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By Q Wang

Net present value (NPV) has been the main criterion in mining project evaluation and production plan optimisation. It is a common practice in NPV calculations to take into account only the tangible cost items in the corporate accounting system. The costs incurred due to damage to the local ecosystem and environment are left out and treated as externalities. Such practice on the one hand underestimates the total cost of a mining operation and, on the other hand, ignores the difference in ecological/environmental impacts between different mine plan alternatives. This paper attempts to measure the ecological costs of mining and to incorporate such costs into the evaluation scheme in mining project evaluation and mine planning. The ecological costs of mining are estimated based on the areas and types of land (eg forest land, grazing land, crop land) damaged by mining activities and the carbon emission from fossil fuel consumption. For the land areas (and their associated ecosystems) directly damaged by mining activities, the ecological costs are measured by the prevention and restoration costs, the lost values of eco-services of the damaged land, including bio-product production, soil erosion control, water run-off control, oxygen release, air pollutant absorption and formation of soil nutrients. The ecological cost of carbon emission from the energy consumption of a mining operation is measured by the cost of cultivating the equivalent forest land required to uptake the emitted carbon. A case study on a large-scale open pit mining project is presented to demonstrate the influence of ecological costs on the mine planning outcome.

Sep 26, 2011

Underground mine planning is characterised by a series of designs, starting with prefeasibility and culminating in operational. Information on the mineralisation and geotechnical conditions is available in increasing levels of detail, as development occurs. In the recently completed AMIRA Planning and Rapid Integrated Mine Optimisation (PRIMO) project, a methodology for producing good strategic and then tactical designs using new optimisation tools, was developed. At the strategic level, fundamental decisions must be made such as those relating to cut-off grade, bench heights, mining methods, access and haulage systems, properties of the mill, etc. The inputs are the block and financial models, geotechnical data, infrastructure and production costs, etc. Stope definition for strategic designs includes bench RLs (relative levels), orebody envelopes, and design and placement of amalgamated or simplified stopes. If multiple mining methods are under consideration, then stopes need to be associated with these. Access design must take into account decisions such as declines versus shafts, a template for level layouts and the topology of the access network. Some of the geotechnical and physical constraints are relaxed for strategic design stages. Strategic scheduling is high level, from a month to a year at a time. In the PRIMO project, software tools have been developed enabling the mine planner to rapidly produce a large number of such strategic designs. After the designs have been evaluated, the highest value designs are chosen and a small number of these can then be further refined at a tactical level. For these designs, the first step is determination of all stopes meeting physical and geotechnical requirements and constraints, allowing for complex stope shapes. Next, detailed layout of the mine access network is obtained, satisfying all operational and geotechnical constraints. Finally, more detailed scheduling is performed, over shorter time periods. The Melbourne University group has focused on optimal access design. In particular, the access network is optimised for minimum cost, taking into account the cost of haulage and development over the lifetime of the mine. Costs vary over the different parts of the network depending on the quantity of haulage and so a weighted network optimisation problem has to be solved. We have developed two software tools for this task, decline optimisation tool (DOT) and planar underground network optimiser (PUNO). DOT produces an optimal network of declines and crosscuts connecting access points on the levels to a portal or break-out point from existing infrastructure. PUNO designs the level layout, including footwall and hanging wall drives, development drives and connections to vent raises. A survey will be given of the capabilities of DOT and PUNO when used on some recent case studies. Our current goals include incorporating some aspects of ventilation design and modelling the development costs when additional ground support is required. This is an abstract only. A full paper was not prepared for this abstract.

