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By J. A. McLennan

Geological uncertainty is an unavoidable characteristic of all mining projects since only limited information is available from sampling. Mine planning and development decisions with significant economic consequences are made when the geological heterogeneity is inherently uncertain. Geostatistical simulation is preferred over kriging because the methodology provides alternative property realizations that can be combined into a model of geological uncertainty. Geological uncertainty can be transferred into production uncertainty, which can help characterize the economic risk of the project. This paper presents a case study for the Pogo property, being prepared for development near Fairbanks, Alaska. The exact dimensions, grades and production predictions have been modified; however, the methodology is illustrative. The geostatistical methodology consists of (1) assembling the relevant drillhole data and establishing a suitable coordinate system, (2) calculating the target distribution, (3) creating a model of spatial correlation, (4) generating multiple realizations at a small scale and (5) linearly averaging all the realizations to the chosen selective mining unit (SMU) support size. The geostatistical model is then used to calculate production uncertainty.

May 1, 2004

By Oy Leuangthong

Red Dog mine is the world's largest Zn producer. The deposit consists of sulphide ore zones in sedimentary exhalative (sedex) deposits, and is characterized by the presence of multiple metals and multiple ore types. The objective of the case study is to characterize seven different minerals, Zn, Pb, Fe, Ba, sPb, Ag and TOC, within eight different rock types. Geostatistical models were constructed for each variable within the eight rock types, and subsequently assembled to give 40 realizations for six 25ft benches. The stepwise conditional transformation was used to account for the complex multivariate relations. In addition to reproducing the input data, histogram and variogram, the resulting models also respect multivariate relations locally and globally. This paper documents the methodology to construct these models. A thorough validation procedure was implemented. Comparisons with blasthole data show that the conditional simulations and the long-term models agree in expected value. The main advantages of the conditional simulations are (1) the explicit accounting of multivariate relations between the data in model construction, and (2) the ability to quantify variability and uncertainty at any scale. A small exercise comparing the profit from a kriged and a simulated model is also examined. Results show that the simulation approach showed a 3% increase in profit, relative to the conventional estimation approach.

May 1, 2004

By W. Greg Maybee

Separations, which form along stratigraphic boundaries in the roofs of potash mines, pose a serious safety concern. If these separations go undetected they can lead to falls of ground. The current method of identifying the location and extent of these separations is through manual scaling (sounding) using an aluminium rod. The potash mining companies would like to have a tool, which could quickly and reliably detect these separations and distinguish between them and clay seams. This paper presents the results of field trials undertaken at various potash mines in Saskatchewan belonging to the member companies of the Saskatchewan Potash Producers Association. A ground penetrating radar instrument from RST called SUSI (stepped frequency, ultra-wideband, synthetic aperture radar instrument) was used. SUSI has the ability of working over various frequency bandwidths. Four mines were chosen for these field trials, covering the different geological characteristics encountered in the Saskatchewan potash mines: Potash Corporation of Saskatchewan?s (PCS) Allan and Lanigan Divisions, Agrium?s Vanscoy Potash Operations and IMC Potash?s K2 Mine. These field trials indicated that stepped frequency ground penetrating radar technology could be ?tuned? to identify both separations and clay stratigraphy in the softrock, potash mine environment, based on the different spectral responses of the features.

May 1, 2004

By Patrick F. R. Murphy

An ultra-low profile LHD has been developed by EJC Mining Equipment of Burlington, Ontario for narrow-reef mining applications. This paper discusses the challenges encountered during the evolution of the machine's design and subsequent field testing. Continuing research and development focuses on optimizing machine performance and controllability, reducing emissions, and enhancing maintainability. Details will be given on field trial experience and ongoing test work being carried out at the manufacturing facility.

