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By David Stone

North American Palladium is the owner/operator of the Lac des Iles mine located 115 km north of Thunder Bay, Ontario. The mine has produced an average of 65,000 ounces of palladium since 1994. Lac des Iles is currently undergoing the first phase of a major expansion that will increase ore production from 2,400 tons per day to 15,000 tons per day. A future expansion is being contemplated for 30,000 tons per day. The current expansion will increase palladium output to 250,000 ounces per year. The mine plan for the ultimate pit results in an excavation 1 km long by 800 m wide and over 450 m deep. This makes the ultimate pit at Lac des Iles one of the ten deepest open pits in the world, and the largest in Canada. This paper outlines the geotechnical data collection and design methodology for the ultimate open pit at Lac des Iles.

May 1, 2001

By Moe Momayez

Shotcrete is a practical and economical support system in many Canadian underground mines. Although shotcrete technology has gained acceptance in the mining industry, there are some problems that have emerged with respect to quality assessment and thickness measurement of the liner. This paper presents recent tests performed with a miniature seismic reflection device developed primarily for thickness measurement of this heterogeneous liner. Work was performed on site in an underground mine in Ontario, Canada. This paper also presents the results from laboratory tests performed on fibre reinforced and non-reinforced shotcrete panels that were used to assess the P-wave velocity in both materials. The results of these tests were used in a second on site investigation. The NDT thickness measurements showed good agreement with direct thickness measurement such as coring.

May 1, 2001

By Jean A. Bastien

Cette présentation décrit les étapes de développement et l?exploitation souterraine au puits Penna chez Agnico-Eagle division Laronde. Les sujets suivants sont touchés : le fonçage du puits, le développement des niveaux, la méthode d?exploitation, la manutention de la roche brisée, le méthode de remblayage et la ventilation. En résumé : le fonçage du puits s?est fait sur 2,240 mètres de novembre 1995 à mars 2000. Le développement des niveaux a débuté en octobre 1998. Les opérations de minage ont débutés en août 99 dans le premier horizon situé au dessus du niveau 122. Les chantiers sont exploités par longs-trous d?environ 25 mètres de long avec un diamètre de 10 cm. Les accès à la zone minéralisée sont transverses. Le minerai est soutiré des chantiers et acheminé au passe-minerai a l?aide de chargeuses navettes. Par la suite, le minerai passe sur un marteau, est concassé et transporté sur un convoyeur, jusqu?au silo de 4,500 tonnes au-dessus de la station de chargement automatisée du niveau 152 d?ou les skips sont alimentés. Le remblai en pâte est envoyé de la surface par des trous ayant un revêtement d?acier. Le diamètre intérieur est de 15 cm. Le réseau de ventilation est principalement alimentée par des ventilateurs de surface (système aspirant et souflant) conçus pour acheminer sous-terre un maximum de 640 mètres cubes par minutes (1,350,000 pcm).

May 1, 2001

By Frédéric Flament

The aim of this paper is to present the development of a data validation software as component of a commercial mass balance package. Data reconciliation through mass balance is basically an optimization problem constrained by the law of mass conservation. As any optimization problem solved with a modern and robust software application, erroneous information or starting point will always lead to a solution, whether it is realistic or not. Moreover, good information wrongly weighted by an incorrect error model will lead to the same bad ending. In an industrial context where competition requires accurate information, data reconciliation without validation can be disastrous and calls for data validation before and after reconciliation. The challenge in automated data validation resides in the development of general theoretical solutions. Until now, none has been presented and only partial solutions are available. The development presented in this paper incorporates some of these partial solutions. The integration of human knowledge into the application paved the way to a more general solution. The combination ?theoretical validation ? human expertise? proved to be flexible and reliable enough to be integrated in a commercial data validation package. Numerous examples though industrial applications are presented. These applications demonstrate the validation of raw measurements, user support in the development of error models and validation of reconciled measurements.

May 1, 2001

By Louis R. Bernier

Since 1978, most systematic studies of AMD passive treatment with limestone drains (LD) have dealt with coal mines in the United States. The authors present in this paper the first results of a triennial study initiated in 1999 on the performance of LD installed at the Ni-Cu Lorraine old mine site in Temiscamingue during a remediation plan that involved the installation of a cover with capillary barrier effects (CCBE) over the reactive pyrrhotite-rich tailings. Typically, a LD is a trench enclosed by impervious materials filled with crushed limestone and may be oxic or anoxic. Four LD (one filled with marble and 3 with dolomite) were installed at the Lorraine site. The LD have been in operation since May 1999 and are performing differently. The most contaminated mine effluent flows south and is directed towards 3 LD filled with crushed dolomite, while a 4th LD was filled with crushed marble and installed west. The LD filled with marble has been generating maximum alkalinity since the beginning of the passive treatment. Two of the dolomite drains have been generating alkalinity since mid-summer 1999, but one is not, even if a substantial pH raise was observed. A pH above 5.5 is required usually for the dolomite drains to start generating alkalinity. The installation of LD at the Lorraine site contributes significantly to the reduction of metals and sulphates loading.

