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Production sharing and cost apportionment in joint ventures is commonplace in Australasia today and elsewhere. It is a recognised convention that, with the exception of a free carry situation, joint venture participants usually share the proceeds of the joint venture in direct proportion to their respective participating interest, after having first paid its respective cash calls, in advance, to cover the projectÆs ongoing operating and capital cost requirements.In surface mines, the parties simply pay their way and take their proceeds in this manner. In underground mines, the situation is no different, though treatment of capital, depreciation and tax may differ between the parties. A common feature in many cases is the creation of a joint venture entity to conduct the business. This entity then collects cash from the parties, banks it, employs the staff, runs the operation, provides reports and pays out the proceeds. This convention appears to be relatively simple in application. In practice, it has been known to be complicated in the situation where the participants take their product at the mine gate and undertake their own marketing and selling arrangements. A more complex situation presents itself where the joint venture tenement boundary with an unrelated third party straddles an economic deposit. In this scenario, both the joint venture parties and the third party may wish to mine the deposit, sharing some infrastructure and costs, yet taking their own product as it is produced. A case study outlining such a situation is presented in the paper, outlining firstly how the major cost categories were identified and treated for cost apportionment purposes. Secondly, a mechanism for the equitable apportionment of product is suggested. Finally, issues such as timing and cost reporting are dealt with, together with a checklist of points which should be considered when a similar situation might arise in the future.

Jan 1, 2002

By Eric Zahl

Researchers at the Spokane Research Laboratory of the National Institute for Occupational Safety and Health, Spokane, WA, have collaborated with three Western longwall coal mines in an ongoing effort to develop technologies that will aid in providing safe and stable working areas. The goal of the research described here is to develop a stress monitoring system that will provide immediate information to mine managers for making daily safety decisions as areas of poor ground are mined through. Initial work has focused on answering preliminary questions regarding the reliability and use of stress change patterns. Research is concentrated on monitoring horizontal stress because horizontal stress is transmitted over long distances through stiff strata, thus allowing an extended length of entry to be monitored. This paper presents an explanation of the concept, key results from field tests at two mine sites, and a proposed process for imple¬menting a monitoring system. System design layouts, instrument use, data collection and interpretation methods, and processes to present findings to mine staff are described. Additional validation and correlation with actual failure mechanisms are required before this approach can be recommended at ongoing operations. How¬ever, initial results indicate that this approach shows promise in mines prone to bumps and roof falls associated with large stress changes. In particular, analyses of measured changes in horizontal stresses appear useful.

Jan 1, 2002

By Colin Curtis

The City of Manchester is hosting the 2002 Commonwealth Games. A world class Stadium with a 38,000 capacity was commissioned for a site located close to the City Centre. The Stadium location is in an area that was derelict and in need of regeneration and it is envisaged that the Stadium will be the spur for this. The industrial and residential history of the site has left a legacy of buried foundations together with chemically contaminated soils. This Made Ground deposit overlies Glacial Deposits which in turn overlie bedrocks of the Central Manchester Coalfield. Coal mining has taken place from at least 1761 leaving several worked seams and shafts. In order to support the stadium, 1159 conventional augured piles of 600 to 1200mm diameters were used. This paper will deal primarily with the piling operations and testing, but will also discuss the coal seam treatment with respect to piling. A substantial trial pile test programme was carried out together with 11 static load tests on contract piles. The results of the pile tests will be discussed and conclusions drawn.

Jan 1, 2002

The Golden Cross project was a joint venture between Coeur NZ Ltd (80 per cent) and Viking Mining Company (20 per cent). The site is located in the Waitekauri Valley, 8 km north-west of Waihi, on the Coromandel Peninsula, in the North Island. The mine-site is situated close to the Coromandel Range Divide between the headwaters of the Waitekauri River and the Martoto Stream. The site has a history of Gold Mining dating back to 1892. The more recent mine comprised an open pit and underground gold and silver operation from December 1991 to April 1998, MacGillivray, Maton and Goldstone (2000).Doug Hood Ltd commenced the first of three contracts on site in September 1997 and was responsible for completing the final stages of open pit mining, landslide remedial works mine closure and rehabilitation works. The Mill Closure and Rehabilitation and Drainage Works contract, for which this submission relates, commenced in September 1999 and was officially completed by Doug Hood Ltd. on the 26 May 2001.This paper endeavours to highlight the project objectives and backgrounds them against the difficulties experienced with respect to the site-specific conditions, the design complexities and risks associated with the contract, from a contractorÆs perspective.

