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For resources projects with healthy net present value (NPV) and low cash flow volatility, conventional discounted cash flow (DCF) analysis will continue to provide the dominant investment decision-making criteria. However, DCF analysis can be biased because it often applies a single risk-adjusted discount rate (RADR) to compare the value of projects with different risk characteristics. Many of the difficulties with DCF modelling arise from analysts' inability to determine appropriate risk discounts and to estimate expected spot prices inputs for the commodities produced over the life of the project. Modern asset pricing (MAP) is a very valuable complement to DCF analysis in addressing some of these issues. Most papers dealing with MAP, however, while academically rigorous, tend not to be explicit in terms of practical application of this methodology in routine project evaluation. This paper has the objective of reviewing the MAP methodology and of demystifying its complexity, by providing a simple but realistic step-by-step evaluation of a mining project, comparing its DCF and MAP NPV values. The paper concludes that MAP provides a minimum, risk-adjusted `floor' value, thus representing a valuable complement to any DCF valuation.

Jan 1, 2007

This paper summarises some observations regarding the way SAG and AG mills work based on the last ten years of pilot plant operation, grinding circuit design and operational reviews for various projects in Australia and overseas. The main purpose is to promote discussion on key factors influencing breakage in a SAG mill. The focus of the paper is on two questions: ? How do mill lifters and liners really work and have an effect on grinding? ? How does the mill charge composition impact on grinding performance? The focus of the paper is on observations of mill behaviour in both pilot plant trials and plant operation, particularly on Cadia ore. DEM, by others, and JKSimMet modelling of SAG mill performance have greatly assisted in forming the ideas expressed in the paper and both are valuable tools in developing our understanding of the comminution process. Put in the `extreme' form the major observations and conclusions expressed in this paper are that: ? the main purpose of mill lifters is to reduce mill liner wear and not to promote rock breakage; ? the often promoted theory that balls impacting the ?toe of the charge? is a dominant form of breakage is incorrect; and ? fines production in a SAG mill is primarily a function of the rock load mass, with a secondary dependence on ball load for any given circuit configuration.

Jan 1, 2007

By P. Ramphisa

In South Africa reprocessing used oil into industrial fuel is commercially attractive. The reprocessed product is sold as a substitute for heavy fuel oil that is derived from crude oil (Rose Foundation, 2008). The objective of this investigation is to evaluate the use of petroleum products such as oil, petrol and diesel in Driefontein Gold Mine. The recovery of oil through recycling has costs implications to the mine while the release of petroleum hydrocarbons due to the poor management of the use of petroleum products has potential to cause pollution and negatively affect soil and water. Environmental legislation such as the Minerals and Petroleum Resources Development Act (Act 28, 2002) requires that such negative impacts to the environment be rehabilitated. The rehabilitation cost of pollution caused by petroleum products to the environment increases operational costs in business. Field assessment is conducted to identify the main sources of petroleum product contamination such as leaks in piping, overfills and petroleum spills. The areas that require mitigation would be mapped in the study. Recommendations for mitigation measures will focus on using the best practicable environmental option (BPEO) as well as the best available technology not exceeding excessive cost (BATNEEC). The recovery of oil from the mining industry is generally low and very poor. In this study, the effect of proper management of petroleum products to the mine?s operational costs is investigated and compared to there mediation costs of the impacts caused due to poor management of these products. The study investigates the financial benefit that could be obtained from proper environmental practices and efficient usage of petroleum products in the mining.

Jan 1, 2009

Mintek now offers a service for the accurate measurement and analysis of air pollution in South Africa. 'The deteriorating air quality and general degradation of the environments in industrialized and urban regions of South Africa have been of concern for more than a decade', says Mintek's Dr Johann Engelbrecht. 'The accompanying effect on health, visibility, and damage to property and the environment have prompted the public, authorities, and industry to take appropriate action. A recent study conducted by the Medical Research Council on schoolchildren in the Vaal Triangle, clearly demonstrated the relationship between the deficient quality of the air in that area, and the resultant respiratory diseases.

