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By Wayne W. Murdy

Since 1993, Newmont has been actively growing through the development of three major foreign mining operations with a fourth under construction. The first project, Yanacocha in Peru began operating in October 1993 at a time when political and business risk in that country was considered high. In 1995, Newmont began operating the Muruntau Joint Venture in Uzbekistan, the first of its kind in the CIS. In early 1996, Newmont started operating the Minahasa mine in Indonesia. Now, in early 1997, Newmont is undertaking the construction of a $1.9 billion project in Indonesia and is completing a feasibility study with our partner for the development of a gold operation in Mexico. All of these projects have been considered "risky" by most standards, and Newmont has been very successful in all of them through risk mitigation programs including utilizing strong and successful in-country partners, concentrating on developing a strong national workforce with minimal expatriate employees, utilizing World Bank, EBRD and IFC financing and building and maintaining strong ties with host governments. This paper describes in more detail, some of the risk mitigation programs that Newmont has used to successfully grow the company through development of major foreign mining operations.

Jan 1, 1997

By Jacob L. Mathis, Todd Tharpe, Jonathan Steflik, R. M. True

In June 2022, Louisville MSD completed a 6.5 km (4-mile), 6.1 m (20-foot) finisheddiameter CSO conveyance and storage tunnel system located along the Ohio River in downtown Louisville, Kentucky. During construction, the Ohio River Tunnel alignment was expanded 2.4 km (1.5 miles) into areas where natural gas was detected. Without delaying construction, the project team developed and implemented a natural gas risk mitigation strategy to safely excavate the tunnel via TBM and install concrete lining. The risk mitigation strategy included the installation of gas-vent borings, increased tunnel ventilation, retrofitting tunneling equipment for “gassy” operations, and modifying the project specific HASP.

Jun 13, 2023

Anglo Platinum commenced commercial underground borehole radar (BHR) surveys during 2006 following a series of trial surveys using both the ?slimline? Geomole and Aardwolf systems. Current borehole radar systems comprise radio frequency transmitter ? receiver antennae operating at 30 -100MHz that measure the time taken for a transmitted pulse to traverse a rock volume and be received (Fig 1). The time taken can be converted to distance if the transmission speed of the pulse through the rock volume is known. The transmitted pulse may be reflected off a suitably orientated geological reflector (in reflection mode) or may be recorded in receivers located in other boreholes (cross-hole tomographic mode). In the Bushveld Complex lithologies, these radar systems have ranges of 30-50 metres in reflection mode depending on the electrical properties of local stratigraphic units. Both the Merensky Reef (MR) and the underlying UG2 have been shown to act as reflectors, which offer the opportunity of using BHR as an imaging or mapping tool. Reflection of the radar signal occurs wherever a strong contrast in dielectric constants occurs such as between norite and harzburgite or where chromitite stringers are present. [ ] Fig 1 Main elements of a borehole radar system Much experience has been gained in the practical application of BHR surveys in platinum mining. The value of a BHR survey is that it provides a continuous line of information to ?connect the dots? rather than a few discrete pierce points. BHR surveys can be used to mitigate risk in three crucial areas: ? Mine planning at the strategic as well as tactical level ? geotechnical evaluation of proposed shaft sites, detailed profiling or mapping of reef and disruptions of the reef such as faults, rolls and potholes; ? Mineral resource classification ? identification of structural discontinuities in orebodies affecting resource classification e.g. potholes and reef facies; ? Safety ? identifying areas with poor ground conditions that are often associated with faults, dykes and potholes.

