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By N. Snyders, I. Mwandawande, S. M. Bradshaw, M. Karimi

"Flotation columns are normally operated at optimal superficial gas velocities to maintain bubbly flow conditions. However, with increasing superficial gas velocity, loss of bubbly flow may occur with adverse effects on column performance. It is therefore important to identify the maximum superficial gas velocity above which loss of bubbly flow occurs. The maximum superficial gas velocity is usually obtained from a gas holdup versus superficial gas velocity plot in which the linear portion of the graph represents bubbly flow while deviation from the linear relationship indicates a change from the bubbly flow to the churn-turbulent regime. However, this method is difficult to use when the transition from bubbly flow to churn-turbulent flow is gradual, as happens in the presence of frothers. We present two alternative methods in which the flow regime in the column is distinguished by means of radial gas holdup profiles and gas holdup versus time graphs obtained from CFD simulations. Bubbly flow was characterized by saddle-shaped profiles with three distinct peaks, or saddle-shaped profiles with two near-wall peaks and a central minimum, or flat profiles with intermediate features between saddle and parabolic gas holdup profiles. The transition regime was gradual and characterized by flat to parabolic gas holdup profiles that become steeper with increasing superficial gas velocity. The churn-turbulent flow was distinguished by steep parabolic radial gas holdup profiles. Gas holdup versus time graphs were also used to define flow regimes with a constant gas holdup indicating bubbly flow, while wide gas holdup variations indicate churn-turbulent flow. IntroductionTwo types of flow can be distinguished in gasliquid flows in bubble columns: bubbly flow and churn-turbulent flow. The bubbly flow regime is characterized by uniform flow of bubbles of uniform size. Churn-turbulent flow, on the other hand, is characterized by a wide variation in bubble sizes with large bubbles rising rapidly and causing liquid circulation.Flotation columns are normally operated in the bubbly flow regime, which is the optimal condition for column flotation (Finch and Dobby, 1990; Yianatos and Finch, 1990; Ityokumbul, 1992). However, it has been generally observed that flotation column performance deteriorates when the superficial gas velocity is increased beyond a certain limit where the flow regime changes from bubbly flow to churn-turbulent flow (Xu, Finch, and Uribe-Salas, 1991). The identification of this critical or maximum superficial gas velocity is therefore important for optimal operation of flotation columns."

Feb 1, 2019

By D. F. Malan, J. C. Esterhuyse

In this study we explore the use of a novel numerical modelling approach to study the effect of pillar reinforcement on pillar stability. Case studies in the literature indicate that tendons, strapping of the pillars, and shotcrete or thin spray-on liners are commonly used to reinforce pillars. No clear methodology exists to select the type of support or to design the capacity of the support required, however. This has led to ongoing collapses in some mines in spite of heavy support being used to reinforce unstable pillars. A limit equilibrium model with confinement on the edge of the pillar was used to simulate the interaction of the support with the failing pillar. The model correctly predicts that an increase in confinement will lead to a decrease in the extent of pillar failure. As the displacement discontinuity boundary element method allows for the efficient solution of largescale bord-and-pillar layouts, the effect of pillar confinement can now be studied on a mine-wide scale. Accurate calibration of the limit equilibrium model is, however, required before this method can be used for the design of effective pillar support.

May 3, 2023

"SAMPLING: THE IMPACT ON COSTS AND DECISION MAKING1. INTRODUCTIONFor years those in the minerals industry have been taking samples to assist them in making decisions; whether they be about investing billions of rand in a new mining operation, or simply whether a truck load of mineralised material should go to the mill or the waste dump, - we need a sample to help us make our decisions. This paper emphasises the importance and significance of sampling as a process, some of the associated technical problems and some of the advantages, especially in the light of traditional approaches that has usually left mine sampling to the least educated and lowest paid individuals on the mine. Perhaps the most important aspect that requires attention is the variability, usually measured in terms of precision, that tends to infect the sampling procedures. Francis Pitard 12 has stated: ""There is no such thing as reliable feasibility studies, unbiased ore grade control, accurate environmental assessments or effective process control, if you cannot identify and minimize the seven (ten) major sources of sampling variability. "" It is these ten sources of sampling variability and the way they arise that are briefly investigated. Variability is measured in terms of variances and rather than being self-compensating, there is good evidence to indicate that they are in fact additive at every step in the sampling and analytical process."

