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By W Stange

Assessing the risks in a mining project is a key aspect of project evaluation. This is an exacting and demanding task because of the complexity due to the need to deal with uncertainty over long time periods. The way risks are assessed and managed is critical to the long-term success of the projects and the business. Discounted cash flow (DCF) analysis is commonly used for project and risk evaluation. A discount rate is selected that accounts for uncertainties in the cash flows. However, it is difficult to determine an appropriate discount rate due to the large number of factors that need to be considered and the complex relationships between risk sources. Using a proven framework, ævalue at riskÆ (VaR), this paper proposes to rigorously model and quantify ærisk at sourceÆ. The approach was first employed to assess financial market risks and is now widely used in the banking sector for risk assessment. In project evaluation, all risk sources are identified and estimated separately to ensure the overall project risk is quantified accurately. A bottom-up approach has been proposed. Estimates are first carried out for risk factors at the bottom of the project structure. The assessment is then applied at increasingly higher levels until the overall project risk is estimated. Value at risk is a versatile methodology and can be used in a local or integrated manner. The final value is objective and the calculation steps can be easily justified and followed. Four case studies have been included to illustrate how the proposed approach can assist management in decision-making.

Jan 1, 2009

By H Haghighi

Haul roads are often permanent unsealed access roads used by heavy haul trucks to transfer minerals. These roads can deteriorate rapidly which results in potholes, deformations and dust. Downer EDI Works has successfully provided efficient solutions to the mining industry to maintain their haul roads. HaulPac as a solution package is a process in which a bituminous emulsion is used to create a stable and durable pavement. The emulsion penetrates the road and binds the particles together, creating a stable base. It also seals the surface and prevents water from penetrating the underneath layers. Bituminous emulsion can increase the strength of the pavement material and decrease the road surface degradation which results in dust suppression. However, the everincreasing price of commodities, the necessity of reducing carbon emissions and the increasing use of autonomous haul trucks have made it vital to invest in novel maintenance solutions that can meet the needs of the mining industry in a cost-effective manner. This paper outlines the benefits of bituminous emulsion in terms of productivity, safety and environment followed by Downer’s approach to evaluate the suitability and to optimise the amount of product. The potential for changing the colour of the treated surface is explored and an initiative that incorporates end-of-life tyres of haul trucks into the pavement is introduced. And finally, an innovative method using artificial intelligence to estimate dust emission is presented.

Sep 18, 2023

The Ertsberg (Gunung Bijih) Mining District is located in the core of the highlands of west New Guinea, an island long recognised as the product of a Cenozoic arccontinent collision. Geologic studies in the Central Ranges of the Papua Province of Indonesia (near Puncak Jaya, 4884 m) have revealed timing relationships, when combined with mechanical considerations, led to a refined model for the tectonomagmatic effects of collisional orogenesis and the formation of the spectacular Grasberg porphyry-type copper-gold (Cu-Au) deposit.   An EXTENDED ABSTRACT is available for download. A full-length paper was not prepared for this presentation.

Jan 1, 2008

By D Macklin, R Hammond, T G. Blenkinsop

"An EXTENDED ABSTRACT is available for download. A full-length paper was not prepared for this presentation. Base metal sulfides at the Currawong volcanic-hosted massive sulfide deposit in the Lachlan fold belt of Victoria, south-east Australia, were formed in the late Silurian, but D2 deformation of the deposit in the Devonian Bindian orogeny was responsible for structural repetition that created the resource. The primary sulfide lenses were stacked by reverse-sense shear zones within a volcano-sedimentary sequence dominated by dacitic intrusions and turbidites. Shear zones were localised along lithological contacts, including the margins of the sulfide lenses. The competent dacitic intrusions did not fold during D2; folding was restricted to the packages of metasedimentary rocks. Overturning occurs within, but not between, the metasedimentary packages. The overall geometry of the deposit is that of a duplex, but the detailed shape does not conform to idealised duplex types, probably because of post-D2 deformation. A significant complicating factor for understanding the deposit, and for resource evaluation, is the dramatic variation in deposit geometry along strike, which may also be due to post-D2 deformation. The present day configuration of the deposit results from constructive thrust repetition of what may have been a single ore lens and destructive along-strike disruption controlled by rheology.CITATION:Blenkinsop, T G, Macklin, D and Hammond, R, 2015. Rheological controls on the geometry of the Currawong volcanic-hosted massive sulfide deposit, Lachlan fold belt, Victoria, south-east Australia, in Proceedings PACRIM 2015 Congress, pp 469–474 (The Australasian Institute of Mining and Metallurgy: Melbourne)."

