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This paper is directed at the problems flowing from Australia's capital gains tax (CGT) on the disposal of exploration and mining tenements both in Australia and overseas. It will seek to identify the issues and give some idea of the dollar consequences of decisions lacking forethought. The paper should not only be seen in the context of Australian tenements. CGT applies to the disposal of any assets by an Australian resident anywhere in the world. Offshore incorporated companies are not necessarily free from CGT risk where it can be shown that control management and control of the relevant company is in Australia. Also the disposal by non residents of Australian tenements are potentially caught by CGT. Some will ask what has taxation got to do with a valuer who merely determines the value of assets. These days no determination can be blind to the consequences. Whether the consequences can encourage a movement in value is another thing dependent upon the circumstances; but? A role of an experienced taxation consultant is to point out parameters within which associated professionals can work. The parameters will vary from case to case, but these when clearly indicated may be of help to persons such as valuers. When one comes down to it real estate salesmen are never wrong. They have a feel for the market and almost through self fulfilling prophesies achieve sales at their guestimates. Whether they could have achieved higher considerations become virtually academic in the process. Of course I am not suggesting that tenement valuers can be compared to real estate salesmen, or am I? What is the value of a tenement? Is it the DCF/NPV type of generated value based on a large number of variable factors (ie what one may call the fundamental value)? Or is it what another may pay to purchase that tenement if it were on the market at an instant point in time? How big is the market, the quality of the bidders, the size of their purses, the needs of the buyer for comfortable fit, the premiums for foreigners, the standard of the marketing, the industry intelligence level of the bidders, the obligation to farm/sell down? The list goes on endlessly. One question must be.asked-"Is a range of values acceptable for tax purposes". ie Would any tax consultant ever provide a valuation to the Australian Taxation Office that indicates three or more possible values ie

Jan 1, 1987

In the first half of this century a mining industry was developed in Indonesia under Dutch colonial rule. World War II and the subsequent struggle for independence resulted in the destruction of most of the infras- tructure and much of the data. After independence, restrictions on for- eign investment and internal turmoil prevented re-establishment of a viable mining industry until the formation of the present Government after 1965 and the enactment of sound laws in 1967 to encourage foreign investment. Rebirth of the mining industry was followed initially by slow growth, but in the 1980's, spurred by the worldwide interest in gold, Indonesia has become the focus of an intense exploration boom for gold and other precious metals. 103 Contracts of Work for gold have been awarded since 1985 with Australian companies being the most predominant. Since 1985 three new gold operations have been commissioned and another two are nearing completion. Several more are undergoing feasi- bility studies. There is reason to predict that Indonesian gold produc- tion will grow to place the country in the ranks of significant producers during the 1990's.

Jan 1, 1988

The society in which we live is one of change, and we professionals are part of that society. The importance of this simple and obvious statement is often overlooked. My Presidential Address examines the question: can professionalism survive in our changing society?There is ample evidence to show that our society is changing, and that the rate of change is exponential. This rapid and accelerating rate of change is what Alvin Tomer refers to as "future shock". Rapid change means that we do not have time to become accustomed to what is happening around us and to feel comfortable with it; the greater the rate of change the greater the discomfort. The effect that this has on people is varied; the change may be either expected or totally unexpected.The rate and extent of change in society is not the same for all countries nor for all industries or occupations. Change is more rapid in Japan, Korea or Taiwan, than in Australia. It is more rapid in our cities than in the bush, more rapid for professional businessmen than for farmers. In our minerals and petroleum industries, we are still adjusting to the great changes that have taken place over the last fifteen years. In the past, products from our industries were sold on a free and open market. Today, mineral development and production in most undeveloped countries and some developed countries is manipulated for political, social and economic reasons. Changes of this nature have had a devastating effect on the operations of established mineral producers in the democracies.Because of the accelerating nature of change, we must recognise that the past is not a reliable guide to the future.Although extrapolation of the past into the future is a basic ingredient of commercial survival, extrapolation is less and less reliable.I borrow from others in quoting the Irish proverb: "The future is not what it was".The future is where our business lies and most of us at this Conference must endeavour to understand it and adjust to it. I believe in the old adage that:You can't know where you're going if you don't know where you've been and where you are at.There are a number of major factors which have created change within our social, economic, and industrial environment in recent years.

