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By A Garg

Squeezing can occur both in hard rock and in jointed rock mass as a result of over stressing. It is related to time dependent shearing, ie shear creep and is associated with the volumetric expansion (dilation) and radial inward displacement of the tunnel surface. While planning a tunnel in hard rock under a high cover of the order of 2 km it is desirable to identify the potential squeezing ground conditions and to select appropriate excavation technique and the support measures. There are several solutions to counter balance the squeezing ground viz over excavation of tunnel profile, assessing appropriate excavation technique, provision of a ductile primary support and time for providing tunnel lining. Low drivage rates and high cost due to support failures requiring rectification arising out of poor anticipation of tunnel closures and support pressures are major problems associated with tunnelling under squeezing ground conditions. Under squeezing ground conditions, the deformation will be gradual, therefore, in order to absorb deformations yielding supports are quite useful as primary support which provide a reliable low initial support pressure and permit uniform stress relief of the surrounding rock along with preventing rock from ravelling. The paper discusses the various factors which influence the selection of appropriate excavation technique and support measures in hard rock under squeezing ground conditions.

Jan 1, 1999

Alaska Native corporations, as representatives of the aboriginal inhabitants of Alaska, control the mineral rights to 18 million hectares of Alaska, approximately 12% of the state. These corporations were established through legislation passed by the United States Congress in 1971 designed to settle the land claims of the Native peoples of Alaska. Twelve corporations, each representative of a specific geographic and cultural region, were established and granted the mineral rights to most Native lands in their respective regions. Since that time the Native corporations have taken an active role in mineral development in the state. Generally through agreements with established mining companies, Native corporations encourage balanced exploration and development of their lands. Substantial mineral potential has been recognized on Native corporation land, which includes holdings in many historic mining districts of Alaska. Several world class deposits have been discovered on Native corporation land, including the Red Dog zinc-lead deposit, which began production in late 1989. The experience of Alaska Native corporations demonstrates that aboriginal peoples can be very positive forces in resource development.Alaska, although remotely located in the Northeast corner of the Pacific Basin, is playing an increasing role as a supplier of natural resources to the region and the world. Most of Alaska's privately held natural resources are owned by the aboriginal inhabitants of the state. These aboriginal inhabitants, now collectively referred to as Alaska Natives, have emerged in the last two decades as having a major international impact in mineral resource exploration, development, and production.

Jan 1, 1990

This paper describes an investigation of the sampling problems which contributed to erroneous Concentrator production forecasts at the mining operation of Bougainville Copper Ltd (BCL) in the North Solomons province of Papua/New Guinea.Reference figures provided by independently verified commercial shipment data demonstrated the existence of a bias in the calculated Concentrator production; the challenge was to identify systematic errors in each of the contributory measurements (feed tonnage and feed, tailings and concentrate grades).The uncertainty surrounding specific sampling and measurement errors precluded optimum metallurgical control and performance of the milling circuit, encouraged disputes about the difference between Mine versus Concentrator production estimates, and cast some doubt on efforts to follow political guidelines concerning a maximum feed tonnage or recovery oriented mill operating concept.An evaluation of routine results as well as specifically targeted test work identified the sampling errors associated with measured individual parameters.The emphasis in this report is on the procedure for quantitative error assessments.The measured performance of a mineral dressing plant is subject to a systematic error balance which can be derived from the more familiar weight and metal balances such as the two- or three-product formula.The resulting equations are generally valid, and they are applied to the measurements obtained at BCL's Concentrator to illustrate the method.

Jan 1, 1976

Production scheduling is an important element of the mine planning process. The production schedule specifies the quantities of mineral to extract, the source of this ore, the timing of extraction and, where necessary, the quantity and timing of backfill placement. These details are important in linking long-term strategic goals to short-term operational planning. Mine scheduling techniques form the basis for communicating information concerning the overall impact of design and planning changes to a wide range of people at many levels within an organisation. Consequently the techniques used for mine scheduling must support the decision-making process by consistently providing high quality schedules in response to revised and updated data. A new mixed integer programming (MIP) model has been developed to generate optimal production schedules for underground stoping operations. The model maximised the before-tax Net Present Value of the production schedule while satisfying constraints such as contained metal tonnage, hoisting capacity, stope geometry relationships and stope backfilling demands. Zero-one variables were used to represent the decision to extract or backfill each stope in a particular time period. Continuous variables, capable of having non-integer values, were used to denote the quantity of ore or backfill associated with a specific stope in a given time period. A case study is presented to demonstrate the significant improvement in before-tax NPV over a comparative manual production schedule in a large underground mine. The MIP model allows for further modification to reduce solution times and meet the needs of individual mines.

