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By B Maybee

In underground mine planning, many potentially value-eroding decisions are made due to a lack of time and proper evaluation practices. The information required for mine planning decisions goes beyond external sources of uncertainty that are recognised by typical evaluation techniques used in the mining industry, to include technical factors (eg mine development layout) and the ability of a mineral extraction project to achieve its anticipated production levels. Due to the individual characteristics that define underground mining projects, each will exhibit a different risk profile, and thus advanced optimisation and evaluation techniques are required to capture this information.As underground mine planning tools become more sophisticated, mine planners have the capacity to investigate numerous mine sequencing options to identify the best strategy for a given project, creating higher value for shareholders. This paper describes a risk-based evaluation methodology (RbEM) that accounts for financial and technical risk in the evaluation of underground mining projects. While the use of the RbEM has been described in previous works, no benchmarking of the benefits that can be realised from a change in those decisions that are made early in the process has been undertaken. To show the benefits that can be achieved from using the RbEM, this paper updates a case study to which the RbEM was applied, and takes a retrospective look at whether additional value would have been gained by following the strategic recommendation of the RbEM versus a typical optimisation exercise that aims to maximise the net present value.CITATION:Maybee, B, 2012. Can a risk-based evaluation provide a more valuable mine design?, in Proceedings Project Evaluation 2012 , pp 53-58 (The Australasian Institute of Mining and Metallurgy: Melbourne).

May 24, 2012

By S Bluhm, R Funnell

Creative mine-designs are constantly being applied in the deep platinum mining industry in South Africa. Recently, this has resulted in deep hot mine-designs including room and pillar, bord and pillar or stall and pillar layouts and the use of in-stope trackless mechanisation. In these mines, the ventilation systems use refrigerated air and high fan pressures and as a result ventilation leakage can have a huge impact. Leakage is a serious impediment to cost-effective operation and potential leakage in future projects is a major factor in judging project viability. This paper describes certain mine layouts and quantifies the extent of the leakage. Based on typical field data, a range of seals from ævery poorÆ to ævery goodÆ was defined and used to estimate overall leakage. Within these mine networks the ventilation pressure, temperature and density all vary significantly and with the multiplicity of leakage paths it was necessary to make use of the VUMA-network simulation package. For the examples examined, the leakage was found to be up to 85 per cent for æpoorÆ category seals and up to 50 per cent for ægoodÆ category seals. The total air flow (and refrigeration) requirements grow exponentially with strike distance due to the compounding effects of higher pressure and more leakage paths. It is shown that beyond certain depths and strike distances the leakage will become so great that it will be impossible to operate cost-effectively û even with ægoodÆ seals. Indeed, in these examples the projects were not considered viable in their original format because of the high ventilation-cooling costs and the mine-designs were modified to include footwall drive systems û the cost of which was justified by the reduced strategic risk to operating ineffectiveness due to leakage.

Jan 1, 2005

Getting it right is a very profitable outcome. Shareholders would ideally like to see their directors get it right all the time on the major economic decisions. But it is very difficult for mining directors to get it right all the time in such an uncertain environment. Primary decision-makers of companies with significant stakes in the mining industry should get it right much more frequently. The legal measures of evidence (beyond reasonable doubt and on the balance of probabilities) can be used to determine whether grade estimates (a key revenue variable) are realistic. The application of this approach can be far reaching. More frequently correct decision-making would result in more effective allocation of limited resources (capital and labour). In turn, this would result in higher financial returns and a more extensive mining industry.

