Search Documents

By A. J. S. Benade, A. J. A. Heyns, N. B. Strydom

The maximum oxygen intakes of samples of about 30 Bantu, weighing less than 50 kg from different tribal groups (Zulu, Xhosa, Sotho and Shangaan) were measured on a treadmill. The mean maximum oxygen intake of the 164 men was 2,12 litresjmin and only 18 men (11 per cent of the sample) had maximum oxygen intakes of 2,5 litres/min or above (the minimum requirement for such tasks as shovelling rocks and tramming it). The samples of the different tribes differ in age, but when the age effect is taken into account then there were no significant differences between tribes in maximum oxygen intakes. An incidental finding was that both age and body weight correlated significantly with the maximum oxygen intakes of these underweight subjects. Not one of the subjects who weighed less than 45 kg or who was older than 40 years had maximum oxygen intakes high enough to permit their being able to do strenuous work underground. It is clear therefore that Bantu who weigh less than 45 kg or are older than 40 years should not be employed on such strenuous tasks as shovelling rock and tramming it.

By R. Sun, R. G. Gillies, R. S. Sanders, J. Schaan

The pipeline transport of paste, backfill or thickened tailings slurries is an important component of the tailings disposal process in many mines around the world. These mixtures contain significant fractions of fine (clay) and coarse (sand) particles, causing them to exhibit non-Newtonian flow behaviour and high frictional pressure gradients. There is often economic incentive to operate these pipelines in the laminar flow regime. Irrefutable evidence has shown that coarse particle settling can occur during the laminar flow of these slurries even when static settling tests show no indication of such behaviour. Previously, a ?rule-of-thumb? minimum frictional pressure gradient of ~1.5 to 2 kPa/m was suggested to ensure effective sand transport, based on the results of tests conducted using viscous Newtonian oils. In this paper, we examine the results of laminar flow tests of non-Newtonian, coarse-particle laden slurries conducted with pipeline loops of 50, 100, 150 and 250 mm in diameter. The results indicate that the ratio of the mean wall shear stress to the mean surficial particle stress is abetter indicator of laminar flow settling tendency than frictional pressure gradient.

Jan 1, 2007

1. Reviews Steel and its heat treatment, by K-E Thelning. 2nd Edition. London, Buterworths, 1984.678 pp. R201,60 (incl. OS1). Reviewer: J.P. Hofman The Southern Queensland Conference 1985. Parkvile (Australia), The Australasian Institute of Mining and Metallurgy, 1986. A$ 15.00. Reviewer: R.B. McGilivray Rock mechanics, by A.R. Jumikis. 2nd edition. Clausthal-Zelerfeld (West Germany), Trans Tech Publications, 1983. US$ 58. Reviewer: R.W.O. Kersten The XVIth International Coloquium on Refractories. Freiburg, West Germany, 1985. DM 80. Reviewer: H.J. S. Kriek Diamond driling handbook, byW.F. Heinz. Johannesburg, South African Driling Association, 1985. 517 pp. R30. Reviewer: S.A.G. Martins Processing and utilization of high sulfur coals, edited by Y.A. Atia. Amsterdam, Elsevier, 1985.788 pp. Oft. 385. Reviewer: L.M. Falcon Weighingand proportioning of bulk solids, by Hendrik Colijn. 2nd edition. Rockport (U.S.A.), Trans Tech Publications, 1983. 398 pp. $60.00. Reviewer: G. Cunningham Investment appraisal and economic evaluation of mining enterprise, by S. von Wahl. Clausthal-Zelerfield (West Germany), Trans Tech Publications, 1986. US$ 40. Flotation of sulphide minerals, edited by K.S. Eric Forssberg. NewYork, Elsevier Science Publishers, 1985. 480 pp. US$1O1.75. Reviewer: T.R. Twidle 5th Meeting of the European Clay Groups (5th Euroc/ay Meeting), Prague, edited by J. Konta. Praha (Prague), Univerzita Karlova, 1985. Reviewer: D. Bibmann 2. Recent publications CSIRO. Research review1982-84: CS/Ra Division of Mineral Engineering. Melbourne, Commonwealth Scientific and Industrial Research Organization, 1985. 77 pp. The world copper market: structure and econometric model, by Gerhard Wagenhals. Berlin, Springer- Verlag, 1984. 202 pp. DM 37,00.Materials data of high-strength aluminium aloysfor durability evaluation of structures, edited by L. Schwarmann. Disseldorf (West Germany), Aluminium- Verlag GmbH, 1985. BRITISH GEOLOGICAL SURVEY. UnitedKingdom mineral statistics 1985, compiled by H.c. Squirel, A. Jones, N.E. Sharp, M. Lowe, and D. Slater. Keyworth (U.K.), the Survey, 1986. 175 pp.3. Mintek reports Report Ml66D The effect of calcining on the recovery of gold in a sand residue. (1st issued Sep. 1984.) Report M168D The treatment of Uitkomst concentrate. (1st issued Oct. 1984; reissued Mar. 1986.) Report M175D Supergene alteration at the Pering zinc-lead deposit: The nature and extent of the oxidation zone. (1st issued Oct. 1984.) Report M176D Bench-scale tests on the extraction of cobalt and nickel from COMAT leach liquors. (1st issued Nov. 1984; reissued Mar. 1986.)Report M241 PLA TO at Mintek. Report M243 The performance and wear characteristics of grinding media as affected by metallurgical and dimensional factors. Project development The Second Project Development Symposium on Planning, Construction and Commissioning will be held in Sydney, Australia, from 7th to 10th October, 1986. Hosted by the Sydney Branch of The Australasian Institute

