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By S. Kariyawasam, R. McNealy

Pipelines are subject to multiple threats often requiring quantification of pipeline risk and engineering evaluation of in-line inspection and other data to effect discovery of conditions defined by the regulation. Public concern and pressure from regulatory bodies are accelerating the need for pipeline operators to formalize and intensify their approach to integrity management. Most operators need a phased approach to progressively adopt the most relevant and needed assessments. The organized and relevant assessment steps need to be introduced according to data available and maturity of the integrity management program. Each refinement to the quantification offers distinct advantages to the user. In this paper, the progressive integrity assessment solutions using quantitative methods are presented. Methodologies for engineering evaluation of integrity in-line inspection data for immediate and future integrity are summarized. Corrosion is used as an example, but the approach is applicable to any time-dependent defect based hazard. Strategies for pipeline integrity management are discussed.

Jan 1, 2005

By Scott RM

The project management and construction plans adopted by Davy McKee for the Cooper Basin Liquids Project resulted in a project notable for the Relatively short duration from initiation of the design through to liquids production. Two locations were involved, one at Moomba in the far northeast of South Australia some 800 km from Adelaide, and the other at Port Bonython some 40 km from Whyalla. Total expenditure by the owners at the two sites was in excess of $600 million. Matters covered include organisation, transport, construction, industrial relations, project services and commissioning.

Jan 1, 1986

By M Orunesu Preiata

The Odysseus Project is part of the high-grade Cosmos Nickel Complex that lies 30 km north of Leinster. The Odysseus definitive feasibility study (DFS) was approved by the Western Areas’ board in October 2018. Early works commenced in January 2019 with rehabilitation of the existing underground infrastructure. In June 2022 Western Areas was acquired by IGO Ltd. The project is now well advanced to meet its target of first concentrate. The project included the construction of a haulage shaft. The design of the hoisting equipment and the shaft barrel evolved from the initial DFS design stage to the final execution, as the data were made available from the initial investigation to the data gathered during execution (although this did not change from its initial concept). The design philosophy for the haulage shaft incorporated, from the beginning a multidisciplinary approach with inputs from three main areas involved in such projects, namely excavation techniques, geotechnical assessments, and infrastructure construction. This interaction is a fundamental component for the success of such a critical project. In fact, each of these three areas influences each other in a cyclical manner, triggering a continuous review of the project inputs and outputs, while maintaining the original project goals: the design of an infrastructure able to deliver the desired throughput. The throughput dictates the infrastructure that needs to be built, which in turn controls the size of the shaft. The key assumption applied to this is that the rock mass can accommodate the excavation void, and the excavation technique with its tolerances and limits that ultimately need to be verified back with the initial assumptions used for the infrastructure design. The aim of the paper is to present a case study of the experience gained with the Odysseus hoisting shaft and to propose a possible logic path for similar projects elsewhere.

Mar 29, 2023

By Donald A. Ranta

Every mineral project or mine is based on a geologic entity-an ore (mineral) deposit. A well-defined mineral deposit and its associated geologic characteristics are the only aspects of a project that cannot be altered. Mine plans can be modified to exploit the deposit using alternative approaches and yielding similar results. A variety of processing methods also are often available producing generally comparable results. Major modifications can be made to other aspects of the project without substantially changing project economics. However, all engineering and metallurgical aspects of a mine must be accommodated to the spe¬cific location and geologic characteristics of the deposit. Geologic data and interpretations form the foundation for both mine evaluation and mine production by providing esti¬mates of reserves and essential information for mine planning and process design or control. Proper geologic work requires a keen awareness of and an ability to anticipate the technical requirements of geotechnical engineers, hydrologists, mining engineers, metallurgists, and other specialists. Geologists are inte-

Jan 1, 2008

By Erica McGlynn, Brian Negrea, Lance Jackson

There was no need for the people of Cleveland to ask “Where does the raw sewage go? We want to know!” because it was clear. The raw sewage was being discharged into Lake Erie during heavy rainfall events due to the outdated design of the combined sewer system. In efforts to resolve this ongoing issue for the City of Cleveland, the Northeast Ohio Regional Sewer District developed Project Clean Lake in collaboration with the US EPA. Project Clean Lake is a 25-year, $3 billion program consisting of seven large-diameter CSO storage tunnels to be constructed beneath the city’s existing infrastructure. The first four tunnels have been completed using traditional hard rock TBM excavation methods. The fifth tunnel, the Shoreline Storage Tunnel Project, presents unique challenges and complexities as it will be the first large-diameter EPB TBM to dig under the City of Cleveland. The project itself consists of one tunnel drive 14,100' (2.7 miles) in length, two pipe jacking tunnels, three large slurry wall shafts, two diversion structures, and three regulator reconstructions. Upon completion of the project, 12 permitted CSO locations along Lake Erie will be taken offline, reducing overflow volumes by approximately 350 million gallons per year. This paper will discuss the current status of construction and the chosen means and methods, including the myriad of nuanced differences between hard rock and EPB TBM tunneling methods. Particular attention will be given to the site preparation, setup, and organization; TBM assembly; and TBM launching practices.