Jan 1, 1994

Neutralisation, normally using lime, is the most widely used method for treating high flows of acid mine drainage (AMD). Lime costs can be very high however. If carbonate sources could be used to achieve pH values above six, costs could be greatly reduced. For example, use of locally quarried limestone at Mt Lyell could potentially reduce alkali costs from about $A 3.5 to $A 1 million/year. Methods for enhancing the effectiveness of limestone and magnesite for neutralising Mt Lyell and Savage River AMD respectively have been examined through a series of investigations. Small-scale testwork found that the maximum pH economically achievable with ground limestone was about five, due to slow dissolution rates and surface armouring. The problems of surface armouring were greatly reduced by the use of crushed limestone or magnesite at high pulp densities (75 per cent solids w/w), enabling pH values >6 to be achieved in a practical time frame. The use of particle sizes in the range 6 mm and finer also reduces costs by avoiding the need for grinding, and reduces the problems of solid-liquid separation and solid recycling that arise if large additions of ground carbonate are used. Pilot scale tests were carried out using tumbling drum reactors with limestone and Mt Lyell AMD and a pulsed-bed static reactor with magnesite and Savage River AMD. pH values averaging 6.2 and 6.4 were achieved with Mt Lyell and Savage River AMD respectively. Approximately 80 per cent of feed acidity was neutralised. A preliminary engineering design and cost estimate has been completed on the pulsed-bed reactor and shows that the concept is technically feasible and, if results are confirmed, economically attractive. Further pilot testing is planned.

Jan 1, 2002

At Bulong, the mineralised (>0.8 per cent nickel) ore exists within numerous lithologies, which can and do occur coincidently. It is very important to discriminate between the different host units for estimation purposes, stockpiling and scheduling. This allocation of host unit has relied upon visual interpretation by the geologist recording the information, which can be very subjective by its nature. By using quantified constraints, such as assayed magnesium oxide and iron, the subjectivity of describing the host material of nickel laterite ore is reduced. The constraints permit consistent identification of the various host units, which improves the confidence in the overall estimation and scheduling of the ore.

Jan 1, 2000

By G R. Dickens, N H. S Oliver

The genesis of giant hematite ore deposits in northwest Australia remains a contentious topic in part because key evidence supporting a unifying genetic model has not been found at all deposits. In particular, several papers have proposed that carbonate replacement of silica layers in banded iron formation (BIF) by basinal brines is a requisite first step toward ore formation. This initial hypogene stage is inferred primarily from the presence of silica-poor, carbonate-rich rocks found below ore and along normal faults at the Mount Tom Price and Giles Mini deposits. However, until recently such rocks have not been identified at the largest martite-microplaty hematite deposit, Mount Whaleback. In this study, samples of the upper Mount McRae Shale are examined for their chemistry, mineralogy and petrography. These samples were collected from several key locations, including within drill core that penetrates an area immediately beneath ore along the Mount Whaleback fault at Mount Whaleback. Compared to unaltered black shale from Wittenoom Gorge in the north and altered black and red shale at Mount Whaleback, reddish-green shale below the Mount Whaleback deposit is significantly enriched in MgO and CaO and depleted in SiO2. Samples of this shale consist predominantly of fine- to medium-grained dolomite and ankerite cut by chlorite and carbonate veins, contrasting with unaltered equivalents that contain mostly stilpnomelane, K-feldspar and relatively minor carbonates. This alteration is distinct from assemblages developed during regional metamorphism, and possibly represents hydrothermal alteration after metamorphism. Although several questions remain unanswered, these results support models that invoke an early hypogene stage during the formation of the martite-microplaty hematite deposits in the Hamersley Province.

Jan 1, 2005

By G Milligan

This paper describes how water is being planned, managed and used in Queensland as both a precious natural resource, vital for healthy ecosystems, and as a valuable tradeable commodity, necessary to secure economic prosperity. Queensland has been progressively implementing a planned package of water industry improvements agreed by the Council of Australia Governments in 1994. The Water Act 2000 provides the legislative basis for implementing the COAG water reform framework in Queensland and sets out statutory water planning processes. A Water Resource Plan (WRP) is a strategic document that specifies water sharing and environmental flow outcomes across a whole catchment over a period of up to ten years. A Resource Operations Plan (ROP) sets out the details of implementing a WRP, including environmental flow rules, establishment of tradeable water allocations that are separate from land, rules for water trading, rules for operating water infrastructure, arrangements for the release of any unallocated water identified in the WRP, and requirements for monitoring and reporting. Water Resource Planning and Resource Operations Planning are progressing in priority catchments and aquifers across the State. Ways to obtain a water entitlement now depend on whether a WRP and/or a ROP exist in a particular catchment. Water trading provides for the buying and selling of water entitlements on a permanent basis where permitted under a ROP. Details of tradeable water allocations are securely registered on the Water Allocations Register, which is similar to a land titles register. Leasing and temporary transfers of water entitlements are also possible. Water brokers are emerging to facilitate water trading which aims to improve water use efficiency and move water to higher value uses. Queensland is leading the way in the implementation of the COAG water reform framework and the pursuit of sustainable water resource management. The StateÆs progress in this regard is increasing certainty for water users, while ensuring that considerations of equity amongst existing and future users and amongst various uses, as well as considerations of ecological sustainability and the wider community, are all taken into account. The mining sector stands to benefit substantially from these new approaches to planning, managing and using this precious resource.