Jan 1, 1986

By A. Yamik

This research study includes studies carried out on the recovery of unburned carbon in the ashes of Tuncbilek Thermal Power Plant. Bottom ashes have been identified by X-ray diffraction and X-ray fluorescence. These samples are potentially of class F type and have significant amounts of unburned coal. According to the ash amount that units in the thermal power plant produce, and the analyses of the samples mixed, which used certain amounts in flotation tests, it was found that the bottom ash includes 91.47% ash in dry form and 8.53% combustible matter, and the lower calorific value is 491 kcal/kg. Optimum flotation conditions to get the unburned carbon were subsequently determined by examination of the optimum flotation grain size, pulp density, collector type and amount, depressant type and amount, frother type and amount, agitation speed, and froth-taking time. While the lower calorific value of the thermal power plant bottom ashes of the 3rd , 4th and 5th units and the mixed bottom ash sample was, respectively, 959, 469, 279 and 491 kcal/kg in dry form, it increased to 2490, 1312, 786 and 1348 kcal/kg in the product obtained as a result of flotation in optimum conditions. Key words: ash, conventional flotation, unburned carbon

Jan 1, 2008

By J. H. van Laar, L. J. van der Walt, P. L. Crouse, H. Bissett, G. J. Puts

"SynopsisSilicon carbide nanopowders were produced using a microwave-induced plasma process operating at 15 kPa absolute and at atmospheric pressure. Methyltrichlorosilane (MTS) served as precursor, due to its advantageous stoichiometric silicon-to-carbon ratio of unity, allowing it to act as both carbon and silicon source. Argon served as carrier gas, and an additional hydrogen feed helped ensure a fully reducing reaction environment. The parameters under investigation were the H2:MTS molar ratio and the total enthalpy. The particle size distribution ranged from 20 nm upwards, as determined by SEM and TEM micrographs. It was found that an increase in enthalpy and a higher H2:MTS ratio resulted in smaller SiC particle sizes. The adhesion of particles was a common occurrence during the process, resulting in larger agglomerate sizes. SiC layers were deposited at 15 kPa with thicknesses ranging from 5.8 to 15 µm.IntroductionIt is well known that methyltrichlorosilane (CH3SiCl3 or MTS) decomposes to form silicon carbide (SiC) and hydrogen chloride (HCl) as shown in Equation [1]. The reaction kinetics and mechanisms for this reaction are thoroughly reported in the literature (Sone et al., 2000; Papasouliotis and Sotirchos, 1999; Kaneko et al., 2002; Wang et al., 2011)."

Jan 1, 2015

By P. Muthaphuli

Kumba Iron Ore?s Zandrivierspoort (ZRP) magnetite-haematite project aims to mine and beneficiate a magnetite resource with low contaminant levels to produce from 1 Mt/a to 2.5 Mt/a product, which will be either a concentrate, micro-pellets for direct reduction, or blast furnace pellets. Anglo American Technical Solutions Research conducted a number of piloting campaigns to validate the process design flow sheet, demonstrate process performance, and to generate data for use as a design basis. Secondary to this, the pilot plant was to produce approximately 7 t of magnetite-haematite concentrate with low enough SiO2 to be used as feedstock for pelletizing studies. The pilot plant achieved 34.2% mass yield, at 69.0% Fe, 2.2% SiO2, from an IsaMill grind of 80% -45 µm. This product quality will compare favourably to other leading direct reduction (DR) pelletizing concentrates. However, two-stage comminution to 80% -75 µm and beneficiation of ZRP ore will produce a blast furnace (BF) quality pelletizing concentrate, indicative quality being 67.6% Fe and 4% SiO2, at higher mass yields. An economic evaluation between producing a DR and a BF pelletizing concentrate will have to be conducted prior to finalizing the concentrate production flow sheet..