Jun 13, 2023

By Randy McMeekin, Chris Twigge-Molecey, J. Peter Blake

The business objectives of a metallurgical project determine targets and constraints, such as the range of products, production capacities, in-service dates, and capital and operating cost parameters. Permitting is usually left to the project team, as are decisions regarding site location, technology, and construction approach. Success requires an orderly methodology, represented in this book by front end loading (FEL) phases: FEL1 examines several alternative approaches; FEL2 ranks and eliminates less economically or technically attractive options; and FEL3 develops the preferred option to the point of major permit completion, with defined scope, schedule, and cost to submit for approval to proceed with implementation in FEL4. Working through FEL1, FEL2, and FEL3, the project definition improves, estimates become more accurate, and project risks are reduced. The project design basis at the end of FEL3 is the control document for project implementation in FEL4.

Jan 1, 2015

By C Pope, M Tannock

Mining exploration and development projects in Australia are being negatively affected by the highly complex regulatory and bureaucratic processes at all levels of government. These processes affect mining companies operating in Australia by impacting on timelines and the cost of developing a mining project. It is not uncommon for the granting of project approvals to take in excess of five years, meaning that mining companies struggle with productivity, efficiency, time frame and cost issues in respect to their projects in Australia. As the mining boom in Australia is moving from the investment to the production phase, it is now more important than ever to maintain a regulatory landscape that facilitates rather than discourages new investment.While one of our key arguments is that there is too much burdensome regulation and red tape in Australia, we are also strongly believe that regulatory intervention is necessary to ensure that appropriate checks and balances are in place to serve the public interest and manage environmental, health and safety, social and other development-related impacts that may arise from a mining project. However, the regulatory intervention in Australia has come to a point where it is excessive and starting to discourage valuable investment in mining projects for nominal return to the public. Excessive regulation or ‘red tape’ impedes productivity and competitiveness, deters investment and innovation and costs jobs, all of which ultimately impact on the growth of Australia and the standard of living of all Australians.This paper aims to examine and compare the federal, state and local regulations that govern mining projects in Australia. It will highlight how these regulations are unnecessarily complex, lengthy and duplicated and how they can be streamlined to reduce red tape. In doing so, the paper will evaluate the recommendations proposed by the Productivity Commission Report on Major Project Assessments released in 2013, which include the recommendation to move to a ‘one project, one assessment, one decision’ regulatory model.CITATION:Pope, C and Tannock, M, 2015. Project development and regulation red tape – a comparative analysis: does it need to be so complex?, in Proceedings Iron Ore 2015, pp 621–630 (The Australasian Institute of Mining and Metallurgy: Melbourne).

Jul 13, 2015

By B. R. Boardman

Project Environmental Approval is a multi-faceted issue. From a mining perspective, it is a costly item because of avoidable time delay. The government perspective is that the approvals are a necessary part of meeting departmental requirements to ensure that the wellbeing of other uses of the environment is maintained. This paper outlines some of the problems inherent in the environmental approvals process and makes recommendations to both the proponent and government about improving the efficiency of the process.

Jan 1, 1978

By D. F. Sinclair

It is often said in business that if you don't have a customer you don't have a business. The same rule applies to project evaluation; if you don't have customers you really don't have a viable project. It is therefore essential that in the early stages of project evaluation the following fundamental questions are addressed: ? What products will this project produce? ? Who are the potential customers? ? What are the customers' requirements with respect to grade and impurities? ? Do they have adequate capacity to take the production from the proposed project? ? Will the products introduce adverse effects in the customer's process circuits? ? Will additional waste streams requiring disposal be produced? In the past the attitude has been along the lines of the customer will take whatever we produce at the mine site. Times have now changed with customers now operating under much tighter environmental regulation with waste disposal becoming increasingly difficult. It would therefore be prudent that the principles of product stewardship be used as a tool in project evaluation. This paper will provide a general discussion on customer requirements and provide detail on case studies of the impact of mine products on smelter process circuits. It will provide examples where there were synergies between the mine product and the smelter circuit and where the mine product had adverse impacts on smelter performance.