Dec 6, 2010

Large mining operations need equipment that consistently performs as expected. The most effective way of ensuring this is to have a defined life cycle with an optimised maintenance strategy. The determination of this life cycle is an economic decision, influenced by the construction and utilisation of the equipment. An effective life cycle costing (LCC) tool must be able to process the many variable factors involved.Many factors influence the costs that are associated with a machine over its life. The most variable of these are the costs of maintaining the equipment. Maintenance costs are dependant not only on the utilisation of the machine, but also on the strategy that has been developed to support the machine through its life. A combination of supplier support, component changes, regular servicing and unscheduled maintenance needs to be modelled, based on a variety of drivers. Traditionally spreadsheets have been used to model these factors, but the increasing complexity of the situation can make spreadsheets unwieldy and difficult to manage. A database solution that breaks each activity into its constituent components, links them to an associated mine plan driver and then aggregates the result is the ideal tool to provide a time based cost profile. The evaluation of a number of scenarios, representing different maintenance strategies/life cycles can be rapidly undertaken. Auditability through inbuilt tools is required to provide easy tracing of data. Use of the host company's account structure allows for reporting against the standard chart of accounts.

Dec 6, 2010

In November 1986 the Australian Minerals and Energy Council (AMEC) endorsed an "Australian Code for Reporting Identified Coal Resources and Reserves" for use by the Federal and all State Governments. Before this endorsement there were six different coal codes in use in Australia. The code is broad in nature to accommodate the wide range of coal deposits in terms of rank, quality and geological environment, that are present in Australia. In the code, Resources refer to all of the coal in situ which may have potential for use and the various categories indicate the level of confidence of the assessment. Reserves are those Resources which are planned to be mined and for which such planning has been undertaken. Only minimum guidelines are set by the code and the onus is on the estimator to state clearly the criteria used in any Assessment.

Jan 1, 1987

Most people are familiar with Euclidean dimensions: zero for a point; one for a line; two for a plane; and three for a volume. Howeverbobjects are not actually Euclidean, but lie somewhere between Euclidean æend-membersÆ with a non-integer fractal (or æfractionalÆ) dimension. The fractal dimension D is a measure of the relative importance of large versus small. Consider the trace of a coastline on a map. It has a fractal dimension (1 =D =2) somewhere between a line (dimension = 1) and a plane (dimension = 2). The more tortuous the coastline, the higher the fractal dimension, and the closer it becomes towards a plane. The concepts of fractals and spatial geometry can be applied to a wide range of geologicaVmining problems as well as than those dealing with space. One commonly quoted fractal relation is the log-log relationship of ore-grade and tonnage. Until recently, we have never been able to define or measure spatial-geometry, but new developments in mathematics have provided a means by which to quantity and apply it to our problems.

Jan 1, 1992

By K L. Brown

In the Waiotapu geothermal area only Champagne Pool, 109 ng/L, and Waiotapu Geyser, 7.6 ng/L, have dissolved Au concentrations greater than 5 ng/L and most springs have concentrations less than 2 ng/L. When Au concentration data are combined with other physico-chemical data from each spring including; pH, reduced sulphur concentration and temperature, the degree of Au saturation can be calculated. All samples sites except Champagne Pool, Waiotapu Geyser and the Artists Palette are under-saturated with respect to Au(s) by 1 to 3 orders of magnitude. This indicates that adsorption or co-precipitation or both are important processes depositing Au beneath hot springs. Deposition of Au by adsorption or co-precipitation beneath hot springs implies that dissolved Au may not have to reach saturation concentrations for ore to deposit. This interpretation is supported by the presence of substantial Au as sub-microscopic components within sulphide minerals in ore deposits and indicates depositional efficiency beyond that possible through precipitation of Au(s).

Jan 1, 2004

By M L. van Kampen

The recent (2005) amendments to the Resource Management Act 1991 have made it clear that there is no obligation on an applicant to consult. However the importance and value in consulting with the community, particularly before commencing a major project, cannot be understated.   This paper looks at the provisions of the Resource Management Act as they relate to consultation and public participation in the process, and will discuss the benefits of consultation both before an application is filed and following the filing of the application. Engaging with the local community can help shape a project to better fit the community, engender support and address opposition. In short, taking the extra step to what is legally required, can help smooth what is potentially a bumpy road. Examples in practice of the value of consultation are given.

