Search Documents

By I. Benning

Since the dismal performance of the Rand Mines management was called to account by its shareholders in 1994, the waves of change have continued to ripple across the South African mining industry .The number of listings on the gold board of the Johannesburg Stock Exchange, that once numbered 40 or 50-odd, have now dwindled to no more than a handful as unprecedented restructuring has taken place. The redefining of the industry has not been limited to the gold sector, but across the base metal, coal, diamond, platinum and industrial mineral sectors as well. At the same time the Mining Houses began to reconsider their funding strategies. Originally established in the early part of the century to ensure the long-term sustainability of their group mining operations by providing substantial financial muscle and technical support, the Mining Houses were faced with a rapidly changing political environment, which proved to be a critical catalyst in giving momentum to the change. Furthermore, the significant development costs and increasing risk profile for new projects, coupled with pressure from shareholders demanding respectable returns, opened the door to opportunities for banks to begin providing external debt by the way of project finance. However, the provision of long-term debt to the South African mining industry had generally not been common since mining companies had financed new projects with equity, or with the cash flows from existing operations. Those banks that had the appetite for exposure to the perceived high risks of the mining sector rapidly built up specialist resource banking divisions capable of addressing the increasing demands of the industry. The application of project finance, the principles of which were developed in the 1970s specifically for infrastructure projects and privatization, is now commonly applied in the financing of greenfield and brownfield mining projects. This paper outlines the approach that lending banks would typically adopt when arranging or providing mining project finance, their usual areas of concern and the way in which the finance is structured to mitigate the many inherent risks.

Jan 1, 2000

By B. Kenny

The aim of this paper is to provide an overview of existing forms of subcontracting in the South African mining industry. A descriptive framework is developed to understand different subcontracting arrangements. We argue that, in order to do so, it is important to distinguish between labour broking and gang subcontracting. Data resulting from a research project (including an analysis of historical sources, interviews with contractors and focus group interviews with mineworkers) is presented to highlight the implications of changing formations of subcontracting for the South African mining industry in the late 1990s. Apart from the subcontracting of ?traditional? functions, such as shaft sinking, access development, catering and hostel maintenance, contractors are now used in ?core? mining activities. In some instances, whole shafts are ?outsourced? to outside agencies. It is argued that certain of the subcontracting arrangements have serious implications for the ability of the mining industry to improve health and safety standards. Some of the practices can potentially result in conflict between different categories of workers, and, as a result, instability in the industry.

Jan 1, 1999

By Onuralp Yücel, Süheyla Aydin, Erçin Ersundu

Turkish iron and steel sector, the base of which was established in the 1930?s, plays an important role in the industrialization and development of the country?s economy. In Türkiye this sector is the major consumer of ferroalloys. There had been a great improvement in Turkish Iron and Steel industry, especially after the 1980?sand as a result, 20.9 million tons of yearly crude steel production placed Türkiye 11th in the global steel output and 3rd in Europe. 15 % of steel produced in Türkiye is flat products, while the long products make the rest. The product composition and the general characteristics of steel production process led to an increase in ferroalloy consumption. Domestically consumed ferroalloys are especially ferromanganese, silicomanganese, and ferrosilicon. As of today, ferroalloy production capacity of Türkiye is 173,800 tons/year; 161,500 tons of which is ferrochrome with high and low carbon grades, 7,300 tons of ferrosilicochrome and the rest is ferrosilicon (5,000 tons/year). Türkiye is one of leading ferrochrome producers in the world considering the above mentioned production figures. However, this production is mainly exported since Türkiye?s stainless steel production level is modest requiring low amounts of ferrochrome. The products of iron and steel industry in Türkiye require large quantities of other ferroalloys, which make Türkiye a major importer and exporter of ferroalloys. The aim of this work is to present production, consumption, import and export quantities of: ferrochrome, ferromanganese, ferrosilicon, ferromolybdenum, ferrotungsten, ferrotitanium and ferrovanadium of Türkiye, between 1990 and 2006.

