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By N. Watson

Historically the insurance industry's involvement in any project has been relatively late in the process. Often it was a case of the last item to be ticked off the checklist has been to ensure that the insurance is in place. However, in more recent times insurers have imposed more restrictions on the cover they are prepared to provide, which has in some cases necessitated a change in the contracting structure to accommodate the insurance policy(ies). In addition, changing contractual practices have changed the allocation of risk between the various parties involved. This calls for a more proactive approach to the design and implementation of an insurance program for both the construction and operational phases of any resource project. This paper explores how a risk managed approach to the design and implementation of an insurance program for a resource project can align itself with current management approaches to project development. From the authors' experience, this approach is best adopted early on in the project (often in conjunction with the bankable feasibility study) and follows AZ/NZS4360 to objectively examine and compare a wide range of risk exposures of the project in a time-effective manner across the following areas: ? personnel; ? environment; ? general management; ? compliance - legislation, systems, protocols; ? asset management; ? change management; ? financial impacts to the organisation; ? products/services; ? service delivery; and ? technology. Having identified and then analysed the risk exposures according to common consequence and likelihood ratings the next step is to develop a risk map of all considered exposures. The true value of this approach lies in the development and implementation of a risk treatment plan for identified exposures where the exposure is unacceptable. The plans will lead to the optimal solution to the appropriate risk prevention, risk mitigation and risk transfer options available. This paper also examines other benefits to the project that may arise from adopting a risk managed approach in addition to the ability to design an insurance program which recognises the exposures and the ability of the organisation (and other project parties) to retain risk.

Jan 1, 2007

By S. K. Gilman, P. S. Marcos

There are basic areas of importance within a concentrator or mineral separation plant, which require focus to ensure acceptable recoveries, throughputs remain at an acceptable level and product grades meet specification. Professional and para-professionals within the mineral sands industry are in demand due to the booming resource sector. Added to this, new mineral sands operations are being commissioned straining the industry further. These factors have increased staff turnover and introduced many new people to the industry. It is essential these new entrants are armed with basic plant troubleshooting skills relevant to the minerals sands industry to minimize production lost through poor recoveries. Mineral sands processing does not involve highly technical or sophisticated unit processes. However, success is often slow to arise due to a lack of detailed understanding, as well as managing multiple interrelated unit processes within a plant. Fundamental background physical conditions (such as equipment loading and water quality) must be met for unit processes to be efficient. Technical management of these process plants should always include observation of these background conditions for they often provide the answer to underperformance. Examples are presented with an indication of the possible effects on recovery and product grade.

Jan 1, 2007

By L. Archambeault

This paper describes preliminary research on the application of Markov Decision Processes (MDP) to Real Option Valuation (ROV) and the optimisation of mine scheduling. The MDP framework is a novel approach to option valuation and scheduling in mining operations. A learning agent is introduced into the valuation process of an open pit, where prices and block ore grades have probabilistic values. The prices are modelled using a mean reverting diffusion process and the block grades using sequential Gaussian simulation. The agent is asked to learn which production parameters should be used in order to maximise the overall value of the project. The introduction of the agent permits a real option approach to mine valuation, such that the value associated with the robustness of a design to uncertainty can be measured. A simulated example is used in which there are ten blocks to be extracted under conditions of grade and price uncertainty. Using policy iteration, an optimal policy is generated and the value of production options is found. The potential financial gains from applying MDPs to mine valuation and optimisation are substantial and warrant further investigation.

Jan 1, 2007

By S R Grano

A fundamental model, which considers the subprocesses of particle collection by bubbles in flotation, is applied to two comprehensive flotation surveys in the rougher stages of C3 concentrator, PT Freeport Indonesia. The flotation surveys focused on the collection of: ? cell-by-cell and size-by-size metallurgical, ? cell hydrodynamic, and ? pulp and surface chemistry information. The two surveys were conducted at significantly different feed tonnages, giving rise to significantly different feed particle size distributions, pulp densities and mean pulp residence times. A series of model simulations are performed with the aim of quantifying changes in copper recovery, on both a size-by-size and unsized basis, with changes in values of the hydrodynamic parameters and hydrophobicity of the copper sulfide mineral. This was carried out in an effort to identify the most promising route to increase overall copper recovery in roughing. It was found that by increasing the hydrophobicity of the copper sulfide mineral surfaces it became possible to optimise cell hydrodynamics, which targeted increased fine (-12 µm) copper sulfide mineral recovery but without adversely affecting coarse (+150 µm) copper sulfide mineral recovery.

