Search Documents

Is your company paying taxation on profits which are partly illusory?ò Are unions making wage demands based on erroneous notions of the real level of value added to your companyÆs production?ò Do you receive historic data on profit contributions by different products, or for different market areas, which you feel may be misstated?ò Do you find that cash is not always readily available to pay dividends out of reported earnings because, it is required to finance additional working capital without a real increase in the level of activity?ò Are your planning and budgeting routines hampered by the need to rely on historic financial data which bear little resemblance to what the future may hold for your company?ò Are you able to maintain your business at its optimum operating capability or do you feel each year that it becomes more and more difficult to achieve the same volumes of prdduction at the same level of return on assets employed without having to raise more capital?If your answer to any of these questions is "yes", then it is very likely that Current Cost Accounting (CCA) has something to offer you!characteristics of the mining industry and for single venture mining operations.

Jan 1, 1984

By J McCluskey, N Barros

"Long-term strategic planning at BHP Billiton’s Western Australia Iron Ore business aims for sustainable value maximisation of its large, long-life, low-cost, expandable mineral inventory and supply chain infrastructure. While mine plans are key components of this value equation, this objective requires a whole-of-business approach through comprehensive consideration and optimisation of the full value chain. Only through a system view do we believe that the value proposition of a set of plans is truly optimised.The fundamental considerations include: mineral inventory information, given its intrinsic uncertainty and risk/knowledge horizon a marketing view of future quality premium/discount based on overall market quality load whole of supply chain optimisation on a throughput accounting basis alternative sequences of capital decisions closure costs with significant magnitude of total movement requiring optimisation as part of the plan. In addition, the plan provides a view of acceptable uncertainty levels at different times in the future.BHP Billiton Iron Ore uses a structured Life of Asset planning process that supports the business with the optimisation of its maximum value proposition through a non-deterministic scenario-based optimisation approach on an annual basis. This is a key input to each year’s medium-term plans and budgets, including activities identified through a value of information approach that resolve the key uncertainties and steadily improve confidence in the plan.CITATION:McCluskey, J and Barros, N, 2014. Life of asset planning, uncertainty and value optimisation of the iron ore business – from exploration, to market, to closure, in Proceedings Orebody Modelling and Strategic Mine Planning Symposium 2014, pp 33–40 (The Australasian Institute of Mining and Metallurgy: Melbourne)."

Nov 24, 2014

By J P. Burr

The Waterview Connection will complete a strategic Auckland motorway route linking the south, west and north. The project will include 2.1 km of ‘undrained’ driven tunnels, 500 m of drained cut-and-cover tunnel and tunnel portals.The project is aligned beneath a stream valley of Oakley Creek, which is incised through alluvium and in places overlain by landfill, between Mt Albert volcano and a ridge formed in alternating sandstones and siltstones. The resulting topography, geology and hydrogeology of the tunnel alignment are complex.The Assessment of Effects required estimation of the likely settlements resulting from the tunnel construction and assessment of their effects on the buildings, services and other features. A conservative approach was taken when estimating settlements in order to provide an upper bound estimate of the consequent effects. There are three sources of these settlements: mechanical settlement from the tunnel excavation, mechanical settlement from the displacement of retaining walls and consolidation settlement from the groundwater drawdowns during construction and, in some cases, in the long-term.The settlements from these sources were calculated independently and then combined to identify the most critical effects. These combined settlements were used to assess the potential damage to the buildings, services and other features above and around the tunnels. The combined settlement results generally followed the anticipated trough shape centred on the underlying tunnel but with some noticeable effects relating to the underlying geology and hydrogeology.The effects on buildings were typically assessed as negligible with some areas of very slight to moderate damage predicted. Effects on services are anticipated to be minor but some large and older pipes will require specific monitoring during construction. A monitoring programme is proposed to allow the actual settlement and effects to be compared to those estimated with appropriate responses should those effects significantly differ.This paper describes the methods used to calculate and combine the settlements and assess their effects.