Jan 1, 2014

By S. Subramanian, L. Mweene

A siliceous low-grade copper ore from Mpanda Mineral Field (MMF), located in south west Tanzania consisting of SiO2 (58.3%), Fe (10.4 %) and Cu (0.9 %) was initially subjected to selective dispersion-flocculation using sodium trisilicate (STS) as a dispersant and xanthan gum (XG) as a flocculant. Subsequently, the selectively flocculated fraction was floated using a collector combination of potassium ethyl and amyl xanthate (1:1) in the presence of poly-ethylene oxide (PEO) as a silica depressant, to get a copper concentrate. The mineralogical investigations confirmed that the MMF ore was mainly composed of quartz, chalcopyrite and pyrite. Adsorption studies indicated that the adsorption density of XG on MMF ore decreased with an increase in pH, while that of PEO was independent of pH. The adsorption isotherms of XG and PEO on MMF ore exhibited Langmuirian behaviour. The zeta potential studies of MMF ore indicated that the iso-electric point (IEP) was located at pH 2.6, presumably due to its high silica content. In the combined presence of XG and STS, the zeta potential of MMF ore became more negative, with an increase in the concentration of STS. However, in the presence of PEO, the zeta potential of MMF ore became less negative with an increase in the concentration of PEO beyond the IEP, without shifting the IEP. Selective dispersion-flocculation of MMF ore improved the flocculated chalcopyrite grade to 19.8 %, yielding a degree of flocculation and a maximum separation efficiency of 12.1 % and 85.7 % respectively, after three desliming stages in the presence of 30 ppm of STS and 30 ppm of XG. A copper concentrate of 29 % grade and 90 % recovery containing silica of 0.9 % grade and 1.7 % recovery was achieved by flotation of the selectively flocculated component, using PEO as a depressant for quartz. Keywords: Flotation kinetics, flotation machines, flotation bubbles, particle size

Jan 1, 2020

By B. McFadzean, M. Becker, S Geldenhuys, A. Molifie

Mineral hydration is known to result in low flotation recoveries and grades within primary platinum group element ores worldwide. This is because the phyllosilicate minerals derived from hydration reactions of silicate minerals (i) form electrostatic coatings on valuable minerals that in turn hinder collector adsorption, (ii) alter the viscosity of the slurry leading to poor gas dispersion and (iii) decrease the concentrate grade due to naturally-floating gangue. Sodium silicate was investigated because its dispersant, rheology modifying, and depressant properties could prove promising in combating the problems associated with these ore types. Quantitative evaluation by scanning electron microscopy analysis revealed large quantities of serpentine and talc present within the ore sample used in this study, which led to a poor flotation response as indicated by batch flotation tests. Using sodium silicate improved the recoveries and grades at high dosages (>1000 g/t). The zeta potential experiments indicate that improved recoveries are, in part, as a result of the reversal of serpentine surface charge, creating electrostatic repulsion between serpentine and valuable minerals which prevents the coating of valuable minerals by serpentine slimes. Ore dilution and rheology tests indicated that decreased viscosity at high dosages also improved recoveries. Talc micro-flotation tests revealed that the depression of talc occurred at higher sodium silicate dosages, which improved concentrate grade. The processing of nearsurface altered ores is becoming an increasing problem worldwide and the use of sodium silicate proved valuable in mitigating the problems associated with the altered ore investigated in this study. Keywords: Alteration, phyllosilicate slimes, colloidal chemistry

Jan 1, 2020

By D. J. Stanton

The objective of this study was to develop, install, and test a small underground mobile refrigeration plant (MRP) to deal with some of the real problems associated with mine cooling in an operating mine. The requirement for cooling the underground environment is discussed with particular emphasis on the need for this method of cooling, with the concomitant benefits. The research investigated current methods of cooling and reasons for previous failures in MRP. Both static and dynamic simulations were conducted to increase the confidence level under operating conditions. Implementation and testing, resulted in ?lessons learnt? requiring modifications, which are documented. Actual results have been recorded. These results have proved that significant cooling via MRP is feasible. Main benefits include positional efficiency, cost per kilowatt of cooling and cooling opportunities for remote hot areas of a mine. Finally, a proven technology is now available for large-scale implementation in the mining industry. Now the ventilation engineer has another system of cooling, which can be utilized in the quest to create an occupational environment, which meets the physical and mental health requirements of the worker.