Jan 1, 2003

By T R. Stacey

South Africa has a long history of rockbursts, some 100 years. During this time much research and many developments have taken place in the country to limit the occurrence of rockbursts, and to mitigate their effects. In this paper I shall present a personal view of what I consider to be important achievements, and contributions made. Some of these are: planning of stope layouts, and the use of strike barrier pillars; recognition of energy as a key factor, the use of the energy release rate ERR as a layout planning criterion, and development of MINSIM for calculation of ERR and stope planning; sequential grid stope layouts; use of backfill for stope support; and, development yielding support elements, and dynamic testing of stope and tunnel supports. The record shows the establishment of a rock engineering research powerhouse over a 40 to 50 year period and, unfortunately, the complete breakdown of this capability in the subsequent 10 years. CITATION:Stacey, T R, 2018. A personal review of South African rockburst research, experience and lessons learnt, in Proceedings The Fourth Australasian Ground Control in Mining Conference (AusRock), pp 5–16 (The Australasian Institute of Mining and Metallurgy: Melbourne).

Nov 30, 2018

By C A Heinrich, Morse M. P, Cruickshank B. I, Pyke J. G, Whitaker A

Very little public domain information is available on the exploration signature of the Coronation Hill Au+Pd+Pt deposit. From 1987 to 1990 the BMR (now AGSO) carried out geological, geophysical and geochemical (whole-rock, stream, soil and rock chip) surveys within the South Alligator and Kakadu Conservation Zones and defined several key parameters useful for exploration programs. The essential geological ingredients for the style of Coronation Hill Au+Pd+Pt¦U deposit are oxidised, low pH fluids, dilatant fault structures, a thick neutral to oxidised cover sequence and chemical traps in the basement. In geophysical data, the areas surrounding the mineralisation can be detected by airborne magnetics as major lows in magnetite-rich rocks, whereas in airborne gamma-ray spectrometry data, imaged spectrometric channel ratios such as U2/I'h and U2/K highlighted alteration surrounding the deposits. Three types of stream-sediment and soil samples were taken from each site: (1) -1 mm mesh, 5 kg sample for bulk cyanide leach (BCL) analysis for Au, Pd, and Pt; (2) 1 kg sample of -1 mm mesh sediment for fire assay/ICPMS analysis for Au, Pt and Pd; and (3) 50 g - 180¦ mesh sample for a variety of trace element analyses, including Au, Pd and Pt. Techniques 2 and 3 gave similar results for Au, Pt and Pd, while the recovery rates for Pd and Pt from the BCL samples were considerably lower. Other trace elements did not define unique indicators for Pt or Pd mineralisation, as each sample reflected the dominant lithology in the drainage basin. Rock chip surveys were useful in determining which faults were associated with the ore fluid in regions of multiple fracturing. Results from these exploration-style surveys also confirmed that the Coronation Hill deposit is a variant of the unconformity-style of mineralisation, as all significant geochemical and/or geophysical results occur at or below the unconformity.

