Search Documents

By A D. Stewart Gillies

Resource rent taxes are taxes which only become effective at such a time as a pre-determined rate of return has been achieved by an operation. Resource Rent Taxes have from time to time been considered for implementation in bothAustralia and New Zealand. The offshore petroleum industry in Australia is already subject to RRT as is the Roxby Downs (Olympic Dam) Mine in South Australia. Both the mining and petroleum taxation regimes in Papua New Guinea include a resource rent tax component called Additional Profits Tax.   The implications of the current form of additional profits tax for shareholder cash returns are that the tax burden on the operation may suddenly increase at some stage in the life of the mine if and when the threshold level of profitability for the tax to be triggered is exceeded. From that point in time onwards the cash return to the shareholders on the capital invested is greatly diminished. For mining companies in Papua New Guinea, the effective tax rate increases from 35% to 57.75% as a result of the onset of additional profits tax. This tax rate penalty is so severe that there appears to be merit in considering the concept of managing profitability through time rather than purely maximising annual pre-tax profits as is currently the case in most mining operations. This would have the benefit of deferring or perhaps preventing altogether the onset of the tax. One possible method for the effective management of profitability is through the control of average mining grade by cutoff grade manipulation.   Traditional cutoff grade theory has usually considered taxation as a direct cost at a fixed or variable percentage of annual profits. As a result of this most analyses are conducted on a pre-tax basis. If tax is included in analyses it is usually present as a time independent function of gross profit. Additional profits tax is both time, and rate of return dependent and therefore not adequately accommodated by currently accepted cutoff grade theory.   A review has been made of the effects of resource rent taxes on both the investment decision-making process as well as possible development and mining strategies which may be employed by mining companies faced with resource rent taxes. The review includes examples based on the structure of additional profits tax which is levied in Papua New Guinea.

Jan 1, 1995

By Fuller T

This paper introduces the technology used in laser surveying systems, and the development of a reflectorless one-man total station. These systems are being used for applications such as blast pattern surveys, face profiling, muckpile surveys and the general survey of inaccessible areas. Black Diamond Solutions is continuing to assess new technology and develop integrated systems for applications in the mining industry.

Jan 1, 1995

By M Ash, P Bellairs

The world class iron ore mines at Mt Whaleback, Tom Price and Paraburdoo located in the Hamersley Province of Western Australia must mine the Mt McRae Shale to obtain high grade ore from the Dales Gorge Member of the Brockman Iron Formation. The Mt McRae Shale contains a Black Pyritic Shale lithology that reacts with Ammonium Nitrate based explosives. This paper provides an overview of the problems associated with mining this reactive rock type as well as the development of a comprehensive procedure to safely and efficiently blast, excavate and dispose of this material.

Jan 1, 1995

By D Skinner, P Haeussler, D Bradley, A Christie

Mesothermal gold deposits of southernAlaska and Westland, New Zealand have both formed at the seaward edge of major collisional zones in the Pacific basin. In Alaska, production of large fluid volumes correlates in time with the addition of heat into the lower parts of the accreted terranes in the late stages of collisional orogeny. This heat was critical for driving both the metamorphic reactions that released the large volumes of fluid that carried the gold, and the contemporaneous widespread anatexis and magmatism. In Alaska's Chugach terrane, this heat as produced by subduction of a spreading ridge beneath the North America continental margin in the Eocene. The resulting products were the S-type granites and gold-bearing veins. The similar widespread S-type plutonism and gold veining in Westland's Buller terrane suggest that a similar tectonic event could have triggered ore formation along the southeastern edge of Gondwanaland. Based on the Alaskan model, a Devonian or Early Carboniferous age is favoured for high volume metamorphogenic fluid generation and gold vein formation in Westland.

Jan 1, 1995

This paper describes the application of a three-dimensional finite element modelling tool to help assess the stability of a highwall at a Central Queensland mine following the weakening of its base due to highwall mining. With traditional stability assessment techniques, likely failure modes are identified on the basis of previous experience and structural, sedimentological and geomechanical data and a mechanistic analysis of these individual modes is performed. The value of the full three-dimensional model over these traditional techniques is that it provides a coherent approach to assessing highwall stability without the necessity of initially deciding upon the dominant failure mechanism and gives a useful adjunct to the traditional tools. The three-dimensional model assumes the rock mass is made of elasto-plastic blocks, incorporating possible planes of weakness, separated by near horizontal joints. The model includes the relaxation of stresses due to the excavation of the highwall and incorporates estimates of blast damage near the highwall surface

Jan 1, 1995

In a high pressure rolls crusher two force components: the pressurising thrust and the rolling force can be measured experimentally. Computer analyses have revealed regular patterns of stress distribution in the confined material between the rollers. Based on the computer analyses and experimental results a one-dimensional comminution model has been developed.