Jan 1, 1996

The First International Symposium on Seismicity in Mines, organized by the South African National Group on Rock Mechanics in collaboration with the South African Institute of Mining and Metallurgy, was held in Randburg (near Johannesburg) from 13th to 17th September, 1982. It was the first attempt to provide an international forum for the consideration of seismic problems specifically affecting mines or associated with mining. Numerical mathematics The South African Society for Numerical Mathematics and the Computer Science Department of the University of Natal are organizing the Ninth Symposium on Numerical Mathematics to be held in Durban from 18th to 20th July, 1983.

Jan 1, 1983

By J. Meintjest

As you pointed out, furnace power factor (and consequently transformer MVA rating) depends upon the inductive reactance, and so it is desirable to design for the lowest possible value of this parameter. The further introduction on the primary side of the transformer of capacitors, whether in shunt or in series, increases the network power factor but does not alter the furnace power factor; that is, the phase angle between electrode to- hearth voltage and current remains unchanged. Corrigenda The following amendments should be made to the article entitled 'Coal-preparation routes for maximum coal recovery', which was published in the August issue (vol. 80, no. 8) of this Journal:

Jan 1, 1980

Crossroads for Students Students in their matriculation year, whatever their background, have reached a crossroads in their lives: behind them lie the relatively carefree years of childhood; ahead lies the whole of their working lives. Whether those working lives will be rewarding and interesting depends to considerable extent on whether they get 'a good matric' and carry on to some form of further education. IPMI awards 1985 Nominations for the 1985 Awards are now being accepted by the Awards Committee of the International Precious Metals Institute. THE DISTINGUISHED ACHIEVEMENT AWARD was established to recognize important career contributions to the advancement of precious metals, be it technological, economic, or business.

Jan 1, 1984

By H. T. Kaiser, P. De Waal

The Alusaf aluminium smelter at Richards Bay by H. T. KAISER, B.Sc. (Pta), M.B.L. (Unisa) (Visitor) and P. DE WAAL, B.Sc., B.lng. (Mech.) (Stell.) (Visitor) A description is given of the aluminium smelter at Richards Bay, which operates on the Hall-Heroult electrolysis principle. The annual output of metal (average 99,7 per cent aluminium) is approximately 7S 000 tons. Since its commissioning in 1971, the plant has fulfilled South Africa's total demand for low-alloy rolling slabs, extrusion billets, remelt ingots, and electrical conductor rod. The plant layout allows for sufficient expansion of its capacity to meet longterm increases in demand.

Jan 7, 1977

By P. H. Botha

An account is given of the procedures used by the South African Iron and Steel Industrial Corporation (Iscor) for tests on the flotation of coal fines, and some of the beneficiation problems encountered with coal from Durnacol, Grootegeluk, and the Soutpansberg area are discussed. These, and other South African coals differ from overseas coals in that they contain a high percentage of fixed ash, which means that they have to be crushed more finely for liberation and that they then contain more fine material (smaller than 0,84 mm). In addition, the coal from the three areas mentioned occurs in fine layers and seams, and contains many intergrown particles.

Jan 1, 1980

By R. K. Brummer

The support of stopes and tunnels in South African gold mines subject to rockburst damage requires special attention. The interaction of a seismic wave with either a stope or a tunnel is subject to a number of variables, namely the distance from the source of the event, the ground velocity, the orientation of the excavation with respect to the direction of the seismic wave, and the geology and fracturing around the excavation. This paper discusses these factors in relation to the support requirements in stopes and tunnels. The need for the integration of hydraulic props with stope support and the use of yielding anchors for tunnel support are emphasized.

Jan 1, 1988

OFS Branch Minutes of the General Meeting Held at the President Steyn G.M. Ltd Canteen on Wednesday, 13th November, 1974, at 3.55 p.m. Mr D. A. Smith (Chairman of the O.F.S. Branch) was in the Chair. There were also present: Nim reports Report no. 1696 The preparation and certification of a reference sample of a preciousmetalore. Report no. 1705 The effects of various matrix elements on the efficiency of the fire-assay procedure using nickel sulphide as the collector. Report no. 1720 The initial development of processes for the direct leaching of iron-nickelcopper mattes containing platinumgroup metals, and for the production of ferronickel.

