Search Documents

"Recognising that the mining industry is wedded to the break-even cut-off grade rather than a cut-off grade that optimises value, the author examines some perils and pitfalls in the use of break-even grades that lead to what the author calls ‘negatively geared ore reserves’.Negatively geared ore reserves occur when a portion of the ore reserves actually has a negative value and is effectively being subsidised by the more profitable portion of the ore reserves. This situation is generally difficult to detect with the level of information available to the public investor. The ore reserves can still be quite profitable in total, but now possess a level of risk that may not be appreciated.The risk profile (financial risk) of a negatively geared ore reserve is far greater than for a non-negatively geared ore reserve. Like a negatively geared investment property in a falling property market (for readers familiar with the Australian tax minimisation investment strategy), when the price of a commodity falls, a company that possesses a negatively geared ore reserve loses value at a magnified rate relative to a company that has a neutral or positively geared ore reserve. In the extreme case of a major commodity price reduction, as happened with the gold price in mid-2013, the negatively geared ore reserve can easily become negative value in total, not just in part.The negatively geared ore reserve is sometimes intentional – for instance in order to increase published ore reserve tonnages and meet the CEO’s key performance indicators – but is also often unintentional, resulting from various errors in the break-even calculation. Common errors in calculating a break-even grade include using fixed metallurgical recoveries, not including allowances for ideal laboratory versus real plant results, ignoring available operational data and using modal rather than mean parameter values in cost and performance calculations.This paper examines a common value distribution profile in many ore reserves and the effect of common break-even grade errors on this profile.CITATION:Poniewierski, J, 2016. Negatively geared ore reserves – a major peril of the break-even cut-off grade, in Proceedings Project Evaluation 2016, pp 236–247 (The Australasian Institute of Mining and Metallurgy: Melbourne)."

Mar 8, 2016

By E C. Holloway

"The financial valuation of mining assets has a number of fundamental differences to the valuation of many other asset groupings. One such difference is that typically, the greater proportion of both the cost and revenue sides of the cash flow are inherently governed by systemic market forces.As a result, the range of outcomes for the valuation of each mining asset is more unpredictable, with higher levels of risk and uncertainty. In contrast, the management function of many other non-mining businesses or industry groups can control at least a portion of the cash flow by maintaining the margin or controlling the sales price. The management teams of mining businesses and operations typically have limited options, and are thus price-takers for both costs and revenues. As mining is an inherently cyclical industry, large, long-life operations can exist through several price cycles, making valuation both subjective and challenging.The outcomes of both static- and stochastic-based valuations, as well as the internal probabilities of the associated cash flow statements, are significantly impacted when the correlations between the appropriate parameters are quantified, modelled and incorporated into the valuation framework. The appropriate parameters for correlation modelling primarily include those that are governed by systemic market forces. Applying this process results in a different risk profile for the asset by allowing the risks resulting from systemic market movements to be more accurately quantified and then objectively minimised. This process also reduces the level of residual uncertainty in the valuation outcome.This paper presents a valuation methodology to pragmatically incorporate this level of valuation sophistication and statistically quantify the associated increase in the level of confidence of the valuation outcomes reported.CITATION:Holloway, E C, 2016. Correlated valuation methodology, in Proceedings Project Evaluation 2016, pp 181–200 (The Australasian Institute of Mining and Metallurgy: Melbourne)."

Mar 8, 2016

By S G. Gemell

"The financial model is an integral component of any project evaluation based on mineral resources, ore reserves and (at least internally) exploration targets. Given the unity of purpose for preparing financial models for project evaluation purposes, the diversity of both format and content of the finalised models is surprising. Many models are prepared by staff or consultants who are comfortable with a particular format that may be used for other purposes, such as budget preparation or financial reporting. It is natural in these situations that the practitioner will take these models and adapt them to the purpose. The end result may or may not succeed in providing a clear, accurate and sufficiently detailed view of the project’s economic viability.When preparing a model, the practitioner should be cognisant of the interpretation and review, or audit, process. The auditor may be a consultant or employee of a bank, potential equity provider or of the project sponsor itself. Depending upon the scale of the project and the level of participation of the entity that the auditor represents, the financial model will be interrogated more or less rigorously. In any event, the end user will require the model to permit easy change of inputs and will wish to confirm that such change is appropriately and thoroughly transmitted throughout.Accordingly, there are some ‘dos and don’ts’ that can be readily applied in the creation of the financial model that will greatly assist the end user, not just in the change of inputs, but also in reviewing the model’s integrity. The less time and effort required by an auditor in this regard is reflected directly in the cost of the review process.CITATION:Gemell, S G, 2016. Financial modelling with the auditor in mind, in Proceedings Project Evaluation 2016, pp 172–180 (The Australasian Institute of Mining and Metallurgy: Melbourne)."

