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By Dodd SF

Valuation of mining companies and their underlying assets prepared by brokers' analysts are, by necessity, approximations. The reliability of the valuations is entirely proportional to the quality of available data, the reliability of forecasts and the nature of underlying commodity price assumptions. The latter is perhaps the greatest single cause of gross variations in company and asset earnings estimates and- valuations. Assumptions are often necessary regarding commodity price achievement based on commodity hedge positions. Public disclosure from listed companies provides a sound base from which to project earnings, cashflows and balance sheets. The uncommon disclosure of projected production and cost schedules often reduces the reliability of future estimates. The application of reserve and resource estimates is contentious with practitioners applying differing weightings to importance of resources in estimating mine lives (and therefore cashflow streams). Valuation methods applied in equity markets usually focus on relative value and the identification of pricing anomalies. The commonest ""rules of thumb"" applied in the valuation of mining companies (and therefore their underlying assets) is with the use of year specific price/earnings (P/E) and price/cashflow (P/CF) ratios, with low multiples suggesting undervalued assets, high multiples overvalued situations (but these rules can often be clouded by market expectations of underlying commodity price movements). Another simply applied valuation tool is to examine the examine the value placed on reserves and resources by the market. Inexpensive gold in the ground (expressed as $ of market capitalisation per ounce of reserves or resources) might indicate a buying opportunity, but the market does discount the value of gold in the ground prior to mine development and where development risk is perceived.

Jan 1, 1994

By Richmond A

Like many industries the coal mining industry has, since the beginning of this century, undergone many changes. Technological advances and the increasing demand for fossil fuels have introduced new mining methods and techniques which allow the extraction of thicker and deeper coal seams at higher rates of production. Most new methods of mining (or for that matter any other processes) introduce problems which the engineers of the industry are expected to face and resolve. Unfortunately, spontaneous combustion has plagued the coal mining industry since the first attempts to mine coal, and is no doubt partly responsible for the reputation that coal mining is a hazardous industry. The financial loss and toll of human lives due to the occurrence of spontaneous combustion of coal in coal mines is enormous, if not incalculable. Its occurrence today is less likely to claim lives, due to both improved methods of working and in the detection of spontaneous combustion sites.

Jan 1, 1983

By E Asakpo, S Chaffer, A Heath

Newmont has had continuous production at their Ahafo operations, Ghana, since 2006. In 2013, Ahafo initiated an efficiency programme to improve mill performance and reduce energy consumption. Following this assessment, a Turbo Pulp Lifter (TPLTM) was installed in the Ahafo SAG mill in April 2015 to replace the existing radial pulp lifters. Plant operational data showed delivery of a power saving of 10 per cent, an improvement in throughput of 3.3 per cent, with no loss of grind size. Pulp lifter life was also doubled from 11 to 22 months.However, during subsequent relines when the grates were removed it was found that one in four of the outer pulp lifters were wearing at a faster rate than the remainder. This was investigated by Discrete Element Method (DEM) modelling, which predicted some overtopping and internal recycle within the pulp lifter. Significantly, the model predicted that the recycled material would pass back down every fourth outer pulp lifter, matching the field observations. Subsequently, the DEM investigation was continued and became an R&D project to improve the TPL design. The results are summarised here, leading to the development of the next generation Spiral TPLTM.CITATION:Heath, A, Chaffer, S and Asakpo, E, 2018. The development of optimised pulp lifter design for the Ahafo SAG mill using discrete element method modelling, in Proceedings 14th AusIMM Mill Operators' Conference 2018, pp 585–594 (The Australasian Institute of Mining and Metallurgy: Melbourne).

Aug 29, 2018

Safety and health at work is about people. It is about people who plan for work, organise work and perform work. It is about those who come in contact with the workplace and those who are responsible for the workplace. There are wider ranging safety and health obligations that are imposed on the industry stakeholders that span all phases of the production process. In all cases, those responsible for discharging the obligations must ask the questions: Is what we propose safe?, can it be done safer? and are we sure? What we learn from recent legal cases before the courts is that it is essential that all stakeholders work together in a collaborative way when discharging these obligations. Safety and health at work cannot become an issue that is viewed only through the eyes of a single stakeholder group. The reason for this is quite simple. The interrelatedness of the responsibilities that are imposed on each of the stakeholder groups, means that the performance based legislation simply wont work, where an active model of communication and consultation is not in place.