Jan 1, 2007

It is often said in business that if you donÆt have a customer you donÆt have a business. The same rule applies to project evaluation; if you donÆt have customers you really donÆt have a viable project. It is therefore essential that in the early stages of project evaluation the following fundamental questions are addressed: What products will this project produce? Who are the potential customers? What are the customersÆ requirements with respect to grade and impurities? Do they have adequate capacity to take the production from the proposed project? Will the products introduce adverse effects in the customerÆs process circuits? Will additional waste streams requiring disposal be produced? In the past the attitude has been along the lines of the customer will take whatever we produce at the mine site. Times have now changed with customers now operating under much tighter environmental regulation with waste disposal becoming increasingly difficult. It would therefore be prudent that the principles of product stewardship be used as a tool in project evaluation. This paper will provide a general discussion on customer requirements and provide detail on case studies of the impact of mine products on smelter process circuits. It will provide examples where there were synergies between the mine product and the smelter circuit and where the mine product had adverse impacts on smelter performance.

Jan 1, 2007

By L I. Rozman

"There have always been development projects that fall short of expectations. In the last decade, we have seen more than the usual number of mining and oil/gas development projects taking significantly longer to develop and costing materially more than expected. The recent resource-equity market slump proves that investors are now far more cautious about investing new capital in the mineral and petroleum resources sector.What have we learned since 2005? Why have projects missed their targets? Why do investors often feel misled?Valuation of a project and the estimation of value is a more complex process than the evaluation of the merits of project development. The merit of project development can be clear from a prefeasibility evaluation, but this is no reason to skip the rigour of a feasibility study. The valuation of any project that is developed with any added risk should be discounted for this added risk.The development of a project impacts on other stakeholders, and the indirect cost of these impacts can have material implications for the cost structure, time and ultimate valuation of the project for its financial backers. The development of new projects (and thereby supply) can also have an impact on commodity prices, and therefore an impact on returns for financial backers.This paper will provide commentary on the author’s experiences and observations as a project developer and operator for 25 years, before becoming a project financier a decade ago.CITATION:Rozman, L I, 2016. Project evaluation and valuation – an investor’s golden rule, in Proceedings Project Evaluation 2016, pp 31–36 (The Australasian Institute of Mining and Metallurgy: Melbourne)."

Mar 8, 2016

By J Borthwick, M Yusi, M Douge

Feasibility studies form a vital and significant component of the project delivery cycle. They are at the heart of the valuation process. This paper focuses on variables which can affect a project and how these are assessed as part of the decision-making process through feasibility studies. Test work and site selection needs; the degree of engineering required to meet the study requirements and the quality of owner project information are discussed. Also, local factors including permitting needs, social, environmental and government relations are considered. Engineering and site factors are crucial in the estimating process. The interaction of detailed engineering, engineering assumptions and estimating methodologies are therefore examined. The ownerÆs perspective is considered along with risk analysis, which is fundamental in project feasibility study activities. The impact of this is also discussed.

Jan 1, 2009

By B. Morris

This presentation will describe the process by which the Quebrada Blanca (QB) copper project in northern Chile was financed. It will also show how a relatively junior mining company addressed the problems created by its inability to provide its share of the equity funding and the guarantees required by the project lenders. QB is located in the semi-arid Andean highlands of northern Chile, 170 kilometres southeast of the port of Iquique and 30 kilometres west of the border with Bolivia, at an altitude of about 4,300 metres (14,000 feet). Figure 1 depicts the project's location. The QB orebody is a secondarily enriched porphyry copper deposit containing reserves of 85 million metric tons grading 1.3 percent copper. Underlying the enriched zone is a significant primary ore zone containing several hundred million metric tons grading about 0.5 percent copper. In the late seventies and early eighties Falconbridge and its affiliates spent $20-30 million dollars exploring the deposit and conducting feasibility studies. For a variety of reasons they decided not to develop the property which was returned to its owners, Empresa Nacional de Mineria (ENAMI), which is a Chilean state mining corporation. In 1988 ENAMI announced its intention to privatize the property through a public bidding procedure.

Jan 1, 1993

By Randy McMeekin, Chris Twigge-Molecey, J. Peter Blake

The project implementation phase, FEL4, is generally a complex undertaking. The project has been approved for construction and the capital has been allocated. At this point the project team comes under significant pressure to meet the safety, schedule, cost, and start-up committments. For the design team the principal tasks are to finalize detailed design, complete procurement, and issue construction contracts. Design activities must be closely coordinated with equipment and material procurement. A clear engineering plan should be based on well-defined work packages to meet construction, commissioning, and startup requirements. A range of review processes by discipline, area, and third parties assure quality. Constructability, safety, and hazard reviews are performed throughout the design process. Three-dimensional models that incorporate extensive databases help to maximize efficiency and minimize errors. Well-managed projects have a clearly accountable design team, rigorous change control processes, and well-defined workflows. Key individuals from the design team participate in commissioning, operator training, and startup.