Mar 8, 2011

By M Salu

Ventilation control devices (VCD’s) and bulkheads are critical controls used for managing risk in underground coalmines. Following the Moura No. 2 mine explosion in 1994, the Queensland Mines Department required that the design of VCDs be based on live testing (such as in a mine testing explosion gallery) and more recently on numerical modelling using measured seal material properties. While the stipulated methods represent an idealistic solution, they are not practical to implement as solutions to daily challenges presented in underground coalmines.Not all VCD’s and bulkheads are placed in areas which have been mined to standard roadway dimensions. Operationally, VCD’s may be required to be placed close to intersections or require large dimensionally different areas (eg overcasts and pre-driven recovery road shutters) compared to the live testing or numerical modelling originally undertaken.This paper describes the various structural engineering methods utilised to account for the design of VCD’s where the operational requirements are non-standard. Siting and construction of VCD’s near the entry of cut throughs and geological structures requires additional design considerations. While VCDs constructed from a single material (eg sprayed mining plaster) are relatively straightforward to design, the addition of multiple openings (doors) or large pipes will complicate the structuralanalysis significantly.Temporary bulkheads used for the containment of grout such as for the construction of pre-driven recovery roads in coal mining have a significantly different risk profile to VCDs and should be designed accordingly. Recent failures and near-misses in such bulkheads have highlighted this issuefor the authors.The existence of an Australian Standard for Underground Mine VCDs and Bulkheads would go a long way to addressing many of the issues raised in this paper. Without a single, industry-accepted reference for VCD design, individual mines will have to continueto exercise their best judgements using whatever local expertise is available to them.

Oct 12, 2022

By J E. Powalisz

Obtaining a representative sample of bulk materials in process industries is critical to providing valid data for process control and custody transfer (valuation). The accuracy of a sample, that is to say how well the sample represents the material in the process, is directly related to how well the process can be controlled and to how much a product may be worth. Sampling accuracy then is in fact related to bottom line profitability.Sampling theory offers information and equations on how to take a representative sample from a process, however, the actual practice of extracting a sample from the process can be more of an art.Key sampling variables include product specifications such as bulk density, particle distribution, material conveyance, practical sampler location, sampler type and sample frequency and volume/mass.This paper discusses basic sampling theory, sampling methods, types of samplers, how to develop a ‘real world’ sampling system and current manual and automated samplers.Key points include ‘practical precision and variance’, material properties, flow properties, direct sampling versus indirect sampling, sampler types and applications.CITATION:Powalisz, J E, 2014. Bulk solids sampling, in Proceedings Sampling 2014 , pp 179–188 (The Australasian Institute of Mining and Metallurgy: Melbourne).

Jul 29, 2014

By A Jewbali, L Allen

At Newmont Corporation drill hole spacing studies are done to support the business in understanding the cost of collecting additional information (with a specific focus on drill hole sampling density) versus the value of additional drilling in terms of resource risk reduction. For the last 20 years drill hole spacing studies have been executed in an effort to answer the following question: What spacing should the deposit be drilled at to achieve a certain level of resource confidence so that when mining occurs the resource model delivers as predicted ie what is the optimal sampling density? The optimal sampling density supports a resource model that provides a sound foundation for mine planning purposes and resource/reserve reporting. At Newmont Corporation drill hole spacing studies are now a requisite for understanding drill data density needs for new deposits and near mine expansions. This paper details the evolution of drill hole spacing studies at Newmont Corporation in terms of methodology and usage.

May 24, 2023

By R Espinosa-G=mez

Industrias Pe±oles, S A de C V (Pe±oles) in Mexico, is a major silver producer. The Pe±oles mining division has eight operations and the flotation process in seven of them to concentrate the metal and mineral values. Common metal and mineral values are: metallic gold and silver; gold-silver alloy (electrum); silver sulfide minerals (acanthite, pyrargyrite, freibergite, proustite); lead sulfide (galena); zinc sulfide (sphalerite); and copper sulfides (chalcopyrite and bornite). This paper aims to share Pe±olesÆs mineralogical and metallurgical information on the seven operations where the flotation process is used. Some basic conclusions are drawn from this analysis. Some of the information presented includes: types of orebodies, concentration processes, concentrator throughputs, head grades, concentrate grades and recoveries. Importantly, grind size and liberation values for the main mineral species are presented along with the relationships between sphalerite liberation and its recovery, and galena liberation and its recovery. Also included are three mineralogical case studies: maximisation of silver recovery at the Fresnillo mine producing a silver-zinc concentrate; options to improve gold recovery at the Tizapa mine; and sphalerite iron content for the different orebodies.

