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DCF Valuations are very important to individuals and companies involved in the mining industry. Such valuations are critical to investment decisions in relation to new and existing projects. In particular they provide fundamental information to shareholders in the event of a capital raising or takeover and to financiers supporting mining companies and projects. Also, DCF Valuations are often used to support asset carrying values in the financial statements of mining companies. This paper presents a Chartered Accountant's (CA's) perspective on the main issues to be considered in preparing, analysing and relying upon DCF methods in mineral valuations and provides some practical examples relating to key issues. The paper makes the important point that DCF methods involve making assumptions about future events and circumstances that inherently contain uncertainty which results in a valuation prepared on a DCF basis providing a range of values that are not perfect or accurate. In order that DCF valuations provide meaningful information the underlying methodology used and assumptions made must be consistent, sound and well supported. Credibility of those involved in preparing mineral valuations is vital and this paper supports the adoption of sound practices by all concerned.

Jan 1, 1994

By T Hill, J Everingham, P Clark

Currently, social impact assessment (SIA) is used to determine social impacts across the life-of-mine (LOM) to closure. This paper draws on recently completed SIA reports from the Martha gold mine in Waihi and qualitative interviews in the community that explored post-closure options, to review the challenges mining companies face when engaging with iwi4 through the SIA process and what that may mean for closure planning. The Maori of New Zealand consistently lobby to have a distinct voice in resource management issues. This is in line with the evolution of indigenous participation in SIA globally and with New Zealand policies, not least of which, the Treaty of Waitangi (the founding document of New Zealand) makes provision for Maori self-determination with regard to natural resources. Land use for mining has been a source of conflict for Maori and mining can have profound cultural and social impacts on the Maori community, yet despite Treaty intentions their representation in SIA has been comparatively limited. With this in mind, the Waitangi Tribunal has released the Ko Aotearoa Tenei (Wai 262) report, which recommends far reaching reforms to laws and policies affecting Maori culture and identity including natural resource management. This landmark report seeks to move the Maori-Government relationship beyond grievance to partnership. Given suggested policy changes in Wai 262 and the risks of poorly conceived closure planning, it is timely to review where Maori currently fit into the SIA process. The findings of this research suggest that improvements to the outcomes of this process will require companies to act beyond compliance. However, these improvements may also ensure mining companies maintain their social license to operate and to ensure continued influence across the life of a project to closure.CITATION:Hill, H, Clark, P and Everingham, J, 2012. æThere is an emptiness for Maori here in WaihiÆ - Understanding indigenous perspectives on post-mine land uses in closure planning, in Proceedings Life-of-Mine 2012 , pp 153-160 (The Australasian Institute of Mining and Metallurgy: Melbourne).

Jul 10, 2012

The increasing global demand for rough materials forces almost every mine to look at the mechanisation in their processes. This will not onlyimprove performance but with safety issues becoming more and more prevalent, the need for the introduction of mechanisation technologies to mining applications is essential. Ongoing developments are occurring in almost every field, ranging from basic developments to specialised mining. Mechanical tunnelling and shaft sinking have set the standards regarding safety, profitability and environmental protection. Different machine types and working principles have been developed to suit the geological and hydrological requirements of tunnelling projects worldwide. Continuous activity in research and development leads to constant optimisation of tunnelling performance.

Jan 1, 2008

By J Johansson

The aim of this paper is to discuss how to form work and organisations in the mines of the future. The Kiruna underground iron ore mine in the far north of Sweden is used as an example on how technical development affects organisational issues like skills, work identity and gender. Over a period of 50 years one can see a transformation of work from manual underground work to automation and remote control from surface level. What characterised the old underground workface was the close relation between man and the hard rock and with arduous physical work under dangerous conditions. Today, the face miners are located on the seventh level of an office building close to the mine. There is also an emerging, and in many aspects already evident, knowledge transformation û from the old and obsolete physical and tacit knowledge and skills (for example the ability to æread the rockÆ) to something new, which can be described as abstract æhigh-techÆ knowledge and skills. The modern technology has created a new type of work û new in terms of competencies and knowledge as well as workload and organisation. At the same time the mining company are recruiting more women and promoting the former pure male work as attractive workplaces for both women and men. All this has effects on how individuals and company create and recreate skills, identity and gender. To some extent the technological development predestines these changes, but there are some choices to be done when forming good work and organisations for the mines of the future. The traditional mining workplace culture and behaviours and the old type of masculinity, the æmachoÆ style, will be challenged by the new æhigh-techÆ work and new competency demands. The changes risk meeting restoring responses, which can have negative impact on the performance of the organisation, for example making it inflexible and perhaps ælaggingÆ behind the technological development. These questions need to be handled when planning future mining.