Jan 5, 1975

By K. R. Vost

Calculations are given for the reduction in amplitude and change in phase of the diurnal variation in air temperature as the air flows through a mine. The concrete lining of a typical shaft was found to have a much greater effect than the steelwork. An increase in the conductivity of the concrete, or filling of the steelwork with water, did not have enough effect on the rise in air temperatures underground during the day to justify the costs involved. The steel temperature followed the air temperature much more closely than the concrete temperature did. Calculations are given for the heat stored in steel and concrete during the day.

Jan 1, 1980

By R. D. Hancock

The complex responsible for the poisoning of anion-exchange resins is identified as the anionic cobaltic penta¬cyanide mono aquo species. It is shown that, at high concentration, this species polymerizes in solutions of pH less than 9. A mechanism for poisoning is presented that involves adsorption of anionic cobalt cyanide by a normal ion-exchange process, followed by polymerization within the resin matrix to form complexes that are too large to diffuse readily through the resin pores. The effects of resin structure and functionality on the extent of cobalt poisoning are examined, and the effect of cobalt poisoning on the kinetics and equilibrium loading of uranium is discussed.

Jan 1, 1979

By J. A. L. Napier

SYNOPSIS Many tabular mining problems can be modelled effectively by displacement-discontinuity techniques, which can be extended directly to represent fracturing on discrete planes and movements on planes of weakness. This paper presents a unified method for computing the energy changes that occur when multiple discontinuities intersect and are extended incrementally. It shows how this method can be used to deduce energy-release information for standard layout problems and, in addition, how the technique can be incorporated in numerical procedures based on the displacement-discontinuity method. Examples are given to demonstrate the effects of off-reef fracturing and the importance of stope-fault intersections during seismic events.

Jan 1, 1991

By J. H. deur Potgieter

This paper, 'A review of the biological treatment of cyanide-bearing waste water' discusses the necessity for the treatment of cyanide-bearing waste water with a view to the avoidance of environmental pollution, and the limitations of the available chemical and physical processes are referred to briefly. The sources of cyanide-bearing waste waters are mentioned. The mechanisms of production and utilization of cyanide by fungi and bacteria are discussed. The work done in connection with the biological removal and destruction of cyanide is summarized, the successes achieved are described, and the relevant processes are listed. In conclusion, some advantages of biological processes for the removal of cyanide are mentioned.

Jan 1, 1991

By S. Jeon, J. Kim, H. Lee

Though the importance of the engineering rock mass properties such as deformation modulus, cohesion and friction angle is emphasized, the researches on the reliability of these values are rarely performed. By using modified Takagi-Sugeno (TS) fuzzy inference system, a fuzzy model was developed based on the data obtained from domestic tunnel construction sites, and the ability of prediction was compared with the empirical equations conveniently used for estimating these values, which finds that fuzzy model is better than empirical equation. Sufficiently large database, however, is required for training the fuzzy model for more accurate prediction. Obwohl die Wichtigkeit der technischen Eigentümer der Felsenmassen wie zum Beispiel Verformungsmodulus, Bindekraft und Reibungswinkel betont werden, wird die Forschung auf der Zuverläßigkeit dieser Werte selten durchgeführt. Mit modifiziertem Takagi Sugenos (TS) Flaumigenschlußsystem wird die Flaumigenmodelle von den Daten, die von inländischen Tunnelbaustellen erhalten werden, entwickelt. Zum Schätzen dieser Werte ist es viel günstig, Flaumigenmodell zu benutzen, als zu adoptieren die empirische Gleichung für die Fähigkeit der Voraussage. Genügende große Datenbank wird aber zum Ausbilden flaumigen Modells für genauere Voraussage erfordert. Quoique l'importance sur la caractéristique d'ingénierie de la masse de roche comme le module de déformation, la cohésion et l'angle de friction, soit soulignée, la recherche sur la confiance de ces valeurs est rarement effectuée. Avec le système modifié de Takagi-Sugeno(TS) fuzzy inférence, le nouveau modèle fuzzy s'est développé. Après avoir estimé sa valeur, nous pouvons savoir que ce modèle fuzzy, basé sur les données venant du chantier de construction de tunnel national, est mieux que l'équaton empirique. Pourtant plus de données de base sont indispensables pour produire le modèle fuzzy plus précis.