Jan 1, 2002

By S. MacGregor

The role of horizontal stress, its orientation and magnitude, in defining the behaviour of strata in underground coal mines has been well established. Poor panel layouts have led to gate end stress concentrations, roof falls and lost production. The ability to define the horizontal stress regime over a mine site has historically been limited to point measurements, in part due to technology and cost. Recent advances in the application of geophysical tools, notably the acoustic scanner (borehole televiewer) have resulted in a new technique to conduct stress measurements. By quantifying the nature of borehole breakout and the mechanical properties of rocks in which they occur, this technique provides the ability to: obtain a vastly greater number of measurements, both at different depths and spatial distribution, than other techniques such as overcoring or hydraulic fracturing readily obtain depth versus stress relationships define geotechnical domains on the basis of stress direction and in-situ stress magnitude for mine planning purposes This paper presents an overview of the technique and presents case histories in its application at a mine site in the Sydney Basin, Australia.

Jan 1, 2002

Problems caused by water discharge from surface mine ventilation shafts can be significant and are usually unforseen. The discharged water is often hyper-saline or acidic and can cause environmental degradation over a wide radius. It can also lead to recurring power pole fires and primary fan breakdowns. A range of solutions to the water discharge problem has been implemented in many Australian mines. In most cases the solutions have been ad hoc, with the overall cost and effectiveness varying tremendously. This paper reviews and contrasts the practicality and effectiveness of the various available remedial options.

Jan 1, 2002

MIM Holdings Limited has acquired a reputation for the successful application of R&D to develop break-through technologies for the mining industry. The Isa Process tank-house technology has been licensed to copper refineries throughout the world, and almost 40 per cent of the worldÆs copper is refined using this technology. Isasmelt copper and lead smelting technology is either in use, or is currently being installed, by eight companies in eight countries around the world. Jameson Cell technology is widely used in the coal mining industry and increasingly in the base-metal industry. The IsaMills developed at Mount Isa and McArthur River made it possible to develop the McArthur River and George Fisher orebodies. This paper will address the need for innovation and then discuss the development of the IsaMill and Isasmelt technologies. It will conclude with some comments about why MIM has been so successful in developing such technologies.

Jan 1, 2002

By Alain Bouchard, Germain Labonté, Jim Barrett

"Mill feed materials that are not run-of-mine ore are often a challenge for mineral processors and tend to accumulate in stockpiles, where they remain unprocessed for many years and become “slow moving inventories”. During a complete re-evaluation of the Clarabelle Mill operation (38,000 ton/day capacity) in 2000, it was concluded that there was an opportunity to assemble a 5,000 ton/day custom circuit to treat such stockpiles in the equipment that remained available during regularly scheduled maintenance shut-downs.This project was part of the larger Mill Redesign Project and involved testing the intended flowsheet under a number of operating scenarios for the first material to be treated: spent refractory bricks. The laboratory focus was on how to maximize returns using the available equipment and reagents.The circuit was successfully commissioned in the fall of 2000. As the brick stockpile was depleted, other potential feeds were evaluated at the laboratory, as well as in the new custom circuit itself. Processing of the spent refractory brick has yielded a significant contribution to the profitability of INCO. Significant opportunities lie ahead for generating more value from other slow moving inventories.INTRODUCTIONIntegrated mining operations tend to have slow moving inventories along the path from the mines to the finished products. Spent refractory bricks from furnaces and converters and furnace bottoms are materials that often end up in long-tern stockpiles. Such stockpiles are a challenge, although they represent small tonnages on an annual basis, because they are unique materials, which cannot be readily brought into the process at a rate anywhere near that at which they are produced, due to the high contents of deleterious components such as chromite or magnesia. Accumulation over years will eventually yield a metal inventory worthy of consideration given the right opportunity, such as availability of spare equipment or peak metal prices."