Jan 1, 2004

By J A. H Campbell

AK6 is a Cretaceous aged kimberlite located in the north-east of Botswana, close to Debswana's Drapa and Letlhakane Mines. It was discovered by Debswana in 1969, but was considered unattractive from an economic perspective. In 2003, Debot Prospecting Pty Ltd ('Debot') re-assessed the area and with the advent of new prospecting technology, particularly large diameter drilling ('LDD') and more detailed ground geophysical surveys found AK6 to be of interest. In 2005, the Boteti joint venture was formed between Debot and African Diamonds plc ('AFD'), which covered a number of Prospecting Licenses, including that which contained AK6.

Jan 1, 2010

Mixed integer programming (MIP) has been used for optimizing production schedules of mines since the 1960s. The major problem in the long-term production scheduling for an entire orebody is that the number of integer variables needed to formulate an MIP model is too large to solve the formulation. This number may reach well over one hundred thousand. To overcome this difficulty, this paper presents two new algorithms to reduce the size of the problem. These algorithms assign an earliest and latest possible start date for each machine placement, eliminating the integer variables that correspond to machine placement before its early start date and after its late start date. A case study based on Kiruna Mine, the second largest underground mine in the world, is summarized in the paper. It shows substantial improvement in the solution time required using the new algorithms. This increased efficiency in the solution time of the MIP model allows it to be applied to Kiruna Mine, with the potential to increase substantially the net present value (NPV) of the project.

Jan 1, 2008

By A. C. Mulholland

The electrical control of three-electrode submerged-arc furnaces suffers from a number of complexities, mostly due to the nature of the furnace electrical circuit providing power to the furnace where the three electrodes are interconnected within the furnace through the molten metal bath. This gives rise to what is known as the interaction effect 2, where variations in one electrode?s current can cause comparable changes to the currents in the other electrodes, particularly in larger furnaces with low power factor. Resistance-based control of the electrode penetration has largely alleviated these problems, since the resistance encountered by each electrode is predominantly dictated by the length and conductivity of the current path from the electrode?s tip to the molten metal bath, which acts as the three-phase circuit?s floating neutral point. Hence resistance changes due to tip position or conductivity changes beneath one electrode do not affect the resistances beneath the others, effectively decoupling the control of the individual electrodes1. Although resistance-based control is therefore generally accepted as superior to current-based control for the regulation of submerged-arc furnace electrode penetration, a few furnace operators still prefer to use current control under specific furnace conditions. This paper presents the results of analysing the performance of both current and resistance-based control in typical scenarios encountered on industrial furnaces, taking into account a number of factors including electrode penetration, power distribution, efficiency and asymmetry of the electrode currents. In order to accomplish this, three typically encountered scenarios were simulated. The results obtained show that resistance control provides more benefit in all cases, however, the uneven electrode current distribution generated by resistance control when electrodes are on top stops may cause some concern if baking of the electrodes is required in this scenario.

Jan 1, 2009

By N. du Preez, J. Christie, F. Crundwell

Precipitation is a key process in the recovery of copper and cobalt. While there is a wealth of experience in operating precipitation steps, improving their performance remains challenging. Chemically, the reaction might be controlled by reaction kinetics, be limited by oxygen mass transfer, or be at equilibrium. In this paper, we examine these different operating regimes and demonstrate how they can be identified from plant operating data, process modelling, and pilot plant test work

Jan 1, 2023

By J. A. Sweet, T. BACHMANN, G. E. Sandoval, T. M. Hauyon, F. A. Contreras

In many respects a porphyry copper ore concentrator plant can be considered as a simple system. Chalcopyrite typically liberates well at relatively coarse sizes, and even low grade ores are amenable to upgrading 20 to 30 times to produce concentrate grades in excess of 25 % in very simple Rougher- Regrind-Cleaner+Scavenger flotation circuits. The flotation response of chalcopyrite has been well characterised in many fundamental and applied research studies and the conditions necessary to depress pyrite and other floating gangue species are well understood. But what happens to the particle surfaces when you have a 50 km pipeline between the grinding circuit and the flotation plant? How does the seasonal variation in water quality affect your ability to control pulp chemistry? What impact does the relative concentration of the different sulphide species have on their separability? Why do two plants that receive nominally the same ore produce consistently different results? And most importantly, what do you need to do to improve the performance of both plants? To answer these and other questions, a focussed sampling and analysis programme was carried out at the Las Tórtolas flotation plants in 2018 and 2019. The work included full down-the-bank sampling, hot floats, the use of radioactive tracers for determining residence time distribution profiles, gas dispersion measurements, detailed mineralogy by size across the circuits and multiple regrind surveys. This comprehensive study was augmented by analysis of historical mineralogy, geometallurgy and operating data using modern data science techniques, and has provided the foundation for current and future optimisation initiatives. Some of the findings and their implementation will be presented in this paper. Keywords: Circuit optimization, Residence time, Gas dispersion, Pulp chemistry

