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By K Devencorn

The development of robust, economical transport infrastructure has been identified as a key driver to sovereign economic growth. Notwithstanding the value of undeveloped mineral resources, unless they can be brought to market they are of little value. Within a global context, the continent of Africa probably faces one of the most significant transport driven economic development programs as countries strive to unlock their much sought after resources.The UN’s Africa Review Report on Transport (United Nations Economic and Social Council, 2009) provides an excellent context for the issue facing African countries and the potential for investment in transport to solve many of the intrinsic problems they are confronted with. With little exception, economic development in Africa is very likely to be driven ‘off the back’ of transport development – and more specifically from heavy-haul rail as a means by which economic wealth can be derived from export of the continent’s vast natural and mineral resources to the world. The report found:transport is a key driver of economic development and poverty reduction;road transport is the most dominant mode in Africa;the ‘Cost to Market’ of African goods is hampered by the reliance upon road transport;the cost of road transport is not just economic – 19 per cent of the world’s road fatalities were recorded on African roads;African railways are seen to be disjointed and under-utilised;Africa’s ports are key to export trade - yet only six ports (three in Egypt, and three in South Africa) handle about 50 per cent of the continent’s total container traffic;the cost of transport is increasing making African trade even less competitive; andsignificant negative impacts of Africa’s reliance on road transport – health, and greenhouse emissions.We understand that mining the resource is only part of the solution – it has to be put to market at a competitive landed cost.Most African countries face huge costs associated with transport development and ongoing operation – in many cases beyond their available resources.The Australian rail industry has faced and solved many of these challenges.

Nov 22, 2011

By R C. Morris

Two major types of economic secondary iron ores occur in the banded iron formation (BIF)-rich Hamersley Province of the Pilbara, Western Australia:dominant BIF-hosted bedded iron deposits (BID)detrital ore deposits (DID sensu lato), which are mainly hosted in the three province-wide Cenozoic sequences that include coeval non-ore sediments and comprise:a. the major Miocene, fluvial channel iron deposits (CID)b. the lesser Eocene and Pliocene detrital iron deposits (DID sensu stricto).Striking differences exist between the massive CID resources and the much smaller underlying and overlying DID. CID are essentially riverine alluvial ooidal rocks with abundant small fossil wood fragments and variable iron peloids, but with only extremely rare recognisable lithic remnants. The original matrix is typically ramifying layered goethite. Eocene DID are mainly alluvial with minor pisoids, whereas Pliocene–Quaternary DID are dominantly coarse colluvial gravels, both derived from and largely retaining the original textures of BID, hard cap or variably ferruginised surface BIF. The colluvial DID matrix is typically ferroan-aluminous soil, resulting in canga where replaced by goethite, which may be dehydrated to hematite by exposure. The Cenozoic deposits occur in two dominant geomorphological environments: the southern Marra Mamba to Brockman Iron Formation strike valleys containing all three Cenozoic sequences and the much later northern Brockman Iron Formation plateau valleys that include only the Miocene and Pliocene sequences. The Cenozoic detritals formed in different climatic regimes, with an extended dry period forming a prominent province-wide dehydrated carapace on the Eocene DID. The Miocene ‘optimum’ followed with its thick scrub-covered deep regolith that produced the fossil wood-rich CID and was succeeded by the arid cool period of the Oakover limestone/calcrete. A major renewal of exposure and erosion in the Pliocene resulted in the extensive iron gravels of the Pliocene–Quaternary.CITATION:Morris, R C, 2015. The Cenozoic detrital iron deposits of the Hamersley Province of Western Australia – a tribute to Mal Kneeshaw, in Proceedings Iron Ore 2015, pp 319–326 (The Australasian Institute of Mining and Metallurgy: Melbourne).

