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By Dodd SF

Valuation of mining companies and their underlying assets prepared by brokers' analysts are, by necessity, approximations. The reliability of the valuations is entirely proportional to the quality of available data, the reliability of forecasts and the nature of underlying commodity price assumptions. The latter is perhaps the greatest single cause of gross variations in company and asset earnings estimates and- valuations. Assumptions are often necessary regarding commodity price achievement based on commodity hedge positions. Public disclosure from listed companies provides a sound base from which to project earnings, cashflows and balance sheets. The uncommon disclosure of projected production and cost schedules often reduces the reliability of future estimates. The application of reserve and resource estimates is contentious with practitioners applying differing weightings to importance of resources in estimating mine lives (and therefore cashflow streams). Valuation methods applied in equity markets usually focus on relative value and the identification of pricing anomalies. The commonest ""rules of thumb"" applied in the valuation of mining companies (and therefore their underlying assets) is with the use of year specific price/earnings (P/E) and price/cashflow (P/CF) ratios, with low multiples suggesting undervalued assets, high multiples overvalued situations (but these rules can often be clouded by market expectations of underlying commodity price movements). Another simply applied valuation tool is to examine the examine the value placed on reserves and resources by the market. Inexpensive gold in the ground (expressed as $ of market capitalisation per ounce of reserves or resources) might indicate a buying opportunity, but the market does discount the value of gold in the ground prior to mine development and where development risk is perceived.

Jan 1, 1994

By R Brake

The Enterprise Mine (EM) is located at Mount Isa and is wholly owned by Mount Isa Mines Limited (MIM). This high-grade copper mine extends from about 1000 m below surface to almost 2000 m below surface. A recent $400 million upgrade has taken the operation from a production rate of 1.3 Mtpa to a capacity of 3.5 Mtpa. The effects of high surface ambient temperatures in summer, combined with the depth of the mine and high virgin rock temperatures results in heat stress in the working place that, without intervention, would exceed the levels that human physiology can withstand. It would also result in significant decreases in productivity and high accident rates even where work is possible. Moreover, with a very hot and deep mine, the needs of æegressÆ and entrapment of workers during a mine emergency must be carefully considered. Enterprise Mine has taken a æsystems approachÆ to the issue of working productively, healthily and safely in heat. This involves setting limits of thermal stress for workers, understanding productivity decrements when working in heat, establishing productive and healthy environmental targets, developing engineering solutions to meet these targets, creating a well-educated workforce with respect to working in heat and then developing health protocols to ensure workersÆ health is protected. Refrigeration must be added to the mine to provide acceptable and productive conditions underground. By the time the mine is commissioned in 2000, Enterprise mine will have an installed refrigeration capacity of in excess of 40 MW(R). The ventilation engineering principles proven over many years at the other Isa underground mines are tailored to æfloodingÆ the mine with air to remove the heat, which is the main contaminant. This principle will not work at the Enterprise Mine, for reasons discussed below. With the underlying ventilation principle no longer satisfactory, a complete review of the entire ventilation principles and engineering solutions was required for the Enterprise Mine.

Jan 1, 2000

Grey River Gold Mining Limited (GRGML) has constructed and largely completed the commissioning of an alluvial gold dredge designed to recover gold from a low grade gold deposit in the Grey River Valley, New Zealand. The most important resource that GRGML has are the people who are employed by the organisation. The low grade of the deposit necessitates the requirement to operate the dredge at optimum efficiency, which in turn requires the work force to be of high calibre and continually motivated. The primary prerequisite for employment at GRGML is for employees to be receptive to new ideas and have the adaptability to develop new skills and apply those skills to the changing demands of the workplace.   A continually changing organisational structure is utilised to meet the needs of a changing work environment. The adoption of an innovative site employment agreement allowing for flexible working hours has aided the achievement of good employee productivity and attendance.   Employees gain a higher quality of life by working a roster pattern involving twelve hour shifts and a four day on, four day off pattern.   Employees and management are communicating very well and working together to achieve organisational goals which will ultimately benefit the employees, the shareholders, the local community and the mining industry generally.

