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By L. Chunpongtong

The mining limit in oil sands is regulated by the ratio of total mining volume (ore, interburden, and overburden) one has to mine per volume of bitumen in place (TV/BIP). This paper presents a mathematical solution for creating the most economical pit outline where the TV/BIP ratio upper limit is 12, by combining mining economic theory and the Lerchs-Grossmann (LG) algorithm.

Jan 1, 2014

By Eric Low

Raising capital by issuing debt or equity is necessary in almost every corporation. In the field of corporate finance, the raising of capital is a heavily-studied topic. However, some of what is studied on this topic in corporate finance is not applicable in the mining industry. There are also many financing options that were created for the mining industry such as flow-through shares, prepaid forwards, and royalty sales. The cyclical nature of the industry makes the risk-return profile of financings more difficult to estimate than in other industries. Additionally, the methods used to assess firm value are different than other industries, as the values of orebodies are not included on balance sheets. For precious metals companies, which are a hedge against most other securities, there are additional complications with determining investor expectations and cost of equity. This thesis puts forth a decision-making framework to explain mine financing choices from the perspective of mining companies. The approach is threefold. First, all of the major equity and debt financing instruments available to mining companies are presented and analyzed. Each financing method is assessed on a wide range of criteria. Next, these concepts are applied in case studies of four companies: BHP Billiton, Barrick Gold, Teck Resources, and Noront Resources. For each company, the overall choice of financing methods is shown and analyzed. The effect of financing choices on the weighted average cost of capital (WACC) is calculated. The final section deals with case studies of individual mine finance decisions during the past two years.

May 1, 2011

By D. Wolfe, R. Cleminson

"The Aurora North mine has been operating for more than ten years, and is the source of over half of Syncrude’s bitumen production. The hydrotransport systems at Aurora experience high rates of wear, and mission lengths on current slurry pumps are nominally 1,500-2,000 hours. Recent work has enabled a better understanding of the significant adverse effect of large particle impingement damage to impeller vane leading edges - which is the known life determining issue for Aurora hydrotransport pumps. A new pump design has been developed and installed at Aurora, incorporating significantly increased impeller diameter and pumping vane lengths. The new pumps are expected to triple Aurora’s previous mission length for hydrotransport pumps. Part II of this paper will share actual hydraulic and wear performance observed in the first several months of operation, and draw comparisons relative to what was expected for these pumps in design / development.INTRODUCTION Slurry Pumps are Critical Equipment at Syncrude Slurry pumps are a key component in Syncrude’s operations. In a typical Aurora application, each 5000 HP pump stage helps move over 8,000 dry tonnes per hour of oil sand, plus an equal volume of process water that has been added to create the slurry. The average impeller life in oil sand hydrotransport service at Aurora has been nominally 1,500 to 2,000 hours, or 12 to 16 million tonnes of oil sand pumped. Generally, the slurry pump application at Aurora has proven very difficult to improve due to the unique combination of high sand abrasivity, 125 mm (5”) large particle top size (lumps), and high flow rate relative to basic pump size; a factor that results in unduly high impeller vane leading edge speeds for the service conditions."

Jan 1, 2014

By Francis Chartrand

The Kwyjibo deposit is an iron oxide Cu-REE-F-Mo-Au mineralization of Mesoproterozoic age located in the Grenville Province approximately 120 km NE of Sept-Îles, Quebec (Figure 1). Occurring along the SE margin of the Canatiche granitic complex, the deposit is composed of several polymetallic showings that are related to different textural facies of magnetite. The mineralization process at Kwyjibo is complex, and is divided into Early Granitophile, Magnetite, Main Polymetallic and Specular Hematite stages (Cayer et al., submitted for publication). The Main Polymetallic stage, comprising chalcopyrite, pyrite, fluorite, molybdenite and REE-bearing minerals, is superimposed on pre-existing magnetiterich rocks. Discovered by SOQUEM Inc. in 1993, the Kwyjibo deposit shares many characteristics with other hydrothermal polymetallic iron oxide deposits around the world. Foose and McLelland (1995) suggested that this class of mineralization could occur in the Grenville Province. However, only a few polymetallic occurrences are known to be associated with low-Ti iron oxide deposits in the Grenville. Kwyjibo is one of the most significant examples of a polymetallic iron oxide deposit to have been found in the Grenville Province to-date.