Jul 13, 2015

By N Boughen, K Moffat, L Brooks, A Zhang

In 2015, Ernst and Young (EY) ranked socio-political license to operate (SPLTO) as the fifth greatest challenge to the mining sector (EY, 2015). The EY report asserts that SPLTO will continue to present a risk to the mining sector in the context of ‘increased activism, digitally connected stakeholders and politicians who need to respond to general consensus’. While there is no consensus on a definition, SPLTO is commonly regarded as the ongoing acceptance or approval of an operation by affected stakeholders (Moffat and Zhang, 2014; Thomson and Joyce, 2008) as well as those stakeholders that can affect the operation (Graafland, 2002). Warhurst (2001) relates the process of stakeholders granting SPLTO to the establishment of meaningful partnerships between operations, communities and government based on a variety of factors that build trust between stakeholders.From these accounts, we can see that understanding stakeholder attitudes about company performance and impacts on stakeholders directly affected by an operation are important in any attempts to measure SPLTO. Understanding the level of acceptance of an operation within these stakeholders provides a good proxy or outcome measure of SPLTO. Moreover, trust seems to be a central variable in the translation of these experiences of an operation into acceptance. What the mine or company does, its behaviour, degrades or builds trust with stakeholders, and this then affects acceptance (Moffat and Zhang, 2014).In addition, a strong emphasis is placed on the nature of the relationship between companies and stakeholders as influenced by inter-group interactions. It is not just what companies do well or poorly with respect to environmental impacts, for example, that will determine trust and acceptance, but how the company relates to its stakeholders at personal and group levels.These relationships between communities of stakeholders and extractive companies are dynamic. Brown and Fraser (2006) recognised the importance of industry being able to respond to the changing nature of societal approval and acceptance, arguing that ‘business must have regard for evolving social attitudes and expectations if it is to maintain its ‘social licence’’.This paper will describe a series of five pilot projects conducted by CSIRO with Anglo American in Australia and South Africa to generate a real-time understanding of SPLTO to guide more reflexive and effective social performance strategies.CITATION:Moffat, K, Boughen, N, Brooks, L and Zhang, A, 2016. Social licence in real-time – using dynamic methods to support a new kind of community relationship, in Proceedings Life-of-Mine 2016 Conference, pp 191–194 (The Australasian Institute of Mining and Metallurgy: Melbourne).

Jun 28, 2016

By C N. Hatton, K Ward

Tailings operations are inherently reactive as operations personnel continuously contend with a concentrator reject feed (tailings) transient in physical and engineering properties, which places a constant constraint on capital and operational spending. It requires a unique skill set to manage the prescribed distribution of tailings under unenviable conditions. Enter the tailings operator, an oftenundervalued commodity and untapped resource that can provide benefits beyond the rigors of dayto- day operational support. Experience consistently demonstrates that skilled and committed operators can serve a vital function in the safe construction of a tailings storage facility. It takes a village to raise a tailings dam. An important part of this process is establishing a culture of operational accountability and ownership. Operator development training is nothing new. However, we find that many of the intrinsic operator skills are left unexploited, and an operator's experiential knowledge base and creativity are commonly overlooked and underutilized. With proper training and guidance, these skills can be harnessed, contributing to safe dam operations. Operator engagement, when properly facilitated, provides tangible benefits ranging from improved tailings engineering properties to reduced closure costs. One important benefit is helping transitioning tailings management from reactive to proactive. There are many processes involved in the reactive to proactive transition process. One element of that process includes engaging operators in the tailings management process and facilitating legacy ownership. The core of operational legacy ownership is measured and described using five-stage operator engagement rubrics. Levels of operator engagement are presented with a description of the incremental benefits of each stage. An important part of legacy engagement is providing the tools to operators necessary for managing the tailings. Therefore, the approach identifies specific methods used by operations personnel to control tailings distribution and in-place properties. The end goal of leveraging operator engagement is to facilitate committed ownership and transition tailings management from an inefficient, reactive process to an improved, cost-effective, proactive practice.

Jul 1, 2021

The Tom's Gully gold mine is located 90km ESE from Darwin, in the Northern Territory of Australia. The orebody is the auriferous portion of a large sulphide rich quartz reef, hosted in the Wildman Siltstone Formation of the Early Proterozoic Pine Creek Inlier, at the NH extremity of the Mount Bundey granite-syenite intrusion. It was discovered by Carpentaria Exploration Company Pty Ltd on November 17th, 1986, using stream sediment geochemistry.The reef is 800m long at surface, strikes E-H and dips approximately 300 to the south, becoming progressively less steep. Only the eastern half of the reef is auriferous, with gold grades averaging 9 g/t plus anomalous silver, base metals and arsenic.The enclosing siltstone is a dark grey banded carbonaceous and pyritic metapelite, showing areenschist regional metamorphism and thermal effects from the adjacent pluton. Local folding plunging gently SW is cut by a south dipping fault, probably a thrust, in which the reef was later formed at about the time of the granitic intrusion. The main sulphides in the reef are pyrite and arsenopyrite, with gold occurring as microscopic particles in...