Jan 1, 2005

By V S. Vutukuri, K Shariar

This paper present a modification of selected strength criteria for coal and rocks containing weakness planes. The three strength criteria, namely, Murrell (1965), Bieniawski (1974a, 1983) and Hoek and Brown (1980) have been assessed for coal (containing weakness planes) by using triaxial strength tests. Triaxial test results indicated that the strength of coal specimens depends on the weakness plane inclination with respect to the principal stress direction. However it is shown that with increasing confining pressure, the effect of weakness planes inclination on the strength of coal specimens is reduced. The constant parameters in the three failure criteria for coal are determined for each weakness plane inclination by using the Datafit computer program (nonlinear regression analysis) and the results are compared with other rock types.

Jan 1, 1999

Nordberg has conducted extensive research, during 1982-85, on the effects of cone crusher variables such as speed, throw and cavity design on the productivity of the crushers. Simultaneously, Nordberg's engineers have developed advanced design and testing techniques that ensure efficient and reliable crusher designs. Combination of this knowledge has resulted in a design of the MPI000 (1000 hp) crusher which fits on the existing 7ft Symons foundation and yet is capable of producing twice the ton- nage of the 7ft. In this paper the development of the MP1000 crusher and its performance compared to the 7ft heavy duty and super heavy duty crushers will be discussed. Also, substantial cost savings resulting from the application of such a high performance machine will be presented.

Jan 1, 1988

By Royle A. G

The paper describes a geostatistical structural analysis of an 80 square mile lease of the Athabasca tar sands. Each step of the analysis is presented with the ultimate objective of condensing the principal structural characteristics of the chosen regionalised variables into the opera- tional form of the variogram model. The variogram model is then used to form kriged local and global estimates, with the corresponding estimation errors.

Jan 1, 1977

By S Joyce, Z Agioutantis, D van Zyl, D Shields

Over the past 15 years, the mining industry has begun to incorporate the concepts of sustainable development and sustainable mining practice across the life cycle of mineral operations. This requires addressing economic issues, community impacts and concerns and environmental protection, and is captured in part by the phrase ‘design for sustainability’ (McClellan et al, 2009). Over the same period, the industry has seen a gradual decline in ore grades for many mineral commodities. As a result, large volumes of tailings and mine waste rock are being produced around the world, and it is expected that the annual production volumes of these materials will increase, even if there is not a significant change in the demand for materials.Another related thread of change has been the realisation that societies need to move away from linear economies (raw materials, production, consumption, disposal) towards more circular ones. This will help societies become more resource efficient, which is defined by the United Nations Environment Programme as reducing the total environmental impact of the production and consumption of goods and services, from raw material extraction to final use and disposal. The goal is to create more with less and deliver greater value with less input. Circular economies require thinking in terms of the waste hierarchy (reduce, reuse, repurpose, recycle, recover, landfill).The challenge is that the waste hierarchy was originally designed to address embodied mineral content in products rather than mine waste and tailings generation. It will need to be reconsidered in a mine life cycle context, focusing on a value-based conception of waste (Van Ewijk and Stegemann, in press).In parallel to these changes, it has remained an imperative in the mining industry to dispose of these waste materials as economically as possible while protecting the environment. Single handling of these materials has been the main target, which reduces the life cycle costs of their management but may make reuse of waste and tailings technically more difficult or economically infeasible.This presentation explores a rethinking of the large volume earthen material waste issue at mines. The underlying theme is that some or all of these materials can be valuable resources for the future that can positively contribute to sustainable development. These resources can offer economic gains to firms, communities and societies; contribute to environmental well-being; enhance social interactions with the previously mined landscape if handled properly; and, with proper policies in place, reduce governance commitments. Each of these topics will be briefly explored. This will be followed by a discussion of approaches to manage design and operations to allow future resource recovery.CITATION:Van Zyl, D, Shields, D, Agioutantis, Z and Joyce, S, 2015. Waste not, want not – rethinking the tailings and mine waste issue, in Proceedings Tailings and Mine Waste Management for the 21st Century , pp 7–10 (The Australasian Institute of Mining and Metallurgy: Melbourne).