Jan 1, 2003

By R. H. C. Andrew

With the advent in recent years qf mechanization in deep-level gold and platinum mines, large quantities of rubber was are being used on both production and support vehicles. Conditions in these types of mines are extremely harsh and, as a result, we performance is significantly lower than in other types of mining such as open-cast base metal mining, where more favourable conditions prevail. Various options are available to the user to reduce tyre costs, including the use of retreads, the filing of tyres, and the repair of damaged tyres. While these methods may be generally successful in open-cast conditions, their use in deep-level mining needs to be carefully evaluated for each particular set of conditions. A basic requirement for any evaluation of we costs is the availability of reliable data on tyre performance and, for this reason, it is essential that proper tyre records are maintained This paper reviews the performance of tyres in deep-level gold and platinum mines in Johannesburg Consolidated Investment Company, Limited (JCI) over a period of about 8 years, and shows how the costs of retreading and tyre filing can be evaluated in practice. It also discusses the cost implications of repairing damaged tyres.

Jan 1, 1994

By T. Wennberg

An elevated location of a paste thickener on a ridge close to the disposal area is considered at a Swedish iron ore mine. About 0.7 M tonnes of thickened tailings are planned to be layered as paste in the vicinity of the thickener over several years with pipeline lengths of up to 900 m after about 20 years. In order to clarify the pipeline pumping characteristics of the tailings product for volumetric solids concentration from 40 to 50%, experiments in loop systems with pipeline inner diameters from 0.063 to 0.152 m have been carried out with various types of pumps. The results and comparisons carried out here showed that the performance of centrifugal pumps cannot simply be related to the rheology, but factors related to pump design and build-up tendencies of material within the pump and other particle properties may be of equal importance. During the first years of operation only one thickener underflow pump is required. The reliability and performance for various pump configurations are planned to be investigated systematically in order to meet the most effective long-term solution for paste thickener operation, pipeline distribution and placement in the disposal area as the discharge point advances over the life of the project.

Jan 1, 2007

By SAIMM SAIMM

To the members of The South African Institute of Mining and Metallurgy We have audited the annual financial statements of The South African Institute of Mining and Metallurgy set out on pages 575 to 586 for the year ended 30 June 2005. These financial statements are the responsibility of the Institute?s Council. Our responsibility is to express an opinion on these financial statements based on our audit. Scope We have conducted our audit in accordance with International Standards on Auditing. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes: examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements, assessing the accounting principles used and significant estimates made by management, and evaluating the overall financial statement presentation. We believe that our audit provides a reasonable basis for our opinion. Audit opinion In our opinion, the financial statements fairly present, in all material respects, the financial position of the Institute at 30 June 2005 and the results of its operations and cash flows for the year then ended in accordance with South African Statements of Generally Accepted Accounting Practice.

Jan 1, 2005

By S. Botes, H. van der Merwe

While the refractory lining contains the process on a steady-state basis, the tap-hole must provide a channel for transport of molten materials at discreet intervals, with thermal cycling as routine. The tap-hole introduces a discontinuity in any lining, and this fact can lead to failure in the region around the tap-hole before general lining failure occurs. Hence there is a need for a rapid and reliable tap-hole repair technique that can be readily implemented in conjunction with all types of linings. The UCAR®V Repair supplied by GrafTech is a durable solution capable of repairing all types of lining designs and has been extensively utilized in the ferroalloy industry. More than 20 UCAR®V Repairs have been successfully performed in South Africa alone. This paper describes the system in general and reviews recent repairs and their unique challenges.

Jan 1, 2014