Jan 1, 2005

A cry that is often heard from front-line employees, particularly as a mine grows or circumstances change is "We used to be one big team but now they have set up teams for different functions - we don't know what's going on and we don't share resources any more. We used to just get in and do what had to be done, now we can't.". It usually occurs after management decides that, with the increasing mine complexity, functions and accountabilities of a manageable size need to be identified and defined for individuals and teams to facilitate optimum performance. However, as the statement indicates, these changes have often not delivered all the intended benefits. This paper will explore the reasons why the full benefits have not been realised and will identify actions which can be taken to improve the likelihood of optimal outcomes.

Jan 1, 1998

By P Sutton

The global goal of Sustainable Development is not achievable without major changes in the way goods and services are delivered and material needs are satisfied, which requires tremendous innovation in the supply chains and life cycles in which minerals and energy processing take part. Values derived from minerals and metals processing need to be delivered with a fraction of current ecological impacts, which means removing technical obstacles to eliminating waste and emissions in the minerals cycle. The challenge is to find economically attractive ways to get there, through eco-efficiency gains in existing operations, capturing regional synergies, streamlining and greening the materials supply chain, and commercialising new process technology and new products. This paper summarises the outcomes of the Sustainable Resource Processing project, which was designed to provide a strategic analysis of what sustainability means for minerals and metals processing and how that can be effectively translated into technical and business innovation.

Jan 1, 2002

By M J. Noy

The automated measurement of rock fragmentation particle size distribution in the muck during muck excavation has been developing over the last 16 years. The introduction of stereo camera imaging of the muck has provided improved automated particle segmentation for image-based measurement algorithms. Recently, a new vision system processing algorithm has been developed. The inclusion of 2D texture in the analysis has provided a significant improvement in the definition of the finer size fractions, which has resulted in the automated analysis no longer requiring calibration.The previous stereo vision system algorithm required analysis calibration to account for poor ‘small particle’ definition in the 3D surface profile. This was because of the depth perception limitations of the stereo camera system at greater than 8 m. The new algorithm has been implemented on a number of shovel-installed vision systems, and the algorithm’s performance in automated analysis has been assessed against a diligent manual analysis of the same fragmentation images. The new algorithm provides improved distribution resolution and accuracy.CITATION:Noy, M J, 2015. Evaluation of a new vision system algorithm for automated fragmentation measurement from a shovel, in Proceedings 11th International Symposium on Rock Fragmentation by Blasting, pp 721–726 (The Australasian Institute of Mining and Metallurgy: Melbourne).

Aug 24, 2015

By Heinrich CA, Wall VJ, Walshe JL

The Porgera Gold Mine, located in the highlands of Papua New Guinea, has produced over 5 million ounces of Au, since its opening in late 1990. The deposit is located within Upper Cretaceous Papuan Platform sediments approximately 25 km south of the Lagaip Fault, and is spatially and temporally associated with the 6 Ma alkaline Porgera Intrusive Complex.

Jan 1, 1995

The geochemistry of waste rock from mining operations is critical to the development of acidity-related environmental problems during mining operations, and following mine closure. Failure to recognise the potential for waste rock to produce acidic oxidation products may cause mobilisation of heavy metals into ground and surface waters, and create heavy metal levels in soils which are toxic to plants, causing the failure of revegetation programs. Although more usually associated with wet tropical environments, the potential exists for these problems to occur even in and regions such as the Eastern Goldfields region of Western Australia unless appropriate pre-planning is undertaken.Acidity-related mine waste problems can be extremely expensive to rectify, but can be avoided by waste rock characterisation, and pre-planning of waste rock deposition based on this information. Integration of knowledge of waste rock geochemistry with geotechnical engineering, and application to likely problems, is essential for the successful planning and implementation of cost-effective strategies to avoid problems occurring. Pre-planning to avoid problems is likely to be significantly less expensive in most cases than remedial actions to rectify problems after they have occurred, and in fact may involve no additional cost if it requires only rescheduling or redesign of existing or planned Activities.