Jan 1, 2020

By C. Birch

"Mineral reserve statements as well as optimizing mine planning require a block model with grades for each mining block. A cut-off grade is determined by considering the mining costs as well as the expected revenue for each block. These grades are estimated using various techniques, but in reality there is uncertainty in the grade values. These uncertainties result in two types of error. A type I error is where material is classified as ore and mined, but the true value is below the cut-off grade and the material is therefore waste. This material constitutes dilution. The type II error is where material is estimated to be below the cut-off grade and is classified as waste, whereas the true grade is actually above the cut-off grade. This material is not mined and the value is lost.This research considers the value of the lost ore and the costs of dilution under various degrees of uncertainty. Simulation using @Risk and mixed integer linear programing (Excel Solver) is used in a financial optimizer model to maximize either profit or net present value. This is applied to four Witwatersrand tabular gold deposits to investigate the impact of block grade uncertainty on cut-off grades.When optimizing for profit, value may be added by adjusting the cutoff grade slightly downwards. When optimizing for NPV, value may be added by lowering the cut-off grade significantly for the lower discounting rates. At higher discount rates, the lowering of the cut-off grades should be reduced, and in some cases an increase in cut-off grade may be required. Each mine reacted differently to the optimization and thus there is no single rule that can be applied across all tabular Witwatersrand gold deposits."

Jan 1, 2017

By M. Fener, S. Kahraman, O. Gunaydin, M. Alber

Falling into the weak rocks category, fault breccias have extremely poor engineering properties. These pebbles typically cause issues with slopes, subterranean construction, and building projects. Professionals will benefit from the creation of some predictive models for fault breccia triaxial strength, as smooth specimen preparation is typically challenging and timeconsuming. The purpose of this study is to develop some predictive models for the differential stress (Δσ) based on physical and textural properties. Artificial neural networks were used to analyse data related to Misis fault breccia. Initially, models with moderate (noticeable, but not good) correlation coefficients were created using multiple regression analysis. After that, the regression models and three distinct artificial neuron network models were contrasted. Regression models are weaker and less trustworthy than artificial neuron network models, as demonstrated by this comparison. Pointed out is the practicality and ease of use of the artificial neuron network model with S-wave velocity and volumetric block proportion. Ultimately, it can be concluded that artificial neuron networks analysis provides a reliable indirect method for predicting the differential stress of Misis fault breccia.

Sep 1, 2025

By N. Theron, R. F. Meeser

The global emphasis on conserving energy resources has led to the adoption of hybrid power systems in vehicles. Optimally applied, hybrid systems can save up to 40% on fuel costs. To optimally manage a hybrid vehicle's energy flow it is necessary to know, in real time, all the energy requirements to complete a given route. The energy consumption depends mainly on the vehicle mass, speed profile, and route topography. Of these, the topographic profile is the one factor that is only route-dependent and not influenced by the vehicle or driving styles. The heading vs. distance profile is also an example of a route characteristic not influenced by the vehicle or driving style. In this study the topographic and heading profiles are used to identify routes, and are easily measured by means of digital barometric pressure and compass sensors. Correlations between the current route and previously travelled/stored routes are performed based on their topographic and heading profiles in a point-by-point manner. Above-ground tests were first performed using a road vehicle and six routes to evaluate the system. The system consistently and correctly identified a 20 km route within the first 4 km. It also proved to function correctly in underground tests through the implementation of an instrumented hand-held surveyor's wheel. This system finds direct practical application in optimizing the energy management of an underground hybrid locomotive used by the mining industry in South Africa, but can also be of benefit in applications where route identification is required and using GPS is not feasible.

