Search Documents

By I Thomson, L D. Black, R G. Boutilier

The social license to operate (SLO) began as a metaphor for the ability of communities to stop mining projects. Soon people began to speak of levels of social license and the ability of communities to raise costs without completely stopping exploration or mining activities. Today the concept has spread to other industries and is evolving towards becoming a general management perspective on the socio-political rights and responsibilities of the corporation. The business case underpinning the SLO perspective on management is the need to assess and manage socio-political risk. For mining companies, socio-political risk has been steadily rising for several reasons, including the efforts of non-government organisations (NGOs) to pre-empt government policy options; the entry of mining companies into jurisdictions weak in the rule of law; and the weakness of global economic and financial regulation. In this perilous world beyond the comfort zone of effective government, mining companies must build their own socio-political stability by engaging directly with stakeholders to develop a strong SLO. In order to become a practical management perspective, the SLO needs to be measurable, which amounts to measuring the socio-political risks and opportunities presented by stakeholders. We present the results of efforts since 2009 to develop a globally reliable and valid measurement tool at the project and industry levels, validated in studies in Australia, Bolivia, Mexico and the USA. A factor analysis suggested four factors that mine management can address to raise their SLO level. The most chronically neglected factor involves the political right of the corporation to foster more equitable social contracts locally and regionally in both developed and developing countries. We conclude with recommended steps to earn and maintain the social license at the project and industry levels.CITATION:Boutilier, R G, Black, L D and Thomson, I, 2012. From metaphor to management tool - How the social license to operate can stabilise the socio-political environment for business, in Proceedings International Mine Management 2012, pp 227-238 (The Australasian Institute of Mining and Metallurgy: Melbourne).

Nov 20, 2012

By G Jones

The Singapore Land Transport Authority (LTA) has been procuring the expansion of their underground mass rapid transit rail network at a prodigious rate since the first line opened in 1987. Four lines (149 km) are currently operating and several more lines are at various stages of planning/construction; one of these is the Downtown line stage 2 (DTL 2).DTL 2 contract C917 was awarded in September 2009 for S$320 M. On 18 June 2013 the original contractor became insolvent, leaving the works incomplete. Following a fast-tracked tender process, McConnell Dowell was awarded the S$254 M contract on 29 August 2013 to complete the works. This contract includes two underground stations constructed by cut-and-cover methods and twin bored tunnels between the stations. Each tunnel is 1400 m long, excavated by earth pressure balanced (EPB) tunnel boring machines (TBM) at an average depth of 20 m and segment lined to 5.8 m inner diameter. The tunnel alignment is located under a busy five-lane road lined with prime residential real estate and congested with utilities.To compound the difficulty the tunnels are located within the notorious Bukit Timah Granite formation. This has a very wide range of strength, from below 1 MPa to over 300 MPa. This strength range is a consequence of six weathering grades, from soil to fresh rock, with the fresh granite causing severe abrasion problems. The various grades can occur within a very short distance of each other. Consequently, the problem of supporting a mixed face exists, particularly in the intermediate weathering grades where intact rock is encountered in the invert and corestones within a loose soil matrix in the crown, which can increase the instability by allowing the ground to flow into the TBM.The focus of this paper will be the excavation of the bored tunnels by EPB TBM used by McConnell Dowell to complete these challenging works.CITATION:Jones, G and Shepherd, J, 2014. Earth pressure balanced tunnelling in a dense urban environment, C917A, in Proceedings 15th Australasian Tunnelling Conference 2014 , pp 41–50 (The Australasian Institute of Mining and Metallurgy: Melbourne).

