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By Y Cui, G Cao, H Zong, J Zheng, J Wang, S Yue, J Zhao, B Li

The iron (Fe) concentration in nickel slag is high, making its recovery and utilisation a hot and challenging topic. In the nickel smelting process, using CaO instead of SiO2 to adjust slag’s composition, and then directly reducing Fe from the output of molten slag is a more feasible method in practice for Fe recovery in nickel slag. The adjustment of slag’s composition in the nickel smelting process will have an impact on the distribution of impurity elements such as Pb, Zn, and As. In this paper, the slag adjustment of nickel smelting process was carried out with the oxygen-enriched topblowing system. The distribution of impurity elements in the smelting products with each composition slag was conducted by using thermodynamic software. Experimental verification was performed with rich oxygen top-blowing, and the distribution characteristics of impurity elements in the smelting products were characterised to explore the differences in mineral phases of impurity elements with each smelting conditions, elucidating the distribution patterns of Pb, Zn, and As in each phase. The results indicate that after slag adjustment, impurity elements are more easily to volatilisation and removal into the gas, reducing their total concentration in slag and matte. In the slag, the existence form of Pb, Zn is changed from silicate to ferrate, and As is changed from arsenate to low-valent arsenic oxide. It is easier to decompose the impurity-containing mineral phase and remove the impurity elements in the subsequent iron extraction process.

Jun 19, 2024

By M Reid, H Arbon

Hillgrove Resources (HGO) commenced open pit mining in 2011 and from 2011 to 2016 the geology team experienced a consistent negative reconciliation between grade control estimated copper (Cu) grade and the mill received grade. For the first four years, despite trialling various grade control strategies, the monthly variance between geology and mill copper grades fluctuated between -5 per cent to -17 per cent Cu metal depending on the style of mineralisation.In 2015, HGO embarked on various measures which resulted in changes to grade control practices under the advice of consultants. These changes to grade control sampling, estimation and block out practices resulted in six to seven months of consistently poor Mine to Mill reconciliations from -25 per cent to -28 per cent Cu.In an effort to mitigate these poor reconciliations the geology team reintroduced the preconsultant block out and geology driven grade control methods. Blockout reconciliations from this point emulated those seen originally from -8 per cent to -12 per cent (Cu per cent). Early in 2016 the geology team introduced conditional simulation for grade control as opposed to ordinary kriging to better characterise the grade distribution, introduced separate estimation parameters appropriate for every zone of mineralisation, implemented a maximum profit function to optimise the selection of ore and waste, and retained the geology driven block out processes. Since March 2016 the mine has experienced consecutive months of positive Mine to Mill reconciliations, the first seen in six years. Year to date the expected copper metal is within 1 per cent of mill reconciled copper metal.This paper will compare the various sampling methods, estimation algorithms and block out procedures from the past six years to arrive at a robust open pit operating procedure applicable for mineralisation with high short scale variability.CITATION:Reid, M and Arbon, H, 2017. Setting new standards at Kanmantoo – effective grade control procedures, in Proceedings Tenth International Mining Geology Conference 2017, pp 401–408 (The Australasian Institute of Mining and Metallurgy: Melbourne).

Sep 20, 2017

By E Nik, A Manzoori, H Namavari, P Witt

The smelter building at Sarcheshmeh Copper Complex, Iran, houses two reverberatory furnaces and five Pierce-Smith converters. Under normal operating conditions SO2 emissions fill the building, posing a major health problem for all workers in the building, and reducing their ability to maintain the plant. The converter fume extraction system was analysed using plant measurements, engineering modelling of the entire system and CFD modelling of the extraction hoods. By applying fundamental engineering concepts, a user-interactive computer program was developed that enabled plant engineers and operators to gain a detailed understanding of the system. In conjunction with plant measurements, the model quantified the amount of inleakage throughout the system, identifying it as a significant contributor to the poor extraction performance. Furthermore, it enabled investigation of the effects of hood gates, converters on line, hood dampers, flue insulation, electrostatic precipitator (ESP) operation, and inclusion of an acid plant. The model gave unprecedented insight into the operation of a counterintuitive buoyancy-driven extraction system.