Jan 1, 2007

By I. V. Lunkin, E. B. Rakishev, B. R. Rakishev

In mining the method of statistical tests is used by solving of problems, exposing to influence of random factors. Such problems are: rational selection of equipment set; co-ordination in time of different processes; interaction between some processes and kinds of works. Usually it is considered that Monte Carlo method proves its value in the first place in that problems, which allow theoretical-probabilistic description. Analysis of numerical solution of mining-economic problems shows that the method of statistical tests may be used successfully by solving of determinate problems, which are solved usually analytically or by the methods of mathematical programming. We are talking about the problems of optimal use of resources, expedient placing of equipment, effective use of investments, rational planning of stripping and extracting works, groups of mining enterprises and about different variants of transport problem. In the report possibility of the method use is studied at an example of typical technical-economic problems solving. By solving of these problems the variant of the method with uniform distribution of random quantity had been applied and built-in random number generator of visual modelling system VisSim had been used. By algorithms elaboration it seems very perspective to use combination of the Monte Carlo method with traditional methods of numerical solving of the problems (methods of linear, nonlinear and dynamic programming and so on). Keywords: method of statistical tests, mining-technical problems, diapason of random number sample, efficiency function and its extremum.

Jan 1, 2003

By C. F. Vos

Small replacements of C12-trithiocarbonate (C12-TTC) for dithiocarbonate (DTC)/dithiophosphate (DTP) in a reagent suite for the flotation of platinum group metals (PGM) have significantly improved the rejection of gangue. Coupled to this is an improvement in kinetics, grade and recovery of PGMs. In a pilot-plant trial, after a 5 mole per cent replacement of the current DTC/DTP collector combination by C12-TTC, large opaque bubbles were replaced by small clear ones. In addition, a similar flotation response was realized with one-third of the current depressant dosage. During a preliminary plant trial on underground UG2 ore, the initial rougher concentrates were characterized by higher PGM concentrate grades and this was in part due to improved chromiter ejection. The concentrate produced from the TTC trial also exhibited a much finer particle size distribution. The overall circuit performance, which included secondary regrind and flotation, showed an increase in concentrate grade of approximately 44% while the tailings grade remained unchanged

Jan 1, 2007

By F. T. Cawood

The new South African Mineral Policy has major implications on the way mineral rent will be collected and shared between the stakeholders in future. Although the policy does not supply details on how this will be done, drastic departures from practices under the previous dispensation require a new approach. For example, there introduction of the ?right to mine? principle implies that the repealed lease consideration concept will be expanded to all minerals. The new policy also makes provision for predetermined standard terms and conditions for all prospecting and mining permissions. It also states that, regardless of whether the mineral rights are state or privately-owned, all prospecting fees and mineral royalties will be determined by state officials after consultation with the registered holder of the mineral rights. This paper proposes a standard mineral royalty formula that complies with the principles mentioned in the White Paper and has been shown to be internationally competitive.

Jan 1, 2001

By B. J. Madden

Over 206 million tons of hard coal were mined in South African collieries in 1996. Some 132.5 millions tons came from underground operations and approximately 120 million tons came from bord-and-pillar workings resulting in between 100 000 and 150 000pillars being formed. Coal pillar design remains a significant feature of South African mining. This paper reviews South African coal pillar design procedures in the light of 90 pillar collapses that have occurred since 1904. It shows that, while the current pillar strength formula is still valid within the original empirical range of Salamon1,cognisance must be taken of local conditions. Current South African coal pillar research is attempting to account for the variations in local conditions with the emphasis on the effect of discontinuities and pillar deterioration. It is suggested that a more holistic approach to pillar design be adopted to include a design methodology that examines the stability of the roof, pillar and floor of the underground workings. Using this approach, deviations from the empirical database used by Salamon and Munro will be incorporated into the design methodology resulting in more stable underground workings.

Jan 1, 1998

By R. M. Franz

This paper considers potential risks to the health of workers in ultra-deep mines, including barotrauma, physiological effects and toxicity of airborne pollutants. Relevant previous research is reviewed, including work by the Chamber of Mines Research Organization and the Deep Mine Cooperative Research Programme, and recommendations are offered for prospectively limiting pressure-related health risks.