Jan 1, 1990

By G Turner-Saad

An improvement to cut-off grade optimisation theory based on geometallurgy has been completed. The improvement fundamentally consisted of taking into account mineralogical and textural characteristics instead of grades. These characteristics are related to the spatial variability of mineral abundance, association, particle size and liberation properties. Additionally, the improve- ment considered the spatial variability of mineral processing liberation and selectivity properties associated with mineralogy and texture. The enhanced optimisation enables estimation of the economic value of mining operations based on an optimum cut-off policy attributed to liberated and selected ore minerals.The enhanced optimisation was developed as an essential component of a joint cut-and-fill mining and mineral processing methodology based on mixed integer mathematical programming. The formulation considers static and dynamic modifying factors that vary over the projected life of mining. The objective function of the mathematical formulation consists of maximising the realistic expected economic value of concentrates or products of liberated and selected ore minerals, whilst minimises liberated and selected gangue minerals. The optimal solution is obtained when the objective function is subject to geological, mining, processing, marketing, smelting, refining, environmental and financial constraints. The methodology accesses geometallurgical multivariate resource models, which integrate the spatial variability of mineralogical and textural characteristics and mineral processing liberation and selectivity properties.The geometallurgical process concurrently optimises stope geometries, ore reserves, mining sequences, and mining and mineral processing production based on the enhanced cut-off of liberated and selected ore minerals. In addition, the process considers additive and non-additive transfer functions associated to mutually exclusive geometallurgical spatial domains. The transfer functions also take into consideration the blending of mineralogical and textural characteristics with mineral processing liberation and selectivity properties.This contribution presents an example of cut-off grade optimisation via mineralogical and textural characteristic, and liberation and selectivity processing parameter optimisation for a spatially variable orebody.

Sep 5, 2011

By T N. Little

This paper is concerned with the influence of engineering geology on design of Wall Control Blasts. In the Introduction, the Blast Management Framework and the Blast Design Requirements classification system (previously developed by the author) is drawn upon to set the context. Blasting objective for all wall control blasts involves both profile and damage control. Four classes of approaches for blast design are outlined and briefly discussed. Five distinct wall control blasting techniques are summarised. The general relationship between geology and blast design is explored in the paper. Influence of geology on pre-split and post-split design and blasting direction is highlighted. Wall damage modelling from the closest row of blastholes is also introduced using the Analytical Damage Model (ADM). The relationship of rock properties and explosive selection and in particular the Mach wave generation is introduced to assist blast designer in this regard. Finally a Conceptual Model that relates vibration, damage and rock mass condition has been presented along with some applications that have been undertaken by the developer. Eight conclusions have been formulated based on extensive work in this area and the current study.

Jun 22, 2022

Mine evaluation methodologies are well suited to evaluating many projects in capital-intensive industries other than mining. These industries include oil, gas, power generation, transport and infrastructure projects. A case study of an open cu

Jan 1, 1998

By M Freeman

In a visionary move, the Planning Commission and the Ministry for Planning in Western Australia decided to invite three extractive industry quarry operators, local government councils and State Government departments (Minerals and Energy, Environmental Protection, South West Development Commission) to contribute jointly to study the impacts of blasting on areas surrounding basalt quarries in the Bunbury region of WA. The results of the study will help establish suitable zones in which land uses will be controlled under a proposed Greater Bunbury Region Scheme and in local planning schemes, to minimise conflicting land uses. This paper discusses the blasting program conducted to characterise and model the vibration behaviour of the rock under the effects of pilot-scale and full production blasting, and highlights some of the benefits achievable when a thorough blasting impact program and assessment is conducted at the planning stages of land-use establishment.