Sep 17, 2014

By N M. Player, R P. Varden, E Jones

"An effective geotechnical design provides an accurate and appropriate assessment, balanced with a mining company’s risk profile. Justifying the cost of slope assessment requires an understanding of the input sensitivities, and resultant risk, to achieve a slope of a required functionality. As a project progresses from Scoping to Feasibility, the geotechnical risk becomes better resolved through increased expenditure on drilling, testing, analysis and modelling as long as the input data is appropriately spatially distributed. Providing accurate and appropriate geotechnical assessments in the early stages provides confidence in all following stages, especially where initial analysis indicates difficult geotechnical conditions. It is also in the early stages of project definition that there is most opportunity to maximise the value of the deposit through investigations into optimal mining methods.This paper examines the advantages of geotechnical engineering input through a project study period. Early geotechnical involvement allows the Scoping and Pre-Feasibility Studies to be more effective. Operational risks can then be better understood and dealt within the Feasibility Study phase, also ensuring that the correct risks and management controls are put in place.With commodity price pressure and cost of resource recovery in a downturned industry, reducing the risk to cash flow, resource recovery and safety should be a primary goal for all mining companies. Reduced risk can be effectively achieved through geotechnical design of slopes to achieve a required performance as part of an integrated study to the Reserve definition and mine design.Citation:Varden, R P, Player, J R, Player, N M and Jones, E, 2016. Justifying Slope Design Risks and Costs, in Proceedings Ninth AusIMM Open Pit Operators' Conference 2016, pp 185–201 (The Australasian Institute of Mining and Metallurgy: Melbourne)."

Nov 15, 2016

By M Szwec, P Corbett, P Sheffield

Centennial Coal operates the Springvale and Angus Place longwall mining operations that extract coal beneath the Newnes Plateau in the Western Coalfields of New South Wales. Springvale and Angus Place mines have a history of difficult geotechnical conditions, where mining operations are conducted with a thick coal roof interbedded with numerous claystone units and relatively high levels of vertical and horizontal stress. The combination of a relatively high stress regime and weak laminated roof has led to numerous roof failures throughout the mine’s life.Following underground roadway development, the mine roadways can experience high levels of roof movement that can lead to roof falls. Two-point wire extensometers (known as ‘telltales’) are extensively used for roadway condition monitoring. Along with extensive other geological and geotechnical data, monitoring data is used to prepare geotechnical hazard plans that are then used in all areas of mine planning to allow for safe and efficient operation of the mine.This paper presents a case study of the use of a new software tool that allows time-scaled visualisation of monitoring data in the context of longwall and development face positions and installed strata support. It can be used in the identification of geotechnical risk factors and their interaction with the mining process to allow a more robust geotechnical hazard process. It interfaces directly with the widely used ExtoChart database software and can be presented with scale drawings of geological/geotechnical data to allow correlation of monitoring data with risk factors.CITATION:Corbett, P, Sheffield, P and Szwec, M, 2014. A new tool for extensometer data analysis and improved understanding of geotechnical risk factors, in Proceedings AusRock 2014: Third Australasian Ground Control in Mining Conference , pp 217–232 (The Australasian Institute of Mining and Metallurgy: Melbourne).

Nov 5, 2014

By A G. L Pratt

Operational readiness is a commonly used term in mining and many other industry settings. However, translating this term into a coherent scope of work that is practical and meaningful is a challenge faced by many mining projects. This inhibits the allocation of resources to the work and its completion. The problem is with understanding how the terminology applies to establishing a mining operation. Resolving this problem requires clarity around what operational readiness means for a mining project’s transition to operations and who owns the tasks of completing operational readiness. The motivation for resolution of this problem is in appreciating the consequences arising from any lack of clarity in definition of this task, the timing of the work, and ownership for its completion. In broad terms, these consequences amount to an erosion of value at a critical time for both the new mine and the company and shareholders. This situation often arises where operational readiness is not adequately addressed in project’s study phases. As a result, neither time, resources nor money are adequately provided to complete the work required. In other cases, operational readiness is sometimes assimilated with the delivery of the project’s physical assets by the project’s construction team, rather than aligned with the establishment of the operating team to deliver the desired operational outputs. This paper argues that operational readiness starts in a project’s study phases and flows through into the start of operations. The definition of operational readiness is discussed as a task, and a model for its planning and completion is presented. This discussion includes assigning ownership for operational readiness planning and delivery to the General Manager of a new operation and the operations leadership team, who are central to the success of this work. After all, the reputations of this leadership team depend on the performance of the operation in its first few years. The author’s work over the last 20 years, leading operational readiness programs and the preparation of feasibility studies for mining projects, has provided the insights and evolution of ideas that are central to this paper. Operational readiness is fundamentally directed at ensuring a new mining operation gets away to a successful start and builds a solid foundation for the future of the mine/operation/province. It requires clarity of purpose, ownership and coordination by people in the operating team, and their preparation of the requisite process definition and establishment of the significant relationships required for operations. Without its successful completion, it is unlikely the new operation will meet and sustain its start-up targets. This paper discusses a practical approach to operational readiness for mining projects.

