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By H M. Ahmed, W S. Dunbar

Construction of cave mining systems requires significant capital expenditure and long-term commitment of human, equipment and material resources before production commences. Risks and uncertainties of these large-scale mining projects are significantly higher than for small-scale projects. This is due to the complexity and interactions of the construction schedule components and the large scale and uniqueness of such projects. One way to successfully manage construction uncertainties that would lead to schedule delays is to include a reasonable cost contingency in the budget estimation. A real options approach based on the least-squares Monte Carlo (LSM) method is used to estimate cost contingency associated with schedule uncertainty in mass mining projects. Cost contingency is estimated as the cost of potential project crashing (acceleration) decisions, which pays for not extending the schedule. While such a significant undertaking is expected to be subject to some delays, these can have an enormous impact on the economic value of such projects. The value of the crashing option was explicitly formalised into the process of valuation, as it is assumed to be a single option being considered in the valuation at every decision point prior to the construction completion date. As a part of the proposed method, a stochastic function for the percentage of remaining scope of work for the remaining duration of the entire project was integrated into a framework of numerical simulations. This ensured that this function can implicitly account for sources of schedule uncertainties for projects represented by multiple and overlapping work packages. The LSM method was applied to a real case scenario in an operating block cave mine, with modified scale and features. The results yielded by the LSM method indicated that significant changes in capital budget allocation stem from variation in a contractor’s risk perception and confidence level of estimated delays.CITATION:Ahmed, H M and Dunbar, W S, 2016. Budget estimation and contingency allocation of block cave construction using least-squares Monte Carlo real options, in Proceedings Seventh International Conference and Exhibition on Mass Mining (MassMin 2016), pp 801–808 (The Australasian Institute of Mining and Metallurgy: Melbourne).

May 9, 2016

By G P. Taylor

Mining Lease SML 57 was registered to Mount Kasi on 5 January, 1995. The Mount Kasi gold mine is located in Vanua Levu, Fiji's second largest island and operated from 1932 to 1946 producing 261,000t of ore at an average grade of 7.5g/t Au. The deposit represents a structurally controlled style of high sulphidation copper gold mineralisation with peripheral low sulphidation mesothermal vein type gold mineralisation. The resource consists of 1,048,000 tonnes of residual soils (eluvium) containing 1.9 g/t Au at 0.5 g/t Au cut off and 1,240,000 tonnes of hard rock at 3.0 g/t Au and 1.0 g/t Au cut. 94 drill holes, 298 auger holes and 85 pits were modelled to outline the resource. 29% of the pits bottomed in mineralisation and it is likely the full thickness of eluvium has been understated. The pit is scheduled to produce 500,000 tonnes of ore per annum to yield 35,000 ounces of gold with an initial 2 years of eluvial ore followed by a further 2 years of hard rock ore. Total capital costs are estimated to be less than 10.0 million dollars with construction planned to commence in 1995. The likelihood of locating further ore is high.

Jan 1, 1995

By T Nassis, H M. Nel, T du Toit

Assmang Khumani Iron Ore Mine is exploiting the iron ore deposits that can be found in the Bruce-King-Mokaning farm areas in the Northern Cape, South Africa. The Bruce, King and Mokaning (Khumani) deposits are approximately 10 km south of the town Kathu, adjacent to the Sishen Mine. Assmang Limited is jointly owned and controlled by African Rainbow Minerals Limited and Assore Limited.Measurement, calculation and trending of plant throughput and chemical ore properties are critical in maintaining a successful beneficiation operation due to these values forming the basis of decision-making and thus promotion of efficient ore extraction. The Khumani management and engineering information system (MEIS) supplies information on key process parameters to an operational team and is required to do so within an optimal time frame, for maximum impact.Diverse data is put into the MEIS from multiple specialist systems, with interfaces that require manual intervention. Manual intervention is resource and time intensive to the point which limits the effect on the process and decreases the potential for value addition.Automation of interfaces decreases resource and time requirements, standardising plant wide data sources and providing the opportunity to provide specialist system data to decision-makers in a timely fashion, resulting in maximum impact on the process output.Engineering and metallurgical management systems were interfaced at Khumani Iron Mine by means of an automated table which facilitates the transfer of production data validated within the engineering system as input to the metal accounting system. This interface effectively assigns a master to each specialist data set employed for decision-making and delivers accurate process parameters to the production team within an optimal time frame, resulting in increased potential to improve beneficiation efficiency.CITATION:Nel, H M, Nassis, T and du Toit, T, 2013. The role of metallurgical and engineering information systems in the optimisation of iron ore beneficiation processes, in Proceedings Iron Ore 2013 , pp 453-458 (The Australasian Institute of Mining and Metallurgy: Melbourne).