Jan 1, 2007

By Mark Maday

As part of the I-94 North-South Corridor reconstruction program, the Wisconsin Department of Transportation (department) is reconstructing the Mitchell Interchange in Milwaukee, Wisconsin. Located on the south side of Milwaukee near Mitchell International Airport, The Mitchell Interchange interconnects I-94, I-43 and I-894. Reconstruction began in 2009 with the letting of the first advance contract for local crossroad bridge reconstruction. A second advance contract for construction of collector-distributer roads on each side of the I-94 mainline was completed in 2010. The main contract involving reconstruction of the core of the Mitchell Interchange was let in the summer of 2010, and is scheduled to be completed by the end of 2012. The core contract includes construction of three cut and cover tunnels along two system interchange ramps. Construction of the three tunnel structures is on the critical construction path. The contract includes an interim contract completion date that requires the tunnels to be open to traffic by the end of 2011. A top down method of construction using drilled shaft secant piles for the sidewalls of the cut and cover tunnel structures was selected as the preferred structure type to address subsurface and construction schedule challenges. The department identified in pre bid coordination that no cost reduction incentives would be reviewed or accepted for changes in tunnel wall type. A major component of the tunnel structures requires the installation of 1,500, 4-foot diameter secant piles. This paper presents mitigation strategies to manage construction risks associated with the installation of the secant piles including; prequalification of the secant pile subcontractors, requirement for use of full depth temporary casing, a site specific quality control plan, specifying drilling equipment, and developing a geotechnical baseline report for this critical component of the Mitchell Interchange reconstruction project.

Jan 1, 2011

By P. Sander, M. Spiegl, J. Reilly, A. Van Droogenbroeck

Although the outdated idea of calculating risk as the deterministic product of its likelihood and impact is not entirely a thing of the past, a multitude of organizations have adopted the usage of probabilistic methods for risk analysis, as they better reflect the inherent uncertainty of cost and risk estimates with ranges. But are these advancements sufficient in a complex environment such as tunnelling projects, where inadequate modelling of cost and risk can result in estimate discrepancies that run into millions of dollars? This paper explores two advanced probabilistic modelling techniques for tunnelling projects. The first one demonstrates how the cost and schedule uncertainty related to changes in excavation and support classes can be modelled with correlated variables. The second example models the risk related to explosive ordnance clearance on construction sites using a probabilistic event tree.

Dec 1, 2022

By David J. Hatem

Tunnels and underground projects are inherently more risky than vertical projects, which typically utilize more conventional design and construction approaches and are undertaken in the context of relatively ascertained and defined conditions. On tunnel and under-ground projects, there are a host of special risk factors, including unknowns and uncertainties as to the physical and behavioral characteristics of the ground, the inextricable interdependence and necessary interaction of design decisions and construction means and methods with those ground conditions as well as the manner in which risks are allocated among project participants for un-anticipated subsurface conditions. Public-private partnerships (PPP) projects, in their own respects (and independent of any major subsurface component), pose significant risk for all private sector participants. The main driver of owners to procure projects using PPP is financial, as often all, or substantially all, of the design and construction risk are transferred to the private sector consortium, including the design-build (D-B) team. For a concerning number of those public owners, that risk transfer regime includes rather onerous and aggressive contractual terms that allocate to the private sector participants substantially all risks associated with the encountering of unanticipated subsurface conditions. These aggressive risk allocation provisions, while directly impacting project participants upstream of the consulting engineer, have an indirect and corresponding risk intensifying effect upon consulting engineer professional liability exposure. There are many factors that result in increased professional liability exposure for consulting engineers involved in PPP projects. The more prominent and prevalent of those factors fall into the following categories:

By Samuel Frimpong

Green house gases have become a major concern within the international community over the last two decades due to their potential link to global warming. Carbon dioxide (CO2) is the principal greenhouse gas. In the Kyoto Agreement, Canada has committed to reduce emissions by 6 % below 1990 levels by 2012. This presents a serious economic challenge to Canada and Alberta. Over the next decade, oil sands production expansion, population and industry growth and energy demand will increase CO2 emissions. Current and future CO2 emissions and their economic implications in Alberta will be critical in formulating a comprehensive and balanced policy for dealing with concerns in this area. Disposal of carbon dioxide (CO2) in land aquifers is a potentially viable option for Alberta in dealing with long-term CO2 emissions. Studies have confirmed the existence of appropriate aquifers in the Alberta Basin for CO2 storage over a long geological period. Carbon dioxide is an ideal candidate for aquifer disposal because of its high density and solubility in water at relatively high pressures. In this study, the authors develop a computer simulation model of a scaled aquifer disposal system. The scaled model consists of an injector well, aquifer environment with dominant Ca++ and Mg++ cations. Liquefied CO2 is injected at an appropriate pressure and concentration through an injector well model. The injected CO2 migrates from the point of contact between the injector well and the aquifer domain to the main regime of the latter. The rate of migration is a function of porosity, permeability, cations, aquifer fluid flow regime and CO2 injected pressure. These models are validated using flue gas data from the 546 MW Wabamum Power Plant in Alberta. The total energy requirements for aquifer CO2 disposal system are distributed between a minimum of 105 MW and a maximum of 172 MW, with a mean of 132 MW and a coefficient of variation of 10%. The results show that there is significant variability in all the energy requirements for the CO2 disposal system. The total energy requirements for the disposal system as a fraction of the total power generated by the Wabamum plant of 546 MW could be between 0.19 and 0.32. This is a very significant energy requirement and thorough analysis must be carried out to reduce this variability and energy requirements.

May 1, 2001

Geotechnical practice combines the site engineering geological model with engineering design and operations to control risk. The responsibility of the geotechnical professional is to present relevant engineering geological information to an engineer to effectively impact an outcome. Return is enhanced by understanding expected operating and capital cost due to ground conditions.   Risk is effectively communicated by a successful geotechnical practitioner. In a mining environment the need is to assess ground conditions accurately and quickly, and to effectively communicate expected ground response due to mining. A good engineering geological model includes a description of geotechnical engineering parameters to design assuming reasonable expected soil, rock and water conditions. Pit slopes are steepened, stope spans widened and waste foundations and land forms are constructed all under geotechnical control.   The responsibility of the geotechnical professional is to collect, assess and disseminate relative engineering geological information. The geotechnical professional is a person advising on ground related engineering, and generally operates within geology and engineering end members.   Return is better assessed on an understanding of ground cost. In operations the goal is to meet production at lower cost. In evaluation, regional and exploration geology, mine design and expected operational factors influence expected cost and project return. Return allows companies to meet shareholder expectations, attract equity to develop and add value to the community.   This paper presents a discussion with some examples to present an approach and design philosophy for geotechnical practice in the mining industry.

Jan 1, 2004

By M Barker, H Li

The total number of tailings accidents has reduced from over 50/decade in the 1960s-1980s to less than 30/decade in the 2000s to 2010s. However, the rate of significant tailings dam failures has not been reduced. The significant tailings dam failures the mining industry experienced in the recent history include: Merriespruit, South Africa, 1994; Los Frails, Spain, 1998; Kolontár, Hungry, 2010; Mount Polley, Canada, 2014; and Samarco, Brazil, 2015. The conventional Factor of Safety approach itself may not be enough to further reduce the rate of significant tailings failures due to its limitations such as uncertainty. For example, the same factor of safety could have a vast range of annual probability of failure for different tailings dams, and insufficient consideration of failure consequence. This paper presents a risk based approach for design with the objective being to minimise tailings dam failures, especially those significant tailings failures with high consequence and low probability. This approach includes risk based design and risk management using bowtie tools. In the risk based design, quantitative analysis will be used to estimate the annual probability of failure and the tolerable failure criteria is linked to the consequence category. Bowtie analyses will be used to understand hazards and risks and identify and select independent controls that are effective in preventing and mitigating catastrophic failures. In this paper, examples of risk based design and bowtie analyses are presented and discussed. CITATION:Li, H and Barker, M, 2018. Risk-based approach for minimising tailings dam failures, in Proceedings Mine Waste and Tailings Stewardship Conference 2018, pp 397–414 (The Australasian Institute of Mining and Metallurgy: Melbourne).