Jan 1, 2004

By T Horberry

This paper describes work conducted as part of an overall research project that aims to identify current and emerging trends in the development of automation and remote mining technologies, and to provide an operator-centred perspective to the design and deployment of such systems. More specifically, this paper outlines a research and development process being constructed to examine the issues of the human skills and capabilities required to operate or maintain automated/remote controlled mobile mining equipment. A human factors approach presented here, where the focus is upon designing equipment interfaces to fit operators, rather than purely designing and deploying the equipment based on a technology-centred approach. However, the importance of training to help develop the required skills and capabilities is also emphasised.The work built on a full review of the literature about the effects of automation in mining and elsewhere, extensive interviews with different stakeholders in mining automation and recognised best practice regarding designing for the human element in automated systems. The human element research and development process proposed is in four stages, ranging from understanding the tasks involved in both manual and automated equipment operation through to user trials to ensure that the automated systems are acceptable to operators and are fit for purpose.It is outside the scope of the current paper to present the full data collection described by this four stage process, but an overview of what will be collected is presented. As such, this paper focuses on the broad methods being developed, rather than the specific results to be obtained. The ultimate objective is to apply a broad ‘technology assessment’ approach to the design, deployment and evaluation of automated mining technologies, in particular by considering the user-centred design implications of these technologies.

Nov 22, 2011

By O N. Savassi

A rigorous methodology for prediction of flotation plant performance is presented, which is based on a standardised batch flotation test called the MFT. The work is part of the FLEET program, developed by MinnovEX with the support of seven large mining firms. The methodology is divided into three key steps: direct measurement of the kinetics of true flotation in the pulp, independent of hydraulic entrainment and other froth effects in the batch cell; benchmarking of the industrial plant over a broad range of ore types and operation conditions; and model calibration to describe froth effects in the plant, with a minimal number of parameters. To date, the methodology has been applied with success at several industrial plants, encompassing copper, gold, nickel, iron, lead, zinc and coal operations. This paper includes a description of the laboratory testwork procedure and scale-up to full industrial circuits. Examples of industrial application are also presented.

Jan 1, 2005

By R Yang

This paper presents a fragmentation model for large production blasts in an open pit or underground environment. The paper shows that the particle velocity is directly related to pressure, strain, and strain rate and so it can be considered as driving force and mechanism of rock fragmentation. This is supported by the fact that a vibration with a larger peak particle velocity (PPV) generates larger disturbance in rock and so finer fragmentation or more blast damage than a low PPV. The crack distribution in rock from impact is based on findings from previous researchers (Seaman, Curran and Shockey, 1976; Liu and Xu, in press). The fragmentation size is calculated at three-dimensional grid points within a blast. The fines and oversized blocks are calculated explicitly – the fines generated close to blastholes and big blocks far from boreholes are modelled naturally. The multiple blasthole fragmentation (MBF) model takes surveyed irregular geometry of the free face of a blast as the calculation boundary. The MBF can model fragmentation with over one million grid points. Examples of the model’s field comparison are also included.The PPV at a calculation grid is estimated based on the same approach used for the near field non-linear vibration model (Yang and Scovira, 2007). The method is based on the dominant charge for a calculation grid point, non-linear charge weight superposition within a charge and from multiple charges, strain wave broadening, and amplitude attenuation with distance from a charge segment. The blasthole confinement affected by earlier firing charges is also taken into account.The MBF model inputs from blast design, such as: location and orientation of each blasthole, stemming length, blasthole diameter, multiple decking, bench height, initiation sequence, etc. It models the effect of the delay and its scatter in each blasthole on fragmentation and has a statistical modelling capability for geological random variation on attenuation of particle velocity wave. The wave reinforcement due to instantaneous waves arriving or diminishing cooperative contribution due to long delay intervals between charges is also simulated.The results are displayed in 3D volumetric plots, contour of fragmentation in cross-sections, and size passing curves for a whole blast or a region of the blast.CITATION:Yang, R, 2015. A multiple blasthole fragmentation model – its concept, formulation, capability and field comparison examples, in Proceedings 11th International Symposium on Rock Fragmentation by Blasting, pp 177–186 (The Australasian Institute of Mining and Metallurgy: Melbourne).

Aug 24, 2015

Vertical retreat open stoping (VROS) is a variation of sublevel open stoping (SLOS) that has been introduced at Cannington to minimise the influence of subvertical geological structures during stope extraction. The first application of VROS is described, where structures within the stope resulted in a change in firing sequence and the extraction of two complete sublevels in a single blast. The use of electronic detonators is critical to the success of VROS and their application is described. Numerous benefits of using VROS have been identified and are described. To date, eight stopes have been successfully mined using VROS. In addition to the first application of VROS, two further case studies are described.

