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By A. S. Macfarlane

The South African Institute of Mining and Metallurgy was approached by the Australian Institute of Mining and Metallurgy to present a paper on the current practice in terms of the valuation of mineral projects and properties, given the development of a Code for the Valuation of Mineral Properties, developed in Australia (the VALMIN Code), and a similar Code in Canada (the CIMVal Code).This paper is the result of research and investigation into the matter, in terms of the reporting of Mineral Resources and Reserves, financial reporting practice, the Listing Rules of the Johannesburg Securities Exchange, and various practices in valuation. The paper establishes that a strong linkage has already been established between the SAMREC Code for the reporting of Mineral Resources and Reserves and the Listing Rules, and that, for completeness, a Code for Valuation needs to be developed. This Code will be similar to its international counterparts, with the necessary inclusions which are relevant to South Africa, and will provide guidelines and definitions on matters such as transparency, materiality and competency in valuation. It proposes that a multi-stakeholder steering committee be established under the auspices of the SAIMM, to deliberate and design a process for establishing such a Code.

Jan 1, 2002

By N. Sahay

Improvement in work place environment by conventional methods viz., installation of higher capacity fan, fans in parallel operation or booster fan is a risky proposition in many coal mines in India because of difficult geo-mining condition such as shallow depth, multi seam workings having thin parting and inter connected goaves one above the other. The situation is further worsened if the mines have fire affected sealed off area connected to different ventilation circuits. On many occasions circulation of more air quantity by increasing fan pressure have resulted in initiation of spontaneous heating. To address these problems, authors have made some improvement in conventional Dynamic Balancing of Pressure Technique and worked out few ventilation schemes which are aimed for neutralization of pressure differential across sealed off area at the same time having improvement in ventilation in the mine. The excess pressure differential across sealed off area is mainly caused by introduction of higher capacity fan. Similar situation prevailed in one of the mines of Jharia Coalfield, India. The problem was solved by application of the above technique. In this paper, brief description of the technique, the problem in the mine, results of investigation, computer simulation studies of various schemes and methodology adopted for implementation of the technique in the mine have been discussed in some detail. Keywords: Dynamic Balancing of Pressure Technique, Spontaneous heating, Work place environment.

Jan 1, 2003

By R. J. Davidson

Arguments are presented in favour of a new interpretation of the chemistry pertaining to the dissolution of gold, when this takes place in typical gold plant leach circuits where calcium is present in solution. It is suggested that under these conditions the standard chemistry, as it applies in the absence of calcium, is no longer valid. Thus the concept of very soluble sodium and aurocyanide ionic species in solution is replaced by the presence of weakly soluble calcium aurocyanide, which is a covalent coordination complex that is non-ionic. Supporting evidence for this is provided and the implications that the presence of calcium in gold plant circuits may have for operational efficiency are discussed. In particular, because of the formation of this weakly soluble calcium complex, the addition of lime to the leach circuit is questioned. Arguments for the use of a sodium hydroxide/sodium carbonate/sodium bicarbonate buffer solution as a means of controlling pH and of increasing ionic strength in a so-called ?soft? leach are presented. Such a lime-free system, besides benefiting the leaching of gold, would have many downstream benefits in existing CIP circuits. Furthermore, the direct electrowinning of gold from the leach now becomes potentially feasible.

Jan 1, 2007

In recent years several mine researchers have studied the optimization of cutoff grade with the purpose of maximizing Net Present Value (NPV). The best and most popular one is the Lane algorithm. Based upon the Lane algorithm it is possible to calculate the optimum cutoff grade for mine, mill, and refinery capacities for single metal deposits with variable grades. The Lane algorithm cannot be used in multiple metal deposits. The reason is that, while in single metal deposits six points are possible candidates for the optimum cutoff grade, in multiple metal deposits an infinite number points are possible candidates for the optimum cutoff grades and objective function evaluation of these infinite points is impossible. In this study the Golden Section search method was used to calculate optimum cutoff grades of multiple metal deposits for the same conditions as Lane assumed in single metal deposits. Based on this method, grade-tonnage distribution uncertainty space of problem is guessed. In the next step, by selecting test points in uncertainty space and evaluating the objective function at these points, a part of uncertainty space will be eliminated. The procedure is then repeated until the uncertainty space has been sufficiently reduced to ensure that the optimum cutoff grades have been located to the required accuracy. Key words: Optimum cutoff grades, Optimization, Net Present Value (NPV), Golden Section search method