Jan 1, 2007

By K. Richardson

Although the De Beers group has a long history of placer mining on land, the group only became actively involved in deep water marine diamond exploration and mining in 1983 with the formation of DeBeers Marine. Full-scale commercial mining commenced around1991. Since then, the group marine mining capability has grown into a formidable fleet of 8 large deep water (>70 m) mining vessels, as well as other special purpose geosurvey platforms. Marine diamond production by the group is expected to be just short of 1 million carats in 2006. De Beers operates across the entire value-chain spectrum from geology and geosurvey, through sampling to mining, and finally ore processing into high value concentrate. Supporting these operations involves significant service activities such as maintenance, security, logistics and environmental management. Specific challenges exist in terms of developing or acquiring appropriate technology for marine mining. These challenges have resulted in De Beers operating extensive in-house R&D and projects departments, as well as drawing extensively from technology partners. An array of computational and test facilities is also available to support R&D and projects activities. Hydrotransport in various guises is key to the current approaches to marine mining and ore processing. Use is made of airlift and centrifugal pumping for hydraulic hoisting of very coarse gravel, while splitters, launders, dewatering, elutriators, jet pumps, centrifugal pumps, dense medium circuits, pipeline systems, and instrumentation for coarse abrasive particles are used extensively in the ore processing plant.

Jan 1, 2007

By N. Brown

Australian mining companies are actively exploring for and developing mineral deposits throughout the world with interests in emerging markets such as Africa, Asia and South America. It is important to understand emerging market risk as this will affect the willingness of mining companies and financial institutions to invest in a country, especially with reference to their key asset, the mining licence or operating/concession agreement. Mining companies looking to develop new projects in emerging markets have different risk profiles than projects in countries such as Australia and Canada. Examples of key risks faced in emerging markets include: 1. political - expropriation, nationalisation, contract frustration, currency inconvertibility, war, terrorism, strikes, riots and civil commotion; and 2. legal - mining legislation, arbitration and dispute resolution, trade agreements. There is a problem in the difference in risk perceptions between mining companies, financial institutions and insurers. This can cause different stakeholders to carry out different evaluations of the risks faced by a project, resulting in confusion about the risk margin attached to any project. In a time where resource nationalisation and energy security are prompting governments to become more involved in the mining sector we run through some recent examples of mining companies that have had problems due to the key risks highlighted earlier. Importance of carrying out the right due diligence to replace perceptions with reality: ? early identification of risks - detailed due diligence on emerging market risks that may arise will help with their identification and mitigation, ? make use of companies that can help identify risks and suggest solutions, ? control the cost of financing - risk margin applied to a project ? finance loan will be influenced by the risks faced, and ? risk management and using political risk insurance. There are plenty of opportunities in emerging markets but it is important to recognise the associated risks. Detailed due diligence at an early stage will provide long-term benefits.

Jan 1, 2007

By R. E. Wilmot

The problem of corrosion of reinforcement in concrete structures is internationally recognized and represents the single biggest expenditure in the preservation of steel reinforced concrete structures. While the corrosion protection of the reinforcing steel is no substitute for design and the placement of good quality concrete, it does provide for a viable and economical extension of structural integrity and service life in the day-to-day and practical environment in which concrete structures are constructed. The mechanism of corrosion attack and consequent deterioration of reinforced concrete structures is well understood and documented. New structures can be designed and built to withstand corrosion. However, due to short-term economic restraints, many new reinforced concrete structures continue to suffer as a result of corrosion damage, which results from the corrosion of the steel reinforcing. This paper explores the economic and practical benefits offered by the application of hot dip galvanizing as a viable means of protecting reinforcing steel concrete structures. The paper also discusses technical misconceptions that exist about application and performance provided by the use of hot dip galvanized reinforcing steel.

