Search Documents

By G N. Musafer, M H. Thompson, R C. Wolff, E Kozan

The most important aspect of modelling a geological variable, such as metal grade, is the spatial correlation. Spatial correlation describes the relationship between realisations of a geological variable sampled at different locations. Any method for spatially modelling such a variable should be capable of accurately estimating the true spatial correlation. Conventional kriged models are the most commonly used in mining for estimating grade or other variables at unsampled locations, and these models use the variogram or covariance function to model the spatial correlations in the process of estimation. However, this usage assumes the relationships of the observations of the variable of interest at nearby locations are only influenced by the vector distance between the locations. This means that these models assume linear spatial correlation of grade. In reality, the relationship with an observation of grade at a nearby location may be influenced by both distance between the locations and the value of the observations (ie non-linear spatial correlation, such as may exist for variables of interest in geometallurgy). Hence this may lead to inaccurate estimation of the ore reserve if a kriged model is used for estimating grade of unsampled locations when non-linear spatial correlation is present. Copula-based methods, which are widely used in financial and actuarial modelling to quantify the non-linear dependence structures, may offer a solution. This method was introduced by Bßrdossy and Li (2008) to geostatistical modelling to quantify the non-linear spatial dependence structure in a groundwater quality measurement network. Their copula-based spatial modelling is applied in this research paper to estimate the grade of 3D blocks. Furthermore, real-world mining data is used to validate this model. These copula-based grade estimates are compared with the results of conventional ordinary and lognormal kriging to present the reliability of this method.CITATION:Musafer, G N, Thompson, M H, Kozan, E and Wolff, R C, 2013. Copula-based spatial modelling of geometallurgical variables, in Proceedings The Second AusIMM International Geometallurgy Conference (GeoMet) 2013 , pp 239-246 (The Australasian Institute of Mining and Metallurgy: Melbourne).

Sep 29, 2013

By S Lloyd, J Chow, S Fitzpatrick, D Greenup

The Tropicana deposit was discovered in 2005 after AngloGold Ashanti followed up an unexplained gold-in-soil anomaly. Discovered in a remote, barely-explored area of Western Australia not previously thought prospective for gold, Tropicana is the most significant gold find in Australia for more than a decade. The new, large scale open pit gold mining operation will produce an annual production of around 330 000 to 400 000 oz over a ten year mine life mining around 60 Mt/a.Process plant construction started in early 2012 and is due to finish in the December 2013 quarter. The mining contract was awarded to Macmahon Holdings (Macmahon) and mining commenced in July 2012 using conventional drill and blast, truck and excavator open cut methods.As a construction and start-up project in a greenfields location, the establishment of mining activities at Tropicana Gold Mine (TGM) involves the implementation of technical and operational systems, including the mining contract. Some of these systems and likely challenges were identified during earlier studies, while others were not foreseen until they were encountered. Alternatively, the time frames around implementation change depending on the changing knowledge of the project and industry environment. These systems include those common to the industry and those specific to the operation and location.This paper examines the implementation and development of a number of the systems specific to the establishment of mining operations, including the history, process and some outcomes. Although expected to be discrete systems to implement, they become interdependent. This linkage between systems further offers challenges and opportunities for the continuous progress of each system and for TGM as a whole.CITATION:Chow, J, Fitzpatrick, S, Greenup, D and Lloyd, S, 2013. Tropicana Gold Mine - mitigating the challenges of a mining start-up, in Proceedings World Gold 2013 , pp 51-60 (The Australasian Institute of Mining and Metallurgy: Melbourne).

Sep 26, 2013

Mining is still a significant economic activity within the Hauraki District. The Martha project is particularly significant. Estimates are that in the order of 850 direct and indirect jobs are derived as a consequence of the Martha project within the Waikato Region. The Resource Management Act 1991 (RMA) is New Zealand's primary piece of environmental legislation. It sets out to provide the framework for the control of the use, development and protection of almost all physical and natural resources. Minerals are excluded from the sustainability requirements of the legislation but as mining invariably involves the use of land, all the other elements of RMA apply. The Council's role in dealing with mining changed with the introduction of RMA. It became responsible for administration of those matters that fell within the functions set out in section 31 of the RMA in respect to existing authorisations. Mineral development needed to be considered in the development of the District Plan that the Council is required to prepare. Implementation of the Act has been a challenge for not only local government but for many industries and resource users since it came into force in 1991. There have been, and are, differing views on both the way it is administered and its intent. The Hauraki District Council has been at the forefront of some of the challenges that are a consequence of the Act. Its reactions to these challenges have been consistent. It treats mining in the same why it treats any other industry. At times this approach has not been understood and without challenge from sections of the community.