Jan 1, 1995

By P J. Harper

Maximising shareholder value is a widely stated strategic goal of many mining companies. Mining projects can be capital intensive and achieving good returns is essential to encourage future investment in the industry. Despite the widely accepted importance of shareholder value, the minerals industry is often accused of providing relatively poor returns when compared to other industries. There are many recent and well publicised examples of minerals companies that have failed to deliver value to their shareholders. There are numerous business improvement initiatives employed within the mining industry to assist mine operators improve performance. Some are more effective at creating value than others. Benchmarking is one technique that is commonly used to identify performance gaps and target and prioritise opportunities for improvement. However to be effective, Benchmarking must be used appropriately and result in actions that lead to measurable operational improvement. When conducting a Benchmarking project it is important to remember that the aim should be to improve value. For this to be achieved, the strategic goals must be incorporated into the process. This paper details a structured and comprehensive approach to conducting a successful Benchmarking project. Focusing on Benchmarking as a technique for measuring and improving operational performance in underground mines, the underlying drivers of best practice in underground mining are identified.

Jan 1, 2005

This short paper outlines the authorÆs views regarding the progress we have made as an industry in managing mining assets over the past 500 years. It represents a personal view û but one founded in fact-based observations of mining companies and of the mining industry in general. There is no doubt that AgricolaÆs views as expressed in De Re Metallica (1556) were visionary. There is also little doubt regarding another issue û that whilst a great deal has been learnt about the management of mines since AgricolaÆs time, observations suggest that best practice management is the exception rather than the rule across our industry. Although insights regarding the successful management of mines have become apparent, we still witness unnecessary errors in our industry that lead to the loss of shareholdersÆ funds. By highlighting some aspects of current best practice, particularly in the arena of operations management, it is hoped that this short paper contributes a small step along the next 500-year-long learning curve. The paper concludes with a brief description of the progress and impact of continuous improvement initiatives at Kalgoorlie Consolidated Gold Mines (KCGM). Located in the Kalgoorlie Goldfields, KCGM is currently AustraliaÆs largest gold mine producing over 800 000 ounces of gold per annum. Improvement initiatives at KCGM look set to deliver some $100 million in value over life-of-mine.

Jan 1, 2004

By T Ye Koltunova an, L A. Otrozhdyonnova

This paper presents the results of studies on the development of an efficient non-cyanide technology for processing massive, finely disseminated, copper-zinc ores of the Urals deposits. Copper is mainly represented by chalcopyrite and zinc û by sphalerite. The main ore mineral is pyrite, with its content in ores varying from 50 to 80 per cent. At the present time, separation of copper concentrate at the Urals concentrating plants is achieved in a lime medium by non-cyanide technology using sodium sulfide and zinc sulfite as depressors of zinc and iron sulfides and butyl xanthate as the collector. Copper content in copper concentrates amounts to 15 - 17 per cent; considerable losses of zinc are associated with copper concentrate and final tailings. Various collectors were tested during the studies: xanthates and aerofloats with different lengths of hydrocarbon radicals, thionocarbamates, Aerofine 3418A of Cytec Industries, reagent S-703G of Mineral Reagents Int, and modifiers û sulfur dioxide, sodium sulfide and zinc sulfite, with a pH of the medium varying from 5 to 12. Optimum results of copper concentrate separation were achieved in a weakly acidic medium using S-703G as the collector and sulfur dioxide and zinc sulfite as modifiers. The copper content in the copper concentrate was increased by 4.8 per cent. Total copper recovery into the copper concentrate and zinc recovery into the zinc concentrate exceeded five per cent.