Jul 23, 2018

By P. A. Davies

Paper presented at the conference: Risk assessment in the extractive industries, held in Exeter, UK, 23-24 March 1994, and first published London: IMM, 1994, preprint volume, 11pp., 15 refs. Hazards such as vibration, dust emission and fragment projection can result in an area called the Danger Zone being set around a blasting site. Traditionally Danger Zones have been set solely on the basis of consequences (e.g. based on the maximum distance of rock projection or expected ground vibration plus a defined safety margin). Advances in risk assessment and its growing acceptance as a safety management tool have led to the setting of Danger Zones based on both consequences and frequency of occurrence. This allows distances to be optimised on the basis of acceptable risk levels rather than the potential consequences of infrequent events. The setting of a flyrock Danger Zone is used to demonstrate a risk-based approach compared with a traditional consequence approach

Aug 1, 1995

By Reinhard Gertl, Maximilian Weithaler, Harald Kammerer, Juan Pablo Muñoz, Juan-Carlos Rueda

The Guillermo Gaviria Echeverri tunnel and its access roads project in Antioquia, Colombia is a mega infrastructure project that includes a road network with the longest tunnel in Latin America and several short tunnels, the latter being the focus of this study. The design of the project required careful consideration of several special factors, such as the tunnels’ steep slopes of up to 5%, high fire load of 100 MW, bidirectional operation, and short lengths that make it difficult to place ventilation equipment. The combination of all these parameters cause a challenging design problem for the ventilation systems and smoke control of the short tunnels. To address this challenge, a risk assessment study was conducted to support the design of a new and innovative ventilation strategy that deviates from relevant guidelines and standards, like the Austrian RVS [1][5][6] or the German EABT [8] in order to provide a customized solution for this particular project. This strategy resulted a cost-effective solution, that allowed a reduction in the number of required jet fans and at the same time reaches or reduces the risk level compared to traditional ventilation strategies.

Jun 13, 2023

By Andreas Bienz

The safety of persons from accidental explosions and fires during manufacture, storage, transport etc. of explosives, pyrotechnics, propellants, firework and ammunition is most commonly assessed according to prescriptive rule-based approach: Safety is given when all requirements which are listed in numerous regulations and directives (such as e.g. safety distances, limited quantities, protective installations etc.) are complied with. Such a deterministic prescriptive rule-based approach is quite easy to apply but has got disadvantages, however: The actual state of safety in a specific case is not explicitly and quantitatively expressed, and it is not distinguished between the endangered individuals and the whole group. As a result, the effects of the safety measures cannot be measured. This is why uneconomical and in the worst case useless safety precautions cannot be avoided. In addition, waivers are difficult to negotiate, meaningful and sound arguments for pro and con being lacking.

Jan 1, 2007

By J J. Robinson, B N. Noller, D M. Franks, G McIlveen, D R. Mulligan, A T. Soro

Fiji is a developing nation that relies on economic opportunities and recently experienced increased interest in mining and mineral exploration that could potentially benefit the country. In order to understand the lack of, or failure of, past rehabilitation activity, this study applied risk-based approaches to identify the significance of activities or actions applicable to rehabilitation of post-mined land in Fiji. This involved the use of qualitative, semi-quantitative and quantitative risk methodologies, which allow assessment and evaluation of mechanisms of mining administration and practices, as well as rehabilitation methods and approaches that have been applied successfully to post-mined land in other countries with similar environmental and climatic conditions and social and regulatory environments to Fiji. The semi-quantitative risk-based technique followed an earlier approach applied for mine closure by Laurence (2006) and provided a systematic way to assess and evaluate rehabilitation issues that were identified on-site by assessors, who were able to estimate through expert judgement the likelihood and consequences based on conditions, situations observed and circumstances on-site. It demonstrated that experienced professionals could reproducibly score likelihood and consequence of selected items relevant to mine site rehabilitation, despite the wide-ranging issues identified during post mined land rehabilitation. The quantitative risk-based approach was adopted as a method to determine environmental bonds for mining projects using the assessment of consequences and likelihood results from the semi-quantitative approach, then incorporating unit cost of materials or activities for local conditions required to fully rehabilitate each issue at net present value. Application to both an abandoned mine site and a newly opened mine site in Fiji showed that this approach could provide a risk-based estimate for rehabilitation cost and demonstrated potential applicable in the Fijian context.CITATION:Soro, A T, Mulligan, D R, McIlveen, G, Franks, D M, Robinson, J J and Noller, B N, ?2014. Risk-based Rehabilitation Strategies for Post-mined Land in Fiji, in Proceedings Life-of-Mine 2014 , pp 165–180 (The Australasian Institute of Mining and Metallurgy: Melbourne).