Jan 1, 2015

By O C. Aitken

Mining project developers are committed to taking on all the challenges and obligations of financial risk management. It is interesting that our current models of project finance have not changed markedly in principle for some 700 years, yet the rules which prepare the way for effective project assessment and subsequent loan management still do not seem to be well understood by project or corporate developers. Probability and gravity fill the opposing trays of the golden balance of financial risk. Understanding the relationship between these opposing, but intimately related elements is critically important for successful risk management. It is important to move beyond the qualitative approach and use quantitative methodologies to measure the financial impact of the occurrence of each major risk. We live in a world where the only constant is change and thus it is not surprising that a bankerÆs life is still governed by assessing, measuring and pricing risk. Banks are attracted to funding well managed companies with strong cash flow projects. But we are more risk averse compared with the credit appetites of late last century. This attitudinal shift has resulted in tougher term sheets for the early 21st century, encompassing more conditions, warranties, undertakings and stronger cash sweep provisions. Banks require well balanced portfolios to achieve an acceptable spread of risk, thus there is a more restricted market for small company lending than that available to large multi-project corporate entities with less concentrated risk profiles. Because of this focus, junior company debt finance remains comparatively expensive and especially so for more challenging geographical and political environments.

Jan 1, 2004

By J. Herhold, S. Plaum

"Current and future operational processes in the mining and underground construction sector are under the influence of the prevalent competition and the acute necessity of optimization approaches concerning corporate and project processes. Besides general construction procedures, especially underground construction procedures and procedures in the field of deep shaft construction are high-profile. Those processes describe high technical challenges as well as increased requirements to occupational safety and health. Therefor an occupational safety management, which should be adjustable to the company itself and adaptable to all kinds of projects, shall be created. The creation of such an occupational safety management would lead to an economically optimized and safe (within the scope of OSH law) implementation of internal activities for the performance of construction services underground and in the field of deep shaft construction. With this approach the satisfaction of the high safety request as well as the demand for process optimization, as part of keeping the own competitiveness, will be satisfied successfully at once. PROJECT BACKGROUND Introduction The health and safety protection as well as occupational safety look back on a long historical development, which had brought more important sectors and developments during the last years, not only in Germany but also on the European and international level. The accident insurance protected by law has already been reported in 1884, which is astonishing early. The launch time point is strongly connected with the on-going economic development in the end of the 18th century, but above all this increased in the 19th century. The progress of occupational safety and especially the interest in the integration and the concentrated consideration of occupational safety and the health and safety protection in the company process is strongly visible during the 19th century and directly connected to the industrial revolution. [9] The industrial revolution and with that the development of work places lead to changing demands in the field occupational safety and health and safety protection. Insufficient security precautions caused problems in the industrial revolution, such as personnel and material losses as well as serious injuries and their consequences. These and the fundamental economic endeavours of the entrepreneurs lead therefore to the important step to develop an occupational safety system. [9] The prevailing basic ideas seize the insufficient security precaution of work places as well as the economical and profitable ideas of the entrepreneurs and bring them together. From this the necessary entrepreneur’s task comes into being and that is bringing the work conditions to the way that life and health of employees are not in danger. [9]"

Jan 1, 2017

By J. Herhold, S. Plaum

"Increasing worldwide energy demands, coupled with desires for cleaner energy, have led to greater research of renewable energies. Strongly weather-dependent energy sources, e.g. solar and wind energy, are unable to provide a constant control energy to withstand the fluctuation of the extensive power systems during peak hours. The pump storage plant Nant de Drance in Switzerland will not only have the capacity of a nuclear power plant, producing 900 MW, but will also combine the environmental aspect and the demand for controlled energy. Nant de Drance is one of the pioneer projects for upcoming energy challenges and serves as a model for future pump storage plants. This paper focuses on the planning process and the project execution of interdisciplinary large-scale projects such as Nant de Drance, including project related data handling, communication systems and project handling skills. Furthermore, the paper discusses mining excavation in the context of large scale projects and their regional environmental challenges, e.g. high alpine rock mass on the site of Nant de Drance. PROJECT BACKGROUND Project Overview Nant de Drance is a 900 MW pump storage plant located in the Swiss Alps. To provide such a high energy storage, six turbines (reversible Francis type), each with a capacity of 150 MW, were installed. Due to the efficiency factor of 80% the pump storage plant is able to provide an energy production of 2500 GWh per annum. Construction of the pump storage plant, which has been selected as “Major Tunneling Project of the Year” in 2014 by NCE and ITA-AITES, will be completed over 10 years. Therefore, the project has been divided in six major phases outlined below: - Launch: 2008 - Access Gallery: 2010 – 2012 - Excavation KMA, KTR: 2011 – 2014 - Concreting KMA, KTR: 2014 – 2016 - Installation of HEM equipment: 2014 – 2018 - Tests & entry into service: 2017 – 2018 Figure 1 outlines the single process phases of the project. For the construction of the shafts, galleries and caverns, 1.7 million m³ of metamorphic rock with sedimentary origin (mica schist & paragneiss of the massif „Aiguilles Rouges“) were excavated. A tunnel network with a total length of 15 km was created. The machine cavern measures 194 m long, 32 m wide and 52 m tall."