Jan 1, 1995

The Taupo Volcanic Zone inNew Zealand and the Philippine Mobile Belt in the Philippines are characterized by active subduction, active volcanism and high seismicity. The main factors affecting characteristics of geothermal systems in both countries are: tectonic setting, source magmas, maturity of the systems, and depth to the degassing magma body. Within New Zealand, geothermal systems are grouped into arc- and rift-type. Fluids in arc-type systems contain high amounts of volatiles (<20%), with high CO2/Cl, CO2/He, and N2/Ar ratios. Mantle-type volatiles predominate in rift-type systems. Philippine geothermal systems are largely arc-type, the topography is rugged, leading to the separation of water and vapour upflows, as opposed to the overlap found in New Zealand. The relatively shallow depths of degassing magma bodies in the Philippines results in steeper geochemical gradients, leading to higher proportions of arc-type magmatic water (>40%) and higher Cl contents (3000 - 10 000 mg/kg), Maximum temperatures are also higher, reaching up to >400¦C. Arc-type alteration assemblages in New Zealand and the Philippines are similar. Because Philippine geothermal systems are less mature, have higher temperatures and steeper geochemical gradients than New Zealand ones, advanced argillization is more widespread occurring down to depths of 2000 m. Mineral phases are more varied due to the active input of magmatic waters and the formation of vapor conditions at depth, forming P04-, B-, Li-, Ce-, F-, and Cl-bearing minerals at high temperatures. In the Philippines, high temperature magmatic-hydrothermal to contact metamorphic assemblages containing biotite, amphiboles and pyroxenes are relatively common, but rare in New Zealand.

Jan 1, 1995

By Patridge A. C

Observations of coal stockpiles subject to unusual levels of instability showed that the particular coals exhibited 'gap grading', a relative lack of intermediate size particles. This led to a suggestion that fine coal particles within the pile might have been induced to migrate under the influence of water flow and to concentrate in relatively impervious layers, resulting in local water saturation and reduction of shear strength. To investigate this suggestion, a large test column has been constructed and washed coals with various levels of fines content have been subjected to a downward flow of water. Subsequent examination of the bed of coal within the column confirmed the percolation of fines and their concentration into horizontal layers, and showed the development of zones of saturation above those layers. Shear box tests showed differences in cohesion and internal friction angle between coals with different percentages of fines, supporting the hypothesis that fines percolation may lead to decreased stability.

Jan 1, 1995

By McAuley T. J

Computer software is an integral part of mining operations today with many sites using six or more software packages on a daily basis. However, the use of these different programs generates the need for substantial staff training. The current trend toward large integrated packages to solve this problem is counter-productive because the relatively small companies producing specialised mining software do not have the resources to develop quality software with all the required features. Software standards are being proposed by various parties but recent history indicates these will be unsuccessful. An alternative approach is suggested using the various standards which have been developed for the Windows operating system.

Jan 1, 1995

By G J. Corbett, T M. Leach

A continued exploration programme has further defined the geology of the Tolukuma vein system, verified the resource indicated by Newmont, and identified potential for additional mineralisation. The resource at Tolukuma Hill, designated as zone C, is a mine recoverable 432,000 t at 18.1 g/t Au & 46 g/t Ag. Mining will be by a combination of open pit and underground at a rate of 100,000 t per annum. Processing will be by SAG mill, gravity circuit and CIL plant. A diatreme breccia, localised at an intersection of structures and a relationship of gold to base metal sulphides, are indicative of a strong porphyry association. Typical epithermal features such as crustiform banded quartz and quartz pseudomorphing platy calcite are also present and locally contain lesser gold mineralisation. Pre-existing dilatant structures have acted as a host to the ore fluids, resulting in the formation of the semi-continuous Tolukuma-Gulbadi veins over a 1100 m strike. A fluid flow model suggests that mineralizing fluids were sourced from a diatreme margin and migrated laterally along dilatant structures. Bonanza gold grades are interpreted to be derived through fluid quenching in the flexure between a hanging wall split, which hosts much of the Tolukuma Hill resource, and the feeder graben structure. Thus, the relationship between the pre-mineral structural geometry and fluid upflow at the margins of a diatreme breccia, controls the ore setting.