Jan 1, 2014

By O. Fenn

Earlier work had shown that the use of water jets at moderate pressure enhances mechanical cutting in hard rock. To assess the potential of this technique for use in conjunction with free-rolling cutters, a series of laboratory tests was conducted with disc and button cutters to determine the effect of variations in the jet and cutting parameters on the cuter performance. In these tests it was found that the use of water jets at pressure in the range 5 to 40 MPa can reduce the forces on a free-rolling cuter by 40 per cent, which represents a significant improvement in cutting performance. The reduction in thrust force was found to be dependent on jet pressure: the greater the pressure, the greater the reduction. The reduction in rolling force was independent of jet pressure over the range investigated. The results indicate that no additional improvements in cutting performance of any significance are to be gained by an increase in jet pressure above 40 MPa. The most effective jet configuration for the reduction of cuter forces was found to be four coherent water jets, two lateraly disposed on each side of the cuter and directed at the arc of contact between the cutting edge and the rock.

Jan 1, 1987

By C. S. Northcote, I. F. Buchan, L. F. Baars

In 1969 the Coal Division of the Anglo American Corporation was awarded the tender to supply coal to the new 3000 MW power station to be erected at Kriel, which is situated midway between the towns of Ogies and Bethal in the eastern Transvaal. The coal was to be supplied from the No. 4 Seam in the Kriel Area of the Witbank Coalfield. The No. 4 Seam in this area varies in depth of overburden from 75 m to 6 m, with an average of 55 m. Initially, the mine was planned as an underground mine incorporating a three-shaft system for transporting some 8 million tons of coal per annum to the power station. As the result of negotiations between Anglo and Escom to improve the volumetric extraction of coal from the new mine, the Kriel Division of Anglo Power Collieries was finally planned to produce 4,1 million tons of coal from an underground mine and 4,5 million tons from an opencast mine, with a resultant increase in volumetric extraction. This paper describes the opencast operation at Kriel, with particular reference to the water problems encountered and to the operation of the draglines on sloping ground to a depth of 40 m to the top of the coal seam.

Jan 1, 1980

By P. R. Labrum, H. A. D. Kirsten

The literature on shotcrete is reviewed with the object of identifying aspects that have not been addressed specifically in terms of its structural performance and manufacture as applied to underground mines. The programme and results of a series of full-scale tests on mesh- and fibre-reinforced shotcrete panels are presented, from which it is concluded that fibre-reinforced shotcrete is competent, especialy at large deformations, and is equivalent in structural performance to mesh-reinforced shotcrete for a fibre content of 3 per cent by mass: furthermore, that the support design systems developed for mesh-reinforced shotcrete are directly applicable to fibre-reinforced shotcrete. The Q-NATM system for the design of temporary tunnel support is presented briefly as one such system. It provides for the integrity of the excavation to be considered in terms of its competence and displacement determinateness, and represents the first systematic procedure for the design of temporary tunnel support. Finally, the support designed on the basis of the Q-NATM system for the main and cross-cut tunnels on the production level in the proposed BA5 block cave at Premier Mine is presented as a practical example of the design of fibre-reinforced shotcrete as part of an overall support system.

Jan 1, 1990

By A. Singh, R. R. Maclachlan

SYNOPSIS A back-analysis procedure based upon 35 mm photography was developed on a laboratory scale for the pur¬pose of determining the percentage of oversize particles known to be present in heaps of fragmented rock. Eight simple blends of crushed stone containing varying percentages of oversize on a 1:40 modelled scale were examined. Simulated test conditions for the following were subjected to the photographic study: (1) a bench heap, (2) the surface exposure of a partially excavated heap, (3) a gravity-sorted surface as occurs on an apron dump, and (4) four quadrant views of an incrementally built conical heap of rock fragments. The best back-analysis determinations were obtained from (4), the cone, over all eight blends of fragments. The mean error was within -0,16 per cent of the true value, with a range of ± 1,872. This was for oversize contents of 5 to 20 per cent where a minimum 25 per cent of the photograph area was processed by digitizer. The worst results were from the apron dump at - 1,462 per cent for a mean error of ± 4,174 per cent. The intermediate results were from the undisturbed bench at -0,186 per cent with a mean error of ±2,862 per cent.