May 1, 2003

The construction, commissioning and operation of a continuous pilot-scale selective agglomeration (oil agglomeration) unit are described. This plant has been used to recover fine coal from an effluent stream that is produced by a jig plant which scalps the coal from a New South Wales (Australia) colliery. The reject slurry is extremely fine (66.5% minus 53 um) and has an ash content of approximately 40%. The pilot plant can treat up to 0.3 tonne/h of this slurry, producing average product ashes as low as 9.1% and tailings ashes greater than 80%. The average yield observed was62%, which corresponded to a recovery of coal material of 88%. The operation of this pilot plant yielded data that enabled an economic assessment of this type of processing to be carried out. This study showed that selective agglomeration is an economically viable process for eliminating the substantial losses of coal to tailings ponds and minimizing consequent disposal and environmental problems. A commercial plant has been constructed and commissioned on the basis of the data obtained from this pilot-scale operation.

Jan 1, 1979

By L. Chunpongtong

ABSTRACT The mining limit in oil sands is regulated by the ratio of total mining volume (ore, interburden, and overburden) one has to mine per volume of bitumen in place (TV/BIP). This paper presents a mathematical solution for creating the most economical pit outline where the TV/BIP ratio upper limit is 12, by combining mining economic theory and the Lerchs-Grossmann (LG) algorithm.

Jan 1, 2014

By Rick J. Chalaturnyk

In Alberta, oil sands bitumen is utilized for synthetic crude oil production by surface mining, bitumen extraction followed by primary (coking) and secondary (catalytic hydrotreating) upgrading processes, or by catalytic hydrocracking and hydrotreating replacing the primary and secondary upgrading processes. Oil sands tailings, composed of water, sands, silt, clay and residual bitumen, is produced as a byproduct of the bitumen extraction process. Several processes have been proposed for the treatment of oil sands tailings, resulting in different recovered water characteristics, consolidation rates and consolidated solid characteristics, which may have effects on the performance of the overall plant operations. A process for the same purpose has been developed by treating the oil sands tailings with CaO lime and CO2 and thickening it using a suitable thickener. In this process a release water of acceptable properties is recovered in a short retention time, which makes it possible to recycle the recovered water, probably after a reconditioning treatment, as warm as possible to improve the thermal efficiency of the extraction process. The paper presents the theory and laboratory results for the CaO and CO2 thickening of low temperature flotation tailings. The water release rates, segregation potential of the thickened underflow and chemistry of the release water are shown and discussed. It is suggested that in using the proposed process, the thickened tailings underflow can be disposed for further consolidation, or combined with the coarse tailings to produce Blended Composite Tailings, corresponding to the Composite Tailings process in the existing hot water extraction plants.

May 1, 2002

By C. Patel, George H. Hope

"INTRODUCTIONThe Hemlo area is located in Northern Ontario, some 350 km east of Thunder Bay along highway 17. Hemlo is Canada's largest, recent discovery of gold ore. Three companies, Lac, Noranda, and Teck are currently developing mines and processing facilities in the area. A combined milling capacity of approximately 10,000 tonnes per day will ultimately be available in the area. The gold yield will be between 750,000 to 1,000,000 ozs. per year. This will slightly more than double Ontario's gold production but only represents 2.5% of the total world gold production.Lac Minerals Ltd. is substantially committed to the gold mining business. Lac currently operates four (4) gold mines and mills and produces 300,000 ozs. per year. Lac's Hemlo development will put the company in the position of number one gold producer in Canada.The Lac Hemlo ore body has an estimated reserve of 37 million tonnes at 6.2 g/t. The mining will take place at an initial rate of 3,000 t/d commencing in the first quarter of 1986. The mine and plant will be expanded to 6,000 t/d in 1988. At this capacity, Lac will be the largest producer in the Hemlo area.1. GEOLOGYThe orebody is divided into two (2) zones for mining purposes. The 'A' Zone is to the east and dips to the Northeast from surface to 300 m below surface. This zone has a strike length of 250 m to 300 m at an average width of 20 m. The upperpart of the zone will be mined by open pit and the remainder from underground. The 'B' Zone, to the north west of the 'A' Zone, although lined up is not necessarily an extension of 'A' Zone. 'B' Zone has a known strike length of 600 m and is open to depth and along the strike. It is over 70 m wide in the core. This zone holds most of the property's known reserves. 'C' Zone with narrow gold zones is under exploration in the south west portion of the property."