Jan 1, 2005

By M. A. W. Bryson

It is well documented that a significant amount of the new PGM (Platinum Group Minerals) production that is coming on stream now, and over the next few years, is to come from the UG-2 reef. Clearly the reservations, or perhaps the perceived reservations, attached to the processing of this ore are no longer there. What were the metallurgical issues that delayed the exploitation of the PGM values from this reef? Traditional furnaces treating Merensky concentrates were not able to accept the concentrate produced from a UG-2 plant due to the relatively high chromite content of this product. The chromite reports to an insoluble spinel phase that accretes in the furnace, resulting in the necessity to shutdown and dig the furnace out periodically. This was clearly not an attractive economic option, so producers stayed away from it in the early days. The Merensky ore had all higher base metal credits anyway, and you needed them to get a matte fall, so there was no driving force to look seriously at the UG-2 reef. Platinum demand at this time could be easily met from the Merensky ore, so the motivation to tackle more complex ores was not there. The low price of PGMs meant that these operations were not particularly profitable and there was little effort directed at improving the operations. Concentrators were generally not run very efficiently and the emphasis was on cost reduction through increasing milling rates.

Jan 1, 2004

By F. T. Cawood

?It is in the interest of stability and investor confidence that the healthy and necessary debate on such a (minerals) policy should soon find its way to consensus.? (President Nelson Mandela at the104th (1995), AGM of the South African Chamber of Mines) Inauguration of the new political dispensation in South Africa initiated a dynamic period in the historical development of its minerals policy. The process of substituting the current South African mineral policy framework with an acceptable ?post apartheid? system, started soon after the 1994 election of the African National Congress (ANC) government. The Green Paper on a Minerals and Mining Policy for South Africa released for public discussion in February 1998, calls for radical transformation in mineral rights ownership. A shift towards exclusive state ownership of mineral rights, away from the present dual system of private and state ownership, is the most significant proposal. The current holders of mineral rights, or their nominees, who lawfully enjoyed security of tenure under past and present mineral laws are opposed to this transformation because mineral rights were often acquired at considerable cost. The situation is compounded by poor public record-keeping and passive mineral rights administration over a very long period. This paper represents a summary of the historical developments leading to the current legislative environment and forms the basis for any discussion on which future sculpturing of South Africa?s policy regarding mineral rights can take place. One cannot plan for the future without considering the past!

Jan 1, 1998

This paper presents an initial investigation into the viability of co-kriging the grades of multiple mining cuts in a two dimensional, thin reef scenario. Deposits with gradational mineralized zones, in the perpendicular sense, are not as well served by the use of reef accumulation and thickness as deposits characterized by a sharp distinction between ore and waste rock. South African Bushveld Complex platinum deposits and Witwatersrand gold deposits are examples of this distinction. The calculation of an optimal mining cut is of paramount importance in the mining of Bushveld platinum. Two-dimensional kriging of a constant stoping width mining cut is an effective method for resource calculations once a cut is decided, but this begs the question of how to decide on the cut. Comparison of multiple cuts is used as a way of achieving this decision on many of Anglo Platinum’s operations. Although the kriging of each cut is valid in isolation, occasional negative values occur when incremental grades between overlapping cuts are calculated. Negative incremental grades cannot reflect reality. They are thought to be related to the inability of the method to include the strong continuity in the perpendicular direction demonstrated by the relevant variograms. Co-kriging of related variables has been investigated as a potential means tore impose this inherent order relationship. Various co-kriging options have been investigated. The method has been tested on a real data set from an established platinum operation. One of three types of anomaly has been investigated so far. The results show that co-kriging the mining cut grade as the primary variable, with just one secondary variable, the reef thickness, eliminates most occurrences. Severe anomalies remaining are arguably indicative of population mixing and might be more effectively treated by rezoning the data. Aim—To investigate the viability of co-kriging the grades of multiple mining cuts as a method for resolving anomalies in the estimation of such cuts on Bushveld platinum deposits, with applicability to other thin reef type deposits with a gradational not sharp cut-off between ore and waste in the direction perpendicular to the reef. Keywords: co-kriging, cross variograms, ordinary kriging, platinum, two-dimensional, grade profile

