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By J. Githiria, C. Musingwini

"Cut-off grade is a decision-making criterion often used for determining the quantities of material (ore and waste) to be mined, ore processed, and saleable product. It therefore directly affects the cash flows from a mining operation and the net present value (NPV) of a mining project. A series of different cut-off grades that are applied over the life of mine (LOM) of an operation defines a cut-off grade policy. Due to the complexity of the calculation process, previous work on cut-off grade calculation has mostly focused on deterministic approaches. However, deterministic approaches fail to capture the uncertainty inherent in input parameters such as commodity price and grade-tonnage distribution. This paper presents a stochastic cut-off grade optimization model that extends Lane’s deterministic theory for calculating optimal cut-off grades over the LOM. The model, code-named ‘NPVMining’, uses realistic grade-tonnage realizations and commodity price distribution to account for uncertainty. NPVMining was applied to a gold mine case study and produced an NPV ranging between 7% and 186% higher than NPVs from deterministic approaches, thus demonstrating improved project value from using stochastic optimization approaches. Background on cut-off grade calculation and optimizationCut-off grade is a decision-making criterion that is generally used in mining to distinguish ore from waste material. Consequently, it is used to determine the quantities of material (ore and waste) to be mined, ore processed, and saleable product. A series of different cutoff grades that are applied over the life-ofmine (LOM) of a mining operation defines the cut-off grade policy for that particular operation. The cut-off grade therefore directly affects the cash flows to be produced and the net present value (NPV) of a project at the mine planning or feasibility study stage."

Mar 1, 2019

By A. Hinde, M. H. Moys

Tailings from metallurgical plants, when deslimed with hydrocyclones, provide a valuable source of material for the backfilling of mines. The effectiveness of this material as a support medium is a sensitive function of its particle- size distribution and water content. It is therefore important that the hydrocyclone-classification plants used to prepare the backfill are operated efficiently, and that the effects of feed disturbances on the composition of the backfil are minimized. This paper addresses the problem of the design, control, and optimization of classification plants to satisfy this need. The development of a computer program to simulate the dynamic behaviour of a hydrocyclone circuit of any given configuration is described. The use of the simulator to investigate the relative performance of conventional and innovative control strategies for single-stage and two-stage circuits is discussed in depth. The results of simulation studies are presented that indicate there is considerable scope for improving the performance and cost-effectiveness of backfill-classification plants.

Jan 1, 1991

By P. A. P. Fouché

Processing confidence for a bankable feasibility study on a green field heavy mineral deposit is inmost cases achieved only through bulk sample processing. Bulk sample is classified as a large enough concentrate sample that is processed into final products to satisfy market sample demand as well as further processing demands such as smelting. In this case study the demand was to produce 500 tons of heavy mineral concentrate from more than 5 000 tons run-of-mine on are mote location with limited to no infrastructure. The various challenges faced and lessons learned are documented as an outcome of the success of this mission.

Jan 1, 2007

By R. M. G. Machunter

The dynamic behaviour of plant circuits and the available instrumentation determine the control strategies that are appropriate for the duty of the mineral separation plant. Although steady state modelling is appropriate to provide the main requirements of grade and throughput capability of a plant, it is the dynamic characteristics that determine the tolerance of the plant to disturbances and also its controller ability. This paper explores these issues with respect to the additional use of dynamic modelling to achieve these objectives.