Jan 1, 2005

Zinc produced by pyrometallurgical processing techniques suffers the disadvantage of restricted market potential because of its impurity contents, typically lead and cadmium. Market zinc to the Special High Grade (SHG) standard can only be produced by reflux distillation refining, which is costly in terms of energy and equipment, and potentially capacity limiting. Recent published laboratory work suggested that molten salt electrorefining of zinc metal is a potentially much cheaper alternative to the reflux distillation refining. The extrapolation of the laboratory results to an industrial configuration, however, resulted in an estimated power consumption for electrorefining and associated costs offering no advantage over current reflux distillation practice. A review of this estimate now shows that a serious error in calculation was made, and that the energy consumption for the electrorefining of molten zinc would be an order of magnitude lower than that for reflux distillation refining. While this is a promising indication, further research is required before development towards an industrial scale operation is warranted. This would particularly relate to the extent to which adverse electrolyte deterioration may take place and its potential effect on the anode and cathode efficiencies of the process. This paper considers the laboratory investigations required to explore the industrial potential of the molten salt electrorefining of zinc and foreshadows some of the practical problems to be solved in further development.

Jan 1, 2000

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

While there is reasonable agreement on the basic chemistry of the slag fuming process, there has been an on-going debate for nearly 50 years as to the nature of the rate controlling factors in its industrial application. There have been advocates in the technical literature for thermodynamic limitations on the one hand or kinetic limitations on the other. The different viewpoints result in very different predictions as to the technical and commercial potential of the process. A resolution of the debate becomes of importance as pyrometallurgical processes are advocated as a means of extracting environmentally deleterious elements from metallurgical wastes. The present paper reviews the arguments in favour of both equilibrium and kinetic control and puts forward the view that much of the evidence for limitation of the process by kinetic factors under all conditions is unconvincing. It is maintained that the process can approach thermodynamic equilibrium under industrial conditions and that this determines the ultimate limitation on its technical performance. It is acknowledged, however, that kinetic considerations may cause the batch process to fall well short of performance predicted on thermodynamic grounds. The strong process limitation arising from the influence of chemical thermodynamics on the likely outcome of a hypothetical continuous fuming process is contrasted with optimistic forecasts resulting from the extrapolation of process models based only on kinetic considerations.

Jan 1, 2000

Traditional methods for monitoring, and hence controlling, pyrometallurgical processes rely heavily upon the skill and experience of operators. A skilled operator will usually achieve consistent, though often conservative, results, whilst an un-skilled operator will require considerable time and training to achieve the same results. Semtech Metallurgy AB have demonstrated that continuous and precise control of pyrometallurgical processes can be achieved through on-line analysis of pyrometallurgical flame off-gas using optical spectroscopy. The feasibility of the technology has been demonstrated on a large number of full-scale tests at production plants and by several commercial installations. Evidence suggests that installation of this technology, called Semtech Optical Production Control (OPC), has resulted in considerable economic benefits to the plant efficiency and asset life. These economic benefits are believed to be a direct result of improved objective on-line control. Technically the following benefits have been demonstrated: improved metal grade control, reduced metal losses, reduced processing time, and improved personnel safety. SemtechÆs OPC is a non-intrusive technology which relies on the fact that the composition of the vapour phase above a high temperature melt is closely related to the instantaneous status of the melt. This enables on-line real-time analysis of the furnace melt to accurately determine melt status and in particular reaction endpoints. Originally developed for on-line monitoring of copper converting in a Pierce-Smith vessel the field of applications for the technology is steadily growing. This paper introduces the Semtech OPC technology; discusses various applications and outlines the demonstrated benefits.

Jan 1, 2002

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

In the future, Illawarra Coal, the primary metallurgical coal producer in the southern coal fields of New South Wales, will face many unique challenges not found in other coal or minerals production areas. To manage these challenges and determine the best strategy for the business, Illawarra Coal has adopted a systematic strategic planning process, which starts from the broadest possible options analysis and culminates in a ægo-forwardÆ operating case that individual mine sites use as the basis for short-term planning. This paper will discuss two major topics. Firstly an overview of the Illawarra Coal and BHP Billiton strategic planning processes. This will demonstrate the range of variables and inputs that are required for the planning process, and the system which is followed to evaluate different alternatives for the extraction of the resource. Secondly, having discussed the primary external and internal factors that must be accounted for in the planning process, and the main issues affecting the viability and likelihood of each alternative, the paper will discuss the particular challenges that Illawarra Coal will face in the coming decades. These challenges include: market and price uncertainty; managing impact on surface features, infrastructure and environment; community interaction; transport and logistics constraints; unknown mining environments; lack of geological knowledge; limited surface access for new mining domains; changing attitudes to longwall mining in the Illawarra; ageing workforce; and cost and overhead management. The paper intends to discuss how these issues impact the business currently and how they are incorporated into Life of Asset plans and overall corporate strategy for Illawarra Coal.