Jul 16, 2014

By T. Dlokweni, M. Bester, C. Koegelenberg, I. Basson

Certain degrees of safety, economic, and financial risk are implicit in any mining operation. At Thabazimbi Mine, slope stability was one of the major sources of risk, largely due to data uncertainties. Consequently, a risk-based approach in slope design was followed. On 6 June 2015, a slope failure occurred in Thabazimbi Mine’s Kumba pit, involving approximately 65 million tonnes of rock failing into the pit and the valley below. Although the failed mass moved rapidly and resulted in a run-out distance of approximately 900 m, controls had been put in place to successfully evacuate all personnel. Risk assessment during the onset of failure supported the decision to not compromise the safety of personnel in any way, leading to unavoidable equipment loss. This contribution presents the failure as a case study in the context of a risk-based approach to slope design as well as the importance of implementing geotechnical controls to effectively manage slope instability risk. Furthermore, a comprehensive back-analysis was performed, on a fully constrained 3D model, utilising 3DEC software, to gain insights into the failure mechanism. In conclusion, lessons from the Thabazimbi slope failure are valuable as they demonstrate the importance of following a risk-based approach in slope design to effectively manage safety and financial risk in open pit mines.

Sep 1, 2025

By J Joy, A Bye, G V. Kizil

This paper presents an application of the newly developed risk-cost-benefit (RCB) framework to support risk management decisions for the selection of wall monitoring technologies at an open cut mine site. The RCB framework quantitatively assessed the risk of unstable slope-induced wall failure and its impact on both loss of life and coal recovery. The RCB framework was utilised in the selection of an optimum group of risk-controls to effectively manage the risk of wall failure to ensure safety and optimal production occurred. The RCB framework incorporates mathematical modules that integrated RCB calculations and risk-control effectiveness assessments to determine the risk reduction and financial impact of the examined safety initiatives.This paper provides an overview of the five-staged RCB framework, incorporating the RCB decision support tools, RCBGEN (Risk-Cost-Benefit Generator) and RCEMETHOD (Risk-Control Effectiveness Method), and demonstrates its application to slope stability risk management at the case study site. The RCB charts are designed to display a balance between risk, cost and benefit for easy interpretation by decision makers to support the objective selection of an optimum suite of risk-controls. The RCB analysis revealed that a combination of ævisual inspections, automatic extensometers and radarÆ for fast- and slow-wall failures with structure were sufficient to reduce the probability of loss of life (PLoL) to the æModerateÆ zone as defined by the Australian Geomechanics Society (AGS, 2007) for the case study site. The new framework presented in this paper provides a method to effectively determine the suitability of risk-controls and supports industry efforts to reduce risk to as low as reasonably practicable (ALARP).CITATION:Kizil, G V, Bye, A and Joy, J, 2012. Risk-cost-benefit analysis of early warning technologies impact for wall failure risk management in surface mines, in Proceedings Eighth Open Pit OperatorsÆ Conference , pp 55-64 (The Australasian Institute of Mining and Metallurgy: Melbourne).