Jan 1, 2000

Exploration for uranium in Australia has so far discovered reserves equal to 17.5% of the Western World's. The Australian uranium industry, when fully developed, will be one of the largest producers and possibly the largest exporter in the world. The world's nuclear industry is young, rapidly developing in size and technology and is subject to more social, political and regulatory controls than any other industry. This paper considers the probable development of Australia's uranium industry against a background of normal commercial parameters together with other factors which are peculiar to the nuclear industry. As the theme of this conference is "Australia's role in the World Mineral Indus- try" this paper concentrates on the commercial and practical aspects associated with the development of Australia's uranium resources in a world context.

Jan 1, 1979

This paper puts the view that, for one gold deposit in Victoria at least, the Australasian Code for the Reporting of Identified Mineral Resources is severely deficient. The author questions whether or not the Code constrains the proper dissemination of information relevant to resource valuation. The author offers a view about the estimation of inferred resources, and provides data believed pertinent to the proper valuation of Ballarat Goldfields Ltd Ballarat East Project.

Jan 1, 1990

There are still vast areas of Australia in which either the hydrocarbon potential has already been indicated but from which no hydrocarbons have been produced or else are completely untested. Despite the lack of recent new oil discoveries, it is anticipated that initial gas discoveries in these areas will be followed by oil discoveries as has happened historically. General exploration activities are continually providing new information that is being input to update previous hydrocarbon assessments for Australia, and all indications are that future exploration efforts will discover a lot of gas, some small oil pools and there is a chance to prove a major new oil province. Because of this, it is anticipated that reserves growth will continue at the average historical rate of about 200 MMB/year until the year 2000. The most frequent scenario will be costly exploration resulting in small oil discoveries and high development costs. This, in the past, has resulted in low profitability for Australian oil exploration, but windfalls for the Australian government.

Jan 1, 1981

By Dodd SF

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

Jan 1, 1994

By Crawford M

During the initial development of Mount Isa Mines power was supplied from a temporary power plant situated near the Man & Supply Shaft. The main power plant was placed in service early in 1931 and then comprised two Babcock and Willcox boilers, fired by pulverised fuel, and two British General Electric Company's turbo-alternators of 5,000 kW. each. Both plants have been described by A. F. McAskill in the Journal of the Institution of Engineers, Australia.From 1931 power demand progressively increased due to greater production, further mine development in the harder sulphides increased pumping for mine drainage and additions to mill and smelter until, by 1935, the plant was inadequate for further output commensurate with a reasonable safety margin.Coincident with the added power demand, operating conditions involved a fuel problem which could not have been anticipated. The ash content of the fuel supplied gradually increased from 13% to 16-5%, while the melting point of the ash decreased with higher pyrite content.Temperature conditions in the furnace required careful control to cope with ash formation and slag accretions.Consequently brickwork, excessively stressed on water walls, was constantly under repair, and required suspension periods of 50% of operating time for cleaning and overhaul.Load conditions varied continually, therefore the high heat liberations in the furnace, necessary to accommodate peaks in fluctuating output, resulted in ash fusion.

Jan 1, 1939

No paper was submitted for the proceedings, verbal presentation only (no material available).

Jan 1, 1998

At Pasminco Mining's South concentrator. which was commissioned in 1952. an expansion. modernisation and efficiency improvement program commenced in 1986 with a coarse ore stockpile and grinding circuit expansion. the replacement of small flotation cells and the upgrading of reagent mixing and metering equipment. The program continued with the installation of a TDC 3000 based process control system (1988) and concentrate thickeners (1990). By mid-1991 a further grinding expansion and the installation of zinc flotation feed regrind ball mills and zinc recleaner column cells will be complete. leaving the use of ceramic disc fillers and development of process control strategies as probably the remaining major avenues for improved process efficiency at present.

Jan 1, 1991

The Gj0vik Olympic Mountain Hall is the world's largest underground cavern for public use and was created primarily to facilitate the ice hockey tournaments for the 1994 winter Olympics in Norway. The cavern has a span of 61 m, is 91 m long and is 25 m high. Ordinarily, rock caverns have a span width of 15 to 25 m, however, temporary mining caverns of up to 60 m have been excavated and natural caves with even greater dimensions occur. The Gj0vik Olympic Mountain Hall is unique as it is for public use with a capacity for 5800 spectators. Blasting was conducted with a high production rate at normal costs due to detailed planning and strict supervision of each round. The initiation system and vibration monitors were the main tools to control vibration levels and to facilitate a high production rate. It was of utmost importance that the rock remaining in the roofs and walls was of high quality after blasting to avoid rock fall, rock slides and excessive maintenance work.

