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By Lewis RW, Tullemans FJ, Gallo JB

Gold mineralization at Kidston occurs in a semicontinuous zone near the margin of a large, late Palaeozoic breccia pipe. The pipe is ovoid in plan, funnel-shaped in cross section and straddles a contact between Proterozoic metamorphic and granitoid rocks which are intruded by a swarm of late Palaeozoic acid dykes. Rock fragments within the breccia pipe reflect the enclosing country rocks and mix in various proportions to form gradational lithological domains. Most of the gold is free and is located in the breccia matrix and in a set of inwardly dipping sheeted quartz veins which kink around the pipe margin. Sulphide minerals, dominantly pyrite, occur as disseminations in the breccia matrix and as aggregates in the cores of quartz veins. Hydrothermal altLration is pervasive within the breccia and is most intense in areas with the highest percentage of acid dyke fragments. Sericite and carbonate are the main alteration minerals. An empirically developed genetic theory for the formation of the breccia pipe and attendant mineralization involves magmatic and post-magmatic processes associated with the intrusion of a granitoid body to a shallow level in the crust. Economic evaluation of the deposit relied heavily on the results of diamond drilling. Both polygonal and geostatistical reserves were calculated and found to be in close agreement. Geostatistical reserves are considered to more closely reflect the tonnes and grade achievable during mining. Daily geological mine routine is strongly biased towards grade control allied with the practical aspects of open-pit mining. Tonnage/ grade correlations between ore blocks geostat- istically generated from exploration diamond core results and ore blocks generated from high

Jan 1, 1986

By L Yao, J Li, C Sammut, B Li

The underground mine environment is inherently complex and hazardous, which necessitates ensuring mining workers’ safety. With the fast development of AI techniques, human activity recognition has become a crucial task to enhance daily life, especially in such challenging settings. This enables automatic monitoring and detection of the mine workers’ activities and operations on a large scale, which leads to better support of workers’ safety and welfare. Existing traditional uni-modal approaches, which use data of one single modality, suffer from low data quality and noise, so they struggle to generalise effectively in such extreme conditions (Li et al, 2022). As underground mines have extreme and complicated environments, such as dust, low light, signal interference, and rugged terrain, uni-modal approaches could not resolve such obstacles and are not suitable for real-world deployment. Multi-modal human activity recognition approaches could use data from multi-modal sources, thus capturing complementary information and producing robust and effective performance in recognising and monitoring mining activities. In this case, designing suitable multi-sensor hardware and AI activity recognition models has become a pivotal task. Producing efficient multi-modal approaches for edge deployment is another problem worth exploring.

Sep 1, 2024

By Myers PA, Noble MR, Lawrence JS, Cannings WR

The Perseverance orebody presents the Agnew Mine with a wide variety of geological settings, necessitating the application of several mining methods within the limited strike length being extracted.Mining methods have been introduced and modified during the six years' production history of the property and that evolutionary process remains very active.The methods used, in use or planned, are:Hand held scraper cut and fill Hand held mechanical cut and fill Post pillar cut and fillOpen Stoping (uphole benching) Modified vertical crater retreat Sub-level caving

Jan 1, 1985

By E A. Agorhom, M Beyuo, C Owusu, I Quaicoe

Understanding the mineralogy and liberation of gold particles in an ore is key to the development and optimisation of gold processing operations, being cyanidation or gravity separation. This can be achieved through basic historic geological information, gold deportment studies, chemical speciation and metallurgical test works. The present study assessed the nature of the occurrence of gold particles (mineralogical composition, liberation, associations and surface chemistry) and its effect on the process route (cyanidation and gravity separation) of a typical paleo placer gold ore deposit within the Tarkwaian Rock system. The investigative approach used involved chemical assay, quantitative X-ray diffraction (QXRD) and quantitative evaluation of minerals using scanning electron microscopy (QEMSCAN). The ore samples (A, B, C, D, E, F) used were obtained from six active pits of a gold mine working on this orebody. The results of the mineralogical analysis revealed that the ore is highly oxidised and comprised quartz (>80 per cent) and Muscovite mica (>6 per cent) as the major mineral phases in all the samples. Trace amounts of hematite, kaolinite and todorokite were also identified in all the samples. The chemical analysis showed presence of gold (Au) in all the samples with samples B (3.62 g/t) and C (3.96 g/t) containing the highest concentrations. Trace amounts of copper (Cu), iron (Fe), sulfur (S), aluminium (Al), arsenic (As) were also detected in all the ores. The QEMSCAN mineralogical liberation and gold association results revealed that the gold grains were relatively coarser in all samples (P80 > 80 µm Au in size) except F (P80 < 32 µm Au in size). Gold grains were highly liberated especially in sample B with the majority of the locked gold grains forming complex associations. All the samples responded well to cyanidation and gravity separation except samples C and F, respectively.