May 1, 2004

By Khosrow Ebrahimi

We document the occurrence, mineralogy and firing properties of magnesite from hydrothermal deposits in the upper Cretaceous ophiolites of Eastern Iran. These deposits occur as thin veins of nearly pure cryptocrystalline magnesite with only trace amounts of quartz, calcite, and dolomite. Ratios of CaO/SiO2 in the bulk ore are variable. The composition of dead-burned magnesite from these deposits, calcined at different temperatures and durations, is predictable from phase equilibria. Textures of the calcined magnesite were studied by SEM; results show that the principal impurites produced during calcination are forsterite, monticellite, merwinite, dicalcium and tricalcium silicates, and that these are located principally at triple junctions of the periclase crystals. The size of periclase crystals increased with temperature and duration of calcination and the amount of periclase-periclase grain contacts was reduced by increasing the concentration of impurities in the starting products. EPMA show: 1) that CaO and FeO contents in periclase increase steadily with an increase in the CaO/SiO2 ratio and the FeO content of the bulk ore, respectively, and 2) that limited solid solution exists between impurites. This study demonstrates that high quality dead-burned magnesia refractories can be produced from the Iranian magnesite with low CaO, SiO2 and FeO contents.

May 1, 2004

By William Pitman

Ground instability and subsequent rock falls are a major concern in underground mines. As a result, several mining companies are conducting risk assessments of the ground support installed in their mines. Risk assessment is now commonly used to provide mine operators with a systematic process to assess the strategic risks that could lead to injury to personnel or loss of production, and evaluate possible risk control measures. Risk assessments can be carried out to identify major hazards, assess the likelihood of occurrence and consequences of each hazard and estimate the level of risk. This process allows assessment of possible remediation actions to minimize the risk and likelihood of occurrence or mitigation of the consequences to a level that is reasonable and practical. This paper presents two practical mine applications of qualitative risk assessment of ground support to highlight the benefits of this process. Yearly or bi-yearly risk assessment of mine excavations can assist mine operators in prioritizing resources and areas that require support remediation. In addition, it provides a mechanism for proactive response to reduce potential risks associated with personnel safety, equipment safety and environmental impact. It also provides a baseline against which changes in ground condition can be compared and quantified.

May 1, 2004

By Frank B. Amon

Highland Valley Copper had to make some significant changes in the way it was working in order to counter the effects of ever-increasing costs and decreasing metal prices. A mine/mill optimization plan started in 1997 introduced new technologies and management approaches that resulted in a dramatic drop in cash breakeven costs. The changes involved employee training, added authority and responsibility for staff, better communications, and a consistent approach to setting and achieving property-wide goals. The net effect was to change the culture of the organization from one that was fragmented and focussed on local objectives to one that is cohesive and has common goals. These changes have allowed the mine to remain in business during a protracted period of low metal prices, and have positioned the mine favourably to benefit even more from any future increase in prices.

May 1, 2004

By V. Murugaiyan

The Geotechnical Engineer is faced to view problems emerging from the task of protecting the environment and also the problems related to prevention of natural hazarders. Geo-Environmental Engineering, based on the development of geotechnical engineering, addresses the problems for the industrial world and the impact on health and welfare in relation to pollution of the ground. In the recent years, acute land pollution due to indiscriminate discharge of industrial effluents especially Organic acid based effluents has become one of the major concern due to erosion in the privatization of sustainable development under Indian Scenario. To study the effect of chemical changes on soil properties due to amino acid effluent contamination on soil and erosion behavoiur. The changes in the soil properties of effluent contaminated clay and silty soil were experimentally observed to be due to the interaction of organic and inorganic constituents of effluent on index properties of soil. The surface reactivity of soil mass is experimentally reported to be varying proportionately with respect to clay (%) in the soil. Also higher surface reactivity of clay increases the Solid Retension Time (SRT) with increase in rate of chemical transformation of organic and inorganic solids within soil. Hence soil S1 (high clay content 54.5%) showed increased SRT and soil S3 (low clay content, high silt and clay content 94.9%) showed decreased SRT and long transformation stage.

