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By B. I. Matshediso, J. Kaavera, E. Shemang, T. K. Dintwe, L. S. Teseletso, K. Fichani

The minerals sector continues to draw attention from policy makers who would want to see both old and new mineral projects add value to the minerals in the host country. The current technological development in the leaching of manganese oxide ores to produce a high-purity manganese sulphate monohydrate, a compound that is used in the manufacture of batteries for electric vehicles or long-life storage cells for the renewable energy market, has led to junior mining companies spearheading this technology in new projects across the globe. In this paper, we researched the high-purity manganese sulphate monohydrate project pipeline and used projected production volumes and C1 cash costs to construct the industry supply curve for six projects, including the K.Hill project owned by Giyani Metals Corporation near Kanye, in the southern part of Botswana. The aim was to determine the ideal conditions that would provide a comparative advantage for further local value addition to high-purity manganese sulphate monohydrate and to the end user product. The results showed that while the estimated C1 cash costs would place the K.Hill project as the second highest cost producer from among five projects, it would nonetheless have healthy profit margins due to the high projected price of high-purity manganese sulphate monohydrate. The study recommended policy options, which, if implemented, could further encourage the exploitation and value addition of battery metals in Botswana.

May 27, 2025

By B. Maybee, J. Venter, J. Wesseloo

The selection of open-pit slope angles involves high-value decisions with small changes in slope angle, often representing significant changes in net present value. The existing methods used to define design acceptance criteria have evolved from factor of safety to probability of failure (P[F]) to risk consequence to risk frontiers, which represents current state of the art. Current design acceptance measures are based on references to published tables representing the experience and judgement of their authors, who did not specify the purpose of the measures contained therein. As the purpose of the published design acceptance criteria is not specified (i.e., definite stability, marginal stability, optimization, etc.), such tables cannot be used to achieve optimum slope angles that maximize profitability. This paper develops a design acceptance criterion that maximizes profitability by defining a formulation for optimum risk that balances expected risk and reward. The model developed is titled the Mining Risk Model (MRM), and is applied to open-pit slope angle selection through an equation for optimum probability of downside (P[D]O) that balances the upside or opportunity, the P[F], and the downside impact. This formulation for optimum risk is unique, as many authors have presented objective functions for their risk models that can be optimized, but none of the sources reviewed contained a formulation for optimum risk. The MRM is sufficiently flexible to allow the design performance measure that drives P[F], and hence P[D]O, to be selected based on the intended goal. Furthermore, the essential information that must be known to quantify optimum risk is defined. This allows users to determine what information to collect for optimum risk decisions. A further benefit of the MRM is that slope angle decisions and pit shells can be ranked to select the best option, and a threshold is provided that separates acceptable from unacceptable decisions. Finally, the workflow and information required to determine optimum risk are presented.

Sep 9, 2024

By F. T. Cawood, C. C. Birc

The South African mineral resource royalty system, initiated in 2010, employs a hybrid ad valorem approach tied to profitability ratios. This rate is then applied to the total revenue from mineral sales. In this article we explore how the profitability ratio in the mineral resource royalty formulae interacts with the gold tax formula as applied to South African gold mines, devising a strategy for cut-off grade optimization. The study focuses on nine narrow, tabular-reef (Witwatersrand) gold mines. The approach involves a mixed-integer cut-off grade optimizer utilizing Excel Solver, incorporating relevant royalty and income tax formulae. Different mineral resource royalty cost scenarios were examined. Ignoring these costs in the break-even analysis lowers the cut-off grade but slightly boosts profits compared to considering expected costs. The developed optimizer model, recognizing the profitability aspect of the mineral resource royalty and income tax formulae, yielded a 6% lower cut-off grade than the base case. This is significant for increasing mine life. While the profit differences are marginal (0.2% compared to the break-even base case), substantial improvements were noted: a 6% increase in stope tons above cut-off grade, and a 4% rise in total revenue. Enhanced resource utilization (3% extra gold kilograms) reduces necessary development and overall costs, allowing for a reduction in the cut-off grade and ultimately, more profit.

