live in Perth or environs and will commute to work at Argyle via chartered jet aircraft. On site, they will be accommodated in self-contained single person's quarters, with central messing and recreational facilities. Rostering systems have not been finalised, but it is likely employees will rotate through a cycle of 14 days at site and seven-days on leave in Perth. ADM spent three years evaluating residen- tial options before deciding to commute its workforce from Perth. Another 70 senior staff will reside in Kununurra (the nearest established town, 250 km from Argyle) and commute to the mine daily by air.

Jan 1, 1984

Selection of the mining method and most appropriate mine layout for deep open cut coal mines is discussed, giving particular attention to the types of mines expected to be developed in the future in Australia. Because of the more complex nature of these operations a large number of alternatives for mine design are available, and the constraints associated with these designs are discussed. Potential problems to be overcome are identified to allow setting of realistic targets for maximum output and build-up production rates.

Jan 1, 1981

By Zhang Y. D, Zhang R. X

A new decision-making approach of artificial neural network system with hierarchic structure is presented. The fundamentals of network topology, node functions and network training are introduced. A neural network system with hierarchic struct

Jan 1, 1998

Mine planning for ore recovery by open stoping and pillar recovery is becoming more sophisticated, but there are basic operating constraints which must be imposed if this planning is to realise the production results on which the mine is dependant. The production reliability of an open stope is usually a high priority and common design problems can be identified. A range of practical considerations which should be considered at the mine planning stage are reviewed including equipment performance, blasting technology, ventilation requirements, development layouts, lead time, ground conditions, support, backfilling and ore recovery.

Jan 1, 1982

Independent assessments of existing and projected mining operations are often required in the exchange of assets and for raising capital, requirements which are particularly prevalent where there are new mining fields, a characteristic of the Pacific Rim area. Such audits and appraisals typically consist of a geological evaluation of the ore deposits; estimates of mineral inventories and mineable reserves; assessment of mine plans and costs; assessment of ore processing methods, recoveries, and costs; assessment of infrastructure and G&A (general and administrative) requirements and costs; assessment of environmental, permitting and reclamation requirements and costs; and, finally, economic evaluation based on various discount rates and metal prices. Audits provide a challenging task for consulting engineering companies, but one well worth the effort for mine developers and those connected with financing of the mining industry.

Jan 1, 1990

The risks faced by organisations are part of a risk continuum. They can be evaluated in terms of hazard, uncertainty and opportunity as well as by the degree of influence they have on conformance, operating performance and strategic objectives. This paper discusses the application of risk management techniques for mitigating blasting hazards, reducing blasting output variability, and implementing blast improvement opportunities. Effective risk management practices can identify and evaluate risks across all levels of the continuum and can deliver realistic assessments of the likelihood and impact of risks on the companyÆs safety and business objectives. This paper does not attempt to present technical details about blasting, rather it aims to provide enough blasting context and examples so that the practical benefits of applying the risk management process to blasting can be fully appreciated. The topics discussed include: explosive management plan; statistical process control; quality blasting, rock-on-ground; Blast Management; Mine to Mill optimisation; and blasting information systems. The concept of a blasting risk management system employing a continuous improvement loop is also introduced. On reflection the insights presented should be extremely useful for observing and understanding which risk face has management focus at a mine site or for a blast site.

Jan 1, 2001

Having successfully applied computer techniques to open pit mining applications, many software developers are now using their skills to tackle the much harder areas of underground mine design, planning and production.Dramatic improvements in the performance to price ratio of hardware (including high resolution graphics screens), a better understanding of the techniques of surface and solids modelling (and their subsequent display), moves towards standard user interfaces and advanced concepts of representing grade distribution in the ore body have all contributed to the recent increase in underground mining software activity.This paper details the general requirements of a workable underground mining software system, providing a minimum checklist of desirable features and emphasises the importance of ease of use, flexibility and intuitive feel. Some relevant trends in hardware, software and application techniques are highlighted and comments made on areas which require further development or are only available in a small number of packages.Finally, a comment is made on the role of computer models to provide a unifying medium for tying together all aspects of underground design, planning and production.