May 1, 2004

By Ann Bigué

Outline of Presentation 1. Impacts and Benefits Agreements Defined 2. Elements that determine the content of an IBA: ? the nature of the project ? the identity of Aboriginal communities affected by the project ? the legal environment 3. Content of Impacts and Benefits Agreements Impacts and Benefits Agreements Defined Have emerged in response to effects of major mining projects located on or close to Aboriginal lands and close to Aboriginal communities Are negotiated between the mining project proponent and one or more Aboriginal groups May include government May be known under other names

May 1, 2004

By Derek J. Cyr

Climate has an immense impact on the properties of Athabasca oil sands and the ease or difficulty with which it is excavated and extracted. During the winter months, exposed oil sands surfaces freeze. When hydraulic and electric shovels used in the various operations in the Fort McMurray area excavate the benches, large frozen lumps are created. These lumps are either destined for a lump dump where increased costs are incurred due to rehandle, or they are sent to the primary crushers where they can cause significant downtimes by jamming the crusher. The crusher down time can sometimes be in the order of hours of lost production. Studies on data from two consecutive winters at Syncrude Canada?s North Mine show a high correlation between climate and the generation of frozen oil sands lumps. Temperature, ground cover, traffic, bench exposure time, oil sands grade and moisture content all contribute to this problem. A 1D frost penetration model was used to predict the depth of frost expected in oil sands and the corresponding likelihood of frozen oil sands lumps. To combat the challenge of frozen lump generation, a number of proactive and reactive measures can be taken: artificial snow, shallow ponds, scheduling, blasting or ripping.

May 1, 2004

By H. Warren Newcomen

Assessments of the stability performance of open pit highwalls have traditionally been based on consideration of surface movement rates. Although generally accepted in industry, this approach presents challenges for establishing appropriate threshold values to allow for safe mining operations and does not address the issue of total strain. Surface movement monitoring data from a limited number of open pit mining operations in North and South America has been evaluated in terms of highwall strain, rock mass quality and inferred mechanism of instability. Threshold strain levels for key stages of highwall stability proposed from previous work have been reviewed and are generally endorsed based on evaluation of additional data. An empirical highwall strain criteria for the assessment of highwall stability performance is postulated based on the observed trends in highwall strain data from the case histories presented.

May 1, 2004

By Mike Turner

The Otter-Juan mine was closed by WMC Resources? Kambalda Nickel Operations (WMC-KNO) in 1999 due to the combined effects of low Nickel prices and high mining costs. GBF Mining Pty Ltd purchased Otter-Juan Mine from WMC in early 2001 as part of WMC?s disinvestment from the nickel mines in the Kambalda area. Goldfields Mine Management (GMM), (a wholly owned subsidiary of GBF Pty Ltd) re-opened Otter-Juan in May 2001. The Otter-Juan mine is one of the oldest mines in the Kambalda region and is now mining at depths below 1160mbs. Stresses are very high, rock mass deformation considerable, and the mine has a history of serious seismic activity. Orebody widths in the current mining area range from 2 to 2.5m, with dips from 25° to 40°. On taking over the operation, GMM converted the mining method from the previous mechanised drift and fill method to a slot-rise and strip method using hand held airlegs. During the latter years of production under the control of WMC, production averaged around 12000 tonnes per month, with grades of 2.7% and orebody extraction of only 55 to 60%. In the last three years of operation under the control of GMM the mine has produced an average of 12000 tonnes per month of ore at an average grade of 4.2% and with an orebody extraction of 70 to 75%. The mine is now highly profitable with at least another 3 years of reserves remaining at depth. The main benefits of the current method include reduced dilution and increased extraction. In the relatively poor ground conditions experienced this has only been possible using airleg mining, with excavations designed to suit conditions, support to suit rockmass deformations, and with improved extraction sequencing. Other benefits have included improved operating conditions, reduced falls of ground incidents and a dramatic reduction in seismic activity. These achievements have only been possible by stepping back in time and using traditional airleg stoping methods to extract the maximum amount of the orebody with minimum dilution. This paper includes details of the mine history, geology, mining method, seismicity, and support.