Jan 1, 1995

A number of gases, such as carbon dioxide, methane, water vapour, nitrous oxide, ozone and chlorofluorocarbons are transparent to incoming short-wave radiation, but are relatively opaque to outgoing longwave radiation. Variations in the concentration of these gases in the troposphere can alter the thermal balance of the earth's atmosphere. Outgoing terrestrial radiation which would otherwise escape to space, is trapped within the inner layer of the atmosphere, resulting in a greenhouse effect. It is estimated that at present greenhouse gases other than carbon dioxide, contribute about 50% to the greenhouse effect. However, in the future, the contribution made to the greenhouse effect by gases other than C02 will become increasingly more significant. Greenhouse gases arise from a wide range of sources and their escalating increease is largely related to an increase in the world's population, an increase in the standard of living of many areas and changes in lifestyle. The effect of increasing man-made greenhouse gases in the troposphere is unknown but it is proposed that it may increase temperature and may modify climate, agricultural response and land use. The sources of greenhouse gases are identified and found to comprise a wide range of activities. The contribution that coals use makes to the greenhouse effect is examined in detail. It is concluded that coals total contribution is small being about 10% of man made greenhouse gases. Envisaged expansion of coal's use will only cause a small increase in greenhouse gas emissions. Whilst developing technology for coal's use for power generation has the potential to reduce greenhouse gas emissions from new plants by approximately 25%.

Jan 1, 1989

DCF Valuations are very important to individuals and companies involved in the mining industry. Such valuations are critical to investment decisions in relation to new and existing projects. In particular they provide fundamental information to shareholders in the event of a capital raising or takeover and to financiers supporting mining companies and projects. Also, DCF Valuations are often used to support asset carrying values in the financial statements of mining companies. This paper presents a Chartered Accountant's (CA's) perspective on the main issues to be considered in preparing, analysing and relying upon DCF methods in mineral valuations and provides some practical examples relating to key issues. The paper makes the important point that DCF methods involve making assumptions about future events and circumstances that inherently contain uncertainty which results in a valuation prepared on a DCF basis providing a range of values that are not perfect or accurate. In order that DCF valuations provide meaningful information the underlying methodology used and assumptions made must be consistent, sound and well supported. Credibility of those involved in preparing mineral valuations is vital and this paper supports the adoption of sound practices by all concerned.

Jan 1, 1994

In the last 40 years, New Zealand has developed a number of liquid- dominated geothermal steam fields, for electricity generation and indus- trial process steam. New technologies were developed, and in this work, New Zealand led the world. The policy of full publication of the results, in a wide range of sciences, provided a reservoir of detailed data defin- ing the geology, size and shape, and the chemical and physical regime, of many geothermal fields and their constituent parts. The discovery of precious and base metal deposits /precipitates in geothermal drill cores and steamfield equipment, suggested a clear link- age with epithermal mineral fields in general, and with that of the Coromandel (Hauraki) Region in particular. Further work on geothermal/ epithermal relationships have implied that the techniques, developed to obtain an understanding of geothermal fields, could be applied also to epithermal mineral exploration. This work is developing fast, and is now proceeding in many coun- tries. Future work may show that the presumed relationship between geothermal and epithermal deposits may be applicable in the wider con- texts of all hydrothermal deposits, and possibly in many other minera- lised areas with volcanic "country rocks".

Jan 1, 1988

By Grano S. R, Ralston J

It is the perennial problem most metallurgists face when examining data collected from laboratory float tests and plant surveys - there are more numbers than we know what to do with! The objective of this paper is to analyse and interpret a set

Jan 1, 1994

During the period 1981 - 1991, Esso Australia and their Joint Venture partners have discovered about 180 MB of liquids (crude and condensate), 60 MB natural gas liquids and 800 - 1000 GCF of gas. A total of 48 wildcat wells were drilled including 12 new pool discoveries drilled from platform facilities. Significant discoveries include the West Tuna, Kipper, Blackback and Terakihi fields. These four discoveries, contribute to 75 per cent of the total reserves discovered in the last decade and were all high-risk plays. The Kipper discovery, in the pre-Latrobe Golden Beach Group top sealed by volcanics, and the Blackback-Terakihi discoveries, located on the present day continental slope in water depths ranging from 300-700 metres are both the result of successful drilling outside the traditional exploration bounds for the basin. During the last decade, Esso and its partners have spent about A$400M on wildcat exploration activity. The exploration success rate, excluding platform based drilling, has been 50 per cent for wildcat wells. On a technical front, the last decade has heralded substantial improvements in seismic data quality. Peak frequency content in seismic data at the Latrobe Group target levels is now double that of the early 1980s. Significant advances have also been made in our understanding of sequence stratigraphy, geochemistry and geohistory of the basin.