Mar 29, 2023

Addressing community concerns in relation to an economic activity, particularly when it causes significant community impacts, is especially important for the development of extractive industry projects. Pipelines comprise an integral part of many hydrocarbon developments, which may cause different effects on local economic development, communities and the environment compared with open cast mines. This paper explores community impacts associated with a case study of the oil pipeline æEastern Siberia-Pacific OceanÆ in the Republic of Sakha (Yakutia), Russia. Based on semi-structured interviews, conducted in 2006 - 2008 in Russia, the paper investigates claims of local communities about potential impacts of the pipeline development of their environments and economic activities as well as community claims for greater involvement in sharing the benefits from this major infrastructure project. A community of Indigenous people, Evenk, is likely to be most profoundly affected by the development due to impacts on their traditional activities such as hunting and reindeer herding. The paper examines in detail the regional economic, social, environmental and Indigenous peoples concerns over the construction of the oil pipeline and investigates actions and methods adopted by community organisations to voice their concerns about the pipeline development. Finally, the paper assesses the process of interaction between the pipeline developers and regional stakeholders.

Jan 1, 2009

It is well known that the ability to influence project value reduces significantly as planning progresses and decisions regarding project parameters are made. However, at the prefeasibility stage in particular, where one of the main aims should be to evaluate a wide range of options in order to select the best for more detailed further study, there is often a reluctance to spend the time and money needed to do this rigorously. This paper demonstrates, by a number of case study examples, how significant increases in value may be obtained by fully evaluating the combinations of alternatives for various project design parameters, including (though not limited to) mining methods, haulage methods, mining rates, processing methods and rates, sequencing of mining, and cut-off grades, with changes and upgrades over time where applicable. The additional value unlocked is typically orders of magnitude greater than the additional cost of the more comprehensive study. The dangers of misuse of simplistic sensitivity analyses and failure to identify how strategies might change in response to changes in external factors are also illustrated, and the importance of selecting the best ægrade descriptorÆ is discussed.

Jan 1, 2007

State ownership of minerals results in domestic legislation regulating mining operations. The mining industry today is dominated by a number of transnational companies, each subject to internal and external pressures for a more responsible approach to resource management. Thirty to 40 major companies are responsible for the bulk of the worldÆs mineral production with the balance coming from state-owned, second tier and junior companies and from artisanal miners.Mining companies operating within competitive commercial environments formerly focussed on mineral production. Companies worked to standards and expectations then current which largely failed to recognise the impact of mining activities on community interests. The mining industry acquired a reputation for arrogance, and for placing profitability ahead of issues considered equally or more important by local communities. Current perceptions continue to reflect disquiet about industry attitudes towards traditional land-owners and access to their lands, to environmental contamination, handling and storage of waste materials, utilisation of water and electricity, and to rehabilitation of worked out areas. Major international mining companies concerned at continuing criticism sponsored a series of initiatives with the objective of providing guidance on working harmoniously within the community. Industry commissioned studies, performed through the agency of disinterested parties, resulted in May 2002, in a Declaration being issued at an International Conference in Toronto. The Declaration was based on, but did not reflect all of the recommendations of the MMSD Report, æBreaking New GroundÆ.This paper considers whether benefits would result from the negotiation of a legally binding and enforceable international protocol encompassing the objectives of the MMSD report or the Toronto Declaration. It attempts to identify the problems associated with implementing and enforcing international mining law, should it be introduced. Aspects of mining operations having cover under customary international law are reviewed, as are rights, obligations and remedies for breaches of national mining law. Conclusions are drawn based on established procedures relating to implementing international agreements. The continuing ability of mining companies to operate within communities will result from each satisfying the communityÆs expectations rather than by complying with largely unenforceable legislation.