Jan 26, 2023

By B. Orgilbayar, B. Unursaikhan, S. Sukhbat, Ts. Zagarzusem, D. Baasanjav, L. Jargalsaikhan, E. Otgonjargal, N. Sugir-Erdene, Ts. Soyolmaa

This study has investigated the efficacy of the gravity beneficiation method based on gravitation and centrifugal forces for manganese ore. Powdered samples of manganese ores from the Unagad deposit in Mongolia were analysed for their element and mineralogical composition using ICP-MS and X-ray powder diffraction (XRD). The analysis presented the mineralogical compositions of the ores as hydro goethite, manganese minerals and magnetite, gangue minerals as quartz, albite, orthoclase and microcline of manganese ore. Manganese minerals are white in colour and have micro-veinlet, fine grained-aggregates associated with gangue minerals. The most important manganese minerals are hausmannite, pyrolusite, rhodochrosite, and manganosite. The composite of feed containing 17.31 % Mn and 36.3 % SiO2 was processed in a shaking table. In the experiment, a concentrate assaying 41.37% Mn was obtained from this composite with 65% recovery. In another experiment, f80=0.074 mm particle size ore was used in the MGS concentration test. A concentrate containing 38.34 % Mn with 75.2% recovery was produced in this experiment. The results showed that it is possible to obtain concentrate through gravity processing of manganese ore, which is an economically beneficial process for producing a product of a standard requirement. Keywords: Manganese ore, gravity separator, centrifuge, shaking table 1. Introduction

Jan 1, 2020

By S. Purushotham, Y. R. Murthy, M. Narasimha, S. K. Tripathy, M. Kumar

Spiral concentrators are gravity-based separators widely used to beneficiate coal, heavy minerals and beach sand. It consists of a helicoid trough that spirals downward in the helical configuration around an axial column. The particle segregation takes place based on size and density under the influence of gravity as the particles spiral down within the thin water layer. In the last century, most design modifications of this equipment were based on trial and error based lab-scale experimentations and empirical approach. The use of Computational Fluid Dynamics (CFD) has gained interest in the past two decades to understand the underlying flow physics in the spiral concentrators. In this paper, we used CFD to model the fluid flow and investigate the particle segregation inside a conventional LD9 spiral concentrator. Firstly, the Volume of Fluid model was used to resolve the liquid-air interface. The liquid depth and flow field predictions for varying flowrates were validated against the experimental literature data. One-way coupled VOF-LPT model was then used to describe the particle dynamics in the spiral flow field assuming dilute particulate flow. Moderate dense particulate flow (20 vol.%) was then modelled using the Algebraic Slip Mixture (ASM) model. Four particle-phases representing particles of different sizes of dual-density were simulated, and the component particle segregation was analysed. Keywords: Spiral concentrator, two-phase flow, multiphase, discrete phase model, ASM model

Jan 1, 2020

By E Matinde, M. Mnisi, I. C. Thobadi, W. Clark, J. D. Steenkamp

Pyrometallurgical smelters utilise tap-holes, through which liquid metal, matte and/or slag are tapped at regular intervals. However, tap-hole failures can have a devastating impact on smelters, which includes loss of equipment, human life and business interruptions. Contributing factors to tap-hole failures include poor and/or incorrect refractory material selection, including tap-hole clays. The functions of tap-hole clays in smelters include their ability to be extruded and drilled with ease at the end and beginning of a tap, and their ability to resist chemical wear due to molten metal and slag during tapping. Mintek is currently developing methods of evaluating properties of tap-hole clays with a specific focus on workability, and wear mechanisms of clays due to ferrochrome alloy and slag. Of particular interest to this study was the characterisation of various tap-hole clays. This paper evaluates the chemical and phase chemical properties of three different tap-hole clays. The bulk chemical composition of the tap-hole clays was determined by inductively coupled plasma optical emission spectroscopy, proximate analyses and combustion methods. The bulk phase compositions and specific phase chemical compositions were studied using quantitative X-ray diffraction, scanning electron microscope and electron probe microanalyses techniques. Keywords: Tap-hole clay, chemical analyses, phase chemical analyses, ferrochrome