Jan 1, 2003

By B. Kenny

The aim of this paper is to provide an overview of existing forms of subcontracting in the South African mining industry. A descriptive framework is developed to understand different subcontracting arrangements. We argue that, in order to do so, it is important to distinguish between labour broking and gang subcontracting. Data resulting from a research project (including an analysis of historical sources, interviews with contractors and focus group interviews with mineworkers) is presented to highlight the implications of changing formations of subcontracting for the South African mining industry in the late 1990s. Apart from the subcontracting of ?traditional? functions, such as shaft sinking, access development, catering and hostel maintenance, contractors are now used in ?core? mining activities. In some instances, whole shafts are ?outsourced? to outside agencies. It is argued that certain of the subcontracting arrangements have serious implications for the ability of the mining industry to improve health and safety standards. Some of the practices can potentially result in conflict between different categories of workers, and, as a result, instability in the industry.

Jan 1, 1999

By H. S. Marshall

Optimum Colliery is an opencast strip mine producing 18Mt of bituminous coal per annum for the export and inland markets as well as for domestic power generation at the Hendrina PowerStation. Coal is exposed by four 60m3 and four 11m3 walkingdraglines and transported from the open cuts to the processing plants by twelve 130 ton coal haulers. Overburden and interburden areas are drilled by nine 250mm-diameter rotary drill rigs. Until 1997 all surveying tasks were conducted by electronictotal stations requiring accurate control points from which line-of-sight XYZ readings could be taken. In 1997 a GPS system was introduced which consisted of a fixed base station and two rovers. The rovers were able to perform most of the survey tasks assigned to total stations. In addition, two overburden drills were equipped with blasthole drill navigation systems, which includes the drill monitoring and material (strata) recognitions system. The rest of the drilling fleet will also be equipped with GPS systems. Blasthole positions are designed in the office based on survey and geological/geophysical information and transmitted via radio link to an industrial PC on the drills. Together with GPS positional data, both the planned and actual drill positions are displayed on an LCD screen. This eliminates the need for surveyed hole positions to be staked before drilling, and for actual hole positions to be surveyed after drilling. As holes are drilled, performance and rock property data transmitted back to the office. Future applications will include GPS monitoring of dragline positions and pad elevations. GPS receivers on the draglines will utilize the existing base station to calculate and transmit XYZ co-ordinates. Another application will be locating of boreholes in the field prior to the pumping of specified explosive charges into the blastholes. Charging instructions for each blasthole will be loaded into the computer on the explosives truck which will be equipped with a GPS system for hole identification.

Jan 1, 1998

By W. Kotze

The gold mining industry has mainly relied upon the use of highly polluting chemicals, such as mercury and cyanide to recover gold from its ores. The Coal Gold Agglomeration (CGA) process was developed some years ago and has the advantage in that gold is recovered by a procedure which has little or no negative impact on the environment. A gold ore containing liberated gold particles is contacted with coal-oil agglomerates, where by the gold is recovered into the coal/oil phase. Laboratory scale batch tests were performed on an artificial mixture gold slurry and gold recoveries of up to 85% were found under optimized conditions. By recycling the coal/oil phase, it was found that the gold loading onto the agglomerates was increased. Tests performed on an industrial ore yielded slightly lower gold recoveries, and X-ray Diffraction (XRD) analysis on the coal/oil phase showed that minerals other than gold was recovered into this phase. A comparative study was conducted whereby the CGA process was compared to mercury amalgamation. Gold recoveries obtained through amalgamation were 15% lower than by the agglomeration process, which indicates that this process can be considered favourably as an alternative to amalgamation.

Jan 1, 2000

By F. T. Cawood

The definition of mineral rents has historically been somewhat unclear, but a growing understanding of the source and composition of the revenues that comprise these rents mean that they can be more easily identified and quantified. Furthermore the way in which the flow of the rents from mineral developments are captured and then distributed has been a point of contention amongst the various stakeholders. Investors, the host government, the resource owners, environmental interests, indigenous groups and land owners are identified in this paper as the principal participants in mineral development and while each is entitled to a portion of the rent, the size of their portions will differ. A competitive rent-sharing model for southern African countries has been established and indicates how the range of stakeholders could be rewarded for their contribution. Acceptance of the sharing ratios amongst the recipients is a function of their understanding of the size of the rent and their position in the hierarchy of stakeholders. At first glance investors appear to receive the largest share of the rent, but they disburse some of the rent to hidden costs, which when all is said and done, means that investors and host governments retain approximately equal shares of the mineral rent. Both the investor and government are faced with the dilemma of how to equitably distribute the rents they have captured to minority stakeholders. Government captures corporate tax, mineral royalties and a wide range of subordinate taxes, but is required to construct policies that will ensure distributional equity among the various levels of government as well as among the provinces that comprise the country. Investors will have to ensure that a portion of the rents they capture are diverted to other stakeholders namely resource owners, environmental interests, indigenous peoples groups and the landowners. This paper identifies the major recipients of rent and provides some indication of equitable distribution ratios for mineral wealth among them?a first step in ensuring that mineral development is compatible with long-term sustainable development and in the best national interests.