Jan 1, 1989

The association of deep well turbine type pumps with metal mining is by no means a new one, though undoubtedly each application has certain features of interest, conformable with attendant circumstances. Although all conditions pertaining to a particular operation in one mine are rarely, if ever, duplicated in another mine, it is felt that some aspects will be parallel, or in various ways comparable.Therefore the following descriptions of an installation of a deep well turbine pump as part of dewatering plant in connection with shaft sinking may be of general interest to metal mine operators.The Man and Supply shaft at Mount Isa Mines is designed as shown in plan by Fig. 1. It is the main entrance and service shaft for the entire property and hence is in constant use. Arrangements for sinking must be such as to cause little or no impediment to routinehoisting work. Also, being the main shaft, it has been essential to deepen it in step with successive level developments.During the period of operations at Mount Isa only a limited time has been available to complete succeeding levels down to the present No. 7 haulage level (895 ft.), and sinking operations in soft, broken, leached, and heavy water-bearing country have presented many features militating against reasonable speed and cost. Outstanding among these difficulties has been the large volume of water contained in the pervious brecciated country.

Jan 1, 1939

By A Liu, T Ren

Gas explosion in underground coal workings can pose a serious threat to the safety of mine workers and the entire mine operations. Gas explosion is a very complex thermal-chain reaction in a confined underground environment. Based on combustion and explosion theory, three dimensional (3D) computational models were developed to simulate mine gas explosion flame and overpressure wave propagation in a single entry gateroad in underground coalmines. Six different explosion scenarios were modelled and compared with large scale experimental results and AutoReaGas simulations. Model validations show that the use of shear-stress transport (SST) k-? model together with eddy-dissipation model (EDM) produces good agreement with both experimental and AutoReagas simulation results. Modelling results demonstrated that the changes of temperature versus time can be divided into four stages, ie the initial condition stage, and periods of warm-up, active burning, and burnt-out. Assuming a limited volume of methane is involved in the explosion, the maximum temperature decreases as the distance increases from the explosion point, with the highest temperature reaching about 2460 K. Modelling results show that the evolution of the explosion flame shape experiences four typical stages, ie spherical flame, finger-shape flame, flame with the skirt touching the side walls (ribs) and tulip flame, which are similar to the pattern of a duct explosion. The pressure in the gateroad remains the same as the initial value before the arrival of the explosion wave and then increases rapidly to the maximum value. Modelling results from this study will be used for the design of explosion arresting devices and mine seals in underground coalmines.CITATION:Liu, A and Ren, T, 2017. Computational simulation of gas explosion and its propagation in single entry gateroad, in Proceedings Australian Mine Vent Conference 2017, pp 181–188 (The Australasian Institute of Mining and Metallurgy: Melbourne).

Aug 28, 2017

The copper-clay deposits consist largely of goethite and clayey mudstones carrying native copper, cuprite, and chalcocite. The mudstones are of Ordovician age, are interbedded with Fe-Mn carbonates, and probably contained syngenetic iron and copper sulphides. The secondary copper minerals have been derived from post-Devonian weathering in situ and also by deposition from surfaee and underground waters draining the adjacent mineralized volcanic rocks.

Jan 1, 1969

On the more important mines it is almost essential to have a general plan of the surface. A special feature of this plan should be the indication thereon of a suitable arrangement of contour lines, either wholly over the surface of the property or at parts where may seem most useful. The importance of having these contours marked on the plan will be best appreciated by the engineer, in selecting the best available site for a proposed new plant, in locating a tramway, in connecting the surface with the underground workings to the best advantage, or in solving many similar problems that come within his province. The closer the contours are together vertically the better, the limitation being the trouble and expense of getting them on to the plan. They may range from five to fifty feet apart but a distance of ten feet will be found, in most cases, to be the most useful.In deciding the datum level from which these contours are to be measured, it is best to depart from the ordinary sea level datum, and use instead the highest available point on the property. This datum will be called zero and all levels will be reckoned so many feet below it; thus by a contour marked 160 on the plan, it will be understood that the level of the plane of the contour is 160 feet below the highest available point on the property. This system of measuring levels downward is readily suggested from measuring the depths of shafts from the brace or of excavations from the original surface.