Mar 8, 2016

By D Hunter, N Cusworth, J Miller

"Recent project failures have called into question the use and relevance of benchmarking and independent reviews, forcing a rethink of traditional processes and procedures.With cost estimates and schedules dramatically varying from lows seen around the global financial crisis to peaks experienced in the recent mining boom, benchmarking has ranged between essential and misleading.Profound shifts are now underway in future project delivery strategies as the market moves away from cost-plus engineering, procurement and construction management. The current trends in project implementation are to utilise more lump-sum design and construct or fixed-price supply and construct contracts. This trend will remove transparency in detailed cost information by reducing the sources and clarity of cost data.Independent peer reviews (IPRs) of studies and investment recommendations performed over the last decade have both failed to prevent flawed or deficient projects from proceeding to approval and funding, and been successful in ensuring that owners did not proceed with doomed investments.In recent times, it has been recognised by some owners, contractors and engineers that traditional benchmarking checks or IPRs, or a combination of both, will not necessarily produce reliable assessments of study conclusions and of the forecasts of project outcomes. To be of value, the benchmarking process now also needs to recognise the highly volatile responses from the engineering and construction industry to the current and future markets for their services.Similarly, reviewers who draw upon benchmarks of past project experiences on an understanding of the things that shaped and influenced their outcomes need to be more aware of how a future dynamic market may impact the outcome of the projects and raise warning flags accordingly.With the commodity cycle currently approaching what is hoped is its bottom, ensuring that benchmarking and independent reviews evolve into reliable, transparent and worthwhile processes becomes even more important. This can only be achieved with more transparent and analytical benchmarking and business-orientated reviews that both recognise and calculate the impacts of dynamic markets on project implementation.CITATION:Cusworth, N, Hunter, D and Miller, J, 2016. The role of benchmarking and independent reviews, in Proceedings Project Evaluation 2016, pp 249–259 (The Australasian Institute of Mining and Metallurgy: Melbourne)."

Mar 8, 2016

By R Jacobs

"The Jaguar project is relatively unique in that it was evaluated, financed, built and operated to completion within the last ten years, providing the opportunity to holistically review and reconcile expectations against the actual outcomes. It is a case study that allows wider conclusions to be drawn with respect to the risks and opportunities involved with project evaluation and execution.Jaguar is located in the Leonora Mining District of Western Australia and was commissioned in mid-2007 as an underground accessed, single high-grade volcanic-hosted massive sulfide (VHMS) deposit with an on-site concentrator, producing copper and zinc concentrates exported via the Port of Geraldton to South-East Asian markets.The feasibility study (FS) had several iterations (JML, 2005a); the last dated July 2005 was specifically targeted to secure project funding, and summarised the reserves-only portion of the resource and its planned exploitation. The commissioning of the mine was the transition for the owner Jabiru Metals NL from junior explorer to producer and the project was the dominant asset of the company.Jaguar operated through several significant deviations from the linear project plan set out in the FS, including the Global Financial Crisis (GFC), a corporate takeover and disruption to the mine plan from the onset of material geotechnical issues. Whilst the GFC or mining disruption were not specifically predicted in the FS or peer reviews, the generic effects of the events were assessed in the project risk assessment and they influenced subsequent management decisions. In parallel to the internal project-specific risks, the short planned life of Jaguar was a risk to the continuation of the corporate entity which was being addressed by significant investment into brownfields exploration to extend or replicate the project, and ultimately added value such that attracted a corporate takeover.Holistically, the project delivered the returns predicted in the FS, but in a much different guise than was expected. This paper will describe the reality of operations compared with the study predictions and expectations through the perspective of the project and corporate risk assessment.CITATION:Jacobs, R, 2016. Jaguar base metals project case study – has reality reflected the study?, in Proceedings Project Evaluation 2016, pp 86–97 (The Australasian Institute of Mining and Metallurgy: Melbourne)."