Jan 1, 1992

In 1987 the control strategies at the then ZC Mines' New Broken Hill Consolidated concentrator were a miscellaneous mixture of computer hardware and technology for ISA, grinding and residue thickener control. Field instrumentation was based on current-to-air technology of approximately the 1960s. Decisions were made to rationalise computer and field instrumentation technologies; the object being to consolidate control loops into one system to enable expansion of the system to include all facets of plant operation. The first stage was to install a DEC Micro PDP 11/23 computer and serial line communication as recommended by AMDEL Ltd, for the ISA system, as discussed by Walsh and Freeman (1988). The second stage was to select and install a distributed control system for the centralisation of the control loops into one system, and to replace field instrumentation with state-of-the-art technology. This paper deals with the second stage of the rationalisation, in an attempt to give an insight into what is required when personnel are faced with such a decision, details of costs involved in keeping a system functioning and utilised; and the requirement to train personnel for acceptance of further control strategies.

Jan 1, 1991

Current attitudes by exploration companies towards working on another party's exploration permit or equivalent vary widely. That this is so is due to the virtual absence, on the one hand, of anything in the mining legislation in any jurisdiction that establishes what are the exclusive rights to explore, as opposed to apply for a mining tenement, that the grant of such an authority conveys on the holder, and on the other hand, of any code of ethics or set of guidelines to proper practise. By contrast, in most states and territories, if not all, it is an offence to enter onto a mining tenement, other than to cross it, without the consent of the holder, although until recently most field personnel would have been unaware of this and most explorers would have transgressed at one time or another. A similar vacuum exists where aerial surveys are concerned. There are in fact no guidelines. It has always been assumed that a party wishing to carry out such a survey was free to do so, without even an obligation to notify the holders of any tenements or permits in the area to be surveyed, let alone make available to them any data from the survey. Concepts of 'geophysical trespass' now being tested in the US also raise the possibility that data won from adjoining ground using geophysical techniques may be privileged. Attitudes now appear to be changing. In the absence of legislation or any code of practise, what does the industry regard as ethical behaviour? Do we need to define the rights and obligations of various parties more clearly, and if so, what should they be and to what extent will it be necessary to confirm them by legislation as opposed to adopting a code of practise? Will the existence of such a code in fact improve corporate practise?

Jan 1, 1995

By Rokot M

In a little over three years, Chevron Niugini has built up a team of relatively young, hard working men and women, mostly Papua New Guineans, who spend most of their working days out among people in the Southern Highlands and Gulf Provinces who are directly affected by the Kutubu Petroleum Development Project. These are Land and Community Relations officers, or LACROs. They take on a huge responsibility, not only representing Chevron but also being friend, advisor and negotiator, frequently dispensers of medicines, and agricultural advice and more. When things go well, others get the praise, when things go wrong, LACROs are the martyrs. Just as the geologists who locate the oil, the drillers who find it, the engineers who design the facilities, the construction gangs who build them, the landowners who claim it, and the Government who monitor it, so are the LACROs part of a team.

Jan 1, 1991

By Baker G

Chromite was recorded among the rare minerals in the natural beach sand concentrates on the coast of Northern New South Wales by Whitworth(l) in 1931, and the commercial production of zircon and rutile from these beach sands has yielded concentrates of ilmenite with small amounts of chromium. The chromite is a detrimental impurity in the utilisation of the ilmenite, and the difficulties that attend the separation of the small amount of chromite from the ilmunite have raised suggestions from time to time that chromite occurs with ilmenite in composite grains. The absence of such composite grains and the nature of the chromite grains has been indicated by the following mineragraphic examination of magnetic concentrates containing chromite which were prepared by the C.S.I.R. Ore Dressing Laboratory, Melbourne University, from ilmenite concentrates from beach sands at Norrie's Head, County Rous, New South Wales and Stradbroke Island, Queensland.The magnetic concentrates from each locality are divided into five fractions, and the No. 1 concentrate is the most highly magnetic and the tailing the least magnetic. Chromium assays as determined by the Ore Dressing Laboratory are as follows:-

Jan 1, 1948