Search Documents

It is a commonplace of our industry that prices of most minerals have been historically weak during the 1980s. The International Monetary Fund's index of prices of metals fell 25 per cent between 1980 and 1982, rose slightly in 1983, and has since fallen further. In December last year it was 37 per cent below its 1980 average. The few temporary exceptions to the mineral industry's malaise highlight the excess capacity, which largely explains the weakness of prices. The industry has painfully come to recognise that more satisfactory prices will not be restored until supply capability and demand move back into better balance. Mine capacity was installed in the expectation of much faster growth of demand than has occurred. For a variety of reasons mine and plant closures have been insufficient to restore equilibrium to the market-place. The industry may, therefore, have to resign itself to continued weak prices for some years more, at least by the yardstick of the 1970s. Growth rates of demand have slackened off in line with economic activity, and in response to continuing substitution and technological improvements. To the extent that the recent weakness of oil prices stimulates the industrial countries' activity, demand for non-fuel minerals may grow faster than most forecasters now predict. It is, however, much too early to say how long the weaker oil prices will persist, and even more difficult to estimate their probable effects. In typical post-war business cycles the usual response to recession was to batten down the hatches, and ride out the storm. Sooner or later, and probably sooner, demand resumed its previous trend path, and prices recovered. The market, in effect, bailed mines out of trouble; the more efficient could make attractive pre-tax profits whilst even the poor to mediocre could earn a satisfactory living. Prices rose at least as fast as general inflation, and in the early 1970s much faster. In retrospect those price rises of the early 1970s were historically abnormal but they did not appear so in the prevailing inflationary climate of the time. When the market failed in the early 1980s many of the hardest hit companies looked for scapegoats.

Jan 1, 1986

By J Centofanti, D Conti, R Riske, C Morley, A Cook

Why is it so difficult? Why are there differences throughout the resources industry in how reconciliation factors are reported and calculated? Why is there no standard formula to use? These are common questions asked when mining companies try to compare reconciliation results across operations or attempt to undertake internal or corporate governance reporting processes. For many mining companies the calculation of reconciliation factors is often a very time and resource intensive part of mandatory reconciliation reporting. Some major mining companies, that move millions of tonnes of material per annum, dedicate full time resources to the calculation of reconciliation factors. The willingness of these companies to set aside resources demonstrates the value that operations place on good reconciliation reporting. Reconciliation is about measuring the variance between two like measures at different points along the mining sequence. It can be undertaken between predictive models, forecast plans and actual measured performance. Calculations are used to derive a variance between two sections within the mining sequence, with the result being commonly known in the resources industry as a æfactorÆ. Mining companies use the calculation of reconciliation factors as key performance indices (KPIs) to provide a æhealth checkÆ of their operation, with variances often pointing to issues either with the accuracy of the original estimate or the quality of the measurement being used in the comparison. There are many reconciliation factors that can be calculated and reported. This paper will set out, clarify and provide a recommended standard means of calculating each specific factor that, where adopted by a company, will ensure compliance with the international reporting codes, such as JORC. Using case studies from Rio Tinto Group (Rio Tinto) and BHP Billiton Mitsubishi Alliance (æBMAÆ), and the authors experience across a wide range of mine sites, the outline of a generic solution for tracking a parcel of material from the pit through to the port along with appropriate reconciliation factors is provided. The intention of proposing standardised reconciliation factor terminology and methodology is to provide the foundations of a system to enable communication and comparison across different commodities, companies and mines sites.

Jan 1, 2009

By E Baafi, G Brassington

Coal mining operations can impact on various types of surface infrastructure or natural features, including cliff-lines, steep slopes and natural watercourses. Longwall mining leads to a subsidence depression due to the changing geometry of the mined out area. The current regulatory process for managing subsidence in New South Wales (NSW) involves the preparation of a Subsidence Management Plan (SMP). This paper demonstrates the use of a Weights of Evidence (WofE) technique applied within a Geographical Information Systems (GIS) environment to predict potential areas for rockfalls along cliff-lines in the NSW Southern Coalfield. The WofE is a ædata-drivenÆ method that can be used to predict subsidence impacts prior to mining. The WofE method was applied to ten known rockfalls along the Cataract River to evaluate the reduced impact of not mining within 50 m of cliff-lines along the Nepean River. There is significant reduction of probabilities of rockfall occurrence when mining is avoided within 50 m of cliffs.