Jan 1, 2008

By A Scrase, J Brereton

The Latrobe Valley is located approximately 150 kms east of Melbourne. Within a very small area there are 3 large brown coalmines and associated power stations, 3 large towns, and numerous smaller towns in the vicinity. The mines have been generating power for Melbourne and surrounds for the last 100 years, with two of the mines being owned and operated by the Victorian Government (State Electricity Commission of Victoria) prior to privatisation in the 1990s. All three mines were privatised with the expectation that the mine voids would be filled with water to become pit lakes, as the final landform/rehabilitation solution (Hazelwood Mine Fire Inquiry, Teague and Catford, 2016). It could be argued that until relatively recently, this was largely expected, by government and industry, to be the rehabilitation solution for managing the two key risks associated with the sites:  The geotechnical stability of the mine pits.  The prevention of fire – through covering coal batters with water. Transitioning away from mining economies requires collaborative, regional, innovative thinking with a multitude of stakeholders, from a wide range of government departments, industry, First Nations people and broader community. Closure planning and rehabilitation activities require a range of skills and experience, such as, closure planning, various scientific and engineering disciplines (pit water quality modelling, geochemical modelling, cover design, landform design, contaminated site etc), civil engineering, demolition etc. Some of these skills are similar, such as financial modelling, stakeholder engagement, contract and project management. But the majority are different to those required during the operational phase of a mine. These closure skills can also be lacking within government, with Departments more familiar with monitoring and compliance activities associated with operational facilities. Some key aspects that appear to be critical to planned successful closure are:  Collaborative regional and localised planning, with industry, government, community, First Nations and other industry, business leaders and entrepreneurs all involved in providing a smooth transition away from mining.  Well-defined and known regulatory pathways to achieve mine licence relinquishment assists in encouraging investment.  Appropriately skilled and experienced government and industry personnel.  Mining companies, who are committed to closure planning and provisioning from the earliest point in project planning.  Mine employees who are appropriately skilled and experienced in mine closure planning and implementation with access to all the relevant technical expertise required for the project. Areas like the Ruhr Valley in Germany provide good some examples of smooth processes that facilitate mine economies transition into new economies (World Resources Institute (WRI), 2021).

Aug 2, 2023

By Martinick WG

In July 1986, Cable Sands (W.A.) Pty Ltd commenced mining for mineral sands at Minninup, approximately 16 km south of Bunbury, Western Australia.The area being mined is from the heel of the foredune to the rear of the hind-dune. The vegetation is mostly native vegetation with some old degraded pasture.The mining operation will be by suction cutter dredge, with continuous dredging, mineral separation and re-depositing of the sand.

Jan 1, 1986

On 15 August 1998 the first section of the PUTRA LRT system was opened to the public as a free service prior to official commencement of revenue service on 1 September 1998. It is a remarkable achievement to open a highly advanced medium capacity urban railway scheme in four years after the outline concept began. Even more remarkable is the implementation of the next stage which is the underground section planned to be operational in mid-1999. The decision to build the first underground railway in any major urban centre is a technical challenge. The PUTRA LRT System can be likened to Hong Kong when the initial MTR system began in the 1970s and Singapore MRT in the 1980s. Prior to the PUTRA railway very little bored tunnelling had been undertaken in Kuala Lumpur. A few shallow sewer tunnels had been built but the main experience of tunnelling in Malaysia had been for water, hydroelectric and road tunnels usually through granite formations. The ground conditions in Kuala Lumpur were known mainly from experience of piled foundations and occasional deep excavations. The suitability and likely difficulties to be experienced during bored tunnelling could only be theoretically predicted. In both Hong Kong and Singapore, government owned corporations were set up to implement the scheme, but in Kuala Lumpur the whole project has been undertaken by a private company PUTRA, a wholly owned subsidiary of Renong Berhad.