Jan 1, 2002

By P. H. S. W. Kulatilake, B. Malama

To simulate brittle rocks, a mixture of glastone, sand and water was used as a model material. Thin galvanized sheets were used to create joints in blocks made out of the model material. To investigate the failure modes and strength, both the intact material blocks as well as jointed model material blocks of size 35.6 × 17.8 × 2.5 cm having different joint geometry configurations were subjected to uniaxial and biaxial compressive loadings. Results obtained from the intact model material blocks are used to validate a new intact rock failure criterion for biaxial loading. Results obtained from both the intact and jointed model material blocks are used to develop a strongly non-linear new rock mass failure criterion for biaxial loading. In this failure criterion, the fracture tensor component is used to incorporate the directional effect of fracture geometry system on jointed block strength. The failure criterion shows the important role the intermediate principal stress plays on rock mass strength. Zur Simulation spröder Gesteinsarten wurde ein Modellmaterial aus Dentalgips, Sand und Wasser hergestellt. Daraus wurden Blöcke gegossen, in denen mittels dünnen, galvanisierten Blechen Trennflächen erzeugt wurden. Die Blöcke mit Abmessungen von 35.6 × 17.8 × 2.5 cm wurden in einaxialen und biaxialen Druckversuchen belastet. Es wurde das Versagensverhalten und die Festigkeit von intakten Blöcken sowie durchtrennten Blöcken mit unterschiedlicher Trennflächengeometrie untersucht. Aus den Ergebnissen der Versuche an intaktem Material wurde ein neues Versagenskriterium für biaxiale Belastungen validiert. Die Ergebnisse der Versuche an intakten und durchtrennten Blöcken wurden verwendet, um ein neues stark nicht-lineares Versagenskriterium für geklüftetes Gebirge unter biaxialer Belastung abzuleiten. Darin wird der Bruchtensor verwendet, um den Einfluss der Trennflächengeometrie auf die Festigkeit zu erfassen. Das Versagenskriterium stellt heraus, welche Bedeutung die mittlere Hauptspannung für die Gebirgsfestigkeit hat. Un mélange de platre dentaire, de sable et d’eau a été utilisé pour développer un matériau analogue des roches fragiles. De fines feuilles galvanisées permettent de créer des discontinuités représentatives des discontinuités naturelles dans des bloques fabriqués avec ce matériau analogue. Les modes de rupture et la résistance, tant pour le matériau intact que pour le matériau avec ses discontinuités, ont été étudiés sur des blocs de 35.6 × 17.8 × 2.5 cm soumis à des efforts de compression uniaxiaux et biaxiaux. Différentes configurations de géométrie de discontinuités ont été considérées. Les résultats obtenus à partir des blocs intacts permettent de vérifier un nouveau critère de rupture pour les roches intactes soumises à des efforts biaxiaux. Les résultats obtenus, tant avec les blocs intacts qu’avec les blocs avec discontinuités, sont utilisés pour développer un nouveau critère de rupture, fortement non linéaire, pour les massifs rocheux soumis à des chargements biaxiaux. Dans ce critère de rupture, un tenseur de fractures est introduit pour caractériser les effets directionnels de la géométrie des systèmes de discontinuité sur la résistance des blocs avec discontinuités. Ce critère de rupture démontre le rôle important de la contrainte principale intermédiaire sur la résistance des massifs rocheux.

Jan 1, 2003

By A. W. Breed

The bioleaching of arsenopyrite, the oxidation of arsenate and the precipitation of ferric arsenate are competing reactions, hence their rates depend on the relative concentrations of the respective species, and the activity of the bacterial culture. Bacterial arsenic resistance may be attributed to the Pst+Pit-mutation and an energy dependent efflux pump. Pst+Pit-mutations result in a reduced uptake of arsenate. This enables the bacteria to survive in solutions in which the arsenate concentration is significantly higher than the arsenite concentration. However, the excretion of arsenate requires energy. Therefore, in the absence of an energy source or during periods of reduced bacterial activity, the inhibitory effect of arsenate may manifest at concentrations to which the culture has been adapted. The chemical ferric leaching rate of pyrite and arsenopyrite decrease with a decrease in the solution redox and may be described using a modified Butler-Volmer equation. The bacterial ferrous-iron oxidation kinetics of L. ferrooxidans also depend on the redox potential, and can be described using a Michaelis-Mententype model modified to account for both temperature and pH. A model developed using the independently determined ferric leaching, and ferrous-iron oxidizing kinetics, has been shown to compare well with the experimental data for the continuous bioleaching of pyrite. Keywords: Leptospirillum ferrooxidans, arsenopyrite, bioleaching, sulphide minerals ferrous-iron oxidation kinetics, ferric leaching kinetics, redox potential

