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Fundamentally, the development of a minerals processing project is a very risky enterprise. Most mining companies do not have sufficient financial resources to undertake significant projects and hence have to undertake external financing. Indeed, most resource companies understand the high risks associated in developing their projects and therefore, wish others to share in the risks. Most merchant banks, on the other hand, are searching to find suitable resource development projects in which they can share their risk and also share a large proportion of the ærewardÆ. To resolve this issue a Feasibility Study is completed by the project developer and assessed by the merchant bank often with the assistance of an æIndependent EngineerÆ (IE) who assesses the validity of the development proposal. Generally speaking, unless the Feasibility Study has been prepared improperly, the technical aspects of most mineral projects are reasonable. Some of the more recent so-called æhigh techÆ projects are exceptions but these still do not present major technical mistakes or misconceptions. p> In most cases, the major criticism the IE presents after discussing the validity of the ore reserves focuses on production plans, capital costs and operating costs. Of these three parameters the production plan is one in which owners tend to be far too optimistic and financiers, until recent years, have not taken a position. The most critical part of the development plan is the ability of the project, as designed, to attain the required design performance and, even more critically, the ability of the owner to reach and sustain this level of production. In short, how long should the æramp-upÆ be planned to take? Financiers have become more circumspect and are now taking a more conservative view of new project performance by factoring into their project financial analysis longer periods of ramp-up, higher capital costs and higher operating costs. However, these financiers can also be part of the æproblemÆ if they become overly conservative. This paper attempts, by way of case studies available from the public arena, to identify the pitfalls the project owners can meet and possible means of avoiding the disastrous financial conundrum whereby the second or third æownerÆ is the company that reaps the rewards initially extrapolated. The paper briefly discusses this problem by referring to projects known to the author and including previous studies that looked at this very problem. It is emphasised that many of the opinions stated within the paper are strictly those of the author and could be subject of much debate.

Jan 1, 2003

By P Wigley

New methods of analysing and modelling flotation circuits have been developed as part of the AMIRA P9 mineral processing research project. A study using these techniques was conducted on the Olympic Dam copper flotation circuit to provide the following outcomes: an estimate of the flotation cell hydrodynamic properties and froth performance characteristics, and identification of potential areas for improvement; an estimate of the feed floatability parameters for basic model development; and identification of potential flotation circuit improvement opportunities. A flotation circuit model of the Olympic Dam copper concentrator was developed using the data collected from mass balanced site surveys, along with hydrodynamic data, froth performance data and numerous laboratory batch flotation tests. The simulator that has been developed from the model has the ability to estimate the influence of selected changes (such as circuit changes) on flotation circuit performance. Several stream destination simulations were conducted to provide guidance for further testwork and possible circuit improvements. The results from these simulations are presented.

Jan 1, 2003

By Alan Bax, John D. Lewins

"Platinum Australia Limited (“PLA”) is currently undertaking a Feasibility Study into the development of the Panton Platinum Palladium Project located in the Kimberley region of Western Australia. The Panton Intrusive is a layered, differentiated mafic to ultramafic structurally complex body that has undergone numerous folding and faulting events. This has resulted in a southwesterly plunging synclinal structure some 10 kilometres in length and 3 kilometres wide.High grade PGM mineralisation is hosted within a number of stratiform chromitite reefs within the ultramafic sequence. The focus of the Feasibility Study is on the Top Reef which is situated approximately 150 metres below the mafic/ultramafic interface. The average true width of this reef is approximately 1.2 metres and the reef has a defined resource is 10.1 million tonnes at an average grade of 6.1 g/t PGM + Au.The Palladium to Platinum ratio of the Top Reef is approximately 1.15:1 and the reef also contains an average of 0.4 g/t Au and 0.3 g/t other PGM’s. The Panton ore is considered refractory in nature and standard flotation techniques achieve a PGM + Au recovery of less than 65% with a concentrate grade of less than 100 g/t PGM + Au. As part of the Feasibility Study Platinum Australia in conjunction with their major shareholder Lonmin Plc developed a new metallurgical process which has achieved an overall PGM + Au recovery of approximately 80% into a high grade PGM concentrate which is suitable for feeding direct to a PGM refinery.THE PANTON PROCESSThe Panton Process incorporates a two-stage Milling and Flotation circuit with no cleaning stages to produce a low grade, high recovery flotation concentrate. Typically the concentrate mass constitutes 25% of the feed and has a PGM + Au grade of 25 g/t.This low-grade concentrate is subjected to calcination in a rotary kiln or fluid bed at a temperature of approximately 400 0C for a period of 60 minutes. This step is designed to render the platinum minerals soluble in cyanide and both the temperature and the duration of calcination are critical to the efficiency of the leaching process."