Jan 1, 1985

The design of the grinding section is discussed and details are given of the equipment installed for the autogenous grinding of ores from the C.S.A. mine at Cobar.The first section of the concentrator commenced treating ore in June, 1965 and operating experience and maintenance requirements since that time are outlined.

Jan 1, 1969

For an exploration area with a predetermined grid of data points, a construction is given for elementary blocks which subdivide the entire area without omission or overlap, and with the property that each data point is situated at the centre of its corresponding block. The construction has a useful optimal property, and more importantly avoids an error which has been made recently in more than one publication.

Jan 1, 1985

In October 1993 it was decided to undertake the fourth phase of mining at Big Bell. This decision followed the exhaustion of open pit reserves in January 1993. Two stages of mining were proposed for the new underground mine. The initial stage would mine the remnant ore, consisting of the rib and crown pillars and lower grade ore on the hangingwall and footwall side of the old open stopes, which were mined from the 1930s to 1950s. Most of the old open stopes were backfilled with either deslimed mill tailings or development mullock, both of which were economic to recover. However, the mineable ore from this resource was difficult to evaluate. The second stage focused on mining ore outside the remnant areas and was initially proposed as a Core and Shell method under a caving hangingwall. This method has since been superseded with sublevel caving, in part due to the very high and deviatoric stress conditions encountered at Big Bell and the relatively long mining cycle required for open stoping. The problems and challenges discussed in this paper will cover the identification of remnant ore reserves, dewatering the old workings, and remnant mining.

Jan 1, 1998

By Svenson D

Most exploratory drilling in the N.S.W. coal fields has been conducted using convent- ional diamond drill rigs of modern design, us- ually truck or trailer mounted. Conventional diamond drill rigs have also been used exten- sively by the Queensland Department of Mines for coal exploration. However almost all of the exploratory drilling of surface mine coal prospects throughout Queensland has been conducted using rotary rigs typified by the Mayhew 1000 truck mounted unit. The rotary rig has proved capable of both rapid non-core drilling and core drilling with high core recoveries when modern core barrels have been used by experienced drillers. For deep or continuous core drilling, wire-line equipment is now in general use. Both wire-line and conventional coring is effected using stationary split inner tube barrels, for minimum core disturbance, maximum core recovery, ease and accuracy of logging and sub-sectional sampling. Diamond core bits are generally required in N.S.W., with water circu- lation. In Queensland, the generally softer coal measures strata can be successfully cored using tungsten carbide bits and air circulation is the preferred method where possible.

Jan 1, 1977

By Wright S, Jorgensen F. R A

The reaction between lead sulphate and a number of base metal sulphides (galena, sphal- erite, chalcopyrite and synthetic pyrrhotite was studied as a means of desulphurizing lead sulphate containing fumes and residues to levels acceptable as ISF feed. The reactants were mixed with 50% zinc oxide to act as a "basket" to contain the molten products of the reaction and pressed into small briquettes 20 mm in diam. Factors such as temperature, time and the composition of the atmosphere were investigated. Using the PbS/PbS04 system as an example it was shown that the reaction became rapid above 800¦C and that both sulphur dioxide and oxygen in the atmosphere were detrimental to achieving low sulphur in the product. In an inert atmosphere all the sulphides when roasted for 1 h at 1000¦C gave results corresponding to the elimination of more than 95% of the sulphur in the reactants. Leach plant residues were considered for use as the "basket" material. It was shown that the residual sulphide and sulphate components of the residues underwent similar reactions to those experienced by the pure systems.