Mar 18, 2015

By M Gabbitus, B Young, T Lukins, M Slater

This paper details the implementation of a new type of grade control system at the Black Star open cut mine in Mount Isa, Queensland. It explores the site requirements for grade control, what as previously in place and what the site required moving forward. It also details some of the features of the system installed and why it was chosen over other grade control systems available. Black Star open cut mine has been in operation since late 2004, and was developed to extract the surface extents of the Ag-Pb-Zn mineralisation previously mined in the Isa Lead Mine. Black Star is currently mining seven distinct orebodies in and around active void hazard zones and hence, its grade control requirements are very detailed and complex. The implementation of a new system to manage the model update and block out processes was, therefore, of critical importance to the site and required a detailed understanding of the requirements of the entire mining team from drilling through to geology, survey and production. Having previously run the grade control process using site specific æblack boxÆ scripts and macros, Black Star needed to implement a more open, auditable and flexible system, which allowed the geologists to control the process and make strategic changes as the situation demanded. MineSightÆs Axis Grade Control, with its flexible, generic framework for managing the process, met these demands. Being an out of the box solution that requires minimal setup and training was also a key factor in the decision to use it.CITATION:Lukins, T, Slater, M, Gabbitus, M and Young, B, 2012. The introduction of axis at Black Star Open Cut, in Proceedings Eighth Open Pit OperatorsÆ Conference , pp 71-74 (The Australasian Institute of Mining and Metallurgy: Melbourne).

Sep 18, 2012

The Ernest Henry Mine is an open pit copper-gold mining operation located in north-west Queensland, Australia. It is owned and operated by Xstrata Copper with a current concentrator throughput of approximately ten million tonnes per annum. The pit will cease mining towards the end of 2010. Extensive surface diamond drilling has confirmed an extension of the orebody to depths of 1000 m below surface. A prefeasibility study was commissioned in late 2006 to investigate underground mining options with the preferred mining method being an inclined sublevel cave. In February 2008 mining of a decline commenced in conjunction with a feasibility study to further investigate the project. Work from the prefeasibility study indicates that an underground crusher, conveyor and hoisting shaft could be utilised to crush and transport broken ore from the sublevel cave workings to the concentrator. The study suggests that a production rate of five million tonnes per annum could be achieved and sustained for up to ten years. Ventilation designs and requirements will form a large section of the feasibility study. This paper will detail investigations of preliminary ventilation network designs of the proposed sublevel cave. Work has been completed using both Ventsim and VumA ventilation simulation packages. Ventsim was used to provide preliminary estimations and suggest alternatives for: surface fan duties;airflow characteristics (direction, velocity, pressure and quantity); andventilation network design in key mine areas. With mining activities reaching depths in excess of 1000 m below surface an analysis of heat conditions should be conducted. The VumA software package was used to model the thermal properties of the ventilation system. This model will provide a basis for the preliminary decisions on refrigeration requirements for the mine.

Jan 1, 2008

By Denholm WT

The main objective of the experimental study was to investigate the dissolution kinetics of various forms of carbon under iron bath converting or smelting-reduction conditions, i.e., particulate, free moving carbon in contact with a turbulent iron melt. Iron/carbon melts were contained in cast magnesia-lined silicon carbide crucibles heated by a medium frequency induction furnace. The melts were stirred by injecting nitrogen through 2 mm I.D. alumina lances submerged to a depth of 50 mm in the 100 mm deep baths. Particulate carbon in the form of graphite, brown coal char and petroleum coke, were dropped directly onto the turbulent bath. The dissolution rates of the various carbon types were monitored by taking periodic bath samples for subsequent carbon analyses. The effect of carbon particle size (1-6.25 mm), the degree of bath turbulence (nitrogen stirring rates of 0-20 litres/min), and bath temperature (1300-1500¦C) were assessed. The analysis of the results was complicated by particle buoyancy effects, but it was established that the dissolution rates of the three carbon types investigated were similar, and increased linearly with increases in the gas stirring power inputs. Particle size had relatively little effect on the dissolution rates.