Jan 1, 2004

There is no doubt that the mining sector is considered to be the backbone of many countries. Furthermore, it has played an important role in the prosperity of nations, whether developed or developing. Saudi Arabia is one of these countries that has a large variety of metallic and non-metallic mineral resources that range in size and value occurrences of limited potential to deposits large enough to sustain profitable exploitation. Therefore, the Saudi government needs to reinforce the capacity of the sectoral institutions to better regulate and promote the sustainable development of the sector. The ability to overcome the administrative and legal complications that constrain private sector participation in the minerals sector, through new mining code which will streamline the procedures for obtaining licenses and will add more predictability and transparency to the application process, are proposed for increasing the sustainable development. This paper will outline how the Saudi government is tackling the major challenges that face the minerals industry. This paper provides the background to the Saudi Arabian mineral sector and its industrial base. Finally, the paper identifies the problems and constraints that face the minerals sector in Saudi Arabia and provides an assessment of the effects of government policies and planning efforts in the minerals sector, particularly during the period of the development plans which started in 1970.

Jan 1, 2009

By C Tapia Cortez, C Sammut, S Saydam, J Coulton

‘Like every other commodity, the value of the metals is subject to variation’ (Ricardo, 1817). Mineral commodity price uncertainties have always been a significant issue in mining business due to the close relation between global economic conditions and commodity prices, which commonly generates significant and unexpected price fluctuations. Price forecasts have been driven by economic theory, which states that in the long-run market will be balanced and that prices tend to the marginal cost of production. However, this theory has been misunderstood in the mining industry and future prices through time, in real terms, are assumed to be unchanged. This is unrealistic due to regardless of the cycling nature of economy and the omission of uncertainties. Furthermore, using historical data in traditional price forecast approaches does not guarantee realistic predictions as past events will not necessarily be repeated at the same intervals and with the same intensity. Mining, finance and economic sectors have made significant research efforts to predict prices and control uncertainties through classic linear, Gaussian and probabilistic simulation approaches. However, by definition, uncertainties cannot be measured or accurately modelled. Uncertainties can be identified to measure and manage the associated risks; therefore, uncertainties in mining projects have been historically misinterpreted, erroneously measured and poorly controlled. It is widely known that supply and demand functions drive market prices. While technological development noticeably influences supply, demand is strongly driven by psychological factors, mainly related to customer preferences and lifestyle expectations. Thus, human behaviour is one, or if not, the most important variable to determine commodity prices in a competitive market. During the last decades, alternative methodologies have been used to study uncertainties in human, environmental and market behaviours. Chaos theory, fractals, artificial intelligence and econophysics have been widely and successfully used to investigate complex dynamic systems to address uncertainties over time in the fields of neurosciences, meteorology, aviation and market trading. The application of these techniques in the market suggests a more realistic approach to the business environment. Through the combination of the methodologies above a novel long-run price uncertainties simulation approach that emphasise the differences between risks and uncertainties is proposed in this paper. CITATION:Tapia Cortez, C, Saydam, S, Coulton, J and Sammut, C, 2015. Copper price uncertainties – chaos theory to manage risks in mining projects, in Proceedings Third International Future Mining Conference, pp 261–272 (The Australasian Institute of Mining and Metallurgy: Melbourne).

