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An integrated approach to risk management to complement insurance is the sustainable way forward for the modem organisation. For risk management to work, its various aspects need to operate interactively, not in isolation from insurance. This is the approach recommended in this paper. The risk management process is a strategic method for reducing an organisation's total cost of risk. Well established and basic risk management techniques will help identify and achieve risk management Objectives.

Jan 1, 1994

Contract mining is an integral part of the underground and surface hard rock mining industry in all states of Australia. Contract mining is now makes a major contribution to the opencui coal industry in Queensland and New South Wales with Thiess alone producing over 16 million tonnes per annum with safety performances that most coal companies would be proud of. Contract mining is now attracting interest in the underground coal sector.

Jan 1, 1998

By H Jha, M C. Thomas, P Gupta, S K. Sit

The modern jig with a state-of-the-art control system is much more effective than its older version. This improved control system is used to modulate the amplitude and the frequency of the jig cycle. These two prime parameters are optimised with respect to feed characteristics for best jigging performance. Based on this understanding any jigging plant can be optimised. In addition to these established facts present study shows process efficiency improves further through optimisation of the feed quality.

Jan 1, 2007

By Royston D

Victoria has an extensive brown coal resource, 202,000 Mt, of which 43,300 Mt is regarded as readily recoverable. This brown coal is located principally in the Latrobe Valley as thick seams and is being extracted at low cost primarily to support base-load electrical power generation. The high moisture content of the coal is partially off-set in many applications by the high reactivity of the coal and the generally low levels of potential pollutants such as ash, sulphur and nitrogen in the coal. Large scale development of this brown coal resource began in the 1920's. In addition to electricity generation, it is used for briquette production, carbonisation of briquettes to char and was gasified for town gas supply to Melbourne (1956 - 1969). The BCLV coal to oil pilot plant at Morwell is a major new initiative in the use of Victorian brown coal. Many other new developments are in place and emerging in the utilization of low rank coals. Examples of these developments are, the large-scale gasification of lignites in the USA, and value-added products such as bulk chars, solid fuels, activated carbons and coal-water mixtures. The Government of Victoria has created the Coal Corporation of Victoria to promote current sales of briquettes and to encourage further new industrial developments based on the State's brown coal resources, in particular the Loy Yang coalfield. The Coal Corporation also has a vigorous product and process oriented research and development Programme.

Jan 1, 1987

By M McCarthy

Attraction, recruitment and retention of quality mining engineers is becoming increasingly difficult for many mining companies. Part of the problem is attracting young professionals, especially given the decline in graduating engineer numbers, and the other is balancing the new engineerÆs development with business needs. The evolution of the graduate program at Olympic Dam over the last five years has resulted in substantial benefits for both the engineer and the company. The program has developed to provide structured exposure to key areas of the mine enabling new engineers to step into vacated roles as the need arises. The pool of quality engineers generated by the graduate program is a buffer against high industry turnover and helps reduce future recruitment expenditure. Olympic DamÆs program goes beyond conventional recruitment of graduate engineers. Innovations designed to improve intake include the employment of graduate engineers as well as final year students, retraining of existing personnel from other backgrounds and fast track recruitment for previous vacation students. By employing a cross-section of professionals to complement the generic university graduate, the company takes full advantage of the relevant lifestyle experience belonging to the individual, which is a substantial factor in turnover. Study assistance and a salary paid for final year students and mature age students often creates a loyalty that lasts beyond graduation. Careful selection of vacation students increases the ease of recruitment at a later stage and ensures that full advantage is taken of the relationship developed previously between the company and young professional. The evolution of recruitment at Olympic Dam has seen a decline in the turnover statistics of young mining professionals.

Jan 1, 2005

The Project Financing Industry is currently being expanded en- compassing greater competition due to the improved worldwide economy. This has meant that money is in greater supply than demand for both loan and equity investment and is available for larger and higher risk ventures. The consequence of this is that the Project Financing Industry should be better able to provide more innovative forms of financing to meet the needs of mining and petroleum companies, regardless of size. Large mining and petroleum companies in Papua New Guinea should therefore be looking for ways to raise equity funds for exploration in greenfield areas, diversifying their risks through acquisition, and seeking to reduce their costs of borrowings. The small to medium sized mining sector should be looking to raise equity for increased ex- ploration on tenements and, where possible, to raise borrowings to fund expansion and further development of their projects. In summary, it is a period during which companies should take ad- vantage of available funding to augment their strategic plans and increase their long term returns to shareholders.