Jan 1, 2005

By H F. Yu, S Ueda, J Diao, W F. Gu, Y Sasaki, H Qin

The main reason for the underutilisation of steelmaking slags is their instability, which is influenced by their complex phase structure. Recycling and sustainable steelmaking slag face challenges due to the presence of magnesium oxide (MgO), a crucial component in steelmaking slag. This study investigates the phase evolution of steelmaking slag during the cooling process with different MgO contents, using high-temperature experiments and FactSage™ software, ver 8.1, (by Thermfact/CRCT and GTT-Technologies) thermodynamic equilibrium calculations. X-ray diffraction (XRD) and scanning electron microscope - energy dispersive x-ray spectroscopy (SEM-EDS) analyses identified main phases in steelmaking slag, including Ca2SiO4 (C2S), RO (MgO-FeO solid solution), Ca2Fe2O5 (C2F), and Ca3SiO5 (C3S). The study reveals that RO phase increases as the MgO content increases. C3S precipitates from steelmaking slag with a 12 mass per cent MgO content at a reduced temperature of 1400°C. It is important to note that C3S remains in the steelmaking slag even after slow cooling. This may be due to the substitution of Ca2+ in C3S by Fe2+ and Mg2+ ions. Intriguingly, the precipitation of f-CaO in steelmaking slag with 10 mass per cent of MgO content occurred after one year, while there was no manifestation of f-CaO precipitation in the steelmaking slag with 12 mass per cent of MgO content even after one year. This discrepancy suggests a potential stabilising effect of an appropriate amount of MgO in steelmaking slag. However, it is crucial to emphasise that this inference lacks supporting data, necessitating further research to validate this hypothesis. The significance of this work is in uncovering the complexities of steelmaking slag behaviour, providing essential insights for optimising recycling processes. The research sheds light on the factors that influence the phase composition and stability of steelmaking slag, contributing to the utilisation of steelmaking slags, promoting environmental sustainability, and enhancing the overall efficiency of metallurgical processes in the current industrial landscape.

Jun 19, 2024

By M Rafty, A Markham, S Atkinson

Australia contains some of the most productive mining areas and is characterised by ancient landscapes and highly variable hydrology. Historical mining of iron ore, coal and other minerals has targeted ore deposits located above water tables, and elevated above creek lines where possible to reduce cost. The downturn in mining caused by falling ore prices over recent years has triggered a drive to reduce cost, maximise yield and delay capital expenditure associated with opening new mines. So as the ore deposits with more favorable mining conditions become depleted there is an increased focus on mining ore associated with valley floors and creek lines. This is demonstrated by a regional assessment of the extent of Channel Iron Deposits (CID) and Iron Ore (Fe) Mines and Deposits in the Pilbara Region of Western Australia (Figure 1). A large proportion of these mines are, or plan to, target high grade CID ore associated with existing creek systems. Figure 2 shows outcropping and inferred sub-cropping CID extents, which suggests there are vast quantities of CID ore deposits throughout the Pilbara Region, intersected by major creeks which could be mined at some point in the future using creek diversions (Atkinson et al., 2017). A similar picture could also be produced for coal mining in Queensland, particularly in areas such as the Bowen Basin.While creek diversions provide an opportunity to maximise the utilisation of these orebodies and extend the life of mine, creek diversions can involve substantial financial, social, environmental and regulatory risks that need to be carefully managed (Markham et al., 2017, Atkinson et al., 2017). This paper discusses the key issues and opportunities associated with diversion decision making. It highlights the importance of using a well-structured assessment methodology that allows key stakeholders to be part of the assessment process and is complementary to material presented in Atkinson et al., (2017). Design considerations for operational and closure designs are presented, as well as mine planning considerations, risks, cost saving opportunities and the benefits of an integrated approach to design. The role technology plays in diversion design and performance monitoring is discussed as are the potential opportunities for the future.CITATION:Atkinson, S, Markham, A and Rafty, M, 2018. Diversion decision making with an integrated approach to design for operations and mine closure, in Proceedings Life-of-Mine 2018, pp 74–79 (The Australasian Institute of Mining and Metallurgy: Melbourne).