Jan 1, 2001

Real-time data collection and plant historians are becoming common place in mining and processing plants. This vast quantity of data must be turned into easily accessible and actionable information for all levels of the organisation.Queensland Nickel use a combination of Microsoft and SAP business intelligence tools to collect, cleanse, aggregate and present plant information to the appropriate people for supporting decision making in the business. SAP Business Objects, for visualisation, and SAP MII, for integration, allows complex and accurate metrics to be delivered as real-time dashboards. Designing a rigid data management architecture to segregate the data collection, integration and logic and visualisation into distinct logical layers, allows for rapid report development and greatly assists with IT maintenance, while also minimising the complexity of any customised programming. This type of architecture ensures a common data source for all business reports, ensuring one version of the truth. The past few years at Queensland Nickel have seen process and maintenance engineers spending considerably less time collecting and integrating data and spending more time analysing what is happening in the plant. Real-time reports and dashboards have been developed around the business needs rather than around the data. Two years ago Queensland Nickel introduced an employee bonus scheme based upon meeting monthly performance targets; an easy to use dashboard that allows everyone, from operators through to management, to monitor these metrics day-to-day.

Sep 26, 2011

By C Samuelsson, Q Shu, A Lennartsson, F Gyakwaa, A Andersson, J Isaksson

The physico-chemical property, viscosity, is essential for pyrometallurgical processes and influences the settling rate of valuable metal droplets in slag, affecting the metal recovery. The copper slag from smelting furnaces typically contains between 1 and 2 wt per cent Cu, which equals to or is higher than in most sulfidic copper ores mined today, meaning the slag is a valuable resource for copper extraction. A low viscosity is desirable for slag-cleaning through a settling furnace where entrained droplets settle under gravity. One approach to control the viscosity is through the slag composition. The literature has limited data on the correlation between viscosity, slag structure, and optical basicity of iron silicate slag with FeO/SiO2, CaO, and Al2O3 as factors. Therefore, the present study evaluated the influence of these factors on viscosity and correlations with slag structure and optical basicity. The FeO/SiO2 ratio (at%/at%) and the CaO and Al2O3 content were altered in two levels, resulting in a two-level full factorial design with three factors. The study was done by synthesising FeO–SiO2–Al2O3–CaO–MgO–Cr2O3 melts, followed by water granulation. The melt structure of the samples was analysed with the help of Raman Spectroscopy. The viscosity was then estimated with a high-temperature rheometer using a Mo spindle and crucible. The results showed a correlation between the optical basicity, FeO/SiO2 ratio, and viscosity, where a high optical basicity and FeO/SiO2 ratio were beneficial for achieving a low melt viscosity.

Jun 19, 2024

By A Sturgess, P McKenna, P D. Erskine, D Doley, V C. Glenn

For more than four decades, rehabilitated lands in the Bowen Basin have been planted with buffel grass (Cenchrus Ciliaris), which is often used to provide rapid, stabilising and erosion reducing cover to reshaped landforms (Erskine and Fletcher, 2013; Harwood, Hacker and Mott, 1999; Grigg, Shelton and Mullen, 2000; Naidu et al, 1997). Historically introduced to Central Queensland and encouraged by pastoralists in the early 1900s (Humphreys, 1967), the species has been extensively used by mine managers in seeding mixes (Coaldrake and Russell, 1970; Edye, 1975), and the invasive nature of the grass has led to the monodominance in rehabilitated areas of semi-arid Central Queensland. With 40 open cut coalmines in Central Queensland (Department of Natural Resources and Mines, 2015), a considerable amount of land is either disturbed mine footprint (156 200 ha) or rehabilitated (29 200 ha) (Dale, 2015), and the bulk of rehabilitation consists of relatively young (<30-year-old) developing ecosystems, with demonstrated biomass fuel loads up to 20 t/ha (Grigg, Shelton and Mullen, 2000).Uncontrolled fire poses a significant risk to rehabilitated landforms that are located in close proximity to mining infrastructure, neighbouring communities, open pits with exposed flammable coal seams and flammable stockpiled coal resource. Mine lease holders in Queensland have the added responsibility of managing and protecting any endangered regional ecosystem communities, and flora and fauna listed federally under the Environment Protection Biodiversity and Conservation Act 1999 or the State Vegetation Management Act 1999; as well as, any culturally significant sites such as scar trees or middens that are found on-site. Additionally, uncontrolled fire in rehabilitated landscapes poses a significant risk to mine site closure goals, with the potential to create altered states and stalled ecological trajectories (Grant, 2006). CITATION:McKenna, P, Glenn, V, Erskine, P D, Doley, D and Sturgess, A, 2016. Fire behaviour in buffel grass dominated mine site rehabilitation in Central Queensland, Australia, in Proceedings Life-of-Mine 2016 Conference , pp 158–162 (The Australasian Institute of Mining and Metallurgy: Melbourne).