Mar 8, 2016

By P B. Card

"The website www.economicevaluation.com.au, which had its origins at the Project Evaluation Conference 2009, provides a free way for industry professionals to teach themselves economic evaluation. At its core is a set of fast-moving modules and three worked examples.The website recognises that economic evaluation is a discipline with a hierarchy of three levels:decision-makingevaluating the project/businesshands-on modelling.There are a set of modules for each level that describe the concepts and activities in detail. These emphasise that the most important and rewarding work is the evaluation of Level 2. The economic model created in Level 3 is merely a working tool and should not become a sophisticated ‘trophy’ in Excel that only one or two people can comfortably use.Hands-on modelling contains three sets of practices designed to make any model rigorous and intuitive so that it can be easily understood and used by others in the project team. Even if the model develops into a long, detailed and complex workbook, it should remain easy to follow and be intuitive. The website advocates freedom to devise any architecture that best suits the project under study, but promotes rigour through the following practices:four cash streams and graphsthree architectures – concept, prefeasibility and feasibilitysix principles.The modules in the Level 2 evaluation use conversational language to describe in detail the broad range of activities needed to properly understand and characterise a project/business. It stresses that net present value is nothing more than the mathematical treatment of a whole set of opinions, is not an absolute truth and is only a fraction of the evaluation process. The modules describe in detail the range of economic metrics that should be computed and the full spectrum of equally important characterisations required to make the decision in Level 3.CITATION:Card, P B, 2016. Teach yourself economic evaluation, in Proceedings Project Evaluation 2016, pp 160–171 (The Australasian Institute of Mining and Metallurgy: Melbourne)."

Mar 8, 2016

By S Love, M Anderson, M Boland

"The high rate of failure of new mine developments to meet feasibility study expectations has been the subject of many fine technical papers. Yet failure rates remain stubbornly high.Similarly, the common occurrence of disastrous acquisitions resulting from failed due diligence on projects is well known. Yet such mistakes continue to be made.The authors argue that project and due diligence failure are caused at least partly by cognitive biases. These biases pervade decision-making throughout project evaluations.A wider understanding of these biases (and their effects) is necessary. Only then can mitigating actions be taken.The opportunity for this wider understanding exists. A number of best-selling books have been published on the topic in recent years. With wider understanding of key concepts and terms, cognitive biases can be recognised and discussed. They can also be challenged and mitigated.The authors believe that these concepts should be entry-level, required knowledge for anyone evaluating, developing, reviewing or financing mining projects.Perhaps the most prevalent biases in project evaluation failure are the ‘over-optimism’ biases. In particular, the planning fallacy and confirmation bias.The anchoring effect is also pervasive. This bias propagates unrealistic assumptions from scoping and prefeasibility studies through to so-called definitive feasibility studies. Unrecognised anchoring biases also undermine the validity of many ‘independent’ due diligence reviews. They are also prevalent in corporate acquisitions.The availability heuristic refers to a mental shortcut that can lead to a number of biases. One of these is the narrative fallacy. The mind constructs coherent narratives and opinions, regardless of the amount and quality of the information that support them. Narrative fallacy commonly occurs in the evaluation of social and political risk. Another is disaster neglect, which is especially common in the failure to assess risks associated with tailings management.This paper outlines the relevance of these biases to mine project evaluations. It also provides examples where the authors have observed their effects.CITATION:Love, S, Boland, M and Anderson, M, 2016. Influence of cognitive biases on project evaluation, in Proceedings Project Evaluation 2016, pp 226–235 (The Australasian Institute of Mining and Metallurgy: Melbourne)."

Mar 8, 2016

"Cash flow modelling during project evaluation is enhanced when probabilistic methods are applied to the inputs. One of the important inputs is the quarterly production profile. Typically, the steady-state production profile provided to project evaluation practitioners is deterministic, with each quarter the same as every other quarter. This is unrealistic as actual production profiles from existing mines exhibit a range or quarter-on-quarter variance. Monte Carlo stochastic simulation of the production profile can be used to provide a range of possible outcomes, but how are these ranges selected? This paper describes the use of quarterly production variance from a large database of mines worldwide as a benchmark to inform the appropriate selection of ranges. The coefficient of variation is used to rank the production from mines, with quartile analysis applied to indicate industry best, median and worst variation. Due diligence of existing mines and evaluation of future production performance can be quantitatively assessed using this approach. Examples of the effect on value are provided.CITATION:Stewart, C A, 2016. Production variance benchmarks and their use in project evaluation and due diligence, in Proceedings Project Evaluation 2016, pp 201–213 (The Australasian Institute of Mining and Metallurgy: Melbourne)."