Jan 1, 2007

By M. Gao

The Zinifex Century Mine employs a large number of Detritor mills for fine and ultra-fine grinding to liberate silica and sphalerite at 80 per cent passing 7.5 microns before final zinc flotation. A joint project between CSIRO Minerals and the Zinifex Century Mine was carried out to evaluate the Detritor mill performance. Plant surveys were conducted around the Detritors in conjunction with laboratory tests. The survey data showed that the Detritors in the ultra-fine milling circuit performed well. They reduced a feed F80 sizing of 46 microns to a product P80 sizing of 7.5 microns at a gross energy consumption of 37.2 kWh/t. Scale-up of ultra-fine milling Detritors was studied using a 0.55 kW laboratory batch unit and a 355 kW full-scale Detritor by processing Century zinc concentrate with 1 mm sand media. The results indicated that the 0.55 kW laboratory mill underestimated the energy consumption of the full-scale Detritor by about 20 per cent for a product P80 of seven microns. The performances of a horizontal IsaMill and a vertical Detritor were compared as ultra-fine milling devices for processing Century zinc concentrate. The experimental data demonstrated that, when using the same grinding media, the energy efficiency of the two mills is similar despite the difference in mill designs. The Detritors used for regrind duty at the Century Mine performed poorly when processing feed at 80 per cent passing 88 micron. The energy consumption was high and the product size distribution was broad with particles above 100 microns in the feed unbroken and particles below ten microns overground. A coarser ceramic media of 3 mm was therefore tested in a laboratory Detritor to process the regrind Detritor feed as an alternative to the 1 mm Colorado sand used at the Century Mine. The ceramic media reduced the energy consumption significantly and produced a narrower product size distribution, which is more desirable for the downstream flotation process.

Jan 1, 2007

Commissioning of the Cannington processing plant began in October 1997. The nameplate capacity (of 1.55 million tonnes of ore per annum) was achieved relatively quickly. Since then (like many mines) the operation has strived to increase throughput and improve valuable metal recoveries, to offset declining head grades and lift the value of the operation. The processing plant now has the capability of treating over 3.2 million tonnes of ore per annum and in financial year 2005/06 the combined concentrate production exceeded 600 000 wet tonnes, approximately 80 per cent above concentrate output in the first full year of operation (at the design feed rate). This improved performance was achieved by making changes and additions to each of the major unit processes - primary grinding, flotation, leaching, filtering and paste fill preparation. The changes have included: adding a fines flotation circuit, expanding the grinding circuit, adding a pebble crusher, switching from continuous to batch leaching, building paste conveyors and decommissioning the column flotation cleaning circuits. This paper reviews these changes, outlines the current operating practices and discusses the challenges or opportunities that remain.

Jan 1, 2007

Metso Minerals Cisa have developed VisiofrothTM - a system which calculates parameters of the froth surface using vision from remote cameras mounted about individual flotation cells. The parameters calculated from this system can be utilised within process control strategies to achieve stabilisation or optimisation of the flotation process. As part of a JKMRC AMIRA P9 field campaign, froth vision was collected from various cells operated at different air rates and froth depths within Rio Tinto's Northparkes copper roughing and scavenging circuit. At the same time, samples were collected to determine the cell metallurgical performance at each operating condition. These froth images have been processed using the VisiofrothTM system with froth velocity, bubble size, froth collapse rate and various froth colour parameters calculated. These parameters have been compared to the measured concentrate flow and concentrate grade produced at each condition. This analysis shows that the concentrate tonnage flow is strongly correlated with froth velocity whereas the concentrate grade is best correlated using froth velocity in combination with a bubble stability parameter which affects the bubble size distribution on the top surface of the froth. This paper summarises the results from this analysis as well as an overview of the VisiofrothTM system and the parameters that are measured by the software.

Jan 1, 2007

By G. A. Brown

Major mining projects are developed with the assistance of lending institutions who provide hundreds of millions of dollars in funding over several years, and of course expect those funds to be returned with interest. Two Australian banks have adopted the Equator Principles, an emerging financial industry benchmark for assessing and managing environmental and social risk in project financing. Project financiers have encountered environmental and social issues that are both complex and challenging, particularly with respect to projects in the emerging markets of Asia-Pacific and elsewhere. There are many recent and historical examples of failures by resource companies to effectively manage their environmental, social, safety and security risks, some of which have caused the project to fail completely, and some of which have caused the temporary cessation of production. These events put the financial institutions' funds at risk through inadequate management capacity and non-compliance adversely affecting the ability of the borrowers to repay the loans. They can also reflect adversely on the reputation of the lending institutions. In assessing these risks, lenders are increasingly looking at the track record of the borrower in its country of origin and in other countries where it operates. Lenders are wary of companies that have one standard for operations in a developed country, where the regulatory environment may tightly control what they do, and another standard for operations in countries where the regulatory regime is perhaps less stringent. Lenders may require environmental and social reviews or audits to be conducted on their behalf by competent third parties prior to a loan being approved, and annually over the life of the relationship. The mining industry's concept of the unwritten `social licence to operate' is highly relevant in relation to the delivery of community benefits that are sustainable post-mine closure. This paper provides examples of recent practices that support financial viability and sustainable development, as well as examples of some failures that have put lenders at risk.