Sep 18, 2012

By J Harris, J Li, M Shi, P A. Kirsch, D Sprott

Australia has an enviable global reputation as a leader in health and safety outcomes in the hazardous industry of mining, in part due to an increased application of risk management regarding operational planning and mining practice. In 2010, the Australian Coal Association Research Program (ACARP) initiated a major project, RISKGATE, to build, capture and deliver a national body of knowledge to assist companies with the management of risk in coal mining. The online system contains information for tyres, collisions, fires, isolation, strata underground, ground control open cut, explosions, explosives underground, explosives open cut, manual tasks, slips/trips/falls, outbursts, coal bumps and bursts, human–machine interface, tailings dams, occupational hygiene and inrush. In 2014, RISKGATE is developing content for fitness for work (fatigue, drugs, alcohol, physical well-being, psychosocial well-being).This paper analyses underground mining fatalities in Australia and the United States since 2002 and introduces RISKGATE with a focus on the knowledge base for management of hazards in underground operations. Through capturing coal industry expert operational knowledge, RISKGATE provides a cumulative corporate memory at a time of high personnel turnover within the mining industry. This coal-based body of knowledge is a platform that can be evaluated and implemented for other mining domains and high-risk industries within the energy supply chain.CITATION:Kirsch, P A, Shi, M, Harris, J, Li, J and Sprott, D, 2014. RISKGATE and underground operations, in Proceedings 12th AusIMM Underground Operators’ Conference 2014 , pp 11–18 (The Australasian Institute of Mining and Metallurgy: Melbourne).

Mar 24, 2014

By P Bergin, J M. Galvin, J Harris, J Li, P Kirsch, M Shi, B Hebblewhite, B Whittaker, R Mitra, D Sprott

Controlling unwanted ground movement is critical in mining as well as many other highly hazardous environments, such as construction and tunnelling. Sharing knowledge about effective hazard management is paramount to improving health and safety and operational outcomes across industries, and some industry sectors have embraced this openness as part of the way that they do business. In 2010, the Australian Coal Association Research Program funded the RISKGATE project to build a body of knowledge for managing a broad range of hazards across mine sites, lease areas and mine infrastructure within a mine-life or product life cycle perspective (eg from exploration through to decommissioning, or design through to operation). The RISKGATE body of knowledge was assembled from Australian coal industry experts through a semi-structured bowtie analysis-based action research workshop cycle. By capturing operational knowledge from industry experts, RISKGATE serves to provide a cumulative corporate memory at a time of high personnel turnover in the coal industry.This paper presents an overview of RISKGATE topics within the geological and geotechnical domain (strata underground, ground control open cut, outburst, coal bumps and bursts, tailings dams and inrush) with a summary of individual topic structures, as well as showing the contrasts and inter-relationships between these ground management topics. The online user can access information about the causes, controls and consequences related to a priority unwanted event (ie the point at which control of energy is lost) and use this information as a prompt for the development of risk assessments, incident investigation, audits of practice/plans/procedures and for training and development.The paper concludes with a discussion of how RISKGATE can be adapted to other mining domains (eg coal outside of Australia, hard rock mining worldwide, construction, tunnelling) and the opportunity for application of this body of knowledge and the RISKGATE action research process for knowledge management in other highly hazardous environments.CITATION:Kirsch, P, Hebblewhite, B, Sprott, D, Harris, J, Li, J, Shi, M, Whittaker, B, Galvin, J M, Bergin, P, Mitra R and Williams, D, 2014. RISKGATE – shared coal mining knowledge for managing risks across ground management, in Proceedings AusRock 2014: Third Australasian Ground Control in Mining Conference , pp 247–254 (The Australasian Institute of Mining and Metallurgy: Melbourne).