Jun 28, 2016

By J Heyes

Historically mining engineers haven't spent enough time planning waste dumps, but waste movement costs often outweigh ore haulage costs. There is a real incentive to plan waste dumps right the first time to minimise rehandle and final closure costs. At BHP Billiton Iron Ore there has been an increasing sophistication in waste dump design and they are becoming as important as the pit design. Closure landforms are now included in mining studies. Closure is embedded in the business planning cycle. The results from the recent life of mine study at Whaleback is a case in point where a base case of the shortest hauls with no closure constraints was compared against a closure case. A properly planned and executed waste plan revealed that no rehandle was required and haulage costs were eight per cent less if closure design implementation was carried out concurrent with mining. At cessation of mining the landforms were such that decommissioning of critical acid rock drainage dams and coverage of exposed pyrite areas could occur straight away, without the need for additional rehandle.  The paper also covers design and scheduling elements of waste design both in-pit and ex-pit, management of potentially acid forming material (PAF) and trends in PAF management and designing for final landform closure. This paper illustrates that there is value in terms of costs savings, sustainable outcomes and reputation if the mine planners are involved in the closure planning process.

Jan 1, 2009

By J Loeb, R Ramanathan, H Ingham, P Cameron

Most mining operations, including iron ore, maintain a focus on continuous improvement and asset optimisation in their operations. As all the unit operations in the Mine-to-Mill value chain are interdependent, available technologies that address efficiencies across the value chain are once again in the spotlight as companies are driven to improve productivity and maximise mine site profits to increase return on capital invested. Core to continuous improvement is the need to understand the baseline and impact of changes to the process. In this paper, we discuss some of the critical attributes in the Mine-to-Mill process, including their influence on productivity and cost, the need for direct measurement and areas where they should be applied. Many initiatives can be considered to improve Mine-to-Mill processes. Mining operations are planned and executed based on designs and models to achieve the operation's objectives. However, there are many variables in the different parts of the value chain, such as blasting, material handling, crushing and screening. Therefore, measurement of the key attributes establishes the baseline for Mine-to-Mill (or Pit to Plant) performance, which is necessary to understand the impact of any proposed improvements to the process design and execution and monitor the outcomes on an ongoing basis sustain the improvements that have been implemented. This paper focuses on two types of measurement – blast movement and particle size of materials through the Mine-to-Mill process. Several innovative technologies and control loops are readily available to measure these attributes and assist operations to improve productivity and mine site profits. The size of the tangible benefits, which can flow from measuring and optimising fragmentation and blast movement, provide a remarkable return on the investment. Realising these benefits needs a focus outside conventional operation silos as a successful Mine-to-Mill project requires a multidiscipline approach across all the silos in the value chain. Required technologies are available; adding the necessary ingredients of communication and co-operation by all concerned across the silos will ensure the benefits are realised.

Nov 8, 2021

By Barber C, Buselli G

Detailed monitoring of point sources of groundwater pollution is expensive due to the high cost of drilling monitoring boreholes. Whether groundwater pollution is due to mining, industrial or domestic waste disposal, a universal difficulty when monitoring groundwater contamination is the placement of boreholes to adequately define the extent of the pollution plume. This paper reports groundwater 'resistivity variations determined from transient electromagnetic soundings at a domestic waste disposal site north of Perth in Western Australia. Together with available hydrogeological and water quality data, the geophysics provides a broad "plume scale" picture of groundwater contamination. A simple three dimensional model of plume development, which takes account of the dimensions of the wastes, has also been developed and shows good agreement with the spread of contamination indicated by the geophysics for relatively small values of the dispersivities. Better estimates of these parameters are still required. The work indicates that a combination of geophysics and modelling with ground-truth data from groundwater quality monitoring of boreholes is required to avoid difficulties in interpretation of data and to better define the extent and migration of pollution in Groundwater.