Jan 1, 2006

By D Miller, M Dowling, R Domotor

"This paper is focused on blasting activities undertaken as part of the Pacific Highway Upgrade – Tintenbar to Ewingsdale – project (T2E). This is a ‘priority 1’ Pacific Highway road construction project in New South Wales (NSW), to be completed by mid-2015 (weather permitting). T2E will provide approximately 17 km of dual carriageway road starting at the northern end of the Ballina bypass and extending to the Ewingsdale interchange, and will complete the existing dual carriageway road between Ballina and the NSW/Queensland border.Roads and Maritime Services (RMS) (formerly the Roads and Traffic Authority) is delivering the project on behalf of the NSW state and federal governments. In October 2011, RMS awarded a contract to Baulderstone Pty Ltd (now Lend Lease Engineering Pty Ltd – Lend Lease) to design and construct T2E. One of the key elements in this project is the St Helena Tunnel.In order to avoid the steep grades of St Helena Hill, eliminate a well-known accident black spot and maintain the aesthetics of the Byron hinterland escarpment, RMS and Lend Lease prepared designs to construct a 434 m long dual carriageway tunnel, 46 m below the ridge line of St Helena Hill. Lend Lease elected, where geotechnical conditions permitted, to use drill and blast methods to excavate the full tunnel profile, instead of traditional mechanical excavation techniques.Since all blasting locations (both inside and outside the tunnel) were in close proximity to nearby residents, the NSW Department of Planning and Infrastructure imposed strict air blast overpressure (airblast), ground vibration (vibration) limits and limited working hours. Both RMS and Lend Lease recognised that these restrictions meant that nearby residents may be exposed to blasting activities for longer than was necessary. As a result, after close consultation and agreement with the nearby residents, RMS applied successfully to the NSW Department of Planning to increase the airblast and vibration limits, as well as the working hours.Working under these new conditions, Lend Lease employed a range of best practice drill and blast technologies provided by both Orica Australia Pty Ltd and Atlas Copco Mining and Rock Excavation to improve the safety and efficiency of blasting activities and to minimise the potential negative impacts of the blasting works on affected residents. These technologies included: the use of a continuous environmental monitoring system to record the results of the blast events and provide quick and easy reporting to key stakeholders to address RMS specification requirements electronic detonators to enable accurate hole detonation timing for vibration compliance and to give project engineers the flexibility and precision to alter each design to suit the geological profile of each face the use of two software programs and advanced drill rigs to enable the efficient design of blasts, electronic transfer of designs to the drill rigs, as well as in-hole monitoring and recording of drilling performance the use of a specialised bulk emulsion system to deliver fully coupled bulk explosives into face blastholes to maximise fragmentation, and decoupled bulk explosives into perimeter blastholes, to reduce overbreak and deliver a cleaner profile.By taking a progressive approach towards the environmental restrictions and the work hours imposed, as well as utilising best practice blasting techniques, RMS and Lend Lease were able to blast with confidence and achieve their production deadlines and reduce the total cost of the project.Most importantly, RMS and Lend Lease were able to meet their environmental obligations and work constructively with the nearby residents to ensure that the blasting was undertaken as safely and efficiently as possible without delay or negative impact.CITATION:Dowling, M, Domotor, R and Miller, D, 2014. Improving excavation efficiency at the St Helena Tunnel using best practice drill and blast techniques, in Proceedings 15"

Sep 17, 2014

By D J. Brake

The correct specification and then selection of primary or major fans for an underground mine is a critical decision not only in terms of fan capital and operating costs, but also safety and reliability which usually has a major impact on mine production. In addition, fan manufacturers may spend tens of thousands of dollars preparing proposals for a purchase enquiry for primary fans especially where they have complete responsibility for the installation (turnkey projects). There are many good reasons to thoroughly and fairly adjudicate fan tenders. This paper describes the process to achieve this starting with the initial fan specification through to the final award.CITATION:Brake, D J, 2017. Fan specification and tender adjudication for mine ventilation engineers with particular reference to turnkey projects, in Proceedings Australian Mine Vent Conference 2017, pp 245–252 (The Australasian Institute of Mining and Metallurgy: Melbourne).