Aug 24, 2022

By McHaina D. M, Hardcastle S. G

A description is given of an investigation into the feasibility of using controlled recirculation of warm exhaust air into the cold intake air of underground mines during winter. Canadian mines can experience inlet air temperatures of minus 30 ¦C and less, requiring them to pre-heat their intake air. The use of controlled recirculation would reduce the inlet air quantity and thus reduce heating costs which exceed $1M on some mines.

Jan 1, 1988

By K Esmaeili, S Aziznejad

Impact-induced rock fragmentation is a mechanism that is commonly used for rock breakage in drilling and crushing. Additionally, rock fragmentation by blasting is frequently used in rock excavation operations. Experience shows that the presence of discontinuities can significantly influence the impact-induced damage and fragmentation of rock. Quantification of the response of jointed rock masses to impact loads is complicated by the fact that the available laboratory tests are mainly designed for aggregates or intact rocks. It can be argued that neither of these tests adequately represent a jointed rock mass. This paper presents the results of a series of numerical simulations used to investigate the influence of pre-existing discontinuities on the impact-induced fragmentation of rock masses. The methodology includes determination of the static and dynamic mechanical properties of a rock unit by conducting a series of laboratory tests on intact rock samples collected from a quarry in Canada. A 2D distinct element code, Particle Flow Code, was used to generate a bonded particle model in order to simulate both static mechanical properties (uniaxial compressive strength, elastic modulus, Poisson’s ratio and indirect tensile strength) and dynamic mechanical property (drop weight tensile strength) of the intact rock. The calibrated numerical model was then used to construct large-scale synthetic rock mass samples by incorporating discontinuity networks of different intensity into the bonded particle model. Finally, the impact-induced fragmentation inflicted by a rigid projectile particle on the jointed rock mass samples, simulated by a synthetic rock mass model, was determined. More fragmentation was observed for the rock mass samples with higher joint intensity.CITATION:Aziznejad, S and Esmaeili, K, 2015. Effects of joint intensity on rock fragmentation by impact, in Proceedings 11th International Symposium on Rock Fragmentation by Blasting, pp 377–384 (The Australasian Institute of Mining and Metallurgy: Melbourne).

Aug 24, 2015

By G Tranell, E Pastor-Vallés, A Vallejo-Olivares, J B. Pettersen

Metals are essential for the sustainability transition and decarbonisation of society. Yet, it will be paramount to produce them sustainably and minimise the affiliated resource and energy use and the associated emissions. In the circular economy, the metallurgical industry should recycle existing material stocks, and improve its utilisation of wastes, residues and side streams. This increases the complexity of processes, as they become both (often multi-fraction) waste treatment as well as material production processes and brings complexity to the assessment of environmental benefits. Assessing the environmental impact of technological developments frequently is supported by life cycle assessment (LCA). While the method is well documented, its implementation involves several methodological choices that deserve reasoning and analysis, such as how to define the product when former wastes are turned into new products, the selection of impact methodology when converting emissions to environmental indicators, the definition of system boundaries and co-product allocation and the interpretation of sensitivity and uncertainty in final outcomes. In this exploratory study, we investigate how the variation of LCA set-up affects the environmental burden of the system. We consider a metallurgical process where a mix of hard-to-recycle aluminium-containing streams is used to produce aluminium cast alloys in a rotary furnace. Remelting with salt-fluxes allows recovering metals from partly oxidised/contaminated streams, such as dross, bottom ash and industrial shavings, but at the expense of generating significant amounts of salt-slag/salt-cake hazardous waste. The study considers different system alternatives such as landfilling the salt-slag residues versus valourising them into salts, aluminium concentrates, ammonium sulfate and non-metallic-compounds to be used by the metallurgical, construction or chemical industries. Practical recommendations are outlined to facilitate the implementation of LCA in assessing the potential benefits of the circular economy in the metallurgical sector.