Aug 12, 2013

By T Brown

Australia is now committed to the most significant period of infrastructure investment since the 1960s and the current climate of project finance and public private partnership (PPP) model uncertainty means it is imperative that the affordability and certainty in delivery of infrastructure projects is maximised.In light of the current and forecast levels of infrastructure investment it is worth drawing comparison with a similar period of Australian expansion when the nation’s first railways were constructed. Similarly to over a century ago, we are following a trend in rapid development and are already reaping the inefficiencies that could be avoided with broader technical planning and improved client coordination.The original rail networks were developed by the individual states before they combined to form a Federation of states in 1901. As a result of the adoption of different gauges by 1917 a passenger wanting to travel by train from Brisbane to Perth had to change trains six times.Similarly in 2011, there is little parity between Australian states on the quality requirements (performance specifications) for road tunnels. Differences between states start most significantly with the size of the specified traffic envelopes, thus the size of tunnel required. Where ambiguity and differences exist in project documentation, performance specifi cations (PS) and broad technical requirements for road tunnel projects, any associated risk in interpretation ultimately ends up being incorporated in the bidder’s (constructor’s) final sell price.Whilst not nearly as inconvenient as having to change train at each state border, and largely unnoticed by the general tax paying motorist, this paper examines examples of apparent minor differences in Australia’s recently constructed road tunnels to highlight the differences in road tunnel specifications.The paper identifies how these small differences manifest themselves in major price penalties between projects and further, highlights the need for further specification review, refinement and standardisation across road tunnel jurisdictions to increase road tunnel affordability.

Mar 8, 2011

By M Rafty, A Markham, S Atkinson, M Heyting

Over recent years there has been a significant increase in the number of miners in the Pilbara region of Western Australia targeting channel iron deposits (CID) located in valleys, intersected by ephemeral creeks and below the groundwater table. The falling iron ore price has triggered a drive to reduce cost and maximise yield. Creek diversions provide an opportunity to maximise the utilisation of orebodies and extend the life-of-mine.Creek diversions that are required during mining operations to access ore and provide flood protection have historically been constructed as uniform engineered channels designed primarily for flow conveyance while minimising earthworks costs; however, the design of diversions becomes more complex when they are required to function in a similar way to the existing creek system during operations and remain stable during more extreme events than would typically occur following mine closure, in accordance with current regulatory guidance. The design specifications for closure are often more rigorous than the operational phase, and could incur significant additional cost to implement retrospectively if not planned and designed upfront.The complexity of diversion design depends on site specific factors such as: the size of the creek to be diverted; hydrology; corridor restrictions; geomorphology; hydrogeology; geology; environmental and heritage values; potential impacts and the risk to operations and environment. The complex interactions of these factors must be well understood and hydraulic modelling undertaken to characterise the existing creek system, demonstrate the diversions, provide adequate flood protection during operations, and can function in a similar way to the existing system following mine closure. This paper presents key design considerations for Pilbara creek diversions, operational and closure requirements, mine planning considerations, risks, cost saving opportunities, and the benefits of an integrated approach to design.CITATION:S Atkinson, A Markham, M Rafty and M Heyting, 2017. ‘Back to the future’ – resilience in historical context and implications for the future, in Proceedings Iron Ore 2017, pp 367–374 (The Australasian Institute of Mining and Metallurgy: Melbourne).

