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By J Sigda, T Jones, D Staggs, J Ewing, C Cheng, J Pickens, S Paulka

Mine-derived solutes from Energy Resources of Australia’s (ERA’s) Ranger uranium mine have been closely monitored for decades. Ranger is surrounded by the Northern Territory’s Kakadu National Park and is upstream of Ramsar convention wetlands. Modelling of groundwater flow and solute egress from mine wastes to surface waters has helped ERA successfully assess closure options and secure intermediate regulatory approvals during the site closure process. Potential environmental impacts were assessed using groundwater modelling in support of three ERA applications involving disposal of tailings-derived mine waste. Model results were an important part of the basis for obtaining regulatory approval. Three case studies are presented describing the three applications and how the groundwater modelling supported approval of the applications. For case study #1, INTERA supported ERA in addressing stakeholder concerns in 2017 regarding two aspects of tailings deposition in Pit 3. The first was the potential for flow of tailings fluid into the surrounding formations during tailings deposition. The second was the difference in post-closure magnesium (Mg) loading to surface water for two tailings deposition scenarios. INTERA developed a two-dimensional (2D) model that showed excess tailings pore pressures would not cause outflow and solute egress from the pit during deposition. INTERA’s three-dimensional (3D) models demonstrated that post-closure Mg loading to creeks for both tailings scenarios differed marginally and would be a small fraction of natural creek Mg loads. The modelling results helped avoid delays in completing tailings deposition driven by stakeholders’ environmental concerns. Case study #2 consisted of supporting ERA’s 2019 request for approval to change the tailings deposition method and final tailings level in Pit 3. INTERA’s model results for the permitted and proposed deposition methods showed minimal differences in post-closure Mg loading to creeks. The model results helped ERA obtain the needed approval for the tailings deposition method and water and tailings levels in Pit 3. For case study #3, INTERA modelled the comparative impacts from leaving the entire contaminant plume from the temporary tailings storage facility (TSF) in situ or excavating a portion of the contaminated material from beneath the TSF floor and placing it in Pit 3. The modelling results supported an approved TSF contaminated material application important for ERA to stay on schedule and minimise both closure costs and environmental impacts.

Jul 1, 2021

The long-term production schedule of open pit mines that maximises the net present value (NPV) of a given project relies on the proper design of phases (pushbacks) within the ultimate pit limits. There is not a phase design algorithm applied in the mining industry today that gives yearly production schedules that are optimum.The majority of phase design algorithms currently in use by the mining industry aims at grouping the blocks that fall within the ultimate pit limits into phases such that the average value of the blocks within each phase decrease as the size of the phases increase. Current phase design methods are typically based on a pit limit optimisation algorithm, originally introduced by Lerchs and Grossmann (LG) in 1965. To obtain multiple pit shells to be used for the phase design, the LG pit limit algorithm successively applied to economic block models by changing the price of the commodity or some other factor that properly parameterises the size of the pit. These modified economic block models are developed by predetermining the destination for each block in the model based on a breakeven analysis and highest economic outcome between alternative destinations. Phase designs determined by these existing algorithms may be suboptimal if a given project utilises multiple processing facilities for metal recovery and particularly if these facilities have restrictions (constraints) that require blending of attributes in the feed. To overcome these problems in obtaining phases that optimise overall production schedules, a new algorithm is developed at the Colorado School of Mines. The algorithm determines the phases of an open pit mine by taking into account multiple process options for the blocks and period by period blending requirements. This algorithm has been implemented within a software program (the software) and is being prototyped successfully in the design of improved pushbacks at a copper mine in South America and on a gold mine in Nevada. This presentation will demonstrate the shortcomings of the traditional phase design methodologies based on comparison of results coming from the new approach versus the traditional.