Aug 21, 2024

By G W. Wilson

Net solar radiation is one of the key factors affecting evaporation from soil covers on waste rock dumps. While net solar radiation is normally taken as a uniform parameter over a site for modelling purposes, there can be significant variation in the radiation actually received on various portions of the dump. These variations are a function of the difference in the cover slope and direction of exposure. A predictive model has been developed to calculate the actual radiation received on the dump surfaces, based on the net radiation data measured at a weather station on a horizontal surface. The model has been designed for application at any mine site in the world, and can be used in conjunction with evaporative flux models to help estimate the effect of three-dimensional variations in the cover surface exposure. The waste rock dump at Equity Silver site (located in British Columbia, Canada) has a barrier-type soil cover system to limit oxygen entry and water infiltration. This cover has been monitored for the past nine years. The new net solar radiation model has been applied to this site and the predicted net radiation was compared to the values of actual net radiation measured on the site. The predicted variations in net radiation over the three-dimensional surface of the waste rock dump have been applied to calculate spatial variations in potential and actual evaporation (or evapotranspiration) from the site. Preliminary analyses indicate actual evaporation from a site at this latitude could vary by a factor of two for exposed versus shaded slopes. The implications of these variations for the site are considered.

Jan 1, 2003

The extinction of zinc from steelmaking dusts has been studied with a laboratory scale reduction-vapour deposition (RVD) process in the absolute pressure and temperature ranges of 13 - 1300 Pa and 1333 - 1513 K respectively. This process consists of pre-reduction of iron oxide by carbonaceous agent, carbothermic reduction of zinc oxide under reduced pressure to produce zinc deposits and subsequent re-evaporation of the deposits to liquedify the zinc. In the RVD, the gas mixture of Zn and CO quenched from the hot zone is separated into Zn deposit and CO which is transferred to the pumping system. The Zn are a layer of fine metallic zinc powders accumulated on the cold wall and removed to the vacuum distillation chamber. The experimental works have been carried out according to the following items: carbothennic reduction of zinc oxide under vacuum, carbothermic reduction o zinc ferrite under vacuum, and 3. distillation of the Zn deposits. It has been concluded from these experimental results that the recovery of metallic zinc from the EAF dusts is successful by this process, and a new concept for a practical zinc winning process has been proposed.

Jan 1, 1993

By T Laurencont

The Queensland Department of Natural Resources and Mines (NR&M) accepted the environmental liability for the Mount Morgan minesite in 1991. This gold and copper mine located 38 km southwest of Rockhampton had been in operation for more than 100 years. Mining leases are still active while the feasibility of a reprocessing operation is carried out. From 1993, NR&M have operated a seepage interception pumpback system which has reduced the chronic load of acid rock drainage (ARD) to the adjacent Dee River, a tributary of the Fitzroy River system. In early-2000, it was recognised that a ten-year plan for rehabilitation of the mine, along with significant funding would be required if a long-term sustainable rehabilitation strategy was to be implemented at this minesite, ultimately making the seepage interception system redundant. A rehabilitation planning workshop coordinated by NR&M was held in May 2000. This workshop brought to the mine a range of technical expertise and key stakeholder groups. This workshop provided a technical forum for review of studies undertaken and to identify priority projects, which needed to be undertaken in the future to more clearly define contaminant sources on the mine site and to prioritise the rehabilitation program. Stakeholder consultation enabled the project team to be clear on community and other government (eg Environmental Protection Agency) expectations. It is clear that the future of the economically depressed community of Mount Morgan will be reliant on the careful management of the significant heritage values at the minesite for tourism, education and research. In the first year (2000), priority studies were initiated, which included whole of site studies on water balance, contaminant sources and a review of occupational health and safety and environment of the minesite and conservation and heritage scoping. Baseline vegetation and soil materials surveys were also initiated. The outcomes of these studies helped to shape the work program for the following year, while providing a basis for an additional funding application, which was granted. The second year of studies focused on building upon the existing baseline studies completed. In addition, studies focussed on addressing the priority issue of contingency planning for overflow from the open cut pit in accordance with best practice management of release water and river monitoring strategies were completed. Completion of these projects over the next six months will enable the optimal rehabilitation strategy to be defined in 2003. This optimal strategy may require the use of a water treatment plant for part of the ten-year program to provide space in the open cut pit for the deposition of ARD contaminant sources (eg waste dumps, tailings). It is envisaged that some sources will be rehabilitated insitu while others will be relocated to the open cut pit. Implementation of this strategy will be dependent on subsequent funding.