Jul 24, 2017

Evaluation of Comminution Circuit Design for Sustainability Using EcoNomicsTM

Sep 13, 2010

By D J. Corp

The Halmahera Contract of Work is a sixth generation contract held 82.5 per cent by Newcrest Mining Limited and 17.5 per cent by PT Aneka Tambang and takes in the Gosowong Project area. In 1991 Newcrest Mining Limited established a small exploration office in Jakarta and proceeded to seek exploration opportunities. The Halmahera area was identified as a substantial prospective ground position in a relatively unexplored area. In late-1991 Newcrest Mining Limited and PT Aneka Tambang agreed to explore in Halmahera. Initial field work commenced in July 1992. A vigorous ground reconnaissance programme led to the discovery of the Gosowong deposit a little over 12 months later in September 1993. In April 1997 the Contract of Work was approved covering much of the island of Halmahera. Between September 1997 and November 1998 activities were directed principally towards obtaining the necessary permits required to commence construction activities. Some particularly ambitious targets were set for achieving this outcome. An aggressive construction programme commenced in late-1998. Construction took place during a period of unseasonally high rainfall, which in itself presented additional challenges to the construction team. A key milestone for the project was achieved on 1 July 1999 when wet commissioning of the process plant commenced. Construction of the Gosowong Mine was achieved on time and within budget. A period of some six years elapsed from the initial discovery of the Gosowong deposit to the time of the first gold pour. Much of the permitting, construction and commissioning activity took place between September 1997 and July 1999. This coincided with a period of significant social, economic and political upheaval in Indonesia. During the construction period a high level of importance was placed on the structured recruitment and training of local people, as well as fostering appropriate community and local business development programmes in the communities nearby the project. Emphasis was also placed on environmental management with detailed long-term planning and progressive rehabilitation commencing during the construction phase. The permitting and subsequent development of the Gosowong Project has demonstrated that even during the difficult times, with commitment, it is possible for mining and exploration companies to conduct business in Indonesia.

Jan 1, 1999

The Macraes Mining Company Limited was listed on the New Zealand and Australian stock exchanges in January 1990, and the proceeds of the float were used to purchase a 70 per cent interest in the Macraes Gold Project, previously owned by BHP Gold Mines (NZ) Limited. Macraes Mining has had a 30 per cent interest in the project since May 1984, when it was incorporated. Project financing in the way of a gold loan was secured in February 1990 and construction commenced shortly afterwards. The mine construction activities were completed within nine months and the mine commenced operations in October 1990.

Jan 1, 1991

By A P. Brown

Comparison of legal permits required for mining (as opposed to prospecting or exploration) inNew Zealand, under the Mining Act 1971 and the Resource Management Act/Crown Minerals Act 1991. Mining generally receives the same treatment as any other industrial or commercial activity.

Jan 1, 1995

Biosorption of Cr(VI), Pb(II) and Zn(II) from Aqueous Solutions by Immobilised Phanerochaete chrysosporium Biomass in a Fixed-Bed Column The continuous-flow adsorption of Cr(VI), Pb(II) and Zn(II) from aqueous solution by immobilised Phanerochaete chrysosporium biomass in a fixed-bed column was studied. The effects of flow rate, influent concentration of Cr(VI), Pb(II) and Zn(II) and bed depth on breakthrough curves and biosorption capacity were investigated. The experimental results showed that the breakthrough time decreased with increasing flow rate, increasing influent concentration and decreasing bed depth. The data also indicated that the equilibrium uptake of Cr(VI), Pb(II) and Zn(II) increased with decreasing flow rate and increasing influent concentration of Cr(VI), Pb(II) and Zn(II). Two models were employed to predict the breakthrough curves and to determine the characteristic parameters of the column useful for column design. The Thomas model was able to predict the breakthrough curve in the range of relative concentration(Co/Ci) higher than0.3, Cr(VI), Pb(II) and Zn(II) whereas the validity of the Bohart-Admas model was limited to the initial part of breakthrough curve at all flow rates and influent concentrations of Cr(VI), Pb(II) and Zn(II). The feasibility of reusing the immobilised fungal beads through five adsorption/desorption cycles in fixed-bed column was investigated.

Sep 13, 2010

The Martha Hill project operates with a nett surplus of water, due to the catchment of rainwater on the tailings dam and the requirement to de-water the open pit mine. It is necessary to discharge this surplus, treated as required, to the Ohinemuri River which flows past the process plant.   The treatment plant, adjacent to the process plant, handles all effluent from the Martha Hill operation including water pumped from the mine, excess water from the tailings decant, and seepage from the tailings dam underdrains. To-date the plant has treated and discharged over 800 000 tonnes of water.