Mar 8, 2016

By R Jacobs, J Yeates

"The Stockman base metals project is situated in State Forest in the alpine area of East Gippsland, Victoria, adjacent to a National Park and within the headwaters of a major Ramsar-listed wetland catchment and the Murray-Darling River system. Site topography is steep, and elevated (650 m – 1200 m above sea level), and subject to circa 1 m annual rainfall, with occasional winter snowfall. The project consists of two volcanogenic massive sulfide (VMS) deposits to be mined by underground methods and treated in a 1.0 Mt/a central concentrator to produce copper and zinc concentrates for export over a ten year operational life. New resource projects are rare in Victoria. Recognising the sensitive setting, planning for the Stockman Project, which is now in the advanced permitting stage, has focused on balancing economic, environmental and social outcomes to ensure social licence to operate is secured and can be maintained. This has involved close attention to triple bottom line (TBL) risks and outcomes. Stockman has successfully gained State and Federal approvals via the Environmental Effects Statement process. The process of obtaining these approvals has required close attention to effective stakeholder involvement, and management of a lengthy and difficult approvals process, which is still to be finally concluded. This paper is a case study of the process of that permitting and the issues encountered to date. Key learnings from the experience have included: successful approvals require close attention to much more than just the project and its technical aspects and physical setting – effective stakeholder involvement and endorsement is critical the differing consultation requirements for local, regional and government stakeholders, to design and plan implementation of a project to meet TBL objectives, and to gain social licence to operate within the Victorian approvals process, the need for an effective lead government agency with policy authority dealing with material policy change requiring post-closure financial sureties estimating realistic permitting time and cost during the project evaluation phase. CITATION: Jacobs, R and Yeates, J, 2016. Stockman base metals project – sustainability, social licence to operate and permitting lessons learnt, in Proceedings Project Evaluation 2016, pp 98–110 (The Australasian Institute of Mining and Metallurgy: Melbourne)."

Mar 8, 2016

By Walter Valery

Dado que el mercado de metales se hace cada vez más competitivo, se busca implementar nuevas tecnologías y metodologías más eficientes que aseguren la rentabilidad de la operación minera largo plazo. En ese sentido, el presente texto describe el procedimiento para iniciar e implementar el programa Metso Process Technology & Innovation (PTI) como parte de la metalurgia. Para ello, se describen los datos requeridos y la forma cómo deben ser evaluados e incorporados a los modelos GeoMetso. Así el programa surge como una alternativa costo-efectiva para ejecutar modelos geometalúrgicos de mayor precisión, de forma que se optimizen los resultados para las operaciones a lo largo del periodo de vida de la mina.

Mar 1, 2016

By Yohan Cha, Eun-soo Hong, Gye-Chun Cho

"Rapid population growth and scarcity of space have led many developed cities to bury supply facilities. In line with this, utility tunnels have been employed in Korea since the 1970s. However, approximately 70% of structures were installed more than 20 years ago, in response to the issue of ageing, tunnel enlargement has been proposed. The aim of this study is to investigate geo-mechanical behavior due to tunnel enlargement. Tunnel enlargement methods have been researched to suggest a optimal method. A finite element analysis is conducted to evaluate ground behavior by the expansion of internal space. Vertical displacement and settlement trough width are investigated according to ground stiffness and different enlargement size. It was determined that displacement is affected by the enlargement size and ground stiffness. Based on the deformation results obtained from the numerical analysis, it is possible to predict ground behavior and stability upon tunnel enlargement. INTRODUCTION Various infrastructures such as electric lines, communication lines, gas pipes, and water pipes are jointly accommodated by utility tunnels. These utility tunnels improve the aesthetics of urban areas and help ensure stable supply. The first utility tunnel in Korea was adopted in 1978 and new tunnels are still being installed with the development of new suburb cities. Nevertheless, about 70% of the utility tunnels were installed over 20 years ago and they are still being used through ongoing repair. Moreover, 90% of utility tunnels were installed before 1995. With aging of the nation’s utility tunnels various problems such as concrete deterioration and scarcity of capacity have arisen. As solution, reconstruction has been considered. Reconstruction can enlarge space and improve the performance by replacing existing structures. For reconstruction, two routes have been proposed: underground excavation and cut and cover. In order to avoid traffic problems caused by road occupation and civil appeals during construction projects, underground excavation is the more attractive option. Tunnel enlargement methods have been classified (Seo et al., 2008; An et al 2013) and major considerations during tunnel enlargement have been outlined (Beak et al., 2007). Enlargement construction cases on road tunnels around the world were introduced (Kim et al., 2012) and the deformation curve during tunnel expansion was proposed to investigate the range of protection that should be offered (Kim et al., 2008; Beak et al., 2011). However, tunnel enlargement technology is limited to road tunnels and railway tunnels. Hence, a study on shallow box tunnel enlargement is required for practical application."