Jan 1, 1992

By Seshold P

The cost of capital is the rate at which a project's cash flow should be discounted to obtain the Net Present Value. The cost of capital is a weighted average of both debt and equity funds of a company, on an after tax basis. Two methods are described for calculating a company's cost of equity, the Dividend Valu- ation Model and, more importantly, the Capital Asset Pricing Model. A worked example is presented where the cost of capital was obtain- ed for two resource companies. The application of the cost of capital was illustrated by way of a mining equipment replacement problem. The paper outlines refinements and problems that may be encountered with the use of the cost of capital, and concludes that it is an integral part of any project evaluation.

Jan 1, 1983

By Z B. Rakisheva

By explosion rock mass behaviour is conditioned by preset complex of rocks natural characteristics. Very important role of blockness, which is percent (share) content at examining massif of natural separatenesses of different dimensions and configurations, separated each from other by the cracks of geological and technogene origin. Besides natural properties of massif the power, detonational characteristics of applied explosives, parameters of explosives charges disposition at massif and technology of explosion influence vastly at lumpiness (granulometric structure) of exploded rocks. The mathematical model of rock mass destruction by explosion had been elaborated and substantiated. It ties mutually the initial data (rocks properties, parameters of the charges disposition) and final results of explosion (granulometric structure of exploded rocks). The program of this complicated problem solving had been compiled. Analysing the received results of the problem solving, one can reveal contribution of each group of influence factors for lumpiness of exploded rocks. This fact creates preconditions for elimination or diminution of negative role of some controlled initial data.

Jan 1, 2003

By D von Horn

Mineral sand orebodies are typically mined for their TiO2 content. Increasingly over the past 30 years, the major mineral focus has shifted from natural rutile to ilmenite and an acceptance that the latter generally needs some form of upgrading for economic conversion into TiO2 pigment. This upgrading obviously has a cost, and in conjunction with diminishing mineable feed grades, results in higher cost TiO2 units for chloride route Pigment Plant feedstocks. The net cost of feedstock can be significantly influenced by the recovery and sale of accessory minerals and by-products from the processing chain to the extent that some producers have the potential to achieve a zero net cost. Whilst slagging plants typically reduce net cost from rutile, zircon and pig iron revenues, operations supporting Becher type synthetic rutile operations have been limited to revenues from rutile and zircon only. A range of alumino silicate minerals show industrial potential, as does activated carbon, iron oxide and gypsum, by-products of the synthetic rutile process. Tiwest is a good example of a company maximising revenue from the accessory minerals as well as from by-products of the synthetic rutile process.

Jan 1, 2001

By S Wainio, P J. Beckett, T Miller

Lichens are a symbiosis of fungi and algae. Air borne elements and gases are absorbed very efficiently over the entire surface of the lichen, because they have no protective structures such as a waxy cuticle or stomata. A survey in 1977 (one year before the Sudbury Regreening program began), indicated that several Cladonia spp had invaded the soil in Sudbury’s open birch woodlands. Pollution sensitive species such as Cladonia rangiferina and C. mitis occurred 20–25 km from the smelters. It was anticipated that the improvements in air quality and reclamation efforts would allow a natural invasion of pollution sensitive species into what once was a lichen desert that surrounded the smelters. The purpose of this project was to study the invasion of terricolous (soil-inhabiting) communities of lichens and mosses on reclaimed land in the Sudbury region 45 years after commencement of the Sudbury Regreening Program.

Aug 2, 2023

By C Robertson, J Campos

The South African mining industry first experienced en-masse use of electronic detonators in the Narrow Reef environment using AELÆs ElectrodetÖ pre-set delay system. In recent years, programmable systems such as AELÆs SmartdetÖ have also established their position, and within both AEL and the mines there has been important learning around the strengths and weaknesses of these systems. In general, the fixed delay systems tend to be more easily appreciated by less-skilled work teams, and are very well suited to simple layouts, especially long, narrow blasts. However, development of programmable row controllers and series delay inserts has greatly expanded the field of usefulness of these systems while retaining most of the simplicity of use. The programmable systems are immensely flexible and therefore able to function under any condition, but require a higher level of discipline and knowledge. Much has been done to address this issue and make the systems user friendly, so the systems have converged to some extent. These systems are both valuable tools for achieving control over blasting in underground and surface applications. The choice of system is very dependent on the prevailing conditions. Accurate timing with electronic enhancements continues to show an increasing range of benefits to mining operations. There is a strong parallel with non electronic initiation systems which helps to understand the appropriate use of the systems.

Jan 1, 2001