Jan 1, 2007

By S. A. Abdel Sabour

Strategic decisions in the mining industry are made under multiple technical and market uncertainties. Therefore, to reach the best possible decision, based on information available, it is necessary to integrate uncertainty about the input variables and model financial risk of the project?s merit measures. However, this provides few useful insights to decision-makers unless accompanied by modelling management responses to uncertainty resolutions. It is widely acknowledged that conventional decision-support methods based on static, no-change, discounted cash flow (DCF) techniques such as net present value (NPV) and internal rate of return (IRR) tend to provide inaccurate value estimates. This could mislead the strategic decision-making process and result in significant value losses. This paper aims to model financial risk related to uncertainty about market variables such as metal prices and foreign exchange rates. Other sources of risk that are related, for example, to geology and production costs are not considered in this work. The article outlines a flexible financial model that integrates uncertainty about market variables and management flexibility to react to uncertainty resolutions into mine project valuation using a real-options valuation technique based on Monte Carlo simulation. Significance of information generated from this simulation-based flexible valuation model to the strategic decision-making process is tested using an illustrative case study of a Canadian mining project. The project is a typical multi-metal, open pit mine that produces copper and gold. In this case, there are three uncertain market variables, which are: copper and gold prices and US$/CAN$ exchange rate. Financial valuations are carried out using both the conventional static DCF method and a flexible real-options model. In the flexible model, management flexibility to decide whether to go ahead with the next expansion or terminate production operations is integrated. Results show how the flexible financial model can enhance the decision-making process.

Jan 1, 2009

By K. -J. Shou

A special three-dimensional boundary element method has been developed for the simulation of the development of fracture zone in rock mass. This approach comprises a boundary element method and a three-dimensional tessellation mesh generator. By using the tessellation generator, a set of pre-defined potential fractures is defined, and the fractures activate when the failure criterion is exceeded. This approach is justified by the reproduction of features observed in laboratory simulations of fracturing in blocks of rock subjected to compression. An attempt is then made to explain some of the attributes of fracture zone surrounding underground openings. Eine spezielle drei-Dimesionen Grenze Element Methode ist entwickelt zu simulieren die Entwicklung der Fraktur Zone in der Steinmasse. Diese Untersuchung benutzt eine Grenze Element Methode und ein drei-Dimensionen tessellation Masche Generator. Durch das Benutzen des Tessellation Generator, ein Satz der vor-bestimmt potentielle Fraktur ist festgelegt. Die Fraktur wird betaetigen, wenn das gescheiterte Kriterium ist uebersteigt und sind in dem Verscheiben-Abbrechen Element eingeschlossen. Diese Untersuchung ist von der Reproduktion der Fraktur justiert, die ins Labor beobachtet wird, um die Fraktur in der von der Kompression unterworfenen Steine zu simulieren. Ein Versuch ist gemacht, um einige Eigenschaften der Fraktur Zone um die untertageoeffnung zu erklaeren. Une méthode tridimensionelle spéciale de élément frontière a été dévélopée pour la simulation du dévélopment d’une zone fracturée dans la massive roche. Cette approche comprend une méthode de élément frontière et un générateur de maillage de la mosaïque tridimensionelle. En utilisant le générateur de mosaïque, une série des fractures potentielles predéfinies est définie avec d’une procédure de la triangulation de Delaunay. Les fractures activent lorsque le critère de rupture est dépassé et sont inclues dans les éléments du déplacement discontinuité. Cette approche est justifiée par la reproduction des caractéristiques observées dans le laboratoire, les simulations des blocs de roche fracturé et sujetés en compression. La tentative est alors fait pour expliquer quelques arttributs d’une zone fracturée alentours les ouvrages soustérrains.

Jan 1, 2003

By C. R. Speers, M. I. Forsyth

The paper describes how stress analyses were used to show the defect of a tunnel's shape on the overstressing potential of its periphery. The best profile was found to be that of a horizontal ellipse, for which there was little significant scaling, permitting temporary support to be incorporated into a permanent tunnel support system. This investigation was followed by the modeling of several support systems for tunnels with a horizontal-ellipse profile, which showed that such a profile can reduce the installed support required for a tunnel of different cross section by an average of 57 per cent.

Jan 1, 1994

By D. W. Boydell, E. B. Viljoen

A flowsheet incorporating rotary-drum filtration for the solid-liquid separation step, followed by solvent extraction for uranium purification, is used as a standard against which four flowsheets are compared. These flowsheets employ either counter current decantation or belt filtration for solid-liquid separation, and either solvent extraction or continuous ion exchange plus solvent extraction for the purification step. Sales revenue, taxation, capital expenditure, and operating costs are estimated. These factors are taken into account in the calculation of an incremental net present value for each circuit by the discounting of cash flows at 25 per cent per year over a projected life of 15 years. For the material used in these examples, the highest net present value results from the circuit that employs belt filtration followed by continuous ion exchange and solvent extraction.