Jan 1, 2000

By W. Pulles

Mining can adversely affect water quality and poses a significant risk to South Africa?s water resources. Proactive management of environmental impacts is required from the outset of mining activities in order to reduce this risk. Major strides have been made over the last 7 to 8 years, by both the Department of Water Affairs & Forestry (DWAF) and the mining industry, in developing strategies and management plans for the effective management of water within the industry. This has largely been achieved through the development of joint structures where problems have been discussed and addressed through cooperation. This process, which was started around 1991, has continued through to the present time. The mining sector management strategy has been developed at a number of different levels as follows: ?A detailed Management Plan, that sets out strategic objectives, broad strategies and functional and organizational arrangements. ?Operational Guidelines, that define and document specific operational procedures. ?Technical Guidelines, that define and document best practices for pollution prevention and impact minimization from mining operations. The Technical Guidelines consist of Best Practice Guidelines (BPGs) and Regulations.

Jan 1, 1999

By Andrew Jones

This paper discusses the worldwide market and cost environments for the bulk ferroalloys namely manganese alloys (ferromanganese, silicomanganese), ferrosilicon and ferrochrome (high-carbon ferrochrome, charge chrome). Annual average market prices since 1993 are presented graphically and analysed, and the main supply and demand trends for manganese, ferrosilicon and ferrochrome are summarized. The paper shows carbon and stainless steel output data for 1995, 2000 and 2005, mainly to demonstrate the rising importance of China as a ferroalloys market. Developments in ferroalloys capacity worldwide from 1991 to 2007 are discussed (plant start-ups and closures, ownership changes). Finally, the paper examines developments in the main cost factors for the bulk ferroalloys, i.e., chrome and manganese ore, electricity, carbon reductants and labour. Note that data for 2006 are estimated based on information available in November 2006.

Jan 1, 2007

By F. T. Cawood

?It is in the interest of stability and investor confidence that the healthy and necessary debate on such a (minerals) policy should soon find its way to consensus.? (President Nelson Mandela at the104th (1995), AGM of the South African Chamber of Mines) Inauguration of the new political dispensation in South Africa initiated a dynamic period in the historical development of its minerals policy. The process of substituting the current South African mineral policy framework with an acceptable ?post apartheid? system, started soon after the 1994 election of the African National Congress (ANC) government. The Green Paper on a Minerals and Mining Policy for South Africa released for public discussion in February 1998, calls for radical transformation in mineral rights ownership. A shift towards exclusive state ownership of mineral rights, away from the present dual system of private and state ownership, is the most significant proposal. The current holders of mineral rights, or their nominees, who lawfully enjoyed security of tenure under past and present mineral laws are opposed to this transformation because mineral rights were often acquired at considerable cost. The situation is compounded by poor public record-keeping and passive mineral rights administration over a very long period. This paper represents a summary of the historical developments leading to the current legislative environment and forms the basis for any discussion on which future sculpturing of South Africa?s policy regarding mineral rights can take place. One cannot plan for the future without considering the past!

Jan 1, 1998

By P. J. Rider

Diamond Value Management?s objective is to achieve $/ton revenue improvement across De Beers group mines. The respective %improvement contributions are measured against targets set by each of the operations. Degree of target achievement is measured via a maturity model at each operation. DVM comprises seven elements. It spans several value chain facets and various collaborative projects are conducted under its umbrella. New technologies in De Beers are also evaluated from a DVM perspective.

Jan 1, 2003

By C. Sensogut

The phenomenon of spontaneous combustion is one of the major hazards encountered in underground coal mines both from the safety aspects and on economic grounds. Every occurrence, however small, if not tackled effectively in the early stages can develop into open fire, or explosion of gas or coal dust. In terms of economy, even dealing with small incidents may be costly in terms of labour and materials, and in case of a sealing off of a district being necessitated, the loss of face equipment and sterilization of reserves is potentially great. Therefore, expense and effort in prevention and detection of such heating, together with a high state of readiness for dealing with likely event, is completely justified and may be considered as a sound investment. In order to achieve this investment, it may be worth to pinpoint the centre of the fire occurring due to autogenously heating which is supposed to be great assistance to inert it at a least cost and time. Therefore, it is the aim of this work to model the spontaneous combustion in the goaf.