May 1, 2004

By Ning Shi

This paper suggests an alternative design approach for an innovative shovel dipper, for use in ground conditions where cutting of virgin ground rather than scooping of blasted material is required. Not only does the new design have an optimized dimension ratio (width:height:depth) and attachment arrangement (angle, position), but also a non-linear pro¯le in 2D and 3D. The approach is based on the simulation of a shovel's duty cycle to verify a pilot dipper model. In order to achieve a realistic simulation that could be used to evaluate a dipper design, the model is e®ectively a descriptor of actual shovel activity under soft ground conditions. The shovel geometry, motion and operation, with an emphasis on digging and dumping kinematics and dynamics are the principal elements of the simulation. The simulation considers a fresh face location, repeating tucking, digging and dumping swing motions within the geometric range of the machine, ending when no more face material remaining within reach without re- positioning. The simulation yields digging force, friction force, trajectory, ¯ll time, ¯ll factor, etc, which may be integrated into two basic considerations: power draw (output) and volume delivered (production), as indicators of dipper performance. The simulation has been used as a tool to modify an existing dipper design, prior to looping further simulation cycles. Ultimately, an optimized or totally-new-concept shape is realized. A prototype dipper as a fractional scale model will be built to verity the performance under actual mining conditions.

May 1, 2004

By Hasan Ozturk

Laboratory testing examined the effect of a variety of intrinsic rock properties and environment conditions that influence the adhesive bond between rock and thin spray-on liners. The liner materials used for these tests were Tekflex, provided by Fosroc, Castonite, provided by Rohms and Haas Co., Rockweb provided by Spray-on Plastics, and CS 1251 2K, provided by Master Builders. Some of the variables examined include: rock strength (tensile/compressive strength) rock mineralogy, rock surface roughness (grain size, fracture/joint roughness), and surface contamination (oil, water or dust). Under optimal conditions, adhesive strengths reaching at least 3 MPa can be achieved. Where the rock surface is contaminated with dust or the rock is weak in tension, it may be difficult to reach adhesion strengths of 1 to 1.5 MPa.

May 1, 2004

By Fidelis T. Suorineni

Rapid drifting enables quicker access to orebodies, higher production rates and a resultant reduction in production cost. The Mining Innovation, Rehabilitation and Applied Research Corporation (MIRARCO) funded by the Canadian Mining Industry Research Organization (CAMIRO) has developed a methodology for safe rapid drift development within the underground metalliferrous mining industry in Canada According to industry survey, about 36% of drift development cycle time is spent on support installation. MIRARCO has developed a methodology for safe rapid drift development based on minimizing time spent on support installation. The methodology includes a critical review of the rockmass classification systems, examination of current support practices in the mining industry and civil tunneling, review of rapid drift development practice in South Africa, introduction of risk hazard procedures to account for material property variability and the development of a WIZARD as a quick decision-making tool for the implementation of the procedures. A comprehensive field data collection procedure was put in place and data collected from various mines to verify and calibrate the support selection rationale. The findings of the research programme resulted in the development of an improved rockmass classification system and showed that construction effects have drastic influence on support levels but is often not accounted for in assessing support levels. Stress effects and structurally controlled failures are the other important factors to take into account in rapid drift development. Three support classes were established for safe rapid drift development as No Systematic Support, Light Support and Strong Support. The support levels took into account cost, rate of installation and safety based on compatibility with ground characteristics. This paper describes the methodology for safe rapid drifting within the underground metalliferrous mining industry in Canada and highlights the key issues and major drivers behind their continued development at the Geomechanics Research Centre within MIRARCO.