Jan 1, 2003

By J Brisebois

The derelict Lake George Mine is located at Captains Flat in NSW, acommunity of approximately 450, which lies some 43 km southeast ofQueanbeyan. It straddles the Molonglo River, which flows toQueanbeyan and thence the nationÆs capital, Canberra. Catastrophictailings dam failures in 1939 and again in 1943 resulted in the transportand dispersion of thousands of tonnes of sulfidic wastes downstream,with terminal settling in Lake Burley Griffin, in Canberra. The mine wasclosed in 1962, and major rehabilitation in 1996 - 1997 addressed the riskof further collapses, and reduced water flow into the underground mine.Nevertheless, acid mine drainage from the mine, and seepages ofcontaminated water from the capped tailings dumps continue to pollutethe Molonglo River for some 30 km downstream.Environmentally, the highest contributor to the total contaminant loadof the river is the Main Adit Spring. This was shown to be a constantgroundwater-driven acidic flow, with contaminant generation resultingalmost entirely from the ingress of gaseous oxygen into the undergroundworkings. Long term remediation may be possible at source, by pumpingreducing gases into the sealed mine, but the probability of thistechnology succeeding to the required degree is yet to be demonstrated. For at least the medium term, treatment of contaminated water flow(s)will be required to achieve any of the water quality targets that may beapplicable to the river. Three methodologies were short listed, but anumber of strategic uncertainties remain, which the NSW Derelict MinesProgram will address. Future risk arising from long-term contaminantrelease by the treatment wastes must be considered. Appropriate data,and realistic long-term performance parameters regarding the relativestabilities of water treatment sludges are scarce, and make properevaluation of competing technologies problematic.

Jan 1, 2003

The Awareness and Preparedness for Emergencies at the Local Level (APELL) program is a process that helps people prevent, prepare for and respond appropriately to accidents and emergencies. APELL was developed by the United Nations Environment Program, in cooperation with industry groups, governments and local communities. Since its beginnings in1988, the program has been implemented in more than30 countries. APELL is a tool for bringing people together to allow effective communication about risks and emergency response. The program provides a common-sense approach to accident prevention and response.

Jan 1, 2003

Blasting is a common practice in mining whereby solid rock is fractured, using explosives, to a more manageable size. The effectiveness of blasting influences a number of downstream activities such as shovel digability, crusher throughput and mill throughput. As the cost of explosives is relatively low compared to milling costs (mainly due to power consumption), blasting practices can be optimised so that the downstream processes are made more efficient, and an overall cost saving made. This is the basis of the Mine to Mill approach. The effectiveness of the blasting is influenced by two main factors, the blasting practices used (eg explosive amount and type) and the geology of the area. As the geology cannot be altered, the blasting practices must be refined to create optimum blasting. Kalgoorlie Consolidated Gold Mines (KCGM) Fimiston operation, located in the heart of the Kalgoorlie Goldfields is the largest gold mine in Australia. Mine to Mill at KCGM has had varied success, with initial positive indications being lessened by a number of factors, including the increase in the amount of voids.

Jan 1, 2003

A comprehensive understanding of the rocks associated with coal seams, and also of the coal itself, is essential in assessing the likely behaviour of the materials before, during and after the mining process. The nature of the rock materials involved in coal mining can give rise to risks from adverse geomechanical properties, create problems in coal quality control and produce difficulties with environmental impacts, all of which may affect the profitability, impact and safety of the operation. Examples of issues associated with rock composition include slaking and degradation leading to roof, floor, pit wall or spoil pile instability, ignition of methane in mine atmospheres by frictional processes, liberation of quartz-rich dusts into ventilation systems, production of coal with unfavourable preparation or marketing characteristics, and escape of suspended solids or potentially toxic leachates from spoil piles and other types of emplacements. Methods for evaluating rock composition include microscopic examination, chemical analysis and X-ray diffraction, with the latter being especially useful for fine-grained rocks or for clay-bearing materials. Other techniques, such as geomechanical testing and down-hole geophysical logging, are also useful, but give less direct information about the actual composition of the materials involved. Indeed, understanding of rock composition, through microscope or quantitative X-ray diffraction studies, provides a basis for checking information from other sources, explaining different aspects of rock behaviour, and an essential link in relating geophysical or geotechnical data to broader-based geological models as part of the risk assessment process.