Jul 27, 2015

Traditional vat leaching has been done on a batch basis, which involves loading the vats, leaching, drainage, washing, draining again, and unloading. As a result of these many steps and the attendent cost of labor, vat leaching is generally not an economic proposition. Also, like heap leaching, there is a tendency for channeling to occur within the bed, whether the leach solution flow is by percolation upwards or downwards. No doubt experimenters over the decades have been enticed by the idea of fluidization induced by upward flow through the ore bed. If the bed could be fluidized, then a continuous flow of material could be set up, dispensing with the high cost of loading and unloading the vat. A quick calculation of solution flow requirements, however, soon reveals that the volume of constant liquid movement necessary to sustain fluidization is prohibitive from a power and cost standpoint. The premise of the Mackie Vat Leaching Jig (MVLT) concept was that the large volume of liquid flow required for fluidization could be achieved instantaneously, and that during this small element of time, the solids would flow under the influence of the hydraulic gradient in the vat. If this procedure could be repeated in a cyclic manner, then a steady-state condition could be set up. Experiments in the laboratory demonstrated that solids flow could be achieved in this manner.

Jan 1, 1991

By Barlow S

The Kelian Gold mine project won two excellence awards from the Victorian Division of the Institution of Engineers, Australia. It was a challenging project, fast tracked in a remote and inhospitable tropical environment. The creation of a profitable and efficient mine was a significant engineering and project management achievement. The difficulties encountered and the way they were managed provide valuable lessons. These include the importance of sufficiently detailed engineering in all aspects of the job to enable the best estimates possible to be prepared during feasibility studies, the need to prepare the project scope and execution plan with disciplined and rigorous attention to detail by a highly experienced team and the value of identifying, assessing and mitigating risk and uncertainty during execution. The practical benefits of applying these lessons were demonstrated in the successful management of technical uncertainty on the recent diversion of the Kelian River to allow the expansion of the Kelian mine.

Jan 1, 1997

By Aiming Z, Shenyi S, Xialei W

Zhangmatun Iron Mine is situated in the suburbs of Jinan city. Shandong, China. Because of surface environmental constraints, no suitable site can he selected to dispose of mill waste. The full mill tailings must be disposed of underground. This paper deals with the work conducted at Zhangmatun mine to develop a total tailings backfill system, taking advantage of a double- shaft blade mixer and an activating agitator to prepare backfill. Cement and ground slag are added to tailings for strength development. Two scopes have been filled and the pillars have been effectively mined out during the field trial. The application of innovative total tailings backfill technology is a new concept at the mine. Detailed planning has achieved a close integration of mining, milling and backfilling. Full mill tailings, with or without rock, are disposed of underground in a continuous process to fill, totally and systematically, the cavities formed by mining.

Jan 1, 1998

By S Rogers, D Stead, E Eberhardt

The last decade has seen a major increase in use of the discrete fracture network (DFN) approach applied to cave mining problems, often integrated within more complex geomechanical simulations. Because the value of the DFN model directly depends on the quality and quantity of available field data, there is the need to apply dedicated mapping procedures to collect sufficient structural data at the required engineering scale. This paper attempts to address several key questions about DFN modelling; for example: are current methods for fracture mapping suitable for DFN modelling? What are the critical parameters that we need to measure and what do we need to change in the current practice? Particularly at the earlier stages of a cave project, engineers may have to account for the lack of appropriate data, which manifests itself in the form of increased uncertainty and the difficulty to characterise variability in an objective manner using a limited set of data. DFN models could in principle be generated using limited data by assuming statistical distributions for the sampled parameters; however, engineers would need to be aware of the implications that such limited knowledge (and increased uncertainty) would have on stability analysis, fragmentation analysis and mine design. When used correctly, a DFN approach offers practitioners the opportunity to:maximise the use of fracture data collected from mapping of rock exposuresgenerate more realistic synthetic rock mass modelsprovide estimates of natural fragmentation that also account for rock mass variability.CITATION:Elmo, D, Eberhardt, E, Stead, D and Rogers, S, 2016. Discrete fracture network modelling – importance of accounting for data uncertainty and variability, in Proceedings Seventh International Conference and Exhibition on Mass Mining (MassMin 2016), pp 845–852 (The Australasian Institute of Mining and Metallurgy: Melbourne).