May 1, 2004

By William J. Purdy

Successful design, operation and completion of a surface waste management facility for a diamond mine located in Canada?s northern environment requires careful planning to minimize short and long term environmental impacts. As part of the mine development application process, best practice standards were applied using conventional engineering to reduce the environmental effects of the mine waste facility at the Snap Lake Diamond Project. This paper presents the design criteria, site conditions, material characteristics and engineering management objectives considered for optimization of the development plan. Insight into the engineering analyses, development alternatives, monitoring program and reclamation strategy plan to be undertaken during mine operations to provide opportunity for adaptive management and to minimize environmental impacts is provided.

May 1, 2004

By Bruno Lemelin

Falconbridge Ltd Raglan Mine has been in production since 1998 and has produced annually some 900 000T of ore grading 3.1% nickel, 0.9% copper and 0.06% cobalt. The mine is located in Nunavik, Northern Quebec. The current mine life is estimated at approximately 20 years. Reserves are composed of numerous small ore bodies situated across a 65 km strike length. Planning the extraction of the ten small mineralized zones represents a great challenge to optimize. The overall objective is to maximize the company?s return on net assets. Actual planning uses computerized technology tools like Automod and Mine2-4D, and a conventional discounted cash flow method (DCF) of calculating net present value (NPV). The complex setting of Raglan could benefit from advance valuation techniques such as the real options method (RO). This paper will present the characteristics if the mines that make it a good candidate to use RO to gain further insight.

May 1, 2004

By Marc Legault

The Duparquet mining camp situated along the Quebec segment of the Porcupine-Destor Fault was the site of gold exploitation from 1933 to 1956 and 1988 to 1991. Numerous gold showings and deposits straddle the fault. An ongoing regional metallogenic study by the Quebec Geological Survey has identified five main types of gold mineralization, each showing a distinct style, alteration, control, metal content, and timing. In order to maximise the impact of this study, a 3D regional common-earth-model was constructed along a critical segment of the Porcupine-Destor Fault with the gOcad® technology. The realisation of this model required the maximum use of the public SIGEOM numerical database, as well as the recovery of significant private data from exploration company partners. The 3D model is also a powerful new dynamic exploration tool, which can be queried using geological criteria characteristic of the different gold deposit types. This 3D model can be modified and improved continuously by adding data from new drilling, mapping or geophysical surveys. The case of the Porcupine-Destor Fault illustrates the importance of 3D common-earth-modelling in delivering refined technological geological syntheses likely to attract significant investments from the mining exploration industry, especially for deep exploration programs within mature mining camps.

May 1, 2004

By Matt Schuett

Antamina Mine Facts • Surface Water Design Principles • Drainage Areas • SEDCAD Modeling • Impacted Runoff Collection • Clean Runoff Collection • System Flexibility • Outfall Construction

May 1, 2004

A case study for the application of a novel geostatistical technique for resource estimation of a narrow steeply dipping, gold-silver mineralized quartz vein deposit is presented. The technique is novel in two respects. First, mineral grades are kriged directly rather via the accumulation method more often applied to vein deposits and, second, a modified 2D ordinary kriging algorithm is used that allows the calculation of a single grade and variance for irregular shaped blocks of varying sizes. The objective of this investigation was to evaluate the suitability of this novel geostatistical technique for resource estimation of the Poura mine deposit and, if appropriate, to lay a firm foundation for future geostatistical work at the mine. The reserve estimation concentrated on the remnant ore blocks and pillars in both underground and surface workings. The data, which was collected in 2D coordinates with grade and vein thickness values, was first analyzed statistically and used to compute experimental semi-variograms. Appropriate semi- variogram models were fitted and various aspects of the estimation technique were evaluated using cross-validation error analysis, with acceptable results. A block kriging computer program called Krige2D was developed to implement the modified 2D kriging algorithm and calculations. Production data were not available to evaluate the computed block resources, but they were compared with a previous resource data determined using an arithmetic approach. The geostatistical technique estimated slightly higher grades but lower overall tonnages as compared to the earlier arithmetic estimates.

Feb 1, 2004