Jan 1, 2016

By Jordan Hoover, Erika Moonin, Chuck George

"In response to a severe regional drought and in preparation for the further decline of water levels in Southern Nevada’s Lake Mead, the Southern Nevada Water Authority (SNWA) built a new intake system to ensure water supply to Las Vegas and its surrounding communities. In 2015, design began on the Low Lake Level Pumping Station (L3PS) that will move the water from this lower intake, ensuring operability of the water delivery system despite these declining lake levels. The L3PS Project includes a 159-meter-deep shaft, a large underground chamber, and 34-each 152-meter-deep, 2.4-meter-diameter drilled well shafts to be constructed in highly faulted and fractured ground. The Construction Manager at Risk (CMAR) delivery method was chosen to facilitate early contractor involvement in the design process to address the significant challenges and risks anticipated on this US$650 million Project. This paper describes the CMAR selection process; the CMAR involvement during design and benefits resulting from that involvement; and the unique collaborative effort among the owner, engineer, program manager and CMAR used to evaluate and select the best design approach, preferred underground construction methods, and coordinated geotechnical baseline report. PROJECT BACKGROUND AND NEED Seven of the United States’ western states rely heavily on the Colorado River and its tributaries for their water supply. The primary source of water for the Colorado River is winter snow that falls in the mountains ringing the Colorado River Basin. Flows in the Colorado River vary significantly from year to year, depending on the amount of snow and rain deposited in the basin. Beginning in the year 2000 and continuing to the present, snowfall has been well below documented historical averages and Colorado River flows have diminished."

Jan 1, 2016

By Albert Neumann, Franz-Werner Gerressen, Giancarlo Santarelli

"Diaphragm walls are known as underground structural elements commonly used for retention systems and permanent foundation walls or elements. In addition they are also quite often used as deep groundwater barriers, named Cut-Off-Walls (COW). Due to the requirements of each particular job site, e.g. the need for carrying high loads or as seepage barriers, there is an increasing industry demand for efficiently cutting into rock. Besides the removal of boulders, cutting through rock, is always the most difficult part of the excavation process of a diaphragm wall or COW.There are a number of influencing factors which have an impact on the rock cutting performance. Besides the influence of the rock characteristics itself, which is not always the same, there are other factors related to equipment, tooling as well as the operating staff. In addition to RQD, the most commonly available rock property found in geotechnical reports is the Unconfined Compressive Strength (UCS) value. There are however some other related properties, such as weathering, bedding, inclination, abrasiveness, etc.,which can have a major impact on the achievable cutting performance. This paper will discuss the various parameters, and how they can be considered for performance estimation. Based on experiences gained on over 100 projects, a performance estimation chart was developed to allow for a better approach to these kinds of projects. This paper also explains the general installation process in as well as some specific features related to specific site conditions. In addition, some job site references will give more detailed information about such type of site conditions and how to deal with them.Keywords: Diaphragm wall, Cut-Off-Wall, Trench Cutter, RockINTRODUCTIONDiaphragm walls are known as underground structural elements commonly used as retention systems for excavation pits, shafts, permanent foundation walls and load bearing elements.It can be anticipated that, with the increasing trend of utilizing more and more underground space to accommodate environmental considerations and urban/suburban development, there will be an increasing requirement for diaphragm wall usage in even more difficult conditions.In addition diaphragm walls can also be used as deep groundwater barriers (Cut-Off-Walls). This market has demonstrated that the demand for these types of walls is reaching ever more difficult soil conditions and greater depths which are surpassing the current industry standards. The trench cutter is the most important tool for performing this type of work."