Dec 6, 2010

By H Asche

The proposed Rockwater Power Project is a hydropower development on the Waitaki River in the South Island of New Zealand. The proposed development will have an installed capacity of 250 MW with a peak flow capacity of 260 m3/s. The project commences at Lake Waitaki and extends some 35 km downstream on the north bank to a surface power station at Stonewall. Flow is returned to the Waitaki River via an outfall channel.The tunnelling for the project is through Greywacke, which comprises Permian and Triassic age marine sediments that are well indurated and weakly metamorphosed. The rock mass is jointed and sheared and there are frequent faults, which range up to hundreds of metres in width. Three 12 m diameter tunnel boring machines (TBMs) are proposed to excavate the 35 km long tunnel.The paper describes the development of the tunnel alignment, rock mass classification, design of the support, rock and hydraulic loads, support installation options and construction sequencing.The alternatives of rock bolts and shotcrete and segmental lining were both investigated and are discussed. Support using rock bolts and shotcrete offers the potential of rapid construction with minimum support cost when the ground conditions are good, but delays due to support installation increases with deteriorating ground conditions. In contrast, segmentally lined tunnels offer greater certainty in cycle time with reduced program risk. Both options are described and discussed.The horizontal alignment is affected by the presence of major fault zones, which are either avoided, or pretreated by driving conventional tunnels through in advance of the TBM delivery, topographical constraints with the rugged topography and operational hydraulic constraints. Construction requirements, future power station operation and the minimisation of leakage from the tunnel have all impacted on the vertical alignment.The number and sequencing of TBMs to be used is discussed in terms of program time and risk minimisation.

Mar 8, 2011

By J Harris, P Kirsch, D Cliff, M Spinks, S Goater, D Sprott

Fires are a common and recurrent unwanted event in the operation of open pit mines. In most cases, the causes of events such as fires are already æknownÆ but are either overlooked or not fully addressed in planning. Ongoing rapid growth of the global mining industry is creating a scarcity of skilled personnel, and high turnover within operations. This contributes to loss of corporate memory in risk management activities. RISKGATE« is an online risk management system designed to support and assist in the analysis of priority unwanted events in Australian coal mining operations. Funded by the Australian Coal Association Research Program (ACARP), RISKGATE« is a knowledge management program that delivers best-practice controls for unwanted events and assists operations in staying abreast of emergent risks and threats. RISKGATE« content has been primarily developed from an association of industry experts, and enriched with input from additional academic and technological resources. In mining operations, RISKGATE« provides a continuum of knowledge and best practice for risk identification, assessment and management. RISKGATE« will assist companies in improving safety performance, operational efficiency, operating practice and training. Here we present the RISKGATE« prototype as developed in 2011 for Fires, with a case study presented for the initiating event Fires on Mobile Plant.CITATION:Harris, J, Sprott, D, Spinks, M, Cliff, D, Goater, S and Kirsch, P, 2012. RISKGATE« - A case study in application to fires on mobile plant, in Proceedings Eighth Open Pit OperatorsÆ Conference , pp 49-54 (The Australasian Institute of Mining and Metallurgy: Melbourne).

Sep 18, 2012

By K Knorr, S Birch

The mineralogy of new certified-reference-materials (CRM) for X-ray fluorescence from Western Australia (ASCRM 030 to 035) was analysed by X-ray diffraction using the BRUKER energy dispersive one-dimensional detector LYNXEYE-XE. The samples were studied using standard-less quantitative phase analysis, based on the Rietveld method. This method delivers the relative amount of crystalline phases. All materials were found to be high-grade iron ore predominantly consisting of hematite and goethite and very low amounts of magnetite. In addition, the gangue mineralogy was characterised. It consists of low-per cent amounts of carbonate (siderite/calcite), quartz, kaolinite, chlorite and gibbsite.Furthermore, all samples were analysed with the external standard method. This is an elegant way to probe for amorphous content without adding an internal standard. All six samples were found to contain up to 16 per cent amorphous or nano-crystalline material.CITATION:Knorr, K and Birch, S, 2013. Mineralogy of new Australian x-ray fluorescence standards, in Proceedings Iron Ore 2013 , pp 269-274 (The Australasian Institute of Mining and Metallurgy: Melbourne).