Jan 1, 2020

By J. Arzuúa, U. Castro-Filgueira, L. R. Alejano, F. Malan

"Pillar design for underground mining is typically done using empirical formulae or numerical modelling. Practical experience and recent literature, nevertheless, illustrate the shortcomings of these design approaches. Ongoing monitoring of pillars is therefore recommended to minimize the risk associated with these designs.In a mine where a large number of pillars are cut, different pillar strengths can be expected owing to variations in rock mass strength from area to area. This problem is compounded by the fact that in mining environments the pillars are not always cut according to the prescribed dimensions. Although the original design using either empirical methods or modelling may predict stable pillars, unstable pillars will be encountered in reality. Very conservative designs with large factors of safety may circumvent this problem, but this approach is uneconomical.A possible solution to localized stability problems may be to enhance the strength of a few unstable pillars. It may even be hypothesized that reinforcing a few critical pillars may prevent ‘pillar runs’ on a much larger scale. Rockbolting, strapping of pillars, and pillar shotcreting have occasionally been used in the past as possible solutions. It appears that these have not been successful in all cases and large collapses have occurred in spite of the pillar remedial work.The authors investigated the strapping of pillars by conducting laboratory tests on cabled rock specimens. The results were qualitatively compared to actual attempts of pillar reinforcement available in the literature, as well as additional observations in an old haematite roomand- pillar mine in Spain. Based on these results, the value of steel cabling and mesh wrapped around pillars to improve stability is demonstrated. Some cases where this approach will not be successful are also discussed."

Jan 1, 2017

By D. P. Roberts

This investigation aimed to simulate the experiments performed by Nic Gay (Gay, N.C.1976. Fracture growth around openings in large blocks of rock subjected to uniaxial and biaxial compression. International journal of Rock Mechanics and Minining Sciences and Geomechical Abstracts, vol. 13. pp. 231-243) on fracture growth around openings in blocks of rock subjected to uniaxial and biaxial compression, using the Elfen discrete element code. The results of the physical experiments indicated a number of trends that were successfully replicated in the numerical simulations, including crushing ahead of the face, the formation of a sub-vertical tensile fracture at centre-span, the formation of groups of fractures originating from the crushed face zone, the formation of large corner-to-corner fractures which precede sample failure, and linking of slot corner and sample corner fractures leading to sample failure. In addition, other features were apparent that were not reported by Gay. It is believed that these took the form of conjugate shear fractures (as reported by Gay in a previous paper) and other features that may have been altered or inhibited by the presence of pre-existing structure in the physical samples. It was found that the samples, though nominally made up of the same rock type, must have had significantly differing properties. The presence of pre-existing structures may have contributed to this discrepancy. Strain measurements from the physical experiments were reasonably well matched, except where the gauge lay directly in the path of advancing fractures.

Jan 1, 2012

By C. Birch

"The purpose of this study was to establish the impact of discount rates on cut-off grades for narrow tabular gold deposits as characterized by the goldfields of the Witwatersrand Basin in South Africa. There are various methods available for determining the cut-off grade, from simple breakeven calculations to sophisticated software packages that consider a variety of inputs to optimize the cut-off grade. For this study a simple financial model was created in Microsoft Excel® that links the ore flow, block listing, and the cash flow. This allows the cut-off grade to be optimized considering how the cost of capital and chosen discount rate affect the cash flow.The discounted cash flow (DCF) and resultant net present value (NPV) are a widely used valuation method for production properties according to the South African Code for the Reporting of Mineral Asset Valuation (SAMVAL Code). The financial model in this study utilizes the Solver function, as well as simple Microsoft Excel spreadsheet formulae to optimize the NPV. Solver was chosen as it is a standard feature in Excel and thus no additional software costs are incurred beyond the basic Microsoft Office suite. For the purpose of this study, just narrow tabular gold deposits of the Witwatersrand Basin were considered. An example of a typical ore block listing, as well as the costing figures, was obtained from an operating gold mine. The results obtained from the study financial model were compared to the current cut-off grades obtained from the mine using their proprietary optimizer program, and were found to be comparable. The methodology utilized for this study thus appears valid.The cut-off grade was optimized considering the cash flow, which includes the variable mineral resource royalty tax, the variable gold income tax, as well as the discount rate. By comparing the resultant NPVs using discount rates of zero, 9%, and 12%, the impact of the discount rate on cut-off grades, resultant life of mine, and average mining grades (AMG) could be compared for the example ore block listing. The South African Code for Reporting of Exploration Results, Mineral Resources and Mineral Reserves (SAMREC Code) does not require operations to state if a discount rate was considered in determining mineable reserves. Mining companies approach the question of applying discount rates in determining their cut-off grades, and thus mine planning strategy, in different ways. Due to the negative impact that optimizing purely on NPV has on the life of mine, some choose to optimize only on profit. Other companies have reverted to utilizing pay limits as their primary grade planning strategy. The calculated cut-off grade is then considered to be another planning indicator rather than a hard determination of mineable reserves."

Jan 1, 2016