Jan 1, 2003

By Victor M. Mercado, Jay B. Shah

Spalding DeDecker Associates, Inc. (SDA) designed a tunnel project that fulfilled the Sustainability Objectives of Social Equity, Environment, and Economics. The project translated the principles of Sustainable Development into actions that lessened the impacts of construction on environment, lives of residents, businesses, traffic, and other social systems (i.e., shopping, recreational, and educational). The project involved the construction of a 16,108 feet of 84 inch diameter sanitary sewer interceptor by tunneling 40 feet beneath the ground surface through difficult geological and hydrogeological settings. An effective public information and stakeholders relationship program was developed to achieve the stated objectives of sustainability.

Jan 1, 2003

By Takahiko Okura

Most non-ferrous raw materials are associated with sulphur. To extract the metals, the sulphur is recovered typically as Sulphuric acid or liquid S02. On the other hand, natural gas may contain over 20% of hydrogen sulphide (H2S) and a huge quantity of elemental sulphur is produced through oil and gas refining processes in the world. A large fraction of the sulphur mined from natural sources is eventually returned to the earth as fertilizers, by-products of desulphurisation and neutralisation processes, or as fugitives to the atmosphere. However, the supply and demand for sulphur are in imbalance. Such situation urges to develop a new smelting process without sulphuric acid production. This paper briefly reviews the global sulphur balance and the technologies for recovering elemental sulphur. The core of this paper is a proposal to convert S02 gas to elemental sulphur by using organic materials. Some results of thermodynamic calculations and experiments are presented.

Jan 1, 2003

All large open pits in Australia have been mined, or are planned to be mined well below the local water table. This raises several issues that impact on mine safety, mining costs and regulatory approvals. Some pits will be æwetÆ, where they are mined through permeable horizons and where there will be measurable groundwater inflows. These will require some form of dewatering. There may also be some difficulties in the disposal of excess water. Other pits, may be ædryÆ, where they are mined through impermeable material and there are no measurable groundwater inflows but where there are stability issues related to hydrostatic pressures within the pit walls. These may require some form of depressurisation. Some pits are a combination of both. Effective management of groundwater inflows and groundwater related stability issues and the development of cost effective and environmentally acceptable dewatering and depressurisation systems requires an understanding of site specific hydrogeological conditions and practical experience in what works best for different conditions. The presentation will include an outline of the key hydrogeological factors that impact on large pits, practical methodologies for achieving dewatering/ depressurisation, and some case studies from the Goldfields, Pilbara and North Queensland.

Jan 1, 2003

By Del Brock, Dan Wooton

The design/build of two adjacent vertical mine shafts in difficult ground conditions at a mining complex in the midwestern United States required innovative construction techniques. Construction of the 267-m-deep Service Shaft required full depth dewatering wells and ground freezing. Blind drilling was utilized to excavate the 257-m-deep Production Shaft and it was finished with a steel/concrete composite liner that was floated into place. An equally unique component of the installation included supplying a high capacity vertical conveyor system, featuring a 273-m-lift. Other components of the project include the mine level development, as well as the design and installation of three hoisting systems, including a 45-ton capacity men/materials hoisting system.

Jan 1, 2003

By Satoshi Itoh

Phase equilibria and activities of the components in the liquid lead-antimony-oxygen ternary system, which is of fundamental importance for discussing the' recovery of lead and antimony from a used lead-battery, have been investigated at 1173 and 1223 K. The two liquid phases of metal and oxide were observed at the temperatures studied, and the tie lines indicating isoactivities were determined. The activities of PbO, SbO1.5 and Sb2O3) in the PbO-SbO1.5 and PbO-Sb2O3 pseudo-binary systems were then obtained by applying the Gibbs-Duhem equation to the phase relation of metal-oxide equilibrium. Both in the pseudo-binary systems the activities exhibit negative deviations from Raoult's law. The vapor pressures of lead, antimony and lead oxide, antimony oxide were calculated by using the activities of the components in the lead-antimony-oxygen ternary system. As a result, an oxidation of antimony concentrated in an anode slime followed by evaporation as antimony oxide Sb406 was found to be considerably effective for the recovery of lead and antimony from a used lead-battery.