Jan 1, 2003

By H. S. Marshall

Optimum Colliery is an opencast strip mine producing 18Mt of bituminous coal per annum for the export and inland markets as well as for domestic power generation at the Hendrina PowerStation. Coal is exposed by four 60m3 and four 11m3 walkingdraglines and transported from the open cuts to the processing plants by twelve 130 ton coal haulers. Overburden and interburden areas are drilled by nine 250mm-diameter rotary drill rigs. Until 1997 all surveying tasks were conducted by electronictotal stations requiring accurate control points from which line-of-sight XYZ readings could be taken. In 1997 a GPS system was introduced which consisted of a fixed base station and two rovers. The rovers were able to perform most of the survey tasks assigned to total stations. In addition, two overburden drills were equipped with blasthole drill navigation systems, which includes the drill monitoring and material (strata) recognitions system. The rest of the drilling fleet will also be equipped with GPS systems. Blasthole positions are designed in the office based on survey and geological/geophysical information and transmitted via radio link to an industrial PC on the drills. Together with GPS positional data, both the planned and actual drill positions are displayed on an LCD screen. This eliminates the need for surveyed hole positions to be staked before drilling, and for actual hole positions to be surveyed after drilling. As holes are drilled, performance and rock property data transmitted back to the office. Future applications will include GPS monitoring of dragline positions and pad elevations. GPS receivers on the draglines will utilize the existing base station to calculate and transmit XYZ co-ordinates. Another application will be locating of boreholes in the field prior to the pumping of specified explosive charges into the blastholes. Charging instructions for each blasthole will be loaded into the computer on the explosives truck which will be equipped with a GPS system for hole identification.

Jan 1, 1998

By J. R. Cole-Baker

An independent technical audit by a consultant is part of the accountability process of publicly owned or publicly quoted companies when raising finance through share issues or loans or the sale of equity, and of banks or development funds when granting loans. Africa is undergoing a renaissance in investment in its mining industry. It is forecast that capital investment, in major mining projects in Africa, will be over US$ 4.4 billion, in the next few years. Most, if not all, of the capital to be raised will require an independent technical audit. The aim of this paper is to assist the management of mining companies seeking finance in appreciating the role of such technical audits. The reasons for such audits, especially to attract international investment, are listed. The role of the audit is explained in assessing the underlying robustness of the company as ?a going concern? and the viability of any ?expansion plans?. Its use is emphasised in establishing the underlying value of the company based on the mine life as supported by the mineral reserves. The independent consultant role is stressed as a representative of the parties in a finance deal who cannot, in practice, carry out their own detailed and specialized technical due diligence. The various components of a typical audit are examined with examples of critical matters which may require resolution. The definitions, which are used commonly in audits, in respect of competence and reserves and resources, as stated by various regulatory bodies, are compared.

Jan 1, 1998

By M. K. Elmouttie, G. V. Poropat

The analysis of structure using joint set statistics is well known. Other data such as the position of discontinuities and the contacts between rock mass units cannot be easily incorporated in simple statistical analysis based on orientation alone. Algorithms to model the structure of rock slopes using measurements of the orientation and position of discontinuities are being developed by CSIRO Exploration and Mining. These algorithms provide a capability to model the structure of a rock slope and estimate the likelihood of the formation of hazardous blocks in existing or proposed rock slopes and identification of the location and size of these blocks. The algorithms provide the basis of structural modelling to identify potential failure mechanisms in rock slopes.