Jan 1, 2002

By J. A. Burger

Research in the eastern U.S. has shown that productive mine soils and forests can be restored using the following guidelines: (1) cooperation among the mine operator, landowner, and regulatory authority in developing the mining permit; (2) replacing topsoil or creating a desirable medium in which trees are planted; (3) loosely grading non-compacted topsoil; (4) using native and non-competitive domestic ground covers that quickly protect the site; and (5) planting a proper silvicultural mix of crop trees for their commercial value along with nurse trees for wildlife and soil improvement.

Jan 1, 2002

By Ramdane Bahar

The new Algiers airport building is a reinforced concrete building of more than 80 thousand square meters of floor slabs. It is located at Dar-EI-Beida, near the old passenger terminal, about 20 km east of Algiers. The project is designed to receive about six millions passengers annually and leaves the possibility of future extension. Due to the presence of a top layer of compressible soil and great concentrated loads transmitted to the foundations, the building is to be founded on 1730 bored piles of 1.2 meter diameter varying in length between 14 and 28 m. Construction work started in 1986 and was interrupted in 1996 due to financial difficulties when the structure was almost complete. The structure was left unattended for more than three years without any weatherproofing and in 1999 a new firm was appointed to complete the work and hence an evaluation of the existing structure was necessary. This paper describes and discusses the foundation design, construction supervision, site quality control and assessment by the parallel seismic method of the deep foundations built in cohesive soils. The variation in soil conditions and identified geotechnical and hydrogeological problems associated with the development of the area, required a thorough knowledge of the soil conditions. A variety of tests, involving more than 200 locations, were carried out. The ground investigation, pile tests as well as different problems encountered during piles construction, are presented.

Jan 1, 2002

By James P. Bennett

The successful reuse/recycling of refractory materials after removal from industrial service is limited because of contamination, the low value of spent materials, the low cost of virgin raw materials, the lack of driving forces such as regulations or taxes, and low disposal costs. Most spent refractory is disposed in landfills. Concerns over future liability for waste materials, corporate images, and IS0 14000 have helped to encourage recycling at some companies. The recycling practices and application for spent refractory materials at facilities successfully recycling used refractory materials will be discussed, with emphasis on similarities.

Jan 1, 2002

By Anthony D. Hammond

Geographic Information Systems (GIS) are powerful analytical and data display tools for mining industry management, capable of linking spatial features with tabular data and integrating communications across departmental boundaries. This GIS application concentrates in four technical areas of underground mining: ownership and mineral claims; exploration management; production; and mine safety. GIS provides land and exploration managers with the ability to consolidate and archive claim data and to georeference property maps defined in local coordinates into world coordinate systems. It facilitates optimal siting and querying of service installations and refuge chambers relative to production centers. GIS's proximity analysis identifies areas of potential safety concern and points to and maps the shortest routes to emergency exits, facilitating the prompt evacuation of mine personnel.

Jan 1, 2002

By George Gardner

The rapid growth of highwall mining in the Appalachian coalfields has resulted in unique safety concerns. Due to the concentration of activity at the base of the highwall and the potentially destabilizing influence of the mining process, proper mine planning and continual monitoring of the ground conditions is essential to ensure a safe and productive operation. This will also help to minimize the need to recover equipment that has become entrapped underground, and the subsequent hazards associated with a recovery operation. Adequate geotechnical site investigation and rational design methods should enable mine planners to properly account for the site-specific conditions that influence web and abutment pillar, roof, floor, and highwall stability. This paper examines the growth of highwall mining, provides a general overview of the various safety concerns, and reviews the modes of highwall failure as they relate to a highwall mining operation. Gcotechnical considerations that should be taken into account before and throughout the mining operation are emphasized. The importance of closely examining and monitoring highwall conditions for subtle signs of highwall instability will be discussed.

Jan 1, 2002

By J. Kulas, J. Weaver, K. Hagley

An assessment of potential groundwater movement beneath the tailing impoundment at the Red Dog Mine was performed, and has indicated a unique aquifer situation within sub-permafrost groundwater at the site. The aquifer was shown to be isolated from both vertical recharge and a real discharge, and is characterized as a virtually no-flow system. The permafrost resulted in a deep aquifer with high tidal efficiency, meaning that variable surface loads are easily transmitted to the fluid. The tidal efficiency has been characterized through analysis of water level fluctuations that respond to earth tides, barometric pressure loads, and loading from the pond.