Jan 1, 1985

Improved Process & Practices Result In: ? Reduction of undesirable downtime, & expensive secondary damage ? Improved equipment performance & health ? Extension of equipment life, & reduction of operating costs ? Safety and environmental performance improvement Equipment knowledge capture and consistently applied

May 1, 2010

By G. Lyle

Since its inception CEMI (Centre for Excellence in Mining Innovation) has focused on facilitating innovative solutions to the mining industry in six strategic research areas; GeoRisk, ConstructMine, ValueMine, FindMine, SustainMine and MineTech (visit www.miningexcellence.ca for details). This paper focuses on CEMI?s largest project to date, Ventilation on Demand (VOD). Energy consumption in mines can account for upwards of 40% of a mines operating cost, with a significant portion of this been consumed by the ventilation requirements. VOD provides a significant opportunity to reduce overall mine ventilation requirements and subsequently energy costs, while potentially increasing mine productivity. CEMI is currently in year 2 of an assessment of VOD, focusing on the financial, physical and equipment viability of utilizing such systems in both new and existing mines. This two year program, to be completed by March 31, 2011, is designed to systematically assess such a system to determine if and when it could effectively be applied in underground mines. The paper will describe the process by which the project was initiated, the demonstration projects established to capture data, the means to interpret the data and the modelling developed to calibrate and predict ventilation system requirements.

Oct 1, 2010

"The characterisation of resources and description of variability across different ore domains is key to accurate prediction of probable metallurgical performance. Such characterisation testwork often has limited drill-core from which to work and this immediately confines the characterisation method to smallscale. For flotation feeds, the JKMSI (Mineral Separability Indicator) is being developed as a potential characterisation tool, building on earlier work by Chudacek, (1990), which used shaken test tubes, and was called the EMDEE device. In addition, the consistency of flotation recovery for specified size fractions has shown to be preserved, irrespective of the amount of material in that size fraction obtained by different milling conditions, so that the overall recovery can be estimated from knowing the particle size distribution (McIvor and Finch, 1991; Bazin et al, 1994, Runge, 2007 and Wightman et al, 2010) The JKMSI unit uses less than 10 g of material per test in narrowly sized classes and results to date have demonstrated the value of the test. This paper discusses the potential of the test by demonstrating the link between JKMSI performance and mineralogy of five different ores from Laguna Seca, Escondida Minera Limitada as well as the correlation to plant scale performance obtained in an earlier survey (Coleman et al, 2006). Further work to tie down the proof of representatively of the small sample has been identified and is discussed and included in the paper. INTRODUCTIONSince the uptake of the flotation process at the turn of the twentieth century, small scale, laboratory methods have been sought to characterise flotation response. Although laboratory batch flotation tests are the most widely used method to evaluate reagents, characterise ore variability and obtain suitable model parameters using various scale up factors Runge (2101) other methods using less ore would be useful where ore samples were limited.A method using test tubes for testing ores’s flotation response to reagents was first developed by Ian Walk (Wark & Wark, 1935; Wark; 1938; Sutherland and Wark 1955). In these tests a 50 cc stoppered measuring cylinder served as a means for a qualitative experiment, the aeration being effected through violent shaking by hand. In these experiments about 10 g of mineral was ground by pestle and mortar under water after which the ground material was deslimed and adequately conditioned with the appropriate reagents."