Jan 1, 1989

1. Book review Assay and analytical practice in the South African mining industry, byW.C. Lenahan and R. de L. Muray- Smith. Johannesburg, The South African Institute of Mining and Metalurgy, 1986. RlOO (R80 to Members). Reviewer: N.G. Randolph 2. Canadian publications A market profile for industrial minerals in Canadian manufacturing sectors, by M. Prud'homme and D. Francis. 1987. Micromedia Limited (144 Front Street, Toronto, M5J 1G2, Canada).The following three publications are available from the Centre for Resource Studies, Queen's University, Kingston, Ontario, Canada K7L 3N6. An analysis of Japanese coking coal procurement policies: The Canadian and Australian experience, by D.L. Anderson. Feb. 1987. $25. Technology policies in the Canadian mineral industry, edited by M.J. Wojciechowski. Sep. 1986. $20.Value-added taxation: Issues and impact for Canadian mines, by B.l. Dyack. Nov. 1986. $7.3. Mintek reports Report M295 A mineralogical investigation of refractory gold ores and their beneficiation, by P.M. Swash. Report M296 The determination, by distilation-spectrophotometry, of chlorine in apatite-type materials containing fluorine, by M. Solomons. Report M297 The interference of zirconium in atomic-emission spectroscopy using inductively coupled plasma, by P.l. Wright.

Jan 1, 1987

By A.M. Edwards

1. Book reviews Platinum in South Africa, compiled by A.M. Edwards and M.H. Silk. Randburg, Council for Mineral Technology (Private Bag X3015, Randburg, 2125 South Africa), 1987. 55 pp. U$30. Reviewer: R.D. Wintle Scientific and technological developments in extractive metalurgy-G.K. Wiliams Memorial Volume. Parkvile (Australia), The Australasian Institute of Mining and Metalurgy, 1986. $A12 (incl. surface postage). Reviewer: T.Y. OweD Ion exchange and sorption processes in hydrometa/urgy, edited by M. Streat and D. Naden. Chichester, John Wiley & Sons, 1987. 229 pp. Reviewer: B.R. Green Role of Government in mineral resources development, edited by Michael J. J ones. London, The Institution of Mining and Metalurgy, 1985. 180 pp. £40. Reviewer: K.E. Ducat 2. Recent publications Annual report 1987. International Tin Research Institute, Kingston Lane, Oxbridge, Middlesex UB8 3PJ, England, 1988.Tin and its uses no. 156. Address as above. 3. Mintek reports Application Report no. 5 The production of and alusite and other refractory minerals. 1988. 16 pp. . Application Report no. 6 The development up to commercial application of a process for the recovery of lead, copper, zinc, and silver from the Black Mountain deposit. 1988. 14 pp.

Jan 1, 1988

By N. C. Joughin, A. C. Buckmaster

The use of face conveyors in gold mines by N. C. JOUGHIN. B.Sc. (Eng.). Ph.D. (Wits) (Member) and A. C. BUCKMASTER; M.A. (Cantab.) A mechanized stope-cleaning system has been developed around an armoured face conveyor, which was tested on the surface and in two underground trials. In the second underground trial, an average face advance of 8,5 m per month was obtained with a labour productivity of 27 ca/worker/month on a two-shift blast cycle. Two new face cleaning systems have been built, each incorporating an armoured face conveyor, a loading plough, a collapsible self-advancing barricade, and an integral roof-support system. These are about to be tested. A new type of reciprocating flight conveyor is being developed for stope use. This is cheaper, lighter, and more compact, and exhibits better wear characteristics, than an armoured face conveyor. In the early stages of the trials, this conveyor frequently achieved a singleshift blast cycle. It should be possible to achieve face advances of up to 40 ca/worker/month with a consistent one-shift blast cycle. The use of drill rigs and a self-advancing roof-support system would improve the productivity to over 50 ca/worker/month.