Jan 1, 2016

By Donald G. Dahle

Project Payette is a conceptual nuclear experiment under the Vela Uniform program intended to further evaluate the mechanism of seismic decoupling. Vela Uniform is a Department of Defense program to improve this country's capability to detect, locate and identify underground nuclear detonations. This program evolved from recommendations of the Panel on Seismic Improve¬ment, (Berkner Panel), an officially appointed group of noted U. S. scientists. This Panel, taking note of difficulties in detecting the differences between some underground nuclear detonations and some earthquakes recommended a program of increased basic research in seismology. The theory of decoupling, Which involves possible reducing of seismic motion resulting from underground explosions by reducing the coupling or physical linkage between the explosion and the geologic environment, was investigated by Dr. Albert latter and his associates at RAND during the late 1950's. The concept has been further investigated theoretically by scientists of the Lawrence Radiation Laboratory and the Sandia Laboratory. The theory has been tested experimentally under Vela Uniform Projects Cowboy, Dribble and Sterling. The Salmon Event of Project Dribble was a tamped (with the explosive in firm contact with the geologic formation) nuclear detonation 2700 feet below ground in the Tatum Salt Dome. Project Payette, if found to be feasible and if authorized for actual execution, would become a decoupled experiment in the same environment.

Jan 1, 1968

By Ronald B. Stone

This paper describes a proposed solution to the problem of mining a 315 foot diameter unsupported sphere at a depth of 2700 feet in a salt dome by conventional mining methods. The proposed solution utilizes many of the varied technologies available to the mining engineer for solving mining and underground construction problems. The following are reviewed in the paper: A. The location of the sphere within the dome as required by construction criteria. B. The relation of the location of the access shafts to the sphere. C. The rock mechanics theory in relation to the salt dome and large size of the excavation. D. The proposed "honeycomb" method of mining which will be a partial answer to rock mechanics stability requirements. E. The equipment which it is recommended be utilized to accomplish the construction. F. The rock mechanics measuring instruments proposed. G. The methods of disposal of the mined salt. Conclusions and areas of further study are outlined in the final statement.

Jan 1, 1968

By L Lorenzen, H Muller

"Every year a large number of projects are evaluated by small listed and unlisted mining companies that are hoping to find the ideal project, which will catapult them from a mining junior status to that of a mid-tier mining company. Usually this includes finding the æidealÆ or ærightÆ orebody and then developing a process which will allow cost-effective recovery of the valuable metals and the production of a saleable product. These dreams are seldom realised and there are a number of good and obvious reasons for this. Issues that are generally high up on the agenda for the smaller companies are: cost of developing a project before the feasibility study stage finding a suitable, or optimum processing technology financing of the project dealing with risk.The most expensive part of the development process for the small miner is often the exploration side of the business and finding the æidealÆ orebody. However, finding the right orebody will not be discussed in this paper. The æidealÆ orebody does not necessarily solve the problems of the mining junior, as much of the uncertainty lies in the process required to recover and produce the final metal product. Once a mineralised deposit has been identified and the grade at least reasonably qualified, the development of a suitable process becomes the driver to convert the deposit into an orebody. This paper proposes that a small exploration company has a very limited opportunity to succeed if it does not do sufficient homework before it identifies the æidealÆ orebody. The risk profile for the small mining company, by its very nature, has to be different to that of a major company and as a result the opportunities often lie in managing different and often new process options, which may be the key to bring such projects on line successfully.CITATION:Muller, H and Lorenzen, L, 2012. Project selection and process development for mining juniors, in Proceedings Project Evaluation 2012, pp 149-158 (The Australasian Institute of Mining and Metallurgy: Melbourne)."

May 24, 2012