Jul 25, 2018

By R Paterson, A Christensen

The routine use of gravity gradiometry for the detection of orebodies with no outcrop is now being undertaken. The commodities and orebody styles range from banded iron ore formations to volcanogenic massive sulfide (VMS) style polymetallic deposits. This recent innovation of flying gravity gradiometry was pioneered by BHP Billiton and Lockheed Martin with the Falcon technology (Lee, 2001), and now two additional systems, also using Lockheed Martin instruments, are deployed. In South Africa, magnetic gradiometry is being developed and deployed with the same objectives in mind. In this case, a system from Institute of Photonic Technology (IPHT) is being used. The detectable wavelengths from such systems have decreased to less than 200 m in the last year, and it is expected in 2011 that wavelengths to less than 100 m, with anomaly signal strengths of less than 2 Eotvos for gravity gradiometry will be viable. The key to these advances lies in the improvements of processing software and geological modelling. In particular, methods using all the tensor components are starting to be routinely deployed to filter, level and grid the observed signal. These methods do, however, require full insight and understanding of the reference coordinate systems used by the various instrument designers and survey operators. The digital terrain models need also to be observed to an accuracy of better than 20 m cell sizes, using such techniques as Lidar. Then the terrain effects can be modelled. The topographic surface represents the largest and most proximal density contrast encountered in an airborne survey. Hence terrain effects can have significant impact on airborne gravity gradiometry data. A decorrelation of the terrain effect with the observed signal requires a method of best fitting with a regional surface density. A novel technique has been developed for this purpose. This technique uses a tensor algebra to estimate a density between 1 - 4 g/cc that explains the average observed signal. Armed with this result, the anomalous buried bodies can be revealed by subtraction.

Sep 26, 2011

By D Morgan, K Jones

"In March 2015 Northparkes Mines (NPM) installed a process mineralogy facility on-site. The laboratory included a TESCAN TIMA scanning electron microscope (SEM) and was the first SEM facility to be commissioned on a mine site in Australia. While the initial intent of the quantitative mineralogy laboratory was to provide information to drive processing plant improvements, in practice, it has been utilised for so much more and is now serving as an integral link between departments on-site. This multidisciplinary approach to orebody knowledge is a new strategy for NPM whereby all parts of the value chain are aligned towards the common goal of achieving process efficiency and stability while still maintaining high throughputs. The NPM experience is presented as a case study to illustrate how on-site process mineralogy can drive a realignment in business strategy with a common goal of mill optimisation, stability and more realistic forecasting through orebody knowledge and information sharing between disciplines.Citation:Jones, K and Morgan, D, 2016. On-site Process Mineralogy - Linking Departments and Disciplines with the Common Goal of Increasing Plant Performance, in Proceedings 13th AusIMM Mill Operators’ Conference 2016, pp 149–156 (The Australasian Institute of Mining and Metallurgy: Melbourne)."

Oct 10, 2016

By M Warnken

Major cities are not only the focal point for AustralianÆs work, leisure and homes, they also are the focal point for the flow of resources into the built environment, motor cars and transportation and urban consumables. The steady increases in æstockÆ and waste generation, in line with GDP growth, means that cities will become the mine sites of the future if the inherent value is recovered from these materials at end of life. The urban waste stream can be characterised as containing approximately nine per cent hydrocarbon-based materials; 57 per cent biomass-based material; 28 per cent fully mineralised materials that are inert, five per cent metals and less than one per cent of problematic materials that are potentially hazardous and toxic. In order to convert these wastes into value added inputs into the economy, a number of technological interventions are required. These æurban waste mining techniquesÆ revolve around source separation and material streaming. One issue that needs to be overcome when determining which mining technique to implement, is identifying the option that will deliver optimal value, both from a financial and a sustainability perspective. The difference between embodied energy and calorific value is a case in point. Highest net resource value (HNRV) is a concept that can assist in choosing between different resource recovery options. The assessment can be done at a strategic level, or can be used to work out material specific issues. For example, used tyres can be recovered for their energy content at an approximate cost of $120 per tonne, whereas mechanical processing of used tyres can deliver a net benefit of $192.