Jan 1, 2002

About 90 per cent of the pre-mining BIF-hosted iron ore resource of the Hamersley Province of Western Australia is of the Phanerozoic supergene martite-goethite type. The remaining ten per cent formed as supergene deposits at ~2000 ¦ 200 Ma, and were later modified by burial to form the Proterozoic martite-microplaty hematite ores. The supergene-metamorphic segment of this general unified model has been challenged by three recently published hypogene-based genetic models for the hematite ores, all requiring meteoric oxidation to produce the ore. The most recent and detailed, by Taylor et al (2001), is based on data from the small Southern Batter and North deposits of the Mount Tom Price mine. The authors proposed that during Stage 1 æoverpressured bicarbonate-saturated basin brines from the dolomite aquifer of the Wittenoom FormationÆ at 150 - 250¦C, dissolved free silica from BIF to produce a stratigraphically thinned, magnetite-carbonate-silicate-apatite rock. In Stage 2, meteoric oxidation of siderite to secondary microplaty hematite + ankerite, and magnetite to martite, at unspecified elevated temperatures and pressures, was followed by carbonate leaching (Stage 3). Finally, during Stage 4, weathering with removal of apatite, produced the typical low-phosphorus, porous martite-microplaty hematite ores of the Tom Price-Whaleback type. However, evidence of both microplaty hematite and martite reduced to magnetite, and of infill silica, apatite, and ferroan chlorite, with late-stage pyrite, in the pore space of martite-microplaty hematite ore, shows that the hydrothermal activity at Mount Tom Price is a post-ore event. Neither pyrite nor ferroan chlorite could resist the oxidation required to form hematite ore. Recrystallisation of microplaty hematite in these infilled zones to a typically coarser form than present in most of the normal ores, is a further supporting factor. A more credible, post-ore alternative to the hypogene genetic model is suggested here. Re-exposure to leaching by ground water of the metamorphosed ore deposits in the Phanerozoic resulted in the partial removal of remnant goethite. Localised modifications in the porous BIF/ore contact zones were driven by exothermic oxygen/pyrite/carbon reactions in the footwall Mt McRae Shale. Cool descending oxygenated meteoric water in the permeable ore horizons, acted as one limb of a thermal convective cell. In the other limb, heated reducing solutions rose through the permeable contact zones, to produce the observed localised modifications of BIF and ore. Expelled silica from the carbonatised BIF invaded adjacent porous ore to form erratic silicified ore zones, and to produce the local quartz vein systems found in the associated overlying BIF.

Jan 1, 2002

By Denis Huber

The technical assessment of the final works on the "Stéphany Palace" project at Menton in France's Alpes-Maritimes region shows the importance of daily project monitoring based on the observation method recommended by the European standard Eurocode 7 which applies to Foundations and Geotechnical Engineering. Excavation operations to a depth of 10 m near the France-Italy railway track and adjacent buildings required precise observation of land deformations, regular piezometric monitoring as well as special design arrangements. Temporary active tie-rods were thus placed in phases in order to control deformations in the retaining structures resulting from excavation operations. The Menton region, terminating the Alpine arc of mountains, naturally required the consideration of seismic forces in phase in the lower floors of the building, directly linked to the buried walls. These calculations were carried out in accordance with the PS69/92 rules, calling for an increase in dynamic thrust under the effect of gravity field rotation.

Jan 1, 2002

The Pongkor Gold Mine employs 678 staff. The mine is owned by the Indonesian state company PT Antam Tbk and is located 100 kilometres south west of Jakarta, in Java, Indonesia. Mine and infrastructure development started in 1992 following intensive geological exploration over 15 years. First gold production was in June 1994. The mine comprises three main orebodies: Ciguha, which is nearly mined out, dips at 75¦ from surface to 150 m. Kubang Cicau, dipping at 80¦ from surface to 230 m, and averages 3.5 metres thick at a grade of 10 g/t Au and 128 g/t Ag; and Ciurug, dipping at 60¦ from surface to 300 m and averages eight metres thick at a grade of 14 g/t Au and 172 g/t Ag. Present global ore reserves are 4.6 million tons at a grade of 12.3 g/t Au and 133.6 g/t Ag. Exploration is continuing for new veins. Initial mining was by manual cut and hydraulic fill at Ciguha, followed by Kubang Cicau. In 1996, it was proposed to convert Ciurug to a mechanised cut and fill operation. Two single boom jumbos and three load-haul-dumps (LHDs) were purchased with the assistance of a gold loan from NM Rothschild and Sons. Implementation of this upgrade was delayed by both a national economic crisis and an invasion of the concession by illegal miners. It was not until May 1999 that raise bore vent rises and access drift infrastructure commenced. Major underground development started in 2000 and is continuing. Production cut and waste fill stoping started in July 2001. The change from manual to mechanised methods has required a total change in work practices and attitudes. However, the process has resulted in a production increase from 600 tpd to 1200 tpd. A three-month compliance test (a condition of the financing loan) was successfully completed, from July to September 2001, with an average production of 700 tpd at Ciurug and 500 tpd from Kubang Cicau.