Aug 28, 2017

By E Christodoulou, L Zoumpoulakis

The kinetics of the thermal decomposition of MgCO3 was investigated using isothermal experiments performed in a thermogravimetric analyzer under a nitrogen atmosphere at 380¦, 400¦, 450¦ and 480¦C. The weight loss data as a function of time were modified to give the fraction that reacted (ß) and the rate of reaction (dß/dt) vs. time (t). Kinetic analysis of the experimental results, using three different methods, showed that diffusion predominates the MgCO3 decomposition over the investigated temperature range, with the data being best fitted by JanderÆs equation ([1−(1−ß)1/3]2=kt). The activation energy was estimated by Arrhenius plots using both the initial reaction rates and rate constants from fitting the above equation. The values estimated were 27.1 and 171.4 kJ/mol respectively.

Jan 1, 2001

The modern resource extraction enterprise is a complex capital intensive business operating in a world of constantly evolving social, environmental and economic scrutiny. Investors, government, media and special interest groups expect to see business environmental and social performance respond and deliver increasing corporate responsibility and sustainability.   Thorough interrogation of business performance using a multi-disciplinary due diligence approach presents a more sophisticated review and benefits beyond the traditional compliance/conformance 'audit' style assessment.   Using a due diligence approach allows assessment through a comprehensive lens which examines potential short- and long-term risks including sometimes less tangible environmental and social liabilities, and informs management, investors and regulators of broader business performance. This approach provides information in a form that business can measure performance in a repeatable and enterprise wide sense.   This paper provides an outline of the due diligence process applied in this way, drawing from lessons learnt and industry based experiences in the due diligence process and the benefits and tools that can  be applied in an environmental and social due diligence business performance assessment

Jun 1, 2010

The development and distribution of gold placers in Otago û Southland is related primarily to the evolution and architecture of three distinctly different drainage networks that developed during and since Gondwana breakup: +        Late-Gondwana û Pre-marine; +        Middle Tertiary Post-marine; and +        Modern. Late Gondwana û Pre-marine drainage was dominantly recti-linear and controlled by normal faults and sedimentary basins formed before or during Gondwana breakup. Placers formed dominantly in 2nd order transverse drainages with primary sources in their catchments. This drainage network was progressively destroyed by inundation and burial by marine strata during Late Cretaceous û Middle Tertiary marine transgression that ultimately covered most of New Zealand. Middle Tertiary Post-marine drainage evolved on and incised the newly emergent low-relief landscape during regional marine regression driven by development of the present plate boundary through South Island. Most of Central Otago was drained into Southland and to the southern coast via a large braided river system with an extensive network of tributaries in its Central Otago reach. East Otago was drained by several smaller systems. Placers formed dominantly in proximal and medial reaches of 1st and 2nd order drainages with primary or pre-existing placers in their catchments. This drainage network was destroyed by inundation and burial of the Central Otago reach of the major system by lacustrine strata following tectonic damning of its middle reach by range uplift and development of a lake complex that covered >5000km2 of Central Otago. The Modern drainage network evolved from the Middle Tertiary network through complex response, firstly to uplift of NW-trending and NE-trending ranges throughout the region since the Late Miocene, and secondly to the effects of major Pleistocene glacial advances in West Otago. Placers formed in alluvial fans at range margins, proximal and medial pre-glacial fluvial systems and glacial outwash sequences. Evolution of each of these drainage networks has been accompanied by widespread sedimentary recycling of alluvial gold from older to younger placers, augmented locally by input of first-cycle gold derived from erosion of primary sources in the repeatedly exhumed basement rocks.