Jan 1, 2006

By S A. Ravishankar

In heavy minerals separation, the titanium and iron oxide phases are separated from silicates in the coarser particle size range (80 - 150 mm) using magnetic and electrostatic separators. With the ongoing challenge of heavy mineral ore deposits getting increasingly finer in particle size, conventional separation equipment suffers from the ability to process this material at the same throughput rate as coarser particles. A variety of magnetic separation technologies were developed to perform at a much finer particle size range, down to 2 mm in the clay industries mainly to remove titaniferrous oxide particles. Complementing the developments made on the physical aspects of magnetic separation, Cytec Industries has recently developed a ‘bolt-on’ chemical enhancement technology for magnetic separation (CEMS). This is to enable separation of finer particles, and weakly paramagnetic titanium phases from diamagnetic silicates that are not amenable to magnetic separation. This paper will provide an outline of the technology, illustrate its ability to process a wide variety of ores, and also discuss plant limitations. The major advantages of chemical enhancement technology to magnetic separation includes: simple dosing equipment extension to existing magnetic separation technology; ability to produce product of comparable quality with improved cost effectiveness, when compared to incumbent flotation; removal of impurity minerals over wider size range; enhanced removal of non-magnetic impurities; and improving the process robustness. Furthermore, chemical enhancement technology for magnetic separation has also emerged as a platform for removing impurities at lower levels in other mineral systems as well.

Oct 5, 2011

By S Flanagan, M M. Mete, A R. Tiryaki, M Guresci

First Quantum Minerals (FQM) operates the Cayeli underground copper mine in Turkey. In response to a lost time incident (LTI) that occurred at the mine in 2022, the mine management decided to introduce a new safety approach on-site. The initiative began with a comprehensive safety culture analysis conducted by Arti Consulting, involving focus group studies. Employees actively participated in candid discussions, sharing their insights on safety issues and offering solutions. These conversations were meticulously audio recorded, resulting in over 150 000 words collected from more than 100 employees. These transcribed narratives then underwent rigorous semantic analysis, with the assistance of a sociologist, to identify and dissect patterns of unsafe behaviour. This analysis found areas for improvement, particularly in near-miss and incident reporting, quality of safety toolbox talks and effectiveness of pre-work risk assessments. Subsequently, mine management deliberated on these insights and devised corrective actions. An emphasis was placed on involving all employees in the corrective actions through communication training, empowering them to own the decisions and changes made. These impactful measures were seamlessly integrated into FQM’s Think! Safety Program, which embodies FQM’s sensible health and safety strategy. FQM partnered with Strika Entertainment (Strika) to develop innovative visual-first safety communication tools that use illustration, animation and graphic design to simplify complex messaging into easy-to-understand edutainment. As part of this approach to safety communications, Cayeli and Strika revamped the safety toolbox talks to encourage employees to voice their concerns and receive feedback when their suggestions were implemented. The response from employees has been positive, with over 200 unsafe behaviours and conditions reported within the initial two months of launching the Think! Safety Program. Remarkably, the Cayeli Mine has not experienced any LTIs for the past 500 days as of 9 December 2023. This paper encapsulates the dedicated efforts to transform Cayeli into a safer mining operation.

Apr 16, 2024

By X Sun, L B. Zhou, H Yi, X Tang, P Ning

The rapid industrialisation in China has consumed large amounts of various industrial raw materials, which has left behind large quantities of industrial solid wastes produced from the processes of mining, mineral processing and smelting. The storage of huge quantities of industrial solid wastes is an obvious risk to the environment and human well-being. As the first step to fully appreciate the scale of this risk, it is necessary to carry out research for developing a pollution source environmental risk assessment system (PSERAS), especially for the typical staple industrial solid waste (TSISW). This paper aims to discuss the frame of the PSERAS for TSISW for large scale production. This system consists of two aspects: predicted factors and accidental ones, which involve physical, chemical and biological risk assessments, on-site and during transportation process. Two analysis methods, the analytic hierarchy process (AHP) and fuzzy logic assessment (FLA) were used to handle the complexity of environment and non-quantitative data. The risk assessment system for such a complex objective is difficult and the assessment of relative factors is problematic through the usual quantitative analysis. With the proposed PSERAS, it is possible to define the risk class of pollution sources. Furthermore, the risk assessment results will be helpful to the decision-maker, especially when facing unknown risks in the environmental management of industrial solid wastes. In addition, by means of the PSERAS, risk factors can be ranked against their contributions to environmental risk, in order to calculate their relative priorities in decision-making.CITATION:Sun, X, Ning, P, Tang, X, Yi, H and Zhou, L B, 2012. Environmental risk assessment system for typical staple industrial solid wastes, in Proceedings Life-of-Mine 2012 , pp 301-304 (The Australasian Institute of Mining and Metallurgy: Melbourne).