Jan 1, 2016

By J. Fu

"Since it was first identified in 1817, selenium has received considerable interest. Native selenium and a few selenium minerals were discovered several decades later. With the increasing number of selenium minerals, the occurrence of selenium minerals became the focus of much research. A great number of selenium deposits were reported all over the world, although few independent selenium deposits were discovered. Selenium is obtained mainly as a byproduct of other metals, and is produced primarily from the anode mud of copper refineries. This paper presents a comprehensive review of selenium minerals, as well as the treatment of copper refinery anode slimes for the recovery of selenium. Our focus is on the selenium minerals, including their discovery and occurrence, and the distribution of selenium resources. In addition, the main methods of recovering selenium from copper anode slimes are summarized. IntroductionSelenium (Se) was first observed in 1817 in a laboratory (Greenwood et al., 1984). The discovery of selenium was made by the Swedish chemist J.J. Berzelius and J.G. Gahn, who isolated selenium from a red residue in sulphuric acid from pyrite mined at Fahlun, Sweden. Selenium was named from the Greek word selene (moon), since it resembled tellurium, which had been discovered a few years earlier and named from the Latin word tellus (Earth).After the first observation of selenium in the laboratory, selenium received considerable interest. In 1954, E.P. Kaiser pointed out that Se is enriched in sulphide ores and often associated with Bi, Co, Sn etc. (Kaiser 1954). In 1959, Hawley and Nichol investigated selenium in Canadian sulphide minerals, and presented the content of selenium in sulphide from several deposits of different types. They also proposed that Se is enriched in lowtemperature hydrothermal pyrite (Hawley and Nichol, 1959). The thermodynamic conditions for forming native selenium and selenium minerals in sedimentary rocks were discussed, as well as geochemical behaviour of selenium near the oxidation zones of sulphides in the 1970s (Howard III, 1977; Zhu et al., 2003). Zhu et al. examined the morphology, features, and genesis of native selenium from Yutangba, Enshi City, Hubei Province, China in 2004, and pointed out, from the different forms of native Se, that selenium can be activated,transformed, remobilized, and enriched at sites such as in the unsaturated subsurface zone or in the saturated zone (Zhu et al., 2005). The transport and deposition of selenium in felsic volcanic-hosted massive sulphide deposits of the Yukon Territory, Canada was studied and reported by Layton- Matthews et al. (2005)."

Jan 1, 2016

By M. K. Boateng, K. Awuah-Offei

"Language barrier in a workplace affects workers’ productivity and safety. The objectives of this paper are to: (1) review the various approaches for breaking language barriers among miners; and (2) analyze the costs and benefits of these approaches, and make recommendations on the way forward. The authors achieve these objectives by reviewing the current approaches in breaking language barriers among miners. The review reveals that some of these approaches can be expensive with less benefits. Thus, it is concluded that mining companies should carefully select the optimal approach to break language barrier. INTRODUCTION Multi-national mining companies have expanded their operations into non-traditional mining destinations to grow and meet market expectations. For instance, Newmont Mining Corporation has about 14 operations and projects located in Africa, Asia, Australia and America (Newmont Mining Corporation Operations and Projects, 2015). Similarly, Freeport-McMoRan operates about 14 mines in North America, South America, Southern Asia, and Africa (Freeport-McMoRan Inc., 2015). Some mining companies have also attracted expatriate workers into their workforce. For example, Ma’aden, the Saudi Arabian mining company, in its 2013 annual report states that 34% of its total employees are expatriates (Ma'aden, 2013). Expatriates constitute a key source of skilled labor and facilitate skill transfer. The success of many international operations relies greatly on expatriate performance (Erbacher, D'Netto & Espana, 2006). Even companies that do not expand their operations into other foreign countries still have to deal with language barriers due to changing language demography of the country and the areas from which labor is sourced. For example, the language composition of the workforce and languages used in South African mines is diverse with miners proficient in Afrikaans, English, Zulu, Xhosa and others to varying degrees (Research Focus (Pty) Ltd, 2011). As a result of these trends, most mines today operate with a multinational workforce. This means cultural differences, including language barriers, exist among the miners. Marschan-Piekkari, Welch and Welch (1999) emphasize the fact that language problems become prominent as companies internationalize and grow their operations into more countries. According to a survey by Forbes, language barrier affects operations. For example, business owners acknowledge that language proficiency may promote a safer work environment (Rubin, 2011). A research has shown that language and cultural barriers in a workplace contributes to reducing workers’ productivity, increasing accidents, and hurts employers’ ability to recruit, hire and retain workers (Morris, 2002). Hence, mines are making efforts to break language barriers in their operating environments. Ma’aden, for instance reported in 2013 that 1,506 of its employees received training in English as a second language (Ma'aden, 2013)."