Jan 1, 2006

For the past 3 years Waihi as a community has been actively engaged in consultation about its future with regard to the environmental, cultural, economic and social viability. This has been made possible through the implementation of the Waihi Community Vision (WCV) process which bought together a diverse range of people and interests.   Through their collaboration and collective energies, they produced a montage of possibilities for the future of Waihi, known as the 2020 Vision. A proceeding evaluation process was adopted by the group to enable the myriad of projects to be assessed and prioritised in terms of the communityÆs social, economic, cultural, environmental and spiritual values.   From this came the desire to be involved in the implementation of these ideas and create an organisation that could facilitate the successful manifestation of the 2020 Vision and other suitable projects.   The Vision Waihi Trust (VWT) was formed in February 2006 and is intended to be a tool through which the community can address issues about its future sustainability. They will work collaboratively with community groups, Hauraki District Council and Newmont Waihi Gold to develop and implement innovative and practical solutions. It should be acknowledged that such outcomes are subject to influence by both external and internal factors and it is important to consider this when looking at sustainability issues.   Waihi is now at a very interesting stage of its development and has the opportunity to proactively design and implement plans to determine its future rather than just let things evolve. A town with a strong sense of its roots and with a strong community identity may be a more attractive as a place live and work. There are additional business opportunities which may also be stimulated by a community that takes charge of its own destiny.   The process that has been worked through over the past three years gives a solid foundation on which to build and must be viewed as positive community development. Waihi certainly has a unique proposition to take to the marketplace, based on its rich gold mining heritage and current modern day mining operations. This requires investigation, refinement and implementation and Vision Waihi Trust looks forward to building to a vibrant and prosperous Waihi in the years to come.

Jan 1, 2006

By I Thomson, L D. Black, R G. Boutilier

The social license to operate (SLO) began as a metaphor for the ability of communities to stop mining projects. Soon people began to speak of levels of social license and the ability of communities to raise costs without completely stopping exploration or mining activities. Today the concept has spread to other industries and is evolving towards becoming a general management perspective on the socio-political rights and responsibilities of the corporation. The business case underpinning the SLO perspective on management is the need to assess and manage socio-political risk. For mining companies, socio-political risk has been steadily rising for several reasons, including the efforts of non-government organisations (NGOs) to pre-empt government policy options; the entry of mining companies into jurisdictions weak in the rule of law; and the weakness of global economic and financial regulation. In this perilous world beyond the comfort zone of effective government, mining companies must build their own socio-political stability by engaging directly with stakeholders to develop a strong SLO. In order to become a practical management perspective, the SLO needs to be measurable, which amounts to measuring the socio-political risks and opportunities presented by stakeholders. We present the results of efforts since 2009 to develop a globally reliable and valid measurement tool at the project and industry levels, validated in studies in Australia, Bolivia, Mexico and the USA. A factor analysis suggested four factors that mine management can address to raise their SLO level. The most chronically neglected factor involves the political right of the corporation to foster more equitable social contracts locally and regionally in both developed and developing countries. We conclude with recommended steps to earn and maintain the social license at the project and industry levels.CITATION:Boutilier, R G, Black, L D and Thomson, I, 2012. From metaphor to management tool - How the social license to operate can stabilise the socio-political environment for business, in Proceedings International Mine Management 2012, pp 227-238 (The Australasian Institute of Mining and Metallurgy: Melbourne).

Nov 20, 2012

By J E. Everett, D Linden, P Maney

In response to the implementation of a new schedule for iron ore fines in the International Maritime OrganizationÆs (IMO) International Maritime Solid Bulk Cargoes (IMSBC) Code, improved measures for the management of moisture have been developed. In particular, prediction of cargo moisture allows management of iron ore fines within the supply?chain to facilitate the safe?shipping of iron ore fines.An ARIMA model, augmented to allow for shipment tonnage, has been developed to predict the moisture level from previous shipments of the same product. The model explains about 60 per cent of the moisture variance. It was found that inclusion of other available information, such as ore composition, train/rake assays and recent rainfall at port and mine, did not add to the predictive power of the model.CITATION:Everett, J E, Linden, D and Maney, P, 2013. Predicting iron ore fines shipment moisture, in Proceedings Iron Ore 2013 , pp 17-26 (The Australasian Institute of Mining and Metallurgy: Melbourne).