Jan 1, 1987

By Z R. Guo, Y Qiu, X F. Wang

Mechanical damage leads to the increase of effective stress of sediments, and pore closure hinders the discharge of methane gas. Ignoring the influence of mechanical damage leads to an excessive prediction of hydrate gas production. Therefore, a fully coupled model considering mechanical damage-chemical decomposition-gas-water two-phase seepage-temperature was developed in this study, and the model was verified by Masuda experiment. Based on the fully coupled model, the temporal and spatial evolution of the whole process of hydrate decomposition under the influence of three initial absolute permeabilities, three pressure drops and three water saturations were considered. The results showed that: • The gas production rate reached the peak value in a short time after depressurisation, and the peak value increased with the increase of the absolute initial permeability. The larger the initial absolute permeability was, the faster the damage variable reached the peak value. The porosity increased gradually before the damage variable reached its peak, and the gas flowed more easily. • When the pressure drop was low, the hydrate remained stable in solid form. As the pressure drop increased, the hydrate gradually began to decompose. The greater the pressure drop was, the faster the initial decomposition rate of the hydrate was. So the damage variable increased rapidly and the porosity increased continuously, resulting in a large gas production rate at the initial stage of decomposition. • The larger the initial water saturation was, the smaller the effective stress wss, resulting in the slow growth of the damage variable and the small change of porosity.While the gas relative permeability was small, it resulted in a smaller gas production rate, and hydrate decomposition was slower. • The damage variable showed a process of rapid growth first, then slowly increased to the peak, and then gradually decreased to a stable state. When the damage was considered, the hydrate decomposition time to the steady state was longer, and the gas production was about 80.68 per cent of that without considering the damage.

Nov 29, 2022

The history of the rail and mining industry in Queensland over the past century is inseparable. Indeed it was mining that led to the construction of the line west from Townsville and that shaped its current alignment. The discovery of gold at Charters Towers started construction of the Great Northern Railway west from Townsville in 1879, with completion to Charters Towers in 1882. The line was extended to Hughenden in 1887 and to Cloncurry in 1907 - driven by copper mines both to the south west and the north west of Cloncurry. The mining industryÆs association with funding the construction of rail lines to service their individual mines began in this area when the Hampden and Mount Elliot mine companies agreed to pay 50 per cent of the cost of the line from Cloncurry. The line to Selwyn was completed in 1910. Copper mining saw the construction of many other rail lines in the Cloncurry area in the 1910 - 20 period before copper prices slumped. Included in these lines were the Malbon to Duchess line and the line to Kajabbi and beyond.

Jan 1, 1998

The paper outlines the philosophies and the methods applied to resource estimation by North Flinders Mines Limited at The Granites. These are based on recognition of the prime importance of quality data, accurate geological perception of the deposit, and the judgement of the estimator. With reference to one particular deposit, East Bullakitchie, the series of resources statements published over a 5 year period is compared with the corresponding history of discovery and development. The comparison Illustrates:

Jan 1, 1990

By Y Peng, D J. Bradshaw, G Long

As copper reserves deepen, they are becoming increasingly less pure. Penalty elements such as arsenic, antimony and bismuth are occurring in increasing concentrations. Environmental issues with smelters are leading to increases in penalty rates for these elements such that some concentrates may become difficult to sell. Arsenic concentration in Rosebery copper concentrates during 2010 varied between 3000 and 8500 ppm. Arsenic levels above 5000 ppm can preclude import to some customer countries. Optical mineralogy has indicated that arsenic in Rosebery copper concentrates is most commonly associated with tennantite (Cu12As4S13) in solid solution with tetrahedrite (Cu12As4S13). In addition, silver reports to concentrate as freibergite (Cu12As4S13 ). A reduction in arsenic content will therefore lead to a concurrent reduction in the silver content.A literature review by Long, Peng and Bradshaw (2012) indicated that arsenic bearing minerals could be removed using potential controlled flotation. Some success in reducing the amount of arsenic had also been reported using either roasting or chemical depression using reagents such as lime and cyanide. Due to the location of the Rosebery concentrator adjacent to world heritage listed temperate rainforest, the use of a roaster or cyanide was immediately discounted. Lime is already used as a reagent in the Rosebery flow sheet, so could be considered as a potential arsenic depressant.In order to determine a method of separating out the high arsenic bearing minerals, two series of flotation tests were conducted. The first series investigated the effect of pulp potential on the recovery of copper, silver and arsenic minerals; a second series investigated the effect of pH, froth depth and regrind.CITATION:Long, G, Peng, Y and Bradshaw, D J, 2012. Production of a low arsenic copper concentrate at MMG Rosebery, in Proceedings 11th AusIMM Mill OperatorsÆ Conference, pp 347-354 (The Australasian Institute of Mining and Metallurgy: Melbourne).