Jan 1, 1993

By Williams DJ, Battino S

The rapid crushing technique for the measurement of gas content of coal consists of accelerating the rate of gas desorption from coal by crushing. This technique allows the determination of gas content in the space of hours rather than days or weeks as required for the traditional slow desorption technique. The crushing technique is used particularly when gas content determinations are urgently required for mine safety purposes. The method is now routinely used in underground coal mines of NSW and to a lesser extent in QLD. Despite the rapidity and efficiency of this method, concerns have been raised upon the reliability of the method to deliver accurate results. Experience in Australia has shown that there is in fact some discrepancy in results between gas laboratories using the rapid crush technique. The development of rapid crushing techniques for seam gas content measurements in Australia and the main causes of variability in the gas content test results were investigated. The gas laboratories participating in the gas content testing were CSIRO Division of Coal and Energy, BHP Technical Services and GeoGas Pty. Ltd.

Jan 1, 1998

By J A. Shonhardt, I Porter

All types of coal are liable to spontaneous combustion to a variable degree according to the inherent characteristics of the coal and also extrinsic factors. In order to successfully extract coal from highly capital-intensive longwall mining operations it is necessary to evaluate and manage any risks that may be present due to spontaneous combustion. A spontaneous combustion risk management plan for longwall mining is described in this paper. This risk management system comprises identification of conditions promoting spontaneous combustion risk, a laboratory or empirical risk classification system, determination of gas ladder, adoption of adequate ventilation plans and gas monitoring systems that will lead to the development of the spontaneous combustion action plan. The risk management system was applied to a greenfield site in NSW in 1992 when prediction of a high-risk category for the coal seam was made. After commencement of production a spontaneous heating problem emerged as predicted. Description of the case history of spontaneous combustion risk management for a longwall operation in this coal seam is included in this paper.

Jan 1, 2003

A continuing demand for exploration geologists, at a level well below that during the mineral "boom" of 1967-1971, will be highly selective. The exploration geologist must be more than the traditional geologist whose primary function has been detailed description of rocks and their recording on a geological map. He must be capable of 1. reconnaissance recognition of favour= able environments for ore mineral concentrations, 2. application and interpretation of techniques of search and evaluation, and 3. evaluation of economic, technological and political interactions that combine to make an ore deposit. Universities have an obligation to their students to provide them with a saleable skill, to educate them so that they can cope profess- ionally and socially, and to provide a mechan- ism by which education can be a continuing process. Humanistic and social studies, develop ment of communication skills, understanding of economic and management principles, ability to assess rock properties that influence extract- ion and beneficiation, and a knowledge of technological developments and limitations are necessary parts of the exploration geologist's

Jan 1, 1974

By Roberts JD

The design and installation of a major on-line stores and purchasing system, with built-in maintenance reporting and plant register capabilities, needs more than just close attention to computer design details. When the system must be available almost 24 hours a day to a number of mine stores sites, and is used by a variety of mining staff including engineers and stores clerks, as well as by remote purchasing and office staff, then simplicity of use, availability, fast response times, and other human factors become vital. Critical aspects include easy to use screen design, involving a change from the traditional hierarchical menu system, and fallback and recovery to the last transaction. Business, people and systems objectives need to be established at the preliminary design stage, so that results can be measured and corrective action taken. The amount and type of user involvement and training, at all stages from initial design to systems tuning, has a major effect on people wanting to use the system. Active user participation in systems design, data definition and collection, and use of relevant training material is needed. Project management and design problems can arise in working with database oriented computer staff, and certain design features are found useful in ensuring a responsive, robust overall system.

Jan 1, 1983

By A D. Ferreira, A E. C, A D. Padovezi

The increasing market requirements regarding the quality of products, the enhanced predictability from detailed mine planning, the need for process consolidation and upgrading require continuous investigation on the characteristics of different ore types to be concentrated. This paper addresses the mineralogical and technological characterisation of several itabirite iron ore types and the influence of the composition and mineralogical associations on desliming and flotation. Pellet feed quality and the influence on the major performance indicators, such as weight recovery of slimes, selectivity index, metallurgical recovery, flotation kinetics of iron minerals and gangue is also emphasised. The investigation resulted in a classification of iron ores according to their mineralogical composition, morphology of the crystals, and/or texture and microstructure of mineral particles with respect to desliming and flotation performances.