Jan 1, 2013

By Xiang Li, Xibing Li

It is paramount that the stability of rock slopes be correctly accounted for under diverse operating and environmental conditions. Owing to different sources of uncertainty entailed in such stability problems, conventional deterministic approach through the calculation of a factor of safety (FOS) cannot reflect quantified uncertainties explicitly and sufficiently. Thus it is highly desirable to invoke the reliability approach to consider uncertainties in a systematic manner. Nowadays, the current design standards have an increasing tendency to ensure rock slope stability by pre-defining a target reliability index (or target probability of failure), viz., the reliability level of a rock slope is pre-set as a target to be satisfied. In such a situation and considering the fact that the FOS used as an indicator of slope performance still has a very wide acceptance, we focus on proposing an inverse-reliability-based methodology which aims at developing a two-fold indicator strategy, i.e., using the FOS and reliability together to deal with slope stability problems. The basic idea behind it is to utilize a so-called inverse first-order reliability method (IFORM) to directly calibrate the FOS provided the target reliability index has been given. In this way, the calibration scheme relating the FOS can be rationally done by not only incorporating uncertainties, but also satisfying a desired level of the prescribed reliability. Based on this, to make the IFORM computationally feasible and also reduce its computational cost, we introduce the response surface method (RSM) to generate a surrogate for the FOS-based limit state function (LSF), considering the lengthy and complicated form of the FOS in some recognized methods (e.g., within the framework of limit equilibrium). Distinguished from the existing RSMs that potential inadequacies may arise, we present an RSM based on a hybrid approach combining support vector machine (SVM; used as a regression technique) and uniform design (UD; pertaining to experimental design). Using a representative example of rock slope stability problem, we demonstrate the feasibility and validity of the developed methodology, during which the associated sensitivity study and further discussion are also performed. By dint of such a methodology, we can establish a link between the conventional deterministic approach and the reliability approach, where a logical and realistic framework is provided, for cases achieving the specified reliability, to assist in selecting the FOS which remains adequate for rock slope stability even in the face of uncertainty.

Jan 1, 2015

By Jacob Masliyah, Zhiang Zhou, Tshitende Kasongo, Jianjun Liu, Zhenghe Xu, Jeawon Choung

"Slime coating is a recognized challenge in fine particle flotation, not only in decreasing recovery, but also in reducing the selectivity and hence froth quality. In this presentation, a novel method based on electrophoretic mobility distribution measurement to study slime coatings is described. By measuring electrophoretic mobility distribution of individual minerals and their mixtures, the interactions between these minerals can be evaluated.For illustrative purposes, a model system of fine coals, or oil sands with two different types of fine clays was studied. Flotation tests showed a significant decrease in coal (bitumen) flotation recovery with montmorillonite but not with kaolinite clay addition. When electrophoretic mobility distribution of a fine coal/montmorillonite clay mixture was measured, a single modal zeta potential distribution was obtained, in contrast to a bimodal distribution for fine coalkaolinite clay mixture. This finding suggests a stronger adhesion of montmorillonite than kaolinite clays on fine coal surfaces. In the case of bitumen, the bimodal zeta potential distribution was measured for the mixture of bitumen emulsion and kaolinite or montmorillonite, indicating a weak attraction of the clays by bitumen. In the presence of calcium, however, a single modal zeta potential distribution was obtained in the mixture of bitumen emulsion with montmorillonite but not kaolinite clays. These findings are in excellent agreement with bitumen flotation results, demonstrating that the electrophoretic distribution measurement is a powerful tool to study slime coating phenomenon in a complex fine particle flotation system."

Jan 1, 2002

"This generic study has been developed in response to the frequently asked question, ""That is the best treatment route for refractory gold ore?"". The study has developed operating and capital costs for many potential treatment routes and they are presented here in a generic form. All costs are in relation to the value of 1.00 given to the base case, a 1000 mtpd bio-oxidation plant, operating at 25% solids and 72 hours residence time.There is unfortunately no simple answer to the above quest ions. The treatment of refractory ores is a complex subject, with many variables, such as mineralogy, chemistry, environment and tonnage. However this study does offer information and relative numbers that we believe will be of assistance to gold metallurgists in obtaining a ""first shot"" at estimating costs.Equally, this technology is a rapidly evolving one. As more plants are commissioned, and test programs completed, better data is constantly being generated. For a generic study of this type to remain useful it will need regular updating and adjustment."