Oct 29, 2012

By Wright S

Single pellets of mixed lead-zinc concentrate containing up to 20 % lead were roasted in the temperature range of 800-1100¦C. Variables studied included pellet size (from 9-8 to 3-2 mm diameter), gas flowrate past the pellet (from 0.05 to 5 ms t), composition of the atmosphere and the effect of additives such as zinc oxide and silica. After defined periods of time, the pellets were removed from the furnace, quenched and submitted for chemical, XRD, SEM and microprobe analysis. The oxidation of the zinc sulphide followed a shrinking core model. Temperature measurements showed that very high pellet temperatures were experienced at the start of an experiment but after 5-10 minutes these approached a constant temperature. The lead loss from the pellets was then constant with time. Thermodynamics predicted the presence of two bands of lead material in the reacted layer of the pellet. These were found in practice. The lead loss from the pellet occurred from the outer oxysulphate layer via the vaporization of lead oxide polymers. The vapour pressure of PbO, and the loss of lead, was dependent on temperature and bulk gas concentrations of SO2 and 02. At 1100¦C the addition of silica greatly reduced the loss of lead from the pellet. Physical factors such as pellet diameter and gas flowrate past the pellet affected the particle dynamics. These results were found to vary in accordance with the predictions of the Froessling equation.

Jan 1, 1989

By M Scoble, E Rubio

The re-engineering of manufacturing production systems has demonstrated the benefits from using production information for optimising processes. This paper explores the techniques and issues in the acquisition and analysis of mine production data for tactical decision making in production control. The use of information and operations management tools is presented in the context of block caving studies, with particular focus on the relationship between secondary breaking and LHD production performance.

Jan 1, 2000

By S A. Prevec

"An EXTENDED ABSTRACT is available for download. A full-length paper was not prepared for this presentation. Traditional models employed to genetically link associated chromite and platinum-group elements have favoured crustal contamination as the primary process for inducing sulfide and oxide saturation. The association of chromite ores with crustal contamination is well established in the literature. However, in the 1970s (cf Irvine, 1973, 1975), Irvine demonstrated that crustal contamination was in fact problematic as a tool for inducing chromite precipitation in mafic to ultramafic magmas. His results are re-examined here, along with some attempts to reconcile them with the effects of adding Fe to the models. It is concluded that crustal contamination is indeed problematic based on phase relationships alone. However, the role of fluids as a compensating agent is evaluated, which may explain why crustal contamination may indeed facilitate oxide and sulfide precipitation.CITATION:Prevec, S A, 2015. Chromite and platinum-group elements coprecipitation by crustal contamination or magma mixing revisited – genetic and exploration implications, in Proceedings PACRIM 2015 Congress, pp 311–316 (The Australasian Institute of Mining and Metallurgy: Melbourne)."

Mar 18, 2015

A resource rent taxation scheme is based on the concept of taxing the rent or surplus profit generated from primary industry activity. Rent has been defined as profits that remain after deduction of company income which corresponds to the minimum return necessary to attract private investment to a new project.Rent taxation schemes on the mining industry within the Australasian region have been examined and widely discussed during the decades of the 1970s and 1980s. Forms of resource rent taxation schemes have been imposed on Papua New Guinea mining, some sectors of Australian petroleum, the Roxby Downs venture and are being discussed for the New South Wales coal industry. While no introduced applications have been pure rent taxation schemes, the concept has generally come to encompass arrangements which tax rent at a partial rate which may or may not vary with the level of profitability or return.An examination is made of a number of the more recent schemes. Aspects which should be considered in implementation of new forms of this taxation are discussed. It is concluded that there is an increased acceptance for this form of taxation on the Australian mining industry.