Jan 1, 2003

"Adopted in 2003, theses guidelines are intended to assist the Qualified Person(s) in the planning, supervision, preparation and reporting of mineral resources and mineral reserve estimates. The report is divided into two broad sections “General Guidelines” appropriate for most metals and “Guidelines Specific to Particular Commodities” for potash, industrial minerals, uranium and coal. “These guidelines are reference in the Companion Policy of NI 43-101 with a statement that a qualified person classifying a mineral deposit as a mineral resource or mineral reserve should follow them.”Executive SummaryThe following is a summary, in table format, of the main elements of the Estimation Best Practice Committee's report ""Estimation of Mineral Resource and Mineral Reserve Best Practice Guidelines"". While the summary table is provided for convenience, the Committee recommends that the report be read in its entirety and the table summary not be used as a stand alone document. These guidelines are not intended to be either prescriptive or exhaustive. They do not preclude innovation. Preamble: These guidelines have been prepared by the Canadian Institute of Mining and Metallurgy and Petroleum (CIM) led Estimation Best Practices Committee. They are intended to assist the Qualified Person(s) (QP) in the planning, supervision, preparation and reporting of Mineral Resource and Mineral Reserve (MRMR) estimates. All MRMR estimation work from which public reporting will ensue must be designed and carried out under the direction of a QP in accordance with National Instrument 43-101 (NI 43-101) and related forms. A QP is defined in NI 43-101 as ""an individual who is an engineer or geoscientist with at least five (5) years of experience in mineral exploration, mine development, mine operation, project assessment or any combination of these; has experience relevant to the subject matter of the mineral project and technical report; and is a member in good standing of a professional association"". Disclosure of MRMR estimates is to be made in accordance with industry standard definitions approved by the CIM (the CIM Standards adopted by the CIM Council in August 2002) which have been incorporated by reference into NI 43-101."

Jan 1, 2003

By C Kusi-Manu, E Nyamusika

Geita Gold Mining Limited (GGML) is owned and jointly managed by Ashanti Goldfields Company (Ghana) and Anglogold (South Africa). The mine is currently one of the largest gold producing open pit operations in Africa producing 620 000 ounces of gold and mining in excess of 70 000 000 tonnes of material per annum. The mine currently has 2000 full time employeeÆs and a mine life in excess of 12 years. Geita Gold Mine is comprised of 11 different gold deposits situated in the Lake Victoria Goldfields of North Western Tanzania (Figure 1). The gold deposits are primarily associated with banded ironstone formations within an Archaean greenstone belt. Current global resources, including Inferred, stand at 129.5 million tonnes grading 3.91 g/t (16.2 M oz). Open pit reserves total 70.4 million tonnes grading 4.16 g/t (9.4 M oz). The majority of the gold resource is hosted by the three deposits (Nyankanga, Lone Cone and Geita Hill) within the æGeita TrendÆ a large and continuous (>4 km long) mineralised zone (Adofo, 2002). Geita Gold Mine commenced operations in June 2000, as the second large-scale open pit gold mine in Tanzania. The new workforce of 800 people had no previous experience in open pit gold mining. Since the start of the operation, Geita Gold MineÆs management ambition was to become a world leader in the application of best practice in all technical disciplines and in operational success. Staff development and training was identified as one of the major components in the company achieving its aim. Geita Gold MineÆs management has committed the necessary training staff, resources and the commitment of over $US 1 M a year to staff training and development programs for 2003 and 2004. The process and management of Geita Gold MineÆs mining geology staff training and development program is presented in this paper.

Jan 1, 2003

"The United Nations, through the secretariat of the United Nations Economic Commission for Europe (UNECE) and its Ad Hoc Group of Experts on Harmonization of Fossil Energy and Mineral Resources Terminology, developed the Framework Classification.The UN Classification applies to fossil energy and mineral reserves and resources located on or below the Earth's surface. It aims to simplify reporting of energy and mineral reserves and resources in a globalized world and is intended to improve global communications regarding remaining quantities of non-renewable fossil energy and mineral resources. The UN Classification is not recognized as a Foreign Code under NI 43-101.SECTION I1.,The United Nations Framework Classification (UNFC-2009) applies to fossil energy and mineral reserves and resources located on or below the Earth' s surface. It serves the needs for classification at a global level (for energy and mineral supply studies), for governments (resources management and policy formulation), for industry (business process management) and for financial reporting.SECTION II2.,The UNFC is a generic system in which quantities are classified on the basis of the three fundamental criteria of economic and social viability (E), field project status and feasibility (F), and geological knowledge (G), using a numerical coding system. Combinations of these criteria create a three-dimensional system. Categories (e.g. El, E2, E3) and, in some cases, sub-categories (e.g. E1.1) are defined for each of the three criteria as set out and defined in Annexes I and II.3 The first set of categories (the E axis) designates the degree of favourability of social and economic conditions in establishing the commercial viability of the project, including consideration of market prices and relevant legal, regulatory, environmental and contractual conditions. The second set (the F axis) designates the maturity of studies and commitments necessary to implement mining plans or development projects. These extend from early exploration efforts before a deposit or accumulation has been confirmed to exist through to a project that is extracting and selling a commodity, and reflect standard value chain management principles. The third set of categories (the G axis) designates the level of confidence in the geological knowledge and potential recoverability of the quantities.4. The categories and sub-categories are the building blocks of the system, and are combined in the form of ""classes"". The UNFC can be visualised in three dimensions, as shown in Figure 1, or represented in a practical two-dimensional abbreviated version as shown in Figure 2."