Aug 8, 2024

By K. G. Philo, R. C. W. Webber-Youngman

mining, where data-driven decision making optimizes resource extraction, enhances safety, and ensures sustainability. The adoption of digital technologies like artificial intelligence (AI) and the Internet of Things has amplified the importance of digital information. However, the integrity and security of this information are paramount, leading to the exploration of blockchain technology as a potential solution for secure digital value exchange in mining. This research examines blockchain's capabilities, drawing insights from its applications in sectors like banking, government, healthcare, and entertainment, and evaluates their relevance to mining's core value chain processes. The study identifies blockchain's distributed ledger technology, cryptographic security, and decentralization as unique advantages that can revolutionize mining by enhancing transaction speed, reducing costs, and improving supply chain transparency and compliance with sustainability standards. Blockchain's transparent and auditable records can enhance business transparency, fostering trust among stakeholders, including investors and regulatory bodies. The technology's consensus mechanisms and smart contracts further promote trust in collaborative ventures. This research provides a foundational understanding for decision-makers in the mining industry to evaluate blockchain's feasibility and potential return on investment, guiding strategic planning and resource allocation for blockchain applications. By leveraging blockchain, mining companies can optimize operations, improve sustainability practices, and establish a robust foundation for future growth, positioning blockchain as a transformative technology in the sector

Jul 10, 2024

By N. V. Moraka

Mining companies are required by law to improve representation of women on their boards. However, progress in this regard has been slow. Boards of directors play an important role in formulating corporate strategy, risk assessment, and effective governance for sustained financial performance. Although some women have successfully maintained board seats, others have been unable to do so. It is difficult to ascertain whether women are being appointed as tokens to satisfy social pressures, as little is known about the experiences of women board members in mining, which may inform or refute tokenism. In-depth interviews were conducted with 20 women and 16 men across six listed mining companies. Thematic data analysis revealed evidence of tokenism where recruitment to mining boards is compliance-based and is informally driven by influential directors. Adverse boardroom experiences that further confirmed tokenism were reported by women, such as disregarding their contributions, condescending behaviour, and limited influence in decision-making, while other women sought to validate their competence and oppose social exclusion. This study recommends that a strong Board Chair and nominations committee is critical to ensure sustainable recruitment of competent and suitably qualified women; and further foster a culture of inclusivity and valuing gender-diverse boards.

Dec 13, 2023

By W. Jilowa, C. Nguni, M. Simukoko, C. Nampungwe

The upsurge in cobalt price and demand is propelled by high demand from the electronics and electric vehicle industry. Konkola Copper Mines has cobalt occurring with copper in the ratio 1:10 in ore. The ore is treated in the concentrator and recovered at the smelter as an alloy (Cu 70%, Co 4%–7%, 15% Fe). Subsequent processing of the cobalt alloy is challenging, with very few plants able to treat it, leading to marketing challenges. Konkola Copper Mines sought to improve the cobalt alloy by producing a slag that is easier to handle and process in subsequent processes. Cobalt alloy (3.60% Co, 85.4% Cu) was re-melted in a copper bath four times the mass of the alloy. Silica and lime were added for phase separation and fire refining commenced. Following completion of fire refining and after holding the temperature at 1200°C, cobalt-rich slag was skimmed and blister copper was cast into anodes for electrorefining

Jan 1, 2023

By Z. Ruetz

Portable X-ray fluorescence (pXRF) analysis has been widely adopted in the geochemical and environmental field as a cost-saving alternative to standard analyses. This paper outlines the efficacy of a method for indirectly quantifying organic copper content in solvent extraction circuits via stripping of the chelated metal with concentrated sulfuric acid in a single contact and subsequent pXRF aqueous analysis. pXRF analysis is common within the mining industry but presents unique challenges with liquid analysis, the most prevalent of which are briefly discussed. This method was developed specifically for mining operations with regional constraints and limited resources. Providing an in-field alternative to flame atomic absorption spectrophotometry and inductively coupled plasma optical emission spectroscopy, this entirely mobile XRF analysis method produces consistent and accurate results within minutes and at a fraction of the cost.

Jan 1, 2023

By G. Bezuidenhout, N. C. Steenkamp

Buying centres are the first point of contact that determines whether ore will be considered as having sufficient provenance to be considered ethically sourced. The information that needs to be captured on the blockchain platform ranges from reports on in-loco inspections and audits of mining and purchase sites. This will guide passive and active monitoring of mining activities, trade-offs for identification systems, including biometrics for the registration of artisanal sellers, scrutiny on the selection of security measures and companies for buyer centres and stockpiling warehouses, evaluation of active and passive infrastructure security, and remote monitoring applications. Assistance with selection and training in geochemical testing instruments to determine the grade of ore material or concentrates and sorting, on-the-ground investigations, guidance on monitoring methods from stockpile and packing area along the transport route to the final destination are required.