Nov 4, 2015

By N Cusworth, W R. Mackenzie

"In 2007, the authors presented a framework for the conduct of resource project feasibility studies and provided guidance on minimum standards and best practice (Mackenzie and Cusworth, 2007).This paper will present the authors’ observations in relation to feasibility studies undertaken to support investments made during the unprecedented period of resource project capital investment since 2007. It will also provide comments on general trends in the mining industry’s approach to project assessment and update recommendations on best practice.CITATION:Mackenzie, W R and Cusworth, N, 2016. The use and abuse of feasibility studies – has anything changed?, in Proceedings Project Evaluation 2016, pp 133–148 (The Australasian Institute of Mining and Metallurgy: Melbourne)."

Mar 8, 2016

By P Thwaites

The mining industry uses many types of mineral and metallurgical plants to produce saleable product from ore mined. Plant design history has left current operations with a mixture of manual operation and various forms of automated process controls. Consequently, we typically see high-variability in the continuous operations together with a shortfall in the attainment of full capacity or higher utilisation of consumables.At a level of best practice, ‘operational performance excellence’ focuses on process control, using automation and control systems to deliver process optimisation. This more sophisticated delivery is a great deal more difficult than the first stage of equipment selection/installation. It includes the appropriate selection of the right instrumentation and control system, key process knowledge, individuals with a solid control engineering background/experience and the essential backing/support of the operations management team together leading to higher-value delivery. Robust solutions can be realised, considerably minimising process variation, thus leading to process optimisation. This approach results in an easier, efficient and safer process while providing considerable returns for the plant owners.How variable are your processes, and do you maintain optimised process performance with dedicated resources, modern instrumentation, ‘best practice’ control systems and performance monitoring tools? In this paper, these questions and their possible answers are discussed.I say we can do much more and be ‘more efficient’ in our efforts to remain competitive. This area remains a major opportunity for improved efficiency, minimising tailings losses and other milling costs.CITATION:Thwaites, P, 2014. Manual control, process automation or operational performance excellence – what is the difference?, in Proceedings 12th AusIMM Mill Operators’ Conference 2014 , pp 13–40 (The Australasian Institute of Mining and Metallurgy: Melbourne).

Sep 1, 2014

By Koivunen P

Both development and production drilling are amenable to productivity improvement through partial or full automation of drill jumbos and rigs. Various developments in this regard are described.

Jan 1, 1986

The SAG milling circuit at Paddington was designed on limited bench testwork and since commissioning with the exception of some mechanical problems has performed well.

Jan 1, 1987

The Queensland Phosphate Limited (QPL) Project is based upon the manufacture on world scale of High Analysis Fertilizers from resources located in north-west Queensland.High Analysis Fertilizers are produced from phosphate rock, sulphuric acid and ammonia.

Jan 1, 1993

Installation of spirals as roughers and scavengers in the gravity and regrind recovery circuits has allowed rejection of large weight fractions to tailings, thus contributing to increased mill capacity.

Jan 1, 1978

The role of the mine geologist and the exploration geologist have diverged considerably in the last two decades. The principal focus of the mine geologist now is on ore resource management rather than ore resource discovery.

Jan 1, 1997

There are many types of environmental audit: compliance, impact, risk and management audits; internal and external audits; single and multiple-project audits. All are becoming increasingly important in corporate management as new legislation confers increasing personal liability on directors, executives and staff of corporations and agencies in both private and public sectors.

Jan 1, 1990

Australia is a significant exporter of uranium for use as fuel in nuclear generating plants around the world. Although Australia does not have any nuclear power plants the Australian Atomic Energy Commission has a research program on methods for the safe disposal of wastes produced by such plants.

Jan 1, 1986

The degree of ionicity-covalency of complex compounds is discussed here as a prospective criterion for selection and purposeful synthesis of sulfhydril and oxhydril collectors. Theoretical predictions of flotation behaviour were confirmed by flotation of a number of ores.

Jan 1, 2005