Jan 1, 1984

By Torrance AC

A joint research programme conducted by BHP Central Research Laboratories and Du Pont Wesfarmers Pty Ltd examined the effect of the size of cast primers on the run up and steady state detonation veloci- ties of ammonium nitrate based explosives as a function of blasthole diameter. Both continuous and point to point velocity of detonation meas- urement techniques were used. The field trials examined a number of the Du Pont HDP series of primers in conjunction with ANFO, emulsion and watergel explosives. Results indicate that the run up velocity of 187mm diameter ANFO charges is negligible using cast primers as small as 150g. owever, emulsion and watergel explosives did exhibit run up in both 187 and 311mm diameter blastholes, independent of the size of primer. This could last from 7 to 10 blasthole diameters.

Jan 1, 1988

The underground storage of LPG and other hydrocarbons is in current commercial use in Northern Hemisphere countries in Europe, Asia and the USA.Elgas Pty Ltd, a 50 per cent joint venture between AGL and BOC, embarked on a worldwide feasibility investigation in 1989 to establish the viability of constructing an underground LPG storage facility in Sydney, Australia, the first of its kind in the country. Elgas recognised that with the limited 19 000 tonnes of storage capacity at Port Botany and the limitations imposed by use of small coastal ships (up to 10 000 tonnes capacity), a larger storage facility was required to utilise higher capacity ships from more remote sources such as the North West shelf and overseas. This would achieve security of supply in high demand periods and economies of scale. The underground option also provides improvements to safety and environmental standards.

Jan 1, 1999

By A Sadri, S Smith

In the metal and mineral industry, different empirical techniques are used to estimate the remaining thickness of the lining within an operating furnace. The disadvantage and costly factor when using these methods is that production needs to be halted. Hatch has developed an accurate and reliable technique based on stress wave propagation principles to determine the condition of the remaining lining whilst the furnace remains online and operational.The technique involves test data collected and compiled to generate 3D imagery used to assist operators and maintenance planning personnel with valuable information showing areas of metal penetration in the lining, remaining lining thickness, exact location of voids, cracks, poor contacts and deterioration due to chemical attack. In this paper, the principals of the AU-E technique will be explained both theoretically and practically. In addition, the use of ultrasound technology for determining the condition of copper cooling elements will be briefly addressed.

Jan 1, 2006

By S Youds

The backfilling operation at Olympic Dam mine supports a 9.8 Mtpa underground Long Hole Open Stoping (LHOS) operation. It involves a combination of Cemented Aggregate Fill (CAF), surface rockfill and underground rockfill. The fill material is introduced from the surface via boreholes into the top of the stopes. Due to the deleterious effects of the dust and the thickness of the atmosphere in the stope it is not possible to view the filling process either at optical or infrared (IR) wavelengths. The need for a means to measure the filling process is driven by the placement of both rock and CAF fill in the stopes. The large volumes and high relative cost of CAF makes the minimisation of CAF fill a business priority. Incorrect filling can lead to the sterilisation of ore reserve. The use of millimeter wave radar to view through the haze to give real-time data on the relative positions of the different fill masses is being developed as an in-stope fill monitoring device. This paper reviews the salient points of the technology and its potential use in the backfilling operation at Olympic Dam. The broader potential of this technology for use in the mining industry by æseeingÆ through water and dust laden environments such as that found in stopes and ore passes is also discussed.

Jan 1, 2002

By Agrawal A, Joshi A

Mochia mine, in culmination of depillaring operations, fired India's largest underground pillar blast consuming 145 tonnes of explosive and yielding 0.55 million tonnes of ore in June 1994. To protect main mine structures (situated at a distance of 250 to 350 m from the blast site) from resultant ground vibrations, the charge per delay was restricted to 2300 kg. The post-blast observations revealed that no damage was caused to these structures. However, the damage assessment survey of the mine workings situated in close proximity revealed a general trend in consonance with the distance from the blast and found to be well correlated with peak particle velocity.