Jan 1, 1995

By Yoshiharu Tanaka, Toshiyuki Ichijo, Masaaki Yamamoto

We utilized electronic detonators (EDs) to investigate the effect of high detonator delay accuracy on overbreak, remaining rock damage, and surface smoothness, in comparison with that of long-period delay detonators (0.25 sec interval) PDs. The experiments were conducted in a deep mine, in a test site region composed of very hard granodiorite with a seismic wave velocity of about 6.0 km/see and a uniaxial compressive strength, uniaxial tensile strength, and Young's modulus of 300 MPa, 12 MPa, and 73 GPa, respectively. The blasting design was for a test tunnel excavation 8 m in cross section, with an advance per round of 2.5 m. Five rounds were performed, each with a large-hole cut and perimeter holes in a 0.4-m spacing charged with 20-mm-diameter water gel explosive to obtain low charge concentration. EDs were used in the holes on the perimeter of the right half, and PDs were used in all other holes.

Jan 1, 1995

By Charles V. Jude

This U.S. Bureau of Mines report presents a review and evaluation of existing and new backfilling materials and methods for their applicability to the problem of gate road stress reduction in deep retreat longwall coal mines. Candidate backfill materials include pulverized coal combustion fly ash, flue gas desulfurization, and fluidized bed combustion by-products from coal-fired electric power generation plants. Properties of both backfill and its component materials are presented, with particular emphasis on the unconfined compressive strength and elastic modulus of backfill mixtures. Hydraulic mix designs discussed in this report include high-water content slurry and low-water content paste fills. Three gate road stress-transfer-modification concepts are proposed to reduce abutment stresses in gate road systems. The first concept, packwalling, involves packwall construction behind the headgate shield inby the face and adjacent to the headgate pillars. The second concept, gob-filling, involves infilling a strip of gob inset from and parallel to the headgate using paste injection methods patterned after a technology recently developed in Europe. In the third concept, entry-filling, slurry fill methods are used to fill abandoned gate roads and crosscut entries inby the face.

Jan 1, 1995

By Aitchison J, Clarke G

A reappraisal of the stratigraphy, new regional kinematic analysis and thermobarometric data allow a new interpretation of the metamorphic zoning and tectonic structure of the Upper Eocene high-pressure metamorphic core complex of northern New Caledonia allow a three steps evolution to be proposed : 1) subduction and understacking of previously thinned continental crust elements; 2) subduction blocking due to the crustal thickening; 3) crustal thinning and extensional detachment during the diapir-like uplift and unroofing of the eclogitic core. Steps 2 and 3 may be partly contemporaneous. Such a model accounts for the thermobarometric and radiochronologic data, and also for the weakness of substratum deformation during the emplacement of the ophiolitic nappe.

Jan 1, 1995

By G J. Corbett, T M. Leach

Although hosted within an Ordovician magmatic arc, the Peak Hill high sulphidation system displays features typical of youngerPacific Rim high sulphidation epithermal gold deposits. Regional NW trending transfer structures are inferred to localise the magmatic source at their intersection of the NS trending arc. Fluids have migrated from the magmatic source along NW structures and thence exploited permeable horizons, which have become silicified. Alteration displays typical zonation from silicification through assemblages characterised by alunite, pyrophyllite and kaolinite and is followed by breccia/fracture controlled sulphide and gold deposition. Sinistral rotation on the NS arc has dilated NW trending fractures to produce the WNW to EW dilational fractures which host the higher grade ore. Mineral assemblages are typical of formation distal to the magmatic source in an epithermal environment. The combination of alteration and mineralisation zonation with structure provide fluid vectors which target a magmatic source to the SE of Peak Hill.

Jan 1, 1995

Various influences determine how an Environmental Management System (EMS) for a mining or petroleum project is developed and administered. These influences include the environmental and resource legislation applying to the project, the culture of the organisation, the environmental sensitivity of the area, and the administrative policies of the regulatory agencies involved. While financial penalties and even imprisonment may be imposed for non-compliance with environmental legislation, there are other compelling reasons for the establishment of an effective EMS. If a company wishes to be considered by Governments for the grant of exploration or mining rights, it is important that it can demonstrate environmentally responsible operations at existing facilities. The development of an effective EMS requires commitment from the Board of the company and the issue of an Environmental Policy to empower all levels of the staff and workforce to achieve environmentally responsible operations. This must be supported by the provision of appropriate human and financial resources, and environmental training of staff at all levels from the Board to the mine site, workshop and office. A regular environmental auditing programme is essential to ensure that the EMS is in place and is effective in achieving compliance with regulatory requirements, corporate policies and protection of the environment. An EMS can be developed on the basis of existing management systems, quality management systems, existing and emerging environmental management standards (such as BS7750 and ISOI4000), or sophisticated computerised systems which may incorporate international experience, standards, and codes of practice.