Jan 1, 1997

Accident control has been a pre occupation of progressive industrial and mining companies for many years but few have attempted more than direct injury control. In recent years, particularly in North America, analyses of accident costs have shown that material damage resulting from accidents is usually of greater economic significance than injuries and this has led to the concept of loss control. Loss control is an attempt to take the emphasis off injury prevention and to concentrate on the basic factors which affect both the health of the individual and of the company. The deterrent to greater acceptance of this philosophy has been the apparent diffi- culties of implementing a loss control programme but Associated Minerals Consolidated Limited has adopted a simple approach. It has had a minimum disturbing effect on normal operations because existing systems have been modified to provide the new information required. It is suggested that the programme outlined is applicable to other mining ventures and is a practical method of providing benefits for both the company and its employees.

Jan 1, 1975

By J S. Moema, R Paton, J Zimba

Today, most organisations are familiar with the pressure to increase their effectiveness and efficiency, regardless of the nature of their business. Cost cutting and increased productivity are the main themes of many initiatives to ensure the profitability of operations and, ultimately, shareholder satisfaction. It is well known that the cost of comminution to liberate minerals such as gold from their respective ores is a major expense for mines. Comminution costs consist predominantly of grinding balls and electricity. However, there are no national or international standard specifications for grinding balls û on which a single mine may spend several million dollars per month. In addition, in the past mines generally did not specify the minimum requirements when purchasing grinding balls from suppliers. The result is that every supplier has its own grinding ball recipe (regarding chemistry and heat treatment), and is under no pressure to implement a quality assurance plan to ensure that a consistent product is delivered. The resulting variation in the quality of grinding balls leads to increased steel consumption rates and hence increased milling costs. A more stringent quality plan will generally not be welcomed by suppliers since this may entail further investments and/or reduce the production rate. In a sense, suppliers benefit from poor quality grinding balls as this leads to increased sales. Perhaps the main problem is a lack of understanding of the factors that influence grinding ball performance. This paper will describe the factors that influence the wear rate of grinding balls from both a microstructural perspective and a mill perspective. In addition, some insights are provided on the different grinding balls available and ways that users can verify their quality.

Jan 1, 2007

Feasibility studies in the development of mining projects are fundamental to most investment decisions. It is important that the issues addressed and the degree of detail involved in feasibility studies are consistent with the investment decisions to be taken. Emphasis should be placed on a thorough analysis of critical project parameters prior to detailed investigations being undertaken into other activities which are not relevant to the decisions at hand. Therefore, the issues to be decided upon should be influenced significantly by the stage of development of the project and by the reliability of technical and financial information used in the study. Some of the more critical parameters of feasibility studies are commodity prices, inflation rates and discount rates. Advice is given on the selection of these inputs and also on their application in the feasibility study as the project progresses through its various development stages. The feasibility study should involve not only a formal evaluation of project economics but also an analysis of all project related risks and a comparative analysis of projects competing in

Jan 1, 1983

By Smith T

Bacterial oxidation is often attributed with the advantage that a high level of gold recovery can be obtained at a relatively low level of sulphur oxidation. This is sometimes attributed to the bacteria "tunneling" towards gold inclusions, however it is often due to the presence of two or more sulphides of differing gold content which leach at different rates. Gold is liberated from the individual sul- phides linearly with oxidation. The distribution of gold between pyrite and arsenopyrite in two samples taken from a prospective gold resource was examined. The two samples showed differing responses to bacterial oxida tion and it was shown that this was due to differing intrinsic gold grades in the mineral phases and differing proportions of the minerals in the two samples.