Jan 1, 1994

McLeod: Without getting into the argument as to how well we can know our resource levels specifically in the immediate short term, I would like to make one or two points about the future, and perhaps try and persuade people that they are not really facing a doomsday. It is fair to say that over the last few years the rate at which we have increased our resources has far exceeded the rate at which we have used them, and this is likely to continue for quite a few years yet. As people are now looking for a substitute for petroleum, later on we will be looking for a substitute for coal, should the position get serious. After all man is pretty versatile, has plenty of initiative-and makes allowances for experience. It has been demonstrated here by the way people are looking at use of low quality coals and better use of the coals that are available. It would be fair to say that what now we regard as economically submarginal deposits will, by the time we need them, become economic. I think that there is quite a lot in front of us in exploration and finding new reserves. I would like to have comment from yourself sir, because I recall reading a report of a meeting, here in Wollongong I think it was, in which you addressed the local branch on the future of coal in Australia, and you said that the coal basins of Australia had been well explored and there was not much chance of new discoveries. Since that time we have seen some thousands of millions of tonnes turned up in the Galilee Basin of Queensland, we have seen five hundred million tonnes turned up in Lake Phillipson in South Australia. Do your previous comments still apply? I would like to hear from some of the exploration people, who are operating on an Australia-wide basis, as to how they regard our chances of discovering significant new deposits and significant extensions of known deposits. H,artnell: Mr. McLeod has asked me to comment on what he has just said. I think that the important thing is that our knowledge of the main coal basins in Eastern Australia is increasing in detail but for the most part the extent of coal basins is not being increased in respect of their superficial areas. There are additions but they are not substantially changing our expectation of what the main coal basins will be. I believe that our task is essentially to intensify our knowledge of the main coal basins that we know about. This is important for example for the various reasons that Mr. Roach was talking about, that is the problem of surface alienation, jeopardising the chance of recovery when you go to underground operations. My approach to this whole problem is predicated on the belief that coal has a special destiny to perform in the next fifty years. I believe that it is going to take up to fifty years and maybe a little longer before the enormously demanding technology for nuclear power recovery is in fact achieved. When it is achieved the supply of energy to the world will be enormous, much beyond what we have ever even dreamed about. The mind boggles at what the people of the middle of next century, of two thousand and fifty, will command in the way of physical resources. It is going to be, I believe, tremendous, but the technology involved is very demanding. I mentioned to Mr. McLeod the other day that according to the information that I got in November last, 60% of the nuclear power stations in the United States were out of action, by automatic cut offs because of safety requirements. The technology of breeder reactors seems each year to be a bit further off. In the meantime coal I am sure is going to be called on to supply power directly to fluidised bed and other technologies for power generation. It is going to be called upon in the near future, I believe, to supply liquid fuel on a vast scale and the only thing in my view that we should be thinking about is whether the coal producing countries of the world will succeed in producing as much coal as is going to be demanded. I believe the real challenge to the coal mining industries of the world is that they may fail to do what is going to be demanded of them. This is a challenge I believe to mining technology. I think that we should be working deliberately and energetically finding ways and means where underground recoveries, instead of averaging 50%, can average 50% plus, plus, plus, and this is the first requirement. We should be spending many millions every year, here and overseas, on increasing our means of winning coal because every tonne of coal that is alienated and left irrecoverable in the earth is going to weaken the capacity of the coal mining industry to fulfil, what I believe to be its destiny in the next 50 years.

Jan 1, 1975

Peko Mines N.L. has considerable experience in the treatment of a wide range of comparatively small orebodies.Gold-silver, bismuth, and sulphide and oxide copper ores are treated under difficult geographical conditions.Treatment of these ores is complicated by some unusual metallurgical factors.Metallurgical operations are described, including the treatment of the gold-bismuth-copper ore from Juno. The new Warrego mine is to have a highly instrumented concentrator by December 1971. Autogenous grinding is being considered.

Jan 1, 1969

By Stewart C. A

The Northparkes copper-gold project is being developed in Central Western New South Wales approximately 30 km NNW of the town of Parkes and approximately 350 km west of Newcastle. The project is a joint venture between North Limited (80 per cent) and the Sumitomo Group (20 per cent). North is the manager. The basis of the project is three copper-gold orebodies, the northern two of which are being mined by conventional open cut methods with the third and largest orebody at the southern end of the lease to be mined by block caving. A fourth mineralised body has been identified in the centre of the lease. While further evaluation of this deposit is required it would appear to be amenable to block caving. Oxide caps of gold ore and copper-gold ore over-lie the two northern orebodies. Development commenced with the construction of a carbon-in-pulp (CIP) plant to treat the oxide gold ore. Construction of a flotation plant to treat oxide copper-gold ore and sulphide copper-gold ore is underway. When full-scale operation is achieved late in 1996 the plant will treat 5.0 million tonnes of ore per year of which 1.1 million tonnes will be open cut ore and 3.9 million tonnes will be block cave ore. In terms of annual ore tonnage the underground mine will be the largest metalliferous mine in New South Wales and the second largest in Australia.