Jan 1, 2006

By T. E. Pogue

This paper traces the co-operative initiative undertaken by South Africa?s gold mining companies through the Chamber of Mines Research Organization (COMRO) in development of hydraulic technologies. After a brief description of the structure of these technologies? development under COMRO?s stewardship, the paper turns to an overview of the structure of innovation within which these hydraulic technologies were developed. A central focus of this paper is systematic review on whether similar technologies are likely to emerge in the present system of innovation and the role played by innovation policy.

Jan 1, 2006

By David J. Blackwell

The challenge; to design production facilities and in particular separation equipment which have the ability to deal effectively with the ever changing composition of well fluids, over the life time of the field in which it is operating, ensuring maximum uptime of the asset coupled with consistently effective separation. Design engineers are, however, continually confronted with a dilemma when selecting materials of construction for Oil/Gas separation equipment, since they are generally obliged to select an acceptable material of construction, based on ?predicted? operating conditions, at the lowest acceptable cost. Consequently many designs are somewhat basic and do not take into account the constantly varying dynamics of the well fluids being released into the separator. As oil fields mature, oil companies endeavour to maximize revenue by maintaining oil and gas throughputs. This often results in an associated increase in water and sand volumes and, in order to maintain efficient separation, an increase in operational temperature and pressure; subjecting the equipment to operational conditions for which it was never designed. In reality, therefore, the limitations and constraints placed upon new construction design often result in Maintenance Engineers having to solve the ensuing problems in difficult ?in-field? environments. Should refurbishment or upgrade be required then the status of the platform and that of the vessel during shutdown will dictate how this is achieved. Hotwork on the vessel is generally not preferred due to the requirement for post weld heat treatment and re-classification of the pressure vessel, not to mention the added risk in terms of safety. Unfortunately, until recently, there have been few alternatives to conventional ?hotwork? repair and protection systems, especially since the performance of cold curing polymer based repair and coating systems, for use in oil and gas process equipment, has, until recently, been limited by their resistance to temperature and pressure in immersed conditions. In line with the continued development of high temperature / high pressure oil and gas fields however, recent breakthroughs in polymer technology can now offer both repair and protection solutions which are able to function effectively at temperatures up to 180°C in immersed conditions combined with resistance to the destructive forces of explosive decompression from pressures in excess of 90 bar. This paper will look at recent work that has been undertaken to determine the suitability of modern polymer based repair and protection systems as an alternative to hotwork; thus enabling newly designed and upgraded internals to be cold bonded into position and further protected with temperature resistant coatings, in order to minimize the downtime of the asset and further to protect the vessel internals from the Erosive Corrosive environment.

Jan 1, 2006

By N. Demirel, O. Gölbasi

Draglines are massive machines extensively utilized in opencast mines for overburden stripping. The demanding working environment induces fractures, wear and tear, and fatigue failures in dragline components and eventuates in extended maintenance, lengthy downtimes, and loss of production. The bucket is the main source of external loads on the machinery, since interactions with ground materials take place in this region. This study aims to develop a generic finite element model of the stress on an operating bucket. This entails (i) three-dimensional modelling of a dragline bucket, (ii) analytical estimation of resistive forces in the bucket movement, (iii) three-dimensional simulation of the moving bucket using finite element analysis (FEA), and (iv) sensitivity analysis to examine the effect of formation characteristics on stress variation. Simulation results imply that the drag hitch and digging teeth are the elements of the bucket that are most prone to failure. In addition, sensitivity analysis indicates that internal friction angle of the formation is the dominant parameter leading fluctuations in stress values. Changes in stress level are least influenced by formation density.

Jan 1, 2015

By A. Moss

The Palabora Mining Company has successfully extended the life of its operation by developing a 30 000 tpd block cave underground mine below the now closed open pit. The process of transitioning from surface to underground mining has been technically, operationally and managerially challenging. This has been due to a number of factors, in particular, the development of a block cave in a very competent rock mass. The competence of the rock mass is clearly demonstrated in the open pit that preceded the block cave, one of the steepest deep open pit excavations in the world. With cave breakthrough, however, the pit was ?instantaneously? deepened by 400 m causing a major failure of the north-west wall involving close to 100 Mt of waste material.