Jan 1, 2016

By M. Rudolph, T. Leißner, TU Bergakademie Freiberg, C. Mämpel, R. Möckel, M. Embrechts, T. Leistner

Tin-mining activities have taken place in the region of the German Erzgebirge (Ore Mountains) for over hundreds of years up until 1991. For long times, gravity separation processes used to be the dominating beneficiation approach in those mining districts to recover cassiterite, the main tin-bearing mineral. For fine (< 100 µm) and very fine (< 20 µm) particles these approaches might not represent effective techniques, significant valuable materials could not be recovered and reported to tailings, where it was subsequently disposed. Thus, there are substantial amounts of cassiterite still present in these tailings disposals, most of it as very fine particles with already high degrees of liberation. That fact brings these tailings disposals into focus for potential reprocessing using beneficiation approaches, which are more sensitive to fine and very fine particles. In this paper we present results concerning the laboratory-scale treatment of material from exemplary heaps of the former Altenberg and Ehrenfriedersdorf mining sites using various flotation methods (including conventional froth flotation and oil-assisted flotation). Different size ranges of the material were previously prepared in order to investigate their response to the different techniques. For the study, special emphasis is put on agglomeration flotation, an oil-assisted flotation method. Therefore, an aliphatic oil phase of alkane basis is used to either selectively aggregate or collect the cassiterite particles. Recovery and flotation performance results are presented with respect to different process parameters: various collectors (including sulphosuccinamates and phosphonic acids) and depressants (including sodium fluorosilicate and oxalic acid) regime, oil dosage, agitation time and pulp density during oil/pulp agitation. Furthermore, the oil/particle aggregation behavior is analyzed via particle image analysis and, additionally, collector adsorption characteristics are investigated by contact angle measurements and zeta potential analysis. The data obtained is correlated with the testwork results achieved in order to interpret the flotation response of very fine cassiterite particles.

Jan 1, 2016

By Bauer, Steve, Colin Goodwin, Gerald, Randy Dempsey, Courtland

"The City of Ottawa’s Combined Sewage Storage Tunnel consists of two interconnected tunnels totaling 6.2 km with a diameter of 3m including access shafts and hydraulic structures which connect to the City’s most critical sewers. This tunnel will be built 15m to 30m below ground in the downtown core adjacent to, and crossing below, the Light Rail Tunnel, which introduces additional considerations in terms of sequencing and risk mitigation. The City embarked on a unique Procurement Process to address the risks involved with a large tunnel project and those associated with tunneling below downtown, underneath and adjacent to UNESCO World Heritage Sites, and connecting to live critical sewers. This paper describes the unique procurement approach employed and the contractual risk mitigation measures developed to provide the best value while minimizing risk. Specific features include Market Sounding, using a Fairness Commissioner, Contractor Prequalification and Risk Mitigation Measures in the Tender documents. INTRODUCTION This paper describes how the City of Ottawa (the City) and the project design team developed a strategic Procurement Process and Tender that incorporated industry best practices for technical and contractual risk management for the Combined Sewage Storage Tunnel (CSST) project. The process was unique in that, while it employed a systematic review of project risks, it also solicited input from industry, stakeholders and provincial and federal partners to develop the request for Tender for this traditional design-bid-build project. Key drivers for this approach were initiated from the City’s concerns for cost control, cost certainty and overall project risk mitigation. To address these concerns, the City implemented the risk review and mitigation process right from the project design team selection. It was critical that the project design team embraced this risk management philosophy and carried it through each phase of the project. This paper serves as an excellent resource for municipalities or other owners embarking on a similar tunnel project, on how to properly apply industry best practices and the benefits of using them."

Jan 1, 2016

By T. Celik, B. Genc, C. Musingwini

"Mine planning software continues to be an important factor when it comes to the development of the South African mining industry. To contribute to this development, a new methodology to define and measure mine planning software utilization in the South African coal mining sector within an evolving data-set framework was developed. An initial data-set showing the mine planning software providers, their corresponding software solutions, as well as the software capabilities and information on the number of licences was collected and compiled in 2012 in an online database for software utilized in the South African mining industry. Details of the database development and implementation were published in the Journal of the Southern African Institute of Mining and Metallurgy in 2013. In 2014 the data-set was updated with additional and new information.In this paper, using the 2012 and 2014 time-stamps, a methodology for estimating the software utilization is developed. In this methodology, three variables: commodity, functionality, and time factor are used to define and measure the software utilization in order to ultimately inform decision making strategies for software utilization. Utilization in the coal sector was measured according to six different functionalities, namely Geological Data Management, Geological Modelling and Resource Estimation, Design and Layout, Scheduling, Financial Valuation and Optimization. The methodology is useful for stakeholders reviewing existing software combinations or intending to purchase new software in the near future and wanting to estimate the comparative attractiveness of a certain software package. These stakeholders include mining companies, consulting companies, educational institutions, and software providers. The work presented in this paper is part of a PhD research study in the School of Mining Engineering at the University of the Witwatersrand."