Jan 1, 1995

By J O. Watson, V S. Vutukuri

This paper presents results of an investigation on acoustic emission characteristics of granite, sandstone and rock-like material in the unconfined compression and tensile tests. Both the acoustic emission signature and stress-stain curve are analysed in the experiments.The experimental results show that different acoustic emission characteristics are observed at different stress and deformation stages in unconfined compression and tensile testing. Extensive and unstable acoustic emission changes may be interpreted as indicating failure of the rock.

Jan 1, 1999

By V A. Diemar

The Chatree Gold Project represents a greenfields discovery of metallurgically clean shallow gold mineralisation in a logistically simple terrain. Total Measured, Indicated and Inferred Resources are currently 31 tonnes of gold and 160 tonnes of silver. Gold occurs in an adularia-sericite epithermal system within quartz-calcite-adularia veins, breccias and stockworks. Host rocks are volcanic arc porphyritic latite-trachyte flows, their pyroclastic equivalents and volcaniclastics of upper Permian to upper Triassic age. The mineralisation was deposited in dilated zones during repeated reactivation of pre-existing structures. To-date five mineralised prospects have been defined by drilling with three reaching JORC Code Mineral Resources status. The project is in its definitive feasibility stage and is anticipated to be in construction during 2000.

Jan 1, 1999

By J Chen

Research conducted into backfill drainage at Mount Isa Mines since 1992 is described. Piping in draining backfilled stopes has been the primary cause of bulkhead failures and emphasis is placed on research into the piping mechanism. Laboratory and in situ tests aimed at understanding the piping mechanism have been conducted and the results are presented. A case history of piping in a draining bench stope fill mass is described and a technique for reducing the potential for bulkhead failures in bench stopes is presented. Hydraulic fill is produced by standard cycloning of tailings and the overflow (reject material) is sent to thickeners prior to placement in the tailings dams. Research into the partial introduction of thickener underflow into the backfill system and its influence on backfill drainage is also described.

Jan 1, 1998

By S M. Denn

The Cawse nickel-cobalt operation is situated 50 km NW of Kalgoorlie in Western Australia, at latitude30o22'30'' south and longitude 121o08'30'' east on the Kalgoorlie 1:250 000 geological map sheet (SH 51-9) (see Figure 1). The project is owned and operated by Centaur Nickel Pty Ltd (CTR) and was the first in Australia to commercially produce nickel metal and cobalt sulphide through pressure acid leach (PAL) technology. Cawse has a total resource base (all categories of resources + reserves) of 213 million tonnes Mt at 0.7 per cent Ni and 0.04 per cent Co, comprising 127 Mt at Cawse Central which is 100 per cent owned by CTR and 86 Mt at Cawse Extended where CTR has a 80 per cent equity. Cawse Extended is located immediately to the northwest of the Cawse Central leases. All current reserves (proved and probable) of 30 Mt at 1.0 per cent nickel are contained within Cawse Central. In addition the Siberia project area 20 kilometres to the NW has a resource of 63 Mt at 0.7 per cent Ni. Cawse is a dry laterite deposit, with nickel and cobalt hosted by iron and manganese oxides. Cawse Central mineralisation extends over a ten kilometre strike length, with three pits currently being mined. The Bunyip pit has the premier nickel and cobalt grades within Cawse Central. There are seven dominant lithology types forming mappable units within current pit exposures. Four of these units are host to nickel and cobalt mineralisation. Ore types are defined as Upgrade, Grind and Non-upgrade, depending on their physical characteristics with respect to the treatment route. Mining commenced in February 1998. To the end of calender 1999 the operation has produced 2100 tonnes nickel plate and 470 tonnes of cobalt as a cobalt sulphide product. Future production will target 9000 tonnes per annum Ni metal and up to 2000 tonnes per annum Co, based on processing 500 000 tonnes of ore per annum.