Jan 1, 2023

By M. Mathey

The application of the Monte Carlo technique to production planning and everyday economic decisionmaking in mine production management is demonstrated. The logic is detailed using an example of underground production with continuous miners (CMs) and truck haulage. It is argued that availability of equipment and personnel are the predominant variables influencing mine output and productivity and that those availabilities may be well represented by binomial probability distributions. The probabilistic model is implemented in a standard Excel® spreadsheet with Palisade’s @Risk add-on to facilitate simulations. Starting from model calibration against data obtained from a mine’s annual reports, some general interdependencies of availability, utilization, productivity, and costs of production processes are outlined. Finally, several possible options and their consequences as regards production improvements are explored.

Dec 13, 2022

By H. Mulder, M. C. Bekker

The principal objective of this investigation was to conduct a thorough literature review on the status of project readiness mechanisms, tools, techniques, and frameworks for mining projects. The review aimed at identifying common readiness evaluation criteria as well as potential shortcomings that prevent the establishment of a generalizable project readiness index. The literature review included a general overview of capital project performances and the importance of project readiness assessments to improve project delivery success. The study then progressed towards literature involving mining projects and how this differs from infrastructure and industrial project assessments. The paper concludes by summarizing the current state of mining project readiness assessments, the unique and differentiating factors to be considered, and suggests recommendations towards the development of generalizable readiness assessment criteria for mining projects.

Sep 1, 2022

By T. Uysal

The increasing demand for rare earth elements (REE) in highly strategic sectors such as hybrid electric vehicles, renewable energy, communication technologies, and the defense industry has made REE production methods important. In recent years, studies on REE have increased rapidly; however there are many studies on REE, there are not enough studies in the literature on the economics of the beneficiation process. RE ores are generally leached after beneficiation by gravity, magnetic and flotation methods. In this study, direct leaching, attrition scrubbing and leaching, and flotation and leaching methods are evaluated economically based on the data for the Mountain Pass (MP) facility. According to the sensitivity analysis performed as a function of capital cost (CAPEX), operating cost (OPEX), and rare earths oxides (REO) recovery, REO recovery has the biggest effect on the process economies. Although the flotation method entails additional investment and operating costs, transportation and operating costs are significantly reduced result of the higher grade and recovery. The flotation method is more profitable, with larger NPV and IRR values and a shorter payback period.

Jul 2, 2022

By T. Bruce, R. C. A. Minnitt

Mining operations are generally reluctant to install high-cost sampling systems at operations that have been functioning for many years. The principal objection to installing appropriate equipment to extract correct and representative samples in process flows is the time and costs involved. The Theory of Sampling (TOS) provides a structured framework for identifying and quantifying the errors and bias associated with any sampling event, but this may be insufficient to initiate substantial investment in correctly designed sampling equipment. Financial losses arising from substandard sampling installations are usually disregarded because the value-add from a good quality sampling solution is invisible, but the cost is quite obvious. Depending on the needs, a less-than-perfect or fit-for-purpose sampling solution may be acceptable, provided the magnitude of sampling errors is understood and the assay results are interpreted accordingly. Categorical levels of acceptable accuracy and precision can be established depending on the sampling position in the mining value chain and the nature of the decisions to be made. The objective benefits of proposed fit-for-purpose sampling solutions should be presented to relevant decision-makers in such a way that adverse subjective decisions are countered so that appropriate solutions are implemented. Practical examples of the benefits from motivating the implementation of fit for purpose sampling solutions at sampling facilities around the world are provided.

Jul 2, 2022

By M. Onifade, B. Genc, P. O. Akinseye, M. Fourie, K. O. Said

Coal is mined by both surface and underground methods and its extraction is normally characterized by numerous hazards that can lead to catastrophic accidents, which result in devastating effects such as injuries or fatalities, damage to mining assets, and destruction of mineral resources. These hazards exist due to the ability of coal to support combustion and its association with toxic, flammable, and explosive gases. Underground coal mining entails higher safety risks than opencast coal mining, chiefly because of issues relating to mine ventilation and mine collapse. Furthermore, coal mine collapses mostly occur due to crumbling of mining supports, especially in room and pillar mining systems. To avoid such adverse occurrences, safety management systems need to be in place. This study reviews the various technological safety systems and principles that are used for safe-rescue and self-escape of miners in underground coal fires, particularly in South Africa, using data obtained from Mines Rescue Services in Carltonville, South Africa. The outcome of the review shows that practising safety culture has been given priority across many South African underground coal mines through setting up safety management systems and encouraging workers to stay committed to safety principles.