Jan 1, 2016

By Aldo Bellone, Francesca Rossano, Massimiliano Bringiotti

"In 2004 works started for the now completed seven-level automated car park accommodating 480 parking spaces inside the pre-existent “Morelli cave”, located in a strategic area in Naples. Since 470 BC Greeks initiated the growth of the fascinating world of the underground Naples, of which this cave belongs. It seems that once here the god Mithras was worshiped. It’s also became a quarry for tuff extraction and in 1600s it became an aqueduct serving the area. In 1853 the Bourbon Tunnel, a project commissioned by King Ferdinand II of Bourbon to allow easy escape from the Royal Palace in case of riots, was connected to this network of tunnels. The cavern became an air raid shelter during the Second World War, then a deposit of cars and motorcycles in the '50s and' 60s, a disposal area and it has been abandoned in the last 40 years before it’s new utilization. INTRODUCTION Over time, the overcrowding and congestion of major cities’ historic centres has led to seeking spaces underground that can accommodate activities and car parks, as in the case of the Morelli cavity, site of the future car park by that name. Before describing its characteristics, design solutions, and executive problems, it is necessary to introduce the site historically into the broader landscape of the cavities present below ground in the municipality of Naples. The province of Naples, which includes the area of the Municipality of Naples, has a large number of cavities. The existence of “Naples underground” is connected with the morphological and geological conformation of its territory, consisting of tuff stone which has entirely special features of lightness, brittleness, and stability. The first transformations in the territory’s morphology, taking place thanks to the Greeks starting from 470 BC, initiated the growth of the fascinating world of Naples underground. These transformations were dictated by water provision requirements, which led to the creation of underground cisterns to collect rainwater, and by the need to recover construction material to erect the buildings of Neapolis. In subsequent centuries, the city’s expansion led to the construction of a proper aqueduct, which allowed drinking water to be collected and distributed thanks to a series of cisterns linked to a dense network of tunnels. During Roman rule, the existing aqueduct was expanded and perfected, but with the rise of the Angevins in 1266, the city saw great urban expansion, which obviously corresponded with increased extraction of tuff from the subsoil to construct new buildings. This confirmed a particular feature of Naples: that of having been generated from its own innards, with buildings rising directly above the quarry that provided their building material."

Jan 1, 2016

By Yongjun Peng, Yufan Mu, Rolf A. Lauten

"Chalcopyrite, a major source of copper, is commonly found associated with iron sulfides, particularly pyrite. The separation of chalcopyrite and pyrite by flotation is difficult due to the galvanic interactions between pyrite and chalcopyrite during grinding and flotation. Galvanic interactions may cause oxidation and dissolution of chalcopyrite, copper activation of pyrite and the formation of hydrophilic iron hydroxide coating. The overall effect may change the floatability of the components and lead to the misplacement of pyrite into chalcopyrite concentrate. The objective of this study was to investigate the effect of lignosulfonate-based biopolymers on the depression of pyrite in the flotation of chalcopyrite with xanthate as collector and the mechanism responsible for the selective depression of pyrite. The flotation results showed that biopolymers depressed the flotation of both copper-activated pyrite and chalcopyrite in single mineral flotation although to different extents. In the flotation of mixed mineral systems, biopolymers significantly depressed pyrite flotation but had a less influence on chalcopyrite flotation. The selective depression of pyrite by biopolymers was due to the preferential adsorption of biopolymers on copper-activated pyrite surface. Galvanic interactions between pyrite and chalcopyrite surfaces promoted copper activation on pyrite. Presence of cuprous ions on pyrite surface favored biopolymer adsorption by the formation of a complex between the cuprous ions and biopolymer molecules. The same galvanic interactions also facilitated chalcopyrite oxidation leading to the formation of hydrophobic polysulfide that enhanced the hydrophobicity on chalcopyrite surface. The biopolymer structure controlled the depression effect. The results showed that the biodegradable biopolymers are promising depressants for pyrite.INTRODUCTIONCopper sulfide minerals, such as chalcopyrite (CuFeS2), bornite (Cu5FeS4), chalcocite (Cu2S) and covellite (CuS), are the major mineral source for copper. They are often found finely interlocked with iron sulfides, especially pyrite (FeS2) (Owusu, Brito e Abreu, Skinner, Addai-Mensah, & Zanin, 2014). Pyrite, as the most abundant sulfide mineral, is perceived as gangue in most cases and should be removed from the associated sulfides to minimize its contamination of the copper concentrate (Owusu, Addai-Mensah, Fornasiero, & Zanin, 2013; Wang & Forssberg, 1991). The commonly used strategy to remove pyrite is flotation (Wang & Forssberg, 1991)."

Jan 1, 2016