Aug 12, 2013

By M Kent, D Elder, J Woodward, R Edwards, B Catto

At Tropicana gold mine (TGM), mine planning is completed from ‘one source of truth’ known as the Integrated Planning Model (IPM). The IPM is a block model which forms a core component of the TGM Mine Planning System – used for short, medium and long-term mine planning cycles, and for Mine to Mill reconciliation.The IPM was developed from a desire to consolidate long-term information contained in mineral resource and ore reserve models, with short-term information from the grade control processes, including grade control models and ore polygons.The IPM is informed initially by resource models, upon which the longer term budget and schedules are based. The IPM is routinely updated with grade control models and ore design information, providing increased confidence for short to medium term mine planning. In this format, the IPM also provides a framework for reconciliation of resource performance with grade control, mining actuals and mining schedules, and ultimately milling. As well as a means for analysing past performance through reconciliation, it has proven its worth as a predictor of variation and an input to successful schedule sequencing and change management. The IPM is a critical component of the TGM Mine Planning System, providing a centralised framework for short interval mill feed prediction through to life-of-mine (LOM) planning.Current development of the IPM is working towards incorporating Mine to Mill optimisation and real-time material tracking projects at TGM. If successful, the model will provide a truly powerful mine planning data source. Current development outlines a mechanism for tracking material from Mine to Mill, and for transferring mill performance data back to the IPM. Increasingly advanced material classification and mine planning, incorporating the multiple geometallurgical variables, will enable the mine to provide consistent mill feed products and result in a steady state and optimised mill.This paper outlines the vision, creation and benefits of the IPM at TGM. It also introduces the ongoing developments to ensure the IPM becomes only more relevant to successful and integrated mine planning as TGM matures from the new kid on the block to the old hand in the neighbourhood.CITATION:Catto, B, Elder, D, Edwards, R, Kent, M and Woodward, J, 2017. An integrated approach to mine planning – building the integrated planning model at Tropicana gold mine, in Proceedings Tenth International Mining Geology Conference 2017, pp 305–314 (The Australasian Institute of Mining and Metallurgy: Melbourne).

Sep 20, 2017

By J V. Mehrabani, A R. Sayadi

Adequate estimation of equipment costs is a key factor in a feasibility study and in evaluation of design alternatives for mining and mineral processing projects. Inaccurate early cost estimation could lead to the elimination of investment benefits. However, this estimation is complex and time consuming because of data accessibility problems and consequently access to a rapid, up-to-date and accurate tool is desirable for carrying out cost estimations.This paper describes the development of models for estimating capital and operating costs for a jaw crusher, which is used as the primary crusher for a wide variety of mineral beneficiation plants, applying single and multivariate regression analyses, together with the design of experiment approach, based on principal component analysis. Explanatory variables include gape size, length of feed opening and power as numeric (quantitative) variables and toggle type (single or double) and the existence of extra heavy duty construction as categorical (qualitative) variables. The performance of each model has been investigated and comparing the estimated R-squared (R2) of each model, the best was selected and its validity examined. The cost models include the capital and operating costs along with the operating cost components. The results indicate that the suggested best cost model is sufficiently accurate for use in feasibility studies.

Sep 26, 2011

By J Sargeant, T Levi, J Theiler, B Beamish

Two coal samples (810 Panel and Area 900) collected from Clarence Colliery have been tested under a controlled heating procedure to evaluate the gas evolution trends corresponding to increasing temperature. Gas evolution data are normally used to identify key gas indicators and validate the trigger action response plan settings for the mine as part of the Principal Hazard Management Plan for Spontaneous Combustion. The samples were located some 6 km apart and there is a significant coal-type difference between them. At low temperatures (<100°C), the Graham’s ratio (GR) values for the two samples are almost identical. However, at elevated temperatures, there is a significant difference, with the 810 Panel coal having higher GR values than the Area 900 coal. This is most likely due to a difference in the coal reactivity. The 810 Panel coal does not evolve ethylene until temperatures in excess of 140°C are reached, whereas Area 900 coal evolves ethylene once temperatures in excess of 120°C are reached. The 810 Panel coal also produces significant ethane evolution (200 ppm) at low temperatures (50°C) due to the presence of retained ethane seam gas, which decreases as the temperature increases due to desorption from the coal. Once the coal temperature exceeds 130°C, the ethane evolution increases again due to coal oxidation reactions, reaching levels of 50 ppm. In contrast, the Area 900 coal has no significant low-temperature ethane evolution, and ethane evolution only increases once the coal temperature exceeds 120°C. There are also noticeable differences in the trends of other gases evolved from the coal. These findings have implications for the interpretation of gas monitoring results from the two different areas of the mine. They also illustrate the need for obtaining results from each new area of a mine as it develops so that changing gas evolution trends can be identified in advance of mining.CITATION:Beamish, B, Sargeant, J, Levi, T and Theiler, J, 2015. Gas evolution trends for coal from two different areas at Clarence Colliery, in Proceedings The Australian Mine Ventilation Conference, pp 273–278 (The Australasian Institute of Mining and Metallurgy: Melbourne).