Jan 1, 1978

By V. M. Lovell, N. P. Finkelstein

The concepts involved in flotation research are discussed and aims are presented. Three different methods of investigation can be used, all of which are applied at the National Institute for Metallurgy (N.I.M.), and these are the empirical, trial and error method, the chemical engineering method, and the physicochemical approaches. This paper is devoted to the last of these. Because of the complexity of the physicochemical interactions involved, the work has, to a large extent, been concentrated on only one aspect, viz. the interaction between the mineral surface and reagents in solution, which was considered of major importance in the understanding of the process. The aspects on which work has been done are the concentration of uranium, the reaction between salt minerals and fatty acids, mixed xanthate-cationic collector systems, and the reaction between sulphide minerals and thiol reagents. Selected problems from the first two of these are discussed in some detail and deal with the agglomeration flotation of uranium and the chemical control of the flotation process for phoscorite. A detailed discussion is also presented of the progress made in the understanding of the interaction between sulphide minerals and thiol reagents, which is of more general application. Finally, an indication is given of the future direction of physicochemical research at the N.I.M.

By J. R. de Wet

The Skorpion Zinc Project demonstrated the viability of the production of zinc from non-sulphide (commonly called ?zinc-oxide?) ores, using the leach/solvent extraction/electrowinning process route. The success of Skorpion raised the profile of a number of other zinc oxide deposits, considered to be similar. However, a study of three such deposits demonstrates that the application of whole-ore-leaching may be limited and that the concentration of zinc, or at least the separation from acid-consuming gangue minerals, prior to leaching is essential to the successful recovery of zinc from these deposits. The recovery of zinc is dependent on an understanding of the geology of the deposit, the mineralogical association of zinc minerals with gangue minerals (Boni, 2005) and limitations of mining practice. Flowsheet development and the associated metallurgical testwork to derive an economically viable treatment route from two of these deposits are discussed. Key parameters affecting zinc recovery by gravity separation and flotation are presented, demonstrating that even minor differences in mineralogy have a profound impact on zinc recovery and reagent consumption. The study also deals with the determination of appropriate design parameters through metallurgical mapping of the dense media separation process.

Jan 1, 2008

By P. J. How, T. O. Hagan, M. F. Handley

Inelastic deformation of highly stressed rock in deep mines needs to be quantified in both time and space. Since most deformation occurs by shear, continuous monitoring of discontinuities in the rock from boreholes holds promise. The casing. Al interpretations of shear movements are based on a simple relation between shear displacement and the resulting change in tilt of the sensor. A prototype has been constructed and has undergone laboratory trials with satisfactory results. Underground trials will commence shortly. The instrument as designed has the potential for other applications, both in the civil-engineering and mining industries. paper describes an instrument that is both cheap and reliable, and capable of monitoring such shear movements continuously. The principle of operation is based on two capacitive gravity sensors mounted orthogonaly to each other in a sealed aluminum