Jan 1, 1995

Underground space can be defined as space below natural ground level which can be used as an alternative to an above ground location. While many of our above ground structures inherently involve underground excavation for foundations and services, the term underground space specifically refers to organised development of underground openings and of the underground domain. For example, the services to a city such as power, gas, sewerage, water and communications are installed in a congested array which usually requires roads to be dug up when the services need to be accessed. An underground space installation of services would involve a well planned conduit which is easily accessed without any excavation. The concept of using this virtually untapped land resource to the advantage of our expanding cities is gaining considerable interest in Australia. Overseas, in the Scandinavian countries and some Asian countries, underground space has been used for centuries; in Great Britain, France and the United States of America over the last century and in Japan for over a decade. This paper focusses on the types of underground space usage which should be competitive with above ground use and suggests areas in which the competitive edge may be improved in favour of underground space. In particular, considerable advantage is seen by using well-planned underground space developments in major cities, where the strategic central location of the development takes advantage of proximity to potential users. However, the largest single factor affecting the acceptance of underground space is the high capital cost of construction, even though an underground space development may result in lower operating costs and reduced long-term maintenance costs. While excavation methods and associated costs are very much site-specific, the importance of applying the latest technology in rock breakage, with consideration of ground vibration, excavation rates and ground support, remains a major challenge to the development of underground space.

Jan 1, 1995

By J M. Laboz Bernard

Among the numerous technical evolutions in the blasting environment we are going to describe below the concep

Jan 1, 1995

By E. A. Barrett, K. M. Kowalski

The U.S. Bureau of Mines (USBM) conducted experiments to determine if training using a latent- image, three-dimensional (3-D) slide simulation exercise improved miners' ability to recognize roof and rib hazards. The effectiveness of this innovative type of classroom training was investigated by measuring workers' performance on a hazard recognition task. The study was unique in that hazard recognition skills were assessed in the workplace using actual coal mine roof and rib hazards. Results showed that training with a latent-image, 3- D slide simulation exercise significantly improved each subject's performance on the in-mine hazard recognition task. Further, the USBM researchers concluded that transfer of learning from the classroom to the workplace occurred.

Jan 1, 1995

By V Morand, W R. H Ramsay

Structural, mineralogical, and textural data from the Tarnagulla Goldfield demonstrate that the area has undergone three significant phases of deformation. The first phase of deformation (D1) predates the intrusion of the Tarnagulla pluton, which has been dated using K/Ar as 391 ¦ 5MY. We regard this pre-granite deformational event as the major regional deformation. Gold-bearing quartz veins have been deposited in dilational sites on west-dipping reverse faults. These sites demonstrate a geometry related both to faulting associated with D1 and the plunge of the F1 fold axes. This evidence, together with chronology of unmineralised ? D2 and D3 faults, the absence of quartz veining associated with D3 events, and the deformation of carbonate-quartz-biotite-sulphide aggregates within Sl by later S2, lead us to conclude that the bulk of the mineralisation was essentially syn- or late D1 . d18O values for fluids in equilibrium with vein quartz from Central Victoria have indicated equivocal support for either a magmatic or metamorphic origin. Our evidence supports a pre-magmatic origin for mineralisation at Tarnagulla and hence tends to favour a metamorphic fluid source.

Jan 1, 1995

By Glenn S. Dobby, Glenn A. Kosick

"Column flotation circuit engineering has matured to a good level of understanding regarding testing, scale-up and design. Some of the factors important to the process of implementing columns are addressed in this paper, highlighting the following issues• operating bias and the maximum achievable solids carrying rate for a column application.• internal circulating loads of full scale and pilot plant flotation columns• short-circuiting oflarge scale columns and the impact on separation selectivity• the number of stages in a column circuit and the impact on selectivity.The paper uses several case studies, from pilot plant to full scale implementation, to illustrate these design issues.1. IntroductionTen years ago, in 1984, there were very few column flotation installations world wide and the largest columns were about I . 5 to 2 m diameter or square. During the following decade there have been in the heighbourhood of 80 column installations that have been successful and profitable, as both retrofits and green-fields plants. Now, columns as large as 3 to 4 m are not uncommon. Examples of installations with many large columns include Escondida, with ten columns each at 4 m square, and P T Freeport Indonesia, with 21 columns: nine 3 m diameter columns, four 2.4 m diameter columns and, starting up in April I 995, eight 3.6 m diameter columns.During this growth period there have also been column installations that can be considered as failures. In the majority of these cases, the reason for their failure has been an insufficient installed capacity for applications where there is a high weight recovery of solids to the froth product These include zinc cleaning, copper cleaning and iron ore flotation (silica flotation from a feed that is 15 to 30 %Si02) An application with high weight recovery to the froth product makes column scale-up and circuit design more complicated. This is particularly so if a high degree of selectivity is also required while attaining a high weight recovery, which can happen with iron ore flotation in columns."

Jan 1, 1995