Jul 10, 2012

By C K. McKenzie

As more and more mining operations around the world either switch to, or trial, electronic initiation systems, the breadth of knowledge and experience regarding their effective application has widened considerably.In South America, for example, there is a strong perception that in order to achieve the finest possible fragmentation, very short electronic delays must be used between successive holes within a row. Limited field studies involving measurement of fragmentation have been conducted to support that paradigm and there are few long term studies which have been strongly supported by measurements of productivity either in the pit, in the plant, or in the leaching pads.On the other hand, some well documented studies have been conducted in North America, showing not only the impact of delay timing on fragmentation but also the effect on semi-autogenous grinding (SAG) mill productivity over extended periods of in excess of 12 months. To date, those studies suggest that optimum timing is considerably longer than the times commonly used in South America.This paper explores the current knowledge of the effects of delay timing on issues ranging from size distribution to vibration impacts in pit walls, to vibration and overpressure impacts in surrounding communities. It also explores how fragmentation modelling can be adapted to reflect fragmentation trends that have been reported in various technical conferences around the world.

Nov 8, 2011

By A Duran

When dealing with rocks in the geotechnical profession, a common activity involves providing an estimate of the intact strength. The tactile approach and descriptions of strength that apply to soils is well documented, can be readily checked through the use of a pocket penetrometer and are known to provide reliable estimates of strength. Moreover, although different soil strength classification systems are present, the bounds between classification classes are compatible across almost all documented classification systems. However, this is not the case for rock strength materials. There are numerous systems within the literature, some with different concepts, and almost all have different bounds to each strength classification. In this paper, the author presents seven classification systems for estimating intact rock strength and highlights issues in their implementation. Example cases are presented to discuss the typical concerns confronting field strength estimates.CITATION:Duran, A, 2014. Comparison of field estimated strengths, in Proceedings AusRock 2014: Third Australasian Ground Control in Mining Conference , pp 101–106 (The Australasian Institute of Mining and Metallurgy: Melbourne).

Nov 5, 2014

By L. R. MURPHY

This paper gives a general description of mining operations at the Rosebery Mine and a brief account of the older Hercules Mine. The more unusual aspects of the operations, such as the sinking of the inclined shaft, blast-hole experiments, diamond drilling practice, and proposed future developments are described in detail.The following main heads are used:Roseberry- General production Data.General Description of Ore-body, and Characteristics of Ore and Country Rock.Layout of MineMining Methods, Filling, etc.Blast Hole Stoping.Sinking Main Inclined Shaft.Mining Timber. Contract System.Diamond Drilling and Sampling.Surveying.Labour Force.New Developments, Sand Filling and Pumping.Hercules-Situation of Mine.Transport-Haulage and Aerial.Ore Bodies.Stoping Methods.Ore Handling.

Jan 1, 1949

By D Willis, A Shanahan, C Jacobs, T Luxner

The application of tunnel boring machines (TBM) for reef mining is a unique practice with benefits over current mining methods given the right geology and geometry of the orebody. The Stillwater Mining Company (SMC) of Nye, Montana, USA operates two mines for obtaining platinum metals. The operation is currently using a 5.5 m diameter open-type machine for further mine development, as well as another TBM that they own.The latest 7.1 km bored tunnel, known as the Blitz Tunnel, will be routed parallel to the ore deposit in igneous mafic intrusive rock, and will be used for the life of the mine operation. It will be used to map the ore deposit, and provide a rail haulage route.Detecting the reef in relation to the TBM requires careful analysis. Diamond core drilling occurs ahead, above, and alongside the machine at every 150 m. The core is drilled, logged, and interpreted on the spot, concurrent with boring. Based on the data, the TBM is readjusted so that it stays on the correct bore path.This paper will highlight the application and benefits of TBM usage for reef mining, with detailed descriptions from the mine site.CITATION:Willis, D, Jacobs, C, Luxner, T and Shanahan, A, 2014. Tunnel boring machine usage speeds up development at Stillwater Mine, in Proceedings 15th Australasian Tunnelling Conference 2014 , pp 683–690 (The Australasian Institute of Mining and Metallurgy: Melbourne).