Jan 1, 2002

Outsourcing of specialist and non-continuous services is common practice in international mining operations. There is an increasing trend towards this practice in South Africa as a result of the major organisational changes that have taken place in the industry, and as lower revenues and production cost pressures have reduced profit margins. Many specialist functions have been outsourced in the industry for a long time, an example being shaft sinking, which is undertaken by specialist shaft sinking contractors. In the professional services area, some activities have been outsourced, for example the design and construction supervision of tailings dams, but mining related activities such as geology, mine planning and scheduling, engineering, ventilation, and rock engineering, have traditionally been carried out by in-house staff. In this paper some of the industry problems which have led to an increase in outsourcing of professional services are considered. Then the pros and cons of outsourcing are dealt with before outlining the factors which should be taken into account in choosing an outsourcing partner.

Jan 1, 1999

By C. Dixon

The Abandoned Mine by C.C. Woollacott A heap of rocks marks the abandoned mine. The veld's unpitying silence lies around. Those broken stone?a mute and mournful sign Of human enterprise with failure crowned. Time with the slow hands, shall form the scene anew, Repair the gashes in the wounded soil, And cover up the last remaining clue To a poor useless record of men's toil. And this, the mound they built when hopes were high Shall be a grave, where those hopes buried lie. Outline This paper will consider the implications of the mine closure provisions set out in the new Mineral and Petroleum Resources Development Act and draft regulations. A comparison will be made with the existing provisions in the Minerals Act and the mine closure policy of the Department of Minerals and Energy (DME). The paper will consider whether the new provisions have the potential for improving performance as regards mine closure. It will investigate the financial provisions requirements and the implications of these provisions for mines. It will consider the requirements for a social and labour plan and consider the implications of this for mine closure and its funding. It will analyse the provisions relating to the transfer of environmental liabilities to third parties and consider the implications of this in the case of closing mines and non-closing mines. Finally it will consider the issue of residual legal liability of a mining company once a closure certificate has been issued.

Jan 1, 2003

By H. Saroglou

The anisotropic behaviour of Athens Schist has been brought out through the testing of specimens with varying orientation of schistosity with respect to the major principal stress under uniaxial, triaxial and dynamic conditions. A large number of results from tests on intact rock specimens of the Athens Schist were statistically analysed and evaluated.

Jan 1, 2004

By R. P. H. Willis

For technology transfer to be successful a process, from research to full scale application, has to be followed. This paper describes such a process and how it is applied in practice. Some of the ?do?s? and ?don?ts? are highlighted. Recommendations are made on how to communicate existing knowledge and to ensure that a framework exists to effectively plan future projects with final technology transfer objectives firmly in place. The Impact Ripper System is used as a case study to illustrate lessons learned. Key words: Technology transfer, implementation

Jan 1, 2002

By Onuralp Yücel, Süheyla Aydin, Erçin Ersundu

Turkish iron and steel sector, the base of which was established in the 1930?s, plays an important role in the industrialization and development of the country?s economy. In Türkiye this sector is the major consumer of ferroalloys. There had been a great improvement in Turkish Iron and Steel industry, especially after the 1980?sand as a result, 20.9 million tons of yearly crude steel production placed Türkiye 11th in the global steel output and 3rd in Europe. 15 % of steel produced in Türkiye is flat products, while the long products make the rest. The product composition and the general characteristics of steel production process led to an increase in ferroalloy consumption. Domestically consumed ferroalloys are especially ferromanganese, silicomanganese, and ferrosilicon. As of today, ferroalloy production capacity of Türkiye is 173,800 tons/year; 161,500 tons of which is ferrochrome with high and low carbon grades, 7,300 tons of ferrosilicochrome and the rest is ferrosilicon (5,000 tons/year). Türkiye is one of leading ferrochrome producers in the world considering the above mentioned production figures. However, this production is mainly exported since Türkiye?s stainless steel production level is modest requiring low amounts of ferrochrome. The products of iron and steel industry in Türkiye require large quantities of other ferroalloys, which make Türkiye a major importer and exporter of ferroalloys. The aim of this work is to present production, consumption, import and export quantities of: ferrochrome, ferromanganese, ferrosilicon, ferromolybdenum, ferrotungsten, ferrotitanium and ferrovanadium of Türkiye, between 1990 and 2006.

Jan 1, 2007