Jan 1, 2007

By J. Bullón, A. Pérez

Some years ago, Ferroatlantica developed a new type of electrode known as the ELSA electrode. In this electrode there is a central graphite core that provides support, surrounded by an annulus of Søderberg paste that gets baked during operation. This technology has been implemented on several silicon furnaces around the world, and was reported on during the previous Infacon conference. In all electrodes, but particularly in the ELSA electrode, the quality and consistency of the paste are important for correct operation. As the type of paste varies between customers and between countries, Ferroatlantica has developed a quality control procedure for their customers of this technology. This procedure is geared to the point of view of the customer rather than the paste producer. The analysis is based on the desired flow pattern of the raw paste and on the desired mechanical and electrical properties of the baked paste, as experience has shown that these are the most important parameters to monitor in order to avoid having problems with the resulting electrodes. This paper discusses these methods of paste analysis in the light of complementary studies that have been done when there has been an electrode breakage in the different plants.

Jan 1, 2007

By D. Bessinger, J. Rabe, J. Zietsman, C. Coetzee, P. H. Lamont, J. Muller

The UCAR® CHILL-KOTE? freeze lining concept combines wall cooling with carbon and graphite refractories of higher thermal conductivities to ?chill? the refractory lining by transferring heat from the refractory lining. Effective sidewall water cooling, together with the efficiency of the heat dissipating conductive refractories, lowers the temperature of the lining to below that of the molten process materials. This causes a layer of slag and process metal to solidify or ?freeze? and form a protective ?skull? which completely coats the refractory hot face. Once formed, the slag skull insulates the refractories, reducing heat loss and protect the lining from erosion, chemical attack, thermal shock, and other stresses. The result: extended life and greatly improved refractory performance. The Ilmenite smelting process depends on the presence of a solidified slag skull to protect sidewall refractory material from chemical attach by molten slag. No known refractory material is able to withstand this corrosive material. To date, UCAR has not applied their Chill Kote ? technology in the ilmenite smelting industry. This paper revolves around the results obtained from conducting an ilmenite smelting campaign on a 500kW DC open-arc furnace with a UCAR designed refractory system. The purpose of this test was to establish the effects such a lining has on refractory wear and the reduction-smelting process. Proper thermo-couple management enabled the authors to monitor lining wear for the duration of the campaign. Prior to the pilot-scale campaign, modeling work was completed to evaluate the feasibility of applying UCAR® CHILL-KOTE? technology to ilmenite smelting furnaces. The successful operation of a pilot-scale furnace equipped with the UCAR® CHILL-KOTE? lining as well as concise modeling suggest that it should be a viable option to consider for an industrial-scale furnace.

Jan 1, 2007

By T. R. Curr, W. A. Gericke, J. Basson

South Africa is a leading player in the international ferro alloys industry. Historical factors that have contributed to this dominant position include an abundance of natural resources and relatively low cost electricity. A number of relatively recent developments are potentially threatening this position. These include new legislation affecting the mining and minerals industry, a shortage of some types of suitable reductants, depletion of surplus electricity generation capacity with resultant threat of real escalation of electricity prices and pressure resulting from the recent strengthening of the South African Rand. The industry is addressing these challenges in a number of ways to ensure long-term viability. Some of these measures include investments in more efficient technologies that have economy of scale benefits and are less dependent on expensive reductants and electricity. Local macro-economic impacts include new legislation regarding ownership of enter-prises, mineral rights and royalties on mineral sales, development plans for port and rail infrastructure, as well as initiatives to expand electricity generation and coke production capacity. The fundamentals for being a successful ferro alloy producer are still largely in place for South African producers. Therefore the South African ferro alloy industry will remain competitive and is well placed for continued growth in line with the international growth in ferro alloy demand. The industry should emerge leaner, more efficient and ready to respond to any future demands of the industry. This paper will cover the present status of the industry, the factors that are impacting thereon and a view on its future outlook.