Nov 5, 2014

By J Harris, P Kirsch, D Cliff, M Spinks, S Goater, D Sprott

Fires are a common and recurrent unwanted event in the operation of open pit mines. In most cases, the causes of events such as fires are already æknownÆ but are either overlooked or not fully addressed in planning. Ongoing rapid growth of the global mining industry is creating a scarcity of skilled personnel, and high turnover within operations. This contributes to loss of corporate memory in risk management activities. RISKGATE« is an online risk management system designed to support and assist in the analysis of priority unwanted events in Australian coal mining operations. Funded by the Australian Coal Association Research Program (ACARP), RISKGATE« is a knowledge management program that delivers best-practice controls for unwanted events and assists operations in staying abreast of emergent risks and threats. RISKGATE« content has been primarily developed from an association of industry experts, and enriched with input from additional academic and technological resources. In mining operations, RISKGATE« provides a continuum of knowledge and best practice for risk identification, assessment and management. RISKGATE« will assist companies in improving safety performance, operational efficiency, operating practice and training. Here we present the RISKGATE« prototype as developed in 2011 for Fires, with a case study presented for the initiating event Fires on Mobile Plant.CITATION:Harris, J, Sprott, D, Spinks, M, Cliff, D, Goater, S and Kirsch, P, 2012. RISKGATE« - A case study in application to fires on mobile plant, in Proceedings Eighth Open Pit OperatorsÆ Conference , pp 49-54 (The Australasian Institute of Mining and Metallurgy: Melbourne).

Sep 18, 2012

By P. L. Ngwenyama, W. W. deGraaf

South Africa is one of the leading producers and exporters of coal globally. A significant amount of the country’s production is obtained from previously mined underground bord and pillar workings. This coal is in the form of pillars and remnants on the roof and floor of the old workings. The good quality coal pillars were left behind as primary support during underground bord and pillar mining operations. Due to the depletion of virgin coal reserves, the pillars and remnant coal are now removed using opencast mining rather than underground methods. However, the secondary extraction of pillars and remnant coal from the old workings using opencast methods entails some serious challenges that have a negative impact on the safety and productivity of the operations, affecting both personnel and machinery. If these risk factors and challenges are managed properly, then the opencast mining operations could remove the pillars safely at recoveries competitive with those of virgin coal operations. In this study we review the recurring challenges affecting opencast pillar mining by means of field investigations and consultations with experts at five opencast pillar mining operations, and evaluate the best practices used to combat these challenges. It was found that each mine has its own unique conditions and challenges.

Dec 1, 2021

By M R. Lane, M L. Cramer, N P. Wines

Increasing attention is being focused by regulators and industry on the residual environmental liabilities associated with mining projects following site relinquishment (termed surrender in Queensland). Even sites that have been rehabilitated to a high standard and to the satisfaction of the regulator are not completely risk free and may require some degree of ongoing management. As well as ongoing monitoring and maintenance costs, considerations should include how costs associated with potential risk event occurrence can be quantified and, if considered material, how provisioning should be undertaken to minimise the risk to the state and to taxpayers. In Queensland for example, once a resource site is fully rehabilitated and meets its environmental authority conditions or rehabilitation completion criteria, the tenure and environmental authority can be surrendered. During the surrender process any ‘residual risks’ resulting from the use of the site for the resource activity must be considered, and, if requested, a payment given to the government to cover any ongoing management and risk costs. Accent Environmental, in conjunction with Lane Associates, was engaged by the Queensland Government as part of the government’s financial assurance framework reforms to develop an innovative, ‘one-size fits most’ Residual Risk Calculator for the Queensland resources industry. The calculator is an Excel-based tool that uses detailed user inputs to estimate post-surrender management requirements and liability at resource sites. If residual environmental risks associated with rehabilitated mine sites can be identified, quantified and managed through pragmatic regulatory tools and effective provisioning, site relinquishment/surrender can be achieved without compromising environmental and social outcomes or exposing the state to unreasonable financial risk. The effective management of residual risk can also help facilitate operations as well as relinquishment/surrender of sites where a ‘walkaway’ solution may not be otherwise technically feasible.

Aug 2, 2023