Jan 1, 1988

In May 2000, Kanowna Belle Gold Mines (KBGM) carried out a detailed Truck versus Shaft Haulage Study. The study showed that whilst the shaft option had many operating cost benefits the capital costs were too high, therefore the truck option was selected. In May 2001, the concept of achieving æshaft typeÆ benefits without the capital costs was floated. This is achieved by separating the hoisting of ore from other mining activities. The general concept is that material from underground is transported to a central location and then transported to the surface by a special truck fleet, thus removing the dependency between trucks and loaders, providing the mine with surge capacity and decreasing operating costs. At KBGM these advantages have been gained by installing an ore pass system with a plate feeder at its base that directly loads trucks. This provides the mine with a haulage system with enough surge capacity to remove the interdependency between trucks and loaders. The plate feeder is situated just off the decline which creates the opportunity to use larger more reliable, lower cost trucks. A number of truck types were considered for the truck loop including Elphinstone AD55Æs which are the truck type being used on site prior to the truck loop, CAT 775EÆs and power trailer road trains. This paper covers the philosophy behind the truck loop, the truck selection process, project installation and commissioning, people issues and the benefits expected by the operation. As of May 2002, the project is nearing completion, with decline haulage expected to commence in July 2002.

Jan 1, 2002

By T Raynlyn, R J. Holmes, J R. Manuel, A Poliakov, L Lu

The prediction of sintering performance of iron ore fines and the possibility of targeted optimisation of specific sinter properties are very important for both the iron ore industry and related research organisations. Physical pilot-scale sinter runs require large amounts of raw materials and are expensive, so it is critical to target large test work programs with many different sintering parameters effectively. To predict values for sintering performance parameters such as tumble index (TI), low temperature reduction disintegration index (RDI) and productivity, a comprehensive database of pilot-scale sintering experimental results has been established and empirical modeling conducted. Similarly to earlier work, physical, chemical and mineralogical characteristics of the iron ores have been considered. However, in contrast to the previous work where only one textural parameter was taken into account, namely the proportion of dense haematite ore texture, the current model includes the abundances of several different textures which were combined into different textural factors corresponding to different sinter properties. Coefficients for the variables within specific regression equations can provide a better understanding of the effect of the variables on the corresponding sintering performance. The modelling results have also been used for predicting the sintering performance of mixtures that were not part of the database used for establishing the models. Comparison of experimental and modeling results for the verification test data is also reported in this paper.

Jan 1, 2009

By P Gilroy

In recent technical investigations that were triggered from ore for rail shortfalls at Yandi, BHP Iron ore has identified a gap in resource knowledge relating to geo-metallurgical characteristics that predict materials handling performance and throughput. Within these investigations BHP has learnt that this lack of resource knowledge has translated to a lack of predictability associated with mine planning inputs which has resulted in poor compliance to plan and deviation management practices. A business value chain was developed in an attempt to identify the best possible solution to unlock this resource knowledge in the short, medium and long term planning horizons. A fast fail approach was taken with the implementation of hyperspectral blasthole analysis, which was chosen to deliver the best possible value driver for the asset. This report will detail the Yandi journey in expanding the hyperspectral and geo-metallurgical value chain, unlocking resource knowledge along the way. CITATION: Gilroy, P, 2018. Development of an empirical geo-metallurgical model that unlocks value of the mineral resources at Yandi Mine, in Proceedings Complex Orebodies Conference 2018, pp 85–87 (The Australasian Institute of Mining and Metallurgy: Melbourne).