Jan 1, 1990

By Dixon CA

In the early 1970s, Jim Walter Resources, Inc. (JWR) embarked on a coal mine expansion program that was unparalleled in the history of the United States. With a small nucleus of people then operating two rapidly depleting captive mines, action was initiated to develop four of the deepest mines in the United States. Because of the depth of these mines, operational and technical problems were anticipated. However, because of the high quality of the coal (Blue Creek Seam), the financial risks involved were acceptable. The total investment to get the expansion program completed (to get the new mines to full capacity) would represent an investment of over US$ 500 million.By the end of the decade of the 1970s, the Company had grown to 2100 employees who were producing 1640,000 tonne of saleable coal per year, a productivity rate of 3.9 tonne per man-shift. This productivity rate was not sufficient to maintain a profitable, viable organisation. Therefore, if the operations were going to survive, it would be necessary to improve productivity tremendously, a task which would tax the resources and imagination of all employees.

Jan 1, 1991

By D R. Lueking

A technology involving separate unit processes for the generation and use of ferric ions for the oxidation of sulphidic minerals has been developed. The technology utilises a stand-alone automated bioreactor for ferric-ion generation (termed SAAB-FIG) and produces a low pH, ferric ion-rich leach liquor with a high oxidation potential. This leach liquor is then employed, in a separate unit process, to oxidise sulphidic minerals and regenerate ferrous iron that may subsequently be recycled to the bioreactor for the continual generation of ferric ions. The technique was successfully applied for the recovery of copper from chalcocite (Cu2S) and chalcopyrite (CuFeS2), as well as other ores and concentrates containing copper sulphide minerals. Coarse ore, ground ore and concentrates were treated with acidic solutions containing 8 to 12 (g/L) Fe(III) ions at a variety of temperatures. This process yielded over 50 per cent of the contained copper from both chalcopyrite and chalcocite samples. Maximum reaction rates and copper recoveries were found to be highly dependent upon temperature and pH and leach liquors containing bacterial cells displayed little difference in their leaching efficiency when compared to cell-free leach liquors.

Jan 1, 2000

The Olympic Dam copper-uranium-gold-silver deposit, located 520 km NNW of Adelaide, S.A. was discovered by Western Mining Corporation Ltd in 1975, and is now being developed as a joint venture between WMC (5107o) and the BP Group (4907o). The discovery of this deposit resulted from the application of a conceptual model for the formation of sediment-hosted copper deposits. This model postulated that the oxidation of basaltic rocks could release significant amounts of copper into solution and that, under favourable conditions, these solutions might pass upwards along faults, and the copper be precipitated in reduced- facies sediments higher in the sequence. The Stuart Shelf province was chosen for exploration because geological interpretation suggested the presence of suitable basal- tic source rocks at depth, and favourable host sedimentary rocks in the overlying sequence. The Olympic Dam site was selected for drill-testing because of the presence of coincident gravity and aeromagnetic anomalies suggesting the presence of basalts and/or mineralisation at depth. This site also had a favourable tectonic signature, indicating the presence of deep crustal structures which might have allowed fluid migration.

Jan 1, 1988

By P J. Bangerter, J Pan

Optimising for Net Present Value (NPV) with a strategic optimiser such as COMET, Prober-E, Blaser or Minemax has hitherto lacked a dynamic method for analysing the so-called third-order outcomes (such as Carbon emissions) of optimisation within life-of-mine planning. Optimisation, per se, has natural effects on carbon emissions in a life-of-mine plan. Contemporary strategic planning employs a mathematical optimiser to make sense of non-linear data (ie a block model) and produces a best-NPV optimised mining schedule, within a set of constraints. The very act of optimisation influences emissions, and in a dynamic way.

Aug 2, 2023