Jan 1, 2000

By M Fahey, A B. Fourie

Over the past ten years, the mining industry has witnessed the introduction of a new and innovative mine filling technique known as paste fill, which consists of placing full stream tailings with small amounts of binder and water into underground stopes. Paste fill has benefits over traditional backfill methods, such as higher solids contents than hydraulic fill and easier transportation than rock fill. From a geotechnical perspective, the behaviour of very fine material in a fully saturated state can be complex, particularly when binder is added. Previously, there has been no rigorous solution to understanding the paste fill deposition process, resulting in uncertainty regarding critical aspects such as barricade load calculations. This uncertainty has the obvious consequences of potential barricade failures (including at least 12 over the past four years), and for many operations attempts to deal with this uncertainty has led to excessively conservative filling schedules, restricting production. This paper presents an application of Minefill-2D, the first rigorous model capable of representing the paste fill deposition process. The model couples the processes of material accretion, consolidation and cement hydration to calculate the distribution of stress around a stope (including the total stress applied to barricade structures) during filling. Minefill-2D is a finite element numerical program, which has been verified using laboratory element tests, centrifuge tests and in situ measurements (Helinski, 2008). The authors present a sensitivity analysis, carried out using the model, to demonstrate some of the critical and less critical aspects relating to paste backfill deposition. The results of this sensitivity analysis are used to devise a fill management strategy that can be utilised to minimise the risk of barricade failures and maximise fill rates where appropriate.

Jan 1, 2008

By M Simanjuntak, A M. Supomo

PT Freeport IndonesiaÆs copper/gold operation disposes of approximately 222 000 dry metric tonnes of tailings per day via two thickeners. Reduction of the flocculant dosage rates in each of the tailing thickeners has been achieved with the installation of Clarometers«, modifications to the existing operating DCS control strategy and a change in plant flocculant. This has reduced the flocculant consumption rate in the last twelve months by approximately 20 per cent. It has also highlighted the disparity in the settling rates of the two thickeners. Collaborative efforts between Cytec technical site engineers and Freeport operational personnel have made possible the overall gains achieved in the tailings thickener optimisation.

Jan 1, 2003

By C Robertson, J Campos

The South African mining industry first experienced en-masse use of electronic detonators in the Narrow Reef environment using AELÆs ElectrodetÖ pre-set delay system. In recent years, programmable systems such as AELÆs SmartdetÖ have also established their position, and within both AEL and the mines there has been important learning around the strengths and weaknesses of these systems. In general, the fixed delay systems tend to be more easily appreciated by less-skilled work teams, and are very well suited to simple layouts, especially long, narrow blasts. However, development of programmable row controllers and series delay inserts has greatly expanded the field of usefulness of these systems while retaining most of the simplicity of use. The programmable systems are immensely flexible and therefore able to function under any condition, but require a higher level of discipline and knowledge. Much has been done to address this issue and make the systems user friendly, so the systems have converged to some extent. These systems are both valuable tools for achieving control over blasting in underground and surface applications. The choice of system is very dependent on the prevailing conditions. Accurate timing with electronic enhancements continues to show an increasing range of benefits to mining operations. There is a strong parallel with non electronic initiation systems which helps to understand the appropriate use of the systems.

Jan 1, 2001

By Sullivan BJK

The 1100 orebody is a massive copper sul- phide orebody which contains a major portion of the Isa Mine copper ore reserves of 130 million tonnes at 3.2%. The underground mining of a deposit as large as the 1100 orebody is technologically a complex operation as extraction strategies have to be evaluated with reference to 1. rock mechanics considerations, 2. safety and environmental standards, 3. production and operating require- ments and 4. metal recovery and costs. The mining philosophy in the orebody has undergone considerable change over the past five years as a result of experience and improved technology. At this stage, primary stopes are extracted by high rise sublevel open stoping and pillars by slot and mass blast drawn either under rock fill or as an open Stope.

Jan 1, 1978