Nov 21, 2018

By C Tapia, B Hay

There is a close relationship between the mining industry, economic growth, and technological and social development. Mining activities benefit all economic agents, but only during a timespan determined by available reserves, primarily driven by internal factors such as production rate, technology and costs, and external factors such as prices determined by the market and taxes and royalties controlled by governments (Gordon and Tilton, 2008; Henckens, 2021; Tapia Cortez et al, 2018). The intense use of Mineral Commodities (MC) needed to maintain the current lifestyle has placed ore depletion as one of the main threats to sustainable economic, social and technological development. However, ore depletion does not only arise due to the finite nature of MC, price fluctuations or technological challenges. It is also triggered by the ‘economic limits of extraction’, determined by the optimisation of financial factors and technical restrictions within the regulatory framework (Henckens, 2021). Most reporting standards – if not all – define ore reserves as ‘the economically mineable part of a Measured and/or Indicated Mineral Resources’ determined by the technical and economic viability of extracting, processing and commercialising MC having the NPV as the fundamental decision – making tool (JORC, 2012; Krzemień et al, 2016). However, is the NVP an ‘economically’ basis index able to capture the complexity of economic phenomena? No, it is not, and it is crucial to define what is economic and financial. Although related, they are different disciplines. Economics studies the behaviour of the different market agents, including human behaviour and policies and explains the factors involved in the scarcity (or surplus) of goods and services. Finance focuses on financial systems and managing funds considering the time, cash available, and risk. It involves banks, loans, investments, and savings and can be considered a small subset of economics (Simon, 1959; Tapia Cortez et al, 2018). Given the economic nature of ore Reserves, endorsed by governments (Figure 1), NPV is an incomplete tool to determine ore Reserves as it limits the problem to simply maximising cash flows instead of optimising the economic benefits for all economic agents. In addition, using the rigid scheme of controlling taxation – unable to adapt to new market or economic conditions and systematically increasing – within the NPV framework only increases the sub-optimisation of ore reserves, mainly due to the systematic taxation rise. Short-term benefits of higher taxes and royalties are unlikely to offset the impacts of reducing exploration and project development in the long-term, which not only boosts ore depletion concerns but also reduces competitiveness, threatening economic and social welfare (Fisher, Cootner and Baily, 1972; Gordon, Bertram and Graedel, 2007; Lilford, 2017; Mardones, Silva and Martínez, 1985; Radetzki, 2009; Rodrik, 1982; Tan, 1987; World Bank, 2000). Holistic methods and collaborative tools, able to dynamically simulate and assess how changes in the technical settings, regulatory framework (taxes and royalties), and financial factors affect the availability of ore reserves and the impact for all economic agents, should be incorporated into the evaluation process to fill the gap.

Aug 2, 2023

By E Williams

The role and importance of a well designed test work program during the development of an orebody is often underestimated. A test work program should be tailored to deliver very specific answers to relevant questions. With a clear purpose, the results from the test work program will enhance the outcome of the feasibility study and provide the information required to meet the requirements of all stakeholders. With regard to test work programs there are three main areas that should be considered: orebody characterisation and definition, process flow sheet development and engineering design information.Orebody definition relies on reliable analytical methods to characterise and assess the economic minerals present in the ground. In mineral sands, the physical processing characteristics of the minerals play a significant role in the definition of an orebody. The analytical method therefore has to be customised using a combination of laboratory techniques. These techniques can include heavy liquid separation, gravity separation and magnetic separation and are usually combined with chemical and mineralogical analyses to create a picture of the orebody. During the definition phase of test work programs, an appropriate analytical technique has to be developed to evaluate drilling samples, but also to support the information collected during flow sheet development.Process flow sheet development is usually done once there is a reasonable understanding of the size and variability of the orebody. Selecting the best sample for test work is critical, as any flow sheet design is tied to the specific characteristics of the sample used for development. There are other factors that can improve the outcomes of flow sheet development test work, including the skills and knowledge of the operator and allowing sufficient time to process and analyse the results. Very often this work is conducted under pressure with limited time and resources, only to result in a suboptimal flow sheet. During this phase of flow sheet test work, iterative testing will provide the information required to develop an optimal metallurgical flow sheet. The data collected will provide indicative recoveries and yields that are required for feasibility studies.Equipment specification is often included as part of process flow sheet development. This includes comparative test work between different equipment suppliers, assessment of operating conditions such as the loading to determine the number of processing units required, as well as other design information required such as particle size distributions, density and operating temperatures.While restricting the time and costs expended on test work programs may seem to meet a short term need to meet investor requirements, neglecting to develop a proper framework of the requirements that has to be met in the long-term can lead to significant long-term cost overruns. This is mainly due to a need to repeat test work, or do confirmation test work, as insufficient information was collected during the initial program.

Oct 5, 2011