May 1, 2001

By William H. Emling

With profitability pressures in heavy industry increasing, many producers are turning to predictive maintenance as a means of harvesting untapped value from their production assets. Corporations are losing their maintenance and processing core competencies through attrition. As capital budgets are being trimmed, manufacturers are consolidating operating units into fewer, more profitable routes. Maintenance functions, however, typically receive low priority when investment is made, since many companies consider maintenance costs as ?overhead?. Condition-based monitoring, integrated to Level I and Level II process inputs, is seen as the most cost-effective solution to the implementation of predictive maintenance strategies. This paper will review the evolution of preventive and predictive maintenance programs, highlighting examples of successful application of integrated condition monitoring.

May 1, 2001

By Tony Breuer

Can international development NGOs and the mining industry find common ground and work together in the Third World? The Canadian Hunger Foundation/PARTNERS in Rural Development (CHF-PARTNERS) has, over the past forty years, implemented more than 800 rural community development projects in some 38 countries of Africa, Asia, and the Americas. Working with or for the Canadian mining industry offers both opportunities and risks. We can help a mining company ensure that the workers, their families and communities share adequately in the economic and social rewards from a mining operation in their area. We can contribute to the provision of sustainable livelihoods when an operation winds down. The company?s reputation as a good corporate citizen can be enhanced. On the other hand, mining companies and NGOs have generally very different values and missions. The risk of misunderstandings from conflicting motives and work practices is correspondingly high. Both partners must state their values and expectations clearly at the start of collaboration. The NGO must ensure that the company abides by acceptable ethical standards. It must not directly or indirectly subsidize a private company from its charitable donations. The mining company must satisfy itself that the NGO has the capacity, resources and experience to produce the results expected.

May 1, 2001

By Vincent Jourdain

Located in the James Bay Territory of Quebec (figure 1), the Clearwater property is jointly owned by SOQUEM Inc. and Eastmain Resources Inc. Exploration on the property since the early 70's has resulted in the discovery of several gold showings. Exploration work by the joint venture since 1995 has led to the definition of the Eau Claire Zone containing an indicated resource of 540 000 tonnes grading 11.1 g/t Au (8.7 g/t Au cut at 34.28 g/t Au). Hosted by the archean Eastmain Greenstone Belt, the property geology is dominated by mafic volcanics containing thin horizons of felsic volcanics and/or sedimentary rocks (figure 2). The sequence is metamorphosed to the amphibolite facies and contains two small toalitic intrusions. Regionally, the structural trend is oriented E-W but in the area of the Eau Claire Zone a second trend oriented NE-SW is also present. The first exploration work on the property was conducted by SEREM and SDBJ from 1973 to 1976. It consisted of an airborne electromagnetic survey and a ground follow-up program on several grids. This program, comprising geological mapping, geophysics and drilling, led to the discovery of the Natel showing where a drill intersection returned 8.89 g/t Au over 2.65 m. From 1978 to 1985 the area was withdrawn from staking because of the hydroelectric projects of the James Bay. In 1985, Westmin Resources Limited and Eastmain Resources began an exploration program based on a helicopterborne electromagnetic survey. Once again, a ground follow-up program was conducted on several grids. This program included a soil geochemical survey that identified a strong (up to 10 g/t) gold anomaly. Drilling of the anomaly led to the discovery of the Eau Claire Zone where resources were estimated at 270 000 tonnes grading 6.1 g/t Au at the end of 1990. In 1995, SOQUEM Inc. took an option to gain a 50% interest on the property and obtained its interest in 1998. Since 1995, two principal mineralization zones were identified on the property. The "Rosemary Zone" consists of veinlets and disseminations of pyrite and chalcopyrite within a magnetite-rich amphibolite. The mineralized zone was identified by stripping within an area of 1000 by 500 metres. Drilling indicates copper grades up to 0.32 % Cu over 49.2 m. with locally grades of 0.75 % Cu over 5.9 m. The mineralised zone is associated with QFP dykes and corresponds to a strong magnetic anomaly and a strong copper and molybdenum soil anomaly. The "Eau Claire Zone" consists principally of a set of gold bearing quartz-tourmaline veins oriented E-W and dipping at 45-50??to the south (figure 3). More than ten different veins are recognised in the zone and up to eight veins were observed in a single trench (figure 4). The host rock between the veins shows a degree of deformation similar to the regional volcanosedimentary rocks. Each vein is hosted by a unit of actinolite-tourmaline-biotite schist up to one meter thick. The veins and their hosting schist clearly cross-cut the schistosity of the hosting lithologies and the contacts between amphibolites and felsic to intermediate rocks. Usually, the veins are less than a meter thick and are composed of quartz, tourmaline and calcite. The proportion of quartz and tourmaline varies from 0 to 80% within a single vein. The veins commonly show massive, banded or brecciated texture. Sulphides, mainly pyrite, pyrrhotite and chalcopyrite, generally form less than 5% of the vein material.