Jan 1, 1995

By A R. Hollis, M Heddon

The safe life cycle of a Tailings Storage Facility (TSF) is founded on the fundamentals of proper design, construction, operation and closure. Leinster Nickel Operations (Leinster) utilises four active TSF cells that are cycled between filling (deposition), desiccation, and construction to meet a targeted rate of rise. This results in ongoing and consistent raising of the TSF walls. Critical to maintaining the safe life cycle through this consistent wall raising is precision construction and high frequency quality assurance to ensure compliance to design requirements and TSF walls free from defects. Leinster has recently deployed Intelligent Machine Control technology for TSF construction. Advances in Intelligent Machine Control have decreased variability in construction; ensuring variations are within the tolerances of design. The Intelligent Machine Controls are programed to ensure construction conforms to design tolerances of +/-30mm. This level of accuracy provides assurance of borrow area set out, compacted layers are as per design, compaction monitoring is within the zone placed, scarification between layers to prevent lamination is maintained, and batter angles are set to the correct grade. This level of control provides certainty that construction meets the design intent. In conjunction with Intelligent Machine Control, periodic drone surveys are conducted to verify construction against design. Advancement in survey equipment and techniques allow higher frequency, high accuracy survey to be completed on demand by site based personnel. This provides quality assurance through all stages of the construction phases, as well as the final constructed wall, ensuring compliance to design. Combining Intelligent Machine Control with higher frequency quality assurance provides an increased level of certainty that the TSF construction is defect free and within quality specifications. These recent technological advancements in Construction and Quality Assurance ensure cell raises are constructed to the design intent with greater levels of accuracy and precision than ever before.

Jul 1, 2021

By Parer W. R

During the last fifteen years there has been a marked change in the demand and supply patterns of coking coal. The world demand, predominantly Japan, has increased from 23 million tonnes of world export/import coal in 1960 to an expected total of at least 100 million tonnes by 1975. In the last ten years Australia has been the main beneficiary in the growth of the export coal trade. This has been brought about by its proximity to Japan and its large econ- omically mineable reserves of coking coal. A feature of the recent coal development in Australia has been the requirement of companies in new areas to provide massive capital for infrastructure costs. The ability of the Australian coal industry to retain a large share of the world export market depends to a large extent on reasonable costs to transport coal from mine to the market place. In some areas of Australia this means that railway lines, loading and unloading facilities, and ports will have to be up-dated at substantial costs. On the long haul to Europe the recent increases in the prices of bunker fuel have made the price of coal less competitive when compared with sources

Jan 1, 1974

Since the discovery of coal of the Southern coalfield (Illawarra 1797, Burragorang 1806) coal mining has grown progressively to the thriving industry of today. Early shallow escarpment mining required no serious access development, but with extension of mining to further and deeper areas, sinking became necess- ary. Now, with 17 major shafts and 7 decline drifts in current use, new mining activities involve several current sinking and drifting projects, with more in prospect. Conventional sinking and drifting, using blasting and mucking techniques proven in recent years are normally in use, with attempts, recent and current to accelerate advances by boring techniques. With export and to less extent local market unpredictability, it is vital to produce mine establishment times to allow advantage to be taken of market upswings and there is great need for research and improvement of mine access construction as the major aspect of establish- ment.

Jan 1, 1976

By Ushakov S

New geological and geophysical in vestigation including our detailed field observation in different regions of the Koryak upland testify that Nor- theastern Eurasia margin eastward of the Ochotsk-Chukotka belt is composed of a collage of allochtonous terranes arcs and sedimentary filling of back- arc basins, which bordered North East Siberia and Chukotka (1)1). Ancient island are assemblages are the most tipical for this region (2-4; shown by heavy line). They are marked by long (500-1000 km) volcanic belts which become younger towards the Pacific up the Latest Jurassic-Neocomi- an (2) to Late Cretaceous (3) and Pale- Gene (4).

Jan 1, 1987

By C B. Valentin

It is acknowledged that the analysis of iron ores using X-ray fluorescence (XRF) for major and minor elements is best carried out on fusion discs. This method of sample preparation eliminates mineral and particle size effects which can lead to biased results when using pressed powder pellets. However, the fusion disc method is costly as it requires a high capital investment in platinumware, requires experienced operators and uses expensive fluxes. Also, the dilution effect complicates the analysis of trace elements. For many applications, such as exploration and mining control, the method of XRF analysis of iron ores by pressed powder pellet probably provides data of adequate quality. Kumba Iron Ore, an iron ore producer in South Africa, recognises this and carries out most analyses of iron ore by pressed powder pellet and uses the automated fusion method mainly for certification of in-house calibration standards and quality control (QC) samples that are used for validation of pressed powder pellet method purposes. Automated fusion is also used for analysing the composite export shipping samples. All the other exploration, production, despatching and plant operation samples are done by the pressed powder pellet method. Automation of sample preparation procedures should improve the quality of data for pressed powder pellets. To compare the precision of the three methods of sample preparation and XRF analysis, 20 aliquots of a QC standard were prepared and analysed by each procedure/preparation method. The results and statistical data on the most important elements, Fe, K2O and P, are as shown later in Table 2.Clearly the precision is best for the auto prepared fusion discs, as expected, and worst for the manually prepared pressed powder pellets. However, the data generated from the auto prepared pressed powder pellets compare remarkably well against those from the auto prepared fusion discs.