Aug 31, 2015

By J Light

Since 2019, the mine planning team at Olympic Dam has been establishing and maturing a shift from deterministic to probabilistic scheduling techniques. This paper outlines this journey undertaken by the mine planning team, key learnings from implementation and further work required to increase the level of planning maturity. Olympic Dam (OD) is a highly variable, polymetallic orebody with a vertically integrated value chain from operations to final product. The processing plant has a tight set of quality constraints which are managed through timing of stopes from varying parts of the orebody. Value is eroded for the operation when forecasted quality of the mine feed encounters disruptions from unplanned changes to the timing of stope starts. As production has moved from the historic Northern Mining Area into the more geologically complex Southern Mining Area, average stope size has reduced, resulting in increased mining fronts required to meet production targets. This has created a problem of increased schedule complexity and difficulties in identifying and communicating resource priorities within a large set of individual stope critical paths. The problem was approached by considering each stope as an individual project constructed by teams working across multiple projects at any one time. The operation could then be considered a multi-project environment with shared resources and enables the application of Critical Chain Project Management (CCPM) to the mine plan. Key to CCPM is the addition of time buffers to protect the critical path of a project form upstream or downstream processes. Implementation of time buffers protects the stope start date against compliance to plan variance. The monitoring of each time buffer consumption, as a proportion of total construction activities completed enables proactive prioritisation of resources. This resulted in an increase in the number of stopes starting in accordance with the mine plan, simplified communication of priorities to all levels of the operation, increased compliance to plan and a clear measure of schedule risk during planning routines.

Mar 29, 2023

By M I. Pownceby, N A. S Webster, A J. Studer, I C. Madsen, J A. Kimpton, M J. Fisher-White, L Lu

In situ synchrotron X-ray and in situ neutron diffraction-based experimentation have been implemented to characterise the formation of the complex calcium ferrite iron ore sinter bonding phases silico-ferrite of calcium and aluminium (SFCA) and SFCA-I. Experiments were carried out using fine-grained (<20 ¦m) sinter mixtures containing ~77 wt per cent Fe2O3, 14 wt per cent CaO, 3.5 wt per cent SiO2 and 5 wt per cent Al2O3, with diffraction data collected during heating until 1300 - 1350¦C, which was enough to ensure complete melting of the SFCA phases. In the case of the in situ synchrotron experimentation, results showed that altering the nature of the starting sinter mixture (ie substitution of goethite for hematite; substitution of an amorphous Al2O3-based mineral for gibbsite) did not have a significant effect on the thermal stability range of the SFCA phases. It did, however, have a profound effect on the formation and rate of consumption of the calcium-rich ferrite phases C2F and CF, and on the formation mechanisms of SFCA and SFCA-I. The in situ neutron diffraction experimentation is the first described in the context of iron ore sintering, and the observation of both SFCA-I and SFCA formation in the in situ diffraction data represents the first step in achieving the goal of charactering iron ore sinter phase formation in large volumes of industrial sinter starting materials with a wide range of particle sizes (up to 6.3 mm).CITATION:Webster, N A S, Pownceby, M I, Madsen, I C, Studer, A J, Lu, L, Manuel, J R, Kimpton, J A and Fisher-White, M J, 2013. In situ x-ray and neutron diffraction studies of silico-ferrite of calcium and aluminium iron ore sinter phase formation, in Proceedings Iron Ore 2013 , pp 487-494 (The Australasian Institute of Mining and Metallurgy: Melbourne).