Jan 1, 2003

The Skybolt is a new bolt concept, point anchored with resin in large diameter holes of specific sizes 38 mm and 45 mm. The new design achieves the optimum annular spacing required for mixing the resin anchor components which is essential for optimum resin bonding of the bolt to the surrounding rock. This paper explains the load transfer mechanisms between bolt/resin/rock, unique to this bolt concept. It compares the pull-out test results to those of paddle and expansion shell type bolts, and highlights the versatility of Skybolt over existing, currently used, rock support systems and the benefits mine operators can achieve when using the Skybolt.

Jan 1, 1992

By T Laurencont, C Unger

The Mount Morgan minesite, located approximately 40 km SW of Rockhampton in Central Queensland, comprises 270 ha of unrehabilitated land which is the currently the major source of acid mine drainage run-off and seepage to the adjacent Dee River. Additionally, the minesite hosts an Open Cut Pit which contains 9000 ML of acidic and metal-rich water. In the absence of active management of water in the pit, there is a 50 per cent probability of an uncontrolled spill occurring in future years. The development of a contingency plan for management of overflow from the pit in the short term, has incorporated findings from numerous studies relevant to the Open Cut Pit including, but not limited to, water balance, contaminant source identification, toxicity testing, water quality profiling and limnological modelling, and estimates of probability of overflow. Extensive stakeholder consultation and peer review were also undertaken during the formulation of the contingency plan. The medium-term goal of lowering the water level in the pit to reduce the current high probability (50 per cent) of uncontrolled overflow to acceptable levels of risk is proposed to be achieved by a campaign of chemical water treatment. The treated water will be discharged to the Dee River, and sludge returned to the pit. The methodologies used for the selection and development of the water treatment process, that is proposed to involve treatment with lime, are described. Water treatment is the short- to medium-term component of a long range rehabilitation plan for achieving a negative pit water balance, and sustainable management of acidic water across the whole site. Achieving this ultimate goal will involve: reducing the inputs of water to the Open Cut Pit such that the annual water balance is zero or net negative, thus removing the need for water treatment in perpetuity; maximising, by surface rehabilitation works, the quality of run-off reporting to the Dee River; and minimising the volume of acidic seepage reporting to the seepage interception system. Possible strategies for achieving this long range goal consistent with overall site rehabilitation objectives are currently being developed and costed.