Jan 1, 1991

Today computers are accepted as a standard item in industry and they perform a variety of tasks over a wide spectrum of activities from mine planning and CAD to data processing and spreadsheet work. However many problems particularly in the. area of decision making where there are no clear mathematical models available and usually the output or answer is dependent to some extent on a heuristic approach, don't lend themselves to conventional solutions using standard procedural algorithms. Recently a number of techniques have evolved primarily from the enhanced capabilities of modem equipment, which are capable of solving these problems. This paper is a brief overview of these rather unconventional developments of computer technology in the area of artificial intelligence with reference to their application in mining.

Jan 1, 1993

By T Graham

The invention of the traditional belt and idler conveyor system is attributed to Thomas Robins in 1892. This basic concept, ubiquitous in most mining operations, has not changed markedly in 125 years and still suffers from five forms of energy losses. Firstly, Wheeler, Roberts and Jones (2004) showed that indentation rolling losses, a consequence of the indentation a roller inflicts on the belt, consume 60 per cent of all energy. Secondly, Wheeler (2006) explained that bulk solid flexure resistance resulting from material interaction and movement absorbs 20 per cent. The remaining energy is lost by idler rotating resistance (5 per cent), belt flexure resistance (5 per cent) and secondary resistances (10 per cent).Traditional conveyor systems are continuous as opposed to batch systems, implying both positive and negative features. On one hand, continuous systems have high availability (available infers ‘ready to run’), but, on the other, utilisation of availability is often low; for example, when a conveyor is running empty or below capacity. This converts into reduced system OEE (overall effective efficiency). Many attempts have been made to mitigate energy losses and low OEE issues, including development of rail-based systems. The key drawbacks have been higher capital cost, low flexibility, poor availability and lack of market acceptance.A recent conceptual development known as the ‘autonomous rail conveyor’ (ARC) promises to address issues of energy loss and poor availability and provide increased flexibility by offering solutions for difficult applications. The ARC uses a series of interconnected skeletal bogies covered with a conventional conveyor belt as a load bed running on relocatable light rail. The bogeys have two axles, each driven by integrated variable speed-geared motor and brake systems, and are connected to previous/next bogeys by specialised couplers. Power is provided by a generator (located in a dedicated bogey) and ‘daisy chain’ plug in cables. Centralised redundant control is provided at a preferred point. Although the system is batch in nature, the number of carriages and trains is flexible, meaning that the system is effectively continuous. Loading is achieved by feeding the ARC from a perpendicularly oriented apron feeder, while material off-loading is accomplished by a twist-dump operation in which the belt is twisted through an angle of 50° below the horizontal, causing material to flow from the belt into a receiving conveyor.The ARC system can run multiple trains over any distance, although benefits are more significant in distances of over two kilometres. Capital and operating costs are predicted to be lower than competitive products, with planned maintenance being simple to perform.CITATION:Graham, T, 2017. The autonomous rail conveyor significantly reduces ore haulage costs, in Proceedings Iron Ore 2017, pp 467–472 (The Australasian Institute of Mining and Metallurgy: Melbourne).

Jul 24, 2017

Cyclone Process for Heavy Metals Decontamination of Sediments

Sep 13, 2010

By G C. Bolton

Experiments were conducted to access the feasibility of removing zinc from lead slag by sulfation or chlorination or both. Gaseous sulfation with sulfur dioxide and oxygen released only 50 per cent of zinc even under the most severe conditions. Sulfation with concentrated sulfuric acid by a fast-leach process released 95 per cent of zinc while pug-roasting released a maximum of 78 per cent of zinc. Chloridization with NaCl in the presence of sulfating gas released 50 per cent of zinc, while direct chlorination with chlorine gas and oxygen released 85 per cent of zinc and 100 per cent of lead in a chloride condensate containing little impurities.