By N Strong

Cracow is a high-grade; low-tonnage underground gold mine located approximately 500 km north-west of Brisbane in Central Queensland. It is a steeply dipping, narrow vein, epithermal gold and silver deposit that is accessed via a decline from surface. Cracow is owned by joint venture between Newcrest Mining (70 per cent) and Sedimentary Holdings (30 per cent). The orebodies are 5 m wide on average and the ore is extracted via sublevel open bench stoping. Stopes are extracted to a strike of approximately 25 m before being backfilled with waste. Prior to the introduction of electronics, the mine would remove a small amount of the previous backfill out to create a void, and then begin blasting two to three rings at a time, with the ore being extracted between each blast. This method caused the ore to be blasted onto the waste backfill resulting in dilution of the high-grade ore. It also meant that the extraction of each stope took a number of weeks and numerous blasting events. In the fourth quarter of 2005, the mine struck a geotechnically sensitive stope, where all 20 rings had to be extracted in a single shot or risk possible geotechnical problems that could sterilise the ore. Due to the limitations of NONEL« delay detonators the mine could not fire all the rings in a single shot and needed to use an electronic detonator system to extract the stope. Some unexpected benefits to the mine were increased fragmentation, reduced vibrations, reduced dilution, improved efficiency and improved hanging wall and footwall conditions. After the success of this first electronic shot, the mine has since moved to firing all their stopes with electronic detonators. With electronics the mine has been able to fire much larger blasts, and has in fact moved to firing their blasts in the opposite direction, firing towards the draw point instead of into the waste backfill, thus reducing ore dilution.

Jan 1, 2007

The importance of the Broken Hill mining field may be gauged from the fact that since the discovery of the ore-body in 1883, till the end of 1931, approximately 43,000,000 tons of ore have been raised.The lode covers a length of 31 miles, and in places is upwards of 300 ft. in width. The ore, as at present mined, consists of an intimately blended mixture of lead and zinc sulphides with silver and gangue minerals.Structurally the lode conveys the impression of a huge longitudinal arch (when viewed from the east or west), having its apex or crown near the centre of the field, in the leases of the Broken, Hill Proprietary Co. Ltd., where the lode outcropped at the surface.The minimum depth of the lode in the Proprietary mine was some 500 ft. from the surface, but huge undulations, having an average pitch of 45°, carry the extensions of the arch gradually deeper, to those places where active stoping operations are now in progress in the workings of the North mine at one extremity, and the South and Zinc Corporation mines at the other. The depth of the lode from the surface, as exposed at present, is approximately 1700 ft. at these extremities.The structure and physical character of the ore-body, and its containing walls, are so complex and varied that almost every type of mining problem is met with.

Jan 1, 1932

A comparatively new and very promIsmg field for applying cemented tungsten-carbides is in the mining and quarrying industries. The economic advantages of this unique engineering material over the conventional hollow drill steel, or steel detachable bits, have proven so great that the use of "hard metals" promises, in some instances, to revolutionise the drilling of all manner of minerals. Early in the war years the Germans realised the tremendous advantages cemented carbides offered for holing hard rocks, and they proceeded to develop detachable percussion bits to do this work, at the same time evolving fast, comparatively light-hitting driliing machines, especially designed to suit the mechanical properties of the carbide.Here in Australia also, it has appeared that the detachable percussion bit offers the greatest economic benefits to consumers, although the author is well aware that carbide-tipped drill rods have, and may continue to work out satisfactorily in certain mines and quarries.Most drilling equipment at present installed in Australia may be described as being of the heavy hard-hitting variety, so that the designer of an efficient percussion bit has to take special precautions to overcome the problem of fatigue, and to ensure that the inserts are securely mounted in the body with the minimum of internal stress in the carbide.

Jan 1, 1950

In November 1999 Waihi Gold Mining Company commissioned its new crushing and conveying plant used to transport both ore and waste from the Martha Mine to its ore processing plant and also its tailings dam construction area. To date, a record monthly throughput of 854 000 tonnes throughput has been achieved. This paper outlines the measures taken subsequent to the commissioning of the system to achieve greater than design throughput and to mitigate the environmental and safety issues associated with operating the system in the middle of a town.

Jan 1, 2001

Although these subterranean cavities are common to the Broken Hill big lode, yet the Broken Hill Proprietary is the most prolific in their occurrence, loud they have been found of various dimensions almost from the surface down to the lowest levels yet attained in that mine. Many of these vugbs have contined valuable silver, copper and lead deposits, and some have been remarkable for the beautiful forms of crystallization pendant from the roofs and walls, and collected on the floors. The question arises, How are these caverns and fissures in the ore body formed? There are numerous theories more or less feasible, but that the causes are variant is demonstrated beyond doubt. That water in its passage leaving channels, is one ofthe chief factors for their production is assured, and their presence is likewise due to the shrinkage and dropping of the earth from varions causes, to the deposition of material forming ledges overhanging, and thus leaving spaces below, and also to chemical erosion and electrical action both of which latter are constantly at work in reconstructing, segregating and dissolving tlie mineral and metallic constituents of all ore bodies.One of the most remarkable vughs yet discovered in the big mine was that opened up about three months bitek in the' heart of the ironstone body on Block 11, and located about 40 feet below the 100 feet level of Weatherley's stopes, but now destroyed in the progress of work. Probably it was caused by chemical action, the eating out, so to speak, of a soft and soluble portion of the manganic iron, leaving a,hollow about 15 feet long, with a width and height, of say, 6 feet, carpeted with beautiful zinc with a modicum of limeincrustations, apparently produced by the percolation from around the carbonate waters holding these minerals in solution. This cavern was divided into, what might be termed, a double chamber, by big boulders of manganic iron, also coated with an aggregation of small crystals of zinc and lime although the actual proportion of the latter was not determined.