Jan 1, 2006

By J. W. Klokow, K. L. Riemer, R. I. L. Ferreira

As a result of the increased depth of mining in the South African gold mining industry mining induced seismicity is a severe problem. One of the strategies within the industry to contain the problem is to incorporate a system of regularly spaced stabilising pillars into mine layouts. At the Driefontein Gold Mine a system of closely spaced dip pillars is used to contain seismic energy emissions. Comparisons of seismic data for several mining clusters initially indicated a possible measure of success in the containment and occurrence of larger events. A detailed analysis of data over a 5-year period since the start of mining however, has revealed a delayed seismic response to the increasing strike spans. Significant changes marked by an increase in certain seismic variables have been observed at mining spans of between 100 to 120 meters and could be of significance to pillar spacing in the design of deep level mining layouts. La sismicité occasionnée par l’exploitation minière est un problème grave dans les mines profondes de l’industrie minière aurifère en Afrique du Sud. Une des stratégies utilisées dans l’industrie a été de maîtriser le problème en incorporant un système de piliers de stabilisation régulièrement espacés dans la disposition des mines. A la Driefontein Gold Mine, un système de piliers de pendage proches les uns des autres est utilisé pour contenir les émissions d’énergie sismique. Au début, des comparaisons de donnés sismiques pour plusieurs groupes d’extraction ont indiqué un succès possible dans la limitation et l’occurrence d’évènements sismiques. Cependant, une analyse détaillée des données sur une période de 5 années a révélé un délai entre la progression de l’extraction et une réponse sismique accrue. Des changements considérables dans les variables sismiques ont été observés dans des intervalles d’extraction entre 100 et 120 mètres, ce qui pourrait être significatif pour l’espacement des piliers dans la conception de la disposition des mines de fond. Resultierend aus den zunehmenden Tiefen des Bergbaus in der südafrikanischer Goldbergbauindustrie stellt sich die vom Bergbau hervorgerufene Seismizität als bedrohliches Problem dar. Es war eine der Strategien innerhalb der Industrie, das Problem dadurch einzudämmen, daß regelmäßig plazierte Stabilisierungspfeiler in den Bergbaulayouts inkorporiert wurden. In der Driefontein Gold Mine wird ein System von knapp aneinandergesetzten im Abfallbereich befindliche Pfeiler benutzt, um seismische Energieemissionen einzudämmen. Vergleiche der seismischen Daten für mehrere Bergbaugruppen zeigten anfangs ein mögliches Maß von Erfolg in der Eindämmung und im Auftreten von größeren Fällen an. Eine ausführliche Analyse von Daten über einen 5jährigen Zeitraum hat jedoch ergeben, daß eine Verzögerung zwischen der Progression des Bergbaus und einer erhöhten seismischen Reaktion besteht. Bedeutende Änderungen in den seismischen Variablen wurden an Bergbauspannen von 100 bis 120 Metern beobachtet und könnten für Abstandsbemessung von Pfeilern im Design des Tiefbergbaulayouts von Bedeutung sein.

Jan 1, 2003

By B. Samanta

A quality characteristic analysed through construction of the Shewhart control chart is required to be normally distributed. In mining applications, this assumption is often violated as many quality characteristics follow skewed or lognormal distribution. In this paper, two methods were investigated using a heuristic approach for setting up the control limits for a skewed population. Based on these approaches a Mode chart, and a Weighted Variance (WV) control charts were constructed. The performance of the proposed methods was compared with the normal based Shewhart method through a case study conducted in a surface mine supplying iron ore to a steel plant. A simulation study was also conducted to evaluate the effectiveness of the proposed methods over the Shewhart method. The study revealed that the Shewhart control charts generated more out of control alarms compared with the Mode and Weighted Variance control charts for a skewed population of Fe%. The simulation results also revealed that for extremely high skewed population, the WV control chart and Mode control chart provided higher probability of coverage than the Shewhart method; although the detection rate (probability of detection) of out of control condition for these methods was slightly reduced compared with Shewhart method.

Jan 1, 2004