May 2, 2022

By F. T. Cawood, M. N. M. Cudjoe

The ability to conduct real-time material tracking in mines has been a long-standing challenge. Technological innovations such as radio frequency identification technology (RFID) have over the years contributed to the effective tracking of material flow and reporting of metal content. This paper outlines the laboratory procedures and results from testing the suitability of microdot technology as a viable technique for real-time material tracking in mining. The paper clarifies the reasons for conducting the test and presents the material safety data sheet (MSDS) from a South African and Canadian perspective. Microdots from three aerosol systems were immersed in water, heated to 100°C, and crushed into coarse and fine material. These tests were used to ascertain if the technology could withstand mining conditions. A strength, weakness, opportunity, and threat (SWOT) analysis was used to evaluate and compare microdot technology with RFID. It was shown that microdot technology has some potential to track ore parcels because data integrity was retained after exposure to post-blast mining conditions. However, more improvement is required to digitally detect microdots before the technology can be implemented at scale in the mining industry.

Apr 2, 2022

By L. J. Gerber, O. D. Eniowo, L. D. Meyer, S. R. Kilambo

Artisanal and small-scale mining (ASM) operations continue to grow across sub-Saharan Africa and serve as a source of livelihood to many rural communities. Owing to safety, health, environmental, and social concerns, the occupation has been regarded as a menace in several sub-Sahara African countries. Recent studies in the field of ASM prescribe formalization as a way to tame its excesses while enhancing its potential. This paper explores the concept of formalization as it relates to ASM and how it is being affected by the funding situation. The paper seeks to address the question as to whether formalization of artisanal mining operations can achieve the desired results in view of the lingering credit constraints in this mining subsector. It is recommended that, as a way of extending the scope of formalization, focus should be placed not only on access to credit in ASM but also towards optimizing the creditworthiness of ASM firms, with the goal of improving the viability of the operations.

Mar 2, 2022

By L. Schernikau, W. H. Smith

Oil, coal, and gas account for approximately 80% of global primary energy, but only a portion of total airborne CO2 eq (approx. 35% at GWP20 to 65% at GWP100), even though they account for 95% of total measured CO2 emissions. The benefits of these energy sources, as well as their related costs, are not all incorporated in current energy policy discussions. Global greenhouse gas policies must include documented changes in measured airborne CO2 eq to avoid spending large amounts of public funds on ineffective or sub-optimal policies. The authors examined airborne CO2, which is less than half of emitted CO2, as well as reported CH4 emissions and the global warming potential of CH4 as published by the IPCC for coal and natural gas. The surprising conclusion is that surfaced-mined coal appears ‘better for the climate’ than the average natural gas, and all coal appears beneficial over LNG. Therefore, current CO2-only reduction policies and CO2 taxes are leading to unintended consequences and the switch from coal to natural gas, especially LNG, will not have the desired impact of reducing predicted future global warming; in fact, quite the contrary. A large portion of anthropogenic global warming is attributed by the IPCC and IEA to CH4, but it must be noted that CH4 emissions from natural sources and from agriculture account for approximately 40% and 25% of annual global CH4 emissions respectively. Energy accounts for about 20% of documented CH4 emissions. CO2 contributes only approximately 35% of annual airborne anthropogenic GHG emissions after accounting for CH4, over a 20-year horizon. At a 100-year horizon, the contribution of CO2 increases to approximately 60%. Energy policies that do not consider all GHG emissions along the entire value chain will lead to undesired economic and environmental distortions. All carbon taxation and CO2 pricing schemes are incorrect and need to be revised. At IPCC’s GWP20 an approximately 2%1 higher loss of CH4 across the value chain prior to combustion of natural gas versus coal will lead to ‘climate parity’ of coal with natural gas. According to public data, natural gas value chains have high CH4 and undocumented CO2 losses. On a global average, using only IEA-documented CH4 data, natural gas emits approximately 15% more CO2 eq than surface-mined coal, over a 20-year horizon. This difference will increase as the use of shale gas and LNG expands. Investors should support all energy systems in a manner that avoids an energy crisis, including intermittent renewable energy systems where they make sense. If CO2 emissions need to be reduced, one of the most effective ways would be to install ultra-supercritical power plants with CCUS technology. However, the undisputed benefits of increased CO2 concentrations in the atmosphere because of its promotion of photosynthesis and plant growth effects (fertilization) need to be considered in energy policy decisions as well. The authors suggest that future research and development should concentrate on reducing net emissions from fossil fuel power plants and providing cost-effective and reliable new conventional power generation capacity, utilizing clean coal and clean natural gas technology.