Jan 1, 1991

After 15 years of operation Australian Mineral Foundation is at the cross-roads: Affected significantly in its last 21 years by Australian dollar devaluation, lower mineral industry activity and severe cut backs in the petroleum industry due to the low oil price, a re-evaluation of its goals and industry support is urgently needed. Industry support, strong at the start, has not kept pace with inflation and expectations of a totally self supporting organisation have proved impossible to sustain. Nevertheless, with a change in emphasis in education programmes, continued creative development of information services and more particularly greater awareness by industry of the services available and hence greater use of the services, industry support is expected to increase. Indeed, industry, it is believed, will accept its responsibility.

Jan 1, 1986

Material sampling theory is well established in mineral process monitoring, improvement and control. It has been much enhanced by fundamental contributions due to Gy. When GyÆs sampling theory is applied to sampling inspection and monitoring, it provides estimates of average quality or extent of contamination. It also provides estimates of uncertainty, but these often ignore uncertainty in estimated variograms or other measures of variability. Risk assessment is often an implied task in sampling inspection and quality monitoring. A valid technique of risk assessment needs to take into account the uncertainty in the variational measures themselves. Standard statistical tolerance limit calculations which do take such uncertainty into account can be adapted to develop a technique for handling uncertainty in variational measures such as the variogram. Data from a published example is used to illustrate the technique.

Jan 1, 2005

By W Lu, D Wang

Study of coal oxidation at low temperatures forms the basis of investigating the inherent properties of spontaneous combustion of coal. In general, the process of coal oxidation at low temperatures is very complex, involving many factors. Experiments examining the properties of oxidation and ignition of coal have been carried out. Based upon the results of these experiments, the catastrophe properties in the process of coal oxidation are analysed and the mechanism of catastrophe is proved for the ignition of coal. A folding catastrophe model is also established for the process of coal oxidation. Results obtained show that the process of coal oxidation to ignition is discontinuous, where the coal-environment system yields structure destabilisation. The system can jump from one stable attractor to another. The research results presented in this paper help to show the irregularities of coal oxidation at low temperatures and how to pursue effective control measures.

Jan 1, 2005

There is considerable variability in the level of detail incorporated in prefeasibility studies relating to mining developments. Hence, when undertaking a review or audit, it is critical to attempt to ascertain at an early juncture precisely who has compiled the various facets of the study, for what purpose it was intended and the terms of reference given to the authors. Likewise, when commissioned to undertake an audit it is preferable to have proper terms of reference and to be aware of the purpose to which the audit will be put.These factors will influence the degree of detail an auditor would expect to find in the study and consequently, the degree of effort/time required for the audit process. In most instances audits do not imply recalculation of the entire study or modifying it in anyway, but involve an overall assessment of the methodology used, combined with spot checking of detail. One of the most difficult aspects is to determine a realistic order of accuracy for the overall study when the accuracy of the individual components may differ markedly.

Jan 1, 1990

The implementation of the Mining Further Amendment) Act, 1970, and later the Coal Mining Act, 1973, placed a requirement on the Department of Mines to accept an initiative in relation to coal exploration and coal mine development which does not apply in the case of other minerals. It is necessary to consider the exploration of the total coal resources of the State when considering exploration rather than one individual basin or deposit. If the level of knowledge of the coal resources in these basins is considered in relation to their potential for development it is possible to allocate broad scale priorities to their assessment. Due to the enormity of the task which involves a conservative estimate of in excess of 400 000 m of drilling to reach a broad reconnaissance level of understanding the involvement of industry with the Department in the exploration programme is necessary. The development of the coal deposits by mining operations must give consideration to a number of constraints apart from the simple availability of the resources. Principal among these are aspects

Jan 1, 1976

Legislation, if it is to be effective, must be enforceable by the state and acceptable to the industry. In the mining industry the relationship between the government inspector on the one hand and the mine management and employees on the other, must be one of full co-operation before the system can be effective. To understand our present system, which is-duplicated in most countries of the world, an examination of the history from which it evolved is necessary.