Aug 12, 2013

By G McCullough, J Bassan, d P. Knights, C T. Farrelly

By 2045, carbon-neutral mines will be economically producing products that are vital for the world’s transition to renewable energy. After overcoming significant technical challenges (and the investment of significant capital), leaders have successfully eliminated the use of diesel and other fossil fuels by introducing a wide range of new decarbonisation technologies. These leaders will be reaping the benefits of lower production costs (resulting from elimination of diesel), stable and predictable operations, and easier access to capital for their future projects. This paper describes a future scenario of how a net zero carbon and zero-entry mine could operate by taking maximum advantage of technologies in development or already proven in other industries. Some miners have been unsuccessful in their efforts to reach decarbonisation targets. Instead, they have been forced to close or offload their assets to be acquired by operators with better sustainability credentials, or, in some cases, to indigenous or community-based enterprises with vested interest in making operations viable and sustainable. Regardless of ownership structure, all successful mining operations will have fostered strong and positive community relations that bring education, health, security and economic development opportunities to the communities while respecting their traditions, land-uses and culture. As shallow, easy to mine deposits have become scarce, the majority of new mines are underground. Advancements in electric underground technology and the feasibility of ‘zero entry mining’ (with no personnel in active mining zones) has made it increasingly possible to economically operate underground mines, even at shallow depths. The newest mines have a near zero footprint on the surface, produce no harmful by-products, and are employing in-place or in situ methods of extraction that are efficient and low impact. Surface land-uses, such as agriculture and renewable energy generation, continue in the immediate vicinity of the mine, with no significant ground disturbance, community impact or environmental footprint.

Sep 1, 2024

By W Russell, P Wighton, J Franke

Recent advances in ruggedised industrial control system technology and architecture in combination with latest technologies in the fast-evolving 3D LiDAR sensor sector becoming available have enabled the implementation of sophisticated automation algorithms for mining equipment such as bucket wheel reclaimers, as published by the authors in the peer reviewed AusIMM 2019 Iron Ore conference proceedings. This paper provides an overview of a second use case for such automation technology in bulk material ports integral to iron ore operations. The real-time 3D machine-vision based port automation system described in this paper was originally developed for the BHP-Mitsubishi Alliance’s (BMA) Hay Point port. The system has seen deployment at other major mining and general ports in Australia, such as at Dalrymple Bay Terminal (DBT) (shown in Figure 1) managed by Dalrymple Bay Infrastructure Management (DBIM), Hay Point, Queensland. It has the following use cases:

Nov 8, 2021

At Cliffs Natural Resources Ltd (CNR) crushing and shipping sample stations, precisions are estimated for the sampling, preparation and measurement stages of iron ore sampling in accordance with ISO 3085 (2002). In this Standard, gross duplicate samples are prepared at each of the three stages, yielding eight measurement assays. Appropriate calculations of the differences between assay pairs are then made to estimate precision of each stage of sampling. The International Standard for checking precision in iron ore sampling, ISO 3085 (2002) prescribes a method for identifying outliers that is ambiguous and possibly inappropriate. The procedure also makes an unnecessary implicit assumption, that the differences between assay pairs are normally distributed. The Anderson-Darling statistic is used to demonstrate that in some cases the assay pair differences have distributions significantly different from normal. When applied at CNR as specified, the Standard leads to precision estimates well below the expected values, thus overestimating the sampling method's capability and limiting the opportunity for real process improvement. This paper suggests an improved method of estimating sampling, preparation and measurement precision. A bootstrap procedure is used to estimate confidence limits for the calculated precision estimates. The proposed method would be suitable for testing blasthole precision. The discussion is supported by extensive simulation modelling of realistic data.

Mar 1, 2010

By R Jaine, D Strang, M Fowler

"This paper presents a case study demonstrating active geotechnical pit slope management at the now completed Carina Iron Ore Project operated by Mineral Resources Ltd (MRL). The site is located 105 km north-east of Southern Cross, Western Australia. The paper is primarily focused on the slope stability failure modes and the remedial measures employed to maintain mining.Between a quarter and a third of the excavated slopes were impacted by some form of instability that was beyond expectations of the intended slope design criteria and common practice. Ongoing mining was supported by intensive geotechnical pit slope management including close cooperation between geotechnical, mine planning and operations staff to achieve timely and practical mining solutions.Mining encountered varied slope failure mechanisms which required a combination of remedial solutions comprising: horizontal depressurisation holes, deferral of excavation, unloading, buttressing and catch berms.The root cause of the challenging slope performance was a mismatch between the predicted and encountered geotechnical model, resulting from a failure to recognise the critical mechanisms that control slope stability.Despite the extensive zones of instabilities at completion of mining, full ore recovery was achieved without major delays and in a controlled and safe manner.Citation:Fowler, M, Strang, D and Jaine, R, 2016. Adapting to Geotechnical Change - a Case Study of the Carina Open Pit Mine, in Proceedings Ninth AusIMM Open Pit Operators' Conference 2016, pp 150–161 (The Australasian Institute of Mining and Metallurgy: Melbourne)."