Mar 2, 2022

By A. N. Clay, N. N. Moeketsi, S. Joubert

For many years, mine-impacted water has been regarded as a problem and linked to long-term environmental liabilities. However, this water can be a renewable and a sustainable resource, provided that it is managed in a responsible and sensible manner. South Africa’s National Water Resource Strategy (NWRS, 2013) considers water that can be used to contribute to economic activity to be a water resource. Although all water resources are considered as belonging to the State, government does not appear to have meaningfully explored the use of mineimpacted water to contribute to the country’s economic activity. Africa is blessed with more sunshine than anywhere else, apart from Australia, yet we see no rollout of vast quantities of solar panels to ensure every African family has access to affordable power. This suggests that governments are incapable of managing such a free resource. At the same time, apart from the equatorial areas, water is a seriously constrained resource and yet we expect the same entities to manage a commodity none of us can live without. This paper explores the conversion of mine-impacted water from waste to a resource and how the inclusion of other stakeholders (such as water users, landowners, and ordinary South Africans) could benefit the process.

Jan 2, 2022

By M. Shamsi, M. Nehring

One of the most challenging aspects in semi-mobile in-pit crushing and conveying (SMIPCC) system design is determining the optimum depth at which to change from a purely truck-based haulage system to a conveyor-based haulage system. We used scenario analysis to determine the optimum transition depth between a truck and shovel (TS) system and a SMIPCC system. Traditional pit-limit algorithms were used to generate the final pit limit on a copper deposit, which was then divided into four pushbacks. The final operating pushbacks (phases) were designed for both TS and SMIPCC. The end depths for each phase are viewed as candidate transition points to switch from the TS to SMIPCC haulage system. Economic calculations were applied for five different scenarios, including adopting SMIPCC from the outset (pure SMIPCC), after the first, second, and third phases, and finally not using the SMIPCC system (pure TS) at all. The analysis indicates that the second scenario, at a depth of 335 m, results in the lowest cumulative discounted cost (CDC). In this case, the CDC is 17.6% lower than that for the pure TS scenario and 10.7% lower than for the pure SMIPCC system scenario.

Sep 1, 2021

By N Morales, G Nelis

Short-term plans must meet the long-term goals while accounting for shovel selectivity, operational space, and scheduling restrictions. There are several approaches that deal with these issues to deliver a feasible short-term schedule. This paper compares two approaches based on mathematical programming to address the short-term mining cut definition and scheduling in an integrated way. They work by scheduling extraction to comply with long-term production goals, but they differ in how mining cuts are modelled. The first approach schedules Selective Mining Units (SMUs) but aggregates them around predefined locations. The second approach does not work on SMUs; it decides directly what mining cuts are to be used from a pre-defined set of shapes. It assigns a destination and schedules the extraction for the selected mining cuts. We applied both approaches in a real case study to compare their results in terms of profit, mining cut design, expertise needed, profit, and optimisation performance.

Sep 1, 2021

By Z. Saw, C. Poveda, N. L. Mai

Optimising the throughput of a mining network comprising all equipment from shovels to semi-autogenous grinding (SAG) mills is a complicated task, yet the potential benefits can be significant. Key modelling challenges stem from the sheer number of possible routes which material can travel, different equipment operating under different constraints, and the rate of SAG mills being calculated through a nonlinear function of the blended materials’ rock attributes. Nevertheless, this is an ideal onapplication area of mathematical programming, a branch of operations research. This paper describes an application of mixed integer linear programming (MILP) to optimise the mining equipment network of one of the world’s largest copper mines.The model takes as input a year-long monthly mine schedule of shovels in different pits, pushbacks, sequences and faces which produce material to be moved through a network of crushers, conveyors, silos, distributors, stockpiles and SAG mills, ultimately outputting a daily operational plan for all equipment that maximises the throughput of the network. All operational constraints and business rules are considered, including three quality attributes of copper ore. Comparing model results with actual data shows an improvement of 4.47% in network throughput tonnage. Additionally, although the model is solved using a free, open-source solver, optimal solutions are still achieved within a practical timeframe.

Sep 1, 2021