Jan 1, 2006

The underground storage of LPG and other hydrocarbons is in current commercial use in Northern Hemisphere countries in Europe, Asia and the USA.Elgas Pty Ltd, a 50 per cent joint venture between AGL and BOC, embarked on a worldwide feasibility investigation in 1989 to establish the viability of constructing an underground LPG storage facility in Sydney, Australia, the first of its kind in the country. Elgas recognised that with the limited 19 000 tonnes of storage capacity at Port Botany and the limitations imposed by use of small coastal ships (up to 10 000 tonnes capacity), a larger storage facility was required to utilise higher capacity ships from more remote sources such as the North West shelf and overseas. This would achieve security of supply in high demand periods and economies of scale. The underground option also provides improvements to safety and environmental standards.

Jan 1, 1999

By W Newton, J Price

This paper outlines the design, justification and performance of a gravity circuit upgrade at the Marvel Loch treatment plant. The design of the upgrade was simple but effective. The key components of the upgrade were the addition of a sluice and a second Knelson Concentrator. The sluice was installed as a pre-concentration step. The upgrade also included the purchase of a Mineral Cone to treat the increased quantity of gravity concentrate. The cost was low because of the use of mostly second-hand equipment. The result was that for a cost of $75 000 the gravity recovery doubled and the overall recovery increased by over one per cent. This paper shows that you do not need to spend millions of dollars to be innovative and successful.

Jan 1, 2000

By D M. Frantois-Bongarton

Variograms can be powerful tools for the analysis and control of process streams and their sampling. Their uses and proper utilisation have been described somewhat unclearly to date, and their limitations and precautions of use are too rarely mentioned. The general meaning and properties of the variogram tool and its use in geostatistics are therefore reviewed in details to derive a critical view of its proper use for process control: what to expect from it and what it cannot deliver and which uses are illusory or potentially misleading. A summary of GyÆs seminal work accompanies this essay to put the concepts into historical perspective.CITATION:Frantois-Bongarton, D M, 2012. Review of variogram properties and remarks on its use in process control, in Proceedings Sampling 2012 , pp 175-180 (The Australasian Institute of Mining and Metallurgy: Melbourne).

Aug 21, 2012

By M Noppe, I Glacken

There are many critical nodes along the mine value chain, from orebody to mineral product, and inter-disciplinary input is required to analyse the variability and uncertainty at each node in order to identify and mitigate areas of risk. Mining differs from many other industries in that the variability in the product is dictated largely by the inherent nature of the input material (the orebody). The true characteristics, including the variability of the orebody, are never known exactly and are instead based on estimates derived from sample data. A further difference is that bottom-line gains are largely controlled by world commodity prices, which can vary with time, rather than by local supply and demand issues. Methods for identifying, reporting and responding to this inherently variable raw material are discussed. These include analytical and reporting methods, equipment and software, risk analysis and reality checks (eg reconciliation). Sampling results, mineral resource and ore reserve estimates and economic assumptions are a function of the variability of the orebody. Risk quantification should be expressed as a level of confidence, which takes into account the scale or period over which the risk is being assessed (life-of-mine, annual or shorter production periods) and should convey the likelihood, severity and consequence of occurrence of a given event. The future generation of mining specialists needs to understand the entire mine value chain to better manage risks and maximise mine dollar-value.

Jan 1, 2002

By G McLeay, T Moran

Long Shaft has traditionally been seen as one of the most challenging mines in the Kambalda area with operations having been suspended by the previous owners in 1999. When mining recommenced in October 2002, the current owners (Lightning Nickel) decided that a different approach was required for mining operations in such an aggressive geotechnical environment. This paper describes how Lightning Nickel has successfully and safely operated the Long Shaft complex on a traditional mining approach, which encompasses the key learnings of the previous owners.

Jan 1, 2005

This paper discusses the potential role of underground space and tunnelling in urban planning in Australia. The paper gives examples of the infrastructure and commercial applications of underground space which have been effectively used overseas but have been slow to be considered as a part of urban planning in Australia. In particular, the paper looks at underground quarrying and underground commercial development and their potential use in the urban environment. Existing sites and potential sites for quarrying and/or commercial use have been classified using a system developed by the author. Underground quarrying may provide some solutions for planning problems involving sand and aggregate supplies, waste disposal and other uses. Commercial development involving underground excavation may be accepted if the cost of underground commercial development can be shown to be equivalent to the cost of above ground development. The paper concludes that one role of the underground construction industry is to promote tunnelling and underground space amongst architects, town planners and planning decision-makers. The Australian Underground Construction and Tunnelling Association (AUCTA) and the Australian Society for Trenchless Technology (ASTT) should be instrumental in actively promoting the use of underground space in society.