Nov 15, 2016

By V Gumba, S Narendranathan, C Barker, R D. H Thomas, G P. Bungard

This paper presents the positive outcomes on an EPCM project, which was undertaken in a challenging environment, whereby the design team had to generate a design with a number of stringent serviceability criteria, any deviation from which would have had significant implications to the proposed design performance. The success of the design implementation within the tight time frame hinged upon the precise installation by a skilled contractor. The overall objective was achieved as a result of close collaboration between the designer and contractor ensuring all stringent quality assurance/quality control (QA/QC) aspects were met and opportunities to optimise design without compromising on performance were identified and implemented, resulting in a cost saving of over A$13 M.CITATION:Narendranathan, S, Thomas, R D H, Bungard, G P, Gumba, V and Barker, C, 2012. The importance of collaboration between designers and contractors in implementing a design in challenging conditions, in Proceedings Eighth Open Pit OperatorsÆ Conference , pp 97-102 (The Australasian Institute of Mining and Metallurgy: Melbourne).

Sep 18, 2012

By J T. Carswell, N A. Schofield

Fluctuations in periodic reconciliations between the mine and the mill are an expected and common experience in mining and processing operations. These fluctuations are caused in part by errors in the estimates of tonnage and grade of the mined material as well as errors in the millÆs assessment of the material processed. Keeping these errors small and unbiased is an important aspect of an efficient operation whose primary goal is to derive maximum benefit from the exploitation of the mineral resource.These fluctuations in periodic reconciliations can also mask subtle but economically important problems which may take years to identify and resolve. Such problems can result from a poorly-conceived model of the mineralisation which affects both the spatial distribution of the ore as well as the tonnage - grade distribution over the range of cut-off grades. Poorly conceived models of the mineral resources and ore distribution can arise as a result of insufficient and inadequate?drilling and sampling of the mineralisation, inappropriate?application of geological?constraints in the estimation process and the use of inappropriate methods to estimate the block grade distribution. This paper presents three case studies from gold and copper mining operations, two of which experienced significant problems with their mine to mill reconciliations over extended periods of time. For the gold mine in case study 1, sampling problems were ultimately considered to be the main cause of the poor reconciliations between grade control predictions and the mill which persisted over a period of 18 months. In addition, incorrect application of resource modelling methods contributed significantly to a mismatching of the mill capacity with the mine at the beginning of operations. For the underground copper mine in case study 2, a change in the approach taken to resource modelling brought marked improvements in ore definition and more accurate predictions of ore grade and better production forecasts.The third case study describes the background to the expansion of production to exploit a large tonnage of lower-grade stockwork mineralisation in an open pit gold mine. Several years of favourable Mine to Mill reconciliation data from the mining and processing of higher grade and lower grade stockwork styles of gold mineralisation provided the confidence in the approach to grade control to support the expansion plans during a period of low gold prices.The paper is intended to complement the discussion of mineral resource estimation methods and risks in Section 6.1.3 of the Mine ManagersÆ Handbook to be published by the Australasian Institute of Mining and Metallurgy (Schofield, 2012).CITATION:Schofield, N A, Moore, J and Carswell, J T, 2012. Mine to mill reconciliation - Three case studies, in Proceedings International Mine Management 2012, pp 161-172 (The Australasian Institute of Mining and Metallurgy: Melbourne).