Jan 1, 2003

By F D. I Hodgson

Twenty-seven observation test pits were excavated at four different spoils dumps at three collieries in the Witbank Coalfield. The holes were dug into the upper three metres of the spoils to ascertain if any weathering profiles, variation with age or influence of topsoil covering could be gauged. Samples from these holes were also subjected to laboratory testing (ABA, humidity cells and mineralogy on several selected samples). The test pits showed that there was a good correlation between in situ paste pH-values and ABA results for samples taken from the pits. At all the collieries, no correlation between age of spoils and in situ acidity could conclusively be drawn. The depth of soil cover also appears to be a minor consideration in determining the eventual acidity of the spoil. In the pits where acidity was found, the weathering was evident when contrasted to areas still buffered. It is unclear if the weathering leads to the acidity or vice versa, as the soil covering appeared to be similar. The spoils proved to be extremely variable with regard to particle size and material on a micro and macro scale. Evidence from most of the holes suggested that there was enough water contained in the fine material in the spoils to support the initiation of acid generation. Conclusions from this investigation are that the mineralogy of the spoils is the most important factor in determining the eventual occurrence of acidic hotspots, and that prior characterisation and selective handling will provide the best management practice for these spoils.

Jan 1, 2003

By William F. Ryan, Paul T. Gribbon

With the rise in construction claims in public works contracting over the years, the use of Dispute Review Boards (DRB’s) in underground construction contracts has become quite common. However, in order for the DRB process to be an effective tool, there must be complete trust and confidence in the Board members and their adopted procedures by both the owner and contractor. This can be difficult in an industry where Board members and contractors may be well known to each other, while an owner maybe involved in a large complex underground project only occasionally. Using case histories, this paper will discuss some recent experiences with the DRB process from an owner’s perspective.

Jan 1, 2003

By G M. T, M Zh Bitimbayev, F K. Shadiyev

In the paper a complex problem was formulated for studying and establishing an effective and safe technology of selective underground leaching of useful components from polymetallic ores. Solving this problem will allow increasing technical and economic efficiency, technological and ecological safety of mining of useful minerals of polymetallic deposits.

Jan 1, 2003

By S Choy

Aquatic macroinvertebrates have been used as a monitoring tool for many years. They are ubiquitous and occupy a central role in the ecology of rivers. They are a key link in the aquatic food chain, forming a pathway between primary producers (such as algae and macrophytes) and predators (such as fish, platypus and birds), and some are sensitive to flow conditions, water quality and habitat condition. They are not very mobile and are good indicators of local impacts. As most aquatic macroinvertebrates are benthic, they are better able to integrate effects of changes in water quality, and habitat condition and structure. Their diversity is crucial to the maintenance of a balanced, functioning and healthy river ecosystem. Thus, data on benthic macroinvertebrate community structures can be used for predicting potential impact, assessing the extent of damage and for gauging recovery from damage. Over the past eight years, State agencies throughout Australia, through the National River Health Program have developed models (AusRivAS) to assess river health using macroinvertebrate communities. The Queensland Department of Natural Resources and Mines has sampled both macroinvertebrates and water quality throughout Queensland, including areas affected by mine discharges. This paper will assess results obtained from sampling in the Mt Morgan area to illustrate the usefulness of this method of river health assessment.

Jan 1, 2003

By David Corkum, David Hatem

Subsurface construction projects are risky ventures and the decision to deliver a project using the Design-Build model does not eliminate those risks. Differing site conditions, inadequate design, and delays will continue to plague some projects. The Design-Build procurement model, however, presents a broad opportunity to allocate those risks much differently than in the familiar Design-Bid-Build model. Starting with a philosophical approach to risk and reward, this paper discusses the continuum of possible risk allocation strategies. It concludes with a proposed optimum strategy in terms of the project’s overall economic efficiency, and points to the dispositive contractual provisions that serve to contour the risks.

Jan 1, 2003