Jan 1, 2003

By Hebblewhite B, Humphreys D

An experimental mining project has been carried out in the Collie Basin to demonstrate the safe operation of total extraction mining techniques in the underground mines of the basin. To achieve this, it was necessary to design and install a means of controlling or removing groundwater so that goafing of the overlying strata could be safely achieved as part of the mining operation. The site chosen for the experiment was a triangular panel adjacent to Western No 6 (WD6) underground mine, which includes the 3 to 4 m thick Wyvern Seam beneath 130 to 180 m of overburden. The test area abuts a major fault on the downdip side. The overburden and underburden sequences include several horizons of permeable sandstones which form major aquifers. Water problems have long been recognized in all underground mines in the Collie Basin, and have previously prevented the successful application of total extraction mining. Following extensive hydrological investigations, dewatering and depressurization systems were designed to dewater the immediate roof aquifers and to depressurize aquifers higher in the sequence and in the floor. This would enable stable roof conditions to develop and controlled goafing to be achieved. The roof dewatering/depressurization procedure involved a combination of in-mine vertical roof drainage holes and conventional dewatering bores constructed from the ground surface above the mining trial area. The dewatering system was installed and operated for 29 months before the commencement of mining. Mining was eventually successfully completed in two trial panels using a retreat Wongawilli extraction system using bridge conveyors and continuous miners. Water inflow into the mine workings was channelled to a constructed sump area at the lowermost corner of the panel and pumped to the surface via vertical sump bores. The dewatering and depressurization measures adopted were successful in permitting the first controlled and systematic total extraction recovery of coal from the Collie Basin. This trial mining exercise demonstrated the potential for increasing substantially the recovery of coal from the Collie Basin, where previously recovery rates of around 30 percent from underground mining were commonplace, using only bord and pillar methods.

Jan 1, 1988

By A Grace, C Sennersten, T Taylor, A Davie, R Lyu, D Pentecost, C A. Lindley, J Craig, L De Macedo Camargo

Many underground mine void spaces are not suitable for human entry due to unprotected roofs, instability or having an unknown safety state (eg if they are many decades old). Investigations of these voids may nevertheless be important for general mine safety, for example to detect propagating collapses or water accumulation, prevent accidental intrusion by new developments or drilling to reassess old spaces for re-mining. Robots are an ideal technology for investigating these spaces, especially flying, rotary-wing robots that can access and map vertical structures and spaces while avoiding rocks, water and mud that have accumulated on void floors. To operate in underground mines, we are developing customised unmanned aerial vehicles (UAVs) as well as interactive 3D virtual models of the vehicles and their underground environments for controlling vehicle operation and visualising incrementally gathered survey data. Using a game/simulation engine to provide an interactive interface for UAV operation makes it possible to orchestrate external spatial information and video feeds with in-game cameras for optimal visualisation that is not limited to the position, orientation or field of view of cameras mounted on the UAV. First and third-person points of view with respect to the UAV are provided, together with 2D and 3D gaze tracking to provide effective interfaces for geology and mine engineering experts without the need for specialist UAV piloting skills. Ongoing work is addressing the provision of greater levels of autonomy for these vehicles to support mapping well beyond the line of sight of operators and geological characterisation of rock surfaces using sensors mounted on them, including miniature X-ray fluorescence and Raman spectrometers. Gathered data is fed into more general 3D models of the mine, block models and orebody so that the UAVs function as elements of a mobile perceptual system for intelligent mining.CITATION:Sennersten, C, Lindley, C A, Davie, A, Lyu, R, Grace, A, Evans, B, Pentecost, D, Taylor, T, De Macedo Camargo, L, Craig, J, Salomao, G N, Hellicar, A, Biggins, D, Timms, G, Coombe, M, Shahriar, M S, Smith, G and Rahman, A, 2015. Unmanned aerial robots for remotely operated and autonomous surveying in inaccessible underground mine voids, in Proceedings Third International Future Mining Conference, pp 101–108 (The Australasian Institute of Mining and Metallurgy: Melbourne).

Nov 4, 2015

By J Harris, M Shi, S Vink, P A. Kirsch

Across the life-of-mine, water is both an essential commodity to mining, and one of the most significant hazards. In Australia, a land of drought and floods, availability of water is a critical strategic risk for mine sites and neighbouring stakeholders, with both insufficient water leading to curtailed operations and contested space, and extreme water closing operations through flooding of mine sites, transportation infrastructure and unplanned regulatory restrictions. In addition to these major strategic risks, water must be addressed in operational risk management activities in many different ways.This paper develops a set of categories for classification of water risks based on academic papers from the water in mining literature. These categories are applied to media content analysis of articles in International Longwall News (ILN) (an online coal industry news site) obtained with the search terms ‘water’, ‘rain’ and ‘flood’. Identified risks are discussed within the context of the life-of-mine. The paper uses these same categories to analyse the treatment of water risks in a new coal industry risk management body of knowledge called RISKGATE (http://www.riskgate.org, Minerals Industry Safety and Health Centre, The University of Queensland). The discussion of water risks in both INL and RISKGATE is compared and contrasted to pinpoint opportunities (and a roadmap) for further development of a specific RISKGATE water module for site-based operations. The media review also identifies areas for development of RISKGATE expansion topic(s) that would address other strategic water risks, eg severe weather events.CITATION:Shi, M, Kirsch, P A, Vink, S and Harris, J, ?2014. Water as risk in mining – media analysis and the RISKGATE body of knowledge, in Proceedings Life-of-Mine 2014 , pp 205–218 (The Australasian Institute of Mining and Metallurgy: Melbourne).