Aug 12, 2013

The increased cost of imported oil fuels, coupled with our understandable reluctance to commit ourselves to the use of nuclear energy, has resulted in a renewed reliance on coal as a primary source of energy. New Zealand is fortunate in being fairly well endowed in its coal resources, but their exploitation until now, has been on a relatively small scale. Future exploitation, whether from underground or open cast mines, must be on a very much larger scale. This paper outlines some of the factors which should be considered in planning large open cast mines.

Jan 1, 1976

Technology is playing an increasingly large role in the operations of our mines. There is a temptation to regard the implementation of technological systems as the objective itself when, in reality, systems are used to support a business process. Only when the process succeeds will the systems be seen to succeed. Understanding the distinction between system and process is critical. This understanding, together with the resultant holistic approach, is considered to be critical to successful implementation and operation of Mine Control process. This paper examines the critical factors essential to success in establishing and sustaining a Mine Control process that maximises benefits to an operation. These factors have been developed during the author's experience of nearly 30 years in Mine Control projects across over 50 sites. Each factor is discussed in relation to real world examples at well-known mines.

May 1, 2010

Solid Energy New Zealand Limited owns and operates the Ohai coal field (Wairaki Coal Mining Licence, CML) in western Southland. The Morley Stream passes directly through the middle of the CML and has required diversion in the past to enable open cast mining to proceed. Solid Energy is evaluating two new open cast pits at Ohai. Commissioning these new pits would necessitate further diversion of the Morley Stream. One of these potential new mines is adjacent to an abandoned State Coal Mines (State Coal) pit and there is an opportunity to substantially rehabilitate this old pit as a corollary to the new mine and the stream diversion project.   Past Morley Stream diversions were undertaken by State Coal and so they predated the Resource Management Act 1991 and the degree of community environmental awareness and involvement that has become the norm these days. Not surprisingly the design and construction of the historic stream diversions was based purely upon mining (operational) and engineering considerations. This led to the stream being diverted in a manner that achieved the clinical conveyance of design volumes of water from points A and B.   Solid Energy realised that the proposed new diversions need to adopt more holistic and environmentally sustainable design principles while also including appropriate mining and engineering constraints. This project involved the design of a 1.7 km diversion of the Morley Stream (median flow of about 1000 litres/second) that would enable progressive prestripping and development of the new mines and would also address final rehabilitation (of the stream), geotechnical risks, hydrological and ecological issues. To address all of these factors the project required a multidisciplinary approach. Moreover, it required a clear understanding of how the mining operational constraints could be integrated with the environmental considerations. A significant aspect of the project was how to take account of fishery instream habitat needs, the resource consent requirements and most of all, the involvement of key stakeholders such as the Fish & Game Council, Department of Conservation, the Iwi and local community in the design process. This was achieved through coordinated consultation and stakeholder involvement in a technical design workshop.

Jan 1, 2005

This paper describes a mine truck hauling process called "Truck Jigging" which is currently the subject of a process patent application.The investigation explores the production and cost advantages of using the potential energy available in a descending haul truck to assist in elevating an ascending vehicle. Applications are studied for both strip cut mines and open pit operations. Various mechanical connections between the two vehicles are considered, based on a pulley mounted rope system. Fifteen year operating cost estimates show savings of up to 26.5 percent over conventional mine truck operations.

Jan 1, 1989

By S Jahanshahi, D R. Swinbourne

A knowledge of the value of the activity coefficient of cobalt oxide in slag as a function of composition and temperature is necessary if effective strategies are to be devised to maximise the recovery of cobalt in nonferrous smelting processes. This work reviews previous studies and shows that comparison and evaluation of the results is hampered by variations in the choice of standard states for the species. Published results have been recalculated to a common set of standard states with a preferred value for the Gibbs free energy of formation of cobalt oxide. It has been shown that the value of the activity coefficient of cobalt oxide referred to the solid standard state in iron silicate slags is approximately two, at temperatures from 1523 to 1623¦K. It is suggested that some contradictory results are most likely due to errors in the measured partial pressure of oxygen.

Jan 1, 1998