Jan 1, 1999

By I Mason, G Turner, J Hargreaves

One of the key objectives in production from any mine is the minimisation of ore loss and dilution. This can only be achieved when the distribution of ore within the mine is known. The distribution of ore is usually evaluated from a combination of drill hole information and underground mapping data. Three-dimensional models of the ore distribution are then constructed by interpolating grades, contact locations and confirming these estimates through mapping. While the interpolation procedure can incorporate an understanding of the local geological conditions, it is an approximation and thus susceptible to some degree of ore loss or dilution. Naturally, such problems increase in areas of sparse geologic information or greater geologic complexity. Borehole radar offers an approach to decrease the interpolative aspects of modelling by providing a continuous image of some ore contacts. Borehole radar works by building a two-dimensional image of an ore contact from radio waves bounced off the contact from closely spaced positions along a borehole. This image can be imported into Datamine (or a similar design package) and incorporated into geological models of a given ore block. The results of a trial survey from the Mariners nickel mine at Kambalda are presented to illustrate the improved level of detail and accuracy that can be achieved through the incorporation of borehole radar into orebody delineation practice. Once implemented on a large-scale this technique has the potential to greatly increase the cost-effectiveness of long hole stoping at Kambalda, through increased ore recovery and reduced dilution.

Jan 1, 2000

By J W. Harris

There are numerous detrital diamond deposits worldwide with uncertain or disputed links to known primary kimberlite/lamproite sources. In this study, we utilise 40Ar/39Ar dating of clinopyroxene inclusions in diamonds as a provenance tool applied to the mega-placer deposits along the West Coast of southern Africa. These data demonstrate that most West Coast diamonds originated known Cretaceous kimberlites on the Kaapvaal craton with negligible input from proximal Permian glacial deposits. An EXTENDED ABSTRACT is available for download. A full-length paper was not prepared for this presentation.

Jan 1, 2008

The optimization of management structure systems for coal mines is undertaken with the use of economic and mathematical models of the monitoring, manufacturing, and functional subdivisions of the systems. The main para- meter to be minimized is economic loss result ing from organization faults and this is achieved, in part, by optimum distribution of both technological objects and engineering and technical personnel. Models used are of the "gated" type, parameters for which are derived from analysis of manufacturing processes and from automatic information systems. The use of these models ofmanagement structures is only part of the process of optimization of those structures for coal mining operations.

Jan 1, 1977

The paper provides an overview of the development and content of APCOM symposia since their inception in 1961. This development is set within the context of the academic environment in which much of the research published at APCOM symposia is conducted. This environment includes rigorous external assessment of research quality at national levels and against international benchmarks, which carries significant consequences for funding and for the continued existence of the academic minerals industry disciplines. Adverse consequences that undermine the academic provision of mining and resource engineering will impact negatively on the minerals industry by reducing the level of research and education resources available to it.The traditional reductionist approach to research is contrasted with the inter-disciplinary approach that is required to address the complex systems problems that the minerals industry will have to address to ensure its technical, economical and environmental sustainability. Such an approach offers a means of raising research profiles, of establishing mutually beneficial academic-industry engagement and provides an opportunity for APCOM to take a lead role in identifying the research and development agenda for the future

Sep 26, 2011

Interrelated data for five fundamental features of production processes would help promote the- development of the discipline and profession of extractive metallurgy. The features are the input materials, the products, equilibria, kinetics" and movement of materials within the reactor. Aspects of overall process performance that could be developed in these terms include quantitative comparison of reactor engineering options, process dynamics, interruptions to operations, and recycling. The ability to be able to forecast these and other aspects of process performance would be valued by most metallurgists. Although data have been reported for each of these aspects they have been more relevant to process economics than process fundamentals. The data have not often been interrelated via the fundamental features for a particular raw material-process system; nor have ~ similar data been related for different systems.