Jan 1, 2002

By R MacGillivray

The Golden Cross mine was an open-pit and underground gold and silver operation from December 1991 to April 1998. Closure of the mine has been based on an approach agreed among stakeholders. The initial phase was the release of a closure plan which was regarded as the blueprint for the following phases and the closure works required to implement the plan. The second phase involved lodgment of consent applications and their granting for the final water management configuration. The final phase is monitoring, confirmation that the site is performing as required by the closure plan and consents and settlement of final ownership, management and surety arrangements. Industry best practice modelling techniques have been used to finalise closure design and have been shown to be good predictors of site water management and discharge performance. Site discharges are in compliance with toxicology based water quality criteria for the protection of aquatic life and most discharges from the site, including those from the closed cyanide-tailings facility, can now be discharged without further active intervention or treatment.

Jan 1, 2002

By R F. G Phelps

The former Gwynfynydd gold mine is located within the heart of the Snowdonia National Park, North Wales, United Kingdom. The black shale-hosted quartz reefs have intermittently produced more than 50 000 ounces of gold since 1863. Its most recent period of operation by Welsh Gold PLC was between 1992 and 1999 when it extracted 10 000 tonnes annually from a total resource base of 180 000 tonnes. A historical mining grade of 15 grammes/tonne was recovered from the Chidlaw Reef on which all production was based. Erratically distributed gold pockets hosted in the footwall zone of a 3 - 6 m wide quartz reef characterise the mineralisation. The gold exhibits a high-nugget effect and as a consequence the accurate determination of tonnage and grade was difficult. Production was undertaken by overhand shrinkage stoping. Due to its location within a National Park certain environmental constraints were placed on the operators. The principal requirement of planning permission was that processing should take place above ground and not involve chemicals. As a result, an underground mill based on physical separation methods was constructed in response to these environmental constraints. Much of the mine discharge is related to the flow of rainwater through the workings from surface openings on the reefs. Discharge from the underground milling facility was enhanced in various metals, particularly zinc, though was reduced to legally acceptable levels using liming tanks prior to discharge into the River Mawddach. The company was required to monitor and treat all water discharged from the mine before it reached the river. The mine closed in 1999, since which time a tip re-processing has continued as part of an environmental remediation and gold supply program.

Jan 1, 2002

By Doug Tesarik

The study of neutrinos?particles infinitesimally smaller than atoms?would be significantly advanced if a deep underground facility were available that would filter out unwanted cosmic radiation. Encouraging progress has been made in satisfying the criteria for such a facility with the selection of the Homestake Mine in Lead, SD, by the National Underground Laboratory Committee as the recommended site for a National Underground Science Laboratory (NUSL). The Homestake Mine is America?s oldest and deepest underground mine, and its well-maintained infrastructure to depths of 2438 m below the surface makes the mine an excellent site for such a laboratory. The investigation reported here is an initial study of the stability of the first of the proposed chambers. A cylindrical room with a dome-shaped roof and floor was analyzed in three dimensions using the finite-difference program FLAC3D. The results were compared to recommended support requirements based on Barton?s Tunneling Quality Index, Q. Based on model results and observations from previous mining studies, large rooms with 50-m roof spans can be constructed and will remain stable at 2141 m below the surface in the Poorman Formation when the rock is reinforced with cable bolts. Construction may be possible at lower levels in the Yates Formation if more extensive laboratory strength tests confirm initial results.

Jan 1, 2002