Jan 1, 2005

By Ritchie I

Copper minerals are often associated with gold ores. These create processing problems since cyanide solutions are not selective for gold alone. Copper minerals are also leached by cyanide, and typically each one per cent of `reactive' copper in the ore consumes about 30 kg t 1 cyanide. Once in solution, copper cyanide species create further processing problems as they adsorb onto carbon along with the dicyanoaurate ion. These problems make conventional cyanidation of gold ore uneconomic if the ore contains too much copper. As a result, methods of economically processing gold-copper ores are becoming of increasing importance.One of the more promising methods of treating these ores is by selective leaching of the gold by an ammoniacal cyanide solution, a method first described by Hunt in 1901. This method is already in commercial use in Mauritania, treating copper/gold tailings. In general terms, the addition of I - 2 g U1 ammonia to a standard cyanide leach solution causes a significant increase in gold extraction and decrease in copper extraction. However, early testwork on this system has concluded that the optimal leach conditions are critically dependent on ore composition, and the mechanism is not well understood, making predictions of best conditions impossible.

Jan 1, 1997

Until 1937, the mining of ore was carried out by conventional methods, using pneumatic drills and standard drill steel. The adoption of the diamond drill, formerly used for exploration work, for blast hole drilling in stopes, was first developed by Noranda Mines Limited, Noranda, Quebec, although it had been used previously in Northern Ontario and Western United States, to remove weak pillars and ore remnants left by conventional methods. Previous to the adoption of the diamond drill method at Noranda, a sub-level benching system of stoping was used. Sub-levels were driven at 35 ft. intervals and the benches drilled off by pneumatic drills using sectional steel. Results were very satisfactory, in sulphide ore, where the drilling was comparatively easy, but in the harder rhyolitestopes the footage drilled per machine-shift was only half of that obtained in the sulphide stopes, and owing to the high gauge loss, there was often difficulty in drilling holes to the required depth. This led to trials with the diamond drill for this type of work. While the cost per foot was more than with sectional steel, an appreciable saving in development work could be made by increasing the sublevel interval from 35 ft. to 60 ft., and stope widths from 60 to 100 ft. This saving, together with the increase in blasting efficiency, resulted in a substantial reduction in overall costs.CONDITIONS FOR SUCCESSFUL APPLICATIONWhile long diamond drill blast-hole mining has widespread application, there are certain conditions which appear to be desirable, if not absolutely necessary, for its successful use.

Jan 1, 1946

By T Burns, P Savory

In 2013, Rio Tinto Iron Ore (RTIO) produced 251 Mt from 15 mines in Western Australia. Throughout the mines, Ore Reserve models are used for long-term and medium-term mine planning. Grade control data aids the accuracy of short-term planning. Reconciliation of models with grade control data is important for maintaining confidence in predictions from the models, understanding the limitations of the models, and identifying issues that may require further work.There are a large number of sites and models, with more than 200 professionals involved in different parts of the reconciliation process. Regular meetings of all involved and enabling effective communication are important in the reconciliation process.Reconciliation data is gathered and processed through a web-based system; Grade Block Reconciliation System. This system cuts each grade block against the required model, stores the results, and allows users to view and analyse the data. Development of this system has occurred over a number of years and all Rio Tinto Iron Ore mine geologists and resource geologists now use it as standard to report reconciliation results. The results can be viewed in many ways including by different time periods or benches. Graphing the results assists identification of trends. Centralising and standardising reconciliation has allowed easier comparison between sites. Flexibility in the system allows users to customise reports to manage issues unique to their particular site.In parallel with system development, substantial effort has been put into ensuring mining professionals get together to discuss and understand reconciliation issues. To facilitate this there are now regular sessions, including site visits. Issues are assessed on a case-by-case basis and decisions on how best to address the issues are made by the relevant stakeholders. Reconciliation reports and action plans are revised each quarter.CITATION:Burns, T and Savory, P, 2014. Reconciliation of orebody model predictions – system and people, in Proceedings Ninth International Mining Geology Conference 2014 , pp 367–376 (The Australasian Institute of Mining and Metallurgy: Melbourne).

Aug 18, 2014