Jan 1, 1975

Past and present developments in the use of blast furnace slag in the manufacture of glass are outlined. The crude slag from Port Kembla is beneficiated by the Mineral Resources Division of Australian Consolidated Industries Ltd. at Mascot using a dry magnetic separation process which reduces the iron level in the slag to an acceptable value, The chemical and physical properties of both the crude and beneficiated slag are given and compared with those of other slags used in the manufacture of glass. Slag is added to intro- duce alumina into the glass and its addition to the glass batch also results in faster melting and refining. Slag was first used in Australia in 1968 and its use has increased steadily year by year. At present about 16 000 tonnes of slag are used per year, mainly in amber and white glass. Beneficiated slag is used'in three plants to supply all the alumina required in the amber glass and in four plants to supply part of the alumina required in the white glass, the amount added depending on the acceptable iron level in the glass. Slag is also used in limited quantities in the manufacture of both dark and light green glass.

Jan 1, 1979

By D Jordan, R Wilmoth, J LeFever

Exposed, open pit mine highwalls contribute significantly to the production of acid mine drainage (AMD) thus causing environmental concerns upon closure of an operating mine. Four innovative technologies were evaluated under the US Environmental Protection AgencyÆs, Mine Waste Technology (MWTP), Prevention of AMD Generation from Open Pit Highwalls Demonstration Project. This project is funded by the US Environmental Protection Agency (EPA) and jointly administered by the EPA and the US Department of Energy (DOE) through an Interagency Agreement. The objective of the field demonstration was to evaluate the technologies ability to decrease or eliminate acid generation from treated areas of the highwall in comparison an untreated highwall area. The field demonstration was performed at the Golden Sunlight Mine (GSM) a subsidiary of Placer Dome US, located near Whitehall, Montana. GSM is an operating gold mine. The highwall at GSM was divided into five plots measuring 15.24 by 15.24 m and each technology was assigned a plot with the fifth plot being used for comparison as a background control plot. The four technologies were spray-applied. The applied in situ treatment technologies included: a modified, furfuryl alcohol resin sealant, utilising wood and agricultural by-products to coat the rock surface; EcobondTM ARD, a phosphate based process that forms a stable, insoluble compound, coating the rock surface; and two AMD passivation technologies, magnesium oxide and the Dupont technology developed to create an inert layer/coating on the pyrite, preventing oxidation. The technologies were evaluated using the following methods: ASTM D 5744-96, accelerated weathering of solid materials using a modified humidity cells; mine wall residual wall rinse sampling; microscopy; and core drilling followed by water injection testing. The following paper describes the technologies used for passivation of acid generation from the highwall, the field demonstration, and the testing results from the background and each technology plot.

Jan 1, 2003

By G A. Davis, D G. Laughton

The great variability of mineral and energy prices has motivated some governments to incorporate a windfall profits tax into their mineral taxation regimes. Windfall profits taxes are a means for governments to capture additional mineral revenue when mineral prices are considered higher than some historic level. Governments need to be aware of the effects of such contingent taxes on the exploration, development and operating decisions of mining companies. Mining companies need to be able to calculate the full impact of windfall profits taxes on the economics of their projects. This paper examines the valuation of a multi-phase copper-gold project in the presence of a windfall profits tax. Real options Monte Carlo simulation is used to characterise the different exposures of the mine owner and of the government to the risky cash flow streams that they receive from the project. The results highlight that Monte Carlo simulation paired with the real option valuation method is able to account appropriately for the differing risk exposures, while the traditional discounted cash flow valuation model is not. Our key conclusion for governments and mining companies is that the impact of contingent tax and royalty terms can and should be assessed using advanced valuation techniques, and the results used to improve contract designs under the constraint of actual and perceived fiscal system stability.

Jan 1, 2007

By Seshold P

The cost of capital is the rate at which a project's cash flow should be discounted to obtain the Net Present Value. The cost of capital is a weighted average of both debt and equity funds of a company, on an after tax basis. Two methods are described for calculating a company's cost of equity, the Dividend Valu- ation Model and, more importantly, the Capital Asset Pricing Model. A worked example is presented where the cost of capital was obtain- ed for two resource companies. The application of the cost of capital was illustrated by way of a mining equipment replacement problem. The paper outlines refinements and problems that may be encountered with the use of the cost of capital, and concludes that it is an integral part of any project evaluation.

Jan 1, 1983