May 1, 2001

By Jean-François Lapointe

Many advances have been made concerning the automation of heavy equipment teleoperators such as those found in mining. Complete automation, however, is not achieved yet and the operation of these vehicles still relies on the presence of a human operator. Fortunately, a lot of research has been done in order to improve the performance of these human-machine systems. This paper presents the characteristics of different control modes and input devices used for the control interface of those telemanipulators. We describe the benefits and drawbacks of each particular control interface on the overall system performance, based on a review of research in the field. We conclude with some recommendations and a discussion of future research needs, given the new potential advances offered by virtual environment technology and embedded computing.

May 1, 2001

By Paul-Henri Girard

La Mine Agnico-Eagle division Laronde situé à Cadillac, est un producteur d?or, d?argent, de cuivre et de zinc. Cette propriété est situé dans les cantons Bousquet-Cadillac le long d?une des ceintures géologiques les plus productives au monde. La mine Laronde a débuté la production en octobre 1988 à un rythme de 1360 tonnes par jour. Ensuite, elle a augmenté son rythme de production successivement à 1800 TPJ en 1990, 3300 TPJ en janvier 2000 et 4500 TPJ en octobre 2000. Agnico-Eagle, fondé par feu Paul Penna, a toujours eu comme politique la participation des employés aux décisions de la compagnie pour le déveleppement de celle-ci. Cet écrit va permettre de mieux comprendre la façon dont la division fût développé.

May 1, 2001

By David O. DeGagné

While mine backfill plants are becoming increasingly more automated and instrumented, especially with paste fill operations, underground backfill distribution systems have hardly changed over the years. While fill properties are appropriately measured in the preparation plants, as backfill enters the mine borehole, the technology for control, data gathering and reporting is somewhat lacking. Mines typically experience problems with borehole and pipeline plugging, pipeline bursting, bulkhead failure and exposed fill sloughing. With adequate instrumentation of the backfill system it is possible to obtain a complete, continuous and detailed picture of the entire filling operation from preparation to post-pour. Good data will, over time, provide the basis for needed improvements of backfill systems and will be essential to safer, more efficient and less costly fill practices. This paper will review the areas of the filling operations where monitoring would prove critical to eliminate failures such as pipelines, bulkheads, fill exposures, stope walls, etc. The types of monitoring systems currently available will be reviewed and potential areas for development will be highlighted.

May 1, 2001

By Christopher R. Davis

Resource modelling is the basis for any economic appraisal of a mining project and includes a number of steps from data acquisition and validation to resource reporting and classification. At each step in the modelling process it is necessary to define the specific objectives, the methodology proposed to achieve those objectives and to establish a set of checks and validation tools to assess the effectiveness of the proposed methodology. The data used has to be both reliable and relevant for the purpose of the modelling. QA/QC for database validation requires verification of sample location; including correct collar location, topographic modelling and down-hole surveying. Validation is also performed on assaying information such as checks for sampling bias and accuracy of core splits, proper use of pulp duplicates and standards, handling of calculated values, explicit/implicit absent data and data entry errors. The second step involves identifying the mineralized domains resulting from the mineralization process. This step requires a geometric interpretation of all relevant geological features that have influenced the spatial distribution of the mineralization including dykes, faults and alteration. In addition, a geologic reference system rather than a standard Cartesian system is established to measure distances between samples. Once the mineralized domains are established and the database has been validated, statistical and spatial description of the mineralized samples are examined in order to establish the histogram and the variogram of all variables of interest and their correlation. Results are also used to calibrate the global resource estimate within the mineralized domain and to establish the search strategy for grade interpolation. The mineral envelope is filled with polyhedral cells representing mining blocks. The average grade of these blocks is estimated using kriging techniques in order to eliminate global bias and to minimize the local error in the block grade estimate. Visual checks are made to validate the spatial trends in grade distribution while global bias and smoothing effect are assessed from the declustered sample statistics. When required, smoothing correction may be applied using ?change of support? techniques. Simulations are used to perform sensitivity analysis and the simulation models are used if severe smoothing of spatial variability makes the interpolated model inappropriate for mine planning. The keys to successful resource estimation are an integrated team of geologists, geophysicists, geostatisticians and mine engineers using the best available technology and reviews by independent auditors. The resource team is also responsible for performing a QA/QC program in order to measure the effectiveness of the methods in meeting the specific objectives at each step of the modelling process.