Although the Diamond that is cut and polished and made up into an article of jewellery, is so well known, there are, comparatively speaking, very few outside the industry who know this beautiful crystal in the crude state, as turned out ofNature's laboratory, and the means employed in winning this precious stone.This article is written with the endeavour to give the reader some idea of the geological formations in which the Diamond occurs, and as it is reported that Diamonds have been found in Western Australia, as well as in other parts of the Australian Colonies, a few hints as to the means employed in working the ground in South Africa may be of use to those intending to prqsecute the search in this country. The general geological formation of the South African Diamond Fields is Lacustrine shales and sandstones, intersected by dykes of various eruptive rocks, varying considerably in their character. and in places vesicular in texture, the vesicules being more or less filled in with zeolites by permeating waters.

By A H. Clemens, P Lindsay

Acid producing potential static tests have been undertaken on sample lithologies from New Zealand coal mines, to rank the lithogies into acid producing waste rock and stable non-acid producing waste rock. Results indicated that the main acid producing waste rock in the Waikato coal region are the marine Whaingaroa siltstone and the Glen Massey formations and the main alkaline producing lithologies were the Tauranga group volcanic-derived sediments (A & D) and the Mesozoic basement. Coal ash analysis of 28 samples from 28 mines have also been analysed for reactive S percentage and their base potential has been quantified by the chemical index of alteration (CIA). The results provide mine management in the Waikato Coal region with a classification of problematic and stable waste rock types. XRF and CIA values determined from wash drill cuttings would provide a method of determining waste rock volumes and magnitude of palaeo-weathering underground.

Jan 1, 1999

The Waimumu area, 12 km southwest of Gore, is underlain by the Gore Lignite Measures, an early Tertiary fluvial sequence approximately 500 m thick resting on Triassic-Jurassic argillitic basement. The Waimumu Quartz Gravels (Pliocene) have been deposited locally and are in part due to the localised reworking of the Gore Lignite Measures. Structurally the area is dominated by the Dunsdale Fault System, a steeply dipping series of NE trending reverse faults (Isaac and Lindqvist, 1990). The Belle-Brook, Hedgehope and Parker Road sites sampled are adjacent to the downthrown (east) side of the Hedgehope Fault.The authigenic gold-sulphide association at Belle-Brook was discovered in 1987 (Falconer, 1987: Clough and Craw, 1989). Despite a very limited amount of alluvial mining a significant quantity of authigenic marcasite has developed. Authigenic sulphide trace element analysis has shown anomalous amounts of As, Ni, Cr and to a lesser extent Zn, Pb and eu (Table 1). It has been established that the nickel occurs as a colloform banded Ni sulphide, possibly bravoite, within the marcasite (Figures 1 & 2). Arsenic and nickel (re)mobilisation are well documented in the literature. Generally As and heavy metals are mobilised in the groundwater as a result of the oxidation of sulphides (ie as a result of mining). At Belle-Brook it is reasonable to assume the authigenic sulphide trace element composition reflects either localised groundwater contamination or hydrothermal mineralisation. This poster presents some preliminary findings.

Jan 1, 2001

By Both R. A, Daily B

The Patawarta Diapir, located in the northern Flinders Ranges (South Australia), has intruded into late Proterozoic Wilpena Group sedimentary rocks. The diapir contains disrupted blocks of a wide variety of rock types, most of which can be correlated with the Lower Callanna Beds of Willouran age, in a matrix of predominantly carbonate and siltstone breccia. Mafic rocks in the diapir appear to predate intrusion of the diapir. As with many other diapirs in the Flinders Ranges, copper mineralization is present in the diapir and occurs as narrow veins consisting essentially of carbonate with chalcopyrite and pyrite that formed after diapiric intrusion.Fluid inclusion studies demonstrate that the mineralizing fluid was a Na-Ca-K-Cl brine; probably derived by expulsion of interstitial water following emplacement of the diapir, with dissolution of evaporites within the Callanna Beds sediments and enrichment in copper by reaction with these sediments and associated basic igneous rocks. Mineral assemblages combined with fluid inclusion and geochemical data indicate a possible environment of vein formation of T ÿ 165°C, pH ÿ 4.3 ± 0.9 and log fO2 ÿ -47.3 ± 0.5. Sulphur isotope analyses indicate d34Sfluid ÿ 10 per mil, suggesting evaporites in the Proterozoic sediments as the major source of the sulphur but with some additional sulphur from an igneous source, possibly leached from the malic rocks of the diapir.