Jan 1, 2007

A considerable debate has arisen regarding the best route for the beneficiation of iron ore. Supporters of jigging technology claim that although the technology is old, due to recent advances in jig control and a better understanding of the separation processes within jigs, it offers significant advantages over dense medium separation, especially in terms of reduced capital and operating costs and simplicity of design. Supporters of dense medium separation claim that this technology is proven to provide the best possible separation and that the gain in efficiency over the life of the plant, compared to that of a jig, will more than offset any differences in capital or operating costs. The truth is that both viewpoints are valid and that the choice is ultimately determined by specific characteristics of the ore being treated. Factors that need to be taken into account in deciding upon the correct option include the size/density distribution of the ore to be treated, the different size fractions which must be treated (lumpy or fines), differences in yield at grade, plant layout and capital and operating costs. Each of these factors will be discussed in detail and a case study for both lumpy and fines will be presented.

Jan 1, 2007

By A D. Bugarski, B R. Conard, G H. Sc

The objective, of the Diesel Emissions Evaluation Program (DEEP)-sponsored project at IncoÆs Stobie mine, was to conduct a long-term field evaluation of selected diesel particulate filter (DPF) systems, available to the underground mining industry. Nine state-of-the-art DPF systems were retrofitted to heavy-duty and light-duty vehicles and were subjected to extensive long-term in-mine evaluation. Periodic efficiency tests were conducted at various stages of the study (in 2001, 2002 and 2004) to establish in-use efficiencies and durabilities of the tested DPF systems. During efficiency tests, the vehicles/engines were operated over several steady-state operating conditions. Various instruments were used to measure particulate and gaseous emissions upstream and downstream of the filter systems. The results were used to assess the effects of the filter systems on the concentrations of diesel particulate matter (DPM), nitric oxide, nitrogen dioxide and carbon monoxide in the vehicle exhaust. Experience with the operational issues related to deployment of the filter systems on underground mining vehicles, coupled with the assessment of the filtration efficiencies, were the primary objectives of the study. The variety of filtration systems and regeneration concepts used in this study offered the opportunity to investigate the advantages and disadvantages of the various types. Some of the major issues studied were criteria for selecting the filter media, means of regeneration, the long-term operational reliability, and the occurrence of unwanted secondary emissions.

Jan 1, 2005

By G Mulder, M Adams

Since the introduction of raiseboring 30 years ago there have been many operational and mechanical design improvements in the raiseboring machine, its reamers and associated cutters. These have now made the technology of raiseboring a routine and practical operation within the underground mining world. Over the last decade these advances have been aided by the introduction of robust automation packages which have allowed unattended drilling and reaming, real time performance monitoring and enhancement and the rapid diagnostic investigation of mechanical and electrical abnormalities. The constraint to higher raiseboring performance is now the drill string. However when it comes to a cost-effective solution of applying the high drill string torque and tension necessary for the next step change in performance, designers have æhit the wallÆ. Whilst carbon fiber reinforced plastic composites with abrasive resistant sheaths may offer a solution, the limit of conventional steel, drill string technology has been reached. This limit to advancement is however based on the drill string being in tension and alternative solutions may exist by literally turning the raiseboring paradigm on its head. This paper describes the story of a small Australian company engaged in the design and manufacture of mechanical excavation machines, two Australian raiseboring contractors and three Australian mines going against tradition and pushing down rather than pulling up.