May 9, 2016

Methods for ore reserve estimation are classified. The amount of information needed to asses ore reserves is analysed. Reference is made to gold sampling. Consideration is given to nugget effects and ore reserve estimation procedures where they are significant. Computer methods are discussed

Jan 1, 1997

Rather like the mythical "Economic Man" "an employer" in this context must necessarily be an abstraction, and the views possessed by such an abstraction, a composite of many views known to have been expressed. Not even the complex Conciliation and Arbitration legislation in this country provides any helpful specifications, except in one peculiar particular. The Australian Conciliation and Arbitration Act provides an almost totally tautological definition, except in that one oddity referred to above. It is this : "An employer means any employer in any industry, and includes any person who is usually an employer in an industry, and also includes a Club." No doubt there is some perfectly justifiable reason for such specific and unique particularity in an otherwise meaning- less definition. That need not trouble us in this exercise.

Jan 1, 1982

By G Baird, M Seto

A low-cost methodology that allows the determination of in situ stresses using oriented core specimens has been investigated. The technique can be used to determine the stresses during the early stages of a project, even in undeveloped areas of a mine. The research aim was to compare the experimental results estimated by the Acoustic Emission and Deformation Rate Analysis methods with those estimated by conventional Hollow Inclusion cell measurements. The studies have been focused on full stress tensor determination from a single oriented rock core. In all cases the rock core specimens recollected the in situ stresses reasonably well compared with the standard overcoring method.

Jan 1, 2000

By P Odins

Traditionally, stratigraphic deposits have been represented by a large number of gridded surface and product analytical models, related to each other by naming convention. This approach, though suitable for structurally simple stratigraphic deposits, does not lend itself well to addressing the complex style of stratigraphic deposits which are becoming more prevalent. In addition, the sheer number of individual gridded models involved makes it very difficult to keep a consistent audit trail of the overall deposit model. Recently, a new enhanced block model structure known as Horizon Adaptive Rectangular Prism (HARP) models was introduced to address these issues. An HARP model is specifically designed to allow stratigraphic units to be represented with virtually no loss of structural integrity, by allowing the tops and bases of the individual HARP blocks to ‘bend’ in concert with the input surfaces. By bringing together the best of grid modelling, triangulation modelling, block modelling and grade estimation, the HARP model opens up many exciting new opportunities for the stratigraphic geologist or engineer to take their model further than was previously possible. Examples of improvements in modelling methodology using a HARP model include: the ability to represent complex normal, reverse and thrust faulting; the ability to store thousands of additional analytical, geotechnical or calculated variables in each individual block; advanced visualisation, manipulation and plotting capabilities; and the ability to calculate volumes and resources against complex, three-dimensional (3D) solid pit designs. Finally, several ‘real world’ scenarios, illustrating how this advancement in modelling technology can benefit a wide range of mining professionals are detailed. These examples demonstrate how productivity gains can be made in both long-term resource modelling and short-term ‘week by week’ geological modelling as an adjunct to mine planning.

Aug 22, 2011

By S Nkwanyana, I Govender

Batch experiments in a 0.6 m diameter mill have shown that improvements of about 13 per cent in the efficiency of energy utilisation can be realised in ball mills by replacing 25 per cent of the ball charge by an equivalent volume of cost-free critical size pebbles from AG/SAG mills. For a mill of a given size, speed and charge filling, the rate of size reduction of ore particles depends on (i) the frequency of grinding media collisions (ii) the probability of capture of ore particles between the colliding grinding media (iii) the probability of fracture of the captured particles. The probability of fracture depends on the magnitude of collision energy. The distribution of collision energy into shear and impact events determines the relative strengths of attrition breakage and impact breakage. The efficiency of energy utilisation depends on which of the two mechanisms of breakage is more desirable in a particular milling stage. In this paper collision data from a series of DEM simulations of a mill charged with steel media and a mixture of steel media and pebbles is presented in energy spectra and spatial distribution maps. The data provides the necessary detail to elucidate the improvements in the efficiency of energy utilisation in ball mills when using a mixture of pebbles and steel media.