Jul 16, 2014

By E Wargem

The optimum mining of an orebody in an underground mining operation is fundamental to the mine’s ability to operate both sustainably and efficiently. The effective mining of an open stope or a cave is largely reliant on the recovery of the initial void created by conventional drilling and blasting. These initial voids are known by various names such as a Longhole Rise, Slot or Winze and can be mined either as a downhole or as an uphole. Regardless of the underground mining method, the process of the design and implementation of this initial void is largely uniform across many operations with various patterns of slot or winze designs used across these different operations. Diligent design, implementation and review strategies in drilling and blasting of these will facilitate cost-effective mining with minimal disruption to mine schedules and production targets. When an operation struggles in opening the initial void in underground mine blasting, it has a negative impact on productivity, mineral recovery, and the overall economics of mining. Near field blast vibration monitoring is a vital tool to use in analysing slot blasts and will provide additional feedback into the reconciliation part of the drill and blast process. It is one that is often overlooked in the mining industry in many operations due to many factors such as lack of skilled personnel, or a lack of required resources. The data obtained from near field blast vibration monitoring can be used to provide additional feedback into blast reviews and help in any drill and blast optimisation projects. This paper highlights key aspects of underground drill and blast reviews and the use of near field blast vibration monitoring for post blast analysis and shares learnings from various projects that the authors have been involved in within Australia and abroad.

Mar 29, 2023

By H Kusumi, A Nishio, K D. Halim, Y Yun

In Japan, evaluation of rock mass is crucial in mountain tunnels that are constructed using the NATM (New Austrian Tunneling Method) to determine the support pattern that in turns determine the final support structure of the tunnel. The current evaluation method is highly dependent on the observations of on-site expert engineers that grades the rock mass in four levels across nine criteria: A. Condition of tunnel face. B. Condition of excavated surface. C. Compressive rock strength. D. Weathering. E. Spacing of discontinuity. F. Condition of discontinuity. G. Orientation of discontinuity. H. Spring water. I. Water degradation. However, in recent years, the number of said experts are decreasing rapidly due to labour shortage caused mainly by an aging population and declining birth rates. This is one of the biggest challenges that the construction sector currently faces, and this may affect the efficiency of tunnel construction projects in the future. Thus, this study proposes the implementation of a deep learning tool called the convolutional neural network (CNN) to quantitatively evaluate rock fractures on tunnel face. In addition, Gradient-weighted Class Activation Mapping (Grad-CAM) is applied to visualise CNN, as well as verify the applicability of CNN to the evaluation of rock fractures. In other words, by creating heat maps of tunnel face images, CNN is utilised to evaluate rock mass in categories that are associated with discontinuities. The CNN model is most accurate when six convolution layers, four pooling layers, and three dense layers are used. This yields an accuracy of 75.0~88.0 per cent. Thus, the CNN model is verified to be feasible method to evaluate rock fractures.

Nov 29, 2022

Ore Reserves estimation for the two producing copper orebodies at Isa Mine, Mount Isa, Queensland is discussed. The principal estimation techniques used and discussed are first, a computer based inverse power distance weighted assay meshing technique, and second, a manual arithmetic averaging technique. The principles involved in these techniques are compared, and their areas of application indicated. A general comparison of the estimation of reserves with eventual production is presented.