Jan 1, 1999

By E Baafi, G Brassington

Coal mining operations can impact on various types of surface infrastructure or natural features, including cliff-lines, steep slopes and natural watercourses. Longwall mining leads to a subsidence depression due to the changing geometry of the mined out area. The current regulatory process for managing subsidence in New South Wales (NSW) involves the preparation of a Subsidence Management Plan (SMP). This paper demonstrates the use of a Weights of Evidence (WofE) technique applied within a Geographical Information Systems (GIS) environment to predict potential areas for rockfalls along cliff-lines in the NSW Southern Coalfield. The WofE is a ædata-drivenÆ method that can be used to predict subsidence impacts prior to mining. The WofE method was applied to ten known rockfalls along the Cataract River to evaluate the reduced impact of not mining within 50 m of cliff-lines along the Nepean River. There is significant reduction of probabilities of rockfall occurrence when mining is avoided within 50 m of cliffs.

Jan 1, 2006

By P Kappen, R N. Collins, K M. Spiers

X-ray absorption spectroscopy (XAS) is a synchrotron-only technique used to determine chemical speciation, providing a powerful alternative to most traditional ‘wet chemistry’ and lab-based speciation methods. XAS is an element specific method that can be used to address a variety of systems, ranging from heterogeneous to homogeneous, polycrystalline to amorphous, and solid to liquid. The strength of XAS in identifying and managing chemical species in tailings and mine waste is demonstrated, with the presentation of highly relevant studies into lead, uranium, chromium and arsenic speciation. In each example, waste samples are compared with known standards, allowing an assessment to be made of the quantity of particular chemical species in each.CITATION:Spiers, K M, Collins, R N and Kappen, P, 2015. ‘Forget the wet chemistry’ – how the Australian Synchrotron can help with tailings and mine waste management, in Proceedings Tailings and Mine Waste Management for the 21st Century , pp 145–148 (The Australasian Institute of Mining and Metallurgy: Melbourne).

Jul 27, 2015

By A Markham

Stream diversions are a common feature of mine sites worldwide. From an operational perspective, a fundamental requirement of a stream diversion is that it should convey water flows between two points in a safe, controlled and predictable manner. On the other hand, rivers and waterways are naturally dynamic systems, and many of their natural values are achieved through their ability to alter their forms and processes over time in response to flow events - often in a potentially unsafe, uncontrolled and unpredictable manner. In order to ensure that diverted river reaches achieve the dual objectives of short-term operational stability and longer term physical equilibrium with surrounding landscapes, alteration of form and process must somehow be understood and incorporated into the design process. However, performance targets for waterways are not always easy to define and assessing what is good and bad in such variable systems can be difficult. This paper discusses the role of the stream diversion from the operational, environmental and regulatory/relinquishment perspectives, and how stream diversions must achieve physical stability in the short-term, but dynamic equilibrium in the long-term.CITATION:Markham, A, 2012. Mine site stream diversions - A balance of competing objectives, in Proceedings Life-of-Mine 2012 , pp 215-218 (The Australasian Institute of Mining and Metallurgy: Melbourne).