Jan 1, 1998

By Westcott PC

The development of a coal project must pass through a number of phases, taking it from a preliminary evaluation through to detailed mine planning. For each phase the cost of data acquisition and associated mining studies increases exponentially for linear improvement in confidence levels. Within each mine planning phase there are four main activities. These are the economic ordering of reserves, the development of optimum mining strategies, mine design and scheduling and finally the estimation and analysis of costs. The development of the optimum mining strategy is one of the most critical aspects of a mining evaluation and the application of economic criteria at this stage of the project is vital to the successful generation of an optimised mine design. A recommended method is the concept of Economic Ratio (ER) which expresses the likely cost of mining from a given location in a deposit in terms of the value of the product likely to be recovered. The most economic mining strategy will be to mine areas from low economic ratio to high economic ratio within the constraints of reasonable equipment application. When selecting equipment a particular machine should not be selected solely on comparison with other machines in isolation, but the total application must be analysed. In the final selection the decision should be based on whether or not it has a beneficial effect on overall project economics. The economic assessment must take into account the time value of money, so the real cost can be determined with adequate provision for capital and operating costs over different time spans.

Jan 1, 1983

Managing project exposure and risk has numerous viewpoints, including those of engineers, owners, bankers and insurers. Fewer stakeholders are involved in early stages, though with wider risk management techniques and tools available. The costs and sometimes benefits of the occurrence of risk and uncertainty have different contingent outcomes for different stakeholders. For some, the impact of risk outcomes can be mitigated or managed. Some sectors and stakeholders can manage resources project risks more completely, by choice or by externally imposed forces, opportunities and constraints. The core to resources project risk management lies in the identification and analysis of project risks, the examination of project management risk options and alternatives, and the determination of which risks are able to be controlled, managed or laid off to third parties. Without prior risk identification and knowledge, the wildcard of previously unidentified or unconsidered project risk impact has the potential for fatal impact to one or more stakeholders. A range of case studies is reviewed, from exploration projects to development and operating projects, with relevant learning experiences, from the risk management lessons available from the oil and gas sector as well as the mining sector. For many cases, the emphasis focuses on the risk analysis modus operandi and on risk management and risk mitigation techniques that can be and in some cases have recently been implemented for resources project and related debt, capital markets and equity project fundings.

Jan 1, 2003

Electronic detonators bring a fundamental and radical change to the potential of rockbreaking operations. The immense technical challenge of safely merging electronic systems with explosives has been largely overcome, but a surprisingly difficult obstacle has been to convert users to the much more capable electronic systems, in routine as opposed to exotic applications. Unit cost is probably the main point of resistance. For years papers have confirmed significant improvements in blasting results, feeding through to enhanced bottom line value for the whole operation: much reduced environmental impact, and improved control over fragmentation, muckpile shape and overbreak. In Africa, a number of operations have been employing the technology for sufficient time to see enduring improvements in throughput, control and cost structure, and these improvements have fed through to the planning process: both the cost and the benefits are part of the plan. This has essentially rendered very unattractive the option of reverting to pyrotechnic systems and incurring the penalties previously unseen but now understood to be avoidable. Examples given are of improved throughput at opencast and underground mines, and greatly extended life at an urban quarry. The general experience of management in implementing the technology is that it over-delivers: adopted to solve one particular problem, significant other issues are also addressed. These extra benefits were quite logical, but not at all obvious prior to implementation. Exploring this reality is essential for harvesting the benefits of the technology sooner rather than later.

Jan 1, 2004

By B R. Olsson, N Marinopoulos

To establish the design and the capacity of the Stanwell Magnesium Plant, Australian Magnesium Corporation Ltd (AMC) with Fluor Australia has modelled the operation of the magnesium plant using ARENA Simulation Modelling. The reliability model has been used to evaluate: surge capacities required between different sections of the plant; critical equipment requiring standby capacity; the number of trains required for different sections of the plant; and potential capital cost reduction options. The reliability model was established using the detailed Process Flow Diagrams, reliability information from literature and maintenance, operation and start-up experience from the Demonstration Plant. The model was run with different plant configurations to assist AMC in determining the most effective configuration to provide the production capacity at the lowest capital cost. The model was not only able to confirm the plant capacity to the independent technical expert but was able to minimise quantitative risk by minimising the quantities of hazardous materials on site. Fluor Australia provided the ARENA simulation expertise and has used this software for optimising new plant design and to establish improvements in operating plants. Reliability modelling is a normal feature of chemical plant design but is rarely used in the resource industry. The experience gained by AMC in the modelling system has indicated that metallurgical plant design can be improved by the application of reliability modelling.

Jan 1, 2002