Jan 1, 1988

By N. A. Barcza

An investigation was conducted into the reactions between the slag system MnO-CaO-MgO-SiO2(AI2O3) and the alloy system Mn-Fe-Si-(C). Synthetic slags representative of plant melts and a plant alloy were reacted in alumina crucibles at temperatures of 1400°C, 1450°C, 1550°C, and 1600°C. In similar experiments, slags were used that comprised a South African manganese ore with various amounts of lime and several synthetic alloys with various silicon contents and manganese-to-iron ratios. These experiments were conducted in a vertical molybdenum-wound resistance furnace with full temperature control. Slag-to-alloy ratios were also varied during the tests. The rate of reduction of Mn.O3 and the MnO from the slag by the silicon in the alloy was extremely rapid, most of the reaction being completed within five minutes. The strongly exothermic nature of the reaction resulted in considerable generation of heat at the slag-alloy interface, causing convectional stirring of the contents of the crucible and promoting the rate of reaction. Equilibrium was usually attained after fifteen minutes. The major limitation governing the recovery of manganese is the need for the silicon content of the alloy to meet a maximum specification of 2 per cent. Higher concentrations of silicon in the final alloy of between 8 and 12 per cent favour good recoveries of manganese from the slag, but, since such an alloy is not salable, lower recoveries must apparently be tolerated. In alloys of 2 per cent silicon, low activities of the silicon are responsible for poor recoveries of manganese. The activity of MnO in the slag can be increased by moderate additions of CaO and small amounts of MgO, i.e., by an increase in the basicity of the slag.

Jan 1, 1979

By D. F. Williams

The modelling, simulation, and design of processes for the recovery of gold from solution by absorption on carbon require the combination of a suitable rate expression with a description of the flow conflguration of the system. By the use of a suitable rate expression from the literature, methods are presented for the design of multi-stage countercurrent absorption systems corresponding to the commonly used carbon-in-pulp and carbon-in-column contacting systems. The sensitivity of the recovery to various design parameters is illustrated. These results have important implications in the choice and design of equipment.

Jan 1, 1985

The rising tide of environmentalism has adversely affected many mineral producers, but it has also provided them with a number of opportunities for mineral applications. These markets are as diverse as water treatment, waste disposal, and flue-gas desulphurization. Whilst legislation is forcing up the industry's environmental standards, the advent of environmental management provides an opportunity for producers to display its 'green' credentials. The picture painted of the extractive industry by environmentalists is undeservedly black, because the more efficient a producer is, the more effectively that producer conserves the very resources he exploits. The 1993 IM Forum examined these issues and how they affect the mineral producer, and this publication comprises the papers presented at that meeting.

Jan 1, 1995

Contribution by W. Assibey-Bonsu I congratulate Mr N.O. Lotter on his paper. There are two main aspects of the paper on which I would like to comment. One aspect is his review of P. Gy's sampling theory under the heading 'Sampling the mill feed' (p. 153). The other aspect relates to his reference to one of our papers1 that was published in the Journal (p. 152). My comments on the former will be given elsewhere'. Authors' reply: Dr Assibey-Bonsu's contribution to the subject is appreciated.

Jan 1, 1996

By B. A. Dukas

The diamond-drilling machine has for many years been the most important exploration tool In the search for and subsequent evaluation of Witwatersrand-type ore deposits. With a view to increasing the range of services that can be provided and, at the same time, counteracting rising drilling costs, new techniques are continuously being developed. Many of these techniques have equal application in surface and in underground exploration. This paper reviews drilling techniques such as non-coring pilot holes and deep wire-line drilling, as well as the design of core-barrels and drilling bits to cater for the specific nature of the job on hand. Special drilling fluids and aluminium rods to assist in normal drilling operations are also discussed. Special mention is made of a bore hole's natural tendency to deviate in a certain direction. The factors that cause deviation are used to the advantage of controlled drilling techniques.