Jul 10, 2012

By A Grice

AMC has completed a number of backfill options studies, including several in recent years for large, three-dimensional orebodies involving total extraction by longhole open stoping with backfill. This has led to the development of a thorough review methodology that assists in the selection of the most appropriate backfill system and the most economic mixes to achieve the required performance. A recently developed design tool has simplified the calculation of backfill strengths for various exposure dimensions and automatically determines strengths incrementally over the height of a stope. Using a generic orebody with a plan dimension of 120 m wide by 360 m long, several different stoping layouts have been analysed to determine the effect of stope dimensions and sequencing on backfill strength requirements. This has been done for stope heights from 50 m to 300 m, in 50 m increments. The required strengths have been calculated in slices and summarised for each stope in four equal layers. The average strength requirement for each layout at each stope height has been compared graphically. For all stope heights, a panel stope layout that minimises the proportion of primary stopes results in a lower average strength requirement than grid layouts on a checkerboard pattern. However, for very high stopes, smaller plan dimensions become more economic. The increase in required strength with stope height is non-linear, making taller stopes potentially more attractive. The main cost factor in most backfills is the rate of binder addition, which is closely related to the strength required. By choosing a layout that minimises the backfill strength requirement, significant savings in binder addition rates and overall costs can be achieved. These must, of course, be weighed against other factors to determine the optimum stoping layout and backfill system.

Jan 1, 2000

More and more coal in Australia is extracted by underground mining methods especially by longwall mining. These methods can be particularly sensitive to relatively small-scale structural discontinuities and variations in roof and floor rock character. Traditionally, information on these features has been obtained through drilling. However, this is an expensive process and its relevance is limited to the immediate neighbourhood of the boreholes. The geological uncertainty remains. Seismic surveying, especially by 3D seismic, is an alternative tool for geological structure delineation with growing credibility. In fact, it is one of the most effective geophysical methods available for identification of geological structures such as faults, folds, washouts, seam splits and thickness changes which are normally associated with potential mining hazards. Seismic data even can be used for stratigraphic identification. The information extracted from seismic data then can be integrated into mine planning and design. In this paper, we demonstrate computer aided interpretation techniques for maximising the information from seismic data and illustrate the ability of seismic reflection methods to resolve localised geological features. Both synthetic and real seismic data obtained in recent 2D and 3D seismic surveys from Australian coal mines will be used. Compared with results obtained with drilling programs, the structural definitions from seismic are of unprecedented quality.

Jan 1, 2002

By P Khalkho, M Singh

Rock masses when subjected to uniaxial or triaxial cyclic loading (eg in hydraulic running tunnels, during retrieval and injection of oil and gas from storage underground caverns and haulage roads), the material has a tendency to fail in fatigue. In order to design safe and reliable underground structures, the determination of brittleness under such loading conditions becomes a pre-requisite. Brittleness influences strongly the failure process and makes the rock mass behaviour complex under different tunnelling and mining activities. Brittleness Index is a term to quantify the brittleness feature of a specimen. In the present study, an attempt has been made to quantify the brittleness of jointed specimens using different brittleness criteria. The joints of the model jointed specimens were oriented at an angle of θ=15° normal to the loading direction, each having three different JRC’s=2–4, 12–14 and 14–16. The specimens were tested under triaxial conditions in incremental complete cyclic test scheme performed at displacement-controlled mode. Different brittleness criteria were used ie stress-strain dependent brittleness index, Young Modulus approach and energy-balance based mechanism. It was observed that energy-balance based mechanism which consider the post failure behaviour is more descriptive to reflect the whole variation of brittleness from sheer brittleness to ductility.

Nov 29, 2022

By T QUINLAN

A resource estimate uses data obtained by sampling an orebody. An example is described in which a random drilling pattern did not provide a representative set of assays, and the estimated resource was significantly less than the mine production. It is believed that a better estimate would have been made if the exploration holes had been drilled on a regular grid.

Jan 1, 1992

The Australian Mineral Industry has to compete on world markets, so its mineral research has to be aware of overseas developments, it must be of world class, and it must utilise as many ideas as possible in order to solve those problems that uniquely affect Australian minerals processing. North American mineral and resource research may be taken as a guide to world government, industrial, contract, and entrepreneurial research trends and ideas. A number of interesting findings are noted that may guide Australian developments and strategies for the future, in minerals research and exploitation.