Sep 17, 2014

By D Corley, J Moore, M Grant, A, W R

Resource estimates are the corner stone of technical and investment decision-making. Prior to mining, resource estimation uncertainty has the greatest potential to lead to poor investment decisions, despite a significant component of resource estimation uncertainty being unknowable at this critical stage in the mining cycle. This presents a conundrum to the resource geologist in terms of risk evaluation and resource classification. Ahead of mining, there is normally considerable focus on drill hole spacing analysis to determine the ‘optimal’ drill hole spacing, taking grade and geological continuity into account; cost-benefit analyses balance improved resource definition against cost; the law of diminishing returns and the exponential cost increases acting together as spacing is reduced. Typically, a lower limit to the drill hole spacing is identified. After completing the resource drilling to an agreed spacing, resource estimation is then undertaken. At this point it is common to attempt to bracket the resource estimation uncertainty. In many cases conditional simulation is used, based on a modelled, but largely assumed, variogram model. It is also assumed that the histogram of the available drill hole sample data is representative of the in-ground mineralisation. The purpose of this paper is not to diminish the importance of drill hole spacing and simulation studies, but rather to illuminate an important aspect of estimation uncertainty that, although previously recognised, is typically overlooked – the question of how representative the available data set is in characterising the true (but unknown) distribution of mineralisation. To do this, we lift the lid on one of OceanaGold’s former operations, the mined-out Globe Progress Mine, by resurrecting a high quality, close-spaced, reverse circulation (RC) grade control data set. The Globe Progress Mine is within the West Coast Region of New Zealand, it was closed and transitioned to rehabilitation in 2016 and is now known as the Reefton Restoration Project. The exhaustive Globe Progress grade control data was used to repeatedly ‘redrill’ the deposit by extracting 35 m × 35 m spaced subsets from the original 5 m × 5 m spaced grade control data. Utilising closely spaced grade control data removed the need for assumptions regarding short range continuity, which are necessary with forward-looking analyses that are based upon broader spaced resource drilling. The extraction process used a nearest neighbourhood algorithm, repeatedly moving the origin in 5 mE, or 5 mN increments. Individual resource estimates were then completed for each of the extracted drill hole data sets (49 in total) as well as a grade control estimate based upon the exhaustive data set. Whilst the data unpinning each of the 49 estimates changed, the geological assumptions, variography, and modelling parameters remained constant. This approach was taken to isolate the impact of changing the input data. The 49 estimates were then compared against each other and the grade control estimate. The mean of all 49 sensitivity estimates was close to that of the grade control estimate in terms of contained gold, tonnes and grade. Whilst it is acknowledged that the grade control estimate itself is subject to some degree of estimation uncertainty, the close match between the average of the 49 estimates and the grade control estimate suggests that the resource estimation methodology is reasonable and appropriate. Whilst this comparison is important, the focus of this study is on the component of estimation uncertainty related to the underlying data, and this is reflected in the spread across the estimates. The spread across the 49 global estimates (highest to lowest) for this particular Mineral Resource Estimation Conference 2023 | Perth, Australia | 24–25 May 2023 142 case study was found to be significant (approximately 20 per cent in grade and metal) and that is attributable solely to the underlying data. This exercise quantifies a component of the estimation uncertainty that is inherent to all drill hole data and is distinct from the uncertainties associated with modelling methodology choices, sample and subsample quality and drill hole spacing-related interpolation uncertainty. Importantly, this uncertainty is unknowable prior to mining; we can only directly compare the resource drill hole data against grade control data after mining has taken place. For the case study, approximately 65 per cent of the estimates fell within 5 per cent of the grade control estimate for contained-gold, suggesting that for many projects the histogram of drill hole data is unlikely to differ noticeably from that of the in-ground resource. However, about 15 per cent of the estimates in this study differed by more than 7.5 per cent, suggesting that a not-insignificant proportion of estimates will be materially compromised. Whether or not the available drill hole data is representative comes down to the ‘luck of the draw’ and cannot be known at the time of resource estimation. Given the challenge of attempting to evaluate forward-looking estimation uncertainty, a component of which that can only be quantified retrospectively, what should we do as resource geologists? What are the implications for risk evaluation, resource classification and reconciliation? Furthermore, without rigorous post-mining data checks, resource geologists may conflate suboptimal modelling with the shortcomings of the underlying data. An example of this problem is discussed in the following section.

May 24, 2023