Jan 1, 1983

"Chairman: Professor E. P. PFLEIDER Rapporteur: Mr P. R. JANISCHPapers:Optimum design of an open pit by D. A. PhillipsAn open pit design system for stratiform ore bodies by L. A. J. Pronk van Hoogeveen, J. R. Cutland and M. WeirAn open pit design model by R. H. Robinson and N. B. PrennThe Chairman in opening the session highlighted the current situation in the United States of America where some 85 to 90 per cent of all mining (except for coal) is done by open pit methods, and where some 40 per cent of the coal is mined by open pit. The South African industry is, of course, dominated by the deeper level underground gold mines; however, with the aid of an extensive open-pit technology developed in other countries, South African companies arc continuing to explore possibilities of open-pit exploitation of base mineral, coal and diamond deposits. Several successful ventures are already in operation at Phalabora, Optimum Colliery, Kimberley and elsewhere, and South Africa is undoubtedly benefitting in this regard by drawing on the experience of others.The papers of this session were therefore particularly pertinent, particularly when viewed in conjunction with those presented at an earlier South African conference devoted specifically to open pit mining.Two themes dominated the discussion which followed presentation of the three papers at this session. The first related to the practicability of using the reported techniques as a tool for management, and their acceptability as such to mine management. This was, of course, not peculiar to this particular session, but rather the major point of debate over the entire conference.The second theme concerned the reliability of the initial drill hole data on which any open-pit design must necessarily be based. This gave added emphasis to the problem of practicability, for no management is likely to accept an elaborate pit design unless confidence can be placed in the ore reserve assessment.In noting these two features of the discussion, it should be remembered that all the three papers dealt largely with design and pre-planning; there was an unfortunate lack of papers or discussion on the subject of controlling the day-to-day mining of open pits, and this is an area where the potential impact which can be made by the computer is even greater.In introducing his paper, Mr D. A. Phillips pointed out that it was concerned only with optimization, and that it therefore assumed, firstly, an adequate subdivision of the orebody into ore blocks characterized by grade, rock type, structure, etc., and, secondly, an acceptable forecast of costs and mineral prices in order to generate a suitable profit matrix. However, programs dealing with these problems for both massive, disseminated and stratiform ore bodies are available to Roan Consolidated Mines. The method of optimization which he had described had been used on a region split into 28 000 blocks, for which the program used three hours of C.P.U. time on an IBM 360/40 computer. The computer design had provided a three per cent improve¬ment on a normal design of the same area."

Jan 1, 2014

With a number of new mines at the feasibility stage and beyond and with several pellet capacity expansions well underway to reduce sintering activity, Alex Broad looks at the impact of worldwide environmental legislation on the iron ore industry. 'Environmental impact assessment' has become something of a buzz term in the metals and mining industry over the last few years and is sure to be an integral part of any green or brown-field project worldwide by the turn of the century, if it is not already. Given the number of iron ore projects springing up, most notably in deposit-blessed Australia, it is not surprising that the subject of environmental approval has been raising its green head. At the very least the process can slow down a new mine project, or at worst have it deemed unfeasible but in general a government is unlikely to put up unnecessary barriers to a project with the beneficial financial implications of an iron ore deposit.

Jan 1, 1996

By M. T. G. Davis, J. V. Cleasby, H. J. Wright

Mining practice in the Kimberley Division of De Beers Consolidated Mines Limited by J. V. CLEASBY. B.Sc.. A.R.S.M. (Fellow). H. J. WRIGHT. B.Se.. M.Sc.. (Fellow). And M. T. G. DAVIES. B.Sc. (Visitor) T his paper highlights the changes that are taking place at De Beers Consolidated Mines Limited in mining methods, mechanization, and employment practices. De Beers has four underground mines in Kimberley itself (Dutoitspan, Bultfontein, De Beers, and Wesselton), and two open-cast mines outside Kimberley (Finsch and Koffiefontein). Emphasis is placed on the new method envisaged for Koffiefontein when it becomes an underground mine. The paper also includes notes on chemical drilling and on winding practices.

Jan 12, 1975

By B. K. Loveday

The use of large flotation machines is well established, resulting in substantial savings in both capital and operating costs. Therefore, when a new plant is designed, laboratory and pilot-plant tests should be used to simulate large flotation cells, or appropriate scale-up factors should be employed. 'Conference on titanium The Fifth International Conference on Titanium will be held from 10th to 14th September, 1984, in Munich, West Germany, organized by the Deutsche Gesellschaft fur Metallkunde e.V., in association with the American Society for Metals, Societe Francaise de Metallurgie, The Academie of Sciences U.S.S.R., The Japan Institute of Metals, The Metallurgical Society of A.I.M.E., and The Metals Society.

Jan 1, 1983