Jan 2, 1976

By A. J. Burger, F. L. D. Cloete

Tests indicated that effective recovery of pyrite from a coarse Witwatersrand quartzitic ore can be accomplished by intensified flotation in an air-sparged hydrocyclone. Air is fed through the porous cylindrical wall of the hydrocyclone into a swirling layer of slury. Hydrophobic particles are attached selectively to small air bubbles, which form a froth and are recovered through the overflow. Hydrophilic particles pass out in the underflow. A spigot in which flow is restricted by an orifice was found to be more successful in preventing blockage by wood chips than an annular opening between a pedestal and the cylinder wall. Pyrite recoveries of 85 to 93 per cent at grades of 35 to 40 per cent sulphur were obtained in the air-sparged hydroclone with residence times of about 1 second. Comparative tests in a batch flotation cell after 320 seconds yielded average recoveries of up to 96 per cent, but with a mean grade of 32,5 per cent sulphur. A high colector dosage of 120 g/t was required in the cyclone, compared with the 40 gft used in conventional operations. An air flowrate of about 150 I/min was adequate at a slury feed rate of 35l/min. Particle sizes between 38 and 106µm yielded the best flotation results.

Jan 1, 1988

It is suggested that an increase in the production from thin coal seams in South Africa is necessary, and that a substantial amount of any increase will be mined by the bord-and-pillar method. For the purpose of this study, a thin coal seam was regarded as any seam 1,5 m thick or less to the minimum thickness at which mechanized equipment can operate in bord-and-pillar workings. The equipment being utilized in thin-seam bord-and-pillar layouts includes conventional equipment, load-hauldump cars (scoops), and drum-type and Fairchild-Wilcox continuous miners. Comparisons are made of these types of equipment for bord-and-pillar mining at various seam thicknesses within the thin-seam range. The evaluations involved production rates and the cost of extraction for South African conditions, use being made of an existing computer modelling technique in the generation of production rates. The indications are that, for seam thicknesses greater than 0,9 m, drum-type continuous miners utilizing continuous haulage are the most productive and cost-effective equipment at present operating in thin-seam bord-and- pillar workings. Where seams thinner than 0,9 m are to be exploited, Fairchild-Wilcox continuous miners, particularly the Mark 22, produce the most coal at the lowest cost.

Jan 1, 1984

By R. du Preez

Tati Nickel is currently operating a hydrometallurgical demonstration plant in Botswana, using the Activox® process developed by LionOre Technology to produce nickel cathode and a cobalt salt from a sulphide concentrate. Cobalt is extracted using Cyanex 272. This reagent also extracts all the iron, aluminium, copper, zinc, and manganese from the nickel stream. Versatic 10 carboxylic acid is then used as extractant to recover nickel from the stream, separating it from calcium and magnesium, and upgrading it to provide a suitable advance electrolyte for nickel electrowinning. However, the selectivity of Versatic 10 for nickel over calcium is limited, and gypsum formation in the extraction circuit is a problem when attempts are made to maximize the recovery of nickel. Mintek has developed a synergistic system with Versatic 10 for improved separation of nickel from calcium and magnesium. Laboratory testwork was conducted on the raffinate of the cobalt solvent extraction circuit to optimize the Versatic 10/Nicksyn? (Mintek synergist) system to be employed. Extraction and stripping parameters suitable for this stream were optimized in the laboratory and then applied on the demonstration plant. A commercial batch (0.5 tons) of Nicksyn? reagent was produced for the demonstration plant. The laboratory testwork results and the demonstration plant performance are discussed in detail in this paper.

Jan 1, 2007

By P. R. Jochens, D. D. Howat, C. W. Wolhuter

Prof D. D. Howat (Member): I am a man with a grievance this afternoon. The other authors of the paper entered into a conspiracy to ensure that I presented the paper, and finally even had the audacity to say that this was the least that could be expected from me as I had done so little of the other work. Looking at the distinguished audience here that includes some figures who have forgotten more about cement that some of us have ever learned, I realise how right the other authors were. I feel very much cast in the role of the fool who was pushed in where angels fear to tread. I hesitate to say, Sir, that I would not use the word angels in any definition of the authors of this paper. In presenting the paper, may I try to put forward a few simple points about cement that are probably as little known to the majority of the audience as they were to me-at least until very recently. Concrete, made by mixing Portland cement, sand, crushed rock and water is the most widely used constructional material in the world. Generally the production of actual Portland Cement is about two-thirds that of steel and by the time this is formed into concrete the total is about five times the world tonnage of steel produced. A very rough approximation suggests that world consumption of concrete is about one ton per person per annum. Apart from fresh water mankind consumes no other material in such quantities. What mankind originally required was a mortar to be used for joining blocks of stone or bricks. Such mortar was originally made from limestone burned in a kiln and then mixed with water. Production of mortar of this type began over 5,000 years ago. Some samples from pyramids in Egypt have shown this mortar to be in good condition although over 4,500 years old. The progress of technological development was very slow until 1824 when an English bricklayer, Joseph Aspidin, patented a new mortar material which he made by burning limestone and clay together in his kitchen stove. Aspdin called his product 'Portland Cement' because, in colour, it resembled a well-known building stone quarried in the Isle of Portland on the south coast of England. Aspid's same types of raw materials are used today in modern cement production and the product is still referred to as Portland cement. A lime-containing material such as chalk or shell and a clay-type material such as shale, slate or clay itself, are mixed in the required proportions, ground and fed to a kiln where the minimum burning temperature is about 1,500°C. The raw materials react to form hard chunks of a material known as 'clinker'. About 5 per cent of gypsum is added to the clinker and the mixture is then ground to a very fine powder, the function of the gypsum being to control the rate of setting of the concrete. The key oxides in cement production are lime, silica, alumina and iron oxide. The possible reactions occurring during and the products of the burning process are shown in Table I.