Nov 20, 2012

By S Shafiee, N Abbate

The evaluation of mining projects requires a methodology that will give flexibility and manage the existing uncertainty within the projects. The discount cash flow (DCF) and other traditional evaluation approaches, which are widely used in evaluating a significant number of mining projects, have simply assumed that the main variables remain constant in their evaluation; elements such as discounted rate, mine life, operating cost and production rate. The DCF ignores managementÆs flexibility to adapt and reforecast and revise decisions. Real options valuation (ROV) is one of the modern evaluation methodologies that provide a tool to adapt and revise mining projects under uncertainty and future variables movements. ROV brings more variables into the evaluation model compared to DCF and assumes them as uncertain and dependent. Finally, ROV provides a range of solutions that can assist in managing this flexibility.This paper endeavours to compare ROV and DCF for mining projects comprehensively and applies these two techniques in the model. The paper shows that ROV will be inclusive of extra value in mining projects due to variables not allowed for, or even ignored, when the DCF model alone is used. One of the significant advantages of the ROV method is being able to evaluate mining projects under different scenarios from the inception of the projects. Furthermore, ROV gives the ability to evaluate the mining project while allowing for abandonment, temporary suspension, or expanding the mining project. In other words, the ROV evaluation process creates an analytical environment, which allows for optimisation of the mining plan within the mining project, as well as the ability to change the capital structure dependant on existing circumstances over the life of the project. The ROV is a new evaluation method that can add value in mining project analysis and offers opportunities to amplify gains, or to mitigate losses. This paper also discusses some of the reluctance to use ROV instead of DCF in current project evaluation.CITATION:Shafiee, S and Abbate, N, 2012. Now, this is the time for mining companies to choose - Real option valuation or discount cash flow, in Proceedings Project Evaluation 2012 , pp 225-234 (The Australasian Institute of Mining and Metallurgy: Melbourne).

May 24, 2012

By Brigden J. F, Birrell

A regional geochemical exploration programme commenced in July 1983, based upon low-density sampling of lateritic duricrust over parts of the Yilgarn Block of Western Australia. This resulted in recognition of an area significantly anomalous in chalcophile elements that progressively led to the discovery of the Johnston Range gold deposits in 1985. The deposits, on the Barlee 1:250,000 map sheet, occur in four mineralized zones, and production is expected to commence during 1988. The programme leading to the Johnston Range discoveries was a collaborative research/ applications study between the AGE Joint Venture (Greenbushes Ltd., St. Joe Minerals, and from 1985, Sons of Gwalia NL) and the CSIRO Laterite Geochemistry Research Group (Smith, 1987). It built upon a precursor project sponsored by Greenbushes Tin Ltd that commenced in 1980 and arose from an orientation laterite research project in the Greenbushes rare metal pegmatite district (Smith et at., 1987). Both were multi-commodity programmes and included the search for gold deposits. Basic methodologies for sampling and data interpretation have been described by Smith and Perdrix (1983) and Smith et at. (1984). Continuous geochemical coverage of designated parts of greenstone belts was sought using a triangular grid of 3-km or 1-km spacing, depending upon the expected prospectivity of the areas and the size and characteristics of the ore deposit targets. First-pass sampling, that resulted in the Johnston Range discoveries, was at 3-km spacing and several samples within a 30-km by 5-km area were

Jan 1, 1988

By R G. Reddy, A Yahya

The sulfur distribution ratio (Ls) is an expression of the amount of sulfur in slag to the amount of sulfur in molten metal. The sulfide capacities calculated from Reddy-Blander (RB) model were used to calculate the sulfur distribution ratio (Ls). A new Reddy model for sulfur distribution ratio (Ls) was developed for modelling Ls for ironmaking, steelmaking, and secondary steelmaking conditions. Besides calcium oxide, the major component in the ladle furnace (LF) slags is alumina. The Ls was calculated for typical LF slags as a function of temperature and composition. The model calculated Ls values are in good agreement with the experimental and industrial slags data. The extremely low oxygen potential in these furnaces after fully-killed steel is favourable for desulfurisation. For any given slag’s composition and temperature, its sulfide capacity can be calculated a priori. The equilibrium sulfur distribution ratio between this slag and liquid metal in a particular vessel can also be calculated a priori. The Ls for ladle furnace (LF) slags is about twice those for blast furnaces (BF) slags and ten times those of basic oxygen furnace (BOF) slags. The desulfurisation of pig iron in BF and desulfurisation of steel in LF during secondary steelmaking are recommended. Steel desulfurisation in steelmaking furnaces is not effective. Since the model used to calculate the sulfur distribution ratio (Ls) is a priori, it is a useful tool for the iron and steel makers in improving the product quality and optimisation of the industrial furnace operations.

Aug 21, 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