Jan 1, 1986

This paper cites selected, prominent examples of current, major projects in Southern Africa in both the mining and civil fields. Differences and similarities in the life cycle of mining and civil projects are discussed. A closer relationship between the mining and civil fraternities is beginning to develop and should be encouraged because of the resultant exchange of experience and technology which benefits both disciplines. An attempt is made to assess future potential for new, major projects and trends in the implementation thereof.

Jan 1, 1999

By Szwedzicki T

In recent years substantial advances have been made in the field of geomechanics. Staff at the Western Australian School of Mines (WASM) are keen to see that such advances continue and that the mining industry in Australia can take full advantage of such developments in a timely manner. WASM views mining geomechanics in its broadest sense, as being concerned with the characterisation of the physical properties and the behaviour of earth materials (soil, rock and water) and openings as mining proceeds. Aspects such as, soil and rock improvement techniques for difficult site conditions and the rock breaking processes, are also considered to be an integral part of mining geomechanics. This paper indicates the inter-relationships between the various areas within the field of geomechanics and the strong reliance of all of these areas on site specific engineering geology.

Jan 1, 1992

By J Wu

Swirl Flow Technology (SFT), a novel approach for agitation in large industrial slurry tanks, was jointly developed and patented by CSIRO and Queensland Alumina Ltd (QAL). Currently, SFT is used in 16 alumina precipitation tanks at QAL, with the first installation in January 1997. This paper provides insight to the underlying fluid dynamics, which were investigated through pilot-scale experiments. A key finding was that SFT produces tank wall velocities approximately four times that of conventional draft tube agitator systems for the same power input, whilst for solids suspension, much less power is needed. SFT is energy efficient and practical in scaling suppression as demonstrated by the full-scale experience at QAL.

Aug 8, 2011

By S Hapugoda, Y Tang, L Lu

The steel industry is one of the global leading CO2 emitters, accounting for approximately 7 per cent of global anthropogenic CO2 emissions. In 2022, the world produced 1878.5 Mt of crude steel. About 70.8 per cent of the world’s crude steel was produced by integrated steel mills through the blast furnace and basic oxygen furnace (BF-BOF) process, while the remainder was produced largely by mini mills using electrical arc furnaces (EAF). Compared with gas-based DRI and scrap-based EAF processes, the direct CO2 emissions from the BF-BOF process and the coal based DRI and EAF process are significantly more, as both the processes rely heavily on fossil fuels, such as coke and pulverised coal, to provide energy and reduce iron oxides. Hydrogen is very reactive and reduces iron oxides to metallic iron without generating CO2. Therefore, substitution of hydrogen for fossil fuels in these processes presents a good opportunity to significantly decarbonise the steel industry. This paper will first discuss the thermodynamic and kinetic characteristics of hydrogen and carbothermic reductions of iron oxides and then examine the behaviours of different ore types present in Australia iron ores during hydrogen reduction.

Sep 18, 2023

By G K. Robinson

Variations in many aspects of physical and chemical grade are often of concern to mining operations and mineral processing plants. In most circumstances these amounts of variation are predictable. At the time of planning new operations, we should be able to predict the amount of sampling and testing variation which our sampling devices, laboratory procedures and on-stream analysis devices will achieve. We should know how well our stockpiles, reclaimers and bins will homogenise material (or whether segregation will actually increase the amount of variation). We should be able to predict the amounts of variation that will occur on the important time or tonnage scales at the crucial p oints in our proposed operation. And once these amounts of variation are reliably known, mine planning will seem a little bit more like dealing with known knowns rather than like dealing with unknown unknowns.The first step towards quantifying amounts of variation for planned operations is to assess amounts of variation for existing operations. How many operations have estimates of amounts of variation in their databases? How often are people able to partition amounts of variation into amounts due to sampling error, amounts due to sample preparation, amounts due to assaying, and the amount of real variation in the stream of material?CITATION:Robinson, G K, 2012. Making sure that the amount of grade variation is a known known, in Proceedings Project Evaluation 2012 , pp 159-162 (The Australasian Institute of Mining and Metallurgy: Melbourne).

May 24, 2012