Jan 1, 1986

By M Maslowski, J B. Gemmell, D R. Cooke, C Zesati, J Castorena

The Palmarejo, Guadalupe and La Patria Silver-Gold epithermal vein deposits occur in south-westernChihuahua state, Mexico. The veins are hosted in a volcano-sedimentary sequence that comprises andesitic to basaltic resedimented volcaniclastic rocks, together with less abundant coherent and pyroclastic facies and minor red-beds. The host sequence is part of the Lower Volcanic Series, and formed in a magmatic arc environment during the Late Cretaceous to Early Tertiary Laramide Orogeny. The Lower Volcanic Series is overlain unconformably by an extensive sequence of Miocene rhyolitic ignimbrites, known as the Upper Volcanic Series. At this time, it is uncertain whether epithermal mineralisation was related to andesitic intrusions (85 Ma) and/or Oligocene rhyolitic dykes (25 Ma). An EXTENDED ABSTRACT is available for download. A full-length paper was not prepared for this presentation.

Jan 1, 2008

By Huafu L, Ruishi N, Hongnian Y, Qinglong Z, Yangshen S

The Dongshan terrane was first recognized in 1984 (Guo,et al., 1984, 1989) as an old continental crust block of migmatized granitic gneiss in the Southeast Coastal Hercynian-Indosinian orogen, and it was thought to have occured on Dongshan Island, which has an area of less than 100 km? Recent research work has shed much light on the geology of the Dongshan terrane.The Dongshan terrane is approximately 40-50 km wide and 380 km long, trending NE. It runs from the region of the mouth of the Ming River through Putian and Huian Counties, Amoy and Dongshan island of Fujian Province to Nanao island of Guangdong Province, bordering the southern segment of the coastal region and coastal islands of Fujian and eastern tip of Guangdong Province. The Dongshan terrane is divided from the Zhejian-Fujian Mesozoic Volcanic Mountain Chains by the Changle-Shaoan fractural zone, and its eastern boundary is covered under water in the Taiwan Straits.

Jan 1, 1990

By Espig D, Standish N

In the paper a stochastic model of the batch sieving procedure is presen- ted resulting in a system of ordinary differential equations to describe the time dependence of the mass fractions on the sieve surfaces being randomly influenced by sampling errors. The coefficients of the system can be interpreted as sieving velocities. Their dependence on the sieving con- ditions is discussed and a special type of functional relationship and methods are suggested to determine this function experimentally. Moreover the applicability of the approach is demonstrated by an example to evaluate the particle size distribution, if only the result of incomplete test sieving is known. For this problem a rough error estimation is performed.

Jan 1, 1984

Wollongong* is Australia's largest single centre of mining and metallurgy. Wollongong's total employment in manufacturing of basic metal products (over 26,500 in 1972/1973) was almost 50 per cent higher than that of Newcastle and double that of any other Australian city. Although the great bulk of this employment was in steelmaking, Wollongong's copper industry was also a significant employer. Wollongong's total employment in mining (4,900 in 1971) was second only to that of Newcastle among Australian mining centres. Although the bulk of Wollongong's mining is of coal, there is also considerable mining of blue metal, sand and clay. In all, over 40 per cent of Wollongong's work force is employed in mining and metallurgy. The great bulk of the other

Jan 1, 1976

By L Ryan, S Halley

The use of a field spectrometer to systematically analyse drill samples from over 200 holes around the Permian-Carboniferous Ravenswood gold deposits in north-east Queensland has successfully identified both small and deposit-scale changes in the alteration mineral chemistry. Changes in chlorite composition within the tonalite host rocks are evident at the district scale, with Fe-rich chlorites seemingly more common in the vicinity of the deposits. Significant variations in white mica chemistry also occur, but mostly on the vein selvage scale, with no clear distinction between near-mine and distal compositions. The results indicate that chlorite compositional maps produced from regional field or airborne spectrometer data could potentially be used as a vector to ore in exploring for similar deposits in the area. An EXTENDED ABSTRACT is available for download. A full-length paper was not prepared for this presentation.

Jan 1, 2008

Before exploration programmes or minerals developments are formulated, a mining company ought to assess how capital can be returned if the project is successful. A fact not well appreciated by the minerals community is that it is often difficult to get money out of many Pacific Rim countries due to special foreign exchange controls or restrictions on dividend or capital repatriation. On top of this risk are factors such as creeping expropriation through administrative, fiscal, or corruption pressures; environmental regulations; terrorists; and organised labour and political activists. Political risk is much more than just expropriation or nationalisation.Political risk factors can make or break a project in many PacRim countries and just the cost of delays and negotiations can insidiously affect project economics. This unpalatable thought, however, can be readily addressed by either legal structuring e.g. offshore proceeds accounts, offset/back-to-back currency hedges, or political risk insurance for the equity as well as any subsequent project development debt.

Jan 1, 1990