Jan 12, 1968

By D. E. Sweeney

In May of 1980, a mine operated by Belmoral Mines Ltd experienced a failed crown pillar, resulting in the death of eight miners and putting sixteen others in harm?s way. The Ferderber mine was located in the Val d?Or region of the province of Quebec in Canada, and had been under development for 19 months and production for 9 months, since the opening of the portal. The crown pillar separating the 1?7 level from overlying overburden ultimately failed, permitting an estimated 1.5 million cubic feet of liquefied sediment to gain entry into the mine. This paper back-analyses the cave-in by applying decision error theory, in an examination of the organizational culture and the collective decisions contributing to the cave-in disaster. A case will be made for a greater understanding of mining methodology, geomechanics and risk assessment when operating in such challenging geologic conditions. Boundary condition and decision (BCD) analysis will be introduced as an innovative new method for the analysis of mine accidents and incidents. It will also be shown that BCD analysis can be applied to any event in an enterprise for which standards, norms or legislation exists. A cognitive profile will be presented that provides insight into the safety ethos existing within the Ferderber mine organization at the time of the tragedy.

Jan 1, 2007

By S. Northey, N. Haque, S. Stoddart, W. Bruckard

Development of new technologies and procedures for managing mineral residues and wastes may benefit from a clear understanding of existing tailing management practices. There is a considerable variability in tailing management techniques used in the Australian copper and gold operations, with associated differences and flow-on effects for the mine site water balance. A database was created, capturing a total of 41 copper and gold processing operations in Australia. The database provides information on tailing generation rates, tailing properties (solids contents and particle size distributions) and tailing storage facility (TSF) types and configurations (e.g. total TSF surface area and wetted surface area). Significant variability was found for the above-mentioned parameters. The solid tailing generation rates ranged from 0.5-37 Mt per annum in 2015. Furthermore, both the solids contents and particle size ranges of the tailing were highly site-specific, and largely dependent on the processing flowsheets. Solids contents of tailings ranged from 45-74% by weight whilst P80 sizes of the concentrator (flotation) feed varied from 75-185 μm. The estimated pumping distance was up to 15 km. The presented data can potentially be used to better tailing management strategies by estimating the potential recoverable water and recycling it, thereby thus reducing tailing footprints. Keywords: Tailing management, tailing storage facility, water balance, mine site, flowsheeting

Jan 1, 2020

By C. G. Carey, M. P. Mullins

BHPBilliton is a large (US$32bn market capitalization) diversified mining group. Significant organic growth is planned through the development of a number of mining, processing and oil and gas projects, totalling some US$5.2bn over the next three years. The investment standards underpin the capital approval process, and incorporate the requirements for range and risk analysis of key input variables, including mineral resources. Public reporting codes for mineral resources and ore reserves (such as JORC) stipulate deterministic reporting of estimates, but are generally silent on any requirement for range or risk assessment, although they acknowledge the risk and uncertainty in the production of resource estimates. In contrast, public reporting of petroleum reserves allow for the use of either deterministic or probabilistic estimation, and for the latter, mandate the level of confidence required for proven versus probable reserves. Conditional simulation techniques, popular in the petroleum industry, provide an ideal tool forrange and risk assessment of the range of outcomes of key resource parameters, such as tonnagesand grades. Examples of a diamond deposit and of a porphyry copper deposit are presented. The understanding and quantification of mineral resource risk through a technique such as conditional simulation provides quantified information on the potential upside or downside. These techniques should be more widely utilized in the high-risk minerals extraction industry. Keywords: mineral resources, conditional simulation, risk, capital investment standards, BHPBilliton.

Jan 1, 2003