Jan 1, 1989

By C. Guo

The Mildred Lake Settling Basin (MLSB) is the largest disposal site for mature fine tailings (MFT) at the Syncrude Canada Ltd oil sands plant. Over the past years (since 1997), there has been a marked change in the consolidation behaviour of MFT in the MLSB, which is attributed to microbial activity. Methane-producing microorganisms, known as methanogens, have become very active, and large amounts of biogas (mainly methane) have been produced. In certain regions within the MLSB, gas bubbles are released to the water surface of the tailings pond. Continued field monitoring of the MLSB has provided convincing evidence of the rapid densification process (rapid water drainage from the tailings). This phenomenon contradicts the consolidation models for MFT developed over the past 20 years. The above phenomenon has also been reported at the oil sands tailings ponds operated by Suncor Energy Ltd. in Fort McMurray. This rapid densification has caused pumping challenges in the transfer of fine tailings from the Mildred Lake Settling Basin for the creation of composite tailings. The rapid densification of the MFT may also have potential positive effects in accelerating the reclamation of the oil sands fine tailings. A field and laboratory research program is underway to study the mechanism leading to the rapid densification phenomenon. Systematic field investigations were performed to determine the distribution and characteristics of the rapidly densified MFT. Gas bubble distribution on the water surface was mapped to determine the zones of different biological activities in the pond. These field investigations provided solid ground for further experimental and theoretical research. A number of small-scale column tests were carried out to observe the gas evolution and to measure the changes of some geotechnical parameters under different microbial activity. Also, a series of gassy MFT densification tests are being conducted to study the mechanism of the rapid densification of the MFT under microbiological activity. A review and discussion of the research program is given and some preliminary research results are presented in the paper.

Apr 1, 2005

By Lawrence Melis

Fission Uranium Corp.’s Triple R Uranium Deposit at its Patterson Lake South Project is located in northwest Saskatchewan in Canada’s Athabasca Basin. As part of pre-feasibility studies for the project a detailed metallurgical test program was completed to provide process design criteria. The testwork program encompassed preparation and analysis of test composites, comminution testing, uranium acid leaching, liquid-solid separation, solvent extraction of uranium, precipitation of uranium yellowcake products, tailings and effluent treatment, tailings physical and chemical characterization, and environmental testing of prepared tailings, as well as investigations of gold and silver recovery from the mineralization. The paper provides mineralogical information, testwork methodologies and test results which were used to arrive at process design criteria and the selection of the process flowsheet for the project.

Jan 1, 2020

By Jan E. Nesset, Phillip J. Mackey

"Studies have shown that there is a correlation between commissioning and start-up time, i.e. time to reach full plant design capacity, and the degree of innovation and technical/engineering uncertainty in the project design. The paper describes the types of start-up curves for plants according to the level of technology or uncertainty in the process design. The need to properly describe and understand the commissioning and start-up time is examined using these curves and the importance on project success is highlighted. A number of case histories of recent mining and metallurgical projects are also reviewed. Finally, the paper reviews how to better assess the level of start-up uncertainty associated with a project and makes suggestions for decreasing the commissioning time due to technological risk.INTRODUCTIOThe start-up of a new mining and metallurgical facility, a much anticipated event, is a critical step in the life of such a project. Achieving a successful start-up and reaching the design capacity on-time requires careful planning, a thorough understanding of the key technological and engineering components involved and a well-trained and adequatelystaffed start-up crew. In this paper, some of the aspects related to start-up of a mining/metallurgical project will be explored, and in particular, the impact of the technology component will be examined. In order to illustrate this, a number of case histories based on recent mining and metallurgical projects will be discussed. Ways of assessing and understanding the uncertainty associated with technological issues related to start-up of a mining and metallurgical plant will also be examined.The history on mining and metallurgy is full of success stories of great mines and mills that are now considered “company makers” (well known examples of such successes include the Horne mine for Noranda which had a 1 year start-up in 1926-27, the Dome mine for Placer Dome, the Grasberg deposit for FMI in Indonesia). Less well documented are specific studies relating to plant start-ups and what constitutes a success or a failure, however there are a few notable references in the literature and these will be reviewed."