Jan 1, 1979

By P Nichols, C te Kloot, A Harrison

Ernest Henry mine (EHM) is a sub-level caving operation located in north-west Queensland, Australia. Located below a previously mined open pit, the underground operation ramped up production to 6.8Mt/a in 2017. The EHM ore body dips at 45 degrees to the South and therefore requires each level to “step out” from the level above as seen in Figure 1. Within this step out zone it is important to both maximise recovery and allow for efficient operation of the underground workings production to bring the level up to full production as quickly as possible. Throughout the step out design process, a combination of further defining the ore boundary, using lessons learnt from production performance on upper levels and the introduction of design improvements, has reduced the production ramp-up time, decreased costs and increased recovery for a single level at EHM. CITATION: Nichols, P, te Kloot, C and Harrison, A, 2018. Case study – Ernest Henry Mine: designing step out zones in an inclined sub-level cave, in Proceedings Complex Orebodies Conference 2018, pp 53–54 (The Australasian Institute of Mining and Metallurgy: Melbourne).

Nov 21, 2018

By M C. Ackland

The Grande Côte Mineral Sands Deposit (GCMSP) is located on a coastal mobile dune system in Senegal on the west coast of Africa. Senegal is a stable, democratic republic, having gained its independence from France in 1960. It has a population of about 12.5 million people. The dunes begin about 25 km north-east of Dakar, the capital city of Senegal, and extend northwards for more than 140 km. The mineralised dune system averages about 2 km wide with some areas extending to up to 4.5 km wide.Mineral Deposits limited (MDL), a Melbourne-based company with over 60 years operational experience in mineral sand mining in Australia, holds, through its Senegalese subsidiary MDL Senegal SARL (MDLS), a 25-year Mining Concession covering the deposits. The main heavy mineral (HM) areas identified to date are, from south to north, Mboro, Fass Boye, Diogo and Lompoul. Within the Mining Concession there is potential to identify additional resources beyond the limits of present drilling. The dunes are mobile or semi fixed, pale yellow in colour and overlie older white marine sands. The dunes range between 5 m and 30 m in height and the mineralised zones, which are essentially flat-lying, average around 15 m in thickness. The mineralisation consists, principally of ilmenite with accessory zircon, rutile and leucoxene. Zircon and ilmenite are the main commodities of interest.Independent consultants AMC estimated mineral resources for the four main deposits in 2006 of 1330 Mt of sand averaging 2.0 per cent HM at a cut-off grade of 1.5 per cent HM. At a cut-off grade of one per cent the resources were 3200 Mt averaging 1.5 per cent HM. All of the estimate was classified as Inferred Resources under the 2004 Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves (JORC, 2004).Subsequent completion of infill drilling, sampling and assaying of the initial mining area, centred at Diogo, was completed in 2008, enabling a final dredge path to be designed and ore reserves estimated, based on a JORC compliant Measured and Indicated Mineral Resource. Infill drilling is continuing in the Lompoul and the results of this campaign will be included in the JORC compliant data base by AMC in April 2010 to enable the 15 per cent year dredge path and mine plan to be finalised.Development studies have shown that the project can be optimised as a dredging operation, with mineralised sand being treated in a conventional floating spiral preconcentrator, wet concentrator and dry mineral separation plant. Engineering work now substantially completed by Ausenco Limited (Ausenco) has developed the combination of some existing plant from MDL’s past operations, and new plant for the complete process from dredging to final product separation and grading. Testwork on a series of bulk samples has determined that the project can yield a high quality zircon product and an ilmenite product along with minor rutile and leucoxene.Work to date indicates a likely output of around 80 000 t of zircon in various quality streams (Primary, Secondary, Standard and Foundry Grades), around 550 000 t of ilmenite plus around 15000 t of rutile and around 12 000 t of leucoxene/secondary ilmenite. Planned zircon output would represent around 7per cent of the total world production, which would make the GCZ&amp;IP a significant producer on a world scale.The studies have indicated capital costs to be in the range of US$400 M total operating cost (after completion of ramp-up) of around US$50 M - $55 M/a. Revenue is expected to be in the range $127&nbsp;M - $157 M/a.

Oct 5, 2011