Jan 1, 2007

By J. Kempken, T. A. Schreiter, R. Degel, H. Schmieden

Keywords: Pyrometallurgy, SMS Demag, Germany, submerged arc furnace, ferro alloys, non-ferrous, FeCr, FeNi, FeMn, copper, cobalt, slag cleaning, PGM, rectangular furnace After a short summary of the SMS Metallurgy part of the SMS group, the paper will focus on Submerged Arc furnace technology. After general aspects of furnace design, the focus will shift to different applications and their specific furnace requirements. Finally, a state-of-the-art design tool as well as a new invention to improve slag-cleaning technology will be featured.

Jan 1, 2006

By R. Hart

In this paper, problems that have been experienced with the rockpass system at Kloof Mine No. 3 Shaft are described. Actions that have been taken to overcome the problems are also described. These include the use of slugshots to remove hang-ups, the abandonment and waste filling of passes, and design criteria adopted for an alternative pass system.

Jan 1, 2006

By R L. Langak, R A. Heins

The use of differences in specific gravity between minerals to separate them has long been utilized in the extractive industries. The environmental and cost benefits of the commercialized forms of these processes are well understood and widely used. Gravity concentration is used inter alia in the primary beneficiation of gold, diamonds, coal, tin, ferrous metal ores and andalusite. The potential for economic loss due to poor performance of these gravity processes is significant, but diverse in manifestation and regular process monitoring can prevent or at least reduce these losses. The measurement of performance of gravity processes has always presented a challenge, due primarily to the masses of material involved and the physical nature of the processes, generally typified by long reporting time, and hazardous materials (such as Tetrabromoethane) for float and sink type tests. The development of density tracers has improved this situation, however recovery of these tracers from the process streams created the next set of challenges, requiring significant manpower to physically remove tracers from product dewatering screens. Additions to these tracers (magnetic or x-ray fluorescent) eased the recovery mechanism issues but made them much more expensive to produce, hence operators became concerned about losses during process testing. In addition, magnetic recovery of smaller size tracers by a magnet suspended above a loaded screen panel is still problematic. The development of new low cost magnetic tracers has improved statistical significance of tracer tests, as the tracers themselves can be bought and used in much larger quantities, whilst still remaining economically viable. Coupled with the development of effective magnetic recovery technology, such as the Gekko MagScreen, for even fine sized tracers, on-line, continuous tracer testing is now becoming a reality. Whilst the development of high technology radio frequency detection tracer systems continues, enabling the real time measurement of the process and interpretation of results, miniaturization and recovery of these tracers, which is critical given their costs at present, remains an issue. Keywords: Gravity, process measurement, tracers, magnetic recovery

Jan 1, 2006

By G. A. Harrison

The introduction of extra low profile (XLP) mechanized equipment within Anglo Platinum is aligned with the overall New Mining Technologies strategy to focus on continuing modernization of our mining operations` incorporating injury-free production and cost-effective mining technologies. The method allows for the introduction of a suite of ultra-low profile equipment in narrow reef (1.2 m) stoping operations. For the first time it is now possible to achieve total trackless mechanization at these widths and indications are that XLP mining has the potential to add more value when benchmarked with conventional mining and low profile (1.8 m) room and pillar methods. Various mine layouts were tested at different sites within Anglo Platinum and the XLP breast mining layout proved to be the most effective. This paper describes the results of the trials at Waterval Shaft and concludes with recommendations on our future strategy on implementation of XLP technology within Anglo Platinum.

Jan 1, 2006

By O. Naiker, T. Riley

Keywords: Pyrometallurgy, furnace, Xstrata, ferrochromium, Premus Technology The presentation will give a basic overview of Xstrata Alloys. Included will be a brief history of the Alloys division as well as of each plant within the division. The Xstrata chrome plants utilise a wide variety of production processes, including Xstrata's Premus process, the Outokumpu process, and the conventional process. Xstrata?s Lion Project is underway, with commissioning expected in the third quarter of 2006. The new smelter will utilize Xstrata?s patented Premus process, and the competitiveness of the Premus process is discussed.

Jan 1, 2006

By V. Arslan

In this study, effects of the inert constituents, such as ash, and the effect of blending coals with differing rank and composition on the plasticity of coal blends were investigated. The reference coal originated from the Zonguldak region, in the north-west part of Turkey. Firstly, the effect of coal ash on the plasticity of Zonguldak coal was determined. Secondly, the relationship between the plastic properties of the individual coals and those of the blended coals were identified. Some important relations were found, related to the characteristics of the individual coals. Ultimately, the manner in which the plasticity of Zonguldak coal was affected by blending with low volatile coals was investigated. Keywords: coal blending, coal plasticity, coke, fluidity, rank.

Jan 1, 2006