Jan 1, 1986

By A R. Heath, I Arbuthnot

Feed slurries are typically flocculated in a thickenerÆs feedwell to increase the settling rate, underflow density and overflow clarity. High molecular weight polymeric flocculants are normally used, but present a number of challenges in terms of make up, dilution, delivery and mixing with the feed slurry.Various aspects of the flocculant dilution and delivery system have been studied with a combination of flow visualisation and computational fluid dynamics (CFD). An open topped flocculant dilution/mixing box has been developed to replace a conventional flocculant manifold, with improvements to the mixing, fault diagnosis and ease of determining the flow split to the various dosing points. The addition points to the feedwell have also been studied, both in terms of where the flocculant is added, and how. While conventional multi-hole spargers are effective in dispersing flocculant, they are prone to blocking and have been replaced by open-ended pipes. The required dispersion is provided by an efficient mixing element placed in the dilution port. Adding the flocculant into the feedwell dilution stream prior to mixing with the slurry also provides super-dilution of the flocculant that can further improve the flocculation process and reduce flocculant consumption.CITATION:Heath, A R and Arbuthnot, I, 2013. Advances in thickener flocculant delivery, in Proceedings MetPlant 2013 , pp 86-92 (The Australasian Institute of Mining and Metallurgy: Melbourne).

Jul 15, 2013

By B Klein

This paper stems from research and development in sensor and sorting technologies towards future sustainable mining undertaken by the UBC Mine-Mill Integration group in collaboration with MineSense Ltd. Sensors and sensor-based technologies such as ore telemetry and sorting are envisioned to be a significant component in achieving such ‘invisible’ future sustainable mining. Such technologies offer high flexibility and power in use: delivering valuable information from the very preliminary stages of mining exploration through to final upgrading of the ore preceding the fine comminution stages. This paper reviews sensors and sorting as enabling technologies towards a future smart mining operation and introduces a model in which sensor-based exploration (down-the-hole sensing), ore exploitation (smart-shovels), transportation (smart-conveyors) and preconcentration (sensor-based sorters) are effectively integrated to increase the present value of operations. It is anticipated on the basis of several case studies that an effective use of sensor technologies through tomorrow’s ‘smart mine model’ should lead to several positive impacts ranging from increased mining production, to reductions in transport costs, overall energy use and waste generation. In this way sensors can be used to maximise the profitability and present value of the mining operation from the exploration stage through to mine closure.

Nov 22, 2011

Radioisotope x-ray and neutron techniques of analysis can be used for the determination of a wide range of elements in minerals. The most important applications of these techniques to the mineral industry are for onstream analysis of slurries and solids, and for geological assay.The radioisotope x-ray techniques are the more developed ones and two installations for on-stream analysis are in routine use in mineral processing plants in Australia. Neutron techniques are being developed, and should prove valuable for geological assay of large numbers of mineral samples, for borehole logging, and for specific on-stream analysis when the cost of the equipment is warranted.

Jan 1, 1970

By Woodcock J. T

During the dissolution of gold in fully aerated cyanide solutions the CN ion is the active agent, and consequently the usual method of evaluating the dissolving power of such solutions is to determine the CN- concentration analytically. The presence in the solutions of copper and/or zinc which themselves form complex cyanides, may result in erroneous conclusions as to the free cyanide ion concentration determined by titration.In this paper the theory of titration of such solutions has been developed, and potentiometric methods have been used to follow the behaviour of complex cyanides of copper and zinc. The results for cuprocyanides show Cu (CN)s to be the most important copper complex, and in addition they explain the reported low rates of solution of gold in copperbearing solutions which when titrated in the usual way, appear to have adequate free cyanide. An explanation of the misleading value of the titration is given, and suggestions for recognition of the condition are offered. Preliminary results for zinc-bearing solutions show that there is no satisfactory end-point for the titration of CN- in excess of that in the complex Zn (CN) 4=, which dissociates to CN and Zn(CN)g-.

Jan 1, 1950