Jan 1, 2003

By M. Vallée, J. -P. Charette, D. P. Gold

"The Oka Carbonatite and Alkaline Complex is a Lower Cretaceous intrusive body of the Monteregian petrographic province. Carbonate rocks of various types, and associated alkaline rocks of the ijolite and okaite suites, are distributed in a double ring-dyke structure 4 Yi miles long by 1 1/2 miles across. Alnoite and alrioite breccia pipes intrude all rocks of the Complex and indicate, from inclusions, that a cover of Palaeozoic rocks existed at the time of emplacement.The results of radiometric, magnetic and gravity surveys of the Complex are compiled and discussed both with respect to the regional pattern and, locally, the bed-rock geology. The Complex is characterized by high-intensity anomalies.Exploration activities started during 1953, and mining operations began in 1961 on the property of St. Lawrence Columbium and Metals Corporation, at one time the world's largest producer of niobium concentrates. Because of the boudinaged and fractured nature of many of the rocks and the variability in grade of the ore minerals, the role of the mining geologist is both demanding and exacting. Rock types are varied and their mutual relation-ships ambiguous, the minerals are rare and complex, and close geological control of the ore is needed in the mine and in the mill. Closely spaced diamond drill holes are needed for mining control, and the ore-waste contact is defined mainly by assay results.In the exploration for 'carbonatites' in Eastern Canada, aeromagnetic surveys are judged to be the best exploration tool, followed in decreasing order by the search for circular structures on aerial photographs, regional gravity surveys and radiometric surveys."

Jan 1, 1967

By Benoit Bissonnette

"The need for production of a competent fill was recognized early by the project partners. Consequently, a 4000 Ud paste fill plant was constructed and commissioned in early August 1994.In order to fine tune the process without risk to the underground workings, a closed pumping loop was devised on surface. After two months of this exercise, the first underground slope was filled according to specifications obtained from the pilot plant trials.This paper will focus on the operational problems encountered and the solutions adopted so far, and on a comparison between expected and actual fill production and characteristics.RésuméLa nécessité de produire un remblai de propriétés mécaniques suffisantes a été rapidement reconnue par les partenaires du projet. Conséquemment, une usine de production de remblai en pate, utilisant les residus du concentrateur d'une capacité de 4000 t/j a été construite et l'opération a débuté au mois d'aôut 1994.Dans le but de roder le précedé sans mettre en danger les installations souterraines, l'usine a été testée dans un circuit de surface. Après deux mois d'essais, le premier chantier souterrain a été rempli avec du remblai en pate selon les specifications dérivées de l'usinage pilote.Cet article présente les problemes d'opération rencontrés et leurs solutions, en plus de faire une comparaison entre les résultats prévus et ceux actuellement obtenus sur la production et sur les charactéristiques du remblai."

Jan 1, 1996

By D. M. Doyle, P. J. Hannon

"The Canada/Nova Scotia Mineral Development Agreement (M.D.A.) is a subsidiary of a five-year Economic and Regional Development Agreement, signed on June 11, 1984. The objectives of the M.D.A. are to strengthen and diversify the Nova Scotian mineral industry and to coordinate federal and provincial policies and programs. The agreement outlines the activities and responsibilities of each government, including the division of the cost (60:40, federal: provincial) between governments. The agreement established a framework for joint planning to avoid overlap or duplication of programs.The M.D.A. programs are broadly divided into five sectors (Table 1 and Fig. 1): Geoscience, Minerals Technology, Development, Firm Specific and Public Information. Each sector is administered by a subcommittee composed of one federal member and one provincial member. The subcommittees report to a Management Committee. The Canada/Nova Scotia Mineral Development Agreement (M.D.A.) Management Committee is made up of Dr. Jack Reeves from EMR and Dr. Richard Potter from the NSDME.The Geoscience subcommittee, co-chaired by Peter Giles (NSDME) and William Poole (EMR), manages the regional geologic, geochemical and geophysical studies in the province. Included in this sector are studies into mineral deposits and the basic geological relationships between mineral deposits.The Mineral Technology sector is co-chaired by the authors, Don Doyle (CANMET) and Pat Hannon (NSDME). This sector of the M.D.A. conducts studies into mineral processing, sampling, deposit byproduct commodities and project feasibility analysis."

Jan 1, 1987