Aug 24, 2022

By J F. Colinet, G, J A. Zimmer, R J. Timko

It has long been known that ventilation is a cost-effective method to lower respirable dust concentrations in all types of mining applications. The National Institute for Occupational Safety and Health has been working on a number of different research techniques that use ventilation as a critical component to lower respirable dust levels at surface and metal/non-metal operations in the United States. This article presents five such research efforts. The first research area discusses how improving the ventilation flow patterns in an iron ore mill facility lowered respirable dust concentrations by 31 per cent throughout the primary grinding area. The second research area examines how respirable dust levels were lowered at a dimensional stone shop by using air cleaning units suspended from the ceiling. A third area discusses how improvements in ventilation at underground limestone mines lowered respirable dust concentrations. The fourth area examines how improvements in dust filtration and pressurisation systems significantly impacted the air quality in enclosed cabs of surface mining equipment. The last area presents a newly developed clothes cleaning technique. This technique uses an air spray manifold to blow dust from a workerÆs clothing in an enclosed booth, which confines the dust for capture and removal by a baghouse dust collector. These research areas represent an array of different control technologies to lower respirable dust concentrations. Ventilation is an integral part of these control technologies.

Jan 1, 2005

By T M. Campos, H A. Petit, L M. Tavares, R Olympio

Much practical experience has been gathered in the last 30 years of application of high-pressure grinding rolls (HPGR) integrated with ball milling in size reduction of fine iron ore concentrates. The company Vale S.A, in Complexo de Tubarão (Brazil), was one of the pioneers applying the technology prior to pelletisation with an outstanding size reduction energy efficiency in the circuit and a significant increment in the specific surface area of the product. Recent studies by the authors demonstrated benefits of modelling and simulation to improve the performance of HPGRs in this particular application, with the model being able to describe HPGR performance under different operating conditions and under variations of feed size distribution. Despite these important advances, this modelling approach has only been used offline and under steady-state conditions. The present work applies the modified Torres and Casali model proposed by the authors in pseudodynamic simulations. The ability of the model to predict the characteristics of the product in real-time is evaluated using data available online for the pellet feed preparation circuit. Results demonstrated the model capabilities to map the physical operation and give a realistic representation of the process. Additionally, the model is demonstrated to be able to support the pellet feed production by providing extended real-time information of the process, making it a useful tool for improvement of the operational strategies and process stability.

Aug 24, 2022

By M Yahyaei, F Reyes, R Lage, V Jokovic

Equipment wear is strongly related to the performance of grinding circuits. In particular, SAG mills are subjected to the wear of their shell liners and grates. Changes in lifter height and face angle impact mill performance, while classification at the mill discharge is also affected as grates wear out. Moreover, liner mass loss caused by wear affects how operators interpret readings of sensors such as load cells or bearings pressure. Automating and optimising grinding circuits under these constrain becomes challenging due to the nonlinear and dynamic nature of the system. The operation of SAG mill grinding circuits remains largely dependent on human intervention, which frequently results in inconsistencies in performance across shifts, reflecting the operator’s personal preferences, experience, and other human factors. The influence of human factors can be reduced by careful training of operators as well as by automation using advanced supervisory control. The latter approaches could benefit from the development of dynamic process models that consider the effects of wear on the performance of equipment over time. This paper presents detailed industrial data showing the effects of wear on SAG mill performance. Additionally, a dynamic SAG mill model that accounts for these phenomena is proposed and demonstrated in a simulated environment. This model is shown to mimic the effect of wear on the performance of industrial scale mills and the operational constraints they are subject to, thus extending traditional SAG mill models. Incorporating wear into modelling and simulation platforms can improve the understanding of the effects that wear can have on the performance of key assets in comminution circuits and may allow the development of more robust model-based advanced process control strategies.

Aug 24, 2022