Jan 1, 2007

By M Darvall

Magnetite ore blending has yielded signifi cant performance improvements in OneSteel’s magnetite concentrator. The magnetite concentrator beneficiates magnetite ore from the Iron Magnet Deposit and produces concentrate, which is pelletised, then fed to the OneSteel Whyalla blast furnace. Concentrator feed variability severely detracts from the concentrator’s performance, affecting both concentrate yield and grade, which impacts on all downstream processing costs.A coordinated approach has integrated mine planning, geological modelling and grade control, to minimise concentrator feed variability, through effective ore blending throughout the mining and stockpiling process.Mine planning personnel design shots that extend the full width of the orebody and hence across the stratigraphic profi le. Based on geological information contained in block-outs and in consultation with Geology, the Grade Control team allocates material to each primary stockpile, potentially from every stratigraphic domane in the orebody. This ensures primary stockpiles are designed with maximum practical homogeneity and consistency.Using only primary movement, the allocated ore is stockpiled in a layer-cake fashion. The ore is pimple dumped across the width of the stockpile footprint and on completion of a layer, it is dozed flat with an access ramp that allows dumping to commence on the next lift. The primary stockpiles are reclaimed normal to build direction and the magnetite is crushed, all in, to a concentrator feed stockpile.The ore is sampled at the crusher from a falling stream cut. These assay data, are used for benchmarking and control charting the grade and variability of concentrator feed stockpiles. The concentrator feed stockpiles have demonstrated a statistically signifi cant reduction of within pile variation, between pile variation and pile to pile variation, primarily attributable to the development of ore blending. The concentrator has seen sustained, improved performance as a direct result, which translates into lower concentrate cost per tonne and improved yield and quality.

Jul 11, 2011

By M Carr, C Wheeler, M Lurie, B Chen

The demand for steel products in modern society is prompting the iron ore industry to optimise their operations to ensure sustainability of fines and lump products. One of the key components in the iron ore transportation chain are belt conveyors. The energy consumption of modern belt conveyor systems has reduced considerably over the past few decades, however, there is still significant scope for further reductions, especially when heavily loaded long overland belt conveyors are considered. A new rail based continuous bulk material transportation system has been developed by researchers at the University of Newcastle to reduce the energy consumption of heavily loaded and long overland conveyors. The Rail-Running Belt Conveyor technology is a state-of-the-art continuous belt conveying technology which provides an innovative and novel departure from conventional continuous bulk material transportation systems with significant energy and economic benefits. This paper presents an overview of a Rail-Running Belt Conveyor variant which considers an enclosed belt. Enclosed belt conveying has the benefits of encapsulating the bulk material, and thereby reducing dust emissions and moisture ingress, in addition to being able to negotiate smaller radius horizontal and vertical curves leading to greater flexibility. To quantify the primary differences between conventional conveying technologies, the Denver office of thyssenkrupp Industrial Solutions (USA) developed a case study for an 11 km long conveyor. The conveyor design throughput was 2750 t/h and included a small net elevation loss of 10 m. When considering CAPEX the Rail-Running Pipe Conveyor equipment supply cost is approximately 45 per cent of the cost of a conventional pipe conveyor, while savings upwards of US$50M emerge for CAPEX combined with five years of OPEX. The savings vary with the topography and density of the bulk commodity, with iron ore generally showing increased savings because the high bulk density increases rubber losses in conventional conveyors.

Nov 8, 2021

By D Hunter

A production information management system (PIMS) was recently implemented at Queensland NickelÆs Yabulu Refinery. Although a strong business case was developed to justify the significant investment in PIMS some potential beneficiaries remained sceptical of the anticipated benefits. The decision to install PIMS was justified as the on-line availability of continuous production data enabled the optimisation of some crucial operations resulting in significant cost savings, improved throughput and final product quality. Furthermore the rapid access to extended historical data has allowed the cause of repeated failure of equipment to be determined. The investment is expected to pay for itself within two years and has already contributed towards significant savings. This paper focuses on some of the diverse production improvements gained and compares the anticipated benefits in the business case to those achieved. A brief outline of the phased implementation of the OSIsoft PI data historian and complementary client software at Yabulu is included, along with details of the lessons learned.

Jan 1, 2003