May 1, 2001

By M. G. Lipsett

One challenge in applying information technologies in Mining is building a business case. In Mine Maintenance, there is a complex flow of information that contributes to making informed business decisions. By understanding those information relationships and the cost of wrong decisions, analysts can estimate the value of information flow. Developers can then ensure that systems deliver key information in an accurate and timely way. In this paper, general maintenance decision-making is discussed, with examples of how model-based analysis can improve the information delivered to decision makers.

May 1, 2001

By Emmanuel Henry

The Kiruna Mine, operated by Luossavaara-Kiirunavaara AB (LKAB), is a large-scale sublevel caving operation located in Arctic Sweden. Iron ore is extracted at a rate of 60 000 tpd from a four-kilometre long, 80-100 m thick and 60-degree dipping orebody. Actual production depth is 800 m under the top of the footwall and about 550 m under the average regional ground level. Because no support is left between the footwall and the hanging wall and despite the relatively low mining depth, extraction results in the formation of a huge stress shield modifying the original stress field and concentrating it just beneath the mining level. Effects of stress concentration on the rock mass are monitored through field observations and a seismic system. Severe stress-induced deterioration of openings is visible to a certain radial distance from the mining level: pillar crushing and fault slips are more and more common and extended. The seismic system, installed in collaboration with CANMET, confirms the field observations and completes them in the rock mass: fault slips and major seismic events are recorded. The system proves its effectiveness to outline the extension of the dynamic response of the rock mass, which actually seems much larger than field observations let think.

May 1, 2001

By Jamie W. Pardy

The objective of the Canadian International Development Agency program is to facilitate the efforts of the people of developing countries to achieve self-sustainable economic and social development in accordance with their needs and environment. The British Columbia Ministry of Energy and Mines (BCMEM) is the executing agency for the four-year Peru Minerals and Metals Public Sector Assistance Project which began in December 1998. The primary beneficiary is the Ministerio de Energía y Minas del Peru (PMEM). The project is designed to address mine health & safety, environmental management and mineral resource information. Project activities currently underway include joint development of: an inspection system, a mine rescue system, an enhanced and e-Commerce capable mineral information website, environmental guidelines for industry and standardized ministry evaluation criteria for environmental impact assessments and closure plans. In addition, reports on management options for mineral concentrate transportation, storage and handling, and on mine reclamation security policy have been delivered at workshops.

May 1, 2001

By A. Bouajila1

Minerals processing organisations will be more and more under intense competitive pressure. Major changes are being experienced with intense respect to resources, processes, production strategies and markets. As result of international competition, only the most productive and cost-effective operations will survive. That is why operators in the minerals industry have always aimed to obtain better performance from their processes along the mineral extraction cycle starting from exploration up to the smelting step if any. A principal ingredient and perhaps the most important one in the process of evolution toward improved productivity is the achievement and implementation of an error-free production synonym of an ignorance-free operation. This is, at the same time, a guarantee for quality, a minimising factor for waste materials production, handling and disposal, and a maximising factor for labour utilisation. The notion of ?error or ignorance-free? -usually identified as a ?made in Japan? manufacturing mythology, will sound, at first impression, like a pious ideal, to be striven for but impossible to attain. Nevertheless, the introduction of measurement and detection technology in the minerals industry along the last century should benefit from the today?s sensors and control systems that explosively expanded beyond their traditional production base into far-ranging commercial ventures. The fastness and spread of those technologies will play an important role in the survival of innovative plants. Their role in information assimilation, and control of operations to maintain an error-free production environment, will help many plants to stay effective on their competitive course. In this paper the feasibility of the zero process ignorance concept as applied to the comminution circuits will be discussed and the challenge behind this ambitious move toward improved productivity will be outlined. Examples of pre-competitive R&D projects started at COREM in order to fulfil this prerogative will be presented.