Jan 1, 1980

By S D. C Rabone

An elongate belt containing granodiorite stocks with associated stockwork molybdenum mineralisation in west Nelson is correlated with the I-type Separation Point Suite of mid Cretaceous age. Trace element characteristics of the 'Mo-granites', and the Separation Point Batholith strongly suggest a primitive, subcrustal origin for these granitoids, by partial melting of oceanic basaltic crust or upper mantle material in a subduction zone. They were emplaced in the upper crust without undergoing significant differentiation or contamination by sialic crust. Molybdenum, which is at levels of approximately 5 ppm in unaltered granite, is not significantly reduced in altered (but unmineralised) granite. This suggests the metallisation has a magmatic, subcrustal source and is not derived by hydrothermal leaching of upper crustal rocks or the granitic host rocks. Geochemistry of the 'Mo-granite' belt, in particular low K2O, calc-alkali to calcic Peacock Index, high Sr and TiO2, and low Rb, Nb and F, suggest classification as calcic granitoids similar to those which host porphyry copper deposits, indicating grades of mineralisation are likely to be low.

Jan 1, 1987

By M Sherman

The challenge facing the engineering provider is to calculate throughput rates when faced with disparate specific energies calculated by different testing methodologies. Typically, an ownerÆs team would expect that the throughput calculations be checked using more than one method, therefore it is inevitable that there will be differences, based on which methodology is used. This engineering challenge is exacerbated by the continuing evolution of contemporary circuit configurations such as two stage pebble crushing with or without high pressure grinding rolls (HPGRs) as the second stage, or second stage pebble crusher product reporting to the ball milling circuit, etc.This paper is a companion to the paper first presented at SAG 2011, which showed that the Bond Indices are an excellent tool for estimating the specific energy requirements for semi-autogenous grinding (SAG) mills in single-stage SAG milling (SSS) circuits, SAG and ball mill circuits (SAB) or SAG and ball mill circuits with pebble crushers (SABC). This paper presents how the Bond Indices have been used to calculate ball mill specific energies, and therefore throughput rates, for SAG mill based circuits. Once the ball milling specific energy is known, tower mill and vertimill energy requirements can also be calculated. It is noteworthy that the method presented in this paper does not require the use of any unpublished correction factors: the proposed method uses the Bond parameters and equations published by Rowland in 1982.CITATION:Sherman, M, 2013. 21st century bond, in Proceedings Iron Ore 2013 , pp 309-312 (The Australasian Institute of Mining and Metallurgy: Melbourne).

Aug 12, 2013

By J D. St George

Flyrock is the unexpected and undesirable projection of rock fragments during detonation of a blast and managing this risk is becoming an increasing challenge as urban development encroach toward mineral extraction sites. The basic factors associated with flyrock are discussed in relation to geology, blast design and management. Published data of historical flyrock events are investigated and compared with local information on incidents. Good agreement was found between the data sets. A computer program of flyrock was developed using projectile motion based on launch velocity and angle, rock size, shape and density. This deterministic model was coupled with a probability model to simulate blast events. The impulse time ?t of the explosive pressure was taken as the stochastic variable to replace launch velocity. The variables were calibrated to replicate field data. A simulation was executed to demonstrate the capability of the approach to defining flyrock danger zones. For a simplistic situation it was identified that an appropriate distance to be cordoned off for the blast danger zone is a radius of 120 m in front of the blast and 65 m behind.

Jan 1, 2001

Environmental information is an essential part of successful mine design and approval. In order to be most effective in its application and availability, this information needs to be collected in programmes with defined objectives and deadlines. Applied Geology Associates have established a methodology to facilitate the structured collection of environmental data, which provides for the diverse needs of both engineering design and applications for statutory and non-statutory approvals. Principal aspects of this methodology are the scope, timing and management of the environmental studies within the overall project planning framework.

Jan 1, 1987

By M K. de Brodtkorb

Late Cenozoic ore deposits æPrecious and base metal-richÆ and æSn-Ag-polymetallicÆ ofNorthern Puna are associated either with Middle Miocene dacitic volcanic-dome complexes or with Upper Miocene dacitic-andesitic volcanic centres.   Ore mineralogies and their related volcanism are discussed. A strong link is observed between the Cenozoic Metallogenetic Province of Northern Puna and the Southern Bolivia Tin and polymetallic provinces.  

Jan 1, 1995