May 1, 2001

By Michael Samis

Conventional project valuation techniques, such as discounted cash flow (DCF) method, are more frequently being criticised for the manner in which they consider the interacting effects of uncertainty and project structure (including management flexibility) on project value. Modern asset pricing (MAP; often called ?real options valuation? when applied to the analysis of flexibility) is a more general valuation framework that corrects many of the shortcomings of common valuation methods. Previous mining applications of MAP have tended to treat the ore deposit as a homogenous entity. While useful for demonstration purposes, this is inadequate for practical application in industry. This paper presents a MAP valuation example that allows for the heterogeneous nature of an ore deposit. It shows that deposit structure may increase the complexity of the mine planner?s decision so that results of a standard DCF analysis, or a simple MAP analysis that ignores the details of deposit structure, are misleading. In the example, a management is considering the development of an adjacent low-grade zone while mining operations in a high-grade zone are ongoing. If the low-grade zone is developed before high-grade reserves are exhausted, the proposed development will include both low-grade zone development and a capacity expansion to handle additional low-grade reserve production. If development of these reserves is delayed until the high-grade reserves are depleted, then the low-grade reserves can be developed without a capacity expansion. A typical DCF analysis would reduce the management?s decision problem to three alternatives: 1) continue mining only in the highgrade reserves, 2) immediately develop the low-grade reserves and expand capacity, and 3) delay low-grade zone development until the high-grade reserves are exhausted. The model presented here allows the management to reconsider the development and capacity expansion decision on a discrete half-year basis. It delineates price regions, for given levels of high-grade zone reserves, in which it is optimal to develop the low-grade zone, defer low-grade zone development and abandon the mine irrevocably. The model presented here extends the ability of mine planners to describe actual project structure while using the MAP valuation framework that is already noted for its capacity to combine project uncertainty and risk insights with a dynamic project description.

May 1, 2001

By Loris S. Pascoli

The increased pace of globalization in the mining industry has presented more opportunities for Canadian service companies to participate in ventures abroad. However, varying cultures, laws, competitive environments and contracting philosophies in other countries make it impossible to take for granted what is normal in the Canadian context. The author discusses some of his experiences and situations encountered in over 30 years in the diamond drilling industry, the last third of which were primarily focused on projects outside of this country.

May 1, 2001

By Mario E. Rossi

Geostatistical conditional simulations are becoming increasingly popular as tools that provide models of uncertainty at different stages of a mining project. They have been used as grade control tools in daily operations, to assess the uncertainty of minable reserves at the project?s feasibility stage, and to assess mineralization potential in certain settings. Other applications include assessment of recoverable reserves, resource and reserve classification, and drill hole spacing optimization studies. All large-scale applications of conditional simulations intend to benefit from the ?correct? (or ?accurate?) characterization of uncertainty, adequately describing the variability observed from the data and its impact on the final objective. The objective of this paper is to compare the ad-hoc ?uncertainty model? provided by a traditional classification scheme with the probability intervals resulting from a conditional simulation model. It is argued that the uncertainty model derived from the use of classification schemes is of little practical use to the mining company or operation. The paper emphasizes differences in uncertainty based on the size of the mining unit considered and the extraction method, and local geological differences. Most importantly, it discusses confidence intervals for these mining units, as compared to the relative precision envisioned by a typical classification scheme. The application described in this paper is taken from a medium-sized Cu open and underground mine in northern Chile, and it demonstrates the impact of several variables on the resulting conditional simulation models. It also compares a more ?traditional? resource classification scheme applied, and the wide difference in local confidence intervals for each mining unit.

May 1, 2001

By J. Peterson

A review of blast designs and improved blasting practices at the Ekati??Diamond Mine is presented along with the results of three blast-monitoring experiments. Blast monitoring was undertaken to investigate blast damage mechanisms in the mine's well jointed rock mass. Rock mass damage caused by production, pre-shear and wall control blasts was measured. Ekati??uses 270mm holes for production blasting, and 165mm holes loaded with a decoupled charge for pre-shearing. The production blasts are loaded with bulk emulsion / ANFO blends. The mine plan involves using 30m double benches. A 30m high pre-shear is drilled and blasted prior to the production blasting that is done with sequential 15m benches. This paper summarizes the monitoring equipment and data gathered to date.

May 1, 2001